Connecticut 2019 Regular Session

Connecticut House Bill HB07277 Compare Versions

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	7	+	General Assembly Substitute Bill No. 7277
	8	+	January Session, 2019
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4		-	Substitute House Bill No. 7277
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6		-	Public Act No. 19-175
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9	14		AN ACT CONCERNING TH E CREATION OF LAND BANK
10	15		AUTHORITIES.
11	16		Be it enacted by the Senate and House of Representatives in General
12	17		Assembly convened:
13	18
14		-	Section 1. (NEW) (Effective from passage) (a) As used in this section:
15		-	(1) "Land bank authority" means a charitable nonstock corporation
16		-	established by a municipality, or by two or more municipalities, for the
17		-	purposes of acquiring real property, maintaining any such real
18		-	property and disposing of any such real property within such
19		-	municipality or municipalities, as applicable;
20		-	(2) "Board of directors" means the board of directors for a land bank
21		-	authority;
22		-	(3) "Municipality" means any town, city or borough, consolidated
23		-	town and city or consolidated town and borough; and
24		-	(4) "Real property" means land, subterranean or subsurface rights,
25		-	structures, any and all easements, air rights and franchises and every
26		-	estate, right or interest therein, but does not include any brownfield, as
27		-	defined in section 32-760 of the general statutes.
28		-	(b) The legislative body of any municipality, by ordinance, or the Substitute House Bill No. 7277
	19	+	Section 1. (NEW) (Effective from passage) (a) As used in this section: 1
	20	+	(1) "Land bank authority" means a charitable nonstock corporation 2
	21	+	established by a municipality, or by two or more municipalities, for the 3
	22	+	purposes of acquiring real property, maintaining any such real 4
	23	+	property and disposing of any such real property within such 5
	24	+	municipality or municipalities, as applicable; 6
	25	+	(2) "Board of directors" means the board of directors for a land bank 7
	26	+	authority; 8
	27	+	(3) "Municipality" means any town, city or borough, consolidated 9
	28	+	town and city or consolidated town and borough; and 10
	29	+	(4) "Real property" means land, subterranean or subsurface rights, 11
	30	+	structures, any and all easements, air rights and franchises and every 12
	31	+	estate, right or interest therein. 13
	32	+	(b) The legislative body of any municipality, by ordinance, or the 14
	33	+	legislative bodies of two or more municipalities, by concurrent 15
	34	+	ordinances entering into an intergovernmental cooperation agreement, 16 Substitute Bill No. 7277
29	35
30		-	Public Act No. 19-175 2 of 9
31	36
32		-	legislative bodies of two or more municipalities, by concurrent
33		-	ordinances entering into an intergovernmental cooperation agreement,
34		-	may establish a land bank authority. Any such ordinance or concurrent
35		-	ordinances, as applicable, shall set forth (1) the name of the land bank
36		-	authority, (2) the size of the board of directors, provided such board
37		-	shall consist of five, seven, nine or eleven members, (3) the
38		-	qualifications, manner of appointment and terms of office of such
39		-	board's members, and (4) the members initially appointed to serve on
40		-	such board, any of which may, notwithstanding any provision of the
41		-	general statutes, be an individual elected to an office or otherwise
42		-	employed by any such municipality.
43		-	(c) (1) Annually, the members of the board of directors of a land
44		-	bank authority shall (A) select from among themselves a chairperson,
45		-	vice-chairperson, treasurer and any other officer as such board may
46		-	deem necessary to carry out the purposes of this section, and (B) adopt
47		-	bylaws for the conduct of business in carrying out such purposes.
48		-	(2) Bylaws adopted by such board of directors shall establish
49		-	procedures relative to the attendance and participation of board
50		-	members at any meeting of such board, which procedures may
51		-	provide for removal of a member from such board for failure to
52		-	comply with such bylaws by a majority vote of the total membership
53		-	of such board, provided any individual so removed shall be ineligible
54		-	for reappointment to such board unless such reappointment is
55		-	unanimously confirmed by such board. Any such removal shall create
56		-	a vacancy on such board effective the first day of the month
57		-	immediately following such removal. Any such vacancy shall be filled
58		-	as set forth pursuant to subdivision (3) of subsection (b) of this section.
