House Bill No. 6640
Special Act No. 21-14
AN ACT CONCERNING THE CEDAR HILLS INFRASTRUCTURE
IMPROVEMENT DISTRICT.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Section 1 of special act 15-16 is amended to read as follows
(Effective from passage):
(a) For purposes of this section:
(1) "District" means that certain real property, situated in the town of
North Haven, the county of New Haven and the state of Connecticut,
the Cedar Hills Infrastructure Improvement District, a body politic and
corporate, subject to sections 7-324 to 7-329, inclusive, of the general
statutes, except as otherwise provided in this section and consisting of
the area bounded and described as follows: All that certain piece or
parcel of land with the buildings thereon standing, situated in the town
of North Haven, county of New Haven and state of Connecticut, more
particularly bounded and described as follows: Beginning at a point on
the westerly line of land now or formerly of Conrail, said point being
the northeasterly most point of the parcel herein described, and located
at North 187,664.0573 East 566,341.8771 of the Connecticut state plane
coordinate system (NAD27); thence running N 58°24'57" W a distance
of 288.93 feet along lands now or formerly of Bartram Realty Co., Inc. House Bill No. 6640
Special Act No. 21-14 2 of 20
Exit Nine Ltd. partnership, and Michael Schiavone each in part to a
point; thence running along land now or formerly of the state of
Connecticut, S 37°08'46" W a distance of 714.93 feet to a point; thence
running the following courses and distances along land now or formerly
of Amtrak: S 53°31'42" E a distance of 50.00 feet to a point; S 36°28'18" W
a distance of 770.00 feet to a point; S 37°35'53" W a distance of 1050.12
feet to a point; along a curve to the left, with an arc length of 81.88 feet,
a radius of 521.14 feet, delta 09°00'08" to a point; S 28°35'45" W a distance
of 335.00 feet to a point; S 26°38'12" W a distance of 968.32 feet to a point;
along a curve to the right, with an arc length of 337.56 feet, a radius of
2296.39 feet, delta 08°25'20" to a point; S 37°42'34" W a distance of 624.49
feet to a point; S 43°02'53" W a distance of 41.32 feet to a point; S 52°24'11"
E a distance of 30.14 feet to a point; S 46°38'25" W a distance of 486.97
feet to a point; along a curve to the right, with an arc length of 163.54
feet, a radius of 605.28 feet, delta 15°28'25" to a point; along a curve to
the right, with an arc length of 243.59 feet, a radius of 808.24 feet, delta
17°16'04" to a point; S 80°52'59" W a distance of 174.96 feet to a point; S
87°07'09" W a distance of 302.64 feet to a point; along a curve to the right,
with an arc length of 726.72 feet, a radius of 753.32 feet, delta 55°16'22"
to a point; along a curve to the right, with an arc length of 223.65 feet, a
radius of 628.85 feet, delta 20°22'37" to a point; along a curve to the right,
with an arc length of 162.88 feet, a radius of 1656.17 feet, delta 05°38'06"
to a point; along a curve to the right, with an arc length of 182.57 feet, a
radius of 797.70 feet, delta 13°06'48" to a point on the town line between
North Haven and New Haven; thence running along said town line N
81°05'05" E a distance of 366.37 feet to a point; thence running the
following courses and distances along land now or formerly of Conrail:
N 38°08'31" E a distance of 697.88 feet to a point; along a curve to the
left, with an arc length of 86.37 feet, a radius of 538.71 feet, delta
09°11'12" to a point; N 28°57'20" E a distance of 616.49 feet to a point;
along a curve to the right, with an arc length of 126.06 feet, a radius of
775.87 feet, delta 09°18'34" to a point; N 38°15'52" E a distance of 775.50
feet to a point; N 37°55'13" E a distance of 423.74 feet to a point; along a House Bill No. 6640
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curve to the left, with an arc length of 276.83 feet, a radius of 1700.00
feet, delta 09°19'48" to a point; N 28°35'25" E a distance of 789.68 feet to
a point; N 28°13'24" E a distance of 852.15 feet to a point; along a curve
