This bill, named the "Power and Water for Families Act of 2026," aims to facilitate the responsible development of data centers and related infrastructure. It seeks to protect existing ratepayers from the shifting of incremental infrastructure costs attributable to large-load facilities. Furthermore, the legislation encourages significant investment in water reuse technologies and practices. Title I amends the Public Utility Regulatory Policies Act of 1978 (PURPA) by establishing new federal standards for large-load customers , defined as non-residential facilities with a peak electric demand of 100 megawatts or more. These standards mandate that electric utilities design rates to recover the full, incremental cost of any generation, transmission, or distribution upgrades necessary to serve such customers. Utilities must also require financial assurances or contributions from large-load customers before undertaking these upgrades. Additionally, electric utilities are encouraged to establish mechanisms for large-load customers to develop or acquire new, additive generation resources sufficient for their projected load. Incentives are provided for any creditable excess capacity from these resources to be made available to other load-serving entities, benefiting residential and small business customers. States and nonregulated utilities retain flexibility in implementing these standards, with a two-year deadline for consideration and determination. The bill introduces a new 30 percent tax credit for qualifying additive generation projects under the Internal Revenue Code. To qualify, projects must develop new generation resources for large-load facilities, make creditable excess capacity available to other load-serving entities, and explicitly avoid shifting infrastructure costs to existing ratepayers. This credit applies to projects where construction begins after the bill's enactment and terminates after 10 years. Title II establishes another 30 percent tax credit for qualifying water reuse projects . Eligible projects include installing or modifying onsite water recycling systems in industrial or data center facilities, replacing freshwater use with recycled water from municipal providers, or building/expanding municipal water recycling systems. This incentive aims to protect aquifers and support sustainable development by promoting the use of recycled water .