Portland City Council Housing & Permitting Committee 09/01/26
Council committee voted unanimously to tell the city administrator: don't sign secret NDAs with data center companies, and yes, they're eyeing a moratorium on hyperscale ones next. One councilor (Pirtle-Guiney) flagged her wife works at Microsoft. Full council vote comes next, Sept 15.
Summary
A resolution urging Portland's city administrator to refrain from signing non-disclosure agreements related to data centers cleared the Housing & Permitting Committee unanimously and now heads to full council. Sponsored by Councilors Koyama Lane and Green, the resolution asks the city to notify council of data center inquiries and to keep decisions about siting, permitting, utility rates, and public resources transparent. An amendment adopted during the meeting added language stating council's intent to pursue a moratorium or zoning restrictions on hyperscale data centers as soon as possible. Councilor Pirtle-Guiney declared a potential conflict of interest, noting her wife works for Microsoft, which develops data centers.
Staff from the Bureau of Planning and Sustainability explained that data centers are currently treated as "industrial office" uses under Portland's zoning code, allowing them in commercial, mixed-use, and employment zones, plus industrial zones within the Central City. They noted Portland's small lot sizes make it less suited to large hyperscale facilities. Invited speakers and roughly a dozen public testifiers raised concerns about data centers' water and energy use, noise and heat, effects on the electrical grid and utility rates, and the secrecy of backroom deals. Many urged the city to go further with a full moratorium or ban, and several asked that the word "urge" be changed to "require" or "prohibit" — though Councilor Green explained the city charter limits council to signaling intent rather than directing the mayor's contract authority through a resolution.
Chair Avalos also gave an update on the Unified Housing Strategy, reporting that three stakeholder sessions on preservation, production, and funding had been held, with additional virtual sessions and district-level public conversations planned for the coming weeks. The resolution now goes to full council, and the committee's next meeting is set for September 15.
Key Points
- Resolution urging the city administrator to refrain from signing data center non-disclosure agreements was advanced to full council, with an amendment stating council's intent to pursue a moratorium or zoning restrictions on hyperscale data centers
- Update on Unified Housing Strategy community engagement, including three stakeholder sessions held and district-level public conversations planned for October
- Staff presentation on how data centers are currently classified as industrial office use in Portland's zoning code and where they are allowed
Votes (2)
Amendment Koyama Lane-Green One to Resolution 2026-299
Adds a clause stating City Council intends to pursue a moratorium or zoning restrictions on all hyperscale data centers at the earliest time and consider additional approaches for large load data centers
Resolution 2026-299 (as amended)
Urges the city administrator to refrain from signing data center non-disclosure agreements, notify City Council of inquiries for data center deals, and engage in transparent public processes related to data centers
Action Items
- Refer Resolution 2026-299 as amended to full City Council for a vote
- Housing Bureau to re-contact council offices about district-level engagement sessions with specific questions
- Staff to research what a 20-megawatt data center translates to in terms of building and lot size before the resolution reaches full council
- Councilors to help coordinate district-based Unified Housing Strategy engagement sessions
- Next Housing & Permitting Committee meeting scheduled for September 15
Issues Discussed (13)
The committee unanimously advanced a resolution to full council with an amendment stating council's intent to pursue a moratorium or zoning restrictions on hyperscale data centers "as soon as possible," after public testimony raised concerns about water/energy use and grid impacts. Staff noted data centers currently qualify as "industrial office" use under existing zoning code, allowed in commercial, mixed-use, employment, and Central City industrial zones.
The Housing & Permitting Committee unanimously advanced a resolution urging the city administrator to avoid signing non-disclosure agreements on data center deals and requiring council notification on siting, permitting, and utility decisions, adding an amendment signaling intent to pursue a moratorium or zoning restrictions on hyperscale facilities. Public testimony pushed for stronger language like "require" or "prohibit," but Councilor Green noted charter limits restrict the resolution to signaling intent rather than binding the mayor's contract authority.
Chair Avalos updated the committee on the Unified Housing Strategy, noting three stakeholder sessions on preservation, production, and funding had been completed, with additional virtual and district-level public conversations planned for October. Councilors were asked to help coordinate district-based engagement sessions.
Not addressed in this meeting; the summary focuses entirely on data center regulation and the Unified Housing Strategy, with no mention of chemical weapons or tear gas policy.
Not mentioned in this meeting; the session focused on a data center non-disclosure agreement resolution and an update on the Unified Housing Strategy engagement process.
Not directly addressed in this meeting; the session focused on a resolution regarding data center non-disclosure agreements and zoning, with no specific discussion of enforcement or accountability conditions for a Zenith franchise agreement.
Not addressed in this meeting; the session focused on a resolution regarding data center non-disclosure agreements and zoning, along with an update on the Unified Housing Strategy.
Committee scheduled its next meeting for September 15 and outlined follow-up tasks, including staff research on data center building/lot size implications before the resolution reaches full council and coordination with council offices on district-level Unified Housing Strategy engagement sessions.
The Housing & Permitting Committee unanimously advanced a resolution urging the city administrator to avoid non-disclosure agreements on data center deals, adopting an amendment stating council's intent to pursue a moratorium or zoning restrictions on hyperscale data centers. Staff noted data centers are currently zoned as "industrial office" uses, and public testimony pushed for stronger language like "require" or "prohibit," though officials cited charter limits on directing the mayor's contract authority.
The Housing & Permitting Committee unanimously advanced a resolution urging Portland's city administrator to avoid signing non-disclosure agreements on data center deals and to keep council informed of siting, permitting, and utility decisions, adding an amendment signaling intent to pursue a moratorium or zoning restrictions on hyperscale facilities. Public testimony pushed for stronger language like "require" or "prohibit," but Councilor Green noted charter limits restrict the resolution to signaling intent rather than binding the mayor's contract authority.
The committee unanimously advanced a resolution urging the city administrator to avoid signing NDAs on data center deals, adopting an amendment that explicitly states council's intent to pursue a moratorium or zoning restrictions on hyperscale data centers. Staff noted data centers currently qualify as "industrial office" use under existing zoning code, and the resolution now heads to full council for a vote.
Bureau of Planning and Sustainability staff explained that data centers are currently classified as "industrial office" uses under Portland's zoning code, permitting them in commercial, mixed-use, employment, and Central City industrial zones, and noted the city's small lot sizes limit suitability for hyperscale facilities. This informed a committee-approved resolution amendment signaling council's intent to pursue a future moratorium or zoning restrictions on hyperscale data centers.
The Housing & Permitting Committee unanimously advanced Resolution 2026-299, urging the city administrator not to sign non-disclosure agreements related to data centers, to full council, adding an amendment expressing intent to pursue a moratorium or zoning restrictions on hyperscale data centers. Public testimony raised concerns about water/energy use and grid impacts, with some urging stronger language ("require" or "prohibit" instead of "urge"), though Councilor Green noted charter limits on council's authority over the mayor's contracting power.