to the left, with an arc length of 465.94 feet, a radius of 4000.11 feet, delta
06°40'26" to a point; N 22°25'26" E a distance of 292.92 feet to a point;
along a curve to the right, with an arc length of 259.16 feet, a radius of
1595.77 feet, delta 09°18'18" to a point; N 31°15'55" E a distance of 858.05
feet to the point and place of beginning; said parcel containing 364,216
square feet or 83.57 acres of land in total; plus land now or formerly of
Exit Nine Ltd. partnership as described below: Commencing at a point
on the westerly line of land now or formerly of Conrail, said point being
the southwesterly most point of the parcel previously described, and
located at North 187,664.0573 East 566,341.8771 of the Connecticut state
plane coordinate system (NAD27); thence running N 58°24'57" W a
distance of 190.45 feet along land now or formerly of Bartram Realty Co.,
Inc. to the point of beginning; thence running the following courses and
distances along land now or formerly of Bartram Realty Co., Inc.: Along
a curve to the left, with an arc length of 358.46 feet, a radius of 566.00
feet, delta 36°17'12" to a point; N 08°28'02" W a distance of 630.01 feet to
a point; along a curve to the right, with an arc length of 189.22 feet, a
radius of 506.00 feet, delta 21°25'33" to a point; N 12°57'30" E a distance
of 598.48 feet to a point; S 77°02'30" E a distance of 10.00 feet to a point;
along a curve to the right, with an arc length of 294.18 feet, a radius of
444.16 feet, delta 37°56'55" to a point; N 50°54'24" E a distance of 4.10 feet
to a point; N 46°36'55" E a distance of 74.51 feet to a point on the
southerly street line of Universal Drive; thence along said southerly
street line of Universal Drive, along a curve to the right, with an arc
length of 357.23, a radius of 566.98, delta 36°05'59" to a point; thence
running the following courses and distances along land now or formerly
of Michael Schiavone: S 12°37'30" W a distance of 1212.63 feet to a point;
along a curve to the left, with an arc length of 215.39 feet, a radius of
576.00 feet, delta 21°25'31" to a point; S 08°28'02" E a distance of 630.01
feet to a point; along a curve to the right, with an arc length of 309.22 House Bill No. 6640
Special Act No. 21-14 4 of 20
feet, a radius of 496.00 feet, delta 35°45'16" to a point; thence S 58°24'57"
E a distance of 70.25 feet along the previous described parcel to the point
and place of beginning. The parcel herein described contains 189,865
square feet or 4.36 acres of land. Said parcel is more particularly
depicted on map titled "Subdivision Plan, Consolidated Rail Corp.
(Conrail), Penn Central Co. (Amtrak) – Celevon Corp., Nicesca, LLC –
agent, New Haven / North Haven, Connecticut" sheets 1-3 of 3. Date:
12/29/97 rev to 8/9/98. Scale: as noted. Said map prepared by Clarence
Blair Associates, Inc. The project boundaries shall [also] include any off-
site locations mandated by any permitting agency for improvements
associated with the project, including, but not limited to, locations
providing ingress and egress, and locations associated with any plan of
development established by the district, provided any such locations
outside the district shall be contiguous to the district and approved by
the legislative body of the municipality in which such locations exist.
(2) "Voter" means (A) any person who is an elector of the district, (B)
any citizen of the United States of the age of eighteen years or more who,
jointly or severally, is liable to the district for taxes assessed against such
citizen on an assessment of not less than one thousand dollars on the
last-completed grand list of such district, as the case may be, or who
would be so liable if not entitled to an exemption under subdivision (17),
(19), (22), (23) or (26) of section 12-81 of the general statutes, or (C) any
holder of record of a fee simple interest in real property within the
district.
(3) "Bonds" means bonds, notes or other obligations authorized by
this section, and refunding bonds, notes or other obligations to refinance
the same.
