Pennsylvania
Data Center Tax Break Projections on State Revenues
Pennsylvania could lose approximately $2 billion in revenue by mid-2031 due to a sales tax exemption for data center equipment, according to the latest budget estimates from the Shapiro administration. While developers argue the 6% tax break is essential to attract infrastructure and high-tech investment, critics and some lawmakers are pushing for its repeal, characterizing it as an unaccountable giveaway to profitable corporations. Opponents have also raised concerns regarding the industry’s impact on energy prices, water usage, and pollution. Despite this backlash, Governor Shapiro’s current budget plan assumes the exemption will remain in place, though it includes new transparency and environmental standards for developers to “unlock benefits” from the Commonwealth. Spotlight PA has more.
Johnson & Johnson Announces $1 Billion Pharmaceutical Plant
Johnson & Johnson announced plans to build a $1 billion “next-generation” cell therapy manufacturing plant in Lower Gwynedd, Montgomery County. The facility, operated under the Janssen BioTech brand, is slated to open in 2031 and is projected to create more than 500 bio-manufacturing jobs. The project marks the second major pharmaceutical investment in Pennsylvania this year, following Eli Lilly’s $3.5 billion Lehigh Valley announcement. The Shapiro administration has committed $41 million in tax credits and grants to support the expansion, which will also utilize the state’s fast-track permitting program. PennLive has more.
Ruling Limits Public Access to State Officials’ AI Chat Logs
Pennsylvania’s Office of Open Records has largely sided with the Shapiro administration in a ruling that allows many state employees’ artificial intelligence (AI) chatbot conversations to remain confidential. The case arose after the news organization WITF sought ChatGPT logs from over two dozen state agencies, a request the Governor’s office denied by categorizing the chats as exempt “notes and working papers” and “internal, predecisional deliberations.” While transparency advocates warn this creates an accountability gap, the ruling established that logs used for research or initial drafting before human review are generally shielded, though final AI-generated products like policies or press releases remain public record. WITF has more.
Representatives Announce They Will Not Seek Reelection to State House
Two state lawmakers from opposite sides of the aisle announced they will not seek reelection to the Pennsylvania House, creating new vacancies for the 2026 cycle. State Representative Stephenie Scialabba (R-12-Butler) stated she is stepping aside to be more present for her family. State Representative Chris Rabb (D-200-Philadelphia) announced he will forgo his House seat to focus entirely on his campaign for the 3rd Congressional District seat being vacated by retiring U.S. Representative Dwight Evans (D-PA-3).
Upcoming Special Elections to Fill Vacant State House Seats
The first special elections of the year will take place on Tuesday, February 24, 2026, in Lehigh County’s House District 22 and Allegheny County’s House District 42 to fill the vacancies left by former Representatives Josh Siegel and Dan Miller. These contests are the first of five scheduled special elections through May. In Lehigh County, voters will choose between Democrat Ana Tiburcio and Republican Robert Smith, while Allegheny County voters will decide between Democrat Jennifer Mazzocco and Republican Joseph Leckenby. City & State PA has more.
Philadelphia
Judge Orders Immediate Restoration of Slavery Exhibit
U.S. District Court Judge Cynthia Rufe ordered the federal government to restore a slavery exhibit to Philadelphia’s President’s House Site. The National Park Service removed the panels on Jan. 22 following an executive order from the Trump administration aimed at exhibits that “disparage Americans past or living.” In granting a preliminary injunction sought by the City of Philadelphia, Judge Rufe criticized the removal as an attempt to suppress historical information regarding the nine people enslaved by George Washington at the site. The Trump administration said that it has plans to appeal the ruling. WHYY has more.
Bucks County Commissioners Vote to Oppose ICE Detention Facilities
The Bucks County commissioners voted unanimously to approve a resolution opposing the establishment of federal immigration processing or detention facilities within the county. The vote, which included the board’s lone Republican, followed reports that federal officials had approached warehouse owners in Bensalem and Middletown Townships about possible site conversions. While U.S. Representative Brian Fitzpatrick (R-PA-1) stated he received federal assurances that no such facilities are currently planned for his district, Governor Josh Shapiro has recently questioned the legality of similar projects in Berks and Schuylkill Counties, hinting at potential lawsuits to block their opening. The commissioners’ resolution cited both humanitarian concerns and unanticipated demands on local water, sewer, and public safety infrastructure. The Philadelphia Inquirer has more.
Federal
Governor Shapiro’s Pilot Medicaid Program with Federal Approval
Governor Josh Shapiro is requesting legislative funding for a “trial run” of extra Medicaid benefits, following indications that the Trump administration will honor a previously approved Biden-era waiver. The $2.8 million state investment aims to fund medication for individuals leaving prison, housing assistance for the homeless, and specialized meal delivery for diet-sensitive patients, an expenditure that would be matched by federal funding at roughly three times the state’s contribution. While state Senate Republicans have expressed concerns regarding long-term costs and budget deficits, Governor Shapiro’s office noted that the initiatives align with the Trump administration’s “Make America Healthy Again” agenda. PennLive has more.
Senator McCormick Pushes for National Voting Rules
Senator Dave McCormick (R-PA) called for nationwide election standards while advocating for the SAVE Act to mandate proof of citizenship and photo identification for voters. During a Senate floor speech, Senator McCormick pointed to a November incident in Chester County where 12,000 third-party and unaffiliated voters were omitted from pollbooks due to a clerical error, leading to the use of provisional ballots. Senator McCormick claimed the situation resulted in “unverified voters” casting ballots, but county officials stated there is no evidence of this, noting that poll workers verified the identity and eligibility of every individual. While the SAVE Act has passed the Republican-led U.S. House, it faces significant opposition from Senate Democrats and Governor Josh Shapiro, who argues the policy would unconstitutionally nationalize elections. The Philadelphia Inquirer has more.