South Burlington Planning Commission discusses data centers

South Burlington Planning Commission discusses data centers

News ClipVTDigger·South Burlington, Chittenden County, VT·6/6/2026

The South Burlington Planning Commission is discussing initial land use regulations for data centers as part of routine zoning amendments. These proposed regulations will define and differentiate data center facilities based on size, with a public hearing scheduled for June 23. This effort aims to proactively address the rapidly evolving data center industry, though Vermont is not considered an ideal location for large-scale data center development due to high electricity rates.

zoninggovernmentelectricitywatermoratorium
Gov: South Burlington Planning Commission, Vermont Department of Public Service, House Committee on Energy and Digital Infrastructure, Gov. Phil Scott, Public Utility Commission, Royalton Town Meeting

The South Burlington Planning Commission is proactively addressing the burgeoning data center industry by outlining initial land use regulations within a routine set of zoning amendments. City planning and zoning director Paul Conner noted the fast-moving nature of data center development across the country, prompting the city to define data centers and differentiate between small-scale (under 20,000 sq ft) and large-scale facilities. These proposed regulations, which permit small-scale data centers in only two specific zoning areas, are slated for a public hearing on June 23.

Vermont, and specifically South Burlington, is taking steps to get ahead of the conversation, despite the state not being an ideal candidate for massive data centers due to high electricity rates and a potentially less predictable permitting process, as noted by Kerrick Johnson, Commissioner of the Vermont Department of Public Service. Governor Phil Scott previously vetoed H.727, an act related to sustainable data center deployment, citing concerns about new, unnecessary regulatory systems, asserting that existing state authority through Act 250 and Public Utility Commission oversight is sufficient.

The city's approach is designed as a stopgap measure, with leaders planning further exploration of the topic. The discussion acknowledges that data centers, in various forms, likely already exist within the city and Chittenden County, serving institutions like the University of Vermont Medical Center. In contrast, nearby Royalton voters approved a five-year moratorium on AI and cryptocurrency data centers, highlighting varying municipal strategies for handling this industry.