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General Assembly Raised Bill No. 456
February Session, 2024
LCO No. 3486
Referred to Committee on FINANCE, REVENUE AND
BONDING
Introduced by:
(FIN)
AN ACT REQUIRING THE DEVELOPMENT AND IMPLEMENTATION
OF TEN-YEAR PLANS TO ERADICATE CONCENTRATED POVERTY
IN THE STATE.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. (NEW) (Effective from passage) (a) It is hereby declared that 1
there exists a concentrated poverty crisis in the state that exacts a critical 2
toll on poor and nonpoor residents of communities that house areas of 3
concentrated poverty, which create lifelong and persistent 4
disadvantages across generations by lowering the quality of educational 5
and employment opportunities, limiting health care access and 6
diminishing health outcomes, increasing exposure to crime, reducing 7
available choices for affordable and properly maintained housing and 8
imposing obstacles to wealth-building and economic mobility. It is 9
further declared that the development and implementation of the ten-10
year plans under this section to eradicate concentrated poverty in the 11
state are necessary and for the public benefit, as a matter of legislative 12
determination. 13
(b) There is established an Office of Neighborhood Investment and 14 Raised Bill No. 456
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Community Engagement within the Department of Economic and 15
Community Development. Said office shall have a staff dedicated 16
exclusively to carry out the provisions of this section, oversee the 17
implementation of the ten-year plans developed pursuant to this 18
subsection, monitor the state's progress in reducing concentrated 19
poverty in the state and serve as the facilitator to coordinate 20
communication between the various parties and disseminate 21
information in a timely and efficient manner. 22
(1) (A) Said office shall develop a plan for each concentrated poverty 23
census tract to eradicate, over ten years, the levels of concentrated 24
poverty in the state, evidenced by a reduction, to twenty per cent or 25
lower, in the percentage of households who reside in a concentrated 26
poverty census tract and have incomes below the federal poverty level, 27
as well as sustained improvements in community infrastructure and 28
other underlying conditions that serve to prolong concentrated poverty 29
and economic inertia in such census tracts. In developing such plan, said 30
office shall consult with the Office of Community Development 31
Assistance established under section 32-7s of the general statutes, as 32
amended by this act, the Office of Workforce Strategy established under 33
section 4-124w of the general statutes, the Office of Early Childhood, the 34
Department of Education, the Office of Policy and Management, the 35
municipal chief elected officials and community development 36
corporations set forth in subsection (c) of this section and any other 37
public or private entity the Commissioner of Economic and Community 38
Development deems relevant or necessary to achieving the purposes of 39
this subsection. As used in this section, "concentrated poverty census 40
tract" means a census tract identified as a high poverty-low opportunity 41
census tract, as of January 1, 2024, by the Office of Policy and 42
Management pursuant to section 101 of public act 23-205. 43
(B) Each ten-year plan shall include, but need not be limited to, (i) 44
measurable steps to be taken for its implementation, the target date by 45
which each such step is to be completed and the state or municipal 46
official or state or municipal agency, department or division responsible 47
for each such step, (ii) minimum state-wide averages for educational 48 Raised Bill No. 456
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metrics, including, but not limited to, kindergarten-readiness, grade 49
level reading and mathematics and college-readiness or career-50
readiness, to be used as benchmarks for improvements in each 51
concentrated poverty census tract, and (iii) the list of possible projects 52
determined pursuant to subdivision (2) of this subsection. 53
(C) On or before June 1, 2025, the Commissioner of Economic and 54
Community Development shall inform the joint standing committee of 55
the General Assembly having cognizance of matters relating to finance, 56
revenue and bonding, in writing, of the progress made to date in the 57
development of each ten-year plan. Not later than January 1, 2026, said 58
commissioner shall submit all such plans to the General Assembly, in 59
accordance with the provisions of section 11-4a of the general statutes. 60
(2) (A) Each municipality in which at least one concentrated poverty 61
census tract has been identified as of January 1, 2024, shall assist 62
community members to establish a community development 63
corporation pursuant to the provisions of section 32-7s of the general 64
statutes, as amended by this act, to assist such municipality in carrying 65
out such municipality's responsibilities under this section and the ten-66
year plan for such census tract. 67
(B) The Office of Neighborhood Investment and Community 68
Engagement shall, jointly with the chief elected official of each such 69
municipality and the community development corporation established 70
to assist such municipality, develop a list of possible projects that will 71
be included in the ten-year plan for each concentrated poverty census 72
tract located in such municipality. Said office, official and corporation 73
shall (i) determine the types of projects they deem to be the most 74
appropriate and effective for such census tract to eradicate concentrated 75
poverty within such census tract, including, but not limited to, capital 76
projects, workforce development programs, housing development, 77
community and neighborhood improvements and education initiatives 78
to assist and support residents in meeting and surpassing the 79
educational metrics described in subparagraph (B)(ii) of subdivision (1) 80
