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State Cuts Budget by $170 Million to Battle Deficit

Social services, education see the biggest cuts.

 

Gov. Dannel P. Malloy is cutting $170 million from the state budget – the maximum amount allowed without requiring legislative approval – in order to combat the state’s $365 million projected deficit in the current fiscal year.

The Office of Policy and Management released a nine-page list of the cuts. Some of the biggest items from the list include:

  • $33 million reduction in fringe benefits for employees, mostly from the “state employees health services” line item
  • $21 million from the Department of Developmental Services
  • $7.8 million from the Department of Mental Health and Addiction Services
  • $32.2 million from the Department of Social Services
  • $14.4 million from state colleges, split between community colleges and state universities
  • $18.3 million from the Department of Children and Families 

Exactly how the cuts will impact the departments remains to be seen. 

“There is no one reason for the projected shortfall,” said OPM Secretary Ben Barnes in a written statement. “The sluggish national economy is part of the equation.  Revenue hasn’t recovered as it has in the past when Connecticut was working to climb out of a recession. The demand for services, particularly Medicaid, remains higher than expected. But we have faced larger challenges than this, and done so responsibly. Nothing on that front has changed.” 

The full list of cuts are attached to this article.

Bart Shuldman November 28, 2012 at 10:22 PM
The Governor is blaming the sluggish economy--really?? Other states have seen the jobless rate decline. The national unemplyoment number is down, yet Connecticut jobless numbers are growing. The Governor raised taxes on everyone, including the middle class and cannot admit it is his fault CT is in so much trouble. The Governor now cust $170 MILLION from program and still has a budget deficit of almost $200 MILLIION. This Governor is ruining CT and it is happening quickly.
Jean Marie Wiesen November 29, 2012 at 06:27 PM
He ruined Stamford, what did you anticipate happening. He's in the lowest tier of popular Governors in the country...that would be the bottom 5, right in there w/ Gov Jerry Brown. Kinda makes you proud, doesn't it. I didn't vote for either fool, so I'm looking forward to Malloy's term expiring, quickly. Go home, Dan!! He wants a pot farm in...wait for it...Bridgeport! What a guy :)
Bart Shuldman November 30, 2012 at 02:28 PM
This Governor guranteed no layoffs to state worlkers for 4 years, now finds his stte in real fiscal trouble. The deficit could baloon to $1 BILLION. No kidding. And the states pension long term obligations based on a 4.5% discount that most beleive is right--is also balooning to $60 BILIION. No layoffs, yet huge deficits and liabilities. He promsoied all this to get elected, then raised taxes on everyone including the middle class and the state is sinking. What happens if the economy slows down? Remember, our problems are happening when the economy has stabilized. Unemployment is improving around the nation. GDP is getting better. And we are doing worse. What happens if the fiscal cliff slows the economy down? How bad could CT really get? Time for Malloy to go.

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