Hillsboro Data Center Protest Shows Growing Unrest Over Millions Of Tax Giveaways

The Real Story – A Column 

Editor’s Note: Updates and additional Financial information made for clarity and understanding- 8 AM -5/18/26

A rally was held in Hillsboro, Oregon, to protest what residents say has become an out-of-control data center buildup. Standing in the front yard of the historic Shute Farm, about 100 locals gathered with flags flying and colorful signs to hear from organizers and local leaders. Virtually every news channel was in attendance, as was a mix of Tualatin Valley DSA Members and local leaders and politicians.

The event featured local farmer Jacob Roloff as a keynote speaker, who has emerged as a prominent voice now sought out by the media and local leaders.  His age and energy have encouraged others who can not help but see the problems arising here in our community.  After opening comments, additional speakers included Myrna Munoz, who is running against Oregon State Senator Janeen Sollman for the District 15 seat.  Following that, Kipperlyn Sinclair, candidate for Washington County Commission District 4 and current Hillsboro City Councilor, passionately spoke about Hillsboro issues and encouraged people to show up to City Council meetings and use their voices.  She was followed by comments from Dr. Tammy Carpenter, Blayne Soleymani-Pearson, and other DSA leaders.  Hillsboro Councilor Olivia Alcaire was in attendance and spoke briefly as well, encouraging the crowd to continue to be heard.

Sinclair, Munoz, and Carpenter have led a call for accountability and called for the first-ever Data Center Moratorium in Oregon via a petition on Move-On, which has garnered nearly 4,000 signatures and can be found and reviewed here: https://sign.moveon.org/petitions/data-center-moratorium-petition

Common issues surrounding Data Centers, like water usage, rising power rates, and environmental and health impacts, were discussed.  But as the rain fell, the more immediate issue rose up.  Roloff and others mentioned the pending approvals of 18 Data Center property tax giveaways, which the City of Hillsboro has recently placed on the Enterprise Zone section of the City website. Those tax giveaways, when final, are allowed under the State’s Enterprise Zone program.  The issue that has shocked the community is the disclosure that approvals are slated to be granted for data centers that have not even been built yet, and for existing data centers that have already enjoyed 5 years of waivers.  The most prominent positive benefit for Hillsboro residents that Data Centers can offer is property tax revenue, which funds Hillsboro Schools, the city’s general fund, and Washington County and other tax districts.  The Enterprise Zone property tax waivers are designed to attract businesses and jobs.

The trade-off of waiving tens of millions in property tax revenues, effectively starving the county, schools, and city, is that eventually the money that does come in will be very significant.  But these extensions move those revenues out farther and farther making them very controversial.

Sinclair and Alacaire called for an emergency meeting (special session) of the Hillsboro City Council last week, but were not supported in their call by other councilors or Mayor Pace.  At this point, the matter will be heard on June 2nd, but by then, legally, there appears to be no way to unwind the deals.  The Herald has been advised that the City and State leaders are now speaking about the “stacking” arrangement that was agreed to, effectively extending the tax giveaways for decades.  Something that legislatures familiar with the Enterprise Zone tax program say has never happened before.

The Data Center Timeline: A Closer Look at the May 7th Deadline and the Status of 18 Pending Agreements

To really put this into perspective, we reviewed the Data Centers that immediately surround the historic farm and those that are within line of sight.  What we found is a jaw-dropping amount of money that these companies are having waived, and the question so many people are asking is: why?  What reason would we as a community have to offer some of the world’s richest private equity firms these sorts of waivers?

$67 Million Dollars a Year in Property Tax Waivers – This Is The Math People Have Asked For.  We have done it to the best of our ability. We believe this is accurate, but we must wonder why the City of Hillsboro or Washington County has not provided these numbers.

Tax Revenue Allocation: 1-Year vs. 5-Year Totals

Based on the Code Area 007.45 standard distribution percentages, this calculation is strictly limited to the visible facilities surrounding the historic Shute Farm area, using information from the Washington County Assessor’s Office online portal for each property’s tax account number. We used the “exempted” taxes and the millage rate for this tax area.  When you factor in the full list of 18 pending applications across Greater Hillsboro, the total community loss escalates exponentially.

Let’s look at one of the largest Data Center sites in North Hillsboro, the QTS site, which consists of 5 large buildings.  Here is a summary sheet from the Washington County online site where some information and be looked up.

