Researcher: RP Page 1 5/8/24
OLR Bill Analysis
HB 5524
Emergency Certification
AN ACT AUTHORIZING AND ADJUSTING BONDS OF THE STATE
AND CONCERNING PROVISIONS RELATED TO STATE AND
MUNICIPAL TAX ADMINISTRATION, GENERAL GOVERNMENT
AND SCHOOL BUILDING PROJECTS.
TABLE OF CONTENTS:
§§ 1-15 & 57 — NEW BOND AUTHORIZATIONS F OR STATE AGENCY
PROJECTS, GRANTS, AND OTHER PROGRAMS
Authorizes new state GO bonds for FY 25 for various capital improvements, grant
programs, and other initiatives
§§ 16-18, 26-27, 29, 31-51 & 66 — CHANGES TO CURRENT GO BOND
AUTHORIZATIONS
Adjusts the amounts and purposes of current bond authorizations for specified projects
and grants
§§ 19-24 — UCONN 2000 INFRASTRUCTURE PROGRAM
Extends the UConn 2000 program by four years and authorizes an additional $625
million in new bonding under the program; requires UConn or the UConn Foundation to
raise $100 million of “UConn 2000 philanthropic commitments and gifts” by June 30,
2031; sets cumulative target milestones for this fundraising that apply from FY 25
through FY 31 and ties the annual amount of UConn 2000 bonds that UConn’s Board of
Trustees may request in these years to the ratio of the actual commitments and gifts
received to the target milestones
§ 25 — COMMERCIAL RAIL FREIGHT LINE COMPETITIVE GRANT
PROGRAM
Allows the state to issue STO bonds for DOT’s commercial rail freight line competitive
grant program
§ 28 — NONPROFIT SECURITY INFRASTRUCTURE COMPETITIVE
GRANT PROGRAM
Allows eligible nonprofits applying for the nonprofit security infrastructure competitive
grant program to also apply for a federal grant as long as they do not receive both for the
same project
§ 30 — MANUFACTURING ASSISTANCE ACT
Earmarks up to $20 million in previously authorized MAA bonds for funding opportunity
zone investments through an impact investment firm 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 2 5/8/24
§§ 52-55 — NEW STO BOND AUTHORIZATION AN D CHANGES TO
CURRENT AUTHORIZATIO NS
Authorizes new STO bonds for specified transportation projects
§ 56 — CAPITAL IMPROVEMENT GRANTS TO NONPROFIT
FACILITIES SERVING HOMELESS INDIVIDUALS
Requires DOH to administer a capital grant program for nonprofits that own and operate
facilities used to house or serve homeless individuals
§§ 58 & 59 — LOW INTEREST LOAN PROGRAM FO R CLIMATE
RESILIENCY PROJECTS
Requires the DEEP commissioner to set up a low interest loan program for municipalities
and private entities for climate resiliency projects funded through a new Climate
Resiliency Revolving Loan Fund and authorizes up to $10 million in state GO bonds to
capitalize the fund; requires DEEP to report annually to the Environment Committee on
the program
§§ 60 & 61 — DRONE GRANT PROGRAM
Requires DESPP to (1) administer a municipal grant program for municipalities to
purchase drones, accessories, or both, within available resources, and authorizes up to $3
million in state GO bonds for the program; (2) develop and post certain information (e.g.,
technical standards and application criteria); and (3) to report to the Public Safety and
Security Committee certain program statistics from the previous year
§ 62 — DOH REPORT ON BOND-FUNDED HOUSING PROGRAMS
Requires DOH to report biannually to the Finance, Revenue and Bonding Committee on
specified bond-funded programs
§ 63 — DOT GRANT TO UCONN’S DEPARTMENT O F NATURAL
RESOURCES AND THE ENVIRONMENT
Requires DOT to award a grant to UConn’s Department of Natural Resources and the
Environment
§ 64 — HOUSING ENVIRONMENTAL IMPROVEMENT LOAN AND
GRANT FUND AND RETRO FIT PILOT PROGRAM
Expands DEEP’s multi-family housing retrofit pilot program by allowing (1) it to offer
grants in addition to loans and (2) the department to contract with quasi-public agencies
to administer the fund that finances the program
§ 65 — EXISTING BOND AUTHORIZATION FOR DEEP
MULTIFAMILY HOUSING RETROFITTING PILOT PROGRAM
Eliminates provisions in HB 5474 of the current session that modify the $125 million
bond authorization for the DEEP multifamily housing retrofit pilot program described
above
§ 67 — INSURANCE PREMIUMS TAX REAUDITS AND
REASSESSMENTS
Authorizes the DRS commissioner to reaudit insurance premiums tax returns and impose
more than one deficiency assessment, subject to the same requirements that apply to
audits and assessments under existing law 2024HB-05524-R00-BA.DOCX
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§ 68 — INITIAL FIVE-YEAR INSURANCE PREMIUMS T AX RETURNS
FOR NONRESIDENT AND FOREIGN COMPANIES
Extends, from 45 days after being initially licensed to do business in Connecticut to 90
days after this date, the due date for newly licensed nonresident- and foreign-licensed
insurance companies to remit their initial five-year return to DRS
§ 69 — INCOME TAX WITHHOLDING FOR RETIREMENT INCOME
DISTRIBUTIONS
Allows, rather than requires, income tax withholding for certain retirement income
distributions and changes the methods for determining the amount of tax withheld from
these distributions
§ 70 — LOCAL OPTION PROPERTY TAX EXEMPTIONS FOR FARM
MACHINERY AND BUILDI NGS
Increases the cap on the local option property tax exemption for (1) farm machinery, from
$100,000 to $250,000 in assessed value and (2) certain farm buildings from $100,000 to
$500,000 in assessed value
§ 71 — LOCAL OPTION HOMESTEAD EXEMPTION
Allows municipalities to provide a partial property tax exemption for certain owner-
occupied primary residences
§§ 72-79 — PROPERTY TAX EXEMPTION FILING DEADLINES
Allows taxpayers in seven municipalities to claim certain property tax exemptions even
though they missed the filing deadline to claim the exemption or provide required
documentation, as applicable
§§ 80 & 81 — REVALUATION DELAY FOR STRATFORD AND DERBY
Allows Stratford and Derby, with each legislative body’s approval, to delay a revaluation
scheduled for 2024 to the 2025 assessment year
§§ 82-90 — MUNICIPAL EMPLOYEE RETIREMENT COMMISSION
AND MUNICIPAL DEFINED CONTRIBUTION PLAN
Creates the Municipal Employees Retirement Commission and, starting January 1, 2025,
transfers responsibility for the municipal employees retirement system (MERS) and the
Policemen and Firemen Survivors’ Benefit Fund from the State Employees Retirement
Commission (SERC) to the new commission; requires the state comptroller to create a
municipal defined contribution retirement plan and set how municipalities may adopt the
plan
§§ 91-109 — MINOR AND TECHNICAL CHANGES TO TAX RELATED
STATUTES
Makes minor, technical, and conforming changes to various tax statutes
§§ 110 & 111 — YOUTH SPORTS GRANT PROGRA M
Creates a youth sports grant program to give grants to distressed municipalities to
support the operating costs of nonprofit youth sports organizations; funds the program
with 2% of the state’s revenue from sports wagering
§ 112 — NET OPERATING LOSS
Extends, from 20 to 30 income years, the period when corporations may carry forward an
NOL deduction for corporation business tax purposes for NOLs incurred in income years
starting on or after January 1, 2025 2024HB-05524-R00-BA.DOCX
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§ 113 — SOLAR CANOPY PLANS IN MUNICIPALITIES
Modifies HB 5232 to allow, rather than require, municipal planning and zoning
commissions to (1) establish a simplified process for applications to build solar canopies
and (2) act on land use applications for solar canopies within six months
§ 114 — ASSESSMENT APPEALS BROUGHT TO SUPERIOR COURT
Establishes conditions under which certain people who filed a property tax assessment
appeal with the Superior Court from July 1, 2022, but before July 1, 2024, and had their
appeal dismissed may bring another appeal application to the court
§ 115 — MIRA TIPPING FEE STABILIZATION
Allows, through FY 26, up to $6 million of MIRA funds spent for tipping fee stabilization
to be reimbursed by state bond funds; caps the total issuance of state bonding for MIRA
funds at $13.5 million
§§ 116 & 117 — STATE BUILDING CODE AND FIRE SAFETY CODE
AMENDMENTS
Requires the next adopted version of the State Building Code and the Fire Safety Code to
include amendments that (1) allow additional residential homes to be served by a single
exit stairway and (2) encourage construction of safe three- or four-unit residential
buildings under similar requirements for certain one- and two-unit residential buildings;
requires those adopting State Building Code amendments to consider the housing shortage
§§ 118-123 — CONCENTRATED POVERTY
Creates a pilot program to reduce the levels of concentrated poverty in the state by
developing and implementing a 10-year plan for a participating “concentrated poverty
census tracts;” creates a new office in DECD to oversee the plan’s implementation and
monitor the state’s progress in reducing concentrated poverty; creates a seven-member
working group to develop a guidance document that sets a framework that must be
incorporated into the plan; gives the projects included in the plan priority for specified
state grants and funding programs; renames “high poverty low opportunity” census
tracts as concentrated poverty census tracts; decreases, from 25 to 15, the number of new
FTEs that a business must create and maintain to be eligible for the JobsCT rebate
program if at least three of these FTEs live in a concentrated poverty census tract; allows
the business to earn an additional rebate amount for each FTE who lives in one of these
tracts
§ 124 — USE OF FY 24 SPECIAL TRANSPORTATION FUND (STF)
BALANCE FOR STF DEBT
Deems appropriated a portion of the STF’s remaining balance at the end of FY 24 to pay
off STF-supported debt
§ 125 — COLLEGE DEGREE REQUIREMENT FOR STATE
EMPLOYEES
Generally prohibits the DAS commissioner from requiring a college degree for a position
in the state employee classified service unless it is a bona fide occupational qualification or
need
§ 126 — WORKING GROUP TO EXAMINE TAX EXPENDITURES
Creates a nine-member working group to examine the state’s statutory tax expenditures to
simplify the state tax code and identify those that are redundant, obsolete, duplicative, or
inconsistent; requires the group to report by January 1, 2025 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 5 5/8/24
§ 127 — JOINT APPOINTMENTS OF MUNICIPAL OFFICIALS
Authorizes COGs or groups of two or more municipalities to make appointments on behalf
of municipalities for municipal functions that are subject to a shared services or regional
services agreement
§ 128 — HISTORIC HOMES REHABILITATION TAX CREDIT
Restores taxpayers’ ability to claim the historic homes rehabilitation tax credit against
certain business taxes in the 2024 tax year and all following years; allows all taxpayers to
apply credits issued after January 1, 2024, against the unrelated business income tax
§ 129 — REDDING SPECIAL TAXING DISTRICT
Specifies the town of Redding is exempt from taxes and assessments imposed by a special
taxing district located in the town
§ 130 — DECD ARPA REPORTING
Requires DECD to report biweekly to the Appropriations Committee on its use of ARPA
funding
§ 131 — BAN ON DELEGATING AUTHORITY TO SCHEDULE
THANKSGIVING DAY HIG H SCHOOL FOOTBALL GA MES
Bans school boards from delegating authority to schedule high school football games on
Thanksgiving Day to another entity; prohibits school boards from adopting a policy that
prohibits Thanksgiving Day football games
§§ 132-136 — AUTOMATED ENFORCEMENT OF NO ISE VIOLATIONS
Allows municipalities to use noise cameras to issue citations to vehicles committing
municipal vehicle noise violations (i.e., making a noise of 80 decibels or louder, except for
sounds made by a horn); requires municipalities seeking to operate cameras to adopt an
ordinance and set penalties; specifies citation issuance and processing procedures
§ 137 — ADDITIONAL DEDUCTION FOR CERTAIN COMBINED
GROUPS AFFECTED BY COMBINED REPORTING
Allows certain combined groups meeting specified qualifications to deduct, over a 30 year
period, the amount necessary to offset the increase in the valuation allowance against net
operating losses (NOLs) and tax credits in Connecticut that resulted from the state’s shift
to combined reporting
§ 138 — FINAL CANNABIS CULTIVATOR LICENSE EXTENSION
Allows DCP, until December 31, 2025, to grant a final cultivator license to certain social
equity provisional cultivator license holders who have not met the minimum grow space
requirement, under certain circumstances (e.g., pays the $3 million fee); after that date,
requires the licensee to pay a $500 dollar extension fee for each day the licensee fails to
satisfy the minimum grow space requirement
§§ 139 & 140 — SOCIAL EQUITY COUNCIL
Expands the Social Equity Council membership; requires the council to (1) define its role
and what it delegates to the executive director, (2) update the social equity plan criteria,
and (3) to submit an estimate of certain social equity distributions; requires additional
reports from the council and executive director
§§ 141 & 142 — EDUCATIONAL MATERIALS ON INTIMATE
PARTNER VIOLENCE TOW ARDS PREGNANT AND PO STPARTUM
PEOPLE 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 6 5/8/24
Amends provisions in HB 5523, as amended by House Amendment “A” that require
DPH to develop educational materials on certain topics, such as intimate partner violence
toward pregnant and postpartum people; modifies terminology by replacing “pregnant
and postpartum persons” with “expectant and postpartum mothers and persons”
§ 143 — ARTIFICIAL INTELLIGENCE TOOL PILOT PROGRAM
Requires SDE to create an AI pilot program to award grants to five school boards to help
educators and students to use AI in the classroom; the boards selected must include at
least one rural, one suburban, and one urban district and reflect the racial and ethnic
diversity of the state
§ 144 — ARTIFICIAL INTELLIGENCE PROFESSIONAL
DEVELOPMENT FOR TEAC HERS
Requires SDE to provide professional development for educators participating in the AI
tool pilot program
§ 145 — MODEL DIGITAL CITIZENSHIP CURRICULUM
Requires SDE to develop a model digital citizenship curriculum for grades kindergarten to
12
§ 146 — HOSPITAL FINANCIAL REPORTING TO OHS
Requires hospitals to report certain financial information to OHS semi-annually, starting
by October 1, 2024; authorizes OHS to take certain actions when hospitals meet certain
financial thresholds
§ 147 — TRANSFER OF FY 24 GENERAL FUND REVENUE TO FY 25
Increases, by $110 million, the required transfer of FY 24 General Fund revenue to FY 25
§§ 148-150 — CARRYFORWARD OF CERTAIN CANNABIS-RELATED
APPROPRIATIONS
Carries forward certain funds appropriated to OPM for costs associated with cannabis
legalization and requires them to be used in FY 25 for certain studies and community
action agencies
§ 151 — PRIORITY LIST GRANT COMMITMENTS
Authorizes 11 school construction state grant commitments totaling $486.4 million
toward total estimated project costs of $583.3 million; reauthorizes three projects with an
additional state grant commitment of $73.9 million
§§ 152-154 — PRIORITY LIST REQUIREMENTS
Requires that the priority list include additional information about enrollment projections;
allows school boards to redirect a school building project to a public use during the grant
amortization period; eliminates requirement that DAS assign categories to school building
projects; modifies local authorization requirements and reasons for which DAS may
disapprove an application
§§ 155 & 156 — REIMBURSEMENT RATE INCREA SES FOR CERTAIN
EARLY CHILDHOOD PROJ ECTS
Increases the reimbursement rate bonus to 15 percentage points for certain elementary
and early childhood projects; establishes a new 15 percentage point bonus for buildings
used exclusively for early childhood care and education
§ 157 — INCLUSIVE MUNICIPALITY DESIGNATION 2024HB-05524-R00-BA.DOCX
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Requires school boards seeking a five-percentage point reimbursement rate increase for
being in an “inclusive municipality” to give DAS the housing commissioner’s written
determination that the municipality qualifies for the designation
§ 158 — GRANTS TO ENDOWED ACADEMIES
Eliminates a requirement that an endowed academy’s governing board meet specified
composition requirements to be eligible for a grant
§§ 159, 161 & 164 — PROGRAM ADMINISTRATI ON
Replaces certain references to SDE or SBE in the school building project statutes with
references to DAS
§ 160 — ENERGY FUNDS AND SCHOOL CONSTRUC TION GRANTS
Excludes certain energy-related funds from the state funds that must be subtracted from
the total project cost when calculating a school construction grant
§§ 162 & 163 — PROJECT AUDITS
Modifies certain audit-related and post-project completion deadlines; makes technical
changes
§ 163 — CONTRACTING REQUIREMENTS
Makes certain cooperative purchasing contracts a qualified bidder for most project awards;
eliminates prohibition on construction managers bidding on project elements; requires
that consultant awards be made from a pool of at least three of the most responsible
qualified proposers; requires construction managers to report on ineligible costs and meet
quarterly with school boards
§§ 165, 166, 171 & 172 — TECHNICAL AND CONFORMING CHANGES
Removes references to repealed statutes
§ 167 — SINGLE-USER TOILET AND BATHING ROOMS
Prohibits DAS from including new construction projects on the priority list if the project
plans do not provide for single-user toilet and bathing rooms
§ 168 — SCHOOL BUILDING COMMITTEE MEMB ERSHIP
Requires that school building committees include the school board chair or a designee
§§ 169 & 170 — INDOOR AIR QUALITY GRANTS
Makes endowed academies and state charter schools eligible for grants; delays, from July 1,
2024, to July 1, 2026, the start of the prohibition on DAS awarding a grant to an
applicant that is not compliant with the inspection requirement; requires DAS to
reconsider previously rejected grant applications in FYs 25 and 26; earmarks up to $15
million of an existing bond authorization for grants to purchase equipment and materials
for constructing and installing individual classroom air purifiers
§§ 173-175 — RENEWABLE TARIFF FOR SOLAR IN SCHOOLS
Requires PURA to initiate a docket by January 1, 2025, to establish a program to
encourage solar facility and energy storage installation at public schools
§ 176 — SOLAR FEASIBILITY STUDY
Generally requires school boards, before submitting a priority list application, to have a
solar feasibility assessment performed for the school building that is the subject of the
application 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 8 5/8/24
§§ 177-209 — SCHOOL CONSTRUCTION PROJECT EXEMPTIONS,
WAIVERS, AND MODIFICATIONS
Exempts school construction projects in 25 towns and one regional school district from
statutory and regulatory requirements to allow these projects to, among other things,
qualify for state reimbursement grants, receive higher grant reimbursement percentages,
or have their projects reauthorized due to a change in scope or cost; also repeals a prior
project authorization
§ 210 — REPEALED PROVISIONS
Repeals several obsolete school building project statutes
§ 211 — TECHNICAL CORRECTIONS DURING COD IFICATION
Requires the Legislative Commissioners’ Office to make necessary technical, grammatical,
and punctuation changes when codifying the bill
§§ 1-15 & 57 — NEW BOND AUTHORIZATIONS F OR STATE
AGENCY PROJECTS, GRA NTS, AND OTHER PROGR AMS
Authorizes new state GO bonds for FY 25 for various capital improvements, grant
programs, and other initiatives
The bill authorizes new general obligation (GO) bonds for FY 25 for
the state projects, grant programs, and other programs listed in the table
below. The bonds are subject to standard issuance procedures and have
a maximum term of 20 years.
The bill includes a standard provision requiring that, as a condition
of bond authorizations for grants to private entities, each granting
agency include repayment provisions in its grant contract in case the
facility for which the grant is made ceases to be used for the grant
purposes within 10 years of the grantee receiving it. The required
repayment is reduced by 10% for each full year that the facility is used
for the grant purpose.
