Categorized | News

Virginia ‘Surplus’ Spent Before it was Announced!

Having a surplus in the state budget is a wonderful thing and a testament to the responsible budgeting of Virginia Governor Bob McDonnell. It sure beats the mess former Governor Tim Kaine left the Commonwealth as a departing shot. And the fact that McDonnell was able to turn a huge Kaine induced deficit into a surplus is nothing short of a miracle in this economy – far worse since Kaine left office.

But in the same announcement came the news that the money has already been “allocated” – which means “spent”. The good news is that nearly half is to be deposited into the Revenue Stabilization Fund or “Rainy Day Fund” that allows the state to recover from unexpected expenses – which they failed to properly include in the budget. But at least it is not already spent.

But there was one really troubling line in the press release that should be pointed out:

The overwhelming majority of the revenue is obligated to predetermined areas of the state budget due to the Virginia Constitution and state law which governs revenue allocation in the event of a surplus.

So, it seems, that if the state overtaxes it’s citizens, returning the money is not an option. The state must spend, spend, spend. So says the Constitution of Virginia. Once Virginia Politicians part the good citizens from their hard earned dollars, there is no deposit, no return.

Perhaps one of our more Libertarian minded Virginia politicians would want to take a look at adding the option to return the excess tax ‘revenue’ to the people who were overcharged!

Anybody?

Here is where the “surplus” money is going:

 

Disbursement of FY 2011 Revenue Surplus (All numbers are approximate and subject to revisions):

 

$146.6 million: Revenue Stabilization Fund Deposit from FY2011 Surplus (Subject to Final Audit)

$32.2 million: Water Quality Fund

$23.0 million: Pay Transportation for its Share of the Accelerated Sales Tax

$8.9 million: Interest on Unemployment Compensation Trust Fund Due to Federal Government

$4.3 million: Tornado Relief

$7.5 million: For Base Realignment and Closure (BRAC) Obligations

$7.4 million: Supplemental Public Safety Funding for Sheriff’s Offices

From Remaining Funds:  Additional Contributions to the Virginia Retirement System to Help Ensure Long-Term Viability and Stability of the System and to Transportation Infrastructure

About Tom White

Tom is a US Navy Veteran, owns an Insurance Agency and is currently an IT Manager for a Virginia Distributor. He has been published in American Thinker, currently writes for the Richmond Examiner as well as Virginia Right! Blog. Tom lives in Hanover County, Va and is involved in politics at every level and is a Recovering Republican who has finally had enough of the War on Conservatives in progress with the Leadership of the GOP on a National Level.

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Tom White Says:

Nothing is more conservative than a republican wanting to get their majority back. And nothing is more liberal than a republican WITH a majority.

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