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General Assembly Raised Bill No. 864
January Session, 2021
LCO No. 3173
Referred to Committee on ENERGY AND TECHNOLOGY
Introduced by:
(ET)
AN ACT CONCERNING TH E VALUATION OF CERTA IN PROPERTIES
FOR MUNICIPAL PURCHA SE.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Section 7-213 of the general statutes is repealed and the 1
following is substituted in lieu thereof (Effective July 1, 2021): 2
For purposes of this chapter, "municipality" means any town, city or 3
borough. Any municipality may, under the limitations of this chapter, 4
construct, purchase, lease or establish, and maintain one or more plants 5
for the manufacture and distribution of gas or electricity for furnishing 6
light for municipal use and for the use of such of its inhabitants as may 7
require and pay for the same. [Such] Except as provided in subsections 8
(b) and (c) of section 7-226, as amended by this act, such plants may 9
include suitable lands, structures, easements, water privileges, stations, 10
gasometers, boilers, engines, dynamos, tools, machinery, pipes, 11
conduits, poles, conductors, burners, lamps and other apparatus and 12
appliances for making, generating, distributing and using gas or 13
electricity for lighting purposes. Notwithstanding any provision of a 14
special act or municipal charter to the contrary, any municipality that 15 Raised Bill No. 864
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owns or operates one or more plants for the manufacture or distribution 16
of electricity pursuant to this section or any special act may own or 17
operate a community antenna television system, as defined in section 18
16-1, for the purpose of providing community antenna television 19
service, as defined in said section, for its residents and residents of the 20
municipalities within the franchise area of which it is a part. 21
Sec. 2. Section 7-226 of the general statutes is repealed and the 22
following is substituted in lieu thereof (Effective July 1, 2021): 23
(a) [The] Except as provided in subsections (b) and (c) of this section, 24
the price to be paid for such plant, whether gas, electric or both, shall be 25
its fair market value for the purposes of its use, no portion of such plant 26
to be estimated at less than its fair market value for any other purpose, 27
including as an element of value the earning capacity of such plant, 28
based upon the actual earnings being derived from such use at the time 29
of the final vote of such municipality to establish a plant, and also 30
including the market value of any other locations or similar rights 31
acquired by the owners of such plant or plants, intended and adapted 32
for use in connection with such plant or plants, to be sold less the 33
amount of any mortgage or other encumbrance or lien to which such 34
plant or plants or any part thereof may be subject at the time of the 35
transfer of title; but such municipality may require that such plant or 36
property shall be transferred to it free and clear of any mortgage or lien, 37
unless the Superior Court, through its special commission as provided 38
in section 7-228, otherwise determines. 39
(b) The price to be paid for a substation shall be one hundred 40
thousand dollars. 41
(c) The price to be paid for a utility pole shall be five hundred dollars. 42
This act shall take effect as follows and shall amend the following
sections:
Section 1 July 1, 2021 7-213
Sec. 2 July 1, 2021 7-226
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Statement of Purpose:
To provide a value for the municipal purchase of substations and utility
poles.
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except
that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not
underlined.]