Dannel P. Malloy Proposes Budget Cuts to End the State’s Budget Impasse
Connecticut Governor Dannel P. Malloy has put forth his fourth budget proposal, once again hoping that the state’s longstanding budget impasse will end. The proposal includes about $150.0 million in state budget cuts in the next two years.
The Democratic governor hopes that the Republican legislators will reach an agreement with him this time, so the state may finally have a fiscal budget.
Connecticut is currently the only state in the country running without an official budget. The state government has so far been running its operations with limited funds issued through an executive order by Malloy.
The Democrats and Republicans running the state have been in a stalemate since June, and have repeatedly missed budget deadlines as both sides failed to reach an agreement on the budget issue.
The Republican lawmakers have been proposing spending cuts in order to bridge the state’s budget gap, while the Democratic governor—who has been proposing to increase spending and impose taxes—has been repeatedly vetoing their proposals.
With the state’s capital city, Hartford, now teetering on the verge of bankruptcy, and other big and small Connecticut towns also facing the threat of a government shutdown, the governor is running out of patience.
Malloy made a fourth attempt at a budget proposal this week, this time trying to appease the Republicans and find a way out of the ongoing budget impasse.
The governor’s latest proposal not only eliminates his previously proposed taxes, which the Republicans opposed, but also includes some spending cuts in order to make the proposal more acceptable to the Republicans.
Under the new proposal, the state may cut state funding to magnet schools and slash rental assistance for elderly residents. Civil penalties may also be implemented on nursing homes when they violate state law. In addition, the governor is proposing to reduce the earned income tax credit, which will affect the state’s working class.
A number of other changes have also been proposed that fall in line with the Republicans’ demands. It’s clear that the governor wants to seriously end the budget impasse this time.
The budget, however, angers many municipal leaders, since the state would be cutting funds for towns and cities, forcing them to consider cutting spending on critical public services like education, healthcare, and criminal justice.
Nonetheless, the governor is now going ahead with the proposed cuts, seeking approval from the General Assembly to pass the budget before the end of the month.
“Frustrated Over Stalemate, Malloy Proposes ‘No Frills’ Budget as Compromise,” Hartford Courant, October 16, 2017.