Massachusetts Gov. Maura Healey has issued an executive order that reshapes the approval process for new data center projects in the state. Under the order, data center proposals must first secure consent from their host communities before they can be advanced through state permitting agencies, effectively giving local governments a decisive role in whether these facilities can proceed.
The directive also ties data center development to Healey’s Data Center Framework, which sets out conditions for how projects interact with the state’s energy and environmental systems. Developers are required either to bring their own clean energy supply to support operations or to pay fees that will be returned to utility customers. The framework is intended to guard against higher energy costs for ratepayers while steering new projects toward cleaner power sources.
In announcing the order, Healey emphasized that local acceptance is now a prerequisite for new facilities. She framed the policy as both a community control measure and a consumer protection tool, highlighting the state’s focus on ensuring that data centers do not drive up energy bills. Healey also underscored that the state expects data center operators to align with its clean energy objectives.
The order further directs data center developers to protect water resources and to engage transparently with surrounding neighborhoods. Projects must be structured to safeguard local water supplies and to keep nearby residents and stakeholders informed as plans advance. These requirements add environmental and community engagement considerations to the development process.
Before entering any state-level permitting reviews, developers will now have to finalize a community benefits agreement with the host municipality that meets state standards. In addition, the executive order bars non-disclosure agreements between data center developers and state agencies, aiming to keep negotiations and project terms visible to the public as the sector expands in Massachusetts.
