Virginia Viewpoint: Sine Die Report

Virginia Viewpoint: Sine Die Report

The Virginia General Assembly officially adjourned sine die on Saturday, wrapping up a short yet frenzied 46-day Regular Session.

Attention now shifts to the Governor, who will review the budget and conduct bill review ahead of the Reconvened Session scheduled for early April, when the General Assembly will take their turn to consider the Governor’s actions. Meanwhile, Democratic leaders in both the House and Senate anticipate a special session soon to address impending federal workforce and spending reductions.

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Amended Budget Heads to the Governor

Just days before adjournment, the House and Senate reached a joint budget conference deal, sending a finalized budget to Governor Youngkin for review. The Governor has until March 24 to take action by amending it, vetoing it, signing it, or letting the budget become law without his signature.

Key provisions in the conference budget report include:

• Tax Rebates– Instead of eliminating the car tax as proposed by the Governor, the General Assembly approved one-time tax rebates: $200 for individual filers and $400 for joint filers. Rebates are scheduled to be distributed by mid-October.
• Disaster Relief Funding– $50 million has been allocated for Hurricane Helene recovery efforts, a reduction from the Governor’s initial request but double the House’s proposed amount. Recent storms impacting Southwest and Southside Virginia have intensified discussions about the state’s role in disaster relief, especially as uncertainty remains over federal funding.
• Teacher Bonuses – The budget directs $134.4 million from the general fund to provide $1,000 bonuses for all funded Standards of Quality (SOQ) instructional and support positions. These bonuses must be distributed by June 1, 2025, with no local match required.

The combination of one-time tax rebates and a projected $632 million Medicaid shortfall has reduced available resources for other priorities more than initially expected.

The full budget conference report can be viewed here. As a reminder, the new fiscal year begins on July 1, 2025.

Special Session Likely, New Committee Formed to Address Federal Reductions

In response to the recent federal workforce reductions and funding cuts, House Speaker Don Scott (D-Portsmouth) has established an Emergency Committee on the Impacts of Federal Workforce and Funding Reductions. The bipartisan panel, chaired by Delegate David Bulova (D-Fairfax), will assess the economic impacts and propose potential solutions. The committee met for the first time on Saturday morning.

Meanwhile, House and Senate Democratic leaders anticipate a special session soon to address the impact of these federal cuts, particularly since Virginia has a higher share of federal workers compared to nearly every other state. In recognition of this potential scenario, the House of Delegates voted on a resolution expanding the scope of the current special session that was originally called last year.

Fairfax Casino Legislation Fails

A proposal to add Fairfax County to the list of localities eligible for casino development was rejected in a House subcommittee earlier this month. The bill, introduced by Senate Majority Leader Scott Surovell (D-Fairfax), faced opposition due to concerns about traffic congestion, community impact, and economic feasibility. Fairfax’s legislative delegation remained divided throughout the legislative process.

Looking Ahead: A High-Stakes Election Year

While the 2025 Regular Session has concluded, the legislative dance is not yet over. The Governor now has the opportunity provide his feedback on the amended budget and passed legislation before the General Assembly reconvenes on April 2 to vote on his recommendations.

Beyond policymaking, legislators will begin shifting gears toward the November election. As expected in an election year, Democrats advanced several bills they anticipate the Governor to veto, while Republicans introduced various measures unlikely to pass the Democratic-led legislature. With both parties refining their messaging, the 2025 Regular Session served as a prelude to a high-stakes election, where Virginians will ultimately decide the Commonwealth’s political direction for the House of Delegates and the offices of the Governor, Lieutenant Governor, and Attorney General.

General Assembly delivers bipartisan budget overhaul

By MARKUS SCHMIDT, Virginia Mercury

Virginia legislature finishes session amid anxiety over federal job cuts

By OLIVIA DIAZ, ABC News

The 10 most important things the General Assembly did (or didn’t do) this session

By DWAYNE YANCEY, Cardinal News

House tables push to add Fairfax to eligible casinos list in Virginia

By NATHANIEL CLINE, Virginia Mercury

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