General Assembly Substitute Bill No. 467
February Session, 2014 *_____SB00467PD____042114____*
General Assembly
Substitute Bill No. 467
February Session, 2014
*_____SB00467PD____042114____*
AN ACT CONCERNING STATE GRANTS IN LIEU OF PROPERTY TAXES.
Be it enacted by the Senate and House of Representatives in General Assembly convened:
Section 1. (NEW) (Effective July 1, 2014) (a) For purposes of this section, "state-owned property" means all real property described in subsection (a) of section 12-19a of the general statutes, and "college and hospital property" means all real property described in subsection (a) of section 12-20a of the general statutes.
(b) Notwithstanding the provisions of sections 12-19a and 12-20a of the general statutes, for fiscal years commencing on and after July 1, 2015, all state grants in lieu of property taxes for state-owned property and college and hospital property shall be paid to each municipality of the state in accordance with this section.
(c) The Secretary of the Office of Policy and Management shall list municipalities based on the percentage of real property on the grand list of each municipality that is exempt from property tax under any provision of the general statutes. (1) The twenty municipalities with the highest percentage of such property shall receive a grant in lieu of taxes equal to fifty per cent of the property taxes that would have been paid to each municipality on state-owned property and on college and hospital property. (2) The twenty municipalities that follow the first twenty municipalities for the percentage of such property in such municipalities shall receive a grant in lieu of taxes equal to forty-five per cent of the property taxes that would have been paid to each municipality on state-owned property and on college and hospital property. (3) All municipalities that are not included in the grants described in subdivisions (1) and (2) of this subsection shall receive a grant in lieu of taxes equal to forty per cent of the property taxes that would have been paid to each municipality on state-owned property and on college and hospital property.
(d) Notwithstanding the grant percentages specified in subsection (c) of this section, the grant payable to any town under this section for the following state-owned property shall be:
(1) (A) Seventy-five per cent of the property taxes which would have been paid with respect to any facility designated by the Commissioner of Correction, on or before August first of each year, to be a correctional facility administered under the auspices of the Department of Correction or a juvenile detention center under direction of the Department of Children and Families that was used for incarcerative purposes during the preceding fiscal year. If a list containing the name and location of such designated facilities and information concerning their use for purposes of incarceration during the preceding fiscal year is not available from the Secretary of the State on the first day of August of any year, the Commissioner of Correction shall, on said first day of August, certify to the Secretary of the Office of Policy and Management a list containing such information, (B) seventy-five per cent of the property taxes which would have been paid with respect to that portion of the John Dempsey Hospital located at The University of Connecticut Health Center in Farmington that is used as a permanent medical ward for prisoners under the custody of the Department of Correction. Nothing in this section shall be construed as designating any portion of The University of Connecticut Health Center John Dempsey Hospital as a correctional facility, and (C) seventy-five per cent of the property taxes which would have been paid on any land designated within the 1983 Settlement boundary and taken into trust by the federal government for the Mashantucket Pequot Tribal Nation on or after June 8, 1999; (2) subject to the provisions of subsection (c) of section 12-19a of the general statutes, fifty-five per cent of the property taxes which would have been paid with respect to the buildings and grounds comprising Connecticut Valley Hospital in Middletown; (3) notwithstanding the provisions of subsections (b) and (c) of section 12-19a of the general statutes, with respect to any town in which more than fifty per cent of the property is state-owned real property, seventy-five per cent of the property taxes which would have been paid with respect to such state-owned property; (4) forty per cent of the property taxes which would have been paid with respect to all municipally-owned airports. The grant provided pursuant to this section for any municipally-owned airport shall be paid to any municipality in which the airport is located, except that the grant applicable to Sikorsky Airport shall be paid half to the town of Stratford and half to the city of Bridgeport; and (5) forty per cent of the property taxes which would have been paid with respect to any land designated within the 1983 Settlement boundary and taken into trust by the federal government for the Mashantucket Pequot Tribal Nation prior to June 8, 1999, or taken into trust by the federal government for the Mohegan Tribe of Indians of Connecticut, provided the real property subject to this subdivision shall be the land only, and shall not include the assessed value of any structures, buildings or other improvements on such land. The percentages provided in this subsection shall be that percentage of property tax which would have been paid with respect to such property, except for the exemption applicable to such property, on the assessment list in such town for the assessment date two years prior to the commencement of the state fiscal year in which such grant is paid.