(b) (1) Upon the petition of fifteen or more persons eligible to vote in
the town of North Haven, specifying the district for any or all of the
purposes set forth in this section, the selectmen of such town shall call a
meeting of the voters to act upon such petition, which meeting shall be House Bill No. 6640
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held at such place within such town and such hour as the selectmen
designate, not later than thirty days after such petition has been received
by the selectmen. Such meeting shall be called by publication of a
written notice of the same, signed by the selectmen, at least fourteen
days before the time fixed for such meeting in two successive issues of
some newspaper published or circulated in such town. Not later than
twenty-four hours before such meeting, (A) two hundred or more voters
or ten per cent of the total number of voters of such proposed district,
whichever is less, may petition the selectmen, in writing, for a
referendum of the voters of such proposed district, or (B) the selectmen
in their discretion may order a referendum of the voters of such
proposed district, on the sole question of whether the proposed district
should be established. Any such referendum shall be held not less than
seven or more than fourteen days after the receipt of such petition or the
date of such order, on a day to be set by the selectmen for a vote by paper
ballots or by a "yes" or "no" vote on the voting machines, during the
hours between twelve o'clock noon and eight o'clock p.m.; except that
such town may, by vote of the voters of such proposed district, provide
for an earlier hour for opening the polls but not earlier than six o'clock
a.m., notwithstanding the provisions of any special act. If voters
representing at least two-thirds of the assessments of holders of record
within the proposed district cast votes in such referendum in favor of
establishing the proposed district, the selectmen shall reconvene such
meeting not later than seven days after the day on which the referendum
is held. Upon approval of the petition for the proposed district by voters
representing at least two-thirds of the assessments of holders of record
within the proposed district present at such meeting, or if a referendum
is held, upon the reconvening of such meeting after the referendum, the
voters, upon the vote of voters representing a majority of assessments
of holders of record within the proposed district, shall choose necessary
officers therefor to hold office until the first annual meeting thereof; and
the district shall, upon the filing of the first report filed in the manner
provided in subsection (c) of section 7-325 of the general statutes, House Bill No. 6640
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thereupon be a body corporate and politic and have the powers
provided in sections 7-324 to 7-329, inclusive, of the general statutes, not
inconsistent with the general statutes or this section, in relation to the
objects for which it was established, that are necessary for the
accomplishment of such objects, including the power to lay and collect
taxes. The clerk of such district shall cause its name and a description of
its territorial limits and of any additions that may be made thereto to be
recorded in, and a caveat be placed upon, the land records of the town
of North Haven.
(2) At the meeting called for the purpose of establishing the district
as provided in subdivision (1) of this subsection, the voters may
establish the district for any or all of the following purposes: To
extinguish fires, to light streets, to plant and care for shade and
ornamental trees, to plan, lay out, acquire, construct, maintain and
finance railway infrastructure, roads, sidewalks, crosswalks, drains,
sewers and sewage treatment facilities, utility infrastructure,
improvements and connections, parking facilities, open space, bulkhead
repairs, dredging and construction, environmental remediation and
other infrastructure improvements and to acquire, construct, maintain
and regulate the use of recreational facilities, to plan, lay out, acquire,
construct, reconstruct, repair, maintain, supervise and manage a flood
or erosion control system, and to plan, lay out, acquire, construct,
maintain, operate, finance and regulate the use of a community water
system, all as hereinafter referred to as the "improvements". The district
may contract with a town, city, borough or other district for carrying out
any of the purposes or the purchase or sale of any of the improvements
for which such district was established.
(3) At the meeting called for the purpose of establishing the district
as provided in subdivision (1) of this subsection, the voters shall fix the
date of the annual meeting of the voters for the election of the board of
directors and officers for the district and the transaction of such other House Bill No. 6640
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business as may properly come before such annual meeting. At such
organizational meeting of the district, the voters shall elect four
directors. The four directors first elected shall be designated to serve
terms of one, two, three and four years, respectively, and the directors
elected thereafter shall serve for terms of four years. Upon its
organization and at all times thereafter, one additional director may be
appointed by the first selectman of the town of North Haven. From such
directors, the voters shall elect at the organizational meeting a president,
a vice-president, a clerk and a treasurer to serve until the first annual
meeting for the election of officers and thereafter such officers shall be
elected annually. Not fewer than three members of the board of
directors shall be residents of the state of Connecticut. Subject to the
provisions of subdivision (4) of this subsection, (A) not fewer than
[fifteen] two-thirds of the voters of the district shall constitute a quorum
for the transaction of business at such organizational meeting of the
district; and (B) if [fifteen] two-thirds of the voters are not present at
such meeting, the selectmen may adjourn such meeting from time to
time, until at least [fifteen] two-thirds of the voters are present. Special
meetings of the district may be called on the application of ten per cent
of the total number of voters of such district or twenty of the voters of
such district, whichever is less, or by the president or any three directors
upon giving notice as provided in this subdivision. Any special meeting
called on the application of the voters shall be held not later than twenty-
one days after receiving such application. Notice of the holding of the
annual meeting and all special meetings shall be given by publication of
a notice of such meetings in a newspaper having a general circulation in
such district at least ten days before the day of such meetings, signed by
the president or any three directors, which notice shall designate the
time and place of such meetings and the business to be transacted
thereat. Two hundred or more persons or ten per cent of the total
number of voters of such district, whichever is less, may petition the
clerk of such district, in writing, at least twenty-four hours prior to any
such meeting, requesting that any item or items on the call of such House Bill No. 6640
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meeting be submitted to the voters not less than seven or more than
fourteen days thereafter, on a day to be set by the district meeting or, if
the district meeting does not set a date, by the board of directors, for a
vote by paper ballots or by a "yes" or "no" vote on the voting machines,
during the hours between twelve o'clock noon and eight o'clock p.m.,
except that the district may, by vote of its board of directors, provide for
an earlier hour for opening the polls but not earlier than six o'clock a.m.
