Kathleen Peters seeks to block data centers despite state law

Pinellas County Commissioner Kathleen Peters is advocating for a ban on data center development within Pinellas County, Florida, citing significant concerns over increased demand on local water and power infrastructure. Peters' efforts come after county staff were reportedly approached by an unnamed developer interested in building a data center on Gandy Boulevard, an area with easy access to water for evaporative cooling, which can require millions of gallons daily. Despite arguments from industry experts, such as Christopher Lloyd of McGuire Woods Consulting, about the economic necessity of attracting AI-related investment, Peters contends that data centers are not significant job creators for the region. Peters faces a legislative challenge, as current Florida state law, specifically Senate Bill 180, inadvertently curtails local governments' "home rule" authority and their ability to stop such developments. This legislation, sponsored by Republican Sen. Nick DiCeglie and originally designed to expedite post-hurricane rebuilding by bypassing local planning, leaves municipalities vulnerable to lawsuits if their development restrictions are deemed "too restrictive or burdensome." Although amendment bills were proposed in the recent Legislative Session to correct this oversight, a House companion bill failed to pass, leaving developers an entire year to pursue projects with reduced local pushback. Despite these legal hurdles, Commissioner Peters remains committed to finding ways to limit data center expansion. She has indicated plans to oppose any state-level tax incentives or abatements for data centers in Pinellas County. The broader context of Governor Ron DeSantis's statewide tax exemptions for data centers, extended until June 2027 to encourage technological development, further complicates local control efforts, highlighting a tension between state economic development goals and local environmental and infrastructure concerns.