February 25th Newsletter
My team and I are drafting this newsletter as we move through the next steps in the biennial budget approval process - see below for an overview of the legislative process for the budget. While my House Democratic colleagues and I took objection to many of the House Republicans’ proposed amendments to the Governor's introduced budget, we all agree that under the final budget Virginia will be spending more money to address critical needs in education, healthcare, the environment, transportation, and workforce.
On the floor, I raised a specific objection to the House budget amendment to remove proposed funding for Virginia’s Mixed-Delivery Early Childhood Education Program. This program provides publicly funded, quality early education and preschool services for eligible children in private settings. It also allows parents the opportunity to choose a program that best fits the needs of their child and their family's schedules, so that they are not limited to programs that only operate during the school day or school year.
Most of the beneficiaries of the proposed funding are from households with incomes at or below 130% of the federal poverty level. Today, working families must pay the equivalent of a second mortgage just to cover the costs of infant care. And as we look to facilitate a return to work, particularly for working mothers who have dropped out of the workforce at record levels, this program has the power to drastically reduce inequality for children and working women.
The amendment cutting the program passed the House on a party-line vote. Fortunately, the Senate’s budget retains funding for the program and budget conferees will consider these competing positions in upcoming budget negotiations. You can watch my remarks online here.
If you have any questions or need assistance with a state agency, please contact my office at delrwillett@house.virginia.gov or phone at 804-698-1073, and a member of my staff will be happy to assist you. I also will continue to keep you informed with relevant, accurate information via Twitter, Facebook, and my website. Please stay well and stay in touch.
Sincerely,
Rodney
New Information
2022 Legislative Session Week 7
We have spent nearly all week working on the 2023-2024 budget. The budget is one of the most important bills we work on but it can be a complicated process for many to follow. I hope that the information I provide below with links to our budget documents will shed some light on this process. As always, if you have any questions, please contact my office and we will be happy to help you.
Overview of Budget Process
Virginia operates under a two-year (biennial) budget cycle. Each year the Governor prepares the proposed budget bills for introduction by the General Assembly. The bill is initially adopted in even-numbered years and amended in odd years. HB30 and SB30 are the budget bills for the 2023-2024 biennium. HB29 and SB29 represent the “caboose budget” meaning amendments are being made to the current fiscal year’s budget (FY22).
Governor’s Proposed Budget: The budget process begins with the Governor’s proposed budget. In December 2021, Governor Northam submitted his proposed budget for FY2023-2024 (HB30 and SB30)
House and Senate Members Submit Budget Amendments: At the beginning of the session, members submitted their amendments to the budgets. This can include funding needed to carry out provisions of a proposed bill, or additional funding for existing state agencies or programs. You can see all House member amendment requests online here, and all Senate member amendment requests online here.
Money Committees Release Budget Reports: On February 20th, the House and Senate money committees each released their respective budget reports. These include provisions that were accepted from Governor Northam’s proposed budgets, as well as budget amendments from members. You can see the House committee report online here and the Senate report online here. The Commonwealth Institute for Fiscal Analysis has prepared a helpful graphic comparing the introduced and money committee budgets to the current budget online here.
Budget is Debated on the Floor: On Thursday, February 24th, the House and Senate each voted on the budget report prepared by their chamber’s money committee. From February 21st - 23rd members had the opportunity to prepare floor amendments and make objections to budget amendments proposed by the committee. The House voted on uncontested committee amendments in a block, and then took up individual objections and floor amendments for a vote on each item.
Budget is Sent to Opposite Chamber, Conferees Assigned: Once the budget has passed its chamber of origin, it is then sent to the opposite chamber. The House budget is then rejected by the Senate, and vice versa. A conference committee is then assigned with members appointed to negotiate and resolve any differences between the House and Senate versions.
Conference Committee Report Sent to House and Senate: Once the budget conferees come to an agreement on a unified budget, it is sent back to the House and Senate chambers for final approval. Members vote either Yes or No on the full budget, individual amendments cannot be separated from the full bill. If passed, the budget is then sent to the Governor.
Governor Amendments and Reconvene Session: Governor Youngkin will send any changes to the budget to the General Assembly which then will take up those amendments during the reconvened session on April 27th.
I am proud that three of my proposed budget amendments were approved by the House Appropriations Committee. See below for a brief explanation and links to the accepted amendments. You can see all of my submitted amendments online here.
Item 129 #7h — This amendment directs the Department of Education to extend the expanded eligibility for the Child Care Subsidy Program created by HB2206 in the 2021 legislative session. The expanded eligibility allows families with at least one child five years of age or younger, and whose income does not exceed 85% of the state median income, to be eligible for financial assistance to cover the cost of child care.
Item 304 #4h — This amendment adds language to extend a COVID-19 related waiver that allowed parents of children receiving Medicaid home and community-based services to provide and be reimbursed for personal assistance services. This waiver has helped many Virginia families, including constituents of the 73rd House District, care for family members who have developmental disabilities.
Item 304 #15h — This amendment adds funding and language to extend the fiscal year 2022 temporary rate increase that was provided through Medicaid home and community-based services to community mental health providers. This funding will extend that temporary rate increase for one more year through the fiscal year 2023.
I will prepare a more thorough outline of the proposed budget once it has advanced through the conference committee but see below for some initial spending highlights from the House Budget:
$682.6 million for a 4 percent raise each year (2023 and 2024) and a one percent bonus for teachers and other school employees.