59		-	(3) (A) Each member of such board of directors shall serve without
60		-	compensation, except that such board may reimburse any such
61		-	member for expenses incurred in the performance of such member's
62		-	duties on behalf of such authority. Substitute House Bill No. 7277
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64		-	Public Act No. 19-175 3 of 9
	41	+	may establish a land bank authority. Any such ordinance or concurrent 17
	42	+	ordinances, as applicable, shall set forth (1) the name of the land bank 18
	43	+	authority, (2) the size of the board of directors, provided such board 19
	44	+	shall consist of five, seven, nine or eleven members, (3) the 20
	45	+	qualifications, manner of appointment and terms of office of such 21
	46	+	board's members, and (4) the members initially appointed to serve on 22
	47	+	such board, any of which may, notwithstanding any provision of the 23
	48	+	general statutes, be an individual elected to an office or otherwise 24
	49	+	employed by any such municipality. 25
	50	+	(c) (1) Annually, the members of the board of directors of a land 26
	51	+	bank authority shall (A) select from among themselves a chairperson, 27
	52	+	vice-chairperson, treasurer and any other officer as such board may 28
	53	+	deem necessary to carry out the purposes of this section, and (B) adopt 29
	54	+	bylaws for the conduct of business in carrying out such purposes. 30
	55	+	(2) Bylaws adopted by such board of directors shall establish 31
	56	+	procedures relative to the attendance and participation of board 32
	57	+	members at any meeting of such board, which procedures may 33
	58	+	provide for removal of a member from such board for failure to 34
	59	+	comply with such bylaws by a majority vote of the total membership 35
	60	+	of such board, provided any individual so removed shall be ineligible 36
	61	+	for reappointment to such board unless such reappointment is 37
	62	+	unanimously confirmed by such board. Any such removal shall create 38
	63	+	a vacancy on such board effective the first day of the month 39
	64	+	immediately following such removal. Any such vacancy shall be filled 40
	65	+	as set forth pursuant to subdivision (3) of subsection (b) of this section. 41
	66	+	(3) (A) Each member of such board of directors shall serve without 42
	67	+	compensation, except that such board may reimburse any such 43
	68	+	member for expenses incurred in the performance of such member's 44
	69	+	duties on behalf of such authority. 45
	70	+	(B) No board member, and no staff as described in subsection (d) of 46
	71	+	this section, may acquire any interest in any real property held by such 47
	72	+	authority or in any real property to be acquired by or from such 48 Substitute Bill No. 7277
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66		-	(B) No board member, and no staff as described in subsection (d) of
67		-	this section, may acquire any interest in any real property held by such
68		-	authority or in any real property to be acquired by or from such
69		-	authority. No board member and no such staff may have any interest
70		-	in any contract or proposed contract for materials or services to be
71		-	furnished or used by such authority. The board of directors of such
72		-	authority may adopt additional bylaws to address actual and potential
73		-	conflicts of interest and ethical guidelines for such board members and
74		-	staff.
75		-	(C) No board member shall be personally liable on any bond or
76		-	obligation of such authority, and any right of a creditor shall be against
77		-	such authority only.
78		-	(4) (A) Regular meetings of such board of directors shall be held in
79		-	accordance with a schedule adopted by such board. Special meetings
80		-	of such board shall be held upon the call of the chairperson or upon a
81		-	signed petition of a majority of the total membership of such board. A
82		-	majority of the total membership of such board of directors shall
83		-	constitute a quorum for the transaction of any business. Except as
84		-	provided in subparagraph (B) of this subdivision and subsection (j) of
85		-	this section, approval of any board action shall be by a majority vote of
86		-	the members of such board present and voting. No board member may
87		-	vote by proxy. Any board member may request a roll-call vote on any
88		-	action taken by such authority. Such board shall cause minutes and a
89		-	record to be kept of each meeting.