Table: New GO Bond Authorizations for FY 25
§ Agency Project Amount
State Capital Projects
2(a) Office of Legislative
Management
State Capitol and Legislative Office Building
alterations, renovations, and restoration,
including interior and exterior restoration
and American with Disabilities Act
compliance
$45,000,000
2(b) Department of
Administrative
Reimburse environmental remediation at
the former Long Lane School in Middletown
14,100,000 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 9 5/8/24
§ Agency Project Amount
Services Renovate and improve an opportunity
center
1,000,000
2(c) Department of Labor Alter, renovate, and improve buildings and
grounds, including utilities, mechanical
systems, and energy conservation projects
5,000,000
2(d) Department of Energy
and Environmental
Protection (DEEP)
Support solid waste reduction strategies
10,000,000
2(e) Department of
Correction
Alter, renovate, and improve the Manson
Youth Institution in Cheshire
5,000,000
2(f) Judicial Department Acquire and develop a secure residential
treatment center
20,000,000
Grants
9(a) Office of Policy and
Management (OPM)
Transit-oriented development and
predevelopment activities
2,000,000
9(b) Department of
Economic and
Community
Development (DECD)
Grants to nonprofits sponsoring cultural and
historic sites
12,000,000
9(c) Department of
Housing (DOH)
Grants to nonprofits for capital
improvements to facilities used to house or
serve the homeless (see § 56 below)
15,000,000
9(d) Department of Aging
and Disability Services
Grants for aging in place 1,000,000
Other Programs
57 DEEP Heat pump rebate program under sHB
5004, § 16, of the current session, as
amended
25,000,000
EFFECTIVE DATE: July 1, 2024
§§ 16-18, 26-27, 29, 31-51 & 66 — CHANGES TO CURRENT GO
BOND AUTHORIZATIONS
Adjusts the amounts and purposes of current bond authorizations for specified projects
and grants
Increased Authorizations
The bill increases the amounts authorized for the bond authorizations
shown in the table below.
2024HB-05524-R00-BA.DOCX
Researcher: RP Page 10 5/8/24
Table: Increases to Current Authorizations
§ Agency Purpose Current
Authorization
Proposed
Authorization
Increase
16 OPM Urban Action
bonds (economic
and community
development
project grants);
earmarks up to
$250,000 for a
grant to Cromwell
for lights at a field
used by Little
League teams
$100,000,000
(for FY 25)
$200,000,000
(for FY 25)
$100,000,000
32 Connecticut
State
Colleges
and
Universities
(CSCU)
Middlesex
Community
College:
renovations and
additions to
Wheaton and
Snow classroom
buildings
4,800,000 4,921,648 121,648
34 CSCU Gateway
Community
College: acquire,
design, and
construct facilities
for workforce
development
programs,
including for
transportation,
alternative energy,
advanced
manufacturing, and
health sectors
28,800,000 29,808,000 1,008,000
36 CSCU Asnuntuck
Community
College:
alterations,
renovations, and
improvements to
expand library and
student services
3,800,000 5,011,570 1,211,570
38 CSCU Norwalk
Community
College:
alterations,
renovations, and
18,600,000 22,100,000 3,500,000 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 11 5/8/24
§ Agency Purpose Current
Authorization
Proposed
Authorization
Increase
improvements to
the B wing building
43 CSCU Naugatuck Valley
Community
College: design for
Kinney Hall
renovation
6,000,000 7,494,240 1,494,240
47 CSCU Advanced
manufacturing and
emerging
technology
programs (see
Changes to
Current
Authorizations’
Purposes below)
3,000,000 7,000,000 4,000,000
51 DEEP Microgrid and
resilience grant
and loan pilot
program
25,000,000 40,000,000 15,000,000
Cancellations and Reductions
The bill cancels or reduces all or part of current bond authorizations
for the projects shown in the table below.
Table: Cancellations and Reductions in Current Authorizations
§ Agency Purpose Current
Authorization
Amount
Cancelled
17 DOH Homelessness prevention
and response fund
$30,000,000 $10,420,007*
26 Department of
Transportation
(DOT)
Commercial rail freight (see
also §§ 25 & 55)
27,500,000 10,000,000
29 CTNext To recapitalize CTNext’s
innovation place program
(see Changes to Current
Authorizations’ Purposes
below)
64,200,000 44,000,000
41 OPM Responsible Growth
Incentive Fund
2,000,000 2,000,000
48 CSCU All universities: deferred
maintenance, code
65,200,000 5,000,000 2024HB-05524-R00-BA.DOCX
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§ Agency Purpose Current
Authorization
Amount
Cancelled
compliance, and
infrastructure improvements
49 CSCU All community colleges:
deferred maintenance, code
compliance, and
infrastructure improvements
27,600,000 5,000,000
66 DESPP Local voluntary public safety
registration system for
residents with intellectual or
developmental disabilities
800,000 800,000
*The bill also makes a technical correction to this authorization by reducing it by an additional $1,250,000
to reflect reductions made in 2016 and 2017.
Changes to Current Authorizations’ Purposes
The bill changes the purposes of current bond authorizations, as
shown in the table below.
Table: Changes to Current Authorizations’ Purposes
§ Amount
Authorized
Current Purpose Change
18 $125,000,000 DEEP: qualifying retrofitting projects in
multifamily homes located in
environmental justice communities or
alliance districts
Allows the funds to
be used for
financing projects
and awarding
grants and requires
DEEP to use up to
$20 million of the
bond proceeds for
project grants
27 15,000,000 Department of Developmental
Services: grants for supportive
housing for people with intellectual or
other developmental disabilities,
including autism spectrum disorder
Transfers the
authorization to
DOH
29 64,200,000 To recapitalize CTNext’s innovation
places program; earmarks (1) $10
million for deposit into the CTNext
Fund in FY 24 to cover general
operating expenses and (2) $200,000
for an economic feasibility study of
certain lands in Trumbull in FY 22
Instead requires
that the bonds be
used by (1) CTNext
for the economic
feasibility study and
(2) CTNext or
DECD (as its
successor agency)
for the CTNext 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 13 5/8/24
§ Amount
Authorized
Current Purpose Change
Fund and its
statutory purposes
39 2,000,000 Military Department: acquire property
to develop readiness centers in
Litchfield County
Eliminates the
requirement that
this property be
located in Litchfield
County
45 15,000,000 OPM: grants to develop an advanced
manufacturing facility in Hartford
Expands the
facility’s possible
location to the
Hartford region
44, 47 7,000,000 CSCU: advanced manufacturing and
emerging technology programs
Requires that these
include programs at
Tunxis Community
College
EFFECTIVE DATE: July 1, 2024, except the changes concerning
current authorizations’ purposes (other than those for CTNext and
CSCU) are effective upon passage.
§§ 19-24 — UCONN 2000 INFRASTRUCTURE PRO GRAM
Extends the UConn 2000 program by four years and authorizes an additional $625
million in new bonding under the program; requires UConn or the UConn Foundation to
raise $100 million of “UConn 2000 philanthropic commitments and gifts” by June 30,
2031; sets cumulative target milestones for this fundraising that apply from FY 25
through FY 31 and ties the annual amount of UConn 2000 bonds that UConn’s Board of
Trustees may request in these years to the ratio of the actual commitments and gifts
received to the target milestones
The bill extends the UConn 2000 program by four years, from FY 27
to FY 31, and authorizes an additional $625 million in new bonding
under the program. It also extends, from 2027 to 2031 or until
completion of the UConn 2000 infrastructure program, UConn’s
authority to plan, design, acquire, remodel, alter, repair, enlarge, or
demolish any real asset or other project on its campuses.
Project Authorizations
As the table below shows, the bill (1) increases bond authorizations
for three existing UConn 2000 projects, (2) adds one new project, and (3)
expands two of the existing projects. These changes and additions total
$613 million in new bond authorizations under the program. 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 14 5/8/24
Table: Proposed Changes to UConn 2000 Project Authorizations (in Millions)
Project
Current
Authorization
Proposed
Authorization
Change
Deferred maintenance, code compliance,
Americans with Disabilities Act (ADA)
compliance, infrastructure improvements,
and renovation lump sum; and utility,
administrative, and support facilities
805 863.5 58.5
Gant Building Renovations; adds a new life
sciences building
34 403.5 369.5
Harry A. Gampel Pavilion and Hugh S.
Greer Field House (new)
- 160 160
Torrey Life Science Renovation; adds
demolition
- 25 25
Aggregate and Annual Bond Limits for UConn 2000
The bill increases the program’s aggregate bond cap by $625 million
to (1) account for the additional $613 million in newly authorized
projects and (2) add back a $12 million reduction made under PA 23-1,
§ 6. It also adjusts the annual bond limits for the program for FY 25
through FY 27 and adds new limits for FYs 28-31, as shown in the table
below.
Table: Annual Bond Limits for UConn 2000 (in Millions)
FY Current Limit Proposed Limit Change
25 $44 $122 $78
26 14 124 110
27 9 116 107
28 - 103.5 103.5
29 - 101.5 101.5
30 - 100.0 100.0
31 - 25 25
Philanthropic Commitments and Gifts
The bill requires UConn or the UConn Foundation to raise $100
million of “UConn 2000 philanthropic commitments and gifts” by June
30, 2031, including at least (1) $10 million of endowed gifts and (2) $60
million designated for construction or renovation expenses. Under the
bill, “UConn 2000 commitments and gifts” are those received by the 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 15 5/8/24
university or foundation that are designated to support the specified
projects or operating expenses associated with the departments or
programs housed in them. They cannot include commitments and gifts
of more than $20 million made before July 1, 2024. Specifically, these
enumerated projects are the following:
1. new life sciences building to replace the George Stafford Torrey
Life Sciences Building,
2. north wing of the Edward V. Gant Science Complex,
3. Harry A. Gampel Pavilion,
4. Hugh S. Greer Field House,
5. volleyball center,
6. boathouse, or
7. tennis courts.
Target Milestones. The bill sets cumulative target milestones for
these UConn 2000 philanthropic commitments and gifts that apply from
FY 25 through FY 31, as shown in the table below.
Table: Target Milestones for UConn 2000 Philanthropic Commitments and Gifts
Cumulative Target
(millions)
Specified Period FY
$20 FY 23 to FY 24 25
31.5 FY 23 to FY 25 26
43 FY 23 to FY 26 27
54.5 FY 23 to FY 27 28
66 FY 23 to FY 28 29
77.5 FY 23 to FY 29 30
89 FY 23 to FY 30 31
100 FY 23 to FY 31 32
Annual Bond Limits. For FY 25 through FY 31, if the cumulative
amount of funds raised during a specified period is less than the target
for that period, the total amount of UConn 2000 bonds that UConn’s 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 16 5/8/24
Board of Trustees may request to issue for these years must be reduced
according to the bill’s calculation. Specifically, the limit for these years
cannot exceed the amount calculated by (1) adding the annual bond
limit that applies for each year from FY 25 to the then current fiscal year,
and (2) multiplying this amount by the ratio of the actual funds received
to the target milestone for the current fiscal year.
Reporting Requirement. Additionally, the bill requires UConn, by
September 1, 2024, and annually after, to report to the Higher Education
and Employment Advancement and Finance, Revenue and Bonding
committees on the total amount of UConn 2000 philanthropic
commitments and gifts it received during the prior fiscal year.
UConn 2000 Reports
The bill authorizes the Finance, Revenue and Bonding Committee to
require UConn to appear before the committee to present and comment
on any of its UConn 2000 reports to the General Assembly.
EFFECTIVE DATE: July 1, 2024
§ 25 — COMMERCIAL RA IL FREIGHT LINE COMPETITIVE GRANT
PROGRAM
Allows the state to issue STO bonds for DOT’s commercial rail freight line competitive
grant program
The bill allows the state to issue special tax obligation (STO) bonds
for DOT’s commercial rail freight line competitive grant program,
which is currently funded by GO bonds. This program awards
competitive grants for improvements and repairs to, and modernization
of, existing rail, rail beds, and related facilities.
EFFECTIVE DATE: July 1, 2024
§ 28 — NONPROFIT SECURITY INFRASTRUCTURE COMPETITIVE
GRANT PROGRAM
Allows eligible nonprofits applying for the nonprofit security infrastructure competitive
grant program to also apply for a federal grant as long as they do not receive both for the
same project
By law, the Department of Emergency Services and Public Protection
administers a competitive grant program to reimburse eligible 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 17 5/8/24
nonprofits for security infrastructure improvements. The bill specifies
that this law does not prohibit eligible nonprofits from applying for a
federal grant in addition to the state grant, as long as the organization
does not receive both for the same project.
EFFECTIVE DATE: July 1, 2024
§ 30 — MANUFACTURING ASSISTANCE ACT
Earmarks up to $20 million in previously authorized MAA bonds for funding opportunity
zone investments through an impact investment firm
The bill allows previously authorized Manufacturing Assistance Act
(MAA) bonds to be used to fund up to $20 million in investments in
federally designated opportunity zones through an impact investment
firm, including funding from the MAA’s Economic Assistance
Revolving Fund with the governor’s approval. By law, the DECD
commissioner can provide financial assistance under the MAA program
(e.g., grants, credit extensions, loans, and loan guarantees) from this
fund.
EFFECTIVE DATE: Upon passage
§§ 52-55 — NEW STO BOND AUTHORIZATION AND CHANGES TO
CURRENT AUTHORIZATIO NS
Authorizes new STO bonds for specified transportation projects
The bill authorizes $10 million in new STO bonds for FY 25 for the
DOT commercial rail freight line competitive grant program (§ 55). It
also increases two current STO bond authorizations, and modifies one
of their purposes, as shown in the table below.
Table: Increases and Changes to Current STO Bond Authorizations
§ Purpose Current
Authorization
Proposed
Authorization
Increase
53 Environmental compliance, soil and
groundwater remediation,
hazardous material abatement,
demolition, salt shed construction
and renovation, storage tank
replacement, and environmental
emergency response at or near
state-owned properties or related to
DOT operations; The bill requires
$17,065,000 $18,665,000 $1,600,000 2024HB-05524-R00-BA.DOCX
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§ Purpose Current
Authorization
Proposed
Authorization
Increase
that this authorization include
providing a grant to UConn’s
Department of Natural Resources
and the Environment for the study
required under the bill (see § 63
below)
54 Fix-it-First bridge repair program 62,250,000 162,250,000 100,000,000
EFFECTIVE DATE: July 1, 2024
§ 56 — CAPITAL IMPROVEMENT GRANTS TO NON PROFIT
FACILITIES SERVING HOMELESS INDIVIDUALS
Requires DOH to administer a capital grant program for nonprofits that own and operate
facilities used to house or serve homeless individuals
The bill requires DOH to administer a capital grant program for
nonprofits that own and operate facilities used to house or serve
homeless individuals (e.g., shelters, day shelters, homeless hubs, and
other facilities). Under the bill, these improvements may include
renovation, rehabilitation, architectural, engineering, and related costs.
They exclude land and building acquisitions, demolitions, and
purchases and capital improvements to permanent supportive housing.
DOH must administer this program for each fiscal year in which
funding is available (§ 9(c) authorizes $15 million in GO bonds for the
program).
By October 1, 2024, DOH must set the program’s eligibility criteria,
application forms, and deadlines, and conspicuously post these on its
website, along with a description of the program. By January 1, 2026,
and annually after, it must report to the Housing and Finance, Revenue
and Bonding committees on the program. Its report must include, for
the preceding year, (1) the number of applications it received and grants
it awarded and (2) a list of grant recipients and award amounts.
EFFECTIVE DATE: July 1, 2024
§§ 58 & 59 — LOW INTEREST LOAN PROGRAM F OR CLIMATE
RESILIENCY PROJECTS 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 19 5/8/24
Requires the DEEP commissioner to set up a low interest loan program for municipalities
and private entities for climate resiliency projects funded through a new Climate
Resiliency Revolving Loan Fund and authorizes up to $10 million in state GO bonds to
capitalize the fund; requires DEEP to report annually to the Environment Committee on
the program
Low Interest Loans for Climate Resiliency Projects
The bill requires the DEEP commissioner to set up a program to
provide low interest loans to municipalities and private entities for
infrastructure repairs and resiliency projects in response to unplanned
climate events (other than rehousing or temporary assistance costs),
funded through a new Climate Resiliency Revolving Loan Fund. The
bill authorizes up to $10 million in state GO bonds to capitalize this
fund.
The DEEP commissioner must develop the program’s eligibility
criteria and application forms. The commissioner, or a program
administrator she selects, must begin accepting loan applications on
October 1, 2024. Additionally, the commissioner must report to the
Environment Committee annually, starting by January 1, 2025, on (1) the
program’s status, including the number of loans issued and their
individual and total amounts, and (2) any recommendations for related
legislation.
Climate Resiliency Revolving Loan Fund
The bill creates the Climate Resiliency Revolving Loan Fund and
allows it to be funded by proceeds from the bill’s $10 million bond
authorization or any other funds available to the DEEP commissioner or
from other sources. The fund must be used to make low-interest loans
and pay the reasonable and necessary expenses to administer them. The
bill allows the commissioner to contract with nonprofits to administer
the fund, but she must approve any loan made from it.
Under the bill, investment earnings credited to the fund become part
of the fund’s assets, and any balance remaining at the end of any fiscal
year is carried forward to the next year. Principal and interest payments
on low-interest loans under the program must be paid to the state
treasurer for deposit into the fund. 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 20 5/8/24
EFFECTIVE DATE: July 1, 2024
§§ 60 & 61 — DRONE GRANT PROGRAM
Requires DESPP to (1) administer a municipal grant program for municipalities to
purchase drones, accessories, or both, within available resources, and authorizes up to $3
million in state GO bonds for the program; (2) develop and post certain information (e.g.,
technical standards and application criteria); and (3) to report to the Public Safety and
Security Committee certain program statistics from the previous year
The bill requires DESPP, within available resources, to administer a
municipal grant program for buying unmanned aircraft (i.e., drones)
and accessories and authorizes up to $3 million in state GO bonds for
the program. The grants may be up to 33% of the drone’s or accessories’
purchase cost. If state or federal law prohibits buying a specific drone
based on the country where it was manufactured, a municipality may
not use a grant to purchase the drone.
Under the bill, an “unmanned aircraft” is a powered aircraft that (1)
uses aerodynamic forces to provide vertical lift, (2) is operated remotely
by a pilot in command or capable of autonomous flight, (3) does not
carry a human operator, and (4) can be expendable or recoverable.
“Accessories” are devices associated with these drones, including
cameras with night vision, thermal or infrared capabilities, and other
devices needed to operate the drone to fulfill its public safety mission.
By January 1, 2025, DESPP must develop the (1) technical standards
for drones and accessories eligible for the grants, and grant program’s
eligibility criteria, application forms, and deadlines and (2)
conspicuously post these on its website, along with a description of the
program.
The bill also requires DESPP, by January 1, 2026, and in each year in
which grants are issued, to report to the Public Safety and Security
Committee. The report must include information for the preceding
calendar year on the number of grant applications received, the number
of grants awarded, and a list of the municipalities that received grants.
EFFECTIVE DATE: July 1, 2024
§ 62 — DOH REPORT ON BOND-FUNDED HOUSING PROGRAMS 2024HB-05524-R00-BA.DOCX
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Requires DOH to report biannually to the Finance, Revenue and Bonding Committee on
specified bond-funded programs
Starting by September 1, 2024, and until September 1, 2026, the bill
requires DOH to report biannually to the Finance, Revenue and
Bonding Committee specified information on bond funds the
department received for (1) the Housing Trust Fund and (2) housing
development and rehabilitation under the FYs 24 and 25 bond act or any
similar public act. Specifically, DOH must report the following for the
prior fiscal year and six months:
1. the specific programs for which it used these bond funds and
amount from each authorization used for each specific program,
2. its activities addressing supportive housing under these
programs and how much of each authorization it used for these
activities, and
3. the amount from each authorization it gave to the Connecticut
Housing Finance Authority to administer housing-related
programs.
EFFECTIVE DATE: July 1, 2024
§ 63 — DOT GRANT TO UCONN’S DEPARTMENT O F NATURAL
RESOURCES AND THE EN VIRONMENT
Requires DOT to award a grant to UConn’s Department of Natural Resources and the
Environment
The bill requires DOT to give a grant, from available resources (see §
53), to UConn’s Department of Natural Resources and the Environment
to study carbon sequestration by trees and other vegetation along roads
and other areas in the state. The department must submit, to the
Transportation and Environment committees, an interim report by
January 1, 2025, and final report with its findings and recommendations
by July 1, 2025. It must also present either or both of these reports at a
joint hearing held by these committees.
