Commonwealth of Virginia

Gov. Tim Kaine recently ordered deep spending cuts and employee layoffs and proposed tapping Virginia's "rainy day" fund in response to the state's worst revenue shortage in six years. Kaine called for nearly $350 million in new spending cuts, with 567 state workers losing their jobs and others going without pay raises until at least the middle of next year. Kaine reduced state funding for public colleges by as much as 7 percent, cut administrative spending for health and human services and ordered the closing of several low- to medium-security correctional facilities, including the Pulaski Correctional Center. Local governments were still assessing the possible effects of the cuts, but many officials expect the state's budget woes to affect aid to localities. Kaine lamented the layoffs and said he has directed the Virginia Employment Commission and the state's human resources department to assist workers who will lose their jobs.