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Narrow vote on Kent County data center shows legislative rift on tax breaks

The Senate may vote when it returns next year.
Credit: WZZM
Switch Inc. now occupies the iconic pyramid building in Gaines Township that used to house Steelcase.

LANSING, Mich. — A razor-thin legislative vote on tax breaks for a Grand Rapids-area data center could portend problems for other companies or industries hoping to secure economic incentives in Michigan.

A divided state House this past week passed legislation that would give additional tax exemptions to Switch. The company opened a mega-campus of computer servers in 2017.

The Senate may vote when it returns next year.

EARLIER: Tax dispute could cost school districts in Kent County

The dispute comes as lawmakers declined to extend Michigan's “Good Jobs” tax incentives for large-scale business expansions. Lawmakers also left the Pure Michigan tourism campaign unfunded amid a budget impasse. 

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