Pinellas officials explore ways to block large data centers

During a May 14 work session, the Pinellas County Board of County Commissioners discussed whether water restrictions, utility policies and tax incentive bans could be used to discourage large-scale data centers from locating in the county.

The discussion emerged during a recent commission meeting as officials weighed the growing infrastructure demands tied to artificial intelligence and cloud computing facilities. Commissioner Chris Scherer argued that large data centers consume too much water and electricity while providing limited local job creation.

“We don’t want them,” Scherer said. “They’re just going to drive up our electric costs. They’re going to suck up our water.”

County Commissoner Chris Scherer. Photo provided.

Scherer referenced estimates that small data centers can consume up to 3 million gallons of water per month while larger facilities may use more than 150 million gallons monthly.

The conversation centered heavily on Florida Senate Bill 180, a 2025 law that limits local governments from adopting more restrictive land-use regulations or development controls in areas affected by hurricanes. The law was designed to speed rebuilding and redevelopment after storms by preventing counties and cities from imposing new growth restrictions or moratoriums. Critics argue it significantly weakens local control over development decisions.

Scherer said he believes SB 180 may leave an opening related to water regulation because the law does not specifically address water usage restrictions.

“I believe that we can use water restrictions and ordinances to prevent data centers in Pinellas County,” Scherer said. “Senate Bill 180 is silent on water use.”

He suggested the county could consider new water-use ordinances or impact fees substantial enough to discourage large facilities from moving forward.

County Administrator Barry Burton said staff members are now researching the county’s legal authority and evaluating how utility agreements with municipalities and Tampa Bay Water could complicate potential restrictions.

“We’re in the fact-finding mode,” Burton said. “We’ll look at all of it and bring back ideas and thoughts on what we can and can’t do.”

Commissioner Kathleen Peters, who previously raised concerns about data centers, said she supports at least prohibiting tax incentives and abatements for large projects.

County Commissioner Kathleen Peters. Photo provided.

“I would like to definitely move forward and not do tax incentives and abatements,” Peters said.

Peters said conversations with industry experts revealed that some newer facilities are reducing freshwater demand through closed-loop cooling systems and alternative water sources. She warned broad water restrictions could create unintended consequences for hospitals, power generation facilities and waste management operations that rely on similar cooling systems.

“What they’re doing with water now to use less is they’re looping the water,” Peters said.

Peters said one proposal reportedly explored along the Gandy Boulevard corridor involved the possible use of saltwater cooling systems instead of potable water.

She added that county staff are now examining whether recently signed state legislation specifically allowing local governments to regulate data centers could override some provisions of SB 180.

The commissioners repeatedly distinguished between large industrial-scale data centers and smaller localized facilities used by universities, hospitals or businesses.

Burton said officials want to avoid unintentionally affecting smaller operations that support institutional or research needs.

“We really need to think through what type of data centers we have,” Burton said.

Peters expressed particular concern about the environmental and quality-of-life impacts of massive facilities in densely populated Pinellas County.

“We are not rural land,” Peters said. “You put a data center that puts out that kind of noise, that humming would make people go crazy.”

She cited concerns over constant industrial noise, bright lighting, environmental impacts and the county’s vulnerability as a hurricane evacuation zone.

Peters said she believes Pinellas County lacks the land and infrastructure needed for major data center campuses, and questioned whether large facilities align with the county’s longterm priorities as an urban coastal community.

County staff are expected to continue researching the issue through the summer and may return with recommendations or a workshop discussion later this year.