Senator Introduced Data Center Moratorium Bill
The proposed legislation would block new data center approvals across Virginia for three years.
Updated on Oct. 14, 2026 in Data Centers
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Senator Russet Perry has released draft legislation aimed at stalling the expansion of the data center industry in Virginia. If passed, the bill would implement a three-year statewide moratorium on new site approvals.
Why it matters
The sponsor asserts that the industry has expanded without sufficient oversight, leading to concerns over rising consumer electric bills and the impact of new transmission infrastructure.
The proposed bill SB843 mandates a 3-year pause on all new data center projects across Virginia. The regulation prohibits both local government rezoning approvals and state-level permit issuances for electric distribution services.
The players
Senator Russet Perry
Senator Russet Perry is the legislator responsible for drafting and introducing the moratorium proposal.
The details
The bill effectively freezes all development by banning local authorities from granting special use permits or rezoning for data centers. Additionally, state agencies would be barred from issuing the registrations and certificates required for facility operations.
Timeline
Senator Perry released the draft legislation on October 13, 2026.
The moratorium is proposed to take effect on July 1, 2027.
The legislation is scheduled to sunset on July 1, 2030.
The Tech Race
The introduction of SB843 marks a departure from Virginia's current permissive approach to data center expansion. This moratorium would significantly alter the competitive landscape for tech infrastructure providers currently relying on state-friendly policies.
Residents may see potential stabilization in local electric rates if the moratorium successfully curbs the rapid construction of new power-hungry facilities. The bill could also lead to changes in local land-use planning as municipalities adjust to the halt in new site approvals.
The takeaway
This proposed legislation represents a significant attempt to prioritize utility infrastructure concerns over rapid digital expansion. Citizens should monitor upcoming legislative sessions to see if these restrictions move toward a full vote.
Further reading
Learn more about the infrastructure industry in our Data Centers section.
Source note: This article includes information reported by Potomac Local News.
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Should your state enact a three-year moratorium on new data center development?
