RICHMOND, Va. (CBS19 NEWS) -- Governor Ralph Northam sent a letter to the General Assembly Money Committees on Friday announcing that the General Fund revenues will increase by $292.5 million for fiscal year 2020, according to a news release from the Office of the Governor.

Directly addressing Senator Janet D. Howell and Delegate Luke Torian in his letter, Northam announced, "As Virginia’s economy continues to grow, I am pleased to report that January 2020 revenues rose 8.7 percent over revenues in January 2019."

"We are trending ahead of our revenue forecast for the current fiscal year," he added. "Our growing economy is a result of our mutual and continued stewardship of taxpayer dollars, and it allows us to fund public education, health care, law enforcement, and the other critical services Virginians expect."

Northam instructed his finance staff to perform a mid-session revenue forecast, after which he decided to increase projected General Fund revenues by $292.5 million for fiscal year 2020.

"By statute, $112.3 million is the required deposit into our rainy day fund, based on this revenue revision," he said, which "leaves an unobligated, one-time balance of $180.2 million."

Northam urged the Money Committees to focus on two key priorities moving forward: "maintaining Virginia’s fiscal integrity and investing in our future."

"We must ensure our economy continues to grow and create new jobs," he added. "We must advance a structurally balanced budget that protects our AAA bond rating and builds up our financial reserves, so Virginia is prepared no matter what comes our way."

Northam concluded his letter by proposing allocating funding for early childhood education, teacher salaries, and low-income community college students.