LCO No. 2692 1 of 18
General Assembly Raised Bill No. 5478
February Session, 2020
LCO No. 2692
Referred to Committee on PLANNING AND DEVELOPMENT
Introduced by:
(PD)
AN ACT CONCERNING A SPECIAL TAXING DISTRICT WITHIN THE
CITY OF WEST HAVEN.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. (Effective from passage) (a) For the purposes of this section: 1
(1) "District" means that certain real property, situated in the City of 2
West Haven, County of New Haven and the State of Connecticut, West 3
Haven Special Improvement District, a body politic and corporate, 4
consisting of the area bounded and described as follows: Beginning at a 5
point located on the southerly side of Elm Street and at the northeasterly 6
corner of lands now or formerly of SZS Enterprises, LLC, said point 7
being the northwesterly corner of the parcel described in this section; 8
thence running N64°23'05"E a distance of 752.16 feet along the southerly 9
street line of Elm Street to the mean high water line of New Haven 10
Harbor; thence running in a southerly direction a distance of 1,951.3 feet 11
along the mean high water line of New Haven Harbor to the 12
northeasterly corner of lands now or formerly of Bayview 13
Condominiums; thence running S66°27'52"W a distance of 263.4 feet 14
along the northerly line of lands now or formerly of Bayview 15 Raised Bill No. 5478
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Condominiums to the easterly street line of Bayview Place; thence 16
running S66°27'52"W a distance of 50 feet crossing Bayview Place to the 17
westerly street line of Bayview Place; thence running S23°32'08"E a 18
distance of 104.6 feet along the westerly street line of Bayview Place to 19
lands now or formerly of Christopher W. and Bonnie A. Jones; thence 20
running S67°06'19"W a distance of 143 feet along the northerly line of 21
lands now or formerly of Christopher W. and Bonnie A. Jones to a point; 22
thence running S23°32'08"E a distance of 5.32 feet to lands now or 23
formerly of Brittany M. Shaw; thence running S66°05'44"W a distance of 24
144.19 feet to the easterly street line of First Avenue; thence running 25
N24°14'02"W a distance of 280.93 feet along the easterly street line of 26
First Avenue to a point; thence running N34°18'02"W a distance of 27
1,293.57 feet along the easterly street line of First Avenue to the 28
southerly line of lands now or formerly of SZS Enterprises, LLC; thence 29
running N36°06'22"W a distance of 100 feet along lands now or formerly 30
of SZS Enterprises, LLC, to the point and place of the beginning. The 31
parcel described in this section contains 1,142,714 square feet or 26.233 32
acres of land. The project boundaries shall also include any off-site 33
locations mandated by any permitting agency for improvements 34
associated with the project's traffic management requirements. 35
(2) "Voter" means (A) any person who is an elector of the district, (B) 36
any citizen of the United States of the age of eighteen years or more who, 37
jointly or severally, is liable to the district for taxes assessed against such 38
citizen on an assessment of not less than one thousand dollars on the 39
last-completed grand list of such district, as the case may be, or who 40
would be so liable if not entitled to an exemption under subdivision (17), 41
(19), (22), (23) or (26) of section 12-81 of the general statutes, or (C) any 42
holder of record of an interest in real property within the district. 43
(3) "Holder of record of an interest in real property" means an owner 44
of a fee simple interest in such property. 45
(b) (1) Upon the petition of fifteen or more persons eligible to vote in 46
the city of West Haven, specifying the district for any or all of the 47
purposes set forth in this section, the mayor of such city shall call a 48 Raised Bill No. 5478
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meeting of the voters to act upon such petition, which meeting shall be 49
held at such place within such city and such hour as the mayor 50
designates, not later than thirty days after such petition has been 51
received by the mayor. Such meeting shall be called by publication of a 52
written notice of the same, signed by the mayor, at least fourteen days 53
before the time fixed for such meeting in two successive issues of a 54
newspaper published or circulated in such city. Not later than twenty-55
four hours before such meeting, (A) two hundred or more voters or ten 56
per cent of the total number of voters of such proposed district, 57
whichever is less, may petition the mayor, in writing, for a referendum 58
of the voters of such proposed district, or (B) the mayor in his or her 59
discretion may order a referendum of the voters of such proposed 60
district, on the sole question of whether the proposed district should be 61
established. Any such referendum shall be held not less than seven or 62
more than fourteen days after the receipt of such petition or the date of 63
such order, on a day to be set by the mayor for a vote by paper ballots 64
or by a "yes" or "no" vote on the voting machines, during the hours 65
between twelve o'clock noon and eight o'clock p.m.; except that such 66
