Governor JB Pritzker announced on Friday that he is putting a pause on all new state tax incentives for data centers and calling on lawmakers to pass new data center reforms during the fall veto session.
The governor has directed the Illinois Department of Commerce and Economic Opportunity to pause all new agreements starting July 1, fulfilling a proposal he made during his budget address earlier this year.
The data center tax incentives have been in place as part of bipartisan legislation signed by Pritzker during his first year in office.
From 2020-24, there were 27 data centers that benefited by more than $983 million from these tax incentives, according to a state report. In his announcement, the governor cited growing impacts on energy affordability and water resources.