90		-	(B) The following board actions shall be approved by a majority
91		-	vote of the total membership of such board: (i) Adoption of bylaws for
92		-	the conduct of business; (ii) hiring or firing of any employee or
93		-	contractor of such land bank authority, except that such board may
94		-	delegate the exercise of any such action to an officer of such authority
95		-	and to an extent as may be specified by such board in such delegation;
96		-	(iii) incurrence of debt; (iv) adoption or amendment of an annual Substitute House Bill No. 7277
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100		-	budget; and (v) sale, lease, encumbrance or alienation of any real
101		-	property, improvements thereto or personal property valued in an
102		-	amount exceeding fifty thousand dollars.
103		-	(d) (1) The board of directors of a land bank authority may hire an
104		-	executive director, legal counsel and any other staff such board deems
105		-	qualified to serve such authority. Such board may contract with one or
106		-	more municipalities for the staffing of such authority or of any
107		-	department or agency of any such municipality.
108		-	(2) Such board may (A) organize and reorganize the executive,
109		-	administrative, clerical and other responsibilities of such authority,
110		-	and (B) fix the duties, powers and compensation of each employee,
111		-	agent and consultant of such authority.
112		-	(e) (1) The board of directors of a land bank authority may exercise
113		-	any power necessary to carry out the purposes of this section,
114		-	including:
115		-	(A) To adopt, amend and repeal bylaws for the conduct of its
116		-	business;
117		-	(B) To sue and be sued in its own name, to plead and be impleaded
118		-	in any civil action, including, but not limited to, any such action to
119		-	clear title to property of such authority;
120		-	(C) To adopt a seal and to alter such seal;
121		-	(D) To borrow from private lenders, municipalities, the state or the
122		-	federal government any moneys necessary for the operation of such
123		-	authority;
124		-	(E) To issue negotiable revenue bonds and notes in accordance with
125		-	this section;
126		-	(F) To procure (i) insurance or guarantees from the state or the Substitute House Bill No. 7277
	79	+	authority. No board member and no such staff may have any interest 49
	80	+	in any contract or proposed contract for materials or services to be 50
	81	+	furnished or used by such authority. The board of directors of such 51
	82	+	authority may adopt additional bylaws to address actual and potential 52
	83	+	conflicts of interest and ethical guidelines for such board members and 53
	84	+	staff. 54
	85	+	(C) No board member shall be personally liable on any bond or 55
	86	+	obligation of such authority, and any right of a creditor shall be against 56
	87	+	such authority only. 57
	88	+	(4) (A) Regular meetings of such board of directors shall be held in 58
	89	+	accordance with a schedule adopted by such board. Special meetings 59
	90	+	of such board shall be held upon the call of the chairperson or upon a 60
	91	+	signed petition of a majority of the total membership of such board. A 61
	92	+	majority of the total membership of such board of directors shall 62
	93	+	constitute a quorum for the transaction of any business. Except as 63
	94	+	provided in subparagraph (B) of this subdivision and subsection (j) of 64
	95	+	this section, approval of any board action shall be by a majority vote of 65
	96	+	the members of such board present and voting. No board member may 66
	97	+	vote by proxy. Any board member may request a roll-call vote on any 67
	98	+	action taken by such authority. Such board shall cause minutes and a 68
	99	+	record to be kept of each meeting. 69
	100	+	(B) The following board actions shall be approved by a majority 70
	101	+	vote of the total membership of such board: (i) Adoption of bylaws for 71
	102	+	the conduct of business; (ii) hiring or firing of any employee or 72
	103	+	contractor of such land bank authority, except that such board may 73
	104	+	delegate the exercise of any such action to an officer of such authority 74
	105	+	and to an extent as may be specified by such board in such delegation; 75
	106	+	(iii) incurrence of debt; (iv) adoption or amendment of an annual 76
	107	+	budget; and (v) sale, lease, encumbrance or alienation of any real 77
