Murphy, president of the Connecticut Society of CPAs, asked an economic conference, “Do you think this is sustainable? I don’t.”
In past decades Connecticut has increased its bonded debt and unfunded liabilities, putting more pressure on the state budget. As a result, a retiree with a $30,000 annual pension could risk having it shrunk to $4,800.
“When Detroit found itself in real trouble it had a debt-to-asset ratio of 5.6 to 1,” she said. “Ours is 22.4 times greater. So, we’re in worse shape than Detroit.”