As construction advances on a 35,000-square-foot data center in Palm Coast’s Town Center and concerns recur, the City Council is stressing to the public that it is not an artificial intelligence, or AI, center of the sort that drain water sources and consume colossal amounts of electricity, but an internet cable landing station, or CLS.
“There’s some fear about what’s happening at Palm Coast based on what’s happening in other places, and I think that is warranted,” Council member Ty Miller said. “There are all over the country hyperscale data centers being put up, which are 1 million-plus square feet, you know, over 300 acres, things like that. And so the cable landing station here is kind of a different animal.”
Miller described the Town Center facility as a “switching center” that won’t be doing the raw computing that AI centers do.
The data center is north of Imagine School and just south of the new Sabal Preserve residential development along Royal Palms Parkway. Atlanta-based DC Blox bought the land and is building the data center under the aegis of a subsidiary, or an associate. The cables will land in Flagler Beach–the only one announced so far belongs to Google–and snake underground to Town Center.
Flagler Beach is charging DC Blox $600,000 for the use of rights of way to land six undersea cables on their way to the Palm Coast CLS, or cable-landing station. DCBlox claims the CLS will accommodate up to 16 cables. It has no such deal with Flagler Beach. That city agreed to three cables for $600,000, then $250,000 for each additional cable, for a maximum of three more.
Palm Coast is not charging for the use of its rights of way.
Much of the rest of the company’s dealings with Palm Coast and Flagler County have been cloaked in secrecy. The land-use proposal did not have to go before either the Palm Coast Planning Board or the City Council, because the company scaled down the project enough that it did not trip the threshold requiring more than administrative review and approvals.
DC Blox issued a “fact sheet” through Palm Coast’s public information office to calm fears about water and electricity usage. It described the facility’s water consumption as a “closed loop” system. “The overall water usage of our facility is similar to that of a small commercial building,” the fact sheet stated. The facility is built “to support up to 10 [megawatts] of power, which is significantly less than the larger facilities often mentioned in the media.”
Nevertheless it is not a modest amount, though the standard calculation often used in media of a megawatt equating to powering 1,000 homes is a “myth,” according to a Nuclear Regulatory Commission factsheet. A megawatt is more likely to power 400 to 900 homes. So the facility will unquestionably be the largest single private consumer of electricity in the city.
Palm Coast government and taxpayers will not benefit substantially, aside from a modest amount of property taxes. Because Palm Coat is one of the rare cities in Florida that continue to decline levying either a utility franchise fee or a utility tax, the facility will pay neither. Thus, the largest consumer of electricity in the city will not generate revenue for the city’s coffers aside from property taxes that may not be more–and likely will be less–than a Publix store.
But a Florida law may prevent consumers from feeling the disproportionate effect of data centers’ electricity consumption. “They basically banned the socialization of it, so they have to be kind of in two different buckets in terms of rates,” Miller said, “so it prevents us from paying for those as well, so I think that alleviated some of the concern.”
Council member Theresa Pontieri said the city administration is aware of the concerns and looking at any potential data-center-related land purchases or plans with that awareness.
The discussion had been prompted by two comments from the floor. George Mayo, who often addresses the council, spoke of his concern about data centers. He cited reports on CNN and “60 Minutes,” the news magazine show, about data centers’ water and electricity usage and their 24/7 “loud harmonic hum.”
“Just think twice before we get into that,” he told the council. “They always proclaim, we need jobs, we need jobs, but any walkthrough that I’ve seen of data centers, it’s just large servers, row after row of servers, and have yet to see a worker inside one doing anything. It’s not like a factory, where you can have 100 people doing this, that, or whatever their job may be.”
Dennis McDonald followed Mayo and referred to data centers as “AI centers.” He spoke of the ongoing phenomenon at Lake Jackson on the northwest edge of Tallahassee, a large body of water that has periodically and completely drained, as it did in 1999, 2007, 2012, and again last year.
“It’s a rain-fed lake, its beds dotted with sinkholes that drain into the aquifer,” the Tallahassee Democrat reported in December. “Porter Sink, the sinkhole responsible for the dramatic dry downs, serves as a sort of bathtub plug. Until the sink plugs itself back up there is no lake, and with the ongoing drought, there’s no telling when enough rain will fall to refill what is now a prairie.”
McDonald didn’t make a direct connection between the drained lake and data centers, and current plans for large-scale or “hyperscale” centers in Florida exist, but far from Tallahassee, while the majority of the state’s existing centers are small scale. But he said–accurately–that “there is, without a question, a major league water problem under Florida everywhere,” a reference to the diminishing volume of the aquifer, which just last week led the St. Johns River Water Management District to issue an upgraded drought alert for this region. “We need to be paying attention to what’s going on with the water reserves underneath us.”






















Disappointed says
I, for one, would appreciate informative discourse and not the unfactual misinformation provided by citizens.