EFFECTIVE DATE: July 1, 2024 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 22 5/8/24
§ 64 — HOUSING ENVIRONMENTAL IMPROVEMENT LOAN AND
GRANT FUND AND RETRO FIT PILOT PROGRAM
Expands DEEP’s multi-family housing retrofit pilot program by allowing (1) it to offer
grants in addition to loans and (2) the department to contract with quasi-public agencies
to administer the fund that finances the program
Grant Funding
Current law requires the Department of Energy and Environmental
Protection (DEEP), in collaboration with DOH, to start one or more pilot
programs that provide financing for qualifying retrofit projects in multi-
family homes located in environmental justice communities or alliance
districts (e.g., energy efficiency projects or projects to address health
concerns). This financing is currently funded through the Housing
Environmental Improvement Revolving Loan Fund, with $125 million
in GO bonds authorized to capitalize the fund.
The bill allows DEEP to also provide grants under the program and
correspondingly renames the fund as the “Housing Environmental
Improvement Revolving Loan and Grant Fund.” Additionally, it allows
DEEP to enter into contracts with quasi-public agencies to administer
the fund, in addition to nonprofits as current law allows.
Implementation Date
The bill delays, by one year, the date DEEP must start accepting
applications for the program, from July 1, 2024, to July 1, 2025, and
correspondingly delays:
1. DEEP’s reporting deadline to the Housing Committee from
October 1, 2027, to October 1, 2028; and
2. the pilot program’s termination date from September 30, 2028, to
September 30, 2029.
Eligibility
Under current law, to be eligible for pilot program financing, a
dwelling unit must be currently occupied by a tenant or will be occupied
within 180 days after DEEP awards the owner financing. Owners must
repay DEEP all the funds he or she receives under the program if this
timeframe is not met. Additionally, units cannot be owner-occupied. 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 23 5/8/24
The bill eliminates these conditions and instead extends eligibility to
owners of residential dwelling units as defined in state law.
Lastly, the bill expands the definition of “low-income resident”
applicable to the program or programs to also include any other
definition of this term used in state programs using federal funding, as
the DEEP commissioner determines. Under current law, low-income
residents are households with an income of no more than 60% of the
state median income or 80% of the federally determined area median
income adjusted for family size. As under existing law, DEEP must
prioritize financing for projects benefitting current or prospective low-
income residents.
EFFECTIVE DATE: October 1, 2024
§ 65 — EXISTING BOND AUTHORIZATION FOR D EEP
MULTIFAMILY HOUSING RETROFITTING PILOT PROGRAM
Eliminates provisions in HB 5474 of the current session that modify the $125 million
bond authorization for the DEEP multifamily housing retrofit pilot program described
above
The bill eliminates provisions in HB 5474 of the current session that
modify the $125 million bond authorization for the DEEP multifamily
housing retrofit pilot program described above. Specifically, it
eliminates HB 5474, § 20, as amended, which (1) delays $75 million of
the bond’s authorized for the program from FY 25 to FY 26, (2) caps at
$20 million the amount of these bond proceeds that DEEP may use for
grants under the program, and (3) makes a conforming change to reflect
the bill’s expansion of the program to include grants.
EFFECTIVE DATE: Upon passage
§ 67 — INSURANCE PRE MIUMS TAX REAUDITS A ND
REASSESSMENTS
Authorizes the DRS commissioner to reaudit insurance premiums tax returns and impose
more than one deficiency assessment, subject to the same requirements that apply to
audits and assessments under existing law
This bill authorizes the Department of Revenue Services (DRS)
commissioner to reaudit (i.e., reexamine) insurance premiums tax
returns and impose more than one deficiency assessment (i.e., 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 24 5/8/24
reassessment) for a tax period. It subjects these reexaminations and
reassessments to the same requirements that apply to examinations and
assessments under existing law, including interest, penalty, notice, and
statute of limitations provisions. By law, with certain exceptions, the
DRS commissioner generally has three years from the tax return’s due
date to examine the return and make a deficiency assessment. The same
limitation applies to reexaminations and reassessments under the bill.
EFFECTIVE DATE: Upon passage
§ 68 — INITIAL FIVE-YEAR INSURANCE PREMI UMS TAX RETURNS
FOR NONRESIDENT AND FOREIGN COMPANIES
Extends, from 45 days after being initially licensed to do business in Connecticut to 90
days after this date, the due date for newly licensed nonresident- and foreign-licensed
insurance companies to remit their initial five-year return to DRS
The bill extends, from 45 days after being initially licensed to do
business in Connecticut to 90 days after this date, the due date for newly
licensed nonresident- and foreign-licensed insurance companies to
remit their initial five-year return to DRS. By law, these companies must
pay state insurance premiums tax on the net direct premiums they
received in the five preceding calendar years from policies written on
property or risks located in the state (except ocean marine insurance).
EFFECTIVE DATE: Upon passage
§ 69 — INCOME TAX WITHHOLDING FOR RETIRE MENT INCOME
DISTRIBUTIONS
Allows, rather than requires, income tax withholding for certain retirement income
distributions and changes the methods for determining the amount of tax withheld from
these distributions
The bill allows, rather than requires, income tax withholding for
certain retirement income distributions and changes the methods for
determining the amount of tax withheld from these distributions.
Under current law, payers that have an office in Connecticut or do
business here and make distributions from pensions, annuities, or other
specified sources must withhold income tax when making taxable
payments to Connecticut residents. (These other sources include a
profit-sharing plan, stock bonus, deferred compensation plan, 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 25 5/8/24
individual retirement arrangement, endowment, or life insurance
contract.)
The bill instead requires payers to withhold tax from these
distributions only if the payee requests it, unless they are “lump sum
distributions.” Under the bill, a “lump sum distribution” is any
distribution greater than $5,000 or more than 50% of the payee’s entire
account balance, whichever is less, excluding any other tax withholding
and any administrative charges and fees. The bill retains the mandatory
withholding requirement for these lump sum distributions.
EFFECTIVE DATE: January 1, 2025, and applicable to tax years
starting on or after that date.
Distributions Other Than Lump Sum Distributions
Under the bill, for distributions of $5,000 or less or 50% or less of the
payee’s entire account balance (whichever is less), the payee’s request
for tax to be withheld and the determination of the withheld amount
must be made according to Department of Revenue Services (DRS)
regulations for pension payments and annuity distributions (see
Background — DRS Regulations on Tax Withholding for Pension Payments
and Annuity Distributions).
This requirement applies instead of the current one that payers
deduct and withhold from these distributions, as far as practicable, an
amount substantially equal to the tax reasonably estimated to be due
from the payee for those distributions during the calendar year. Under
current law, the method of determining the withheld amount is
according to instructions the DRS commissioner provides, except as
described below for distributions of a payee’s entire account balance.
Lump Sum Distributions
Under the bill, if a payee does not ask for an amount withheld from
a lump sum distribution, the payer must withhold from its taxable
portion at the highest marginal rate. Current law requires payers to
withhold at the highest marginal rate only for any payments of a payee’s
entire retirement account balance, excluding any other tax withholding 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 26 5/8/24
and administrative charges and fees (i.e., “lump sum distributions” as
defined under current law).
As under current law, a lump sum distribution is exempt from
withholding if (1) any portion of it was previously taxed, (2) it is a
rollover trustee-to-trustee transfer, or (3) it is a direct rollover by a check
made payable to another qualified account.
Background — DRS Regulations on Tax Withholding for Pension
Payments and Annuity Distributions
DRS regulations require any payer of pensions and annuities that has
an office in Connecticut or does business here to withhold state income
tax from pension or annuity payments that are distributed to a state
resident if the resident requests it. (The statutes, however, have required
tax withholding for these distributions since 2018.)
Under the regulations, payers must give resident individuals who
receive these payments a Form CT-W4P (Withholding Certificate for
Pension or Annuity Payments), and payees must use this form to
request the withholding. Their request to deduct and withhold state
income tax must be made in a specific whole dollar amount of at least
$10 per payment (Conn. Agencies Regs., § 12-705(b)-3).
§ 70 — LOCAL OPTION PROPERTY TAX EXEMPTIONS FOR FARM
MACHINERY AND BUILDI NGS
Increases the cap on the local option property tax exemption for (1) farm machinery, from
$100,000 to $250,000 in assessed value and (2) certain farm buildings from $100,000 to
$500,000 in assessed value
The bill increases the cap on the local option farm machinery
property tax exemption from $100,000 to $250,000 in assessed value. A
municipality may adopt the exemption, by vote of its legislative body,
in any amount up to the cap. By law, this exemption applies in addition
to the $100,000 state-mandated exemption.
The bill also increases, from $100,000 to $500,000 in assessed value,
the cap on the local option property tax exemption for buildings actively
and exclusively used in farming or used as housing for the farmer’s
seasonal employees. 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 27 5/8/24
EFFECTIVE DATE: Upon passage
§ 71 — LOCAL OPTION HOMESTEAD EXEMPTION
Allows municipalities to provide a partial property tax exemption for certain owner-
occupied primary residences
The bill allows municipalities, by vote of their legislative bodies (or
board of selectmen if the legislative body is a town meeting), to provide
a partial property tax exemption for certain owner-occupied primary
residences. Specifically, it allows them to exempt between 5% and 35%
of the assessed value of owner-occupied single-family homes and
duplexes (including condominiums and common interest community
units).
EFFECTIVE DATE: Upon passage
§§ 72-79 — PROPERTY TAX EXEMPTION FILING DEADLINES
Allows taxpayers in seven municipalities to claim certain property tax exemptions even
though they missed the filing deadline to claim the exemption or provide required
documentation, as applicable
The bill allows taxpayers in seven municipalities to claim certain
property tax exemptions for the property and grand lists shown in the
table below, even though they missed the filing deadline to claim the
exemption or provide required documentation, as applicable. It does so
by waiving the deadline if the taxpayer files for the exemption by July
31, 2024, and pays the statutory late filing fee. The tax assessor must
confirm that he or she received the fee, verify the property’s eligibility
for the exemption, and subsequently approve the exemption. The
municipality must refund any taxes, interest, or penalties paid on the
property as if the claim was timely filed.
Table: Exemption Deadline Waivers
Municipality Grand List Exemption
Litchfield 2023
Machinery and equipment used for manufacturing,
biotechnology, and recycling (§ 12-81(76))
Thomaston 2022
West Haven 2023
Manchester 2021
Property leased to charitable, religious, or nonprofit
organizations (§ 12-81(58))
Middletown 2021 and 2022
Property held for cemetery use (§ 12-81(11))
Waterbury 2022 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 28 5/8/24
Municipality Grand List Exemption
Meriden 2021 and 2022 Property owned, or held in trust for, any corporation
organized exclusively for scientific, educational,
literary, historical, or charitable purposes and used
exclusively for such purposes or preserving open
space land (§ 12-81(7))
Waterbury 2021
EFFECTIVE DATE: July 1, 2024
§§ 80 & 81 — REVALUATION DELAY FOR STRAT FORD AND
DERBY
Allows Stratford and Derby, with each legislative body’s approval, to delay a revaluation
scheduled for 2024 to the 2025 assessment year
The bill allows Stratford and Derby, with approval from their
legislative bodies, to delay a revaluation scheduled for 2024 until the
2025 assessment year. If the town opts to do so, it must implement its
next revaluation according to the schedule it was following prior to the
delay. The bill allows the person or entity authorized by law to prepare
tax bills in these towns to prepare new bills based on the delayed
revaluation.
EFFECTIVE DATE: Upon passage
§§ 82-90 — MUNICIPAL EMPLOYEE RETIREMENT COMMISSION
AND MUNICIPAL DEFINED CONTRIBUTION PLAN
Creates the Municipal Employees Retirement Commission and, starting January 1, 2025,
transfers responsibility for the municipal employees retirement system (MERS) and the
Policemen and Firemen Survivors’ Benefit Fund from the State Employees Retirement
Commission (SERC) to the new commission; requires the state comptroller to create a
municipal defined contribution retirement plan and set how municipalities may adopt the
plan
The bill creates the Municipal Employees Retirement Commission
and, starting January 1, 2025, transfers responsibility for the municipal
employees retirement system (MERS) and the Policemen and Firemen
Survivors’ Benefit Fund (“benefit fund”) from the State Employees
Retirement Commission (SERC) to the new commission. It also makes
the new commission, rather than SERC, the state’s agent for all matters
related to the federal Social Security Old Age and Survivors Insurance
System (i.e., “Social Security”) and the municipalities covered by it.
Under the bill, the commission consists of 13 members: 11 appointed 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 29 5/8/24
trustees and two ex-officio, nonvoting members (the state treasurer and
comptroller). Eight of the appointed trustees represent either employer
or employee interests. The governor must make most appointments,
with advice and consent from different organizations, depending on the
appointment.
Broadly, the bill gives the new commission powers and
responsibilities over MERS and the benefit fund and imposes related
requirements similar to those that currently apply to SERC. It also
requires the comptroller and treasurer to provide support to the
commission, MERS, and the benefit fund in ways similar to those
required under current law.
The bill allows a MERS retiree who returns to work for a municipality
that does not participate in MERS to participate in and receive credit in
that municipality’s retirement system. (Under current law, MERS
retirees who return to work may participate in and receive credit in the
state employee retirement system, but not in that of a nonparticipating
municipality.)
Separately, the bill requires the comptroller to create and administer
a municipal defined contribution retirement plan (e.g., 401(k)), which
any municipality may join.
Lastly, it makes technical and conforming changes, including
repealing an obsolete study requirement.
EFFECTIVE DATE: July 1, 2024, except that the provisions on (1)
MERS retirees participating in a nonparticipating municipality’s
retirement plan, the defined contribution plan, the study repeal, and a
conforming change are effective upon passage and (2) the other
conforming changes and Social Security provisions are effective January
1, 2025.
Municipal Employees Retirement Commission
Under the bill, the Municipal Employees Retirement Commission
constitutes a successor commission to SERC for administering MERS
and the benefit fund. 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 30 5/8/24
Relationship to Comptroller. The bill places the commission within
the Retirement Services Division of the comptroller’s office for
administrative purposes only. It requires the comptroller’s office to
include in its budget, as a separate part, any budgetary request from the
commission exactly as the commission submitted it.
The comptroller must serve as the commission’s secretary and
provide secretarial support to the commission. The Retirement Services
Division must (1) perform record keeping, reporting, and related
administrative and clerical functions for the commission, as the
comptroller deems necessary; (2) distribute, for the commission, any
required notices, rules, or orders that the commission adopts, amends,
or repeals; and (3) provide staff in accordance with existing law (which
generally allows the new commission to hire its own staff if the
legislature provides or authorizes funds for it).
Membership. Under the bill, the commission consists of 13 members.
The state comptroller and treasurer (or their designees) are non-voting,
ex-officio members and the comptroller must preside at the
commission’s meetings. Of the remaining 11 appointed trustees, four
must represent municipal employees, four must represent municipal
employers, two must be experts with relevant experience, and one must
be a neutral party. The neutral trustee serves as the commission’s
chairperson and votes only if there is a tie.
The bill establishes qualifications for each appointed trustee, names
the appointing authority (in most cases, the governor), and specifies the
selection process. The table below shows detailed information for each
appointed trustee.
Table: Appointed Trustees
Trustee Type Qualification
Appointing
Authority
Selection Process
Employee
representatives
Municipal public safety
employee who is a MERS
member or an elected
leader of a labor
organization representing
public safety employees
Governor Selected from a list of four
nominees submitted by an in-
state federation of in-state
labor organizations that
represent private and public
employees and workers in the 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 31 5/8/24
Trustee Type Qualification
Appointing
Authority
Selection Process
building trades
Municipal employee (non-
public safety) who is a
MERS member or an
elected leader of a labor
organization representing
municipal employees
Governor Selected from a list of four
nominees submitted by an in-
state federation of in-state
labor organizations that
represent private and public
employees and workers in the
building trades
Municipal employee (non-
public safety) who is a
MERS member or an
elected leader of a labor
organization representing
municipal employees
Governor Selected from a list of four
nominees submitted by an in-
state federation of in-state
labor organizations that
represent private and public
employees and workers in the
building trades
Retired MERS member Governor Selected from a list of four
nominees submitted by an in-
state federation of in-state
labor organizations that
represent private and public
employees and workers in the
building trades
Employer
representatives
Municipal employer
representative
Governor Selected with the advice and
consent of an in-state
organization representing small
towns
Municipal employer
representative
Governor Selected with the advice and
consent of an in-state
organization representing
municipalities
Municipal employer
representative
Governor Selected with the advice and
consent of an in-state
organization representing
municipalities
Municipal housing
authority representative
Governor Selected with the advice and
consent of an in-state
organization representing
housing and redevelopment
officials
Experts Two trustees with
expertise and experience
in financial management,
actuarial science, or
pension management
Comptroller Approved by a simple majority
of employee and employer
trustees
Neutral trustee/
chairperson
None specified Governor Trustees appointed to
represent employees and 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 32 5/8/24
Trustee Type Qualification
Appointing
Authority
Selection Process
government employers
Initial Appointment, Terms, and Vacancies. Initial appointments
to the commission must be made by October 1, 2024. The bill sets the
trustees’ initial terms so that their expiration is staggered. The terms of
two employer representatives, two employee representatives, and one
expert end on September 30, 2026, and the remaining terms end on
September 30, 2028. The appointing authority selects which trustees’
terms expire on the earlier date.
After the initial terms expire, subsequent terms are for four years.
Appointing authorities must fill any vacancies, with those occurring
within the term filled for the remainder of the term.
Fiduciary Responsibilities. The bill requires each trustee to act as a
fiduciary for MERS and the benefit fund and the members of each. They
must perform their duties exclusively (1) in the interest of members,
beneficiaries, and contingent annuitants of MERS and the benefit fund
and (2) to provide benefits to these individuals and defray reasonable
administrative expenses.
Within 10 days after appointment, each trustee must take an oath of
office that he or she will diligently and honestly administer MERS and
the benefit fund and will not knowingly violate any applicable laws or
allow them to be violated.
The bill requires the comptroller to establish an orientation program
and fiduciary training for new trustees. Each trustee must complete the
program and training within 30 days after their appointment and must
annually complete continuing education hours, as the comptroller
requires, in financial management, actuarial science, or pension
management. The comptroller must publish the activities and courses
he deems acceptable for meeting this requirement.
Compensation. Trustees are not paid for their service, but the bill
requires them to be reimbursed for necessary expenses they incur when 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 33 5/8/24
performing their duties within the limits of available funds.
Conducting Business. Under the bill, a majority of commission
members constitutes a quorum to conduct business, exercise powers, or
perform any duties the law authorizes or imposes. The commission
must meet at least monthly, and report annually on its activities as the
law requires for all budgeted agencies.
The bill allows the commission to hold hearings when it deems them
necessary. Any hearings must be governed by rules and regulations the
commission adopts, and the commission is not bound by technical rules
of evidence.
Legal Counsel. The bill also allows the commission to hire a general
counsel who serves at the commission’s pleasure, has offices in the
Retirement Services Division, and performs duties at the commission’s
direction. The commission may also get additional legal advice and
assistance as it deems advisable.
Administration of MERS and the Benefit Fund
Commission Responsibilities. The bill applies to the new
commission various responsibilities and requirements that currently
apply to SERC when administering MERS and the benefit fund.
The bill gives the commission general supervision of MERS and the
benefit fund and requires that it conduct its business according to
existing laws on MERS and the benefit fund. The bill requires the
commission to act (1) with the care, skill, prudence, and diligence that a
prudent person would exercise under similar circumstances and (2)
according to strict fiduciary standards and responsibilities, the general
statutes, and applicable collective bargaining agreements.
The commission may, by resolution or regulation, allocate fiduciary
responsibilities and administrative duties to commission committees or
subcommittees. It may also delegate these responsibilities to the
Retirement Services Division or to other individuals the commission
deems appropriate and necessary, as long as the delegation is consistent
with the bill’s provisions. 2024HB-05524-R00-BA.DOCX
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The bill also allows the commission to adopt any regulations and
rules it needs to administer MERS and the benefit fund and carry out
related laws. The regulations and rules are binding on all parties dealing
with the commission and anyone claiming benefits from MERS or the
fund.
Information for Members. Under the bill, all municipal retirement
plans, descriptions, and reports as well as all legal, financial, and
actuarial documents dealing with the general operation of MERS and
the benefit fund must be available for inspection and copying by
members and their representatives. The members or representatives
must pay for any copies, but the cost may not exceed 25 cents per page.
