Virginia Legislature Passes Competing Budget Proposals, Rejecting Youngkin's Tax Plan

The Virginia Senate and House of Delegates, both controlled by Democrats, have passed their own versions of the state budget, diverging significantly from Governor Glenn Youngkin's proposed tax changes.

• The Virginia Senate and House of Delegates have passed competing versions of the state budget, both rejecting Governor Youngkin's proposed tax changes.
• Both chambers agreed to expand the sales tax to digital services but dismissed Youngkin's suggestions to lower income tax rates and raise the state's sales tax.
• The budgets propose increased general fund spending, including larger pay raises for teachers and public workers, and higher K-12 education allocations than Youngkin envisioned.
• A Youngkin-backed proposal to move the NHL's Washington Capitals and NBA's Washington Wizards to Alexandria faces uncertainty, with the Senate and House having differing stances.
• The House budget includes language to rejoin the Regional Greenhouse Gas Initiative, a move opposed by Youngkin and some Republicans.

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