The Real Story- A Column Editors Note: The Bill is House Bill 4084 – we mistakenly called it SB 4084
HILLSBORO, OR — Oregon Governor Tina Kotek’s Prosperity Act (House Bill 4084) is really more like the Poverty Act if you live in a city that has allowed Data Centers into your boundaries. There is an old saying in politics: “The enemy of my enemy is my friend.” For the thousands of Oregonians watching their school budgets shrink and their electricity bills skyrocket, that proverb is becoming a survival strategy.
As Governor Tina Kotek champions House Bill 4084—a bill she calls a “Prosperity Roadmap”—local residents see something far more sinister. From the balcony of the statehouse, the Governor presents herself as a Roman Senator, sipping the wine of corporate “site readiness” while watching the “rabble” of local fire districts and school boards fight for the scraps left behind by multi-billion-dollar data centers. She is acting like a Trump Republican on this issue – either purposefully, because she believes we are ignorant, or that no one has the balls to call her out on it.
The $4.5 Billion “Giveaway Gap.”
4084 offers some positive things, but it is specifically the Governor’s proposal to extend the free property tax “Enterprise Zone” sections that pollute the entire Bill. While Washington’s Governor and State House are about to tax all Data Centers with a separate fee, Kotek and her new advisors want to actually give away Billions to Data Centers and massive AI Advanced Manufacturers that are now emerging in our state. The “Prosperity” being promised comes with a price tag Oregonians simply cannot afford. Based on current data from Tax Fairness Oregon and legislative fiscal reports, doubling the Enterprise Zone exemption from five years to ten is a financial hemorrhage.
Current Hemorrhage: Data centers are already saving nearly $457 million in local property taxes each year.
The Hillsboro Hit: In Hillsboro alone, tax breaks for these facilities doubled this year to $90 million.
The 10-Year Expansion: By doubling the duration, HB 4084 creates a $4.5 billion gap in local revenue over the next decade. This is money that would have “rolled onto” the tax rolls after year five but will now remain in the pockets of those like the “Big Three” asset managers—BlackRock, Vanguard, and State Street—who own the controlling interests in Amazon, Google, and Microsoft, many of our Data Centers, and PGE, NW Natural, And Pacific Corp where Ms Tina reaps a fortune in Campaign Donations.
PROMINENT OPPOSITION: THE VOICES OF THE “RABBLE”
While the Governor’s office remains silent on the “jobs-to-subsidy” ratio, a diverse coalition has entered a record of opposition:
The Fiscal Watchdog: Jody Wiser (Tax Fairness Oregon) notes that the 5-year ROI is $1.35 for every $1 abated, but the extension ruins that math.
“Oregon is already the best deal on the West Coast… Data center’s interest in Oregon is cemented.”
The Public Safety Guardian: Mark Landauer (SDAO) warns of the strain on emergency services. “In the fire service, development breeds additional call volume… a fire district will have to do more with less.”
The City Leader: Gresham Council President Cathy Keathley warns that the bill breaks local government.
“The city must still deal with the loss of property taxes… the scale would be tipped to our city not being able to bridge the temporary gap.”
The Conservationist: Nellie McAdams (Oregon Agricultural Trust) sees a permanent scar.
“This land will be paved with empty monuments to a poorly planned data center gold rush.”
The Neighbor: Katie Reding of North Plains asks:
“Why should we provide big tech… tax breaks to build what they will build with or without our subsidies?”
The “Gain Share” Gap: Why HB 4084 is a Predatory Deal for Hillsboro
To understand why HB 4084 is a “Poverty Act,” we have to look at how Oregon used to handle massive tax breaks. When the state partnered with Intel at Ronler Acres, they used the Strategic Investment Program (SIP). Under a SIP, while the company receives a property tax abatement, the state shares a portion of the personal income taxes generated by those thousands of employees back with the local community—a process called “Gain Share.” This revenue-sharing model ensures that, even if property taxes are abated, the city and county still receive millions of dollars to fund the schools and fire stations that support industrial growth.
Data centers do not offer this. Because they are “concrete gulags” that employ only a handful of people once built, there is no meaningful income tax for the state to “share” back with Hillsboro. Under the Governor’s 10-year extension in HB 4084, the state will greedily collect the temporary construction payroll taxes from the out-of-state contractors who build these structures, but the local community will be left with zero property tax revenue for a full decade. While Intel was a partnership that shared the wealth, the data center model in HB 4084 is a pure extraction—leaving Hillsboro to provide the water, the roads, and the emergency services for billionaire-owned firms like Amazon and Google, while our own children and first responders are left with a massive budget hole.
KOTEK HAS PITTED THE STATE OF OREGON AGAINST THE PEOPLE OF HILLSBORO AND EVERY OTHER LOCAL COMMUNITY – That is Greed- That is NOT COLLABORATION of Prosperity!