city may, by vote of its city council, provide for an earlier hour for 67
opening the polls but not earlier than six o'clock a.m., notwithstanding 68
the provisions of any special act. If voters representing at least two-69
thirds of the assessments of holders of record within the proposed 70
district cast votes in such referendum in favor of establishing the 71
proposed district, the mayor shall reconvene such meeting not later than 72
seven days after the day on which the referendum is held. Upon 73
approval of the petition for the proposed district by voters representing 74
at least two-thirds of the assessments of holders of record within the 75
proposed district present at such meeting, or if a referendum is held, 76
upon the reconvening of such meeting after the referendum, the voters 77
may name the district and, upon the vote of voters representing a 78
majority of assessments of holders of record within the proposed 79
district, choose necessary officers therefor to hold office until the first 80
annual meeting thereof; and the district shall, upon the filing of the first 81
report filed in the manner provided in subsection (c) of section 7-325 of 82
the general statutes, thereupon be a body corporate and politic and have 83 Raised Bill No. 5478
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the powers provided in sections 7-324 to 7-329, inclusive, of the general 84
statutes, not inconsistent with the general statutes or this section, in 85
relation to the objects for which it was established, that are necessary for 86
the accomplishment of such objects, including the power to lay and 87
collect taxes. The clerk of such district shall cause its name and a 88
description of its territorial limits and of any additions that may be made 89
thereto to be recorded in, and a caveat be placed upon, the land records 90
of the city of West Haven. 91
(2) At the meeting called for the purpose of establishing the district 92
as provided in subdivision (1) of this subsection, the voters may 93
establish the district for any or all of the following purposes: To 94
extinguish fires, to light streets, to plant and care for shade and 95
ornamental trees, to plan, lay out, acquire, construct, maintain and 96
finance roads, sidewalks, crosswalks, drains, sewers and sewage 97
treatment facilities, parking facilities, open space, bulkhead repairs, 98
environmental remediation and other public and private infrastructure 99
improvements, including related site preparation and demolition costs, 100
to acquire, construct, maintain and regulate the use of recreational 101
facilities, parks, playgrounds and public artwork, to plan, lay out, 102
acquire, construct, reconstruct, repair, maintain, supervise and manage 103
a flood or erosion control system, to plan, lay out, acquire, construct, 104
maintain, operate, finance and regulate the use of a community water 105
system, all as referred to in this section as the "improvements". The 106
district may acquire, operate, maintain, repair and replace the 107
improvements and may contract with a town, city, borough or other 108
district for carrying out any of the purposes or the purchase or sale of 109
any of the improvements for which such district was established. Any 110
transfer to the district of real property and the improvements related to 111
such real property shall be deemed development for municipal 112
purposes and shall be expressly excluded from the purposes for which 113
a subdivision, as defined in section 8-18 of the general statutes, may be 114
made. 115
(3) At the meeting called for the purpose of establishing the district 116
as provided in subdivision (1) of this subsection, the voters shall fix the 117 Raised Bill No. 5478
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date of the annual meeting of the voters for the election of district 118
officers and the transaction of such other business as may properly come 119
before such annual meeting. At such organizational meeting of the 120
district, the voters shall elect five directors and four officers as follows: 121
A president, a vice-president, a clerk and a treasurer; provided, upon its 122
organization and at all times thereafter, one director may be appointed 123
by the mayor of the city of West Haven. The directors not appointed by 124
the mayor shall be elected to serve for terms of one, two, three and four 125
years, respectively, and thereafter at the annual meeting such directors, 126
as each term ends, shall be elected to serve for a term of four years. Not 127
less than three members of the board of directors shall be residents of 128
the state of Connecticut. Subject to the provisions of subdivision (4) of 129
this subsection, not fewer than fifteen voters of the district shall 130
constitute a quorum for the transaction of business at such 131
organizational meeting of the district; and if fifteen voters are not 132
present at such meeting, the mayor may adjourn such meeting from 133
time to time, until at least fifteen voters are present. Special meetings of 134
the district may be called on the application of ten per cent of the total 135
number of voters of such district or twenty of the voters of such district, 136
