November 29, 2025
Late September in Indianapolis, residents filled a city council meeting with applause as Google withdrew its planned $1 billion data center investment. The tech giant pulled the proposal minutes before a vote, surrendering to months of organized community protests. Similar scenes have played out across the country with local opposition holding up or blocking a total of $64 billion in data center proposals nationwide based on concerns these facilities will drain their water supplies or spike their electricity bills.
But where other regions see data centers as threats, Florida communities see opportunity.
Polling from The James Madison Institute reveals that a majority of Florida voters (52%) support new data centers, with only 29% opposed. Yet, statewide support pales in comparison to the surprising enthusiasm found in a particular region of the state. Rural Southwest Florida voters back data center development by a nearly three-to-one margin and are almost twice as likely to be “strongly supportive” than residents of the state’s urban tech hubs. For an industry facing regulatory battles nationwide, the heartland’s mature optimism tells data center operators: build here, in a place that offers open arms instead of picket signs.
The economic reality of Florida’s rural counties likely guides their overwhelming support. For decades, Southwest Florida has watched prosperity concentrate in the state’s urban centers, leaving its rural communities behind. While hurricanes are a regular threat to all of Florida, their economic devastation is often most acute in these areas, whose economies remain tethered to the volatile, storm-sensitive cycles of agriculture and tourism. The lack of economic diversity amplifies chronic instability that more resilient urban economies can withstand, leaving rural communities in a constant cycle of rebuilding. In a region where poverty rates are nearly 50 percent higher and per capita income is more than $17,000 lower than the state’s urban centers, data centers are a means to create the economic stability that can weather both literal and figurative storms.
The construction phase alone transforms local economies. A single data center facility employs roughly 1,700 workers during its 18-to-24-month development period, injecting millions of dollars into communities where such opportunities are rare. Once operational, these facilities create permanent positions with average salaries around $160,000 annually — twice the national median household income. Crucially, these positions don’t require four-year degrees, making them accessible to rural residents where college attainment rates can be lower. Consumer spending from each direct job supports approximately six additional positions in the broader economy. Alongside these private sector gains, local governments see equally substantial tax revenue benefits.
While comprehensive tax data for data centers in Florida is still emerging, the experience of other regions provides a powerful blueprint. In Virginia’s Loudoun County, for example, data centers contribute $26 in tax revenue for every $1 of public services they require. For rural Florida counties, a similar return of investment could mean transformative funding for schools and infrastructure without raising taxes on residents.
Critics claim data centers threaten water supplies, often citing figures that U.S. data centers used an estimated 17 billion gallons of water in 2023. However, the new JMI polling shows this argument has little traction in Florida, where only 11% of those opposed to data centers cite water deterioration as their primary concern. Putting consumption in perspective shows that concerns over water use may be misplaced. A 2023 water consumption report from the South Florida Water Management District reveals that the entire commercial and industrial sector, of which data centers are a small part, uses just 5.4% of the area’s water — significantly less than the 45.7% used for public supply and 33.1% for agriculture. Furthermore, economic incentives are driving the industry to innovate with advanced cooling methods that can cut water use by 90% and increasingly use reclaimed wastewater, preserving drinking water for communities.
Electricity costs represent a more complex challenge, and the new JMI polling reveals it is the number one concern for Floridians who oppose data centers, with 36% citing “higher electricity prices” as their main reservation. However, Florida has learned from other states’ mistakes. While Virginia and other regions are retroactively scrambling to manage the strain on their grids, Florida utilities have moved proactively to protect residential customers. Duke Energy Florida filed with the Public Service Commission to create a dedicated “large load” tariff specifically for data centers, even before having such customers. This framework ensures these facilities pay their full infrastructure costs upfront, preventing residential customers from subsidizing industrial growth. Florida Power & Light (FPL) provides another layer of ratepayer protection with its “take-or-pay” rule. A utility often must invest in new infrastructure to meet the substantial energy needs of a data center. FPL’s provision requires the facility to pay for its full reserved capacity whether they use it or not, insulating residential customers from paying for costly infrastructure if a facility were to close or reduce its operations.
While the data center industry faces local opposition and regulatory battles nationwide, rural Florida offers a rare social license to operate. JMI polling reflects a clear-eyed assessment from these communities that the economic benefits far outweigh the manageable risks. With available land, robust infrastructure, and genuine local support, these areas are ready to capitalize on the data center moment. The only thing left is for data center operators to take notice.
Turner Loesel is a policy analyst at The James Madison Institute.
