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Wednesday, August 19, 2009

Virginia's budget picture expected to be bleak

Legislative sources say Gov. Kaine today will peg Virginia's budget shortfall at $1.3 billion.

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From The Roanoke Times

RICHMOND -- Gov. Tim Kaine is expected to tell General Assembly budget writers today that Virginia faces a revenue shortfall of more than $1 billion in the current fiscal year, setting the stage for more spending cuts as the state copes with the lingering effects of an economic recession.

Kaine will present a revised revenue forecast to the legislature's key money committees today and finalize a plan for cutting the state budget before Labor Day. The governor already has asked state agencies to submit plans for spending cuts of 5 percent, 10 percent and 15 percent and has said that his budget-balancing plan could eliminate some state jobs.

Kaine met earlier this month with his advisory council on revenue estimates and said the shortfall could reach $1.5 billion. Kaine indicated Monday that he would present a pessimistic forecast to lawmakers, but declined to be more specific.

Legislative sources who spoke on the condition of anonymity said Tuesday that the administration will peg the shortfall at $1.3 billion. A Kaine spokesman declined to comment on the figure.

"That's in the realm of reality," said House Majority Leader Morgan Griffith, R-Salem, when asked about a projected $1.3 billion shortfall.

Griffith attended the Aug. 5 meeting of the advisory council on revenue estimates. He said he and other legislators on the panel favored a more pessimistic forecast because of sagging consumer confidence and other bleak economic indicators.

The General Assembly earlier this year revised the state's two-year, $77 billion budget to account for a cumulative revenue shortfall of about $3.7 billion. The shortfall affects the general fund portion of the state spending plan, which now stands at $31.8 billion for the two-year period ending June 30, 2010.

Kaine said earlier this month that he could reconsider cuts he proposed in December when he delivered a revised budget to lawmakers. Federal funds from the economic recovery package that Congress passed in February allowed lawmakers to avoid about $700 million in cuts the governor had proposed.

Griffith said Kaine faces tough budget decisions and warned, "It's going to be painful."

The General Assembly also will convene today for a special session triggered by a recent U.S. Supreme Court case involving the use of forensic evidence in criminal trials.

The court's decision in Melendez-Diaz v. Massachusetts is forcing Virginia to take steps to help ensure that forensic analysts are available to testify in cases involving scientific evidence. The ruling places the burden on prosecutors to make the analysts available, and state forensic scientists have seen a dramatic increase in subpoenas summoning them to testify. Prosecutors have raised concerns that the ruling could jeopardize cases involving drunken driving and drug possession, among other things.

The Senate Courts of Justice Committee on Tuesday wrapped up work on a bill that would require prosecutors to provide notice of their intent to introduce scientific evidence 28 days before a case goes to trial. A defendant would have 14 days to decide whether to require the scientist to testify.

The bill also includes a provision that would allow prosecutors to seek a limited number of continuances to allow a witness to testify without affecting a defendant's speedy trial rights.

Lawmakers expect the "notice and demand" provision to curb the number of subpoenas issued to forensic scientists.

"I think we analyzed it exhaustively and solved most, if not all, the problem," said Sen. John Edwards, D-Roanoke, a member of the Senate committee. "There are still potential issues out there that I don't think we can get resolved at this point that are quite technical in nature."

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