Julio Fuentes: Data centers mean jobs. But Florida needs regulatory clarity to compete.

Backup cloud data service center. 3D rendering
Let’s act now and make Florida the future home of data.

If Florida wants to compete for the next wave of high-tech jobs and economic investment, we must start by providing regulatory clarity. That’s true in any industry, and it’s especially true for data centers.

The Florida Legislature recently passed a tax bill that extends a sales tax exemption for data centers for 10 years. Governor DeSantis sent a strong, pro-growth signal by signing that legislation into law. It’s precisely this kind of long-term commitment that businesses look for. But unless that momentum is matched with swift action from the Florida Public Service Commission (PSC), we risk sending mixed signals to companies that are ready to invest, and those signals matter.

At a recent PSC meeting, the state’s Public Counsel raised the idea of pulling data centers out of the current Florida Power & Light (FPL) rate case and handling them in a future separate proceeding. That might sound procedural, but in reality, it would create unnecessary delays, increase regulatory uncertainty, and undermine the efforts of the Legislature and Governor to make Florida a data center destination.

That kind of indecision is a deal-breaker.

Data centers make billion-dollar commitments years before a single server goes live. Without a clear and competitive utility rate structure, they simply can’t justify putting down roots in Florida.

These aren’t speculative or short-term investments. Data centers are long-term infrastructure anchors that power the digital economy — from logistics and e-commerce to artificial intelligence and remote work. In return, they generate massive local benefits: thousands of construction jobs, permanent high-wage positions, and tens of millions of dollars in annual tax revenue. In many communities, a data center becomes the top property taxpayer, helping fund public schools, roads, emergency services, and more.

For Florida’s Hispanic businesses in particular, the growth of data centers represents a significant economic opportunity. These projects generate increased demand for a wide range of local services, from logistics and construction to technology and professional support. That means more business for Hispanic-owned companies and improved economic potential for working families. By supporting this industry, we’re opening the door to long-term, inclusive growth that benefits everyone.

Some have raised concerns about the environmental impacts associated with data centers. But modern facilities are designed with sustainability in mind. Data centers are constantly looking for innovative technologies, often using closed-loop cooling systems that reduce water consumption by more than 90%, making them among the most water-efficient developments of their size.

States like Virginia, Texas, and Arizona have already embraced this sector, creating thriving ecosystems that attract global technology companies and homegrown innovation. Florida has traditionally faced challenges in this space due to storm-related risks. But utilities like FPL and TECO have made significant strides in grid hardening and reliability, helping clear the way for our state to finally compete. Moreover, Florida’s approach to siting data centers focuses on established industrial areas and low-density rural zones, minimizing community impacts while revitalizing underutilized sites.

Now it’s time to finish the job. FPL and the PSC have an opportunity right now to approve a reasonable, appropriate rate structure that aligns with Florida’s long-term economic development goals. The worst thing we could do is delay that clarity and push these projects to states that are acting faster and more decisively.

It’s worth repeating: data centers require substantial, reliable electricity, and the ability to plan decades into the future. Regulatory clarity isn’t a luxury. It’s a requirement. Florida must signal to the market that we are ready, willing, and able to support this industry’s growth, not leave companies guessing about whether we’ll follow through.

With the Governor’s action and the utilities’ continued investment, Florida has all the right ingredients to become a destination for digital infrastructure. But only if we pair policy vision with timely, decisive follow-through.

Let’s act now and make Florida the future home of data.

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Julio Fuentes serves as president and CEO of the Florida State Hispanic Chamber of Commerce.

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