Governor Kotek Directs State to Withdraw Land for Proposed Salem Data Center Site

Salem, OR – Today, Governor Tina Kotek directed the Department of Administrative Services to terminate the state’s contract for the sale of approximately 32 acres at the Mill Creek Corporate Center in southeast Salem for a proposed data center project.

Upon learning of the proposed development, the Governor’s direction reflects her commitment to ensuring state assets are managed in a manner that advances Oregon’s long-term interests, supports local communities, and aligns with the state’s priorities around affordability, responsible economic development, and stewardship of public resources.

“This decision is about my responsibility to make sure state actions reflect Oregon’s values and serve the public interest,” Governor Kotek said. “I believe in growing Oregon’s economy and welcoming new investment, including in the technology sector. But growth has to make sense for the community, for our infrastructure, and for our natural resources. Oregonians have made it clear they expect thoughtful, responsible decisions about projects of this scale, and I agree.”

In January, Governor Kotek convened the Statewide Data Center Advisory Committee to develop policy recommendations that will help Oregon take strategic advantage of the economic development opportunity created by new data centers and other large load industrial consumers of electricity, while striving to keep utility costs, infrastructure upgrades, and environmental impacts sustainable for all Oregonians, particularly low-income and working households and ratepayers. To find out more about the committee and its ongoing work, click here.

Governor Kotek has consistently supported economic development that creates family-wage jobs, strengthens regional economies, and helps Oregon compete for future investment while balancing impacts on housing, energy, water, transportation, and quality of life. The State will continue working with local governments, businesses, and communities to advance economic development opportunities that create jobs, strengthen Oregon’s economy, and reflect the needs and priorities of Oregonians.