Connecticut House Bill HB05241

Connecticut 2016 Regular Session

• Introduced: 2/17/16
• Refer: 2/17/16

Caption

An Act Concerning The Priority Of The Benefit Assessments Lien Under The Green Bank's Commercial Sustainable Energy Program.

Impact

The impact of HB 5241 on state laws centers around the reordering of lien priorities. By placing municipal tax liens above those from benefit assessments, municipalities may find it easier to recover owed funds, thus protecting local revenue streams necessary for public services. The change may encourage municipalities to participate more actively in the Green Bank's programs, knowing that their financial interests are safeguarded. It aligns the approach to collections more closely with traditional property tax practices, potentially reducing administrative hurdles in enforcing liens and enhancing compliance among property owners undertaking sustainable energy projects.

Summary

House Bill 5241 addresses the hierarchy of liens associated with benefit assessments levied under the Green Bank's Commercial Sustainable Energy Program. Specifically, the bill aims to ensure that municipal tax liens and assessments take precedence over benefit assessment liens. This legislative change is significant as it directly impacts how financial obligations related to sustainable energy improvements on commercial properties are prioritized in cases of unpaid assessments or defaults. The bill was introduced to streamline the enforcement of liens and clarifies the mechanisms for collecting delinquent payments, bringing it in line with existing property tax laws.

Contention

Notable points of contention surrounding the bill include concerns from stakeholders in the sustainable energy sector, who may view this change as a deterrent to participation in the Green Bank's programs. Critics argue that the prioritization of municipal liens could discourage property owners from seeking financing for energy efficiency upgrades, fearing that their obligations to municipal taxes might overshadow their commitments to benefit assessments. Proponents, however, maintain that this clarity in lien order is essential for fiscal responsibility and aligns with broader municipal interests, ensuring that local governments retain necessary funds to continue providing services.