eNews: Special Edition December 21, 2021Tuesday, December 21, 2021 - 04:09pm
In this issue:
- A closer look: The proposed biennial budget (2022-2024) and caboose budget (FY22)
- Biennial Budget (2022-2024): Summary of items of interest to local governments
- Fiscal Year 2022 (Caboose Budget): Proposed amendments of interest to local governments
A closer look: The proposed biennial budget (2022-2024) and caboose budget (FY22)
Out-going Governor Ralph Northam introduced his final budget plans to the General Assembly’s budget and finance committees on Dec. 16. This included the proposed amendments to the current year budget, commonly known as the caboose budget (HB29), and the proposed biennial budget that will run from July 1, 2022, through June 30, 2024 (HB30/SB30).
Now that the Governor has proposed his budgets, the General Assembly gets its turn to consider and make amendments to these budgets. In-coming Governor Glenn Youngkin will also have an opportunity to propose amendments to these budgets once he is sworn into office in mid-January.
The public also has opportunities to comment on the budget proposals at four public hearings to be held on Wednesday, Jan. 5 (speaker registration opens on Tuesday, Jan. 4).
Anyone unable to attend one of the public hearings may submit comments electronically here > (Note -this option will be available closer to the date).
In addition, here are some links to state agency documents related to the proposed budgets.
Virginia Department of Education:
- MEMO 326-21
2022-2024 Biennial Budget as Introduced by Governor Northam(PDF)
- MEMO 325-21
Amendments to the Fiscal Year 2022 Direct Aid to Public Education Budget as Proposed by Governor Northam (the “Caboose Bill”)(PDF)
Virginia Department of Planning and Budget:
- Budget launch page
- Compensation Board memo/summary of proposed budgets
- General Assembly’s budget website
- Includes links to the proposed budget (Note: This page has been intermittent following last week’s major hack. Please check back if it doesn’t work.)
In general, here’s what’s in (and what’s not in) the proposed 2022-2024 budget:
- Adds $1.1 billion to the state’s “rainy day fund”
- Adds $564 million to the reserve fund
- Proposes spending an additional $690.3 million from the State and Local Recovery Fund of the American Rescue Plan Act (ARPA), leaving an unobligated balance of $424.2 million. The state programmed $3.2 billion in these funds during the 2021 Special Session II to cover FY 2022. The proposed programming of these funds can be found under Central Appropriations (Item 486); many state agencies across several secretariats benefit from these funds.
- Education (including preK-12 and higher education) once again leads the area of greatest operating spending with proposed total spending of $3.23 billion.
- Public safety and homeland security would account for the majority of the increase in position levels in the proposed budget for FY2024 with 965 new positions, attributed to opening of new ABC stores/other positions, new positions for the Virginia Cannabis Control Authority, and Department of Corrections initiatives.
- The Governor ignored (again!) meeting the state’s obligation to increase state assistance to local police departments, commonly known as the HB 599 program. The funding levels for this program have been frozen since FY2020. Following the statute, local governments should have seen an increase of $49.4 million in FY2023 and $50.5 million in FY2024. VML and local government and police partners will seek budget amendments in the 2022 Session to address what was left out of the proposed budget.
VML staff have looked through the budget proposals and summarized some of the items of interest to local governments in the articles below. Each summary examines the proposed 2022-2024 budget first, followed by the caboose budget.
VML staff contacts for the budget:
- Janet Areson, firstname.lastname@example.org – Administration, Executive, Finance (temporarily), HHR, Public Safety, Central Appropriations
- Josette Bulova, email@example.com – Education, Lottery & VRS, Teacher Compensation
- Michelle Gowdy, firstname.lastname@example.org – Commerce & Trade, Labor
- Mitchell Smiley, email@example.com – Agriculture, Natural Resources, Technology, Transportation
Biennial Budget (2022-2024): Summary of items of interest to local governments
Use the links below to jump to each area:
- Executive Offices
- Secretary of Administration
- Secretary of Commerce and Trade
- Secretary of Commerce and Trade
- Secretary of Education
- Secretary of Finance
- Secretary of Health and Human Resources
- Secretary of Labor
- Secretary of Natural Resources
- Secretary of Public Safety and Homeland Security
- Secretary of Transportation
- Central Appropriations
Children’s Ombudsman. Adds $0.4 million to support two additional positions for the Office of Children’s Ombudsman.
