Local legislators expressed concern and frustration over some points in Governor Ned Lamont’s February 9 State of the State address.

Rep Mitch Bolinsky (R-106) said he “loved the governor’s energy in presenting his State of the State address,” but he was left wondering “whether any of his proposals had been vetted with the legislature.”

“While it’s somewhat true that Connecticut is literally awash in money, as a 10-year member of the Appropriations Committee and someone who was accountable to budgets for 30 private-sector years, I know very well that it’s not good policy to spend more than we take in,” said Bolinsky. “The surplus in Connecticut’s rainy-day fund is mainly the result of 2017-2018’s bipartisan budget and billions of COVID relief dollars. I don’t want to spend ‘one-time dollars’ building permanent overhead.”

Bolinsky said his number one budgeting concern is sustainability.

“We in Appropriations will soon begin the line-item work of adjusting the Governor’s proposed spending, which appears to be increasing 10%,” said Bolinsky. “Without matching revenue growth, there’s the potential for big sustainability problems and very real deficits as early as 2023 if we do not invest accordingly and become more competitive economically. Connecticut needs to grow its population with good jobs, great schools and the infrastructure upgrades needed to carry it all. I’ll report back from time to time during the budget process as I know more.”

Sen Tony Hwang (R-28) said his “continual frustration” was over whether the governor was going to work with “transparency and accountability” and treat the legislature as a “co-equal” part of the process in government.

“It’s as if we’re on a need-to-know basis, and that’s frustrating,” Hwang said.

Hwang was critical of using American Rescue Plan (ARP) allocations to balance the budget, and especially to allow a large spending increase.

“It’s one-time money that will not exist in the future,” pointing to how some municipalities like Newtown are instead using ARP funds for one-time purchases, and taking time to spend the money, rather than using it to offset spending increases that will need to find funding in the future.

Hwang noted that Newtown is “very lucky” to have town officials who are using the ARP money responsibly.

The state, meanwhile, is “creating a budget that is plugging a lot of holes” with funds that “will not come next cycle.”

“They’re funding programs that will be looking for the same level of funding next year,” said Hwang. “They’re not going to take money away from important programs next year. What happens when the ARP funds are not there and the budget continues to grow?”

Rep Tony Scott (R-112) was critical of the spending increase even with a budget surplus.

“Connecticut may have a surplus, but increasing spending by nearly 10% isn’t wise or prudent budget management, especially when we have a massive unfunded pension liability that we need to handle,” said Scott. “The goal should be to decrease spending and grow our reserves to even greater amounts so we can provide true tax relief to residents. Let’s also not forget that this budget relies on federal pandemic relief funds, which will run out next year.”

Rep Raghib Allie-Brennan (D-2) expressed concerns that there is not enough help for Connecticut’s small businesses.

“While the governor’s budget adjustments provide some relief for individual taxpayers, Connecticut’s economic recovery also depends on the health of our small businesses,” said Allie-Brennan. “The Governor’s budget proposals do not offer enough support for our struggling, smaller employers. Small businesses desperately need help addressing labor shortages, inflation, and other challenges — that’s where I will be laser focused this session.”

Is Connecticut Better Off?

Lamont’s election-year State of the State address, which is available to review in the February 11 print edition of The Newtown Bee, began by answering a question already posed by a Republican opponent: Is Connecticut better off than before he took office in January 2019?

“Today, the state of the state is better off than it was three years ago, but we still have a long way to go,” Lamont said, addressing a joint session of the General Assembly for the first time since the arrival of COVID-19 in March 2020.

This year, Lamont has benefitted from a surge in tax revenue and a succession of historic federal aid packages that have resolved Connecticut’s immediate fiscal problems and produced surpluses while inviting pressure from liberals to address social needs.

His speech addressed some of those needs — announcing an intention to double the $20 million in COVID hazard bonuses for front-line state workers — but his focus was on messaging directed beyond the Democratic base to a broader electorate fatigued by COVID and rattled by inflation.

His budget proposal for the fiscal year that begins on July 1 includes $175 million in tax cuts, primarily in property tax credits, and another $160 million that would go to municipalities to pay for a state-mandated cap on local motor vehicle taxes that will benefit vehicle owners in about 100 of Connecticut’s 169 cities and towns.

As has been his habit since taking office, Lamont also reminded Wall Street that his administration is intent on assuring businesses that Connecticut is a stable place to grow, even if costs are high.

He noted that Connecticut has jumped 11 places to a middle-of-the-pack ranking of 24th in the CNBC’s list of best places for business, and the state had the unfamiliar experience of an upgraded bond rating on Lamont’s watch.

With help from Republicans who had pressured the previous administration to accept a volatility cap, the surge in revenues has filled the rainy day fund to overflowing, with a statutory requirement sending billions to pay down unfunded pension debt for the first time.

The payments mean hundreds of millions in savings for years to come, as well as assurances to state retirees, a significant voting bloc, that pension promises will be kept.

COVID was mentioned only 10 times in the governor’s 3,679-word text, though he made a cheerful and indirect reference as he took the podium: He smiled and said, “In the flesh!”

The governor, whose management of the pandemic lifted his approval rating from bottom rank of governors in 2019 to the upper reaches in 2020, signaled he was ready to move on.

“Just as I wouldn’t let the state be defined by a chronic fiscal crisis, I will not allow it to be defined by a COVID crisis,” he said. “Despite the intense headwinds of a global pandemic, we have made significant progress with more jobs created, more families moving into our state, and more opportunity for all.”

CTMirror reporting was used in this report.

Reporter Jim Taylor can be reached at jim@thebee.com.