Skip to main content

Sharkey Bites Malloy


When the General Assembly, dominated by members of his own party, returned to Governor Dannel Malloy a revised budget that was $340 million out of balance, he did his duty. Mr. Malloy resubmitted to the legislature a second balanced budget that contained further spending reductions, no tax increases and no raids on rainy day funds.

In an April 16 op-ed in a Hartford paper, Mr. Malloy noted pointedly that there were only three weeks left in the legislatives session and the legislature had not yet resolved a $900 million budget shortfall for the coming fiscal year. Mr. Malloy had determined that state government could not “respond to this challenge in the same way we have in the past, that we must change business as usual at the Capitol.” This was a late realization. During Mr. Malloy’s entire term in office, state government – including the governor’s office – virtually a one-party operation, had been waiting for Godot.
In the good old days, during past recession recoveries, a rising tide had slowly lifted Connecticut’s economic boats. During the latest recovery period, the high tide by-passed Connecticut, which has yet to recover the total jobs lost during the Obama recession. Business entities in a state hammered by two Malloy tax increases, the largest and the second largest in state history, were not returning sufficient revenue to state coffers. Other businesses were moving out of state, further depleting state revenues. While expenditures had grown over the years, revenues had diminished.

Connecticut’s state treasury had for decades depended heavily on its financial sector, but it was precisely that sector that was hard hit by a lingering recession; attempts to remediate the problem only worsened it. A garroted economy was crying out for tax reduction and regulatory relief, and the national government, under the autocratic presidential leadership of quasi-socialist President Barack Obama, was piling up business costs and regulations. Here in Connecticut, business organizations were sending to the Malloy administration desperate, unambiguous messages: cut spending, reduce regulations, change the arc of politics in Connecticut and try, as best you can, to rein in the state’s fourth branch of government, state employee unions.

Mr. Malloy sprinkled some sugar on his tough medicine: "I know that I have been asking a lot of the legislature, and I know I haven't always asked in the gentlest way. But we all need to finish what we started five years ago when we set off down this less-traveled path. Structural reform, living within our means, new economic reality, call it what you like. Making it happen is within reach now."

In a fit of near apoplexy, Speaker of the House characterized Mr. Malloy’s op-ed “a public enemies list" and “a personal hit list,” after which he cancelled a meeting with the Governor. Recovering somewhat from his snit, Mr. Sharkey explained: “Hospitals, smaller towns, property tax reform, and critical social services are all dramatically slashed under the governor’s plan, all while insisting he be granted broad block grant authority to unilaterally cut further without any public scrutiny or legislative oversight. His proposal isn’t feasible, would never get enough votes from either side of the aisle to pass, and it offers no real basis for productive negotiations."

Mr. Sharkey promised to send yet another redrafted budget Mr. Malloy’s way after revenue figures have been reported at the end of April. The General Assembly’s constitutional adjournment deadline is midnight, May 4. The state’s revenue bucket is bleeding out, the Governor’s own party cannot bring itself to accept the “new reality” upon which Mr. Malloy’s efforts are based – i.e. “business as usual” is no longer an option – and it is pushing budget negotiations to the last minute, so that business as usual can be bum-rushed through a Democrat dominated legislature that has been for the last half century a captive of union interests.

There is but one person in Connecticut who can at this late hour save the state from penury and a possible future bankruptcy – Governor Malloy. He can do it by promising to veto any budget that contains tax increases, just as his political forbearer, Governor Lowell Weicker, three times vetoed a non-income tax budget sent to him by a legislature that had rebuffed his income tax proposal. Secondly, Mr. Malloy can signal to state unions – before any contract negotiations have occurred – that there are but three branches of state government, and SEBAC, the union leadership authorized to bargain with the Governor on union contracts, is not one of them. The “new reality” pressing upon all our necks with its hobnailed boots forces us to acknowledge that tails should not wag dogs. The Governor and the leadership of the General Assembly, both Republican and Democrat, are constitutionally charged with adopting policies that advance the public good, which should never take a back seat to special interests.   


Rarely in Connecticut’s long history has a majority in the state’s General Assembly fiddled so irresponsibly while Rome burned.

Comments

Popular posts from this blog

The Blumenthal Burisma Connection

Steve Hilton , a Fox News commentator who over the weekend had connected some Burisma corruption dots, had this to say about Connecticut U.S. Senator Dick Blumenthal’s association with the tangled knot of corruption in Ukraine: “We cross-referenced the Senate co-sponsors of Ed Markey's Ukraine gas bill with the list of Democrats whom Burisma lobbyist, David Leiter, routinely gave money to and found another one -- one of the most sanctimonious of them all, actually -- Sen. Richard Blumenthal."

Powell, the JI, And Economic literacy

Powell, Pesci Substack The Journal Inquirer (JI), one of the last independent newspapers in Connecticut, is now a part of the Hearst Media chain. Hearst has been growing by leaps and bounds in the state during the last decade. At the same time, many newspapers in Connecticut have shrunk in size, the result, some people seem to think, of ad revenue smaller newspapers have lost to internet sites and a declining newspaper reading public. Surviving papers are now seeking to recover the lost revenue by erecting “pay walls.” Like most besieged businesses, newspapers also are attempting to recoup lost revenue through staff reductions, reductions in the size of the product – both candy bars and newspapers are much smaller than they had been in the past – and sell-offs to larger chains that operate according to the social Darwinian principles of monopolistic “red in tooth and claw” giant corporations. The first principle of the successful mega-firm is: Buy out your predator before he swallows

Down The Rabbit Hole, A Book Review

Down the Rabbit Hole How the Culture of Corrections Encourages Crime by Brent McCall & Michael Liebowitz Available at Amazon Price: $12.95/softcover, 337 pages   “ Down the Rabbit Hole: How the Culture of Corrections Encourages Crime ,” a penological eye-opener, is written by two Connecticut prisoners, Brent McCall and Michael Liebowitz. Their book is an analytical work, not merely a page-turner prison drama, and it provides serious answers to the question: Why is reoffending a more likely outcome than rehabilitation in the wake of a prison sentence? The multiple answers to this central question are not at all obvious. Before picking up the book, the reader would be well advised to shed his preconceptions and also slough off the highly misleading claims of prison officials concerning the efficacy of programs developed by dusty old experts who have never had an honest discussion with a real convict. Some of the experts are more convincing cons than the cons, p