A critical item on this year’s General Assembly agenda was maintaining funding for the Governor’s Opportunity Fund.  The General Assembly funded the GOF at the Governor’s proposed level of $15.1 million; however, that fund was split evenly between the two years to meet cash flow needs based on state revenues. During the session, HB 1522 was introduced that would abolish the Department of Business Assistance and transfer its duties to the Virginia Economic Development Partnership.  While the bill passed the House of Delegates, it died in the Senate.  However, language approved in the state budget directs the Secretary of Commerce and Trade to “evaluate the efficacy of and the financial and programmatic efficiencies that could be generated by consolidating the Department of Business Assistance into the Commerce and Trade Secretariat.
Agencies that the Secretary shall consider consolidating the Department of Business Assistance into shall include, but not limited to, the Virginia Economic Development Partnership and the Department of Minority Business Enterprise.”  In addition to looking at performance criteria, the Secretary is to report its findings to the chairs of the House Appropriations and the Senate Finance committees by November 1.

The General Assembly also approved a $1.46 billion capital construction package for higher education, mental health and other critical needs.  Included in the bill is $59 million for construction of the new Carilion / Virginia Tech medical school and research center.  Located in Roanoke on property next to the Carilion Clinic, the initiative represents a significant economic development project in western Virginia.

The recommendation from the Kaine Administration to transfer programmatic oversight of the state’s workforce development efforts to the state Community College System was approved this session also.  Given that the workforce functions are widely dispersed across 22 separate agencies, consolidation has been a goal for some time.  In the final year of the Warner Administration, a General Assembly committee recommended the creation of a Workforce authority under the Governor’s Office with statutory power.  That legislation was passed and Daniel LeBlanc was the state’s first occupant.  By making the VCCS the coordinator, the Governor and the General Assembly hope to strengthen program oversight and connect future efforts to increased education and training.