Bernie Moreno, a Republican state senator in Ohio, has called on the backers of a $136m data center to give up tax subsidies related to plans to expand the project.

The senator wrote in a public letter on Monday that the economic benefit generated by an expansion to the data center campus operated by developer Ark Data Centers did not justify the value of the subsidies.

The expansion would create 10 jobs, and the subsidies, which were approved by the Ohio Tax Credit Authority in early March, would allow Ark to pay half the amount of sales tax on data center equipment for 10 years.

This amounts to $4.5 million in forfeited tax revenue.

“While I applaud companies that choose to expand their presence in Ohio, the financing for this deal is unjustified… That is ridiculous when you consider what $4.5 million could do for Ohio families instead,” reads the letter.

Ark currently operates two small 10,000 sq ft (929 sqm) facilities in Akron, each offering 1MW of capacity.

Details about the proposed expansion are also sparse.

“That’s money that could go toward schools, roads, or helping the communities hit hardest by rising costs – not padding the profits of a firm that’s already swimming in cash,” said the senator.

Moreno is referring to Ark’s owner, the prominent private equity firm The Carlyle Group.

Carlyle bought Ark Data Centers back in May 2024, back when the data center firm was known as Involta.

“So why are hardworking Ohio taxpayers being asked to subsidize a project that creates so few jobs while a global equity powerhouse gets a free ride?

“I urge Carlyle to do the right thing: voluntarily give up this $4.5 million subsidy, immediately sign onto President Trump’s Ratepayer Protection Pledge, and commit to creating more jobs through the data center expansion."

The Ratepayer Protection Pledge was signed in early March by seven large tech companies – Google, Microsoft, Meta, Oracle, xAI, OpenAI, and Amazon – who committed to taking measures that would shield ratepayers from price hikes related to data centers.

Moreno’s suggestion that Carlyle sign the pledge is notable given criticism of its non-binding – and therefore unenforceable – status.

Also in Ohio, Muhlenberg Township and Lordstown Village have passed temporary moratoriums against any new projects in their jurisdictions.