In reply to:
I think Dreamhost should revise their policy because our whole point of using such a service is to help our host and ourselves reduce the bandwidth usage and disk space usage.
There are those who would argue that "the whole point" of offering public torrent tracking is about a good deal more than that. 
The whole Bittorrent/tracker argument / discussion is an old one on these forums. I support Dreamhost's position on such things completely.
The fact is, now matter how you characterize it, or how you implement it, torrent tracking is brutal on CPU usage, and sites that deal primarily in them are magnets for heavy usage, which is *not* a good thing for the general population of a "shared" server.
I'm in favor of offering all the torrents you want from *your own box*, where the traffic, potential DCMA issues, and general problems involved with such things are yours, and yours alone, to deal with - there is no reason to subject others sharing your hosting environment to such stuff.
It's not like the internet needs another torrent tracking site - there are plenty out there for those who need them. The bottom line, to me, is that this is DH's "house", where they make the rules and those who don't like them do need to rent a room. As you pointed out, there are other hosts out there that handle this differently, so it is not like you don't have a choice and are having your options limited in any way.
--rlparker