OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sHB-6412
AN ACT CONCERNING A LOW -CARBON FUEL BLEND OF
HEATING OIL AND THE ESTABLISHMENT OF A BIOHEAT
ADVISORY BOARD.
Primary Analyst: ME 3/11/21
Contributing Analyst(s):
Reviewer: PR
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 22 $ FY 23 $
Consumer Protection, Dept. GF - Cost 75,913 66,913
State Comptroller - Fringe
Benefits
1
GF - Cost 27,222 27,222
Note: GF=General Fund
Municipal Impact: None
Explanation
Section 1 requires the Department of Consumer Protection (DCP) to
regulate and annually report on the conversion to low-carbon fuel
blend for heating oil resulting in a cost of $103,135 in FY 22 and $94,135
in FY 23. The bill requires a certain percentage of the low carbon fuel
blend to be biodiesel by specific dates, requires DCP to regulate the
market and annually report on: 1) the progress of the bill's
requirements, 2) the effect the requirements have on the price and
supply of heating oil, and 3) opportunities or barriers to increasing the
requirements of the bill. To meet the requirements of the bill DCP will
have to hire one inspector ($65,913 annual salary and $27,222 fringe
benefits) and purchase testing materials ($10,000 in FY 22 and $1,000 in
FY 23).
1
The fringe benefit costs for most state employees are budgeted centrally in accounts
administered by the Comptroller. The estimated active employee fringe benefit cost
associated with most personnel changes is 41.3% of payroll in FY 22 and FY 23. 2021HB-06412-R000054-FN.DOCX Page 2 of 2
Section 2 requires the Department of Energy and Environmental
Protection to study the long-term use of low-carbon fuel blends as part
of its Comprehensive Energy Strategy, and results in no fiscal impact.
The Out Years
The annualized ongoing fiscal impact identified above would
continue into the future subject to inflation.