Facebook To Build 3rd Data Center In Prineville

By Amanda Peacher (OPB)
Sept. 1, 2015 10:12 a.m.

Facebook opened its first data center in Prineville in 2010. The company currently has plans for a third. The town also hosts an Apple facility, and officials say they'd like to see two more data centers in the area.

Each of Facebook's two data centers in Prineville, Oregon, is a little bit longer than an aircraft carrier.

More than 800 million people use Facebook every day, and their data gets stored in rows upon rows of servers at data centers, like the one in Prineville.

Facebook says the facility is one of the most energy efficient data centers in the world. Still, the building uses as much energy as all of the other homes and businesses in Crook County combined.

The power purchased by Apple and Facebook generates franchise fees for the city of Prineville. In Facebook's case, that brings over $1 million to the city's budget every year.

Both Facebook and Apple built their data centers in Prineville's business enterprise zone. That means they pay taxes on their property, but not on the value of improvements for the first 15 years. The details of enterprise zone contracts remain largely secret.

In the hot summer months, outside air is cooled with a pressurized mist before circulating through the facility.

Facebook announced plans Tuesday to build its third data center in Prineville, five years after first breaking ground in Central Oregon.

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The announcement comes after the city of Prineville agreed to a new tax deal for Facebook last week.

Similar to agreements for Prineville's other two Facebook data centers, the latest deal allows certain property taxes to be deferred for 15 years. In exchange, Facebook provides a lump sum payment to the city in lieu of taxes each year.

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Ken Patchett, Director of Data Center Operations for Facebook, posted about the new center on Facebook. He says the new center represents an additional capital investment in excess of $200 million for the company.

"Today, there are 147 people working here – with 85 percent living in Crook County," wrote Patchett. "Our goals in both construction and the operation of Facebook’s data center in Prineville have always been to make Prineville a priority, be a great neighbor, and assist with the area’s economic development."

In an interview following the passage of the city resolution, Prineville Mayor Betty Roppe said the new data center is an important economic development for the city.

"As part of the agreement they agreed to pay 150 percent of the usual and customary wage in the city of Prineville", said Roppe. "So it's definitely a boon for us."

Apple may also be close to announcing another Crook County facility. County judge Mike McCabe says the county has been in conversation with the company, and expects a deal with Apple very soon.

"We haven't finalized it yet," said McCabe. "But that is forthcoming. We think that its imminent."

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