Last Man Standing: After Lembo Projects $44M Deficit, Malloy the Only One Who Says SurplusApril 4, 2017
Comptroller Kevin Lembo (D-Conn.) projected on Monday that Connecticut will have a $44.6 million deficit in fiscal year (FY) 2017. Malloy's the only one left with a projected surplus.
On Monday, Comptroller Kevin Lembo reported that Connecticut will end FY 2017 with a $44.6 million deficit. The deficit, Lembo said, is “due to slow income tax withholding revenue and concerns about final April payments.”
Lembo’s projections are in line with those of the nonpartisan Office of Fiscal Analysis (OFA) last week. OFA predicted a $45 million deficit for FY 2017.
This leaves Gov. Dan Malloy (D-Conn.) as the only one left predicting a surplus. A week ago, Malloy’s budget director Ben Barnes predicted that state will finish the year with a $22 million surplus.
Lembo’s press release also warns Malloy’s budget office about rosy projections:
While there may be reason to hope that – due to the safe harbor provisions – final payments will trend higher than estimated payments – Lembo said it’s better to exercise caution.
“I am concerned that these delayed payments may not be sufficient to reach the OPM (Office of Policy and Management) estimate,” Lembo said.
Will Malloy heed warnings from Lembo?
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