Port Washington voters approved a referendum that requires city officials to seek public consent before granting tax incentives exceeding $10 million to future developers. According to unofficial county results, approximately 66% of voters backed the measure.
The vote follows local opposition to a planned $15 billion AI campus by Vantage Data Centers. The project, a partnership involving OpenAI and Oracle, is part of the Trump administration's 'Stargate' initiative to expand national AI infrastructure.
Local nonprofit Great Lakes Neighbors United organized the movement, collecting over 1,000 signatures to place the measure on the ballot. The group cited concerns regarding noise pollution, freshwater consumption, and rising energy costs.
Legal challenges and industry impact
The referendum does not affect the current Vantage project, which broke ground in December and is slated to receive roughly $458 million in tax benefits. However, the Metropolitan Milwaukee Association of Commerce filed a lawsuit in January, arguing the measure violates state law.
This local pushback mirrors a broader trend in the United States. Data Center Watch, a tracking project by 10a Labs, reported that roughly 20 data center projects worth $98 billion were blocked or delayed between March and June of last year.
Similar votes are approaching in other regions. Monterey Park, California, faces a June vote on a total ban for new data center construction, while Augusta Township, Michigan, will decide on an ordinance override in August.
National scrutiny regarding energy use is also increasing. US senators are currently investigating whether AI data center expansion is driving up electricity costs for consumers, following a study showing price surges of up to 267% over five years in areas with high data center activity.