$500 million deposit to the Virginia Retirement System (VRS) to help address unfunded liabilities.
$150 million to the Taxpayer Relief Fund for future tax relief.
Elimination of the state and local grocery tax and tax on personal hygiene products. The House budget includes over $1 billion to hold localities harmless for the impact the repeal of the local grocery tax will have on their revenues.
$2 billion to double the standard tax deduction
There are a number of differences between the House and Senate versions of the budget. The House version of the budget contains a total of $5.3 billion in tax cuts but reduces our investments in early childhood education, K-12 spending, and teacher pay raises. The Senate version includes $2.5 billion in tax cuts and makes larger investments in our environment, education, and programs for vulnerable Virginians. You can see a detailed analysis of differences between the House and Senate budgets online here.
I have abbreviated my bill matrix to only include bills that passed the House and have now advanced to the Senate. See below for the latest updates on my introduced legislation. You can see the full version of all my bills online here.
Governor Youngkin Announces Reduction in VEC Case Backlog
On Monday, Governor Youngkin announced a nearly 89% decrease in the Virginia Employment Commission (VEC) backlog of unemployment insurance-related claims. Secretary of Labor Bryan Slater, Chief Transformation Officer Eric Moeller, and VEC Commissioner Carrie Roth are leading the Governor’s transformation initiatives at the VEC to eliminate remaining backlogs and improve services and communications. Since January 15th, the backlog of employment separation reports has been reduced by nearly 89% from 246,273 to 27,728 and unpaid pending claims have been reduced from 24,887 to 15,846. See more information on the Governor’s announcement online here.
While the agency has made significant progress, the VEC still has a backlog of claims to work through, and some individuals may still be experiencing difficulties. If Virginians or employers have questions about unemployment claims we encourage them to visit the VEC website at www.vec.virginia.gov, email VEC at customerservice@vec.virginia.gov, or call 866-832-2363 between 8:15 a.m. and 4:30 p.m.
You can also schedule an appointment to speak with a VEC representative online here. If you are unable to get in touch with a staff member, please email my office at DelRWillett@house.virginia.gov and a member of my team will be happy to assist you.
I am proud to be a chief co-patron on bipartisan legislation (HB270) to improve the VEC and ensure that the agency is equipped to handle any future periods of high unemployment. I am very hopeful that this legislation combined with the significant reduction in the case backlog will bring meaningful change to the agency that has struggled throughout the COVID-19 pandemic.
Henrico Approves Ordinance to Offer Real Estate Tax Credit and Bond Referendum
This week, the Henrico Board of Supervisors approved an ordinance giving county property owners a one-time credit on their real estate taxes. With the measure, Henrico becomes the first locality in Virginia to refund real estate taxes to property owners.
County Manager John A. Vithoulkas announced the tax credit as part of a proposal called the “2+2” during the 2021 State of the County address in December. He said the credit and a proposed 2-cent reduction of the real estate tax rate would help taxpayers manage the impact of sharply rising real estate values, which lead to increased assessments. Home prices have jumped by 30% to 50% in some areas of the county. By law, local real estate assessments must reflect 100% of a property’s fair market value.
Homeowners and other property owners can expect to receive an amount equal to 2 cents per $100 of their real estate’s taxable value for 2022. For example, a home with an average assessed value of $322,200 would generate a credit of $64.44. ($322,200/100 x .02=$64.44). Credits of $30 or more would be paid by checks issued in early March. Smaller amounts would be credited directly on real estate tax bills for 2022. For property owners who owe delinquent taxes, the credit will be applied to the outstanding balance and to any future bills if the credit exceeds the current amount due. See more information on this announcement online here.
The Board also approved petitioning the county circuit court to have a $511 million bond referendum appear on the November ballot. The bond proposal would fund projects for county schools, recreation and parks, public safety, and fixing drainage problems.
Henrico to Host Annual Senior and Caregiver Expo
The Henrico County Advocate for the Aging’s Office will host its annual Senior and Caregiver Expo Wednesday, March 9, from 10:00 am to 1:00 pm at the Eastern Henrico Recreation Center, 1440 North Laburnum Avenue.
The event will showcase a variety of services and resources available to older adults in the county. It’s designed for those 60 and older and those who care for them.
Attendees will be able to speak with a number of senior care providers (personal care agencies, adult day centers, government programs, senior-focused nonprofits, transportation providers, and others) about their service offerings. All attendees also will be entered to win raffle prizes.
Register to attend by emailing the Henrico County Advocate for the Aging at hoy034@henrico.us or calling (804)-501-5065.
Mills Godwin H.S. to Dedicate Common Area in Honor of Former Principal McGinty
Mills Godwin High School will host a dedication of the John B. McGinty Commons Saturday from 3-6 p.m. The Henrico County School Board voted unanimously in December 2021 to name the school’s commons for McGinty, who served as assistant principal at the school from 1982-1991 and principal from 1991-2003. Principal McGinty was a dedicated educator, who was known to spend time each morning and lunchtime connecting with students in the common area, and attended almost every school athletic event or performance.
Members of the public are invited to attend the Feb. 26 dedication and celebrate McGinty’s contributions to the school. Those unable to attend the event are welcome to send a message to John McGinty at jbmcgintycommons@gmail.com.
To donate to the John B. McGinty scholarship for Mills Godwin students, go to https://osp.osmsinc.com/HenricoVA/, search for “McGinty” and select “Godwin” under the school's menu.
