Connecticut 2021 2021 Regular Session

Connecticut House Bill HB06104 Comm Sub / Analysis

Filed 03/17/2021

                     
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OLR Bill Analysis 
sHB 6104  
 
AN ACT CONCERNING REGIONAL PLANNING AND COUNCILS 
OF GOVERNMENTS.  
 
SUMMARY 
By law, regional councils of government (COG) grants and Regional 
Performance Incentive Program (RPIP) projects are funded by the 
regional planning incentive account (see BACKGROUND). This bill:   
1. increases the regional service grant (RSG) amounts for COGs 
from $125,000 plus 58 cents per capita to $185,000 plus 68 cents 
per capita;  
2. requires, with certain exceptions, the Office of Policy and 
Management (OPM) secretary to provide the grants annually, 
instead of within available appropriations as current law 
requires;  
3. requires OPM to make 90% of the remaining funds (after 
satisfying RSG amounts) available for RPIP projects; and  
4. modifies the entities and types of projects that are eligible for 
RPIP funding. 
The bill also modifies COG bylaw requirements to (1) allow COG 
representatives to serve more than two consecutive terms in the same 
position; (2) eliminate a requirement that a COG treasurer be bonded; 
and (3) allow, rather than require, COGs to establish an executive 
committee.  
EFFECTIVE DATE:  July 1, 2021 
§§ 1 & 2 — REGIONAL SERVICE GRA NTS 
Starting in FY 22, the bill requires the OPM secretary to annually 
distribute from the regional planning incentive account the greater of  2021HB-06104-R000068-BA.DOCX 
 
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$4.1 million or one-third of the fund’s prior-year deposits (see 
BACKGROUND). These funds are disbursed to COGs in the form of 
RSGs.  
As under existing law, the bill’s RSG funding calculation is based on 
a base amount and a per capita amount, shown in Table 1 below. If the 
required distribution amount exceeds $4.1 million, the bill requires the 
secretary to disburse any excess amount on a per capita basis.  
Table 1: Changes to Grant Calculations 
 	Current Law  	Bill 
Total distribution No amount specified $4.1 million or one-third of 
the funds deposited into the 
account the prior year, 
whichever is larger 
Base amount per COG 	$125,000 	$185,500 
Amount per person (based 
on most recent census) per 
COG 
50 cents 	68 cents 
Additional amount  $125,000 for each regional 
planning organization that 
voluntarily consolidated into 
a COG before January 1, 
2014  
Per capita proportional 
share of distribution amount 
above $4.1 million (i.e., the 
excess amount) 
 
The bill allows the OPM secretary to reduce any such distribution to 
the COGs; but, if the reduction is greater than 5%, she must first report 
to the Planning and Development Committee explaining the reduction. 
(It is unclear if she may reduce the RSG amounts, the excess 
disbursement, or both.)  
The bill also appears to eliminate the additional $125,000 payment 
for regional planning organizations that organized before January 1, 
2014. 
 Additionally, it removes the requirement that COGs submit a grant 
spending plan to OPM annually to be eligible for them. 
§ 3 — REGIONAL PERFORMANCE INCENTIV E PROGRAM (RPIP)   2021HB-06104-R000068-BA.DOCX 
 
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Under the bill, the OPM secretary must make at least 90% of the 
remaining regional planning incentive account funds (i.e., after 
distributing RSGs and excess amounts to the COGs) available for RPIP 
projects.  
Eligible Entities  
The bill removes the ability of two or more municipalities to apply 
through a COG. Under existing law, eligible entities are COGs, 
economic development districts, regional educational service centers, 
local and regional boards of education, and any combination of these 
entities.  
It additionally authorizes the Connecticut Advisory Commission on 
Intergovernmental Relations to submit by December 1, 2021, and 
annually thereafter, specific regional efficiencies proposals that achieve 
cost savings. It specifies that the OPM secretary may provide, within 
available resources, funding to an eligible entity to administer any of 
these proposals.   
Eligible Projects  
 Under the bill, projects eligible for RPIP funding are (1) joint 
provisions of any government service, (2) planning studies regarding 
the joint provision of any service on a regional basis, and (3) regional 
special education initiatives that are proposed by certain boards of 
education or large regional service centers (i.e., centers that serve a 
population of more than 100,000).  
Under current law, the secretary may provide funding for the same 
types of projects, but  it (1) requires that the joint services be ones that 
are not provided on a regional basis already but are provided by an 
eligible entity and (2) specifies that shared information technology 
services are eligible projects.  
Application Requirements and Selection  
As under existing law, the bill requires that applicants submit 
proposals in a form and manner the OPM secretary prescribes. But the 
bill removes the requirement that applicants provide at least certain,  2021HB-06104-R000068-BA.DOCX 
 
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specified information (e.g., the method of delivering services, an 
explanation of potential legal obstacles, and mill rate reductions 
attributable to the savings). It additionally requires that applicants 
provide a resolution approved by the applicable COG or COGs, rather 
than by each participating municipality’s legislative body as current 
law requires.    
As under existing law, the bill requires the secretary to award grants 
to those proposals that she determines best meet RPIP’s requirements. 
But it removes the requirement that the secretary prioritize grants that 
are submitted by economic development districts, boards of education, 
or all member municipalities of a COG or regional educational service 
center. 
Reporting Requirements  
The bill requires the OPM secretary to submit to the Planning and 
Development Committee the annual report that existing law requires 
she submit to the governor and Finance, Revenue and Bonding 
Committee. It removes the requirement that the secretary include in 
the reports any property tax reductions the program achieves.   
Additionally, the bill removes the requirement that RPIP applicants 
submit a copy of their proposals to the participating municipalities’ 
legislators.  
BACKGROUND 
Regional Planning Incentive Account 
The regional planning incentive account is a separate, nonlapsing 
General Fund account funded by 6.7% of the revenue generated by the 
room occupancy tax and 10.7% of the revenue generated by the rental 
car tax (CGS § 12-411(1)(J)).  
COMMITTEE ACTION 
Planning and Development Committee 
Joint Favorable Substitute 
Yea 25 Nay 1 (03/02/2021) 
  2021HB-06104-R000068-BA.DOCX 
 
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