The paper ballots or voting machine ballot labels, as the case may be,
shall be provided by the clerk. When such a petition has been filed with
the clerk, the president, after completion of other business and after
reasonable discussion shall adjourn such meeting and order such vote
on such item or items in accordance with the petition, and any item so
voted may be rescinded in the same manner. The clerk shall phrase such
item or items in a form suitable for printing on such paper ballots or
ballot labels. Subject to the provisions of subdivision (4) of this
subsection, (i) not fewer than [fifteen] two-thirds of the voters of the
district shall constitute a quorum for the transaction of business at any
meeting of the district; (ii) if [fifteen] two-thirds of the voters are not
present at such meeting, the president of the district or, in such
president's absence, the vice-president, may adjourn such meeting from
time to time, until at least [fifteen] two-thirds of the voters are present;
and (iii) all meetings of the district where a quorum is present may be
adjourned from time to time by a vote of a majority of the voters voting
on the question. At any annual or special meeting, the voters may, by a
majority vote of those present, discontinue any purposes for which the
district is established or undertake any additional purpose or purposes
enumerated in subdivision (2) of this subsection.
(4) (A) A quorum for the transaction of business at the meeting called
for the purpose of establishing the district, as provided in subdivisions
(1) and (3) of this subsection, shall be either [fifteen] two-thirds of the
voters of such district or a majority of the holders of record of interests
in real property within such district, as long as the assessments of such House Bill No. 6640
Special Act No. 21-14 9 of 20
holders of record constitute more than one-half of the total of
assessments for all interests in real property within such district. If
[fifteen] two-thirds of the voters or a majority of the holders of record of
interests in real property within such district are not present at such
meeting or the assessments of such holders of record constitute less than
one-half of the total of assessments for all interests in real property
within such district, the selectmen may adjourn such meeting, from time
to time, until at least [fifteen] two-thirds of the voters or a majority of
the holders of record of interests in real property within such district are
present and the assessments of such holders of record constitute more
than one-half of the total of assessments for all interests in real property
within such district.
(B) For the transaction of business at any other meeting of the district,
a quorum shall be either [fifteen] two-thirds of the voters of the district
or a majority of the holders of record of interests in real property within
such district, as long as the assessments for such holders of record
constitute more than one-half of the total of assessments for all interests
in real property within such district. If [fifteen] two-thirds of the voters
or a majority of the holders of record of interests in real property within
such district are not present at such meeting or the assessments of such
holders of record constitute less than one-half of the total assessments
for all interests in real property within such district, the president of the
district or, in such president's absence, the vice-president, may adjourn
such meeting, from time to time, until at least [fifteen] two-thirds of the
voters or a majority of the holders of record of interests in real property
within such district are present and the assessments of such holders of
record constitute more than one-half of the total of assessments for all
interests in real property within such district. All actions, resolutions
and proceedings at any annual or special meeting of the district where
a quorum is present shall require a majority vote of (i) the voters present
and voting, and (ii) the property owners representing at least one-half
of the assessments of holders of record of a fee simple interest in real House Bill No. 6640
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property within the district, present and voting.
