LCO No. 1630 1 of 3
General Assembly Raised Bill No. 5264
February Session, 2022
LCO No. 1630
Referred to Committee on COMMERCE
Introduced by:
(CE)
AN ACT CONCERNING THE APPROVAL OF FINANCIAL AID
APPLICATIONS FILED WITH CONNECTICUT INNOVATIONS,
INCORPORATED.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Section 32-40 of the general statutes is repealed and the 1
following is substituted in lieu thereof (Effective October 1, 2022): 2
(a) All applications for financial aid shall be forwarded, together with 3
an application fee prescribed by the corporation, to the chief executive 4
officer of the corporation. Each such application shall be processed in 5
accordance with the written procedures adopted by the corporation 6
under subdivision (5) of subsection (d) of section 32-35. The board of 7
directors or a duly constituted committee thereof shall approve or deny 8
each application recommended by the chief executive officer. If the 9
board of directors or any such committee approves an application, the 10
board or such committee may authorize the corporation to enter into an 11
agreement or agreements on behalf of the corporation to provide 12
financial aid to the applicant. The applicant shall be promptly notified 13
of such action by the corporation. 14 Raised Bill No. 5264
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(b) In making the decision as to approval or denial of an application, 15
the board or any committee of the board shall give priority to those 16
applicants (1) whose businesses are defense-dependent, or are located 17
in municipalities which the Commissioner of Economic and 18
Community Development has declared have been severely impacted by 19
prime defense contract cutbacks pursuant to section 32-56, and (2) 20
whose proposed research and development activity, technology, 21
product or invention is to be used to convert all or a portion of the 22
applicant's business to non-defense-related industrial or commercial 23
activity, or to create a new non-defense-related industrial or commercial 24
business. For purposes of this section, a defense-dependent business is 25
any business that derives over fifty per cent of its gross income, 26
generated from operations within the state, from prime defense 27
contracts or from subcontracts entered into in connection with prime 28
defense contracts, a significant portion of whose facilities and 29
equipment are designed specifically for defense production and cannot 30
be converted to nondefense uses without substantial investment. 31
(c) All financial and credit information and all trade secrets contained 32
in any application for financial aid submitted to the corporation or 33
obtained by the corporation concerning any applicant, project, activity, 34
technology, product or invention shall be exempt from the provisions of 35
subsection (a) of section 1-210. 36
(d) Notwithstanding the provisions of subsections (a) and (b) of this 37
section, the board of directors may delegate to staff of the corporation 38
the authority to approve any application for financial aid filed pursuant 39
to this section for not more than [one hundred fifty] five hundred 40
thousand dollars, provided (1) such application is processed in 41
accordance with the written procedures adopted by the corporation 42
under subdivision (5) of subsection (d) of section 32-35, and (2) the sum 43
of the financial aid requested in such application and the total amount 44
of financial aid awarded to the applicant by the corporation during the 45
preceding twelve-month period does not exceed [one hundred fifty] five 46
hundred thousand dollars. 47 Raised Bill No. 5264
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This act shall take effect as follows and shall amend the following
sections:
Section 1 October 1, 2022 32-40
Statement of Purpose:
To allow the board of directors of Connecticut Innovations,
Incorporated to delegate to staff the authority to approve any
application for financial aid that requests not more than five hundred
thousand dollars.
[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.]