Despite claims of looming fiscal disaster because of federal funding cuts, data from the state’s new public tool show a different story.
Last month, Gov. Ned Lamont launched a reporting system to track the impact of federal policy changes on state agencies, nonprofits, and municipalities. Touted as a way to capture real-time data and prepare for potential budget shocks, the online reporting system has only attracted a few dozen entries — highlighting big difference between rhetoric coming out of Hartford and reality.
In an April 16 press release, Gov. Lamont’s office encouraged “businesses, nonprofits, and municipalities in Connecticut that have been impacted by recent actions from the federal government to report that information to the state,” so it can be compiled into a central database and help policymakers better understand how these directives are affecting different sectors, communities, and regions across the state.
Gov. Lamont defended the tool by saying, “State government has an important responsibility in responding to any crisis that is happening within our borders, and this reporting tool is intended to shed a light on how these changes from the federal government are affecting people who live, work, and learn in Connecticut.”
But as of May 6, only 45 reports had been submitted. And five of them had nothing to do with federal policy changes. One entry was just a question for Attorney General William Tong about privacy rules and data breaches. Another person claimed they were “experiencing excessive taxation due to poor fiscal management of NGO’s by State Authorities and the State Legislature.”
The most common complaint was “Federal Assistance Cancelled,” which appeared fifteen times. “Tariff Impact” came in second, with six mentions.
Among the more dramatic entries logged came from the Connecticut Roundtable on Climate and Jobs (CRCJ) — a far-left nonprofit claiming it’s on the brink of collapse after not receiving a $226,000 grant from the EPA’s “Thriving Communities” program. According to their own report, that grant makes up nearly half their annual budget.
In its entry, CRCJ said the lack of payment “threatens the existence of our nonprofit,” which they described as serving “labor, environmental, religious, social justice, and community-based organizations” across Connecticut since 2012.
The organization wasn’t just a recipient of EPA funding — it was handpicked to serve as Connecticut’s “anchor organization” for the entire Thriving Communities program. Its job was to work with the EPA’s regional grant maker to recruit “diverse applicants for subgrant opportunities” and help funnel climate dollars to groups pushing “environmental, racial, and economic justice.”
Another complaint claimed that federal science agencies were missing or reduced at a recent national science teachers conference.
Meanwhile, the Women’s Business Development Council (WBDC) in Stamford submitted information but noted that federal funding delays have been minimal so far. The affected funds make up a small portion of their budget. Moreover, WBDC indicated it’s only a quarter behind on payments, and operations are currently steady. If the delays do stretch into multiple quarters, WBDC says it’s ready to adjust programming as needed to keep supporting their mission.
Conversely, like CRCJ, Connecticut Humanities is panicking after the National Endowment for the Humanities (NEH) yanked four of its grants on April 2, including more than $400,000 pulled from a $3 million general operating grant and another $476,000 canceled before a single dollar was paid.
Two smaller grants were also cut off midstream. One was for a project with the University of Connecticut called “United We Stand,” which, according to the NEH, aims to “leverage the humanities to combat hate-motivated violence and nurture stronger, more resilient communities.” The other would have expanded National History Day to Mashantucket Pequot and Mohegan students. Though the work was mostly done, NEH stated the reports weren’t filed in time; therefore, it has received nothing from the federal government. The group also admitted the lost federal funding covered a large portion of its payroll, rent, and basic operations. Now it’s warning of program cuts and staff reductions.
The most serious report — both for the organization and the community — came from EdAdvance, which shared that the federal government pulled the plug on a $9 million grant that funded 17 mental health providers in 32 rural schools across northwest Connecticut. The program was in its third year. Just this year, counselors had logged thousands of sessions helping students with social skills, self-regulation, and decision-making. EdAdvance says many of these schools would have no mental health support at all without it.
Additionally, eight cases were either cancelled or reduced due to a lack of funding for immunization and vaccination programs. Two reports failed to show any specific information, and two others were based entirely on unconfirmed rumors.
Still, there’s no evidence in the state’s own database of widespread layoffs, program cancellations, or community crises.
Meanwhile, the Capitol Dispatch — a news outlet operated by the Connecticut Senate Democratic Caucus — declared, “Connecticut has lost as much as $425 million in federal funding in the first 100 days of the Trump administration.”
The number might grab headlines, but it stands in stark contrast to the handful of vague complaints actually submitted through the state’s own tool.
Of course, the database only reflects what’s been submitted. It’s possible that additional cuts exist but haven’t been reported. However, if this is the state’s best evidence of a fiscal crisis, it’s not exactly compelling.
If this tool is supposed to warn us of a crisis, it’s not ringing any alarms. Most of the reports are vague, minor, or completely unrelated to federal policy. There is no pattern, no clear impact, and certainly no sign of an emergency. What we’re left with is a state-run complaint box shedding little light and offering even less justification for the crisis narrative built around it.
