LANSING, Mich. - March 6, 2024 - Rob Cleveland, President and CEO of Cornerstone Alliance, testified today in front of the Finance, Insurance, and Consumer Protection Senate Committee in Lansing on House Bills 4905 and 4906. These pivotal bills propose extending the sunset on a use and sales tax exemption for qualified entities' sale, storage, use, or consumption of data center equipment through December 31, 2050. Moreover, they seek to establish the same exemption for enterprise data centers, poised to revolutionize Michigan's economic landscape.

In his testimony, Cleveland emphasized the importance of these bills, stating, "We are always looking for more tools in order to create new, higher-wage jobs for Michiganders." Cornerstone Alliance reaffirms its support for these bills, recognizing their potential to drive economic growth and foster innovation across the state.

Economic development legislation plays a critical role in attracting and retaining businesses in Michigan. The passage of these bills could be transformative, positioning Michigan as a premier destination for data center investment. Cleveland highlighted, "This legislation is not just a piece of the puzzle; it is the entire thing. Passing this single piece of legislation changes everything in terms of recruiting data centers. We immediately become a top state in data center attraction."

Cornerstone Alliance is actively engaged in a groundbreaking project that could inject billions of dollars of new investment into Michigan's economy. Cleveland underscored the significance of these legislative efforts, noting, "This legislation could provide immediate relief to some parts of Michigan's economy."

According to a recent study by Price Waterhouse Coopers, the data center industry added more jobs in 2022 than it did in all years from 2017 to 2021 combined. Michigan stands poised to become the epicenter of the next data center boom. Cleveland urged proactive measures, stating, "Now is precisely the right time to become aggressive in the competition for data centers, and this is the legislation needed to do it."

Cornerstone Alliance remains optimistic about the potential of House Bills 4905 & 4906 to drive economic prosperity and job creation in Michigan. Cleveland expressed gratitude for the opportunity to testify on such a crucial topic, emphasizing the importance of passing these bills to unlock the full potential of Michigan's economic landscape.

For more information about House Bills 4905 & 4906, please visit www.legislature.mi.gov.