of subsection (b) of this section, and (ii) take into account the criteria for 81 Raised Bill No. 456
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projects eligible for grants under sections 32-7s of the general statutes, 82
as amended by this act, 32-7x of the general statutes, as amended by this 83
act, and 32-285a of the general statutes, as amended by this act. 84
(3) Not later than February 1, 2027, and annually thereafter, the 85
Commissioner of Economic and Community Development shall submit 86
a report to the General Assembly, the Office of Workforce Strategy, the 87
Office of Early Childhood and the Office of Policy and Management, in 88
accordance with the provisions of section 11-4a of the general statutes, 89
that summarizes the progress being made by the Office of 90
Neighborhood Investment and Community Engagem ent in 91
implementing each of the ten-year plans, the status of any projects 92
pending or undertaken for each concentrated poverty census tract and 93
any other information the commissioner or the Office of Neighborhood 94
Investment and Community Engagement deems relevant or necessary. 95
(c) If any state or municipal official responsible for carrying out a 96
requirement or responsibility under the provisions of this section or a 97
ten-year plan fails to do so in a timely manner, any resident of a 98
concentrated poverty census tract who is aggrieved by such failure may 99
bring an action against such official in the superior court for the judicial 100
district in which such census tract is located for a writ of mandamus to 101
compel such official to carry out such requirement or responsibility. 102
Sec. 2. Section 32-7s of the general statutes is repealed and the 103
following is substituted in lieu thereof (Effective from passage): 104
(a) As used in this section: 105
(1) "Certified community development corporation" means an 106
organization exempt from taxation under Section 501(c)(3) of the 107
Internal Revenue Code of 1986, or any subsequent corresponding 108
internal revenue code of the United States, as amended from time to 109
time, that (A) focuses a substantial majority of the community 110
development corporation's efforts on serving one or more target areas, 111
(B) has as its purpose to engage local residents and businesses to work 112
together to undertake community development programs, projects and 113 Raised Bill No. 456
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activities that develop and improve urban communities in sustainable 114
ways that create and expand economic opportunities for low and 115
moderate-income people, (C) demonstrates to the Office of Community 116
Economic Development Assistance established under subsection (b) of 117
this section that the community development corporation's 118
constituency is meaningfully represented on the board of directors of 119
such community development corporation, through (i) the percentage 120
of the board members who are residents of a target area or a community 121
that such community development corporation serves or seeks to serve, 122
(ii) the percentage of board members who are low or moderate-income, 123
(iii) the racial and ethnic composition of the board in comparison to the 124
racial and ethnic composition of the community such community 125
development corporation serves or seeks to serve, or (iv) the use of 126
mechanisms such as committees or membership meetings that the 127
community development corporation uses to ensure that its 128
constituency has a meaningful role in the governance and direction of 129
the community development corporation, and (D) is certified by the 130
Office of Community Economic Development Assistance pursuant to 131
this section; 132
(2) "Department" means the Department of Economic and 133
Community Development; and 134
(3) "Target area" means a contiguous geographic area in which the 135
current unemployment rate exceeds the state unemployment rate by at 136
least twenty-five per cent or in which the mean household income is at 137
or below eighty per cent of the state mean household income, as 138
determined by the most recent decennial census. 139
(b) (1) There is established an Office of Community Economic 140
Development Assistance within the Department of Economic and 141
Community Development. The office shall, within available 142
appropriations, (A) provide assistance to organizations seeking to 143
establish themselves or be certified as a community development 144
corporation in the state, (B) provide grants to certified community 145
development corporations for projects to be undertaken in a target area, 146 Raised Bill No. 456
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(C) serve as the liaison between community development corporations 147
and investors seeking to invest funds in such community development 148
corporations and provide assistance in soliciting investment funds for 149
such community development corporations, and (D) seek to ensure 150
coordinated, efficient and timely responses to such organizations, 151
community development corporations and investors. 152
(2) The office shall identify eligible target areas in the state and post 153
such target areas on the department's Internet web site. 154
(c) (1) Any organization exempt from taxation under Section 501(c)(3) 155
of the Internal Revenue Code of 1986, or any subsequent corresponding 156
internal revenue code of the United States, as amended from time to 157
time, may apply to the Office of Community Economic Development 158
Assistance to establish itself as or be certified as a community 159
development corporation in the state. The office shall prescribe the form 160
and manner of such application. 161
(2) (A) Any existing community development corporation that 162
operates or seeks to operate in the state may apply to the office to be 163
certified. The office shall certify any community development 164
corporation that is exempt from taxation under Section 501(c)(3) of said 165
Internal Revenue Code and meets the requirements set forth in 166
