Royalton voters approve five-year moratorium on AI and crypto data centers

Voters in Royalton, Vermont, approved a five-year moratorium on constructing AI and cryptocurrency data centers during the town's annual meeting on March 3, 2026. The decision addresses environmental concerns over the facilities' high energy and water demands. The town's Planning Commission will now draft the policy for further approval.

At the Royalton Town Meeting held at White River Valley School’s South River campus, voters raised hands in favor of Article that imposes a five-year moratorium on building AI and crypto data centers. The vote reflects worries about the environmental impact of these large-scale operations, which Planning Commission Chairman Geo Honigford described as "massive" facilities that "hum, consume gobs and gobs of power" and require "tremendous amounts of water to cool," making them "way out of scale for our environment."

The initiative stemmed from concerns raised by resident Jane Philbrick to the Selectboard in January. Resident Elizabeth Willhite questioned the need for a clear definition of data centers, noting that without one, the town might unintentionally hinder smaller commercial developments. The moratorium targets specifically large-scale centers, leaving room for other business growth.

State Sen. Becca White, D-Hartford, whose district includes Royalton, addressed the meeting to discuss her proposed state-level bill, S. 205. This legislation defines an AI data center as a facility needing more than 100 megawatts of new load for AI inference, training, simulation, or synthetic data generation. White noted, "That would be larger for energy use than Burlington and Winooski combined in one facility." She added, "I thank the Selectboard for their consideration of this topic."

Approximately 7%, or 154, of the town’s registered voters attended the morning session. Beyond the moratorium, voters approved a $2.57 million general fund budget, with $2.29 million from taxes, following an amendment by resident Devin Brennan to correct a $5,000 discrepancy in the proposed figures. They also passed a $1.6 million highway budget, funded $1.4 million by taxes, and an amended $180,000 allocation for roadwork on Pleasant Street and Oxbow Road, approved 62-46. Additionally, $26,000 was appropriated for social services, including a $1,500 grant to the Family Place, up $1,300 from last year due to state and federal funding cuts, as explained by board member Lauren Rhim.

Ballot voting for town officers continued until 7 p.m., featuring a write-in challenge by Tim Parker against incumbent Christopher “Kip” Bergstrom for a Selectboard seat.

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