By Keith M. Phaneuf

House and Senate Democrats today recommended opening a new casino, legalizing marijuana, and imposing deep cuts to municipal aid and public colleges and universities to balance the next two-year state budget.

And while their plan begins the process of establishing tolls in future years, it strips transportation reserves in the short term while selling 35 acres in Hartford along the elevated Interstate 84 highway to keep the state’s transportation program afloat.

The Democratic plan consolidates several departments, retains but reduces the public financing program for state elections, and closes an unnamed prison, the Connecticut Juvenile Training School and the Southbury Training School.

Like Malloy, who submitted his latest budget proposal on Monday, the Democratic plan also relies on state employee unions to provide concessions worth $1.57 billion over the next two fiscal years combined.

By Keith M. Phaneuf, Jacqueline Rabe Thomas, Kyle Constable, and Jake Kara

UPDATE Gov. Dannel P. Malloy today recommended more than $700 million in cuts to municipal aid to help compensate for a $1.5 billion projected decline in state income tax receipts over the next two years.

[Under the revised budget proposal, Westport, which in this fiscal year received $1,673,011 in state aid, would owe the state $4,611,597 in the next year, according to the state Office of Fiscal Analysis.]

The adjustments Malloy proposed to the $40.6 billion, two-year budget he first unveiled on Feb. 8 also would add about $80 million in annual tax hikes to the $600 million in new yearly revenue recommended three months ago.

Most of the increase comes from boosting the real estate conveyance tax, though the governor also recommended ending the sales tax exemption on nonprescription drugs and imposing certain restrictions on business tax credits.

Town of Westport officials today announced positive results from a $6.9 million bond sale.

The sale, which occurred May 9, yielded competitive interest rates on the strength of solid reviews from Moody’s Investors Service, an announcement said.

“I am very pleased that our bonds were in such a high demand,” said First Selectman Jim Marpe. “These great results will keep our debt service costs, and the burden on the taxpayers, as low as possible.”

The town received a total of eight bids on the bonds with Fidelity Capital Markets submitting the winning bid. Fidelity beat out firms such as Roosevelt & Cross, J.P. Morgan Securities, Janney Montgomery Scott, and FTN Financial Capital Markets, among others, the announcement said.