Use tax: definitions; data center equipment used by an enterprise data center; exempt. Amends sec. 4cc of 1937 PA 94 (MCL 205.94cc).

This bill modifies Michigan's use tax to exempt data center equipment purchased for qualified data centers and their contractors, provided the equipment is used within the facility's operations or permanently installed in the building. The exemption for standard data centers is conditional, requiring the state to verify that at least 400 related jobs are created by 2022 and 1,000 jobs by 2026 to continue the tax break after those dates. For larger enterprise data centers, the exemption is available for up to 65 years if the facility receives a certificate from the Michigan Strategic Fund confirming it meets specific job and investment criteria. To claim this exemption, operators must apply for and receive a certificate from the state before purchasing the equipment and must report their purchases and employment data to the Michigan Strategic Fund.