Literary and General Fund Revenues for Retirement Cost
Biennium
2018-2020
Budget Round
Amended Bill
Half Sheet Number
136 #12c
Description
This amendment provides $111.3 million in the first year from the Literary Fund for Virginia Retirement System (VRS) payments. It also directs a total of $35.0 million towards school construction support as follows: 1) $30.0 million for Literary Fund school construction loans that will revolve back to the Literary Fund, and; 2) $5.0 million towards an interest rate subsidy program, based on the parameters established in Senate Bill 1093 as passed during the 2019 Session. Senate Bill 1093 authorizes a 100 percent interest rate subsidy for school divisions with local composite index of 0.2500 and below and a 50 percent interest rate subsidy for school divisions with a local composite index greater than 0.2500 but no greater than 0.4000. There is a $7.5 million maximum total loan amount that a subsidy interest rate will be paid. The remaining $30.0 million in Literary Fund revenues shall be used to provide school construction loans for projects that are on the First Priority Waiting List. This amendment also includes a technical correction.