Ill. Gov. Pritzker pauses data center tax incentives
Illinois Governor JB Pritzker has paused new state data center tax incentives, citing the General Assembly's failure to pass legislation requiring data center owners to take more responsibility for utility costs and consumer protection. Pritzker also seeks legislation to ban non-disclosure agreements between data centers and local governments, emphasizing the need for responsible growth and protection of natural resources.
Illinois Governor JB Pritzker has announced a pause on new state data center tax incentives following the General Assembly's recent adjournment without passing key legislation.
The governor emphasized the necessity of new laws to hold data center owners more accountable for utility costs and to safeguard consumers from potential price increases. Additionally, Pritzker is advocating for legislation that would prohibit non-disclosure agreements between data centers and local government entities. He stated that while Illinois aims to lead in technological innovation, it also bears the responsibility to protect families and communities from the rapid expansion of the data center industry.
Governor Pritzker's administration is directed to halt the processing of data center agreements while working with the General Assembly and other stakeholders to develop a comprehensive framework. This framework is intended to ensure affordability, protect natural resources, and promote responsible growth across Illinois, addressing the significant electricity, water, and other resource demands of data centers, which can rival those of a mid-sized city.