Senate negotiators agree in principle to cap, sunset housing tax credits and add data‑center conditions

Senate committee members reviewed and signaled agreement in principle to a balloon amendment that would end the state—s 4% housing tax credit allocations, retain the 9% credit under a new cap structure, and attach new conditions to a proposed sales‑tax exemption for data‑center equipment.

The substitute offer presented would limit the current plan year issuance to $25,000,000 in state tax credits, cap future plan‑year allocations of the 9% credit at $8,800,000 per plan year (applied over standard 10‑year credit terms), require a sunset of the program at the end of 2028, and fold the contents of House Bill 2096 into the package while deferring full consideration of SB 51 for later action.

Nick Myers, Revisor, Office of Revisor of Statutes, walked senators through the proposed balloon amendment and its 10 amendments, saying the package deleted authorizations for modular data centers and preassembled components, excluded telecommunications and video/wireless providers from the definition of a qualified firm, and added multiple compliance commitments required of qualifying firms. "These covered nations as defined in this, federal law are Iran, North Korea, China, and Russia, just for your information," Myers said while describing a…