	108	+	property, improvements thereto or personal property valued in an 78
	109	+	amount exceeding fifty thousand dollars. 79
	110	+	(d) (1) The board of directors of a land bank authority may hire an 80 Substitute Bill No. 7277
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128		-	Public Act No. 19-175 5 of 9
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130		-	federal government for the payment of any debt or part thereof
131		-	incurred by such authority, and to pay any premium in connection
132		-	therewith, and (ii) insurance against any loss in connection with any
133		-	real property, asset or activity of such authority;
134		-	(G) To enter into any contract or other instrument necessary,
135		-	incidental or convenient for carrying out the purposes of this section;
136		-	(H) To invest moneys of such authority in any instrument,
137		-	obligation, security or property deemed proper, and to name and use
138		-	any depository for any such moneys;
139		-	(I) To design, develop, construct, demolish, reconstruct, rehabilitate,
140		-	renovate, relocate and otherwise improve any real property or any
141		-	right or interest therein;
142		-	(J) To fix, charge and collect any rent, fee or charge for the use of
143		-	any real property of such authority and for any service provided by
144		-	such authority;
145		-	(K) To grant or acquire any license, easement, lease or option with
146		-	respect to any real property of such authority; and
147		-	(L) To enter into any collaborative relationship with any
148		-	municipality and other public and private entities for the ownership,
149		-	management, development and disposition of any real property.
150		-	(2) The board of directors of a land bank authority shall neither
151		-	possess nor exercise the power of eminent domain.
152		-	(f) (1) Notwithstanding any provision of the general statutes, a land
153		-	bank authority (A) may, on terms and conditions and in a manner
154		-	deemed proper by the board of directors of such authority, acquire any
155		-	real property or interest thereof by gift, devise, transfer, exchange,
156		-	foreclosure, purchase or other means, (B) shall hold in its own name Substitute House Bill No. 7277
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	117	+	executive director, legal counsel and any other staff such board deems 81
	118	+	qualified to serve such authority. Such board may contract with one or 82
	119	+	more municipalities for the staffing of such authority or of any 83
	120	+	department or agency of any such municipality. 84
	121	+	(2) Such board may (A) organize and reorganize the executive, 85
	122	+	administrative, clerical and other responsibilities of such authority, 86
	123	+	and (B) fix the duties, powers and compensation of each employee, 87
	124	+	agent and consultant of such authority. 88
	125	+	(e) (1) The board of directors of a land bank authority may exercise 89
	126	+	any power necessary to carry out the purposes of this section, 90
	127	+	including: 91
	128	+	(A) To adopt, amend and repeal bylaws for the conduct of its 92
	129	+	business; 93
	130	+	(B) To sue and be sued in its own name, to plead and be impleaded 94
	131	+	in any civil action, including, but not limited to, any such action to 95
	132	+	clear title to property of such authority; 96
	133	+	(C) To adopt a seal and to alter such seal; 97
	134	+	(D) To borrow from private lenders, municipalities, the state or the 98
	135	+	federal government any moneys necessary for the operation of such 99
	136	+	authority; 100
	137	+	(E) To issue negotiable revenue bonds and notes in accordance with 101
	138	+	this section; 102
	139	+	(F) To procure (i) insurance or guarantees from the state or the 103
	140	+	federal government for the payment of any debt or part thereof 104
	141	+	incurred by such authority, and to pay any premium in connection 105
	142	+	therewith, and (ii) insurance against any loss in connection with any 106
	143	+	real property, asset or activity of such authority; 107
	144	+	(G) To enter into any contract or other instrument necessary, 108 Substitute Bill No. 7277
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160		-	any property so acquired, and (C) shall create and make available for
161		-	public inspection an inventory of any property held by such authority.
