A small Central Oregon town shoots down data center development - Oregon Public Broadcasting
La Pine city officials have rejected a proposal from developer Boxminer.io to build a 20-megawatt data center in Central Oregon. Residents expressed concerns about groundwater contamination, hazardous materials, and the strain on the local power grid, leading to a unanimous council vote against the project.
Residents of La Pine, Oregon, strongly opposed a proposal by developer Jeff Keller (Boxminer.io) to build a 20-megawatt data center in the La Pine Industrial Park. At a packed city council meeting on Wednesday, May 27, 2026, citizens voiced concerns about potential groundwater contamination, hazardous material release, and the fragility of the rural Central Oregon power grid, which they feared could not handle the data center's electricity demands. Opponents also questioned the developer's promises of jobs and revenue.
City Manager Geoff Wullschlager's report disputed Keller's financial projections. Despite Keller's defense of the $800 million investment, which he estimated could bring 50-60 jobs and utilize a closed-loop cooling system, the La Pine City Council voted unanimously to reject the sale of land for the project. The decision marks a significant victory for local opposition groups, who rapidly mobilized after the proposal emerged in March, highlighting growing community concerns about data center expansion and its impacts across Oregon.