Governor Rell Writes Legislative Leaders Urging

Bipartisan Compromise on Deficit Mitigation

Read the Governor's Plan

            Governor M. Jodi Rell today wrote the leaders of the General Assembly to call for a compromise deficit mitigation plan that can be passed by April 15. Governor Rell offered a list of suggestions but stressed that she wants to work cooperatively with the Legislature to avoid draining the “Rainy Day Fund” or setting up a situation where the state must borrow money to close the deficit.

            “We have just started the final quarter of this fiscal year, and estimates of the current state budget deficit range from $667 million (from the Office of Policy and Management) to more than $1 billion (from the Comptroller),” Governor Rell said. “It is more important than ever that we draft a plan we can all support to mitigate this deficit. Every dollar we save through spending cuts or other measures is a dollar we do not have to take out of the Rainy Day Fund or – worse yet – borrow at high interest.

            “I am making a point of reaching out in a bipartisan fashion so that this will truly be a compromise plan,” the Governor said. “Although we have not yet begun negotiations to resolve our differences over the budget for the next two years, we must deal with the current year’s shortfall. I have directed my budget chief to clear his calendar so he can meet with the leaders of the Appropriations Committee or the Finance Committee as soon as tomorrow.

            “As part of this plan, I have made a fifth round of Executive Branch agency rescissions,” Governor Rell said. “I am offering my suggestions for further cuts and look forward to seeing those of the Legislature. In addition, I am sending legislative leaders the list of unappropriated funds that my Administration gave the Appropriations Committee, in the hope we can locate additional resources there.”

            The Governor also said she would support language in the next deficit mitigation plan that reverses a previous move to withdraw $2 million from the Client Security Fund to help reduce the deficit.

            “It is my sincere hope that the Legislature could meet by April 15 to pass a compromise mitigation plan and that we could begin reaping the much-needed savings immediately,” Governor Rell said. “As leaders, we owe it to the people of our state to do everything in our power to reduce this shortfall at the lowest possible cost to taxpayers.”