LCO \\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476-R01- HB.docx 1 of 13 General Assembly Substitute Bill No. 5476 February Session, 2022 AN ACT CONCERNING THE PROVISION OF PARTIAL FEE REDUCTIONS BY MUNICIPAL STORMWATER AUTHORITIES AND THE INCLUSION OF HEATING, VENTILATING AND AIR CONDITIONING SYSTEMS IN SCHOOL BUILDING PROJECT GRANT PAYMENTS. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Section 22a-498 of the 2022 supplement to the general 1 statutes is repealed and the following is substituted in lieu thereof 2 (Effective July 1, 2022): 3 (a) Any municipality may, by ordinance adopted by its legislative 4 body, designate any existing board or commission or establish a new 5 board or commission as the stormwater authority for such municipality. 6 If a new board or commission is created, such municipality shall, by 7 ordinance, determine the number of members thereof, their 8 compensation, if any, whether such members shall be elected or 9 appointed, the method of their appointment, if appointed, and removal 10 and their terms of office, which shall be so arranged that not more than 11 one-half of such terms shall expire within any one year. 12 (b) The purposes of the stormwater authority shall be to: (1) Develop 13 a stormwater management program, including, but not limited to, (A) a 14 program for construction and post-construction site stormwater runoff 15 control, including control detention and prevention of stormwater 16 runoff from development sites; or (B) a program for control and 17 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 2 of 13 abatement of stormwater pollution from existing land uses, and the 18 detection and elimination of connections to the stormwater system that 19 threaten the public health, welfare or the environment; (2) provide 20 public education and outreach in the municipality relating to 21 stormwater management activities and to establish procedures for 22 public participation; (3) provide for the administration of the 23 stormwater management program; (4) establish geographic boundaries 24 of the stormwater authority district; and (5) recommend to the 25 legislative body of the municipality in which such district is located the 26 imposition of a fee upon the interests in real property within such 27 district, subject to the fifteen per cent limitation on, or alternative 28 election to exempt, properties owned by hospitals described in 29 subdivision (3) of subsection (c) of this section, the revenues from which 30 shall be used in carrying out any of the powers of such district. In 31 accomplishing the purposes of this section, the stormwater authority 32 may plan, layout, acquire, construct, reconstruct, repair, maintain, 33 supervise and manage stormwater control systems. 34 (c) (1) Any stormwater authority created by a municipality pursuant 35 to subsection (a) of this section may levy fees, approved by the 36 legislative body of the municipality in accordance with the provisions 37 of subdivision (3) of this subsection, on property owners of the 38 municipality, except as specified in subdivision (2) of this subsection, 39 for the purposes described in subsection (b) of this section. In 40 establishing fees for properties in its district, the stormwater authority 41 shall consider criteria, including, but not limited to, [the following: The] 42 the area of the property containing impervious surfaces from which 43 stormwater runoff is generated [,] and land use types that result in 44 higher or lower concentrations of stormwater pollution. [and the grand 45 list valuation of the property.] In establishing fees for property in its 46 district, the stormwater authority shall [offer] provide for: 47 (A) A partial fee reduction, in the form of a credit proportional to the 48 reduction in stormwater runoff, for any property in its district whose 49 owner maintains and operates a stormwater management system that 50 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 3 of 13 complies with state and local stormwater management standards that 51 were in effect at the time such system was approved and which system 52 effectively reduces, retains or treats stormwater onsite and is approved 53 by the stormwater authority; 54 (B) An additional partial fee reduction, in the form of a credit 55 proportional to the reduction in stormwater runoff, for any property 56 [owner] in its district [who] whose owner has installed and is operating 57 and maintaining current stormwater best management practices that 58 reduce, retain [,] or treat stormwater onsite and that are approved by the 59 stormwater authority; [.] and 60 (C) An additional partial fee reduction, in the form of a credit 61 proportional to the reduction in stormwater runoff, for any property in 62 its district whose owner has installed and is operating and maintaining 63 infrastructure that reduces, retains or treats stormwater onsite and 64 which infrastructure exceeds any requirements that may be applicable 65 to the property under any provision of the general statutes, regulation 66 adopted by the Commissioner of Energy and Environmental Protection 67 or local stormwater control ordinance. 68 (2) In the case of land classified as, and consisting of, farm, forest or 69 open space land, or property owned by the state government, or any of 70 its political subdivisions or respective agencies, the stormwater 71 authority may only [levee] levy such fees on areas of such land that 72 contain impervious surfaces from which stormwater discharges to a 73 municipal separate storm sewer system. 