RICHMOND, VA — The Virginia House of Delegates outlined its proposed amendments to the 2012-2014 state budget Sunday. The proposal includes a $95 million deposit in the state’s rainy day fund, $45 million in local aid reversion, a pay raise for teachers and school support staff, new funding for school security and funding for 250 Medicaid waiver slots.
“This is a conservative and responsible budget that makes targeted investments in our core areas of need and focuses on our governing priorities: jobs, K-12 and higher education, public safety and health care,” said House Speaker William J. Howell (R-Stafford).
House Majority Leader and Appropriations Committee Vice-Chairman M. Kirkland “Kirk” Cox (R-Colonial Heights) said fiscal discipline remains the focus of the committee.
“On the heels of the news that our national economy shrunk in the last quarter of 2012, it’s important that we continue to exercise fiscal discipline,” said Cox. “We are proposing a $95 million deposit in to the state’s rainy day fund, $45 million more than Governor McDonnell called for, to prepare Virginia for any economic challenges that may be looming. In addition, we are focused on making our budget structurally sound for the long term by ending budget gimmicks. This budget proposes $45 million to eliminate local aid reversion and sends that money back to the localities.”
The House budget also includes targeted economic development incentives, including $2.5 million for the creation of a Cyber Accelerator program to attract cyber security companies to Virginia and increases the angel investor tax credit cap by $500,000.
“Job creation and economic development continue to be our top priority,” said Delegate Steve Landes (R-Augusta), Chairman of the House Appropriations Economic Development Subcommittee. “In the past three years, we have invested over $100 million in concentrated economic development and watched our unemployment rate drop to 5.5 percent. But we know there is more work to do. Funding the Cyber Accelerator and expanding the angel investor tax credit are just two examples of our efforts to continue to create a good climate for job creation here in the Commonwealth.”
The House budget expands on Governor Bob McDonnell’s proposal to fund a two percent pay raise for Virginia’s teachers and also includes funding for school support staff, for a total of $62 million. The House budget also provides $12 million for higher education enrollment growth and $3.7 million to increase TAG grants from $2,800 to $3,100 per student.
“We want to reward and recognize our teachers because the selfless work they do is critical to the education of our young people. Educating our young people is critical to Virginia’s long-term economic development. As they grow older, we want to make sure all of our students have the opportunity to attend a Virginia college or university. Expanded funding to encourage enrollment growth and TAG grants are two important parts of achieving that goal,” said Delegate Bob Tata (R-Virginia Beach), Chairman of the House Appropriations Subcommittee on K-12 Education.
House Republicans announced on Friday the budget would include $31 million for school and public safety, including $1.7 million for school resource officers and $30 million for security improvements in Virginia schools.
“The $31 million we have proposed will help ensure that our public schools continue to be safe and se-cure places where students can learn and succeed,” said Delegate Beverly Sherwood (R-Frederick). “Working together, we can provide the tools for school resource officers, school security officers and infrastructure improvements necessary to ensuring that Virginia remains one of the best places to raise a child for years to come.”
The House budget includes funding for 250 Medicaid waiver slots, including 200 Intellectual Disability slots and 50 Development Disability slots, said Delegate Riley Ingram.
“The House budget includes $7.7 million in funding for ID and DD Medicaid waiver slots. Protecting the health care safety net for less fortunate Virginians is absolutely critical. This budget will mean 250 fewer Virginia families waiting for Medicaid waivers,” said Ingram.
The House of Delegates is expected to vote on its budget proposal on Thursday.
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