Gov. Dannel P. Malloy on Wednesday called for collaboration in righting the state’s fiscal ship “this year” in a predictable way that enhances stability and makes residents want to invest and stay in Connecticut.
Citing progress made in supporting the aerospace and other industry workforces and negotiating with state labor unions, Malloy indicated he plans to do more of the same in 2017. During his annual State of the State address, Malloy touted his administration’s successes in the deal with Sikorsky Aircraft to keep the company in the state, protecting 8,000 workers and ancillary industry employees.
The governor focused broadly in his speech on three points: making government smaller, more efficient and cost effective; working to make pensions and benefits for state workers more affordable; and isolating a funding formula for education that is fair. Town aid also needs to be more efficiently and fairly managed, he said.
He said labor unions should expect to make concessions regarding state pensions.
Malloy also called on legislators and citizens to partner with the state on improvements to the state budget and to help struggling towns but require them to be accountable to avoid bankruptcy — a veiled reference to Hartford.
“Real change needs to be made and it needs to be made this year,” Malloy said.
Referring to Sikorsky, Electric Boat and Pratt & Whitney, Malloy extended the idea of predictability to all residents, saying that knowing jobs are here to stay gives people the confidence to invest in the economy.
“That is what companies and their workers are looking for,” he said. “They deserve it and it is on us to provide it.”
Citing last year’s success in cutting the budget and reducing the state workforce, Malloy acknowledged the pain of adjustments like that but said similar paths will be necessary in 2017.
“We must continue to live within our means, spending only as much revenue as we have, and no more,” he said.
In response to the speech, Andrew Markowski, National Federation of Independent Business (NFIB) Connecticut state director, said small businesses should be encouraged by Malloy’s words.
“Expressly acknowledging that predictability and certainty are paramount for the business community, and hearing that making state government leaner and more efficient is a priority for 2017 is music to the small business community’s ears,” he said. “While it took some time to begin to enact some of the reforms that we have been seeking for years, Governor Malloy is continuing the conversation and encouraging a further reduction in state spending without increased revenues, and this is exactly the kind of long-term thinking that will empower our economy and provide certainty for small business owners.”
