Connecticut

Groups try to influence legislature over fiscal guardrails

Published

1 year ago

December 11, 2024

Groups try to influence legislature over fiscal guardrails

A new report from the Connecticut Project Action Fund Wednesday suggests lawmakers look at relaxing some of the state’s fiscal guardrails.

Vice President of Advocacy and External Affairs Melvin Medina said the purpose of the report isn’t to make recommendations, but also notes it makes the case that the guardrails are now limiting the state’s ability to pay for certain needs.

“This is about improving, strengthening the fiscal rules, but striking a better balance,” Medina said.

The report comes four weeks ahead of the start of the next legislative session, when lawmakers will begin working on a new two-year budget.

The fiscal guardrails will likely be a focal point of that debate.

Other groups have also tried to get ahead of that debate by pushing to uphold those constraints and many lawmakers have voiced concerns about making changes.

“It’s the sole reason we have been able to prevent tax increases, it’s the sole reason we’ve put $4 billion in reserve,” Sen. Stephen Harding said.

The state has four guardrails:

A spending cap that limits growth based on inflation
A volatility cap that restricts spending of income taxes from Wall Street investors
A revenue cap that keeps lawmakers from spending 100% of expected revenues
A bond cap that limits borrowing

The Connecticut Project report suggests lawmakers could revisit the spending and volatility caps.

The report notes the volatility cap, in particular, has resulted in significant excess cash.

Revenues that are subject to the cap have exceeded it every year since 2018, often by more than $1 billion, but those funds can go toward the rainy day fund or debt.

Various groups have pointed to those funds in hopes of getting extra money for programming.

Medina said that’s something lawmakers could do, but also noted the state will need extra money for existing services.

Medicaid is on pace for a deficit exceeding $200 million, while lawmakers will consider increased funding for local school aid and other needs.

“That budget cliff is looming, and so our belief is you probably start where the gaps are,” Medina said.

Supporters of the guardrails say it’s those constraints that free up money in the long run. The Yankee Institute has been airing ads urging people to tell their lawmakers not to support changes.

“If we get rid of the guardrails, then we go back to the bad old days where every budget cycle, we had emergency tax increases, budgets that didn’t balance,” Yankee Institute President Carol Platt Liebau said.

Some Democrats have voiced support for revisiting the volatility cap, but that doesn’t mean the votes will be there to make a change.

Sen. Cathy Osten (D-Sprague), who co-chairs the legislature’s Appropriation’s Committee, said the state has increased spending for various needs. She also said paying down debt will help the state do more of that over time.

“I think that’s important to recognize that by doing what we’re doing, we’re opening up more funding opportunities,” Osten said.

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Connecticut

Connecticut doctor warns about ‘super flu’ as holiday gatherings approach

Published

59 minutes ago

December 19, 2025

Press Room

Connecticut doctor warns about ‘super flu’ as holiday gatherings approach

CONNECTICUT (WTNH) — Doctors are voicing concerns on the rising number of flu cases, including a new strain some are referring to as the “super flu,” as many are gathering indoors with loved ones for the holiday season.

With Christmas just a week away, Dr. Ulysses Wu, the chief epidemiologist at Hartford HealthCare, said there are growing concerns over the new H3N2 flu strain.

“We had a very late flu season this year, but we’re making up for it like gang busters,” Dr. Wu said. “What’s happening with this one is, this has changed a bit, making it a little bit more infectious. It invades our immune system a little bit more, and that’s why we’re seeing a rise in cases.”

The most notable jump in the U.S. has been happening in New York City, with 14,000 cases reported in the first week of December. That is a 460% jump from the same time last year, according to the state flu tracker.

Dr. Wu warned that, because of its location, Connecticut is at risk to see a jump in flu cases.

“Remember, we’re sandwiched between New York and Boston, and we do have our share of travelers and commuters as well,” Dr. Wu said. “Our rates have certainly increased and that’s to be expected.”

Dr. Wu recommended that it is best to listen to medical professionals when it comes to the flu vaccine and the new H3N2 strain.

“So people are saying, ‘Oh well it’s changed, the vaccine isn’t going to work.’ It is still going to work,” Dr. Wu explained. “The whole point is to modulate the course of the disease so it’s not as severe.

Dr. Wu said that respiratory syncytial virus (RSV) cases are also up among children and older adults in Connecticut. When it comes to holiday celebrations, Dr. Wu recommends using common sense — wash your hands, stay home if you are sick and get vaccinated if you haven’t been already.

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Connecticut

Lamont Seeks $168M From Emergency Reserve To Offset Federal Cuts To Health, Housing And Food Aid

Published

13 hours ago

December 18, 2025

Press Room

Lamont Seeks 8M From Emergency Reserve To Offset Federal Cuts To Health, Housing And Food Aid

CONNECTICUT — Gov. Ned Lamont has submitted a plan to Connecticut legislative leaders to withdraw nearly $168 million from a newly created Emergency State Response Reserve to offset recent federal funding delays and reductions affecting health and human services programs.

The proposal, totaling $167.9 million, marks the first time Lamont has sought to access the reserve, which was established in November under Special Act 25-1. The fund contains $500 million in state surplus dollars and was created in anticipation of potential federal funding reductions.

According to the administration, the proposed expenditures would help reduce health insurance costs for more than 150,000 residents, provide food assistance to more than 35,000 people and help keep approximately 3,500 individuals housed.

The plan includes funding to bolster food banks and pantries affected by changes to the Supplemental Nutrition Assistance Program, replace expiring enhanced health insurance subsidies linked to the Affordable Care Act, and provide interim support for homelessness prevention programs facing federal grant delays. It also would cover lost federal reimbursements for services provided by Planned Parenthood of Southern New England and expand capacity at the state’s 2-1-1 information and referral system.

“We should be supporting programs that increase access to food, healthcare, and homelessness prevention and response,” Lamont said in a statement. “Here in Connecticut we will stand behind them and do what we can to ensure that this most basic assistance remains available.”

Office of Policy and Management Interim Secretary Joshua Wojcik said the funding would help close gaps created by federal actions while supporting vulnerable residents.

“This is a responsible use of taxpayer resources to support our most vulnerable residents,” Wojcik said, adding that the administration continues to assess additional needs.

Under the proposal, $24.6 million would go to community food banks and pantries through June 2027, while $64.1 million would replace expiring enhanced premium tax credits for residents enrolled in Covered Connecticut. Another $50.8 million would address the loss of enhanced federal health insurance subsidies for certain income groups.

Additional allocations include $6.9 million for expiring homelessness grants and supportive housing vouchers, $10.4 million to replace lost federal funding for Planned Parenthood services and Title X programs, $4.7 million to expand 2-1-1 call center capacity and community outreach, and $1.5 million for administrative costs at the Department of Social Services.

As required by law, bipartisan legislative leaders have 24 hours after receiving the plan to review it and, if they choose, disapprove the proposed expenditures before funds are transferred.

If approved, $332 million would remain in the Emergency State Response Reserve. The governor is authorized to make withdrawals from the fund through Feb. 4, 2026, the opening day of the next regular legislative session.

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