News

Two counties, one week, and nearly $1.9 billion of local revenue in the balance.

Loudoun moved toward a 12-month pause on data center applications and Prince William ended by-right development. Both decisions deserve a clear-eyed look at what replaces the revenue.

Within ten days, the two counties that depend most on data center revenue each voted to slow the industry down. Loudoun's board voted on Sept. 15 to draft a 12-month pause on new legislative applications. Prince William's board voted unanimously on Sept. 22 to end by-right data center development countywide, with a 90-day grace period for plans already in motion.1

We understand why. Residents in both counties have been clear about generators, noise, water and transmission lines, and a board that doesn't respond to that isn't doing its job. But a pause and a rezoning requirement are procedural answers. They change who decides and when. They do not, by themselves, change what gets built or how it behaves. The substance still has to be written, and the budget consequences are real in the meantime.

What the two budgets say

CountyData center tax revenue, FY2027ShareReal estate rate, 2026
Loudounabout $1.3 billionabout 40% of the General Fund$0.805
Prince Williamabout $550 millionabout 28% of general revenue$0.865

Sources: county fiscal 2027 budget documents.2

Those two rates are the lowest in Northern Virginia, and the reason is in the table. Loudoun's own budget guidance already warns that the revenue "will plateau in the next 5 to 10 years," and its school division forecasts shortfalls beginning in fiscal 2030 as growth slows.3 Prince William's homeowners saw their average bill fall this year. For rates like these to hold, the rest of each county's base has to keep growing.

The questions the next year should answer

  • What will the standards say? Loudoun has a year to rewrite its data center rules. Prince William is revisiting its overlay district. If those rewrites set measurable requirements for water, noise, backup power and siting, drawn from the industry's best practices and chosen by the community, residents get enforceable rules. If they set vague ones, the counties get neither the protections nor the revenue.
  • What grows while this sector waits? A county with 40% of its budget in one industry needs the other parts of its base, homes, offices, retail and industry, growing at the same time. Both counties have housing and commercial proposals in front of them now. Those are the decisions that determine whether a pause is a breather or the start of a squeeze.
  • Who will be in the room? Standards get written at work sessions and public hearings. The residents who show up shape them. We will publish the numbers before each one and help anyone who wants to speak prepare.

Neither county has decided to give up its tax base. Both have decided to think harder about how it is built. That is a reasonable thing to do, and the measure of it will be the standard the community writes at the end.