The 2009 Executive Budget Document
Central AppropriationsMission Statement
Central Appropriations acts as a “holding account” for funds used to supplement state agency appropriations.Operating Budget History
|General Fund||Nongeneral Fund||Positions|
|2005 Appropriation||$ 981,723,173||$ 75,713,760||0.00|
|2006 Appropriation||$ 968,386,841||$ 76,662,113||0.00|
|2007 Appropriation||$ 1,146,193,264||$ 39,759,462||0.00|
|2008 Appropriation||$ 1,053,952,506||$ 46,313,093||0.00|
|General Fund||Nongeneral Fund||Positions|
|2009 Base Budget||$ 918,183,315||$ 91,431,429||0.00|
|2009 Addenda||$ (62,976,800)||$ 0||0.00|
|2009 Total||$ 855,206,515||$ 91,431,429||0.00|
|2010 Base Budget||$ 1,003,480,166||$ 91,618,010||0.00|
|2010 Addenda||$ (140,061,506)||$ 0||0.00|
|2010 Total||$ 863,418,660||$ 91,618,010||0.00|
Recommended Operating Budget Addenda
Fund transition support for the three statewide elected officesFunds the cost of transition expenses for the three individuals elected as Governor, Attorney General, and Lieutenant Governor in November 2009. In addition, the Department of General Services is directed to provide $104,135 in nongeneral fund support from the existing Seat of Government rent plan appropriation. These funds cover the cost of essential transition operating expenses for the period after the election to the inauguration in January 2010. For 2010, $403,965 (GF).
Fund inaugural expense for the three statewide elected officesFunds a portion of the expenses associated with the inauguration in January 2010. For 2010, $225,000 (GF).
Absorb increases to the state employee health insurance premiums from balancesRequires that increases in health insurance premiums will be funded in 2010 from balances in the health insurance fund. The funding level absorbed reflects changes in plan design consistent with the findings contained in the Joint Legislative Audit and Review Commission's recent study on employee compensation and benefits.
Provide funding for increased technology costsTransfers funding from FY 2010 to FY 2009 to cover a shortfall of dollars in FY 2009 for increased technology costs due to the implementation of decentralized rates. For 2009, $3.5 million (GF). For 2010, a decrease of $3.5 million (GF).
Provide a prepayment for increased retirement contribution rates resulting from Work Force Transition Act costsProvides additional funding to pre-pay beginning in 2010 expected retirement contribution rate changes resulting from cost increases caused by the absorption of Workforce Transition Act enhanced retirement costs by the Virginia Retirement System. For 2010, $438,208 (GF).
Move funding for payroll service bureau to agency budgetsMoves funding to state agencies enrolled in the Department of Accounts' payroll service bureau. A companion amendment in the Department of Accounts removes the general fund appropriated for this purpose and converts this function into an internal service fund where the department will bill participating agencies. For 2010, $376,280 (GF).
Eliminate planned salary increases for public employees in FY 2009Eliminates the planned two percent salary increase in 2009 for state employees, higher education faculty, and state supported local employees. For 2009, a decrease of $43.6 million (GF). For 2010, a decrease of $43.0 million (GF).
Eliminate planned salary increases for public employees in FY 2010Eliminates the planned two percent salary increase in 2010 for state employees, higher education faculty, and state supported local employees. For 2010, a decrease of $81.5 million (GF).
Adjust reversion clearing account for agency reductionsAdjusts the reversion clearing account included in Chapter 879 for state agency reductions to reflect the actual collections and projections of reduction amounts. For 2009, a decrease of $14.9 million (GF). For 2010, $3.0 million (GF).
Reflect Governor’s October reductions in agency budgetsReflects the reductions approved by Governor Kaine in October 2008 for 2009 and the corresponding continuation of savings in 2010. See Part D of this document for reduction details. For 2009, a decrease of $139,800 (GF).
Implement targeted reductionsImplements targeted reductions for 2009 and 2010 included in Governor Kaine's 2008-2010 Budget Reduction Plan. Reduction details can be found in Part D of this document. For 2009, a decrease of $7.8 million (GF). For 2010, a decrease of $31.0 million (GF).
