Slossberg Releases Statement on Supporting SEBAC Agreement

From Senator Slossberg: Senator Gayle Slossberg (D-Milford) released the following statement today regarding her vote in support of the labor concessions agreement negotiated between Governor Dannel P. Malloy and the State Employee Bargaining Agent Coalition (SEBAC):

“Connecticut has many challenges that must be addressed if we are to ensure our state becomes a place where future generations are eager to live and to work, a place where our children will want to start family and found a business. We are facing a multi-billion dollar budget deficit and must take steps to address it both in the short-term and the long-term.

“Our short-term problem is the biennial budget deficit. The SEBAC agreement provides $1.57 billion in savings to address a $5 billion deficit. Rejecting this agreement would lose those significant savings. That would in turn require us to make draconian cuts and guarantee tax increases.

“Contrary to much of the public discussion on the agreement, the deal we passed today does not prevent the state from reorganizing or restructuring any functions. The deal eliminates COLA guarantees. It increases employee contributions to their pension and health, makes structural changes and saves the state billions of dollars.

“Over the next decade, our long-term fiscal problems are much bigger than this collective bargaining agreement. Those problems will only be addressed with significant systemic reforms. I am grateful that my leadership has agreed to advocate for systemic reforms to be included in the budget.”

Senator Slossberg also released a list of twelve proposed systemic reforms that will help address Connecticut’s fiscal challenges:

1. Define in statute the case law definition of “Impairment of Contract.”
2. Define in statute under State of Connecticut arbitration statutes the state’s “ability to pay.”
3. After expiration of SEBAC in 2027, no COLAs for pensions negotiated in SEBAC but set by statute.
4. After expiration of SEBAC in 2027, overtime shall not be included in pension calculations except for mandatory overtime required for public health or safety purposes.
5. Create a Teachers’ Retirement System Viability Commission to ensure the sustainability of the TRB.
6. Create a Pension Legacy Debt Commission to develop a liability asset management plan. Such plan shall include consideration of the UConn Health Center’s future.
7. Vote on all union contracts.
8. Establish a cap on State of Connecticut bonding.
9. After expiration of SEBAC in 2027, no future SEBAC Agreement shall extend longer than four years.
10. Create a mechanism for review and certification of 2017 SEBAC savings.
11. Create a Volatility Cap for capital gains income tax receipts.
12. Create an Expenditure Cap based upon Consensus Revenue.

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