Researcher: HP Page 1 4/21/22 OLR Bill Analysis HB 5476 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. SUMMARY The bill (1) expands the types of fee reductions that municipal stormwater authorities (see BACKGROUND) must provide to properties in their districts and (2) makes installing, replacing, or repairing heating, ventilation, or air conditioning (HVAC) systems eligible for emergency school building project grants (which do not require legislative approval). The bill requires authorities to provide partial fee reductions for any property in their districts whose owner: 1. maintains and operates an authority-approved stormwater management system that (a) complies with state and local standards in effect when the system was approved and (b) effectively reduces, retains, or treats stormwater onsite or 2. has installed, and operates and maintains, infrastructure that reduces, retains, or treats stormwater onsite and exceeds any requirements applicable to the property under state and local laws and regulations. Existing law already requires authorities to provide a credit for any property whose owner has installed and is maintaining current authority-approved stormwater best management practices that reduce, retain, or treat stormwater onsite. Under the bill, all of these fee reductions must be in the form of a credit proportional to the reduction in stormwater runoff. The bill also eliminates the requirement that stormwater authorities 2022HB-05476-R000572-BA.DOCX Researcher: HP Page 2 4/21/22 consider a property’s grand list valuation when setting fees. Existing law, unchanged by the bill, requires authorities to consider (1) the amount of impervious surface generating stormwater runoff and (2) land use types that result in higher concentrations of stormwater pollution. The bill also makes conforming and technical changes. EFFECTIVE DATE: July 1, 2022 BACKGROUND Stormwater Authorities PA 21-115, §§ 1-3, authorized all municipalities (rather than just those participating in a pilot program) to establish a municipal stormwater authority. The purpose of a local stormwater authority is to, among other things, develop a stormwater management program and recommend fees to levy on real property to fund the program. A municipality’s legislative body must approve a stormwater authority’s annual budget and the fees it plans to levy, and the total amount of fees the authority plans to collect cannot exceed its projected spending. Only New London, which participated in the pilot program, has established a stormwater authority to date. Related Bills sSB 423 (File 320), favorably reported by the Labor and Public Employees Committee, makes certain school HVAC projects eligible to receive state reimbursement grants. sSB 428 (File 449), favorably reported by the Education Committee, requires the Department of Administrative Services (DAS) to administer a grant reimbursement program for the cost of school indoor air quality improvements, including the installation, replacement, or upgrading of HVAC systems, beginning in FY 23. COMMITTEE ACTION Finance, Revenue and Bonding Committee Joint Favorable Yea 46 Nay 5 (04/05/2022)