Substitute House Bill No. 7192
Public Act No. 19-193
AN ACT CONCERNING MU NICIPAL AND REGIONAL
OPPORTUNITIES AND EF FICIENCIES.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Section 7-395 of the general statutes is repealed and the
following is substituted in lieu thereof (Effective July 1, 2019):
(a) The secretary shall review each audit report filed with said
secretary as provided in section 7-393, except said secretary shall
review the audit reports on each audited agency biennially and may
review the audit reports on any municipality or regional school district
biennially, provided such secretary shall, in any year in which he does
not review the report of any such municipality or regional school
district, review the comments and recommendations of the
independent auditor who made such audit. If, upon such review of the
audit report, evidence of fraud or embezzlement is found, he shall
report such information to the state's attorney for the judicial district in
which such municipality, regional school district or audited agency is
located. If, in the review of such audit report said secretary finds that
such audit has not been prepared in compliance with the provisions of
subsection (a) of section 7-394a, or said secretary finds evidence of any
unsound or irregular financial practice in relation to commonly
accepted standards in municipal finance, said secretary shall prepare a Substitute House Bill No. 7192
Public Act No. 19-193 2 of 10
report concerning such finding, including necessary details for proper
evaluation of such finding and recommendations for corrective action
and shall refer such report to the Municipal Finance Advisory
Commission established under section 7-394b. A copy of such report
shall be filed with: (1) The chief executive officer of such municipality
or audited agency or the superintendent of such school district and, in
the case of a town, city or borough, with the clerk of such town, city or
borough; and (2) the Auditors of Public Accounts.
(b) If, upon such review of the audit report, the secretary finds (1)
that such audit has not been prepared in accordance with subsection
(a) of section 7-394a, and the municipality, regional school district or
audited agency did not request permission to have the audit report
prepared in a manner not in compliance with said subsection; or (2)
evidence of unsound or irregular financial practices or management
letter comments or lack of internal controls in relation to commonly
accepted standards in municipal finance, then the secretary shall
prepare a report concerning such finding, including, but not limited to,
information to aid in the evaluation of such finding and
recommendations for corrective action. The secretary shall submit such
report to (A) the Municipal Finance Advisory Commission established
pursuant to section 7-394b; (B) the Auditors of Public Accounts; and
(C) the chief executive officer and clerk of the municipality,
superintendent of schools for the regional school district or chief
executive officer of the audited agency.
(c) Upon receipt of a report submitted pursuant to subsection (b) of
this section, the chief executive officer of a municipality or audited
agency or superintendent of schools for the regional school district
shall attest to and explain the secretary's findings and submit a plan
for corrective action, in writing, to the secretary.
(d) The secretary shall refer to the Municipal Finance Advisory
Commission any municipality that has not been previously referred to Substitute House Bill No. 7192
Public Act No. 19-193 3 of 10
said commission pursuant to subsection (b) of this section or section 7-
576, 7-576a or 7-576c, provided the municipality has:
(1) A negative fund balance percentage;
(2) Reported a fund balance percentage of less than five per cent in
the three immediately preceding fiscal years;
(3) Reported a declining fund balance trend in the two immediately
preceding fiscal years;
(4) Issued tax or bond anticipation notes in the three immediately
preceding fiscal years to meet cash liquidity;
(5) Had a general fund annual operating budget deficit of one and
one-half per cent or more of such municipality's general fund revenues
in the immediately preceding fiscal year;
(6) Had a general fund annual operating budget deficit of two per
cent or more of such municipality's average general fund revenues in
the two immediately preceding fiscal years; or
(7) Received a bond rating below A from a bond rating agency.
(e) The secretary may, at the secretary's discretion and based upon
the review conducted pursuant to subsection (a) of this section, refer to
the Municipal Finance Advisory Commission any municipality that
has not been previously referred to said commission pursuant to
subsection (b) of this section or section 7-576, 7-576a or 7-576c.
(f) For the purposes of this section, "deficit", "fund balance" and
"fund balance percentage" have the same meanings as provided in
section 7-560.
