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Connecticut surging revenues could solve Democrats’ tax-cutting dilemma

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Connecticut surging revenues could solve Democrats’ tax-cutting dilemma


The newest surge in state revenues has left the Normal Meeting and Gov. Ned Lamont poised to interrupt gridlock over the subsequent state finances, probably over this weekend.

That income increase, which propelled the present finances surplus from $2.7 billion to just about $4 billion, additionally leaves lawmakers the choice of beginning a brand new revenue tax credit score for households with kids prior to initially deliberate.

Lamont instructed legislative leaders that Connecticut now has significantly extra room than it had just some days in the past to supply tax aid beginning with the brand new fiscal 12 months, which begins July 1, Home Speaker Matt Ritter, D-Hartford, stated.

“It’s going to present us extra flexibility,” the speaker added. “We’ll be capable to share extra of this windfall with taxpayers.”

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Lamont and lawmakers additionally should resolve negotiations on spending for the subsequent fiscal 12 months, and sources stated the 2 sides nonetheless are working to resolve differing proposals tied to social companies and early childhood growth.

The governor has stated this week he’s open to discussing all tax-relief concepts offered they’re sustainable over the lengthy haul and conform with the sound fiscal rules which have helped Connecticut in recent times to finish a string of deficits and amass a $3.1 billion finances reserve.

For months, Lamont has been warning that federal guidelines cap the overall state tax discount within the subsequent finances roughly between $180 million and $200 million due to the $3 billion in coronavirus aid support that the state obtained.

However these federal limits are calculated, partially, based mostly on the quantity of state tax revenues Connecticut collects this fiscal 12 months. And Wednesday Lamont upped his projections for Normal Fund tax receipts from $18.7 billion to $19.9 billion.

Correspondingly, the Democratic governor instructed legislative leaders Thursday that he now believes Connecticut might provide $400 million in state tax cuts within the new finances — double his earlier estimate — and nonetheless stay in compliance with federal guidelines.

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That’s enormous as a result of it will permit room for the favourite tax-cutting proposals of Lamont in addition to these of the legislature’s Democratic majority.

State Rep. Sean Scanlon, D-Guilford, co-chairman of the Finance Committee, has fought a two-year battle to create a brand new $600-per-child credit score towards state revenue taxes for low- and middle-income households.

“The kid tax credit score stays the highest precedence of our caucus,” he stated Friday.

Lamont has questioned whether or not Connecticut can afford it now, and Scanlon lately scaled it again to  $300 per youngster, provided to section it in regularly and even agreed to delay its begin till 2024 — however either side remained gridlocked.

Ritter tried to jump-start the method Wednesday by hinting the legislature may vote on a finances invoice that lacked Lamont’s endorsement if a deal wasn’t reached quickly — and that this seemingly would come with a baby tax credit score that started in 2024 or 2025.

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“Frankly, we would get to some extent the place now we have to go divergent paths,” Ritter stated.

None of that could be crucial now, given the revised $400 million restrict on whole tax cuts.

The $300-per-child credit score carries an annual price ticket of about $150 million.

Legislators might embody that proposal within the new finances and nonetheless have room below the federal tax-cutting cap for Lamont’s high precedence, which entails increasing the revenue tax credit score that offsets property tax prices for middle-income households.

The governor desires to bolster that credit score from $200 to $300 and in addition to revive the flexibility of households with out kids or seniors to assert that aid — an choice they misplaced in 2017. This aid could be price about $123 million.

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Legislative leaders even have pledged to extend the state revenue tax credit score for Connecticut’s working poor from 30% to 41.5% of the federal EITC. This might ship about $42 million to greater than 180,000 households that typically earn lower than $58,000 per 12 months.

Lamont and Democratic legislators are also speaking about reducing the prevailing 45-mill cap on municipal property taxes levied on non-commercial autos. [A mill raises $1 for every $1,000 of assessed property.]

Lamont has proposed a cap of 29 mills, which might save taxpayers about $163 million, whereas Democratic legislators have countered with 32.46 mills and a financial savings of $100 million.

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Each proposals embody the state reimbursing municipalities for the income they’d lose if the cap had been lowered. Neither plan poses any downside so far as federal guidelines are involved, since that could be a restrict on state tax cuts and the automotive levy is a municipal tax.

