In a dramatic and unexpected turn, Google withdrew its Franklin Township rezoning petition this week just before the Indianapolis City-County Council was set to vote, pausing a $1 billion data center project that had become a lightning rod for debate over land use, utility capacity, and local tax policy.
The proposal, internally dubbed Project Flo, sought to convert roughly 460–470 acres of farmland on the city’s southeast side into a multi-building data center complex. Supporters cited billions in private investment and long-term tax benefits, while opponents argued the campus would strain utility company AES’s power grid, consume substantial water, and offer relatively few permanent jobs.
After weeks of intensifying resistance and a packed council chamber with overflow rooms, a Google attorney announced the company’s intent to pull the petition, causing an eruption of applause and celebration among local residents. Councilor Michael-Paul Hart, who represents the district and has raised repeated concerns about the project’s impact on the local grid, said the groundswell of neighborhood activism had made the difference.
But Google’s withdrawal does not end the issue, it merely resets the clock. To fully close the matter, Google must formally withdraw at the Metropolitan Development Commission (MDC). If it does not, the council could take up the rezoning again at an Oct. 6 hearing.
Contentious Debate
Arriving at this juncture was a messy process. Franklin Township Schools initially opposed the plan, then later supported it after private discussions with Google, citing potential financial incentives at a time when state tax changes have pinched the district’s budget. That pivot prompted criticism over lack of transparency, with residents objecting to nondisclosure agreements and limited public detail about utility draw and tax terms.
Grassroots organizers with Protect Franklin Township kept up steady pressure, arguing the trade-offs didn’t offer sufficient benefit for nearby neighborhoods. Their case centered on heavy electricity and water consumption, limited job creation once construction ends, and the loss of farmland buffering existing homes.
Mayor Joe Hogsett struck a conciliatory note. He praised Indianapolis as a destination for growth and innovation, said he respects Google’s decision, and emphasized the city’s aim to attract investment that creates quality jobs and supports construction trades. Like many local politicians across the country in these data center stand-offs, he signaled the municipality’s interest in tech infrastructure even as this project pauses.
Indiana and the Tech Sector?
The bigger picture is Indiana’s recruitment of data centers amid a national AI build-out. Meta plans a 1,500-acre site in Lebanon’s LEAP Research and Innovation District, and Google is already building in Fort Wayne. Across central Indiana, proposals have multiplied, drawn by land availability and state incentives.
With that surge has come a sharper public focus on power and water. Even before AI’s rise, data centers devoured energy, and now AI has pushed the issue to the forefront. Local leaders are being asked to weigh grid capacity and environmental impact alongside headline capital expenditures.
In Franklin Township, the immediate outcome appears clear: the land near Southeastern and Troy remains agricultural. What’s less clear is whether Google’s withdrawal, if it is permanent, cools tech-sector momentum in Marion County or simply refines the template. Perhaps more upfront disclosure on utility loads, clearer tax packages, and firmer community benefits will smooth the way for data centers.
The next milestone is Oct. 6 at the MDC, where the withdrawal must be formalized, or else the debate resumes. Between now and then, expect more discussion about how central Indiana balances a fast-growing digital economy with the desire to support quality of life for residents.
