Population, Inflation Fuel Virginia Budget Growth

BOB LEWIS

RICHMOND, Va. (AP) — Virginia spent 74 percent more money overall in its most recent budget than it did 10 years earlier, the result of the economy, population growth and decisions by the General Assembly, according to the legislature's watchdog agency.

Monday's report to the Joint Legislative Audit and Review Commission, the legislature's watchdog agency, shows a state spending jump of 28 percent when adjusted to account for inflation and population growth from fiscal year 2000 to fiscal 2009.

The annual operating budget grew from nearly $21.4 billion for spending during the year that began July 1, 1999, to slightly more than $37 billion for the budget year that ended about four months ago.

According to the commission report, a 23 percent inflation rate forced some of the growth, as did an increase in Virginia's population from 7.1 million in 2000 to 7.7 million in 2008, the most recent year for which population data are available.

The budget also grew in part because the state's economy grew. For years, a wealthier populace generated more revenue to meet growing needs and expectations, according to the 58-page report.