Virginia lawmakers reach budget deal over data centers

Name: Virginia lawmakers reach budget deal over data centers
Uploaded: 2026-06-29T22:43:54.000Z
Duration: 3 min 18 s
Description: Virginia lawmakers reached a last-minute budget agreement, avoiding a state government shutdown after days of negotiations over data center taxes. The compromise preserves tax incentives for data centers while creating new taxes expected to generate about $1.1 billion over two years. The agreement also addresses concerns about the industry's impact on electricity costs and infrastructure.

News Clip3:18ABC 7 News - WJLA·VA·6/29/2026

Virginia lawmakers reached a last-minute budget agreement, avoiding a state government shutdown after days of negotiations over data center taxes. The compromise preserves tax incentives for data centers while creating new taxes expected to generate about $1.1 billion over two years. The agreement also addresses concerns about the industry's impact on electricity costs and infrastructure.

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Gov: Virginia lawmakers, Republican Sen. Glen Sturtevant, Democratic Senate Majority Leader Scott Surovell, Governor Abigail Spanberger, Virginia General Assembly

Virginia lawmakers reached a last-minute budget agreement, avoiding a state government shutdown after days of negotiations over data center taxes.

The compromise preserves tax incentives for data centers while creating new taxes expected to generate about $1.1 billion over two years for Virginia's general fund. 

Supporters say the additional revenue will help fund teacher pay raises and other priorities, while critics argue the budget doesn't do enough to address the industry's impact on electricity costs and infrastructure.

In this 7News report, Republican Sen. Glen Sturtevant and Democratic Senate Majority Leader Scott Surovell explain why lawmakers were divided over the budget and how the final compromise came together.

Governor Abigail Spanberger also says the spending plan will strengthen schools, improve affordability and position Virginia as a national leader on data centers.

Watch the full report for the latest on Virginia's budget agreement and what it could mean for taxpayers, schools and the Commonwealth's growing data center industry.

https://wjla.com/news/local/virginia-budget-general-assembly-abigail-spanberger-data-centers-center-taxes-glen-sturtevant-scott-surovell-senate-house-agreement-government-shutdown-teacher-pay-raises-affordability-electricity-costs-payroll-tax-fund-7news-interview-politics

#Virginia #Budget #DataCenters #Politics #GeneralAssembly #7News #AbigailSpanberger #TeacherPay #Government #News

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