Kotek Data Center Order Halts 20 Fiber Permits in Oregon

Gov. Tina Kotek’s September executive order banning data centers on state lands has paused 20 fiber-optic permit applications in Oregon. The Oregon Department of Transportation (ODOT) placed the projects on hold to determine if they involve supporting data center operations.

The order directed state agencies to pause approving new or pending leases, easements, and right-of-way permits for data centers on state properties. ODOT is now evaluating at least 20 permits for fiber and broadband projects to investigate their connection to data centers.

Spokesperson Kevin Glenn stated the agency is verifying whether the projects are “specific to data centers.” He noted the agency has limited insight into the full purpose of these projects and did not set a deadline for companies to respond. Glenn said the timing is dependent on the proposers.

Glenn explained in an email that the applications permit the installation of large amounts of buried broadband or fiber conduit on state right of way. This infrastructure is typically located along the highway shoulder, which strongly indicates a potential connection to data centers. The agency has asked the companies to describe their projects to clarify if they are associated with data centers.

Three companies control the 20 paused applications: Zayo Group Holdings, Lumen, and Intermountain Infrastructure Group. Zayo, based in Denver, completed a 622-mile fiber optic route in 2025 connecting data centers in Prineville and Umatilla to Reno, Nevada. ODOT paused nine of Zayo’s permits for cable installation from Morrow to Multnomah counties and between Wheeler and Clackamas counties.

Lumen, a multinational company, owns six data centers in Oregon, including facilities in Portland, Eugene, and Bandon. The transportation department paused nine permits Lumen needs to lay underground cables from Wasco to Umatilla, Baker, Lincoln, Linn, and Malheur counties.

Intermountain Infrastructure Group, based in California, does not own data centers in Oregon. The company has been building a fiber infrastructure corridor across the Pacific Northwest, which was slated for completion this year. ODOT paused two of its permits to expand into Umatilla County.

Representatives for the three companies have not responded to requests for comment over the past two weeks. Khara Boender, the Data Center Coalition’s West Coast director of government affairs, said the pauses are burdensome to companies following state rules. Boender stated in a statement that pausing agency work midstream sends a concerning signal to companies weighing long-term investment in Oregon.