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General Assembly Raised Bill No. 1102
January Session, 2021
LCO No. 6675
Referred to Committee on FINANCE, REVENUE AND
BONDING
Introduced by:
(FIN)
AN ACT CONCERNING A LOAN PROGRAM TO ASSI ST TAXPAYERS
WITH THE PAYMENT OF CERTAIN REAL PROPERTY TAXES.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. (Effective July 1, 2021) (a) There is established a property tax 1
payment loan program under which eligible taxpayers may receive 2
loans for the payment of certain real property taxes that are delinquent 3
or of real property taxes due for the 2021 grand list, or both. The 4
Secretary of the Office of Policy and Management shall use the proceeds 5
of the sale of the bonds under section 2 of this act to provide such loans 6
in accordance with the provisions of this section. Any loan provided 7
under the program shall be amortized over a five-year period 8
commencing January 1, 2023. The secretary shall provide each 9
municipality with an amortization schedule for such loans, to be 10
distributed to taxpayers participating in the program. 11
(b) (1) To be eligible to receive a loan under the program, a taxpayer 12
shall have been current on all property taxes prior to January 1, 2020. 13
Each eligible taxpayer wishing to participate in the loan program shall 14 Raised Bill No. 1102
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register, not later than July 31, 2021, with the municipality to which such 15
taxpayer owes or will owe real property taxes for any tax period on or 16
after July 1, 2020, through June 30, 2022. Such taxpayer may request a 17
loan in the amount of the delinquent real property taxes and interest 18
owing or the amount of real property taxes due for the 2021 grand list, 19
or both, as applicable, provided no additional interest shall accrue on or 20
after August 1, 2021, on delinquent real property taxes for which an 21
eligible taxpayer has requested a loan pursuant to this section. 22
(2) Any amount paid by the Office of Policy and Management to a 23
municipality pursuant to subsection (c) of this section on behalf of a 24
taxpayer shall constitute a loan made to the taxpayer and each such 25
taxpayer shall execute, in such form and manner as prescribed by the 26
Secretary of the Office of Policy and Management, a loan repayment 27
agreement upon approval of the distribution of funds by the secretary 28
under subsection (c) of this section. The amount paid to a municipality 29
on behalf of a taxpayer under the program shall constitute a property 30
tax lien upon the real property against which the real property tax is 31
assessed. 32
(3) Each taxpayer that receives a loan under the program shall remit 33
each payment required under the repayment agreement to the tax 34
collector of the municipality to which the real property tax is owed. Each 35
tax collector shall remit any such payments received to the 36
Commissioner of Revenue Services, in a form and manner prescribed by 37
the commissioner. 38
(c) (1) Each municipality with which a taxpayer has registered for the 39
loan program shall apply to the Office of Policy and Management, in 40
such form and manner as the Secretary of the Office of Policy and 41
Management prescribes, for the amount of property taxes and interest 42
due such municipality from taxpayers that have registered for the loan 43
program, and including such information regarding the amounts 44
requested and each requesting taxpayer as the secretary may require. 45
The secretary shall promptly review the applications received and 46
distribute the amount of funds sought to municipalities. 47 Raised Bill No. 1102
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(2) Each municipality shall publicize the availability of and eligibility 48
requirements for the loan program to its taxpayers and provide 49
instructions on how an eligible taxpayer may register with the 50
municipality to receive a loan under the program. 51
Sec. 2. (Effective July 1, 2021) (a) For the purposes described in 52
subsection (b) of this section, the State Bond Commission shall have the 53
power from time to time to authorize the issuance of bonds of the state 54
in one or more series and in principal amounts not exceeding in the 55
aggregate three billion dollars. 56
(b) The proceeds of the sale of such bonds, to the extent of the amount 57
stated in subsection (a) of this section, shall be used by the Office of 58
Policy and Management for the purpose of providing loans for the 59
payment of certain delinquent real property taxes and certain real 60
property taxes for the 2021 grand list, in accordance with the provisions 61
of section 1 of this act. 62
(c) All provisions of section 3-20 of the general statutes, or the exercise 63
of any right or power granted thereby, that are not inconsistent with the 64
provisions of this section are hereby adopted and shall apply to all 65
bonds authorized by the State Bond Commission pursuant to this 66
section. Temporary notes in anticipation of the money to be derived 67
from the sale of any such bonds so authorized may be issued in 68
accordance with section 3-20 of the general statutes and from time to 69
time renewed. Such bonds shall mature at such time or times not 70
exceeding five years from their respective dates as may be provided in 71
or pursuant to the resolution or resolutions of the State Bond 72
Commission authorizing such bonds. None of such bonds shall be 73
authorized except upon a finding by the State Bond Commission that 74
there has been filed with it a request for such authorization that is signed 75
by or on behalf of the Secretary of the Office of Policy and Management 76
and states such terms and conditions as said commission, in its 77
discretion, may require. Such bonds issued pursuant to this section shall 78
be general obligations of the state and the full faith and credit of the state 79
of Connecticut are pledged for the payment of the principal of and 80 Raised Bill No. 1102
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interest on such bonds as the same become due, and accordingly and as 81
part of the contract of the state with the holders of such bonds, 82
appropriation of all amounts necessary for punctual payment of such 83
principal and interest is hereby made, and the State Treasurer shall pay 84
such principal and interest as the same become due. 85
This act shall take effect as follows and shall amend the following
sections:
Section 1 July 1, 2021 New section
Sec. 2 July 1, 2021 New section
Statement of Purpose:
To establish a loan program to assist taxpayers with the payment of
certain real property taxes.
[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.]