Maine Lawmakers Fail to Override Governor's Veto of Bill Pausing Data Center Construction

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Written by John Egan for IIR News Intelligence (Sugar Land, Texas)

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Summary

Maine lawmakers on April 29 failed to override Governor Janet Mills' veto of a bill that would have paused construction of new data centers in the state for 18 months to give the state time to assess how those facilities could affect the state's residents and businesses. But Mills created a panel to analyze the potential impact of data centers on Mainers' electricity, water, environment and communities.

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Lawmakers Fail to Override Governor's Veto

Maine lawmakers on April 29 failed to override the governor's veto of legislation pausing for 18 months the construction of new data centers in the state. According to Industrial Info Resources data, there is one active data center capital project under development in Maine, worth about $1.5 billion. That project would repurpose a shuttered mill in the rural southwestern community of Jay. Construction of that project is scheduled to begin this summer, and the facility is slated to be operating by the end of 2027.

On April 24, Maine Governor Janet Mills (D) vetoed a bill that would have temporarily paused construction of new large data centers in Maine. Earlier that month, that bill passed the Maine House and Senate along mostly party lines, with Democrats supporting it and Republicans opposing it. For more on the passage of that bill, see April 16, 2026, article - Maine Could Be First U.S. State to Pause Data Center Development.

That bill, LD 307, would have paused for 18 months construction of any data centers that used more than 20 megawatts (MW) of electricity. LD 307 also would have created a panel to assess the potential impacts that the arrival of data centers could have on the state's residents, businesses and environment.

A proposed data center on the site of a shuttered mill in the rural southwestern community of Jay emerged as a sticking point during the development of legislation. That project, if built, is expected to use about 100 MW of electricity. Subscribers to the Industrial Info Resources Global Market Intelligence (GMI) Industrial Manufacturing Project and Plant databases can view a detailed project report and related plant profile.

As the bill was being developed, Mills sought an exemption for the Jay data center project, but lawmakers did not agree to an exemption.

If the bill had been signed into law, Maine would have been the first state to enact a statewide pause on the construction of data centers. The Maine legislature adjourned April 30.

Maine lawmakers could have overridden the governor's veto if they mustered a two-thirds majority in both houses of the legislature. But on April 29 they failed, with the House voting 72-65 to override her veto. The vote was mostly along party lines, with Democrats voting to override the governor's veto and Republicans voting to sustain it.

In her April 24 veto message, Mills said she would have signed the bill into law if it included an exemption for the shuttered mill in rural Franklin County. She said the same thing as the bill was moving through the state's legislature. That closed mill is in the process of being repurposed as a data center.

"A moratorium is appropriate given the impacts of massive data centers in other states on the environment and on electricity rates," Mills said in her veto message. "But the final version of this bill fails to allow for a specific project in the Town of Jay that enjoys strong local support from its host community and region."

Lawmakers Sharply Split Over Bill and Data Centers

In the April 29 vote, Republican House members emphasized local economic development and national security. Democrats focused on the potentially negative impact that data centers could have on the state's electricity prices, availability of water, the environment and the character of communities.

According to a report in the Maine Morning Star, Republican Representative Billy Bob Faulkingham said data centers can be a vital economic driver and key infrastructure to support the expansion of artificial intelligence.

"Data centers are not only important for people on a personal level, they're important for our national security," he said. "And I can tell you, our enemies are not going to stop putting data centers in their countries."

But Melanie Sachs, the Democratic House member who sponsored the original bill, LD 307, said, "This is not about being anti-development. It is about being pro-accountability. If a project is going to reshape our energy grid, impact our natural resources and potentially cost shift to ratepayers across the state then it must meet a high bar of transparency and proof, and that bar has not been met."

One of her Democratic colleagues, Representative Daniel Ankeles, said the fight over data centers in Maine is not over.

A projection by the U.S. Energy Information Administration said Maine's electric prices, already among the highest in the country, could rise by as much as 36% if new data centers are built in the Pine Tree State.

The divide in Maine over data centers reflects broader national concerns over the scale and pace of proposed data center construction plans in their communities. For more on that, see April 8, 2026, article - Data Center Opposition Growing Across States; December 8, 2025, article - U.S. Data Center Buildout Hits Obstacles--Speed Bumps or an Iceberg?; and October 22, 2025, article - State Regulators Set Up Guardrails on Aggressive Data Center Construction Plans.

Key Takeaways

• Maine is not be the first state to attempt a pause on data center construction, as the state House failed to muster the two-thirds majority necessary for overriding the governor's veto of a bill pausing for 18 months the construction of new data centers in the state.
• The governor said she would have signed the bill into law if it included an exemption for a project seeking to turn a shuttered mill into a data center.
• Democratic members of the Maine House vowed that the fight over data centers is not over.

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About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).