Candelora and Republicans Offer No Tax Increase Budget

State Representative Vincent Candelora (R-86) joined House and Senate Republicans today as they proposed an alternative balanced budget that eliminates massive Democratic taxes, preserves vital programs and services at 2007 levels, and greatly reduces government costs through cuts, agency mergers, retirements and salary and benefit concessions. The proposal requires no reduction to municipal aid – including no reduction in ECS funding to any town – and it restores the $500 property tax credit Democrats eliminated.”The last thing the residents of this state need is a $3.3 billion tax increase,” said Candelora. “When businesses are laying off employees you don’t hit them with a 30% corporate profit tax. It doesn’t take an economics degree to understand that that will result in higher unemployment. We think we can address the budget deficit without crippling business or raising taxes.”

Candelora, who serves as the Ranking Member of the tax-writing Finance Committe, said Republicans balanced their budget by rolling back spending levels, combining state agencies, offering state workers early retirement and bringing state employee benefits more in line with the private sector.

Republicans hope to work with Democrats and Gov. Rell to produce a two-year budget Connecticut can afford and not drive more businesses out of state or raise taxes. Gov. Rell’s February budget had no tax increases, but state revenues have continued to deteriorate. The Democrats earlier this month proposed the largest tax hike in Connecticut history – $3.3 billion!

The highlights of the Republican alternative are:
• Early retirement to save more than $285 million;
• State worker concessions for salary, health care and pension benefits that save $662 million;
• Folding 23 agencies into six and implementing a hiring freeze to reduce overhead costs. Two more agencies would be merged into the General Fund;
• Overhauling the higher education bureaucracy that duplicates services and drives up tuition for families struggling to pay for college;
• Preserving school and municipal aid;
• Using the Rainy Day Fund for what it was intended – fiscal distress;
• Imposing $900 million in hard cuts;
• Restoring $25 million in municipal aid cut by Democrats and the $500 property tax credit for families earning as little as $46,000;
• Engaging private companies that can perform duties such as state park maintenance;

“Yesterday afternoon thousands of taxpayers gathered at the state capitol to let their legislators know they have had it with tax increases,” said Candelora. “Causing more pain for people who are already hurting is not the answer.”