Waterbury is in Washington County in central Vermont.
Waterbury is the location of Ben & Jerry's Ice Cream, whose factory tours have become Vermont's most popular tourist attraction. Other local businesses such as Cold Hollow Cider Mill, Green Mountain Coffee Roasters, Lake Champlain Chocolates, and Cabot Creamery Annex also offer tours. Waterbury is also nicknamed "the Recreational Crossroads of Vermont" because of its closeness to the Sugarbush and Stowe skiing areas.
The location where Waterbury now lies was once the frontier between the Mohican and Pennacook people. European settlement of the area dates from 1763, when King George III granted a charter for land in the Winooski River Valley. James Marsh became the first permanent white settler in the region in 1783. Many of the early settlers came from Waterbury, Connecticut and named their new township in honor of the hometown.
Like many New England towns, Waterbury's economy was based around the local river mill industry and the surrounding agricultural producers. The mills produced products such as lumber and finished wood products, wicker products, leather, starch, and alcohol. The agriculture was based on sheep through the 19th century but had switched over to dairy farming by the 20th century. The Central Vermont Railroad came to Waterbury in 1849.
With a population of over 2000, the Village of Waterbury was incorporated in 1882.
In 1927, Waterbury, like many other Vermont communities, was devastated by flooding. The village recovered and in 1938 the Little River Dam was built by the Army Corps of Engineers to control future flooding.
The 2000 population of the village of Waterbury was 1706. Population of the town of Waterbury was 4915. The population is not ethnically diverse, with the combined non-white population figures for the village and town being 46 and 108 respectively. Waterbury, like many New England communities, has seen its population slowly declining.