subparagraphs (A) to (C), inclusive, of subdivision (1) of subsection (a) 167
of this section. Each community development corporation that is 168
established pursuant to this subsection shall be deemed to be certified. 169
(B) The office shall maintain a current list of certified community 170
development corporations and shall post such list on the Internet web 171
site of the department. 172
(3) The Office of Community Economic Development Assistance 173
shall establish a grant program for projects to be undertaken by a 174
certified community development corporation in a target area, 175
provided, on and after the date the ten-year plans developed under 176
section 1 of this act are submitted to the General Assembly, the office 177
shall give priority to projects included in such plans. Such projects shall 178 Raised Bill No. 456
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include, but not be limited to, infrastructure improvements, housing 179
rehabilitation, streetscape improvements and facade improvements for 180
businesses. The office shall establish the application form and process 181
for such grant program, the criteria for eligible projects and for 182
awarding grants and any caps or limits on the amount or number of 183
grants awarded. The office shall post information concerning the grant 184
program on the department's Internet web site. 185
(d) (1) For the purposes described in subdivision (2) of this 186
subsection, the State Bond Commission shall have the power from time 187
to time to authorize the issuance of bonds of the state in one or more 188
series and in principal amounts not exceeding in the aggregate fifty 189
million dollars. 190
(2) The proceeds of the sale of such bonds, to the extent of the amount 191
stated in subdivision (1) of this subsection, shall be used by the 192
Department of Economic and Community Development for the 193
purposes of carrying out the duties of the Office of Community 194
Economic Development Assistance under subsection (b) of this section 195
and the grant program under subsection (c) of this section. 196
(3) All provisions of section 3-20, or the exercise of any right or power 197
granted thereby, that are not inconsistent with the provisions of this 198
section are hereby adopted and shall apply to all bonds authorized by 199
the State Bond Commission pursuant to this section. Temporary notes 200
in anticipation of the money to be derived from the sale of any such 201
bonds so authorized may be issued in accordance with section 3-20 and 202
from time to time renewed. Such bonds shall mature at such time or 203
times not exceeding twenty years from their respective dates as may be 204
provided in or pursuant to the resolution or resolutions of the State 205
Bond Commission authorizing such bonds. None of such bonds shall be 206
authorized except upon a finding by the State Bond Commission that 207
there has been filed with it a request for such authorization that is signed 208
by or on behalf of the Secretary of the Office of Policy and Management 209
and states such terms and conditions as said commission, in its 210
discretion, may require. Such bonds issued pursuant to this section shall 211 Raised Bill No. 456
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be general obligations of the state and the full faith and credit of the state 212
of Connecticut are pledged for the payment of the principal of and 213
interest on such bonds as the same become due, and accordingly and as 214
part of the contract of the state with the holders of such bonds, 215
appropriation of all amounts necessary for punctual payment of such 216
principal and interest is hereby made, and the State Treasurer shall pay 217
such principal and interest as the same become due. 218
(e) Not later than July 1, 2023, and annually thereafter, the Office of 219
Community Economic Development Assistance shall submit a report, 220
in accordance with the provisions of section 11-4a, to the joint standing 221
committees of the General Assembly having cognizance of matters 222
relating to commerce, planning and development and finance, revenue 223
and bonding. Such report shall include, but not be limited to, a 224
description of the activities undertaken by the office in the preceding 225
fiscal year, the number of community development corporations 226
established and certified in the preceding fiscal year, the number and 227
amounts of grants awarded to certified community development 228
corporations in the preceding fiscal year and a description and the 229
locations of the projects undertaken by certified community 230
development corporations in the preceding fiscal year. 231
Sec. 3. Section 32-7x of the 2024 supplement to the general statutes is 232
repealed and the following is substituted in lieu thereof (Effective from 233
passage): 234
(a) As used in this section, ["high poverty-low opportunity census 235
tract"] "concentrated poverty census tract" means a United States census 236
tract in which thirty per cent or more of the [residents] households 237
within such census tract have incomes below the federal poverty level, 238
according to the most recent five-year United States Census Bureau 239
American Community Survey. 240
(b) The Secretary of the Office of Policy and Management shall 241
compile a list of [high poverty-low opportunity] concentrated poverty 242
census tracts in the state and the municipalities in which such census 243 Raised Bill No. 456
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tracts are located and shall, not later than July 31, 2023, submit such list 244
to the General Assembly in accordance with the provisions of section 245
11-4a. The secretary shall post such list to the Internet web site of the 246
Office of Policy and Management and shall review and update such list 247
as necessary. Whenever the secretary updates such list, the secretary 248
shall submit such updated list to the General Assembly in accordance 249
with the provisions of section 11-4a. 250
(c) (1) The Commissioner of Economic and Community Development 251
