Land Required for a Semiconductor Research Center: Oregon Governor is Walking a Tightrope

The State Could Become a Central Hotspot of the Semiconductor Industry

The proposed research center could attract $1 billion in federal funding and establish Oregon as a semiconductor industry hotspot for future decades. The bone of contention is a parcel of 1,700 rural land acreage near Hillsboro.

Meanwhile, the governor’s office has released a statement confirming that Kotek will incorporate rural land into the urban hub for the research center, but does not specify how much land is involved or where it is situated.

Intel Will Look Elsewhere if Oregon Cannot Deliver

Fighting for the new development are Oregon U.S. Sen. Ron Wyden, and Intel, represented by engineer Lucian Shifren. They have warned the governor that the Intel research center development could be allocated to another state if sufficient land is unavailable in Oregon.

‘Only the governor can make Oregon competitive’ by allocating the land, states Shifren. Intel has been vigorously pursuing the parcel of land to expand its Hillsboro research campus and Shifren has indicated that the company will look elsewhere if Oregon cannot deliver.

Farmers and Environmentalists are Opposed to the Project

However, environmentalists and farmers are demanding that rural land remains off-limits to the Intel project.

Earlier this month, 18 organizations wrote to the governor describing the land as ‘some of the best farmland in the world’ and asked that the research center be established on industrial land. They described the 1,700-acre parcel as a ‘nonrenewable resource.’

Now, Kotek finds herself in a delicate balancing act because of legislation she signed into law last year placing the semiconductor industry in line for $210 million in funding and giving herself temporary authority to allocate rural land for industrial development. This power expires at the end of 2024.

The legislation is tied to the CHIPS Act which has earmarked billions of dollars in federal funding to revive research and manufacturing in the semiconductor industry. Both Democrats and Republicans in Congress supported the legislation.

The Focus is on Making Oregon the Anchor of the Semiconductor Industry

Oregon is focused on becoming the anchor of the semiconductor industry by providing at least two of three hubs sought by the Commerce Department for semiconductor design, advanced chip packaging, and advanced lithography that imprints microscopic features on computer chips.

The overseer of the research center sites sought by the Commerce Department is Laurie Locascio who says if successful, the semiconductor centers will impact Oregon for the next 40 to 50 years.

At a function in Corvallis for inventors and investors, Locascio said the research hub will form a strong bond between universities and the semiconductor industry.

Sen. Wyden’s economic advisor Madison Moskowitz says any parcel of land smaller than the 1,700-acre expansion sought by Intel will sabotage Oregon’s efforts to become a central player in the semiconductor industry.

She points out that New York, Ohio, and Arizona are providing thousands of acres to manufacturers, and urges the governor to ‘think big.’

Moskowitz says this is an opportunity form Oregon to build, innovate, and grow and that Kotek should take advantage of her political backing and legal authority to achieve that goal set.

Takeaways

Land-use decisions are historically contentious.

Oregon’s urban growth boundaries preserve forests and farmland, integral to the state’s cultural identity and economy.

Previous efforts to expand rural land into urban hubs for industry or housing have been met with strong opposition.

Governor Kotek’s office says it will release information for public comment and hearing on the Intel matter after a draft decision is completed.

Oregon's Semiconductor Industry