Virginia has wrapped up its fiscal year in good standing. Governor Terry McAuliffe recently announced a surplus of more than $130 million. And he and Republican lawmakers are on the same page about what to do with the extra cash: save it.
Both Virginia’s Republican lawmakers and Democratic Governor are proposing the state put aside this year’s surplus for a rainy day.
When the numbers were first revealed a month ago, Republican lawmakers Chris Jones and Kirk Cox called for the full amount to go into the state’s reserve account. Giving a budget address to lawmakers in Richmond Monday, Governor Terry McAuliffe agreed.
“Given the level of federal and economic uncertainty, I would suggest to each of you that any effort to build up liquidity and cash reserves is a wise course of action,” said McAuliffe during his speech.
Virginia has dipped heavily into its rainy-day fund in recent years and with federal budget cuts are looming, politicians in Richmond agree: a little money in the bank will go a long way towards guaranteeing the state’s good credit.
But there’s still plenty to disagree on.
For one final time before leaving office, Virginia Governor Terry McAuliffe is renewing his push to expand Medicaid. Citing the failed effort in DC to overhaul the Affordable Care Act, the Governor called on state lawmakers to cash in on federal dollars by making more low-income Virginians eligible for the subsidized healthcare.
Virginia’s Republican lawmakers have opted each year not to expand the federal program, and State Senator Tommy Norment says that won’t change.
“I think that from the Senate standpoint we’ve been very consistent, a majority of us have been very consistent, in our approach towards Medicaid expansion,” Norment said after the Governor’s address. “There has been nothing persuasive or compelling for us as a body to change that majority opinion.”
Approximately 400,000 poor Virginians would gain access to Medicaid if the state expanded services.
This report, provided by Virginia Public Radio, was made possible with support from the Virginia Education Association.