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Letter to the Editor: Ohio lawmakers should vote against SB 294

Krista Magaw

Jun 30, 2026

The Ohio Prohibition of Data Center Construction Amendment (2026) is not going to be on the ballot this fall. But take notice. Rural and suburban Ohioans are tired of backroom deals that change their lives and their landscape, benefiting wealthy out-of-state investors and the Ohio elected officials whose campaigns they fund.

The Ohio Prohibition of Data Center Construction Amendment (2026) is not going to be on the ballot this fall. But take notice. Rural and suburban Ohioans are tired of backroom deals that change their lives and their landscape, benefiting wealthy out-of-state investors and the Ohio elected officials whose campaigns they fund.

When you reconvene next week, know that regular folks all over Ohio are watching what you do. They will remember the votes you take when they go to vote in November — on the entire membership of the Ohio House of Representatives and many Ohio Senate seats.

In case you haven't been following voter concerns, read this carefully.

Ohio ranks fifth in the nation for data centers with over 200 facilities active today. The rapid expansion of these data centers has prompted many residents to demand greater transparency and basic protections from utility rate spikes, air pollution, water contamination, and other risks to their quality of life. The enormous consumption of water and electricity required to operate even a single hyperscale facility can place economic and environmental strains on surrounding communities. (A large data center can use up to 5 million gallons of water per day, according to the Environmental and Energy Study Institute.)

Who benefits from data centers and are their costs shared fairly? In 2025 alone, company giants such as Amazon, Meta, and Google were exempted from paying over $1.6 billion in Ohio sales taxes. Furthermore, nondisclosure agreements signed between local officials and data center companies allow for secret deals that exclude public input. The absence of any requirement to track and report water usage adds to a general lack of accountability. Clearly there is a need for increased guardrails so residents can be informed and actively involved in the decision making for their community.

Ohio lawmakers have recently introduced legislation (HB 646) that would limit sales and property tax exemptions for data centers by half, establish statewide water usage standards for these facilities, and implement a separate utility rate for data centers to help cover power generation and other costs. While these measures may be a good first step, other bills being considered by Ohio legislators go further. Key among these are:

· HB 695: Ban NDAs for Local Officials

· HB 706: Data Centers Pay for Energy Upgrades

· HB 784: Data Center Water Use Reporting

· SB 374: No New Sales Tax Exemptions for Data Centers

Please oppose SB 294. This bill would essentially lock in natural gas as the default energy required for new electricity generation, because renewable energy is not included in the bill’s definition of accepted energy supplies. This limitation does not make sense, as energy demand rises.

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