shall establish a grant program to fund eligible projects within [high 252
poverty-low opportunity] concentrated poverty census tracts. An 253
eligible project shall seek to reduce concentrated poverty within such 254
tracts and the effects of such poverty, including, but not limited to, the 255
lower lifetime income of residents within such tracts, the lower lifetime 256
income expectations of future generations within such tracts, increased 257
crime and risk of incarceration for residents within such tracts and 258
educational deficiencies within such tracts. An eligible project includes: 259
(A) Construction, renovation or rehabilitation of mixed-income rental 260
housing and owner-occupied housing, in order to retain individuals and 261
families of different income levels and to increase the percentage of 262
owner-occupied housing within such census tract or tracts; 263
(B) The establishment or improvement of workforce development 264
programs, including, but not limited to, programs that partner with 265
organizations to identify unemployed or underemployed individuals 266
and at-risk youth residing in such census tracts, identify workforce 267
training opportunities and other resources for such individuals and link 268
such individuals with the appropriate training and resources that will 269
increase the skills and earning potential of such individuals; and 270
(C) Construction, renovation or rehabilitation of public 271
infrastructure, in order to support and improve the private investment 272
opportunities, quality of life and public safety within such census tract 273
or tracts. 274
(2) Beginning on January 1, 2024, and not later than January 1, 2030, 275 Raised Bill No. 456
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each municipality in which a [high poverty-low opportunity] 276
concentrated poverty census tract is located may apply to the 277
commissioner, in a form and manner prescribed by the commissioner, 278
to receive a grant for an eligible project or any combination of eligible 279
projects. An application may target one [high poverty-low opportunity] 280
concentrated poverty census tract or more than one such census tract if 281
such census tracts are geographically contiguous or within reasonable 282
proximity of each other. An applicant shall not be prohibited from filing 283
more than one application for different [high poverty-low opportunity] 284
concentrated poverty census tracts or groups of such census tracts. 285
(d) (1) Not later than January 1, 2024, the commissioner shall establish 286
criteria for the awarding of grants as described in subdivision (2) of this 287
subsection, requirements for documents and information as described 288
in subdivision [(3)] (4) of this subsection and deadlines for submitting 289
applications and revised and modified applications under subsection (e) 290
of this section. The commissioner shall post such criteria, requirements 291
and deadlines on the Internet web site of the Department of Economic 292
and Community Development, notify each municipality in which a 293
[high poverty-low opportunity] concentrated poverty census tract is 294
located of such posting and promote the availability of the grant 295
program established by this section in each [high poverty-low 296
opportunity] such census tract. 297
(2) Criteria for the awarding of grants pursuant to this section shall 298
include, but need not be limited to: 299
(A) The likelihood that a proposal will reduce adult or child poverty 300
within a [high poverty-low opportunity] concentrated poverty census 301
tract; 302
(B) The likelihood that a proposal will reduce the likelihood that 303
children currently residing within a [high poverty-low opportunity] 304
concentrated poverty census tract will live in poverty after reaching 305
adulthood; 306
(C) The likelihood that a proposal will produce persistent and 307 Raised Bill No. 456
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meaningful improvements in residents' wealth, financial security, 308
employability or quality of life beyond the duration of the proposal; 309
(D) The feasibility of the initiatives in a proposal and the 310
demonstrated or perceived capacity to execute upon the scope of work 311
in a proposal, including, but not limited to, adequate staffing levels of 312
entities involved with the proposal; and 313
(E) The interconnectivity and mutual reinforcement among all 314
proposed initiatives in the same [high poverty-low opportunity] 315
concentrated poverty census tract area or areas, such as providing 316
workforce training programs to parents of children enrolled in a 317
supported early childhood program. 318
(3) On and after the date the ten-year plans developed under section 319
1 of this act are submitted to the General Assembly, priority shall be 320
given to projects included in such plan. 321
[(3)] (4) Requirements for documents and information to be 322
submitted by municipalities to evaluate applications shall include, but 323
need not be limited to: 324
(A) A description of how the proposal intends to address each type 325
of eligible project described in subparagraphs (A) to (C), inclusive, of 326
subdivision (1) of subsection (c) of this section, and whether there are 327
existing projects or programs to address such eligible projects; 328
(B) A description of each initiative within the proposal, which may 329
include multiple simultaneous initiatives, and how each initiative will 330
meet one of the criteria established pursuant to subdivision (2) of this 331
subsection; 332
(C) A description of sufficient efforts, as determined by the 333
commissioner, to engage residents of the [high poverty-low 334
opportunity] concentrated poverty census tract in formulating a 335
proposal; 336
(D) For an initiative that is an eligible project described in 337 Raised Bill No. 456
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subparagraph (B) of subdivision (1) of subsection (c) of this section, a 338
description of the municipality's consultations with the regional 339
