Democratic governor, lawmakers say budget deal near

HARTFORD, Connecticut (AP) – Connecticut Gov. Ned Lamont and Democratic legislative leaders said on Friday they were close to reaching a “comprehensive deal” on a new two-year state budget that didn’t not raising new taxes, but making major investments in education, health care, municipal aid, workforce development and rent relief.
Democratic leaders, who control the General Assembly, said the draft budget would be presented to grassroots Democratic and Republican lawmakers on Friday evening in the hope of attracting bipartisan support. The General Assembly is due to adjourn its ordinary legislative session to Wednesday at midnight.
“We think we are very close to a comprehensive agreement. But of course there are a number of details that were discussed in the concept that need to be thoroughly vetted ”by the governor’s budget offices and the legislature, said Senate Speaker Pro Tempore Martin Looney, D -New Haven.
Given the progress of negotiations, House Speaker Matt Ritter, D-Hartford, said the House would not vote on a “legislative budget” on Saturday, something he said earlier today was possible if an agreement could not be reached with Lamont in time for the legislature deadline. Among other things, a compromise was found on how much of the sales tax revenue that is supposed to be diverted to help towns and villages will be included in the budget.
Lamont said on Friday he would like to see the budget – a key priority – passed on time.
“I think this is an incredibly bold budget. I think it’s very progressive and it’s balanced without new taxes, ”Lamont said. “I think when you look at what we do for child care, when you look at what we do for schools, when you look at what we do for rent relief, when you look at what we do for colleges, it’s unheard of.
The budget and the legalization of recreational cannabis are two of the last big bills to be passed before the regular session adjourns. House Majority Leader Jason Rojas, D-East Hartford, said on Friday that a “pencil deal” had been reached on the complicated bill that creates a new legalized system for cannabis sales.
“We are done negotiating and taking all the wonderful ideas that people wanted to contribute to this bill,” he said. Rojas said progress has been made in recent days to ensure that the bill is “truly open to a wide range of individuals” who wish to get involved in the marijuana industry, rather than to people. large companies with access to capital that have dominated the markets in other states.
Grassroots lawmakers were also supposed to know about cannabis legislation. He remained uncertain when the legislation could be put to a vote.
Despite being owned by the same political party and the same historic amounts of federal coronavirus relief funds, it has been difficult for Lamont and Democrats to reach consensus on a new budget.
Members of the Legislature’s Progressive Caucus have pushed to raise taxes for the rich, arguing that major investments are needed to address long-standing inequalities long after federal funds have run out – to which Lamont, a former man of business and moderate tax, objected. While the Legislature’s Financial Income and Bond Committee passed a tax package that included a new “consumption tax” and capital gains tax for high-income taxpayers, as well as others. tax increases, tax proposals are no longer taken into account in the negotiations.
“This budget will not raise taxes,” said Melissa McCaw, budget manager for Lamont, who noted that Connecticut’s income projections have steadily improved as the state emerges from the pandemic. She said about $ 1.2 billion in federal funds for the virus will also be used to balance the budget.
Meanwhile, a contentious Lamont plan to get Connecticut to join the Multi-State Transportation and Climate Initiative is no longer on the table this year, Democrats confirmed. The program, which leaders in Massachusetts, Rhode Island and Washington, DC, had also supported, involved raising money from wholesale fuel suppliers to ultimately fund investments in clean transportation. Critics said it would increase gas prices by 5 to 9 cents.
Lamont’s proposal for a new mileage-based “highway use” tax on semi-trailers, where the weight of trucks determines the rate paid, will not be included in the budget bill, but could be the subject of a separate bill. Inspired by the New York and Oregon programs, the tax is expected to generate $ 90 million per year to help shore up the state’s financially troubled transportation fund.