Gov. Rell’s Full Statement On Vetoing Democrat-Written Budget: Not Enough Cuts, Too Many Tax Increases

Republican Gov. M. Jodi Rell was in Colorado on Friday, but she received detail information there on the Democrat-written budget plan at the state Capitol.

Shortly before 11 p.m., the Rell administration announced that she would veto the bill. The word spread quickly around the Capitol, and at 11:12 p.m., an announcement was made over the Capitol’s public address system that there would be an immediate caucus for the Senate Democrats.

In a rare move for a governor who has often said that she wants to carefully read the final wording of the bill after it is passed by both chambers, Rell made her announcement even before a single word of debate had been uttered on the Senate floor.

Rell’s full statement is as follows:

“Unfortunately, I will have no choice but to veto this bill. It is woefully short on real spending cuts and burdensomely high on tax increases – it even increases a tax, the proposed hospital user fee, which has not yet taken effect. The plan, while about $100 million higher than mine, also relies on revenue from a whole host of sources that are unrealistic at best.

 “In essence, this Democrat deficit mitigation plan raises taxes by $180 million, cuts spending by a paltry $65 million and relies on $175 million in other revenue, creative accounting and blithe assumptions to make up the difference.

 “My proposal, by contrast, calls for $64.7 million in taxes, $201 million in real spending cuts and $58 million in transfers from other state funds.

 “As usual, the Democrats give short shrift to spending cuts and high priority to increasing taxes and other revenue – just at the time when Connecticut’s families and employers can least afford it. The Democrats’ meager spending cuts will do nothing to solve the long-term structural problems within our budget and the unaffordability of state government. It is time that our elected officials stood up and did what is right for the taxpayer.

 “However, to the extent that the Democrat plan incorporates some of my spending cuts, I am encouraged – and would welcome the opportunity to work together on a mutually acceptable package.”

Derek Slap, a spokesman for Senate President Pro Tem Donald Williams of Brooklyn, said Rell’s veto is related directly to the Democratic plan to delay the reductions in the estate tax. Rell had vetoed a similar provision shortly after Christmas.

“Gov. Rell’s veto threat is unwarranted and irresponsible,” Slap said. “Democrats have a plan to cut the budget by more than $600 million, and it is done without raising taxes on the middle class and without cutting municipal aid. The governor’s veto threat is motivated by one thing and one thing only – protecting a tax break for the wealthy that the Democrats know Connecticut cannot afford.”

The House is scheduled to debate the bill in a rare Saturday session, but it was possible that the session could be canceled following Rell’s veto threat. Lobbyists and lawmakers were unsure early Saturday if the House would be coming into session – under the view that some Democrats wanted to avoid being forced into difficult votes on budget cuts if Rell was going to veto the bill, anyway.

The Senate still had not started the debate as of 12:45 a.m. Saturday