INTERVIEW: The data center debate. Khara Boender, with the Data Center Coalition
Oregon Governor Kotek enacted a pause on data center projects on state-owned land until July 1, 2027, amidst calls for a broader statewide moratorium due to concerns about water and electricity usage. Khara Boender from the Data Center Coalition discusses the industry's economic contributions and addresses resource use concerns, while a lawsuit has been filed in Hillsboro regarding data center tax breaks.
Oregon lawmakers recently convened for Legislative Days in Salem, where discussions were heavily dominated by data centers. Hundreds of Oregonians rallied at the state Capitol, demanding a statewide moratorium on data center development.
In response to public concerns and rallies, Oregon Governor Tina Kotek announced a directive for all state agencies to immediately pause unapproved requests for data center projects involving state-owned land. This pause is set to last until July 1, 2027, with the governor stating it's necessary to assess the long-term impacts of data centers on surrounding communities. Khara Boender, Director of Government Affairs with the Data Center Coalition, addressed these concerns in an interview with KATU's Wright Gazaway on "Your Voice Your Vote."
Boender explained that the Data Center Coalition serves as a national industry voice, advocating for responsible growth. She countered claims that data centers are the primary cause of rising utility costs, citing other factors like grid hardening and inflation. She also discussed how data centers can provide downward pressure on utility rates due to their large load. Regarding resource use, she stated the industry takes energy and water consumption seriously. Boender highlighted the significant economic contributions of the data center industry to Oregon, including $10.8 billion to the state's GDP in 2024 and over $1 billion in state and local taxes, funding public safety, transportation, and schools. She argued that moratoriums send a negative signal, deterring investment and jobs. She also mentioned Hillsboro's 120-day moratorium and a lawsuit filed against the city and county over data center tax breaks.
Boender acknowledged that while data centers may create fewer direct operational jobs than manufacturing, they offer substantial long-term tax revenue that can be transformational for communities, especially rural ones. She also addressed public perception, noting that a recent poll showed significant opposition to AI data centers. Boender emphasized that data centers primarily support daily device use and essential services, not just AI, and that operators are committed to being good neighbors.