(e) The grants in lieu of taxes payable to municipalities for the fiscal years commencing July 1, 2015, to July 1, 2019, inclusive, shall be paid as follows: (1) For the fiscal year commencing July 1, 2015, the grant payable shall be equal to eighty per cent of the amounts calculated pursuant to sections 12-19a and 12-20a of the general statutes, and twenty per cent of the amounts calculated pursuant to this section; (2) for the fiscal year commencing July 1, 2016, the grant payable shall be equal to sixty per cent of the amounts calculated pursuant to sections 12-19a and 12-20a of the general statutes, and forty per cent of the amounts calculated pursuant to this section; (3) for the fiscal year commencing July 1, 2017, the grant payable shall be equal to forty per cent of the amounts calculated pursuant to sections 12-19a and 12-20a of the general statutes, and sixty per cent of the amounts calculated pursuant to this section; (4) for the fiscal year commencing July 1, 2018, the grant payable shall be equal to twenty per cent of the amounts calculated pursuant to sections 12-19a and 12-20a of the general statutes, and eighty per cent of the amounts calculated pursuant to this section; and (5) for the fiscal year commencing July 1, 2019, the grant payable shall be equal to one hundred per cent of the amounts calculated pursuant to this section.
(f) No municipality shall receive a grant in lieu of taxes pursuant to this section that is less than that received for state-owned property and for college and hospital property in the fiscal year commencing July 1, 2014, after proration is applied as provided in subsection (b) of section 12-19a of the general statutes and subsection (b) of section 12-20a of the general statutes.
(g) The Office of Policy and Management shall report, in accordance with the provisions of section 11-4a of the general statutes, to the joint standing committee of the General Assembly having cognizance of matters relating to finance, revenue and bonding, on or before July 1, 2016, and on or before July first annually thereafter until July 1, 2019, with regard to the grants distributed in accordance with this section, and shall include in such reports any recommendations for changes in the grants.
Sec. 2. Section 12-19b of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(a) Not later than April first in any assessment year, any town or borough to which a grant is payable under the provisions of section 12-19a or section 1 of this act, as applicable, shall provide the Secretary of the Office of Policy and Management with the assessed valuation of the real property eligible therefor as of the first day of October immediately preceding, adjusted in accordance with any gradual increase in or deferment of assessed values of real property implemented in accordance with section 12-62c, which is required for computation of such grant. Any town which neglects to transmit to the secretary the assessed valuation as required by this section shall forfeit two hundred fifty dollars to the state, provided the secretary may waive such forfeiture in accordance with procedures and standards adopted by regulation in accordance with chapter 54. Said secretary may on or before the first day of August of the state fiscal year in which such grant is payable, reevaluate any such property when, in the secretary's judgment, the valuation is inaccurate and shall notify such town of such reevaluation by certified or registered mail. Any town or borough aggrieved by the action of the secretary under the provisions of this section may, not later than ten business days following receipt of such notice, appeal to the secretary for a hearing concerning such reevaluation. Such appeal shall be in writing and shall include a statement as to the reasons for such appeal. The secretary shall, not later than ten business days following receipt of such appeal, grant or deny such hearing by notification in writing, including in the event of a denial, a statement as to the reasons for such denial. Such notification shall be sent by certified or registered mail. If any town or borough is aggrieved by the action of the secretary following such hearing or in denying any such hearing, the town or borough may not later than ten business days after receiving such notice, appeal to the superior court for the judicial district wherein such town is located. Any such appeal shall be privileged.
(b) Notwithstanding the provisions of section 12-19a and section 1 of this act, or subsection (a) of this section, there shall be an amount due the municipality of Voluntown, on or before the thirtieth day of September, annually, with respect to any state-owned forest, of an additional sixty thousand dollars, which amount shall be paid from the annual appropriation, from the General Fund, for reimbursement to towns for loss of taxes on private tax-exempt property.
