The Pew Charitable Trusts

By a 19-to-17 margin, the Connecticut Senate voted at 3 a.m. this morning (May 3) to approve a state budget that hikes taxes by $2.6 billion over two years, a major victory for Governor Dannel Malloy.

Malloy, a Democrat, is taking a different path than most other governors toward balancing his state's books. While other governors have vowed to address shortfalls solely through deep spending cuts, Malloy's budget raises taxes on personal income, corporations, retail sales, hospitals, alcohol, tobacco products and other items despite warnings from some conservatives that tax hikes will slow an already weak recovery. Spending cuts are included as well, but they are not as draconian as in many states facing a fiscal emergency.

The controversy surrounding Malloy's proposal was evident in the intensity of Monday's floor session. Three Democrats joined all 14 Republicans in opposing the plan. Unlike some other states, however, Connecticut requires only a simple majority to pass a budget, and the plan now moves to the state House of Representatives, where it is expected to meet approval later today.

"The senators who voted for this budget early this morning should be commended for making the tough decisions necessary to begin the process of getting Connecticut's fiscal house in order," Malloy said in a statement, according to the Connecticut Mirror . "That was a tough vote to make, but it was the right vote to make. It was a vote for an honest budget, one that's balanced with no gimmicks, and one that will stabilize the state's finances and lead to our ultimate goal: job creation. "