Cannabis Equity Board. Adds $0.7 million to fund two positions/staff support to the Cannabis Equity Reinvestment Board.
Secretary of Administration: Compensation Board
Behavioral health jail positions. Provides 249 new behavioral health case manager positions across all local and regional jails as well as 253 partially funded medical and treatment positions identified through and allocated according to Comp Board staffing standards to implement new state behavioral health standards in local and regional jails (a position in VML’s legislative program): $18.03 million in FY2023 and $19.67 million in FY2024.
Salary increases for Constitutional offices and staff. Adds funding to support the five percent across-the-board salary increase for constitutional officers, regional jail superintendents, finance directors and their Compensation Board-funded employees effective July 1, 2022, and another five percent across-the-board increase for all state supported employees effective July 1, 2023: $36.9 million in FY2023; $75 million in FY2024.
Salary compression increases for sworn personnel. Provides base salary increase of $100 for each year of service for personnel with three or more years continuous state service, up to 30 years: $7.5 million in FY 23; $8.1 million in FY24
Increase salaries for certain entry-level positions. Increases entry-level salaries of sworn deputy sheriffs and regional jail officers to $42,000 (including increases to the new minimum for positions currently budgeted below that level), effective July 1, 2022: $7.5 million in FY2023; $8.1 million in FY2024. Annualize regional jail officers’ entry-level salary increases. Provides $229,500 each year for this purpose.
Annualize funding for state-supported local employees salary increase. Annualizes the five percent increase for these employees that was approved by the General Assembly: $2.82 million in FY23; $2.83 million in FY24.
Annualize support for 25 percent of Commonwealth Attorney staffing needs. $122,817 in FY2023 and FY2024.
Reduce jail per diem appropriation. Reduces existing appropriation for per diem payments to local and regional jails in light of revised local- and state-responsible inmate population forecast and anticipated expenditures: -$10.9 million in FY2023 and -$10.5 million in FY2024.
Secretary of Administration: Department of Elections
Increase public education funding. Provides additional state funding for election public education: $1.25 million in FY2023; $1.25 million in FY2024.
Secretary of Commerce and Trade: Department of Housing and Community Development
Enterprise Zone Program. Increases funding to the program to support recent and anticipated demand, thereby reducing the need for proration in real property investment grant awards: $3.7 million each year of the biennium.
Housing Trust Fund. Provides additional positions and funding ($70.0 million and 10 positions in FY2023; $120.0 million and 15 positions in FY2024) to support creation or preservation of affordable housing units through construction financing and grants, bringing total funding for the Fund to $125.0 million in FY2023 and $175.0 million in FY2024. Within this funding, $15.8 million each year will be used to support affordable housing programs and the indoor plumbing program. (Item 114 E.1)
Eviction Prevention and Diversion Program. Continues this program into the biennium with $3.3 million in each year for competitive grants to support local or regional eviction program and use a systems approach with linkages to local departments of social services and legal aid resources. Priority will be given to applications that provide a local match in an amount deemed appropriate by the Department. (Item 114 I)
Broadband reporting and map. Creates a staff position responsible for collecting, maintaining, and reporting statewide broadband coverage data in compliance with recent legislation. Continues funding of $424,000 each year to support the creation of a Statewide Broadband Map to show where there is service and the approximate maximum speeds of broadband in service areas. This is in coordination with the Office of the Chief Broadband Advisor. (Item 115 P.1)
Broadband line extension continuation. ARPA /SLRF funding provided to the Department through Central Appropriations (Item 486) provides $8.0 million in FY2023 to continue to Line Extension Customer Assistance Program to support extension of existing broadband networks to low-to-moderate income residents.