(5) In any case in which an action for a vote by the voters of the district
is to be initiated by the petition of such voters, in addition to such other
requirements as the general statutes or any special act may impose, such
petition shall be on a form prescribed or approved by the clerk of such
district, and each page of such petition shall contain a statement, signed
under penalties of false statement, by the person who circulated the
same, setting forth such circulator's name and address, and stating that
each person whose name appears on said page signed the same in
person in the presence of such circulator, that the circulator either knows
each such signer or that the signer satisfactorily identified himself to the
circulator and that all the signatures on said page were obtained not
earlier than six months prior to the filing of said petition. Any page of a
petition that does not contain such a statement by the circulator shall be
invalid. Any circulator who makes a false statement in the statement
hereinbefore provided shall be subject to the penalty provided for false
statement. No petition shall be valid for any action for a vote by the
voters at any regular or special district meeting unless such petition
shall be circulated by a voter eligible to vote in such district.
(6) Once formed, the district shall not be required to comply with the
provisions of subdivisions (1) to (5), inclusive, of this subsection until
such time as it authorizes the issuance of bonds or makes application for
the subdivision or development of land within the district.
(c) Whenever the officers of such district vote to terminate its
corporate existence and whenever a petition signed by ten per cent of
the total voters of such district or twenty of the voters of such district,
whichever is less, applying for a special meeting to vote on the
termination of the district is received by the clerk, the clerk shall call a
special meeting of the voters of such district, the notice of which shall
be signed by the officers thereof, by advertising the same in the same
manner as provided in section 7-325 of the general statutes. Not later House Bill No. 6640
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than twenty-four hours before any such meeting, two hundred or more
voters or ten per cent of the total number of voters, whichever is less,
may petition the clerk of the district, in writing, that a referendum on
the question of whether the district should be terminated be held in the
manner provided in section 7-327 of the general statutes. If, at such
meeting, a two-thirds majority of the voters present vote to terminate
the corporate existence of the district, or, if a referendum is held, two-
thirds of the voters casting votes in such referendum vote to terminate
the corporate existence of the district, the officers shall proceed to
terminate the affairs of such district. The district shall pay all
outstanding indebtedness and turn over the balance of the assets of such
district to the town of North Haven, if the legislative body of the town
authorizes such action. No district shall be terminated under this
subsection until all of its outstanding indebtedness is paid unless the
legislative body of the town of North Haven agrees, in writing, to
assume such indebtedness. On completion of the duties of the officers
of such district, the clerk shall cause a certificate of the vote of such
meeting to be recorded in the land records of the town of North Haven
and the clerk shall notify the Secretary of the Office of Policy and
Management.
(d) (1) For purposes of voting at meetings held by such district, any
tenant in common of any interest in real property shall have a vote equal
to the fraction of such tenant in common's ownership of such interest.
Any joint tenant of any interest in real property shall vote as if each such
tenant owned an equal fractional share of such real property. A
corporation shall have its vote cast by the chief executive officer of such
corporation, or such officer's designee. Any entity that is not a
corporation shall have its vote cast by a person authorized by such entity
to cast its vote. An owner shall be entitled to cast one vote, or a fractional
vote, as applicable, for each property that it owns within the district.
(2) No holder of record of a fee simple interest in real property shall House Bill No. 6640
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be precluded from participating in any district meeting or referendum
because of the form of entity that holds such interest, whether such
holder of record is (A) a corporation, partnership, unincorporated
association, trustee, fiduciary, guardian, conservator or other form of
entity, or any combination thereof, or (B) an individual who holds
interests jointly or in common with another individual or individuals,
or with any one or more of the entities listed in subparagraph (A) of this
subdivision.
(e) Notwithstanding any provision of the general statutes, including
sections 7-324 to 7-329, inclusive, of the general statutes, the district shall
have the power to assess, levy and collect benefit assessments upon the
land and buildings in the district that, in its judgment, are benefited by
the improvements.
