Data Center Advocates Warn Washington Tax Changes Could Hurt Growth

The Data Center Coalition says Washington lawmakers may have made a costly mistake by eliminating a tax exemption on replacement equipment used in data centers. Vice President of State Policy Dan Diorio argues that data centers are a major driver of economic growth, supporting more than 127,000 jobs, generating billions in economic activity, and contributing approximately $1.5 billion in state tax revenue annually. He warns that recent tax policy changes could discourage future investment and expansion, particularly in communities such as Quincy that have benefited from data center development. The conversation also explores concerns about electricity demand, utility rates, and water consumption. Diorio says the industry is committed to paying its full cost of service and argues that large data center investments can actually help lower utility rates by spreading infrastructure costs across a broader customer base. As Washington continues debating the future of artificial intelligence infrastructure and economic development, industry leaders say the state's policies will play a major role in determining where future projects are built. #DataCenters #ArtificialIntelligence #AI #WashingtonPolitics #WashingtonEconomy #EconomicDevelopment #Jobs #CloudComputing #TaxPolicy #WashingtonState #Technology #Infrastructure #TheCenterSquare #WashingtonNews #BusinessClimate