The commission must notify members about any substantial
statutory amendment to MERS or the benefit fund within 210 days after
it takes effect.
State Treasurer Asset Management. The bill specifies that MERS
and benefit fund assets must be held in trust by the state treasurer, who
must act as a fiduciary for both. The treasurer must manage and control
the assets unless the commission or a municipal retirement plan
expressly requires otherwise. The treasurer must perform his duties
exclusively in the interest of, and to provide benefits to, members,
beneficiaries, and contingent annuitants of MERS and the benefit fund.
He must diversify the investments of MERS and the benefit fund to
minimize the risk of large losses unless it is clearly not prudent to do so
under the circumstances.
Under existing law, unchanged by the bill, the MERS pension funds
and the Policemen and Firemen Survivors’ Benefit Fund are designated
as state trust funds and the treasurer must invest their assets under the
law’s requirements for state trust funds regardless of any other
provision in state statutes (CGS § 3-13c).
Annual Fiscal Transaction Report. The bill establishes an annual
reporting requirement for the treasurer similar to the report he must
currently provide for SERC. Starting by December 31, 2025, the treasurer
must annually publish and forward to the new commission a 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 35 5/8/24
consolidated report on the fiscal transactions of MERS and the benefit
fund for the prior fiscal year. It must include (1) gain or loss by security
category, (2) a reconciliation of assets showing the progression of funds
in MERS and the fund from one year to the next, (3) the amount of
securities and accumulated cash in MERS and the benefit fund, and (4)
the last balance sheet showing the financial condition of MERS and the
benefit fund through an actuarial valuation of their assets and liabilities.
Assets must be shown at book and market value by type or term of
investment. The treasurer may satisfy this reporting requirement by
completing IRS forms on investment income and expenses (i.e., IRS
Form 5500) and submitting them to the commission, as long as the
information is sufficient to calculate MERS and benefit fund investment
yields on an annual basis.
Social Security
By law, municipal employees are only covered by Social Security if
their employing municipality has chosen to participate in the system,
and state law explicitly excludes some types of municipal employees
(e.g., teachers) from participating (see Background — Social Security and
Municipal Employees).
The bill makes the new commission, rather than SERC, the state’s
agent authorized to act in all matters related to Social Security and the
municipal employees covered by it. In doing so, it makes the new
commission, rather than SERC, responsible for doing the following,
among other things:
1. approving a municipality’s application for membership in the
Social Security system,
2. making regulations on the procedure for municipalities to enter
and maintain membership in the system, and
3. supervising certain municipal referendums to determine which
municipal positions will participate in the system.
Defined Contribution Plan
On or after July 1, 2025, the bill requires the state comptroller to create 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 36 5/8/24
a municipal defined contribution retirement plan and set how
municipalities may adopt the plan. The new plan must allow
municipalities that previously adopted a defined contribution plan to
transfer their accounts and assets to the new plan.
The comptroller must serve as the new plan’s administrator and may
(1) enter into contracts, on the state’s behalf, with plan members to defer
any portion of their compensation from the adopting municipality; (2)
make deposits or payments to the plan, subject to its terms; and (3)
contract with a private corporation or institution to provide billing and
other administrative services to the plan. Municipal employers must
deduct the required contributions for their employees who are members
of the new plan.
Background — Social Security and Municipal Employees
When Congress passed the Social Security Act in 1935, it excluded
federal, state, and local government employees from mandatory
coverage (42 U.S.C. Ch. 7). The exclusion for state and local public
employees was based on constitutional concerns about whether the
federal government could impose taxes on state governments. In the
early 1950s, Congress amended the law to allow state and local
government employees to receive coverage if they voluntarily chose it
in a referendum, and state law correspondingly lays out a process for
this to occur (CGS §§ 7-452 to 7-459).
§§ 91-109 — MINOR AND TECHNICAL CHANGES TO TAX RELATED
STATUTES
Makes minor, technical, and conforming changes to various tax statutes
The bill makes minor, technical, and conforming changes to various
tax statutes, including:
1. eliminating a provision specifying that notices of assessment of
successor liability for cigarette tax become final 60 days after the
notice is mailed, unless the successor has requested a hearing (but
keeping the 60-day time frame to request a hearing on the
assessment);
2. correcting statutory references in provisions on assessment of 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 37 5/8/24
apartment property, tax credits for employers making student
loan payments, and estate settlement in probate court; and
3. repealing statutes that specify when the comptroller must record
revenue from certain taxes that have sunset.
EFFECTIVE DATE: October 1, 2024, except the repealed provisions
are effective upon passage.
§§ 110 & 111 — YOUTH SPORTS GRANT PROGRA M
Creates a youth sports grant program to give grants to distressed municipalities to
support the operating costs of nonprofit youth sports organizations; funds the program
with 2% of the state’s revenue from sports wagering
The bill creates a youth sports grant program to give grants to
distressed municipalities to support nonprofit youth sports
organizations providing sports programs and activities primarily for
distressed municipality residents under age 18 (i.e., “eligible
organizations”). It funds the program with 2% of the state’s monthly
revenue from sports wagering.
Beginning with FY 27, the bill allows distressed municipalities to
apply to the Office of Policy and Management (OPM) for the grants.
Municipalities awarded grants must disburse them to eligible
organizations and prioritize sports programs and activities that (1)
provide adaptive sports for children and young adults with disabilities
or (2) seek to improve outcomes in mental health (by developing social
and emotional skills), educational achievement (by increasing
attendance and attainment), or community cohesion (by strengthening
cooperation, teamwork, and leadership).
Under the bill, eligible organizations must use the grant funds they
receive from a distressed municipality for expenses to operate sports
programs and activities in the municipality. Qualifying expenses
include those for personnel, equipment, insurance, permits, training
and facility fees, sports facility renovation, playing field refurbishment,
and defraying or eliminating participant fees.
The bill also establishes an application process and requires 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 38 5/8/24
municipalities and OPM to report certain information on the grants
awarded under the bill.
EFFECTIVE DATE: July 1, 2025, except that the provision directing
sports wagering revenue to the account is effective October 1, 2024.
Application Process
Beginning with FY 27, OPM must annually notify each distressed
municipality’s chief executive official about the application period for
grants for that fiscal year. Applications may be submitted by any of
these officials and must be in the form and manner OPM prescribes,
with enough information for OPM to consider the priority criteria the
bill establishes. Municipalities must submit a new application each year
they wish to apply.
Program Funding
Starting July 1, 2025, the bill requires the consumer protection
commissioner to deposit 2% of the state’s sports wagering revenue each
month into the youth sports grant account the bill establishes. The
account is a separate, nonlapsing account in the General Fund, must
contain any money the law requires to be deposited in it, and may accept
gifts, grants, and donations. The OPM secretary must spend account
funds to provide grants under the bill.
Reporting
At the end of the fiscal year in which they received a grant, the bill
requires distressed municipalities to submit a report to OPM with a
summary of each organization that received funds and a description of
the sports programs or activities and related expenses for which they
used the money.
Starting by January 1, 2029, OPM must biennially report on the
program’s prior two fiscal years to the Committee on Children and the
Education and Finance, Revenue and Bonding committees. The report
must include, for each fiscal year, the:
1. amount of sports wagering revenue deposited into the program
account; 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 39 5/8/24
2. municipalities that applied for grants, those that were awarded,
and the total amount of grants awarded; and
3. summaries from municipalities described above.
Background — Distressed Municipalities
“Distressed municipality” is a designation under state law used to
target funds to fiscally and economically distressed municipalities. The
Department of Economic and Community Development annually
designates distressed municipalities, generally based on high
unemployment and poverty, aging housing stock, and low or declining
rates of job, population, and per capita income growth. Municipalities
that were once deemed distressed, but no longer meet the criteria,
receive a grace period of five years after they no longer meet criteria
during which they are still considered a distressed municipality under
the law (CGS § 32-9p).
The current (2023) distressed municipalities are Ansonia, Bridgeport,
Chaplin, Derby, East Hartford, East Haven, Griswold, Hartford, Lisbon,
Mansfield, Meriden, Montville, New Britain, New London, Norwich,
Plymouth, Putnam, Sprague, Sterling, Torrington, Voluntown,
Waterbury, West Haven, Winchester, and Windham. Municipalities
currently in the grace period are Bristol, Enfield, Groton, Killingly,
Naugatuck, New Haven, North Stonington, Plainfield, Preston, and
Stratford.
§ 112 — NET OPERATING LOSS
Extends, from 20 to 30 income years, the period when corporations may carry forward an
NOL deduction for corporation business tax purposes for NOLs incurred in income years
starting on or after January 1, 2025
The bill extends, from 20 to 30 income years, the period when
corporations may carry forward a net operating loss (NOL) deduction
for corporation business tax purposes. (NOL is the amount by which a
corporation’s total allowable deductions exceed its gross income.) The
bill’s extended carry forward period applies to NOLs incurred in
income years starting on or after January 1, 2025.
EFFECTIVE DATE: Upon passage 2024HB-05524-R00-BA.DOCX
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§ 113 — SOLAR CANOPY PLANS IN MUNICIPALITIES
Modifies HB 5232 to allow, rather than require, municipal planning and zoning
commissions to (1) establish a simplified process for applications to build solar canopies
and (2) act on land use applications for solar canopies within six months
Among other things, HB 5232, as amended by House Amendment
“A,” requires municipal planning commissions, zoning commissions, or
combined planning and zoning commissions to (1) amend their zoning
regulations to establish a simplified approval process for solar canopy
applications and (2) approve or deny land use applications to build solar
canopies within six months after the application is filed. This bill instead
allows, rather than requires, them to take these actions.
A “solar canopy” is an outdoor, shade-providing structure that hosts
solar panels located above a parking or driving area, pedestrian
walkway, courtyard, canal, or other used surface, installed in a way that
maintains the function of the area underneath the structure (e.g.,
carports).
EFFECTIVE DATE: July 1, 2024
§ 114 — ASSESSMENT A PPEALS BROUGHT TO SUPERIOR
COURT
Establishes conditions under which certain people who filed a property tax assessment
appeal with the Superior Court from July 1, 2022, but before July 1, 2024, and had their
appeal dismissed may bring another appeal application to the court
By law, taxpayers aggrieved by a board of assessment appeals’
decision may appeal to Superior Court. If the appeal concerns the
valuation of real property assessed at $1 million or more, the law
requires applicants to file a property appraisal with the court within 120
days after filing the appeal. Under the bill, for any application made on
or after July 1, 2022, but before July 1, 2024, that was dismissed because
the applicant submitted the appraisal to the municipality’s assessor
rather than the court, the applicant may bring another application to the
court if he or she (1) gave notice to the court of submitting the appraisal
to the assessor and (2) applies before September 1, 2024.
EFFECTIVE DATE: July 1, 2024
§ 115 — MIRA TIPPING FEE STABILIZATION 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 41 5/8/24
Allows, through FY 26, up to $6 million of MIRA funds spent for tipping fee stabilization
to be reimbursed by state bond funds; caps the total issuance of state bonding for MIRA
funds at $13.5 million
Among other things, PA 23-170 created the quasi-public Materials
Innovation and Recycling Authority (MIRA) Dissolution Authority as a
successor to MIRA and tasked it with things such as winding down
MIRA’s operations and activities. The act specified that MIRA’s funds
were not surplus revenues and required them to be used to support the
authority’s properties, systems, and facilities.
The bill allows, through the end of FY 26, up to $6 million of the
authority’s funds spent for tipping fee (i.e., cost of waste disposal)
stabilization to be reimbursed through state bonding. The bill caps the
total issuance of state bonds for MIRA funds at $13.5 million. It also
prohibits using any MIRA funds for tipping fee stabilization beginning
in FY 27.
EFFECTIVE DATE: Upon passage
§§ 116 & 117 — STATE BUILDING CODE AND FIRE SAFETY CODE
AMENDMENTS
Requires the next adopted version of the State Building Code and the Fire Safety Code to
include amendments that (1) allow additional residential homes to be served by a single
exit stairway and (2) encourage construction of safe three- or four-unit residential
buildings under similar requirements for certain one- and two-unit residential buildings;
requires those adopting State Building Code amendments to consider the housing shortage
The bill requires the next adopted version of the State Building Code
and the Fire Safety Code to include amendments that (1) allow
additional residential homes to be served by a single exit stairway and
(2) encourage construction of safe three- and four-unit residential
buildings under similar requirements for certain one- and two-unit
residential buildings.
The amendments must allow additional residential occupancies to be
served safely by a single exit stairway, in such a way as to:
1. be consistent with safe occupancy and egress;
2. consider the experience of Seattle, New York City, and Honolulu
in implementing similar provisions; 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 42 5/8/24
3. apply to municipalities in which the fire service is sufficient to
maintain safe occupancy and egress under the additional
occupancies, if appropriate;
4. promote the inclusion of units with three or more bedrooms in
building designs to promote construction of family-sized units,
especially on smaller lots; and
5. allow additional stories above grade plane to be served by a
single exit stairway in buildings with automatic sprinkler
systems, under conditions to ensure safe occupancy and egress,
which includes additional levels of fire and smoke separation
and any needed features to allow firefighters to ascend a stair as
occupants descend.
The amendments must also encourage construction of safe three- and
four-unit residential buildings, which must:
1. be consistent with safe occupancy and egress, and
2. include three- and four-unit residential buildings in the
International Residential Code portion of the State Building
Code, or otherwise provide for requirements for these buildings
in the International Building Code portion of the State Building
Code similar to those for one- and two-unit residential buildings
in the same portion of the code, under conditions that ensure safe
occupancy and egress.
The bill respectively requires (1) the state building inspector and the
Codes and Standards Committee to jointly, with the Department of
Administrative Services (DAS) commissioner’s approval, include these
amendments in the next update to the State Building Code and (2) the
state fire marshal and the Codes and Standards Committee to include
the amendments in the next update to the Fire Safety Code.
Additionally, the bill requires the state building inspector, the Codes
and Standards Committee, and DAS commissioner, when adopting
State Building Code amendments, to consider that the state’s housing 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 43 5/8/24
shortage compromises the safety of residents who cannot afford a safe
home. The amendments must also encourage producing buildings that
include safe housing that can be built at a reasonable cost.
EFFECTIVE DATE: Upon passage
§§ 118-123 — CONCENTRATED POVERTY
Creates a pilot program to reduce the levels of concentrated poverty in the state by
developing and implementing a 10-year plan for a participating “concentrated poverty
census tracts;” creates a new office in DECD to oversee the plan’s implementation and
monitor the state’s progress in reducing concentrated poverty; creates a seven-member
working group to develop a guidance document that sets a framework that must be
incorporated into the plan; gives the projects included in the plan priority for specified
state grants and funding programs; renames “high poverty low opportunity” census
tracts as concentrated poverty census tracts; decreases, from 25 to 15, the number of new
FTEs that a business must create and maintain to be eligible for the JobsCT rebate
program if at least three of these FTEs live in a concentrated poverty census tract; allows
the business to earn an additional rebate amount for each FTE who lives in one of these
tracts
Overview
This bill creates a pilot program to reduce the levels of concentrated
poverty in the state by developing and implementing a 10-year plan for
a participating “concentrated poverty census tracts.” Under the bill,
these are census tracts in which at least 30% of the households have
incomes below the federal poverty level (FPL) that were identified by
the Office of Policy and Management (OPM) under the high poverty-
low opportunity (HPLO) program, as of January 1, 2024. The bill also
declares that the state has concentrated poverty that creates long-term
disadvantages for impacted residents.
The bill creates a new office within the Department of Economic and
Community Development (DECD) to, among other things, oversee the
plan’s implementation and monitor the state’s progress in reducing
concentrated poverty. It requires the office to develop a 10-year plan for
the participating census tract (or groups of tracts) together with
specified state agencies and local officials and the community
development corporation (CDC) established by community members to
help implement the plan. Among other things, it (1) requires that the
plan include a list of possible projects determined to be the most
appropriate and effective to eliminate concentrated poverty in the tract 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 44 5/8/24
or tracts, (2) gives these projects priority for specified state grants, and
(3) adds incentives to the JobsCT tax rebate program for hiring
individuals residing in concentrated poverty census tracts.
The bill requires DECD to report to the legislature on the office’s
progress in developing and implementing the 10-year plan and, by
January 1, 2029, recommend whether to expand the pilot program to all
qualifying tracts. It creates a seven-member legislative working group
to develop a guidance document that sets a framework that must be
incorporated into the plan.
The bill also allows the CDCs established by community members to
bring a mandamus action against state or municipal officials who do not
timely fulfill their requirements or responsibilities under the program
or a 10-year plan to compel them to do so.
Lastly, the bill (1) renames the HPLO census tracts as “concentrated
poverty census tracts” and makes corresponding changes throughout
the program’s statutory provisions and (2) specifies that these census
tracts are based on the poverty level of households, rather than residents
(see Background — HPLO Census Tracts).
EFFECTIVE DATE: Upon passage
Declaration
The bill declares that Connecticut has concentrated poverty that takes
a critical toll on people who live in communities with concentrated
poverty. It states that concentrated poverty creates lifelong and
persistent disadvantages across generations by:
1. lowering the quality of educational and employment
opportunities,
2. limiting health care access and diminishing health outcomes,
3. increasing crime exposure,
4. reducing available choices for affordable and properly
maintained housing, and 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 45 5/8/24
5. imposing obstacles to wealth-building and economic mobility.
It also declares that developing and implementing the bill’s 10-year
plan to eliminate concentrated poverty in Connecticut is necessary for
the public’s benefit.
Office of Neighborhood Investment and Community Engagement
The bill creates a new Office of Neighborhood Investment and
Community Engagement within DECD and requires that it:
1. carry out the bill’s pilot program,
2. oversee the implementation of the 10-year plan developed under
the program,
3. monitor the state’s progress in reducing concentrated poverty,
4. coordinate communication between the program’s various
parties, and
5. distribute information in a timely and efficient way.
Pilot Program
Eligible Census Tracts. Under the bill, the pilot program is open to
any concentrated poverty census tract or group of tracts (qualifying
tract) in (1) the four municipalities with the greatest number of these
tracts (i.e., Bridgeport, Hartford, New Haven, and Waterbury) or (2) any
municipality with a qualifying tract that applies to participate in the
program. To be eligible, the qualifying tract must also have a certified
CDC (see Background — CDC Certification Process and Grant Eligibility)
created by its community members to help carry out the 10-year plan
and the municipality’s responsibilities under the program. The DECD
commissioner must issue a request for proposals to participate in the
program and choose the highest scoring applicant.
10-Year Plan. The bill requires the Office of Neighborhood
Investment and Community Engagement to develop a 10-year plan for
the participating qualifying tract or group of tracts to reduce the levels
of concentrated poverty in the area served by the CDC by doing the 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 46 5/8/24
following:
1. reducing the percentage of households living in the tract or tracts
with incomes below the FPL to 20% or less and
2. making sustained improvements in community infrastructure
and other underlying conditions that prolong concentrated
poverty and economic inertia in the tract or tracts.
In developing the plans, the office must consult with DECD’s Office
of Community Economic Development Assistance (OCEDA), OPM, the
Office of Workforce Strategy (OWS), Office of Early Childhood (OEC),
State Department of Education, applicable CDCs serving the
participating tract or group of tracts, municipal chief elected officials
(CEO), and any other public or private entity the DECD commissioner
finds relevant or necessary to achieve these purposes. It must also
incorporate in the plans the guidance document developed by the
legislative working group described below (see Working Group to
Develop Guidance Document). The plan must include, at a minimum:
1. measurable implementation steps, target dates for completing
each step, and the state or local official or agency responsible for
doing so;
2. minimum statewide averages for educational metrics (e.g.,
kindergarten-, college-, and career- readiness and grade level
reading and mathematics) to serve as benchm arks for
improvements in the tract or tracts; and
3. a list of possible projects, as described below.
The bill requires the office to begin implementing the plans by
January 1, 2026 (i.e., the deadline by which the DECD commissioner
must submit the plan to the legislature, as described below).
