HARTFORD, Conn. (AP) _ A new report shows state tax revenues have dropped and Connecticut’s $20 billion budget is now about $200 million in the red.
The consensus revenue estimates, released Monday by the General Assembly’s fiscal office and Gov. Dannel P. Malloy’s budget office, show personal income tax receipts dropped by $147 million.
Malloy’s budget chief, Benjamin Barnes, said Malloy will submit a deficit-cutting plan in the coming days to the legislature. He said it will transfer funds set aside to prepay debt payments to cover the revenue shortfall.
Republican legislative leaders said the growing deficit shows Malloy’s plan last year to impose $2.6 billion in tax increases over two years is not working. Senate Minority Leader John McKinney said Malloy and the Democrats have been in denial about the state’s “budget crisis.”
(Copyright 2012 by The Associated Press. All Rights Reserved.)