What’s Happening With Data Centers in Hillsboro?
Hillsboro is taking a closer look at where new data centers and battery energy storage facilities can be built — and the rules that should apply to them.
In July, the Hillsboro City Council approved a temporary 120-day moratorium on applications for new and expanded data centers and Battery Energy Storage System (BESS) facilities. The pause gives the City time to study the issue, gather community input and consider changes to its development code.
Here’s where things stand and what Hillsboro residents should know.
Why Did Hillsboro Put a Moratorium in Place?
The moratorium took effect July 27 and is currently scheduled to run through November 24, 2026.
According to the City, the goal is to give officials more time to evaluate where these facilities should be located, how they should be regulated, and what their environmental and economic impacts could be before making longer-term decisions.
It’s a significant issue for Hillsboro. As of July 21, the City reported 23 data center sites that were either already constructed, in permitting or under construction, covering approximately 570 acres.
What Could Change?
One of the biggest questions is where future data centers and energy storage facilities should be allowed.
Under the proposal currently being considered, these uses would be limited to Hillsboro’s I-P (Industrial Park) and I-S (Industrial Sanctuary) zones.
The Planning Commission has also asked City staff to provide additional options as it continues considering the proposed changes.
This is only the first phase of a broader review.
The City also plans to look at development and design standards, environmental and economic impacts, utility availability, community service fees and policies related to Hillsboro’s Enterprise Zone. Some of that work is expected to continue into 2027.
What Happens Next?
The Planning Commission held a public hearing on August 26 and is scheduled to resume deliberations on September 9. No additional testimony will be accepted at that meeting.
The current schedule then calls for the City Council to consider the proposed code amendments, with a first reading tentatively scheduled for September 15 and a second reading for October 6.
The current 120-day moratorium is scheduled to end November 24, although the City Council has the option to extend it.
Why We’re Following It
While much of Hillsboro’s data center development has been associated with the city’s industrial areas, decisions about large-scale development, infrastructure and future land use can have broader implications for a growing city.
For South Hillsboro residents, this is one of those citywide issues worth keeping an eye on as Hillsboro determines how future growth will be managed.
We’ll continue to follow the process as the City considers its next steps.
Want to Dig Into the Details?
Read the City of Hillsboro’s latest information on the data center moratorium, proposed code changes and upcoming meetings.
VIEW CITY UPDATE →