LCO 1 of 7 General Assembly Substitute Bill No. 1187 January Session, 2025 AN ACT CONCERNING FORECLOSURE, ASSIGNMENT AND OTHER ENFORCEMENT ACTIONS FOR UNPAID SEWER ASSESSMENTS AND OTHER FEES AND CHARGES. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Subsections (a) to (c), inclusive, of section 7-254 of the 1 general statutes are repealed and the following is substituted in lieu 2 thereof (Effective October 1, 2025, and applicable to actions filed on or after 3 October 1, 2025): 4 (a) Any assessment of benefits or any installment thereof, not paid 5 within thirty days after the due date, shall be delinquent and shall be 6 subject to interest from such due date at the interest rate and in the 7 manner provided by the general statutes for delinquent property taxes. 8 Each addition of interest shall be collectible as a part of such assessment. 9 (b) (1) Whenever any installment of an assessment becomes 10 delinquent, the interest on such delinquent installment shall be as 11 provided in subsection (a) of this section or five dollars, whichever is 12 greater. Any unpaid assessment and any interest due thereon shall 13 constitute a lien upon the real estate against which the assessment was 14 levied from the date of such levy. Each such lien may be continued, 15 recorded and released in the manner provided by the general statutes 16 for continuing, recording and releasing property tax liens. Each such 17 Substitute Bill No. 1187 LCO 2 of 7 lien shall take precedence over all other liens and encumbrances except 18 taxes and may be enforced, in accordance with subdivision (2) of this 19 subsection, in the same manner as property tax liens. The tax collector 20 of the municipality may collect such assessments in accordance with any 21 mandatory provision of the general statutes for the collection of 22 property taxes and the municipality may recover any such assessment 23 in a civil action against any person liable therefor. 24 (2) In the case of one or more liens for any unpaid assessment and 25 any interest due thereon, as described in subdivision (1) of this 26 subsection, upon any owner-occupied real estate, no such lien or liens 27 may be foreclosed unless the principal for all such liens upon such 28 owner-occupied real estate exceeds three thousand dollars or three 29 years have elapsed from the date any such lien was filed and such lien 30 remains unpaid, except such restriction shall not apply if a tax or other 31 municipal lien is foreclosed in the same action against such real estate. 32 (c) [Any] (1) Except as provided in subdivision (2) of this subsection, 33 any municipality, by resolution of its legislative body, may assign, for 34 consideration, any and all liens filed by the tax collector to secure unpaid 35 sewer assessments as provided under the provisions of this chapter. The 36 consideration received by the municipality shall be negotiated between 37 the municipality and the assignee. 38 (2) In the case of one or more liens filed by the tax collector to secure 39 unpaid assessments, as described in subdivision (1) of this subsection, 40 upon any owner-occupied real estate, no such lien or liens may be 41 assigned unless the principal for all such liens upon such owner-42 occupied real estate exceeds three thousand dollars or three years have 43 elapsed from the date any such lien was filed and such lien remains 44 unpaid, except such restriction shall not apply if a tax or other municipal 45 lien upon such real estate is also assigned. 46 Sec. 2. Subsections (a) and (b) of section 7-258 of the general statutes 47 are repealed and the following is substituted in lieu thereof (Effective 48 October 1, 2025, and applicable to actions filed on or after October 1, 2025): 49 Substitute Bill No. 1187 LCO 3 of 7 (a) (1) Any charge for connection with or for the use of a sewerage 50 system, not paid within thirty days of the due date, shall thereupon be 51 delinquent and shall bear interest from the due date at the rate and in 52 the manner provided by the general statutes for delinquent property 53 taxes. Each addition of interest shall be collectible as a part of such 54 connection or use charge. Any such unpaid connection or use charge 55 shall constitute a lien upon the real estate against which such charge was 56 levied from the date it became delinquent. Each such lien may be 57 continued, recorded and released in the manner provided by the general 58 statutes for continuing, recording and releasing property tax liens. Each 59 such lien shall take precedence over all other liens and encumbrances 60 except taxes and may be foreclosed in the same manner as a lien for 61 property taxes in accordance with subdivision (2) of this subsection. The 62 municipality may by ordinance designate the tax collector or any other 63 person as collector of sewerage system connection and use charges and 64 such collector of sewerage system connection and use charges may 65 collect such charges in accordance with the provisions of the general 66 statutes for the collection of property taxes. The municipality may 67 recover any such charges in a civil action against any person liable 68 therefor. For the purpose of establishing or revising such connection or 69 use charges and for the purpose of collecting such charges any 70 municipality may enter into agreements with any water company or 71 municipal water department furnishing water in such municipality for 72 the purchase from such water company or municipal water department 73 of information or services and such agreement may designate such 74 water company or municipal water department as a billing or collecting 75 agent of the collector of sewerage system connection and use charges in 76 the municipality. Any water company or municipal water department 77 may enter into and fulfill any such agreements and may utilize for the 78 collection of such charges any of the methods utilized by it for the 79 collection of its water charges. 80 (2) In the case of one or more liens for any unpaid connection or use 81 charge, as described in subdivision (1) of this subsection, upon any 82 owner-occupied real estate, no such lien or liens may be foreclosed 83 Substitute Bill No. 1187 LCO 4 of 7 unless the principal for all such liens upon such owner-occupied real 84 estate exceeds three thousand dollars or three years have elapsed from 85 the date any such lien was filed and such lien remains unpaid, except 86 such restriction shall not apply if a tax or other municipal lien is 87 foreclosed in the same action against such real estate. 