The Impact of the Governor’s Proposed Fiscal Year 2011 Budget on Children

Back • Publication Date: January 3rd, 2009

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In her midterm budget proposal for Fiscal Year 2011, Governor Rell would reduce funding for many programs that directly affect children, youth, and their families. The Governor’s budget calls for an estimated net $74.9 million reduction in funding for a variety of services that have a clear and direct impact for children, youth and families. This includes $105.6 million in funding cuts and $30.6 million in funding increases ($11.2 million of the increase was in the Temporary Assistance to Needy Families [TANF] cash assistance program, probably reflecting an increased demand due to the recession.)

However, the Governor avoided many of the most damaging cuts that had been proposed in her deficit mitigation proposal of December 2009. Unfortunately, much of the funding for preserving these services comes from the use of one-time revenues and budget gimmicks such as current federal stimulus funds, transfers between state accounts, delay of payments to state employee retirement accounts, securitization (selling) of future revenue streams, and the hope of expanded federal aid. Given that the state is facing an historically large $3.9 billion deficit in Fiscal Year 2012 (according to the Office of Fiscal Analysis), a continued reliance on one-time, quick fix budget solutions places Connecticut’s children and economic future at an even greater risk.