Oregon Governor Backs Local Data Center Pauses as Statewide Ban Question Remains Open

Oregon Governor Tina Kotek threw her support behind local data center moratoriums yesterday, with the thorny issue of a statewide ban referred to her Data Center Advisory Committee for consideration and recommendations.

 

Oregon Governor Backs Local Data Center Moratoriums

As Democrats call for an Oregon-wide moratorium on data centers, Governor Kotek indicated that she supports local governments moving to ban new data centers- one of Oregon’s main political issues in the November elections. The position is similar to that of her Republican challenger, Senator Christine Drazan.

Governor Kotek noted on Facebook that “Data center corporations are taking Oregon out to an expensive dinner and leaving our environment, communities, and people to foot the bill.”

She expressed her support for a pause “until we can get this right,” and noted that current law doesn’t allow the adoption of a statewide ban. Drazan expressed concern about the over $450 million in annual tax breaks, but didn’t expressly call for the tax breaks’ repeal. Neither contender proposed solutions that would apply statewide.

Tidings Data Snapshot
Oregon Data Center Policy Actions in 2026
Date Action Effect
Jan. 20 State advisory committee launched Policy recommendations due by October
June 5 HB 4084 takes effect Restricts data center enterprise zone incentives
July 8 New PGE rates begin Large users face average 29% increase
July 27 Hillsboro adopts moratorium New applications paused for 120 days

Sources: Oregon Governor’s Office, Oregon Legislature and City of Hillsboro
Dailytidings.com

An independent poll from DHM Research found that:

  • Oregon voters want more decisive action than either candidate has proposed.
  • Two-thirds favor a statewide moratorium.
  • Voters want to stop issuing tax breaks to data centers- by a 3-to-1 margin.

 

The voters are facing vocal opposition from powerful tech companies that operate Oregon data centers, trade unions who say the industry provides vital construction jobs, and public officials in parts of rural Oregon who say data centers deliver key economic support in the handful of tiny communities where they operate.

Kotek indicated that she would wait for recommendations from her Data Center Advisory Committee as it prepares to issue its final report no later than October 2026.

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