workforce development board that serves the municipality regarding 340
the development of such project and efforts to coordinate such project 341
with the board's activities; 342
(E) A description of each organization that will participate in an 343
eligible project described in subparagraph (B) of subdivision (1) of 344
subsection (c) of this section, and information on each organization's 345
commitment to provide continuous, sustained engagement with 346
residents of such tract throughout the project; 347
(F) A description of the entity or organization responsible for 348
coordinating the implementation of each component of the application 349
and overseeing the various projects and programs outlined in such 350
application; 351
(G) A description of plans for ongoing engagement with residents of 352
such census tracts and solicitation of feedback on the progress of a 353
proposal during its implementation; and 354
(H) A description of plans to provide residents of such census tract 355
with opportunities to become involved in implementation of a proposal. 356
(e) (1) The department shall review and evaluate each application 357
submitted and shall work with the applicant municipality to revise the 358
application if the department believes such revisions will improve or 359
strengthen the application. The department shall assist an applicant in 360
identifying and applying for funding under other programs in order to 361
maximize the amount of funding available for an applicant, including 362
seeking funding under section 4-66c. For a proposal for an eligible 363
project described in subparagraph (A) of subdivision (1) of subsection 364
(c) of this section, the commissioner shall evaluate such project in 365
consultation with the Commissioner of Housing and the Commissioner 366
of Housing shall assist the applicant with obtaining funding for such 367
project through programs operated by the Department of Housing. 368 Raised Bill No. 456
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(2) The commissioner shall submit to the Governor all applications 369
that are deemed to satisfy the requirements of subsection (d) of this 370
section. The Governor shall review such applications and may approve 371
or disapprove an application or return an application to the 372
commissioner for modifications. If an application is returned to the 373
commissioner, the commissioner shall work with the applicant to 374
modify the application and shall resubmit such application with 375
modifications to the Governor. If the Governor approves an application, 376
the Governor shall make a grant award from bond proceeds under 377
section 32-7y, provided the Governor may use funds from other bond 378
proceeds authorized for the general purposes described in 379
subparagraphs (A) to (C), inclusive, of subdivision (1) of subsection (c) 380
of this section for such grants. Grants awarded under this section shall 381
be for a period of three years, and in an amount sufficient to carry out 382
the objectives of the application, but not less than five hundred 383
thousand dollars. Each application that the Governor approves shall be 384
considered at a State Bond Commission meeting not later than two 385
months after the date the application was approved by the Governor. 386
(f) At the conclusion of the initial grant period, the commissioner 387
shall evaluate the municipality's progress toward reducing the number 388
of [residents] households within the applicable [high poverty-low 389
opportunity] concentrated poverty census tract who have incomes 390
below the federal poverty level to less than thirty per cent of the 391
[residents] households of such census tract. Such evaluation shall 392
consider, among other factors, any change in the percentage of 393
[residents] households within such census tract who have incomes 394
below the federal poverty level, and whether the actions taken pursuant 395
to such grant during the initial grant period: (1) May reasonably result 396
in a future reduction in the percentage of [residents] households within 397
such census tract who have incomes below the federal poverty level, (2) 398
have resulted in a reduction in child poverty within such census tract, 399
(3) may reasonably result in a future reduction in child poverty within 400
such census tract, or (4) may reasonably decrease the likelihood that 401
children who are currently living within such census tract will have 402 Raised Bill No. 456
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incomes below the federal poverty level after they reach adulthood. 403
Upon a determination by the commissioner that reasonable progress has 404
been made, the municipality shall be eligible for subsequent grants 405
under this section, provided, at the conclusion of each subsequent grant 406
period of three years, each applicant municipality shall be subject to an 407
evaluation and determination under this subsection prior to being 408
eligible to apply for a subsequent grant. An application for a subsequent 409
grant and the awarding of a subsequent grant shall be in accordance 410
with the provisions of subsections (c) to (e), inclusive, of this section. 411
(g) Not later than August 1, 2024, and annually thereafter until and 412
including August 1, 2029, the commissioner shall submit a report, in 413
accordance with the provisions of section 11-4a, to the General 414
Assembly, that includes the municipalities that submitted applications 415
and that were awarded grants under this section in the prior fiscal year, 416
a description of each purpose and eligible project a municipality 417
awarded a grant under this section is seeking to accomplish or 418
undertaking, a progress report, if applicable, for each such purpose or 419
eligible project and any other information the commissioner deems 420
relevant. 421
Sec. 4. Section 32-285a of the 2024 supplement to the general statutes 422
is repealed and the following is substituted in lieu thereof (Effective from 423
passage): 424
(a) As used in this section: 425
(1) "Administrative costs" means the costs paid or incurred by the 426
