House Bill No. 7001
House Bill No. 7001
December Special Session, PUBLIC ACT NO. 98-1
AN ACT AUTHORIZING THE ISSUANCE OF GENERAL
OBLIGATION BONDS OF THE STATE TO FINANCE AN
OPEN-AIR STADIUM PROJECT AND RELATED
INFRASTRUCTURE IMPROVEMENTS IN HARTFORD,
CONNECTICUT AND A TRAINING FACILITY IN THE STATE
AND THE EXECUTION OF AN AGREEMENT BETWEEN THE
STATE AND THE NATIONAL FOOTBALL LEAGUE NEW ENGLAND
PATRIOTS.
Be it enacted by the Senate and House of
Representatives in General Assembly convened:
Section 1. (NEW) It is found and declared that
the general welfare, health and prosperity of the
people of the state of Connecticut will be
promoted by the holding in its capital city of
Hartford of college and professional football
games, other athletic contests, public activities
and entertainment events; that a stadium and
related facilities in said area will stimulate the
needed redevelopment of said area as envisioned by
public act 98-179, as amended by this act, and
will complement substantial private development
activities in downtown Hartford that are
contemplated by said public act; that rules,
regulations and rate schedules with respect to
parking for stadium facility events are necessary
and in the public interest for safety, health and
police purposes; that the economic benefits
accruing to owners of parking facilities near the
stadium facility will be much greater than any
economic burdens imposed by the promulgation of
such rules, regulations and rate schedules; that
the acquisition of property and construction of
such stadium and related facilities for such
purposes is for the public welfare and is a public
use for which the power of eminent domain may be
exercised and public land may be made available;
that the operation of the stadium facility is a
significant governmental use and function for
which the exercise of state power may be exercised
and a public purpose for which the borrowing power
of the state may be exercised; and that,
therefore, it is necessary and in the public
interest and for the public benefit and good that
the provisions of this act are declared as a
matter of legislative determination.
Sec. 2. (NEW) (a) This act shall be known and
may be cited as the "Patriots Stadium Enabling
Act".
(b) As used in sections 1 to 28, inclusive,
and sections 38 to 41, inclusive, of this act:
(1) "Affiliate" means, with respect to any
person, any person that, directly or indirectly
controls, is controlled by, or is under common
control with, such person. As used in this
subdivision, the term "control", including the
terms "controlled by" and "under common control
with", means the possession, directly or
indirectly, of the power to direct or cause the
direction of management and policies of a person,
whether through the ownership of voting
securities, by contract, or otherwise.
(2) "Agreement" means one or more agreements
between the state and the team or affiliates of
the team, including the relocation and operation
agreement, the development agreement and the lease
agreement, which may be consolidated into a single
relocation and stadium agreement.
(3) "Authority" means the Capital City
Economic Development Authority created pursuant to
sections 1 to 22, inclusive, of public act 98-179,
as amended by this act.
(4) "Bonds" means the bonds authorized to be
issued and sold by the state pursuant to sections
3 and 4 of this act and, unless the context
requires a different meaning, shall include
serial, term or variable rate bonds and notes
issued in anticipation of the issuance of bonds,
temporary or interim notes or notes issued
pursuant to a commercial paper program.
(5) "Capital cost" means a cost which (A) is
required to be capitalized and not expensed under
generally accepted accounting principles, (B) is
ten thousand dollars or more, and (C) relates to
an addition, alteration, demolition, improvement
or refurbishing of or to the stadium facility that
has a useful life, or that increases the then
useful life of, or future service potential of the
asset in question, by at least four years, or
provides a replacement for such asset. For
purposes of subparagraph (C) of this subdivision,
any series of additions, alterations, demolition,
improvement or refurbishing of or to the stadium
facility that under ordinary and customary
business practices would be clearly viewed as a
single project, or under ordinary and customary
business practices would be affected by entering
into a single contract with a contractor or
similar provider, will be treated as a single cost
item.
(6) "Capital Replacement Reserve Fund" means
the fund established by section 14 of this act.
(7) "Club seats" means the premium seats,
within an area designated as a club seating area
and associated with the stadium club, as more
particularly described in the minimum
requirements, and any additional premium seats
added in accordance with the agreement.
(8) "Component infrastructure" means the work
of infrastructure improvements to be made at the
stadium facility site as part of or in conjunction
with the work of the stadium project, excluding
infrastructure improvements which relate solely to
the NFL pavilion.
(9) "Construction commencement date" means the
date on which the construction commencement date
conditions shall have been satisfied.
(10) "Construction commencement date
conditions" means the conditions precedent to the
obligation of the developer to commence
construction of the stadium facility which shall
have been met, satisfied, obtained or otherwise
progressed in accordance with the appropriate
milestone therefor on the project schedule, as and
to the extent set forth in the agreement, as
follows: Minimum requirements approved as
contemplated by section 9 of this act; allotment
of the costs of the site preparation,
infrastructure improvements and the stadium
project; availability of the stadium facility site
for the stadium project; access to the stadium
facility site necessary for the commencement of
work for the stadium project; site preparation;
certain governmental permits and infrastructure
improvements that are required for the stadium
facility as more particularly described in the
agreement; parking conditions relating to the
dedicated parking facilities and the general
parking facilities; and traffic study completed
and detailing sufficient parking and proper
traffic flow as contemplated by section 10 of this
act.
(11) "Construction contract" means the
agreement between the developer and the contractor
for the construction of the stadium facility.
(12) "Consumer Price Index" means the average
price level, 1982-84=100, for all urban consumers
as published by the United States Department of
Labor, Bureau of Labor Statistics; provided in the
event such consumer price index is replaced by
another index or ceases to be published, the state
and the team shall select another mutually
acceptable generally applied inflation index to be
used in its place.
(13) "Contractor" means a general contractor
or construction manager experienced in the
construction of major sports stadiums and
financially able to meet its obligations under the
construction contract, which shall be selected by
the developer after consultation with the state.
(14) "Convention center" means the "convention
center project", as defined in section 1 of public
act 98-179, as amended by this act.
(15) "Costs" means and includes all hard and
soft costs relating to the overall project or, in
context, any aspect thereof, including, but not
limited to, preliminary costs, costs of site
acquisition, costs of issuance, costs of labor and
material employed in the work and costs of
accounting, legal, architectural, environmental,
permitting and engineering services.