74 (3) Each stormwater authority shall present its budget annually to the 75 legislative body of the municipality for approval. Such budget shall 76 include the specific programs the authority proposes to undertake 77 during the fiscal year for which the budget is presented, the projected 78 expenditures for such programs for the fiscal year and the amount of the 79 fee or fees the authority proposes to levy to pay for such expenditures. 80 In no event shall the aggregate amount of the fees proposed for the fiscal 81 year exceed the aggregate amount of such projected expenditures for 82 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 4 of 13 the fiscal year and in no event shall more than fifteen per cent of the 83 aggregate amount of the fees proposed for any fiscal year prior to July 84 1, 2026, be generated from properties located in the municipality that 85 are owned by hospitals that are parties to the settlement agreement with 86 the state approved pursuant to special act 19-1 of the December 2019 87 special session. The legislative body of the municipality shall ensure that 88 the aggregate amount of the fees approved comply with such fifteen per 89 cent limitation. For each such fiscal year prior to July 1, 2026, the 90 authority shall, not later than thirty days after the conclusion of the fiscal 91 year, (A) conduct a review to ensure that not more than fifteen per cent 92 of the aggregate fees received for such fiscal year were generated from 93 real property located in the municipality that is owned by one or more 94 hospitals that are parties to the settlement agreement described in this 95 subdivision, (B) in the event that the fees received from all such 96 hospitals together exceed fifteen per cent of the aggregate fees received 97 for such fiscal year, the stormwater authority shall rebate any amounts 98 received in excess of fifteen per cent, proportionately, to such hospitals, 99 and (C) provide the results of the stormwater authority's review, in 100 writing to each hospital, regardless of whether a rebate is due. As an 101 alternative to imposing the fee on properties located in the municipality 102 that are owned by hospitals that are parties to such settlement 103 agreement described in this subdivision, the legislative body may 104 approve exemption of such properties from the fee until July 1, 2026. 105 The legislative body of the municipality may approve fee amounts that 106 are less than the amounts proposed by the authority but in no event shall 107 the legislative body of the municipality approve fee amounts that are 108 greater than the amounts proposed by the authority. 109 (d) Any person aggrieved by the action of a stormwater authority 110 under this section shall have the same rights and remedies for appeal 111 and relief as are provided in the general statutes for taxpayers claiming 112 to be aggrieved by the doings of the assessors or board of assessment 113 appeals. 114 (e) The authority may adopt municipal regulations to implement the 115 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 5 of 13 stormwater management program. 116 (f) The authority may, subject to the commissioner's approval, enter 117 into contracts with any municipal or regional entity to accomplish the 118 purposes of this section. 119 (g) For purposes of this section and sections 22a-498a and 22a-498b, 120 "municipality" means any town, city, borough, consolidated town and 121 city or consolidated town or borough. "Municipality" does not include 122 any local school district, regional school district, metropolitan district, 123 district, as defined in section 7-324, or any other municipal corporation 124 or authority authorized to issue bonds, notes or other obligations under 125 the provisions of the general statutes or any special act. 126 Sec. 2. Section 10-283 of the 2022 supplement to the general statutes 127 is repealed and the following is substituted in lieu thereof (Effective July 128 1, 2022): 129 (a) (1) Each town or regional school district shall be eligible to apply 130 for and accept grants for a school building project as provided in this 131 chapter. Any town desiring a grant for a public school building project 132 may, by vote of its legislative body, authorize the board of education of 133 such town to apply to the Commissioner of Administrative Services and 134 to accept or reject such grant for the town. Any regional school board 135 may vote to authorize the supervising agent of the regional school 136 district to apply to the Commissioner of Administrative Services for and 137 to accept or reject such grant for the district. Applications for such grants 138 under this chapter shall be made by the superintendent of schools of 139 such town or regional school district on the form provided and in the 140 manner prescribed by the Commissioner of Administrative Services. 141 The application form shall require the superintendent of schools to 142 affirm that the school district considered the maximization of natural 143 light, the use and feasibility of wireless connectivity technology and, on 144 and after July 1, 2014, the school safety infrastructure criteria, developed 145 by the School Safety Infrastructure Council, pursuant to section 10-292r, 146 in projects for new construction and alteration or renovation of a school 147 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 6 of 13 building. The Commissioner of Administrative Services shall review 148 each grant application for a school building project for compliance with 149 educational requirements and on the basis of categories for building 150 projects established by the Commissioner of Administrative Services in 151 accordance with this section. The Commissioner of Education shall 152 evaluate, if appropriate, whether