WEEKLY GENERAL ASSEMBLY UPDATE – March 8, 2026

Dear Friends,

With just one week remaining in the 2026 General Assembly session, Richmond has entered the final stretch. The General Assembly is scheduled to adjourn next Saturday, but a number of major issues are still unresolved—including the state budget, several controversial election law bills, and important energy and economic policy decisions.

The final week of session is always a whirlwind. Major legislation moves quickly, negotiations often stretch late into the evening, and decisions with long-term consequences for Virginia are frequently made in the closing days.

At the same time, early voting has begun in the statewide referendum on redistricting, a proposal that would undo the bipartisan redistricting reform Virginians approved just a few years ago.

Below is a brief update on several of the most important developments from the past week.

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BUDGET NEGOTIATIONS ENTER THE FINAL WEEK

The most significant issue still pending is the state budget. Both the House and Senate have passed competing proposals, and negotiations are now underway to reconcile the differences.

The chambers have taken very different approaches to funding their spending priorities.

One of the largest differences involves the Senate proposal to eliminate Virginia’s long-standing sales and use tax exemption for data centers—a policy that helped make Virginia the global leader in this industry.

Data centers have delivered enormous economic benefits to the Commonwealth, including billions in private investment, thousands of jobs, and substantial local tax revenue that supports schools, infrastructure, and public safety.

In Loudoun County alone, data centers generate more than $1 billion each year in local tax revenue. Other regions of Virginia are beginning to see similar opportunities as investment expands beyond Northern Virginia.

The Senate proposal would impose roughly $1.3 billion in new taxes on the industry. While supporters view this as a new source of revenue, there is a real risk that it would push future data center investment to states like Texas or Pennsylvania that are aggressively competing for these projects.

If that occurs, Virginia could lose not only future projects but also the economic momentum that has strengthened many local economies across the Commonwealth.

Budget conferees now face a critical decision: whether Virginia will continue encouraging this successful industry or adopt policies that could slow its growth.

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ELECTION LAW BILLS EXPAND PARTISAN CONTROL

Several election-related bills passed the Senate this week that appear designed to tighten Democratic control over the administration of elections in Virginia.

Taken together, these proposals would expand the ability of partisan actors in Richmond to influence how elections are administered across the Commonwealth.

National Popular Vote Compact

One bill would enter Virginia into the National Popular Vote Interstate Compact. Under this proposal, Virginia’s presidential electors would be required to vote for the candidate who wins the national popular vote—regardless of how Virginians vote.

In other words, Virginia voters could support one candidate while Virginia’s electoral votes are awarded to another.

Removing Electoral Board Members

Another bill allows local electoral board members to be removed by a simple majority vote of the board.

Virginia law requires each locality to have a three-member electoral board, and two members must belong to the party of the governor. Because Virginia currently has a Democratic governor, Democrats already control a majority of electoral boards across the Commonwealth.

This legislation would allow that majority to remove the minority-party member at any time. In practical terms, two Democratic members could vote to remove the Republican member of the board if they find that individual inconvenient or too effective in advocating for fairness in election administration.

Restricting Voter Roll Maintenance

A third bill limits the ability of local registrars to remove ineligible voters from the rolls unless they receive explicit direction from the Department of Elections.

Registrars have traditionally been responsible for maintaining accurate voter rolls by removing voters who have died, moved away, or otherwise become ineligible. Centralizing that authority in Richmond gives state officials far greater control over voter list maintenance.

Free, Open, and Fair Elections

Republicans and Democrats alike should be united around a simple principle: our elections must be free, open, and fair.

Elections should be open so every eligible citizen can participate. They must be free from intimidation or manipulation. And they must be fair so voters can trust that the rules are applied consistently.

Unfortunately, these and other so-called election reforms suggest many Democratic leaders are focused almost exclusively on making elections more open, while showing far less concern about protecting fairness and public confidence in the process.

Virginia voters deserve all three—free, open, and fair elections.

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REDISTRICTING REFERENDUM: EARLY VOTING UNDERWAY

Early voting has now begun in the statewide referendum on redistricting, with Election Day scheduled for April 21.

This proposal would effectively undo the bipartisan redistricting reform that Virginians approved in 2020 to take map-drawing power away from partisan politicians and place it with a bipartisan commission.

Now that the process has not produced the political results they hoped for, Democratic leaders are attempting to change the rules again.

If successful, this effort could allow congressional districts to be redrawn in a way that dramatically reshapes Virginia’s representation in Washington. Some analysts believe the resulting map could push Virginia toward a 10-to-1 Democratic congressional delegation despite the Commonwealth remaining politically competitive statewide.

Ultimately, this decision will be made by Virginia voters.

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OTHER MAJOR ISSUES STILL IN PLAY

Several other major policy debates remain unresolved as the session enters its final week.

Energy legislation tied to the Virginia Clean Economy Act continues to advance and could require massive investments in renewable generation and large-scale battery storage—costs that will ultimately be borne by Virginia ratepayers.

Lawmakers are also debating gambling expansion, cannabis taxation, and other new revenue proposals as budget negotiations intensify.

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ONE WEEK TO GO

With adjournment scheduled for next Saturday, the coming days will involve intense negotiations over the budget and several major policy questions.

The decisions made during this final week will shape Virginia’s fiscal direction, economic competitiveness, and election system for years to come.

As always, I will continue working to promote policies that strengthen Virginia’s economy, protect taxpayers, and preserve fair and transparent elections for all Virginians.

Sincerely,

Mark Obenshain 

Virginia State Senate