Salem considers data-center moratorium as Mill Creek project advances

Salem officials are considering restrictions on new data centers as developer Verrus begins city review of a proposed $5.1 billion project at Mill Creek in southeast Salem.

Verrus submitted its first city-review application on July 31, 2026, starting a formal review of the proposed data center. The project has been publicly described as the Oakline at Mill Creek data center.

Council discusses possible moratorium

The Salem City Council held a public meeting August 3 to discuss whether the city should impose a moratorium on new data centers. The city manager’s office has identified data-center review as an active issue for the council and the community.

A city public calendar listed another council meeting for August 10. The calendar establishes the next scheduled council meeting but does not establish that the council will adopt a moratorium or take final action on the project.

The proposal has drawn strong public opposition at a Salem council meeting, according to a report by Tom’s Hardware. That report also identified the project as a $5.1 billion proposal by Verrus.

Technical questions remain in review

City staff have held introductory, development-process and technical meetings with Verrus and the Salem Economic Development Corporation, or SEDCOR. The technical discussions covered site design, transportation access, utility needs, environmental considerations and possible preservation of heritage oak trees.

The review could shape decisions involving Salem’s power, water, transportation, land use and tax base. A moratorium could also determine whether similar large data-center proposals move forward under the city’s current rules.

The project remains a proposal undergoing city review. The city has not disclosed final electricity demand, water consumption, tax revenue, construction employment or the project’s development-application status beyond the initial submission.