The bill aims to enhance transparency regarding agreements related to data centers by prohibiting state agencies or political subdivisions in South Dakota from entering into confidentiality or nondisclosure agreements with non-governmental entities, private individuals, or public-private partnerships concerning the construction, development, or location of data centers. Such agreements will be classified as public records, ensuring that the public has access to information about these arrangements.

Additionally, the bill defines a "data center" as any facility that serves as a centralized repository for the dissemination, management, processing, and storage of electronic data and information. This definition clarifies the scope of the bill and reinforces the commitment to transparency in governmental dealings related to data centers.