During Lamont’s first full fiscal year in office, 2019-20, the state used $125.7 million in bond premiums to support the budget, according to the treasurer’s office. And another $117.8 million is projected to go for that purpose this fiscal year. With about $27 billion in bonded indebtedness, Connecticut is one of the most indebted states, per capita, in the nation. Analysts warned in February that state finances, unless adjusted, would run about $2.6 billion in deficit over the next two fiscal years combined. But Connecticut has more than $3 billion in its emergency budget reserve, commonly known as the rainy day fund. And state officials also are projecting the state will receive close to $2.7 billion in new federal aid that can be used to help balance the next state budget, based on the relief package recently enacted by Congress. Sen. John Fonfara, D-Hartford, co-chair of the Finance, Revenue and Bonding Committee, also said Connecticut shouldn’t stop trying to abandon this practice.
Lamont’s budget would borrow nearly $220 million — to pay off borrowing