AGP Executive Report

Data Center Policy: Virginia lawmakers remain split over the industry’s tax break, which forgoes an estimated $1.9 billion in annual sales-tax revenue. Some want to repeal it; others favor tighter safeguards without abandoning investment. Power Costs: Dominion’s long-range plan projects a typical monthly bill rising from about $180 today to $285 by 2046; a separate state-required estimate puts it above $458, as the utility plans major grid expansion. Industrial Investment: Morgan Stanley Real Estate Investing bought a 935,000-square-foot Stafford logistics facility for $172.1 million, adding a major deal to Northern Virginia’s industrial market. Retail Growth: Plans are advancing to turn a former furniture store in Leesburg into a nearly 45,000-square-foot Megamart supermarket, with construction targeted to start in January.

Data Center Policy: Virginia lawmakers are sparring over tax breaks for data centers as the state weighs how to meet the industry’s growing power needs. A proposed Berry Hill megasite in Pittsylvania County envisions 21 buildings over 15 years, while Amazon has abandoned plans for four Northern Virginia facilities after local opposition. Business Licensing: The Virginia ABC’s new online portal lets alcohol businesses submit applications, pay fees and track approvals digitally; the agency says complete applications now take under two weeks to process, down from an average of 35 days. Broadband: Wilkes Telephone and its RiverStreet subsidiary, which serve about 31,600 customers across Virginia and North Carolina, filed for Chapter 11 and proposed a $92.5 million sale to Oaktree Capital, subject to court and FCC approval. Investment: Eli Lilly has broken ground on a $5 billion manufacturing facility in Goochland County, a major addition to Virginia’s life sciences sector. State Finances: Virginia retained its top bond ratings from three major agencies, a sign of continued strength in its credit standing.

Manufacturing Investment: Federal grants totaling nearly $24.8 million will support Virginia Tech research, advanced-manufacturing training for 2,000 workers and industry growth in Southwest Virginia. Defense Contracting: NAVSUP Norfolk obligated more than $3.2 billion across 10,000 contract actions in fiscal 2026, supporting nearly 450 Navy mission partners. Data Centers & Energy: Amazon dropped a $427 million Virginia data-center plan amid local opposition, while Dominion faces heavy grid demand and a proposed six-year rate freeze. Buchanan County also won an $80,000 matching grant to study a small wind-turbine energy-recovery pilot. Life Sciences: Eli Lilly broke ground on a $5 billion manufacturing site in Goochland County. Banking: Pinnacle Bankshares reported third-quarter net income up 20% year over year, with core earnings up 28% for the first nine months.

Small Business: Kelley Kouture opened a 2,400-square-foot Innsbrook showroom and headquarters, bringing shoe fulfillment in-house. Harrisonburg-founded Jack Brown’s, now with 22 locations, was acquired by Green Shoots Brands. Data Centers: Amazon abandoned a proposed $427 million Loudoun County project amid local opposition, while hundreds rallied in Richmond for a pause on new data centers. The debate puts local decisions over power, land and AI investment in sharper focus. Jobs & Investment: Eli Lilly broke ground on a $5 billion Goochland manufacturing site, and M.C. Dean announced a Caroline County expansion topping $400 million that is expected to create nearly 2,000 jobs. Housing & Utilities: Virginia home inventory climbed 20% as rising mortgage rates slowed sales. Separately, Dominion’s proposed rate increase could add about $43 to monthly bills, as the governor seeks a six-year rate freeze if the utility’s merger with NextEra is approved.

Data Center Pushback: Hundreds rallied at Virginia’s Capital Square for a moratorium on new data centers, citing limited public input and neighborhood impacts. Amazon has also walked away from a proposed $427 million Loudoun County project after opposition. Power and Rates: Old Dominion Electric Cooperative launched a home-battery program offering eligible customers up to $1,000, as demand from data centers adds pressure to Virginia’s electricity system. Dominion Energy’s proposed merger with NextEra faces regulatory scrutiny, while Gov. Abigail Spanberger is seeking a six-year rate freeze if it goes through. Investment: Eli Lilly broke ground on a $5 billion Virginia manufacturing site, a major boost to the state’s life-sciences sector. Housing: Virginia home inventory rose 20% as higher mortgage rates slowed sales, giving buyers more options but weighing on market activity.