Sec. 3. Section 12-19c of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
The Secretary of the Office of Policy and Management shall, not later than September fifteenth, certify to the Comptroller the amount due each town or borough under the provisions of section 12-19a or section 1 of this act, as applicable, or under any recomputation occurring prior to said September fifteenth which may be effected as the result of the provisions of section 12-19b, as amended by this act, and the Comptroller shall draw an order on the Treasurer on or before the fifth business day following September fifteenth and the Treasurer shall pay the amount thereof to such town on or before the thirtieth day of September following. If any recomputation is effected as the result of the provisions of section 12-19b, as amended by this act, on or after the August first following the date on which the town has provided the assessed valuation in question, any adjustments to the amount due to any town for the period for which such adjustments were made shall be made in the next payment the Treasurer shall make to such town pursuant to this section.
Sec. 4. Subsection (a) of section 12-20b of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(a) Not later than April first in each year, any municipality to which a grant is payable under the provisions of section 12-20a or section 1 of this act, as applicable, shall provide the Secretary of the Office of Policy and Management with the assessed valuation of the tax-exempt real property as of the immediately preceding October first, adjusted in accordance with any gradual increase in or deferment of assessed values of real property implemented in accordance with section 12-62c, which is required for computation of such grant. Any municipality which neglects to transmit to the Secretary of the Office of Policy and Management the assessed valuation as required by this section shall forfeit two hundred fifty dollars to the state, provided the secretary may waive such forfeiture in accordance with procedures and standards adopted by regulation in accordance with chapter 54. Said secretary may, on or before the first day of August of the state fiscal year in which such grant is payable, reevaluate any such property when, in his or her judgment, the valuation is inaccurate and shall notify such municipality of such reevaluation. Any municipality aggrieved by the action of said secretary under the provisions of this section may, not later than ten business days following receipt of such notice, appeal to the secretary for a hearing concerning such reevaluation, provided such appeal shall be in writing and shall include a statement as to the reasons for such appeal. The secretary shall, not later than ten business days following receipt of such appeal, grant or deny such hearing by notification in writing, including in the event of a denial, a statement as to the reasons for such denial. If any municipality is aggrieved by the action of the secretary following such hearing or in denying any such hearing, the municipality may not later than two weeks after such notice, appeal to the superior court for the judicial district in which the municipality is located. Any such appeal shall be privileged. Said secretary shall certify to the Comptroller the amount due each municipality under the provisions of section 12-20a or section 1 of this act, as applicable, or under any recomputation occurring prior to September fifteenth which may be effected as the result of the provisions of this section, and the Comptroller shall draw his or her order on the Treasurer on or before the fifth business day following September fifteenth and the Treasurer shall pay the amount thereof to such municipality on or before the thirtieth day of September following. If any recomputation is effected as the result of the provisions of this section on or after the January first following the date on which the municipality has provided the assessed valuation in question, any adjustments to the amount due to any municipality for the period for which such adjustments were made shall be made in the next payment the Treasurer shall make to such municipality pursuant to this section.
Sec. 5. Subsection (a) of section 12-63h of the 2014 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(a) The Secretary of the Office of Policy and Management shall establish a pilot program in up to three municipalities whereby the selected municipalities shall develop a plan for implementation of land value taxation that (1) classifies real estate included in the taxable grand list as (A) land or land exclusive of buildings, or (B) buildings on land; and (2) establishes a different mill rate for property tax purposes for each class, provided the higher mill rate shall apply to land or land exclusive of buildings. The different mill rates for taxable real estate in each class shall not be applicable to any property for which a grant is payable under section 12-19a, [or] 12-20a or section 1 of this act, as applicable.
