Microsoft’s Indiana Data Center Faces Push for a “Fair Share” Agreement

Community advocacy group We Make Indiana is urging local officials to require Microsoft to agree to a “fair share” arrangement before receiving additional incentives for its planned Indiana data center.

Group Links Microsoft Incentives to Potential TIF District

Stoner told Ars that We Make Indiana is working to persuade local officials to support a fair share agreement. The group could potentially use the county economic development director’s plan to create a tax increment financing (TIF) district around the Microsoft site.

Microsoft has not publicly supported the TIF proposal. However, local residents believe the company could benefit from additional incentives and are concerned that a TIF district could help Microsoft expand its site.

“We’re looking at whether we can leverage TIF with Microsoft, with a message of ‘no fair share, no TIF,’” Stoner told Ars.

We Make Indiana Says It Represents Broader Community Concerns

Microsoft appears to believe that We Make Indiana should not speak for the entire community. Stoner said, however, that the group’s role is to engage decision-makers on issues affecting the broader community.

Developing the fair share proposal involved extensive discussions with community leaders, congregation members, and other local stakeholders.

“It required us to have many, many conversations with community leaders, congregation members, and leadership to figure out what we were asking for and why and how we were asking it,” Stoner said.

Advocates Say the Fight Is About Building the Data Center Responsibly

Some members of We Make Indiana oppose artificial intelligence, while others are neutral. Since joining the fight, the group has already won at least one major battle: The rumored data center project was locked down after hundreds of people rallied against it at a public meeting that lasted until 4 a.m.

Stoner said the group’s campaign against Microsoft is not intended to block the data center. Construction is scheduled to begin this fall, with the facility expected to become operational by 2029. Instead, the group wants the project to limit environmental risks, avoid increasing electricity bills, and provide a proportionate investment in the surrounding community.

“We want development that doesn’t threaten the environment or our electricity bills and invests in a sensible and proportionate way,” he said.

Faith-Based Coalition Plans to Keep Pressure on Microsoft

Stoner said Microsoft may be underestimating We Make Indiana, which has been organized since 2024. The group builds on the work of Faith in Indiana, an organization active in the community in 2018, and uses its local connections to seek bipartisan support for its policies.

The campaign against Microsoft is We Make Indiana’s first effort involving a corporate partner. If the company does not listen, Stoner said, the group is prepared to mobilize hundreds of people from the faith community.

“Fundamentally, it’s a power issue: Do they need to talk to us?” Stoner said. “Or do you think it’s not necessary?”

Group Wants Tax Incentives Debated During Fall Election

Stoner argues that providing tax breaks to AI companies while cutting funding for busing and child care effectively takes tax revenue from poorer residents to benefit the wealthiest corporations.

In the long term, We Make Indiana wants to eliminate Indiana’s sales tax exemption. In the meantime, Stoner hopes fair share agreements will become a major issue in this fall’s election.