ROANOKE, Va. – Four bills aimed at regulating data centers are now on the governor’s desk as proposals for new facilities fuel debate across Southwest Virginia.
Supporters of the legislation say the measures help create a checks and balances system for data centers.
“While the economic growth has been spectacular, I think it’s time for us to have a balanced view,” said Sen. Kannan Srinivasan.
One of the bills, Senate Bill 553, would increase reporting requirements about how much water data centers use.
“Senate Bill 553 will bring, for the first time, transparency on water use — transparency and reporting,” Srinivasan said.
Another bill would require a site assessment before local approval for a new data center, including a noise study for nearby homes and schools. The bill also includes options for reviewing potential impacts on water, forests, and farmland.
“There’s a lot of constituents that are concerned about siting,” Del. Joshua Thomas said in a phone interview. “Where are we putting data centers? Are they too close to schools? Are we too close to homes? And then certainly with energy.”
Del. Sam Rasoul said he has heard similar concerns from residents in Southwest Virginia, particularly about noise and water usage.
“I hear a lot of concerns from individuals around Southwest Virginia that are concerned with the potential new data centers for two big reasons,” Rasoul said. “One, the impacts to local water because some of the ones use a lot of local water that they’re proposing, and number two, things like the sound, etc., the pollution that can come from that, people are worried.”
A third bill would block permits for new data centers unless they are equipped with a Tier Four generator — or the environmental equivalent.
In addition to noise and water concerns, Del. John McAuliff said in a statement that public health is another key issue residents are raising as the industry expands.
He sent 10 News a statement that said in part:“I was proud to see the passage of HB 507, a bill that addresses a need in communities that count data centers among their neighbors. In my district, zoning administrators approved hyperscale data centers within a couple hundred feet of homes and playgrounds. The biggest concern I hear about is not energy usage or noise—but health. That’s because when it’s very cold or very hot, our grid gets strained and data centers turn on their emergency generators, many of which are still diesel.”
The fourth bill would establish a work group focused on reusing waste heat from data centers. 10 News reached out to the lawmakers who introduced the bill, but they were unavailable.
The legislation arrives as multiple data center projects are under discussion across the region, including a proposal in Botetourt County, an early-stage project in Pulaski County, and a confirmed AI campus in Wythe County.
Environmental advocates argue the bills are a start but say more comprehensive oversight is still needed.
“What we would have really liked to have seen was big oversight changes around this industry, specifically at the state level,” said Director of Land Use Julie Bolthouse with the Piedmont Environmental Council. “Getting regional oversight of the infrastructure that’s required for these large load customers.”
Others point to the potential benefits of the facilities, particularly in localities looking for new investment.
“The positives of data centers — it brings in infrastructure, which then, as a result, brings in jobs,” said Virginia Tech Professor Cayce Myers. “There’s been a lot of jobs created because of this. There’s also been a lots of influx of money into communities.”