Connecticut Governor Ned Lamont presented his first, two-year budget plan to state lawmakers in Hartford on Wednesday.
Lamont said his aim is to make the changes needed to close a projected $3.7 billion budget deficit over the next two years. He said an urgent priority is stabilizing the state’s underfunded teacher pension fund.
“Our annual contribution to the teacher’s retirement fund could end up being higher than the amount the state spends on education across the state.”
He said he’s working with the state treasurer and teacher unions to restructure payments.
“This would reduce our annual payment, reduce our financial risk and give the teachers the confidence that their pension will be there when they need it.”
Lamont said he won’t reopen state employee union contracts, which are set until 2027. But he is calling for changes to healthcare benefits.
“Let me be clear, we are not taking away anybody’s healthcare. A deal is a deal. But our healthcare costs are growing much faster than our economy, meaning we’ve got to do a much better job at controlling costs if we are going to invest in our future.”
Lamont plans to shop around for cheaper providers and give state workers incentives to select more cost-effective health services.
On the revenue side, Lamont wants more online transactions and sugary beverages to be taxed. He also proposed legalizing recreational marijuana for its tax benefits and expanding his initial highway toll proposal to include all vehicles.
The governor received the loudest cheer from Democrats when he proposed a $15-an-hour minimum wage, and family and medical leave.
Republicans meanwhile voiced concern with the large number of tax changes. In response to the proposal to tax sugary drinks, some Republicans pulled out Big Gulp cups on their desks during the budget address. They also criticized his proposal for highway tolls. But they cheered the proposed elimination of the business entity tax.
Republican Senate Minority Leader Len Fasano said he knows that he's in the minority and that Democrats don't need him in the room.
"They don't need me. Let's be clear. They got the numbers, they want to ram through a budget, they don't need me. If they think – the Democrats and Governor Lamont think – they have the answers, they ram it through and we're done."
Democratic House Majority Leader Matt RItter said it’s up to Republicans now to offer alternatives to the governor’s budget.
