Governor Janet Mills Vetoes Maine Data Center Moratorium
Governor Janet Mills vetoed a first-in-the-nation moratorium on large data centers to protect a $550 million redevelopment project at a former paper mill in Jay.
Governor Janet Mills vetoed bill LD 307 on April 24, 2026, blocking a first-in-the-nation temporary moratorium on the approval of new data centers with loads of 20 megawatts or more. The legislation, sponsored by Representative Melanie Sachs and passed by the Maine Legislature, would have paused construction until November 1, 2027, to study impacts on the electric grid, groundwater contamination, and electricity rates.
Mills rejected the bill because it lacked an exemption for a $550 million project to convert the former Androscoggin Mill in Jay into a data center. She stated that the project provides essential jobs and economic reuse for a brownfield site. To address the concerns raised by the bill, Mills signed a separate law, LD 713, barring data centers from certain state business tax incentives and issued an executive order establishing a 15-person advisory council to provide policy recommendations by January 2027.
The decision split state leaders. Representative Sachs and environmental groups condemned the veto, arguing it prioritizes one developer over the shared energy future. Conversely, the Maine State Chamber of Commerce and labor representatives praised the move for protecting local jobs. Maine lawmakers attempted to override the veto on April 29, but failed to reach the required two-thirds majority. This outcome allows the Jay project, led by JGT2 Redevelopment LLC and Sentinel Data Centers LLC, to proceed with a planned opening in early 2028.