Amish Shah Reverses Position on Data Centers While Running For Congress After Voting for Data Centers

Arizona Democratic congressional candidate Amish Shah previously voted to extend tax breaks for the industry by another decade costing about $63 million, but is now criticizing data centers.

The former state representative, who is running against Republican Jay Feely in Arizona’s 1st Congressional District, supported legislation extending a tax incentive program. It cost Arizona taxpayers approximately $63.5 million in forgone revenue between fiscal years 2023 and 2025, according to estimates from Governor Katie Hobbs’s office.

The Center Square was first to report Shah’s votes for data center tax breaks on October 6.

Shah’s Record on Data Centers

In 2021, Shah voted twice for House Bill 2649, extending Arizona’s data center tax incentive program for another decade.

The legislation extended the deadline for new data centers to qualify for tax exemptions from December 31, 2023, to December 31, 2033.

The measure also expanded tax relief to cover the installation, assembly, repair and maintenance of qualifying equipment, as described in industry publications.

Two years later, Shah voted for Senate Bill 1274, which exempted certain data center tax refund claims from an existing $10,000 aggregate cap.

According to Arizona’s Governor’s Office of Strategic Planning and Budgeting, the broader data center tax exemption program cost the state approximately $63.5 million in forgone revenue between fiscal years 2023 and 2025, including $38.5 million in 2025 alone.

Those figures represent the overall program’s cost.

Democratic Gov. Katie Hobbs has also criticized the incentives, announcing in January that her proposed budget would eliminate what she called a “thirty-eight million dollar corporate handout.”

Despite supporting the tax incentives, Shah has recently attacked Feely over data centers, arguing that additional facilities could threaten Arizona’s water supply.

“More data centers in the desert. It’s disqualifying,” Shah wrote on X on September 30.

However, Shah’s campaign has clarified that his opposition to new data centers applies only to a portion of Arizona. In a September 18 article published by The Copper Courier website, Shah’s campaign manager said he opposed building data centers in the district. The website subsequently corrected its reporting to clarify that Shah did not oppose data centers throughout Arizona.

Democrats Change Their Tune

Shah’s changing position comes as other Democrats have also shifted their messaging on data centers.

The shift follows Shah’s previous support for data center tax incentives facing new scrutiny.