(f) (1) Notwithstanding any provision of the general statutes,
including sections 7-324 to 7-329, inclusive, of the general statutes, the
district shall have the power to fix, revise, charge, collect, abate and
forgive reasonable taxes, fees, rents and benefit assessments, and other
charges for the cost of the improvements, financing costs, operating
expenses and other services and commodities furnished or supplied to
the real property in the district in accordance with the applicable
provisions of the general statutes that apply to districts established
under section 7-325 of the general statutes, and this section and in the
manner prescribed by the district. Notwithstanding any provision of the
general statutes, the district may make grants for, or pay the entire cost
of any improvements, including the costs of financing such
improvements, capitalized interest and the funding of any reserve funds
necessary to secure such financing or the debt service of bonds or notes
issued to finance such costs, from taxes, fees, rents, benefit assessments
or other revenues and may assess, levy and collect said taxes, fees, rents
or benefit assessments concurrently with the issuance of bonds, notes or
other obligations to finance such improvements based on the estimated House Bill No. 6640
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cost of the improvements prior to the acquisition or construction of the
improvements or upon the completion or acquisition of the
improvements. The district and the town of North Haven are authorized
to enter into an agreement to share revenue in accordance with section
7-148bb of the general statutes.
(2) Notwithstanding any provision of the general statutes, whenever
the district or the town constructs, improves, extends, equips,
rehabilitates, repairs, acquires or provides a grant for any improvements
or finances the cost of such improvements, such proportion of the cost
or estimated cost of the improvements and financing thereof, as
determined by the district, may be assessed by the district, herein
referred to as "benefit assessments", in the manner prescribed by such
district, upon the property benefited by such improvements and the
balance of such costs shall be paid from the general funds of the district.
The district may provide for the payment of such benefit assessments in
annual installments, not exceeding thirty, and may forgive such benefit
assessments in any single year without causing the remainder of
installments of benefit assessments to be forgiven. Benefit assessments
to buildings or structures constructed or expanded after the initial
benefit assessment may be assessed as if the new or expanded buildings
or structures had existed at the time of the original benefit assessment.
It is hereby determined that the costs of the improvements benefiting
the district whether located within the district or in the town of North
Haven are a benefit to all the property within the district.
(3) In order to provide for the collection and enforcement of its taxes,
fees, rents, benefit assessments and other charges, the district is hereby
granted all the powers and privileges with respect thereto as districts
organized pursuant to section 7-325 of the general statutes, and as held
by the town of North Haven or as otherwise provided in this section.
Such taxes, fees, rents or benefit assessments, if not paid when due, shall
constitute a lien upon the premises served and a charge against the House Bill No. 6640
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owners thereof, which lien and charge shall bear interest at the same
rate as delinquent property taxes. Each such lien may be continued,
recorded and released in the manner provided for property tax liens in
chapter 12 of the general statutes and shall take precedence over all
other liens or encumbrances except a lien for taxes of the town of North
Haven.
(4) The budget, taxes, fees, rents, benefit assessments and any other
charges of the district of general application shall be adopted and
revised by the board of directors at least annually not more than thirty
days before the beginning of the fiscal year, in accordance with the
procedures to be established by the board, at a meeting called by the
board, ensuring that interested persons are afforded notice and an
opportunity to be heard. The board shall hold at least two public
hearings on its schedule of fees, rates, rents, benefit assessments and
other charges or any revision thereof before adoption, notice of which
shall be delivered to the selectmen of the town of North Haven and be
published in at least two newspapers of general circulation in the town
of North Haven at least ten days in advance of the hearing. Not later
than the date of the publication, the board shall make available to the
public and deliver to the selectmen of the town of North Haven the
proposed schedule of fees, rates, rents, benefit assessments and other
charges. The procedures regarding public hearing and appeal, provided
by section 7-250 of the general statutes, shall apply for all benefit
assessments made by the district, except that the board shall be
substituted for the water pollution control authority. Should the benefit
assessments be assessed and levied prior to the acquisition or
construction of the improvements, then the amount of the benefit
assessments shall be adjusted to reflect the actual cost of the
improvements, including all financing costs, once the improvements
have been completed, should the actual cost be greater than or less than
the estimated costs. Benefit assessments shall be due and payable at
such times as are fixed by the board, provided the district shall give House Bill No. 6640
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notice of such due date not less than thirty days prior to such due date
by publication in a newspaper of general circulation in the town of
North Haven and by mailing such notice to the owners of the property
assessed at their last-known address.