Sec. 6. Subsection (b) of section 12-64 of the 2014 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(b) Except as provided in subsection (c) of this section, any land, buildings or easement to use air rights belonging to or held in trust for the state, not used for purposes attributable to functions of the state government or any other governmental purpose but leased to a person or organization for use unrelated to any such purpose, exclusive of any such lease with respect to which a binding agreement is in effect on June 25, 1985, shall be separately assessed in the name of the lessee and subject to local taxation annually in the name of the lessee having immediate right to occupancy of such land or building, by the town wherein situated as of the assessment day next following the date of leasing pursuant to section 4b-38. If such property or any portion thereof is leased to any organization which, if the property were owned by or held in trust for such organization, would not be liable for taxes with respect to such property under any of the subdivisions of section 12-81, such organization shall be entitled to exemption from property taxes as the lessee under such lease, provided such property is used exclusively for the purposes of such organization as stated in the applicable subdivision of [said] section 12-81 and the portion of such property so leased to such exempt organization shall be eligible for a grant in lieu of taxes pursuant to section 12-19a or section 1 of this act, as applicable. Whenever the lessee of such property is required to pay property taxes to the town in which such property is situated as provided in this subsection, the assessed valuation of such property subject to the interest of the lessee shall not be included in the annual list of assessed values of state-owned real property in such town as prepared for purposes of state grants in accordance with [said] section 12-19a or section 1 of this act, as applicable and the amount of grant to such town under [said] section 12-19a or section 1 of this act, as applicable, shall be determined without consideration of such assessed value.
Sec. 7. Subsections (a) to (d), inclusive, of section 3-55j of the general statutes are repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(a) Twenty million dollars of the moneys available in the Mashantucket Pequot and Mohegan Fund established by section 3-55i shall be paid to municipalities eligible for a state grant in lieu of taxes pursuant to section 12-19a, or section 1 of this act, as applicable, in addition to the grants payable to such municipalities pursuant to section 12-19a, or section 1 of this act, as applicable, subject to the provisions of subsection (b) of this section. Such grant shall be calculated under the provisions of section 12-19a, or section 1 of this act, as applicable, and shall equal one-third of the additional amount which such municipalities would be eligible to receive if the total amount available for distribution were eighty-five million two hundred five thousand eighty-five dollars and the percentage of reimbursement set forth in section 12-19a, or section 1 of this act, as applicable, were increased to reflect such amount. Any eligible special services district shall receive a portion of the grant payable under this subsection to the town in which such district is located. The portion payable to any such district under this subsection shall be the amount of the grant to the town under this subsection which results from application of the district mill rate to exempt property in the district. As used in this subsection and subsection (c) of this section, "eligible special services district" means any special services district created by a town charter, having its own governing body and for the assessment year commencing October 1, 1996, containing fifty per cent or more of the value of total taxable property within the town in which such district is located.
(b) No municipality shall receive a grant pursuant to subsection (a) of this section which, when added to the amount of the grant payable to such municipality pursuant to section 12-19a, or section 1 of this act, as applicable, would exceed one hundred per cent of the property taxes which would have been paid with respect to all state-owned real property, except for the exemption applicable to such property, on the assessment list in such municipality for the assessment date two years prior to the commencement of the state fiscal year in which such grants are payable, except that, notwithstanding the provisions of said subsection (a), no municipality shall receive a grant pursuant to said subsection which is less than one thousand six hundred sixty-seven dollars.
(c) Twenty million one hundred twenty-three thousand nine hundred sixteen dollars of the moneys available in the Mashantucket Pequot and Mohegan Fund established by section 3-55i shall be paid to municipalities eligible for a state grant in lieu of taxes pursuant to section 12-20a, or section 1 of this act, as applicable, in addition to and in the same proportion as the grants payable to such municipalities pursuant to section 12-20a, or section 1 of this act, as applicable, subject to the provisions of subsection (d) of this section. Any eligible special services district shall receive a portion of the grant payable under this subsection to the town in which such district is located. The portion payable to any such district under this subsection shall be the amount of the grant to the town under this subsection which results from application of the district mill rate to exempt property in the district.
(d) Notwithstanding the provisions of subsection (c) of this section, no municipality shall receive a grant pursuant to said subsection which, when added to the amount of the grant payable to such municipality pursuant to section 12-20a, or section 1 of this act, as applicable, would exceed one hundred per cent of the property taxes which, except for any exemption applicable to any private nonprofit institution of higher education, nonprofit general hospital facility or freestanding chronic disease hospital under the provisions of section 12-81, would have been paid with respect to such exempt real property on the assessment list in such municipality for the assessment date two years prior to the commencement of the state fiscal year in which such grants are payable.
