Virginia budget update from Delegate Anderson

On September 18 and 19, members of the State Senate and House of Delegates return to Richmond to tackle three issues: Medicaid, judicial appointments, and the two-year state budget that took effect on July 1.

Earlier this year, Virginia projected a revenue shortfall (tax receipts) of $1.5B, but a revised forecast has upped the shortfall to $2.5B ($881M larger than expected).

This requires a downward adjustment in the budget and results from several factors, including the President’s 2012 tax increases, the Administration’s cuts to national defense, Sequestration, and reduced federal military contracts in Virginia of 20% ($9B) and a loss of 154,000 jobs.

Translation: We have our work cut out for us, and we in the General Assembly are working with Gov. McAuliffe on this very difficult matter.