Citrus County data center proposal withdrawn after resident backlash, hearings canceled

HOLDER, Fla. - A controversial proposal that could have brought a data center to Citrus County has been withdrawn, county officials announced Tuesday, ending — for now — a debate that sparked strong opposition from residents and previously prompted local government leaders to impose a moratorium on future data center projects.

Citrus County application withdrawal

What we know:

According to Citrus County Government, the Deltona Corporation withdrew its comprehensive plan amendment and zoning change applications for the Holder Industrial Park project, which included the possibility of a future data center.

As a result, public hearings scheduled during the July 14 Board of County Commissioners meeting have been canceled.

County officials announced the withdrawal in a social media post and thanked residents for their participation throughout the process.

Community pushback

The backstory:

The proposal generated significant public concern after residents learned a data center could potentially be developed on an approximately 800-acre site in Holder near the intersection of U.S. 41 and North Lecanto Highway.

Commission chambers were packed during previous meetings as residents voiced concerns about the potential impact on nearby homes, businesses, water resources and infrastructure.

Others questioned how a large-scale data center could affect the county's water supply, electrical grid and long-term environmental health.

In May, Citrus County commissioners voted to enact a one-year moratorium on data centers and zoning changes that could facilitate future projects.

County leaders said the pause would give staff time to study the issue and develop regulations addressing concerns surrounding large data centers while ensuring compliance with state and federal laws.

The county said it is continuing to work on an ordinance that would more clearly regulate future data center proposals.

Growing issue across Florida

Dig deeper:

The debate in Citrus County reflects a broader statewide discussion over data centers as communities weigh the economic benefits of major technology investments against concerns about energy consumption, water usage and environmental impacts.

State lawmakers recently advanced legislation aimed at increasing transparency for data center proposals and limiting their placement near residential neighborhoods and schools.

Gov. Ron DeSantis has also expressed concerns about the infrastructure demands associated with large data centers and artificial intelligence operations.

In Polk County, a grassroots organization called Watchdogs of Fort Meade launched a recall petition earlier this week against three city officials. The group alleges mismanagement of funds, malfeasance and conflicts of interest surrounding the approved Stonebridge hyperscale AI data center.

Zoning rules

What's next:

While the Holder Industrial Park applications have been withdrawn, Citrus County's one-year moratorium on data centers remains in effect.

County officials say they will continue developing regulations governing future data center proposals and encourage residents to stay informed by signing up for development application updates through the county's notification system.

Citrus County