Pursuant to SB 391 and HB 862, the Commission convened a work group to evaluate the long-term sustainability, governance, funding, and operational structure of Virginia’s Alcohol Safety Action Program (VASAP) system. The review examined funding models in other states; the financial and operational health of Virginia’s 21 local Alcohol Safety Action Programs (ASAPs); minimum standards for successful operations; staffing and accountability structures; and the framework established by recent legislation.

Virginia’s local ASAPs provide essential public safety services, including offender monitoring, education, assessment, treatment referral, ignition interlock oversight, and court compliance functions for approximately 20,000 to 22,000 participants annually. Programs operate locally, but they function as part of a statewide system whose effectiveness depends on consistent service delivery, fiscal stability, and adherence to Commission standards.

A review of programs in West Virginia, Maryland, North Carolina, and South Carolina revealed no single model identical to Virginia’s system. However, several common themes emerged: impaired-driving programs generally rely on a combination of participant fees and public funding; statewide standards and oversight are essential; mechanisms are needed to ensure access for indigent participants; and responsibility for administration and accountability must be clearly assigned.

Funding sustainability depends on referral volume, fee collections, staffing costs, facilities, technology, benefits, insurance, and other operating expenses. Financial conditions vary significantly among local programs, and reliance on participant-generated revenue alone creates vulnerability. The report concludes that sustainable operations require budgets based on the actual cost of meeting Commission standards, supplemented by predictable local financial participation, beginning in 2028, if program revenues are insufficient. Local funding agreements, risk-based reserve policies, and limited emergency assistance from the Commission will support long-term stability of the VASAP system.

The new statutory framework adds stability to the system by clarifying the Commission's authority, preserving policy board governance roles, and establishing fiscal-agent localities to provide administrative and employment infrastructure. Careful transition planning will be required to implement these changes consistently across the Commonwealth, and they may be best treated as an organizational conversion rather than a simple accounting change.

The report recommends maintaining statewide standards in governance, fiscal management, staffing, service delivery, accountability, and continuity planning. Rather than adopting a single statewide funding amount, it recommends basing each program’s funding level on a Commission-approved budget sufficient to meet required service and performance standards, less projected revenues, with any remaining need addressed through local funding agreements. Such funding agreements could include in-kind services, shared office space, supply purchase agreements, and shared technology costs.

The report notes that local ASAPs collectively maintain approximately $6.5 million in reserves, illustrating both the diversity of individual program circumstances and the resilience of the statewide system.

Finally, the report concludes that accountability should be shared among three clearly defined entities: the Commission, which establishes standards and oversight; local policy boards, which provide governance; and fiscal agent localities, which manage personnel and financial administration. Clear agreements and guidance among these entities are essential to ensuring consistent, effective, and sustainable operation of the VASAP system.