Budget Numbers Paint Grim Outlook - NBC Connecticut

Budget Numbers Paint Grim Outlook



    Budget Numbers Paint Grim Outlook
    NBC Connecticut
    Gov. Dannel Malloy delivered his budget address to the legislature at the State Capitol in Hartford on Wednesday.

    One day after Governor Dannel Malloy's budget office released new numbers on the state's fiscal outlook state legislative leaders are speaking out.

    The Office of Policy and Management projects revenue will decline $259 million in 2014 and $229.4 million in 2015. 
    “This presents Connecticut with some real challenges in finalizing a budget, but I am confident that we will work with the legislature to come to a responsible and balanced budget plan," Ben Barnes, OPM Secretary, said.
    Republican leadership said they were troubled by the new numbers.
    "It shows an economy that is not turning around," Rep. Larry Cafero, the Republican leader said. "It shows that the governor's prediction of continued surpluses will not happen unless we dramatically change the way we do business."
    Governor Malloy said he still expected a spike in tax revenue by later this summer. Democrats and the governor did make a promise to taxpayers.
    "I've been very clear and telling you for months that we're not going to raise taxes and we're not going to raise taxes," Malloy added.
    At the same time, OPM also projected a $150 million surplus for the remainder of 2013. That money will likely be set aside in the state's rainy day fund.
    "What we have to do is manage for the long term which is what this administration has been about all along," Malloy said.
    Republicans said that surplus is there because of the spending cuts they helped to make in December. They said the key is to continue cutting spending but they said they've been cut out of budget negotiations.
    "Democrats have excluded Republicans in the budget process, the only the time they've asked us was when they were in desperate need with a deficit," Sen. John McKinney, the Republican leader, said.