Gov. Kotek orders state to cancel Salem land sale for proposed $5B data center

Oregon Governor Tina Kotek has directed the state to cancel the sale of 32 acres of state-owned land in Southeast Salem, which was intended for a proposed $5 billion data center project. This executive order was issued shortly after a Salem City Council meeting where neighbors voiced strong opposition to the plan, citing significant ecological concerns and the potential impact on Oregon's natural environment.

The specific proposal by California-based developer Veris had sparked fierce debate. Opponents, including those who testified at the city council meeting, expressed worries about the environmental footprint and the broader implications of an "AI boom" on the state's landscapes. Governor Kotek stated that her decision reflects her responsibility to ensure state actions align with Oregon's values and serve the public interest.

While the state-owned parcel is no longer available, more than half of the original proposed site is owned by two private companies. Veris, the developer, informed KGW News that it still intends to proceed with the project, subject to city approvals. The company also stated that the governor's decision was made unilaterally and without prior consultation, preventing them from presenting their design, infrastructure plan, and community benefit proposals.