the project will assist the state in 153 meeting its obligations pursuant to the decision in Sheff v. O'Neill, 238 154 Conn. 1 (1996), or any related stipulation or order in effect, as 155 determined by the Commissioner of Education. The Commissioner of 156 Administrative Services shall consult with the Commissioner of 157 Education in reviewing grant applications submitted for purposes of 158 subsection (a) of section 10-65 or section 10-76e on the basis of the 159 educational needs of the applicant. The Commissioner of 160 Administrative Services shall review each grant application for a school 161 building project for compliance with standards for school building 162 projects pursuant to regulations, adopted in accordance with section 10-163 287c, and, on and after July 1, 2014, the school safety infrastructure 164 criteria, developed by the School Safety Infrastructure Council pursuant 165 to section 10-292r. Notwithstanding the provisions of this chapter, the 166 Board of Trustees of the Community-Technical Colleges on behalf of 167 Quinebaug Valley Community College and Three Rivers Community 168 College and the following entities that will operate an interdistrict 169 magnet school that will assist the state in meeting its obligations 170 pursuant to the decision in Sheff v. O'Neill, 238 Conn. 1 (1996), or any 171 related stipulation or order in effect, as determined by the 172 Commissioner of Education, may apply for and shall be eligible to 173 receive grants for school building projects pursuant to section 10-264h 174 for such a school: (A) The Board of Trustees of the Community-175 Technical Colleges on behalf of a regional community-technical college, 176 (B) the Board of Trustees of the Connecticut State University System on 177 behalf of a state university, (C) the Board of Trustees for The University 178 of Connecticut on behalf of the university, (D) the board of governors 179 for an independent institution of higher education, as defined in 180 subsection (a) of section 10a-173, or the equivalent of such a board, on 181 behalf of the independent institution of higher education, (E) 182 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 7 of 13 cooperative arrangements pursuant to section 10-158a, and (F) any other 183 third-party not-for-profit corporation approved by the Commissioner of 184 Education. 185 (2) The Commissioner of Administrative Services shall assign each 186 school building project to a category on the basis of whether such project 187 is primarily required to: (A) Create new facilities or alter existing 188 facilities to provide for mandatory instructional programs pursuant to 189 this chapter, for physical education facilities in compliance with Title IX 190 of the Elementary and Secondary Education Act of 1972 where such 191 programs or such compliance cannot be provided within existing 192 facilities or for the correction of code violations which cannot be 193 reasonably addressed within existing program space; (B) create new 194 facilities or alter existing facilities to enhance mandatory instructional 195 programs pursuant to this chapter or provide comparable facilities 196 among schools to all students at the same grade level or levels within 197 the school district unless such project is otherwise explicitly included in 198 another category pursuant to this section; and (C) create new facilities 199 or alter existing facilities to provide supportive services, provided in no 200 event shall such supportive services include swimming pools, 201 auditoriums, outdoor athletic facilities, tennis courts, elementary school 202 playgrounds, site improvement or garages or storage, parking or 203 general recreation areas. All applications submitted prior to July first 204 shall be reviewed promptly by the Commissioner of Administrative 205 Services. The Commissioner of Administrative Services shall estimate 206 the amount of the grant for which such project is eligible, in accordance 207 with the provisions of section 10-285a, provided an application for a 208 school building project determined by the Commissioner of Education 209 to be a project that will assist the state in meeting its obligations 210 pursuant to the decision in Sheff v. O'Neill, 238 Conn. 1 (1996), or any 211 related stipulation or order in effect, as determined by the 212 Commissioner of Education, shall have until September first to submit 213 an application for such a project and may have until December first of 214 the same year to secure and report all local and state approvals required 215 to complete the grant application. The Commissioner of Administrative 216 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 8 of 13 Services shall annually prepare a listing of all such eligible school 217 building projects listed by category together with the amount of the 218 estimated grants for such projects and shall submit the same to the 219 Governor, the Secretary of the Office of Policy and Management and the 220 General Assembly on or before the fifteenth day of December, except as 221 provided in section 10-283a, with a request for authorization to enter 222 into grant commitments. On or before December thirty-first annually, 223 the Secretary of the Office of Policy and Management may submit 224 comments and recommendations regarding each eligible project on 225 such listing of eligible school building projects to the school construction 226 committee, established pursuant to section 10-283a. Each such listing 227 shall include a report on the following factors for each eligible project: 228 (i) An enrollment projection and the capacity of the school, (ii) a 229 substantiation of the estimated