HB 638 Virginia House of Delegates · 2026 Regular Session

Data brokers; regulation, civil penalties.

Summary
Regulation of data brokers; civil penalties. Prohibits a person from acquiring personally identifiable information, defined in the bill, through fraudulent means or acquiring and using such information for the purpose of (i) stalking or harassing another person; (ii) committing a fraud, including identity theft, financial fraud, or email fraud; or (iii) engaging in unlawful discrimination, including employment discrimination or housing discrimination. The bill requires a data broker, defined in the bill, to develop, implement, and maintain a comprehensive information security program that includes certain features and technical elements. The bill also requires a data broker operating in the Commonwealth, beginning on December 1, 2027, and annually thereafter, to register with the Secretary of the Commonwealth. The bill provides that a violation of its provisions constitutes a prohibited practice under the Virginia Consumer Protection Act. The bill has a delayed effective date of July 1, 2027.
Bill status in committee 1 of 4 stages cleared
Introduction
Jan 2026
Committee Review
Floor Vote
Governor
Introduced Jan 13, 2026 Last action Feb 9, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Communications, Technology and Innovation Substitute · 5 edits
MODERATE
The bill was amended from an original version containing a broad list of prohibited consumer practices to a focused substitute bill that exclusively regulates data brokers. The new version removes unrelated consumer protection clauses and adds specific definitions and requirements for data brokers, including a mandatory registration fee and detailed security program standards.
Scope change
The bill's scope was significantly narrowed. It no longer covers general consumer transactions (like sales of goods, auto repairs, or mold remediation) but now focuses solely on the regulation of data brokers and the sale of personally identifiable information.
SCOPE

Removed a comprehensive list of 88 prohibited consumer practices that previously covered general business conduct, including auto repairs, health clubs, and price gouging.

DEFINITION

Added a new definition for 'data broker' that specifically requires the business to derive its principal source of revenue from the sale of data, narrowing the group of entities subject to the law.

REQUIREMENT

Added a mandatory requirement for data brokers to register with the Secretary of the Commonwealth and pay a $100,000 fee annually starting in 2027.

Added a requirement for data brokers to implement a comprehensive information security program with specific administrative, technical, and physical safeguards.

TIMELINE

Changed the effective date of the new data broker regulations from July 1, 2026, to July 1, 2027.

Floor votes

How they voted

No floor votes recorded yet.
Full legislative history

Actions timeline

Total actions
6
Key actions
2
Committee
4
Feb 4, 2026
Lower · Passed
Subcommittee recommends continuing to (Voice Vote)
lower
Feb 4, 2026
Lower · Passed
House subcommittee offered
lower
Jan 26, 2026
Committee
Assigned HST sub: Technology and Innovation
lower
Jan 13, 2026
Committee
Referred to Committee on Communications, Technology and Innovation
lower
1 primary · 2 co-sponsors

Sponsors