By Keith M.Phaneuf
While confirming that state government’s finances have slipped yet again, Comptroller Kevin P. Lembo also said today that a few “bright spots” show Connecticut’s economy might not be done growing.
And while the state entered a new fiscal year today, Lembo certified a $315.8 million deficit in the the outgoing budget — a shortfall that worsened largely because of further slippage in state income and sales tax receipts.
The deficit for the 2015-16 fiscal year, which is $56.7 million worse than projected one month ago, potentially could leave Connecticut with only about $90 million in its emergency reserve – a level equal to about one-half of 1 percent of annual operating costs.
Lembo, who recommends a reserve of 15 percent, will not formally close the books on 2015-16 until the end of September.
