Virginia legislators advance $205 billion budget including new tax on data centers

Virginia legislators approved a $205 billion two-year budget that includes a new energy consumption tax on data centers, aiming to generate up to $600 million annually. The budget funds healthcare, public education, teacher raises, and a retail weed marketplace while addressing groundwater impacts from data centers. The data center tax compromise lacks environmental standards sought by the House and retains a sales tax exemption through 2035.