Connecticut 2025 Regular Session

Connecticut Senate Bill SB01461 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2
3	3	LCO No. 4925 1 of 6
4	4
5	5	General Assembly Raised Bill No. 1461
6	6	January Session, 2025
7	7	LCO No. 4925
8	8
9	9
10	10	Referred to Committee on FINANCE, REVENUE AND
11	11	BONDING
12	12
13	13
14	14	Introduced by:
15	15	(FIN)
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19	19
20	20	AN ACT CONCERNING THE TREASURER'S RECOMMENDATION
21	21	FOR THE PAYDOWN OF SPECIAL TAX OBLIGATION
22	22	INDEBTEDNESS.
23	23	Be it enacted by the Senate and House of Representatives in General
24	24	Assembly convened:
25	25
26	26	Section 1. Section 13b-68 of the general statutes is repealed and the 1
27	27	following is substituted in lieu thereof (Effective from passage): 2
28	28	(a) There is established a fund to be known as the "Special 3
29	29	Transportation Fund". The fund may contain any moneys required or 4
30	30	permitted by law to be deposited in the fund and any moneys recovered 5
31	31	by the state for overpayments, improper payments or duplicate 6
32	32	payments made by the state relating to any transportation infrastructure 7
33	33	improvements [which] that have been financed by special tax obligation 8
34	34	bonds issued pursuant to sections 13b-74 to 13b-77, inclusive, and shall 9
35	35	be held by the Treasurer separate and apart from all other moneys, 10
36	36	funds and accounts. Investment earnings credited to the assets of said 11
37	37	fund shall become part of the assets of said fund. Any balance remaining 12
38	38	in said fund at the end of any fiscal year shall be carried forward in said 13
39	39	fund for the fiscal year next succeeding. 14
40	40	Raised Bill No. 1461
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42	42
43	43
44	44	LCO No. 4925 2 of 6
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46	46	(b) The Special Transportation Fund shall be a perpetual fund, the 15
47	47	resources of which shall be expended solely for transportation purposes. 16
48	48	Such purposes include the payment of debt service on obligations of the 17
49	49	state incurred for transportation purposes. All sources of moneys, funds 18
50	50	and receipts of the state required to be credited, deposited or transferred 19
51	51	to said fund by state law on or after June 30, 2015, shall continue to be 20
52	52	credited, deposited or transferred to said fund, so long as the sources of 21
53	53	such moneys, funds and receipts are collected or received by the state or 22
54	54	any officer thereof. No law shall be enacted authorizing the resources of 23
55	55	said fund to be expended other than for transportation purposes. 24
56	56	(c) There is established a fund to be known as the "Transportation 25
57	57	Grants and Restricted Accounts Fund". Upon certification by the 26
58	58	Comptroller and the Secretary of the Office of Policy and Management 27
59	59	that the CORE-CT project for fiscal services is operational, the fund shall 28
60	60	contain all transportation moneys that are restricted, not available for 29
61	61	general use and previously accounted for in the Special Transportation 30
62	62	Fund as "Federal and Other Grants". The Comptroller is authorized to 31
63	63	make such transfers as are necessary to provide that, notwithstanding 32
64	64	any provision of the general statutes, all transportation moneys that are 33
65	65	restricted and not available for general use are in the Transportation 34
66	66	Grants and Restricted Accounts Fund. 35
67	67	(d) (1) For the fiscal year ending June 30, 2025, and each fiscal year 36
68	68	thereafter, after the accounts for the Special Transportation Fund have 37
69	69	been closed for each fiscal year and the Comptroller has determined the 38
70	70	balance remaining in said fund, after any amounts required by 39
71	71	provision of law to be transferred for other purposes have been 40
72	72	deducted, if the balance remaining exceeds eighteen per cent of the net 41
73	73	Special Transportation Fund appropriations for the current fiscal year, 42
74	74	the portion of the balance exceeding said eighteen per cent shall be 43
75	75	deemed to be appropriated for the following, as selected by the 44
76	76	Treasurer: 45
77	77	(A) Redeeming prior to maturity any outstanding special tax 46
78	78	Raised Bill No. 1461
79	79
80	80
81	81
82	82	LCO No. 4925 3 of 6
83	83
84	84	obligation indebtedness of the state selected by the Treasurer in the best 47
85	85	interests of the state; 48
86	86	(B) Purchasing outstanding special tax obligation indebtedness of the 49
87	87	state in the open market at such prices and on such terms and conditions 50
88	88	as the Treasurer determines to be in the best interests of the state for the 51
89	89	purpose of extinguishing or defeasing such debt; 52
90	90	(C) Providing for the defeasance of any outstanding special tax 53
91	91	obligation indebtedness of the state selected by the Treasurer in the best 54
92	92	interests of the state by irrevocably placing with an escrow agent in trust 55
93	93	an amount used solely for, and sufficient to satisfy, scheduled payments 56
94	94	of both interest and principal on such indebtedness; or 57
95	95	(D) Any combination of these methods. 58
96	96	(2) For any method or combination of methods selected by the 59
97	97	Treasurer pursuant to subdivision (1) of this subsection, (A) such 60
98	98	method or combination of methods shall provide a reduction in 61
99	99	projected debt service for the current fiscal year and each of the nine 62
100	100	subsequent fiscal years, and (B) for the second fiscal year after the fiscal 63
101	101	year in which the balance was used in accordance with the provisions 64
102	102	of this subsection and each of the seven subsequent fiscal years, the 65
103	103	amount of the reduction in projected debt service shall not vary by more 66
104	104	than (i) one million dollars, or (ii) ten per cent of the least amount by 67
105	105	which projected debt service is reduced for the seven subsequent fiscal 68
106	106	years, whichever is greater. 69
107	107	(3) The Treasurer shall include in the annual report required under 70
108	108	section 3-37, as amended by this act, information concerning the use of 71
