Michigan offers an enterprise data center sales and use tax exemption that eliminates the state’s 6% sales and use tax on eligible data-center construction and equipment purchases. Data centers can bring investment and jobs, but they can also require large amounts of electricity, water, land, and grid infrastructure. Some Michigan lawmakers have also proposed a pause on data-center approvals because of energy, water, ratepayer, and climate concerns. Michigan should want investment, but tax breaks should not become a blank check for projects that leave ratepayers and towns with the bill.