Despite having a relatively modest emergency budget reserve right now, Connecticut’s saving strategy is better than those in most states, according to a new study by Pew Charitable Trusts.
Connecticut had enough assets in 2013 to cover just 48 percent of the long-term pension obligations owed to state employees and public school teachers.
Comptroller Kevin P. Lembo intends to change state government’s saving habits with a new reserve system that takes into account Connecticut’s lucrative-yet-volatile relationship with Wall Street.
Connecticut was far from the only state whose fiscal reserves weren’t enough to withstand The Great Recession, according to a new report from the Pew Charitable Trusts. The new study recommends several steps to help states better prepare for economic downturns – including proposals Connecticut’s legislature has resisted in the past.