(16) "Costs of issuance" means all costs
related to the proceedings under which the bonds
are issued pursuant to section 3 of this act
including, but not limited to, fees and expenses
or other similar charges incurred in connection
with the execution of reimbursement agreements,
remarketing agreements, standby bond purchase
agreements, agreements in connection with
obtaining any liquidity facility or credit
facility with respect to the bonds, trust
agreements respecting disbursement of bond
proceeds and any other necessary or appropriate
agreements related to the marketing and issuance
of the bonds and the disbursement of the bond
proceeds, auditing and legal expenses and fees,
expenses incurred for professional consultants,
financial advisors and fiduciaries, fees and
expenses of remarketing agents and dealers, fees
and expenses of the underwriters to the extent not
paid from a discount on the purchase price of the
bonds, and fees and expenses of rating agencies,
transfer or information agents, and including
costs of the publication of advertisements and
notices, printers' fees or charges incurred by the
state to comply with applicable federal and state
securities or tax laws and any other similar costs
of issuance.
(17) "Dedicated parking facilities" means
parking facilities, as more particularly described
in the agreement, for the exclusive parking for
luxury suite and club seat holders and other
persons designated by the team on game or event
days, consisting of (A) parking areas convenient
and proximate to the stadium facility to provide
parking for luxury suite and club seat holders for
a total of five thousand cars, and (B) parking
areas for one thousand cars within one-quarter
mile of the stadium facility, which are accessible
from the stadium facility to satisfy additional
parking requirements on game or event days.
(18) "Design professional" means a duly
licensed architect or engineer experienced in the
design of major sports stadiums retained by the
developer to prepare plans and specifications and
perform related professional services in
connection with the stadium project.
(19) "Developer" means the team or an
affiliate of the team or a joint venture
consisting of the team or its affiliate and the
contractor.
(20) "Development agreement" means the
agreement by and between the state and the
developer pursuant to which, among other things,
the developer shall be obligated to design and
build the stadium facility and the state shall be
obligated to design and build the infrastructure
improvements, which agreement may be included as
part of the agreement.
(21) "Development fee" means net profit on
development over and above the developer's actual
out-of-pocket costs relating to the stadium
project.
(22) "Facilities" means the stadium facility,
the infrastructure improvements, the training
facility and the NFL pavilion.
(23) "Final plans and specifications" means
the final plans and specifications for the
construction of the stadium facility which shall
conform to the minimum requirements and are
prepared by the design professional.
(24) "Franchise" means the New England
Patriots NFL franchise, including all rights and
interests of the team and the Patriots granted to
the Patriots by the NFL pursuant to the NFL rules
and regulations, all rights and interests of the
team in, including all rights to payments and
distributions from, NFL Properties, Inc., NFL
Enterprises, Inc., NFL Enterprises Partnership,
NFL Films and any other present or future
NFL-related entity through which NFL franchisees
receive, or have the right to receive, broadcast,
film, merchandising, advertising, Internet or
other NFL-related revenues or benefits and all
other NFL membership rights of the team and the
Patriots, and includes the Patriots.
(25) "General parking facilities" means
parking facilities for the use of persons
attending stadium facility games and events
consisting of twenty thousand parking spaces
located within approximately one mile of the
stadium facility, a minimum of eight thousand of
which shall be appropriate for tailgating at a
location or locations described in or determined
pursuant to the agreement. General parking
facilities shall not include the dedicated parking
facilities.
(26) "Governmental authorities" means all
federal, state or local governmental bodies,
instrumentalities or agencies and all political
subdivisions of the state, including
municipalities, taxing, fire and water districts
and other governmental units.
(27) "Governmental permits" means all permits,
authorizations, registrations, consents,
approvals, waivers, exceptions, variances, orders,
judgments, decrees, licenses, exemptions,
publications, filings, notices to and declarations
of or with, or required by, governmental
authorities, including those relating to traffic,
environmental protection, wetlands, zoning, site
approval, building and public health and safety,
that are required for the development and
operation of any facility.
(28) "Guaranteed maximum price" means the
guaranteed maximum price as described in section
11 of this act and as set forth in the agreement.
(29) "Infrastructure improvements" means
necessary or desirable infrastructure improvements
relating to the stadium facility, including, but
not limited to, structures over roads and
highways, roadway improvements, pedestrian
improvements, landscaped plaza and other
structural work, as more particularly described in
the agreement.
(30) "Internal Revenue Code" means the
Internal Revenue Code of 1986, or any subsequent
corresponding internal revenue code of the United
States, as from time to time amended, and
regulations adopted thereunder.
(31) "Lease" or "lease agreement" means the
lease by and between the state and the lessee
pursuant to which, among other things, the lessee
will lease the stadium facility and the stadium
facility site in accordance with section 12 of
this act, which lease may be included as part of
the agreement.
(32) "Lessee" means the team or the developer,
or an affiliate of the team or the developer, when
acting as the lessee of the stadium facility and
the stadium facility site pursuant to the lease.
(33) "Luxury suites" means the private luxury
suites within the stadium facility, as more
particularly described in the minimum
requirements, and any additional luxury suites
added in accordance with the agreement.
(34) "Minimum requirements" means the minimum
requirements for construction of the stadium
facility, as more particularly set forth in the
agreement.
(35) "NFL" means the National Football League,
or any professional football league which is the
successor thereto.
(36) "NFL pavilion" means a state-of-the-art,
privately developed Patriots/NFL themed dining and
interactive entertainment facility and any other
nonfootball business areas, as more particularly
described in the agreement, which, when combined
with related team merchandising facilities, shall
contain at least fifty thousand square feet and be
integrated with the retail elements of the capital
city projects, as defined in section 1 of public
act 98-179, as amended by this act, and as more
particularly described in the agreement. The NFL
pavilion may be located in whole or in part on the
stadium facility site, but shall not be considered
part of the stadium facility for purposes of this
act, provided for purposes of this act any base
building or structural elements of the
improvements on the stadium facility site that
would have been required even if the NFL pavilion
were not located on the stadium facility site
shall be considered as part of the stadium
facility, and not as part of the NFL pavilion,
notwithstanding that such elements may be shared
in common by the NFL pavilion and the stadium
facility.
