Environment

Department of Environmental Quality; Environmental Justice in the Permitting Process Guidance Memo; cumulative impacts. Directs the Department of Environmental Quality to publish an updated version of the Environmental Justice in the Permitting Process Guidance Memo for public comment. The bill requires the updated memo to consider how to assess the cumulative impacts of the types of permits covered in the guidance memo and outreach strategies to engage communities impacted by any such permit. The bill requires the public comment period process to include two public town halls held no later than July 31, 2026, and requires the Department to respond to the public comments by October 31, 2026. The Department is required to issue the final guidance memo by December 31, 2026.

Small renewable energy projects; agrivoltaics definition. Provides a definition of "agrivoltaics" for the purposes of small renewable energy projects. This bill incorporates HB 899 and is identical to SB 340.

An Act to amend and reenact § 10.1-1197.5, as it is currently effective and as it shall become effective, of the Code of Virginia, relating to small renewable energy projects; agrivoltaics definition.

Plastic bag tax; distribution to towns. Requires that any town located within a county that has imposed a disposable plastic bag tax receive a distribution of revenues collected by the county based on the local sales tax distribution formula for appropriations to towns. The bill restricts a town's use of such revenues to the same purposes allowable for a county or city.

Use of unmanned aircraft systems by public bodies; search warrant required; exceptions. Adds the Department of Environmental Quality to the list of exceptions to the warrant requirement for the use of an unmanned aircraft system by public bodies for the implementation and civil enforcement of the Virginia Water Resources and Wetlands Protection Program, the Virginia Erosion and Stormwater Management Act, and erosion and sediment control in localities without a Virginia Erosion and Stormwater Management Program against a permittee.

Marine Resources Commission; powers and duties; wetlands; work group; report. Requires the Marine Resources Commission to ensure that, in promulgating minimum standards for protection and conservation of wetlands, no net loss of existing wetland acreage and functions is achieved. The bill requires permits for the use and development of wetlands to contain requirements for compensating impacts on wetlands sufficient to achieve no net loss of existing wetland acreage and functions. The bill also directs the Secretary of Natural and Historic Resources to convene a stakeholder work group to address mitigation requirements for tidal nonvegetated wetlands and directs the work group to submit a report of its findings and recommendations to the Chairs of the House Committee on Agriculture, Chesapeake and Natural Resources and the Senate Committee on Agriculture, Conservation and Natural Resources no later than July 1, 2027.

Resilient Virginia Revolving Fund; projects; low-income geographic areas and nature-based solutions. Provides that the Department of Conservation and Recreation shall give additional weight to projects located in low-income geographic areas and projects that incorporate nature-based solutions when distributing loans or grants from the Resilient Virginia Revolving Fund to particular local governments. The bill allows the Virginia Resources Authority to contract with any person to serve as a program administrator to be approved by the Department to assist in the distribution of loans and grants to local governments. As introduced, this bill was a recommendation of the Joint Subcommittee on Recurrent Flooding.

Marine Resources Commission; Chesapeake Bay; diamondback terrapin protection areas; use of bycatch reduction devices on crab traps; penalty. Requires the Marine Resources Commission, in collaboration with the Crab Management Advisory Committee and the Virginia Institute of Marine Science, to develop and establish by December 1, 2027, diamondback terrapin protection areas in those portions of the Chesapeake Bay and its tributaries where interactions may occur between diamondback terrapins and any nets, traps, pots, or other fishing devices or gear. The bill directs the Commission to require by regulation bycatch reduction devices, as defined in the bill, on all recreational crab pots placed within any such diamondback terrapin protection area established by the Commission. A violation of such regulation is a Class 3 misdemeanor.

Policy of the Commonwealth; data centers. Provides that it is the policy of the Commonwealth to encourage the responsible operation of data centers in the Commonwealth while supporting grid reliability, affordability, and the deployment of renewable resources. The bill provides that in furtherance of this policy, the Commonwealth shall (i) promote coordination between data centers, state agencies, and regional grid operators to share information on energy usage, interconnection timelines, and barriers to rapid deployment of renewable and flexible energy resources; (ii) incentivize data centers to participate in demand response programs, implement energy storage and management systems, and leverage automated technologies to reduce peak demand and support grid stability; (iii) encourage flexible energy practices that allow data centers to adjust energy consumption in real time in alignment with available renewable generation; (iv) ensure large-scale data centers pay their fair share of infrastructure investments, mitigating impacts on residential and small business ratepayers; (v) require data centers to report water and aggregated energy usage, sustainability measures, and participation in grid support programs to appropriate state and federal agencies; and (vi) promote cybersecurity, physical security, and supply chain security measures to protect Virginia data center operations from foreign adversary access or compromise.

Department of Environmental Quality; standby generators study; report. Directs the Department of Environmental Quality to conduct a one-year study of all standby generators used by a commercial facility with an air permit in the Commonwealth. The bill requires the study to (i) identify commercial facilities with an air permit that use standby generators, (ii) identify the type of pollutants emitted from such standby generators, and (iii) analyze and describe the amount of pollutants from such standby generators. The Department is required to report its findings and recommendations to the Chairs of the House Committee on Agriculture, Chesapeake and Natural Resources and the Senate Committee on Agriculture, Conservation and Natural Resources by July 1, 2027.