$325 Million Deficit Found In CT Budget

HARTFORD, CT — Gov. Dannel Malloy's budget office has found a $178.4 million budget deficit in the current fiscal year. The deficit shrinks down to $147.1 million for the next fiscal year.

“The Governor’s caution regarding our ability to get through FY 18 in balance under the bipartisan budget passed by the General Assembly was well-warranted, said OPM Secretary Ben Barnes. "This consensus revenue projection will likely place us more than $178 million in deficit before we have even had an opportunity to effectuate the large lapses and spending cuts built into the budget."

The entire two-year budget is $41.3 billion. OPM will finalize its projections next week.

Related: Highlights Of The Budget

The state Senate voted unanimously to fix language in the budget for the hospital tax Tuesday. A vote in the state House is scheduled for Wednesday, according to the Hartford Courant. Malloy previously line-item vetoed the hospital tax due to the language issue.

Connecticut lawmakers passed a bipartisan budget that includes a mix of tax hikes and spending cuts. Democrats and Republicans compromised on the bill. Lawmakers had to find ways to plug a $3.5 billion deficit hole. There are $150 million in effective tax and fee increases in the first year of the budget.

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