Connecticut Governor Talks State Funding

Summary

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Bloomberg Talks: Connecticut Governor Ned Lamont on State Funding and Economic Policy

Date: October 7, 2025

Episode Overview

In this episode, Bloomberg sits down with Connecticut Governor Ned Lamont during the Greenwich Economic Forum to discuss the state's approach to funding social services, balancing budgets, business attraction, and the broader impacts of federal policy uncertainty. Lamont shares insights on leadership amid government shutdowns, the economic interplay with New York, Connecticut’s efforts to remain competitive with other states, and his vision for the state’s future, focusing on housing and manufacturing advancements.

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Key Discussion Points & Insights

1. Balancing Business Attraction with Social Services ([00:22]–[01:20])

• Business Environment:
  • Lamont highlights Connecticut's role in the financial ecosystem, especially as part of the New York City orbit.
  • Certainty, stability, and an appealing lifestyle are touted as top factors for attracting companies.
• Quote:
  • “I think what they like here is a little bit of certainty and stability. They sort of know where the state's going to go or taxes a little bit less. And it's not a bad lifestyle.”
    — Governor Ned Lamont [00:58]

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2. Regional Dynamics: Impact of New York City Leadership ([01:20]–[01:55])

• Importance of NYC:
  • Lamont underscores the interconnectedness of Connecticut with New York's financial sector.
• Quote:
  • “New York City is the financial capital of the world and we're a big piece of it here...I want to make sure that the next mayor understands how important New York City is to that system and that's important to Connecticut.”
    — Governor Ned Lamont [01:41]

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3. Leadership and the Democratic Party ([01:55]–[02:26])

• Governors vs. Washington:
  • Lamont asserts that real party leadership and functional governance come from governors, not Congress.
• Memorable Moment:
  • “Governors have to get stuff done...Governors can't shut down a government. Governors are sort of the opposite of what you see going on in Washington, I think on both sides.”
    — Governor Ned Lamont [02:04]

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4. Frustrations with Federal Instability ([02:26]–[03:35])

• State-Level Budgeting vs. Federal Uncertainty:
  • The shutdowns force difficult decisions, especially regarding federal funding for social programs like WIC and SNAP.
• Concrete Examples:
  • Connecticut has only a week’s cushion for WIC and until the end of the month for SNAP.
• Quote:
  • “We balance our budget...They [the federal government] pull the rug out from under you every week. Seems to be happening right now. It makes it very difficult for that certainty and stability that the people in this room like.”
    — Governor Ned Lamont [02:40]
  • “SNAP benefits is probably $75 million a month. I cannot make up that shortfall. So if the federal government walks away, that's tough.”
    — Governor Ned Lamont [03:43]

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5. Loyalty and Leadership in the Party ([04:02]–[04:49])

• State Above Party:
  • Lamont prioritizes Connecticut’s interests over partisan alignment.
• Governors Speak With One Voice:
  • Calls for Democratic governors to clearly advocate for supportive, stable federal partnerships.
• Quote:
  • “As governor, you feel strong allegiance to your state. I'm a homer for Connecticut. I'm Team Connecticut.”
    — Governor Ned Lamont [04:21]

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6. Federal-State Tensions and Security ([04:49]–[05:24])

• Images of National Guard Deployments:
  • Concern about potential for “state vs. federal government” conflict, referencing Ray Dalio’s warnings.
• Light Moment:
  • “I talked to General Yvonne...I said, any inquiries from the federal government? I don't know. We just sent our guard to Djibouti, not to Chicago. I feel pretty good about that.”
    — Governor Ned Lamont [05:03]

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7. Attracting and Retaining Businesses ([05:24]–[06:22])

• Infrastructure and Taxes:
  • Investment in faster rail to New York City, maintaining balanced budgets without raising taxes, and focus on a reliable workforce.
• Strategy on Taxation:
  • Opposition to sweeping tax elimination promises; instead, emphasizes stability and targeted middle-class tax cuts.
• Quotes:
  • “We haven't raised taxes in seven years. We balance the budget. I think that typist pretty helpful.”
    — Governor Ned Lamont [05:35]
  • “I'm a governor, so I can't overpromise...What's more important to the folks I talk to is what's the state going to look like one year and five years from now?”
    — Governor Ned Lamont [06:01]

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8. Governor’s Vision and Policy Priorities ([06:22]–[07:02])

