In a significant development, the Data Center Coalition (DCC), an interest group backed by major tech companies, has made substantial campaign contributions to Virginia lawmakers. This move came ahead of a legislative session where data center regulations were expected to be a key topic. The DCC's political action committee (PAC) donated $165,500 to various state legislators, potentially influencing discussions and outcomes related to data center policies. Despite bipartisan efforts to regulate the rapidly expanding industry, only one out of 27 proposed bills succeeded. This article delves into the background, implications, and potential consequences of these contributions.

Virginia, home to the world's largest data center market, has seen a surge in public concern over the environmental and energy impacts of these facilities. As artificial intelligence drives increased demand for data centers, utilities like Dominion Energy face mounting pressure to meet electricity needs. In preparation for the 2025 legislative session, which began in January, the DCC registered its PAC in September and promptly started making donations. These contributions were strategically timed, occurring between Election Day and the start of the legislative session, a period when lawmakers often engage with lobbyists and draft legislation.

The DCC represents some of the biggest names in technology and infrastructure, including Amazon, Microsoft, Meta, Google, and Blackstone-backed QTS. Through its PAC, named the Virginia Digital Infrastructure PAC, the organization raised a total of $490,000 from a select group of members. Notably, Stack Infrastructure contributed the largest sum of $250,000, while Amazon provided $25,000. These funds were distributed among 34 lawmakers, with significant amounts allocated to influential figures such as House Speaker Del. Don Scott.

The timing and distribution of these donations suggest a strategic effort to shape legislative outcomes. Brendan Glavin, director of insights at OpenSecrets, emphasized that large donations to powerful legislators or leadership PACs can significantly impact bill movement. "It’s just like in Congress," Glavin noted. "The speaker controls what moves through and what gets considered." Lawmakers like Del. Josh Thomas, who sponsored several data center regulation bills, observed that the presence of Big Tech lobbyists in Richmond signaled a shift in the balance of influence. Thomas speculated that the DCC's donations might indicate a response to growing scrutiny and alternative viewpoints on data center issues.

Despite the extensive lobbying efforts and financial contributions, the legislative session concluded with minimal progress on regulating data centers. Only one bill out of 27 passed both chambers, highlighting the challenges faced by policymakers in addressing public concerns about noise pollution, energy consumption, and environmental impact. The DCC's spokesperson, Michael Robinson, defended the organization's actions, stating that the PAC was established to inform Virginians about the economic benefits of data centers and support investment opportunities across the Commonwealth. Regardless of intent, the DCC's contributions have undoubtedly influenced the legislative landscape in Virginia, underscoring the complex interplay between corporate interests and public policy.