Energy
West Virginia proposes data center revenue plan to cut income tax
PN Team • 2 months ago
West Virginia Gov. Patrick Morrisey has unveiled a 20-year Responsible Data Center Development Plan aimed at capturing economic benefits from hyperscale data centers while addressing local opposition. Under the plan, developers and utilities—not taxpayers—would bear the cost of electrical infrastructure upgrades and power procurement, and projects would need to commit to water-efficient designs consistent with state environmental law. Revenue from qualifying hyperscale projects would be split: half toward reducing or eliminating the state's income tax, 30 percent to the host county, 10 percent shared statewide among counties, and 10 percent for local electrical, water, and wastewater improvements.
The plan follows passage of the state's 2025 Power Generation and Consumption Act, which limits local governments' ability to block large data center projects. It comes amid opposition from Tucker County residents to a proposed hyperscale facility from Fundamental Data LLC, which state regulators allowed to proceed despite concerns that it offers few direct benefits to the community. The plan also creates a new Data Center Advisory Council to set siting and development standards, and bars use of eminent domain for project land acquisition.
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Sentiment
- West Virginia West Virginia is portrayed proactively addressing data center growth with a plan to protect taxpayers, cut income tax, and manage local impacts.