Connecticut 2025 2025 Regular Session

Connecticut Senate Bill SB01179 Comm Sub / Bill

Filed 03/18/2025

                         
 
 
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General Assembly  Committee Bill No. 1179  
January Session, 2025  
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Referred to Committee on COMMERCE  
 
 
Introduced by:  
(CE)  
 
 
 
AN ACT ESTABLISHING THE CONNECTICUT COMMUNITY 
MAKERSPACE INITIATIVE PROGRAM. 
Be it enacted by the Senate and House of Representatives in General 
Assembly convened: 
 
Section 1. (NEW) (Effective July 1, 2025) (a) For the purposes of this 1 
section: 2 
(1) "Financial assistance" means any and all forms of grants, loans, 3 
cash payments or other forms of financing. 4 
(2) "Makerspace" means a community space that (A) provides access 5 
to tools and technology, (B) results in the prototyping, creation, 6 
production or assembly of tangible personal property, and (C) supports 7 
the development of educational opportunities. 8 
(b) On or before January 1, 2026, the Department of Economic and 9 
Community Development shall establish and administer a pilot 10 
program to provide financial assistance to eligible entities for the 11 
establishment or expansion of makerspaces in the state. The 12 
Commissioner of Economic and Community Development s hall (1) 13 
establish eligibility criteria and an application process for participation 14 
in the pilot program, and (2) explore means of funding the pilot 15       
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program, including, but not limited to, through public-private 16 
partnerships, grant programs, federal funds or state funds and the 17 
Connecticut Manufacturing Innovation Fund. 18 
(c) Applications for participation in such pilot program shall be 19 
submitted in a form and manner prescribed by the department. Each 20 
application shall include, but need not be limited to, the following: (1) 21 
An explanation of the makerspace the applicant is seeking to establish 22 
or expand; (2) the amount of financial assistance for such makerspace 23 
that the applicant seeks; and (3) such other information as the 24 
department deems necessary. 25 
(d) The Commissioner of Economic and Community Development 26 
may award financial assistance to entities participating in the pilot 27 
program not exceeding in the aggregate five million dollars. The 28 
amount of any financial assistance issued pursuant to this section to an 29 
eligible entity shall not exceed two hundred fifty thousand dollars per 30 
fiscal year. 31 
(e) Not later than two years after the receipt of any financial assistance 32 
pursuant to this section, and annually thereafter, each participant in the 33 
pilot program shall submit a report to the Department of Economic and 34 
Community Development detailing the progress of the establishment or 35 
expansion of the makerspace proposed in such entity's application and 36 
containing any additional information deemed necessary by the 37 
Commissioner of Economic and Community Development. 38 
(f) Not later than January 1, 2027, and annually thereafter, the 39 
Commissioner of Economic and Community Development shall submit 40 
a report, in accordance with the provisions of section 11-4a of the general 41 
statutes, containing an evaluation of the operation and effectiveness of 42 
the pilot program to the joint standing committee of the General 43 
Assembly having cognizance of matters relating to commerce. 44 
Sec. 2. Section 32-7o of the general statutes is repealed and the 45 
following is substituted in lieu thereof (Effective July 1, 2025): 46       
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(a) There is established the Connecticut Manufacturing Innovation 47 
Fund, which shall be a nonlapsing fund held by the Treasurer separate 48 
and apart from all other moneys, funds and accounts. The following 49 
moneys shall be deposited in the fund: (1) Any moneys required or 50 
permitted by law to be deposited in the fund; (2) any moneys received 51 
in return for financial assistance awarded from the Connecticut 52 
Manufacturing Innovation Fund pursuant to the program established in 53 
subsection (k) of this section; (3) all private contributions, gifts, grants, 54 
donations, bequests or devises received by the fund; and (4) to the extent 55 
not otherwise prohibited by state or federal law, any local, state or 56 
federal funds received by the fund. Investment earnings credited to the 57 
assets of such fund shall become part of the assets of such fund. The 58 
Treasurer shall invest the moneys held by the Connecticut 59 
Manufacturing Innovation Fund subject to use for financial assistance 60 
in accordance with subsections (d) and (k) of this section. 61 
(b) Any moneys held in the Connecticut Manufacturing Innovation 62 
Fund may, pending the use or application of the proceeds thereof for an 63 
authorized purpose, be (1) invested and reinvested in such obligations, 64 
securities and investments as are set forth in subsection (f) of section 3-65 
