In a news conference where he didn’t mince words, Gov. Dannel P. Malloy criticized legislative leaders on both sides of the aisle for not coming up with realistic alternatives to budget cuts he has made.
“I’m calling their bluff. I’m expecting them to put something on the table,” he said calling for bipartisan meetings on the state budget, with the aim of addressing the short-term budget shortfall while also improving Connecticut’s long-term budget outlook and economic competitiveness.
Senate Minority Leader Len Fasano (R-North Haven) and House Republican Leader Themis Klarides (R-Derby) issued a statement in response to the governor’s call. “As Republicans have constantly shown over the past year, we stand ready and willing to work collaboratively with lawmakers on both sides of the aisle to do what is best for the people of Connecticut. But lawmakers should not be forced to negotiate in the margins of a budget that is entirely void of sound fiscal policies.”
The budget talks could lead to a special session on the budget later this year, Malloy said.
Today’s announcement was prompted by new revenue projections from the Office of Policy and Management – sent to Comptroller Kevin Lembo today – identifying an approximately $120 million revenue shortfall, which amounts to roughly half of one percent of the overall budget.
Malloy said during the news conference that employee contract negotiations will be part of the discussion. “We are in negotiations with every contract save one. I can’t negotiate employee contracts through you but they will be tough negotiations. Everyone has to be at the table, including labor.”
He added, “With Wall Street on a significant, unpredicted downturn, further tough decisions need to be made. There have been significant reductions compared to projections.”
Next week the governor said he will lay out his principles for balancing the budget. “We’ve heard the calls and seen the press releases,” Malloy said. “Now, we’ll have an opportunity for all of us to talk about specific, concrete ideas to move Connecticut forward. We must use the economic reality of the moment to have a real discussion – not just in the Capitol, but across Connecticut – about how we balance our budget this year, while continuing to build and grow for the long-term. It’s time for all of us to make tough decisions – and make them together.”
In response to reporters’ questions, Malloy said everything will be on the table but transportation spending. As a capital item, he said, it is outside the bounds of the day-to-day spending that needs to be reduced. “As a state, we must remain focused on the long run. We can’t be driven by every immediate interest group that employs a lobbyist.”