OFFICE OF FISCAL ANALYSIS Legislative Office Building, Room 5200 Hartford, CT 06106 (860) 240-0200 http://www.cga.ct.gov/ofa EMERGENCY CERTIFICATION HB-6688 AN ACT CONCERNING A HIGHWAY USE FEE. Primary Analyst: PM 6/7/21 Contributing Analyst(s): OFA Fiscal Note State Impact: Agency Affected Fund-Effect FY 22 $ FY 23 $ Resources of the Special Transportation Fund TF - Revenue Gain None 45,000,000 Resources of the Special Transportation Fund TF - Cost None Up to 450,000 State Comptroller - Fringe Benefits 1 TF - Cost None Up to 185,850 Note: TF=Transportation Fund Municipal Impact: None Explanation The bill imposes a highway user fee beginning on January 1, 2023, which would generate an anticipated $45 million in new revenue in FY 23 and $90 million annually thereafter, increasing by inflation. Estimated revenue through FY 26 is as follows: ($ millions) FY 22 FY 23 FY 24 FY 25 FY 26 Highway User Fee - 45.0 90.0 94.1 98.3 The bill also results in a cost of up to $635,850 in FY 23 for salary 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-06688-R00-FN.DOCX Page 2 of 2 and fringe benefit costs associated with up to seven new positions required for program implementation. The Out Years The annualized ongoing fiscal impact identified above would continue into the future subject to inflation. The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.