The Real Story – A Column
This afternoon, the City of Hillsboro messaged out about its work on new rules that will impact data centers and BESS battery storage systems. And the City wants you to take a survey! Most residents who have been following the proliferation of Data Centers in our community know that Hillsboro recently passed a 120-day moratorium that blocks new applications during this time. And while that pause is in place, the real work is happening to evaluate how we define, locate, regulate, and allow more of them in our community.
For those who are not up to date, let us refer you to our map, which is updated and evolving every day. 27 data center buildings are running in Hillsboro, and Intel has 3 or 4 not in that count. Add to that another 10 buildings in the planning stages, and we will be near 40 in a year or so. And more are able to move ahead beyond that. This map, which we prepared over the past year and continue to update, shows the locations where they are approved, built, or possible based on land purchases, and also shows PGE power plants and battery arrays known as BESS (Battery Energy Storage Systems). These are typically white, semi-truck-sized batteries in containers with cooling fans, fire suppression, and lights.
Ok, so let’s sum up so far:
- A Data Center and BESS Battery storage Moratorium is in effect from July 27th to about December 27th,
- The Moratorium can be extended for additional months (6 months or longer) if the City can demonstrate that work is ongoing to study and gather information.
- The purpose of the Moratorium is to allow the City, residents, and interested parties to study and present information and propose restrictions via new zoning and code changes.
- The City staff and Planning Commission will then recommend changes to the City Council for adoption of new land use and siting regulations.
From Marcus Ford, City of Hillsboro Engagement Manager:
With the moratorium in place, the City has planned a two-phased approach to the work of re-examining where and how data and energy storage facilities are located and regulated in Hillsboro. The first phase of this work will focus on how to define and where to allow or prohibit data and energy storage facilities.
Community members are encouraged to provide feedback on the Phase 1 Code Amendments through an online survey: https://engage.hillsboro-oregon.gov/data-centers. This survey will be open for responses until Sunday, September 6.
The City is also providing in-person engagement opportunities at the Hillsboro Tuesday Night Market on August 18, August 25, and September 1 from 5:00 – 8:30pm. Community members can visit with Hillsboro staff at a City booth to ask questions about the code update process and share feedback on potential changes.
We appreciate your help in sharing the online survey and Tuesday Night Market booth opportunities with your community. Please feel free to reach out with any questions on this engagement process or the City’s work plan going forward.
Thanks,
Marcus Ford | he/him | Community Engagement Manager
City of Hillsboro | City Manager’s Office
503-681-5208 (office)
Hillsboro-Oregon.gov | Engage with Us | Book time with Marcus Ford
Now you can read all about Dara Centers in Hillsboro, Oregon, from the city’s perspective right here.
Other things to know:
- Hillsboro has been a hotbed of Data Center activities and building for at least a Decade-
- Public Outcry began in earnest about a year and a half ago, with Data Centers and the appearance of unbridled growth in this category of use dominating City Council public comments.
- Pressure has grown enormously with the onslaught of AI Computing.
- Hillsboro has made National News on this topic for how many we have in a small city with FOX National News, MORE PERFECT UNION, and a host of others coming to Hillsboro to report on what is happening.
- The City of Hillsboro, along with Washington County, is the defendant in litigation over property tax programs called Enterprise Zone (EZ) agreements. The suit takes issue with the number and length of these deals that were executed in what some have termed a Fire-Sale format just before the Oregon Governor’s HB 4084-C triggered a statewide moratorium on Enterprise Zone tax abatements (forfeitures), which collectively have reportedly starved Oregon Communities by as much as $475,000,000 a year in property tax revenues that have been otherwise paid. https://friends.org/news/2026/6/1000-friends-sue-hillsboro
Issues with the Survey – The Questions Will Not Likely Get Informed Answers
Question 1: Prohibiting Standalone Data Centers in Selected Zones
The City’s Survey Text:
Data Centers are currently allowed in: All Industrial Zones, One Commercial Zone (Commercial-General), and Three Urban Center Zones (Neighborhood Center, Research Park, Office/Research).
The Code Amendment proposes to prohibit data centers as a standalone (primary) use in all industrial zones except Industrial Park and Industrial Sanctuary, all commercial zones, and all urban center zones.
(Followed by a prompt requesting respondents to navigate external GIS zoning map layers).