Projects. The bill requires the Office of Neighborhood Investment
and Community Engagement, together with the applicable municipal
CEO and CDC, to develop a list of possible projects for the 10-year plan’s
participating tract or group of tracts. In doing so, they must (1) 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 47 5/8/24
determine the types of projects they deem most appropriate and
effective for eliminating concentrated poverty in the tract or tracts and
(2) consider the project eligibility criteria for the certified CDC grant
program, HPLO program, and the Community Investment Fund 2030
program (see Background — CIF 2030).
Under the bill, the possible projects must include capital projects,
workforce development programs, housing development, community
and neighborhood improvements, and education initiatives to help
residents in meeting and exceeding the educational metrics described
above.
Progress Report. The bill requires the DECD commissioner, by June
1, 2025, to give the Finance, Revenue, and Bonding Committee, a written
progress report on the 10-year plan. He must submit the finished plan
to the General Assembly by January 1, 2026.
Annual Report. The commissioner must also, starting by February 1,
2027, and annually after, report on the:
1. Office of Neighborhood Inves tment and Community
Engagements’ implementation progress on the 10-year plan,
2. status of any projects that are pending or in progress for the tract
or group of tracts, and
3. any other relevant or necessary information.
He must submit these annual reports to the General Assembly, OWS,
OEC, and OPM.
Informational Forums. Annually by March 1, from 2027 to 2029, and
biennially after that, the Finance, Revenue and Bonding Committee
must hold an informational forum for these annual reports. At each
forum, the DECD commissioner must present on the report and other
state and municipal officials, participating CDCs, and interested parties
may provide their comments on the report and pilot program.
Pilot Program Expansion. The DECD commissioner must, by 2024HB-05524-R00-BA.DOCX
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January 1, 2029, submit his recommendation to the Finance, Revenue
and Bonding Committee on (1) whether the pilot program should be
expanded to all qualifying tracts in the state for which a certified CDC
has been established and (2) any additional or alternative criteria to be
considered in expanding the program to other economically
disadvantaged census tracts that do not qualify as concentrated poverty
census tracts. If he recommends this expansion, the commissioner and
Office of Neighborhood Investment and Community Engagement must
immediately carry it out.
Priority for Certain State Grants and Funding Programs
Under the bill, starting on the date DECD submits the 10-year plan to
the General Assembly, state agencies must give priority to the projects
included in the plan for any grants or funding programs they award or
administer for which the projects may be eligible. Additionally, the bill
gives these projects priority for the following state grants, subject to each
grant program’s existing criteria:
1. OCEDA grants for projects certified CDCs undertake in target
areas (§ 120);
2. DECD’s HPLO program grants for eligible projects
municipalities undertake in OPM-designated concentrated
poverty census tracts (§ 121); and
3. Community Investment Fund (CIF) 2030 grants for eligible
projects municipalities, CDCs, and nonprofits undertake in
municipalities designated as public investment communities or
alliance districts (§ 122).
For purposes of the CIF 2030 grants, the 10-year plan projects must
also meet the current criteria for priority status under the program.
Specifically, they must (1) be proposed by a municipality that (a) has
implemented local hiring preferences in accordance with state law or (b)
has or will leverage municipal, private, philanthropic, or federal funds
for the project and (2) have a project labor agreement or employ or will
employ ex-offenders or individuals with physical, intellectual, or 2024HB-05524-R00-BA.DOCX
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developmental disabilities. As under existing law, the CIF 2030 board
must additionally prioritize municipal applications that include a letter
of support for the proposed eligible project from a General Assembly
member or members in whose district the eligible project is or will be
located.
Right of Action Against State or Municipal Officials
Under the bill, starting July 1, 2027, if any state or municipal official
does not timely fulfill his or her requirements or responsibilities under
the program or the 10-year plan, a certified CDC created for a
concentrated poverty census tract may bring a mandamus action against
the official under certain conditions. Specifically, the CDC must (1) have
been selected under DECD’s RFP process, (2) demonstrate good-faith
efforts to effectuate the 10-year plan and (3) be aggrieved by the official’s
failure. It must bring the action in the Superior Court for the judicial
district where the qualifying tract is located.
A writ of mandamus is a court order that compels a public official or
agency to perform a specific duty. Under Connecticut Supreme Court
precedent, a writ is only proper when “(1) the law imposes on the party
against whom the writ would run a duty the performance of which is
mandatory and not discretionary; (2) the party applying for the writ has
a clear legal right to have the duty performed; and (3) there is no other
specific adequate remedy” (Miles v. Foley, 253 Conn. 381 (2000)).
Working Group to Develop Guidance Document
The bill creates a seven-member working group to develop a
guidance document that sets a framework for the Office of
Neighborhood Investment and Community Engagement to incorporate
into the 10-year plan.
Membership. The working group’s members include (1) one
legislator each appointed by the six top legislative leaders and (2) one
member of the General Assembly’s Black and Puerto Rican Caucus,
appointed by the caucus’s chairperson. The appointing authorities must
make their initial appointments within 30 days of the bill’s passage and
fill any vacancies. 2024HB-05524-R00-BA.DOCX
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Framework. The guidance document must set a framework for (1)
best practices and specified initiatives or actions the working group
believes will help mitigate concentrated poverty’s effects and (2) specific
metrics in certain areas to be incorporated into the 10-year plan to
measure improvements in the tracts.
These metrics must cover the following areas:
1. education, including early childhood care and education;
2. adult work skills development to reduce unemployment rates in
the tracts;
3. infrastructure, including housing development and blight
remediation;
4. crime, including gun violence, in the tracts; and
5. any other areas the working group finds necessary or desirable to
include to further the goals set in the bill’s declaration of a
concentrated poverty crisis.
The working group must consult with people or entities to inform the
guidance document’s development, including state and national experts
and academics in the areas described above, advocacy organizations,
state and quasi-public agencies, and law enforcement representatives.
Meetings and Administration. The House speaker and Senate
president pro tempore must select the working group’s chairpersons
from among its members. The chairpersons must schedule and hold the
group’s first meeting within 60 days after the bill’s passage. A majority
of members constitutes a quorum to conduct business.
The Finance, Revenue and Bonding Committee’s administrative staff
must serve in this capacity for the working group.
Submission to Legislature. The working group must submit the
guidance document by April 1, 2025, to the Finance, Revenue and
Bonding Committee. Within 30 days after this submission, the 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 51 5/8/24
committee must vote to approve or modify the document. Any
modifications must be provided to the committee members before the
vote. The guidance document is automatically approved if the
committee does not vote within this timeframe.
The working group ends on the date the guidance document (or
modified document) is approved or deemed approved, as applicable.
JobsCT
The bill decreases the number of full-time equivalent employees
(FTEs) that a business must create and maintain to be eligible for the
JobsCT tax rebate program (see Background — JobsCT) if at least three of
these FTEs live in a concentrated poverty census tract. It also allows the
business to earn an additional rebate amount for each FTE who lives in
one of these tracts.
Specifically, the bill decreases, from 25 to 15, the number of new FTEs
that a company must create and maintain to be eligible for the rebate
program if at least three of these FTEs live in a concentrated poverty
census tract. Currently, this lower threshold applies only if at least one
of the new FTEs is an individual with intellectual disability.
Starting January 1, 2025, the bill also allows companies to claim an
additional rebate for each new FTE who resides in a concentrated
poverty census tract. The rebate equals 50% of the state income tax for
single filers that these employees would pay on their wages. As with the
existing rebate, the bill’s additional rebate is based on wages paid in the
calendar year immediately before the calendar year in which the rebate
is being claimed. To qualify, the new FTE must have lived in the
concentrated poverty census tract for at least six months of the calendar
year on which the rebate is based. The bill also allows these additional
rebates to exceed the program’s rebate cap of $5,000 per new FTE.
Background
HPLO Census Tracts. The law required OPM to compile a list of the
census tracts in which at least 30% of the residents have incomes below
the FPL according to the most recent five-year U.S. Census Bureau 2024HB-05524-R00-BA.DOCX
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American Community Survey (i.e., HPLO census tracts). The table
below lists the municipalities in which these identified tracts are located
and the number of tracts per municipality.
Table: Number of HPLO Census Tracts by Municipality
Town No. of Identified Tracts
Bridgeport 11
Enfield 1
Hartford 19
Mansfield 2
Meriden 3
Middletown 1
New Britain 5
New Haven 10
New London 2
Stamford 1
Waterbury 7
Windham 2
CDC Certification Process and Grant Eligibility. Existing law
allows organizations meeting certain requirements to become certified
CDCs by applying to DECD’s OCEDA. A “certified CDC” is a 501(c)(3)
federally tax-exempt organization that is certified by the office and
meets the following requirements:
1. focuses on serving areas in which the (a) current unemployment
rate exceeds the state’s by at least 25% or (b) mean household
income is 80% or less of the state’s as determined by the most
recent decennial census (i.e., target areas),
2. works on urban community development with local residents
and businesses to create and expand economic opportunities for
low- and moderate-income people, and
3. shows the office that its constituency is meaningfully represented
on its board.
By law, the office must establish a grant program for projects that
certified CDCs seek to undertake in target areas, including 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 53 5/8/24
infrastructure improvements, housing rehabilitation, and streetscape
and business façade improvements. DECD has not implemented this
office or grant program to date.
HPLO Program. The HPLO program is a six-year, state bond-funded
program designed to fund eligible projects in qualifying census tracts
designated as HPLO census tracts. To qualify for the funding (which has
not been issued to date), a project must seek to reduce concentrated
poverty and its effects within the qualifying census tract. These projects
generally include (1) building, renovating, and rehabilitating mixed-
income rental and owner-occupied housing; (2) establishing or
improving workforce development programs; and (3) building,
renovating, or rehabilitating public infrastructure to support and
improve private investment opportunities, quality of life, and public
safety.
CIF 2030. CIF 2030 is a five-year, state bond-funded program for
financing qualifying economic and community development projects
and small business grants in eligible municipalities (i.e., those
designated as public investment communities or alliance districts). The
CIF 2030 board, located within DECD, directs these investments.
Eligible municipalities, CDCs, and nonprofits may submit funding
proposals for eligible projects and grants to the board.
JobsCT. The JobsCT tax rebate program allows companies in
specified industries (e.g., manufacturing and bioscience) to earn rebates
against the corporation business, pass-through entity, and insurance
premiums taxes for reaching certain job creation targets. Under existing
law, a business’s rebate is based on (1) the number of new FTEs created
or maintained, (2) their average wage, and (3) the state income tax that
a single filer would pay on this average wage. Generally, it equals 25%
of the average state income tax that these employees would pay,
multiplied by the number of employees, but it equals 50% of this
amount for the new FTEs are in a distressed municipality or opportunity
zone.
By law, new FTEs generally are those that did not exist in the state 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 54 5/8/24
when the business applied to the DECD commissioner for acceptance
into the program. To qualify as a new FTE, an employee must be paid
wages sourced to the state (i.e., qualified wages) of at least 85% of the
median household income for the location where the position is
primarily based or $37,500, whichever is greater
§ 124 — USE OF FY 24 SPECIAL TRANSPORTAT ION FUND (STF)
BALANCE FOR STF DEBT
Deems appropriated a portion of the STF’s remaining balance at the end of FY 24 to pay
off STF-supported debt
The bill deems appropriated a portion of the STF’s remaining balance
at the end of FY 24 to pay off STF-supported debt (i.e., “special tax
obligation indebtedness of the state”).
Specifically, under the bill, if the balance in the STF after the accounts
have been closed for FY 24 and any required transfers have been made
exceeds 18% of the fund’s FY 25 net appropriations, the state treasurer
must use the portion of the balance that exceeds the 18% threshold for
one or more of the following purposes, as he determines to be in the
state’s best interest:
1. redeeming, any outstanding STF-supported debt prior to
maturity, (i.e., special tax obligation (STO) indebtedness of the
state);
2. buying outstanding STF-supported debt in the open market, at
prices and under terms and conditions the treasurer determines,
to pay off or defease the debt;
3. defeasing outstanding STF-supported debt by irrevocably placing
funds in escrow that are dedicated to, and sufficient to satisfy,
scheduled principal and interest payments on the debt; or
4. any combination of the above.
The bill requires that any method or methods the treasurer selects
provide a reduction in projected debt service for FY 25 and each of the
following nine fiscal years. For the second fiscal year after the fiscal year
in which the balance was used as the bill requires, and each of the 2024HB-05524-R00-BA.DOCX
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following seven fiscal years, the amount of the projected debt service
reduction must not vary by more than (1) $1 million or (2) 10% of the
least amount by which projected debt service is reduced for the
following seven fiscal years, whichever is greater.
EFFECTIVE DATE: Upon passage
§ 125 — COLLEGE DEGR EE REQUIREMENT FOR S TATE
EMPLOYEES
Generally prohibits the DAS commissioner from requiring a college degree for a position
in the state employee classified service unless it is a bona fide occupational qualification or
need
The bill prohibits the Department of Administrative Services (DAS)
commissioner from requiring a degree from a higher education
institution for a position in the state employee classified service, unless
the appointing authority has notified her that the requirement is a bona
fide occupational qualification or need. In general, positions in the
classified service are subject to various civil service exams and other
hiring and promotion procedures.
By law, the DAS commissioner must, among other things, establish
position classes for all state employees in the classified service and
maintain a list with each class’s (1) title, code, and pay grade; (2) duties
and responsibilities; and (3) minimum desirable qualifications (CGS §§
5-200(l) & 5-206).
EFFECTIVE DATE: October 1, 2024
§ 126 — WORKING GROU P TO EXAMINE TAX EXPENDITURES
Creates a nine-member working group to examine the state’s statutory tax expenditures to
simplify the state tax code and identify those that are redundant, obsolete, duplicative, or
inconsistent; requires the group to report by January 1, 2025
The bill creates a nine-member working group to examine the state’s
statutory tax expenditures to simplify the state tax code and identify
those that are redundant, obsolete, duplicative, or inconsistent in
language or policy. By law, “tax expenditures” are tax exemptions,
exclusions, deductions, or credits that result in less revenue to the state
or municipalities than they would otherwise receive. 2024HB-05524-R00-BA.DOCX
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The working group’s members consist of the following officials or
their designees: (1) chairpersons and ranking members of the Finance,
Revenue and Bonding Committee; (2) governor; (3) DRS and DECD
commissioners; and (4) two OPM representatives appointed by the
governor. The Finance, Revenue and Bonding Committee’s
chairpersons must serve as the working group’s chairpersons and
schedule and hold the first meeting within 60 days after the bill’s
passage. The committee’s administrative staff must serve in that
capacity for the working group.
The working group must report its findings and recommendations
for simplifying the state tax code to the Finance, Revenue and Bonding
Committee by January 1, 2025. It ends on that date or the date it submits
the report, whichever is later.
EFFECTIVE DATE: Upon passage
§ 127 — JOINT APPOINTMENTS OF MUNICIPAL O FFICIALS
Authorizes COGs or groups of two or more municipalities to make appointments on behalf
of municipalities for municipal functions that are subject to a shared services or regional
services agreement
The bill authorizes a regional council of governments (COG), or a
municipality acting jointly with at least one other municipality, to make
any appointment on behalf of a municipality for municipal functions
that are subject to a shared services or regional services agreement. The
appointments must apply jointly to each municipality that is a party to
the agreement and be instead of the municipality’s individual
appointment. The bill authorizes the Office of Policy and Management
secretary to adopt regulations to implement this provision.
Under the bill, this authority supersedes state and local law, local
charters, and home rule ordinances that would prohibit or limit the
ability to make these joint appointments, including any provisions that
does the following:
1. prohibits a municipality from entering into a shared services
agreement, 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 57 5/8/24
2. requires an appointee to fulfill his or her duties to the exclusion of
other employment,
3. requires an appointee to live in a particular municipality, or
4. requires a municipality to make an individual appointment.
Under the bill, these municipal functions include planning activities
described in laws on (1) local plans of conservation and development,
(2) affordable housing plans, and (3) local emergency medical services
plans. They also include the administrative and regulatory activities
described in laws on:
1. registrars of vital statistics;
2. assessors;
3. municipal parking authorities;
4. fair rent and fair housing commissions;
5. land bank authorities;
6. zoning enforcement officers;
7. tax collectors;
8. municipal animal control officers;
9. town clerks issuing dog licenses and tags;
10. inland wetlands agencies;
11. local building officials and boards of appeal for building code
cases; and
12. local fire marshals, fire inspectors, and other fire code inspectors
and investigators.
The bill’s provisions apply to towns, cities, boroughs, consolidated
towns and cities and towns and boroughs; fire, sewer, and other special 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 58 5/8/24
taxing districts; and metropolitan and municipal districts.
EFFECTIVE DATE: July 1, 2024
§ 128 — HISTORIC HOMES REHABILITATION TAX CREDIT
Restores taxpayers’ ability to claim the historic homes rehabilitation tax credit against
certain business taxes in the 2024 tax year and all following years; allows all taxpayers to
apply credits issued after January 1, 2024, against the unrelated business income tax
The bill changes the taxes against which historic homes rehabilitation
tax credits may be claimed. By law, the Department of Economic and
Community Development (DECD) issues these credits, subject to
certain requirements, to (1) people and nonprofits who own,
rehabilitate, and occupy historic homes or (2) businesses that contribute
funds for rehabilitating historic homes that are or will be occupied by
their owners.
Under current law, taxpayers may apply only credits issued before
January 1, 2024, against specified state business taxes (i.e., the insurance
premiums, corporation business, air carriers, railroad companies, cable
and satellite TV companies, and utility companies’ taxes). The bill
allows taxpayers to continue claiming credits issued in the 2024 tax year
and all following years against these specified business taxes.
The bill also allows all taxpayers to apply credits issued on or after
January 1, 2024, against the unrelated business income tax (current law
allows only nonprofit corporations to do so). Existing law, unchanged
by the bill, allows all taxpayers to claim them against the personal
income tax.
The bill allows taxpayers applying the credit against any of the
business taxes mentioned above to carry forward any unused credits for
up to four income years, just as existing law allows for nonprofit
corporations claiming the credit against the unrelated business income
tax. Under existing law, credits applied against the income tax are
refundable for any amount of the credit that exceeds the taxpayer’s
liability.
EFFECTIVE DATE: July 1, 2024, and applicable to taxable and income 2024HB-05524-R00-BA.DOCX
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years beginning on or after January 1, 2024.
Background — Historic Homes Rehabilitation Tax Credit
Under this program, qualifying property owners (people and
nonprofits) may receive a tax credit for 30% of the construction costs
they incur in rehabilitating a historic home. To qualify, the historic home
must (1) have no more than four units, one of which must be the owner’s
principal residence for at least five years after rehabilitation is
completed, and (2) be (a) listed on the National or State Register of
Historic Places or (b) located in a district listed in either register and
certified by DECD as contributing to the district’s historic character.
To qualify for the credit, the project’s construction costs must exceed
$15,000. The credit equals 30% of the eligible construction costs but may
not exceed $30,000 per dwelling unit (or $50,000 for owners that are
nonprofit corporations). DECD may reserve up to $3 million in vouchers
for these credits each fiscal year, 70% of which must be for rehabilitating
homes in the municipalities designated as “regional centers” in the
current state plan of conservation and development.
§ 129 — REDDING SPECIAL TAXING DISTRICT
Specifies the town of Redding is exempt from taxes and assessments imposed by a special
taxing district located in the town
The bill specifies that the town of Redding and all its real and
personal property (including its receipts, revenues, and income) is
exempt from any tax or benefit assessments imposed by the special
taxing district that SA 05-14 authorized (i.e., Georgetown Special Taxing
District). It further specifies that the town is not required to pay any tax,
fee, rent, excise, or assessment to the district.
The bill also makes technical changes.
EFFECTIVE DATE: Upon passage
§ 130 — DECD ARPA REPORTING
Requires DECD to report biweekly to the Appropriations Committee on its use of ARPA
funding
The bill requires the Department of Economic and Community 2024HB-05524-R00-BA.DOCX
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Development (DECD) to report biweekly between July 1, 2024, and
September 20, 2024, to the Appropriations Committee on the
department’s use of federal American Rescue Plan Act (ARPA) funding.
The report must include (1) the department’s funding allotment and the
obligation status of these funds and (2) a list of parties with whom the
department contracts and a description of each contract’s term and
status.
