Connecticut Comptroller Natalie Braswell released an updated financial and economic forecast that projects a General Fund surplus of $956.4 million for Fiscal Year 2022, the first since adjustments to the biennial state budget were passed into law last month.
In a letter to Gov. Ned Lamont, Braswell highlighted that several revenue categories continued to perform well, including income tax withholdings which are up 9.6% from the same period in Fiscal Year 2021. Braswell noted that another large deposit into the state”™s Budget Reserve Fund (more commonly known as the Rainy Day Fund) is also anticipated ”“ the fund has already reached its statutory maximum of 15% of General Fund appropriations.
“Connecticut”™s big picture economic position remains strong,” said Braswell. “Our substantial reserves, and the additional funding to pay down debt, will be a tremendous advantage to our state should the nation suffer another economic downturn. However, there is still a need to help residents overcome high prices and navigate the lingering volatility from the pandemic.”
