Perhaps the most important action we take as legislators is to pass a biennial budget. This is done in the even-numbered years and it is then modified in the next year. 2019 will be the year of budget modification. Governor Northam recently presented his proposals for changes we can make in our two-year budget during our session beginning January 9, 2019. I was impressed by several developments:
1. The Virginia economy is booming. Unemployment now stands at 2.9% and our revenue forecast has improved dramatically. The state ended the fiscal year on June 20, 2018, with a surplus of approximately $550 million. Typically, surplus revenues are either saved for a future year or expended on one-time investments, such as buildings, roads, or other infrastructure. [Read more…]