Hillsboro is promising data center tax breaks into the 2050s
News Clip0:46The Oregonian·Hillsboro, Washington County, OR·5/6/2026
Hillsboro is expediting data center tax break agreements before a statewide moratorium takes effect next month. Governor Tina Kotek has voiced concerns about the industry's unsustainable growth due to its demands on energy, water, and land, as well as environmental impacts. Oregon data centers are set to receive significant property tax reductions, with Hillsboro contributing a portion of those incentives.
governmentmoratoriumelectricitywaterenvironmental
Gov: Hillsboro, Oregon State Government, Governor Tina Kotek
Hillsboro, Oregon, is expediting new tax deals for data centers ahead of a statewide moratorium set to begin next month. Some of these agreements could extend beyond the typical five-year period, with one particular deal lasting until 20. The city reports receiving 18 tax break applications from data center companies within the last three months.
Oregon Governor Tina Kotek has expressed concerns about the data center industry's rapid growth, labeling it unsustainable due to its demands on energy, water, and land, as well as broader environmental impacts. State-wide, data centers are projected to save over $450 million on their 2026 property tax bills, with approximately $85 million of that total coming from incentives offered by Hillsboro.