Connecticut House Bill HB05498

Connecticut 2010 Regular Session

• Introduced: 3/11/10
• Refer: 3/11/10
• Report Pass: 3/23/10
• Refer: 4/1/10
• Report Pass: 4/8/10
• Refer: 4/13/10
• Report Pass: 4/19/10
• Refer: 4/22/10
• Engrossed: 5/3/10
• Report Pass: 5/3/10
• Chaptered: 5/26/10
• Enrolled: 5/27/10
• Passed: 6/9/10

Caption

An Act Concerning State Contracts For Micro Businesses, Utility Deposits For Connecticut Businesses, The Set Aside Of Department Of Transportation Contracts For Small Businesses, Grants For Regional Revolving Loan Programs For Microenterprises, And The Issuance Of Eligibility Certificates For Certain Economic Development Programs.

Impact

The bill's implementation anticipates a shift in state law regarding how contracts are awarded and how micro businesses interact with public service companies. Particularly, the Department of Transportation is empowered to set aside contracts for small businesses, including those with gross revenues not exceeding three million dollars. Additionally, it places restrictions on the amount of deposit that can be required by public service companies from non-residential customers, potentially easing financial burdens and improving cash flow for burgeoning businesses.

Summary

House Bill 5498 aims to enhance the state’s support for micro businesses by revising contracts for state services, offering grants for regional revolving loan programs, and reforming utility deposit requirements. The bill's focus is on fostering economic development specifically for smaller enterprises by facilitating access to resources, financial support, and contracts. It introduces a pilot microloan program designed to promote microenterprises, allowing the Commissioner of Economic and Community Development to make grants that will help facilitate the growth of microenterprises throughout the state.

Sentiment

The general sentiment surrounding HB 5498 appears to be largely positive, particularly among advocates for small businesses and economic development. Supporters argue that the changes will enable more equitable access to state contracts and financial assistance for micro enterprises, which are critical to local economies. However, some concerns may arise regarding the efficacy of implementation and whether these provisions will reach those most in need of support. These discussions highlight the need for ongoing commitments to monitoring the impact of the bill post-enactment.

Contention

While the sentiment is generally supportive, there are notable points of contention regarding the bill’s breadth and the effectiveness of the proposed microloan programs. Critics may question whether the planned initiatives sufficiently address the diverse needs of all micro businesses, including minority-owned enterprises. Additionally, there remains skepticism about the capacity of the Community Economic Development Fund to successfully manage and allocate resources fairly. Overall, the discussions reflect the ongoing debate about balancing regulatory support for emerging small businesses while ensuring that existing regulations adequately protect consumers and taxpayers.