Mayor Craig B. Johnson: When judging data center incentives, don’t ignore the revenue
Elk Grove Village Mayor Craig B. Johnson argues that an investigation into data center tax incentives by the Chicago Tribune overlooked the substantial revenue generated for local schools and governments. He asserts that existing tax incentives are vital for competitiveness and lead to significant financial benefits for the community, including private investment and union jobs. The mayor highlights that data centers generate millions in property taxes and permit fees, contributing positively to the local economy.
Elk Grove Village Mayor Craig B. Johnson has responded to a Chicago Tribune and Illinois Answers Project investigation into tax incentives for data centers, arguing that the reporting overlooked the significant revenue generated by these facilities. Mayor Johnson highlighted that data centers in Elk Grove Village collectively generated approximately $60 million in property taxes for the 2025 tax year, in addition to $11.1 million in building permit fees, $4.5 million in electric utility tax revenue, and over $1 million in sales tax revenue over the past year.
He contended that the Cook County Class 6B property tax incentive, which provides a temporary reduction to encourage industrial development, does not mean residents pay more. Instead, it allows communities like Elk Grove Village to compete with neighboring counties with lower taxes, ensuring that data centers generate significantly more property tax revenue than the industrial properties they replaced, even with the incentive.
Johnson emphasized that data centers contribute millions to school districts without increasing student enrollment and create substantial private investment and union construction jobs. He noted that permit fees from data center construction in 2024 allowed the village to distribute $200 Visa gift cards to 14,000 households, demonstrating direct community benefits. He also welcomed the Coalition for Responsible Data Centers, advocating for policies that promote responsible growth based on real-world experience.