162		-	(2) Such authority shall not hold any real property or interest
163		-	thereof located outside of the municipality or municipalities, as
164		-	applicable, that established such authority, and shall maintain all of its
165		-	real property in accordance with the laws of the municipality or
166		-	municipalities in which such property is located. Such authority may,
167		-	pursuant to an intergovernmental cooperation agreement with a
168		-	municipality, maintain real property located within such municipality.
169		-	(3) Any real property or interest thereof held by such authority, and
170		-	any income derived therefrom, shall be exempt from taxation by the
171		-	state and by any political subdivision thereof.
172		-	(g) (1) A land bank authority may convey, exchange, sell, transfer,
173		-	lease, grant, release, demise, mortgage or otherwise pledge or
174		-	hypothecate any interest in any real property held by such authority.
175		-	Except as may be provided in subdivision (3) of this subsection, the
176		-	board of directors of such authority may delegate to its staff the power
177		-	to contract with a legal entity for the conveyance of any such interest.
178		-	(2) Such board of directors shall set forth in such board's bylaws the
179		-	terms and conditions of any consideration to be received by such
180		-	authority for the conveyance of any interest in any real property held
181		-	by such authority, provided such consideration shall be in a form
182		-	deemed by such board to be in the best interest of such authority.
183		-	(3) The ordinance or concurrent ordinances, as applicable, adopted
184		-	pursuant to subsection (b) of this section may (A) establish an order of
185		-	priorities for the use of any interest in any real property conveyed by
186		-	such authority, and (B) require that certain means of disposing of any
187		-	such interest, or that the disposition of any such interest in certain
188		-	locations, be subject to different requirements for approval by the Substitute House Bill No. 7277
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192		-	board of directors of such authority.
193		-	(h) (1) A land bank authority may receive (A) grants or loans from
194		-	(i) the municipality or municipalities, as applicable, that established
195		-	such authority, (ii) any other municipality, (iii) the state, (iv) the
196		-	federal government, or (v) any other public or private source, and (B)
197		-	payment for (i) any service rendered, (ii) any rent or leasehold, (iii) any
198		-	consideration related to the disposition of any interest in real or
199		-	personal property held by such authority, (iv) any proceeds of
200		-	insurance coverage for any loss incurred, (v) any income from
201		-	investments, and (vi) any other asset or activity provided for under
202		-	this section.
203		-	(2) Commencing on October first immediately following the
204		-	conveyance of any interest in real property by a land bank authority,
205		-	and annually thereafter for five years, fifty per cent of the taxes
206		-	collected by a municipality pursuant to state law on any such interest
207		-	so conveyed shall be remitted to such authority by such municipality.
208		-	(i) (1) A land bank authority may issue limited obligation bonds,
209		-	pursuant to resolution of the board of directors of such authority, to
210		-	carry out the purposes of this section. Such resolution shall set forth
211		-	(A) the form and denomination of any such bond, (B) the manner of
212		-	sale at public sale or private sale and of delivery of such bond, (C) the
213		-	manner in which such bond bears interest and matures, (D) the
214		-	execution of such bond by one or more board members, and (E) any
215		-	option of such board to redeem any such bond and the manner of such
216		-	redemption. Such board shall publish such resolution in a newspaper
217		-	having general circulation within the municipality or municipalities, as
218		-	applicable, that established such authority.
