A Wisconsin town became the first city in the nation to pass a referendum restricting artificial intelligence (AI) data center development after a vote Tuesday.
Port Washington residents voted overwhelmingly in favor (66%) of a ballot measure that would require city leaders to obtain voter approval before granting tax incentives exceeding $10 million to developers.
The ballot measure came after Vantage Data Centers announced intentions to develop a $15 billion artificial intelligence campus in collaboration with tech giants OpenAI and Oracle in October.
The measure was developed by Great Lakes Neighbors United, a local grassroots organization that formed after the original Vantage Data Centers announcement. The organization released a statement celebrating the voting results.
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“Tonight, democracy worked the way it’s supposed to,” Great Lakes Neighbors United member Christiane Le Jeune said. “Over 1,000 residents signed the petition that put this measure on the ballot, and tonight Port Washington voters spoke with one clear voice. The people deserve a seat at the table when their tax dollars are on the line.”
While the measure will not affect the current deal with Vantage Data Centers, it places additional obstacles in the way of other developers, especially AI data organizations seeking tax incentives in the city.
“We are not against development,” co-founder Carri Prom said. “We are for development that the community understands, supports and has chosen together. Tonight proves that when citizens organize and engage, their voices can be heard.”
Fox News Digital reached out to Vantage Data Centers, OpenAI and Oracle for comment.
The Vantage Data Centers project in Wisconsin was part of President Donald Trump’s multibillion-dollar artificial intelligence infrastructure “Stargate” project that was announced shortly after his term began in January 2025.
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The initial investment for the project was $100 billion, with plans to expand to $500 billion over the next four years. The first data center built under the initiative was in Texas with plans to expand into other states.
Amid concerns about rising energy costs for maintaining data centers, Trump met with several tech leaders who pledged they will generate their own electricity to save taxpayers money.
