If the accused were trying to “stick it to the man,” they stuck it to the wrong one – the taxpayers who have been forced to subsidize these bad decisions through higher taxes.
What are the major cost driver's of Connecticut's deficit in 2020?
Connecticut's retirement healthcare fund for state employees is short $36 billion, which amounts to more than $10,000 per person in the state, according to a new study by the American Legislative Exchange Council.
The agreement negotiated between Gov. Dannel Malloy and government union leaders contains a provision that would provide healthcare for retired state employees through Medicare Advantage. But the inclusion of the Medicare Advantage switch in the deal with government unions may hamper future lawmakers’ ability to make administrative changes to the way Connecticut handles retiree healthcare.
Healthcare costs for retired state employees are projected to surpass the healthcare costs for current employees for the first time in 2017, according to the governor’s budget report.
Connecticut was labelled a “sinkhole state” and placed 49th in the nation based on its financial issues and taxpayer burden in the annual Financial State of the States report by Truth in Accounting, a government accounting think tank. The unfunded pension and healthcare liabilities were the largest factors of debt in determining Connecticut’s ranking.