RICHMOND—Governor Ralph Northam announced today that Commonwealth of Virginia reached the end of fiscal year 2018 with a revenue surplus of approximately $551.9 million.
Total revenue collections rose by 6.3 percent in fiscal year 2018, ahead of the revenue forecast of 3.4 percent growth. The main drivers of the revenue increase were growth in payroll withholding and nonwithholding income tax collections.
“On the strength of a record $2.4 billion in revenue collections in the month of June, I am happy to announce that preliminary figures indicate that the state concluded fiscal year 2018 with an approximately $551.9 million surplus in general fund revenue collections,” said Governor Northam. “This significant surplus will substantially increase the Commonwealth’s cash reserves in order to protect taxpayers against a future economic downturn and further affirm our valuable AAA bond rating. I am particularly encouraged by the strong growth in payroll withholding, which is a sign that our investments in building a stronger economy and a more-prepared workforce are paying off for Virginians in every corner of the Commonwealth. As we close the books on this fiscal year, I look forward to working across the aisle to build on our economic momentum and build a Virginia that works better for all people, no matter who they are or where they live.”
Provisions in the Virginia Constitution, the Appropriation Act, and the Code of Virginia specify how most of the fiscal year 2018 additional resources must be assigned. These numbers are preliminary, the final fiscal year 2018 surplus tally, including transfers, will not be available until the August 17th Joint Money Committee meeting.
Analysis of Fiscal Year 2018 RevenuesBased on Preliminary Data
# # #