Connecticut spiraling into financial despair

dannel malloy

Gov. Dannel Malloy (Demorat)


Odd how high taxes can lead to a financial crisis…
From Fox News: While Illinois Opens a New Window. Connecticut has been under the microscope for its $15 billion backlog of unpaid bills, multi-billion dollar pension crisis and paralyzing political polarization, it is not the only state facing pressure to pass a spending deal by June 30.
The nation’s wealthiest state, Connecticut, is also facing a series of challenges as it remains unable to strike a budget deal with the new fiscal year approaching on Saturday. It is likely the state will enter the new month without an approved two-year budget, but a so-called provisional “mini budget” is still on the table. This last-ditch option includes $300 million to balance out spending cuts the state would be prompted to make in order to keep up with the deepening deficit.
Revenue shortfalls in the state register around $450 million for the current fiscal year alone, while estimated deficit totals are projected to clock in near $5 billion for the 2018 and 2019 fiscal years combined, according to The Connecticut Business & Industry Association. Debt outstanding levels and unfunded pension liabilities relative to revenues are among the highest of any state in the country, Moody’s Investors Service said in May.
As previously reported by FOX Business, income-tax collections are projected to fall Opens a New Window. in fiscal year 2017 for the first time since the recession.
Connecticut’s financial despair comes despite the state government’s approval of one of its largest tax rate increases ever in 2015.
The three major rating firms have downgraded the state’s credit rating in response to the ongoing budget crisis. In its most recent downgrade, which landed Connecticut with the third-lowest rating out of every state behind only New Jersey and Illinois, Moody’s said “the downgrades reflect continuing erosion of Connecticut’s finances, evidenced by the pending elimination of its rainy day fund, growing budget gaps and rising debt levels.”
However, the situation could get worse still.
On Thursday, health insurance giant Aetna announced it would move its Hartford, Connecticut-based headquarters — after more than 150 years in the state — to New York City in late 2018. The company cited a lack of access to talent as one reason it was leaving its Connecticut base, and said Thursday its long-term commitment there will depend on the state’s “economic health.”
Earlier this year, General Electric (GE) announced a similar move, shipping its headquarters from Fairfield, Connecticut to Boston, Massachusetts.
DCG

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Alma
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Alma

Leave it to the demoKrats, they have that special touch that turns everything in a perfect pile of shit.

Glenn47
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Glenn47

Eloquently put.

daveyone1
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William Brandon Shanley
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William Brandon Shanley

I live in Connecticut and I would like to correct several misapprehensions in this report. 1) Only 250 Aetna executives are moving from Hartford to New York, and who can blame them? Where would you rather live? A bedroom state or in the hub of excitement and culture of New York City? 2) The taxes are higher in New York City than in Connecticut, so the claim they moved to NYC because of high taxes doesn’t wash. 3) My mother was a newspaper reporter for the Waterbury Republican-American from the 1950s to the 1980s, which won a Pulitzer in 1940… Read more »

marblenecltr
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Among causes of the problem would be corruption of the media as told by you. A free press was declared essential for survival of our country in the Constitution’s First Amendment, and an element of our society that has at best disregard for our survival as a nation knows that and is acting accordingly. Further, the greatest of evil (love of money) is at war with good, and our love of good and support for it left when we turned our backs on God in every area of our lives as a nation, including our education system. Much of our… Read more »

Lophatt
Member
Lophatt

I supposed you were doomed by the inevitable descent into communism of the Democrat party. Here’s a visual to help with my theory:comment image

chemtrailssuck
Guest

BWAHAHAHAHAHA!!! Where did you GET that THING!?!
I’m talking to Obama. 😉

chemtrailssuck
Guest

Did you ever read “Thanks for the Memories” by Brice Taylor, and/or “The Rockefeller File” by Gary Allen? Those explain a lot as well. 🙂
The amount of complete waste and frittering away of stolen “tax” money is the reason, that and graft/theft of course. The amounts of money that are totally flushed down the toilet by the government is mind-boggling. It’s like giving a kleptomaniac a credit card with no spending limit.

Auntie Lulu
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Auntie Lulu

Absolutely ridiculous . . .they raise taxes, then these miscreants figure they have more money to spend, so that’s what they do. It is my perception that Demokratz think it is their main job to “bring home the bacon” . . . to themselves, their cronies, the labor unions, etc. I don’t think they have much of a perception that they are there to head up seeing that the basic needs of a state are supplied to its citizens. . . . clean water, electricity, roads, safety, schools. For crying out loud, their performance relative to schools and education is… Read more »

Paul B.
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Interesting that there is a “Pajama Boy Approves” leader over the picture of Gov. Malloy. Malloy looks like PB grown up – in age, but retaining the same level of maturity. It has been said many times that nations and states cannot tax their way to prosperity. Taxes beyond covering certain irreducible basics are evil and must not be. Leave charity and social change to the private sector and the First Estate, which have enormous creativity and can get the job done efficiently. But this basic economic truth has escaped one party totally, and the other to a large extent.… Read more »

Dr. Eowyn
Admin

Connecticut has the highest per-capita income, Human Development Index (0.962), and median household income in the United States — all of which implies that Connecticut also has a highly educated populace. Why aren’t they overseeing the state government and demanding accountability?

stlonginus
Guest

Perhaps Connecticut’s well-heeled populace is too busy, working in “finance” and defrauding people, to care.

chemtrailssuck
Guest

Don’t forget the immortal words of Leona Helmsley, “Taxes are for the little people”….

Glenn47
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Glenn47

So with the last administration, our national debt was more than doubled, we had people leaving office and high positions with unbelievable bank accounts and we have hundreds of billions of missing money. 6 billion was on Hillary alone.
And, democratic led states are sinking faster than a bag of ball bearings and they think they deserve to be back in charge of this country?
Excuse me while I go and get my elastic support to hold my ribs in.
I have no empathy for all the sinking states that refuse to make changes.

Lophatt
Member
Lophatt

Perhaps they could put a surcharge on crisis actors and fake “donations”. That should tide them over nicely.

chemtrailssuck
Guest

Why don’t they borrow another 2 Billion and build a bridge across the ocean to Europe? Then they can import socialism directly all the while bolstering the economy with temporary construction jobs! It’s a win-win situation!

TPR
Guest
TPR

Haha, good one! But, pleaassseeee, don’t give them any ideas. We do not want any “trickle down” multicults finding their way South from “Corrupticut.” 😀

RLJohnson77
Guest

They forgot one basic rule of economics. Rich people can afford to move.
Money is like a fine woman. She will go where she is treated best.