Bill Text: MI SB1048 | 2025-2026 | 103rd Legislature | Introduced
Bill Title: Public utilities: electric utilities; project labor agreements and prevailing wage and fringe benefit rates; require for certain data center contracts. Amends 1939 PA 3 (MCL 460.1 - 460.11) by adding sec. 10ii.
Sponsorship: Partisan Bill (Democrat 8)
Status: (Introduced) 2026-06-18 - Referred To Committee On Energy And Environment [SB1048 Detail]
Download: Michigan-2025-SB1048-Introduced.html
SENATE BILL NO. 1048
A bill to amend 1939 PA 3, entitled
"An act to provide for the regulation and control of public and certain private utilities and other services affected with a public interest within this state; to provide for alternative energy suppliers and certain providers of electric vehicle charging services; to provide for licensing; to include municipally owned utilities and other providers of energy under certain provisions of this act; to create a public service commission and to prescribe and define its powers and duties; to abolish the Michigan public utilities commission and to confer the powers and duties vested by law on the public service commission; to provide for the powers and duties of certain state governmental officers and entities; to provide for the continuance, transfer, and completion of certain matters and proceedings; to abolish automatic adjustment clauses; to prohibit certain rate increases without notice and hearing; to qualify residential energy conservation programs permitted under state law for certain federal exemption; to create a fund; to encourage the utilization of resource recovery facilities; to prohibit certain acts and practices of providers of energy; to allow for the securitization of stranded costs; to reduce rates; to provide for appeals; to provide appropriations; to declare the effect and purpose of this act; to prescribe remedies and penalties; and to repeal acts and parts of acts,"
(MCL 460.1 to 460.11) by adding section 10ii.
the people of the state of michigan enact:
Sec. 10ii. (1) Beginning on the effective date of the amendatory act that added this section, the commission shall not approve any contract, tariff, discount, or rate between an electric utility and a qualified data center unless all of the following apply:
(a) The installation, construction, or construction maintenance of the data center will use apprenticeship programs registered and in good standing with the United States Department of Labor under the national apprenticeship act, 29 USC 50 to 50b.
(b) The workers employed for the construction or construction maintenance of the data center will be paid a minimum wage standard not less than the wage and fringe benefit rates prevailing in the locality in which the work is to be performed as determined under 2023 PA 10, MCL 408.1101 to 408.1126, or 40 USC 3141 to 3148, whichever provides the higher wage and fringe benefit rates.
(c) To the extent permitted by law, the entities performing the construction or construction maintenance work will enter into a project labor agreement or operate under a collective bargaining agreement for the work to be performed.
(2) As used in this section:
(a) "Data center" means a facility in this state that is composed of 1 or more buildings and that is designed and intended for housing, and does house, data center equipment to centralize the storage and processing of data.
(b) "Project labor agreement" means a prehire collective bargaining agreement with 1 or more labor organizations that establishes the terms and conditions of employment for a specific construction project and does all of the following:
(i) Binds all contractors and subcontractors on the construction project through the inclusion of appropriate specifications in all relevant solicitation provisions and contract documents.
(ii) Allows all contractors and subcontractors on the construction project to compete for contracts and subcontracts without regard to whether they are otherwise parties to collective bargaining agreements.
(iii) Contains guarantees against strikes, lockouts, and similar job disruptions.
(iv) Sets forth effective, prompt, and mutually binding procedures for resolving labor disputes arising during the term of the project labor agreement.
(v) Provides other mechanisms for labor-management cooperation on matters of mutual interest and concern, including productivity, quality of work, safety, and health.
(vi) Complies with all state and federal laws, rules, and regulations.