(g) (1) Notwithstanding any provision of the general statutes,
including sections 7-324 to 7-329, inclusive, of the general statutes,
whenever the district has authorized the acquisition or construction of
the improvements or has made an appropriation therefor, the district
may authorize the issuance of bonds, notes or other obligations to
finance the cost of the improvements, the creation and maintenance of
reserves required to sell the bonds and the cost of issuance of the bonds,
provided no bonds shall be issued prior to the district entering into an
interlocal agreement with the town of North Haven, in accordance with
the procedures provided by section 7-339c of the general statutes,
including at least one public hearing on the proposed agreement and
ratification by the legislative body of the town of North Haven. The
bonds may be secured as to principal or interest by (A) the full faith and
credit of the district, (B) fees, revenues or benefit assessments, or (C) a
combination of subparagraphs (A) and (B) of this subdivision. Such
bonds shall be authorized by resolution of the board of directors. The
district is authorized to secure such bonds by the full faith and credit of
the district or by a pledge of or lien on all or part of its revenues, fees or
benefit assessments. The bonds of each issue shall be dated, shall bear
interest at the rates and shall mature at the time or times not exceeding
thirty years from their date or dates, as determined by the board, and
may be redeemable before maturity, at the option of the board, at the
price or prices and under the terms and conditions fixed by the board
before the issuance of the bonds. The board shall determine the form of
the bonds, and the manner of execution of the bonds, and shall fix the
denomination of the bonds and the place or places of payment of
principal and interest, which may be at any bank or trust company
within the state of Connecticut and other locations as designated by the House Bill No. 6640
Special Act No. 21-14 16 of 20
board. In case any officer whose signature or a facsimile of whose
signature shall appear on any bonds or coupons shall cease to be an
officer before the delivery of the bonds, the signature or facsimile shall
nevertheless be valid and sufficient for all purposes the same as if the
officer had remained in office until the delivery.
(2) While any bonds issued by the district remain outstanding, the
powers, duties or existence of the district shall not be diminished or
impaired in any way that will affect adversely the interests and rights of
the holders of the bonds. Bonds issued under this section, unless
otherwise authorized by law, shall not be considered to constitute a debt
of the state of Connecticut or the town of North Haven, or a pledge of
the full faith and credit of the state of Connecticut or the town of North
Haven, but the bonds shall be payable solely by the district or as special
obligations payable from particular district revenues. Any bonds issued
by the district shall contain on their face a statement to the effect that
neither the state of Connecticut nor the town of North Haven shall be
obliged to pay the principal of or the interest thereon, and that neither
the full faith and credit or taxing power of the state of Connecticut nor
the town of North Haven is pledged to the payment of the bonds. All
bonds issued under this section shall have and are hereby declared to
have all the qualities and incidents of negotiable instruments, as
provided in title 42a of the general statutes.
(h) (1) The board of directors may authorize that the bonds be secured
by a trust agreement by and between the district and a corporate trustee,
which may be any trust company or bank having the powers of a trust
company within the state of Connecticut. The trust agreement may
pledge or assign the revenues. Either the resolution providing for the
issuance of bonds or the trust agreement may contain covenants or
provisions for protecting and enforcing the rights and remedies of the
bondholders as may be necessary, reasonable or appropriate and not in
violation of law. House Bill No. 6640
Special Act No. 21-14 17 of 20
(2) All expenses incurred in carrying out the trust agreement may be
treated as a part of the cost of the operation of the district. (A) The pledge
by any trust agreement or resolution shall be valid and binding from
time to time when the pledge is made; (B) the revenues or other moneys
so pledged and then held or thereafter received by the board shall
immediately be subject to the lien of the pledge without any physical
delivery thereof or further act; and (C) the lien of the pledge shall be
valid and binding as against all parties having claims of any kind in tort,
contract or otherwise against the district, irrespective of whether the
parties have notice thereof. Notwithstanding any provision of the
Uniform Commercial Code, neither this subsection, the resolution or
any trust agreement by which a pledge is created need be filed or
recorded except in the records of the district, and no filing need be made
under title 42a of the general statutes.
(i) (1) Bonds issued under this section are hereby made securities in
which all public officers and public bodies of the state of Connecticut
and its political subdivisions, all insurance companies, trust companies,
banking associations, investment companies, executors, administrators,
trustees and other fiduciaries may properly and legally invest funds,
including capital in their control and belonging to them; and (2) such
bonds shall be securities that may properly and legally be deposited
with and received by any state or municipal officer or any agency or
political subdivision of the state of Connecticut for any purpose for
which the deposit of bonds of the state of Connecticut is now or may
hereafter be authorized by law.
