Sunday, October 18, 2026

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Malloy Warns of Need for Concessions, Smaller Government, New Aid Formulas

By Mark Pazniokas and Keith M. Phaneuf

www.ctmirror.org

Gov. Dannel P. Malloy set the stage in his 2017 State of the State address today for a protracted and difficult debate on how to further shrink state government, extract more concessions from unions on pension and health benefits, and better focus a smaller pool of state aid for education on the systems most in need. 

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Gov. Dannel P. Malloy delivers his State of the State message today. (CLICK TO ENLARGE) Jacqueline Rabe Thomas for Ctmirror.org

After recently negotiating significant changes to how the state will pay down its unfunded pension liability, Malloy alerted a half-dozen labor leaders before the speech that he will be seeking unspecified concessions that he says must be part of “a responsible and balanced solution to our budget problem.”

“These changes can and should be reached respectfully, and at the bargaining table,” Malloy told a joint session of the General Assembly. “Our state must honor its legal obligation to our public servants and state retirees, while at the same time keeping our promises to Connecticut taxpayers.”

In his seventh speech marking the opening of a General Assembly session, the Democratic governor eschewed his usual practice of pitching new initiatives, instead emphasizing concessions, the size of government and local aid as three broad areas he sees dominating a session certain to hinge once again on the struggle to the balance the budget in a state not fully recovered from the Great Recession of 2008.

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