109	109	a portion of the balance of the Special Transportation Fund pursuant to 72
110	110	this subsection. 73
111	111	Sec. 2. Section 3-37 of the general statutes is repealed and the 74
112	112	following is substituted in lieu thereof (Effective from passage): 75
113	113	Raised Bill No. 1461
114	114
115	115
116	116
117	117	LCO No. 4925 4 of 6
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119	119	(a) The Treasurer shall, annually, on or before December thirty-first, 76
120	120	submit a final audited report to the Governor and a copy of such report 77
121	121	to the Investment Advisory Council, which shall include the following 78
122	122	information concerning the activities of the office of the State Treasurer 79
123	123	for the immediately preceding fiscal year ending June thirtieth: 80
124	124	(1) Complete financial statements and accompanying footnotes for 81
125	125	the combined investment funds prepared in accordance with generally 82
126	126	accepted accounting principles, which financial statements shall be 83
127	127	audited in accordance with generally accepted auditing standards and 84
128	128	supplementary schedules depicting the interests of the component 85
129	129	retirement plans and trust funds; 86
130	130	(2) [complete] Complete financial statements and accompanying 87
131	131	footnotes for the Short Term Investment Fund prepared in accordance 88
132	132	with generally accepted accounting principles and supplementary 89
133	133	schedules listing all assets held by the Short Term Investment Fund; 90
134	134	(3) [a] A discussion and review of the performance of the combined 91
135	135	investment funds and Short Term Investment Fund for such fiscal year 92
136	136	in accordance with recognized and appropriate performance 93
137	137	presentation and disclosure, including an analysis of the return earned 94
138	138	by the portfolio and each combined investment fund as well as the risk 95
139	139	profile of the portfolio and each combined investment fund according 96
140	140	to investment industry standards; 97
141	141	(4) [the] The activities and transactions in such reasonable detail as is 98
142	142	appropriate of the cash management division including information on 99
143	143	the state's cash receipts and disbursements for the fiscal year, and the 100
144	144	debt management division; 101
145	145	(5) [financial] Financial statements and accompanying footnotes as 102
146	146	well as a summary of operating results for the Second Injury Fund for 103
147	147	such fiscal year; 104
148	148	(6) [a] A financial summary and report on the activities of the state's 105
149	149	Raised Bill No. 1461
150	150
151	151
152	152
153	153	LCO No. 4925 5 of 6
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155	155	unclaimed property program for such fiscal year; 106
156	156	(7) For a fiscal year in which the Treasurer used a portion of the 107
157	157	remaining balance of the Special Transportation Fund in accordance 108
158	158	with the provisions of subsection (d) of section 13b-68, as amended by 109
159	159	this act, a report on the amount used and the method or methods 110
160	160	selected pursuant to said subsection and the amount of the reduction in 111
161	161	projected debt service for the specified fiscal years and including a 112
162	162	statement that such reduction does not vary by more than the allowable 113
163	163	amount set forth in said subsection; 114
164	164	[(7) a] (8) A listing of the companies from which state funds were 115
165	165	divested based upon such companies' business in Sudan, pursuant to 116
166	166	the provisions of section 3-21e, and any companies identified by the 117
167	167	Treasurer as companies from which investment of state funds has been 118
168	168	declared impermissible by the Treasurer, pursuant to the provisions of 119
169	169	section 3-21e; and 120
170	170	[(8) such] (9) Such other information as the Treasurer deems of 121
171	171	interest to the public. 122
172	172	(b) Commencing October 1, 2010, and monthly thereafter, the 123
173	173	Treasurer shall submit a report to the chairpersons and ranking 124
174	174	members of the joint standing committees of the General Assembly 125
175	175	having cognizance of matters relating to finance, revenue and bonding 126
176	176	and appropriations and the budgets of state agencies, and to the 127
177	177	legislative Office of Fiscal Analysis. Such report shall include the 128
178	178	following information for the month two months prior to the month in 129
179	179	which the report is submitted: (1) A weekly list of the cash balance, with 130
180	180	amount and percentage of sources, such as the common cash pool, bond 131
181	181	fund investments and Special Transportation Fund investments, with 132
182	182	accompanying footnotes; (2) a year-to-date total, on an ongoing basis, of 133
183	183	authorized but unissued bonds, including assumptions in bond 134
184	184	issuance, and any changes from month to month in such assumptions; 135
185	185	(3) any other debt instruments or commercial paper issued, the types 136
186	186	Raised Bill No. 1461
187	187
188	188
189	189
190	190	LCO No. 4925 6 of 6
191	191
192	192	and amounts, with accompanying footnotes; and (4) the amounts in the 137
193	193	common cash fund, with all components, such as bank and different 138
194	194	investment accounts, and the amounts thereof separately listed. 139
195	195	(c) The reports required pursuant to this section shall be made 140
196	196	available to the public in hard copy and accessible electronically by 141
197	197	means of the Internet or other media or systems available to the public. 142
198	198	This act shall take effect as follows and shall amend the following
199	199	sections:
200	200
201	201	Section 1 from passage 13b-68
202	202	Sec. 2 from passage 3-37
203	203
204	204	Statement of Purpose:
205	205	To dedicate a portion of the remaining balance of the Special
206	206	Transportation Fund, for each fiscal year that such balance exceeds a
207	207	certain threshold, to pay down special tax obligation indebtedness.
208	208
209	209	[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except
210	210	that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not
211	211	underlined.]
212	212