administrator of the Community Investment Fund 2030 Board 427
established under subsection (b) of this section, including, but not 428
limited to, allocated staff costs and other out-of-pocket costs attributable 429
to the administration and operation of the board; 430
(2) "Administrator" means the Commissioner of Economic and 431
Community Development, or the commissioner's designee; 432
(3) "Eligible project" means: 433 Raised Bill No. 456
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(A) (i) A project proposed by a municipality, community 434
development corporation or nonprofit organization, for the purpose of 435
promoting economic or community development in the municipality or 436
a municipality served by such corporation or organization, such as 437
brownfield remediation, affordable housing, establishment of or 438
improvements to water and sewer infrastructure to support smaller 439
scale economic development, pedestrian safety and traffic calming 440
improvements, establishment of or improvements to energy resiliency 441
or clean energy projects and land acquisition and capital projects to 442
construct, rehabilitate or renovate buildings and structures to facilitate 443
or improve home rehabilitation programs and facilities such as libraries 444
and senior centers; or 445
(ii) A grant-in-aid proposed by a municipality, community 446
development corporation or nonprofit organization for the purpose of 447
providing (I) a revolving loan program, microloans or gap financing, to 448
small businesses located within such municipality or a municipality 449
served by such corporation or organization, or (II) start-up funds to 450
establish a small business in any such municipality; and 451
(B) Such project or grant-in-aid furthers consistent and systematic 452
fair, just and impartial treatment of all individuals, including 453
individuals who belong to underserved and marginalized communities 454
that have been denied such treatment, such as Black, Latino and 455
indigenous and Native American persons; Asian Americans and Pacific 456
Islanders and other persons of color; members of religious minorities; 457
lesbian, gay, bisexual, transgender and queer persons and other persons 458
comprising the LGBTQ+ community; persons who live in rural areas; 459
and persons otherwise adversely affected by persistent poverty or 460
inequality; and 461
(4) "Municipality" means a municipality designated as a public 462
investment community pursuant to section 7-545 or as an alliance 463
district pursuant to section 10-262u. 464
(b) (1) There is established a Community Investment Fund 2030 465 Raised Bill No. 456
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Board, which shall be within the Department of Economic and 466
Community Development. The board shall consist of the following 467
members: 468
(A) The speaker of the House of Representatives and the president 469
pro tempore of the Senate; 470
(B) The majority leader of the House of Representatives, the majority 471
leader of the Senate, the minority leader of the House of Representatives 472
and the minority leader of the Senate; 473
(C) One appointed by the speaker of the House of Representatives 474
and one appointed by the president pro tempore of the Senate, each of 475
whom shall be a member of the Black and Puerto Rican Caucus of the 476
General Assembly; 477
(D) The two chairpersons of the general bonding subcommittee of the 478
joint standing committee of the General Assembly having cognizance of 479
matters relating to finance, revenue and bonding; 480
(E) Two appointed by the Governor; and 481
(F) The Secretary of the Office of Policy and Management, the 482
Attorney General, the Treasurer, the Comptroller, the Secretary of the 483
State and the Commissioners of Economic and Community 484
Development, Administrative Services, Social Services and Housing, or 485
their designees. 486
(2) All initial appointments shall be made not later than sixty days 487
after June 30, 2021. The terms of the members appointed by the 488
Governor shall be coterminous with the term of the Governor or until 489
their successors are appointed, whichever is later. Any vacancy in 490
appointments shall be filled by the appointing authority. Any vacancy 491
occurring other than by expiration of term shall be filled for the balance 492
of the unexpired term. 493
(3) Notwithstanding any provision of the general statutes, it shall not 494
constitute a conflict of interest for a trustee, director, partner, officer, 495 Raised Bill No. 456
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stockholder, proprietor, counsel or employee of any person to serve as 496
a member of the board, provided such trustee, director, partner, officer, 497
stockholder, proprietor, counsel or employee abstains and absents 498
himself or herself from any deliberation, action and vote by the board in 499
specific respect to such person. The members appointed by the 500
Governor shall be deemed public officials and shall adhere to the code 501
of ethics for public officials set forth in chapter 10. 502
(4) The speaker of the House of Representatives and the president pro 503
tempore of the Senate shall serve as the chairpersons of the board and 504
shall schedule the first meeting of the board, which shall be held not 505
later than January 1, 2022. The board shall meet at least quarterly. 506
(5) Eleven members of the board shall constitute a quorum for the 507
transaction of any business. 508
(6) The members of the board shall serve without compensation, but 509
shall, within the limits of available funds, be reimbursed for expenses 510
necessarily incurred in the performance of their duties. 511
(7) The board shall have the following powers and duties: (A) Review 512
eligible projects to be recommended to the Governor under subsection 513
(c) of this section for approval; (B) establish bylaws to govern its 514
procedures; (C) review and provide comments to the Department of 515
Economic and Community Development on projects funded through 516
