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Yankee Institute Reviews the Budget

February 10, 2017 By Staff
Yankee Institute Reviews the Budget

One of Connecticut's premier public policy groups, the Yankee Institute, is out with its initial review of the budget proposed by Gov. Dan Malloy (D-Conn.).

The Yankee Institute for Public Policy, one of Connecticut’s leading public policy organizations, had out on Thursday an initial review of the governor’s budget.

A quick summary of what Yankee Institute found good and bad, and what they still have questions about.

THE GOOD

The Yankee Institute likes Malloy’s proposed changes to the estate tax, which would put $20 million back in the pockets of taxpayers in fiscal year 2019 alone.

The Yankee Institute also supports the increased flexibility Malloy is offering towns and cities on state mandates – a move also supported by the Connecticut Council on Small Towns (COST) and the Connecticut Business & Industry Association (CBIA).

THE BAD

The Yankee Institute is not a fan of Malloy’s shuffling of state aid to towns and cities, which Malloy’s own budget director admitted would create a few dozen winners and “lots of losers” in 2018.

The institute also doesn’t like Malloy’s proposed ‘$321 million in new taxes and fees.” Check out Reclaim Connecticut’s summary of those new taxes and fees from earlier this week.

“THE UNKNOWN”

Yankee Institute notes that Malloy’s $700 million in labor savings come with a few problems on arrival: 1) the state’s AFL-CIO president says the budget is “dead on arrival,” and 2) the job cuts Malloy will need to make in one year if the union doesn’t agree on concessions – 4,200, to be precise – will be hard to achieve in one year.

Mayor Mark Boughton, a potential candidate for statewide office, also panned the labor savings, suggesting Gov. Malloy doesn’t have a “roadmap” to landing that $700 million in savings.

Expect more stakeholders to speak out on the budget in the coming weeks and months. It’s a long budget season, and Reclaim Connecticut will have you covered.