VATI. Funding continues for the Virginia Telecommunications Initiative (VATI) with $49.73 million each year to continue to expand broadband. The requirement of a private provider remains in the budget language. This funding is in addition to the $700.0 million in ARPA funding already allocated for broadband infrastructure in FY 2022.
Removal/Rehabilitation of Derelict Structures Fund. ARPA/SLRF funding in the amount of $22.5 million in FY2023 provided to the Department through Central Appropriations (Item 486 2.e.(1)) targeted to support the Virginia Removal or Rehabilitation of Derelict Structures Fund program. Maximum grant amount is $5.0 million for projects in economically distressed areas; any grant award above $1.0 million in economically distressed areas will be conditioned on a 100 percent match of local and/or private funds by the local government.
Main Street Program. ARPA/SLRF funding provided to the Department through Central Appropriations (Item 486 2.e.(2)) in the amount of $4.0 million in FY2023 to support the Virginia Main Street Program in providing assistance to businesses recovering from the COVID-19 pandemic.
Secretary of Commerce and Trade: Virginia Tourism Authority
Tourism promotion. Continues funding of $3.1 million each year to supplement appropriations to promote the tourism industry through an enhanced advertising campaign. At least $1.0 million each year shall be used to support a cooperative advertising program to partner with private sector tourism businesses and regional tourism entities. (Item 126 2G)
Secretary of Commerce and Trade: Virginia Innovation Partnership Authority
Capitalize regional innovation fund. Adds $3.0 million each year to support, stabilize, and maximize the impact of emerging regional ecosystems.
Secretary of Education: Department of Education
Standards of Quality (SOQ). Approximately $7.4 billion is proposed to fund the Standards of Qualities (SOQ) each year of the biennium. This is an increase of nearly $4 million from the previous biennium, not including the increase of nearly $5 million to the FY22 year budget as depicted in the caboose budget. While the SOQ’s have been enhanced this year, it is important to note the Joint Legislative Audit & Review Commission (JLARC) is currently studying the real cost of education.
Hold Harmless – Rebenchmarking. Following the Board of Education presentation in October, $330 million has been proposed to fund the cost of rebenchmarking. Although the process of rebenchmarking occurs on an annual basis, the pandemic greatly affected crucial data used in this process (such as enrollment). Therefore, $164 million out of the $330 million is to be used to offset the rebenchmarking costs through hold harmless funding. This means localities will not be held liable for these costs due to unforeseen circumstances.
School Construction Grants. Allots $500 million for a one-time school construction grant in FY2023. Grants may be used for non-recurring construction, renovations, technology, and debt service costs from the last ten years. This fund allocates a minimum of $1 million per division with the remainder allotted based on the weighted ADM. The School Construction Grant does not require a local match. Any of the unspent grant funds may be carried over to be used in FY24 and FY25.
Literary Fund. Following recommendations from the Board of Education and the Virginia Treasury, the Literary Fund has been changed slightly to match needs of the Commonwealth. Availability to use loans for school construction projects has increased while availability for teacher retirement has decreased by $83 million in both FY23 and FY24.To further help with this change, the maximum loan has now increased from $7.5 million to $25 million and the BOE has $200 million for subsidies.
Virginia Retirement System (VRS) teacher rates. The proposed budget maintains the same instructional employer rates of 16.62% as in the FY22 budget. This varies from the lower base rate of 14.76% the VRS Board recommended in October 2021.
Secretary of Finance: Department of Accounts
Increase certain tax revenue distributions to localities. Increases distributions of TVA PILT (increase of $50,000 each year); and distribution of sales tax from certain tourism projects (increase of $575,000 each year). Continues the deposit of $20 million in recordation funds to Hampton Roads Regional Transit Fund each year.
Revenue stabilization “rainy day” fund. Appropriates $1.13 billion as mandatory deposit to this fund in FY 2023.
