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Malloy offered up $1.36 billion in new spending reductions and is seeking $700 million in annual state employee labor savings.
The group recommends public hearings on how to best use the money.
Following Gov. Dannel P. Malloy's budget reductions and the Legislature's deficit mitigation bill, Comptroller Kevin Lembo has projected a state budget deficit of $40 million for the 2013 fiscal year.