STATE OF CONNECTICUT
NANCY WYMAN COMPTROLLER	OFFICE OF THE STATE COMPTROLLER 55 ELM STREET HARTFORD, CONNECTICUT 06106-1775	MARK OJAKIAN DEPUTY COMPTROLLER

State Comptroller Nancy Wyman said today that continued strong revenues from Connecticut's income and sales taxes will produce an estimated budget surplus of $127.1 million at the end of the 2000 fiscal year.

Wyman's latest surplus projection is about $39.1 million higher than last month's estimate, due to unexpectedly high tax revenues produced by the state's robust economy. Combined, the income and sales taxes are expected to bring in about $7 billion by the end of the fiscal year, or about $106 million more than was originally expected.

The revenues are driven by solid state growth in jobs, wages and retail sales and by the continuing record expansion of the national economy, Wyman said.

"February will mark the longest economic expansion in our nation's history," Wyman said. "Connecticut's economy and the tax revenue it is producing are a reflection of that national growth."

Wyman, however, expressed concern that state government is expected to spend more than $120 million over what was originally budgeted for the 2000 fiscal year, forcing the imposition of across-the-board spending cuts. Wyman said she will push this legislative session for the state to adopt a system of performance-based budgeting that would allow for specific program areas to be targeted for savings.

"As we enter the new decade, we must devote more energy to updating Connecticut's antiquated financial systems," Wyman said. "Across-the-board cuts typically hurt programs that are performing well and do nothing to eliminate programs that are not working. Performance-based budgeting would show taxpayers and policymakers in detail which programs are cost-effective and which are not."

The State Comptroller appreciates input on this and other issues from residents of the state. Please feel free to contact her office by phone - (860) 702-3300; mail - OSC, 55 Elm Street, Hartford, CT 06106; or, via E-mail - osc.opinions@po.state.ct.us

Learn more about the Connecticut Comptroller's Office by calling up our Internet Home Page, at the link below.

For Immediate Release
Date: January 3, 2000

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