Per the doc, users that logon to a virtual machines are the ones that need the VM FACILITY:
https://techdocs.broadcom.com/us/en/ca-mainframe-software/security/ca-top-secret-for-z-vm/12-1/administering/administering-facility-security/vm-as-a-facility.html
If a user is not authorized, they will receive a FACILITY NOT AUTHORIZED message and get a security violation with a detailed reason code of 1C when running a TSSUTIL audit report.
XAUTOLOGed machines don't need the VM FACILITY.