Data center feud reaches South Dakota Capitol
'Data Center Bill of Rights for Consumers' would prohibit sales tax breaks for tech firms; newly released legislation criticized as 'Bernie Sanders approach to data centers'
PIERRE — Tax breaks for data centers that power artificial intelligence capabilities are at the center of what could be this year’s most contentious battle among lawmakers at the state Capitol.
South Dakota’s highest-ranking legislators on Monday unveiled a proposal that would bar the use of sales tax rebates and exemptions by the state meant to entice tech companies to build hyperscale data centers here. The pair’s measure would also place in statute that utility companies could not burden existing electric customers with costs associated with expanding grid capacity for the purpose of serving energy-hungry server farms.