Follow the Money: The ORESTAR Trail
The Governor’s “Friends of Tina Kotek” ORESTAR filings reveal why she remains unmoved by these warnings. The industries benefiting from the “Poverty Act” are her largest contributors:
$30,000 from Amazon.com Services
$20,000 from Google and affiliates
$15,000 from Microsoft
$22,500 from utility giants PGE and PacifiCorp, who profit from infrastructure paid for by residential ratepayer hikes.
Based on the Friends of Tina Kotek filings, the Governor has taken at least $325,308 from the specialized building and electrical trades. The most significant player is IBEW Local 48, the union representing the electricians who build the complex power systems for Hillsboro’s data centers.
Selling out hard-working Oregon families for $400,000? Yep- right now Tina Kotek is planning to do that.
The Looming 2026 Reckoning
Kotek’s insistence on serving her corporate masters is creating a political vacuum. In Oregon, the “Independent” and “Non-Affiliated Voter” (NAV) bloc is now the largest voting bloc, accounting for over 36% of the electorate.
The Governor is effectively handing a “golden ticket” to her 2022 nemesis, Christine Drazan. Just as the 2024 Trump victory was fueled by voters willing to “burn down the house” to be heard, Oregon’s independents are looking for a fighter who will prioritize local schools over BlackRock’s balance sheets.
The “Homeboy” Verdict
Let me out myself. I am a Democrat. I would not vote for Drazen because of her MAGA agenda and allegiance. I would sooner die. I’m just a small farm kid from Hillsboro. But if you do this to our Hillsboro community, which has already been violated by these Data Centers (30 with 10 more coming), I will vote for any Independent I can. So will thousands of Independents and Democrats who see you acting as a Republican or in some way manipulated. We don’t want any more of this here, Tina. Your arrogance seems to grow daily, and I have to wonder whether you are on your way out and looking to land a cushy paid energy board position? I mean, that is what this looks like.
These data centers are coming here anyway for the trans-Pacific submarine cables and the cheap power and water we give them at 1/3rd of what the rest of us residents pay. Giving Data Centers and AI Advanced Manufacturing Data Centers a 10-year ‘carrot’ isn’t economic development—it’s robbery.
Governor Kotek: You are either with the people of Oregon, or you are with the “Big Three” and their Ilk. On this issue, there is no midpoint. Democrat of DINO?
CALL TO ACTION: The Joint Committee on Ways and Means holds the purse strings. Tell them to cut the corporate welfare and save our schools. Reference HB 4084.
Check Out https://olis.oregonlegislature.gov/liz/2026R1/Measures/Overview/HB4084
Bonus Feature – My Letter to Governor Kotek
February 23, 2026
The Honorable Tina Kotek, Governor of Oregon 160 State Capitol 900 Court Street Salem, OR 97301-4047
RE: URGENT OPPOSITION TO HB 4084 – Protecting Hillsboro from the “Poverty Act”
Dear Governor Kotek,
I am writing to you today as a lifelong resident of Hillsboro, a former Planning Commissioner, and the Editor of the Hillsboro Herald. I am joined by thousands of community members, fire districts, and school advocates in expressing our profound opposition to House Bill 4084. Specifically, we demand that Section 9 be amended to exclude Data Centers and AI Advanced Manufacturing from eligibility for 10-year Enterprise Zone tax extensions.
Governor, the “Prosperity Roadmap” you are championing is, in reality, a Poverty Act for the people of Hillsboro. Our community has reached its breaking point. We are currently home to 30 data centers, with 10 more on the way, yet we are seeing our public services decimated while your administration proposes doubling the tax-free “carrots” for the wealthiest corporations on Earth.
1. The Broken Promise of Year Six The people of Hillsboro were sold a specific deal: we would endure the construction and the resource drain of these “Concrete Gulags” for five years, with the ironclad promise that these facilities would roll onto the property tax rolls in Year Six. We relied on that revenue to fund our schools, our police, and our fire services. By extending this to 10 years, you are retroactively robbing our community of the funds we have already planned for. If you wish to offer 10-year deals to new prospects, that is a choice you must defend to the voters; however, changing the rules mid-stream for existing players like QTS and CoreWeave is a betrayal of the local taxpayer.
2. The Mathematical Disconnect Your office cites 2022 data to claim a high ROI, but the 2026 reality is stark. Data center tax breaks in Hillsboro have doubled in just one year to $90 million annually. We are currently subsidizing low-density employment at an astronomical rate:
CoreWeave: Receiving $22.8 million in breaks for just 20 jobs ($1.14M per employee).
TikTok: Receiving $5.5 million for a mere 11 jobs ($504k per employee).
Total Local Toll: Over the next decade, HB 4084 will create a $900 million revenue hole in Hillsboro—starving our schools of $405M and our fire districts (TVF&R) of $135M.