• Top Priority: Housing
  • Cites a revival in migration of young people to Connecticut and the need for more housing to support this trend.
• Urban Revitalization:
  • Focus on building appealing cities for businesses and residents.
• Quote:
  • “I need housing...as I talk to the businesses and say, is this a place where young people, young employees want to be? I'm trying to say yes.”
    — Governor Ned Lamont [06:31]

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9. Embracing Advanced Manufacturing ([07:02]–[07:27])

• Reindustrialization Strategy:
  • Aims for Connecticut to be the “Silicon Valley of manufacturing,” touting growth in sectors like submarines, jet engines, choppers.
• Workforce and Energy Focus:
  • Emphasizes workforce development and reducing electricity costs as core to the next manufacturing wave.
• Quote:
  • “We do a lot of complicated stuff like submarines, jet engines and choppers, and they are growing fast...that's changing too. It's getting increasingly energy intensive. So I've got to bring down the price of electricity as best I can and make sure they have the workforce. It's all sort of an AI computerized workforce now.”
    — Governor Ned Lamont [07:02]

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Notable Quotes

• “Governors have to get stuff done...Governors are sort of the opposite of what you see going on in Washington.”
  — Governor Ned Lamont [02:04]
• “I'm a homer for Connecticut. I'm Team Connecticut.”
  — Governor Ned Lamont [04:21]
• “SNAP benefits is probably $75 million a month. I cannot make up that shortfall. So if the federal government walks away, that's tough.”
  — Governor Ned Lamont [03:43]
• “I need housing. You know, for the first time in a long time, a lot of young people are moving out here.”
  — Governor Ned Lamont [06:31]
• “I'd like to think of us as the Silicon Valley of manufacturing.”
  — Governor Ned Lamont [07:02]

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Recurring Themes

• Fiscal Responsibility:
  Connecticut’s focus on balanced budgets and not raising taxes.
• Unpredictability of Federal Policy:
  How government shutdowns hinder state planning for vital services.
• Economic Competitiveness:
  Investing in infrastructure and making policy choices attractive to business and residents.
• Future-Readiness:
  Emphasis on advanced manufacturing and housing to sustain state growth.

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Transcript

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[Interviewer]

News I am here with Governor Ned Lamont of the great state of Connecticut in this October. Is that what Anne Marie called it in Connecticut? In the Del Mar Harbor? And Governor, thank you so much for being with us. I want to start with something that's an increasingly hot topic. We're here at a leader of businesses with the leaders of businesses who oversee huge portfolios of money. How is governor, do you keep attracting this type of business to a state while providing some of the social services and other expenses that cause taxes to go up?

[Governor Ned Lamont]

Well, the folks here at the Greenwich Economic Forum are really important to the state and the fintech sensors sector, the financial services sector, a big piece of our economy, a part of the New York City financial ecosystem. I think what they like here is a little bit of certainty and stability. They sort of know where the state's going to go or taxes a little bit less. And it's not a bad lifestyle.

[Interviewer]

Are you concerned about what would happen if, say, there is a changeover in the leadership in New York City? Let's say mayoral candidate Zoran Mamdani does win and implement some of the policies that he puts out there? Are you concerned about the ramifications for a place like Reddit? It truly relies on the ecosystem of the tri State region a little bit.

[Governor Ned Lamont]

New York City is the financial capital of the world and we're a big piece of it here as evidence of the economic forum. And I want to make sure that the next mayor understands how important New York City is to that system and that's important to Connecticut.

[Interviewer]

How concerned are you about who the leader is in the Democratic Party right now? Do you have a sense of where the leadership really is coming from?

[Governor Ned Lamont]

Governors. Okay, I'm a little loaded for bear on that. I like governors. Governors have to get stuff done. Donors have to balance the budget. They have to do it on time. Governors can't shut down a government. Governors are sort of the opposite of what you see going on in Washington, I think on both sides. But in our case, the Democrats sees real leadership coming from the governors. But don't ask me to ask names.

[Interviewer]

Well, but I'm wondering though, how does a governor take that leadership when things are shut down in Washington, D.C. and when it seems like there's a real fissure right now in the Party and tactics in approach, in platform.

[Governor Ned Lamont]

I can tell you the governor's incredibly frustrated. Democrats are louder about it than Republicans. You know, we. We balance our budget. We do it based upon some assumptions in terms of what our relationship is with the federal government. They pull the rug out from under you every week. Seems to be happening right now. It makes it very difficult for that certainty and stability that the people in this room like, how much have you.

