Rep. Brennan Voices Disappointment Over Additional $42.3M Data Center Tax Break While Schools Face Funding Challenges
COLUMBUS – State Rep. Sean Patrick Brennan (D–Parma) today expressed disappointment following the Ohio Tax Credit Authority’s approval of a new $42.3M tax exemption for data center developer Cologix. Just days after Governor Mike DeWine announced a pause on future data center tax exemption requests while lawmakers continue examining the industry’s impact on Ohio communities, taxpayers, schools, and utility customers.
The new incentive package provides Cologix with a 50% state sales tax exemption over ten years for two proposed data center projects in Delaware and Licking counties. Combined with a previous award approved in 2022, the company will now receive more than $50 million in state tax abatements, in addition to substantial local property tax exemptions and other public subsidies.
“At a time when Ohio is handing out tens of millions of dollars in new tax breaks to data center corporations, public schools across our state are being asked to do more with less,” said Rep. Brennan. “The contrast could not be more striking.”
Under the state operating budget enacted in 2025, Parma City Schools are projected to receive approximately $4M less in state funding during the 2026-2027 school year.
“Ohio taxpayers deserve to ask whether we have our priorities straight,” continued Rep. Brennan. “This latest tax break pushes the value of data center exemptions approved since 2025 to nearly $2.2B. Meanwhile, school districts are facing funding reductions, families are worried about rising utility, property tax, and rent costs, and lawmakers are still trying to understand the full impact these facilities will have on our electric grid.”
The approval comes amid growing concerns about the overall cost of Ohio’s data center tax exemption program and the industry’s rapidly increasing demand for electricity. Cologix has announced plans for a broader Central Ohio expansion that could eventually consume approximately 800 megawatts of electricity—an amount comparable to the power usage of a major Ohio city.
Rep. Brennan recently urged Ohio’s Select Committee on Data Centers to pursue policies that prevent residential and small-business customers from bearing the costs of infrastructure upgrades and increased energy demand associated with large-scale data center development.
“I was the sole Democrat to initially sign onto legislation creating a Data Center Study Commission because I believe Ohio needs a serious, fact-based examination of both the benefits and costs associated with the industry’s explosive growth,” added Rep. Brennan. “The question is not whether data centers have a place in Ohio. The question is whether taxpayers, ratepayers, and local communities are getting a fair deal.”
Rep. Brennan emphasized that his concerns are not about whether data centers should locate in Ohio, but whether Ohio is adequately protecting taxpayers, utility customers, and public schools as the industry expands.
“I support responsible data center development and the economic opportunities it can bring to our state,” said Rep. Brennan. “What I do not support is a system where Ohio families could end up paying higher electric bills, local communities face increased infrastructure demands, and public institutions are asked to do more with less while billions of dollars in tax incentives continue to flow to some of the world’s largest corporations.”
“Economic development and consumer protection are not mutually exclusive goals,” concluded Rep. Brennan. “We can welcome investment, create jobs, and grow Ohio’s economy while still demanding accountability and ensuring that taxpayers, ratepayers, and schools receive a fair deal.”
Rep. Brennan said he supports the decision to pause additional data center tax exemption requests and hopes lawmakers will use the opportunity to thoroughly evaluate the state’s incentive structure before approving future subsidies.