219		-	(2) Such authority may pay the principal and interest of any such
220		-	bond, as well as the cost of issuance and any other incidental cost of
221		-	such bond, solely from revenues derived from the disposition of any Substitute House Bill No. 7277
	151	+	incidental or convenient for carrying out the purposes of this section; 109
	152	+	(H) To invest moneys of such authority in any instrument, 110
	153	+	obligation, security or property deemed proper, and to name and use 111
	154	+	any depository for any such moneys; 112
	155	+	(I) To design, develop, construct, demolish, reconstruct, rehabilitate, 113
	156	+	renovate, relocate and otherwise improve any real property or any 114
	157	+	right or interest therein; 115
	158	+	(J) To fix, charge and collect any rent, fee or charge for the use of 116
	159	+	any real property of such authority and for any service provided by 117
	160	+	such authority; 118
	161	+	(K) To grant or acquire any license, easement, lease or option with 119
	162	+	respect to any real property of such authority; and 120
	163	+	(L) To enter into any collaborative relationship with any 121
	164	+	municipality and other public and private entities for the ownership, 122
	165	+	management, development and disposition of any real property. 123
	166	+	(2) The board of directors of a land bank authority shall neither 124
	167	+	possess nor exercise the power of eminent domain. 125
	168	+	(f) (1) Notwithstanding any provision of the general statutes, a land 126
	169	+	bank authority (A) may, on terms and conditions and in a manner 127
	170	+	deemed proper by the board of directors of such authority, acquire any 128
	171	+	real property or interest thereof by gift, devise, transfer, exchange, 129
	172	+	foreclosure, purchase or other means, (B) shall hold in its own name 130
	173	+	any property so acquired, and (C) shall create and make available for 131
	174	+	public inspection an inventory of any property held by such authority. 132
	175	+	(2) Such authority shall not hold any real property or interest 133
	176	+	thereof located outside of the municipality or municipalities, as 134
	177	+	applicable, that established such authority, and shall maintain all of its 135
	178	+	real property in accordance with the laws of the municipality or 136
	179	+	municipalities in which such property is located. Such authority may, 137 Substitute Bill No. 7277
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225		-	asset of such authority, except that for any refunding bond issued by
226		-	such board of directors, such authority may also make such payment
227		-	from the investment of any proceeds of such refunding bond. Any
228		-	such bond may be secured by a mortgage of any interest in any
229		-	property of such authority or by pledge of any such revenues,
230		-	including grants or contributions from the state or any agency thereof
231		-	or the federal government or any agency thereof. Any such refunding
232		-	bond shall not constitute under state law an indebtedness or pledge of
233		-	the general credit of any municipality, and shall contain a recital to
234		-	that effect. Any such bond shall be a negotiable instrument under state
235		-	law and law merchant.
236		-	(3) (A) Except as provided in subparagraph (B) of this subdivision,
237		-	(i) any such bond shall not be a debt of any municipality or of the state,
238		-	(ii) such bond shall contain a recital to that effect, and (iii) any
239		-	revenues and any interest of real property of any municipality or of the
240		-	state shall not be liable for any such bond.
241		-	(B) Any municipality that established a land bank authority may
242		-	guarantee, insure or otherwise become primarily or secondarily
243		-	obligated on the indebtedness of such authority, unless otherwise
244		-	prohibited by any other provision of the general statutes.
245		-	(j) The board of directors of a land bank authority may, by
246		-	resolution adopted by two-thirds of the total membership of such
247		-	board, dissolve such authority, provided such dissolution shall take
248		-	effect sixty days after the adoption of such resolution. Sixty days prior
249		-	to such board's consideration of such resolution, such board shall (1)
250		-	give written notice thereof to the municipality or municipalities, as
251		-	applicable, that established such authority, (2) publish notice thereof in
252		-	a newspaper having general circulation in such municipality or
253		-	municipalities, and (3) send notice thereof by certified mail to the
254		-	trustee of any outstanding bond of such authority. Each interest in real
255		-	or personal property and each asset of such authority at the time of Substitute House Bill No. 7277
