Connecticut's Tiny Budget Deficit: A Deep Dive

0:00State controller Sean Scanlon dropped a warning this week, Governor Ned Lamont's Connecticut budget is on track for its first tiny deficit, just six. Million dollars short, and a 27.2 billion dollar general fund. That's like one-fortieth of one percent, barely a blip. He says that advantage under old rules that kept certain tax receipts out of the main budget. The shortfall stems from federal corporate tax breaks extended last year, costing the state $352 million in expected revenue since. Connecticut ties its taxes to the federal code, add in underfunding for Medicaid, now overspending by 85 million this year after bigger gaps before, and retiree health benefits short by. About 90 million, despite warnings. Lamont's team brushes it off, stressing robust finances with consistent surpluses and investments in schools and safety. Controller Scanlon calls out ignored legal obligations, while Republicans blast Democrats for dodging honest budgeting and playing funny math instead. Of trimming waste,

1:02Connecticut sits on a record 4.3 billion rainy day fund, plus 1.8 billion in savings that could wipe out this gap a thousand. Time's over. Still, health costs are climbing nationwide, and both sides point fingers. Demstay caps are too tight, GLP pushes cuts to employ raises and Medicaid for non-citizens. As the fiscal year wraps June 30th, lawmakers gear up for next year's budget battle by early May, balancing reserves against rising demands to keep the state on track. That's the story for today. Hartford News Today, driven by AI.