(37) "Nonfootball business areas" means
improvements on the stadium facility site used for
commercial or retail purposes not principally
related to football or other stadium facility
events, as and to the extent set forth in the
agreement.
(38) "Overall project" means the development,
design and construction of the facilities and the
acquisition of any real property required therefor
and site preparation.
(39) "Parking facilities" means the dedicated
parking facilities and the general parking
facilities.
(40) "Patriots" means the New England Patriots
Football Club operated by the team and recognized
by the NFL as having the right to play NFL games
pursuant to the franchise.
(41) "Preliminary costs" means preliminary
costs of the state relating to the overall project
including, but not limited to, costs of borings,
surveys, maps, plans and environmental testing,
appraisals, documentation of estimates of costs
and revenue increments to the state in connection
with the overall project and the permitting
thereof, including market and impact analysis,
preliminary design costs and costs incidental to
investigations, preparation of permit applications
for which the state has responsibility or is
expected to have responsibility under the
agreement and the processing of such applications,
and preparation and analysis of any proposed
agreement, lease or memorandum of understanding
with the team or any affiliate of the team
including, but not limited to, the fees and
expenses of professional management consultants,
and financial and legal advisors, and the
reimbursement to any state agency, department or
public authority or political subdivision which
has advanced funds for the payment of any such
preliminary costs and, to the extent provided for
in the agreement, the fees and expenses of the
design professional and preliminary costs of other
consultants and advisors retained by the team or
the developer relating to the work of the stadium
project.
(42) "Preliminary plans and specifications"
means the preliminary plans and specifications for
the construction of the stadium facility, which
shall conform to the minimum requirements and be
prepared by the design professional.
(43) "PSL" means a license purchased for an
amount incremental to the regular price for season
tickets for NFL games and for other events at the
stadium facility and giving the holder the right
to purchase season tickets for NFL games or other
events at the stadium facility over a period
longer than one year, and includes that which, as
of the date of this act, is commonly referred to
as a permanent or preferred seat license, provided
the sale of club seats and luxury suites in the
ordinary course of business shall not be deemed to
constitute the sale of PSLs.
(44) "Real property" means land and buildings
and all estate, interest or right in land or
buildings, including land or buildings owned by
any person, the state or any political subdivision
of the state or instrumentality thereof.
(45) "Relocation and operation agreement"
means the agreement by and between the state and
the team whereby, among other things, the team
will be obligated to relocate the principal office
of the team to Hartford, Connecticut and to cause
the team to play its home games in the stadium
facility, which agreement may be included as part
of the agreement.
(46) "Secretary" means the Secretary of the
Office of Policy and Management or the deputy
secretary appointed and designated as the deputy
to exercise the powers and duties of the secretary
in the absence of the secretary pursuant to
section 4-8 of the general statutes.
(47) "Site preparation" means the removal and
relocation of utilities, including water and
sewer, the installation and connection of
additional required utilities, the construction of
necessary drainage facilities, the demolition of
existing improvements and the removal, containment
or other remediation of any hazardous materials
and the restoration and compacting of soil, all on
the stadium facility site and on other sites where
site preparation is necessary for the construction
and operation of the stadium facility as provided
for by this act and by the agreement or in
connection with the implementation of the
infrastructure improvements, as and to the extent
set forth in the agreement.
(48) "Stadium club" means the club facilities
as more particularly described in the agreement.
(49) "Stadium facility" means an approximately
sixty-eight-thousand-seat open-air stadium
facility to be owned by the state on the stadium
facility site for the holding of athletic contests
or events including, but not limited to,
professional and college football games and other
sporting events, musical, dramatic and other
artistic, cultural, entertainment, educational and
social events and public activities, together with
associated year round, seasonal or occasional
office, retail, dining, recreational and
entertainment facilities, and equipment, fixtures,
furnishings and appurtenances integral and
normally associated with the construction of a
stadium, other than the NFL pavilion, including,
but not limited to, luxury suites and club seats
all as more particularly described in the
agreement. Stadium facility does not mean sports
megaplex as defined in section 1 of public act
98-179, as amended by this act.
(50) "Stadium facility site" means the real
property located in Hartford, Connecticut as
referred to in section 15 of this act.
(51) "Stadium project" means the development,
design and construction of the stadium facility.
(52) "Stadium project budget" means the budget
for the stadium project, including all costs of
the stadium project.
(53) "State" means the state of Connecticut.
(54) "State Bond Commission" means the
commission established pursuant to subsection (c)
of section 3-20 of the general statutes, or any
successor thereto.
(55) "Targeted completion date" means the date
that is the number of months after the
construction commencement date as set forth in the
project schedule in the agreement and subject to
any revisions, extensions or changes as provided
in the agreement.
(56) "Team" means the New England Patriots
L.P. or its successor in interest as owner and
operator of the franchise.
(57) "Training facility" means a
state-of-the-art football training and practice
facility, along with related facilities, to be
located within the state, for use by the Patriots
for in-season training and off-season workouts, as
more particularly described in the agreement.
(58) "Training facility site" means the site
within the state of the training facility.
(59) "Treasurer" means the State Treasurer or
the deputy treasurer appointed pursuant to section
3-12 of the general statutes.
(60) "Uncontrollable circumstance" means any
event which renders impossible, prevents,
interrupts or delays the performance of an
obligation of a party to the agreement, if such
event is beyond the reasonable control of such
party and which, by the exercise of due diligence,
such party would be unable to overcome, including
strikes, lockouts, sit-downs, material or labor
restrictions by any governmental authority,
shortage of material or labor, unusual
transportation delays, riots, floods, explosions,
earthquakes, fire, unusually unfavorable weather,
including wet grounds or inclement weather which
prevents construction, acts of the public enemy,
wars, insurrections, the inability to secure
necessary governmental permits or required
agreements with governmental authorities, provided
such party has acted with due diligence and
dispatch to negotiate and enter into such
agreements and to apply for, pursue and secure
such governmental permits, including the
prosecution or defense of any appeals therefrom,
environmental conditions, not the result of any
action or omission of such party, requiring
remediation, changes in law or the regulations
adopted thereunder or NFL rules and regulations,
and the commencement and continued pendency of
legal proceedings, not brought by any party to the
agreement or any affiliate thereof and not based
on any event or circumstance which constitutes a
breach or default by such party of any
obligations, covenants or agreements under the
agreement or which is otherwise within the
reasonable control of such party, which legal
proceedings restrain or enjoin the performance by
such party of such obligation, or, if adversely
determined, would effectively prohibit the
development or operation of the facilities or any
component thereof, as the case may be.
