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General Assembly Substitute Bill No. 6356
January Session, 2019
AN ACT CONCERNING PA YMENTS IN LIEU OF TAXES FOR STATE
HOUSING AUTHORITY PROPERTIES.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Subsection (b) of section 8-216 of the general statutes is 1
repealed and the following is substituted in lieu thereof (Effective 2
October 1, 2019): 3
(b) The state, acting [by and in the discretion of] through the 4
Commissioner of Housing, [may] shall enter into a contract with [a] 5
each municipality and the housing authority of the municipality or 6
with the Connecticut Housing Finance Authority or any subsidiary 7
created by the authority pursuant to section 8-242a or 8-244 or with a 8
successor owner to make payments in lieu of taxes to the municipality 9
on land and improvements owned or leased by the housing authority 10
or the Connecticut Housing Finance Authority or successor owner 11
under the provisions of part II of chapter 128. On and after July 1, 1997, 12
the time period of the contract may include the remaining years of 13
operation of the project. Such payments shall be made annually in an 14
amount equal to the taxes that would be paid on such property were 15
the property not exempt from taxation, and shall be calculated by 16
multiplying the assessed value of such property, which shall be 17
determined by the tax assessor of such municipality in the manner 18
used by such assessor for assessing the value of other real property, by 19
the applicable tax rate of the municipality. Such contract shall provide 20 Substitute Bill No. 6356
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that, in consideration of such grant-in-aid, the municipality shall waive 21
during the period of such contract any payments by the housing 22
authority or the Connecticut Housing Finance Authority or successor 23
owner to the municipality under the provisions of section 8-71, as 24
amended by this act, and shall further provide that the amount of the 25
payments so waived shall be used by the housing authority or the 26
Connecticut Housing Finance Authority or successor owner for a 27
program of social and supplementary services to the occupants or shall 28
be applied to the operating costs or reserves of the property, or shall be 29
used to maintain or improve the physical quality of the property. As 30
used in this subsection, a "successor owner" means an entity that owns 31
a housing project developed pursuant to part II of chapter 128 after the 32
revitalization of such project pursuant to a plan approved by the 33
commissioner. 34
Sec. 2. Subsection (d) of section 8-216 of the general statutes is 35
repealed and the following is substituted in lieu thereof (Effective 36
October 1, 2019): 37
(d) The state, acting [by and in the discretion of] through the 38
Commissioner of Housing, [may] shall enter into a contract with [a] 39
each municipality to make payments in lieu of taxes to the 40
municipality on land and improvements owned or leased by said 41
commissioner pursuant to chapter 129. Such payments shall be made 42
annually in an amount equal to the taxes that would be paid on such 43
property were the property not exempt from taxation, and shall be 44
calculated by multiplying the assessed value of such property, which 45
shall be determined by the tax assessor of such municipality in the 46
manner used by such assessor for assessing the value of other real 47
property, by the applicable tax rate of the municipality. Such contract 48
shall provide that, in consideration of such grant-in-aid the 49
municipality shall waive any payments by the state to the municipality 50
under the provisions of a cooperation agreement between the 51
municipality and said commissioner. 52
Sec. 3. Section 8-71 of the general statutes is repealed and the 53 Substitute Bill No. 6356
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following is substituted in lieu thereof (Effective from passage): 54
(a) In lieu of real property taxes, special benefit assessments and 55
sewerage system use charges otherwise payable to such municipality, 56
except in such municipalities as, by special act or charter, on May 20, 57
1957, had a sewer use charge, an authority shall pay each year to the 58
municipality in which any of its moderate rental housing projects are 59
located a sum to be determined by the municipality, with the approval 60
of the Commissioner of Housing, not in excess of twelve and one-half 61
per cent of the shelter rent per annum for each occupied dwelling unit 62
in any such housing project; except that the amount of such payment 63
shall not be so limited in any case where funds are made available for 64
such payment by an agency or department of the United States 65
government, but no payment shall exceed the amount of taxes which 66
would be paid on the property were the property not exempt from 67
taxation. 68
(b) [For the period commencing on June 2, 2016, and ending June 30, 69
2019, each] Each municipality that received a grant-in-aid pursuant to 70
section 8-216, as amended by this act, in the fiscal year ending June 30, 71
2015, shall waive any payment that becomes payable [during such 72
period] pursuant to subsection (a) of this section during any fiscal year 73
in which no grant-in-aid for such amount is made, pursuant to section 74
8-216, as amended by this act, except that no waiver shall be required 75
in any case where funds are made available for such payment by an 76
agency or department of the United States government. 77
This act shall take effect as follows and shall amend the following
sections:
Section 1 October 1, 2019 8-216(b)
Sec. 2 October 1, 2019 8-216(d)
Sec. 3 from passage 8-71
HSG Joint Favorable Subst.