Will data centers be Oregon’s big political issue this fall?
Data center development is becoming a significant political issue across Oregon, driven by concerns over electricity and water consumption. Local communities in Hillsboro, Hood River, and Salem have responded with enacted or proposed moratoriums, while public opposition has influenced elections and led to state-level intervention on proposed projects.
Data center development is rapidly becoming Oregon's major political issue, influencing local elections and prompting statewide debate. State Senator Janeen Sollman's re-election loss in Hillsboro, traditionally a tech hub, was partly attributed to voter backlash against the proliferation of data centers and concerns about their resource consumption.
In response to growing public opposition, several Oregon cities have moved to halt or restrict new data center projects. The Hillsboro City Council enacted a four-month moratorium on additional data centers to prevent a rush of applications, while the Hood River City Council implemented a moratorium through year-end. In Salem, a proposal by California startup Verrus for a $5 billion data center faced immediate protests, leading Governor Tina Kotek to quash the state's part of the land transaction, citing the need for projects to reflect Oregon's values. The Salem City Council also voted to consider a data center moratorium, though it came too late to affect the Verrus application.
The debate extends to other parts of the state, including La Pine, where a Boxminer Bitcoin mining facility faced significant resident opposition, and the Umatilla and Morrow County area, where Oregon Rural Action is seeking a moratorium on expansion. Polls indicate strong negative sentiment towards data centers statewide, driven by concerns over electricity and water usage, and environmental impact. This issue is poised to be a key topic in upcoming political campaigns, with some Democratic legislators already proposing a statewide moratorium.