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State Budget Negotiations Still in Progress
The Virginia General Assembly adjourned the 2022 legislative session sine die as scheduled but did not come to an agreement on the new two-year state budget in time. Budget leaders said they needed additional time to negotiate, with the plan to convene a special session to act on the budget and a handful of outstanding bills.
Governor Youngkin called the special session to begin on April 4, despite budget leaders not yet reaching a budget compromise. On April 4, the General Assembly convened briefly at the call of the Governor and then recessed until leadership calls the legislature back with 48 hours notice, which will likely not occur until a compromise has been reached between the House and Senate. The current budget expires on June 30, 2022.
The budgets proposed by the Republican-led House of Delegates and Democrat-led Senate are about $3 billion apart, largely due to a difference over whether to fully enact Governor Youngkin’s proposed tax cuts or to invest state revenues in core services. Senate Democrats have agreed to eliminate the state’s share of the grocery tax but have maintained opposition to doubling the standard deduction in this budget, citing the need to more broadly study tax reform in Virginia. Rather than doubling the standard deduction, which would return $300 for individual tax filers and $600 for couples, Senate Democrats have proposed funding for higher pay raises for teachers and mental health workers, additional k-12 support positions, at-risk schools, affordable housing, and local police.
VHHA continues to advocate for hospitals’ budget priorities, including funding for the Unite Virginia e-referral system, the Trauma Center Fund, nursing scholarships, reimbursement costs related to COVID-19, and new behavioral health crisis receiving centers in Winchester, Prince William, and Southwest, as well as new behavioral health beds at Chesapeake Regional Medical Center.
Veto Session on April 27
Separately from the special session, the General Assembly will reconvene on April 27 for what is known as the veto session, when legislators consider legislative amendments or vetoes made by the Governor. VHHA has requested that Governor Youngkin amend House Bill 745 to include an emergency clause. HB 745, sponsored by Delegate Rob Bell (R-Albemarle), will allow graduates of a respiratory therapist program to temporarily practice pending licensure. The emergency clause would enable the law to go into effect immediately, rather than on July 1, 2022. This legislation will help VHHA members hire and train respiratory therapists more quickly and efficiently, in an effort to alleviate workforce shortages.
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