Debt and Budget

There’s good news from the Governor and the heads of the General Assembly’s money committees. Despite dealing earlier with a significant revenue shortfall, the state is now seeing a $338-million revenue bump from withholding through corporate income tax and insurance premiums.

It amounts to $162 million more over the biennium after a $176 million  deposit into the Rainy Day Fund. Governor McAuliffe says it provides a little extra money to spend as the budget is crafted.

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. 

VA Lawmakers Hoping for a More Productive 2015

Dec 31, 2014
Creative Commons

Virginia lawmakers are bemoaning the meager work accomplished in Washington in 2014. A look at how some lawmakers fear 2015 may once again bring stiff budget cuts that would hurt the state’s economy. 

Creative Commons, Flickr

Governor McAuliffe says when he addresses lawmakers about the state's budget this week, he intends to talk about his new economic development package.

His initiative includes legislative proposals that the governor says are necessary to reduce the Commonwealth’s reliance on federal dollars.

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.