House Republican Press Release

 

 

 

April 24, 2007

Press Office: 860-240-8700

 

GREENWICH DELEGATION: SUPPORTS ALTERNATIVE ‘NO TAX’ REPUBLICAN BUDGET

 

“HOUSE UNITED FOR TAX-FRIENDLY PLAN”

 

HARTFORD – State Representatives Livvy R. Floren, R-149th District, Lile R. Gibbons, R-150th District and Claudia “Dolly” Powers, R- 151st District, today announced support for a House Republican alternative budget proposal that would also begin to provide direct tax relief to residents of Greenwich and would also encourage retirees to stay and retire in Connecticut.

 

Rep. Floren added, “The state can meet the needs of its citizens within existing revenues. It is irresponsible to increase taxes when we have no emergency and when we have consistently run a surplus for most of the past 15 years. ”

 

House Republicans have proposed a budget alternative that does not raise taxes and maintains current levels of spending. Greenwich would receive $1.1 million and Stamford $2.4 million of additional school aid under the “No-Tax-Increase Republican Budget Alternative” with no increase in the state income tax and provides for more educational accountability in our schools. The Republican budget proposal also would begin to reduce other taxes, including the state income tax on senior citizen pension benefits.

 

Rep. Gibbons said, “Any increase in the income tax this year is totally irresponsible.  We have had a budget surplus for two years running. Our rainy day fund is full with $1 billion in excess revenue. We need to prioritize our ‘wants’, say no to new programs such as the Earned Income Tax Credit (EITC) and be fiscally responsible.  So hard to do but so necessary if the state is going to retain those taxpayers who pay the majority of the taxes.”

 

Rep. Powers said, “ There is a basis philosophical difference between Republicans and Democrats: the state can and should live within its means, working hard on behalf of all citizens, and respecting the limits of taxpayers wallets.”

Details of the plan include getting rid of the business entity tax which unfairly penalizes “mom and pop” stores, and electricity sales tax on businesses. Additionally, the proposal eliminates the so-called “cliff” for estates’ $2 million and more and begins to phase out the estate tax completely, next fiscal year.

 

In stark contrast to the Democratic plan that would boost spending a whopping $1.7 billion, the Republican plan would spare taxpayers any more pain. But Republicans noted that their plan increases spending in many areas:

·        School spending for every town goes up;

·        Medicaid reimbursements for Hospitals is increased $100 million to expand health care access for thousands;

Environmental clean up programs will also get an additional $100 million.