EFFECTIVE DATE: Upon passage
§ 131 — BAN ON DELEGATING AUTHOR ITY TO SCHEDULE
THANKSGIVING DAY HIG H SCHOOL FOOTBALL GA MES
Bans school boards from delegating authority to schedule high school football games on
Thanksgiving Day to another entity; prohibits school boards from adopting a policy that
prohibits Thanksgiving Day football games
The bill bans any local or regional board of education from delegating
the authority to schedule interscholastic football games on
Thanksgiving Day to any nonprofit organization or other entity that is
responsible for governing interscholastic athletics in Connecticut. It also
bars any board of education from adopting a policy or prohibition
against scheduling an interscholastic football game on Thanksgiving
Day.
The Connecticut Interscholastic Athletic Conference (CIAC)
currently schedules high school football games. Generally, it regulates
high school interscholastic athletics including setting rules for each
sport, determining player eligibility, and establishing regular season
and tournament schedules. CIAC is a private, nonprofit organization
with almost all Connecticut public and parochial high schools included
as dues-paying members. CIAC members elect the organization’s
governing board members.
EFFECTIVE DATE: July 1, 2024
§§ 132-136 — AUTOMATED ENFORCEMENT O F NOISE
VIOLATIONS
Allows municipalities to use noise cameras to issue citations to vehicles committing
municipal vehicle noise violations (i.e., making a noise of 80 decibels or louder, except for
sounds made by a horn); requires municipalities seeking to operate cameras to adopt an
ordinance and set penalties; specifies citation issuance and processing procedures 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 61 5/8/24
The bill allows municipalities to authorize the use of noise cameras
(which the bill calls “photo noise violation monitoring devices”) to
enforce vehicle noise violations. To do so, a municipality must adopt an
ordinance that (1) establishes a municipal vehicle noise violation for (i.e.,
causing a vehicle to make a sound of 80 decibels or louder, except for
sounds made by a vehicles’ horn), (2) authorizes using cameras to
enforce the ordinance, and (3) meets the bill’s other specified
requirements.
Under the bill, a “photo noise violation monitoring device” is one or
more mobile or fixed sensors that (1) are installed to work together with
noise measuring equipment (e.g., a decibel reader) and (2) automatically
produce video, two or more photos or microphotos, or other recorded
images of a vehicle that is violating an ordinance adopted under the bill.
Municipalities operating noise cameras under the bill must issue a
written warning for a first violation, a $100 fine for a second violation,
and a $250 fine for subsequent violations. They must also adhere to the
bill’s provisions on camera operation, image review and citation
issuance, hearings and available defenses, privacy, and data retention.
The bill allows municipalities to enter into agreements with vendors
to install, operate, and maintain noise cameras, but the vendor’s fee may
not depend on the number of citations issued or fines paid. A “vendor”
is someone who (1) provides camera-related services under an
agreement with the municipality; (2) operates, maintains, leases, or
licenses noise cameras; or (3) reviews and assembles images the cameras
record and forwards them to the municipality. The bill specifies
municipalities may use revenue from noise camera ordinance fines to
pay for their costs to use the cameras.
Lastly, the bill requires municipalities operating noise cameras to
annually report certain information to the Finance, Revenue and
Bonding Committee.
EFFECTIVE DATE: July 1, 2024
Ordinance Requirements and Other Conditions 2024HB-05524-R00-BA.DOCX
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Before operating noise cameras, the bill requires municipalities to
adopt (1) an ordinance authorizing their use and establishing a
municipal vehicle noise violation and (2) a citation hearing procedure
meeting requirements in existing law. Specifically, the ordinance must:
1. require noise cameras to be operated by a person trained and
certified to do so (i.e., a “photo noise violation monitoring device
operator”);
2. specify that a motor vehicle’s owner violates the ordinance if the
vehicle makes a noise of 80 decibels or louder (except for noise
made by the vehicle’s horn);
3. subject vehicle owners to a written warning for a first violation,
$100 fine for a second violation, and $250 fine for each subsequent
violation;
4. allow for electronic payment of fines and any processing fees
(which are capped at $15);
5. require a sworn member of law enforcement or a municipal
employee to review and approve the images before a citation is
mailed to a vehicle owner; and
6. specify the defenses available to the vehicle owner, which must
at least include those outlined in the bill (see below).
The bill also requires municipalities operating noise cameras to
randomize the devices’ locations throughout the municipality.
Citation Hearing Procedure. Existing law allows municipalities to
establish, by ordinance, a hearing procedure for citations they issue and
to authorize the Superior Court to enforce fines and judgements
imposed through the citation hearing procedure. The bill requires
municipalities issuing citations under a noise camera ordinance to also
have this hearing procedure, and subjects these citations to the same
requirements as other citations heard under this procedure.
Among other things, the law generally requires (1) the municipal 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 63 5/8/24
chief executive officer to appoint citation hearing officers, (2)
municipalities to inform the person to whom a citation was issued about
his or her right to contest the citation at a hearing, (3) the issuing police
officer or official to attend the hearing if the violator requests it, and (4)
the hearing officer to conduct the hearing in the manner and with
methods of proof he or she deems fair and appropriate. The law also
allows people found liable for a penalty through the citation hearing
procedure to appeal to the Superior Court.
Camera Calibration and Operator Training
The bill requires noise camera operators to complete training from
the camera’s manufacturer, or the manufacturer’s representative, on the
camera’s operation. The manufacturer or its representative must issue
the operator a signed certificate of completion, which must be admitted
as evidence in any municipal citation hearing.
The bill also requires municipalities to make sure that cameras they
use have an annual calibration check performed at a calibration
laboratory. After the check, the laboratory must issue a signed certificate
of calibration, which must be kept on file and admitted as evidence in
any municipal citation hearing.
Image Review and Ticket Issuance
Under the bill, when a noise camera detects and produces images of
a vehicle allegedly committing a municipal vehicle noise violation
established in an ordinance adopted under the bill, a sworn member of
law enforcement or a municipal employee must review the images. If
this official determines there are reasonable grounds to believe a
violation occurred, he or she may issue a citation to the vehicle owner.
The citation must include the following:
1. the motor vehicle owner’s name and address,
2. the vehicle’s license plate,
3. the violation charged, 2024HB-05524-R00-BA.DOCX
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4. the camera location and the date and time of the violation,
5. a copy of the recorded images or information on how to view
them electronically,
6. a statement or electronically generated affirmation by the official
who reviewed the images and determined that the vehicle
violated the ordinance,
7. the date of the most recent calibration check and verification that
the camera was operating correctly during the alleged violation,
8. the fine amount and how to pay it, and
9. the right to contest the violation and request a hearing.
The bill requires citations to be sent by first class mail (1) within 30
days after determining the vehicle owner’s identity and (2) to the
address on file with the Department of Motor Vehicles (DMV) or, for
vehicles registered out-of-state, the issuing jurisdiction. However, the
bill makes citations invalid if they are mailed more than 60 days after an
alleged violation. Manual or automatic mailing records prepared by the
municipality’s police department are prima facie evidence of mailing
and are admissible in any municipal hearing as to facts the citation
contains.
Available Defenses
The bill makes the following defenses available to vehicle owners
alleged to have violated an ordinance adopted under the bill:
1. the driver was operating an emergency vehicle and using a
permissible audible warning signal (e.g., siren);
2. the violation happened when the vehicle had been reported as
stolen and had not yet been recovered;
3. the camera did not have a calibration check as the bill requires;
4. the violation happened because the muffler was not working 2024HB-05524-R00-BA.DOCX
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properly, and the owner presents proof at a hearing that the
muffler was replaced or repaired within 14 days after the
violation; and
5. the vehicle owner presents proof at a hearing that the vehicle was
inspected at a DMV-designated facility and the inspection
determined that the vehicle does not make a sound while
operating of 80 decibels or louder.
Privacy and Data Retention
Under the bill, cameras must be installed, to the extent possible, so
that they only record license plates’ images and do not capture images
of vehicle occupants or anyone else in the vicinity.
The bill generally prohibits municipalities and vendors from storing
or retaining personally identifiable information or from disclosing it to
any person or entity, including any law enforcement unit. But they may
do so if the storage, retention, or disclosure is done to charge, collect,
and enforce fines imposed under an ordinance.
The bill also specifies that any information and other data the camera
gathers is subject to disclosure under the Freedom of Information Act,
except for personally identifiable information.
Under the bill, “personally identifiable information” is information a
municipality or vendor creates or maintains that identifies or describes
a vehicle owner and includes the owner’s address; phone number;
license plate; photo; bank account information; credit card or debit card
number; and the date, time, location, or direction of travel on a highway.
Annual Report
The bill requires municipalities operating noise cameras to annually
report the following information to the Finance, Revenue and Bonding
Committee, beginning one year after a noise camera starts operating in
a municipality and until it is no longer operational:
1. the total number of violations detected by each camera on a daily,
weekly, and monthly basis; 2024HB-05524-R00-BA.DOCX
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2. the total number of warnings and citations issued for violations
recorded by the devices;
3. the number of hearings requested and their results;
4. the amount of fines and processing fees the municipality
retained; and
5. the municipality’s costs for the cameras.
§ 137 — ADDITIONAL DEDUCTION FOR CERTAIN COMBINED
GROUPS AFFECTED BY C OMBINED REPORTING
Allows certain combined groups meeting specified qualifications to deduct, over a 30 year
period, the amount necessary to offset the increase in the valuation allowance against net
operating losses (NOLs) and tax credits in Connecticut that resulted from the state’s shift
to combined reporting
For a 30-year period beginning with the 2026 income year, the bill
allows certain combined groups to take a corporation business tax
deduction equal to 1/30th of the amount necessary to offset the increase
in the valuation allowance against net operating losses (NOLs) and tax
credits in Connecticut that resulted from the state’s shift to combined
reporting (implemented in the 2016 income year). Under the bill, a
“valuation allowance” is the portion of a deferred tax asset for which it
is likely that a tax benefit will not be realized, as determined under
generally accepted accounting principles (GAAP).
A combined group qualifies for a deduction under the bill if:
1. it is a publicly traded company, including affiliated corporations
participating in a publicly traded company's financial statements
prepared according to GAAP, as of January 1, 2016;
2. the shift to combined reporting resulted in an aggregate decrease
in the amount of NOLs or tax credits the combined group may
realize in Connecticut and, in accordance with GAAP, the group
reported a valuation allowance;
3. the group is claiming the FAS 109 corporate income tax
deduction (which certain companies may claim if the shift to
combined reporting resulted in an acceleration of corporate 2024HB-05524-R00-BA.DOCX
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income tax); and
4. when calculating the FAS 109 deduction, the group did not
include the impact of the valuation allowance resulting from the
shift to combined reporting.
Under the bill, the increase in valuation allowance must be calculated
based on the change in valuation allowance reported in the combined
group’s financial statements for the 2016 income year. The deduction (1)
may not be reduced due to events that happen after the calculation,
including disposition or abandonment of assets and (2) does not alter
the tax basis of any asset. If the deduction exceeds the group’s net
income, the excess may be carried forward and applied until fully used.
The bill requires any group that intends to claim a deduction under
the bill to file a statement with DRS by July 1, 2025, in the way the
commissioner prescribes, specifying the total deduction amount the
combined group claims. Combined groups that do not file a statement
by this date may not claim the deduction. The bill specifies that it does
not limit DRS’s authority to review and redetermine the deduction
amount, whether on the statement or on a group’s tax return.
EFFECTIVE DATE: January 1, 2025
§ 138 — FINAL CANNABIS CULTIVATOR LICENSE EXTENSION
Allows DCP, until December 31, 2025, to grant a final cultivator license to certain social
equity provisional cultivator license holders who have not met the minimum grow space
requirement, under certain circumstances (e.g., pays the $3 million fee); after that date,
requires the licensee to pay a $500 dollar extension fee for each day the licensee fails to
satisfy the minimum grow space requirement
By law, the Department of Consumer Protection (DCP) opened a
three-month application period for social equity applicants to apply for
a provisional and final cannabis cultivator license for a facility located
in a disproportionately impacted area without participating in a lottery
or request for proposals. Additionally, a cultivator may, among other
things, cultivate, grow, and propagate cannabis at an establishment
with at least 15,000 square feet of grow space.
The bill allows DCP, from when the bill passes until December 31, 2024HB-05524-R00-BA.DOCX
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2025, to grant a final cultivator license to a social equity provisional
cultivator license holder who has not developed the capability to meet
the minimum grow space requirement. Under the bill, DCP may issue
this license, and the holder may carry out the functions of a cultivator,
if the holder submits, in a commissioner-prescribed way, a completed
application for a final cultivator license and evidence that:
1. the holder’s licensed cultivation facility contains at least 5,000 feet
of grow space;
2. the holder and the facility are in compliance with the cannabis
laws, regulations, and policies and procedures;
3. the holder has a detailed business plan and buildout schedule to
cultivate, grow, and propagate cannabis at a licensed
establishment containing at least 15,000 square feet of grow space
by December 31, 2025; and
4. the holder has paid the required $3 million fee, which existing
law requires to be deposited in the Social Equity and Innovation
Fund.
If DCP issues a final cultivator license under these procedures and
the licensee fails to meet the 15,000 square feet of grow space
requirement by December 31, 2025, the licensee must pay the
department, in a way the commissioner sets, a $500 extension fee for
each day after that the facility fails to satisfy the minimum grow space
requirement.
In addition to this fee, DCP may exercise its enforcement powers for
cannabis establishments, for the failure to meet the grow space
requirement by the specified date. By law, the DCP commissioner, for
sufficient cause, may take certain disciplinary actions, including
suspending or revoking a credential or issuing fines of up to $25,000 per
violation, and accepting an offer in compromise (CGS § 21a-421p).
EFFECTIVE DATE: Upon passage
§§ 139 & 140 — SOCIAL EQUITY COUNCIL 2024HB-05524-R00-BA.DOCX
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Expands the Social Equity Council membership; requires the council to (1) define its role
and what it delegates to the executive director, (2) update the social equity plan criteria,
and (3) to submit an estimate of certain social equity distributions; requires additional
reports from the council and executive director
By law, the Social Equity Council is charged with, among other
duties, promoting and encouraging full participation in the cannabis
industry by people from communities disproportionately harmed by
cannabis prohibition. The bill expands the council’s membership and
requires the council to specify its duties and those that are delegated to
the executive director. It also requires the council to (1) update the
criteria for social equity plans to include a specific, points-based rubric
to evaluate the plans and (2) provide an estimate to the Office of Policy
and Management (OPM) of certain social equity disbursements.
The bill also requires additional reporting, specifically requiring the
(1) council to make quarterly reports to the governor, the legislative
leaders, and certain legislative committees and (2) executive director to
make monthly reports to the council and the Black and Puerto Rican
Caucus.
Finally, the bill makes various minor, technical, and conforming
changes.
EFFECTIVE DATE: Upon passage
Membership
The bill increases the Social Equity Council membership from 15 to
17 members. Under current law, the Black and Puerto Rican Caucus
chairperson has one appointment. The bill instead allows the Black and
Puerto Rican Caucus chairperson to have two appointments, which she
must designate one appointment each to the chairperson of the (1)
Puerto Rican and Latino Caucus and (2) Black Caucus. It also increases
the number of gubernatorial appointments from four to five.
Chairperson and Executive Director
The bill also requires the council, by July 1, 2024, to adopt bylaws
specifying the duties the council members retain and the duties it
delegates to the executive director. The council may, by majority vote, 2024HB-05524-R00-BA.DOCX
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take any formal personnel actions concerning the executive director for
any reason.
Additionally, the bill provides for a final review board consisting of
the council chairperson and the appointees of the House speaker, Senate
pro tempore, and the House and Senate minority leaders. If the board
determines, by majority vote, that removing the executive director is in
the best interest of the council’s mission, it must issue a letter to the
council recommending this removal.
As under existing law, the governor appoints the council chairperson
from among its members. The bill requires the chairperson to directly
supervise the executive director, establish annual goals for the executive
director, and perform the executive director’s annual performance
review.
The chairperson and executive director must jointly develop, and the
council must approve:
1. the budgetary information the council is required to annually
submit to the OPM secretary (see below);
2. the Social Equity and Innovation Account allocations that the
council solely decides to further equity principles (see below);
and
3. plans for expenditures to give access to capital for businesses,
technical assistance for business start-up and operations, funding
for workforce education, funding for community investments,
and funding for investments in disproportionately impacted
areas.
Social Equity Plans
Under existing law, the Social Equity Council must review, approve,
or deny in writing any social equity plan a cannabis establishment
submits as part of its final license application. Under the bill, the council
must do so within 30 days after the plan’s submission. If the council
denies any plan, the applicant may revise and resubmit it without 2024HB-05524-R00-BA.DOCX
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prejudice.
By July 1, 2024, the council must update the criteria for these plans to
include a specific, points-based rubric to evaluate them.
Grants
The council must approve the amounts, grantees, and purposes of
any grants the council makes from the Social Equity and Innovation
Account or the Cannabis Social Equity and Innovation Fund. Any
contracts between the council and a grant maker must also require the
council’s approval for any subgrants by the grant maker.
Council Quarterly Report
The bill requires the council, starting by July 1, 2024, to quarterly
report on its activities to the governor, six legislative leaders, and
Appropriations and General Law committees. The report must include
certain expenditure statistics and the status of the council’s licensing
responsibilities.
Specifically, the report must include the council’s fiscal-year-to-date
expenditures, including all expenditures broken out into the following
categories:
1. for personal services and the associated fringe benefit costs;
2. for consultants used for reviewing applications for social equity
applicant status;
3. to provide businesses with access to capital, including the
number of these businesses;
4. to provide technical assistance for the start-up and operation of a
business, including the number of businesses assisted;
5. to fund workforce education, the number of people served by any
program the funding supported, and the number of people
successfully placed in a relevant professional role after
completing these programs; 2024HB-05524-R00-BA.DOCX
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6. to fund community investment grants, including the amounts,
grantees, and purposes of any grants made and, if any of the
grants were made to a grant maker, the amounts, grantees, and
purposes of any subgrants;
7. for promotional or branding items, including information on
what items were purchased;
8. for advertising or marketing campaigns or firms and
sponsorships;
9. for other community outreach;
10. for travel; and
11. for other expenditures not described above.
The report must also include the performance status of the council’s
responsibilities in the adult-use cannabis licensing process, including
the number of pending applications for (1) social equity applicant status,
(2) social equity plans, and (3) workforce development plans. These
must be categorized into the number of applications pending for under
30 days, between 30 and 59 days, between 60 and 89 days, and 90 or
more days.
The report must also include the number of applications approved
and denied that fiscal year, broken down by license type.
Executive Director Monthly Report
The bill requires, starting by July 1, 2024, the executive director to
prepare a monthly report on the council’s activities and submit it to the
council and the Black and Puerto Rican Caucus. The report must include
(1) the council’s planned expenditures in the following month and (2)
the status of the council’s responsibilities in cannabis licensing.
The council’s planned next-month expenditures must be broken out
into the following categories:
1. consultants used for reviewing applications for social equity 2024HB-05524-R00-BA.DOCX
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applicant status;
2. funding for community investment grants, broken down in the
same manner as the quarterly report above;
3. promotional or branding items, advertising or marketing
campaigns or firms, and sponsorships;
4. other community outreach; and
5. travel.
The performance status of the council’s responsibilities in the
cannabis licensing process must include the number of pending:
1. applications for social equity applicant status, including the date
the application was submitted, broken down by license type,
municipality, and House and Senate district location, and
2. social equity plans and workforce development plans, including
the date the plan was submitted, broken down by license type.
Cannabis Social Equity and Innovation Account and Fund
By law, for purposes of the Cannabis Social Equity and Innovation
Fund, the council must transmit to the OPM secretary estimated
expenditure requirements (for even -numbered years) and
recommended adjustments and revisions (for odd-numbered years), as
prescribed under existing law for budgeted agencies. Under the bill, the
estimates must include the amount of funds required to be distributed
for the permissible purposes from the Cannabis Social Equity and
Innovation Fund appropriations.
