Connecticut 2021 2021 Regular Session

Connecticut Senate Bill SB00840 Comm Sub / Analysis

Filed 07/14/2021

                    O F F I C E O F L E G I S L A T I V E R E S E A R C H 
P U B L I C A C T S U M M A R Y 
 
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PA 21-24—SB 840 
Environment Committee 
 
AN ACT CONCERNING CO	NNECTICUT'S SHELLFIS H 
RESTORATION PROGRAM, THE CONNECTICUT SEAF OOD 
COUNCIL AND THE TAXA TION OF CERTAIN UNDERWATER 
FARMLANDS 
 
SUMMARY: This act extends Connecticut’s PA 490 program to certain 
aquaculture operations. PA 490 allows farm, forest, open space, and maritime 
heritage land to be assessed for property tax purposes based on current use value 
rather than fair market value (CGS § 12-63). In exchange for this reduced 
assessment, the property owner cannot change the land’s use for a period of time. 
By law, if the use changes within 10 years of ownership or classification, a 
conveyance tax penalty is charged to the owner (CGS § 12-504a). 
The act also expands Connecticut’s shellfish restoration program by allowing 
the Department of Agriculture (DoAg) to do the following: 
1. acquire, in addition to purchase, shell or other cultch material to deposit on 
state shellfish beds; 
2. contract to use a shell recovery vessel to collect and deposit shell on the 
beds; and 
3. receive and deposit on the beds cultch from oyster shell recycling 
programs DoAg administers or authorizes. 
The act requires private, state, or federal grants and other direct funding for 
the shellfish restoration program to be deposited in the Shellfish Fund, which 
DoAg uses to operate the program. It explicitly allows DoAg to use the fund for 
an oyster shell recycling program it administers with any other person. 
Lastly, the act reconstitutes the Connecticut Seafood Advisory Council and 
renames it the Connecticut Seafood Development Council. By law, the council, 
which is within DoAg, must help promote Connecticut seafood products and 
examine market opportunities. 
EFFECTIVE DATE:  October 1, 2021, and the PA 490 provision applies to tax 
assessments on and after that date. 
 
PA 490 PROGRAM EXTENDED TO AQUACULTURE 
 
The act extends the state’s PA 490 program to certain aquaculture operations 
by expanding specified definitions. Specifically, it expands the definition of “farm 
land” to include underwater farmlands used for aquaculture. Under existing law, 
farm land includes tracts of land constituting a farm. 
The act also expands the definition of “maritime heritage land” to include 
waterfront property owned by a licensed shellstock shipper or aquaculture 
operator who uses the property for commercial shellfishing or aquaculture  O L R P U B L I C A C T S U M M A R Y 
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purposes, so long as the shipper or operator earned at least 50% of his or her 
adjusted gross income (AGI) from the commercial operations. Maritime heritage 
land does not include buildings not used exclusively by the shipper or operator for 
commercial purposes. (By law, maritime heritage land also includes waterfront 
property a commercial lobsterman owns and uses for commercial lobstering, if at 
least 50% of the lobsterman’s AGI comes from the commercial operation and 
does not include buildings not used exclusively by the lobsterman for commercial 
purposes.) 
The act repeals a requirement that shellfish grounds be taxed in the same 
manner as real estate in the towns in which the grounds are situated. 
 
CONNECTICUT SEAFOOD DEVELOPMENT COUNCIL 
 
The act increases the council’s membership from 11 to 13 members. Prior law 
included four nonvoting members representing DoAg, the Department of 
Economic and Community Development (DECD), the Department of Energy and 
Environmental Protection (DEEP), and the UConn Sea Grant Program. The act 
instead includes, as voting members, the DoAg, DECD, and DEEP 
commissioners and the Sea Grant Program’s director, or their designees. 
Under the act, various authorities appoint the remaining nine members, who 
must meet specified qualifications. The below table compares the appointments 
under the act with those under prior law. 
 
Connecticut Seafood Development Council Appointments 
 
Appointing 
Authority 
Prior Law 	The Act 
Governor One freshwater fish producer One freshwater finfish 
producer 
House speaker One finfish, shellfish, or 
lobster harvester or harvester 
organization representative 
One aquaculture finfish 
producer 
House majority 
leader 
One finfish, shellfish, or 
lobster harvester or harvester 
organization representative 
One commercial marine finfish 
harvester 
House minority 
leader 
One finfish, shellfish, or 
lobster processor or processor 
organization representative 
One commercial lobster 
harvester 
Senate president 
pro tempore 
One retailer who serves 
restaurants or represents a 
restaurant organization 
One small scale aquaculture 
producer 
Senate majority 
leader 
One member-at-large One seaweed aquaculture 
producer 
Senate minority 
leader 
One finfish, shellfish, or 
lobster processor or processor 
organization representative 
One shellfish harvester  O L R P U B L I C A C T S U M M A R Y 
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DoAg 
commissioner 
None 	One shellfish wholesale 
dealer 
CT Restaurant 
Association 
None 	One representative of the 
association 
 
The act requires the DoAg commissioner or his designee to serve as council 
chairperson. 
By law, the council may use federal, state, or other funds and may enter into 
contracts to carry out its purposes. The act specifically allows the council to (1) 
receive state, federal, or municipal funds and funds from any nonprofit or 
nongovernmental organization and (2) spend those funds to perform its duties. It 
also allows the council to seek funding for and provide financial support to 
organizations for activities directly related to seafood production and related 
products.