Henrico will further workshop proposed revisions to its data center regulations
HENRICO COUNTY, Va. (WRIC) -- Henrico officials will further workshop proposed changes to the county's data center regulations after a lengthy public hearing.
On Thursday, May 15, Henrico County's Board of Supervisors and its Planning Commission held a joint public hearing to discuss policy changes surrounding the development of data centers.
Henrico is no stranger to data centers. Virginia has the largest concentration of data centers in the world and about 40 data center properties can be found in Henrico. Several of them can be found on a large property called White Oak Technology Park, located on Technology Boulevard in the Varina district.
Most recently, in May 2024, the county greenlit data center development on a 622-acre plot of land in the area of E. Williamsburg Road and Technology Boulevard.
What changes were proposed and why?
Some of the largest concerns about data centers include their potential impacts on energy use, water use, noise and air quality, as well as their appearance.
On Thursday, Henrico officials said the county looked into how to best address these concerns by examining how other Virginia localities handled data center development, as well as studying a recent Joint Legislative Audit and Review Commission (JLARC) report.
In response to their findings, officials proposed amending the county's 2026 Comprehensive Plan to designate Technology Boulevard as a Special Focus Area within the plan. This would allow for the development of objectives and guidelines that would then direct data center development in Henrico.
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Additionally, through a secondary ordinance, the county proposed the creation of an "overlay district" at White Oak Technology Park -- which would allow data center developers to more freely develop in the park.
The proposed ordinance would also require that data center developers get provisional use permits if they want to build data centers outside of that overlay district. Finally, it would also establish data center development standards.
Essentially, these policy changes aimed to concentrate Henrico's future data center developments within the White Oak area of the Varina district.
Board, the public discuss proposed changes
Prior to opening the floor to residents for public comment, several board members discussed why the Varina district -- a rural area that board members noted was lower-income -- has been and continues to be chosen as the primary location for data center development.
Joseph Emerson, Jr., the county planning director, stated that the Varina district was chosen in large part due to the availability of property located at a good distance from populated areas.
Board chair Tyrone Nelson -- who represents the Varina district -- said that, by moving now to largely limit data center development to the White Oak area, all other parts of the district could be spared such development.
"I am trying to keep data centers from spreading all across the Varina district," he said.
Several residents then spoke before the board regarding their thoughts on the proposals.
Developers fear for their existing projects
A Henrico landowner said that he believed the board was doing the best it could to be responsive to the concerns of its constituents. However, he said those concerns needed to be balanced with its own prior actions and Virginia law.
His companies, Vienna Finance and Atlantic Crossing, received support from county staff to develop data centers outside of the proposed White Oak overlay area. He expressed concern about the future of his companies' projects if this proposal were approved.
A similar concern was shared by multiple Henrico residents with Central Logistics, who said county staff supported their small company's use of a site also located outside of the proposed White Oak overlay area.
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"After years of recruiting and permitting the development of data centers, the county has changed its course, potentially leaving us in a hole of six months of wasted work and hundreds of thousands of dollars in incurred costs," one of the men said.
They explained that their application to develop their data center was submitted in late April. Now, they are worried that the property they purchased will no longer be able to be used as intended.
These speakers all asked for a "grandfathering" clause that would allow them, as would-be developers who had already invested in their plans, to proceed with their data centers as planned. One of the men noted that this is a clause added by multiple other Virginia localities that revised their data center regulations.
Criticisms of the revision process, its speed
Multiple public commenters suggested the board delay this decision, saying they believed it to be rushed. One noted that the county's data center analysis was only made publicly available two weeks ago, adding that she wondered if the majority of the audience had even read it yet.
Board member Misty Roundtree said that, from the board's perspective, the community has been demanding urgent action.
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Nelson said that slowing down this process would allow data center developments to continue cropping up throughout Henrico without regulation in the meantime.
On the whole, the board emphasized that this public hearing was meant to allow the public to weigh in on this matter and have themselves heard.
"For all good intentions, this is not a dialogue -- this is a person speaking, and then another," another commenter said, referring to the rules of a public hearing, which do limit how the board and citizens can interact. "There's no give-and-take."
Concerns about well-being of county residents, particularly in Varina
A Varina district resident spoke, sharing her frustrations about data centers being concentrated in her home district. She criticized them for "concentrating the harms" that this kind of development brings to the Varina area, punishing a specific Henrico community while sparing the rest.
One Henrico resident said he was worried about electricity use, citing the JLARC study, which noted that Virginia's growing energy needs -- largely propelled by data centers -- are on track to outpace what it is capable of producing.
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Concerns about heavy traffic, particularly that of large trucks, were shared by multiple commenters. One said she has been trying to get attention on this issue -- as it already exists due to existing data centers -- for years.
Multiple commenters said they are worried about Henrico's water, especially in the wake of the Richmond-area water crisis. With data centers having a notable need for water for cooling, these residents worry about the additional strain on the system.
A Sandston resident said he believed the county should offer compensation to Varina residents impacted by White Oak Technology Park, such as reductions to their electric bills.
"Y'all are gonna build it no matter what," another commenter said. "But I guess my question to you is -- what are you gonna give back to the community?"
County officials to go back to the drawing board
Following the public comment period, the members of the Planning Commission in attendance unanimously recommended the two policy changes to the Board of Supervisors for approval.
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The Board of Supervisors then took up the matter of deciding what to do about the policy changes.
In response to the feedback shared during this meeting, the board voted to defer their decision on both policy changes until their June regular meeting.
They also voted to direct staff to draft an amendment to the ordinance that would remove the overlay district piece, removing the proposed freedoms for developers that the overlay district would have provided.
The new version of the ordinance will instead include language requiring all would-be data center developers to go through the traditional permitting process -- which includes a public hearing.
If this version of the ordinance ultimately passes, Henrico residents will be able to speak out on all future proposed data centers within the county.