Wednesday, August 24, 2011

Malloy To Wall Street: Take This

Governor Dannel Malloy has rented a trading floor for five years at $20 million, according to a brief piece in the Wall Street Journal:
“In his latest attempt to save jobs and keep businesses in Connecticut, Gov. Dannel Malloy on Tuesday announced $20 million of incentives to keep UBS AG's flagship trading floor and other operations in this city.”

5 comments:

dmoelling said...

Didn't I also read that due to poor financial results UBS was dropping adding new space in Manhattan? So they snookered O'l Dannel for $20M for something they were going to do anyway.

Don Pesci said...

Likely.

Pauldz said...

How much is this costing taxpayers per employee? $50,000, more? So Malloy's idea of shared sacrifice is to have everyone pay more (except the public employee unions) and then he gives money to either well-connected constituencies, or those with leverage - like UBS.

dmoelling said...

CT bet big on the finance industry to make up for chasing everything else out. To even appear to lose UBS from his hometown would be bad for Malloy. Fortunately he can dip into the public purse.

Don Pesci said...

All the indicators suggest that Connecticut’s debt will grow. Certainly debt is not diminished through tax increases that are not applied to liquidating the state’s permanent debt. The nearly $1 billion artificial surplus built into the budget has given the Malloy administration the opportunity to engage in a putative jobs program. And much of the tax overcharge – that is what a surplus is – will be (excuse my language) pissed away on boondoggles projects like the UConn Health Center and the costly and destructive bus way project. The state now is being bribed by Big Business, though, of course, Mr. Malloy invited the bribery. The money supplied by the Malloy administration to UBS represents dollars taken from Main Street to support Wall Street. There is no better way to put it. I’m waiting for some Republican to say it. But I am not holding my breath. This is welfare for Wall Street at its worst. Ordinarily, we could expect progressive Democrats to raise a holler about all this, but Governor Jodi Rell has left the building, and Mr. Malloy is a progressive. So – hush!