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Cuts to Medicare for Seniors, As Malloy Bonds Tens of Millions for Pet Projects

December 6, 2017 By Staff
Cuts to Medicare for Seniors, As Malloy Bonds Tens of Millions for Pet Projects

Why did Dan Malloy fiercely defend bonding for the XL Center, when the state could fund Medicare savings for seniors for the same cost?

Gov. Dan Malloy (D-Conn.) and legislative leaders will meet on Wednesday afternoon, to discuss a budget deficit for this fiscal year of more than $200 million (already) and a number of other, pressing items.

One of those items is likely to be the Medicare Savings Program (MSP), a low-cost effort in the state that helps low- and middle-income seniors afford health care.

WTNH reported on the scope of Connecticut’s problem with MSP on Tuesday:

Deep cuts in state spending will push thousands of Connecticut seniors and the disabled to desperation in just 25 days.

January 1st is when 113,000 Connecticut residents start losing “Medicare Savings Program” coverage for Medicare Premiums, deductibles and co-pays.

Like many other budget items, MSP is not inexpensive. the Office of Fiscal Analysis (OFA) estimated this year that savings from the cutbacks to MSP would amount to $20.4 million in fiscal year (FY) 2018 and $61.5 million in FY 2019. That’s a total of $81.9 million.

Compare it to items the state just bonded, though, as State Rep. Chris Davis (R-Ellington) did last week, and Malloy’s defense of bonding items becomes a lot less convincing.

  • The State Bond Commission, led by Malloy, approved $40 million in bonding for the XL Center
  • It approved $94.4 million to “finance the replacement of the Walk Bridge on the New Haven Line in Norwalk”
  • It approved a $10 million loan to EDAC Technologies Corporation, a private company, for “acquisition of machinery and equipment”
  • It approved a $10 million loan to Henkel of America “to assist with relocation of its Laundry and Home Care unit from Arizona to Stamford”

These four items alone will cost the state $154.4 million, enough to fund MSP and more. When will Malloy speak out for MSP like he did for state bonding?