Gov. Bob McDonnell (R) announced Thursday that Virginia has finished its fiscal year with a surplus of $544.8 million through higher-than-expected tax revenue and savings.
Last month, McDonnell announced that the state had a surplus of $311 million on June 30, the close of the year, but Thursday told legislators his administration has been able to save an additional $234.1 million.
Virginia law calls for the bulk of the money to be put into the state’s rainy day fund and spent on K-12 education, transportation and Chesapeake Bay cleanup.
McDonnell has proposed giving some of the unspent balance to sheriff’s offices across the state and to localities hit by recent tornadoes in southwest Virginia, as well as shoring up the pension system.
McDonnell gave his annual speech on the state’s finances to the General Assembly’s money committees Thursday morning on Capitol Square.
You can listen to McDonnell’s speech to lawmakers here.