Ohio Governor Mike DeWine announced Wednesday that he has directed the chair of the Ohio Tax Credit Authority to pause consideration of any new data center tax exemption requests while the Ohio General Assembly’s Joint Data Center Committee studies the growth of data centers in Ohio.
“Data centers are a critical component to today’s technology-driven economy, which depends on the virtual, large-scale exchange of information. One of the reasons Ohio has been so successful in attracting new businesses and creating new jobs is that we have invested in the data infrastructure needed to support complex technological innovation. Data centers that have previously been granted sales and use tax benefits in Ohio have reported a total capital investment of $27.2 billion in 2025. I fully support the Ohio General Assembly’s work to study the issue and bring forward facts about data centers, including the local benefits to communities when tax exemptions are granted. As this work is ongoing, I believe it is appropriate for the Ohio Tax Credit Authority to pause its consideration of new data center tax exemptions while the full impact of data center growth in Ohio is being reviewed,” said Ohio Governor Mike DeWine.
The Ohio Tax Credit Authority will stop accepting new data center tax exemption proposals after its currently scheduled meeting on Monday, where an existing data center tax exemption request will be considered.
This action only suspends the ability for data centers to request tax exemptions in Ohio; it is not a data center ban.
Steve Stivers, President & CEO of the Ohio Chamber of Commerce, reacted to the announcement shortly after it was released.
“With all surrounding states having incentives in place to lure data centers that are comparable to or more expansive than our own, Ohio cannot afford to forfeit the transformational economic gains this industry yields. That’s why we are disappointed to learn of the recently announced pause on the sales and use tax exemption for data centers. This industry has positioned Ohio as a national leader in the future economy — as our Research Foundation’s study illustrates, the data center sector generates $26.4 billion annually in total economic output, supports 95,000 total Ohio jobs, and generates a net of $1 billion annually in state and local tax revenue. We are committed to working with our partners in the industry, Gov. Mike DeWine, and the Ohio General Assembly to examine ways to modify the exemption that keep our state economically competitive while protecting ratepayers and complying with all local zoning regulations. With continued investments proving our state’s desirability for digital infrastructure growth, Ohio is facing a huge opportunity to lead, and making ourselves less business friendly is not the way to maximize it.”