Sec. 2. Section 2-79a of the general statutes is repealed and the
following is substituted in lieu thereof (Effective July 1, 2019): Substitute House Bill No. 7192
Public Act No. 19-193 4 of 10
(a) (1) There shall be a Connecticut Advisory Commission on
Intergovernmental Relations. The purpose of the commission shall be
to enhance coordination and cooperation between the state and local
governments. [The]
(2) Before July 1, 2019, the commission shall consist of the president
pro tempore of the Senate, the speaker of the House of
Representatives, the minority leader of the Senate, the minority leader
of the House of Representatives, the Secretary of the Office of Policy
and Management, the Commissioners of Education, Energy and
Environmental Protection, Economic and Community Development,
or their designees, and sixteen additional members as follows: [(1)] (A)
Six municipal officials appointed by the Governor, four of whom shall
be selected from a list of nominees submitted to [him] the Governor by
the Connecticut Conference of Municipalities and two of whom shall
be selected from a list submitted by the Council of Small Towns. Two
of such six officials shall be from towns having populations of twenty
thousand or less persons, two shall be from towns having populations
of more than twenty thousand but less than sixty thousand persons
and two shall be from towns having populations of sixty thousand or
more persons; [(2)] (B) two local public education officials appointed
by the Governor, one of whom shall be selected from a list of nominees
submitted to [him] the Governor by the Connecticut Association of
Boards of Education and one of whom shall be selected from a list
submitted by the Connecticut Association of [School Administrators]
Public School Superintendents; [(3)] (C) one representative of a
regional council of governments appointed by the Governor from a list
of nominees submitted to [him] the Governor by the [Regional
Planning Association of] Connecticut Association of Councils of
Governments; [(4)] (D) five persons who do not hold elected or
appointed office in state or local government, one of whom shall be
appointed by the Governor, one of whom shall be appointed by the
president pro tempore of the Senate, one of whom shall be appointed Substitute House Bill No. 7192
Public Act No. 19-193 5 of 10
by the speaker of the House of Representatives, one of whom shall be
appointed by the minority leader of the Senate and one of whom shall
be appointed by the minority leader of the House of Representatives;
[(5)] (E) one representative of the Connecticut Conference of
Municipalities appointed by said conference; and [(6)] (F) one
representative of the Council of Small Towns appointed by said
council. [Each]
(3) On and after July 1, 2019, the commission shall consist of the
president pro tempore of the Senate, speaker of the House of
Representatives, minority leader of the Senate, minority leader of the
House of Representatives, Secretary of the Office of Policy and
Management, Commissioner of Education, Commissioner of Energy
and Environmental Protection and Commissioner of Economic and
Community Development, or their designees, and seventeen
additional members as follows: (A) Six municipal officials appointed
by the Governor, four of whom shall be selected from a list of
nominees submitted to the Governor by the Connecticut Conference of
Municipalities and two of whom shall be selected from a list submitted
by the Council of Small Towns. One of such six officials shall be from a
town having a population of ten thousand or less persons, one shall be
from a town having a population of more than ten thousand but less
than twenty thousand persons, two shall be from towns having
populations of more than twenty thousand but less than sixty
thousand persons and two shall be from towns having populations of
sixty thousand or more persons; (B) two local public education officials
appointed by the Governor, one of whom shall be selected from a list
of nominees submitted to the Governor by the Connecticut Association
of Boards of Education and one of whom shall be selected from a list
submitted by the Connecticut Association of Public School
Superintendents; (C) one representative of a regional council of
governments appointed by the Governor from a list of nominees
submitted to the Governor by the Connecticut Association of Councils Substitute House Bill No. 7192
Public Act No. 19-193 6 of 10
of Governments; (D) one representative of organized labor appointed
by the Governor from a list of nominees submitted to the Governor by
the Connecticut AFL-CIO; (E) five persons who do not hold elected or
appointed office in state or local government, one of whom shall be
appointed by the Governor, one of whom shall be appointed by the
president pro tempore of the Senate, one of whom shall be appointed
by the speaker of the House of Representatives, one of whom shall be
appointed by the minority leader of the Senate and one of whom shall
be appointed by the minority leader of the House of Representatives;
(F) one representative of the Connecticut Conference of Municipalities
appointed by said conference; and (G) one representative of the
Council of Small Towns appointed by said council.
(4) Before July 1, 2019, each member of the commission appointed
pursuant to [subdivisions (1) to (6)] subparagraphs (A) to (F),
inclusive, of subdivision (2) of this subsection shall serve for a term of
two years. On and after July 1, 2019, each member of the commission
appointed pursuant to subparagraphs (A) to (G), inclusive, of
subdivision (3) of this subsection shall serve for a term of two years
and may serve until a successor is appointed and has qualified. All
other members shall serve for terms which are coterminous with their
terms of office. The Governor shall appoint a chairperson and a vice-
chairperson from among the commission members. Members of the
General Assembly may serve as gubernatorial appointees to the
commission. Members of the commission shall not be compensated for
their services but shall be reimbursed for necessary expenses incurred
in the performance of their duties.
(b) The commission shall: (1) Serve as a forum for consultation
among state and local government officials; (2) conduct research on
intergovernmental issues; (3) encourage and coordinate studies of
intergovernmental issues by universities, research and consulting
organizations and others; (4) initiate policy development and make Substitute House Bill No. 7192
Public Act No. 19-193 7 of 10
recommendations for consideration by all levels and branches of
government. The commission shall issue, from time to time, public
reports of its findings and recommendations and shall issue, annually,
a public report on its activities.
