Salem, Oregon – Governor Tina Kotek issued an immediate directive stopping all unapproved requests for state‑owned land intended for data‑center development. The pause covers easements, rights‑of‑way, leases, rentals, land‑use permits and any sale or transfer of state property through July 1 2027, unless the Governor’s Office or the Legislature later authorizes an exception.
Why the pause matters for Oregon families
The governor explained that data‑center corporations are asking local communities to shoulder “enormous demands on our water, energy, infrastructure and natural resources.” She stressed that Oregonians deserve a coordinated, statewide approach that protects neighborhoods, conserves natural resources and ensures the public interest is served.
Comprehensive review to guide future decisions
State officials will conduct a thorough evaluation of large‑scale data‑center projects. The review will examine four key areas:
- Infrastructure capacity – can existing roads, power grids and broadband handle additional load?
- Environmental sustainability – what are the impacts on water supplies and ecosystems?
- Water usage – data centers consume significant amounts of water for cooling.
- Job creation – will new facilities provide meaningful employment for working families and low‑income households?
The findings will shape new legislation slated for the 2027 legislative session.
Background: the POWER Act and earlier actions
Governor Kotek’s pause builds on the 2025 Protecting Oregonians With Energy Responsibility (POWER) Act, which imposed a 29% electricity rate increase on data‑center operators while lowering rates for other Portland General Electric customers. Earlier this year, Kotek halted the sale of roughly 32 acres at the Mill Creek Corporate Center in Salem for a proposed data‑center project, signaling a growing caution toward using public land for such developments.
Advisory committee to shape policy
In January, the governor convened the Oregon Data Center Advisory Committee, a panel tasked with crafting comprehensive policy recommendations. The committee’s mandate includes keeping utility costs affordable, ensuring infrastructure upgrades are sustainable, and protecting the environment—especially for working families and low‑income households. The advisory group is expected to deliver its final report by the end of the year.
What this means for local communities
By pausing new data‑center projects on state land, Oregon aims to prevent unchecked resource consumption that could strain water supplies, increase energy costs and burden local infrastructure. The governor’s office emphasized that the pause is not a permanent ban but a measured step to gather the data needed for responsible, long‑term planning.
Looking ahead
Once the statewide assessment is complete, Governor Kotek plans to introduce legislation that balances economic development with the protection of Oregon’s natural resources and the well‑being of its residents. Stakeholders, including data‑center firms, local officials and community groups, will have the opportunity to weigh in during the legislative process.
Original reporting: KTVZ (Central Oregon) — read the source article.