(61) "Work" means the provision of any or all
of the work, labor, materials, equipment, services
and other items required for design and
construction of the overall project including, but
not limited to, design, architectural, engineering
and development services, construction management
services, permits, construction work and any and
all other activities and services necessary to
acquire, design or construct any of the facilities
or improvements.
Sec. 3. (NEW) (a) The Treasurer is authorized
to issue bonds of the state, which shall be issued
as "stadium bonds" pursuant to and in accordance
with sections 3 to 5, inclusive, of this act, in
one or more series and in principal amounts not
exceeding in the aggregate two hundred fifty
million dollars plus such additional amounts, to
account for inflation, measured on the basis of
increases in the consumer price index of costs
related to an amount equal to three hundred fifty
million dollars, from the effective date of this
act to the targeted completion date, and for costs
of issuance to the extent that premium and accrued
interest on the bonds are not available to pay
such costs of issuance as determined by the
Treasurer at the time of issuance, provided, in
computing the total amount of bonds which may at
any one time be outstanding, the principal amount
of any refunding bonds issued to refund bonds
shall be excluded. The proceeds of the bonds and
each series thereof shall be used by or at the
direction of the Secretary of the Office of Policy
and Management for the purposes of financing costs
of the overall project, as set forth in a
certificate of determination filed by the
secretary with the Treasurer and the secretary of
the State Bond Commission in respect of such costs
of the overall project as detailed in said
certificate. Each such bond shall be entitled
"Stadium Bond (1998 Act)" and shall bear such
additional or other designation as may be fixed by
the Treasurer prior to issuance. This section
shall constitute a bond act within the meaning of
section 3-20 of the general statutes, as amended,
and, upon passage of this act, the principal
amount of the bonds authorized in this section for
the overall project shall be deemed to be an
appropriation and allocation of such amount for
the overall project. Subject to approval by the
Governor of allotment of such funds and to any
authorization for the overall project that may
otherwise be required pursuant to section 5 of
this act, contracts may be awarded and obligations
incurred with respect to the overall project in
amounts not in the aggregate exceeding such
authorized principal amount, notwithstanding that
such contracts and obligations may at a particular
time exceed the amount of the proceeds from the
sale of such bonds received by the state or moneys
appropriated for such contracts or obligations.
The Treasurer is authorized, in accordance with
said section 3-20, to issue and deliver the bonds.
The Treasurer shall exercise such powers until a
subsequent act, prior to exercise of such powers
by the Treasurer, shall otherwise provide. Such
powers shall be exercised from time to time in
such manner as the Treasurer shall determine to be
in the best interests of the state.
(b) Such bonds shall mature at such time or
times not exceeding thirty years from the later of
their respective dates or the targeted completion
date of the stadium facility. None of said bonds
shall be offered for sale except upon a finding by
the Treasurer that there has been filed with the
Treasurer a request for such authorization, which
is signed by the secretary stating such terms, and
that any conditions precedent to the sale required
by this act have been met. The bonds shall be
general obligations of the state and the full
faith and credit of the state of Connecticut are
pledged for the payment of the principal of and
interest on such bonds, including temporary or
interim notes, as the same become due, and,
accordingly, as part of the contract of the state
with the holders of such bonds, appropriation of
all amounts necessary for punctual payment of such
principal and interest is hereby made including
with respect to interest on temporary or interim
notes and principal thereof to the extent not
funded with renewals thereof or bonds, and the
Treasurer shall pay such principal and interest as
the same become due.
Sec. 4. (NEW) (a) All provisions of section
3-20 of the general statutes, as amended, and the
exercise of any right or power granted thereby
which is not inconsistent with the provisions of
sections 3 to 5, inclusive, of this act, are
hereby adopted and shall apply to all bonds
authorized pursuant to sections 3 to 5, inclusive,
of this act, and temporary or interim notes in
anticipation of the money to be derived from the
sale of any such bonds so authorized may be issued
in accordance with said section 3-20 and from time
to time renewed, provided (1) no filings required
by subdivisions (1) and (2) of subsection (g) of
said section 3-20 shall be required, (2) that for
purposes of sections 3 to 5, inclusive, of this
act, references in said section 3-20 to actions
permitted or required to be taken by the State
Bond Commission shall mean the actions taken by
the General Assembly in the enactment of this act,
which act shall constitute any and all resolutions
and authorization of the State Bond Commission
referred to in said section 3-20, and (3) no
action of the State Bond Commission shall be
required in connection with the issuance of the
bonds authorized by sections 3 to 5, inclusive, of
this act.
(b) The Treasurer is authorized to: (1) Issue,
sell and consolidate for sale the bonds with other
bonds of the state authorized by a bond act
pursuant to said section 3-20 and issue the same
as a single bond issue, provided a separate
maturity schedule for the bonds authorized under
each bond act shall be established and filed with
the secretary of the State Bond Commission prior
to the delivery of the bonds; (2) sell such bonds
at public sale on sealed proposals or by
negotiation, in such manner, at such price or
prices, at such time or times and on such terms
and conditions as the Treasurer shall determine to
be in the best interests of the state; (3) enter
into agreements on behalf of the state with
respect to the issuance and sale of said bonds,
including financial advisory agreements, bond
purchase agreements, secondary market disclosure
agreements, tax regulatory agreements containing
the provisions set forth in subsection (r) of said
section 3-20 and agreements with respect to the
issuance, sale and securing of such bonds; (4)
determine the form, date or dates, maturities of
serial or term bonds, date and manner of sale,
interest rate or rates and due dates thereof,
including the issuance of such bonds at fixed
rates or variable rates, and as capital
appreciation or current interest bonds, the
denominations and designation of such bonds,
registration, conversion and transfer privileges,
the terms of redemption with or without premium,
and all other terms and conditions of such bonds
and of the issuance and sale thereof as the
Treasurer shall determine to be in the best
interests of the state, provided the Treasurer
shall file a certificate of determination with the
secretary of the State Bond Commission on or
before the date of delivery of such bonds setting
forth the details and particulars of such bonds
determined by the Treasurer in accordance with
this delegation; (5) negotiate a credit facility
from a commercial bank or insurance company to
further secure payment of principal or interest on
such bonds or to secure any mandatory or optional
redemption or repurchase of such bonds by the
state; (6) enter into on behalf of the state such
reimbursement agreements, remarketing agreements,
standby bond purchase agreements and any other
necessary or appropriate agreements in connection
with obtaining any liquidity facility or credit
facility with respect to such bonds, and to
determine the terms and conditions of any such
agreement and to pledge the full faith and credit
of the state to the state's payment obligations
under any such agreement; and (7) enter into, on
behalf of the state, such swap or other contracts
with respect to such bonds and any other necessary
or appropriate agreements in connection with
obtaining any such contract, with such terms and
conditions and parties as the Treasurer may
determine pursuant to subsection (c) of section
3-20a of the general statutes, as amended, and to
pledge the full faith and credit of the state to
the state's payment obligations under any such
contract.
