Key NVTC Initiative Passes General Assembly – Legislation Enhancing Virginia’s Ability to Attract Data Center Jobs Heads to Gov. McDonnell for Signature

Following a year-long advocacy effort by NVTC, legislation (HB216 and SB112) to enhance Virginia's statewide competitiveness in attracting data center jobs and investment passed both the House and Senate and now head to Gov. Bob McDonnell for his signature. The bills, which expand Virginia's current data center sales tax exemption to also include data center tenants, were sponsored by Delegate Barbara Comstock (R-McLean), Sen. Mark Herring (D-Loudoun) and Sen. Ryan McDougle (R-Mechanicsville). NVTC’s Data Center and Critical Technology Infrastructure Task Force, which was launched in 2010 to provide a strong, collective voice for the region's data center community, played a pivotal role in educating legislators, Gov. McDonnell and his cabinet on the economic contributions of data centers leading up to this legislative session.

Virginia law currently provides for a sales tax exemption for data centers that invest $150 million, create 50 jobs and enter into an MOU with the Virginia Economic Development Partnership. This new legislation extends the exemption to data centers and their tenants when they collectively create 50 jobs at a data center facility. The exemption will sunset in 2020.

"This legislation has been a top-priority for NVTC this year and will enhance Virginia's statewide competitiveness in attracting data center jobs and investment," said NVTC Vice President of Policy Josh Levi. “We thank the bills’ sponsors, the many legislative leaders who supported this important initiative, and Gov. McDonnell and Secretary of Technology Jim Duffey for their support of this legislation.”

Sponsors in addition to Delegate Comstock, Sen. Herring and Sen. McDougle include Delegates Tim Hugo (R-Fairfax) (chief co-patron), Mark Keam (D-Vienna) (chief co-patron), Dave Albo (R-Springfield), Rich Anderson (R-Woodbridge), Ben Cline (R-Amherst), Eileen Filler-Corn (D-Springfield), Steve Landes (R-Augusta), Jim LeMunyon (R-Chantilly), Alfonso Lopez (D-Arlington), Joe May (R-Leesburg), Randy Minchew (R-Leesburg), Bobby Orrock (R-Caroline), Chris Peace (R-Mechanicsville), Tom Rust (R-Herndon), Scott Surovell (D-Mount Vernon), Luke Torian (D-Prince William) and Ron Villanueva (R-Virginia Beach).

For additional information about the ongoing legislative session in Richmond please visit NVTC's 2012 General Assembly Session page.

NVTC maintains a full-time presence in Richmond during the legislative session, and we welcome your feedback. Feel free to contact either NVTC Vice President of Policy Josh Levi (jlevi@nvtc.org, 703-268-5140) or NVTC Public Policy Manager Joe Vidulich (jvidulich@nvtc.org, 703-268-5135) at any time with questions, ideas or suggestions.