Virginia has a biennial budget system, which means it adopts a two-year budget. For example, the current budget for the 1998-2000 biennium was adopted by the 1998 General Assembly, and was amended by the 1999 General Assembly. Developing the Commonwealth's budget is a process that takes many months and involves many participants, from state agencies to the legislature and the public.
Agencies undertake a strategic planning process that provides a foundation for budget requests.
In addition, agencies list their strengths, weaknesses, opportunities, and threats. As an outgrowth of these assessments, agencies identify their critical issues. Agencies present the results of their issues assessments to their Cabinet Secretaries and receive guidance for developing their strategic plans. Agencies then develop strategic plans that set forth goals, objectives, and strategies for achieving their mission and addressing their critical issues over the next six years. Budget development phase DPB analyzes the budget requests of agencies to verify costs, confirms the need for services, investigates any alternatives for funding, and identifies policy issues for the Governor's consideration.