(c) Any balance of proceeds of the sale of
bonds authorized by sections 3 to 5, inclusive, of
this act, in excess of the aggregate costs of the
overall project shall be used to meet interest and
principal amounts as the same become due on said
authorized bonds.
(d) Net earnings on investment of proceeds,
accrued interest and premiums on the issuance of
any of such bonds authorized by sections 3 to 5,
inclusive, of this act, after payment of expenses
incurred by the Treasurer in connection with their
issuance, if any, and after compliance with
applicable federal tax requirements, shall be used
to meet interest and principal amounts as the same
become due on said authorized bonds.
(e) After issuance, all securities of the
state issued pursuant to sections 3 to 5,
inclusive, of this act, shall be conclusively
presumed to be fully and duly authorized and
issued under the laws of the state. Any person or
governmental entity shall be estopped from
questioning their authorization, sale, issuance,
execution or delivery by the state.
(f) For the purposes of sections 3 to 5,
inclusive, of this act, "state moneys" means the
proceeds of the sale of bonds authorized pursuant
to this act, or of temporary or interim notes
issued in anticipation of the moneys to be derived
from the sale of such bonds. Any federal, private
or other moneys then available or thereafter to be
made available for costs in connection with the
overall project as identified by the secretary of
the State Bond Commission may be added to any
state moneys available or becoming available
hereunder for the overall project and be used for
the overall project as if constituting such state
moneys, and any other federal, private or other
moneys then available or thereafter to be made
available for costs in connection with the overall
project, if and to the extent from time to time
directed by the Treasurer, upon receipt shall, in
conformity with applicable federal and state law,
be used for the purposes for which such other
moneys are received, and otherwise by the
Treasurer to meet the principal of outstanding
bonds issued pursuant to this act, or to meet the
principal of temporary or interim notes issued in
anticipation of the money to be derived from the
sale of such bonds authorized pursuant to this act
for the purpose of financing such costs, either by
purchase or redemption and cancellation of such
bonds or notes or by payment thereof at maturity.
Whenever any of the federal, private or other
moneys so received with respect to the overall
project are used to meet principal of such
temporary or interim notes or whenever principal
on any such temporary or interim notes is retired
by application of revenue receipts of the state,
the amount of such bonds authorized in
anticipation of which such temporary or interim
notes were issued, and the aggregate amount of
bonds which may be authorized pursuant to sections
3 to 5, inclusive, of this act, shall each be
reduced by the amount of the principal so met or
retired. Pending use of the federal, private or
other moneys so received to meet the principal as
directed in this subsection, the amount thereof
may be invested by, or at the direction of, the
Treasurer in bonds or obligations of, or
guaranteed by, the state or the United States or
agencies or instrumentalities of the United
States, or in accordance with the provisions of
said section 3-20, and shall be deemed to be part
of the debt retirement funds of the state, and net
earnings on such investments shall be used in the
same manner as said moneys so invested.
(g) The state hereby declares the official
intent of the state required pursuant to 26 CFR
1.150-2 with respect to the bonds, to the effect
that the state reasonably expects to reimburse
from the proceeds of borrowings any and all
expenditures paid from the bond fund accounts in
an amount anticipated not to exceed the amount of
the bond authorization contained in section 3 of
this act, provided the secretary and the Treasurer
are authorized to amend this declaration of
official intent on behalf of the state for the
bonds.
Sec. 5. (NEW) (a) Except with respect to
preliminary costs, the Treasurer shall not issue
any of the bonds authorized under section 3 of
this act, nor shall the state be authorized to
acquire any portion of the stadium facility site
or to incur any liability with respect to any
costs in connection with the overall project,
until the Secretary of the Office of Policy and
Management files with the Treasurer a certificate
to the effect that the following conditions have
been met:
(1) The agreement, conforming with the
requirement of this act, shall have been executed
and delivered and shall be binding obligations of
the developer, the lessee and the team, subject to
uncontrollable circumstances and contingent only
upon the performance by the state of the state's
obligations under the agreement; and
(2) The secretary has satisfactory evidence
that preliminary approval of the NFL or its
members has been obtained as necessary to permit
the team to relocate to Hartford, Connecticut and
to play all of their home games at the stadium
facility upon completion of the stadium facility,
in accordance with the agreement.
(b) Except with respect to preliminary costs
and costs incurred in respect of the construction
commencement date conditions, the Treasurer shall
not issue any of the bonds authorized under
section 3 of this act until the secretary has
filed a certificate with the Treasurer to the
effect that the following conditions have been
met:
(1) The secretary has satisfactory evidence
that the fulfilment of the obligations of the
team, the developer and the lessee under the
agreement are in all material respects consistent
with any and all other legal restrictions or
contractual obligations by which the team, the
lessee or the developer may be bound, including,
but not limited to, applicable NFL requirements,
or that indemnification and financial security
therefor by the team, the lessee or the developer
with respect thereto, as applicable, is included
and is sufficient, and that the NFL has recognized
the legal obligations of the team under the
agreement as valid obligations of the franchise in
a manner acceptable to the secretary as provided
in the agreement;
(2) The developer, the lessee and the team, as
applicable, have the financial and managerial
ability to perform their respective obligations
under the agreement or have provided financial
security therefor, as and to the extent provided
in the agreement; and
(3) The team shall have executed an agreement
guaranteeing the obligations of the developer and
the lessee under the agreement to the fullest
extent allowed by the NFL, which guarantee is
secured by a covenant not to permit a pledge of or
lien on any franchise, revenues, contract or other
rights or assets related to the Patriots, other
than as permitted by the NFL and consistent with
such other limitations or provisions as may be set
forth in the agreement. The agreement shall
contain provisions for the obligations of the team
under the agreement to be binding on any successor
owner and operator of the franchise to the fullest
extent allowed by the NFL.
