Maine Governor Janet Mills has not yet decided whether to sign a bill passed by the state Legislature that would impose a statewide moratorium on new data centers until the fall of 2027 [1]. Mills stated in an interview that the bill is currently on her desk and she intends to read it carefully before making a decision [1]. She expressed disappointment that the legislation does not include a 'carveout' for a proposed data center project in Jay, a town that has suffered significant job losses following the closure of two paper mills in recent years [1].
The bill is notable as the first of its kind and comes amid a broader national debate regarding the local impacts of large, energy-intensive data centers, particularly those supporting the artificial intelligence industry [1]. Mills, who is also running for the U.S. Senate, emphasized her concerns about the economic needs of Jay, referencing the loss of hundreds of jobs and the community's struggles after the closure of its mills [1]. She argued that the people of Jay deserve careful consideration of what a data center could mean for their economic future [1].
Mills also cited environmental concerns, including the high electricity and water usage associated with data centers, and noted that the proposed Jay facility would be located on the Androscoggin River, where the former paper mill once used over 40 million gallons of water daily [1]. She is weighing whether such usage would be viable or problematic for the region [1].
When asked about the possibility of vetoing the bill and requesting a legislative rewrite, Mills indicated that this would be difficult, as lawmakers are only scheduled to return for a single 'veto day' [1]. Mills has ten days to decide whether to sign, veto, or allow the bill to become law without her signature [1].
CONCLUSION
Governor Janet Mills' pending decision on the data center moratorium bill is drawing significant attention due to its potential economic and environmental impacts. The outcome could influence both local job prospects in Jay and the broader debate over data center development in Maine. Market participants are watching closely for Mills' final decision, which must be made within ten days.