Amazon’s role in Umatilla and Morrow counties has grown during the decade and a half since the company started constructing data centers in the area

When Amazon came to Eastern Oregon about 15 years ago, many people didn’t know what to expect from the large company setting up new buildings to serve as “data centers.”

Today, many still don’t know exactly what a data center is, but for communities in Morrow and Umatilla counties, their presence has made a difference. In Morrow County, even with three of five data centers still in a tax-exempt status, Amazon Web Services pays more than $19 million in property taxes — that’s more than the next 16 largest taxpayers in the county combined.

“They’re paying in for economic development, schools, all these things,” said David Sykes, Morrow County commissioner. “The government entities have more money to spend on services to the people. The health district gets more money, the county gets more money. It’s all increased.”

Plus, Sykes said, having jobs through Amazon, in addition to other technology and industry positions, creates opportunities for young people and others in the workforce, which he said “contribute to us having a vibrant community in Morrow County.”

The growth and development of data centers — and thus the impact of Amazon on progress in Morrow and Umatilla counties — is tied to the communities in which they’re located. One local Amazon Web Services employee, David Tanner, director of infrastructure operations, said he’s seen the growth firsthand. The partnerships between Amazon and local schools and organizations have created opportunities for building in-demand skills, he said.

Morrow County ‘going in a good direction’

Torrie Griggs, CEO of the Boardman Chamber of Commerce, said Amazon’s investments are helping drive the regional economy.

“In Morrow County, their presence means good-paying local jobs, reliable tax revenue and funding that directly impacts our schools, emergency services and infrastructure,” she said. “These are real impacts that make a difference for the people who live and work here.”

According to Mike Gorman, Morrow County assessor and tax collector, Amazon represents close to half of the county’s taxable property value and its taxes account for about a third of the total levied in the county. In that way, he said, “it’s been very favorable” to have data centers in the county.

Additionally, Gorman said, Amazon has agreements to pay money to enterprise zone sponsors in lieu of certain taxes, helping support community development projects, schools, housing and more across the five communities in Morrow County.

“Things are definitely going in a good direction,” said Gorman. “We’re not stagnant, like maybe some of our neighboring counties to the south.”

He added that continuing to build sites in this area will keep local contractors and other businesses busy. However, technology changes quickly and the company’s needs may shift, too. Since the first data centers popped up, storage capacity and energy requirements have changed, Gorman pointed out, and there’s no way for him to predict the local impact of future technology trends.

Umatilla County looks forward

Meanwhile, Umatilla County Commissioner Dan Dorran said he believes in the decades to come, Umatilla County will be seen as “a strong place to participate” in the industry. Dorran said the “thirst and hunger” has not diminished in the 15 years since Amazon started paying taxes in Umatilla County.

“It’s a driven industry and unless we all say, ‘OK, I don’t want to know any more than what I already know,’ that industry’s not going to slow down,” Dorran said.

In Umatilla County, too, Amazon has a Strategic Investment Program agreement and several Long Term Rural Enterprise agreements in lieu of taxes, county Assessor Rachael Reynolds confirmed.

Additionally, the data centers have created about 7,400 full-time equivalent jobs regionally, and Dorran said they have added about $9 billion to the gross domestic product in Eastern Oregon. Data centers also have a positive effect on another main industry in the area: agriculture.

Using GPS in agriculture is becoming more common, and that data comes from centers like — if not actually — the ones in Eastern Oregon, Dorran said.

“That’s how much we should be proud of Umatilla and Morrow counties, how much they’re contributing to our progress,” he said. “ It’s just hard to find and recruit industries that have done what Amazon and the data centers have done for Umatilla and Morrow counties.”

Dorran specifically mentioned Amazon’s philanthropic contributions, such as supporting local events or contributing financially to buildings or community services. Some of these things, he said, wouldn’t have even started or survived without Amazon’s support, “and now they’re thriving on their own.”

The company also, from his perspective, pays it forward with projects they need for their centers but that will also be used by others, like roads or energy substations. Dorran said he knows there are detractors but hopes people see the benefits the region has gained because of the data centers here. Looking to the future, Dorran said he sees a strong continued partnership with the tech giant.