Sec. 6. (NEW) The agreement shall obligate the
team (1) by the actual completion date of the
stadium facility, to move to, and thereafter
maintain the principal office of the team in,
state of Connecticut and, subject to
uncontrollable circumstances, to cause the
Patriots to play all of the Patriots' pre-season,
regular season and postseason home games, other
than the Super Bowl, at the stadium facility
throughout the term of the lease, and (2) not to
relocate throughout the term of the lease, which
obligation shall be evidenced by a covenant not to
relocate and acquiescence that such covenant shall
be enforceable by the state by the remedy of
specific performance, it being hereby determined
and noticed that the state would suffer
irreparable harm from any breach of the
obligations under this section for which there
would be no adequate remedy at law and monetary
damages would not adequately compensate the state
for the intangible and unique benefits, public
welfare, public uses and public purposes that the
state is achieving by exercising its power and
borrowing on behalf of the overall project,
including, but not limited to, those described in
section 1 of this act, even though the agreement
shall provide for specified liquidated damages,
calculated upon the execution of the agreement
based on the projected fiscal benefits to the
state of the team's performance, in the stadium
facility for the full term of the lease, in the
event that specific performance may not be
effectuated.
Sec. 7. (NEW) Except as otherwise limited by
sections 1 to 28, inclusive, and sections 38 to
41, inclusive, of this act, the secretary may:
(1) Acquire by condemnation, purchase, lease,
lease-purchase or otherwise, the real property for
the stadium facility site and the infrastructure
improvements;
(2) Select surveyors, appraisers, engineers,
architects and other professionals;
(3) Lease or sublease as lessor or lessee or
sublessor or sublessee any real property in
connection with the overall project;
(4) Enter into the agreement, pursuant to
which agreement the state may be obligated, among
other things, to (A) acquire or provide the
stadium facility site and the training facility
site, (B) provide bond proceeds or other funds
with which to pay certain costs of the overall
project provided no more than fifteen million
dollars shall be allotted for the training
facility, and provided further no portion of such
proceeds or funds shall be allotted for the NFL
pavilion, (C) plan, undertake or otherwise provide
for the site preparation and the implementation of
the infrastructure improvements, including, but
not limited to, providing for dedicated parking
facilities and general parking facilities as
configured in the agreement and coordinating the
public and private facilities currently available
for parking facilities, provided no proceeds of
bonds for infrastructure improvements shall be
made available for construction of parking
facilities unless the other infrastructure
improvements have been paid or reserved for, (D)
guarantee the receipt by the team of certain
revenues per year in the event that certain club
seats or luxury suites are not sold at certain
prices to the extent provided by subsection (b) of
section 12 of this act, and (E) provide other
funds with which to pay capital costs as provided
by section 14 of this act;
(5) Grant to the team, the lessee or an
affiliate of the team or cause to be granted to
the team, the lessee or such affiliate, for a
nominal sum, leasehold or other interests with
respect to the stadium facility site, the stadium
facility, the training facility site, the training
facility and the NFL pavilion site, on terms and
conditions consistent with this act and in
consideration of the Patriots relocating to
Hartford, Connecticut and playing in the stadium
facility for at least the term of the lease;
(6) Provide, construct and otherwise be
responsible for the site preparation and for the
implementation of the infrastructure improvements
and to coordinate such work with other departments
or agencies of the state, any municipality,
political subdivision, quasi-public agency, public
authority or other public body including, but not
limited to, The University of Connecticut, the
Metropolitan District Commission and the
authority, each of which, notwithstanding any
provision of the general statutes, may enter into
a written agreement with the secretary and, if
necessary, the developer respecting the
coordination, funding, performance and completion
of such work;
(7) Coordinate the work respecting the overall
project with the convention center;
(8) Make and execute any other contracts and
all other instruments necessary or convenient or
desirable for the exercise of the powers and
functions of the state and may coordinate,
delegate, implement and complete any or all of the
overall project;
(9) Delegate to the authority pursuant to a
written agreement such activities,
responsibilities and obligations of the secretary
as, in the opinion of the secretary, are
appropriate, necessary or desirable in order to
effectuate the overall project under this act and
the capital city projects under sections 1 to 22,
inclusive, of public act 98-179, as amended by
this act;
(10) Enter into any agreement with respect to
the overall project or any facility thereof,
provided the state in all events shall be and
remain the owner of the stadium facility in the
exercise of a governmental function complementing
the substantial private investment and the
equipment, fixtures, furnishings and appurtenances
purchased as an integral part thereof, including
having title in its name upon any such purchase,
with the proceeds of bonds, or moneys from the
Capital Replacement Reserve Fund;
(11) Accept gifts, grants of funds, property
or service for the overall project or any aspect
thereof from any source, public or private and
comply, subject to the provisions of this act,
with the terms and conditions of such gift or
grant;
(12) To pay or to reimburse the Office of
Policy and Management and other affected state
agencies and political subdivisions of the state,
for the reasonable direct and indirect costs
related to the overall project including, without
limitation, expenses arising prior to the
effective date of this act; and
(13) Do any and all other things necessary or
convenient to carry out the purposes and exercise
the powers expressly granted pursuant to this
section and section 1 of this act.