There, in black and white (Highlighted in yellow), we can see that the County has identified that, from 2026 to 20230 now, the QTS tax accounts (upper right in blue) have been brought under the Enterprise Zone tax waiver program.  The ORS statute that allows this program is cited in brackets.  The Herald has not yet determined whether the new Enterprise Zone deal with QTS has passed the 21-day review period, but we do know that a new deal is posted on the City of Hillsboro website (linked below) that extends these tax breaks through 2035.

Ok, if you read this far, have a look at the actual Tax Bill for the QTS account under which most of their value is taxed and stated.  Highlighted in yellow on the left, you will see an exemption of $2.428 Billion. That is the “Tax Break” if you will.  No Taxes will be paid on any of that value.  The Net Assessed value is what the company is paying taxes on: a paltry $36.56 million.   And when we or others talk about who isn’t getting paid, look to the right; that is a list of the “Tax Districts.”  This is where the money flows once we all pay our bills.  All of those entities are being absolutely starved financially.  And this is where the anger over these extensions comes from.  The promise that Data Centers would pay their share has been pushed off way into the future.

Are we wrong?  God, I sure hope so.  And the Herald asks our County and City staff to request any corrections or clarifications they would like.   Prior to the recent publication of the new Enterprise Zone agreements online, we had asked the City of Hillsboro for copies of the Community Service Fee agreements, which are triggered when an Enterprise Zone agreement is signed, that it had previously signed with companies. The City did respond, but the fees to obtain these documents exceed what the Herald can pay for public information.  More recent requests have been addressed, indicating that more time is needed. We appreciate the responses Hillsboro is providing, and we understand they are handling many requests right now. The Washington County Assessor and members of the appraisal team have not responded to requests to meet over the past 3 months, and when we asked for specific information to better understand how much money the companies in the Enterprise Zone have had waived annually, we were offered a chance to sit in the lobby and use the computer, which does not provide that information.

I do not think we are wrong. And we hope this information is not right, but if it is, this clearly must not be allowed to stand.  Hillsboro Schools are dealing with millions in underfunding.  Washington County is cutting programs right and left.  And just these 4 data centers alone would pay enough to change that entire narrative. So, who has allowed this and why? 

When looking at a baseline of $67 million in exempted annual property taxes, the numbers turn staggering over a standard 5-year outlook. A total of $335 million is effectively erased from standard local governance distribution. Of that missing pot, $123.9 million is denied directly to local classrooms, and $56.9 million vanishes from county infrastructure and public safety funds—all while the equipment that supposedly justifies the trade-off melts to near-zero value behind closed doors.

Again, this is calculated only for the 4 Data Center complexes.  We expect those numbers to be double or higher than those amounts. I mean, it is unthinkable.

Here is the Map of all the new Data Center deals that have been signed, with some information about when they will end.

For a broader look, here is the Herald’s overall Map of the data center build-out, the power substations, BESS Battery arrays, and other infrastructure now in Greater Hillsboro.

The event was filled with energy and emotions.  To anyone paying attention, it is easy to see that opposition to the existence of Data Centers and the impacts on our communities has reached a fever pitch, with no signs of slowing.  People are encouraged to attend the Hillsboro City Council meeting on 5-19-2026 and take the opportunity to speak to the Council.  Meetings start at 7 PM in the Shirley Huffman Auditorium.

The City of Hillsboro Staff has asked the Herald to post information to the Data Center FAQ pages they have set up online, and we are happy to include that information here:

https://www.hillsboro-oregon.gov/community/data-centers

Also, a special work session has been set up for June 2nd, 2026:

Hillsboro City Council asked City staff to schedule a work session on data centers to evaluate options to pause data center development and review policy options on the local Enterprise Zone.

From the Web page above:  “In April 2026, the Hillsboro City Council asked City staff to schedule a work session on data centers to evaluate options to pause data center development and review policy options on the local Enterprise Zone.

• The work session will be held on Tuesday, June 2, at 6 pm, at the Hillsboro Civic Center. Community members are encouraged to observe the presentation and discussions in person or online.”

That work session will hopefully dig into the details of the Enterprise Zone agreements and the financial impacts that they create for all parties concerned.

The Hillsboro Herald continues to tell this evolving story with an in-depth investigative journalism commitment that no other outlet is doing or has done.  The lack of information and all the sound bites only add to the confusion.  It is not our job to get this data and to find this information.  It all needs to be public.  It is not.  Clearly, Governor Kotek and Attorney General Dan Rayfield need to have a discussion and send someone to communicate with our local leaders and our community members.  This “darkness on the edge of town” has to end.  If it does not, it promises to impoverish our entire County and, worst of all, our children.  That in any town in America is unacceptable and must be stopped.

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