Reduce VRS unfunded liability. Increases general fund deposit to the Virginia Retirement System to reduce unfunded liabilities, contingent on revenue estimates being met as assessed in July 2022: $923.99 million in FY 2023
Secretary of Finance: Department of Taxation
Study of local property tax certifications. Directs agency to study and develop a proposal to require that all individuals who conduct local property tax assessments receive state certification and continuing recertification. VML is among the groups to be consulted in this study, which is due by Nov. 1, 2022 to the Governor and chairs of House Finance and Senate Finance and Appropriations Committees (Item 275 D.1)
Secretary of Health and Human Resources: Children’s Services Act (CSA) / Office of Children’s Services (OCS)
Increase training funds. Adds funds each year for annual conference and additional on-line training as requested by the office: $50,000 each year.
Secretary of Health and Human Resources: Department of Health
Match rate change funding. Adds state funds to complete phase-in of local match rate changes for cooperative health budget that was approved by the 2021 General Assembly: $2.84 million in FY2023; $5.67 million in FY2024.
Expand comprehensive harm reduction services. Adds state funds to address increase in demand at these states in the central region. Services include sterile needle distribution, needle exchange, counseling, testing, and naloxone distribution: $1.06 million in FY2023, $1.68 million in FY2024.
Equitable access to drinking water. Establishes a fund to support small community waterworks by helping the Office of Drinking Water consolidate small waterworks to reduce health violations, improve economies of scale, and address resilience and reliability at small/disadvantaged systems: $1.0 million each year. A separate item under Central Appropriations allocates $25.0 million each year (ARPA/federal funds – Item 486) for these purposes as well.
Well and septic systems. Allocates funding from ARPA/federal funds to VDH for continued provision of improvement funds for wells and septic systems for homeowners at or below 200 percent federal poverty guidelines (Central Appropriations Item 486): $1.6 million in FY2023; $4.15 million in FY2024.
Restore unallotted funding to replace Office of Drinking Water access database. Funding would pay for updating and security water quality and monitoring databases as required to meet state security standards and federal reporting requirements: $250,000 each year.
Appropriation of COVID-19 federal grants (non-ARPA). Provides appropriation for VDH’s COVID-19 response grants to ease mid-year administrative adjustments and increase transparency: $269.7 million in FY 2023.
Marijuana prevention/education. Adds funding for this purpose for the period prior to receipt of revenue from sales: $2.24 million each year.
Data sharing regarding firearms violence in Virginia. Adds fund to facilitate data sharing on this topic: $144,799 each year and one position.
Opioid Abatement Authority. Provides funds to VDH central office administrative functions for the Authority: $200,000 each year and two positions.
Secretary of Health and Human Resources: Medical Assistance Services (Medicaid)
Fund re-entry care coordination and outreach. Provides funds for coordination services to individuals who are Medicaid-eligible 30 days prior to release from incarceration: $1.06 million GF/$12.5 million NGF in FY2023; $1.38 million GF/$17.86 million NGF in FY2024.
Secretary of Health and Human Resources: Behavioral Health and Developmental Services
Prevention programs for underage marijuana use. Continues funding to support state oversight and coordination for an evidence-based prevention and youth media campaign and education efforts related to marijuana legalization. VA Foundation for Healthy Youth will head the prevention campaign: $1.023 million each year and one position.
Expand alternative custody options for TDOs. Requires DBHDS to create a plan, including draft legislation, to increase alternative custody options for individuals under a temporary detention order awaiting transport to an inpatient bed: $3.36 million in FY24.
Expand discharge transportation to all state facilities. Expands a pilot program to transport individuals discharged from state facilities to their home or community-based service placement: $1.0 million each year.
Comprehensive study of state behavioral health system. Provides funds for study in the first year; funding for second year in Central Appropriations: $1.0 million in FY2023 and $100 million in FY2024.
Oversight position for permanent supportive housing programs. Funds one position to increase oversight and management of these programs: $109,155 and one position each year.
Expand permanent supportive housing. Adds funding for additional housing; $2.5 million is earmarked for housing in the Northern Virginia area: $11.25 million in FY2023; $19.05 million in FY2024.
Expand permanent supportive housing for pregnant/parenting women with SUD. Provides rental subsidies and support services for 75 additional pregnant or parenting women with substance abuse disorders: $1.72 million in FY2023; $1.78 million in FY2024.
