Oregon City Freezes Data Center Projects for 120 Days, Even With None on the Books

Oregon City Freezes Data Center Projects for 120 Days, Even With None on the Books

News ClipHoodline·Oregon City, Clackamas County, OR·11/7/2026

Oregon City commissioners approved a 120-day moratorium on new data center and battery storage projects, despite having no applications or inquiries from developers. The pause affects five industrial and mixed-use zones while city staff review existing codes and draft regulations; similar moratoriums were adopted by Clackamas County, Salem and Woodburn, while the state has paused environmental permits for new or expanding data centers through July 2027.

moratoriumgovernmentenvironmentalelectricity
Gov: Oregon City Commission, Clackamas County Board of Commissioners, Oregon Department of Environmental Quality, Office of Oregon Gov. Tina Kotek

Oregon City commissioners voted Nov. 4 to freeze new data center and battery energy storage development for 120 days. The moratorium covers five industrial and mixed-use zones and gives city staff time to review codes and develop regulations, even though no data center applications or industry inquiries were pending. Mayor-elect and Commissioner Adam Marl said the action was intended to establish safeguards before a developer submits a proposal.

The decision follows a broader wave of restrictions in Oregon. Clackamas County imposed a 120-day moratorium in unincorporated areas, while Salem and Woodburn adopted similar pauses. Gov. Tina Kotek also directed the Oregon Department of Environmental Quality to stop issuing environmental permits for new or expanding data centers through July 2027. The article cites rapid industry growth, projected increases in electricity demand and incomplete data on water and other community impacts as factors behind the regulatory response.