OFFICE OF FISCAL ANALYSIS Legislative Office Building, Room 5200 Hartford, CT 06106 (860) 240-0200 http://www.cga.ct.gov/ofa sHB-5494 AN ACT CONCERNING REFERENDA ON REVISIONS TO MUNICIPAL CHARTERS AND HOME RULE ORDINANCES. Primary Analyst: TM 4/15/24 Contributing Analyst(s): BP Reviewer: PR OFA Fiscal Note State Impact: Agency Affected Fund-Effect FY 25 $ FY 26 $ Secretary of the State GF - Cost 85,000 85,000 State Comptroller - Fringe Benefits 1 GF - Cost 35,000 35,000 Note: GF=General Fund Municipal Impact: Municipalities Effect FY 25 $ FY 26 $ Various Municipalities Potential Cost See Below See Below Explanation The bill establishes procedures for review and structure for ballot designations, proposed changes and amendments to town charters or home rule ordinances and creates additional oversight responsibility for the Secretary of the State (SOTS) resulting in a cost to the state of $120,000 in FY 25 and FY 26, and a potential cost to municipalities. The bill establishes a set of standard processes for petitioning and ballot designation requirements and puts SOTS in an oversight role in the petitioning process when a petition of 1% of a municipalities electorate, and is required to approve or reject ballot language under 1 The fringe benefit costs for most state employees are budgeted centrally in accounts administered by the Comptroller. The estimated active employee fringe benefit cost associated with most personnel changes is 41.25% of payroll in FY 25. 2024HB-05494-R000490-FN.DOCX Page 2 of 2 those circumstances. Due to the unique nature of each town charter and home rule ordinances, SOTS will require one additional Staff Attorney I 2 to review petitions and referenda at a cost of $85,000 in FY 25 and FY 26 an associated fringe cost to the State Comptroller of $35,000 in FY 25 and FY 26. There is a potential cost to municipalities depending on if the designations and description of the issues on the ballot are challenged. There would be a potential cost to reprint ballots should SOTS reject a challenged proposed municipal ballot. The Out Years The annualized ongoing fiscal impact identified above would continue into the future subject to inflation, wage increases, and the number of ballots rejected. 2 The annual salary cost of a Staff Attorney I is $84,000.