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The Texas Tribune
The Texas Tribune
National
By Alejandra Martinez

Abbott recommends sweeping data center regulation, including eliminating sales tax exemption

Gov. Greg Abbott on Tuesday released sweeping regulatory recommendations on data centers for the Legislature to pass in the 2027 session, as Texas grapples with an explosion of artificial intelligence-driven development and soaring power demands.

In a letter to state regulators, Abbott outlined a series of proposals designed to ensure data centers shoulder the costs of their growth rather than Texas ratepayers.

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