We need jobs in Flagler County and Palm Coast. Those jobs would be great if they were in technology, engineering, finance, etc.
We have to tell the C.A.V.E. (Citizens Against Virtually Everything) people to sit down, shut up and listen for a change.
T says
no data centers you want move
BetYoudLikeToKnow says
I, for one, can tell immediately that you have not been paying attention to what’s happening around our God-forsaken country. These AI powered surveillance hubs(the feds call them Fusion Centers) are all contracted through the government to allow Palantir to use their infrastructure. That’s all I’m going to lay out for you; Do your own reading from here on what all of that means.
Gene Lopes says
Soooooo, how many jobs is this Data Center making available for Palm Coast residents?
scott says
I supplied power infrastructure for data centers around the world for 35 years. This is a small facility but the likelihood that more than 10s of employees will work at this 35,000 square foot facility is real. Data centers just do not need a bunch of employees other than to bring in a set up equipment. These systems are automatic. Lights out places.
The real problem will be noise. 10MW of capacity is not small if you live close to it. Just think of all of those 400-900 households with their home AC units in the space of 10-20 home lots. They will run all day and night making a combination of low and medium frequency noise that will be noticeable for hundreds of yards. We can do a lot of things to knock down the noise but the physics of noise reduction is not easy or cheap. Getting real noise control from the owner will be challenging.
Tom Oelsner says
Scott, if you indeed did supply power to data centers, then you should be familiar with inverse square law as it applies to EMF, noise, and light. So unless you have a hard number on the dBspl at the origin of the noise and it’s distance to the homes, then you can’t correctly give a hard number on the noise level.
UnitedFlagler says
So you’re attacking him because he can’t provide a db level on a structure not even built yet. I bet you wear a red hat.
Deborah Coffey says
From the Council…lies, lies and more damn lies. And to “Disappointed” above, I’ll bet you there will be fewer than a dozen jobs at the AI data center (that is not one according to the MAGAs). LOL. And, FP&L just got billions from Tallahassee to provide for lots more data centers in Florida so, they’re well prepared to raise our rates…again.
feddy says
Deborah you are correct no more than 25 employees for a data center of that size. Now how many of those 25 individuals do you think will be transferred in?
TR says
I say 23 of them.
Disappointed says
What’s your plan, besides whining all the time? You never provide anything and you’re always butthurt.
celia says
That is why Mullins no longer runs the show! Always against the residents taxpayers best interest and insulting!
The dude says
This cable terminus thingy will provide 4-5 jobs tops once built and opened.
I doubt they’ll even find the hires around here.
Central Florida is a programming, IT, and devops desert, there is no talent around here for those jobs.
celia says
Disappointed, the one that needs to do research and shut up is you! Why did you move to Palm Coast were there are no jobs without doing a proper research first? Specially moving to a coastal town were housing is more expensive as is in any other coastal town anywhere in USA? Now we the existing residents have to pay for your affordable housing and provide you with jobs if even industries that contaminate our pristine environment were we moved 40 or more years ago, You are the type looking for jobs with fuel farms, cell towers, data centers, flight training schools and whatever else that takes away our quality of life and safety while contaminating the air we breath? Sorry but I do not agree with council as all the other wondrous tax revenues promoted to approve 19,000 homes in the “queue” already, didn’t seem to materialize any financial benefits to Palmcoasters but the contrary! This marine cable company stands to make gazillions in revenue and are “using our right of ways for free” with no utility tax to help us pave our roads? When :”Transatlantic marine cable businesses are highly profitable because they form the global internet’s backbone. They carry over 95% of intercontinental data and underpin trillions of dollars in daily financial transactions. However, profitability depends on how the business is structured, as up-front capital costs and maintenance risks are substantial”. Maybe city council is to reconsider the free use of our right of ways? Thank you to those that presented the warnings in this meeting George Mayo and Dennis McDonald enduring the looong meeting.
T says
Nooo we need to protest this people this is enough destroying palm coast this council is a disgrace
Edith Campins says
Just how many gallons of water will this “small data center” require?
UnitedFlagler says
A comment earlier said the noise is really bad too. I hadn’t even thought of the noise pollution! Plus a vibration shift.
Shame on you! says
Where’s the logic of those making these decisions that affect the rest of us living here? I’m sure Palm Coast, Flagler Beach and the county missed an opportunity to receive a windfall from this data center build out. Instead they sold us out. It’s Google after all!
Laurel says
Well, maybe these centers can loop all the flooding runoff their 35,000++ square feet of impervious area will cause.
Flagler County, Flagler Beach and Palm Coast strikes again!
MAT says
And you would re elect these people WHY?
They have, and continue, to ruin our city and county with no significant benefit to us or our community.
So this data center was given to this Atlanta company out of the goodness of the elected officials hearts?
How about at least charging them monthly apartment rental rates?
Somebody got paid….again.
