Walsh Introduces Companion Legislation to Senate Proposals Addressing the Growth of Data Centers in PA
5/5/2026
HARRISBURG - Rep. Jamie Walsh (R-Luzerne) today announced his continued efforts to strengthen local protections and increase transparency for data center proposals in the state.

Walsh’s bills are companion measures to proposals introduced by Sen. Jarrett Coleman (R-Bucks/Lehigh). Together, the bills would empower local municipalities to protect their residents against excessive burdens by allowing them time to update zoning ordinances while also eliminating a tax exemption for data centers, redirecting revenue to help reduce the state’s gas tax.

“Data centers are a big topic of discussion in my district and one in which I am well-versed,” said Walsh. “By sponsoring these bills, I am continuing my efforts to prevent unchecked data center expansion by mandating transparency from the industry statewide.”

One bill Walsh is sponsoring would place a moratorium on data center applications so municipalities could choose, and have time, to revise their ordinances and establish conditional use policies addressing issues like power supply, water consumption, noise and setbacks.

Walsh said this would give municipalities time to establish appropriate guardrails for the industry in their land use policies.

The second bill would repeal Act 25 of 2021, the Computer Data Center Equipment Exemption Program, which exempts certain data center equipment from the state’s Sales and Use Tax.

“While this incentive was intended to attract data centers to Pennsylvania, the recent surge in development shows it is no longer necessary,” Walsh said. “Repealing it would allow us to redirect those funds to the Motor License Fund and help reduce the Oil Company Franchise Tax, which adds roughly 58 cents per gallon of gasoline and 74 cents per gallon of diesel.”

Walsh released co-sponsorship memos on May 4, with bills to follow. Once the bills are introduced, they will be assigned to committees for consideration.

Representative Jamie Walsh
117th Legislative District
Pennsylvania House of Representatives

Media Contact: Tricia Lehman
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