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COVID-19 Pandemic Gives Connecticut Opportunity for Greater Regional Cooperation

  • As work-from-home arrangements become more commonplace after COVID-19 pandemic, Connecticut has the opportunity to pursue partnerships with neighboring states to strengthen the region’s economy
  • Aging infrastructure, increasing number of residents working outside the state have been challenges
  • Informal talks on issue began in March

The upheaval caused by the COVID-19 pandemic has given Connecticut and neighboring states an opportunity to strengthen their economies through greater regional cooperation, according to a recent article in the CT Mirror.

More than 150,000 Connecticut residents cross the state line to work, a factor which has contributed to lower tax revenues for the state. The state has also faced challenges such as outdated transportation and IT infrastructure.

The increased use (and popularity) of work-from-home arrangements has raised the possibility of modifications to the tax system. Connecticut began informal talks on this subject with New York in March, though the discussions are likely to continue for some time. The inter-state efforts spurred by the pandemic could also lead to similar cooperative efforts on initiatives such as improving road and rail corridors or increasing the number of data processors in Connecticut.

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