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“Give me a couple of weeks," the governor told the Greater Danbury Chamber of Commerce this morning about allowing more capacity at a range of events. "I don’t want to open wide and then pull back.”
“A pretty good spring and summer is my hope,” the governor said.
“It’s still dicey out there,” the governor told today's Economic Summit and Outlook forum, presented by the CBIA. “We’re not going to get our economy back until we can get people back to work.”
“We must continue the fiscal discipline of recent years that has seen revenue growth and a Rainy Day Fund that is now at historic highs," declared CBIA president and CEO Chris DiPentima.
“I feel very strongly that, just because (the rainy day fund) is there, we should not deplete it. While it's raining today, we don’t know how long the rain is going to last – or when it’s going to start raining again."
"We don’t always agree," Kelly (R-Stratford) says of Gov. Ned Lamont. "I don’t expect for us to always agree, but as long as discussions can be held in a candid and frank way, we can work together."
The state's Special Transportation Fund could become insolvent by 2024, according to the nonpartisan Office of Fiscal Analysis.
Although at least 36 states had planned to make additional rainy day fund (RDF) deposits in fiscal 2020, the fiscal and economic strain inflicted by the Covid-19 pandemic prompted at least 17 to make or authorize withdrawals from those funds, according to the analysis.
State statute requires that when the comptroller certifies a shortfall in the General Fund in excess of 1%, the governor musts present lawmakers with a deficit mitigation plan within one month "to modify such allotments to the extent necessary to prevent a deficit."
Justin Theal, an officer with The Pew Charitable Trusts’ State Fiscal Health team, calls Connecticut “one of the most financially secure states going into the recession.”
Meanwhile, State Comptroller Kevin Lembo is projecting the state’s General fund will close Fiscal Year 2020 – which ended on June 30 -- with an operating shortfall of $153.1 million.
Even with the gloomy forecast -- which Office of Policy and Management Secretary Melissa McCaw said were conservative -- "Connecticut is in a stronger position than most states, thanks to our fiscal prudence and the safeguarding of our budget reserve," according to Democratic state Senate leaders Martin Looney and Bob Duff.
The $2.5 billion in the state’s Budget Reserve Fund (also known as the Rainy Day Fund) puts Connecticut "in pretty good shape" through at least June 30, said Gov. Ned Lamont. “Obviously, this is the rainy day,” added Secretary of the Office of Policy and Management Melissa McCaw. “We are well-positioned to weather this storm.”
Lamont’s $22.3 budget proposal keeps taxes essentially flat, while projecting a Budget Reserve Fund of $2.8 billion by the close of Fiscal Year 2020.
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