Virginia General Assembly accepts Governor Spanberger’s amendments

Now you can truly plan your Fiscal New Year festivities as Virginia has a plan in place for revenue and spending.

Two branches of Virginia’s government have finally concluded the budget process. For months the House of Delegates and the Senate had competing versions but finally settled on a conference report on June 22. A key component is an energy consumption tax to be levied on data centers that will generate $600 million a year.

Last week, Governor Abigail Spanberger said she would send back the biennial budget with amendments. On Monday, the House of Delegates and Senate agreed.

“I’m proud that we got a budget across the finish line that includes the first-of-its-kind statewide energy consumption tax on data centers I proposed this spring,” Spanberger said. “Virginia has a responsibility to make sure the data center industry is paying their fair share for the energy they use.”

Spanberger also thanked legislators for agreeing to all of her amendments.

“These amendments include technical changes to align definitions in recently enacted leave programs; clarify language regarding identification of undercover law enforcement officers; provide additional time to avoid creating a dangerous loophole in gun violence prevention laws; and make explicit that all customers in the residential, Small General Service, and church classes — including customers served by rural electric cooperatives — are eligible for a direct credit from the [Regional Greenhouse Gas Initiative] program,” reads the amendments sent out on Friday.

There are also amendments to create a new state park in Loudoun County, fund a research study of the Atlantic menhaden population to be conducted by the Virginia Institute for Marine Sciences, and an earlier than expected increase for home care workers.

There’s also additional regulations for data centers in areas determined to be “Cooling Water Scarcity Areas.”

Other articles:

• Peace in the valley as lawmakers approve governor’s amendments to conclude long budget process, Brandon Jarvis, Virginia Political Newsletter (paywall), June 30, 2026
• Virginia has a new two-year budget [and] here’s what lawmakers now require of data centers, Shannon Heckt, Virginia Mercury, June 30, 2026

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