🔒Budget inaction bigger threat than Fla. Gov’s overtures

Florida Gov. Rick Scott's visit to Connecticut last week was as much a political stunt as it was an attempt to recruit companies to move to the Sunshine State.

Indeed, serious negotiations between companies and states often happen behind closed doors because neither side wants a failed negotiation to be made public.

But Scott's charade was still meaningful because it once again underscored Connecticut's economic weaknesses, and put on public display our political leaders' inability to tackle our fiscal crisis.

In mentioning Florida's efforts to cut taxes and regulations in recent years, Scott took a major dig at Gov. Dannel P. Malloy's administration, saying the Democrat “has been trying, and failing, to tackle a budget deficit with an overwhelming collection of increased taxes and fees.”

The result, Scott said, is that Connecticut's job growth rate “continues to lag far behind Florida and the nation,” a fact that can't be denied.

The sharp words weren't just empty rhetoric, which is why it's paramount that Democrat and Republican leaders move quickly to hash out a two-year budget plan that holds the line on tax rates, yields significant state employee concessions and prevents Hartford from careening into bankruptcy.

The longer it takes the General Assembly to adopt a budget — it's already weeks overdue — the more uncertainty it creates for businesses and individuals, as well as cities and towns. It also reflects the state legislature's ineptitude in handling a complex fiscal crisis being spurred by ballooning unfunded liabilities and lackluster economic growth.

Malloy, who's never one to back down from a political fight, responded by saying the trip indicated Scott was envious of Connecticut's high quality of life, skilled and knowledgeable workforce, and diverse employer base.

While we agree those are all attributes that make Connecticut a desirable place to do business, they are constantly being overshadowed by the threat of fiscal armageddon coming out of the State Capitol. Malloy's best response to Scott's Connecticut visit would be to promptly lead the state legislature to a balanced budget that avoids tax hikes.

We aren't saying the state should rush into a bad budget deal, but a sense of urgency is critical so we can create a predictable and stable fiscal environment for employers.

We need action that speaks much louder than words.

101-111 Pearl St. conversion good for Hartford

Downtown Hartford has seen a wave of new apartments in recent years that have begun to slowly move the dial in making the Capital City a more lively place to live, work and play.

But one of the biggest and most important developments may finally be getting off the ground. Last week, Hartford Business Journal news editor Gregory Seay reported that two of downtown Hartford's last vacant office buildings — 101 and 111 Pearl St. — finally have a new owner that plans to spend $50 million to convert both structures into 258 apartments.

The buyer, New York City developer Girona Ventures, said it's finalizing its financing and plans to get underway by mid-July remediating the buildings' interior-exterior of any hazardous material. After a few months of remediation work, renovations will start to create 154 units at 111 Pearl and 101 units at 101 Pearl. Occupancy likely would take place in 2018, at the earliest.

This project is a pricey one for taxpayers — the Capital Region Development Authority (CRDA) has committed $15.2 million in low-interest loans to 101-111 Pearl in addition to the state's $4 million in brownfield remediation funds — but the prospects of bringing back to life these long-dormant buildings at a key corner of downtown, at the intersection of Trumbull and Pearl streets, is worth the investment.

Kudos to CRDA and Girona Ventures, which also converted the former Sonesta Hotel downtown into apartments, for being able to craft such a complex deal.