Connecticut Senate Bill SB01074

Connecticut 2015 Regular Session

• Introduced: 3/6/15
• Refer: 3/6/15

Caption

An Act Concerning Municipal Tax Abatement For Natural Gas Expansion.

Impact

If enacted, this bill would significantly alter the landscape for natural gas expansion projects, allowing municipalities the discretion to provide financial incentives that directly reduce the costs for gas companies. The bill encourages local investment in natural gas infrastructure, which could lead to broader energy access and potentially lower energy costs for consumers. As municipalities vary widely in their adoption of such tax policies, the bill reflects an intent to cater to local economic needs while aligning with state energy goals to promote clean and affordable energy sources.

Summary

Bill SB01074, titled 'An Act Concerning Municipal Tax Abatement For Natural Gas Expansion,' aims to empower municipalities to provide substantial property tax abatements—up to 100%—to natural gas and pipeline companies. This legislation is designed to lower the financial barriers these companies face when expanding their operations within local jurisdictions. By granting these tax incentives, the bill seeks to enhance the availability and affordability of natural gas for residents and businesses alike, fostering economic development in municipalities across the state.

Contention

Critics of the bill may express concerns over the equity of granting such tax abatements. Questions arise about the long-term economic impacts on municipal budgets and the fairness of effectively subsidizing specific industries at the expense of other local priorities. There may be apprehensions regarding how these financial incentives could lead to potential over-reliance on natural gas as a primary energy source, raising environmental and sustainability issues. Therefore, the bill's implementation could stir debates regarding the balance between fostering economic growth in the gas sector and supporting broader community interests.