3. The Absence of “Gain Share” When Intel expanded at Ronler Acres, the state provided Gain Share to help local jurisdictions offset property tax losses. Data centers offer no such protection. Because they employ so few people, there is no personal income tax for the state to share back with us. Under HB 4084, the State reaps the construction payroll tax while Hillsboro gets nothing but “empty monuments” on our best industrial land.
4. The Grid Crisis and Ratepayer Burden Data centers now consume 11% of Oregon’s electricity, a number set to hit 25% by 2030. This demand is sparking a 9-gigawatt power crisis that threatens regional reliability and forces residential ratepayers to pay for the massive grid upgrades these billionaires require.
5. Political Accountability ORESTAR filings show your campaign has accepted over $325,000 from the specialized trades and tech giants (Amazon, Google, Microsoft) that profit from this bill. At a time when 36% of Oregonians are Non-Affiliated Voters, ignoring the “rabble” of local school boards and fire districts is a dangerous political gamble.
Governor, you cannot lead from a “Coliseum balcony” while the people of Hillsboro are sacrificed for the “Big Three” asset managers. We demand that you protect our community’s future. Remove the 10-year Data Center extension from HB 4084 immediately.
Respectfully,
Dirk Knudsen Editor, Hillsboro Herald Hillsboro, Oregon
It gets even better, Dirk. It looks like the local IBEW might be throwing money away. I’ve been told by someone in a local union that the Big 3 are currently lobbying to limit the use of local labor, and instead bring in cheap out-of-state non-union labor, who typically do sub-standard work. So these precious jobs that Sollman goes on about? Not local, if the Big 3 get their way.
This is what happens when gullible or corrupted elected representatives open the barn door at the outset of talks.
Kotek’s “prosperity act” is a lot of meh, generally. But the stuff about land use, getting projects started, etc., all being “too hard” is just plain BS. Look around North Hillsboro, and it’s clear that isn’t the case. Maybe it is in Portland. But not out here. It’s just a PR line to convince rubes that data center sprawl is just fine.
Wealthy corporate executives, who made their fortunes here, whine about the “business environment” as if they’re all poor. Then they threaten to move their HQ to TX or wherever, but what has really changed about the business environment here that’s made it oh, just too hard now? Nothing, other than it’s fashionable on the street to beat up on “liberal Oregon” because Portland. Some might say taxes, but there isn’t anything that wasn’t already known by these executives. Cliche’ smears of Oregon is just manipulative PR to justify the railroading and wealth transfer.
Political essentialism is a disease. If someone is for tax reform or a “more competitive environment”, that doesn’t mean they must also support a terrible deal on data centers and battery storage facilities.
I heard exactly what you did RE Union Labor. The Data Centers / Big Three are pissed and want to bust any attempts for Unions to have a seat at the table or right to work on their monstrous projects. HUGE crews of workers will be brouht in from ourside the region- that is going to happen! Keep commenting and I appreciate your participation!
I’ll write to Kotek, but is it SB 4084 or HB 4084? Both are mentioned.
I guess the headline was wrong. It’s HB 4084.
Haven’t you heard? Kotek wants to get Oregon on CNBC’s top states for business list, she basically wants to sell out Oregon. This is what her campaign is running on. This Governor was the reason I changed my voter registration to unaffiliated. She is the worst Governor Oregon has had in my lifetime, why was there no primary against her? Thanks for trying to draw attention to this matter, and I hope that you will continue to do so.
Kotek is really pulling some crazy shenanigans to get the bills she is pushing passed. You might have already seen this, but OPB had an article yesterday regarding HB 4084. It made her look better than she deserved in the headline but reading the article you can get a bit of a sense:
“Kotek has said juicing economic activity in Oregon is now a key focus for her administration. But HB 4084, her central proposal during this year’s session, has run into trouble among some in her party.”
“Last week, the bill was snatched from a budget subcommittee dealing with economic development that had scheduled it for a hearing. According to Sen. Jeff Golden, an Ashland Democrat who co-chairs the committee, that maneuver came after he made clear he would propose an amendment to the bill barring data centers and cryptocurrency mining operations from receiving tax breaks.”
“I took that all the way to the top of the food chain,” Golden said in the committee hearing. “The next thing I know, I come here and find that the bill has been removed from the agenda and presumably is being routed elsewhere. My strong judgment is that’s not what the people of Oregon deserve.”
“HB 4084 eventually showed up in a separate budget committee. Nathanson’s proposal to pause new tax breaks for data centers emerged over the weekend.”
The new “pause” until summer 2027 essentially does nothing, but will give the governor cover for her re-election campaign.
As long as Kotek is our governor, these issues will be front and center because of how she has chosen to lead and who she’s chosen to align herself with as governor. It will be great if you guys are able to show Senator Sollmon the door, but unless we get someone different as governor, these battles will continue– most likely get worse with her re-election.
And NO, I don’t think republicans are any better on this issue in our state.
I’m sorry, do you really think that Tina Kotek approves everything that goes thru. have you ever compromised? imo