The "Data Center Bill of Rights for Citizens" aims to protect residents of South Dakota from potential increases in utility costs and shortages linked to the operation of data centers. The bill defines a data center as a facility with a peak demand of ten megawatts or greater and mandates that electricity providers establish specific terms for service to these centers. These terms require data centers to reimburse providers for costs associated with their service demand and consumption, including costs incurred if they reduce their load or leave the system.

Additionally, the bill reinforces the authority of local governing bodies to regulate the construction and operation of data centers, ensuring they can adopt ordinances to limit or prohibit such developments. It also requires data center operators to notify local water providers of their projected water consumption before commencing operations, ensuring compatibility with local water supplies. The Board of Water Management is tasked with overseeing these operations, including issuing statements of compliance and requiring semi-annual reports on water usage from data centers, which will be made public to promote transparency.