Dryden, New York Becomes First Town to Permanently Ban Data Centers and Cryptocurrency Mines Amid Environmental Concerns
By Staff Reporter
Dryden, NY – In a landmark decision, the Dryden Town Board has unanimously voted to permanently ban data centers and cryptocurrency mining facilities, making it the first municipality in New York State to enact such a prohibition.[1][2][3][4]
The resolution, passed on Thursday, February 19, 2026, amends the town’s zoning code to explicitly define data centers and cryptocurrency data mines while barring their development indefinitely.[1][2][4] This move follows an 18-month moratorium on these facilities, which was temporarily extended in January to allow officials additional time for research and public input.[1][2][6]
Unanimous Vote and Overwhelming Community Support
Town Supervisor Jason Leifer described community support for the ban as “overwhelming,” reflecting broad consensus among residents on the potential downsides of such operations.[1][2] Deputy Town Supervisor Dan Lamb highlighted the significance of the decision, noting that Dryden now holds the “nice distinction” of being the pioneering town in New York to outlaw these energy-intensive facilities.[4]
The board rejected proposals from some planning members to permit smaller-scale data centers, opting instead for a complete prohibition.[3] This firm stance underscores the town’s commitment to preserving its rural character in Tompkins County, located in the Finger Lakes region.[3][4]
Key Concerns: Energy, Water, and Noise Pollution
Officials cited major environmental and quality-of-life issues as primary drivers for the ban. Data centers and cryptocurrency mines are notorious for their massive energy consumption, substantial water usage for cooling, and excessive noise generation from cooling systems and machinery.[3][4]
According to the Brookings Institution, there are over 5,000 data centers across the United States, with more than 130 in New York alone and additional projects in development.[4] These facilities often clash with local climate goals and New York State’s ambitious climate laws, which aim to reduce greenhouse gas emissions and promote sustainability.[3]
The decision was partly spurred by controversy surrounding a proposed 400-megawatt data center in neighboring Lansing by TeraWulf, a cryptocurrency mining company. This project ignited heated public debates, packed town meetings, and even legal challenges, heightening regional awareness of the issue.[3][4]
Broader Context: Growing Pushback Against Data Center Boom
Dryden’s action aligns with mounting concerns at state and national levels over the rapid proliferation of data centers. These facilities, fueled by the explosion of artificial intelligence, cloud computing, and digital currencies, strain power grids and compete with residential energy needs.[4]
In New York, State Senator Lea Webb and Assemblymember Anna Kelles – whose districts encompass Tompkins County – have introduced legislation for a three-year moratorium on data centers exceeding 20 megawatts of electricity usage. This bill reflects wider legislative efforts to assess environmental and economic impacts before approving more projects.[4]
Climate advocates praised Dryden’s proactive measure, arguing that large-scale data centers undermine efforts to transition to renewable energy sources. “These operations prioritize profit over planetary health,” one local activist was quoted as saying during public hearings, though the town board emphasized data-driven deliberations over rhetoric.[3]
Historical Timeline of Dryden’s Response
- Early 2025: Initial moratorium imposed on data centers and crypto mines to study impacts.[1][6]
- January 2026: Moratorium extended temporarily amid ongoing research.[1][2]
- February 19, 2026: Public hearing held; zoning code updated with definitions and permanent ban.[3][5]
- February 20-27, 2026: Local media reports confirm Dryden’s pioneering status.[1][2][3][4]
Prior to the permanent ban, the town held public hearings on proposed local laws, ensuring transparency and resident involvement.[5][6]
Implications for the Region and Beyond
As the data center industry expands nationwide – driven by tech giants and crypto firms – Dryden’s ban sets a precedent for other rural communities seeking to protect their resources. Neighboring towns like Lansing continue to grapple with similar proposals, potentially facing spillover effects from rejected projects.[3][4]
Economically, proponents of data centers argue they bring jobs and tax revenue. However, Dryden officials weighed these benefits against long-term costs, concluding that the risks to energy infrastructure, water supplies, and community tranquility outweighed potential gains.[1][3]
The ban does not retroactively affect existing operations, if any, but closes the door on future developments. Town leaders expressed confidence that alternative economic drivers, such as agriculture, tourism, and education in the Cornell University-adjacent area, will sustain growth without compromising sustainability.[3]
Reactions from Stakeholders
Environmental groups hailed the decision as a victory for climate action. “Dryden is leading by example, showing that local governments can prioritize people and the planet,” stated a representative from a regional advocacy organization.[3]
Industry voices have been muted locally, but nationally, data center operators emphasize innovations in energy efficiency. Nonetheless, Dryden’s resolution signals that not all communities are convinced by these assurances.[4]
For now, Dryden residents can breathe easier, free from the specter of humming server farms altering their quiet landscape. As state-level debates intensify, this small town’s bold step may inspire a wave of similar protections across New York and beyond.
This article is based on reports from local news outlets including 607 News Now, FingerLakes1.com, WSKG, and The Ithaca Voice. Dryden Town Board meetings and resolutions provided the foundational details.