OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
SB-869
AN ACT CONCERNING COMMUNITY INVESTMENT BOARDS
AND NEIGHBORHOOD ASSISTANCE.
Primary Analyst: DD 3/16/21
Contributing Analyst(s): AN
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 22 $ FY 23 $ Out Years
State Comptroller
- Fringe Benefits
1
GF - Cost None Up to 16,400 Up to 16,400
Policy & Mgmt.,
Off.
GF - Cost None Up to 40,000 Up to 40,000
Policy & Mgmt.,
Off.
GF - Cost None None Potential
Note: GF=General Fund
Municipal Impact: None
Explanation
The bill requires certain large municipalities to establish community
investment boards and requires those boards to identify priorities for
the use of certain grants funded from the Municipal Revenue Sharing
Account (MRSA). Beginning in FY 25, the bill allows such
municipalities to spend a portion of their MRSA funding on the
priorities of those boards.
These provisions have no fiscal impact, as the bill does not change
the allocation or amount of MRSA funding in any year, nor does it
restrict a municipality’s use of such funding. Under current law, an
estimated $377.2 million is estimated to be deposited into MRSA in FY
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. 2021SB-00869-R000082-FN.DOCX Page 2 of 2
22.
It should be noted that PA 21-3 1) eliminates the select payment in
lieu of taxes account, and 2) specifies MRSA as the funding source for a
new tiered PILOT grant system established by the act.
The bill also requires the Office of Policy and Management (OPM)
to create and maintain a website allowing residents and organizations
to submit proposed solutions to specific urban area problems, and to
offer financial awards to residents and organizations that submit ideas
that become the basis for successful pilot programs. There is a cost of
up to $56,400 (salary plus fringe) annually for a permanent, part time
employee to maintain the Web site.
There is an additional cost to OPM to offer financial awards to
residents. This cost will vary based on the awards offered.
The bill also establishes a task force to study the (1) programs for
which state funding is utilized by nonprofit providers, and (2)
requirements imposed on nonprofit providers by state agencies and
compliance with those requirements by nonprofit providers. The task
force shall submit a report on its findings and recommendations to the
Planning and Development Committee by January 1, 2022. This has no
fiscal impact as PA 17-236 prohibits transportation allowances for task
force members.
The Out Years
The annualized ongoing fiscal impact identified above would
continue into the future subject to changes in the General Fund
revenue diversion to the Municipal Revenue Sharing Account.