The expanded tax aid choices introduced on by the newest income surge additionally would assist Lamont and Democratic legislators counter stress positioned on them Thursday by Home and Senate Republican leaders, who unveiled a $1.2 billion tax aid proposal.

The GOP, which proposed the primary state revenue tax fee reduce since 1995, desires Connecticut to exceed the federal limits and be a part of 18 Republican-led states in difficult the constitutionality of these restrictions in federal court docket.

The Republican tax-cutting plan additionally would prolong a spring gasoline tax vacation, briefly decrease gross sales tax charges and spare companies from $225 million in unemployment belief assessments.



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Connecticut

Urgent Care Facility Among Businesses Recently Registered In Westport

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Urgent Care Facility Among Businesses Recently Registered In Westport


WESTPORT, CT — An urgent care facility, a photography studio and a camper manufacturer are among the new businesses recently registering with the State of Connecticut to hang out a shingle in Westport.

Here is a list of businesses that were formed in Westport from May 24 through June 27, 2024. The data is from the Connecticut Business Registry, maintained by the Secretary of the State, Business Services Division.



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Defense keys victory as Connecticut wins second straight on the road – The Collinsville Press

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Defense keys victory as Connecticut wins second straight on the road – The Collinsville Press


Connecticut’s DiJonai Carrington (21) drives past Naphessa Collier in Thursday night’s WNBA game in Minneapolis. (David Sherman photo/NBAE via Getty Images)

Winning on the road in the WNBA isn’t easy but the Connecticut Sun have picked up a pair of road victories this week with a victory on Monday night against Phoenix and a win on Thursday night against the Minnesota Lynx.

The Sun, who had lost three of their previous four games, beat Phoenix, 83-72 with Brionna Jones scoring 18 points and pulling down seven rebounds. DiJonai Carrnington added 16 points and pulled down eight rebounds with U.S. Olympian Alyssa Thomas scoring 10 points, getting 12 rebounds and dishing out six assists.

On Thursday, the Sun erased a 10-point deficit in the third quarter to beat the suddenly slumping Lynx, 78-74. Minnesota went 9-2 in June and beat New York for the Commissioner’s Cup. But the Lynx, who saw former UConn star Naphessa Collier leave the game with a foot injury with 2:33 left in the third quarter, have lost three of their last four games.

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Thomas had her tenth regular season triple double of her career with 13 points, 10 rebounds and a tying a season-high with 14 assists. She scored 11 of her 13 points in the third quarter and played all 40 minutes – as she usually does in tight matchup.

DeWanna Bonner led the Sun (16-4) with 24 points, tying a season-high for the veteran, on 10-of-16 shooting from the field. She pulled down nine rebounds. DiJonai Carrington had 17 points, six rebounds and two steals. Veronica Burton had nine points and a career-high four steals in her first start for Connecticut with Ty Harris out with an illness.

“It’s just a tough gutsy win, you know, on the road without Ty,” Sun coach Stephanie White said. “Minnesota is a terrific team. And to get any win, certainly in this league, especially on the road is good for us. But the way that we collectively got it done (was impressive). We played well together, had each other’s back on both ends of the floor. It’s a big win for us.”

Minnesota (14-6) had a balanced scoring attack in the effort with Alanna Smith leading the team with 14 points. Kayla McBride added 13 points and eight rebounds, while Bridget Carlton and Courtney Williams each added 12 points on the night. Collier had nine points when she left the game in the third quarter.

“Minnesota has been playing incredibly well in the month of June,” White said. “They’re really hard to guard because of how they move the ball and move without the ball they got five players in constant motion. They shoot the ball incredibly well they make the extra pass so we had to be really locked in and focused for 40 minutes defensively and I was proud of how our team was able to do that.”

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Connecticut scored 10 of the first 12 points of the game and had a 20-17 lead after one quarter with Bonner contributing 11 points with Thomas getting five assists. The Sun led 40-36 at halftime with Bonner leading the way with 15 points and Thomas finishing with nine assists.

A quick start in the third quarter gave Minnesota a 10-point lead at 48-38 with 8:09 left in the quarter. But the Sun ripped off a quick 10 points to tie the game. Connecticut finished the quarter with a six-point lead, 64-58.