- Missing Baseline Definition: The survey never defines what legally constitutes a “standalone (primary) data center.” A resident cannot determine whether this refers to a multi-story hyperscale cloud facility, a multi-tenant colocation campus, or a standard corporate server building.
- The “Map Layer” Barrier: Expecting everyday citizens to use an external GIS mapping portal, manually activate development layers, and decipher industrial zoning codes creates an unnecessary barrier to participation.
- Obscures Permanent Concentration: While framed as a broad “prohibition” across retail and commercial districts, the proposal effectively cements stand-alone data center development within the city’s primary employment zones: Industrial Park (I-P) and Industrial Sanctuary (I-S).
Question 2: Acreage Caps in Industrial Park (I-P) and Industrial Sanctuary (I-S)
The City’s Survey Text:
The Code Amendment proposes to limit stand-alone data centers by acreage: Industrial Park (I-P): 215 acres; Industrial Sanctuary (I-S): 310 acres.
There are currently about 203 acres vested in I-P and 293 acres in I-S (excluding Jackson East).
The proposal would allow 12 additional acres in I-P and 17 additional acres in I-S.
- Grandfathering Disguised as a Strict Limit: The proposal sets acreage caps that closely match existing footprints (203 of 215 acres in I-P; 293 of 310 acres in I-S). It locks in nearly 500 acres of data center development while permitting an extra 29 acres.
- The Missing Jackson East Industrial Area Footprint: The survey explicitly excludes data centers in Jackson East due to separate acreage rules but fails to disclose what that number is. This prevents the public from understanding the cumulative, citywide footprint. In addition, the City has referred to this area over time in different configurations (VanRose, Meek Road, Jackson East, North, and South), and so this once again lacks a map or definition so that the respondent can make an informed decision.
- Acreage vs. True Resource Impact: Land area is a poor proxy for utility impact. A multi-story, high-density AI data center on just 12 acres can draw upwards of 100 megawatts of power and millions of gallons of cooling water—demands comparable to thousands of residential homes.
Question 3: Allowing Data Centers as an Accessory Use
The City’s Survey Text:
Many businesses and organizations need data storage and processing… The Code Amendment proposes to allow data centers as an accessory use with limitations potentially including the type of data center and size.
- The Potential Loophole: In municipal land-use law, an “accessory use” exception can allow major infrastructure to bypass standalone bans unless strict, non-negotiable physical and electrical thresholds are established.
- Vague Limitations: The survey mentions limitations that “potentially” include type and size, but provides no concrete metrics (e.g., maximum square footage, percentage of the total building footprint, or power limits).
- Constrained Multiple-Choice Options: The options force a binary choice between banning accessory servers entirely (which seems impractical for modern business) or approving them “with limitations” without knowing what those limitations are.
Question 4: Battery Energy Storage System (BESS) Facilities
The City’s Survey Text:
The Community Development Code does not specifically address Battery Energy Storage System (BESS) facilities at this time… The amendment proposes to define the use and include limitations for the use.
- Sanitized Description: The survey defines BESS purely in abstract electrical terms (“storing and discharging electricity”). It omits standard environmental and safety considerations, such as thermal-runaway fire risks, toxic chemical off-gassing, and continuous chiller and cooling-fan noise.
- No Mention of Setbacks or Fire Readiness: The question asks whether BESS should be “limited by zone” but does not address safety buffers, required distances from homes and schools, or local fire department suppression capabilities.
Question 5: Public Feedback and the 250-Character Limit
The City’s Survey Text:
Do you have additional feedback on the proposed Phase I Code Amendments? (Maximum 250 characters)
- Constrained Public Input: Restricting the primary general feedback box to 250 characters (approximately 35 to 45 words) severely limits detailed analysis, technical feedback, or neighborhood-specific testimony on complex industrial land-use policy.
Remove the 250-character limit to allow residents, neighborhood associations, and technical experts to file comprehensive written testimony directly into the public engagement record.
No doubt, many will take this survey. Having said that, anyone working on the Data Center and BESS issues seriously will have to discount the validity of the answers. Polls that do not clearly explain the questions will usually receive incomplete or inaccurate responses. Those are just the facts, folks!
Now it is YOUR TURN! Review and respond to the Data Center survey that the City of Hillsboro has posted. The more responses, the better!
TAKE THE HILLSBORO DATA CENTER SURVEY HERE
