Spanberger releases plan on data center accountability
Virginia Gov. Abigail Spanberger unveiled a Data Center Accountability Framework on Sept. 18 to give communities a voice in local approvals, protect residents from higher energy bills, and enforce strong environmental standards.
The new data center policies and implementation plans are outlined in Executive Order 22, which also creates an AI Task Force “to address growing concerns and risks posed by the rapid development of artificial intelligence – including workforce displacement, data privacy, and cybersecurity.”
In announcing the data center framework, Spanberger said, “Many of my fellow Virginians are rightfully concerned about the impact data centers are having on their energy bills. They’re rightfully concerned about how so many of these projects have been secretive, and devoid of any real transparency.”
“They’re rightfully concerned about the long-term impact these projects have on clean air and clean water,” she said. “They’re concerned about how rapidly this industry has grown with the rise of artificial intelligence.”
The Data Center Accountability Framework includes the following policies:
Increasing transparency – By-right approvals, like those allowed in certain Fairfax County zoning districts, would be eliminated for any data center generating more than 25 megawatts.
Non-disclosure agreements for commercial projects would be banned because they often “keep neighbors in the dark about what’s being planned in their backyards,” Spanberger said. “So many of the decisions being made are done behind closed doors, only to have sprawling complexes pop up seemingly out of nowhere. Communities need a greater voice.”
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As a result, the framework requires “community benefits agreements, so residents see real, tangible benefits from projects built near their homes.”
The executive order directs the Office of the Chief Energy Officer to publish a Data Center Planning and Community Engagement Toolkit for local governments and communities within 120 days.
Strengthening environmental protections – The framework has several new, higher standards for emissions, water usage, noise pollution, and land use. It also creates pathways for existing data centers to retrofit their facilities.
“Our air, our water, our natural resources and public health – they cannot and will not be afterthoughts,” Spanberger said.
The executive order calls for the Department of Environmental Quality to “prioritize and expedite the development of data center noise regulations.”
The DEQ will also conduct a cumulative-impact review of diesel and other backup-generation operations associated with data centers.
Lowering energy costs – The new policy requires data center companies to pay the full cost of the infrastructure needed solely because of their operations.
“Virginia families and small businesses should not foot the bill for the data center industry,” Spanberger said. “It is no exaggeration to say that a lot of these companies are among the biggest, wealthiest corporations in the world. And they will pay their fair share.”
Bolstering the clean energy economy – “Virginia has ambitious clean energy goals, and data center development cannot come at the expense of those goals,” she said.
That’s why Virginia will prioritize grid access for data centers that source clean energy five years faster than required by the Clean Economy Act and reduce emissions from backup generators by 60 percent.
The commonwealth is also going to limit the amount of electricity data centers can generate from on-site natural gas, which Spanberger calls “an important step that no other state has taken action on yet.”
Delivering a better deal for workers – “Virginians need access to good, local jobs,” the governor said. “That’s why this framework prioritizes the training and hiring of local workers, both for construction and long-term employment.”
“And we are finally prohibiting future data center projects from taking advantage of Virginia’s fast-tracked permitting process on large business-ready sites,” she said. “This was a massive loophole, and we are changing that policy today.”
AI task force
The new AI Task Force will work to develop policies and legislative proposals to address and regulate several of the risks posed by AI, including workforce displacement, data privacy, and cybersecurity.
The task force will be led by Virginia’s Chief Transformation Officer Dave Wilkinson, Counsel to the Governor Matt McGuire, and Secretary of Administration Traci DeShazor.
“At an ever-increasing rate, private technology companies have incorporated AI into consumer and business devices and software services in a way that the people using those devices and services cannot control or avoid,” Spanberger said.
People are finding their data is being shared without their permission, while technology companies have admitted their AI models have acted on their own to break laws and damage other businesses.
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“The federal government has not met the moment, ceding its authority and allowing AI technology companies to rush forward with increasingly sophisticated models rather than requiring responsible development practices that ensure people are protected from unintended consequences,” Spanberger said. “In the absence of federal leadership, states must do more to address the risks that unregulated AI presents to safeguard people and communities.”
A statement by the Virginia House Democratic Caucus called Spanberger’s Data Center Accountability Framework “a step in the right direction.” The caucus vowed to “develop thoughtful legislation that holds data centers accountable” during the upcoming 2027 session of the General Assembly.