Under existing law, for FY 24, money from the Cannabis Social Equity
and Innovation Account was allocated to further the principles of equity
as the council solely determines. Under current law, these purposes may
include providing, among other things, (1) access to capital for
businesses, (2) technical assistance for business start-up and operations,
and (3) funding for workforce education. The Cannabis Social Equity
and Innovation Account Fund’s moneys must be appropriated for these 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 74 5/8/24
same purposes.
The bill specifies that the money in the account and fund may be used
to fund this access to business capital, technical assistance, or workforce
education in any industry.
§§ 141 & 142 — EDUCATIONAL MATERIALS ON INTIMATE
PARTNER VIOLENCE TOWARDS PREGNANT AND POSTPARTUM
PEOPLE
Amends provisions in HB 5523, as amended by House Amendment “A” that require
DPH to develop educational materials on certain topics, such as intimate partner violence
toward pregnant and postpartum people; modifies terminology by replacing “pregnant
and postpartum persons” with “expectant and postpartum mothers and persons”
HB 5523 (§§ 45 & 46), as amended by House Amendment “A,”
requires the Department of Public Health (DPH), by January 1, 2025, to
develop educational materials on intimate partner violence toward
pregnant and postpartum people. It also transfers, from the state’s
Maternal Mortality Review Committee to DPH, the responsibility for
developing educational materials on various other topics required
under current law (e.g., indicators of intimate partner violence and the
health and safety of pregnant and postpartum persons with mental
health disorders).
This bill modifies terminology by replacing (1) “pregnant and
postpartum persons” with “expectant and postpartum mothers and
persons” and (2) “postpartum person” with “postpartum mother or
person.”
EFFECTIVE DATE: July 1, 2024
§ 143 — ARTIFICIAL INTELLIGENCE TOOL PILOT PROGRAM
Requires SDE to create an AI pilot program to award grants to five school boards to help
educators and students to use AI in the classroom; the boards selected must include at
least one rural, one suburban, and one urban district and reflect the racial and ethnic
diversity of the state
For FY 25, the bill requires the State Department of Education (SDE)
to administer an artificial intelligence (AI) tool pilot program to award
school boards with grants to help them implement an existing artificial
intelligence tool for classroom instruction and student learning.
The commissioner will select the AI tool and five school boards to 2024HB-05524-R00-BA.DOCX
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participate in the grant. The school boards selected must include at least
one rural, one suburban, and one urban district and reflect the racial and
ethnic diversity of the state.
The commissioner and each participating board of education must
jointly select the grade level in which the AI tool will be used, provided
it is done in a level grades seven to 12, inclusive.
The bill requires the tool must comply with laws governing the use
of AI, the Family Educational Rights and Privacy Act of 1974 (FERPA),
the Connecticut student data privacy law (see Background — Student
Data Privacy Law), and other laws protecting student data and privacy.
Under the bill, AI means any technology, including machine learning
that uses data to train an algorithm or predictive model to help a
computer system or service autonomously perform any task, including
visual perception, language processing, or speech recognition, that is
normally associated with human intelligence or perception.
EFFECTIVE DATE: July 1, 2024
Background — Student Data Privacy Law
Connecticut’s student data privacy law restricts how website and
mobile application operators and consultants who contract with boards
of education may process or access student data. It applies to student
records and information and student-generated content. Among other
things, it requires operators and consultants to use reasonable security
practices to safeguard student data and generally prohibits contractors
from selling or disclosing student information (CGS §§ 10-234aa to -
234gg).
§ 144 — ARTIFICIAL INTELLIGENCE PROFESSI ONAL
DEVELOPMENT FOR TEAC HERS
Requires SDE to provide professional development for educators participating in the AI
tool pilot program
The bill requires SDE, for FY 25, to provide professional
development for educators working for the school boards participating
in the AI tool pilot program (see previous section). 2024HB-05524-R00-BA.DOCX
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The professional development must include:
1. training on how to use the pilot program’s AI tool properly and
safely;
2. how the tool can benefit (a) educators in classroom instruction,
and (b) students in learning, academic achievement, and
workforce development; and
3. the laws governing the use of AI, FERPA, the Connecticut
student data privacy law, and other laws protecting student data
and privacy.
EFFECTIVE DATE: July 1, 2024
§ 145 — MODEL DIGITAL CITIZENSHIP CURRICULUM
Requires SDE to develop a model digital citizenship curriculum for grades kindergarten to
12
The bill requires SDE, in collaboration with the Commission for
Educational Technology, to develop a model digital citizenship
curriculum for grades kindergarten to 12, inclusive, that school boards
can use.
The curriculum must be completed by January 1, 2025 and (1) be
rigorous, age appropriate, and aligned with State Board of Education-
approved curriculum guidelines; (2) include content and instruction to
develop digital citizenship skills and dispositions within online spaces
with the media and technology across all content areas to cultivate
positive student relationships and school climate; and (3) include topics
aligned with the model curriculum developed by SDE on civics and
citizenship, including instruction in digital citizenship and media
literacy.
The bill permits SDE to accept gifts, grants, and donations, including
in-kind donations, to help implement the model digital citizenship
curriculum the bill creates.
EFFECTIVE DATE: July 1, 2024 2024HB-05524-R00-BA.DOCX
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§ 146 — HOSPITAL FINANCIAL REPORTING TO OHS
Requires hospitals to report certain financial information to OHS semi-annually, starting
by October 1, 2024; authorizes OHS to take certain actions when hospitals meet certain
financial thresholds
The bill requires hospitals to report semi-annually, starting by
October 31, 2024, to the OHS executive director on certain financial
information for the prior two calendar quarters. Specifically, hospitals
must report the (1) number of days of cash on hand, or days cash and
cash equivalents otherwise available to them, (hereafter “cash on hand”)
and (2) dollar amounts of the following expenses that are at least 90 days
past due in the reporting period:
1. any invoices or utility bills;
2. fees, taxes, or assessments owed to public entities; and
3. unpaid employee health insurance premiums, including unpaid
contributions, claims, or other obligations supporting employees
under self-insured or fully-insured plans.
The bill requires the executive director to develop a uniform template
for hospitals to use to submit the semi-annual reports to OHS and to
post the template on the OHS website. The template must (1) be based
on generally accepted accounting principles and (2) include definitions
for the terms it uses.
Under the bill, hospitals may request an extension to comply with the
reporting requirement, as the executive director prescribes. She may
grant an extension request for good cause.
The bill also authorizes the OHS executive director to take certain
actions for hospitals who meet the following thresholds:
1. if a hospital reports two consecutive quarters of no more than 60
days of cash on hand, the executive director may require the
hospital to provide additional information she deems relevant to
understanding the hospital’s financial health;
2. if a hospital reports less than 45 days of cash on hand, OHS must 2024HB-05524-R00-BA.DOCX
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reach out to the hospital and offer assistance; and
3. if a hospital reports multiple consecutive quarters of 100 or more
days of cash on hand, the executive director may waive one of
the two semi-annual reports.
EFFECTIVE DATE: July 1, 2024
§ 147 — TRANSFER OF FY 24 GENERAL FUND REVENUE TO FY
25
Increases, by $110 million, the required transfer of FY 24 General Fund revenue to FY 25
The bill increases, from $95 million to $205 million, the amount of FY
24 General Fund resources that the state comptroller must transfer to be
counted as FY 25 General Fund revenue.
EFFECTIVE DATE: Upon passage
§§ 148-150 — CARRYFORWARD OF CERTAIN CAN NABIS-
RELATED APPROPRIATIO NS
Carries forward certain funds appropriated to OPM for costs associated with cannabis
legalization and requires them to be used in FY 25 for certain studies and community
action agencies
The bill carries forward certain funds appropriated to OPM for costs
associated with cannabis legalization and requires them to be used by
(1) OPM in FY 24 or 25 for studies related to UConn Health Center,
managerial compensation, and CSCU ($1.5 million) and (2) DSS in FY
25 for Community Action Agencies ($ 2.3 million). It correspondingly
repeals provisions in HB 5523, as amended by House Amendment “A”
carrying forward these funds (§§ 501 & 502).
EFFECTIVE DATE: Upon passage
§ 151 — PRIORITY LIST GRANT COMMITMENTS
Authorizes 11 school construction state grant commitments totaling $486.4 million
toward total estimated project costs of $583.3 million; reauthorizes three projects with an
additional state grant commitment of $73.9 million
The bill authorizes school construction state grant commitments
totaling $486.4 million toward total estimated project costs of $583.3
million. It also reauthorizes three projects that have changed
substantially in scope and cost with an additional state grant 2024HB-05524-R00-BA.DOCX
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commitment of $73.9 million.
Under the state school construction grant program, the state
reimburses towns and local districts for a percentage of eligible school
construction costs through GO bonds (with less wealthy municipalities
receiving a higher reimbursement). The municipalities pay the
remaining costs. For the state-operated Connecticut Technical
Education and Career System, also known as the technical high schools,
the state pays 100% of the project costs.
EFFECTIVE DATE: Upon passage
School Construction Grant Commitments
For each project authorized by the bill, the table below shows the
district, school, project type, estimates for total cost and state grant
commitment, and state reimbursement rate.
Table: 2024 School Construction Grant Commitments
District School Project
Type
Estimated
Project Costs
Estimated
Grant
Reimbursement
Rate
Bristol
Edgewood
Pre-K
Academy
Renovation $16,803,560 $11,701,999 69.64%
LEARN
New Early
Childhood
School at 51
Daniels
Avenue
Magnet/
Alteration/
Purchase
of Facility
95,736,656 90,949,823 95%
Stamford
South School –
Upper
New 85,871,466 51,522,880 60%
Stamford
South School –
Lower
New 72,463,942 43,478,365 60%
Bristol
Bristol Central
High School
Culinary Arts
Alteration 1,426,955 993,731 69.64%
Bristol
Bristol Eastern
High School
Culinary Arts
Alteration 1,448,285 1,008,586 69.64%
Danbury
Danbury High
School
Alteration 16,500,000 10,429,650 63.21%
Hartford
Montessori
Magnet at
Renovation 102,569,302 97,440,837 95% 2024HB-05524-R00-BA.DOCX
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District School Project
Type
Estimated
Project Costs
Estimated
Grant
Reimbursement
Rate
Batchelder
Hartford
S.A.N.D.
Elementary
School
Renovation 82,837,086 78,695,232 95%
Hartford
Maria C. Colon
Sanchez
Elementary
School
Renovation 96,945,196 92,097,936 95%
Newington
John Wallace
Middle School
Renovation 10,717,573 8,038,180 75%
Totals $583,319,021 $486,356,618
Reauthorized Projects
The bill also reauthorizes three school construction projects with a
change in cost and scope, resulting in an additional state grant
commitment of $73,910,096. The table below describes the changes to
these projects.
Table: Reauthorized School Construction Projects
District School
and
Project
Current Law The Bill Reimbursement
Rate
Hartford Betances
Learning
Lab
Magnet
School
Estimated
project
costs
$43,709,774 $66,825,200 95%
Estimated
state grant
41,524,285 63,483,940
Hartford Fred D.
Wish
Museum
School
Estimated
project
costs
49,320,000 67,290,900 95%
Estimated
state grant
46,854,000 63,926,355
Hartford E.B.
Kennelly
School
Estimated
project
costs
51,146,225 88,130,000 95%
Estimated
state grant
48,845,414 83,723,500
§§ 152-154 — PRIORITY LIST REQUIREMENTS
Requires that the priority list include additional information about enrollment projections;
allows school boards to redirect a school building project to a public use during the grant 2024HB-05524-R00-BA.DOCX
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amortization period; eliminates requirement that DAS assign categories to school building
projects; modifies local authorization requirements and reasons for which DAS may
disapprove an application
Project Report (§ 152)
The law requires DAS to annually submit the priority list to the
legislature, governor, and Office of Policy and Management secretary in
December. For each project, the list must include enrollment and
capacity projections for (1) the school receiving the grant and (2) all
schools under the applicable school board’s jurisdiction (for the eight
years following the application date in the latter case). The bill
additionally requires that the report include (1) who conducted the
enrollment projections and their cost and (2) an estimate and itemization
of each project’s ineligible costs.
Projects Redirected for Public Use (§ 152)
Existing law establishes a 10- or 20-year amortization period
(depending on the grant amount) for school building project grants and
generally requires school boards to repay the unamortized balance if
they abandon, sell, lease, demolish, or redirect the project’s use during
the amortization period to anything other than a school use. The bill
additionally allows school boards to redirect the project to a public use
during the amortization period without triggering the repayment
requirement. (Current law allows towns to seek forgiveness of the
unamortized balance if they redirect the project for a public use.)
Project Categories (§§ 152 & 153)
The bill eliminates a requirement that DAS assign school building
projects to one of three categories and makes conforming changes.
Generally, the categories are based on whether the project provides
mandatory instructional facilities, enhances these facilities, or provides
supportive services.
Local Authorization (§ 152)
The law prohibits DAS from adding a project to the priority list unless
the applicant, before applying, has either secured funding authorization
for the local share of project costs or has scheduled and prepared a
referendum for which results will be submitted by November 15 in the 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 82 5/8/24
application year. Beginning with applications submitted on and after
July 1, 2026, the bill requires that the local share include an additional
10% contingency in accordance with guidance developed by DAS.
Project Review (§ 154)
Current law allows the DAS commissioner to disapprove a grant
application if, among other things, it does not comply with the state fire
marshal’s or Department of Public Health’s requirements. The bill
instead allows her to disapprove an application if it does not include an
attestation from the local fire marshal or district or municipal health
department, as applicable, that the project plans comply with these
requirements.
Additionally, beginning July 1, 2025, the bill allows the DAS
commissioner to reject an application that does not include the solar
feasibility assessment required by the bill (see § 176 — SOLAR
FEASIBILITY STUDY below).
EFFECTIVE DATE: July 1, 2024
§§ 155 & 156 — REIMBURSEMENT RATE INCREASES FOR
CERTAIN EARLY CHILDH OOD PROJECTS
Increases the reimbursement rate bonus to 15 percentage points for certain elementary
and early childhood projects; establishes a new 15 percentage point bonus for buildings
used exclusively for early childhood care and education
Current law gives a five-percentage-point reimbursement rate
increase for new or expansion elementary school building projects that
include space for a school readiness program. The bill (1) increases this
bonus rate to 15 percentage points and (2) broadens its availability to
include an early childhood care and education program providing
services for children from birth to age five. As under existing law,
recipient districts must maintain the program for at least 10 years.
Additionally, the bill establishes a new 15 percentage point bonus for
a building or facility to be used exclusively by a school board for an early
childhood care and education program providing services for children
from birth to age five. The recipient district must maintain the program
for at least 20 years. The bill specifies that the district’s overall 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 83 5/8/24
reimbursement rate cannot exceed 100%.
The bill also increases, from 10 to 15 percentage points, the
reimbursement rate bonus for elementary school projects relating to (1)
full-day kindergarten or preschool in priority school districts or priority
schools or (2) reducing class sizes under the Early Reading Success
program. It specifies that a recipient district’s overall reimbursement
rate cannot exceed 100%.
EFFECTIVE DATE: July 1, 2024
§ 157 — INCLUSIVE MUNICIPALITY DESIGNATION
Requires school boards seeking a five-percentage point reimbursement rate increase for
being in an “inclusive municipality” to give DAS the housing commissioner’s written
determination that the municipality qualifies for the designation
Existing law makes local and regional boards of education for an
“inclusive municipality,” as determined by the housing commissioner,
eligible for a five-percentage point increase to their state grant
reimbursement rate for school building projects (see Background —
Inclusive Municipality).
The bill requires boards of education seeking this bonus rate to
submit to DAS a written determination by the housing commissioner
that the municipality in which the project will occur qualifies for the
designation. The board must submit the determination before December
1 in the year it applies to DAS for a school building project grant, and
the determination must have been issued within that year. The bill
applies to applications submitted on and after July 1, 2024.
EFFECTIVE DATE: July 1, 2024
Background — Inclusive Municipality
To qualify as an inclusive municipality, a municipality must have a
total population exceeding 6,000 and a share of affordable housing units
that is less than 10% of its total housing, as determined by the housing
commissioner.
The municipality must also have done the following: 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 84 5/8/24
1. adopted, and currently maintain, zoning regulations that (a)
promote fair housing, as determined by the commissioner; (b)
provide a streamlined approval process for multi-family housing
development of three units or more; (c) permit mixed-use
development; and (d) allow accessory dwelling units and
2. built new affordable housing units that (a) are deed-restricted to
households whose income is 80% or less of the state median
income and (b) equal at least 1% of the municipality’s total
housing units in the three years immediately before the
municipality’s grant application.
§ 158 — GRANTS TO ENDOWED ACADEMIES
Eliminates a requirement that an endowed academy’s governing board meet specified
composition requirements to be eligible for a grant
By law, an endowed academy that functions as a public high school
under state law is eligible for school construction grants (i.e., Gilbert
School, Norwich Free Academy, and Woodstock Academy). The bill
eliminates a requirement that, to be eligible for a school construction
grant, at least half of the members of an endowed academy’s governing
board, other than its chairperson, represent the school boards of the
towns that designate them as their high schools. It retains the
requirement that the academies provide school facilities to those towns
for at least 10 years after the last grant payment.
EFFECTIVE DATE: July 1, 2024
§§ 159, 161 & 164 — PROGRAM ADMINISTRATION
Replaces certain references to SDE or SBE in the school building project statutes with
references to DAS
The bill conforms the law to current practice by replacing references
to the State Department of Education (SDE) or State Board of Education
(SBE) in the school building project statutes with references to DAS.
(Legislation in 2011 and 2014 transferred the primary responsibility for
school construction grants from SDE to DAS.)
Specifically, under current law, if a school building project receives a
grant with a reimbursement rate of 95% or more but ceases to be used 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 85 5/8/24
for these purposes within 20 years after legislative approval, then title
must revert to the state unless the SDE commissioner decides otherwise
for good cause. The bill instead requires that title revert unless the DAS
commissioner decides otherwise for good cause.
The bill also (1) makes permanent a requirement that DAS prescribe
school construction rules and regulations in consultation with SDE
(under current law, it had to do so by June 30, 2013) and (2) repeals
references to SBE regulations. It also repeals an obsolete provision on
submitting change orders to SDE.
EFFECTIVE DATE: July 1, 2024
§ 160 — ENERGY FUNDS AND SCHOOL CONSTRUC TION GRANTS
Excludes certain energy-related funds from the state funds that must be subtracted from
the total project cost when calculating a school construction grant
Current law requires that any state funds received by a town for a
school building project be subtracted from the total project costs before
the state calculates the town’s state reimbursement grant amount.
Starting July 1, 2024, the bill excludes funds or benefits received under
the following energy-related initiatives from being subtracted for this
requirement:
1. certain rate design standards for electric utilities (CGS § 16-19f),
2. the Department of Energy and Environmental Protection’s
microgrid and resilience grant and loan program (CGS § 16-
243y),
3. renewable energy tariffs (see Background—Renewable Energy
Tariffs under §§ 173-175) (CGS § 16-244z),
4. conservation and load management programs (CGS § 16-245m),
and
5. the Green Bank’s Clean Energy Fund (CGS § 16-245n).
EFFECTIVE DATE: July 1, 2024 2024HB-05524-R00-BA.DOCX
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§§ 162 & 163 — PROJECT AUDITS
Modifies certain audit-related and post-project completion deadlines; makes technical
changes
The law requires towns and regional school districts to submit a
notice of project completion for a school building project after issuing a
certificate of occupancy for the project. The bill shortens, from within
three years to within one year after this issuance, the deadline by which
towns and regional districts must submit the notice. By law, DAS must
deem the project completed and conduct the audit if the town or district
does not submit the notice by the required deadline.
Under current law, if DAS does not complete an audit within five
years after receiving a notice of project completion, then it must conduct
a limited scope audit (e.g., a review of total reported expenditures and
adherence to authorized space specifications). The bill instead requires
DAS to conduct the limited scope audit two years after making the final
project payment.
The bill also makes a technical change by repealing a redundant
provision allowing the DAS commissioner to waive audit deficiencies if
she finds that doing so is in the state’s best interests. A separate statute,
unchanged by the bill, also authorizes this (CGS § 10 -286g).
Additionally, the bill removes a reference to a repealed statute (see §
210— REPEALED PROVISIONS below).