Sec. 8. Subsection (g) of section 4b-38 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(g) Notwithstanding the provisions of this section, the board of trustees of a constituent unit of the state system of higher education may lease land or buildings, or both, and facilities under the control and supervision of such board when such land, buildings or facilities are otherwise not used or needed for use by the constituent unit and such action seems desirable to produce income or is otherwise in the public interest, provided the Treasurer has determined that such action will not affect the status of any tax-exempt obligations issued or to be issued by the state of Connecticut. Upon executing any such lease, said board shall forward a copy to the assessor or board of assessors of the municipality in which the leased property is located. The proceeds from any lease or rental agreement pursuant to this subsection shall be retained by the constituent unit. Any land so leased for private use and the buildings and appurtenances thereon shall be subject to local assessment and taxation annually in the name of the lessee, assignee or sublessee, whichever has immediate right to occupancy of such land or building, by the town wherein situated as of the assessment day of such town next following the date of leasing. Such land and the buildings and appurtenances thereon shall not be included as property of the constituent unit for the purpose of computing a grant in lieu of taxes pursuant to section 12-19a or section 1 of this act, as applicable, provided, if such property is leased to an organization which, if the property were owned by or held in trust for such organization would not be liable for taxes with respect to such property under section 12-81, such organization shall be entitled to exemption from property taxes as the lessee under such lease, and the portion of such property exempted and leased to such organization shall be eligible for a grant in lieu of taxes pursuant to [said] section 12-19a or section 1 of this act, as applicable.
Sec. 9. Section 4b-39 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
Land, buildings or facilities leased pursuant to section 4b-35 and section 4b-36 shall be exempt from municipal taxation. The value of such land, buildings or facilities shall be used for computation of grants in lieu of taxes pursuant to section 12-19a or section 1 of this act, as applicable.
Sec. 10. Section 4b-46 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
On and after July 1, 1995, any property which is subject to an agreement entered into by the Commissioner of Administrative Services for the purchase of such property through a long-term financing contract shall be exempt from taxation by the municipality in which such property is located, during the term of such contract. The assessed valuation of such property shall be included with the assessed valuation of state-owned land and buildings for purposes of determining the state grant in lieu of taxes under the provisions of section 12-19a or section 1 of this act, as applicable.
Sec. 11. Section 10a-90 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
The Board of Trustees for the Connecticut State University System, with the approval of the Governor and the Secretary of the Office of Policy and Management, may lease state-owned land under its care, custody or control to private developers for construction of dormitory buildings, provided such developers agree to lease such buildings to such board of trustees with an option to purchase and provided further that any such agreement to lease is subject to the provisions of section 4b-23, prior to the making of the original lease by the board of trustees. The plans for such buildings shall be subject to approval of such board, the Commissioner of Administrative Services and the State Properties Review Board and such leases shall be for the periods and upon such terms and conditions as the Commissioner of Administrative Services determines, and such buildings, while privately owned, shall be subject to taxation by the town in which they are located. The Board of Trustees for the Connecticut State University System may also deed, transfer or lease state-owned land under its care, custody or control to the State of Connecticut Health and Educational Facilities Authority for financing or refinancing the planning, development, acquisition and construction and equipping of dormitory buildings and student housing facilities and to lease or sublease such dormitory buildings or student housing facilities and authorize the execution of financing leases of land, interests therein, buildings and fixtures in order to secure obligations to repay any loan from the State of Connecticut Health and Educational Facilities Authority from the proceeds of bonds issued thereby pursuant to the provisions of chapter 187 made by the authority to finance or refinance the planning, development, acquisition and construction of dormitory buildings. Any such financing lease shall not be subject to the provisions of section 4b-23 and the plans for such dormitories shall be subject only to the approval of the board. Such financing leases shall be for such periods and upon such terms and conditions that the board shall determine. Any state property so leased shall not be subject to local assessment and taxation and such state property shall be included as property of the Connecticut State University System for the purpose of computing a grant in lieu of taxes pursuant to section 12-19a, or section 1 of this act, as applicable.
Sec. 12. Subsection (b) of section 10a-91 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(b) Any land so leased to a private developer for rental housing or commercial establishments and the buildings and appurtenances thereon shall be subject to local assessment and taxation annually in the name of the lessee, assignee or sublessee, whichever has immediate right to occupancy of such land or building, by the town wherein situated as of the assessment day of such town next following the date of leasing. Such land shall not be included as property of the Connecticut State University System for the purpose of computing a grant in lieu of taxes pursuant to section 12-19a or section 1 of this act, as applicable.
