Hawley seeks to block data centers from opportunity zone tax breaks

Sen. Josh Hawley said he plans to introduce legislation that would prevent data centers from using Opportunity Zone tax breaks, calling the arrangement a form of corporate welfare. He argued that the program, which was created under the 2017 tax cuts to encourage investment in lowerincome areas, is now being used by major tech companies to support largescale facility construction. The Missouri Republican said the tax incentive was intended for lowincome housing and businesses, not for wealthy technology firms building data centers. The article says the issue has become part of a broader debate in Congress and on the campaign trail about AI development, infrastructure, and the economic incentives tied to the industry. Hawley’s proposal would add a federal restriction that explicitly bars data centers from accessing the tax benefit. The report also notes that lawmakers remain divided over how to regulate AI and whether tech companies should face stronger limits on how they use personal data.