Housing Market: Rising mortgage rates are slowing Virginia home sales even as inventory climbs 20%, giving buyers more options but keeping affordability in focus. Data Centers: Amazon has walked away from a $427 million Virginia data-center project amid local backlash, highlighting growing resistance to the industry’s expansion. Energy: Dominion-NextEra’s proposed merger faces regulatory and political scrutiny; Gov. Abigail Spanberger is seeking a six-year rate freeze as a condition of approval. Cybersecurity: Spanberger ordered a statewide plan to protect Virginia from AI-driven cyberattacks, a rising concern for public agencies and businesses. Investment and Jobs: M.C. Dean plans a $412.5 million manufacturing expansion, while Hampton Roads leaders are coordinating efforts to grow defense, energy, aerospace and logistics after regional job losses.

Housing: Virginia home sales fell 4.2% year over year in September, while pending sales dropped 14.3% and inventory climbed 20%, giving buyers more options as mortgage rates rise. Data Centers: Amazon withdrew plans for four data centers on its $427.3 million Ashburn site after local opposition, agreeing not to sue over development there. The retreat adds to growing resistance to Northern Virginia’s data-center boom. Energy: State Corporation Commission staff recommended rejecting Dominion Energy’s proposed $67 billion merger with NextEra. Gov. Abigail Spanberger says approval must include a six-year base-rate freeze. Investment: M.C. Dean plans a $412.5 million Virginia manufacturing expansion. Cybersecurity: Spanberger ordered a statewide plan and public-private consortium to protect critical infrastructure as AI makes software vulnerabilities easier to uncover. Agriculture: Virginia’s oyster industry faces a reported $16 million loss from an unusual mahogany tide, alongside a Salmonella-linked recall of Little Wicomico River oysters.

Data Centers: Amazon has abandoned its proposed $427 million Ashburn data center project after local opposition, agreeing to donate 25 acres for community use and put $5 million toward Loudoun County housing. The pullback adds to growing scrutiny of Virginia’s data center boom. Cybersecurity: Gov. Abigail Spanberger ordered a statewide plan to protect Virginia from AI-driven cyberattacks. Utility Costs: Southwest Virginia lawmakers want regulators to review Old Dominion Power’s proposed 23% rate hike, which could add about $43 a month to the average residential bill. Investment and Jobs: M.C. Dean plans to invest more than $400 million in a Caroline County expansion expected to create nearly 2,000 jobs. Eli Lilly has also broken ground on a $5 billion manufacturing facility in Goochland County.

Data Centers: Amazon has scrapped plans for four Northern Virginia facilities after local backlash, a setback for the region’s data-center expansion. Manufacturing Investment: Eli Lilly has broken ground on a $5 billion Goochland pharmaceutical plant. M.C. Dean plans to invest more than $400 million in Caroline County, creating nearly 2,000 jobs. Energy Costs: Gov. Abigail Spanberger is seeking a six-year rate freeze if regulators approve Dominion Energy’s merger with NextEra, as a separate rate proposal could add about $43 a month to household bills. Agriculture: Virginia farmers are set to receive about $65 million in federal safety-net and conservation payments, offering support after a difficult crop year.

Major Investment: Eli Lilly broke ground on its $5 billion Goochland manufacturing plant, which is expected to create 1,800 construction jobs and 650 permanent positions. M.C. Dean is also planning a more than $400 million Caroline County expansion, with nearly 2,000 jobs. Defense Hiring: Arlington-based Cybastion will hold an Oct. 27 job fair for roles in intelligence, engineering, cybersecurity, finance and government contracting. Energy and Rates: Virginia’s $67 billion Dominion-NextEra merger faces opposition from state regulators and leaders. Gov. Abigail Spanberger has called for a six-year rate freeze if it proceeds, as officials debate how to meet rising power demand. Cannabis Probe: State Sen. Louise Lucas and six others were indicted in an alleged marijuana, racketeering and money-laundering scheme tied to a Portsmouth cannabis business. The charges remain allegations. Grid Reliability: Old Dominion Electric Cooperative launched a home-battery program for residential customers, offering incentives for participants who help support grid reliability.

Energy Costs: Gov. Abigail Spanberger wants a six-year freeze on Dominion’s base residential rates and larger bill credits as conditions for approving the proposed $67 billion Dominion–NextEra merger. The deal faces growing opposition as regulators review it. AI Workforce: Virginia and Oklahoma will share a $1.1 million grant for an 18-month study of how AI could change state jobs, hiring needs and employee skills. Broadband: RiverStreet Networks and its parent filed for Chapter 11 and proposed a $92.5 million asset sale to Oaktree, subject to court and federal approval. The company says it plans to keep serving current customers. Data Centers: Amazon dropped plans for a data center campus at the former George Washington University site in Ashburn after backlash, as Virginia communities weigh development limits and power demands. Public Integrity: Sen. L. Louise Lucas and six others were indicted in an alleged marijuana trafficking and money-laundering scheme. Prosecutors accuse Lucas of using her office to protect the operation; the charges have not been proven in court.

