Northam: State revenues up $292.5 million in new forecast

A strong economy is pushing state revenues up $292.5 million in the current fiscal year.

Gov. Ralph Northam notified the money committees in the Virginia General Assembly of the new forecast in a letter sent on Friday.

“Our growing economy is a result of our mutual and continued stewardship of taxpayer dollars, and it allows us to fund public education, healthcare, law enforcement, and the other critical services Virginians expect,”  Northam wrote in the letter. “As you and your colleagues advance your budget deliberations, I urge you to focus on two key priorities: maintaining Virginia’s fiscal integrity and investing in our future.”

By statute, $112.3 million is the required deposit into Virginia’s rainy day fund, based on this revenue revision. This leaves an unobligated, one-time balance of $180.2 million.

Projected revenues for fiscal years 2021 and 2022, including the underlying economic forecast, remain unchanged.

The full text of the governor’s letter is available here.