the state's Economic Action Plan as provided under section 32-4p; and 517
(D) perform such other acts as may be necessary and appropriate to 518
carry out its duties described in this section. 519
(8) The administrator shall hire such employee or employees as may 520
be necessary to assist the board to carry out its duties described in this 521
section. 522
(c) (1) The Community Investment Fund 2030 Board shall establish 523
an application and review process with guidelines and terms for funds 524
provided from the bond proceeds under subsection (d) of this section 525
for eligible projects. Such funds shall be used for costs related to an 526 Raised Bill No. 456
LCO No. 3486 18 of 23
eligible project recommended by the board and approved by the 527
Governor pursuant to this subsection but shall not be used to pay or to 528
reimburse the administrator for administrative costs under this section. 529
The Department of Economic and Community Development shall pay 530
for administrative costs within available appropriations. 531
(2) The chairpersons of the board shall notify the chief elected official 532
of each municipality when the application and review process has been 533
established and shall publicize the availability of any funds available 534
under this section. Each such official or any community development 535
corporation or nonprofit organization may submit an application to the 536
board requesting funds for an eligible project. The board shall meet to 537
consider applications submitted and determine which, if any, the board 538
will recommend to the Governor for approval. 539
(3) (A) The board shall give priority to eligible projects (i) that are 540
proposed by a municipality that (I) has implemented local hiring 541
preferences pursuant to section 7-112, or (II) has or will leverage 542
municipal, private, philanthropic or federal funds for such project, [and] 543
(ii) that have a project labor agreement or employ or will employ ex-544
offenders or individuals with physical, intellectual or developmental 545
disabilities, and (iii) on and after the date the ten-year plans developed 546
under section 1 of this act are submitted to the General Assembly, that 547
are included in such plans. The board shall give additional priority to 548
an application submitted by a municipality that includes a letter of 549
support for the proposed eligible project from a member or members of 550
the General Assembly in whose district the eligible project is or will be 551
located. 552
(B) In evaluating applications for an eligible project described in 553
subparagraph (A)(ii) of subdivision (3) of subsection (a) of this section, 554
the board shall (i) evaluate the risk of default on the repayment of a 555
proposed loan or financing, (ii) consider the impact of the eligible 556
project on job creation or retention in the municipality, (iii) consider the 557
impact of the eligible project on blighted properties in the municipality, 558
and (iv) consider the overall impact of the eligible project on the 559 Raised Bill No. 456
LCO No. 3486 19 of 23
community. The board shall not recommend any proposed loan or 560
financing under subparagraph (A)(ii) of subdivision (3) of subsection (a) 561
of this section for which the interest rate varies from the prevailing 562
market rate. 563
(4) (A) Whenever the board deems it necessary or desirable, the 564
chairpersons of the board shall submit to the Governor a list of the 565
board's recommendations of eligible projects to be funded from bond 566
proceeds under subsection (d) of this section. The board may 567
recommend state funding for eligible projects, provided the total cost of 568
such recommendations shall not exceed one hundred seventy-five 569
million dollars in any fiscal year. Such list shall include, at a minimum: 570
(i) For each eligible project described in subparagraph (A)(i) of 571
subdivision (3) of subsection (a) of this section, a description of such 572
project, the municipality in which such project is located, the amount of 573
funds sought for such project, any cost estimates for such project, any 574
schematics or plans for such project, the total estimated project costs and 575
the applicable fiscal year to which such disbursement will be attributed; 576
and 577
(ii) For each eligible project described in subparagraph (A)(ii) of 578
subdivision (3) of subsection (a) of this section, a description of and 579
specific terms for any proposed loans, financing or start-up funds to be 580
provided from such grant-in-aid, the types of small businesses located 581
or to be located in the municipality that may be eligible for such loan, 582
financing or start-up funds, the amount of the grant-in-aid sought and 583
the applicable fiscal year to which such disbursement will be attributed. 584
(B) The Governor shall review the eligible projects on the list and may 585
recommend changes to any eligible project on the list. The Governor 586
shall determine the most appropriate method of funding for each 587
eligible project and shall provide to the members of the board, in 588
writing, such determination for each eligible project on the list and the 589
reasons therefor. The board may reconsider at a future meeting any 590
eligible project for which the Governor recommends a change. Each 591 Raised Bill No. 456
LCO No. 3486 20 of 23
eligible project for which the Governor recommends the allocation of 592
bond funds shall be considered at a State Bond Commission meeting not 593
later than two months after the date such eligible project was submitted 594
to the Governor pursuant to subparagraph (A) of this subdivision. 595
(5) Funds for an eligible project approved under this section may be 596
administered on behalf of the board by a state agency, as determined by 597
the Secretary of the Office of Policy and Management, provided a 598
memorandum of understanding between the administrator of the 599
Community Investment Fund 2030 Board and the state, acting by and 600
through the Secretary of the Office of Policy and Management, has been 601
