is it Vermont, or where else are they just giving away bread, condiments before you have even ordered?

It is definitely done all around Vermont and I have found it to be the case through out New England and most of the North East.

Yes it's in Vermont and they do give you appetizers before ordering. I also recommend the scallops

Local tradition at a good local place.

IT'S A LOCAL TRADITION AT LEAST IN RUTLAND COUNTY.