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Connecticut Wins Suit Over Energy Fund Transfer to General Fund

June 23, 2020, 3:35 PM

Environmental businesses and organizations have no control over the money in Connecticut’s energy funds and no right to prevent the state from transferring those funds to its general fund, the Second Circuit ruled Tuesday.

The environmental groups and individuals sued after the state passed an emergency state budget act transferring $77.5 million from two energy funds to the general fund for fiscal years 2018 and 2019. The state later reduced the 2019 transfer to $67.5 million.

The environmental groups said the act violated the contract and equal protection clauses of the U.S. Constitution. They said it harmed their contractual rights ...