Connecticut Budget Crisis Could 'Devastate' Towns

Town leaders at a meeting this week said they're worried the deepening budget problems, which include a growing deficit that is expected to balloon to more than $1 billion next year, will mean cuts in town aid.

Town leaders are beginning to fret about Connecticut's growing budget problems, raising concerns that the growing deficit - now projected to balloon to more than $1 billion next year - could mean reductions in town aid that the state makes each year to Connecticut's 169 towns.

In a meeting Thursday of the Housatonic Valley Council of towns, municipal leaders learned that the measures being considered by Gov. Dannel P. Malloy to balance the budget could bring steep cuts in state municipal aid, according to the News Times of Danbury.

Danbury Mayor Mark Boughton said the first cuts the state made were accounting corrections, such as sweeping up unspent money and using that to lower the deficit. He said Thursday the next round will start to hurt. Programs will be cut.

Most towns in Connecticut each get tens of millions in education and road funds from the state each year and town leaders for years have complained that cutbacks in that aid have already strained local budgets and have forced higher local property taxes. Any additional cuts would be devastating to local communities and could result in layoffs in local school systems, the News Times quoted local leaders as saying.

Gov. Dannel P. Malloy has already cut $170 million in spending in late November, which is the maximum allowed by a governor without legislative approval. 

bart December 08, 2012 at 07:03 PM
want to save money seriously kook into elliminating FERC and it's para sitic load on ct tax payers
PJ December 09, 2012 at 11:08 AM
Well I for one don't believe ANY of this! Our Governor told us before the November election (and many times since) that things are getting better...so we just have to all close our eyes and pretend to believe him! Anyone that votes for this bozo again in 2014 needs to have their right to vote taken away!
Bart Shuldman December 11, 2012 at 05:20 PM
Malloy in just a year has the potential to destroy CT. He is running a huge budget deficit and is running out of cash. he will now probably need to borrow money topaz our bills. All this after raising taxes on almost everyone, including the middle class and instituting 200 new taxes. Malloy did all this while promising no layoffs for 4 years and granting the horrible use of overtime for pension calculations for 11 more years. It has been determined CT's pension liabilities now approach $60 BILLION if they use a realistic 4.5% discount rate. Now Malloy will look to cut money he gives to towns and cities. I predict he will cut money for town roads and education. The net result, your town or city will need to raise property taxes a lot to overcome the lack of funds. Malloy is boxed himself in, with all in CT impacted. He will be forced to cut quickly in order to overcome the huge deficit he has generated. After raising taxes, state revenues actually went down. And savings he promised never materialized. Now Medicare costs are rising, revenues declining, costs going up. Unemployment in CT reached 9%. This is not good. Malloy is destroying CT.


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