whichever is less, or by the president or any three directors upon giving 137
notice as provided in this section. Any special meeting called on the 138
application of the voters shall be held not later than twenty-one days 139
after receiving such application. Notice of the holding of the annual 140
meeting and all special meetings shall be given by publication of a notice 141
of such meetings in a newspaper having a general circulation in such 142
district at least ten days before the day of such meetings, signed by the 143
president or any three directors, which notice shall designate the time 144
and place of such meetings and the business to be transacted at such 145
meetings. Two hundred or more persons or ten per cent of the total 146
number of voters of such district, whichever is less, may petition the 147
clerk of such district, in writing, at least twenty-four hours prior to any 148
such meeting, requesting that any item or items on the call of such 149
meeting be submitted to the voters not less than seven or more than 150
fourteen days thereafter, on a day to be set by the district meeting or, if 151
the district meeting does not set a date, by the board of directors, or a 152 Raised Bill No. 5478
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vote by paper ballots or by a "yes" or "no" vote on the voting machines, 153
during the hours between twelve o'clock noon and eight o'clock p.m., 154
except that any district may, by vote of its board of directors, provide 155
for an earlier hour for opening the polls but not earlier than six o'clock 156
a.m. The paper ballots or voting machine ballot labels, as the case may 157
be, shall be provided by the clerk. When such a petition has been filed 158
with the clerk, the president, after completion of other business and after 159
reasonable discussion, shall adjourn such meeting and order such vote 160
on such item or items in accordance with the petition; and any item so 161
voted may be rescinded in the same manner. The clerk shall phrase such 162
item or items in a form suitable for printing on such paper ballots or 163
ballot labels. Subject to the provisions of subdivision (4) of this 164
subsection, not fewer than fifteen voters of the district shall constitute a 165
quorum for the transaction of business at any meeting of the district; 166
and if fifteen voters are not present at such meeting, the president of the 167
district or, in such president's absence, the vice-president, may adjourn 168
such meeting from time to time, until at least fifteen voters are present; 169
and all meetings of the district where a quorum is present may be 170
adjourned from time to time by a vote of a majority of the voters voting 171
on the question. At any annual or special meeting, the voters may, by a 172
majority vote of those present, discontinue any purposes for which the 173
district is established or undertake any additional purpose or purposes 174
enumerated in subdivision (2) of this subsection. 175
(4) (A) A quorum for the transaction of business at the meeting called 176
for the purpose of establishing the district, as provided in subdivision 177
(1) of this subsection, shall be either fifteen voters of such district or a 178
majority of the holders of record of interests in real property within such 179
district, as long as the assessments of such holders of record constitute 180
more than one-half of the total of assessments for all interests in real 181
property within such district. If fifteen voters or a majority of the holders 182
of record of interests in real property within such district are not present 183
at such meeting or the assessments of such holders of record constitute 184
less than one-half of the total of assessments for all interests in real 185
property within such district, the mayor may adjourn such meeting, 186 Raised Bill No. 5478
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from time to time, until at least fifteen voters or a majority of the holders 187
of record of interests in real property within such district are present 188
and the assessments of such holders of record constitute more than one-189
half of the total of assessments for all interests in real property within 190
such district. 191
(B) For the transaction of business at any meeting of the district other 192
than a meeting described in subparagraph (A) of this subdivision, a 193
quorum shall be either fifteen voters of the district or a majority of the 194
holders of record of interests in real property within such district, as 195
long as the assessments for such holders of record constitute more than 196
one-half of the total of assessments for all interests in real property 197
within such district. At any meeting of the district other than a meeting 198
described in subparagraph (A) of this subdivision, each holder of record 199
of an interest in real property shall be entitled to cast one vote for each 200
interest in real property that it owns within the district, except as 201
provided in subparagraph (B) of subdivision (1) of subsection (d) of this 202
section. All actions, resolutions and proceedings at such meeting at 203