Sec. 13. Section 15-101dd of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
Whenever any lessee is required to pay property taxes under this chapter, the assessed valuation of such property subject to the interest of the lessee shall not be included in the annual list of assessed values of state-owned real property in such town as prepared for purposes of state grants in accordance with section 12-19a or section 1 of this act, as applicable, and the amount of grant to such town under [said] section 12-19a or section 1 of this act, as applicable, shall be determined without consideration of such assessed value.
Sec. 14. Subsection (c) of section 22-26jj of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(c) The commissioner may lease all or part of one property acquired by him under this section as part of a demonstration project, in accordance with subsection (d) of this section, provided such project is approved by the Secretary of the Office of Policy and Management. Such property may be leased to one or more agricultural users for a period not to exceed five years. Such lease may be renewed for periods not to exceed five years. Any property leased under such demonstration project shall be exempt from taxation by the municipality in which the property is located. The assessed valuation of the property shall be included with the assessed valuation of state-owned land and buildings for purposes of determining the state's grant in lieu of taxes under the provisions of section 12-19a or section 1 of this act, as applicable.
Sec. 15. Subsection (c) of section 22-26oo of the 2014 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(c) The Commissioner of Agriculture may lease, permit or license all or part of said farm to one or more persons for the purpose of engaging in agriculture, as defined in section 1-1. Any such lease, permit or license shall be for a period not to exceed fifteen years and shall contain, as a condition thereof, compliance with the provisions of the permanent conservation easement granted pursuant to subsection (b) of this section. Any such lease, permit or license may be renewed for a period not to exceed fifteen years. Any property leased, permitted or licensed pursuant to this subsection shall be exempt from taxation by the municipality in which said property is located. The assessed valuation of said property shall be included in the assessed valuation of state-owned land and buildings for purposes of determining the state's grant in lieu of taxes pursuant to the provisions of section 12-19a or section 1 of this act, as applicable. Any such lease, permit or license shall be subject to the review and approval of the State Properties Review Board. The State Properties Review Board shall complete a review of each lease, permit or license not later than thirty days after receipt of a proposed lease, permit or license from the Commissioner of Agriculture.
Sec. 16. Section 22a-282 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
The Connecticut Resources Recovery Authority, notwithstanding the provisions of subsection (b) of section 22a-208a concerning the right of any local body to regulate, through zoning, land usage for solid waste disposal and section 22a-276, may use and operate as a solid waste disposal area, pursuant to a permit issued under sections 22a-208, 22a-208a and 22a-430, any real property owned by said authority on or before May 11, 1984, any portion of which has been operated as a solid waste disposal area, and the authority shall not be subject to regulation by any such body, except that the authority shall pay to the municipality in which such property is located one dollar per ton of unprocessed solid waste received from outside of such municipality and disposed of at the solid waste disposal area by the authority. Any payment shall be in addition to any other agreement between the municipality and the authority. The provisions of section 12-19a and section 1 of this act, as applicable, shall not be construed to apply to any such real property.
Sec. 17. Section 23-30 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
The Commissioner of Energy and Environmental Protection may, for the purposes specified in section 23-29, lease, for a period of not less than ninety-nine years, any lands within the state, title to which has been acquired by the resettlement administration or other agency of the government of the United States, provided the form of such lease shall be approved by the Attorney General. Said commissioner may enter into cooperative agreements with any branch of the government of the United States regarding the custody, management and use of lands so leased. All lands leased under this section shall, for the purposes of taxation, be considered as owned by the state, and the towns in which such lands are situated shall receive from the state grants in lieu of taxes thereon, as provided in section 12-19a or section 1 of this act, as applicable.
