The 2011 Executive Budget Document
Economic Development Incentive PaymentsMission Statement
This agency serves as a holding account for state incentive programs to localities, companies opening or expanding a business facility within the Commonwealth, and production companies and producers who film their product in the Commonwealth, and assistance to impacted localities in implementing and responding to the recommendations of the 2005 Base Realignment and Closure Commission. These incentives include performance-based financial assistance, infrastructure development grants, and customized training and support programs. These programs are administered by the Virginia Economic Development Partnership, the Virginia Tourism Authority, and the Virginia National Defense Industrial Authority.Operating Budget Summary
|General Fund||Nongeneral Fund||Personnel Cost|
|2011 Base Budget||$ 52,995,436||$ 475,000||$ 0|
|2011 Addenda||$ (3,000,000)||$ 0||$ 0|
|2011 Total||$ 49,995,436||$ 475,000||$ 0|
|2012 Base Budget||$ 42,223,436||$ 375,000||$ 0|
|2012 Addenda||$ 34,051,948||$ 0||$ 0|
|2012 Total||$ 76,275,384||$ 375,000||$ 0|
|General Fund||Nongeneral Fund||Total Positions|
|2011 Base Budget||0.00||0.00||0.00|
|2012 Base Budget||0.00||0.00||0.00|
Recommended Operating Budget Addenda
Capture savings from economic development incentive fundingCaptures funding provided for Project Ignite, as the project will not locate to the Commonwealth. Also, captures anticipated savings provided for a payment under the Biofuels Production Incentive Grant Program, based on the most recent payment estimate.
FY 2011 FY 2012 General Fund $ 0 $ (5,800,000)
Establish Virginia Research and Technology Investment Fund (VRTIF)Capitalizes the Virginia Research and Technology Investment Fund. The fund will be used for grants or loans to: expedite innovation and commercialization of research; attract, create, or expand private sector entities that will promote a substantial increase in high-quality jobs; and increase the applied technology research capabilities of institutions of higher education. Legislation will be introduced in the 2011 Session to establish the program. This is a recommendation of the Governor's Commission on Economic Development and Job Creation.
FY 2011 FY 2012 General Fund $ 0 $ 25,000,000
Fund Micron Semiconductor Manufacturing Performance GrantProvides additional funding for semiconductor manufacturing performance grant payments under the Semiconductor Memory or Logic Wafer Manufacturing Grant Program. The payments are based on the amount of new capital investment and the number of new jobs created. The company has met the investment and job creation criteria required by the performance agreement and payment is now due.
FY 2011 FY 2012 General Fund $ 0 $ 1,600,000
Fund Virginia Investment Partnership Grant ProgramProvides additional funding for grant payments owed to companies under the program. The payments are based on negotiated grants awarded to select projects that invest in Virginia and promote stable or growing employment opportunities. The companies have met the investment and job creation criteria required by the performance agreements and payments to the companies are now due.
FY 2011 FY 2012 General Fund $ 0 $ 751,948
Increase funding for the Governor's Motion Picture Opportunity FundProvides additional general fund dollars for deposit to the Governor's Motion Picture Opportunity Fund. The additional support will allow the Commonwealth to compete for additional film opportunities. This is a recommendation of the Governor's Commission on Economic Development and Job Creation.
FY 2011 FY 2012 General Fund $ 0 $ 2,000,000
Provide funds to assist localities affected by base realignment and closure commission recommendationsProvides additional funding for matching grants to assist Virginia localities affected by the base realignment and closure commission process. This funding, which will be used to match local and other funds, can be used for infrastructure, environmental clean-up, workforce training, and related non-recurring costs for localities that may lose or gain personnel and facilities from the realignment. In allocating the funds, priority is given first to any locality in which a United States Navy Master Jet Base is located.
FY 2011 FY 2012 General Fund $ 0 $ 7,500,000
Remove automatic reappropriationRemoves language authorizing the automatic carryforward of June 30 general fund balances. Any such balances will remain eligible for reappropriation pursuant to criteria in Section 4-1.05 of the Appropriation Act.
Transfer funds for the supplemental training grant to the second yearMoves funding for a supplemental training grant provided as part of the state's incentive package to attract an aerospace engine manufacturer to the Commonwealth from FY 2011 to FY 2012. It is anticipated that the company will satisfy the capital investment and job creation targets necessary for payout in FY 2012.
FY 2011 FY 2012 General Fund $ (3,000,000) $ 3,000,000