House Republicans Unveil Biennial Budget Proposal

HARTFORD— State Representative Kathy Kennedy (R-119) joined fellow House Republicans on Tuesday and released a balanced budget proposal that provides more than $1 billion in broad-based tax relief to Connecticut residents while also making historic investments in education and providing more funding for nonprofit providers.

“As an advocate for our families, students, and local non-profits, I am excited to join my colleagues in unveiling a budget that provides significant income tax relief, a long-term investment in our public schools, and that doubles the funding for our non-profits, as compared to other proposals,” said Kennedy. “Our budget is the solution to wrongful spending, eliminating high taxes, and counteracting the recent effects of inflation.”

The Republican budget meets the challenge of funding core government services, and in several cases spends more in key areas than Democrats. That includes a $290 million investment in local education funding that provides fully funded special education grants (more than $50 million) for the first time. The budget matches Democrat-level funding for colleges and universities but also installs new reporting requirements for both the UConn and CSCU systems. The plan also provides a 2.5 percent increase for nonprofit service providers.

Summary of Republican Budget & Policy Points 

(Download full documentation at taxreliefbudget.com)

Tax Relief for Connecticut Residents ($200 million more than Governor or legislative Democrats) 

• Adopt but enhance Governor’s income tax cut proposal by using one-time $300 million of FY23 surplus to make it retroactive to January 2023. Removes benefit from top 1 percent earners
• Create first-ever state child tax deduction for everyone, $2,000 deduction per child
• Help job creators by restoring pass-through entity tax credit to 93.01 percent
• Eliminate Highway Use Tax on trucks
• Establish phase-out threshold for state tax on retirement income
• Eliminates sales tax on children’s clothing under $100

Supporting Students, Parents, Educators 

• Invests $290 million in education, including $214 million to implement components of H.B. 5003, $20 million to hold harmless towns that would have seen an ECS decrease; fully funds special education grants ($50 million); funds Danbury charter school ($4 million)
• Expands support for Care4Kids program ($60 million)
• Increases minority teacher scholarship funding by $1 million
• Meets Democrats’ funding level on higher education, but requires oversight
• Increase parent representation on State BOE and Parent Cabinet

General Government 

• Increases funding for nonprofit social service providers by 2.5 percent ($100 million)
• Fully funds effort to eliminate DSS waitlist
• Save $200 million by reducing number of budgeted but unfilled positions across state government
• Increases investment in gun violence prevention programs
• Increases current services funding for rail and bus
• Eliminates proposed messaging program for inmates, saves taxpayers $3.5 million
• Enhanced 2-1-1 crisis services for housing and homelessness ($2.4 million)
• Reinstate Transportation Strategy Board to review investments and recommend savings
• Increases pay for assigned counsel in public defender cases ($23 million)
• Expands GPS monitoring for domestic violence offenders ($6 million)
• Increases funding to Women’s Business Development Council to almost $1 million
• Invests in firefighter training, creates $1 million support fund for families of fallen officers
• Doubles what Democrats provided for senior meals funding to $3 million

Greater detail at: taxreliefbudget.com