Under Act 25 of 2021, purchases of computer data center equipment are exempt from the Pennsylvania sales and use tax. While these exemptions are intended to encourage private investment, there are no eligibility requirements that guarantee family-sustaining wages for the men and women who build these facilities. As a result, public dollars may indirectly subsidize low-wage or out-of-state contractors at the expense of our skilled local workforce.

Our legislation would require data center developers to pay the prevailing wage on all construction projects to remain eligible for the state sales tax exemption. This reform strikes a balance: developers would still have access to incentives to grow in our state, while workers would be protected with fair wages that reflect the going rate in their trades and regions.

By tying taxpayer-funded incentives to prevailing wage standards, we can:

• Protect local workers and contractors from being undercut by unfair labor practices.
• Ensure high-quality construction that meets safety and efficiency standards.
• Safeguard taxpayer investment by making sure incentives support middle-class jobs, not just corporate profits.

Please join us as a co-sponsor of this legislation to promote fairness, strengthen our workforce, and make sure that public dollars support the public good.