OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sHB-6475
AN ACT CONCERNING PUBLIC ENFORCEMENT ACTIONS.
Primary Analyst: CW 4/11/21
Contributing Analyst(s): DC, DD, AN, PR
Reviewer: MM
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 22 $ FY 23 $
Labor Dept. GF - Potential
Cost
Up to
513,786
Up to
576,010
State Comptroller - Fringe
Benefits
1
GF - Potential
Cost
Up to
210,438
Up to
235,950
Labor Dept. GF- Community
Outreach and
Workplace
Account -
Potential Revenue
Gain
See Below See Below
Resources of the General Fund GF - Potential
Revenue Gain
See Below See Below
Note: GF=General Fund
Municipal Impact:
Municipalities Effect FY 22 $ FY 23 $
Various Municipalities Potential
Cost
See Below See Below
Explanation
The bill, which creates a method for a whistleblower to initiate an
action in Superior Court to enforce certain employee protections,
results in: 1) a potential General Fund cost of up to $724,224 in FY 22
and up to $811,960 in FY 23, 2) a potential revenue gain to the extent
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-06475-R000387-FN.DOCX Page 2 of 2
there are violations and associated civil penalties are imposed by a
court,
2
and 3) a potential cost to municipalities to the extent that it
increases the number of lawsuits to which municipalities are party.
3
The bill requires that 25% of any civil penalties distributed to the
state official responsible for enforcing the complaint that was the
subject of the public enforcement action be deposited in the
community outreach and workplace account and used by the
Department of Labor (DOL) to award grants to labor or nonprofit
organizations to fund outreach, education, and technical assistance
pertaining to employee rights in the workplace. To the extent any such
penalties are deposited in the account this results in an annualized cost
of up to $811,960 to the DOL associated with establishing a new unit to
handle the grant program, including $807,260 in salary and fringe
benefit costs for up to 6 positions and $4,700 in associated overhead
costs (computers, office supplies, etc.). The unit would need to
develop the policies, procedures, eligibility, contracts, method of
payment, and reporting and provide ongoing monitoring for the
grants.
The bill allows aggrieved parties to bring an action before Superior
Court over alleged violations, which does not result in any cost impact
to the Judicial Department. The court system disposes of over 400,000
cases annually and the number of cases is not anticipated to be great
enough to require additional resources.
The Out Years
The annualized ongoing state cost impact identified above would
continue into the future subject to inflation; the ongoing municipal cost
and revenue impacts would continue into the future subject to the
number of actions initiated and adjudicated.
2
The bill specifies percentages of any penalties recovered to be distributed amongst
the relator, the Attorney General, the office of the state official responsible for the
enforcement action, and the community outreach and workplace account.
3
Any cost depends on the results of a lawsuit brought against a municipal employer
as a result of the bill.