Energy and Rates: Gov. Abigail Spanberger is pressing for a six-year electricity-rate freeze as a condition of supporting the proposed Dominion Energy–NextEra merger. State leaders and utility regulators have also urged rejection of the deal as proposed, while Virginia has approved a 3-gigawatt Dominion gas-fired power station. Data Centers: Suffolk approved a temporary pause on new data-center applications, amid regional calls for tighter oversight. Google’s Botetourt County project is moving ahead, while Amazon dropped its planned $427 million Ashburn campus and pledged the land for other uses. Business Investment: Volvo Trucks North America plans to add up to 500 jobs at its New River Valley plant. M.C. Dean is planning a $412.5 million Virginia manufacturing expansion. Household Costs: Virginia launched a $150 million program to help lower health-insurance premiums, with aid available first-come, first-served.

Data Centers & Housing: Amazon is dropping plans for data centers at its former George Washington University campus in Ashburn. It will pursue housing-led mixed-use development and set aside land for community arts and sports facilities. Energy: Gov. Abigail Spanberger is demanding a six-year electricity-rate freeze and other conditions before supporting Dominion Energy’s proposed merger with NextEra; regulators and state officials have urged rejection of the deal as proposed. Jobs & Investment: M.C. Dean plans a $412.5 million Virginia manufacturing expansion expected to add 1,950 jobs. Local Development: Cumberland supervisors approved Dominion’s permit for a proposed 3,000-megawatt gas plant, citing potential jobs and tax revenue despite residents’ concerns about impacts. Kilmarnock is also seeking public input on downtown revitalization, backed by a $75,000 state grant. Seafood: A recall of Virginia oysters harvested from the Little Wicomico River is tied to a multistate Salmonella outbreak that has sickened 27 people; harvesting in part of the river is closed through Nov. 7.

Commercial Growth: Onelife Fitness plans two Richmond-area clubs at Henrico’s Midtown64 and Short Pump’s Avenlea, investing about $24 million at each site and aiming to open by 2028. Data Center Shift: Amazon will drop its planned Ashburn data center and give Loudoun County 25 acres for community facilities and mixed-use development, plus $5 million for its housing fund. In Hampton Roads, residents are calling for a statewide pause on new data centers over power, water and neighborhood concerns. Energy & Regulation: Gov. Abigail Spanberger and State Corporation Commission staff are urging regulators to reject Dominion Energy’s proposed merger with NextEra as filed. Spanberger is seeking a six-year rate freeze and other consumer protections. Manufacturing Jobs: M.C. Dean plans a $412.5 million Virginia expansion, adding two factories and 1,950 jobs. Industry Consolidation: Virginia’s two largest craft brewers are merging.

Energy & Utilities: Virginia SCC staff recommended rejecting Dominion Energy’s proposed $67 billion merger with NextEra. Gov. Abigail Spanberger is also demanding a six-year rate freeze and other protections before the deal can proceed. Manufacturing Investment: M.C. Dean plans to spend $412.5 million expanding its Caroline County campus, adding two factories and 1,950 jobs by 2030. Data Center Debate: Virginia’s fast-growing data center industry faces mounting scrutiny over electricity costs and grid demands. Loudoun County is weighing a 12-month pause on new applications, while statewide moratorium bills are stacking up ahead of the legislative session. Defense Business: Falls Church-based Northrop Grumman raised its 2026 earnings outlook after quarterly sales grew 7%, with its backlog reaching a record $109.6 billion.

Energy & Utilities: Gov. Abigail Spanberger urged regulators to reject Dominion Energy’s proposed $67 billion merger with NextEra unless customers get a rate freeze; SCC staff also recommended rejecting the deal as proposed. Data Centers: Loudoun County is weighing a one-year pause on new data center and substation applications as Virginia communities push for tighter controls. The debate is intensifying alongside plans for a $100 billion Southern Virginia campus and a proposed 650-megawatt nuclear plant. Defense & Jobs: General Dynamics Mission Systems won a $194 million Navy contract modification, with a quarter of the work in Manassas; the project is expected to add about 200 engineering and manufacturing jobs across two states. Housing & Growth: Alexandria is among 14 cities receiving Bloomberg Philanthropies funding to expand proven housing programs, while a $100 million project near Virginia Center Commons would add apartments and refurbish office buildings. Business Climate: Virginia’s general-fund revenue grew 8%, and Spanberger authorized dyed diesel for on-road use to ease fuel supplies and costs for farmers and families.