Virginia lawmakers are actively seeking a compromise on a state budget deal before the June 30 deadline, with discussions including the potential for a legal recreational marijuana market and addressing the growing impact of data centers across the Commonwealth. The ongoing stalemate has raised concerns about a possible partial government shutdown and its effects on local services, including schools.
Democratic leaders, including Senate Appropriations Committee Chair Louise Lucas and House Appropriations Chair Delegate Luke Torian, expressed confidence that an agreement is nearing. Senator Lucas said, "We will have a budget before June 30th and you can take that to the bank!" The budget negotiations are notably stalled over tax exemptions for data centers, which are facing increasing scrutiny for their significant electricity demands and local community impact.
Sponsors of previously vetoed cannabis legislation, Senator Lashrecse D. Aird and Delegate Paul Krizek, are exploring avenues to include a retail marijuana market within the budget. Governor Abigail Spanberger had vetoed their earlier bill, which aimed for sales to begin on January 1, 2027. Delegate Krizek emphasized the urgency, stating, "This bill, as opposed to any of the other vetoed bills, is really one that’s more urgent. It’s about public safety." Senator Aird added that "There is a pathway to adopt a form of compromise."
The proliferation of data centers continues to be a contentious issue. Senator Mark Warner is co-sponsoring federal legislation, the "Power for the People Act of 2026," to mandate states consider special rates for these large electricity users, following Virginia's lead. Locally, residents like Mital Gandhi in Ashburn report constant noise, while Virginia Beach Mayor Bobby Dyer advocates for banning large-scale data centers, calling them "not good neighbors." The Loudoun County School Board also faces a July 2 deadline from the State Corporation Commission to decide on an easement for a new Dominion Energy transmission line intended for data centers.
In other state news, Governor Spanberger appointed Kevin Hall to return as the Virginia Lottery's executive director, a role he previously held. Additionally, the Virginia Tech Board of Visitors elected Jim Miller as its new rector and Nancy Dye as vice rector, following the Governor's removal of former Rector John Rocovich. Meanwhile, Virginia's elections department is holding voter registration applications for many with felony convictions, despite a federal court order to cease denials for convictions not on a specific 1870 list of common-law felonies.
The state's budget talks are set to resume on June 22, with legislators aiming to finalize a deal before the fiscal year ends, addressing these critical issues impacting Virginia's economy, public safety, and infrastructure.