CHICAGO (WLS) — Governor JB Pritzker has instructed the Illinois Department of Commerce and Economic Opportunity to temporarily halt the approval of new tax incentive agreements for data centers.
According to the governor’s office, this suspension of the Data Center Investment Program will take effect on July 1.
“Illinois stands at the forefront of technological advancement and economic progress, but we must also prioritize the protection of working families and communities as the data center sector grows swiftly,” stated Governor JB Pritzker. “I have directed my administration to pause the processing of data center agreements while we collaborate with the General Assembly and stakeholders to craft a comprehensive framework. This framework aims to maintain affordability, conserve our natural resources, and guide responsible development throughout Illinois. I am eager to continue these discussions to ensure we achieve this in a manner that benefits Illinois families and communities.”
The governor also shared a framework designed to manage the effects of data centers.
As part of this framework, Governor Pritzker proposed:
– Prohibiting nondisclosure agreements between data centers and local governments,
-Require data centers to regularly report their energy and water use,
-Require data centers to post public notice when applying for permits,
-Require data centers to enter community benefits agreements,
The governor’s plan also calls for requiring data centers to pay for clean energy resources, have data centers go dark when the grid is strained, set energy and water efficiency requirements and more.
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