CT House Dems’ Budget Taxes and SpendsAugust 23, 2017
This latest Democrat budget still leaves Connecticut drowning in debt.
Today Connecticut’s House Democrats released their latest budget.
House Speaker Joe Aresimowicz, a Democrat from Berlin, says an increase in the Connecticut sales tax from 6.35 percent to 6.85 percent is needed in order to balance the state’s two-year-budget. That budget is already seven weeks late.
The budget would also suspend an income tax cut for retired teachers and restrict the existing $200 property tax credit to only those households with dependents:
Restricting the existing $200 property tax credit within the income tax only to households with dependents would cost middle-class filers about $55 million per year.
The plan would have 25 school districts losing “anywhere from 2 to 88 percent” of Education Cost Sharing (ECS) program funding, a moderate improvement from Malloy’s plan:
The new House Democratic plan has 25 communities losing all ECS aid, and another 25 school districts losing anywhere from 2 to 88 percent of their ECS funding.
Also included would be a “comprehensive program to support homeowners with crumbling foundations in eastern Connecticut:”
The proposal includes a “comprehensive program to support homeowners with crumbling foundations in eastern Connecticut” and “cap on bonding to reduce long term debt.”
This is a notable nod to Malloy’s $5 million in state funding released earlier this year to address homeowners foundation quandary.
This latest Democrat budget still leaves Connecticut drowning in debt, with the state facing a grim “$3.5 billion deficit” over the next two years. Locked in with a 10-year labor agreement for state workers, Connecticut’s leaders face tough choices. Regardless, it seems Democratic leaders in the house are remaining hopeful and expecting a vote on their budget by early September.
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