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2024 Session

Budget Amendments - HB30 (Conference Report)

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State Minimum Wage Costs

Item 469 #6c

Item 469 #6c

First Year - FY2025 Second Year - FY2026
Central Appropriations
Central Appropriations FY2025 $8,098,486 FY2026 $71,446,305 GF
FY2025 $10,081,714 FY2026 $83,782,903 NGF

Language
Page 509, line 12, strike "$84,088,011" and insert "$102,268,211".
Page 509, line 12, strike "$174,632,045" and insert "$329,861,253".

Page 516, line 1, strike "$1,015,507", insert "$4,186,394".

Page 516, line 2, strike "3,336,858", insert "$14,718,747".

Page 518, after line 41, insert:

"Z. If the provisions of House Bill 1 and Senate Bill 1 of the 2024 General Assembly Session are effectuated the Director, Department of Planning and Budget, shall be authorized to transfer out of the appropriation for this item as set out in subparagraphs 1., 2., and 3. below. If the provisions of House Bill 1 and Senate Bill 1 are not effectuated then $8,098,486 general fund appropriated in the first year shall be carried forward into the second year and the provisions of subparagraphs 4. and 5. shall be effectuated.    

1. $4,832,365 the first year and $59,021,897 the second year from the general fund and $5,661,321 the first year and $69,197,274 the second year from nongerenal fund to the Department of Medical Assistance Services (DMAS).  

a. Effective January 1, 2025, DMAS shall increase the rates for agency- and consumer-directed personal care, respite and companion services in the home and community-based services waivers and Early Periodic Screening, and Diagnosis and Treatment (EPSDT) program by 1.2 percent. The department shall have the authority to implement these changes prior to completion of any regulatory process undertaken in order to effect such change.  

b. Effective January 1, 2026, DMAS shall increase the rates for agency- and consumer-directed personal care, respite and companion services in the home and community-based services waivers and Early Periodic Screening, and Diagnosis and Treatment (EPSDT) program by 11.1 percent. The department shall have the authority to implement these changes prior to completion of any regulatory process undertaken in order to effect such change.

2. $185,234 the first year and $1,041,709 the second year from the general fund to the appropriate Item in the Compensation Board to reflect the cost impact of the increase in the minimum wage associated with each constitutional office.

3. $3,080,887 the first year and $11,382,699 the second year from the general fund shall be distributed to state agencies and institutions of higher education to support the general fund costs related to the effectuation of the  provisions of House Bill 1 and Senate Bill 1 of the 2024 General Assembly session.

4.  Up to $59,670,910 the second year from the general fund appropriation of this item shall be used to provide all classified employees of the Executive Branch and other full-time employees of the Commonwealth, except elected officials, who were employed on or before August 10, 2025 and remained employed until at least November 10, 2025, a one-time bonus payment equal to 1.375 percent of their base pay on December 1, 2025. Employees in the Executive Department subject to the Virginia Personnel Act shall receive the bonus payment authorized in this paragraph only if they have attained an equivalent rating of at least "Contributor" on their performance evaluation and have no active written notices under the Standards of Conduct within the preceding twelve-month period.

5. Up to $19,873,871 from the general fund the first year is provided for a one-time bonus payment, equal to 1.375 percent of their base salary on December 1, 2025 provided that the governing authority of such employees use such funds to support the provision of a bonus for the following listed employees:

a. Locally-elected constitutional officers;

b. General Registrars and members of local electoral boards;

c. Full-time employees of locally-elected constitutional officers and,

d. Full-time employees of Community Services Boards, Centers for Independent Living, secure detention centers supported by Juvenile Block Grants, juvenile delinquency prevention and local court service units, local social services boards, local pretrial services act and Comprehensive Community Corrections Act employees, and local health departments where a memorandum of understanding exists with the Virginia Department of Health."  



Explanation

(This amendment provides funding for the impact of the minimum wage increase pursuant to House Bill 1 and Senate Bill 1.)