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Virginia House of Delegates
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Virginia House of Delegates

Lower chamber of Virginia's General Assembly; blocked a budget deal by cancelling its 18 June data-centre session.

Last refreshed: 17 June 2026

Key Question

Can the House and Senate agree a data-centre deal before Virginia's 30 June deadline?

Timeline for Virginia House of Delegates

#7 16 Jun

Cancelled its 18 June budget session amid the data-centre tax deadlock

Data Centres: Boom and Backlash: Virginia floats a fee on backup gas
View full timeline →

Background

The Virginia House of Delegates is the lower chamber of the Virginia General Assembly, comprising 100 members elected to two-year terms. It shares budget and appropriations authority with the Senate. In June 2026 the House became the blocking vote in the state's data-centre fiscal standoff: Speaker Don Scott cancelled the 18 June special budget session, citing failure to reach agreement with the Senate over how to handle the $1.9 billion sales-tax exemption that data-centre operators currently hold. Governor Abigail Spanberger sided with the House, opposing premature elimination of the exemption on the same day.

The House's position is that the exemption supports Virginia's status as the world's largest data-centre market, concentrated in Northern Virginia. Removing it risks investment flight. The Senate Finance Committee proposed a compromise: preserve the exemption but levy a $35 to $45 per-kilowatt fee on backup generators. The House had not agreed to that mechanism as of 17 June 2026. The Senate is scheduled to reconvene on 22 June; if no deal is struck before 30 June, Virginia faces a partial government shutdown.

The House's position has national significance. Northern Virginia alone accounts for a substantial share of US hyperscaler capacity, and the outcome of this standoff will influence how other state legislatures approach data-centre taxation.

Common Questions
Why did Virginia cancel its 18 June budget session?
Speaker Don Scott cancelled the House of Delegates session on 18 June 2026 because no agreement had been reached with the Senate on data-centre taxation. The Senate had proposed a $35-$45/kW generator fee; the House had not accepted it.Source:
What is the Virginia House of Delegates' position on the data-centre tax exemption?
The House opposes early elimination of the $1.9 billion sales-tax exemption that data centres currently benefit from. Governor Spanberger shares this position. The House has not agreed to the Senate's proposed generator fee as a revenue alternative.Source:
Who is the Speaker of the Virginia House of Delegates?
Don Scott is the Speaker of the Virginia House of Delegates. He cancelled the 18 June 2026 budget session, citing no agreement with the Senate over data-centre taxation.Source:
Could Virginia have a government shutdown in 2026?
Yes. If the House of Delegates and Senate cannot agree on a budget before 30 June 2026, Virginia faces a partial government shutdown. The deadlock centres on data-centre taxation; the Senate reconvenes 22 June.Source: Virginia Senate Finance Committee proposal
Source Material