House Republican Press Release

April 25, 2007

Press Office: 860-240-8700

Rep. Scribner: Republican ‘No Tax Increase’ Alternative Budget The Best Path For Connecticut

Brookfield, Bethel Would Receive More Education Funds Than Under Majority Party Plan

HARTFORD – On Tuesday, April 24, State Rep. David Scribner (R-Brookfield, Bethel), announced his support for an alternative budget plan that requires no new taxes, is balanced and would save taxpayers at least $1 billion over the next two years without slashing vital state services.

Under the House Republican “No-Tax-Increase Republican Budget Alternative, Brookfield would receive an additional $470,132 in state Education Cost Sharing (ECS) funds (as opposed to $40,185 in the Democrat proposal) and Bethel would receive an additional $552,705 in state ECS funds (as opposed to $351,878 in the Democrat proposal). Unlike previous budget proposals offered during the 2007 Legislative Session, these increases would not be accompanied by hikes in the state income tax. The Republican budget proposal would also begin to reduce other taxes, including the state income tax on senior citizen pension benefits.

“The growing disparity in education funds is addressed in this proposal,” said Rep. Scribner. “It starts to give back money to many of the towns that have received very little and does so in a more responsible way than any of the budget proposals we’ve seen so far.”

In direct contrast to the Democrat plan that would raise spending by $1.7 billion, the Republican plan would spare Connecticut another tax hike. But Republicans noted that their plan increases spending in many areas:

· $358 million in public school funding and $1.1 billion for fully funding teachers’ pensions;

· Medicaid reimbursements for hospitals increases by $87 million to expand healthcare access for low income families;

· another $50 million for other providers and $13 million for nursing homes;

· municipal aid for town and city PILOTS, Town Aid Road and the Pequot Fund goes up by $23 million;

· $20 million for a unique first-time home buyer’s initiative for college graduates that will help keep young people in Connecticut;

· Dedicates $2 million to help state dairy farmers meet the rising costs of doing business.

Connecticut residents already pay the highest taxes in America, and raising them higher only drives them away to lower cost states. House Republican tax cuts include:

· Phasing out the state income tax on pensions to save retirees $33 million;

· Eliminating the annual tax on small businesses resulting in a $25 million savings;

· Doing away with the electricity sales tax for businesses resulting in a $30 million savings;

· Retaining the clothing tax exemption Democrats want to do away with;

· “Deleting” the Internet sales tax scheme as proposed by the Democrats.