LCO No. 4381 1 of 5 General Assembly Raised Bill No. 1242 January Session, 2025 LCO No. 4381 Referred to Committee on TRANSPORTATION Introduced by: (TRA) AN ACT FUNDING SMALL HARBOR IMPROVEMENT PROJECTS. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Section 102 of public act 21-111, as amended by section 82 1 of public act 23-205, is amended to read as follows (Effective July 1, 2025): 2 (a) The State Bond Commission shall authorize the issuance of bonds 3 of the state, in accordance with the provisions of section 3-20 of the 4 general statutes, in principal amounts not exceeding in the aggregate 5 twenty million dollars for the Connecticut Port Authority established 6 pursuant to section 15-31a of the general statutes. [The amount 7 authorized for the issuance and sale of such bonds in each of the 8 following fiscal years shall not exceed the following corresponding 9 amount for each such fiscal year, provided, to the extent the authority 10 does not provide for the use of all or a portion of such amount in any 11 such fiscal year, such amount not provided for shall be carried forward 12 and added to the authorized amount for the next succeeding fiscal year, 13 and, provided further, the costs of issuance and capitalized interest, if 14 any, may be added to the capped amount in each fiscal year, and each 15 of the authorized amounts shall be effective on July first of the fiscal year 16 Raised Bill No. 1242 LCO No. 4381 2 of 5 indicated as follows: 17 T1 Fiscal Year Ending Amount T2 June Thirtieth T3 2022 $5,000,000 T4 2023 5,000,000 T5 2024 2,500,000 T6 T7 2025 2,500,000 T8 T9 2026 5,000,000 T10 Total $20,000,000] (b) [The State Bond Commission shall approve a memorandum of 18 understanding between the Connecticut Port Authority and the state, 19 acting by and through the Secretary of the Office of Policy and 20 Management and the Treasurer, providing for the issuance of said 21 bonds for the purposes of projects undertaken by the Connecticut Port 22 Authority regarding ports not located in the towns of New Haven, New 23 London or Bridgeport, including provisions regarding the extent to 24 which federal, private or other moneys then available or thereafter to be 25 made available for costs should be added to the proceeds of the bonds 26 authorized pursuant to this section for such projects. The memorandum 27 of understanding shall be deemed to satisfy the provisions of section 3-28 20 of the general statutes and the exercise of any right or power granted 29 thereby that is not inconsistent with the provisions of this section.] The 30 proceeds of the sale of such bonds, to the extent of the amount stated in 31 subsection (a) of this section, shall be deposited into the small harbor 32 improvement projects account, established pursuant to section 13b-55d 33 of the general statutes, as amended by this act. 34 (c) All provisions of section 3-20 of the general statutes, or the exercise 35 of any right or power granted thereby, that are not inconsistent with the 36 Raised Bill No. 1242 LCO No. 4381 3 of 5 provisions of this section are hereby adopted and shall apply to all 37 bonds authorized by the State Bond Commission pursuant to this 38 section. Temporary notes in anticipation of the money to be derived 39 from the sale of any such bonds so authorized may be issued in 40 accordance with said section, and from time to time renewed. All bonds 41 issued pursuant to this section shall be general obligations of the state 42 and the full faith and credit of the state of Connecticut are pledged for 43 the payment of the principal of and interest on said bonds as the same 44 become due, and accordingly and as part of the contract of the state with 45 the holders of said bonds, appropriation of all amounts necessary for 46 punctual payment of such principal and interest is hereby made, and 47 the Treasurer shall pay such principal and interest as the same become 48 due. 49 [(d) Subject to the amount of limitations of the capping provisions in 50 subsection (a) of this section, the principal amount of the bonds 51 authorized under this section shall be deemed to be an appropriation 52 and allocation of such amount, and such approval of such request shall 53 be deemed the allotment by the Governor of such capital outlays within 54 the meaning of section 4-85 of the general statutes.] 55 Sec. 2. Section 13b-55d of the general statutes is repealed and the 56 following is substituted in lieu thereof (Effective July 1, 2025): 57 (a) As used in this section, "small harbor" means any harbor in the 58 state not under the authority of the Connecticut Port Authority. 59 (b) The Connecticut Port Authority shall establish an account to be 60 known as the "small harbor improvement projects account". There shall 61 be deposited in the account: (1) The proceeds of notes, bonds or other 62 obligations issued by the state for the purpose of deposit therein and 63 used in accordance with the permissible uses thereof; (2) funds 64 appropriated by the General Assembly for the purpose of deposit 65 therein and used in accordance with the permissible uses thereof; and 66 (3) any other funds required or permitted by law to be deposited in the 67 Raised Bill No. 1242 LCO No. 4381 4 of 5 account. The funds in said account shall be expended by the authority 68 for the purposes described in subsection [(b)] (c) of this section. [As used 69 in this section, "small harbor" means any harbor in the state not under 70 the authority of the Connecticut Port Authority.] 71 [(b)] (c) The small harbor improvement projects account may be used 72 (1) for federal and nonfederal dredging projects in small harbors to (A) 73 support, in full or in part, local and state matching requirements for such 74 projects; (B) cover the incremental costs associated with applicable 75 environmental regulatory requirements or management practices, 76 including beneficial use; and (C) cover part or all of the costs of such 77 projects in the absence of adequate federal funds; [and] (2) to fund 78 private maritime infrastructure projects in small harbors, provided all 79 applicable permits and authorizations are obtained before such private 80 maritime infrastructure projects receive any such funding; and (3) to 81 provide reimbursement for dredging projects that were approved by the 82 Connecticut Port Authority for funding or that commenced prior to the 83 disbursement of such funds due to time considerations that impacted 84 the flow of commerce at such small harbor. If the account is used for the 85 purpose described in subparagraph (C) of subdivision (1) of this 86 subsection, the authority shall pursue reimbursement to the account 87 from the federal government. 88 [(c)] (d) The authority shall adopt procedures in accordance with 89 section 1-121 to implement the provisions of this section, including, but 90 not limited to, a process for contracting for projects in small harbors 91 under this section. 92 Sec. 3. Subsection (m) of section 32 of public act 15-1 of the June 93 special session is amended to read as follows (Effective July 1, 2025): 94 (m) For the Connecticut Port Authority: Grants-in-aid for 95 improvements to ports, harbors and marinas, including dredging and 96 navigational improvements, and reimbursement for dredging projects 97 at small harbors, as defined in section 13b-55d, as amended by this act, 98 Raised Bill No. 1242 LCO No. 4381 5 of 5 not exceeding $17,500,000, provided not less than $5,000,000 shall be 99 made available to the ports, harbors and marinas in the state other than 100 the deep water ports in the cities of Bridgeport, New Haven and New 101 London. 102 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2025 PA 21-111, Sec. 102 Sec. 2 July 1, 2025 13b-55d Sec. 3 July 1, 2025 PA 15-1 of the June Sp. Sess., Sec. 32(m) Statement of Purpose: To provide funding for small harbor improvement projects and permit such funds to be used for the reimbursement of dredging projects at small harbors. [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.]