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Yikes! Cuts, Cuts And More Cuts–Malloy, State Bean Counters Announce Budget-closing Measures

November 28th, 2012 · 6 Comments · Analysis and Comment, News and Events

Social services, school-based health clinics and state universities were among the casualties of $170 million in cuts announced Wednesday by Governor Dannel Malloy to carve into a budget shortfall of more than $300 million. Connecticut’s Beardsley Zoo is also among a long list of items facing cuts. Within the next day or so we should learn more how these cuts will impact city departments that rely on state funding. See news release from the office of State Budget Director Ben Barnes followed by a link to a list of cuts:

The Office of Policy and Management (OPM) today released a list of $170 million in rescissions from state agencies in an effort to keep the state budget in balance. That dollar figure is within the statutory authority the Governor has to rescind up to 5% of any line item and 3% of any fund without seeking legislative changes to the state budget.

The rescissions are in response to a budgetary shortfall for the current fiscal year that is currently estimated at $365 million. The rescissions for Executive Branch agencies, which the Governor makes, total $161,694,693. Legislative leaders have agreed to $3 million and the Judicial Branch agreed to $5.75 million in rescissions.

“There is no one reason for the projected shortfall,” said OPM Secretary Ben Barnes. “The sluggish national economy is part of the equation. Revenue hasn’t recovered as it has in the past when Connecticut was working to climb out of a recession. The demand for services, particularly Medicaid, remains higher than expected. But we have faced larger challenges than this, and done so responsibly. Nothing on that front has changed.”

Secretary Barnes also pointed out that had the economic recovery been similar to the 2003 recovery, revenue from Income and Sales taxes would be $725 million higher. Several other states, including Massachusetts and New Jersey, have similar shortfalls.

“Many of these cuts are very difficult to make, especially now when so many residents continue to struggle in a tough economy,” Barnes continues. “But as painful as they are, cuts are necessary to keep this year’s budget in balance. State government needs to live within its means.

“And we should all remember that as difficult as some of these reductions are to make now, there are more, even tougher choices ahead.”

Barnes then noted that a legislative proposal on deficit mitigation is forthcoming in December. “We are working on a Deficit Mitigation Plan that will completely erase the projected deficit. We hope to work with legislative leaders of both parties on a package that responsibly manages our state’s financial challenges.”

See list of cuts here.

More from CT Mirror here.


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6 Comments so far ↓

  • John Marshall Lee

    Financial troubles! Real troubles! Right here in the State of CT … and also right here in B’port! Any differences you can see?
    I can. Somehow the Governor understands there is a problem with his budget. Is he vigilant? Is it the fact there is some form of two-party oversight at the State level? Is it possible it is due to the existence of something called the Office of Fiscal Analysis? (Why would you need that function in government? Here in Bridgeport fiscal analysis is not done in public by the administration and is not done in the City Council because they are shy, poorly informed, ignorant of such responsibility or don’t care. You select the answer most appropriate.

    Some of the decisions at the State level will trickle down to the City, for certain. Some of the decisions that are likely to occur in Washington will cascade down to the City, for certain. And what will the City (leaders) do? Probably blame the taxpayers and those who urge for OPEN, ACCOUNTABLE and TRANSPARENT? You bet. The fiscal revolution has begun. Where are the local ‘profiles in courage’ around fiscal affairs who have been elected to office? With educational issues so fresh in our minds from November 6, will someone check to see the City is current with all of their pledges made to the 2011-12 and 2012-13 BOE budgets? The “four year flat line” stopped on paper with both City and State increasing support. How is that working out currently? Time will tell.

  • Mojo

    *** It’s always easy to make state cuts starting at the bottom with social services programs that affect those who need it most. Why not start at the top with 5% cuts and continue scaling down to about 3% across the board on everybody who receives state money period! The Gov. before getting elected stated he would have to make many cuts to balance the state budget so it should not come as a surprise to the citizens of CT. But please “research” the budget well, then start at the top and work your way down so everyone can contribute without suffering! *** FAIR IS FAIR, NO? ***

  • Bruce Lee

    Finch already got rid of the school-based health centers, the dental hygiene program, most of the health dept and social services is next. Finch doesn’t care about poor kids. By 2014 there will be no health or social service programs provided by the city. So the state cuts mean nothing to the city. Simply an excuse for Finch to eliminate programs and lay off more people.


    This is not a shock???
    www .ctpost.com/local/article/Malloy-budget-plan-hikes-spending-3540618.php

    We knew this six months ago. At least the Republicans did. “current budget deficit, estimated as high as $300 million.”

    Fortunately, Dems think $350 million is not a lot of money. “Compared to what we were dealing a year ago with a $3.5 billion deficit, it’s relatively small–less than 1 percent of the budget.”

  • BlackRockGuy

    One word comes to mind … disgraceful. Mr Barnes is talking about “tougher” choices ahead … is he paying more for his healthcare? Is the Governor? They are balancing the budget on the backs of the poor and the unemployed … people who can’t afford to make any more sacrifices because they have nothing left to sacrifice except for their health. Let people like the Gov and GOP state senator John “Richie Rich” McKinney make some sacrifices for a change. And how about Linda McMahon who blew $50 Million on an ego trip posing as a political campaign? It is time for the wealthy in CT and nationwide to make some sacrifices … The rest of us have had it!

  • The Phantom

    Give me a break. It’s always someone’s else’s fault when the lazy get a couple of their free dollars taken away. If the government took every billionaire’s cash, they could run the country for about two days. It’s simple math, you shouldn’t spend more than you take in. Stop the handouts and stealing everyone else’s future. Stop blaming those who worked hard their whole lives and get “your” act together. I say good for Malloy! Take a hard line and be more conservative. Stop taxing the hard worker to take care of those who feel we owe them free birth control. You can’t tax your way to prosperity. Kudos to Malloy!

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