Superintendent’s Memo No. 312-14

State seal, Commonwealth of Virginia

COMMONWEALTH of VIRGINIA
Department of Education

November 21, 2014

TO:  Division Superintendents

FROM:  Steven R. Staples, Superintendent of Public Instruction

SUBJECT:  Enactment of HB 5010 - Amends the 2014 Appropriation Act (Chapter 2 Acts of Assembly of 2014, Special Session I)

On November 10, 2014, the 2014 General Assembly, Special Session I adopted, and on November 14, 2014, Governor McAuliffe signed HB 5010 enacting it into law.  HB 5010 amends the 2014 Appropriation Act (Chapter 2 budget) that was enacted on June 23, 2014, addressing a portion of the existing state budget revenue shortfall in fiscal years 2015 and 2016.
HB 5010 is enacted as Chapter 3, Acts of Assembly of 2014, Special Session I.

HB 5010 increases the appropriation of Lottery proceeds in the Direct Aid to Public Education budget by $28.1 million and the appropriation of Literary Funds by $15 million for fiscal year 2015, while decreasing general fund appropriations by the same total amount ($43.1 million) for fiscal year 2015.

The increased fiscal year 2015 Lottery proceeds will be used to fund Textbooks (increases Lottery funding for Textbooks by $26,200,288 so that Textbooks are now entirely Lottery funded for fiscal year 2015) and Remedial Summer School ($1,899,712 of the Remedial Summer School account is funded with Lottery proceeds so that this account is now split-funded between Lottery and the general fund for fiscal year 2015).  The increased Literary Fund appropriation will be used for the payment of teacher retirement costs in lieu of general funds.

Please note that the fund source changes adopted in HB 5010 for fiscal year 2015 do not impact school division per pupil amounts or total payments to school divisions; therefore, the Department of Education will not issue a new calculation tool at this time.

If you have questions or need additional information, please contact Kent Dickey, deputy superintendent for finance and operations, or budget office staff at (804) 225-2025 or by e-mail (e-mail addresses available at http://www.va-doeapp.com/StaffByDivisions.aspx?o=Budget&w=true).

SRS/cas