“We came out flat in the third quarter and that’s not our identity,” Thomas said. “We started being aggressive and turning them over (forcing turnovers). And when we’re able to turn them over, it got us out in transition and it got us easy looks and brought us back in the game.”

Connecticut built a 10-point lead in the fourth quarter with a 74-64 lead with 2:51 before the Lynx responded. Six unanswered points cut the Connecticut lead to four, 74-70 with 49 seconds left in the game. Carrington hit two free throws but McBridge hit a hit three-point shot for the Lynx with 8.2 seconds remaining to cut the lead to three, 76-73.

Carrington responded with a quick layup with 6.5 seconds left and McBride’s last-second jumper was off the mark.

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Earlier this week, Bonner and Jones were named to Team WNBA to play the U.S. Olympic national team in the league’s All-Star game in Phoenix. It is the sixth All-Star selection for Bonner (2015, 2018, 2019, 2021, 2023, 2024) and the third selection for Jones (2021, 2022, 2024).

  • The Sun outrebounded the Lynx, 35-28. Both teams dished out 23 assists.
  • Connecticut outscored Minnesota in the paint (30-20), but Minnesota had the edge in second chance points (13-12), fast break points (10-9) and bench points (13-8).
  • Veronica Burton made her first start this season for the Sun in tonight’s game. She now has started in 20 games in her career, with this evening marking her first start since September 10, 2023, with Dallas.
  • Bonner matched her season-high with 15 first-half points. Alyssa Thomas recorded nine first-hal160-f assists, one-shy of her career-high and franchise record for assists in a single half.
  • The Lynx scored 26 points off the Sun’s 18 turnovers, including 16 points off their nine first-half turnovers.
  • Tonight, marks Alyssa Thomas’ fourth game of 2024 with 10+ assists and 21st 10+ assist game of her career. The Sun are 4-0 this season when Thomas dishes 10+ assists.
  • Minnesota’s all-star forward Napheesa Collier exited the game with a left foot injury with 2:33 to play in the third quarter, finishing the game with just nine points, 11 points under her season average entering tonight.

Material from the Connecticut Sun media team included in this report.



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Growing fight over submarine funding 

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Growing fight over submarine funding 


A fight is looming down in Washington over whether to fund two submarines for the Navy. 

U.S. Rep. Joe Courtney, (D, 2nd), is among those backing a bill to fund construction for two subs. “I think this is not just sort of a hometown, parochial priority,” Courtney said.  

Many congressional Republicans and the White House are backing a spending plan that would only call for one sub, though.  

“This bill procures where we can, trains where we must and invests in capabilities that make our adversaries wake up every day and say, ‘today is not the day to provoke the United States of America,’” U.S. Rep. Ken Calvert, (R, California), said during debate on a spending bill last week.  

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A budget deal last year caps the Defense Departments budget at $886 billion, and some say that money would be better spent on fighter jets and supporting innovation in the military.  

It’s not clear if the reduction in submarine building would impact orders to Groton-based Electric Boat and the company did not respond to a request for comment this week.  

EB has said it wants to hire 5,000 workers are year to meet expected increases in production. 

Supporters of a the two-sub plan say maintaining construction also sends a message to parts builders and suppliers.  

“Electric boat supplies work for over 700 companies here in Connecticut, supports tens of thousands of jobs outside their own direct jobs,” Chris Davis, vice president of public policy for the Connecticut Business and Industry Association, said.  

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Courtney said ramping up the supply chain can be difficult, which is why he’s opposed past efforts to scale back construction.  

He also said nuclear submarines need to be a part of a modern military, pointing to China’s stockpile of missiles capable of shooting down ships.  

Courtney also noted Ukraine has been able to fend off Russia’s surface-level ships.  

“It’s submarines that really, um you know, kind of change the dynamic,” he said.  

That’s also part of the reason why Australia reached an agreement in 2021 with the U.S. and U.K. to buy nuclear submarines.

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As part of the AUKUS deal, the U.S. agreed to sell three submarines to Australia beginning in 2032.  

The president can back out if the Navy needs more subs, though. Courtney said the Navy is supposed to have 66 attacking submarines but currently only has 50, with three scheduled to be decommissioned in the next few years.  

“Every time you take a sub out of inventory, in my opinion, you’re making that decision harder,” Courtney said.  

The AUKUS deal included orders for Electric Boat.  

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