Umatilla Declares Emergency Over State Data Center Permitting Pause

The Umatilla City Council voted on October 20 to declare a local emergency following an order by Gov. Tina Kotek directing the Oregon Department of Environmental Quality to pause air and water permits for data centers through July. City officials cited concerns over potential widespread financial loss, saying the state moratorium threatens planned developments and local tax revenue.

Umatilla City Manager Dave Stockdale reported to the council that the municipality faces risks of abandoned capital investments and lost jobs if permitting remains stalled. The emergency declaration is intended to push the governor's office to reconsider the directive, build a coalition with other municipalities hosting data infrastructure, or pursue legal options.

The Lower Umatilla Basin, which spans Morrow and Umatilla counties along the Columbia River, currently hosts or is processing permits for 17 data center campuses, primarily operated by Amazon. While municipal leaders in Eastern and Central Oregon have opposed the state pause because of tax revenue impacts, officials in the tech center of Hillsboro have supported efforts to slow and regulate data facility construction. The Oregon Legislature is anticipated to examine data center policies when lawmakers convene in January.