Governor’s Budget Choices Attempt To Give Many Misguided and Failed Policies A Second Life

Today, Ashley C. Kenneth, President and CEO of The Commonwealth Institute for Fiscal Analysis (TCI), released the following statement on the budget amendments proposed by Governor Youngkin:

“The governor’s budget amendments include an important choice that will help working families, but overall, will stand in the way of important progress that the General Assembly made in the budget that they passed in February. 

On Tax Policy

“The General Assembly increased the state’s refundable Earned Income Tax Credit (EITC) from 15% to 20% of the federal credit in their February budget, marking a major step forward in making our state income tax more fair. We applaud the governor’s amendment to make this provision permanent. If accepted by the legislature, this will help low-income working families access more of the critical support that the state EITC provides for years to come.

On Education

“Unfortunately, the governor proposes to reduce money that the legislature provided to remove the arbitrary cap on state funding for support staff. Support staff keep buildings clean, work with families to overcome barriers that lead to missed school days, keep technology running, and much more. To make matters worse, he proposes to use some of those “savings” taken from what we know works to raise student performance to go toward private school vouchers. He also expands Virginia’s “lab schools” to private colleges. This is a shift from the governor’s December proposal, which provided lab school funding for private HBCUs but not all private colleges. These are steps in the wrong direction.

“Additionally, the veto of funding to support a joint subcommittee studying overhauling Virginia’s school funding formula backtracks on policymakers’ bipartisan commitment to seriously consider the JLARC policy option to move from a complicated staffing-based calculation to a simpler student-based calculation. This veto will make it more difficult to have an in-depth conversation that includes parents, students, and other stakeholders about that potential transformation.

On Immigration

“The governor’s budget choices will also harm our immigrant neighbors and our communities as a whole. Despite being rejected by the General Assembly, the governor tries again to coerce local jails to enforce federal immigration detainers or face state funding cuts. This harms immigrant families and would be costly for localities by making facilities hold people up to two days after they would otherwise be released.

“By vetoing funding that would have helped renovate welcome centers run by CASA in Prince William and Fairfax, the governor is jeopardizing access to job training, health clinics, and after-school programs for high school students. The governor includes his original proposal to provide tuition assistance for nursing students at Marymount University, all while excluding DACA students, undocumented students, or others ineligible for federal financial aid from accessing these funds. Together, these policy choices serve as yet another barrier to economic opportunity for the next generation of leaders.

On Health Care

“Furthermore, we are disappointed by the proposed reduction in new funding for Health Safety Net facilities such as Federally Qualified Health Centers and Free and Charitable Health Clinics. These facilities are lifelines for low-income people in Virginia who have no or inadequate health coverage. The governor’s proposal also removes an opportunity to establish a paid family medical leave program, which could have prevented many families from an impossible choice between a paycheck or caring for themselves or a loved one. 

On Safer Communities and the Criminal Legal System

“We are disappointed that the governor eliminates all additional funding, a cut of over $5.85 million, for the Safer Communities program and community violence reduction grants. Community-based programs that promote economic opportunity for youth and families are essential to building safer, more resilient communities. Increasing and expanding the Safer Communities program would empower more localities to collaborate on solutions that address the root causes of violence and strengthen communities.

“Despite being rejected by the General Assembly, the governor is again seeking to cap earned sentence credits for certain individuals, which reward positive conduct and are key to promoting rehabilitation, supporting successful reentry, and strengthening families and communities. The governor’s amendments could erase years of progress by reducing incentives for good behavior and participation in rehabilitation programs.

On Minimum Wage

“The governor’s amendments also include eliminating funding to increase the minimum wage. This action dismisses an opportunity to protect Virginia’s workers and ensure a more fair wage and further entrenches barriers to economic opportunity for hundreds of thousands of working people across the commonwealth.

Looking Forward

“The budget passed by the General Assembly made significant progress in expanding opportunity and supporting people across the commonwealth. When the General Assembly reconvenes on April 2, they should reject the governor’s harmful proposals and maintain a commitment to welcoming communities, providing a high-quality public education for every student in every zip code, and expanding economic opportunity so that everyone in Virginia can thrive.”