McGorty & Republicans Propose Budget: Fixes Deficit, Creates Stability

State Representative Ben McGorty (R-122) joined Republican lawmakers in the Connecticut General Assembly today as they unveiled a revised 2017 budget that closes the state’s projected $935.7 million deficit, restores funding to core social services, protects local town education funding, and implements long-term structural changes to the state budget. The Pathway to Sustainability proposal includes savings that roll out over the next five years, mitigating future projected budget shortfalls.

“In this package we recognize that budget cuts are simply not enough, and that the structural changes we have long been calling for are critical to turning this state’s economy around, and providing level and fertile ground for our fiscal fortunes to be reversed,” said Rep. McGorty.  “Neither the draconian cuts of the governor, nor the inadequate half-measures offered by legislative Democrats up to now will not do.  It’s time to take serious action.”

The Office of Fiscal Analysis estimates that if the current budget practices continue, the state will rack up huge deficits over the next 5 years ranging from nearly $1 billion to over $3 billion annually.

This plan includes a line by line budget to mitigate the fiscal year 2017 deficit, as well as long term structural changes. Together, these policy changes roll out into future years to mitigate ballooning deficits on the horizon. Following 2017, this budget proposal is projected to produce annual surpluses, with a cumulative total of over $1 billion.

The proposed Republican budget would restore funding to core social services Democrats have proposed cutting this year, while also making needed cuts and implementing new policies that generate long-term savings. This includes the following:

• Protects funding for social services. In order to preserve the safety net of services for the disabled, those with mental health needs, children, the elderly and those in poverty, this proposal eliminates new proposed budget cuts to direct services.

• Restoration of support for hospitals and Medicaid reimbursements.

• Restores education funding for towns and increases statutory grants to municipalities. Also preserves funding at 100% for car tax capping and implements a robust municipal mandate relief package. Maintains funding throughout the next 5 years.

• Administrative reductions. To enable the state to protect funding for core services, this budget cuts specific, non-service accounts by 12% for a total savings of $157.5 million.

• Legislative givebacks including legislative salary reductions and elimination of unsolicited mail.

• Modifications to debt service and a cap on state bonding.

• Funds transportation development with “Prioritize Progress” – a no tolls/ no tax increases plan.

• Implements long-term structural changes to the state budget including mandatory voting by the legislature on labor contracts, overtime accountability protocols, as well as caps on spending and bonding, and many more, detailed in the attached document.

• Prices out savings from changes to unionized state employee health and pension benefits, to offer an alternative to layoffs should unions come to the negotiation table.

For more details about the Republican Pathway to Sustainability Plan, visit www.cthousegop.com/goppath.