The Ohio Tax Credit Authority has approved a ten-year state tax exemption for Ark Data Centers’ $136 million expansion in Northeastern Ohio.
The tax exemption, granted to the Iowa-based company, was among eight incentives totaling nearly $16 million approved by the Ohio Tax Credit Authority following a recommendation from JobsOhio, the state’s economic development nonprofit.
Ark Data Centers received the largest tax incentive: a 50% sales tax exemption on new equipment for its Akron and Independence facilities, valued at approximately $4.5 million and valid for ten years, according to a project summary from the Ohio Department of Development.
The exemption has drawn scrutiny because the project will generate far fewer jobs than other recent developments. According to reports, the project is expected to create only 10 permanent jobs.
By comparison, Fit Precast in North Carolina is adding 125 jobs with a $102 million facility, while Becton Dickinson’s $110 million expansion in Columbus will create 120 positions.
Ohio has seen a recent surge in new data centers, particularly around Columbus, driven by the growth of artificial intelligence and cloud services.
State officials have used tax incentives and highlighted benefits such as flat land, low power and labor costs, and a low risk of natural disasters to attract new data centers. The state now hosts over 200 facilities, ranking fifth nationwide.
Other tax breaks approved Monday by the Ohio Tax Credit Authority include a 10-year, $3.3 million incentive for First Quality Home Care Products to expand in Archbold, creating 400 jobs and $20 million in annual payroll. AAA Cooper Transportation received a $2.1 million, 9-year credit to build service centers in Richfield, Columbus, and Toledo, adding 210 jobs and $14.7 million in payroll.
Dainty Foods was granted a 10-year, $2.5 million credit to build a $150 million facility in Batavia Township, generating 240 jobs and $15.8 million in payroll. Steel and O’Brien Manufacturing received a nearly $2 million, 9-year credit in West Chester Township, creating 230 jobs and $13.3 million in payroll.
PPG Industries Ohio in Delaware was awarded an 8-year, $885,000 credit to expand its facility, adding 100 jobs and $8 million in payroll. Newman Technologies in Mansfield received a 6-year, $234,000 credit for new equipment, creating 70 jobs and $3.55 million in payroll. V-Rod got an 8-year, $410,000 credit to open its first U.S. facility in Williams County, creating 60 jobs and $4.03 million in payroll.
Together, the eight projects are expected to generate more than $853 million in new investments, $80.6 million in payroll, create 1,320 new jobs, and retain 1,195 positions across Ohio, according to the Department of Development.
