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Republicans Offer Alternative Budget

Today House and Senate Republicans offered a balanced alternative budget proposal that cuts state gas taxes, eliminates a business tax, and offers thousands of stae employees an early retirement plan that will reduce spending by $163 million next year according to the non-partisan Office of Fiscal Analysis.

The plan balances taxes and spending, does not raise taxes and streamline government to avoid budget deficits in future years.

In light of alarming revenue numbers just released from OFA, legislative Democrats indicated that they might do nothing with the current year’s budget, making no changes to what was enacted last year. House and Senate Republicans believe now is not the time to do nothing. It’s time to do something.

The Republican budget would:

Cut gas prices by 10 cents through a summer state tax moratorium and a roll back the scheduled gross receipts tax increase of .5 percent on July 1. Those roll backs will save consumers $50 million.

Eliminate the $250 Business Entity Tax over two years that all businesses pay just for opening their doors. This will save $35 million ($17.5 million in the first year)

Phase out of the so-called Death Tax cliff that will save estates $24 million and help keep more people in Connecticut ($12 million in the first year).

Offer up to 11,600 eligible state workers an early retirement incentive program, or ERIP, to save a projected $163 million in the next fiscal year.

Allow hundreds of seniors to receive home care for a savings of $17 million. (Money Follows the Person).

Full details about the House and Senate Republican proposal are available here.

 Below House GOP Leader Larry Cafero responds to a question from WTNH Channel 8’s Mark Davis at the press conference today.

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3 Responses

  1. Thank God someone is in tune with what the majority of residents in this state are looking for from their government. Reducing some taxes and bloated state agency payrolls is a great place to start.

  2. It’s a good plan, too bad it won’t go anywhere. Hope it embarasses Democrats though.

    If the speaker wants to raise our gas tax when it’s around $4 a gallon, he’s not going to be governor this century.

  3. Almost funny the way the Democrats keep brushing the plan off broad, non-specific criticisms.

    It used to be that they would say it is easy for the Republicans to throw stones without offering ideas of their own. Funny how things change.

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