HEA 1210 (Indiana, 2026): local payment of not more than 1% of a data center's electricity sales-tax exemption

Public Law 157-2026, signed by Gov. Mike Braun on March 12, 2026. SECTION 100 adds IC 6-2.5-15-15.5: a qualified data center user whose local permit and specific transaction award certificate are issued after June 30, 2026 must pay the county treasurer or municipal fiscal officer "an amount equal to not more than one percent (1%) of the state gross retail and use taxes not paid on the data center's total amount of electricity billed each calendar quarter" for the life of the certificate. The Senate-passed version of February 24 (roll call 242, 38-10) required at least 1% of the exemption on both equipment and electricity, about $5 million a year on a $500 million power bill by the Indiana Capital Chronicle's estimate; the conference committee report of February 27 (House roll call 415, 91-3; Senate roll call 324, 48-0) capped it at "not more than" 1% of the electricity exemption alone, about $350,000 a year by the same estimate, prospective only. Author Rep. Craig Snow; Senate sponsors Holdman, Baldwin, Mishler, Rogers, Randolph; the local-payment idea originated with Rep. Ed Soliday. Conferees Snow (chair), Pryor, Baldwin, Hunley.

HB 1210