Connecticut Gov. Dannel P. Malloy’s proposal to close a massive deficit by cutting spending and raising taxes across the board is winning muted praise from one business group and criticism from another, The Associated Press reports.
On Wednesday, Malloy unveiled a $17.94 billion budget for 2012 that seeks to close a $3.2 billion deficit.
John Rathgeber, president of the Connecticut Business & Industry Association, praised Malloy for outlining ways to win concessions from state workers. But he said his group wants more spending cuts and fewer tax increases.
The National Federation of Independent Business urged lawmakers to reject proposed tax increases. Lobbyist Andrew Markowski said Connecticut would become less friendly to business.
A top labor representative rapped the governor’s relatively small tax increase for residents who make more than $500,000 a year.
