summary
Introduced
01/01/2024
01/01/2024
In Committee
01/01/2024
01/01/2024
Crossed Over
Passed
Dead
04/11/2024
04/11/2024
Introduced Session
Potential new amendment
2024 Regular Session
Bill Summary
Sales and use tax exemption; data centers. Requires data center operators to meet certain energy efficiency standards in order to be eligible for the sales and use tax exemption for data center purchases. Under the bill, a data center operator shall be eligible for the exemption only if such operator demonstrates that (i) its facilities either (a) have a power usage effectiveness score of no greater than 1.2 or (b) for data centers co-located in buildings with other commercial uses, achieve an energy efficiency level of no less than the most efficient 15 percent of similar buildings constructed in the previous five years and (ii) it will procure carbon-free renewable energy and associated renewable energy certificates from facilities equal to 90 percent of its electricity requirements or that its electricity will be otherwise derived from non-carbon-emitting, renewable sources.
AI Summary
This bill amends the existing law to require data center operators to meet certain energy efficiency standards in order to be eligible for the sales and use tax exemption on data center purchases. Specifically, the data center must either have a power usage effectiveness score of no greater than 1.2 or, if co-located in a building with other commercial uses, achieve an energy efficiency level of no less than the most efficient 15 percent of similar buildings constructed in the previous five years. Additionally, the data center operator must procure 90 percent of its electricity from carbon-free renewable sources by January 1, 2027. The bill also extends the existing sales and use tax exemption for data centers that meet certain investment and job creation thresholds.
Committee Categories
Budget and Finance
Sponsors (1)
Last Action
Continued to 2025 with amendment(s) in Finance by voice vote (on 02/07/2024)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://lis.virginia.gov/cgi-bin/legp604.exe?241+sum+HB116 |
| Amendment(s) for HB116 Finance, Subcommittee #2 | https://committees.lis.virginia.gov/pdfs/drafts/24106846A.pdf |
| Fiscal Note/Analysis - House: Prefiled and ordered printed; offe | https://lis.virginia.gov/cgi-bin/legp604.exe?241+oth+HB116F161+PDF |
| BillText | https://lis.virginia.gov/cgi-bin/legp604.exe?241+ful+HB116+hil |
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