Fiscal Office Puts Deficit At $380 Million
With slow tax collections arriving after April 15, the legislature's nonpartisan fiscal office said Friday that the projected deficit for the current year is $380 million.
The Office of Fiscal Analysis released the new number, which is in the same range as estimates by the governor's budget office and state Comptroller Kevin Lembo.
The projected deficit is about $144 million higher than the state's rainy day fund - meaning that Gov. Dannel P. Malloy will need to find that total in the final 60 days of the fiscal year that ends on June 30.
Malloy immediately ordered a hiring freeze and other measures as soon as officials realized the depth of the income tax problem. He said strongly that he has no intention of borrowing money for operating expenses. Such borrowing is widely considered as a bad fiscal move that should be avoided and not good for the state's bond ratings.
Read more: http://www.courant.com/politics/capitol-watch/hc-fiscal-office-puts-deficit-at-380-million-20170505-story.html