West Virginia Avoids $465 Million Clawback in COVID-19 Funds from Federal Government

The state of West Virginia can breathe a sigh of relief as Governor Jim Justice announced on Friday that the state will not face a clawback of $465 million in COVID-19 money from the federal government. This news comes after concerns were raised by state lawmakers during the legislative session in March.

The federal aid was part of the more than a billion dollars in funding that West Virginia received to support students during the COVID-19 pandemic. In order to receive the money, the state had to maintain or increase funding for education, rather than using the federal funds to replace existing state investment.

While the state had previously been approved for a waiver in 2022, the waiver for 2023 had not been granted, causing uncertainty and disruption in the state’s budget process. Governor Justice assured lawmakers that negotiations were ongoing with the federal government and that he expected a positive resolution.

With the waiver now approved, Governor Justice praised the federal government’s decision and highlighted the state’s dedication to education funding. Despite a decrease in the percentage of the budget allocated to education, overall state spending on education has increased, with investments in building projects and teaching aides to improve student outcomes.

The state’s commitment to education is evident in the approved $150 million for the School Building Authority in the upcoming fiscal year. Governor Justice emphasized that the state’s investment in education speaks for itself, with per-pupil spending increasing since he took office in 2017.

The resolution of this issue brings a sense of stability and reassurance to West Virginia as it continues to navigate the challenges of the ongoing pandemic and prioritize the education and well-being of its students.