Proposed data center in Deuel county on hold following 2026 legislative session

A data center proposed to be built near Toronto South Dakota in Deuel County is unlikely to go forward according to the project’s leaders following the 2026 legislative session. Applied Digital is the company that proposed the multi-billion-dollar project and is the company which opened the data center up in Ellendale, ND. In a statement following the legislative session, Applied Digital says it would still like to build in South Dakota, should some of South Dakota’s tax and incentive policies more reflect North Dakota’s and other states. The Legislation did pass SB135 called a “Data Center Bill of Rights” designed to protect residents against excesses from data cetners including capping peak electrical use of 10 megawatts or greater, cover any costs associated with meeting power demands and would bar the state from preempting local laws limiting, banning or regulating data centers. The bill has not yet been signed by the Governor.