Data Centers and the Future of Newberg’s Mill Property

Data centers are universally unpopular. According to recent reporting by the New York Times, nearly three in four Americans oppose the construction of data centers in their communities, especially if those centers–and more broadly, artificial intelligence–remain unregulated.

As more government leaders realize that unfettered creation of data centers is an unpopular issue, they have gone mostly silent on building data centers in the communities they serve. In other words, some folks were for data centers, until they were against them. 

This includes current Newberg mayor Bill Rosacker. In a long Facebook post published in  February 2025, Rosacker wrote that he was “somewhat supportive of a small server farm (<20 acres)” on the WestRock mill property in south Newberg. Rosacker argued a server farm could provide several well-paying jobs and a significant tax base while requiring fewer employees to travel to and from the data center site. He also specifically referenced the property’s access to electricity, the Willamette River, water rights and potentially treated wastewater as reasons Newberg could accommodate such a use.

And, just last month, Newsberg reported that Rosacker was appointed to the Environmental Protection Agency’s (EPA) Local Advisory Committee, a group of local and state officials who advise the agency on environmental issues affecting local governments. The committee will begin its new charter by discussing the challenges local governments face in the sustainable siting and development of AI infrastructure and data centers. While this does not mean Rosacker was appointed because of his views on data centers, it does make his February 2025 comments particularly relevant as Newberg discusses the future of its own industrial land. 

Surely Rosacker recognizes the unpopularity of data centers in Newberg, and the community’s general resistance to having them planted at the mill site. Because it’s clear that Newberg also does not want a data center built here. Why else would petitioners for a Rural Heritage Park ordinance use data centers as an enticement to gain signatories? 

As the political action committee Share Our Parks organization pointed out in an July 31 Facebook post, the petitioners for a Rural Heritage Park ordinance were misleading others. Petitioners, text messages, and signage suggested a bill would assure that data centers were permanently prohibited from Chehalem Park and Recreation District property. This obfuscated the real intent of the petition: to keep bike riders from using trails at Crystal Rilee Park, raising questions about whether a small group of people should make decisions about publicly-funded, publicly-maintained properties. 

The messaging from Rosacker about data centers is muddled, perhaps because they are so unpopular, and because he was for data centers, until nearly everyone else was against them. These are policy questions he should more readily answer: Does he still support placing a data center of up to approximately 20 acres on the former mill property? And, given his new federal advisory role, how should communities like Newberg balance data-center development against water use, energy demand, industrial-land scarcity, employment generation and neighboring residential areas?

Rosacker’s opponent, Elise Yarnell Hollamon, is offering a different, far more transparent and compelling position. She acknowledges that data centers are part of the infrastructure supporting modern technology, but does not support placing one within Newberg or rural Newberg. Our community’s limited industrial and employment land should instead be prioritized for uses that generate substantial numbers of living-wage jobs and contribute to a vibrant riverfront and mill district.

“Data centers are an inevitable part of modern life,” Hollamon told us. “Every day, we rely on technology that requires this infrastructure, and pretending otherwise isn’t realistic. What is realistic is being thoughtful about where data centers belong and scrutinizing their impact on the communities where they’re proposed. I do not support a data center within Newberg’s city limits or rural Newberg.”

Hollamon has a mill strategy that begins with bringing the property back online and developing it as competitive employment land. She proposes revisiting and revitalizing the Riverfront Master Plan, directing eligible Urban Renewal resources toward infrastructure and predevelopment barriers at the former mill, and building a direct working relationship with the private property owner so Newberg has an active seat at the table as the site’s future is determined.

For Hollamon, the mill is fundamentally an affordability and economic-development issue. Newberg has lost significant manufacturing employment, and the former mill represents one of the community’s most consequential opportunities to recruit new employers. Her argument is that public economic-development tools should be used intentionally to lower the barriers preventing private investment, rather than waiting for the market to determine the future of the riverfront without meaningful city involvement.

Her plan also considers River Street and its thriving as an established residential neighborhood. While River Street residents are already navigating significant questions surrounding road reconstruction, Hollamon argues that the ultimate use of the mill should account for traffic, neighborhood impacts, the riverfront and the city’s broader economic-development goals—not simply tax-base generation.

Fundamentally, in our efforts to build a better community, we believe that thoughtful planning is necessary, rather than ready capitulation to tech companies looking for cheap land and energy to build their data farms. 

