Salem City Council votes to pause data center development

News Clip3:46KATU News·Salem, Marion County, OR·8/4/2026

The Salem City Council unanimously voted to advance a moratorium on data center development, driven by significant public opposition. This follows Governor Tina Kotek's decision to withdraw a state land sale for a data center project by Verrus, whose application is now pending with the city. Residents have raised concerns about noise, utility strain, and impacts on water supply.

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Gov: Salem City Council, Governor Tina Kotek, Oregon State Land Use Regulators, City of Woodburn, City of Hillsboro

The Salem City Council recently voted unanimously to move forward with a moratorium on data center development in Oregon's capital, following a contentious meeting marked by extensive public comment. This decision was largely influenced by a significant outcry from Salem residents who expressed numerous concerns regarding data center impacts.

Residents cited issues such as incessant noise likened to an idling jet engine, leading to sleep loss, migraines, and nausea. They also voiced worries about potential utility price hikes and the pollution of drinking water with "forever chemicals." The City Attorney emphasized the importance of considering Salem's water supply, particularly with anticipated reservoir drawdowns for the Santiam River, cautioning about potential imperilment.

This action by the City Council comes on the heels of Governor Tina Kotek's decision last week to withdraw the state from a land deal for a data center project in Southeast Salem. Despite this, Verrus, a California-based company behind the project, has formally applied to the City of Salem to build the facility, with the application currently pending.

Other cities in Oregon are also taking similar steps. Woodburn is considering a moratorium due to concerns over infrastructure strain, noise, and land use compatibility, issuing a 45-day notice to state land use regulators, with Verrus reportedly eyeing that area. Hillsboro has already issued a 120-day temporary moratorium on new or expanded data center and battery storage projects, intentionally issued at the last minute to prevent a rush of applications.