DeStefano Talks Business, Plans

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DeStefano Talks Business, Plans

Waterbury Republican May 24, 2006

Anusha Shrivastava

TORRINGTON -- Describing himself as a "cork in the ocean," Francis S. Delaney asked gubernatorial candidate John DeStefano how small-business men like himself could deal with rising health care costs.

"Most small employers cannot afford to insure their employees," Delaney, president of West State Mechanical Inc. in Torrington, said during a meeting with DeStefano organized by the Northwest Chamber of Commerce at the University of Connecticut, Torrington campus on Tuesday.

"We don't like anyone mandating what we can do, and we are constantly adding new mandates in this state."

Acknowledging that providing health care is one of the toughest issues facing the state's business community, DeStefano said he thinks universal health care is the answer.

"It is a powerful issue," said DeStefano, who is the mayor of New Haven. "We should eliminate loopholes in the corporate income tax and use the money to effect good public policy in the state."

Pointing out that Massachusetts is mandating coverage and may fine companies that refuse to comply, DeStefano said he prefers an incentive-based system in which companies would not have to pay corporate income tax if they offered health care to their employees.

Not entirely satisfied with the answer, Delaney, one of about 15 people who attended the meeting, later said he thinks the double-digit growth in health care costs would not be covered by removing the corporate income tax.

"The state does not have any long-term plan to deal with any of these issues," he said. "Look at our energy costs, our workers' compensation costs, our unemployment compensation costs. We are a very expensive state."

DeStefano also said the state doesn't seem to have a plan for development.

"We are not going to be the lowest-cost state, but we do have to think about our system of property taxes paying for everything," he said.

As an example, he talked about towns like Canton that allow big-box retailers to come in, only so the town can increase its grand list and pay for schools.

"How can Canton, Conn., be different from Canton, Ohio, or Canton, Anyplace, if the state allows such development to go on? We need smart growth," he said.

That would include building affordable housing for people to raise their families in.

"Those kids will be the taxpayers in the state," DeStefano said. "We have to create decent paying jobs for people who will pay taxes."

For that, he says, students should be given more scholarships in areas like nursing and engineering, where the state is facing a shortage. Also, he said, the state should invest in improving transportation infrastructure, not only to create jobs but to attract businesses from other states to locate here.