SALEM, Ore. — The Salem City Council unanimously adopted a 120-day moratorium on data center construction and development Monday, pausing covered projects while the city develops regulations addressing water consumption, electricity demand, noise and other potential effects.
Resolution No. 2026-40 took effect Sept. 21 and will expire Jan. 19, 2027, unless extended. Seven members, including Mayor Julie Hoy, voted in favor. Councilors Deanna Gwyn and Mai Vang were absent.
The moratorium applies to all data centers operating as a primary use, regardless of size, capacity or purpose. It also covers accessory data centers with more than 2 megawatts of facility capacity and a power usage effectiveness rating above 1.5.
The decision does not end Salem’s review of Verrus’ pending Oakline at Mill Creek application. City Attorney Dan Atchison told councilors the city must continue processing an application submitted before the moratorium, but construction and development can be prohibited while the moratorium remains in effect.
The pause comes as a new statewide study documents the scale of Oregon’s existing data center industry. Researchers from ECOnorthwest and the University of Virginia identified 111 operational data centers and 32 additional facilities planned or under construction.
Using facility capacity, occupancy and other operating assumptions, the researchers estimated Oregon data centers consumed 14.05 terawatt-hours of electricity in 2025. That was approximately 22.8% of all retail electricity sold in Oregon and equal to about 71% of the electricity sold to the state’s residential sector.
Based on operational facilities and projects in the identified development pipeline, the report estimates annual data center electricity consumption could reach 24.76 terawatt-hours by 2030. That would represent approximately 31% to 32% of Oregon’s total electricity demand — roughly one-third of the statewide total.
The report identified Washington County as having the most operational data centers, with 29, followed by Morrow County with 25, Umatilla County with 22 and Crook County with 14. Together, those four counties account for 90 of Oregon’s 111 operational facilities.
Marion County has no operational data centers in the report’s inventory. Because only 10 of Oregon’s 36 counties have at least one, Marion County is tied at the bottom with 25 other counties. Oakline would become the county’s first operational data center if it is approved and completed.
City findings supporting the moratorium cite the potential for high water consumption while Salem faces risks to its drinking-water supply associated with the planned deep drawdown of Detroit Reservoir. Staff also identified gaps in city regulations governing low-frequency noise, heat discharge, water quality and the clustering of data centers.
“A moratorium is needed so that we can evaluate all of the risks that are in front of us,” Councilor Linda Nishioka said before the vote.
Councilor Paul Tigan described adoption of the moratorium as the beginning of a longer public process.
“Getting to the moratorium is really step one because now we need to move into facilitating these town halls so we can get good information, so we can make good decisions on the future of these facilities in our community during the time of the moratorium,” Tigan said.
Oregon law permits Salem to extend the moratorium for up to six months after another public hearing and the adoption of additional written findings. Meanwhile, Salem’s Data Center Task Force is expected to present its recommendations to the council Dec. 7, and city staff plans to bring proposed regulatory changes forward before the end of the year.