New data center projects in unincorporated Clackamas County are on hold after the Board of Commissioners voted unanimously Thursday, Oct. 22, to impose a 120-day moratorium that took effect immediately.

The freeze gives county staff time to study how data centers would affect water supplies, utility costs, natural resources, infrastructure and land use before the board considers permanent regulations, according to a county announcement.

The vote capped two days of public hearings on Oct. 21 and Oct. 22 that drew what the county described as substantial community participation. No data centers currently operate in Clackamas County, but the board moved to get ahead of an industry expanding rapidly across Oregon.

"This is the start of the conversation of what regulations need to be put in place. Is it a total ban on data centers? What does it look like? That's what the moratorium is all about … [we'll] stop the process so we can do our homework," Commissioner Diana Helm said.

Board Chair Craig Roberts called the moratorium the beginning of a long process.

“This is a temporary moratorium …. It’s really the beginning of a long process. This will allow a thorough review, and there will be a lot more opportunities for public input,” Roberts said. 

Commissioner Paul Savas said he wants to protect the county's farming and nursery industries, which depend on water. “My concern has been with utility costs and water … Clackamas County has a reasonable footprint in farming and nurseries which are dependent on water … There are some responsible concerns to make sure we have the appropriate guardrails in place that make sure our industries that are here today are not seeing any compromise or sacrifices.” 

Commissioner Martha Schrader pointed to the speed of technological change, saying policy has not kept pace with how quickly the data center industry is evolving. “We have to be vigilant as we prepare for the future. We are definitely flying into the great unknown – we don’t know where these centers could be located or how."

Commissioner Ben West called for balance, saying he hopes the county can support economic opportunities without sacrificing natural resources.

“Looking at how Oregon has taken on issues like this in the past, some of our land use laws overregulate and lack balance, and some of our land use has been innovative, smart and saved us from hassle. I hope we find that balance to allow good economic opportunities and infrastructure to be available to the residents of Clackamas County without sacrificing natural resources,” West said.

The board had been studying the issue since at least July, when commissioners directed staff to research data center impacts and potential zoning changes, the West Linn Tidings reported. At that time, county staff said companies could open data centers in general industrial, light industrial and business park zones, though no business had submitted a proposal.

Clackamas County joins a growing list of Oregon jurisdictions moving to restrict data centers. Gov. Tina Kotek ordered the Oregon Department of Environmental Quality to pause air and water pollution permits for data center projects until July 1, 2027, the Oregon Capital Chronicle reported. Hillsboro, where data centers occupy close to 500 acres, voted to severely restrict new facilities, The Oregonian reported.

The moratorium can be extended or repealed before the 120 days expire. The county said it will continue developing potential regulations with additional opportunities for public participation.