Senate Republicans Propose Changes to Gov. Malloy’s Fiscal Year 2017 Deficit Mitigation Plan

May 24, 2017

 Restores $19 million to Municipalities, $2 million to Hospitals, $1 million to State Parks and $1 million to those with Intellectual Disabilities

Hartford – Today Senate Republicans shared proposed revisions to Governor Dannel P. Malloy’s fiscal year 2017 deficit mitigation plan released earlier this month to address the shortfall in the current fiscal year which ends on June 31, 2017 totaling approximately $322.7 million according the Office of Policy and Management (OPM). Due to the fact that the differences in deficit projections between the Office of Fiscal Analysis and OPM are regarding expenses, this proposal is based on the projections released by OPM.

“A deficit of this size so late in the fiscal year is devastating because it leaves our state with very few options. We thank the governor for putting forward his plan to close the shortfall, but we also have many concerns about proposals that cut hospitals, state parks, programs for individuals with disabilities and municipalities. Therefore, we are putting forward our ideas to mitigate the most damaging cuts,” said Senate Republican President Pro Tempore Len Fasano (R-North Haven).

“We believe it is unfair to ask towns and cities to absorb such drastic financial hits in the last few months of the fiscal year. That leaves them no time to make adjustments, and could lead to property tax increases or significant shortfalls in funding for core services such as education. Our recommended changes to the governor’s plan would stop balancing the budget on the backs of property taxpayers,” said Deputy Senate Republican President Pro Tempore Kevin Witkos (R-Canton).

“In addition, we believe it is wrong to take privately raised funds away from state parks which our parks rely upon to operate,” said State Senator Paul Formica (R-East Lyme), co-chair of the Appropriations Committee. “Our recommended changes also restore millions of dollars to hospitals to help provide health care to people across our state and funding for individuals with intellectual and developmental disabilities. We ask the governor and legislative leaders to consider our proposed changes so that we can move forward to resolve the current year’s deficit and focus our attention on the massive state budget problems on the horizon that demand our full attention.”

The Senate Republicans’ proposed changes would restore $19.4 million to municipalities through the June Pequot Payment, restore $2 million to state hospitals, restore approximately $1 million in privately raised monies for state parks, and restore $1 million for employment opportunities and day services for individuals with intellectual and developmental disabilities. The proposal would transfer funds from other accounts to restore the funds identified.

Details attached.