Rell to set special session on budget deficit plan

Gov. M. Jodi Rell plans to call the General Assembly into session on Nov. 24 to vote on her proposal to address Connecticut’s projected $302 million deficit.

Rell says much of the red ink would be covered by $157 million in federal funds the state expects to receive to settle a Medicaid rate dispute.

The governor also expects to save $40 million by instituting a 56-day tax amnesty program in May and June 2009. That would give taxpayers a chance to pay their late state taxes without penalties, and with a 25 percent reduction in interest fees.

Among Rell’s other proposals: delaying the purchase of new state vehicles, postponing a study for an arena in Hartford and reducing the use of outside consultants.

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She said she tried to avoid new taxes, using rainy-day fund money or laying off employees.

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