A coastal perspective on infrastructure

For Southern Ocean County’s shore communities, decisions about development are also decisions about water, energy, public safety and long-term economic vitality. New Jersey’s growing focus on data center transparency offers an opportunity to consider how major technology investments should be evaluated—and how residents and small businesses can stay informed.

Senate Bill 4304, passed the Senate on October 22 by a 38–0 vote. The measure was referred to the Assembly Science, Innovation and Technology Committee, where it is scheduled for consideration on November 16. It remains proposed legislation, rather than an enacted NDA ban.

The bill would prohibit agreements between data center applicants or their agents and municipal agencies, approving authorities or property sellers when those agreements conceal development details or prevent public review. It would make those agreements unenforceable, require an applicant’s attestation concerning agreements with sellers, and prohibit development approvals when an applicant violates its provisions. For communities within the LBI Region, the underlying principle is straightforward: residents should have access to the information needed to understand a proposed project before decisions are made.

f a proposal comes forward, useful questions would include:

• How much electricity would the facility require, and who would pay for necessary infrastructure upgrades?
• What cooling system would it use, where would its water come from and how would demand vary throughout the year?
• How would the site address flooding, stormwater, emergency access and backup power?
• What noise, construction traffic or other effects would nearby properties experience?
• What lasting jobs, training opportunities or other measurable benefits would the community receive?

These are questions for project-specific review, not conclusions that every data center would have the same effects. A shore-area discussion should account for both year-round community needs and seasonal demand.

Energy and water reporting is already part of state policy

Separate from the pending NDA bill, Governor Mikie Sherrill signed S3379/A4096 on August 27, requiring data center owners and operators to submit semiannual energy and water usage reports to the New Jersey Board of Public Utilities. The state also announced community benefit agreement guidance and technical assistance for municipalities evaluating proposals. nj.gov  New Jersey’s broader framework includes a separate ratepayer class and rate structure intended to ensure data centers pay for their own energy use and associated grid infrastructure. These protections make the allocation of infrastructure costs an important part of the development conversation. 

The New Jersey Economic Development Authority’s Data Center Municipal Resource Hub offers technical assistance and resources to help municipalities evaluate developer information and negotiate community benefit terms. Access to energy, water and economic-impact expertise can help local officials assess complex proposals. 

Residents and business owners can follow S4304 through the New Jersey Legislature and participate in municipal planning discussions when relevant applications arise.