Site icon The Barrington Hills Observer

Illinois Gov. JB Pritzker to suspend tax breaks offered to data centers

Pritzker, who is widely viewed as having 2028 White House aspirations, is tapping into an issue seen as important to voters. | Photo: İsmail Enes Ayhan / Unsplash

By Natasha Korecki | NBC News 

Illinois Gov. JB Pritzker on Friday plans to temporarily halt offering tax breaks to data centers that apply to build in the state and intends to call on lawmakers and other groups to hash out a framework in the fall veto session for how the centers should be developed.

In a plan first shared with NBC News, Pritzker will announce he will pause the processing of any applications to the tax incentive program handled by the Illinois Department of Commerce and Economic Opportunity beginning July 1.

Pritzker called on state lawmakers this year to suspend incentives for two years while they hammer out a comprehensive review of the impact centers are having on communities.

Pritzker is making the move after lawmakers did not act. The governor cannot unilaterally halt the program, but the executive branch does wield some control over processing applications, according to his office.

By taking on the massive buildings that power artificial intelligence, Pritzker, who is running for a third term and is widely viewed as having 2028 White House aspirations, is tapping into an issue seen as important to voters.

“Illinois has an opportunity to continue leading in technological innovation and economic growth, but we also have a responsibility to protect working families and local communities as the data center industry rapidly expands,” he said in a statement. “I am directing my administration to pause the processing of data center agreements while we continue working with the General Assembly and stakeholders on a comprehensive framework that protects affordability, safeguards our natural resources, and ensures responsible growth across Illinois.”

An NBC News poll this year revealed that nationally, Americans believe the dangers of AI outweigh its benefits. The proliferation of data centers has sparked controversy across the country. An expanding number of states are trying to curb their development, while others are trying to end tax breaks.

Full report plus video(s) can be found here as well as this report we missed earlier this week: “Residents push back against possible idea for third data center in Hoffman Estates.”

Exit mobile version