which a quorum is present shall require a majority vote, each, of (i) the 204
voters of the district present and voting, and (ii) the holders of record of 205
interests in real property within the district representing at least one-206
half of the assessments of all holders of record of interests in real 207
property within the district, present and voting; provided, the 208
provisions of this sentence may be amended at an annual or special 209
meeting of the district at which a quorum is present only upon a 210
majority vote, each, of (I) all of the voters of the district, and (b) all of the 211
holders of record of interests in real property within the district 212
representing at least two-thirds of the assessments of all holders of 213
record of interests in real property within the district. For the purpose 214
of determining a holder of record of an interest in real property within 215
the district as used in this subdivision (B), such term shall mean an 216
owner of a fee simple interest in such real property. If fifteen voters or a 217
majority of the holders of record of interests in real property within such 218
district are not present at such meeting or the assessments of such 219
holders of record constitute less than one-half of the total assessments 220 Raised Bill No. 5478
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for all interests in real property within such district, the president of the 221
district, or in such president's absence, the vice-president, may adjourn 222
such meeting, from time to time, until at least fifteen voters or a majority 223
of the holders of record of interests in real property within such district 224
are present and the assessments of such holders of record constitute 225
more than one-half of the total of assessments for all interests in real 226
property within such district. 227
(5) In any case in which an action for a vote by the voters of the district 228
is to be initiated by the petition of such voters, in addition to such other 229
requirements as the general statutes or any special act may impose, such 230
petition shall be on a form prescribed or approved by the clerk of such 231
district, and each page of such petition shall contain a statement, signed 232
under penalty of false statement, by the person who circulated such 233
page, setting forth such circulator's name and address, and stating that 234
each person whose name appears on such page signed such page in 235
person in the presence of such circulator, that the circulator either knows 236
each such signer or that the signer satisfactorily identified himself to the 237
circulator and that all the signatures on such page were obtained not 238
earlier than six months prior to the filing of such petition. Any page of 239
a petition that does not contain such a statement by the circulator shall 240
be invalid. Any circulator who makes a false statement in the statement 241
required to be contained on each page of such petition shall be subject 242
to the penalty provided for false statement. No petition shall be valid 243
for any action for a vote by the voters at any regular or special district 244
meeting unless such petition was circulated by a voter eligible to vote in 245
such district. 246
(c) Whenever the officers of such district vote to terminate its 247
corporate existence and whenever a petition signed by ten per cent of 248
the total voters of such district or twenty of the voters of such district, 249
whichever is less, applying for a special meeting to vote on the 250
termination of the district is received by the clerk, the clerk shall call a 251
special meeting of the voters of such district, the notice of which shall 252
be signed by the officers thereof, by advertising such notice in the same 253
manner as provided in section 7-325 of the general statutes. Not later 254 Raised Bill No. 5478
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than twenty-four hours before any such meeting, two hundred or more 255
voters or ten per cent of the total number of voters, whichever is less, 256
may petition the clerk of the district, in writing, that a referendum on 257
the question of whether the district should be terminated be held in the 258
manner provided in section 7-327 of the general statutes. If, at such 259
meeting, a two-thirds majority of the voters present vote to terminate 260
the corporate existence of the district, or, if a referendum is held, two-261
thirds of the voters casting votes in such referendum vote to terminate 262
the corporate existence of the district, the officers shall proceed to 263
terminate the affairs of such district. The district shall pay all 264
outstanding indebtedness and turn over the balance of the assets of such 265
district to the city in which the district is located, if the legislative body 266
of the city authorizes such action. No district shall be terminated under 267
this section until all of its outstanding indebtedness is paid unless the 268
legislative body of the city in which the district is located agrees in 269
writing to assume such indebtedness. On completion of the duties of the 270
