State Budget

May 11, 2012

Legislative session doesn't clear up uncertain fiscal outlook

By Keith M. Phaneuf

After a spring marked by declining revenue projections and a handful of questionable cost-cutting moves, legislators from both parties conceded Thursday that the state's fiscal outlook emerged from the session as murky as when it entered.

"I worry about the state's finances all the time," the governor told reporters one day after the session closed. But, "I think financially we're still in a pretty good place."

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May 10, 2012

Sunday liquor sales should begin by May 20

By Keith M. Phaneuf

Connecticut residents could be shopping for beer and liquor on Sundays as soon as May 20, Gov. Dannel P. Malloy said Thursday morning.

Malloy made his remarks at the first of three post-session press conferences scheduled Thursday by him, House and Senate Republicans, and Senate Democrats. Only House Democrats have no conference, a first in recent years.

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May 10, 2012

Legislative scorecard: winners, losers (and a few that are still hanging)

By Keith M. Phaneuf and Jacqueline Rabe Thomas, Arielle Levin Becker and Jan Ellen Spiegel

The day after the annual legislative session ends is typically a time for all sides to declare victory, lament defeat, or spin one into the other. Below, our list of winners and losers from the 2012 session.

Not everything that didn’t get done is dead; legislators are expected to return for a special session in the coming weeks to vote on budget implementation bills that could incorporate proposals that didn’t get through in the regular session.

May 9, 2012

Special session already planned for unfinished business

By Keith M. Phaneuf

Key measures needed to implement the next state budget and an overdue fix to a debt-riddled anti-pollution program were earmarked for a special session Wednesday even as lawmakers scrambled to pass more bills before the midnight adjournment deadline.

May 8, 2012

Senate debate offers two visions of state's fiscal future

By Keith M. Phaneuf

As the Senate voted 22-13 to give final approval late Tuesday to a revised $20.5 billion budget for next year, both parties saw state finances on the cusp of a major change.

There was no agreement on the nature of that change: Democrats see the budget closing small deficits and preserving vital services until a recovery, while Republicans predict that gimmicks in the plan mean another looming budget crisis.

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May 8, 2012

House passes budget that closes $200 million deficit

By Keith M. Phaneuf

The House of Representatives voted early Tuesday to approve a revised $20.5 billion budget for the next fiscal year that preserves most of Gov. Dannel P. Malloy's initiatives for education and nonprofit social services while closing a $200 million-plus shortfall in current finances.

May 8, 2012

Despite governor's pledge, GAAP conversion sacrificed to deficit

By Keith M. Phaneuf

After five months of Gov. Dannel P. Malloy insisting that a souring fiscal outlook wouldn't derail one of his biggest campaign promises, the oft-pledged conversion to Generally Accepted Accounting Principles officially landed on the political back-burner early Tuesday.

Both the governor's budget director and the House chairwoman of the legislature's budget-writing panel conceded that the first payment tied to the GAAP conversion was sacrificed to help solve the current budget deficit.

May 7, 2012

Cuts, borrowing proposed to close budget gap

By Keith M. Phaneuf and Jacqueline Rabe Thomas and Arielle Levin Becker

Gov. Dannel P. Malloy and Democratic legislative leaders used a mix of programmatic cuts, borrowing and a raid on transportation and other special funds to preserve nearly three-fourths of the governor's proposed education spending.

May 3, 2012

Senate blocks effort to remove judges' pay from political debates

By Keith M. Phaneuf

The Senate Thursday overwhelmingly stymied a bid by Connecticut's judges to remove their salaries from political debate, dramatically scaling back a measure on a new judicial compensation study panel.

Senators from both parties said lawmakers should be able to vote on raises, Republican Sen. John Kissel of Enfield, saying, "We have a unique role as a legislature to control the power of the purse."

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May 2, 2012

Governor's initiatives not immune as deficits loom larger

By Keith M. Phaneuf

Though Gov. Dannel P. Malloy is trying to see the fiscal glass as half full, key legislators tied to budget talks conceded this week that many of Malloy's top initiatives may have to be scaled back, delayed, or cut altogether.