EFFECTIVE DATE: July 1, 2024
§ 163 — CONTRACTING REQUIREMENTS
Makes certain cooperative purchasing contracts a qualified bidder for most project awards;
eliminates prohibition on construction managers bidding on project elements; requires
that consultant awards be made from a pool of at least three of the most responsible
qualified proposers; requires construction managers to report on ineligible costs and meet
quarterly with school boards
Cooperative Purchasing Contracts
The law generally requires that orders and contracts for school
building projects receiving state assistance be awarded to the lowest
responsible qualified bidder only after a public invitation to bid. Under
the bill, qualified bidders include cooperative purchasing contracts 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 87 5/8/24
offered through a regional education service center (RESC) or council of
government. Under current law and the bill, separate requirements
apply for consultant and construction management services awards (see
below).
Consultant and Construction Management Services Award
Process
Current law requires that contracts for school building project
architectural services be awarded from a pool of up to the four most
responsible qualified proposers after a public selection process. The bill
instead requires that the award be from a pool of at least three of the
most responsible qualified proposers and makes conforming changes.
Among other things, the awarding authority must determine at least
three of the most responsible qualified proposers after the qualification
process (rather than the four most responsible qualified proposers) and
award the contract to one of these proposers.
Under the bill, this change also applies to contracts for (1)
construction management services and (2) other consultant services,
including services rendered by an owner’s representatives, construction
administrators, program managers, environmental professionals,
planners, and financial specialists. The bill requires that DAS approval
of orders or contracts for these consultants be in writing or through
written electronic communication for the costs to be eligible for state
funding.
Guaranteed Maximum Price (GMP) and Construction Managers
Under existing law, the construction manager’s contract must include
a GMP for construction costs. This price must be determined no later
than 90 days after selecting trade subcontractor bids.
The bill (1) eliminates current law’s prohibition on construction
managers bidding on project elements and (2) prohibits construction
from beginning before the GMP is determined. Current law allows site
preparation and demolition work to occur before the GMP is
determined.
Construction Manager Reporting and Document Retention 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 88 5/8/24
The bill requires that construction manager contracts include a
requirement to retain all documents and receipts for two years
following the date DAS completes the project audit (see above).
It also requires construction managers to submit to school boards (1)
quarterly reports regarding ineligible project costs to date and (2) a final
report on total ineligible costs. It must submit this final report upon
submitting the notice of project completion and before DAS audits the
project.
Additionally, the bill requires construction managers to meet
quarterly with the school board to review any change orders for
eligibility as the project progresses.
EFFECTIVE DATE: July 1, 2024
§§ 165, 166, 171 & 172 — TECHNICAL AND C ONFORMING
CHANGES
Removes references to repealed statutes
The bill makes technical and conforming changes by removing
references to repealed statutes (see § 210— REPEALED PROVISIONS
below).
EFFECTIVE DATE: July 1, 2024
§ 167 — SINGLE-USER TOILET AND BATHING ROOMS
Prohibits DAS from including new construction projects on the priority list if the project
plans do not provide for single-user toilet and bathing rooms
Beginning July 1, 2025, the bill prohibits DAS from including new
construction projects on the priority list if the project plans do not
provide for single-user toilet and bathing rooms available for all
students and school personnel.
EFFECTIVE DATE: July 1, 2024
§ 168 — SCHOOL BUILDING COMMITTEE MEMBER SHIP
Requires that school building committees include the school board chair or a designee
The bill requires that local school building committees include the
school board chair for the project’s district or a designee. Under existing 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 89 5/8/24
law, the committee must have at least one member with experience in
the construction industry. Among other things, the committees approve
project plans (CGS § 10-291).
EFFECTIVE DATE: July 1, 2024
§§ 169 & 170 — INDOOR AIR QUALITY GRANTS
Makes endowed academies and state charter schools eligible for grants; delays, from July 1,
2024, to July 1, 2026, the start of the prohibition on DAS awarding a grant to an
applicant that is not compliant with the inspection requirement; requires DAS to
reconsider previously rejected grant applications in FYs 25 and 26; earmarks up to $15
million of an existing bond authorization for grants to purchase equipment and materials
for constructing and installing individual classroom air purifiers
Endowed Academies and Charter Schools
The law allows school boards or RESCs to apply to DAS for grants to
reimburse costs for projects to install, replace, or upgrade HVAC
systems or related improvements. The bill extends eligibility for these
grants to endowed academies and state charter schools and makes
conforming changes. As under existing law for school boards and
RESCs, DAS must consider the academy’s or charter school’s ability to
finance the remainder of the project costs.
Under the bill, endowed academies must receive the same
reimbursement rate for indoor air quality grants as they do for school
building project grants under existing law. Generally, this percentage
may be up to 85%, based on the weighting of the reimbursement rates
of towns that have designated the academy as their high school,
rounding to the next higher whole number and adding 5% (CGS § 10-
285b).
The bill requires that state charter schools receive half of the
reimbursement rate for the town in which the school is located.
Generally, school boards may receive a reimbursement grant for 20%-
80% of eligible expenses, based on the town ranking among all
Connecticut towns using property wealth as a measure. As with the
school construction grant program, less-wealthy towns receive a larger
reimbursement rate. RESCs are reimbursed under a similar method that
reflects the wealth of the towns served by the RESC. 2024HB-05524-R00-BA.DOCX
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Reconsideration of Rejected Applications
The bill requires DAS, for FYs 25 and 26, to reconsider any rejected
application that a school board or RESC submitted before July 1, 2024.
The bill specifies that the school board or RESC does not need to submit
a new application for reconsideration unless the (1) previous application
was denied for being incomplete or (2) DAS commissioner determines
that additional information or revisions are needed. Under the bill, DAS
must provide technical assistance to school boards and RESCs during
the reconsideration period.
State Grants for HVAC Inspections
The law requires school boards to complete a uniform inspection and
evaluation of their school buildings’ HVAC systems. Starting July 1,
2024, current law prohibits the DAS commissioner from awarding
grants for HVAC or indoor air quality improvements to school districts
that have not certified compliance with the law’s inspection and
evaluation requirements. The bill delays the start of this prohibition to
July 1, 2026.
Bond Authorization
Existing law authorizes state GO bonds to fund the indoor air quality
grants. The bill earmarks up to $15 million of the authorization for
grants to purchase equipment and materials for constructing and
installing individual classroom air purifiers. It earmarks up to $11.5
million of this amount for UConn as part of the Supplemental Air
Filtration for Education program under the Clean Air Equity Response
Program to use for this purpose. It earmarks the remainder for an
organization or organizations that provide equipment and materials for
individual classroom air purifiers to schools
EFFECTIVE DATE: July 1, 2024
§§ 173-175 — RENEWABLE TARIFF FOR SOLAR IN SCHOOLS
Requires PURA to initiate a docket by January 1, 2025, to establish a program to
encourage solar facility and energy storage installation at public schools
The bill requires the Public Utilities Regulatory Authority (PURA) to
initiate a docket by January 1, 2025, to develop a program to encourage 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 91 5/8/24
solar facility and energy storage system installation at public schools.
PURA must incorporate the program into existing renewable energy
tariffs (see Background — Renewable Energy Tariffs). The bill authorizes
PURA to (1) establish a separate tariff (i.e., generally, a set of rules and
rates) for projects selected under this program and (2) limit the
program’s size by implementing a cap of up to 25 MW per year on the
generating capacity of selected projects, though PURA must allow
unused allowance under the cap in any given year to accrue (i.e., be
available in subsequent years). Under the bill, this program is separate
from and not counted toward separate caps in existing renewable
energy tariffs or energy storage programs (see Background — Energy
Storage Programs).
Under the bill, project proposals may use electricity estimates that
exceed the existing on-site usage at the time of the proposal to account
for the following additional future uses:
1. electric vehicle charging stations,
2. electric heating and cooling systems, and
3. powering equipment to provide food and water.
EFFECTIVE DATE: July 1, 2024
Background — Renewable Energy Tariffs
The law and subsequent PURA decisions establish renewable energy
tariffs that govern how electric customers that install, lease, or otherwise
contract with solar facilities are compensated for the energy and related
attributes these facilities generate. The law sets caps for two programs
under these tariffs: the Nonresidential Energy Solutions program
(NRES) and the Shared Clean Energy Facility program (SCEF). For
NRES, the law caps low-emissions projects at 10 MW per year and zero-
emissions projects at 100 MW per year. For SCEF, the law applies a 50
MW cap (CGS § 16-244z(c)(1)(A)).
Background — Energy Storage Programs
The law authorizes PURA to develop and implement programs for 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 92 5/8/24
electric energy storage resources (e.g., batteries) connected to the electric
distribution system (CGS § 16-243ee). While the law does not set caps
for energy storage, the program PURA subsequently established is
based on energy storage deployment goals in statute (PURA Docket 17-
12-03RE03). By law, these goals are as follows:
1. 300 MW by December 31, 2024;
2. 650 MW by December 31, 2027; and
3. 1,000 MW by December 31, 2030 (CGS § 16-243cc).
§ 176 — SOLAR FEASIBILITY STUDY
Generally requires school boards, before submitting a priority list application, to have a
solar feasibility assessment performed for the school building that is the subject of the
application
Beginning July 1, 2025, the bill requires school boards, before
submitting a priority list application for a school building project grant,
to have a solar feasibility assessment performed for the building that is
the subject of the application unless it already uses solar energy. Boards
may coordinate with one another in providing the assessment.
Under the bill, the assessment must give a school board the
information it needs to determine the feasibility of installing solar
facilities on the school’s premises, including the following:
1. the school’s annual electric load during the most recent calendar
year, if applicable;
2. the available area of rooftop space and impervious surface to host
solar facilities;
3. available opportunities to interconnect with the electric
distribution system; and
4. a description of anticipated costs, savings, and contractual terms
for solar facilities, including interconnection costs and electric bill
credits.
As noted earlier, the bill allows the DAS commissioner to reject a 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 93 5/8/24
priority list application that does not have this assessment (see § 154
above).
EFFECTIVE DATE: July 1, 2024
§§ 177-209 — SCHOOL CONSTRUCTION PROJECT EXEMPTIONS,
WAIVERS, AND MODIFICATIONS
Exempts school construction projects in 25 towns and one regional school district from
statutory and regulatory requirements to allow these projects to, among other things,
qualify for state reimbursement grants, receive higher grant reimbursement percentages,
or have their projects reauthorized due to a change in scope or cost; also repeals a prior
project authorization
The bill exempts school construction projects in 25 towns (including
projects by the state or a different entity) and one regional school district
from statutory and regulatory requirements to allow them to, among
other things, (1) qualify for state reimbursement grants, (2) receive
higher reimbursement percentages for the grants, or (3) have their
project reauthorized due to a change in scope or cost. (These exemptions
are commonly referred to as “notwithstandings.”) Generally, other than
the specific notwithstanding provisions mentioned below, the projects
must meet all other eligibility requirements.
The table below describes the notwithstandings that the bill grants.
Table: Notwithstandings for School Construction Projects
Bill § Town School and Project Exemption, Waiver, or
Other Change
177 Danbury Danbury Career Academy at
Cartus, new construction
Increases the maximum
cost of a 2022
notwithstanding for the
same project from $154
million to $179.5 million
Amends a 2023
notwithstanding for the
same project to increase,
from $39.4 million to
$45.76 million, the
amount Danbury may be
reimbursed for site
acquisition costs
178 Danbury Ellsworth Avenue School, Allows replacement of a
roof that is less than 20 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 94 5/8/24
Bill § Town School and Project Exemption, Waiver, or
Other Change
roof replacement years old to be eligible for
a state reimbursement
grant, based on the
town’s standard rate
179 New London Science/Technology Magnet
High School, interdistrict
magnet facility extension and
alteration
Allows reimbursement of
up to $1,591,736 for
otherwise ineligible
project costs
180 Milford Projects at 14 specified
schools
Waives the standard
building space
requirements
181 Tolland Birch Grove Primary School,
new construction
Waives the standard
building space
requirements
182 Greenwich Central Middle School,
renovation
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$112,017,000 if
Greenwich files an
application before
October 1, 2024
Sets a 20% project
reimbursement rate
Waives standard space
specifications
183 Trumbull Hillcrest Middle School, new
construction
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$140,962,823 if Trumbull
files an application before
December 1, 2024
Sets a 44% project
reimbursement rate rather
than 24.29%*
184 Derby Irving School, solar panels
Bradley School, solar panels
Derby Middle School, solar
Allows reimbursement for
otherwise ineligible
project costs 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 95 5/8/24
Bill § Town School and Project Exemption, Waiver, or
Other Change
panels
185 New Britain Smith Elementary School,
renovation
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$145 million if the
application is filed before
October 1, 2026, and the
project includes
constructing preschool
facilities as part of or on
the school’s site
Allows a 95%
reimbursement rate
instead of 78.93%* if (1)
New Britain is an
educational reform district
on the bill’s effective date
and (2) the school
building committee for the
project meets specified
membership criteria
Waives the standard
building space
requirements
186 New Britain Chamberlain Elementary
School, renovation
Allows New Britain to
change the project’s
scope to not include
constructing preschool
facilities as long as those
facilities are included in
the Smith Elementary
School project (see
above)
187 New Britain Jefferson Elementary School,
renovation
Amends a 2023
notwithstanding for the
same project by
extending the application
deadline from October 1,
2026, to October 1, 2028
188 Torrington Torrington Middle & High
School, construction of a
Sets the allowable project
reimbursement rate at
85% for constructing 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 96 5/8/24
Bill § Town School and Project Exemption, Waiver, or
Other Change
central administration facility outdoor athletic facilities
(including artificial turf),
including for any costs
that would otherwise be
reimbursed at one-half of
this rate
Allows reimbursement of
up to $6 million for
otherwise ineligible
project costs
189 Ellington Windermere Elementary
School, renovation
Reauthorizes project and
allows a change in scope
if the cost does not
exceed $74.6 million
Waives the filing deadline
to be on the 2024 priority
list (§ 151)
Waives requirement that
all projects must be
awarded after a publicly
advertised invitation to
bid, including notice on
the State Contracting
Portal, if the project is
otherwise eligible under
the program
190 Darien Holmes Elementary School,
roof replacement
Waives the requirement
that a construction bid not
be let out without DAS
plan and specifications
approval
191 Darien Hindley Elementary School,
roof replacement
Waives the requirement
that a construction bid not
be let out without DAS
plan and specifications
approval
192 Darien Hindley Elementary School,
extension and alteration
Reauthorizes project and
allows a change in scope
if the cost does not exceed
$33,479,045
Waives the filing deadline 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 97 5/8/24
Bill § Town School and Project Exemption, Waiver, or
Other Change
to be on the 2024 priority
list (§ 151)
193 Darien Holmes Elementary School,
extension and alteration
Reauthorizes project and
allows a change in scope
if the cost does not exceed
$34,003,800
Waives the filing deadline
to be on the 2024 priority
list (§ 151)
194 Darien Royle Elementary School,
extension and alteration
Reauthorizes project and
allows a change in scope
if the cost does not
exceed $34,007,890
Waives the filing deadline
to be on the 2024 priority
list (§ 151)
195(a),
(b) &
(d)
Ansonia New middle school
construction
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
if the application is filed
before October 1, 2024
(maximum cost not
specified)
Allows an 87%
reimbursement rate,
rather than 67.86%*
Waives the standard
building space
requirements
195(c) Ansonia New middle school,
construction of a central
administration facility
Sets the allowable project
reimbursement rate at
87%, including for any
costs that would
otherwise be reimbursed
at one-half of this rate
196 East Hartford
(Goodwin University-
run Sheff magnet
Goodwin University Industry
5.0 Magnet Technical High
School
Reauthorizes the project
and increases its
allowable cost from $75
million to $85 million if the
application is filed before 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 98 5/8/24
Bill § Town School and Project Exemption, Waiver, or
Other Change
school) June 1, 2024
Changes project from
extension and alteration
to new construction
197 Region 4 (i.e.,
Chester, Deep River,
and Essex)
John Winthrop Middle
School, alteration
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$5.8 million
Waives the standard
building space
requirements
198 Windsor (Capital
Region Education
Council)
Early learning center at
former Roger Wolcott School
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$4,887,928
Makes the project eligible
for total (100%) project
cost reimbursement
199 Stamford Davenport Elementary
School, alteration
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$3,767,801 if the
application is filed before
October 1, 2024
200 Waterbury Code violation project
Duggan Elementary School,
renovation and extension
Jonathan E. Reed
Elementary School, new
construction and site
purchase,
Carrington Elementary
School, new construction
Waterbury Career Academy,
new construction and site
Waives any audit
deficiencies 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 99 5/8/24
Bill § Town School and Project Exemption, Waiver, or
Other Change
purchase
Michael F. Wallace Middle
School, extension and
alteration
John F. Kennedy High
School, extension and
alteration
201 Thompson Tourtellotte Memorial High
School, code violation and oil
tank replacement
Waives the requirement
that a construction bid not
be let out without DAS
plan and specifications
approval as long as DAS
later approves them
202 Simsbury Latimer Lane School,
renovation
Sets a 35% project
reimbursement rate
instead of 33.57%**
203 Middletown Middletown High School, new
construction
Allows reimbursement of
up to $3.5 million for audit
deficiencies and
otherwise ineligible
project costs
204 Farmington Farmington High School, new
construction and central
administration facility
Allows reimbursement of
up to $1.8 million for
otherwise ineligible
project costs
205 Groton
(state project)
Ella T. Grasso Technical
High School, extension and
alteration
Reauthorizes project and
allows a change in scope
if the cost does not
exceed $135,821,895
Waives the filing deadline
to be on the 2024 priority
list (§ 151)
206 Meriden
(state project)
H.C. Wilcox Technical High
School (project unspecified)
Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$15.5 million if the
application is filed before
October 1, 2024 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 100 5/8/24
Bill § Town School and Project Exemption, Waiver, or
Other Change
207 Enfield Nathan Hale Elementary
School, extension and
alteration
Forgives a refund owed to
the state for the
unamortized balance of
the remaining state grant
as of the date the building
project was abandoned,
sold, leased, demolished,
or redirected for use other
than as a public school
208 Manchester Bowers Elementary School,
renovation
Buckley Elementary School,
renovation
Keeney Elementary School,
renovation
Allows federal,
Eversource, and other
state funds to count
towards town’s local
share of project costs
209 Sherman Sherman School, renovation Waives the filing deadline
to be on the 2024 priority
list (§ 151) for the project
with a maximum cost of
$42.5 million if the
application is filed before
October 1, 2024
Sets a 30% project
reimbursement rate
instead of 25%*
Waives the standard
building space
requirements
*FY 24 reimbursement rates are shown for reference; actual rates depend upon the year the
application is submitted and the final determination of the project type (new or renovation)
**Rate from 2022 priority list (PA 22-118, § 362)
EFFECTIVE DATE: Upon passage
§ 210 — REPEALED PROVISIONS
Repeals several obsolete school building project statutes
The bill repeals several obsolete school building project statutes and 2024HB-05524-R00-BA.DOCX
Researcher: RP Page 101 5/8/24
makes conforming changes. The statutes relate to the following:
1. a 2002 pilot program for design-build projects (CGS § 10-285f);
2. an FY 06 pilot program for a charter school building project (CGS
§ 10-285h);
3. lump sum grant payments for projects submitted before October
15, 1975 (CGS §§ 10-287a & -287f); and
4. interest subsidy grants for certain projects authorized before July
1, 1996, or for which an application was submitted before July 1,
1997 (CGS §§ 3-76t, 10-287j & 10-292c to -292n).
The repeal of the interest subsidy grants also includes the repeal of a
GO bond authorization that funded the grants (CGS § 10-292k). (The
State Bond Commission has fully allocated the authorization.)
EFFECTIVE DATE: July 1, 2024
§ 211 — TECHNICAL CORRECTIONS DURING COD IFICATION
Requires the Legislative Commissioners’ Office to make necessary technical, grammatical,
and punctuation changes when codifying the bill
The bill requires the Legislative Commissioners’ Office to make
technical, grammatical, and punctuation changes as necessary to codify
the bill, including internal reference corrections.
EFFECTIVE DATE: Upon passage