Provides funding for interest earnings and credit card rebates for institutions of higher educationProvides funding for the estimated total payment to individual institutions of higher education for 1) the interest earned on tuition and fees and other nongeneral Education and General revenues deposited to the state treasury and 2) a pro rata amount of the rebate paid to the Commonwealth on credit card purchases not exceeding $5,000 during the previous fiscal year. The State Council of Higher Education must certify that all performance benchmarks proscribed in §23-9.6:1.01, Code of Virginia, have been successfully achieved by the individual institutions of higher education before any funds are transferred to the affected institution. For 2010, $13.3 million (GF).
Provide additional funding for the Virginia Community College Transfer Grant programProvides additional funding for the Virginia Community College Transfer Grant program. This program provides financial assistance to students who have completed an associates degree and are transferring to a four-year institution. For 2010, $1.3 million (GF).
Capital Totals for the Biennium
|$ (100,000,000)||$ 0||$ 10,000,000|
Recommended Capital Budget Addenda
Improve Wallops Island Flight FacilitiesProvides authorization for the issuance of bonds by the Virginia Public Building Authority for the next phase of the Virginia Commercial Space Flight Authority's improvements to its flight facilities at Wallops Island. The authority will use the proceeds for the cryogenic fuel system and development of a horizontal integration facility, both of which are necessary for the launch of Taurus II and other mid-class rockets. The bonds issued for the first phase are supporting work related to preparing the launch pad and surrounding site. For the biennium, $10.0 million (NGF).
Supplant general fund capital amountsExchanges general fund amounts included in Chapter 879 for various projects with bond proceeds. The bond proceeds are appropriated in companion amendments which can be found under 9(D) Revenue Bonds. For the biennium, a reduction of $100.0 million (GF).
Budget Reduction Strategies
October Reduction Strategies
Reduce Productivity Investment Fund awards
This strategy reduces the funding level in the Productivity Investment Fund from $932,000 to $792,200.
FY 2009 FY 2010 General Fund Savings $ (139,800) $ 0
December Reduction Strategies
Change Virginia Sickness and Disability Program contribution rates
Adopts the contribution rate based on the June 30, 2008 actuarial valuation using the assumptions in Chapter 879. This valuation included a number of new methodologies adopted by the Virginia Retirement System which were applicable to the prior year rate. In addition, the state-funded long-term care insurance portion of the program is eliminated effective July 1, 2009 due to low numbers of employees electing to continue coverage at their expenses upon separation from state service.
FY 2009 FY 2010 General Fund Savings $ (3,300,188) $ (25,081,459)
Reduce contribution rates for the public employee group life program
Changes the assumptions used to calculate the contribution rate as of June 30, 2008 for the public employee group life program to match the assumptions used for non-retirement program rates included in Chapter 879.
FY 2009 FY 2010 General Fund Savings $ 0 $ (676,841)
Reduce contribution rates for the state employee retiree health care credit program
Changes the assumptions used to calculate the contribution rate as of June 30, 2008 for the state employee retiree health care credit program to match the assumptions used for non-retirement program rates included in Chapter 879.
FY 2009 FY 2010 General Fund Savings $ 0 $ (4,061,121)
Reduce or remove distribution of interest earnings and credit card rebates to higher education
Item 467 (Central Appropriations) of Chapter 879 (2008) includes funding for the interest earnings and credit card rebates due to the institutions of higher education that have met the performance benchmarks as certified by the State Council of Higher Education for FY 2008. The interest earnings were scheduled to be distributed to the institutions of higher education "by the fiscal year or as soon thereafter as practicable"; and for credit card rebate "on August 15 or as soon thereafter as practicable for the fiscal year immediately following the year of certification." Removes approximately $3.4 million from this funding as the Level III schools are already retaining their interest and their appropriation for this purpose in the budget is no longer necessary.
FY 2009 FY 2010 General Fund Savings $ (3,397,757) $ 0
Reduce rent plan at the Seat of Government
Reduces the appropriation covering the general fund share of operating costs related to services and charges for the rental plan at the Seat of Government. Rental fees this biennium will remain at the FY 2008 levels.
FY 2009 FY 2010 General Fund Savings $ (1,151,352) $ (1,110,952)
Suspend compensation for members of boards and commissions
Captures savings by suspending per diem payments by executive branch agencies to citizen members of the Commonwealth's various boards and commission.
FY 2009 FY 2010 General Fund Savings $ 0 $ (77,022)