Lawmakers in Oregon and across the U.S. have sought to prevent data centers in local jurisdictions by limiting financial incentives, imposing moratoria, or implementing outright bans. In 2025, the Oregon Legislature made data centers ineligible for three different tax incentive programs, from which they had previously reaped significant benefits. Smaller jurisdictions, including Hillsboro, have followed suit by blocking data centers from accessing separate local tax incentive programs.Portland does not currently site hyperscale data centers, but 17 smaller data centers do exist in Portland; the City leases space in some of them, in addition to space in Colorado. At present, the development of hyperscale data centers is largely limited to suburbs and rural areas, as these data centers require access to significant power and land to operate.This resolution addresses emerging concerns surrounding data center facilities and ensuring data center decisions are transparent, public processes by urging the City Administrator and leadership to refrain from signing data center non-disclosure agreements, to notify City Council of inquiries for data centers, and to engage in transparent, public processes related to data centers.
Official proposal and impact statementWhat is Portland deciding about urge the City Administrator to refrain from signing data center non-disclosure agreements, notify City Council of inquiries for data…
Lawmakers in Oregon and across the U.S. have sought to prevent data centers in local jurisdictions by limiting financial incentives, imposing moratoria, or implementing outright bans. In 2025, the Oregon Legislature made data centers ineligible for three different tax incentive programs, from which they had previously reaped significant benefits. Smaller jurisdictions, including Hillsboro, have followed suit by blocking data centers from accessing separate local tax incentive programs.Portland does not currently site hyperscale data centers, but 17 smaller data centers do exist in Portland; the City leases space in some of them, in addition to space in Colorado. At present, the development of hyperscale data centers is largely limited to suburbs and rural areas, as these data centers require access to significant power and land to operate.This resolution addresses emerging concerns surrounding data center facilities and ensuring data center decisions are transparent, public processes by urging the City Administrator and leadership to refrain from signing data center non-disclosure agreements, to notify City Council of inquiries for data centers, and to engage in transparent, public processes related to data centers.
Official impact statementSee the official legal title
Urge the City Administrator to refrain from signing data center non-disclosure agreements, notify City Council of inquiries for data center deals, and engage in transparent public processes related to data centers
What this proposal would actually do.
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The reviewed sources do not clearly identify every existing policy, service, contract, or obligation that would remain unchanged.
Official matter recordThis proposal concerns government & democracy and requires action through Portland’s public legislative process.
Official matter classification and recordA May 2026 Gallup Poll found that seven in 10 Americans oppose local construction of large-scale data centers in their community and highlighted the following reasons for opposing local data center construction: (1) effect on natural resources; (2) energy consumption and other infrastructure; (3) concern about higher utility bills; (4) noise and air pollution; (5) concerns about AI from a job creation or privacy/security perspective; and (6) other quality-of-life concerns such as impacts of large-scale development on public health or property values.Portlanders have expressed strong feelings about data centers in Portland and want their elected leaders to protect them and mitigate potential future harm. This resolution focuses on public processes and transparency so that those most affected are engaged in the policy process.
Official community impact statementWhat the record establishes and what it does not.
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This resolution has minimal financial and budgetary impacts as it urges the City Administrator and City leadership to refrain from signing non-disclosure agreements, to notify Council of data center inquiries, and to engage in transparent public processes related to data centers. These requests are in line with the duties of the City Administrator and City leadership.
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Official documents2 sources
The proposed legal text currently moving through Council.
Open at Portland.govRead the full official text
WHEREAS, Oregon communities where data center clusters are located have documented the negative impacts of data center development on natural resource use, groundwater contamination, energy bills, and public health; andWHEREAS, in June and July 2026, cities in Oregon and Washington have taken action to limit data center development, including the Hillsboro City Council's unanimous approval of a 120-day moratorium on new data center development, and bans on new construction of data centers in Seattle and Tacoma; andWHEREAS, data centers can impact household costs and livability for Portlanders due to their large size, propensity to emit noise, and significant consumption of energy resources; andWHEREAS, the state's data center buildout has corresponded with a 50% increase in Portland General Electric and Pacific Power customers' energy bills, and data centers now consume 5.6% of Oregon's electricity; andWHEREAS, a 20-megawatt power draw represents energy use from a data center facility that uses or can use more than 20 megawatts, which is commonly used as a cutoff in state and local policies to distinguish large-load data centers from data operations in standard commercial buildings; andWHEREAS, water usage varies among types and sizes of data centers, the daily water use of some hyperscale data centers is equivalent to that of thousands of households; andWHEREAS, data centers' significant energy needs require technology, including diesel generators and cooling systems, that contribute to emissions and noise pollution in surrounding communities; andWHEREAS, anti-racism and equity are core values of the City of Portland, and local and national examples demonstrate that low-income people and communities of color most often shoulder the burden of negative health impacts created by data centers, linked to poor air quality, water quality, and hazardous waste concentration; andWHEREAS, in other jurisdictions, elected officials have been pressured to sign non-disclosure agreements regarding data center negotiations, in order to shield projects from public view; andWHEREAS, transparency is a core value of the City of Portland, and the community must be informed about the potential for future data center development in Portland, and given the opportunity to provide meaningful input.NOW, THEREFORE, BE IT RESOLVED that the Council urges the City Administrator and any City leadership to refrain from signing any non-disclosure agreements related to supporting, permitting, or allowing data centers, which includes agreements related but not limited to siting, permits, future scaling, fees, public engagement, economic opportunities, use of resources, and utility rates; andBE IT FURTHER RESOLVED that the Council requests that the City Administrator notify the Council if the City receives a request for Early Assistance or another preliminary meeting, or permit application, from an outside party related to the siting, permitting, or creation of a data center with a power draw of 20 megawatts or more, or the scaling or changing of an existing data center to draw 20 megawatts or more in the future; andBE IT FURTHER RESOLVED that all City of Portland officials are encouraged to engage in transparent, public processes for all decisions related to data center support, incentives, permits, public processes or decisions, or allowances.
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The official title and operative text identify the requested action.
Official text was found. This check does not certify that every referenced exhibit is complete.
The official impact statement includes financial information.
The impact statement identifies funding information without an explicit unresolved-source qualifier.
1 linked supporting document found; presence alone does not verify their internal completeness.
No explicit exhibit reference was detected in the official text.
The reviewed action is not expressly identified as a non-binding agreement.
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- First discovered
- Aug 31, 2026, 5:04 PM PDT
- Last checked
- Aug 31, 2026, 5:04 PM PDT
- Evidence hash
- 0c8e086bcf827eb8
- Guide status
- Deterministic baseline
- DOCUMENT PUBLISHED
Referred to Housing and Permitting Committee by Council President