OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sSB-1013
AN ACT CONCERNING COMMON INTEREST OWNERSHIP
COMMUNITIES.
Primary Analyst: MP 3/28/23
Contributing Analyst(s):
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 24 $ FY 25 $
Department of Housing GF - Cost At least
50,000
None
Note: GF=General Fund
Municipal Impact: None
Explanation
The bill requires the Department of Housing (DOH) to prepare a
report for the Insurance and Real Estate Committee by February 1, 2024,
assessing the funding of reserves involving any common interest
community (e.g., condominium association). Due to a lack of staff
capacity at DOH, the bill is anticipated to result in a one-time cost in FY
24 of at least $50,000 for DOH to hire a consultant to prepare the
required report.
The cost for consultant services will vary based on: (1) the methods
used to identify and contact associations, (2) the number of associations
and communities included, and (3) the depth of analysis into each
association’s reserve funding adequacy. To the extent the consultant
conducts a thorough analysis of many systematically selected
communities, the cost could exceed $500,000. There are over 5,000 2023SB-01013-R000342-FN.DOCX Page 2 of 2
common interest communities in Connecticut.
1
The bill also makes various changes to the Common Interest
Ownership Act, which are not anticipated to have a fiscal impact on the
state or municipalities.
The Out Years
There is no fiscal impact in the out years.
1
According to testimony from the Connecticut chapter of the Community Associations
Institute, February 16, 2023.