total project costs, (iii) the readiness of 230 such eligible project to begin construction, (iv) efforts made by the local 231 or regional board of education to redistrict, reconfigure, merge or close 232 schools under the jurisdiction of such board prior to submitting an 233 application under this section, (v) enrollment and capacity information 234 for all of the schools under the jurisdiction of such board for the five 235 years prior to application for a school building project grant, (vi) 236 enrollment projections and capacity information for all of the schools 237 under the jurisdiction of such board for the eight years following the 238 date such application is submitted, and (vii) the state's education 239 priorities relating to reducing racial and economic isolation for the 240 school district. For the period beginning July 1, 2006, and ending June 241 30, 2012, no project, other than a project for a technical education and 242 career school, may appear on the separate schedule of authorized 243 projects which have changed in cost more than twice. On and after July 244 1, 2012, no project, other than a project for a technical education and 245 career school, may appear on the separate schedule of authorized 246 projects which have changed in cost more than once, except the 247 Commissioner of Administrative Services may allow a project to appear 248 on such separate schedule of authorized projects a second time if the 249 town or regional school district for such project can demonstrate that 250 exigent circumstances require such project to appear a second time on 251 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 9 of 13 such separate schedule of authorized projects. Notwithstanding any 252 provision of this chapter, no projects which have changed in scope or 253 cost to the degree determined by the Commissioner of Administrative 254 Services, in consultation with the Commissioner of Education, shall be 255 eligible for reimbursement under this chapter unless it appears on such 256 list. The percentage determined pursuant to section 10-285a at the time 257 a school building project on such schedule was originally authorized 258 shall be used for purposes of the grant for such project. On and after July 259 1, 2006, a project that was not previously authorized as an interdistrict 260 magnet school shall not receive a higher percentage for reimbursement 261 than that determined pursuant to section 10-285a at the time a school 262 building project on such schedule was originally authorized. The 263 General Assembly shall annually authorize the Commissioner of 264 Administrative Services to enter into grant commitments on behalf of 265 the state in accordance with the commissioner's categorized listing for 266 such projects as the General Assembly shall determine. The 267 Commissioner of Administrative Services may not enter into any such 268 grant commitments except pursuant to such legislative authorization. 269 Any regional school district which assumes the responsibility for 270 completion of a public school building project shall be eligible for a 271 grant pursuant to subdivision (5) or (6), as the case may be, of subsection 272 (a) of section 10-286 when such project is completed and accepted by 273 such regional school district. 274 (3) (A) All final calculations completed by the Department of 275 Administrative Services for school building projects shall include a 276 computation of the state grant for the school building project amortized 277 on a straight line basis over a twenty-year period for school building 278 projects with costs equal to or greater than two million dollars and over 279 a ten-year period for school building projects with costs less than two 280 million dollars. Any town or regional school district which abandons, 281 sells, leases, demolishes or otherwise redirects the use of such a school 282 building project to other than a public school use during such 283 amortization period shall refund to the state the unamortized balance of 284 the state grant remaining as of the date the abandonment, sale, lease, 285 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 10 of 13 demolition or redirection occurs. The amortization period for a project 286 shall begin on the date the project was accepted as complete by the local 287 or regional board of education. A town or regional school district 288 required to make a refund to the state pursuant to this subdivision may 289 request forgiveness of such refund if the building is redirected for public 290 use. The Department of Administrative Services shall include as an 291 addendum to the annual school construction priority list all those towns 292 requesting forgiveness. General Assembly approval of the priority list 293 containing such request shall constitute approval of such request. This 294 subdivision shall not apply to projects to correct safety, health and other 295 code violations or to remedy certified school indoor air quality 296 emergencies approved pursuant to subsection (b) of this section or 297 projects subject to the provisions of section 10-285c. 298 (B) If the board of governors for an independent institution of higher 299 education, as defined in subsection (a) of section 10a-173, or the 300 equivalent of such a board, on behalf of the independent institution of 301 higher education, that operates an interdistrict magnet school makes 302 private use of any portion of a school building in which such operator 303 received a school building project grant pursuant to this chapter, such 304 operator shall annually submit a report to the Commissioner of 305 Education that demonstrates that such operator provides an equal to or 306 greater than in-kind or supplemental benefit of such institution's 307 facilities to students enrolled in such interdistrict magnet school that 308 outweighs the private use of such school building. If the commissioner 309 finds that the private use of such school building exceeds the in-kind or 310 supplemental benefit to magnet school students, the commissioner may 311 require such institution to refund to the state the unamortized balance 312 of the state grant. 