RD82 - Virginia Compared to the Other States - National Rankings on Taxes, Budgetary Components, and Other Indicators -- 2011 Edition


Executive Summary:
The national recession that began in December 2007 had a large impact on state finances. The National Association of State Budget Officers (NASBO) reported in its 2009 State Expenditure Report that state revenues were reduced nearly 12 percent during fiscal years (FYs) 2008–2010, leading to a decline in spending from state funds in both 2009 and 2010 (2010 data are estimated). This decline was offset, however, by an infusion of federal funds resulting from the passage of the American Recovery and Reinvestment Act of 2009. These funds began to be distributed to the states in the second calendar quarter of 2009. Due to this influx of additional federal dollars, NASBO reported that total state expenditures grew modestly in FYs 2009 and 2010.

These national trends are reflected in the Virginia Summary and the comparative tables which follow. State revenue in Virginia decreased compared to revenue amounts reported last year (Tables 6 and 8), while federal funds increased (Table 15), and state expenditures grew modestly (Table 17). The unemployment rate in Virginia (Table 4) also shows the effects of the recession.