Story perspectives

Arizona Gov Targets $38.5 M Data Center Incentive Amid Heat Crisis

6/28/2026

Summary

Story summary

Governor Katie Hobbs proposed ending a $38.5 million state tax incentive for data centers, a move Mayor Kate Gallego supports.
An Arizona State University study found data-center waste heat can raise nearby Phoenix neighborhood temperatures by four degrees.
A multibillion-dollar data center the size of 71 football fields is under way in north Phoenix.
Latino construction workers, 52 % of the workforce, accounted for 23 % of Maricopa County heat-related deaths last year.

1 of 1

Story summary

Governor Katie Hobbs proposed ending a $38.5 million state tax incentive for data centers, a move Mayor Kate Gallego supports.
An Arizona State University study found data-center waste heat can raise nearby Phoenix neighborhood temperatures by four degrees.
A multibillion-dollar data center the size of 71 football fields is under way in north Phoenix.
Latino construction workers, 52 % of the workforce, accounted for 23 % of Maricopa County heat-related deaths last year.