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257		-	Public Act No. 19-175 9 of 9
	186	+	pursuant to an intergovernmental cooperation agreement with a 138
	187	+	municipality, maintain real property located within such municipality. 139
	188	+	(3) Any real property or interest thereof held by such authority, and 140
	189	+	any income derived therefrom, shall be exempt from taxation by the 141
	190	+	state and by any political subdivision thereof. 142
	191	+	(g) (1) A land bank authority may convey, exchange, sell, transfer, 143
	192	+	lease, grant, release, demise, mortgage or otherwise pledge or 144
	193	+	hypothecate any interest in any real property held by such authority. 145
	194	+	Except as may be provided in subdivision (3) of this subsection, the 146
	195	+	board of directors of such authority may delegate to its staff the power 147
	196	+	to contract with a legal entity for the conveyance of any such interest. 148
	197	+	(2) Such board of directors shall set forth in such board's bylaws the 149
	198	+	terms and conditions of any consideration to be received by such 150
	199	+	authority for the conveyance of any interest in any real property held 151
	200	+	by such authority, provided such consideration shall be in a form 152
	201	+	deemed by such board to be in the best interest of such authority. 153
	202	+	(3) The ordinance or concurrent ordinances, as applicable, adopted 154
	203	+	pursuant to subsection (b) of this section may (A) establish an order of 155
	204	+	priorities for the use of any interest in any real property conveyed by 156
	205	+	such authority, and (B) require that certain means of disposing of any 157
	206	+	such interest, or that the disposition of any such interest in certain 158
	207	+	locations, be subject to different requirements for approval by the 159
	208	+	board of directors of such authority. 160
	209	+	(h) (1) A land bank authority may receive (A) grants or loans from 161
	210	+	(i) the municipality or municipalities, as applicable, that established 162
	211	+	such authority, (ii) any other municipality, (iii) the state, (iv) the 163
	212	+	federal government, or (v) any other public or private source, and (B) 164
	213	+	payment for (i) any service rendered, (ii) any rent or leasehold, (iii) any 165
	214	+	consideration related to the disposition of any interest in real or 166
	215	+	personal property held by such authority, (iv) any proceeds of 167
	216	+	insurance coverage for any loss incurred, (v) any income from 168 Substitute Bill No. 7277
258	217
259		-	dissolution shall inure to the benefit of such municipality or
260		-	municipalities, as applicable. If two or more municipalities established
261		-	a land bank authority pursuant to this section, the withdrawal of one
262		-	such municipality shall not dissolve such authority unless (A) the
263		-	concurrent ordinances entering such munic ipalities into an
264		-	intergovernmental cooperation agreement so provides, or (B) no such
265		-	municipality wishes to continue the existence of such authority.
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	223	+	investments, and (vi) any other asset or activity provided for under 169
	224	+	this section. 170
	225	+	(2) Commencing on October first immediately following the 171
	226	+	conveyance of any interest in real property by a land bank authority, 172
	227	+	and annually thereafter for five years, fifty per cent of the taxes 173
	228	+	collected by a municipality or the state pursuant to state law on any 174
	229	+	such interest so conveyed shall be remitted to such authority by such 175
	230	+	municipality or the state. 176
	231	+	(3) The municipality or municipalities, as applicable, that 177
	232	+	established a land bank authority may provide for a supplemental fee, 178
	233	+	penalty or charge to be imposed for the nonpayment by citizens of 179
	234	+	such municipality or municipalities liable for property taxes assessed 180
	235	+	against them. Any such supplemental fee, penalty or charge collected 181
	236	+	by such municipality or municipalities shall be remitted to such 182
	237	+	authority. 183
	238	+	(i) (1) A land bank authority may issue limited obligation bonds, 184
	239	+	pursuant to resolution of the board of directors of such authority, to 185
	240	+	carry out the purposes of this section. Such resolution shall set forth 186
	241	+	(A) the form and denomination of any such bond, (B) the manner of 187
	242	+	sale at public sale or private sale and of delivery of such bond, (C) the 188
	243	+	manner in which such bond bears interest and matures, (D) the 189
