A decision made a decade ago by the city of Buena Vista created a debt load that city leaders now call insurmountable. It's a situation that might well serve as an object lesson for other localities in Virginia.
Governor McAuliffe and General Assembly leaders have struck a deal to cut the state budget to cover an unexpected $2.4-billion revenue shortfall.
The agreement taps the state’s Rainy Day Fund, while closing a $346-million gap this fiscal year, and $536-million the next. The Governor stressed the bipartisan nature of the accord—flanked by GOP state lawmakers and the Democratic co-chair of the Senate Finance Committee.
"Not surprised—but still disappointing." That statement from one of Virginia’s budget-writing committee leaders is the consensus of the others who heard a dismal financial report from Governor McAuliffe. They nevertheless applaud the Governor for his leadership… and have already begun figuring out ways to address the projected shortfall.
Factoring in an $882-million shortfall for fiscal years 20-15 and 16 and prior revenue gaps, the governor says state leaders have a lot of digging out to do.