OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sSB-999
AN ACT CONCERNING A JUST TRANSITION TO CLIMATE-
PROTECTIVE ENERGY PRODUCTION AND COMMUNITY
INVESTMENT.
As Amended by Senate "A" (LCO 8860), House "A" (LCO 9659)
House Calendar No.: 538
Senate Calendar No.: 248
Primary Analyst: AN 6/2/21
Contributing Analyst(s):
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 22 $ FY 23 $
Resources of the General Fund GF - Potential
Revenue Gain
Minimal Minimal
Note: GF=General Fund
Municipal Impact:
Municipalities Effect FY 22 $ FY 23 $
Various Municipalities Potential
Cost
See Below See Below
Explanation
The bill requires certain renewable energy and efficiency
construction projects to meet prevailing wage standards and requires
developers to enter into community host agreements.
There is a potential cost to municipalities resulting from the bill,
which may increase the costs of certain covered projects that are
funded by towns. To the extent that the bill increases the total cost of
covered projects by requiring that workers be paid the prevailing
wage, there is a cost equal to the differential in labor-related costs
between such wages and those that would otherwise apply. This does
not impact projects that currently must comply with prevailing wage 2021SB-00999-R02-FN.DOCX Page 2 of 2
laws or are covered by a project labor agreement.
There is also a potential General Fund revenue gain from penalties
for noncompliance with the bill's provisions. The amendment specifies
that violations result in penalties and sanctions but does not specify
further details. As such, any potential revenue is anticipated to be
minimal, and enforcement by the Department of Labor is not
anticipated to result in any costs to the agency.
Senate "A" redefined covered projects in the underlying bill and
established penalties for false statements.
House "A" removed the penalties established in Senate "A" and
eliminates any potential revenue gain and costs resulting from
increased penalties and incarceration related to Class D felony charges.
The Out Years
The potential cost to municipalities outlined above will continue
into the future subject to the number of covered projects performed
that are not already subject to prevailing wage laws.
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.