Budget woes in Richmond will cost the City of Williamsburg nearly $30,000 in state funding in the next fiscal year.
With the state facing a $2.4 billion budget shortfall, the General Assembly reduced state aid to local governments by $30 million for fiscal year 2015, which began July 1.
The move cuts $31,331 from 10 city government programs, including more than $5,000 in financial assistance for child and youth services and more than $9,000 for public libraries.
The cut also requires the city to reimburse James City County $7,076 for three joint endeavors losing state funding — the Williamsburg-James City County Sheriff’s office, the Commonwealth’s Attorney office and the Clerk of the Circuit Court.
The city’s combined reimbursement to the state and James City County totals $38,407.
The city has three options for achieving the funding reduction: It can designate certain programs to receive smaller contributions from the state; reimburse the state for the entirety of the funding cut; or use a combination of the first two methods to achieve the reduction.
Finance Director Phil Serra said the city would likely choose to reimburse the state for the cuts, using funds from the city’s fiscal year 2015 general fund operating contingency account.
Because Williamsburg would be reimbursing the state for funds cut from the Williamsburg Regional Library budget, Serra said the library would send the city an equivalent amount, totaling $9,158. The Colonial Group Home Commission would also reimburse the city $1,198 for the same reason.
With the contributions from the library and the CGHC, the total cost to the city stands at $28,051.
“That’s the fiscal world we live in,” Mayor Clyde Haulman said.
Councilman Scott Foster asked whether the reduction in funding would be permanent, but Serra said it was unclear whether the cuts would be maintained, and at what level.
The city must inform the state of its intentions by Jan. 1. Any payments from localities, through the second or third options, must be submitted to the state by Dec. 31.
