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Virginia budget still a mystery in assembly
State budget remains a mystery

Date published: 2/12/2010

BY CHELYEN DAVIS

RICHMOND

--In a week and a half, members of the legislative money committees will gather at the General Assembly building on a Sunday afternoon to present their own versions of the two-year state budget to rooms full of lobbyists and reporters.

But it's not terribly clear what will be in those two budgets, and there seem to be some disagreements on the Senate side about how to make up a budget shortfall as Democrats push Gov. Bob McDonnell to publicly propose budget cuts.

Both the House Appropriations Committee and the Senate Finance Committee must craft budget proposals that absorb more than $4 billion in reduced revenues for the 2010-12 budget cycle.

Before he left office, former Gov. Tim Kaine wrote the blueprint budget that the committees work from. In it, Kaine included about $2 billion in painful cuts to services such as Medicaid, public education and public safety.

But, reluctant to cut more, he made up the other $2 billion of shortfall with tax and fee increases. Most noticeably, Kaine proposed eliminating the state's annual $950 million payment to localities to cover the car tax cut and replacing it with an income tax surcharge.

Republicans immediately rejected those proposals, but if they don't raise revenues, then they willl have to cut an additional $2 billion from the budget, on top of what Kaine cut.

That seems to be causing some divisions among the Democratic majority in the Senate.

Some senators have said they won't vote for a budget that doesn't raise revenues, while others seem resigned to the Republican governor and House's unwillingness to increase taxes.

"I think Senator [Chuck] Colgan is having a very difficult time trying to get a consensus among his Democratic colleagues," said Sen. William Wampler, R-Bristol, a member of the Senate Finance Committee, referring to the committee's chairman.

Wampler said he sees conflict over Gov. Bob McDonnell's push to change the composite index money for schools--something Kaine's budget froze. He also said there are concerns about retirement system changes and pre-K spending.

Sen. Edd Houck, D-Spotsylvania, a senior member of the Senate Finance Committee, said there's a "possibility" that disagreements will mean the Finance committee has trouble putting a budget together. "There's less consensus in the Senate, especially among Senate Democrats," Houck said.


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Date published: 2/12/2010



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McDonnell unprepared to lead (posted by DeanFetterolf , Feb. 12, 2010 1:11 pm)    0 likes
It is quite clear that McDonnell is unprepared to lead VA. Otherwise he would have a budget proposal of his own. This way he can blame whatever happens on Kaine.

"In the republican controlled house, budget work is going more smoothly" (posted by blitzburgh , Feb. 12, 2010 7:03 am)    0 likes
What a novel idea, listen to the dept heads advice on how to trim the budget. Free from lobbyist interference.

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