Connecticut Comptroller Sean Scanlon issued his latest economic update and outlook and is now projecting a Fiscal Year 2023 General Fund surplus of $1.35 billion and Special Transportation Fund surplus of $234 million.
Scanlon stated the General Fund surplus projection has increased $10.5 million from January and would have been $22.5 million, but this estimate accounts for the passage of H.B. 6671, which increased General Fund spending by $12 million, primarily to fund free school meals for Connecticut public school students through the end of the school year. Nonetheless, he added the state is on track to deposit $3.2 billion at the end of this fiscal year into the pension funds.
“The economic indicators show both pros and cons this month,” said Scanlon. “We continue to see positive job growth and record-low unemployment at the national level but inflation, while gradually easing, is still having an impact on people and families in Connecticut. Fortunately, thanks to our Rainy Day Fund’s historic balance and the 2017 fiscal guardrails recently extended by the legislature, our state is prepared if and when a downturn occurs as a result of the Federal Reserve increasing interest rates to combat inflation.”