313 (C) Any moneys refunded to the state pursuant to subparagraphs (A) 314 and (B) of this subdivision shall be deposited in the state's tax-exempt 315 proceeds fund and used not later than sixty days after repayment to pay 316 debt service on, including redemption, defeasance or purchase of, 317 outstanding bonds of the state the interest on which is not included in 318 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 11 of 13 gross income pursuant to Section 103 of the Internal Revenue Code of 319 1986, or any subsequent corresponding internal revenue code of the 320 United States, as from time to time amended. 321 (b) (1) Notwithstanding the application date requirements of this 322 section, at any time within the limit of available grant authorization and 323 within the limit of appropriated funds, the Commissioner of 324 Administrative Services, in consultation with the Commissioner of 325 Education, may approve applications for grants and make payments for 326 such grants, for any of the following reasons: (A) To assist school 327 building projects to remedy damage from fire and catastrophe, (B) to 328 correct safety, health and other code violations, (C) to replace roofs, 329 including the replacement or installation of skylights as part of the roof 330 replacement project, (D) to remedy a certified school indoor air quality 331 emergency, (E) to install insulation for exterior walls and attics, (F) to 332 purchase and install a limited use and limited access elevator, windows, 333 photovoltaic panels, wind generation systems, building management 334 systems, a public school administrative or service facility or portable 335 classroom buildings, provided portable classroom building projects 336 shall not create a new facility or cause an existing facility to be modified 337 so that the portable buildings comprise a substantial percentage of the 338 total facility area, as determined by the commissioner, [or] (G) for school 339 security projects, including, but not limited to, making improvements to 340 existing school security infrastructure or installing new school security 341 infrastructure, or (H) to install, replace or repair a heating, ventilation 342 or air conditioning system. 343 (2) Not later than seven calendar days following the discovery of a 344 reason described in subparagraphs (A) to (F), inclusive, of subdivision 345 (1) of this subsection, the superintendent of schools of a town or regional 346 school district shall notify the Commissioner of Administrative Services 347 in writing of such reason in order to be eligible for a grant under this 348 subsection. Such superintendent shall submit an application to the 349 commissioner not later than six months following such notification in 350 order to receive a grant under this subsection. 351 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 12 of 13 (c) No school building project shall be added to the list prepared by 352 the Commissioner of Administrative Services pursuant to subsection (a) 353 of this section after such list is submitted to the committee of the General 354 Assembly appointed pursuant to section 10-283a unless (1) the project 355 is for a school placed on probation by the New England Association of 356 Schools and Colleges and the project is necessary to preserve 357 accreditation, (2) the project is necessary to replace a school building for 358 which a state agency issued a written notice of its intent to take the 359 school property for public purpose, (3) it is a school building project 360 determined by the Commissioner of Education to be a project that will 361 assist the state in meeting its obligations pursuant to the decision in 362 Sheff v. O'Neill, 238 Conn. 1 (1996), or any related stipulation or order 363 in effect, as determined by the Commissioner of Education. The 364 provisions of this subsection shall not apply to projects previously 365 authorized by the General Assembly that require special legislation to 366 correct procedural deficiencies. 367 (d) No school building project shall be added to the list prepared by 368 the Commissioner of Administrative Services pursuant to subsection (a) 369 of this section, unless the applicant, prior to submitting an application, 370 has (1) secured funding authorization for the local share of the project 371 costs and such authorization has become effective pursuant to the 372 general statutes and local ordinance or charter, or (2) scheduled and 373 prepared a referendum, if required, the results of which shall be 374 submitted on or before the fifteenth day of November in the year of 375 application. The reimbursement percentage for a project covered by this 376 subsection shall reflect the rates in effect during the fiscal year in which 377 such local funding authorization is secured. 378 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2022 22a-498 Sec. 2 July 1, 2022 10-283 Substitute Bill No. 5476 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05476- R01-HB.docx } 13 of 13 Statement of Legislative Commissioners: In Section 1(c)(1)(C), "the Department of" was deleted for consistency with standard drafting conventions. FIN Joint Favorable Subst. -LCO