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Virginia has overcome months of declining revenue to finish fiscal 2010 with $400 million in unspent funds June 30. Despite apparently modestly higher general fund tax collections, Mr. McDonnell last week instructed the heads of state agencies to draw up contingency plans for cutting operating budgets 2 percent, 4 percent or 6 percent next year.

Mr. McDonnell said he is also considering cutting funding for NPR, but that the decision has nothing to do with the firing of news analyst Juan Williams.

“It’s the principle of the thing: Do we need to subsidize a radio station when the free market is working very well?” Mr. McDonnell said.

• From wire dispatches and staff reports