Gov. Malloy announces new state budget changes

Posted: Updated:
NORWALK -

Western Connecticut homeowners taking a big hit under the new Republican tax law could get some help from Hartford.

The new federal law limits how much of one's state and local taxes can be deducted on a federal return. Instead of property taxes, Gov. Dannel Malloy wants to let residents make a "charitable" donation to towns.

The new plan also includes adding tolls by 2022, higher taxes on gas and cigarettes, and new taxes on restaurant meals, over-the-counter drugs and alcohol.

In return, Malloy is offering no new fare hikes on Metro-North. Dozens of road projects would be back on track as well.

"We were proposing a 10 percent fare hike on the New Haven line. We were proposing eliminating weekend and off-peak services on branch lines," says the governor's budget director, Ben Barnes.

State lawmakers return to the capitol Wednesday. They have to close a massive hole in the budget they just passed and find $85 million to avoid kicking more than 110,000 people off the Medicare Assistance Program.

"That's money they're going to have to find," Malloy says. "I think that's fair."

A new Sacred Heart University poll showed that 63 percent of residents are unhappy with the current state budget.

  • Connecticut SlideshowsSlideshowsMore>>

  • Stars and fans descend on San Diego for Comic-Con 2018

    Stars and fans descend on San Diego for Comic-Con 2018

    Over 130,000 pop culture devotees were gathering in San Diego's Gaslamp District for the annual four-day comic book convention Comic-Con, the big, bright and very heavily branded confab of costumed superfans and the corporate sponsors vying for their attention. Images via Getty.

    Over 130,000 pop culture devotees were gathering in San Diego's Gaslamp District for the annual four-day comic book convention Comic-Con, the big, bright and very heavily branded confab of costumed superfans and the corporate sponsors vying for their attention. Images via Getty.

  • Trump and Putin hold summit in Helsinki

    Trump and Putin hold summit in Helsinki

    (Photo by Chris McGrath/Getty Images)(Photo by Chris McGrath/Getty Images)

    Sights and scenes at President Donald Trump's summit with Russian President Vladimir V. Putin in Helsinki, Finland, on Monday, July 16, 2018. Images via Getty.

    Sights and scenes at President Donald Trump's summit with Russian President Vladimir V. Putin in Helsinki, Finland, on Monday, July 16, 2018. Images via Getty.

  • 2018 Mohegan Sun Arena performer lineup

    2018 Mohegan Sun Arena performer lineup

    Lorde will perform on Saturday, April 7 at 7 p.m. Photo by Kevin Winter/Getty ImagesLorde will perform on Saturday, April 7 at 7 p.m. Photo by Kevin Winter/Getty Images
    Lorde will perform on Saturday, April 7 at 7 p.m. Photo by Kevin Winter/Getty ImagesLorde will perform on Saturday, April 7 at 7 p.m. Photo by Kevin Winter/Getty Images

    The 2018 Mohegan Sun Arena performer lineup includes live music, entertainment, top headlining concerts and premier sporting events in Connecticut.

    The 2018 Mohegan Sun Arena performer lineup includes live music, entertainment, top headlining concerts and premier sporting events in Connecticut.

sorry to interrupt
your first 20 are free
Access to News 12 is free for Optimum, Comcast®, Spectrum Networks® and Service ElectricSM customers.
Please enjoy 20 complimentary views of articles, photos, and videos during the next 30 days.
you have reached your 20 view limit
Access to News 12 is free for Optimum, Comcast®, Spectrum Networks® and Service ElectricSM customers.
Please login or create an account to continue enjoying News12.
Our sign-up page is undergoing maintenance and is not currently available. However, you will be given direct access to news12.com while we complete our upgrade.
When we are back up and running you will be prompted at that time to complete your sign in. Until then, enjoy the local news, weather, traffic and more that's "as local as local news gets."