May 2, 2012

New budget figures make agreement on Medicaid changes likely

By Arielle Levin Becker

Key Democratic lawmakers have bristled at the governor's proposal to scale back a Medicaid program that serves some of the poorest adults in Connecticut. But in light of new budget figures released this week showing that the state has a nearly $200 million budget deficit, some said they're willing to consider changes.

May 1, 2012

GOP: Malloy's deficit fix won't play on Wall Street

By Keith M. Phaneuf

Republican legislative leaders say that Gov. Dannel P. Malloy's plan to divert the state's long-term debt payments to close the swelling current budget deficit won't play on Wall Street.

Why? Because just two months ago the state cited its efforts to pay down its debt as evidence that it was getting its fiscal house in order.

May 1, 2012

Senate gives final approval to Sunday liquor sales

By Keith M. Phaneuf

Connecticut no longer will be dry on Sunday. With the governor committed to signing the bill into law, the Senate voted 28-6 Tuesday to give final legislative approval to a measure ending the state's longstanding ban on Sunday liquor sales.

April 30, 2012

Malloy would use state's credit card payments to cover operating deficit

By Keith M. Phaneuf and Jacqueline Rabe Thomas

Despite vowing during the campaign not to use the state's credit card to cover its operating costs, Gov. Dannel P. Malloy announced late Monday he would divert more than $220 million dedicated last year to pay off debt to close a growing deficit in the current budget.

And a new report showing plunging tax revenues opened a huge projected deficit in Malloy's budget plan for next fiscal year, jeopardizing new initiatives for school districts and nonprofit social services that the governor unveiled just three months ago.

April 30, 2012

Union tries to rally support for study on state-run retirement savings plan

By Keith M. Phaneuf

One of Connecticut's largest public employee unions is trying to rally support in the waning days of the General Assembly session for a study of whether state government should offer a retirement plan to private citizens.

But a key lawmaker behind the proposal conceded that the chances of passage this year are poor with the legislature scheduled to adjourn in less than two weeks.

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April 27, 2012

Proposed aid for left-leaning center sparks bond dispute

By Keith M. Phaneuf

A proposal to give more than $300,000 in state assistance to a New Haven community center with ties to the Communist Party was pulled abruptly off the State Bond Commission agenda Friday.

And while the governor, whose budget office sets the agenda, insisted the item was tabled only because the New Haven People's Center wasn't ready to use the funds, a key Republican called the proposal an inappropriate use of state funds.

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April 26, 2012

House passes Sunday liquor sales

By Keith M. Phaneuf and Mark Pazniokas

The state House of Representatives overwhelmingly approved a bill Thursday legalizing liquor sales on Sundays and holidays starting July 1 and modestly easing liquor price controls -- though far less than proposed by Gov. Dannel P. Malloy.

The measure, which passed 116-27 and now heads to the Senate, creates a new task force to study liquor pricing rules and also increases the number of package stores a permittee may own.

April 25, 2012

Malloy struggling to keep some portion of GAAP pledge

By Keith M. Phaneuf

While gubernatorial candidate Dan Malloy pledged repeatedly to dive into a new budgeting system based on honesty and transparency within moments of taking office, Governor Malloy waded more gradually into Generally Accepted Accounting Principles.

And now, plagued 16 months later by sluggish revenues, a small-but-growing deficit and reluctant legislators, Malloy may not get to dip his toe in the GAAP pool.

April 20, 2012

Faltering income tax widens deficit, threatens Malloy's budget for coming year

By Keith M. Phaneuf

Faltering state income tax revenues left Gov. Dannel P. Malloy reporting his largest budget deficit to date on Friday.

And unless tax receipts reported this week by nonpartisan legislative analysts improve, Malloy's budget plan for next year -- including a state employee pension fund fix and increased education aid to towns -- could be out of balance now and headed for more than $500 million in red ink by 2013-14.

April 20, 2012

House approves controversial collective bargaining proposal

By Arielle Levin Becker

The House approved a controversial proposal to give collective bargaining rights to certain home care workers and daycare providers Friday night, a matter that has galvanized union supporters and opponents, people with disabilities, child care providers and critics of Gov. Dannel P. Malloy.