Dennis C Rathsam says
THIS COUNCIL SUCKS!
melly says
Why the “cloak(ed) in secrecy”? Who is really behind this tech push?
Byron Donalds–the GOP gubernatorial candidate being shoved down Florida’s throat–is running in part on bringing these giant things into Florida and he is absolutely rabid about it, as is his team. Here’s why I bring this up:
“Council member Theresa Pontieri said the city administration is aware of the concerns and looking at any potential data-center-related land purchases or plans with that awareness.”
So Pontieri is at least looking at future potential data-center-related land purchases in our area. Can we count on the non-politically-affiliated Pontieri to not try to sell PC out later on to a crony of the GOP, one who boasts a main benefactor from the Trump administration (that would be Trump chief of staff Susan Wiles for those not really paying attention to the primary yet)
Make no mistake–that guy is being pushed on the electorate, it’s a valid question.
Jay Tomm says
What many don’t understand is the WHY…..Why is this coming to PC & FB? I mean of all the space up & down FL’s coast, why is THIS area a target for this type of thing? Wouldn’t these cables be better in a major area like Jax?
This is my problem. Something doesn’t add up here.
Using Common Sense says
Keep in mind, this is just phase one of this “Project Orchid”. Yet again, local residents are left holding the bag, driving on busted up roads, paying through the nose for water and utilities of questionable quality, watching our electricity bills rise higher every month, and paying taxes to a government THAT REFUSES TO PROTECT ITS OWN RESIDENTS!!! We the People still have rights in the United States of America. This Memorial Day weekend is our opportunity to reflect upon those rights, and give thanks to those that gave all to ensure our freedoms. Then, we fight together against the Greed, Cronyism, and Growth at any Cost mentality that has led to the destruction of everything that makes Palm Coast and Flagler County special, beautiful, and unique.
AlbaD. says
For the love of our Grandchildren!!!!
I will re-post your comment people need to read it loud!!
“Keep in mind, this is just phase one of this “Project Orchid”. Yet again, local residents are left holding the bag, driving on busted up roads, paying through the nose for water and utilities of questionable quality, watching our electricity bills rise higher every month, and paying taxes to a government THAT REFUSES TO PROTECT ITS OWN RESIDENTS!!! We the People still have rights in the United States of America. This Memorial Day weekend is our opportunity to reflect upon those rights, and give thanks to those that gave all to ensure our freedoms. Then, we fight together against the Greed, Cronyism, and Growth at any Cost mentality that has led to the destruction of everything that makes Palm Coast and Flagler County special, beautiful, and unique.”
celia says
To Disappointed: the one that needs to do research and shut up is you!
Why did you move to Palm Coast were there are no jobs without doing a
proper research first? Specially moving to a coastal town were housing
is more expensive as is in any other coastal town anywhere in USA?
Now we the existing residents have to pay for your affordable housing
and provide you with jobs if even industries that contaminate our pristine
environment were we moved 40 or more years ago, You are the type
looking for jobs with fuel farms, cell towers, data centers, flight training
schools and whatever else that takes away our quality of life and safety
while contaminating the air we breath? Sorry but I do not agree with council
as all the other wondrous tax revenues promoted to approve 19,000 homes
in the “queue” already, didn’t seem to materialize any financial benefits
to Palmcoasters but the contrary! This marine cable company stands to
make gazillions in revenue and are “using our right of ways for free” with
no utility tax to help us pave our roads? When :”Transatlantic marine cable
businesses are highly profitable because they form the global internet’s
backbone. They carry over 95% of intercontinental data and underpin trillions
of dollars in daily financial transactions. However, profitability depends on
how the business is structured, as up-front capital costs and maintenance
risks are substantial”. Maybe city council is to reconsider the free use of our
right of ways? Thank you to those that presented the warnings in this meeting
George Mayo and Dennis McDonald enduring the looong meeting.
Tony says
Just another white elephant like the town center !!!!!
T says
Noo we need to protest this
Concerned Citizen says
All one has to do is take a look at what the other data centers use. To know this City Council thinks we are stupid. And are lying thru their teeth.
Jeffery Cortland Seib says
Apparently, in my opinion, city staff snuck this one below the radar on purpose, or through ignorance of the nature of a facility such as this so-called Data cables receiving center or Station. Now to hear the council members huffing and puffing with excuses compounds the problem even more. Sure, The size as stated (by the builder), and use all fits neatly into a simple administrative approval by the book. So, no one on the city staff brought this matter to the attention of their superiors that the fit into administrative approval is a tough sell, and that the city council shouldn’t be bothered by these trivial building issues. If it walks like a duck and quacks like a duck, it’s a data center.
T says
They are liars it will drive cost up
TeddyBallGame says
As one of only four trans-Atlantic cable landings in the eastern U.S., this facility would certainly be a nuc-worthy target.
UnitedFlagler says
That’s a good pint.