Adopted a $2.60 equipment tax
Henrico County raised its data center equipment tax from $0.40 to $2.60 per $100. That's a 6.5× increase on data center equipment only, not residential property.
The model works
Henrico already proved this.
Hanover doesn't have to guess whether a higher data center tax rate, paired with a binding resident relief mechanism — works. The neighboring county did it last year, in a single budget cycle, with no economic damage and measurable residential relief.
Equipment tax · per $100 of assessed value
Scale: $0.00 – $3.00
$0.45
Hanover current
15.0% of ceiling
Since data centers began siting here
$2.60
Henrico
86.7% of ceiling
Adopted 2024
$3.00
Hanover proposed
100.0% of ceiling
Vote · June 24, 2026
Note
Hanover's current rate is 5.8× lower than Henrico's. The proposed ceiling would put Hanover within 15% of Henrico's benchmark.
Henrico County · FY 2024-25 (proven)
The model has already worked in our backyard.
$13.6M
First-year net data center revenue
$18.3M
New tax relief delivered to residents
$0.85$0.83
Residential real estate tax, per $100
Source: Henrico County FY2024–25 adopted budget and County Administrator's proposed FY2025–26 budget.
All figures verified against Henrico County Administrator's proposed FY2025-26 budget. Report a data error →
What Henrico did
Four moves. Twelve months. Real relief.
Where the $18.3M went
Schools, public safety, water, and rate cuts.
Henrico's $18.3M in new resident relief was not just a rate cut. It funded continued investment in Henrico County Public Schools, strengthened public safety, advanced capital projects from the 2022 bond referendum, and allocated $50M for water infrastructure — in addition to the residential rate cut from $0.85 to $0.83 per $100.
That's the math the Hanover Framework is asking for: 50% of net surplus to residents, with room to fund the services residents already rely on, without raising the general fund budget.
Generated $13.6M net revenue
In the first budget cycle (FY 2024–25), Henrico's data center revenue was $13.6M above projections even after accounting for equipment depreciation and abatements.
Cut the residential rate
Used the surplus to drop the residential real estate tax from $0.85 to $0.83 per $100. Real money for homeowners, delivered in one budget cycle.
Delivered $18.3M in new relief
Total new tax relief, including the rate cut and direct program funding, was $18.3M. One cycle. One framework. One precedent.
Source & verification
Henrico County FY2024–25 adopted budget and County Administrator's proposed FY2025–26 budget.
All figures verified against Henrico County Administrator's proposed FY 2025–26 budget and FY 2024–25 closeout. Question the source →