Rainy day fund to cover $115.7M budget deficit

Rainy day fund is being used to cover a lingering $115.7 million deficit.

Photo Courtesy: MGNonline

HARTFORD, Conn. (AP) — Connecticut’s rainy day fund is being used to cover a lingering $115.7 million deficit in the current fiscal year budget.

Gov. Dannel P. Malloy’s budget secretary announced Friday the deficit in the state’s General Fund improved by $49.2 million from last month’s estimate. He said it was due largely revenue improvements.

Ben Barnes said any remaining deficit will be “extinguished via transfer from the Budget Reserve Fund” as part of closing out the fiscal year, which ends June 30.

Malloy made three rounds of mid-year budget cuts to fix the deficit. In April, he said it was too early to say whether the rainy day fund was needed.

House Minority Leader Themis Klarides criticized Malloy for saying there wouldn’t be a deficit, saying none of his predictions have come true.

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