Senate President Urges Action on Budget Mitigation Plan

House vote should be followed by immediate Leadership meeting with Governor Rell

Senate President Donald E. Williams, Jr. (D-Brooklyn) is urging the House to vote on the FY 10 deficit mitigation plan passed by the Senate early Saturday morning that fully balances the deficit without raising taxes on the middle class and without cutting municipal aid.

The mitigation plan contains nearly $185 million in spending cuts and fund reductions. It also increases the state receipt of federal funds through a hospital fee (similar to Gov. Rell’s proposal), and delays the cut in the estate tax for multi-million dollar estates. Not only does the plan balance the current year’s deficit, it also reduces the deficit in the next fiscal year by more than $70 million.

“Time is running out to balance this year’s budget and the plan approved by the Senate over the weekend is the best solution on the table,” said Senator Williams. “We eliminate the deficit by cutting state spending, increasing receipt of federal funds, and delaying a tax cut for the state’s wealthiest estates. It is time for the House to pass this bill. I am also calling for a bipartisan budget meeting with all leaders as soon as the governor returns to Connecticut.”

Spending cuts and consolidations included in the plan approved by the Senate:

• Elimination of longevity payments for non-union state employees ($14 million)
• Addition of 2 furlough days for non-union state employees ($2.4 million)
• Consolidation of economic development agencies

Key parts of Gov. Rell’s plan not accepted by the Democrats:

• $45 million in unspecified cuts to municipal aid
• $56 million in cuts to health care for poor families, including the reduction of Medicaid provider rates, non-emergency dental services for adults in SAGA and Medicaid, and restriction of vision services
• $2.5 million cut to Biomedical Research Trust Fund
• $6 million cut to Citizens Election Fund
• $5 million cut to the Stem Cell Fund