.

Your Take: Can Connecticut Get Its $192 Million Deficit Under Control?

Various measures were taken in the past couple years to close Connecticut’s deficit, but that problem keeps resurfacing.

Connecticut’s deficit is growing faster than expected.

Comptroller Kevin Lembo projects a $192 million deficit for the fiscal year of 2012, which ended on June 30. Previous projections in April had the deficit at only $142 million.

“The economy is the largest single influence on the state budget – dwarfing any other budget drivers,” Lembo said in a statement. “Wall Street’s erratic equity markets and challenges in the financial sector – which had the largest private-sector job loss in the state – is the driving force behind this deficit.”

State income tax levels are as predicted, with a 18.3 percent increase from the 2011 fiscal year. However, taxes from capital gains and bonuses grew only 5.9 percent.

Another problem is that state spending missed its mark by running $22.5 million higher than expected. The deficit will likely be closed using reserve money, said Lembo.

What's your take? Will Connecticut ever get a balanced budget? How?

Mukund Nori July 07, 2012 at 03:45 PM
The problem with the economy, like so many other aspects of our lives in the US, is that we are not willing to take responsibility for our actions - it is always someone else's fault. Mr. Lembo attributes the deficit to the vagaries of Wall Street. While the unregulated actios on Wall Street may have contributed to some extent, there are other causes as well. The very wealthy have not paid their fair share; the government has not curbed spending and worse has not spent the money well. Local governments have added to the problems by signing bloated contracts with unions. While I believe in unions as a means to fair pay and benefits, I do not see them offering quality anymore. Instead, they have become greedy just like the corporations they were organized to oppose. Until we as a society are willing to correct our course, we will continue this blame game and politicize everything. I hope our youth will do better than we have - they cannot do much worse.

Boards

More »
Got a question? Something on your mind? Talk to your community, directly.
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors.What's on your mind?What's on your mind?Make an announcement, speak your mind, or sell somethingPost something