RELEASE: General Assembly’s Budget Agreement Puts Data Centers Ahead of Virginia’s People and Environment

 

For Immediate Release

MondayJune 22, 2026

Contact: connor.kish@sierraclub.org 

 

General Assembly’s Budget Agreement Puts Data Centers Ahead of Virginia’s People and Environment

~ General Assembly fails to meet the moment on the environmental challenges data centers are creating ~

 

Richmond, VA — The budget passed by the Virginia House of Delegates and Senate of Virginia today fails to meet the moment to protect our environment, our climate, our communities, and our wallets from a data center industry run amok. 

 

The General Assembly had the opportunity to enact meaningful standards on clean energy use, water regulations, air quality, and land use. Yet despite months of talk about the need to link data center tax exemptions to these standards, lawmakers ultimately failed to act comprehensively. Sierra Club Virginia Chapter previously urged lawmakers to vote no on the budget. Going forward, the General Assembly and Governor Abigail Spanberger must put forward real, implementable solutions to the industry’s drastic environmental impacts for the public to review. 

 

Connor Kish, Director of the Sierra Club Virginia Chapter said, “Very underwhelmed” is what comes to mind about the General Assembly’s adopted budget. This budget could have forced data centers to clean up their act and take responsibility for their impacts on energy, water, land use, and skyrocketing electricity costs like Virginians have been demanding for years, but it doesn’t do that. It fails to hold the richest companies on Earth accountable and protect our environment. The new consumption tax is no substitute for real safeguards – it does not stop the harm this industry is causing to families, their health, and their wallets. While the budget raises new revenue from the data centers, it fails to address the underlying harms and impacts. Our elected leaders simply failed to take a courageous stand and until they impose enforceable environmental safeguards, a temporary pause on the issuance of data center permits at the state and local level remains necessary.”

  

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The Sierra Club Virginia Chapter is a non-profit, non-partisan advocacy organization working for a Virginia where communities—not polluters—shape policy and decision-making. We connect people with nature and advocate at every level of government to ensure that clean air, safe water, and healthy neighborhoods are not negotiable—they’re guaranteed. We're committed to meeting big challenges with bold solutions, rejecting the politics of the status quo, and building a just, sustainable future together. For more information visit sierraclub.org/virginia.


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