OLR Bill Analysis

sHB 5031

AN ACT CONCERNING PAYMENT IN LIEU OF TAXES FOR PUBLIC HOUSING AND THE LOW AND MODERATE INCOME TAX ABATEMENT PROGRAM.

SUMMARY:

This bill transfers funds from the Department of Social Services Housing/Homeless Services appropriation in P. A. 07-1, June Special Session, to the Department of Economic and Community Development (DECD) for the payment in lieu of taxes (PILOT) and low- and moderate-income tax abatement programs. Under the bill, DECD receives $ 2,204,000 for the PILOT program and $ 1,704,890 for the tax abatement program in FY 08.

EFFECTIVE DATE: Upon passage

BACKGROUND

PILOT

This program allows the commissioner of DECD to enter into a contract with a municipality and its housing authority to make payments in lieu of taxes to the municipality on land and improvements owned or leased by the housing authority or the Connecticut Housing Finance Authority.

Low- and Moderate- Income Housing Tax Abatement Program

This program provides annual reimbursement for local tax abatements of up to $ 450 per low- and moderate-income housing unit for 40 years, in certain private or non-profit developments.

COMMITTEE ACTION

Select Committee on Housing

Joint Favorable Change of Reference

Planning and Development Committee

Joint Favorable Change of Reference

Appropriations Committee

Joint Favorable Substitute