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Governor Gavin Newsom vetoed California bill AB 93, which would have required data centers to report their water usage. The bill was vetoed due to the high demand for data center capacity driven by artificial intelligence.

Legislators, including Assembly member Diane Papan, argue that the bill could have provided vital information for localities to manage water resources. Concerns are growing about the ability of smaller cities like San Luis Obispo to support technological advances and the potential impact on their water supply.