E-988 funds. Appropriates crisis call center funds for operation and maintenance costs of the 988 crisis call center: $1.67 million in FY2024.
E-988 call center staffing: Appropriates funds deposited into the Crisis Call Center Fund (funds come from surcharge on wireless services) to support costs of call center staff in localities: $4.73 million NGF in FY2023; $2.0 million GF and $7.45 million NGF in FY2024.
Crisis system transformation continuation. Provides funds for continued implementation of crisis system transformation: $2.0 million GF and $20.0 million for community-based crisis services from ARPA/federal funds in FY2023; $22.0 million in FY2024.
Marcus Alert implementation. Provides $600,000 for each of the next five regions to implement Marcus Alert system: $3.0 million each year.
STEP-VA services and local infrastructure. Provides funds for implementation of the remaining three services required by STEP-VA and provides funds for local infrastructure and regional management of STEP-VA services (This item is in VML’s legislative program): $22.25 million in FY2023; $28.30 million in FY2024.
Dementia diversion pilot. Continues expanded pilot program in FY23 using ARPA/federal funds to serve approximately 60 additional individuals with primary dementia diagnosis who are ready for discharge from state hospitals and who need nursing facility level care. Funding for the pilot is dependent on agreements between the Department and CSBs in the jurisdiction in which the pilot program is located: $1.54 million in FY2023 (Central Appropriations, Item 486).
Community-based substance use disorder treatment. Adds ARPA/federal funding in first year to grants to localities for continuation of funding to expand community-based substance use disorder treatment services: $5.0 million in FY2023 (Central Appropriations Item 486).
Secretary of Health and Human Resources: Department for Aging and Rehabilitative Services
Add adult protective services staff to regional offices. Adds one addition position in each of the agency’s five regional offices to improve oversight of APS being provided by local departments of social services: $599,207 and five positions each year.
Increase support for public guardianship slots. Funds 300 additional guardianship slots and cost of rebasing existing slots to a statewide minimum; adds an oversight position at the agency: $2.69 million in FY2023; $2.62 million in FY2024.
Secretary of Health and Human Resources: Department of Social Services
Foster care and adoption cost of living adjustments. Raises maximum maintenance payments to foster family homes on behalf of foster children by five percent; increase is assumed for adoption subsidy funding to assure equity and avoid disincentives to adoption: $2.31millon GF/$1.9 million NGF in both years.
Create public benefit navigator pilot program. Funds pilot in the Office of New Americans that competitively awards grants to immigrant- and refugee-serving organizations for intensive case management to assist immigrants with applying for critical public services: $4.0 million and two positions each year.
Emergency shelter capabilities and readiness. Provides funding to VDSS to re-evaluate state shelter sites on a rotating basis: $192,978 GF/$196,642 NGF each year.
Family First Prevention Program. Funds monitoring and evaluation of evidence-based prevention services, appropriates federal transition act funding and funds salaries for allocated program positions: $400,000 GF/$3.55 million NGF in FY2023; $831,410 GF/$3.98 million NGF in FY2024.
Secretary of Labor
Note: This is a new Secretariat, approved by the 2021 General Assembly, that includes the Department of Labor and Industry, Department of Professional and Occupational Regulation, and the Virginia Employment Commission.
