Oregon Legislature restricts data center tax incentives via HB 4084 amendment
Oregon's HB 4084, which took effect June 5, includes an amendment prohibiting new data center firms from participating in the state's Enterprise Zone property tax abatement program. It also bars extensions of existing data center agreements until October 2, 2027. Oregon Business & Industry opposed this amendment, highlighting its impact on data center development in the state.
Oregon Governor Kotek's economic development legislation, HB 4084, took effect on June 5, following the conclusion of the 2026 legislative session. The bill, which was supported by Oregon Business & Industry (OBI), updates the state's Enterprise Zone property tax incentive program and introduces a "fast track" permitting process for large projects.
However, a last-minute amendment, opposed by OBI, was added to HB 4084. This amendment prohibits new data center firms from utilizing Oregon's Standard Enterprise Zone property tax abatement program and prevents extensions of existing data center agreements. These restrictions are temporary, set to remain in effect until 90 days after the end of the 2027 legislative session, which is estimated to be October 2, 2027, at the latest.