	244	+	execution of such bond by one or more board members, and (E) any 190
	245	+	option of such board to redeem any such bond and the manner of such 191
	246	+	redemption. Such board shall publish such resolution in a newspaper 192
	247	+	having general circulation within the municipality or municipalities, as 193
	248	+	applicable, that established such authority. 194
	249	+	(2) Such authority may pay the principal and interest of any such 195
	250	+	bond, as well as the cost of issuance and any other incidental cost of 196
	251	+	such bond, solely from revenues derived from the disposition of any 197
	252	+	asset of such authority, except that for any refunding bond issued by 198
	253	+	such board of directors, such authority may also make such payment 199
	254	+	from the investment of any proceeds of such refunding bond. Any 200 Substitute Bill No. 7277
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	260	+
	261	+	such bond may be secured by a mortgage of any interest in any 201
	262	+	property of such authority or by pledge of any such revenues, 202
	263	+	including grants or contributions from the state or any agency thereof 203
	264	+	or the federal government or any agency thereof. Any such refunding 204
	265	+	bond shall not constitute under state law an indebtedness or pledge of 205
	266	+	the general credit of any municipality, and shall contain a recital to 206
	267	+	that effect. Any such bond shall be a negotiable instrument under state 207
	268	+	law and law merchant. 208
	269	+	(3) (A) Except as provided in subparagraph (B) of this subdivision, 209
	270	+	(i) any such bond shall not be a debt of any municipality or of the state, 210
	271	+	(ii) such bond shall contain a recital to that effect, and (iii) any 211
	272	+	revenues and any interest of real property of any municipality or of the 212
	273	+	state shall not be liable for any such bond. 213
	274	+	(B) Any municipality that established a land bank authority may 214
	275	+	guarantee, insure or otherwise become primarily or secondarily 215
	276	+	obligated on the indebtedness of such authority, unless otherwise 216
	277	+	prohibited by any other provision of the general statutes. 217
	278	+	(4) Any bond issued by such authority, and any income derived 218
	279	+	therefrom, shall be exempt from taxation by the state and by any 219
	280	+	political subdivision of the state. 220
	281	+	(j) The board of directors of a land bank authority may, by 221
	282	+	resolution adopted by two-thirds of the total membership of such 222
	283	+	board, dissolve such authority, provided such dissolution shall take 223
	284	+	effect sixty days after the adoption of such resolution. Sixty days prior 224
	285	+	to such board's consideration of such resolution, such board shall (1) 225
	286	+	give written notice thereof to the municipality or municipalities, as 226
	287	+	applicable, that established such authority, (2) publish notice thereof in 227
	288	+	a newspaper having general circulation in such municipality or 228
	289	+	municipalities, and (3) send notice thereof by certified mail to the 229
	290	+	trustee of any outstanding bond of such authority. Each interest in real 230
	291	+	or personal property and each asset of such authority at the time of 231
	292	+	dissolution shall inure to the benefit of such municipality or 232 Substitute Bill No. 7277
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	299	+	municipalities, as applicable. If two or more municipalities established 233
	300	+	a land bank authority pursuant to this section, the withdrawal of one 234
	301	+	such municipality shall not dissolve such authority unless (A) the 235
	302	+	concurrent ordinances entering such municipalities into an 236
	303	+	intergovernmental cooperation agreement so provides, or (B) no such 237
	304	+	municipality wishes to continue the existence of such authority. 238
	305	+	This act shall take effect as follows and shall amend the following
	306	+	sections:
	307	+
	308	+	Section 1 from passage New section
	309	+
	310	+	Statement of Legislative Commissioners:
	311	+	In Subsec. (c)(2), "in" was deleted in the last sentence for clarity and
	312	+	"(4)" was changed to "(3)" for accuracy; in Subsec. (e)(1)(B), "please"
	313	+	was changed to "plead" for accuracy; in Subsec. (e)(1)(J), "and" was
	314	+	changed to "or" for accuracy; in Subsec. (i)(1)(D), "more" was inserted
	315	+	before "board members" for accuracy; in Subsec. (i)(3)(B) "state law"
	316	+	was changed to "any provision of the general statutes", for clarity; and
	317	+	in Subsec. (j), "of" was inserted before "dissolution" in the penultimate
	318	+	sentence for clarity.
	319	+
	320	+	PD Joint Favorable Subst. -LCO
266	321