Aug 04, 2026 | Posted by Abdul-Rahman Oladimeji
Oregon Governor Blocks Data Center Development Near Portland. Governor Tina Kotek has halted plans for a data center project outside Portland by directing the state to cancel its land sale agreement with developer Verrus. The state had planned to sell about 32 acres at Salem’s Mill Creek Corporate Center for the proposed facility, with the deal originally scheduled to close in October.
Verrus, a data center developer supported by Sidewalk Infrastructure Partners, planned a three-building campus in Marion County, south of Portland. While project details remained limited, the initial phase was expected to deliver dozens of megawatts across a 75-acre site. Governor Tina Kotek said the decision supports Oregon’s goals for responsible economic development, community interests, affordability, and careful management 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."
Verrus said the planned campus would use water-efficient closed-loop cooling, lithium iron phosphate battery storage, and smart energy management technology to reduce environmental impact. The company expressed disappointment with the decision, stating that the project was halted before it could present its design, infrastructure plans, and community benefits.