Sec. 8. (NEW) (a) The Superior Court shall
have jurisdiction to enter judgment in favor of
the developer, the lessee or the team against the
state to enforce a final award limited to money
damages resulting from an arbitration pursuant to
a proceeding under the agreement, limited to the
following: (1) For payment under the agreement
relating to properly requisitioned bond proceeds
for the stadium project and the training facility,
(2) for payment under the agreement of properly
requisitioned moneys from the Capital Replacement
Reserve Fund, (3) for payment under the state
guarantee respecting club seats and luxury suites,
or (4) for payment of any other claim for payment
of money damages for breach of a covenant or
obligation of the state under the agreement. Any
action brought under this section shall be brought
in the superior court for the judicial district of
Hartford. The jurisdiction conferred upon the
Superior Court by this section includes any
set-off, claim or demand on the part of the state
against any plaintiff commencing an action under
this section, except to the extent that any such
set-off, claim or demand was or could have been
asserted in the arbitration proceeding pursuant to
the agreement which is the subject of the
plaintiff's action. Such action shall be tried to
the court without a jury. All legal defenses which
would ordinarily have been available to a private
party in an action for entry of judgment based
upon a final arbitration award pursuant to the
agreement shall be reserved to the state. Except
to the extent expressly set forth in this section,
the defense of governmental immunity shall be
reserved to the state. Any action brought under
this section shall be privileged in respect of
assignment for trial upon motion of either party.
(b) To the extent that any agreement
heretofore or hereafter executed in respect of the
overall project or performance of duties pursuant
to any such agreement, including any escrow
agreement, provides for arbitration, the site of
such arbitration may be in a state other than this
state.
Sec. 9. (NEW) (a) The developer shall prepare,
with the assistance of the design professional and
in consultation with the secretary, within the
preliminary costs allotted for such purpose or
otherwise available, proposed minimum requirements
for the stadium facility. The proposed minimum
requirements may include, but are not limited to,
provisions relating to the type of materials to be
used and provisions for safety, fire protection,
health and sanitation. The developer's proposed
minimum requirements shall be forwarded to the
Governor or his designee for approval, disapproval
or modification. The developer's proposed minimum
requirements shall be deemed adopted, with or
without modifications as the case may be, upon (1)
written approval by the Governor, or (2) the
expiration of thirty days after receipt of the
minimum requirements by the Governor without
written disapproval by the Governor, whichever
occurs first. Subject to the agreement and the
rights and obligations of the respective parties
under the agreement, changes in the minimum
requirements so adopted may from time to time be
formulated and proposed, approved, disapproved or
modified, in the same manner as the original
minimum requirements so long as such modifications
are made prior to the delivery of preliminary
plans and specifications pursuant to subsection
(b) of this section. The minimum requirements so
adopted shall be appended to, and form a part of,
the agreement. If the minimum requirements
proposed by the developer are modified by the
Governor, the developer shall determine in good
faith whether such modifications are acceptable
and shall accept or reject such modifications
within thirty days. The developer shall not be
required to commence construction until such
modifications are acceptable.
(b) Pursuant to the agreement, the developer,
in consultation with the secretary, shall cause to
be prepared the preliminary plans and
specifications and the final plans and
specifications. All such plans and specifications
shall be consistent with the minimum requirements
of subsection (a) of this section. Subject to the
terms of the agreement, the developer may from
time to time modify, or authorize the modification
of, such plans and specifications, provided (1)
the plans and specifications as so modified comply
with the minimum requirements adopted pursuant to
subsection (a) of this section and in effect at
the time of such modification, and (2) such
modification shall be made in accordance with the
agreement.
Sec. 10. (NEW) (a) The Commissioner of
Transportation shall conduct and complete an
investigation and study of the publicly and
privately owned or operated, public and commercial
parking facilities and the state and local highway
and street systems currently existing within a
radius of one mile of the stadium facility site.
Such study shall evaluate the adequacy of the
facilities and systems, and shall recommend
measures for the safe passage to and from stadium
facility events with the minimal amount of
disruptive traffic patterns that is reasonably
feasible. The Commissioner of Transportation
shall, after consultation with local traffic
authorities, adopt regulations in accordance with
the provisions of chapter 54 of the general
statutes as may be necessary or desirable.
(b) The Commissioner of Consumer Protection
shall adopt regulations in accordance with chapter
54 of the general statutes as may be necessary or
desirable to preclude excessive pricing at the
public and commercial parking facilities located
within the one mile radius of the stadium facility
site. Such regulations shall include rate
schedules in connection with stadium events,
including, but not limited to, Patriots home
games; provided such rate schedules shall not
require daily pricing below or permit daily
pricing above, the average daily rate applicable
in the central business district of Hartford for
weekday parking during the immediately prior
calendar year. Upon a finding by the commissioner
that a person has violated any of the provisions
of this subsection or the regulations adopted
thereunder the commissioner may issue a warning
citation or may impose a civil penalty of not more
than one hundred dollars for the first offense and
not more than five hundred dollars for each
subsequent offense. Each violation on any single
day shall be deemed a single offense.
(c) The secretary, acting in consultation with
the developer, shall commission an infrastructure
improvement study to determine the easiest
practical ingress and egress to and from the
stadium facility site for full capacity stadium
facility crowds, with a goal of achieving full
crowd ingress and egress within a period of one
hour or less. Such study shall determine the best
usage of existing bond authorizations and other
federal, state and municipal funds allotted for
such purpose or otherwise available to achieve the
goal of the study. The cost of such study shall be
considered a preliminary cost and included as an
infrastructure improvement cost.
Sec. 11. (NEW) (a) The scope of work of the
developer shall be identified in the agreement.
The team may retain, after consultation with the
secretary, or arrange a joint venture with, a
person having the requisite experience and
capability to perform such scope of work, in which
event the agreement may authorize a reasonable
construction management fee for such person, but
not for the team or any affiliate of the team, and
in no event shall the agreement authorize any
other development fee.
(b) The agreement shall provide that the
developer shall construct and complete the stadium
facility in accordance with the agreement, not
later than the targeted completion date as
specified in the agreement and at a cost to the
state not exceeding the guaranteed maximum price
of two hundred eighty million dollars. Such
guaranteed maximum price shall include any
contingency amount to be available under the
agreement to the developer for additional costs of
the stadium project that may arise during the
course of construction. The agreement may include
provisions providing an incentive to the developer
to avoid the use of such contingency amount. The
agreement may provide for an increase in the
amount of the guaranteed maximum price resulting
from state action, consisting of a delay in the
acquisition of the stadium facility site, delay in
the performance of site preparation, change in
state law or regulations subsequent to the
execution of the agreement, increase in costs or
delay in performance respecting permit,
environmental matters or infrastructure
improvements undertaken as a state obligation in
the agreement, change orders of the state, failure
by the state either to make payments to the
developer or to give approvals within the time
specified, or delay in meeting other construction
commencement date conditions, in each case subject
to the terms and conditions of the agreement. The
agreement may provide for a construction contract
that includes component infrastructure work to be
paid by the state at a separate maximum price.
