HARTFORD, CT — Democrats on the Connecticut legislative Appropriations Committee revealed a $49.13 billion two-year budget proposal Tuesday that exceeds Governor Ned Lamont’s earlier plan and breaches the state’s spending cap by $131 million.
The proposed General Fund budget includes $23.97 billion for fiscal year 2026 and $25.16 billion for 2027, reflecting increases of 5.1% and 5.0% respectively over previous years.
In comparison, Lamont’s February plan called for $48.81 billion over two years, with more restrained 4.5% and 4.8% annual increases and adherence to the cap.
“This is a real budget for real people in real life,” said state Senator Cathy Osten (D-Sprague), the committee’s co-chair, as the panel opened its deliberations. The caucus process lasted more than five hours before reconvening at 4:00 p.m.
The Democratic proposal allocates $280 million more than the governor’s plan for UConn, the Connecticut State Colleges and University System, and UConn Health. It also adds $40 million for the state Department of Higher Education and another $40 million toward K-12 special education.
Smaller additions include $26.2 million in Educational Cost Sharing funds for towns currently deemed “overfunded” under the revised funding formula, $19 million for state service providers, and $8.2 million for 20 new hires at the Division of Criminal Justice by 2027.
House Speaker Matt Ritter (D-Hartford) and Senate President Martin Looney (D-New Haven) released a joint statement supporting the plan. “After years of constrained growth, flat funding, and the effects of inflation, the pressures from every sector in our state have grown significantly. The budget produced today represents an honest attempt to catch up and move forward,” they wrote.
They acknowledged the overrun of the spending cap but argued the existing guardrails are “too rigid to allow for the basic investments Connecticut must make.”
Republicans rejected the proposal outright, framing it as fiscally irresponsible. “That’s their message to Connecticut. They think you don’t pay enough in taxes,” wrote Senators Heather Somers (R-Groton) and Stephen Harding (R-Brookfield).
House Minority Leader Vincent Candelora (R-North Branford) echoed the criticism. “The math doesn’t work for residents struggling under the weight of costly government programs and bureaucracy,” he wrote. “This plan may be a starting point, but it’s far from where it needs to be.”
The Connecticut Hospital Association issued a statement thanking the committee for blocking Governor Lamont’s previously proposed out-of-network cap but warned that the broader policies under consideration “will worsen financial burdens on hospitals.” The group cited a lack of progress on Medicaid reimbursement rates as a critical concern.
Budget negotiations between the legislature and the Lamont administration are expected to continue for about six weeks.
The General Assembly must finalize a budget before adjourning on June 4.
