Dannel P. Malloy

GOVERNOR
STATE OF CONNECTICUT

August 2, 2017

Secretary Ben Barnes

Office of Policy and Management
450 Capitol Ave.

Hartford, CT 06106

Dear Secretary Barnes:

As we know, municipal aid accounts for our single largest state expenditure more than $5 billion of our
state budget. The vast majority of that funding is for educational aid, which amounts to $4.1 billion, or 81
percent, of all state funding given to local government.

In recent years, [have made it a priority to protect aid to municipalities. In contrast, we have made
drastic changes to how we fund other areas of state government both in total funding and in our
rationale for how limited dollars are allocated. We?ve reduced state services; we?ve cut funding to private
providers; we?ve asked state employees to come to the table with concessions; and we?ve raised revenues.
Throughout all of this, we?ve held town aid harmless. In fact, it could be said that we have sacri?ced state
services and raised revenues in order to shield town government from facing dif?cult choices required of
state leaders and implementing reforms.

As our state struggles to finalize a biennial budget, how we fund our single largest expenditure must be on
the table for discussion with the General Assembly and the public. If we fail to recalibrate aid based on
shifting local demographics, economies, and need, we risk perpetuating an inequitable distribution of
burden among our communities. We risk not investing in the communities that should be our assets in
attracting economic development, young professionals, and families.

Therefore, in an effort to inform and facilitate the budget process now underway, I ask that you send me-
information and analysis regarding municipal aid, local tax levels, expenditure trends, fund balances, and
any other criteria that could better inform our decisions. These reports should include both historic trends
and current ?scal conditions. They should also be shared publicly when completed.

Thank you for your prompt attention to this matter.

Sincerely,

 

Governor Dannel P. Malloy

210 CAPITOL AVENUE, HARTFORD, CONNECTICUT 06106
TEL (860)566-4840 0 FAX (860)524-7396 Wgovernornngov
governo r. a] oy@ct. gov