- Associated Press - Tuesday, August 26, 2014

RICHMOND, Va. (AP) — Virginia Gov. Terry McAuliffe is ordering his agency heads to cut their budgets 5 percent this fiscal year and 7 percent next year to cope with an $880 million budget shortfall.

McAuliffe’s chief of staff, Paul Reagan, sent to a memo to agency chiefs on Friday ordering them to come up with suggestions on what to cut.

Reagan said suggested budget plans could include increasing fees for outside parties.

The agency heads were directed to submit their proposed budget plans to the governor’s office by Sept. 19.

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