Malloy says debt ceiling impasse would hit CT hard

Gov. Dannel Malloy said Friday that if Congress fails to raise the debt ceiling, it would have a severe impact on the state.

“For Connecticut, such a failure would result in a serious disruption to our cash flow, negatively affect our access to the capital markets, and harm our economy,” Malloy wrote in a letter to congressional leaders on Friday.

Malloy said he supported a broad and balanced debt-reduction package, although he spelled out some concerns about specific propels that have been floated so far and that would have an adverse impact on the states. The prospects for a broad deal appeared to dim considerably Friday evening, as talks broke down once again. House Speaker John Boehner, R-Ohio, said that he was pulling out of talks on a major debt-reduction package.

If the White House and Congressional Republicans couldn’t come to an agreement, they needed to act quickly on a debt-ceiling hike, Malloy said in his letter, or risk serious harm to states. Here’s the full letter.