Lawmakers push tax breaks for data centers, critics worry about school funds

Michigan Advance

Steve DelBianco, CEO of NetChoice, a Virginia-based trade association of online and tech businesses, testified Thursday at the committee meeting on behalf of the data center market. He says that large data centers won’t even consider opening up shop in Michigan until there is data center-friendly legislation.

“We encourage Michigan, in this respect, to accommodate this view toward data centers that will either be here or not be here. And that hinges on whether or not the state recognizes the production equipment of a data center is production equipment that should qualify for sales tax exemptions,” DelBianco testified to the committee. “Over the last five years, not a single large enterprise data center is located in a state that has imposed its full sales tax on the data center servers.”

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