The proposed legislation, General Assembly Raised Bill No. 245, aims to eliminate specific tax incentives for data centers operating in the state. The bill amends subsection (b) of section 32-286 of the general statutes by repealing the existing provisions and substituting them with new language. Notably, it states that any person anticipating ownership, operation, or co-location in a qualified data center may apply for tax exemption agreements with the Commissioner of Economic and Community Development; however, applications will no longer be accepted after July 1, 2026.

The key insertion in the bill is the stipulation that no applications for tax exemptions will be accepted on or after July 1, 2026. This change effectively removes the tax incentives previously available to data centers, aligning with the bill's purpose to eliminate such incentives in the state. The act is set to take effect on July 1, 2026, thereby providing a clear timeline for the cessation of these tax benefits.