Virginia Governor Spanberger Restrains AI Data Centers

Virginia Governor Abigail Spanberger has signed Executive Order 22, a directive aimed at slowing down data center approvals and managing the risks of artificial intelligence. The action targets Virginia's position as the preeminent global hub for data infrastructure. By implementing these measures, the state government hopes to grant local communities a stronger voice in how these massive facilities are planned and constructed.

Under Executive Order 22, officials in the state's executive branch are prohibited from signing nondisclosure agreements regarding data center developments. The order also mandates expedited noise regulations and initiates a formal review of the backup-generation systems that data centers rely on. Alongside the order, Spanberger introduced a Data Center Accountability Framework. This framework seeks to eliminate by-right approvals—such as those previously utilized in Loudoun County to build without extra permissions—while also cutting certain state subsidies, setting environmental guardrails, and protecting citizens from rising energy costs.

The executive order additionally creates a dedicated AI task force. This group will study the societal impacts of artificial intelligence on Virginians, focusing on issues like job displacement and data privacy, while determining how current state laws can address AI-related harms. Virginia's move mirrors actions in other states, including California, where Governor Gavin Newsom recently convened safety experts, as well as New York and Texas, where governors have also moved to control rapid data center expansion.

For AI developers and infrastructure practitioners, these regulations signal a significant shift from the historically permissive environment in northern Virginia. The removal of by-right approvals and state subsidies will likely increase the cost, complexity, and timeline of deploying new physical infrastructure. While environmental organizations like the Piedmont Environmental Council welcomed the framework, some advocates expressed concern that the new rules do not address projects already under construction or currently in the pipeline.