- Nebraska Gov. Jim Pillen signed an executive order halting tax credits for data center developers on Monday
- Multiple counties have moved to pause or stop data center construction
BROADCAST TRANSCRIPT:
LINCOLN, Neb. (KMTV) – Nebraska Gov. Jim Pillen signed an executive order on Monday halting tax incentives for data center developers, as communities across the state debate whether the facilities should be built in their neighborhoods.
The executive order stops developers from receiving tax credits under the Imagine Nebraska Act, which was designed to incentivize businesses to employ people in the state.
"Whatever that number of Imagine Act, tax credits that would go away, and they still come and build in Nebraska, because of a lot of other factors," Gov. Pillen said.
Gov. Pillen said he is not calling for moratoriums on data center construction but supports changes to current practices.
"We've done way, way more than our first share. And we've been given the farm away. My view, that's a mistake. It's irresponsible if we don't take action," Gov. Pillen said.
A spokesperson for Gov. Pillen tells us that from Jan. 1, 2021 to June 30, 2026, the "total credits used, direct refunds issued, and sales taxes exempted, less recapture repaid" was $317 million.
Gov. Pillen also announced the Department of Water, Energy and Environment will establish a task force on data centers to examine how to protect land and natural resources.
"We have to protect our water," Gov. Pillen said.
The debate over data centers has already prompted action at the county level. The Cass County Planning Commission last week recommended a pause on data center construction after neighbors raised concerns. Moratoriums on data center construction have also passed in Otoe, Gage and Seward counties.
Jayden Speed, a Cass County neighbor, said the issue is personal.
"It's really important to me that we protect our natural resources," Speed said.
This comes a month after Gov. Pillen signed a bill into law that would allow private companies to build power generating stations that could power computing or data centers.
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