2004 Session

Budget Amendments - HB30 (Member Request)

View Budget Item
View Budget Item amendments

Chief Patron: May
Co-Patron(s): Black, Marshall R., Reese, Rust
Supplemental Funds to Loudoun County

Item 146 #17h

Item 146 #17h

First Year - FY2005 Second Year - FY2006
Education: Elementary and Secondary
Direct Aid To Public Education FY2005 $4,849,500 FY2006 $0 GF

Page 105, line 15, strike "$2,920,427,133" and insert "$2,925,276,633".
Page 114, after line 4 insert:
"k. Out of this amount Loudoun County shall receive an additional payment of $4,849,500 the first year for support of the educational programs in the locality.  This appropriation will assist with offsetting the county's harsh economic period."

(This amendment provides $4,849,500 one-time financial relief for Loudoun County. Loudoun County's share of education funding has declined by 4/93 percent on a per pupil basis from fiscal year 2004 to fiscal year 2005 primarily due to increases in assessed values and adjusted growth income in comparison to other localities within the Commonwealth as formulated by the composite index. Loudoun's per pupil aid for fiscal year 2004 was $2,253.42 and it now stands at $2,142.30 per pupil as introduced in the Governor's budget House Bill 30. Furthermore, it increases by only 0.13 percent from fiscal year 2005 to fiscal year 2006.
No other Northern Virginia locality or high-growth locality faces such a reduction in its composite index in fiscal year 2005. At the same time, Loudoun's share of the State Lottery proceeds for school operation and construction has also declined nearly $1 million over previously estimated levels for fiscal year 2005.
Loudoun County is faced with building more and more schools due to the explosive population and student population growth rates with the county. This education infrastructure is crucial to economic development and benefits everyone in the Commonwealth.
Loudoun voter referenda for choosing general obligation bond financing for new schools the next several years is expected to be $200+ million for November 2004, $175+ million for November 2005 and $100+ million for November 2006, assuming the Loudoun County Superintendent's Capital Improvement Program is adopted. Loudoun citizens continue to pay more than their fair share in income taxes, which help all Virginians.
The formula fails to take into account that the continued fiscal burden faced by Loudoun is virtually doubling the entire school system's physical and operating infrastructure in an attempt to accommodate some of the highest birth rates in Virginia and Loudoun's ability to generate sufficient jobs and income growth that benefits all of the Commonwealth. Loudoun is requesting a special appropriation be made for Loudoun until this near-term growth stabilizes.
Since Loudoun County is treated more harshly than other high-growth localities and Northern Virginia jurisdictions under the composite index, Loudoun requests that appropriate language be drafted that provides the $4,849,500 in fiscal year 2005 to make up for $111.12 difference in school aid per pupil for each of Loudoun’s 43,642 students.
This amount takes into account that Loudoun’s taxpayers are paying more in income tax than most localities in Virginia and that less and less of these funds are being returned to help offset the cost of this growing infrastructure. If Loudoun were to receive the nearly 6.9 percent average increase per pupil aid that the attached high-growth and Northern Virginia localities are estimated to receive for fiscal year 2005, it would need approximately $11,672,700 for fiscal year 2005. This amount would make it whole for fiscal year 2005 (make up the 4.93 percent gap per pupil amount) and provide for the level of difference seen on average for these other localities.)