© 2025 WSHU
NPR News & Classical Music
Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations

Malloy Signs Budget, But Nixes Portions Affecting Hospital Tax

Jessica Hill
/
AP
Connecticut Governor Dannel Malloy

On Tuesday Connecticut Governor Dannel Malloy signed a bipartisan state budget agreement into law.

“Connecticut families and businesses want to have a budget in place. They deserve to have a budget in place, and now they do. While there are certainly many provisions in this budget I find problematic, there’s also a clear recognition of the fiscal priorities and concerns I have consistently articulated since January.”

Malloy did use his limited line-item veto power to scrap portions of the legislation related to a tax on Connecticut's hospitals that he calls problematic.

The Democratic governor has said he believes the language concerning the hospital tax puts about $1 billion in federal funding at risk. The revenue is tied to the tax as part of a complicated reimbursement formula.

Democratic and Republican lawmakers passed the two-year $41.3 billion bipartisan plan last week with enough support to override a veto, if that became necessary. The agreement had been crafted by legislative leaders, without Malloy in the room.

Malloy says he has other problems with the bill and is urging lawmakers to make fixes.

As WSHU Public Radio’s award-winning senior political reporter, Ebong Udoma draws on his extensive tenure to delve deep into state politics during a major election year.
Related Content