entered into with respect to such funds and project. 602
(6) Not later than August 31, 2023, the board shall submit a report, in 603
accordance with the provisions of section 11-4a, to the General 604
Assembly, the Black and Puerto Rican caucus of the General Assembly, 605
the Auditors of Public Accounts and the Governor, for the preceding 606
fiscal year, that includes (A) a list of the eligible projects recommended 607
by the board and approved by the Governor pursuant to this section, (B) 608
the total amount of funds provided for such eligible projects, (C) for 609
each such eligible project, a description of the project and the amounts 610
and terms of the funds provided, (D) the status of the project and any 611
balance remaining of the allocated funds, and (E) any other information 612
the board deems relevant or necessary. The board shall submit such 613
report annually for each fiscal year in which the funds specified in 614
subparagraph (A) of subdivision (3) of this subsection are disbursed for 615
eligible projects. 616
(7) The Auditors of Public Accounts shall audit, on a biennial basis, 617
all eligible projects funded under this section and shall report their 618
findings to the Governor, the Secretary of the Office of Policy and 619
Management and the General Assembly. 620
(d) (1) The State Bond Commission may authorize the issuance of 621
bonds of the state, in accordance with the provisions of section 3-20, in 622
principal amounts not exceeding in the aggregate eight hundred 623 Raised Bill No. 456
LCO No. 3486 21 of 23
seventy-five million dollars. The amount authorized for the issuance 624
and sale of such bonds in each of the following fiscal years shall not 625
exceed the following corresponding amount for each such fiscal year, 626
except that, to the extent the State Bond Commission does not provide 627
for the use of all or a portion of such amount in any such fiscal year, 628
such amount not provided for shall be carried forward and added to the 629
authorized amount for the next succeeding fiscal year, and provided 630
further, the costs of issuance and capitalized interest, if any, may be 631
added to the capped amount in each fiscal year, and each of the 632
authorized amounts shall be effective on July first of the fiscal year 633
indicated as follows: 634
T1 Fiscal Year Ending June 30, Amount
T2 2023 $175,000,000
T3 2024 175,000,000
T4 2025 175,000,000
T5 2026 175,000,000
T6 2027 175,000,000
T7 Total $875,000,000
(2) The proceeds of the sale of bonds set forth in this subsection shall 635
be used for the purpose of funding eligible projects for which the 636
Governor has determined under subsection (c) of this section that bond 637
funding is appropriate and that no other bond authorization is available. 638
(e) (1) Upon the agreement of the Governor and the Community 639
Investment Fund 2030 Board, and subsequent to the adoption of a 640
resolution by the General Assembly affirming the reauthorization of the 641
board and the program provided for under this section, the State Bond 642
Commission may authorize the issuance of bonds of the state, in 643
accordance with the provisions of section 3-20, in principal amounts not 644
exceeding in the aggregate one billion two hundred fifty million dollars. 645
The amount authorized for the issuance and sale of such bonds in each 646
of the following fiscal years shall not exceed the following 647
corresponding amount for each such fiscal year, except that, to the 648
extent the State Bond Commission does not provide for the use of all or 649
a portion of such amount in any such fiscal year, such amount not 650 Raised Bill No. 456
LCO No. 3486 22 of 23
provided for shall be carried forward and added to the authorized 651
amount for the next succeeding fiscal year, and provided further, the 652
costs of issuance and capitalized interest, if any, may be added to the 653
capped amount in each fiscal year, and each of the authorized amounts 654
shall be effective on July first of the fiscal year indicated as follows: 655
T8 Fiscal Year Ending June 30, Amount
T9 2028 $250,000,000
T10 2029 250,000,000
T11 2030 250,000,000
T12 2031 250,000,000
T13 2032 250,000,000
T14 Total $1,250,000,000
(2) The proceeds of the sale of bonds set forth in this subsection shall 656
be used for the purpose of funding eligible projects for which the 657
Governor has determined under subsection (c) of this section that bond 658
funding is appropriate and that no other bond authorization is available. 659
(f) All provisions of section 3-20, or the exercise of any right or power 660
granted thereby, that are not inconsistent with the provisions of this 661
section are hereby adopted and shall apply to all bonds authorized by 662
the State Bond Commission pursuant to this section. Temporary notes 663
in anticipation of the money to be derived from the sale of any such 664
bonds so authorized may be issued in accordance with said section, and 665
from time to time renewed. All bonds issued pursuant to this section 666
shall be general obligations of the state and the full faith and credit of 667
the state of Connecticut are pledged for the payment of the principal of 668
and interest on said bonds as the same become due, and accordingly 669
and as part of the contract of the state with the holders of said bonds, 670
appropriation of all amounts necessary for punctual payment of such 671
principal and interest is hereby made, and the Treasurer shall pay such 672
principal and interest as the same become due. 673
This act shall take effect as follows and shall amend the following
sections:
Section 1 from passage New section Raised Bill No. 456
LCO No. 3486 23 of 23
Sec. 2 from passage 32-7s
Sec. 3 from passage 32-7x
Sec. 4 from passage 32-285a
Statement of Purpose:
To require the development and implementation of a ten-year plan for
each concentrated poverty census tract in the state to eradicate
concentrated poverty in the state.
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except
that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not
underlined.]