Senator Debicella Endorses “No Tax Increase” State Budget

State Senator Dan Debicella (R-21) joined other Republicans this week to propose an alternative state budget that avoids massive tax increases by cutting government spending, merging state agencies, offering an early retirement incentive program for state employees, freezing state employee salaries, and requiring state employee benefit concessions.

The Republican proposal is an alternative to the Democratic budget proposed earlier this month that increases income taxes, sales taxes, corporate taxes, estate taxes, cigarette taxes, and eliminates the middle class property tax credit. “The Democratic budget is the largest tax increase in Connecticut history—more than three times the original income tax in 1991,” said Senator Debicella. “Their budget is a direct assault on middle class families.”

Senator Debicella added that the Democrats’ budget would result in a $500-750 tax increase for every family in Shelton, Stratford, Seymour and Monroe. “Our budget clearly offers a better choice for middle class families hit hard by the current economy.”

The Republicans’ proposal contains no tax increases and maintains all funding for education and town grants.

“We should not be raising taxes in a recession,” said Senator Debicella, the Ranking Member of the Appropriations Committee. “Instead, we need to cut the bloat of bureaucracy. Building on the Governor’s budget, we have proposed reinventing state government through shifting social services to community providers, rolling back spending on most state agencies to 2007 levels, and asking for employee concessions.”

The Republican budget proposal contains all the spending reductions included in Governor Rell’s original proposal, but includes additional reductions because the deficit has increased by over $2 billion since she presented her budget in February. Additional areas of savings include:

• Rolling back spending for all non-essential programs to 2007 levels ($500 million in savings)
• Shifting 50% of social services to private providers by 2011 ($150 million in savings)
• Early retirement for state employees ($300 million savings)
• State worker concessions for salary, health care and pension benefits ($650 million in savings)
• Folding 16 agencies into three and implementing a hiring freeze to reduce overhead costs
• Overhauling the higher education bureaucracy that duplicates services and drives up tuition for families struggling to pay for college
• Engaging private companies that can perform duties such as state park maintenance

“While no one likes to make spending cuts, we are facing an unprecedented state deficit. There are only two serious choices—raise taxes or cut spending,” said Senator Debicella. I believe the choice is clear. We need to reduce the size of government, not impose middle class taxes.”