(j) Bonds may be issued under this section without obtaining the
consent of the state of Connecticut or the town of North Haven, and
without any proceedings or the happening of any other conditions or
things other than those proceedings, conditions or things that are
specifically required thereof by this section, and the validity of and
security for any bonds issued by the district shall not be affected by the House Bill No. 6640
Special Act No. 21-14 18 of 20
existence or nonexistence of the consent or other proceedings,
conditions or things.
(k) The district and all its receipts, revenues, income and real and
personal property shall be exempt from taxation and benefit
assessments and the district shall not be required to pay any tax, excise
or assessment to or from the state of Connecticut or any of its political
subdivisions. The principal and interest on bonds or notes issued by the
district shall be free from taxation at all times, except for estate and gift,
franchise and excise taxes, imposed by the state of Connecticut or any
political subdivision thereof, provided nothing in this section shall act
to limit or restrict the ability of the state of Connecticut or the town of
North Haven to tax the individuals and companies, or their real or
personal property or any person living or business operating within the
boundaries of the district.
(l) The district shall at all times keep accounts of its receipts,
expenditures, disbursements, assets and liabilities, which shall be open
to inspection by duly appointed officers or duly appointed agents of the
state of Connecticut or the town of North Haven. The fiscal year of the
district shall begin on July first and end on the following June thirtieth
or as otherwise established by section 7-327 of the general statutes. The
district shall be subject to an audit of its accounts in the manner
provided in the general statutes.
(m) (1) At such time as any construction or development activity
financed by bonds issued by the district is taking place, the clerk of the
district shall submit project activity reports quarterly to the selectmen of
the town of North Haven, the Secretary of the Office of Policy and
Management and to the chairpersons of the joint standing committee of
the General Assembly having cognizance of matters relating to finance,
revenue and bonding.
(2) The district shall take affirmative steps to provide for the full House Bill No. 6640
Special Act No. 21-14 19 of 20
disclosure of information relating to the public financing and
maintenance of improvements to real property undertaken by the
district. Such information shall be provided to any existing residents
and to all prospective residents of the district. The district shall furnish
each developer of a residential development within the district with
sufficient copies of such information to provide each prospective initial
purchaser of property in such district with a copy, and any developer of
a residential development within the district, when required by law to
provide a public offering statement, shall include a copy of such
information relating to the public financing and maintenance of
improvements in the public offering statement.
(n) (1) This section shall be deemed to provide an additional,
alternative and complete method of accomplishing the purposes of this
section and exercising the powers authorized hereby and shall be
deemed and construed to be supplemental and additional to, and not in
derogation of, powers conferred upon the district by law and
particularly by sections 7-324 to 7-329, inclusive, of the general statutes,
provided insofar as the proceedings of this section are inconsistent with
any general statute or special act, or any resolution or ordinance of the
town of North Haven, this section shall be controlling.
(2) Except as specifically provided in this section, all other statutes,
ordinances, resolutions, rules and regulations of the state of Connecticut
and the town of North Haven shall be applicable to the property,
residents and businesses located in the district. Nothing in this section
shall in any way obligate the town of North Haven to pay any costs for
the acquisition, construction, equipping or operation and
administration of the improvements located within the district or to
pledge any money or taxes to pay debt service on bonds issued by the
district except as may be agreed to in any interlocal agreements executed
by the town of North Haven and the district.
(o) At the option of the town of North Haven by vote of the legislative House Bill No. 6640
Special Act No. 21-14 20 of 20
body, the district shall be merged into the town of North Haven, [if no]
and any property that is owned by the district shall be distributed to the
town of North Haven, if (1) once bonds are issued by the district or the
district commences collecting funds, the district fails to comply with its
obligations not later than [four years after the effective date of this
section] six months after the date of such failure, or (2) after the bonds
authorized by this section are no longer outstanding. [and any property
that is owned by the district shall be distributed to the town of North
Haven.]
(p) This section, being necessary for the welfare of the town of North
Haven and its inhabitants, shall be liberally construed to effect the
purposes hereof.