OFFICE OF FISCAL ANALYSIS Legislative Office Building, Room 5200 Hartford, CT 06106 (860) 240-0200 http://www.cga.ct.gov/ofa HB-5523 AN ACT CONCERNING ALLOCATIONS OF FEDERAL AMERICAN RESCUE PLAN ACT FUNDS AND PROVISIONS RELATED TO GENERAL GOVERNMENT, HUMAN SERVICES, EDUCATION AND THE BIENNIUM ENDING JUNE 30, 2025. AMENDMENT LCO No.: 5877 House Calendar No.: 491 Primary Analyst: PR 5/7/24 Contributing Analyst(s): (FN) OFA Fiscal Note See Fiscal Note Details The amendment makes various changes that do not result in a fiscal impact. In addition, the amendment makes the following changes: The amendment modifies the ARPA allocations in Section 1 of the bill and results in a net increase of $775,000. Section 7 corrects an incorrect date reference for determining unspent ARPA allocations. The remaining provisions are unchanged by the amendment. The amendment changes the effective date of sections 23 and 24 to upon passage and does not result in a fiscal impact. Section 38 aligns HUSKY C income eligibility levels with the Temporary Family Assistance payment standard, which does not alter the fiscal impact described in the underlying fiscal note. The amendment’s revisions to sections 40 – 43 establish maximum funding levels of Passport to Parks account funding for the Thames River Heritage Park, eliminate the bill’s funding for this park in FY 25, and end funding for the park after FY 31. The prescribed funding in Section 40 of the amendment is: (1) up to $200,000 annually in FY 26 2024HB-05523-R00LCO05877-FNA.DOCX Page 2 of 3 through FY 28; (2) $100,000 annually in FY 29 and FY 30; and (3) up to $50,000 in FY 31. These changes lower the bill’s anticipated costs to the Passport to Parks account The amendment makes clarifying changes to a sales tax exemption for the operation of the XL Center. This does not alter the fiscal impact noted for Section 47 of the underlying bill. Section 90 replaces the term "executive director of the Office of Health Strategy” with the term "Commissioner of Health Strategy" and does not result in a fiscal impact. Section 91 replaces the term "executive director of the Office of Higher Education” and similar with the term "Commissioner of Higher Education" and does not result in a fiscal impact. Section 111 clarifies the Legislative Commissioners’ Office authority to make grammatical, punctuation, and correcting inaccurate internal references for this act. These provisions have no fiscal impact. Sections 129 – 132 make procedural and clarifying changes to the bill’s public hearing requirement alterations regarding certain permitting by the Department of Energy and Environmental Protection (DEEP). The amendment does not change the fiscal impact of the underlying sections. The amendment strikes sections 133 - 136 and their associated fiscal impact with allowing certain quasi-state employees to participate in the state employee health plan. The amendment strikes sections 138, 143, 144, and 184, which contained changes related to the title of the executive director of the Office of Higher Education, which has no fiscal impact to the state. The amendment modifies sections 243 – 249, which provides deficiency appropriations for FY 24 and result in no net change. The amendment modifies sections 112 – 120, and 124 by: (1) allow 2024HB-05523-R00LCO05877-FNA.DOCX Page 3 of 3 operators of magnet schools and vocational agriculture programs to charge tuition in FY 26 and annually thereafter at 58% of FY 24 levels, as allowed in FY 25; (2) eliminate a provision in the underlying bill that established a new bonus component for the Education Cost Sharing grant for towns who are financially responsible for the education of students that reside on Native American tribal lands, eliminating the cost; and (3) make technical and clarifying changes regarding education funding. Section 501 carries forward $800,000 in OPM for other expenses of which $500,000 is to implement executive branch agency process improvements and $300,000 for pension consultant services. Section 502 carries forward $1.5 million in OPM for other expenses associated with the costs of legalization of cannabis. These funds will be transferred to DSS for Community Action Agencies. Section 503 results in a cost to the State Department of Education in FY 25 to ensure free meals for students who qualify for reduced price lunch. This cost is expected to be less than $1 million in FY 25. It is anticipated that existing ARPA allocations for school meals can cover this cost. Section 504 eliminates a provision for municipalities to submit an economic development master plan. This may result in a potential savings to municipalities to the extent they were using funds to meet this requirement. 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.