Calling the move “a direct response to the strains being placed on town, school district, and family budgets,” Gov. Ned Lamont announced a deal with Democratic lawmakers that will add $270 million for school and municipal funding in Connecticut's fiscal 2027 budget.
$170 million of that amount is for public school funding, and another $100 million comes from the state’s “Pequot/Mohegan grant.” Both will be distributed to towns and cities, which can use the funds for schools and other projects so they don't have to raise property taxes.
“By closing funding gaps for our schools and municipalities,” said Lamont, “we can help communities avoid raising property taxes while keeping classrooms running and local services strong.”
The funding will help cities facing school deficits, including Bridgeport, Hamden and Hartford. House Speaker Matt Ritter (D-Hartford) says the capital city will receive about $30 million, or about half what it needs to cover Hartford’s combined deficit for this school year and next (2026-27). “That is a substantial increase from what we thought we could get,” said Ritter.
Hartford Mayor Arunan Arulampalam says he spoke repeatedly in recent weeks with Ritter about his city’s needs, saying the state investment is “really good news… We really need help to get through this budget year to ensure that we’re not laying off hundreds of paraeducators and we’re doing right by our students.”
“This will take care of a significant chunk (of the deficit) and I think there will be more coming out in the coming days on how the remainder of it will be addressed.”
New Haven Mayor Justin Elicker says the Elm City is facing a $13 million school deficit for this year, and a bigger one next year. He’s thankful for the incoming state help, but he says lawmakers need to do something about how much the state spends on each student, which hasn’t changed since 2013.
“While we await the final amounts for each municipality, this new investment will represent millions of dollars in additional state aid for our city and school district,” said Elicker. “I want to thank Governor Lamont, Senate President Looney, Speaker Ritter and the entire New Haven State Delegation for this commitment.”
“We also know that much more work remains to ensure there is an appropriate long-term fix to the state’s outdated Education Cost Sharing formula so that our students and schools are adequately and equitably funded moving forward. We look forward to working with our state leaders towards this shared goal.”
Republicans like House Minority Leader Vin Candelora also says the state should be spending more on education.
“You can see every community over the last 20 years has shifted a larger portion of their budget onto property taxes,” said Candelora, “because Connecticut is failing to keep up with inflation.”
Lamont’s budget compromise with lawmakers also includes $300 million for the governor’s child care endowment fund.
The final budget is subject to votes by the full legislature, which could come by Saturday or Monday. The current legislative session ends next Weds., May 6.
