HARRISBURG – After hosting a recent data center telephone town hall where more than 4000 residents listened in with many sharing critical feedback, Sen. Jarrett Coleman (R-16) will be introducing two pieces of legislation aimed at addressing constituent concerns on data centers and the state gas tax.
“I have heard concerns from many residents regarding the various data centers being constructed in their communities, as well as the financial burdens of the increasing gas prices,” said Coleman. “The two bills I will be introducing are the result of those conversations and serve as potential solutions to this ever-growing issue.”
The first bill would repeal the state Computer Data Center Equipment Exemption program, with the resulting revenue directed to the Motor License Fund for the sole purpose of reducing the Oil Company Franchise Tax, which adds about 58 cents to every gallon of gas and 74 cents to every gallon of diesel fuel purchased in Pennsylvania.
Enacted in 2021, the Computer Data Center Equipment Exemption Program incentivizes data centers to locate in Pennsylvania by exempting computer data center equipment from sales and use tax when it is sold to, used, or consumed in a certified data center by an owner, operator or qualified tenant.
The second bill would give municipalities the option of placing a moratorium on data center applications so that, if they choose, they can revise their ordinances and establish conditional use policies addressing issues like power supply, water consumption, noise and setbacks which they determine protect the community’s interest.
Currently, municipalities, which decide local land use policies, are having difficulties fully understanding the myriad of environmental and community impacts of this new industry and reviewing and revising their zoning ordinances to keep up with the influx of interest from data center developers. Coleman’s bill would help alleviate this problem for municipalities.
Visit www.palegis.us/senate/members/bio/2008/sen-coleman to view all legislation introduced by Coleman.
CONTACT: Leo Knepper