Senate Minority Leader Harding talks fiscal guardrails, Trump and electric rates

CT Examiner – Wednesday, November 20, 2024
By Robert Storace

DANBURY – With just 49 days until the Jan. 8 kick-off of the Legislative session, Senate Minority Leader Stephen Harding, R-Brookfield, is hard at work meeting with peers and preparing to set his party’s agenda.

Harding, 37, was named minority leader in February, replacing State Sen. Kevin Kelly, R-Stratford. He easily defeated his Democratic opponent Justin Potter on Nov. 5.

The legislature lost one Republican state senator – Lisa Seminara of Avon – in the November election, meaning that Democratic senators now outnumber GOP senators 25-11.

CT Examiner interviewed Harding, who represents the 30th Senate District, in his Danbury law offices Wednesday morning, where he discussed the Republicans’ failed bid to use federal dollars to pay for rising electric rates, the importance of maintaining the state’s fiscal guardrails and Donald Trump’s win in the November election.

The answers have been edited for clarity and length.

CT Examiner: Earlier this month, Yankee Gas – a subsidiary of Eversource Energy – asked state regulators for a $209 million rate hike, which would mean an increase of more than $46 per month for residents in 85 towns. As Senate Minority Leader, do you plan to address this either by relaying your concerns to the Public Utilities Regulatory Authority, [PURA] or in another way?

Stephen Harding: I think both. I think that we can address the matter with PURA, take another look at their decisions lately and provide, potentially, further oversight over the decisions. I think many legislators in my caucus feel that [Democrats] have gone too much in the direction of the utilities and policy and not enough in the direction of protecting the consumers and the affordability for consumers…. I think this can be tackled in two ways. One, addressing the problem that we think needs to be fixed up here in terms of ensuring their decisions are more consumer-friendly and more affordable. And, in addition to that, looking at our policies in the state of Connecticut that, frankly, are driving up the energy costs that we have here.

CTEx: House and Senate Republicans have called for months for a special session prior to the legislative session on Jan. 8 to address the high cost of electric rates. Democrats pushed back and that special session idea is almost now certainly dead. What – exactly – had Republicans planned to do during that special session? Were they looking to use ARPA [federal American Rescue Plan Act] dollars?

Harding: Yes, 100 percent using the federal funds [ARPA] that we had existing at that point, correct…. The frustrating aspect is that we were calling for this for months; we were calling for it in February. [We were] looking to use ARPA dollars to pay off the public benefit [the portion of electric bill charges that fund energy-related public policy programs] at that point. At that point [in February] we had over $500 million in unallocated ARPA funds that we could have used toward this. Now [what’s remaining in ARPA funds] is miniscule — I understand it’s as little as $20 million or even less that is unallocated at this point. The reason the number is so low is because the money has to be expended in full before Dec. 31, otherwise it gets returned to the federal government…. My senate Republican colleagues joined us in that effort and it was ignored. We came back calling for a special session in the summer when there was still a large pot of unallocated funds still remaining, and it was ignored once again.

CTEx: What, as leader of the Senate Republicans, is your number one priority for the 2025 legislative session?

Harding: I think it has to be the fiscal guardrails and it has to be ensuring that we do not have tax increases. I think what you are going to see here is an effort from the Democrats in Hartford to modify this fiscal guardrail significantly… I think that what we have to learn from are the decisions of the legislatures of the past that led us into a really difficult fiscal [situation]. We are finally at a place where we are somewhat stable fiscally. We could do far more, but we are far more stable than where we were because we’ve [Republicans] been responsible in our spending. If Democrats get their way, they’re not going to be responsible with their spending… I think they are going to invest in areas that are unnecessary and are going to drive up costs and are going to drive up taxes.

CTEx: What was your biggest disappointment from the 2024 session?

Harding: I think probably the legislation that forced every employer in the state, including an employer with one employee, to provide paid leave. So often in Hartford, the Democratic majority will tell you that we are really focusing on the big businesses that are getting away with huge profits and not protecting their employees. I understand that fight. But, this law was frustrating in that it was only targeting small business owners, because the law previously said you had to have more than 50 employees. So the big employers were already paying for this. All this did was pass it down to the mom-and-pop operations, and small businesses are the backbone of this state and this economy.

CTEx: The state of Connecticut just used up the last of the money the federal government allocated during COVID. Multiple bills have been passed over the last four years that have given state agencies and nonprofits funds to start or expand social services, mental healthcare, and education. In light of continuing need in these areas, is there reason to consider adjusting the fiscal guardrails?

Harding: No. I think the fiscal guardrails allow for inflation movement, and allow for other measures which apply some level of flexibility to move in accordance with the changing environment that we are in from time to time, year to year, in state government. So, I don’t think there’s a reason to modify them or move them. I think that they are in place for a reason – to stifle the majority party’s constant want to spend more.

CTEx: You ran on a platform of making Connecticut more affordable. What legislation or pieces of legislation will you support and or propose that will do that?

Harding: Well, I think one of the things that you are going to see is the energy rates that we talked about. You talk about unaffordability; [energy rates] are probably one of the biggest drivers, if not the biggest driver, of the discussion this past year on why Connecticut has become so unaffordable…. We can make it more affordable by tackling this ridiculously exponential increase in utility rates. One of the policies that I support, that the Senate Republicans support, is the cap on the procurements of energy right now.

CTEx: You are a member of Brookfield Cares, an organization which addresses substance abuse and other mental health issues facing those in the Brookfield area. What can the Legislature do – specifically – in 2025 to address the needs of those with mental health issues?

Harding: Well, I think finding funds and investment – and we’ve already done this – but directing it toward nonprofit organizations that do a lot of great work in this area. It’s incredible what these organizations do to change lives, to help individuals and families that are struggling with substance abuse and to bring them in and to set them on a path that is positive for both the individual that’s suffering from substance abuse and the families that are working with their loved ones tackling their illness.

CTEx: Why do you think Donald Trump was elected for a second non-consecutive term as president; what were the determining factors in the minds of voters?

Harding: I think it was the economy. You had two campaigns, obviously, in Vice President Harris’ and President Trump’s campaign. And, seemingly, President Trump’s campaign focused far more on restoring our economy. It focused a lot on the fact that people in this country were struggling, that inflation was high. You just didn’t hear that same tone from Vice President Harris’ campaign; it just didn’t seem to be about the economy.

CTEx: It was reported this week that immigration advocates have promised to protect their communities in Connecticut amid Donald Trump’s plans for mass deportation. Do you expect to see mass deportations of undocumented migrants in Connecticut, and would you support that?

Harding: I support efforts to find individuals that are undocumented, that are committing crimes, particularly serious or violent crimes. One of the things that frustrates me is that our Trust Act as it’s currently written does not even allow state or local police officers to even speak with federal authorities… The Trust Act here in Connecticut does not even allow the police officer to notify immigration that an individual has been arrested or convicted of a serious crime. I think the Trust Act should be modified to at least allow our state police and our local police the authority to work with federal authorities if they have an individual that has committed serious crimes.

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