officers of such district, the clerk shall cause a certificate of the vote of 271
such meeting to be recorded in the land records of the city in which the 272
district is located and the clerk shall notify the Secretary of the Office of 273
Policy and Management. 274
(d) (1) (A) Except as provided in subparagraph (B) of this subdivision, 275
for the purposes of voting at meetings held by such district, any tenant 276
in common of any interest in real property shall have a vote equal to the 277
fraction of such tenant in common's ownership of such interest. Any 278
joint tenant of any interest in real property shall vote as if each such 279
tenant owned an equal fractional share of such real property. A 280
corporation shall have its vote cast by the chief executive officer of such 281
corporation, or such officer's designee. Any entity that is not a 282
corporation shall have its vote cast by a person authorized by such entity 283
to cast its vote. The district shall not have a vote for any interests in real 284
property that it owns within the district. 285
(B) The district shall not have a vote for any interest in real property 286
within the district owned by such district. 287 Raised Bill No. 5478
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(2) No holder of record of an interest in real property within the 288
district shall be precluded from participating in any district meeting or 289
referendum because of the form of entity that holds such interest, 290
whether such holder of record is (A) a corporation, partnership, 291
unincorporated association, trustee, fiduciary, guardian, conservator or 292
other form of entity, or any combination thereof, or (B) an individual 293
who holds interests jointly or in common with another individual or 294
individuals, or with any one or more of the entities listed in 295
subparagraph (A) of this subdivision. 296
(e) Notwithstanding any provision of the general statutes, including 297
sections 7-324 to 7-329, inclusive, of the general statutes, the district shall 298
have the power to assess, levy and collect benefit assessments upon the 299
land and buildings in the district that, in the judgment of such district, 300
are benefited by the improvements. 301
(f) (1) Notwithstanding any provision of the general statutes, 302
including sections 7-324 to 7-329, inclusive, of the general statutes, the 303
district shall have the power to fix, revise, charge, collect, abate and 304
forgive reasonable taxes, fees, rents and benefit assessments, and other 305
charges for the cost of the improvements, financing costs, operating 306
expenses and other services and commodities furnished or supplied to 307
the real property in the district in accordance with the applicable 308
provisions of the general statutes that apply to districts established 309
under section 7-325 of the general statutes, and this section and in the 310
manner prescribed by the district. Notwithstanding any provision of the 311
general statutes, the district may pay the entire cost of any 312
improvements, including the costs of financing such improvements, 313
capitalized interest and the funding of any reserve funds necessary to 314
secure such financing or the debt service of bonds or notes issued to 315
finance such costs, from taxes, fees, rents, benefit assessments or other 316
revenues and may assess, levy and collect said taxes, fees, rents or 317
benefit assessments concurrently with the issuance of bonds, notes or 318
other obligations to finance such improvements based on the estimated 319
cost of the improvements prior to the acquisition or construction of the 320
improvements or upon the completion or acquisition of the 321 Raised Bill No. 5478
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improvements. 322
(2) Notwithstanding any provision of the general statutes, whenever 323
the district constructs, improves, extends, equips, rehabilitates, repairs, 324
acquires or provides a grant for any improvements or finances the cost 325
of such improvements, such proportion of the cost or estimated cost of 326
the improvements and financing thereof as determined by the district, 327
may be assessed by the district, referred to in this section as "benefit 328
assessments", in the manner prescribed by such district, upon the 329
property benefited by such improvements and the balance of such costs 330
shall be paid from the general funds of the district. The district may 331
provide for the payment of such benefit assessments in annual 332
installments, not exceeding twenty, and may forgive such benefit 333
assessments in any single year without causing the remainder of 334
installments of benefit assessments to be forgiven. Benefit assessments 335
to buildings or structures constructed or expanded after the initial 336
benefit assessment may be assessed as if the new or expanded buildings 337
or structures had existed at the time of the original benefit assessment. 338
For the purposes of this section, the provision of open space, whether 339
within the district or in the city of West Haven, shall be deemed a benefit 340
to all the property in the district. 341
(3) In order to provide for the collection and enforcement of its taxes, 342
