Analysts for Gov. Dannel P. Malloy’s adminstration and the legislature’s nonpartisan Office of Fiscal Analysis downgraded anticipated revenues for the next two fiscal years by $1.46 billion — nearly $600 million next fiscal year and $865 million in 2018-19 — largely because of eroding income tax receipts.
Projected revenues now fall $2.2 billion, or 11.3 percent, short of the funding needed to maintain current services in 2017-18. And with the potential deficit swelling to $2.7 billion, or 13.6 percent, in 2018-19, the biennial shortfall approaches $5 billion.
There's no way CT is going to be able to suck $5B in two years out of it's tax-base (which shrinks every year).....
Any predictions on what happens since States can't declare bankruptcy?
Analysts for Gov. Dannel P. Malloy’s adminstration and the legislature’s nonpartisan Office of Fiscal Analysis downgraded anticipated revenues for the next two fiscal years by $1.46 billion — nearly $600 million next fiscal year and $865 million in 2018-19 — largely because of eroding income tax receipts.
Projected revenues now fall $2.2 billion, or 11.3 percent, short of the funding needed to maintain current services in 2017-18. And with the potential deficit swelling to $2.7 billion, or 13.6 percent, in 2018-19, the biennial shortfall approaches $5 billion.
There's no way CT is going to be able to suck $5B in two years out of it's tax-base (which shrinks every year).....
Any predictions on what happens since States can't declare bankruptcy?
Feds come up with a 'bailout plan' involving austerity measures, CT jacks taxes to the moon, and a few more bonds are issued. Debt ceilings are raised, and the US continues to lurch towards default.
Analysts for Gov. Dannel P. Malloy’s adminstration and the legislature’s nonpartisan Office of Fiscal Analysis downgraded anticipated revenues for the next two fiscal years by $1.46 billion — nearly $600 million next fiscal year and $865 million in 2018-19 — largely because of eroding income tax receipts.
Projected revenues now fall $2.2 billion, or 11.3 percent, short of the funding needed to maintain current services in 2017-18. And with the potential deficit swelling to $2.7 billion, or 13.6 percent, in 2018-19, the biennial shortfall approaches $5 billion.
There's no way CT is going to be able to suck $5B in two years out of it's tax-base (which shrinks every year).....
Any predictions on what happens since States can't declare bankruptcy?
Feds come up with a 'bailout plan' involving austerity measures, CT jacks taxes to the moon, and a few more bonds are issued. Debt ceilings are raised, and the US continues to lurch towards default.
I would agree, except for the fact that taxes are already jacked up past Mars....taxes go up any more, people are going to have to literally pick between food and mortgage/property tax (or rent).
House Speaker Joe Aresimowitz, D-Berlin, said Tuesday he would not rule out another hike
“As the hole in the budget grows, the options become more limited,” Aresimowicz said.
With that in mind, the speaker added, he couldn’t rule out income tax hikes on the wealthy or on the middle class at this point.
But Aresimowitz added he wants to position Connecticut to grow when the budget process is complete, and that can’t happen if annual deficits recur year after year.
So CT isn't competitive bc of deficits year after year.....we know CT has deficients bc tax revenues are down...and we know tax revenues are down bc people are leaving CT due to high taxes....so what's the DNC's solution - raise taxes? WTF - seriously...WTF?
Of yeah - forgot to mention is not only is Aresimowitz State House Speaker- hes the head of the state worker's union....how is this fucking legal?
This is solvable in NJ and CT:
1) Raise police and firefighter retirement ages.
2) Ban double-dipping. Taking a new government job should be like taking a new position within any other organization - you don't suddenly get an additional pension to add to your existing pension, or a new salary on top of your existing pension. You get one pension, period. You don't get paid after you retire except for the one pension. If you go back to work, the pension stops until you actually retire.
3) Pensions should be adjusted by salary. Pensions were originally meant to compensate for the small salaries public workers received. If a public worker is making $100,000 then no pension - that person makes enough to contribute to a 401K. Pensions should be reserved for the lower income workers who can't save enough over a career to retire.
4) Slash personnel. Many government jobs are light on actual work performed. They need to become much more efficient, and that means getting rid of dead wood. If people are going to leave Connecticut, let's make sure the most productive stay and the least productive go elsewhere.
5) Teachers' salaries should be based on the time they actually work, not based on a full year of work.
6) Awarding of contracts needs to be supervised from outside the state if necessary, by people who have absolutely no stake in who gets picked. Construction corruption is huge in these states: no show jobs, no show projects, projects that go on forever with very little progress being made due to all the no shows. We need financial sticks to encourage contractors to complete their projects within a reasonable amount of time.
Just these changes would make a big financial difference.
MilSpecs wrote:This is solvable in NJ and CT:
1) Raise police and firefighter retirement ages.
2) Ban double-dipping. Taking a new government job should be like taking a new position within any other organization - you don't suddenly get an additional pension to add to your existing pension, or a new salary on top of your existing pension. You get one pension, period. You don't get paid after you retire except for the one pension. If you go back to work, the pension stops until you actually retire.
3) Pensions should be adjusted by salary. Pensions were originally meant to compensate for the small salaries public workers received. If a public worker is making $100,000 then no pension - that person makes enough to contribute to a 401K. Pensions should be reserved for the lower income workers who can't save enough over a career to retire.
4) Slash personnel. Many government jobs are light on actual work performed. They need to become much more efficient, and that means getting rid of dead wood. If people are going to leave Connecticut, let's make sure the most productive stay and the least productive go elsewhere.
5) Teachers' salaries should be based on the time they actually work, not based on a full year of work.
6) Awarding of contracts needs to be supervised from outside the state if necessary, by people who have absolutely no stake in who gets picked. Construction corruption is huge in these states: no show jobs, no show projects, projects that go on forever with very little progress being made due to all the no shows. We need financial sticks to encourage contractors to complete their projects within a reasonable amount of time.
Just these changes would make a big financial difference.
Illinois tried some of that. Guess what happened at the state supreme court?
NJ's State Supremes caused havoc with the Abbott decision (where the poorest school has to be funded at the same level as the wealthiest school) and worse with the builder's remedy, which forces unwanted construction on towns, and the fair housing decisions where towns are responsible for constructing low and moderate income housing. The mediation system guarantees increasing salary and benefits to the police. It's going to take legislative action to override these court decisions, and there's no will (or numbers of like-minded representatives) to do so.
