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Federal funding freeze has Virginia lawmakers on edge

Members of the General Assembly are about to start negotiating a budget. But they'll be doing it in an environment of uncertainty.

Senior members of the money committees were finalizing their budget proposals when suddenly Virginia's Capitol was thrown into a sort of budget chaos. The president's decision to temporarily freeze federal assistance prompted some hot words on the Senate floor.

"I just received text messages while we've been on this floor that the federal Medicaid portal’s shut down. Our state doesn't know whether it's going to get Medicaid transfers," said Majority Leader Scott Surovell. "We're talking about health care for children, the elderly, low-income adults, all over this Commonwealth – in everybody's districts, all at risk. There’s doctors, providers out there – don’t know if they’re going to get paid."

But are Democrats too quick to panic?

"You know what? Donald J. Trump won. He is president of the United States. Get over it," said Senator Mark Obenshain, a Republican from Rockingham County. "Cry me a river if you want, but I'm not persuaded that the world is coming to an end or that the earth is going to stop spinning on the axis upon which it's spinning."

This is an issue that's not going anywhere any time soon. Some senators are already talking about a special session later this year if people lose their health insurance under Medicaid and Virginia is left in a position to pick up the financial slack.

Reaction to the decision by the Trump administration to freeze federal funding has drawn lots of criticism — including from Virginia Senator Tim Kaine.

During a call with reporters Tuesday, the Democrat said Virginia would especially be impacted by the freeze. He cited several examples of organizations across the state that rely on federal funding – including the medical school at the University of Virginia, the Virginia Institute of Marine Science and added that transportation projects also need those federal monies.

Kaine called Trump’s decision — which has now been temporarily blocked by a federal judge — illegal.

“There is a law that was passed in 1974 that called the Anti-Impoundment Act that says once Congress has passed a budget, the executive must distribute and use those funds in the matter intended by Congress," he explained. "So, stopping funding [of] federal projects that have been authorized by Congress is illegal and exactly what got Donald Trump impeached in the first impeachment.”

Kaine also said federal Hurricane Helene relief aid would be impacted by the freeze if it's allowed to take effect.

In response, Republican Governor Glenn Youngkin said the move would NOT impact things like disaster recovery efforts. He added that the president is doing what an executive should do at the beginning of their term – finding where money is and where it’s going.

This report, provided by Virginia Public Radio, was made possible with support from the Virginia Education Association.

Michael Pope is an author and journalist who lives in Old Town Alexandria.