State fund for transportation, on track to fail in 2024, will be focus of General Assembly

Lamont’s budget staff in the Office of Policy and Management recently reported that the state’s Special Transportation Fund (STF) will end the fiscal year on June 30 with only about $108 million, down from $320 million on July 1, 2019 and just a fraction of the hundreds of millions needed to fund the major infrastructure projects Lamont wants. The STF is on track to go broke in 2024, due to lower gasoline taxes that feed the fund, less driving in the pandemic and the increase in electric cars. While the biennial budget-setting session starts on Jan. 6, Lamont has until mid-February to propose a new tax-and-spend package. He said a lot will depend on what President Joe Biden can persuade Congress to do, with or without Democratic control of the U.S. Senate. For that, the traditional political divide, between lawmakers who want to cut spending and services and those who want to raise taxes on the wealthiest residents will have to be bridged.

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