Virginia Governor Glenn Youngkin recently announced over 240 amendments to Virginia’s biennium budget, unveiling what he described as a common ground budget plan. This budget proposal, totaling $64 billion, was presented as a collaborative effort to benefit all Virginians without any tax increases or cuts.
The budget plan includes a significant $21.3 billion investment in K-12 education, with a provision to limit tuition increases to 3%. Furthermore, the proposal entails a 3% pay raise for teachers and state employees annually, emphasizing the government’s commitment to education and workforce development. In addition, there is a $3.2 billion increase in funding for health and human resources over the biennium.
One of the notable components of the budget is the capital outlay investments, which allocate more than $1.4 billion in general fund cash and tax-supported debt for various projects. These projects include improvements to wastewater treatment plants, renovation of state agencies and higher education institutions, contribution to the general fund maintenance reserve, equipment purchases, and supplementing construction cost increases on authorized projects.
It is worth noting that the budget proposed by the Democratic majority in the General Assembly earlier this year eliminated a significant portion of the governor’s spending proposals, amounting to over $850 million. This included a bond proposal aimed at attracting professional sports teams to the state. Governor Youngkin’s common ground budget restores only $230 million of these priorities and does not include the development district for a sports arena in Alexandria.
Governor Youngkin emphasized that Virginia currently holds a strong financial position, characterized by rising revenues, substantial reserves, and a AAA bond rating. He reiterated that this financial stability serves as the foundation for making substantial investments without the need for tax hikes, showcasing the state’s prudent fiscal management.
The proposed budget will now move back to the General Assembly for further deliberation when they reconvene on April 17. With its focus on education, workforce development, and prudent fiscal management, Governor Youngkin’s common ground budget plan aims to steer Virginia towards continued progress and prosperity.