West Virginia Avoids $465 Million Clawback of COVID-19 Funds

West Virginia Avoids $465 Million Clawback of COVID-19 Money

Charleston, W.Va. – In a major win for West Virginia, Governor Jim Justice announced on Friday that the state will not face a clawback of $465 million in COVID-19 money from the U.S. Department of Education. This news comes as a relief to state lawmakers who had raised concerns during the final days of the legislative session in March.

The federal officials approved the state’s application for a waiver for the money, which was part of the more than a billion dollars in federal aid received by West Virginia to support students during the COVID-19 pandemic. The state was required to maintain or increase funding for education in order to receive the federal money, ensuring that it supplemented existing state investment rather than replacing it.

For the federal spending packages passed in 2020 and 2021, West Virginia had to provide a dollar-for-dollar match. However, the regulations were waived for the state in 2022. This waiver was crucial as lawmakers were struggling to finalize the state budget in March, causing uncertainty and leading to discussions of passing a “skinny budget” and reconvening in May.

Governor Justice expressed confidence in a positive resolution during negotiations with the federal government, citing the state’s commitment to school service and teacher pay raises. He highlighted the state’s dedication to building projects and providing teaching aides to improve math and reading skills in classrooms.

Despite a decrease in the percentage of the budget allocated to education from 2017 to 2023, Governor Justice emphasized the state’s overall increase in spending on education. The state’s investment in education was further underscored by the approval of $150 million for the state’s School Building Authority in the upcoming fiscal year.

Governor Justice praised the federal government’s decision and stated that he was never concerned about the waiver not being approved. He emphasized the state’s continued commitment to education and highlighted the progress made in funding and supporting schools in West Virginia.

This announcement marks a significant victory for West Virginia and ensures that crucial funding for education will continue to support students and schools in the state.