Too Little Attention Paid to State Budget Crisis

What the heck are you guys doing up there? 

It’s a question I’m hearing with increasing frequency from friends, neighbors and constituents who keep close watch on the state legislature—and with good reason.  

With a projected deficit of roughly $3 billion over the next two fiscal years, there’s no doubt Connecticut faces significant financial hurdles. So it’s no wonder folks statewide are frustrated when they see their legislature disproportionately focused on bills unrelated to the much-needed effort to get our state’s finances on track and our economy firing. 

Among the ideas under discussion is a proposal to build a multi-million-dollar nursery for mothers who give birth in prison, and another focused on the disposal of old mattresses. There’s been debate about whether to force school districts to teach the history of labor unions, and renewed talk about giving people who don’t have pensions access to the state system.  

With state unemployment figures above the national average, should Connecticut legislators spend time determining whether to tax “sugary drinks,” or would an effort to reduce funding for bloated and failing programs be more appropriate? Is now the right time to focus on whether soft serve ice cream vendors get their permits fast enough, or even deciding whether the state should regulate the latest massage craze? 

I’ll tell you what the majority of private sector employers would say: “Get the state’s fiscal house in order.” In the eyes of business owners, stability breeds certainty—and people who create jobs need us to send a message built of bedrock.   Would you go out on a limb and expand your business if you feared state government was a whisker away from imposing a state-budget-balancing fee or tax on you?  

As an example, consider what’s happening right now. Businesses all over this state have likely budgeted for the once-promised expiration of the electric generation tax. Now, it’s possible that tax will remain in place.   Making a promise to job creators and then taking it back does little to give business owners confidence that the legislature is serious about the “open for business” tag line that too many majority party legislators use when describing Connecticut.   Consider a recent survey from Chief Executive Magazine, which ranked Connecticut the fifth-worst state in the nation in which to conduct business. Among the comments: 

“Lower taxes and realistic regulations that don’t send businesses elsewhere. Connecticut is at the bottom of the list.”