OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sHB-5337
AN ACT CONCERNING AFFORDABLE HOUSING DEVELOPMENT
PRACTICES.
AMENDMENT
LCO No.: 4967
File Copy No.: 65
House Calendar No.: 77
Primary Analyst: LG 5/2/24
Contributing Analyst(s): MP (FN)
Reviewer: RW
OFA Fiscal Note
See Fiscal Note Details
The amendment creates an exception under which a municipality is
not subject to the affordable housing appeals procedure for certain
affordable housing applications. Under this exception, municipalities
have the option to purchase certain real property identified as an
affordable housing development from an applicant at 102% the value of
the property.
This results in a potential cost to municipalities beginning in FY 25 to
the extent property is purchased by a municipality pursuant to this
affordable housing appeals procedure exception. There is also a
potential savings associated with legal and administrative costs to the
extent that municipalities are not subject to the affordable housing
appeals procedure for this property.
To the extent municipalities: (1) elect to purchase a proposed
affordable housing development, as permitted by the amendment, and
(2) fail to issue certificates of occupancy for at least 75 percent of the
planned units within eight years of acquiring the property, the
amendment results in a potential revenue gain to the Housing Trust
Fund (HTF) and corresponding cost to the municipality beginning in FY 2024HB-05337-R00LCO04967-FNA.DOCX Page 2 of 2
33.
1
In that scenario, the municipality would have to pay, for deposit
into the HTF, an amount equal to five percent of the purchase price the
municipality paid to the applying developer.
The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely
for the purposes of information, summarization and explanation and does not represent the intent of the General
Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of
informational sources, including the analyst’s professional knowledge. Whenever applicable, agency data is
consulted as part of the analysis, however final products do not necessarily reflect an assessment from any
specific department.
1
The Department of Housing uses funding in the HTF to support affordable housing
development in the state.