Seal of the  State of Connecticut, Office of the State Comptroller

STATE OF CONNECTICUT

NANCY WYMAN
COMPTROLLER

OFFICE OF THE STATE COMPTROLLER
55 ELM STREET
HARTFORD, CONNECTICUT 06106-1775

MARK OJAKIAN
DEPUTY COMPTROLLER
WYMAN SAYS DEFICIT WORSENING, BUT ECONOMY
SHOWING SIGNS OF IMPROVEMENT
Contact: Steve Jensen
860-702-3308

State Comptroller Nancy Wyman today said that a sharp drop in tax revenues has worsened the state's projected budget deficit to nearly $120 million - a figure that includes the Governor's proposed deficit-reduction plan.

The largest single component of the revenue decline results from lower payments on the capital gains portion of the income tax, due to the erratic performance of the financial markets, Wyman said. Revenues from the sales tax and the corporation tax also were well below expectations.

Wyman also noted, however, that several other state and national economic indicators - including growth in wages, housing sales and consumer spending - showed recent signs of improvement.

"There is some positive news that the overall economy is stabilizing," Wyman said. "Consumer confidence is rising and the employment picture is starting to brighten."

While Connecticut lost about 18,000 jobs during 2001, the rate of job losses in December was about half of what the state experienced through the fall months. The largest declines continue to be in manufacturing.

Receipts from slot machines at the state's two casinos were up 25 percent in December. Foxwoods, with 6,640 slots, saw an increase of 15.5 percent from last December. The Mohegan Sun, with 6,219 machines, saw an increase of 36.5 percent.

The State Comptroller appreciates input on this and other issues from residents of the state. Please feel free to contact her office by phone - (860) 702-3300; mail - OSC, 55 Elm Street, Hartford, CT 06106; or, via E-mail - osc.opinions@po.state.ct.us

Learn more about the Connecticut Comptroller's Office by calling up our Internet Home Page, at the link below.

For Immediate Release
February 1, 2002

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