McDonnell announces $544.8 million budget surplus

Gov. Bob McDonnell (R) announced Thursday that Virginia has finished its fiscal year with a surplus of $544.8 million through higher-than-expected tax revenue and savings. Last month, McDonnell announced that the state had a surplus of $311 million on June 30, the close of the year, but Thursday told legislators his administration has been able to save an additional $234.1 million. Virginia law calls for the bulk of the money to be put into the state’s rainy day fund and spent on K-12 education, transportation and Chesapeake Bay cleanup.