Small Wisconsin City Overwhelmingly Passes First-of-Its-Kind Measure Restricting AI Data Centers

The nationwide backlash against the artificial intelligence industry entered a new stage on Tuesday after a small Wisconsin city overwhelmingly passed a first-of-its-kind referendum limiting AI data center construction.

According to a Wednesday report in Politico, voters in the Milwaukee suburb of Port Washington, home to roughly 12,000 residents, supported the data center restrictions by a margin of around 2-to-1.

The referendus requires town officials to seek voter permission before approving or providing tax incentives for any future data centers in the community, giving residents veto power over new projects.

Port Washington is already home to a $15 billion, 1.3-gigawatt data center funded by tech giants Oracle and OpenAI, and local residents wanted to ensure that no additional facilities are green lit without their express approval.

The referendum was pushed by a grassroots community organization called Great Lakes Neighbors United, which advocates "advancing transparency, environmental stewardship, and responsible development in Wisconsin."

Christine Le Jeune, founder of Great Lakes Neighbors United, told Politico that she hopes the work done limiting AI facilities' construction can be replicated nationwide.

“This is really setting a precedent,” Le Jeune, said. "This is something that other communities can look to."

Politico noted that similar anti-data center measures are coming up for votes later this year in communities across the US, including in Monterey Park, California; Augusta Township, Michigan; and Janesville, Wisconsin.

Opposition to AI data centers has become a major political issue in recent months, as local residents have objected to the large facilities consuming massive amounts of electricity and water, while also generating significant noise pollution.

Data centers also put a major strain on the US electrical grid, causing a spike in utility bills across the country. PJM Interconnection, the largest US grid operator that serves over 65 million people across 13 states, projected earlier this year that it will be a full six gigawatts short of its reliability requirements in 2027 thanks to the demands of data centers.

Sen. Bernie Sanders (I-Vt.) and Rep. Alexandria Ocasio-Cortez (D-NY) introduced a bill in March that would impose a nationwide moratorium on AI data center construction “until strong national safeguards are in place to protect workers, consumers, and communities, defend privacy and civil rights, and ensure these technologies do not harm our environment.”

At the same time, the AI industry is planning on spending big money in 2026 to influence elections, with the goal of passing legislation setting a single set of AI regulations that will take effect throughout the US, overriding any restrictions placed on the technology by state governments.

CNN reported in February that Leading the Future—a super political action committee (PAC) backed by venture capital firm Andreessen Horowitz and Palantir co-founder Joe Lonsdale, is pledging to spend at least $100 million to ensure AI-friendly candidates get elected to Congress this year.