Ohio Hits Pause on Data Center Tax Breaks After Farmer Pushback

Ohio Farm Bureau’s Evan Callicoat discusses data center expansion in the state, producers’ land and resource concerns, and debates over tax exemptions and rural development.

COLUMBUS, OHIO (RFD NEWS) — The rapid expansion of data centers across Ohio is drawing increased attention from agricultural groups as rural communities weigh both the economic opportunities and resource pressures tied to development.

Evan Callicoat with the Ohio Farm Bureau joined us on Friday’s Market Day Report to discuss how quickly data center growth is occurring in the state and what that expansion means for farmers and rural residents.

In his interview with RFD News, Callicoat outlined the current pace of development and the uncertainty surrounding exact facility counts, noting that Ohio now ranks among the leading states for data center concentration.

According to Callicoat, data center development has been swift in Ohio, which recently ranked fifth in the country with between 200 and 250 sites across the state.

“Honestly, that concerns our members the most, and as you kind of covered at first, transparency there as well,” Callicoat told RFD News. “If we’re going to be locating these here, we want to make sure we know what is coming to our local communities. It’s having an impact across the state. No matter where you live in Ohio, you are having data center conversations in your local community.”

He also addressed specific concerns among producers regarding land use, water demand, and electricity needs as more projects move into rural areas.

“I think there are a few different concerns that our members have,” he continued. “Land use — the amount of land that’s being taken for these projects. Water use has really ramped up in the last couple of weeks, especially talking about water quality concerns and water quantity. That’s not really a conversation we’ve had in Ohio before. Electricity demand and prices are also a concern. A lot of these things take a lot of power. We want to make sure they’re not straining the grid and causing higher prices for our members as well. And definitely coming across the headlines in the last couple of weeks is the tax impact. They’ve been receiving about $2 billion in sales tax exemptions, and that is a lot over the projections that they had. That was something we were concerned about, and we were glad to see that it was paused for now.”

In addition, Callicoat discussed the state’s recent decision to pause consideration of new data center tax exemption requests and the broader balance between economic development opportunities and resource pressures tied to continued growth.

“This tax exemption on data centers was on the sales tax for materials used to build them. When it was first created around 2013, projections were maybe tens of millions of dollars,” he said. “But we saw that just in 2024 and 2025 alone, there was over $2 billion in exemptions that we did not previously know they were receiving. So the legislature has been studying the issue and decided to pause any new requests at this time as they continue that review.”

Finally, Callicoat reflected on the role Ohio Farm Bureau members played in raising awareness of the issue among state lawmakers and officials.

“We really believe this came from the impact of our members making their voices heard — thousands of members contacted legislators and the governor’s office,” he explained. “It really shows the power of a grassroots organization when members make their voices heard. It can have a statewide impact.”

Related Stories
Jake Charleston from Specialty Risk Insurance Agency recapped an Oklahoma auctioneer contest and recent industry events, showing how stakeholder feedback helps insurers gauge market conditions and risk management needs.
Pat Hord with the National Pork Producers Council joined us to recap producer meetings in Washington and discuss key policy priorities including Prop 12 and agricultural labor.
Cattle-on-Feed is down on the year in the USDA’s April report, with lower placements and marketings signaling tighter feedlot activity.
As data centers expand across Texas, experts and officials weigh economic benefits against concerns over farmland loss, water use, and impacts on agricultural land and rural communities.
The 91st anniversary of Black Sunday highlights how the Dust Bowl disaster led to modern soil conservation programs still shaping U.S. agriculture today.

Marion is a digital content manager for RFD News and FarmHER + RanchHER. She started working for Rural Media Group in May 2022, bringing a decade of digital experience in broadcast media and some cooking experience to the team.

LATEST STORIES BY THIS AUTHOR:

Nebraska Farm Bureau President Mark McHargue shares the latest on the wildfires, their impact on agriculture, and the challenges farmers are facing as they navigate both natural disasters and economic uncertainty.
Renowned farm broadcaster and friend of RFD-TV, Orion Samuelson, will undoubtedly be remembered for many things, but most of all, his work as a champion of America’s farmers and ranchers will define his legacy.
TYM North America unveiled two new Series 5 tractor models at the National Farm Machinery Show and announced an exciting new partnership for the NASCAR Craftsman Truck Series.
American Soybean Association President Scott Metzger discusses his recent testimony before the Senate Ag Committee, key priorities for soy growers, and his outlook for farmers into spring planting.
FFA Program Specialist Ashli Weinrich highlights how the FFA Next Gen Conference helps ag students explore career opportunities and build skills for the future.
Vanessa Wood shares more about Ag Women Connect, the importance of uplifting women in agriculture, and upcoming projects designed to highlight stories across rural America.
Agriculture Shows
Hosted by Scott “The Cow Guy” Shellady and RFD News Markets Specialist Tony St. James, Commodity Talk delivers expert insight into the day’s ag commodity markets just before the CME opens. Only on RFD-TV and Rural Radio SiriusXM Channel 147.
A look at the news, weather and commodities headlines that drove agriculture markets in the past week.
Everything profits from prairie. Soil, air, water — and all kinds of life! Learn how you can improve your land with prairie restoration, cover crops and prairie strips, while growing your bottom line.
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.