fees, rents, benefit assessments and other charges, the district is hereby 343
granted all the powers and privileges with respect thereto as districts 344
organized pursuant to section 7-325 of the general statutes, and as held 345
by the city of West Haven or as otherwise provided in this section. Such 346
taxes, fees, rents or benefit assessments, if not paid when due, shall 347
constitute a lien upon the premises served and a charge against the 348
owners thereof, which lien and charge shall bear interest at the same 349
rate as delinquent property taxes. Each such lien may be continued, 350
recorded and released in the manner provided for property tax liens and 351
shall take precedence over all other liens or encumbrances except a lien 352
for taxes of the city of West Haven. Each such lien may be continued, 353
recorded and released in the manner provided for property tax liens. 354 Raised Bill No. 5478
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(4) The budget, taxes, fees, rents, benefit assessments and any other 355
charges of the district of general application shall be adopted and 356
revised by the board at least annually no more than thirty days before 357
the beginning of the fiscal year in accordance with the procedures to be 358
established by the board at a meeting called by the board, assuring that 359
interested persons are afforded notice and an opportunity to be heard. 360
The board shall hold at least two public hearings on its schedule of fees, 361
rates, rents, benefit assessments and other charges or any revision 362
thereof before adoption, notice of which shall be delivered to the mayor 363
and city council of the city of West Haven and be published in at least 364
two newspapers of general circulation in the city of West Haven at least 365
ten days in advance of the hearing. Not later than the date of the 366
publication, the board shall make available to the public and deliver to 367
the mayor and the city council of the city of West Haven the proposed 368
schedule of fees, rates, rents, benefit assessments and other charges. The 369
procedures regarding public hearing and appeal provided by section 7-370
250 of the general statutes shall apply for all benefit assessments made 371
by the district except that the board shall be substituted for the water 372
pollution control authority. If the benefit assessments are assessed and 373
levied prior to the acquisition or construction of the improvements, the 374
amount of the benefit assessments shall be adjusted to reflect the actual 375
cost of the improvements, including all financing costs, once the 376
improvements have been completed, provided the actual cost is greater 377
than or less than the estimated costs. If the benefit assessments are 378
assessed and levied after the acquisition or construction of the 379
improvements, the amount of the benefit assessments shall reflect the 380
actual cost of the improvements, including all financing costs, and such 381
costs may be included in the bonds or budget of the district, as 382
determined by the board. Benefit assessments shall be due and payable 383
at such times as are fixed by the board, provided the district shall give 384
notice of such due date not less than thirty days prior to such due date 385
by publication in a newspaper of general circulation in the city of West 386
Haven and by mailing such notice to the owners of the property 387
assessed at their last-known address. 388 Raised Bill No. 5478
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(g) (1) Notwithstanding any provision of the general statutes, 389
including sections 7-324 to 7-329, inclusive, of the general statutes, 390
whenever the district has authorized the acquisition or construction of 391
the improvements or has made an appropriation therefor, the district 392
may authorize the issuance of up to forty million dollars of bonds, notes 393
or other obligations to finance the cost of the improvements, the creation 394
and maintenance of reserves required to sell the bonds, notes or 395
obligations and the cost of issuance of the bonds, notes or obligations, 396
except that, until such time the district enters into an interlocal 397
agreement with the city of West Haven to share said city's incremental 398
increase in real property taxes, in accordance with the procedures 399
provided by section 7-339c of the general statutes, including at least one 400
public hearing on the proposed agreement and ratification by the city 401
council of said city, no bonds secured by a pledge of revenues derived 402
from the interlocal agreement shall be issued. The bonds, notes or other 403
obligations may be secured as to both principal or interest by (A) the full 404
faith and credit of the district, (B) fees, revenues or benefit assessments, 405
or (C) a combination of subparagraphs (A) and (B) of this subdivision. 406
Such bonds, notes or obligations shall be authorized by resolution of the 407
board. The district is authorized to secure such bonds by the full faith 408
and credit of the district or by a pledge of or lien on all or part of its 409
revenues, fees or benefit assessments. The bonds of each issue shall be 410
