Connecticut muddy budget accounting qualifies it as a “sinkhole state,” ranking it with New Jersey, Illinois, Hawaii and Kentucky as the first worst in the nation, an advocacy group says.
The self-described nonpartisan Institute for Truth in Accounting in Chicago says, based on its research, that Connecticut has $29.4 billion worth of assets, but only $10.1 billion are available to pay $63.4 billion of bills as they come due.
IFTA says its research also indicates each taxpayer’s financial burden is $41,200.
Conversely Wyoming, North Dakota, Nebraska, Utah and South Dakota are considered “Sunshine States” because a per taxpayer’s surplus or minimal per taxpayer’s burden exists in these states.
“State officials say their budgets are balanced but do not include employee pension and healthcare obligations in their calculations,” institute founder and CEO Sheila Weinberg said in a statement Thursday. “Unlike the federal government, states can’t ‘print money’ to cover costs and shore up their financial conditions.”