88 (b) [Any] (1) Except as provided in subdivision (2) of this subsection, 89 any municipality, by resolution of its legislative body, may assign, for 90 consideration, any and all liens filed by the tax collector or collector of 91 sewerage system connection and use charges to secure unpaid sewerage 92 connection and use charges as provided under the provisions of this 93 chapter. The consideration received by the municipality shall be 94 negotiated between the municipality and the assignee. 95 (2) In the case of one or more liens filed by the tax collector or collector 96 of sewerage system connection and use charges to secure unpaid 97 sewerage connection and use charges, as described in subdivision (1) of 98 this subsection, upon any owner-occupied real estate, no such lien or 99 liens may be assigned unless the principal for all such liens upon such 100 owner-occupied real estate exceeds three thousand dollars or three 101 years have elapsed from the date any such lien was filed and such lien 102 remains unpaid, except such restriction shall not apply if a tax or other 103 municipal lien upon such real estate is also assigned. 104 Sec. 3. Section 22a-506 of the general statutes is repealed and the 105 following is substituted in lieu thereof (Effective October 1, 2025, and 106 applicable to actions filed on or after October 1, 2025): 107 (a) An authority may (1) levy and collect benefit assessments upon 108 the lands and buildings within its jurisdiction that, in its judgment, are 109 especially benefited by a wastewater system; (2) establish, revise and 110 collect rates, fees, charges, penalties and assessments for the use and 111 benefits of a wastewater system; and (3) order the owner of any building 112 which is accessible to a wastewater system to connect to such system, all 113 in the manner provided in sections 7-249 to 7-257, inclusive, and sections 114 22a-416 to 22a-599, inclusive. 115 Substitute Bill No. 1187 LCO 5 of 7 (b) (1) Any assessment of benefits, including any installment thereof, 116 and any charge, fee, fine or other amount that is not paid within thirty 117 days after the due date shall be delinquent, shall be subject to interest 118 and shall constitute a lien upon the premises served and a charge upon 119 the owner thereof all in the manner provided both by the provisions of 120 the general statutes for delinquent property taxes and by section 7-258, 121 as amended by this act. The rules and regulations of the authority may 122 provide for the discontinuance of water pollution control service for 123 nonpayment of taxes, special assessments, fees, rates, penalties or other 124 charges therefor imposed under sections 22a-500 to 22a-519, inclusive. 125 Such lien shall take precedence over all other liens or encumbrances 126 except taxes and may be foreclosed against the lot or building served, in 127 accordance with subdivision (2) of this subsection, in the same manner 128 as a lien for taxes, provided all such liens shall continue until such time 129 as they shall be discharged or foreclosed by the authority without the 130 necessity of filing certificates of continuation, but in no event for longer 131 than ten years. The authority may institute a civil action against such 132 owner to recover the amount of any such fee or charge which remains 133 due and unpaid for thirty days along with interest thereon at the same 134 rate as unpaid taxes and with reasonable attorneys' fees, provided no 135 foreclosure to recover such amount may be instituted against the owner 136 of an owner-occupied premises unless the principal for such amount 137 exceeds three thousand dollars or three years have elapsed from the 138 date any such lien was filed and such lien remains unpaid, except such 139 restriction shall not apply if a tax or other municipal lien is foreclosed in 140 the same action against such real estate. 141 (2) In the case of one or more liens for any assessment of benefits and 142 any charge, fee, fine or other amount that is not paid within thirty days 143 after the due date, as described in subdivision (1) of this subsection, 144 upon any owner-occupied premises served, no such lien or liens may be 145 foreclosed unless the principal for all such liens upon such owner-146 occupied premises served exceeds three thousand dollars or three years 147 have elapsed from the date any such lien was filed and such lien remains 148 unpaid, except such restriction shall not apply if a tax or other municipal 149 Substitute Bill No. 1187 LCO 6 of 7 lien is foreclosed in the same action against such real estate. 150 Sec. 4. Subsection (a) of section 49-92o of the general statutes is 151 repealed and the following is substituted in lieu thereof (Effective October 152 1, 2025, and applicable to actions filed on or after October 1, 2025): 153 (a) [Any] (1) Except as provided in subdivision (2) of this subsection, 154 any regional sewer authority established under an act of the General 155 Assembly, may assign, for consideration, any and all liens filed by such 156 regional sewer authority to secure unpaid sewer assessments or 157 connection or use charges of the authority. The consideration received 158 by the authority shall be negotiated between the authority and the 159 assignee. 160 (2) In the case of one or more liens filed by a regional sewer authority 161 to secure unpaid sewer assessment or connection or use charges of the 162 authority, as described in subdivision (1) of this subsection, upon any 163 owner-occupied real estate, no such lien or liens may be assigned unless 164 the principal for all such liens upon such owner-occupied real estate 165 exceeds three thousand dollars or three years have elapsed from the 166 date any such lien was filed and such lien remains unpaid, except such 167 restriction shall not apply if a tax or other municipal lien upon such real 168 estate is also assigned. 169 This act shall take effect as follows and shall amend the following sections: Section 1 October 1, 2025, and applicable to actions filed on or after October 1, 2025 7-254(a) to (c) Sec. 2 October 1, 2025, and applicable to actions filed on or after October 1, 2025 7-258(a) and (b) Sec. 3 October 1, 2025, and applicable to actions filed on or after October 1, 2025 22a-506 Sec. 4 October 1, 2025, and applicable to actions filed on or after October 1, 2025 49-92o(a) Substitute Bill No. 1187 LCO 7 of 7 PD Joint Favorable Subst.