The county commissioners there had requested the declaration.
Governor Kitzahber says drought conditions continue in southern Oregon and Jackson County is the latest to reach this critical point where they are threatened with water shortages and low stream flows later this year.
Also today the U.S. Department of Agriculture has designated six Oregon counties as natural disaster areas due to the drought.
They include Jackson, Klamath, Lake, Malheur, Harney and Lane counties.
These counties are eligible for assistance including emergency loans.