Siting of data centers; property classified for industrial use.
The implementation of SB1045 is poised to significantly impact local governance by centralizing the decision-making process surrounding data center siting. From July 1, 2025, any applications submitted for data center projects will be constrained to industrially classified lands, thus limiting the locations where data centers can be established. This could streamline the approval process and provide a clearer framework for local governments to follow when considering such applications. However, it may also lead to challenges in areas where suitable industrial land is limited.
Senate Bill 1045 was introduced to amend the Code of Virginia by adding a new section, 15.2-2283.2, which governs the siting of data centers. The bill specifies that any local government land use application intended for the establishment of a data center can only be approved if it pertains to properties that are classified as industrial under local ordinance. This requirement aims to standardize the criteria for data center development within the state.
Notable points of contention surrounding SB1045 may arise regarding local control and the economic implications of restricting data centers to industrial zones. Proponents of the bill argue that it will facilitate more organized growth of data centers, which are critical to the modern digital economy, while critics may express concerns that such regulations could hinder local governments' flexibility in land use planning and economic development strategies tailored to their communities' needs. These debates emphasize the balance between standardized regulations and local autonomy.