RIVER FALLS – The ‘No Blank Checks for Big Tech’ rally in Veterans Park Wednesday, Sept. 23 demanded an end to Wisconsin’s state sales-and-use-tax exemption for qualified data centers and called for statewide transparency, accountability and protections around hyperscale data center development.

Supporters of GrassRoots Organizing Western Wisconsin (GROWW) lined the rock walls of the park to hear from local speakers calling out Rep. Shannon Zimmerman (R-River Falls) on what they call his pro-data center record. Zimmerman represents the River Falls and Hudson areas in Assembly District 30.
In 2023, Zimmerman co-authored legislation that led to the creation of the state-sales tax-exemption for data center equipment and software. The exemption was ultimately enacted through the 2023–25 state budget and signed into law by Democratic Gov. Tony Evers as 2023 Wisconsin Act 19.

“This was not some secret giveaway or blank check written to technology companies,” Zimmerman told the Journal in an email.

The exemption applies to qualifying purchases associated with data center construction and operation, including server and networking equipment, construction materials, cooling systems and electricity. Projects must be certified by the Wisconsin Economic Development Corporation.

The Wisconsin Department of Revenue has estimated the tax exemption would cut an estimated $1.6 billion from the state’s coffers, according to Wisconsin Public Radio. The nonpartisan Legislative Fiscal Bureau puts that number at more than $2 billion in tax exemptions given to corporations building data centers in Wisconsin.

“AI data centers are not only extracting water, but they’re also extracting wealth from our communities that could be invested into the things that real people need in their lives,” GROWW co-executive Director Bill Hogseth said in his introduction.

He encouraged attendees to support Zimmerman’s Democratic challenger, Kevin Knoke, who was in the audience. Knoke told WPR while he’s not proposing a “data center ban,” he wants to make sure ratepayer and environmental protections are in place, along with transparency and accountability.

Zimmerman co-authored legislation in 2025 proposing to modify and expand existing tax incentives for data centers.

In his email, Zimmerman said calling Wisconsin’s data center sales-and-use-tax exemption a “blank check to Big Tech” is political rhetoric that misrepresents how the law works.

“The State of Wisconsin is not writing these companies a check. This is a sales-and-use-tax exemption that is available only when a qualified data center makes substantial investment in Wisconsin and meets the requirements for certification,” Zimmerman said. “Simply put: no qualifying investment in Wisconsin, no exemption.

“Wisconsin has long used tax policy to encourage investment in important industries, including manufacturing and agriculture. The data center provision follows the same basic economic-development principle: incentivize companies to invest capital, build infrastructure and create economic activity here rather than somewhere else.”

Speakers at the rally said the data center fight is connected to a broader question facing Wisconsin voters: Will decisions about public money, natural resources and new technology be shaped by regular people or wealthy corporations?

“I’m here because of my nine grandchildren,” said Wendy DiPeso, a resident of Assembly District 30 and member of GROWW. “I think of them when I think of the future we’re building, and the power regular people have to shape it.”

DiPeso described residents’ experiences with secrecy surrounding proposed data center developments in Menomonie and Port Washington.

“People deserve to know who is proposing these projects and what they will demand of our land, water and power before decisions are made,” DiPeso said. “If corporations receive enormous public benefits, the public deserves a say.”

Zimmerman told the Journal that when legitimate concerns were raised about the growth of data centers, he did not ignore them.

“I authored AB 840 to directly address concerns involving energy costs, water use, cooling systems and land restoration,” he said. “There is a fair policy debate to have about data centers. But that debate should start with the facts.

“There are no blank checks. There are no freebies. Companies receive the tax exemption only when they make substantial qualifying investments in Wisconsin. Calling that a ‘$2 billion giveaway’ may make a good political talking point, but it does not accurately describe how the law works.”

Rally speakers also said Wisconsin’s current policies do not provide the level of public disclosure, corporate accountability and enforceable community protections residents are seeking.

Danny Akenson, a GROWW organizer and constituent of Clint Moses in Assembly District 92, pointed to Menomonie as evidence of what organized residents can accomplish. Hundreds of community members mobilized after learning about a proposed 320-acre, $1.6 billion data center development, packing public meetings and organizing for a pause on new data center approvals.

“We know that local moratoriums and local ordinances are not enough,” Akenson said. “We need full transparency, accountability and protections from data centers all across the state of Wisconsin. It’s time to say no to secret NDAs with Big Tech corporations. It’s time to protect our natural resources and our communities.”

Wednesday’s speakers also emphasized that their concerns about the effects of rapidly developing technology on children, education and human connection.

“Technology does have the power to help our communities and make everyday life better for people,” said Taylor Stevens-Nudd, a teacher in River Falls. “However, our elected officials and people developing these technologies must be held accountable. Lawmakers should not promise decades of tax exemptions and support the enormous growth of these industries without calculating the full public cost.”

Wednesday’s rally was the public launch of GROWW’s fall voter-turnout campaign.