20 and in participation certificates in the Short Term Investment Fund 66 
created under sections 3-27a and 3-27f, (2) deposited or redeposited in 67 
any bank or banks, at the direction of the Treasurer, or (3) invested in 68 
participation units in the combined investment funds, as defined in 69 
section 3-31b. Proceeds from investments authorized by this subsection 70 
shall be credited to the Connecticut Manufacturing Innovation Fund. 71 
(c) The Connecticut Manufacturing Innovation Fund shall not be 72 
deemed an account within the General Fund. The moneys of the fund 73 
shall be used in accordance with the provisions of subsections (d) and 74 
(k) of this section and are in addition to any other resources available 75 
from state, federal or other entities that support the purposes described 76 
in subsections (d) and (k) of this section. 77 
(d) The Connecticut Manufacturing Innovation Fund shall be used: 78       
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(1) To provide financial assistance to eligible recipients as may be 79 
approved by the Manufacturing Innovation Advisory Board pursuant 80 
to subsection (g) of this section, [and] (2) to pay or reimburse the 81 
administrator for administrative costs pursuant to subsection (m) of this 82 
section, and (3) to provide financial assistance to eligible recipients 83 
pursuant to section 1 of this act. Such financial assistance shall be 84 
awarded for the purpose of: (A) Furthering the development or 85 
modernization of manufacturing equipment; (B) supporting 86 
advancements in manufacturing; (C) supporting advanced 87 
manufacturing research and development; (D) supporting expansion 88 
and training by eligible recipients; (E) attracting new manufacturers to 89 
the state; (F) supporting education and training programs designed to 90 
meet an anticipated demand for appropriately skilled and trained 91 
workers; (G) matching federal grants or otherwise leveraging federal 92 
grant funds to aid Connecticut universities and nonprofit organizations 93 
to increase research efforts; and (H) funding a voucher program as 94 
described in subsection (k) of this section. Additionally, such financial 95 
assistance shall target aerospace, medical device, composite materials, 96 
digital manufacturing and other technologically advanced commercial 97 
products and services' supply chains and related disciplines that are 98 
likely to lead to an improvement in or development of products or 99 
services that are commercializable and designed to advance the state of 100 
technology and the competitive position of eligible recipients, and that 101 
promise, directly or indirectly, to lead to job growth in the state in these 102 
or related fields. 103 
(e) The administrator, in consultation with the Manufacturing 104 
Innovation Advisory Board, shall give priority consideration to 105 
proposals from any company that is located in or planning to relocate 106 
to: (1) A distressed municipality, as defined in section 32-9p; (2) a 107 
targeted investment community, as defined in section 32-222; (3) a 108 
public investment community, as defined in section 7-545; (4) an 109 
enterprise zone designated pursuant to section 32-70; or (5) a 110 
manufacturing innovation district established pursuant to subsection (f) 111 
of this section. 112       
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(f) The administrator, in consultation with the Manufacturing 113 
Innovation Advisory Board, may establish manufacturing innovation 114 
districts in order to promote economic development priorities identified 115 
by the administrator. 116 
(g) All expenditures from the Connecticut Manufacturing Innovation 117 
Fund, except for administrative costs reimbursed to the administrator 118 
pursuant to subsection (m) of this section, shall be approved by the 119 
advisory board, provided the advisory board may delegate to staff of 120 
the administrator the approval of transactions not greater than one 121 
hundred thousand dollars. Any such approval by the advisory board 122 
shall be (1) specific to an individual expenditure to be made; (2) for 123 
budgeted expenditures with such variations as the advisory board may 124 
authorize at the time of such budget approval; or (3) for a financial 125 
assistance program to be administered by staff of the administrator, 126 
subject to limits, eligibility requirements and other conditions 127 
established by the Manufacturing Innovation Advisory Board at the 128 
time of such program approval. 129 
(h) The administrator shall provide any necessary staff, office space, 130 
office systems and administrative support for the operation of the 131 
Connecticut Manufacturing Innovation Fund in accordance with this 132 
section. In acting as administrator of the fund, the Department of 133 
Economic and Community Development shall have and may exercise 134 
all of the powers set forth in this chapter, provided expenditures from 135 
the fund shall be approved by the Manufacturing Innovation Advisory 136 
Board pursuant to subsection (g) of this section. 137 