Sec. 18. Section 32-610 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
The exercise of the powers granted by section 32-602 constitute the performance of an essential governmental function and the Capital Region Development Authority shall not be required to pay any taxes or assessments upon or in respect of the convention center or the convention center project, as defined in section 32-600, levied by any municipality or political subdivision or special district having taxing powers of the state and such project and the principal and interest of any bonds and notes issued under the provisions of section 32-607, their transfer and the income therefrom, including revenues derived from the sale thereof, shall at all times be free from taxation of every kind by the state of Connecticut or under its authority, except for estate or succession taxes but the interest on such bonds and notes shall be included in the computation of any excise or franchise tax. Notwithstanding the foregoing, the convention center and the related parking facilities owned by the authority shall be deemed to be state-owned real property for purposes of sections 12-19a and 12-19b, as amended by this act, and section 1 of this act, and the state shall make grants in lieu of taxes with respect to the convention center and such related parking facilities to the municipality in which the convention center and such related parking facilities are located as otherwise provided in [said] sections 12-19a and 12-19b, as amended by this act, or section 1 of this act, as applicable.
Sec. 19. Subsections (a) and (b) of section 32-666 of the general statutes are repealed and the following is substituted in lieu thereof (Effective July 1, 2014):
(a) Any land on the Adriaen's Landing site leased by the secretary for purposes of site acquisition for an initial term of at least ninety-nine years shall, while such lease remains in effect, be deemed to be state-owned real property for purposes of sections 12-19a and 12-19b, as amended by this act, section 1 of this act and subdivision (2) of section 12-81 and the state shall make grants in lieu of taxes with respect to such land to the municipality in which the same is located as otherwise provided in sections 12-19a and 12-19b, as amended by this act, or section 1 of this act, as applicable.
(b) Any land that comprises a private development district designated pursuant to section 32-600 and all improvements on or to such land shall, while such designation continues, be deemed to be state-owned real property for purposes of sections 12-19a and 12-19b, as amended by this act, section 1 of this act and subdivision (2) of section 12-81, and the state shall make grants in lieu of taxes with respect to such land and improvements to the municipality in which the same is located as otherwise provided in sections 12-19a and 12-19b, as amended by this act, or section 1 of this act, as applicable. Section 32-666a shall not be applicable to any such land or improvements while designated as part of the private development district.
This act shall take effect as follows and shall amend the following sections:
Section 1 July 1, 2014 New section
Sec. 2 July 1, 2014 12-19b
Sec. 3 July 1, 2014 12-19c
Sec. 4 July 1, 2014 12-20b(a)
Sec. 5 July 1, 2014 12-63h(a)
Sec. 6 July 1, 2014 12-64(b)
Sec. 7 July 1, 2014 3-55j(a) to (d)
Sec. 8 July 1, 2014 4b-38(g)
Sec. 9 July 1, 2014 4b-39
Sec. 10 July 1, 2014 4b-46
Sec. 11 July 1, 2014 10a-90
Sec. 12 July 1, 2014 10a-91(b)
Sec. 13 July 1, 2014 15-101dd
Sec. 14 July 1, 2014 22-26jj(c)
Sec. 15 July 1, 2014 22-26oo(c)
Sec. 16 July 1, 2014 22a-282
Sec. 17 July 1, 2014 23-30
Sec. 18 July 1, 2014 32-610
Sec. 19 July 1, 2014 32-666(a) and (b)
This act shall take effect as follows and shall amend the following sections:
Section 1
July 1, 2014
New section
Sec. 2
July 1, 2014
12-19b
Sec. 3
July 1, 2014
12-19c
Sec. 4
July 1, 2014
12-20b(a)
Sec. 5
July 1, 2014
12-63h(a)
Sec. 6
July 1, 2014
12-64(b)
Sec. 7
July 1, 2014
3-55j(a) to (d)
Sec. 8
July 1, 2014
4b-38(g)
Sec. 9
July 1, 2014
4b-39
Sec. 10
July 1, 2014
4b-46
Sec. 11
July 1, 2014
10a-90
Sec. 12
July 1, 2014
10a-91(b)
Sec. 13
July 1, 2014
15-101dd
Sec. 14
July 1, 2014
22-26jj(c)
Sec. 15
July 1, 2014
22-26oo(c)
Sec. 16
July 1, 2014
22a-282
Sec. 17
July 1, 2014
23-30
Sec. 18
July 1, 2014
32-610
Sec. 19
July 1, 2014
32-666(a) and (b)
FIN Joint Favorable Subst.
PD Joint Favorable
FIN
Joint Favorable Subst.
PD
Joint Favorable