Connecticut Cities' Fiscal Follies (Guest: Scott Shepard)
Scott Shepard, the Yankee Institute's Director of Policy and Research, joins the podcast to talk about the State of Connecticut's out-of-control spending, and why policymakers need to rein in reckless use of the state government's credit card.
The city of New Haven is requesting $217,597 from Connecticut taxpayers to fund the construction of a "splash pad" at the local park, just after the city gave $250,000 in bonuses to 37 management employees. Other cities are asking the state's Bond Commission for "free money" to fund their own projects, instead of paying for it themselves, leaving everyone in the state with the bill.
Connecticut has taken out loans from future taxpayers to fund new economic-development throughout the past few years, but the state’s economy has remained tepid and economic growth has languished, Shepard says.
Instead of running up debt in the name of economic development, Shepard says state lawmakers need to get government out of the way of business owners and consumers. Lower taxes and fewer regulations are the key to true economic development, and Connecticut should look towards taxpayer-friendly states, including Colorado or Kentucky, he says.