Think Progress Despite His Anti-Government Rhetoric, Gov. McDonnell’s Budget Surplus Results From Government Assistance

McDonnell’s “prudence” would be a shining example for the federal government if he hadn’t relied on one important contributor: the federal government. According to a Commonwealth Institute for Fiscal Analysis report released this week, last year’s Recovery Act provided $2.5 billion in stimulus relief to “maintain crucial services for [Virginia] citizens” and “help close the state’s budget shortfall in 2010-2012.” Virginia legislators relied on $1.3 billion in enhanced Medicaid funding, $1 billion in funding for K-12 and higher education, $39 million for public safety, and $200 million in general support to reduce “what would otherwise have been a $5.4 billion budget hole.”

But McDonnell has a history of selective amnesia when it comes to Recovery funds. During his gubernatorial campaign, McDonnell continually criticized the Recovery Act as a “massive” spending bill that would “do little to help the economy.” But, while in office, McDonnell heralded $24 million in federal funding to advance health information technology while sweeping the fact that it was stimulus funding under the rug. He even requested stimulus funds to cover rising health care costs and to help build a Rolls Royce manufacturing plant in Prince George County. As one Virginia legislator put it, “we wouldn’t even be talking about the surplus if it weren’t for the stimulus.”
Think Progress Despite His Anti-Government Rhetoric, Gov. McDonnell’s Budget Surplus Results From Government Assistance