Assembly Bill 840 establishes new regulations for data centers in Wisconsin, focusing on their construction, operation, and environmental impact. The bill mandates that the Public Service Commission (PSC) ensure that costs related to electric infrastructure serving data centers are not passed on to other customers. Additionally, any renewable energy facility that serves a data center must be located on the same site as the data center. The bill also requires that data centers utilize a closed-loop cooling system for water used in cooling processes and mandates annual reporting of water usage to the Department of Natural Resources (DNR).

Furthermore, the bill stipulates that individuals operating data centers must file a bond or other security with the DNR to cover reclamation costs, and if construction is not completed, the owner must notify the DNR and restore the site to its original condition. The new legal language created by this bill includes definitions for "data center," "closed-loop cooling system," and requirements for water usage and reclamation, ensuring that data centers operate sustainably and responsibly within the state.