CCM expresses concerns regarding two aspects of the budget implementer bill

CCM expresses concerns regarding two aspects of the budget implementer bill

For immediate release Thursday, May 12, 2016

Kevin Maloney (203) 710-3486

The Connecticut Conference of Municipalities (CCM) today (Thursday, May 12) expressed concerns regarding two aspects of the budget implementer bill being considered by the State Senate today:

The increase in the eligible mill rate -- from 32 to 37 mills -- for capping the motor vehicle tax will have implications for those cities and towns that already have enacted their budgets for next fiscal year. They will be faced with going back and reopening their budgets to reset the mill rate or face a revenue reduction.

The implementer bill also provides for language that reforms the Minimum Budget Requirement (MBR) for local public education, allowing for some reduction in education spending for those communities losing education aid. However, it does not provide enough relief so that it is on par with the amount of education aid being lost.

Other structural Relief back to top

The implementer bill also does not provide for other specific structural relief sought by towns and cities to help them adjust to significant cutbacks in state aid, such as

  1. allowing Local Legislative Bodies the authority to (i) initiate and implement back-office sharing (for non-educational expenditures) with boards of education and (ii) increase, decrease or eliminate non-educational line items in a proposed BOE budget,
  2. requiring a 2/3 vote of the General Assembly to enact a costly unfunded state mandate, and
  3. bringing Municipal Employees Retirement System (MERS) structures on pair with the state system.

Also, the budget eliminates funding to approximately 13 towns for the Public Housing PILOT and for two years, prohibits them from being able to recoup the funds. Here are examples of the losses: Stamford -- $430,338, Hartford -- $298,544, and Waterbury -- $259,582.