2026-06-05

Briana Cooper

Current News

Headlines about data centers have recently become more prevalent, with mixed sentiments coming from residents, community leaders, and the development community about the overall impacts and benefits of these projects.
 
Two new significant Ohio bills have been introduced that could curb or place guideposts on data center development across the state.
 

House Bill 710, sponsored by Representatives Steve Demetriou (R-35) and Heidi Workman (R-72), would place certain limits on data center development. The bill is now under consideration by the House Committee on General Government. Representative Demetriou asserts that while data centers spur economic progress, the legislation aims to curb the largest technology companies in the world from receiving sales tax exemptions and to protect Ohio residents from bearing potential downside effects of data center development.

 

Additionally, Ohio House Bill 646, sponsored by Representatives Gary Click (R-88) and Kellie Deeter (R-54), which would establish the Ohio Data Center Study Commission has passed the House. The legislation would assemble a commission with members appointed by the Governor, Speaker of the House, and President of the Senate who would examine data center policy and  submit a formal report of findings and recommendations within six months. That Bill has moved quickly, passing the House and now moving through the Senate. A new substitute draft was introduced last week to further refine the proposed policy around data center incentives.

 

House Speaker Matt Huffman is also rallying for support to override Governor DeWine’s veto in the most recent Budget Bill that banned sales tax benefits for data center projects through the Ohio Tax Credit Authority. One major argument against giving tax breaks to data centers is that they create few permanent jobs; however, proponents argue that data centers are needed and that the presence of data centers could help prompt investment from outside tech companies and other businesses.

 

Developing quickly: Ohio Senate Energy Chair Brian Chavez and House Energy Chair Adam Holmes recently announced the formation of a new Joint Data Center Committee made up of House and Senate members. The Committee began weekly hearings in May to draft policy recommendations for future data center development statewide protocol.

 

NAIOP of Ohio has taken a pro-development stance when it comes to data centers and seeks to serve as an educational resource to policymakers. Each NAIOP chapter will have representation in future NAIOP of Ohio advocacy efforts so that the array of perspectives are represented as upcoming policy changes take shape.