dated, shall bear interest at the rates and shall mature at the time or 411
times not exceeding twenty years from their date or dates, as 412
determined by the board, and may be redeemable before maturity, at 413
the option of the board, at the price or prices and under the terms and 414
conditions fixed by the board before the issuance of the bonds. The 415
board shall determine the form of the bonds, and the manner of 416
execution of the bonds, and shall fix the denomination of the bonds and 417
the place or places of payment of principal and interest, which may be 418
at any bank or trust company within the state of Connecticut and other 419
locations as designated by the board. In case any officer whose signature 420
or a facsimile of whose signature shall appear on any bonds or coupons 421
shall cease to be an officer before the delivery of the bonds, the signature 422
or facsimile shall nevertheless be valid and sufficient for all purposes 423 Raised Bill No. 5478
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the same as if the officer had remained in office until the delivery. 424
(2) While any bonds or notes issued by the district remain 425
outstanding, the powers, duties or existence of the district shall not be 426
diminished or impaired in any way that will affect adversely the 427
interests and rights of the holders of the bonds or notes. Bonds or notes 428
issued under this section, unless otherwise authorized by law, shall not 429
be considered to constitute a debt of the state of Connecticut or the city 430
of West Haven, or a pledge of the full faith and credit of the state of 431
Connecticut or the city of West Haven, but the bonds or notes shall be 432
payable solely by the district or as special obligations payable from 433
particular district revenues. Any bonds or notes issued by the district 434
shall contain on their face a statement to the effect that neither the state 435
of Connecticut nor the city of West Haven shall be obliged to pay the 436
principal of or the interest thereon, and that neither the full faith and 437
credit or taxing power of the state of Connecticut or the city of West 438
Haven is pledged to the payment of the bonds or notes. All bonds or 439
notes issued under this section shall have and are hereby declared to 440
have all the qualities and incidents of negotiable instruments, as 441
provided in title 42a of the general statutes. 442
(h) (1) The board may authorize that the bonds be secured by a trust 443
agreement by and between the district and a corporate trustee, which 444
may be any trust company or bank having the powers of a trust 445
company within the state of Connecticut. The trust agreement may 446
pledge or assign the revenues. Either the resolution providing for the 447
issuance of bonds or the trust agreement may contain covenants or 448
provisions for protecting and enforcing the rights and remedies of the 449
bondholders as may be necessary, reasonable or appropriate and not in 450
violation of law. 451
(2) All expenses incurred in carrying out the trust agreement may be 452
treated as a part of the cost of the operation of the district. The pledge 453
by any trust agreement or resolution shall be valid and binding from 454
time to time when the pledge is made; the revenues or other moneys so 455
pledged and then held or thereafter received by the board shall 456 Raised Bill No. 5478
LCO No. 2692 15 of 18
immediately be subject to the lien of the pledge without any physical 457
delivery thereof or further act; and the lien of the pledge shall be valid 458
and binding as against all parties having claims of any kind in tort, 459
contract or otherwise against the board, irrespective of whether the 460
parties have notice thereof. Notwithstanding any provision of the 461
Uniform Commercial Code, neither this subsection, the resolution or 462
any trust agreement by which a pledge is created need be filed or 463
recorded except in the records of the board, and no filing need be made 464
under title 42a of the general statutes. 465
(i) Bonds or notes issued under this section are hereby made 466
securities in which all public officers and public bodies of the state of 467
Connecticut and its political subdivisions, all insurance companies, trust 468
companies, banking associations, investment companies, executors, 469
administrators, trustees and other fiduciaries may properly and legally 470
invest funds, including capital in their control and belonging to them; 471
and such bonds shall be securities which may properly and legally be 472
deposited with and received by any state or municipal officer or any 473
agency or political subdivision of the state of Connecticut for any 474
purpose for which the deposit of bonds or notes of the state of 475
Connecticut is now or may hereafter be authorized by law. 476
(j) Bonds may be issued under this section without obtaining the 477
consent of the state of Connecticut or the city of West Haven, and 478
without any proceedings or the happening of any other conditions or 479
things other than those proceedings, conditions or things that are 480
specifically required thereof by this section, and the validity of and 481
