Hartford, Conn. (WTIC Radio)-Businesses and House and Senate Republicans want surplus American Rescue Plan funds used to retire the state's Unemployment Insurance Fund Debt, currently about $463 million.
The state of Connecticut had to borrow $888 Million during Covid for unemployment.
Connecticut Business and Industry President and CEO Chris DiPentima said businesses face a 22-percent tax increase over the next four years unless that debt is retired.
Wendy Traub runs Hemlock Directional Boring. She said the company's solvency is reviewed on a week-to-week basis, adding most of her business had to hold bid prices from two years ago.
"Diesel has skyrocketed in the past few months. Material costs have increased tremendously. We have increased our wages to hire laborers. All of this is raising our job costs to an unprecedented amount, therefore jeopardizing our profits."
House Republican Leader Vincent Candelora (North Branford) said a trade-off in policy is unnecessary. "There's $400 million in unallocated ARPA money that could go into this account. It speaks volumes that they (Democrats) are not willing to put money there. They'd rather save it for future spending. It makes no sense."