(i) The Manufacturing Innovation Advisory Board shall establish an 138 
application and approval process with guidelines and terms for 139 
financial assistance awarded from the Connecticut Manufacturing 140 
Innovation Fund to any eligible recipient. Such guidelines and terms 141 
shall include: (1) A requirement that any applicant for financial 142 
assistance operate in the state, or propose to relocate operations to the 143 
state, in whole or in part, as a condition of such financial assistance; (2) 144       
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limitations on the total amount of financial assistance that may be 145 
awarded in the form of loans and grants; (3) eligibility requirements for 146 
loans and grants, including a requirement for applicants to obtain 147 
matching funds from nonstate sources; (4) a process for preliminary 148 
review of applications for strength and eligibility by the administrator 149 
before such applications are presented to the advisory board for 150 
consideration; (5) return on investment objectives, including, but not 151 
limited to, job growth and leveraged investment opportunities; and (6) 152 
such other guidelines and terms as the advisory board determines to be 153 
necessary and appropriate in furtherance of the objectives of this 154 
section. 155 
(j) Financial assistance awarded from the Connecticut Manufacturing 156 
Innovation Fund to eligible recipients shall be used for costs related to 157 
facilities, necessary furniture, fixtures and equipment, tooling 158 
development and manufacture, materials and supplies, proof of concept 159 
or relevance, research and development, compensation, apprenticeship 160 
and such other costs that the Manufacturing Innovation Advisory Board 161 
determines pursuant to subsection (i) of this section to be eligible for 162 
financial assistance within the purposes of this section. 163 
(k) The Manufacturing Innovation Advisory Board may establish a 164 
voucher program that shall provide eligible recipients access to 165 
technical experts in universities, nonprofit organizations and other 166 
organizations that can provide specialized expertise to such eligible 167 
recipients to solve engineering, marketing and other challenges. The 168 
Commissioner of Economic and Community Development, in 169 
consultation with the advisory board, may adopt regulations, in 170 
accordance with the provisions of chapter 54, to implement such 171 
voucher program. 172 
(l) On or before July 1, 2015, and prior to each fiscal year thereafter, 173 
the administrator shall prepare a plan of operations and an operating 174 
and capital budget for the Connecticut Manufacturing Innovation Fund, 175 
provided not later than ninety days prior to the start of each fiscal year, 176       
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the administrator shall submit such plan and budget to the 177 
Manufacturing Innovation Advisory Board for its review and approval. 178 
(m) Administrative costs shall be paid or reimbursed to the 179 
administrator from the Connecticut Manufacturing Innovation Fund, 180 
provided the total of such administrative costs in any fiscal year shall 181 
not exceed five per cent of the total amount of the allotted funding for 182 
such fiscal year as determined in the operating budget prepared 183 
pursuant to subsection (l) of this section. Nothing in this section or 184 
section 32-7n shall be deemed to require the administrator to risk or 185 
expend the funds of the Department of Economic and Community 186 
Development in connection with the administration of the Connecticut 187 
Manufacturing Innovation Fund. 188 
(n) Not later than January 1, 2016, and annually thereafter, the 189 
administrator shall provide a report of the activities of the Connecticut 190 
Manufacturing Innovation Fund to the Manufacturing Innovation 191 
Advisory Board for the advisory board's review and approval. Upon 192 
such approval, the advisory board shall provide such report, in 193 
accordance with the provisions of section 11-4a, to the joint standing 194 
committee of the General Assembly having cognizance of matters 195 
relating to commerce. Such report shall contain available information on 196 
the status and progress of the operations and funding of the Connecticut 197 
Manufacturing Innovation Fund and the types, amounts and recipients 198 
of financial assistance awarded and any returns on investment. 199 
This act shall take effect as follows and shall amend the following 
sections: 
 
Section 1 July 1, 2025 New section 
Sec. 2 July 1, 2025 32-7o 
 
Statement of Purpose:   
To establish the Connecticut Community Makerspace Initiative 
program to support entrepreneurship, innovation and economic 
opportunity in the state.       
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[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.] 
 
Co-Sponsors:  SEN. KUSHNER, 24th Dist.; REP. QUINN, 82nd Dist. 
REP. WINTER, 94th Dist.; SEN. WINFIELD, 10th Dist. 
REP. MCGEE T., 116th Dist.; REP. SHANNON, 117th Dist. 
SEN. RAHMAN, 4th Dist.; SEN. ANWAR, 3rd Dist.  
 
S.B. 1179