Secretary of Labor: Department of Labor and Industry
The Department shall report to the Chairs of House Appropriates and Senate Finance and Appropriations Committees along with the Director of Planning and Budget by November 1 of each year the following information:
State’s minimum wage program
- Number of customer contacts concerning minimum wage
- Minimum wage claims processed
- Cases with wages collected
- Cases with claims ruled invalid
- Cases with final orders issues
- Cases cleared within 90 days
State’s anti-discrimination in payment of wage program
- Number of Customer contacts
- Payment of wage discrimination complaints processed
- Meritorious complaints with payment of wage discrimination resolved either by reinstatement or recovery of lost wages
- Non meritorious complains
- Cases with no adverse action taken
- Cases going to court
State’s anti-discrimination in worker misclassification program
- Number of customer contacts concerning discrimination in working misclassification
- Discrimination in worker misclassification claims processes
- Meritorious complaints with worker misclassification wage discrimination resolved with either reinstatement and/or recovery of lost wages
- Non-meritorious complaints
- Cases taken to court
Prevailing Wage Program
- Number of contacts from state agencies to determine the proper prevailing wage
- Prevailing wage determinations for the involved planning district calculated using Davis-Bacon wages for the cities and counties within the planning district
- Contractor provided scale of pay and fringe benefits certified and received (Item 365 B.1)
Secretary of Natural Resources: Department of Conservation and Recreation
Water Quality Improvement Fund. Directs $313 million to the Water Quality Improvement Fund in FY 2023 as a one-time mandatory deposit of year end-excess general fund revenue collections and discretionary year-end balances. From this appropriation $230 million is directed to the Virginia Soil and Water Conservation Board with $208 million directed to agricultural best management practices with $142 million to grant within the Chesapeake Bay Watershed and $62 million outside of the Chesapeake Bay Watershed in the Commonwealth.
Secretary of Natural Resources: Department of Environmental Quality
CSO and water/sewer improvements. Directs $165 million of federal ARPA funds in FY 2023 to the Cities of Alexandria, Lynchburg, and Richmond for improvements to the Combined Sewer Overflow systems of each city. An additional $68 million in ARPA funds are directed to the City of Fredericksburg and the King George Service authority, the Towns of Wachapreague, Exmore, and Quantico for water and sewer improvements.
Stormwater Local Assistance Funds. Directs $100 million in FY 2023 to the Stormwater Local Assistance Fund for best management practices (BMP), BMP retrofits, stream restorations, low impact development projects, buffer restoration, pond retrofits, and wetlands restorations as well as other stormwater improvement projects that meet criteria developed by the Department of Environmental Quality and the State Water Control Board.
Dam rehabilitation funds. Directs $45 million in FY 2023 to programs managed by soil and water conservation districts to rehabilitate dams.
Secretary of Public Safety and Homeland Security: Alcoholic Beverage Control Authority (ABC)
Body-worn camera project. Increase non-general fund appropriation to cover cost of implementing a body-worn camera program: $391,225 NGF in FY2023; $372,000 NGF in FY2024.
Secretary of Public Safety and Homeland Security: Cannabis Control Authority
Authority operating funds. Provides staffing and funding to operate this new authority: $11.84 million and 73 positions in FY2023; $21.75 million and 116 positions in FY2024.
Secretary of Public Safety and Homeland Security: Department of Corrections
Staff to support Medicaid enrollment of state-responsible inmates. Funds four positions to support Medicaid enrollment outreach to state-responsible inmates housed in local and regional jails and to offenders under community supervisions: $298,766 in FY2023; $356,782 in FY2024.
Secretary of Public Safety and Homeland Security: Department of Criminal Justice Services
HB 599. No funding increase for this program; the funding levels are frozen at the 2020 levels, even as sheriff’s departments and state law enforcement saw increased funding.
Marcus Alert. Provides ARPA/federal funds and state general funds and three positions for continued implementation of crisis intervention team training to law enforcement and dispatchers and to provide technical assistance for this program: $122,405 GF and $1.5 million ARPA in FY2023; $1.62 million GF in FY2024.
Center for Firearm Violence Intervention and Prevention. Provides funding and 13 positions to establish this center to support legislation to be introduced in the 2022 Session: $14.97 million in FY2023; $12.47 million in FY2024.
Secretary of Public Safety and Homeland Security: Department of Emergency Management
PPE warehouse operations. Language authorizes continuation of funding for the agency’s personal protective equipment (PPE) warehouse operations.
ARPA funds for Virginia Emergency Support Team (VEST) recovery efforts. Adds four staff positions to continue COVID-19 related disaster recovery effort. ARPA funds in the amount of $418,121 in FY2023 (Central Appropriations, Item 486) provide this funding.
Secretary of Transportation: Department of Transportation
Road maintenance payments. Increases these payments by $34 million in FY 2023, and by $6 million in FY 2024.
