Connecticut governor proposes cutting back on bonding to manage debt
As part of a new effort to cut the state’s long-term debt on Connecticut’s “credit card,” Gov. Ned Lamont on Tuesday warned that he will be pulling back on big investments, including new school construction.
In what has become a daily rollout of details in advance of the governor’s two-year budget proposal next week, Lamont, speaking during a breakfast meeting with the Waterbury Regional Chamber of Commerce, said he wants to drastically reduce debt.
Lamont wants to decrease state borrowing by 39 percent, amounting to hundreds of billions of dollars from the average annual $1.6-billion in debt amassed under Gov. Dannel P. Malloy. Lamont’s target is to save $2 billion over the next 10 years. He wants to cut bond authorizations, through the State Bond Commission, which he controls, by $600 million a year, with an annual debt ceiling of $960 million per year.