Fazio opposed to data-center tax break, not data centers
Republican gubernatorial candidate Ryan Fazio is opposing a sales tax rebate for data centers in Connecticut, not data centers themselves. He highlighted an estimated $17 million tax saving for Cigna's data center in Windsor and called for ending such tax benefits and requiring data centers to provide their own power. Fazio stressed these reforms would protect taxpayers and ratepayers.
Republican gubernatorial candidate Ryan Fazio has voiced opposition to a bipartisan economic development law in Connecticut that provides sales tax rebates for data centers, rather than opposing data centers outright. The law, signed by Gov. Ned Lamont five years ago, aims to attract technology companies to the state. Fazio specifically criticized an estimated $17 million in sales tax savings for Cigna's data center in Windsor, citing it as an example of unfairness to taxpayers.
Speaking at a press conference in Windsor, Fazio, who is the ranking Republican on the legislature's Energy and Technology Committee, clarified that he is not advocating for a blanket ban or moratorium on data centers. Instead, he proposed ending the special tax benefit, implementing "guardrails" on the industry, and mandating that data centers provide their own power when connecting to the grid. He framed these as "common-sense reforms" to protect taxpayers and ratepayers and make Connecticut more affordable.
The article also notes the growing political significance of data centers, particularly their energy consumption, citing a National Republican Senatorial Committee memo. This memo indicated that opposition to data centers is a potent issue being used by Democrats against Republican candidates in states like Ohio.