A Review of Connecticut's Revenue Diversions
Dec 4, 2020
School + State Finance Project Original Content
The Connecticut General Assembly has periodically created “revenue diversions” in state statute. A “revenue diversion” is established when the General Assembly diverts a portion of revenue, which would otherwise be deposited into the General Fund, to a different fund or account. Revenue diversion statutes are explicit in the amount of revenue that is diverted, established as either a percentage of total revenue or a flat dollar amount, along with a description of what the diverted revenue will support. Once established in state statute, revenue diversions exist in perpetuity unless adjusted by the General Assembly.
In an effort to make the State of Connecticut’s budget and financial resources more transparent, the School and State Finance Project has conducted a review of the State’s current revenue diversions. This review is intended to promote a dialogue about current revenue diversions as the General Assembly heads into the next regular legislative session facing projected deficits and the task of adopting a biennial budget.
School and State Finance Project. (2020). A Review of Connecticut's Revenue Diversions. New Haven, CT: Author. Retrieved from http://ctstatefinance.org/resources/uploads/files/Connecticuts-Revenue-Diversions.pdf