This is why Newberg Neighbors is supporting Elise Yarnell Hollamon: someone who is for all of Newberg, not just the privileged few. We believe Better is Possible for Newberg.

Superintendent Contract – A Citizen’s Take

Newberg School Board, and Dr. Phillips,                                               1/16/24           

While not able to attend, I have listened to the recording of the Jan. 9th Board meeting, and particularly the extensive discussion of Dr. Phillips’ contract and the Feb. 15th deadline to trigger/not trigger automatic rollover of the contract for a fourth year. I appreciate the seriousness and thoughtfulness in which all of the board members entered this discussion, both long-term members and new members to the Board. 

I would like to offer my thoughts on the situation, as a resident of Newberg and a parent of NSD alums. 

In an ideal world, all parties (employer and employee) enter into contracts in which everyone is thrilled with all details, and those contracts play out in environments that never call into question any element of the contract, or the working relationship from which the contract arose. As we know, in very few working contexts are all, or even most of these ideals met.

There are a few factors at play before discussing the 3 year rolling nature of the contract, the Feb. 15th deadline to amend/abridge and what doing so would or would not signify about Dr. Phillips’ future in the District. Among them are:

·      This 3 year contract was entered into after a relatively brief time on the job on Dr. Phillips’ part, and without public evidence of a robust performance evaluation by the previous Board. 

·      The contract was entered into with no public Board discussion, no public input, and, potentially, no or limited vetting by District legal counsel. 

·      In the less than a year that the new Board has been in place, no robust performance review of Dr. Phillips has been done. 

·      Indications are that this contract, both in its base salary and built in perks, is significantly more generous than those contracts of both previous Newberg Superintendents, and current Superintendents in comparable (3up/3down, to use Director Bridges’ term) Districts. 

·      As noted by the legal counsel, the nature of the 3 year rolling contract as written makes it very easy to continue indefinitely, and very challenging to amend or terminate. 

In listening, and watching the recording of the 1/9 meeting there seems to have been quite a bit of discussion and consternation around the term “terminating the contract.” I feel this clouded the issue. If, at the Feb. 13th Board Meeting the Board votes to “Terminate the CONTRACT” it is doing JUST that, terminating the automatic renewal of THIS contract AS IS two years from now. 

It is NOT terminating, or SIGNALING the PENDING, or even LIKELY future termination of Dr. Phillips. 

I recognize that, emotionally, it is less favorable for Dr. Phillips to be working under a contract that he knows will not last indefinitely, and he’ll need to renegotiate over the next two years, but this is a situation that employees face in all sorts of jobs (from teachers having contracts renegotiated to professional athletes being asked to renegotiate contracts that their teams no longer feel are favorable). 

Dr. Phillips then has a CHOICE. HE can decide if he likes working in Newberg, feels that his performance is likely to lead to a newly negotiated contract that will enable him to remain in Newberg OR he could decide to seek comparable compensation and employment in a new District. By not agreeing to roll the contract, as is, over for a 4th year, the Board is NOT FORCING HIM OUT, or even gently nudging him out. He is an adult professional, able to make decisions that he feels are best for himself and his family. 

In the hiring process that resulted in Dr. Phillips’ hiring, at least one imminently qualified candidate was passed over. Were Dr. Phillips to choose to leave, NSD would have other qualified candidates to choose from. 

Were Dr. Phillips decide to stay, and performance evaluations, District enrollments and finances and community support for him suggest he should be retained two years from now, he is absolutely free to enter into a new contract and remain here as long as all parties are satisfied with the conditions of his employment. 

I do NOT feel the contract should be automatically rolled over on the 15th because failure to do so might hurt Dr. Phillips feelings. 

I believe it is a bad contract for the District. It is out of line with our history, with comparable contracts in neighboring communities, and is likely to complicate negotiations with the teacher’s union who are almost certainly not going to be offered anything proportionately similar (in salary or perks). I believe the only responsible thing for the Board to do is to terminate this contract (in 2 years, as is the earliest possible date) and return the Superintendent’s contract to one more proportionately appropriate. 

My sense of this says NOTHING about whether or not Dr. Phillips should be the long-term Superintendent of Newberg Schools. Only annual and substantive performance reviews, and the future enrollment/academic/financial performance of the District can speak to that. I trust Dr. Phillips’ ability as an adult professional to understand the difference between rejecting an unwise contract, and the rejection of him personally. I hope the Board will not conflate the two.

Dr. Steve Sherwood

Newberg Resident

Blog at WordPress.com.

Up ↑