security for any bonds issued by the district shall not be affected by the 482
existence or nonexistence of the consent or other proceedings, 483
conditions or things. 484
(k) The district and all its receipts, revenues, income and real and 485
personal property shall be exempt from taxation and benefit 486
assessments and the district shall not be required to pay any tax, excise 487
or assessment to or from the state of Connecticut or any of its political 488
subdivisions. The principal and interest on bonds or notes issued by the 489 Raised Bill No. 5478
LCO No. 2692 16 of 18
district shall be free from taxation at all times, except for estate and gift, 490
franchise and excise taxes, imposed by the state of Connecticut or any 491
political subdivision thereof, provided nothing in this section shall act 492
to limit or restrict the ability of the state of Connecticut or the city of 493
West Haven to tax the individuals and companies, or their real or 494
personal property or any person living or business operating within the 495
boundaries of the district. 496
(l) The board shall at all times keep accounts of its receipts, 497
expenditures, disbursements, assets and liabilities, which shall be open 498
to inspection by a duly appointed officer or duly appointed agent of the 499
state of Connecticut or the city of West Haven. The fiscal year of the 500
district shall begin on July first and end on the following June thirtieth 501
or as otherwise established by section 7-327 of the general statutes. The 502
district shall be subject to an audit of its accounts in the manner 503
provided in the general statutes. 504
(m) (1) The clerk of the district shall submit project activity reports 505
quarterly to the Secretary of the Office of Policy and Management and 506
to the chairpersons of the joint standing committee of the General 507
Assembly having cognizance of matters relating to finance, revenue and 508
bonding. Such reports shall provide information and updates on the 509
projects undertaken by the district, including the status of the design, 510
financing, construction, sales of commercial and residential property 511
and such other items as the secretary or chairpersons may request. 512
(2) The district shall take affirmative steps to provide for the full 513
disclosure of information relating to the public financing and 514
maintenance of improvements to real property undertaken by the 515
district. Such information shall be provided to any existing residents 516
and to all prospective residents of the district. The district shall furnish 517
each developer of a residential development within the district with 518
sufficient copies of such information and provide each prospective 519
initial purchaser of property in such district with a copy, and any 520
developer of a residential development within the district, when 521
required by law to provide a public offering statement, shall include a 522 Raised Bill No. 5478
LCO No. 2692 17 of 18
copy of such information relating to the public financing and 523
maintenance of improvements in the public offering statement. 524
(n) (1) This section shall be deemed to provide an additional, 525
alternative and complete method of accomplishing the purposes of this 526
section and exercising the powers authorized hereby and shall be 527
deemed and construed to be supplemental and additional to, and not in 528
derogation of, powers conferred upon the district by law and 529
particularly by sections 7-324 to 7-329, inclusive, of the general statutes; 530
provided insofar as the proceedings of this section are inconsistent with 531
any general statute or special act, or any resolution or ordinance of the 532
city of West Haven, this section shall be controlling. 533
(2) Except as specifically provided in this section, all other statutes, 534
ordinances, resolutions, rules and regulations of the state of Connecticut 535
and the city of West Haven shall be applicable to the property, residents 536
and businesses located in the district. Nothing in this section shall in any 537
way obligate the city of West Haven to pay any costs for the acquisition, 538
construction, equipping or operation and administration of the 539
improvements located within the district or to pledge any money or 540
taxes to pay debt service on bonds or notes issued by the district except 541
as may be agreed to in any interlocal agreements executed by the city of 542
West Haven and the district. 543
(o) This section being necessary for the welfare of the city of West 544
Haven and its inhabitants shall be liberally construed to affect the 545
purposes hereof. 546
This act shall take effect as follows and shall amend the following
sections:
Section 1 from passage New section
Statement of Purpose:
To permit the establishment of a special taxing district in West Haven
and authorize such district to make expenditures for public and private
infrastructure improvements and issue bonds to finance the
improvements. Raised Bill No. 5478
LCO No. 2692 18 of 18
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except
that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not
underlined.]