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Plastic bag tax generates much less cash than budgeted

HARTFORD, Conn. (AP) — A new state report indicates Connecticut consumers are remembering to bring their own bags to the supermarket.

Revenue estimates released Tuesday by Democratic Gov. Ned Lamont’s budget office and the legislative Office of Fiscal Analysis project the new 10-cent fee for disposable plastic bags will generate $7 million in the current fiscal year, not the $27.7 million included in the state budget.

Office of Policy and Management Secretary Melissa McCaw says the 75% drop in anticipated revenue from the tax is not a sign of economic weakness. Rather, she says consumers and businesses have adapted to the goal of reducing the number of these non-recyclable bags in the environment.

The same report shows consumer spending is stronger, with sales tax revenues estimated to be $46.8 million higher than originally budgeted.

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