Governor Rell Orders $34 Million in

Initial Budget Rescissions

Fire Service Funding Impacted by $74,171

            Just three months into the new fiscal year, Governor M. Jodi Rell today ordered $34,076,998 in state budget cuts, exercising her power under state law to trim expenditures at Executive Branch agencies, boards and commissions to reduce a projected state budget deficit of nearly $400 million.

            “The economy remains largely unstable, job losses continue and the Legislature’s adopted budget has been built on unrealistic savings assumptions,” the Governor said. “I am determined to end this fiscal year in balance and that requires that action be taken as soon as possible. We have no choice but to cut state spending and these rescissions are but the first of many cuts to follow.”

            The Governor’s and Legislature’s budget offices agree that the budget deficit could be $388 million by the end of the fiscal year if revenues continue to decline. The state Comptroller has pegged the gap at about $624 million.

Under state law, the Governor may rescind up to 5 percent of any appropriated line item in the budget, but not more than 3 percent of the General Fund.  Today’s action represents the first of a series of reductions Governor Rell will be making over the next several weeks.

“I am also preparing a deficit mitigation plan that I will present to the Legislature before December 1 and it is imperative that lawmakers act quickly and approve all of the savings. The price of inaction will be a steep and unaffordable one,” Governor Rell said.

Governor Rell has also asked her Council of Economic Advisors to brief lawmakers and legislative leaders on Connecticut’s economic outlook in the near and long term, including the out years of the budget.  Topics will include the state’s job situation, revenue forecasting and the housing market. The briefing will be held on November 12th at 2:30 pm in Room 2E in the Legislative Office Building.

The Governor’s Council of Economic Advisors:

  • Don Klepper-Smith, Chief Economist and Director of Research at DataCore Partners LLC.
  • Nick Perna, Ph.D., Managing Director, Perna Associates, Yale University Economics Department
  • Ed Deak, Ph.D., Professor of Economics, Fairfield University
  • Pete Gioia, Economist, Connecticut Business and Industry Association
  • John Tirinzonie, State Labor Economist, Connecticut Department of Labor
  • Todd Martin, Economic Advisor to People’s United Bank and President of Todd P. Martin Economic Services
  • Susan Coleman, Ph.D., Ansley Professor of Finance, University of Hartford
  • Steve Lanza, Ph.D., Executive Editor, The Connecticut Economy Quarterly, University of Connecticut

“The Executive Branch, the Legislature and the Judicial Branch – all of us – have some very tough decisions ahead and it is essential that we all have clear understanding of our financial landscape,” Governor Rell said.

Directed cuts impacting the budget of the Commission on Fire Prevention & Control

Commission on Fire Prevention & Control                   $74,171

Equipment                                                                                           5

Firefighter Training I                                                                   25,263

Fire Training School – Willimantic                                              8,090

Fire Training SchoolTorrington                                               4,068

Fire Training School - New Haven                                              2,418

Fire Training School - Derby                                                       1,857

Fire Training School - Wolcott                                                     5,008

Fire Training SchoolFairfield                                                   3,520

Fire Training SchoolHartford                                                 8,467

Fire Training School - Middletown                                             2,953

Fire Training School - Stamford                                                 2,772

Payments to Volunteer Fire Companies                                    9,750