Bridge replacement/rehab. Directs funds from the Federal Infrastructure Bill be made available by the Commonwealth Transportation Board and VDOT for bridge replacement, rehabilitation, preservation, protection, and construction for locally owned and state-owned bridges.
Electric Vehicle Formula Program plan. Language directs the Commonwealth Transportation Board to develop a plan to use funds from the National Electric Vehicle Formula Program established by the Federal Infrastructure Bill.
Funding for multi-use trails. Increases funding in FY2023 by $207.2 million for the construction of multi-use trails in Central, Eastern and the Shenandoah regions of Virginia.
Secretary of Transportation: Department of Rail and Public Transportation
Funding increase. Increase funding for Public Transportation Programs by $37 million in FY 2023 and by $52 million in FY2024.
Secretary of Transportation: Department of Motor Vehicles
Add language related to license exemption for sale of transit buses. Specifies that bus manufacturers that offer to sell, display, or permit the display of sale of transit buses in Virginia are not
required to obtain a manufacturers’ and dealer’s license from the Virginia Department of Motor Vehicles. This would fix a procurement issue facing the Department of Rail and Public Transportation by aligning state code for transit bus manufacturers with federal law.
VRS contribution rates. Proposed contribution rates for public school teachers remains at 16.62 percent (same as FY21 and FY22); the contribution rates for the Virginia Law Officers
State and state-supported local employee salary increase. Adds funding for a five percent salary increase effective June 10, 2022, and additional five percent increase effective June 10, 2023, for state employees. The same increases are effective for state-supported local employees on July 1, 2022, and July 1, 2023. Total funding $264.53 million in FY2023 and $542.27 million in FY2024.
Fiscal Year 2022 (Caboose Budget): Proposed amendments of interest to local governments
Secretary of Finance
Revenue Reserve Fund. Makes a voluntary deposit to the Revenue Reserve Fund: $563.9 million in FY22.
Secretary of Education: Department of Education
Lottery Funds Increase. Lottery funds increased by just over $150 million to account for the estimated increase in lottery funds and proceeds.
Local Match. Adds language to retroactively waive local effort and local match requirements for fiscal year 2021 due to the impact of the pandemic on school divisions and spending.
No Loss Funding Program. The No Loss Funding Program increased by around $66 million following an updated projection on payments to school divisions. This update comes after accounting for other enrollment, program participation, and revenue adjustments.
Student Enrollment Numbers. Enrollment decreased during the pandemic and has continued a downward trend despite reopening of schools and communities. Enrollment numbers for the 2022 school year are lower than initially anticipated hence the need to update. Student enrollment numbers are used in various funding formulas to determine cost to localities, making authentic numbers critical.
Secretary of Transportation: Department of Transportation
Road maintenance. Reduces local maintenance payments in the current fiscal year by $5.1 million.
Study of local pavement conditions. Language directs VDOT to evaluate the conditions of city streets by assessing the present condition of locally owned and maintained roads and bridges by Dec. 1, 2023.
DHCD Economic Development & Community Vitality 2022 program roadshow coming in January
If you’re hoping to learn more about grant programs that are available to aid the revitalization of your downtown, help transform a “white elephant” building in your community, encourage new businesses to open and more, then you’re in luck!
The DHCD Economic Development & Community Vitality (EDCV) 2022 Program Roadshow will be held virtually on January 11, 2022, from 10:00 a.m. – 12:30 p.m. The webinar will allow stakeholders to learn more about specific grant details and explore fantastic examples of how DHCD programs have been implemented and layered across the Commonwealth. During the event, we’ll discuss seven programs that are available through DHCD, which include:
- Virginia Main Street (VMS)
- GO Virginia (GOVA)
- Industrial Revitalization Fund (IRF)
- Virginia Enterprise Zone (VEZ)
- Virginia Small Business Resiliency Fund (VSBRF)
- Virginia Individual Development Accounts (VIDA)
- Community Business Launch (CBL)
DHCD Contact: Rebecca Rowe, firstname.lastname@example.org or (804) 517-7696.