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On September 18, 2026, Virginia Governor Abigail D. Spanberger signed Executive Order 22, which introduces a comprehensive Data Center Accountability Framework and creates a Rapid-Response AI Task Force. The order immediately restricts the use of nondisclosure agreements (NDAs) for data center projects and disqualifies projects with a peak demand of 25 MW or more from state economic development assistance and expedited permitting. Additionally, the order mandates the creation of a community engagement toolkit and a tiered designation program (VA-LEAD) for data centers, while tasking a new AI unit with evaluating governance, privacy, and cybersecurity risks.
Executive Order 22 establishes a Data Center Accountability Framework organized around five pillars: community engagement, environmental protection, energy affordability, grid reliability, and local procurement. The Office of the Chief Energy Officer is tasked with creating a community engagement toolkit within 120 days to standardize disclosure and mitigation practices.
The order introduces the VA-LEAD program, a tiered designation system that will score data centers on criteria including energy, water, noise, and community benefits. Projects achieving the highest tier will receive priority for state incentives and expedited services, with full implementation criteria due by the end of 2027.
Effective immediately, the order prohibits state agencies from entering into NDAs that hide material information about proposed data centers, such as public incentives or resource demands. Additionally, the Virginia Economic Development Partnership is barred from assisting new data center projects with a peak demand of 25 MW or more through expedited permitting or state economic development programs.
The order directs the chief energy officer to work with the State Corporation Commission and PJM to shift infrastructure costs away from households and onto causative data centers. It also mandates the creation of emergency curtailment procedures for data centers that do not provide their own new capacity.
A Rapid-Response AI Task Force is established to evaluate risks related to workforce, privacy, cybersecurity, and responsible use. This task force replaces previous AI-related executive orders from the Youngkin administration, though existing standards remain in effect until the new task force issues replacements.
Kildedetaljer: natlawreview.com ↗
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This executive order represents a significant shift in Virginia's regulatory landscape, moving from a growth-oriented approach to one focused on strict accountability and infrastructure cost-sharing. By limiting NDAs and excluding large-scale data centers from state incentives, the policy aims to protect local communities and utility ratepayers from the externalities of rapid AI-driven infrastructure expansion. The establishment of the Rapid-Response AI Task Force signals a pivot toward centralized state oversight of AI deployment, replacing previous guidelines with a more rigorous governance framework. These changes directly impact the operational costs and transparency requirements for technology companies and utility providers operating within the state.
The policy addresses the tension between rapid AI infrastructure growth and local resource availability. By forcing data centers to bear more of the grid-related costs, the state aims to mitigate the financial burden on residents.
The restriction on NDAs is a major change for the industry, as it forces greater transparency regarding the environmental and economic impact of large-scale data center projects, which have historically been shielded by private agreements.
The shift in from a focus on technological opportunity to a focus on risk management and oversight reflects a broader trend of state-level intervention in the AI sector, potentially complicating compliance for companies operating in Virginia.
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Stakeholders should monitor the development of the community engagement toolkit, due within 120 days, and the workforce reporting criteria, due within 180 days. The implementation of the VA-LEAD tiered designation program, with criteria expected by the end of 2027, will be a critical indicator of how the state intends to incentivize sustainable data center practices. Furthermore, the AI Task Force's forthcoming recommendations for legislative or executive action will likely define the future of in Virginia, potentially setting a precedent for other states managing similar infrastructure and technology pressures.
The specific scoring criteria for the VA-LEAD program will determine how effectively the state can influence data center design and operational efficiency over the coming years.
The AI Task Force's initial findings and subsequent policy recommendations will be the primary indicator of whether Virginia will pursue stricter legislative mandates for AI developers and users.
The interaction between the new state-level curtailment procedures and existing federal PJM grid management will be a key area of potential legal and operational friction for data center operators.