[Interviewer]

Seen actual ramifications from the government shutdown in the form of funding that isn't coming through?

[Governor Ned Lamont]

It's not my first rodeo with Trump shutdowns. So we went through all of our commissioners. We saw what's the most at risk. Where do you have reserves? Wic, which is women, infant and children, probably only had a week's worth of reserve there. So we'd figure out how we backstop that snap, which is, you know, food benefits. That's the end of this month. So we're watching very carefully where the risk is. And I can't make up all the shortfall, but I'm trying my best to help out the most vulnerable.

[Interviewer]

Well, how long do you have reserves to cover things? In other words, when does the funding run out? Should this shutdown continue for a long period of time?

[Governor Ned Lamont]

End of this month, you know, SNAP benefits is probably $75 million a month. I cannot make up that shortfall. So if the federal government walks away, that's tough. If we had assurance the federal government's going to backstop, if we had to help it out for a couple of months, that would get paid back that something else. We have none of that assurance.

[Interviewer]

I guess I want to go back to the idea of leadership right now because we are beginning the midterm election cycle. And I wonder, as a Democrat in your second term as governor, how much do you feel allegiance to the Democratic Party versus else amorphous that's coming. That doesn't necessarily have a label.

[Governor Ned Lamont]

Well, as governor, you feel strong allegiance to your state. I'm a homer for Connecticut. I'm Team Connecticut. And, you know, Republican or Democrat, I try and get stuff done. Personally speaking, as I look at a lot of the Civil War down in Washington, D.C. and I look at L. A and I look at Chicago, you know, I do think it's important that the Democratic governors stand and stand and speak with one voice, that, you know, what we need from the federal government in terms of a reliable partner.

[Interviewer]

How much are you concerned about some of the images that we're seeing with the National Guard going into places like Chicago and San Francisco and Portland and really raising a question about whether it's going to be the states versus the federal government.

[Governor Ned Lamont]

Ray Dalio will be speaking again. Remember a year or two ago he was talking about civil war. Where you go, oh, Ray, come on. It's a little bit unnerving if you see those images right now. I talked to General Yvonne, the head of the Connecticut Guard, were very careful. I said, any inquiries from the federal government? I don't know. We just sent our guard to Djibouti, not to Chicago. I feel pretty good about that.

[Interviewer]

Going forward, what is your plan to try to keep businesses here and attract them to the Northeast, given the exodus that has gone to Florida to other places that have lower taxes.

[Governor Ned Lamont]

We are speeding up our rail system from say, Greenwich to, you know, Grand Central. That will be 10, 15 minutes faster. Working really hard to make sure, you know, you can get the workforce you need. And again, we haven't raised taxes in seven years. We balance the budget. I think that typist pretty helpful.

[Interviewer]

Do you think that taxes need to come down? Do you think that that's an instrumental part of trying to keep attracting businesses and compete with other states?

[Governor Ned Lamont]

Well, I'm a governor, so I can't overpromise. Everybody running against me is always saying they're going to eliminate the income tax in the state of Connecticut. I think what's more important to the folks I talk to is what's the state going to look like one year and five years from now? Do I want to be here? Because I'm making a five year bet. We haven't raised taxes at all. I've cut them for middle class folks. I think that's a good balance going forward.

[Interviewer]

What is your number one hope for the state? What is your number one sort of policy platform that you're hoping to get forward over the next one to five years?

[Governor Ned Lamont]

I need housing. You know, for the first time in a long time, a lot of young people are moving out here. Like the lifestyle. We're pretty good as a suburban lifestyle, rebuilding our cities. You know, these. Our cities were 50% bigger 50 years ago. Now they're growing again where young people want to be. As I talk to the businesses and say, is this a place where young people, young employees want to be? I'm trying to say yes.

[Interviewer]

How much are you participating in that reindustrialization of the United States? That's been a big platform that we've seen overall. Is that something that you're trying to attract to the state as well?

[Governor Ned Lamont]

Yeah, I'd like to think of us as the Silicon Valley of manufacturing. We do a lot of complicated stuff like submarines, jet engines and choppers, and they are growing fast. That's the sort of the heart of our economy in the northern part of the state. But, you know, that's changing too. It's getting increasingly energy intensive. So I've got to bring down the price of electricity as best I can and make sure they have the workforce. It's all sort of an AI computerized workforce now.

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