(c) On or before [October 1, 2019] the second Wednesday after the
convening of the regular session of the General Assembly in 2020, and
every four years thereafter on such second Wednesday , the
commission shall submit to the General Assembly a report which lists
each existing state mandate, as defined in subsection (a) of section 2-
32b, and which (1) categorizes each mandate as constitutional,
statutory or executive, [(2) provides the date of original enactment or
issuance along with a brief description of the history of the mandate,
and (3) analyzes the costs incurred by] and (2) describes the potential
impacts on local governments [in] implementing the mandate. In each
report the commission may also make recommendations on state
mandates for consideration by the commission. On and after October
1, 1996, the report shall be submitted to the joint standing committee of
the General Assembly having cognizance of matters relating to
appropriations and budgets of state agencies, to any other joint
standing committee of the General Assembly having cognizance and,
upon request, to any member of the General Assembly. A summary of
the report shall be submitted to each member of the General Assembly
if the summary is two pages or less and a notification of the report
shall be submitted to each member if the summary is more than two
pages. Submission shall be by mailing the report, summary or
notification to the legislative address of each member of the
committees or the General Assembly, as applicable. The provisions of
this subsection shall not be construed to prevent the commission from
making more frequent recommendations on state mandates.
(d) Commencing on or before [the second Wednesday after the
convening of the 1997 regular session of the General Assembly] Substitute House Bill No. 7192
Public Act No. 19-193 8 of 10
January 15, 1997, and every year thereafter except a year in which a
report is filed pursuant to subsection (c) of this section, the commission
shall submit to the General Assembly a supplement to the report
required in said subsection [(c)] identifying any new mandates
adopted and any mandates changed in the previous year.
(e) The Office of Policy and Management shall provide such staff as
is necessary for the performance of the functions and duties of the
Connecticut Advisory Commission on Intergovernmental Relations.
Such persons may be exempt from the classified service.
Sec. 3. Section 2-32c of the general statutes is repealed and the
following is substituted in lieu thereof (Effective July 1, 2019):
On and after [January 1, 2019] July 1, 2019, the Connecticut
Advisory Commission on Intergovernmental Relations, established
pursuant to section 2-79a, as amended by this act, shall, not more than
ninety days after adjournment of any regular or special session of the
General Assembly or [September first] November fifteenth
immediately following adjournment of a regular session, whichever is
[sooner] later, submit to the speaker of the House of Representatives,
the president pro tempore of the Senate, the majority leader of the
House of Representatives, the majority leader of the Senate, the
minority leader of the House of Representatives, [and] the minority
leader of the Senate and the chief elected official of each municipality a
report [which] that lists each state mandate enacted during said
regular or special session of the General Assembly. [Within five days
of] Not later than five days after receipt of the report, the speaker and
the president pro tempore shall [submit the report to the Secretary of
the Office of Policy and Management and] refer each state mandate to
the joint standing committee or select committee of the General
Assembly having cognizance of the subject matter of the mandate.
[The secretary shall provide notice of the report to the chief elected
official of each municipality.] Substitute House Bill No. 7192
Public Act No. 19-193 9 of 10
Sec. 4. Section 7-148cc of the general statutes is repealed and the
following is substituted in lieu thereof (Effective July 1, 2019):
[Two] Notwithstanding the provisions of the general statutes or any
special act, charter, special act charter, home rule ordinance or local
law, two or more municipalities may jointly perform any function that
each municipality may perform separately under any provisions of the
general statutes or of any special act, charter or home rule ordinance
by entering into an interlocal agreement pursuant to sections 7-339a to
7-339l, inclusive. As used in this section, "municipality" means any
municipality, as defined in section 7-187, any district, as defined in
section 7-324, any metropolitan district or any municipal district
created under section 7-330 and located within the state of
Connecticut.
Sec. 5. Subdivision (6) of subsection (b) of section 7-576d of the
general statutes is repealed and the following is substituted in lieu
thereof (Effective July 1, 2019):
(6) With respect to any municipality referred to the Municipal
Accountability Review Board on or after January 1, 2018, in the case of
any proposed collective bargaining agreement or amendments
negotiated pursuant to sections 7-467 to 7-477, inclusive, including any
such agreement negotiated by a board of education, notwithstanding
the provisions of subsection (d) of section 7-474, or pursuant to section
10-153d, the [board] Municipal Accountability Review Board shall
have the same opportunity and authority to approve or reject, on not
more than two occasions, collective bargaining agreements or
amendments as [is] are provided to the legislative body of such
municipality in said respective sections, except that (A) any such
agreement negotiated by a board of education shall be submitted to the
Municipal Accountability Review Board by the bargaining
representative of such board of education not later than fourteen days
after any such agreement is reached, and (B) the Municipal Substitute House Bill No. 7192
Public Act No. 19-193 10 of 10
Accountability Review Board shall act upon such agreement, pursuant
to this subdivision, not later than thirty days after submission by such
bargaining representative.
Sec. 6. Section 4-124r of the general statutes is repealed and the
following is substituted in lieu thereof (Effective July 1, 2019):
Any regional council of governments established under the
provisions of sections 4-124i to 4-124p, inclusive, may purchase real
property and borrow funds for such purchase for the purposes of
providing administrative office space and program functions for such
council.