(c) Notwithstanding any provision of the
general statutes applicable to a state facility, a
state public works project or public building,
including, but not limited to, those sections of
titles 4a and 4b of the general statutes either
relating or pertaining to public procurement, the
developer, the contractor, the design
professional, the secretary or the lessee, or any
subcontractor of the developer, the contractor,
the design professional, the secretary or the
lessee, may enter into any contract with respect
to the overall project and the operation of any of
the facilities on a negotiated basis, provided the
developer shall invite not less than three
qualified construction contractors with current
NFL stadium construction experience to submit
proposals for construction of the stadium facility
and the NFL pavilion. The contractor shall either
comply with the prevailing wage laws or enter into
a project labor agreement. The developer and the
lessee shall make reasonable efforts to hire
available and qualified residents of the city of
Hartford and available and qualified members of
minorities as defined in section 32-9n of the
general statutes for construction and operation
jobs at the stadium facility at all levels of the
construction and operation, as more fully
described in the agreement.
(d) The agreement shall contain a clause to
the effect that the obligation of the state to
finance the costs of the overall project shall be
deemed executory except to the extent of the
proceeds of the bonds and any moneys allotted for
such purpose.
(e) The developer shall include with each
requisition submitted for payment on account of
any contract for the stadium project or training
facility awarded by or for the developer, a
certification stating that the bills and estimates
presented with such requisition constitute proper
charges of the stadium project or training
facility, as applicable, and the persons to whom
such payments are to be made, provided such
amounts shall not be paid directly or indirectly
to the developer or any affiliate of the
developer, except as may be expressly authorized
by the agreement with respect to actual
out-of-pocket expenditures and by subsection (a)
of this section. The secretary shall notify the
Comptroller of the amounts to be paid to the
developer on account of such requisitions from the
moneys allotted for such purpose and the
Comptroller shall draw orders on the Treasurer in
the amount thereof for payment to the developer.
(f) The developer shall require, for the
protection of the state and the developer, such
deposits, bonds and security in connection with
the awarding of construction contracts and the
performance of work on the stadium facility as the
developer shall determine to be appropriate, in
consultation with the secretary.
(g) In the event that the developer fails,
subject to extension as a result of uncontrollable
circumstances or state action referred to in
subsection (b) of this section, to commence to
construct the stadium facility within the number
of days required by the agreement after the
construction commencement date conditions have
been met, the agreement shall be subject to
termination by the secretary and the developer
shall be required to pay damages to the state on
such terms and conditions as shall be set forth in
the agreement.
(h) In the event that the developer fails to
complete the construction of the stadium facility
by the targeted completion date, subject to
extension as a result of any uncontrollable
circumstances or any state action as described in
subsection (b) of this section, the developer
shall be required to pay damages for such
inexcusable delays to the state on such other
terms and conditions as shall be set forth in the
agreement.
Sec. 12. (NEW) (a) The lease shall include
provisions substantially similar, but not limited,
to the following:
(1) The term of the lease shall commence no
later than the date on which the stadium project
shall be substantially completed and shall
continue until the later of thirty years after
such date or the date of the Patriots' last
regular season and postseason game in the
thirtieth full NFL season following such
commencement date, subject to subparagraph (A) or
(B) of subdivision (3) of this subsection, as
applicable, to earlier termination as provided in
this section and to such extension options as may
be set forth in the lease, provided the agreement
may provide for the developer to have access to
the stadium facility site from the date of the
agreement and until completion of the stadium
project;
(2) The lessee shall cause the Patriots to
play all of their preseason, regular season and
postseason home games, except for the Super Bowl,
at the stadium facility throughout the term of the
lease, subject to uncontrollable circumstances;
(3) (A) The lessee shall enter into an
agreement with The University of Connecticut
pursuant to which the university's football team
shall have the right to use the stadium facility
on terms and conditions satisfactory to the
university, the lessee, the team, and the
secretary; or
(B) The lease shall include provisions
reserving the right of and permitting the state to
directly lease the stadium facility to The
University of Connecticut and to state agencies
for specified uses and right to revenues from time
to time on terms and conditions satisfactory to
the university, the lessee, the team and the
secretary;
(4) Subject to the state's payment obligations
under section 14 of this act, the lease shall be a
"net" lease requiring the lessee to perform all
marketing, management, maintenance, repair,
capital replacement and other functions relating
to the operation of the stadium facility, provided
the state may be required to procure insurance
with respect to the leased premises;
(5) In consideration of the relocation of the
Patriots to Connecticut and the provisions of this
section, the lessee shall pay nominal net annual
rent of one dollar to the state for the stadium
facility site and stadium facility;
(6) Subject to the provisions of subdivision
(3) of this subsection relating to the direct
lease of the stadium facility on certain days to
The University of Connecticut and to any
additional limitations that may be set forth in
the lease, the lessee shall have the exclusive use
of the stadium facility during the term of the
lease and be entitled to all revenues from the
operation of the stadium facility, including, but
not limited to, the right to enter into and retain
all revenues from concession agreements,
management agreements, advertising arrangements
and other similar agreements, and to other rights
and revenues in respect of the operation and
management of or otherwise derived from the
stadium facility and the stadium facility site,
including, but not limited to, the naming of the
stadium facility;
(7) The lease shall include other provisions
or covenants respecting adherence to the
requirements of the internal revenue code to
assure the exemption of interest on the bonds
issued for the overall project; and
(8) The procedures for review by the secretary
of the name selected by the team for the stadium
facility shall be more particularly set forth in
the agreement.
(b) The agreement shall contain provisions to
the following effect:
(1) For purposes of this subsection, the club
seats shall be considered to have an average value
of four thousand dollars per year and the luxury
suites to have an average value of one hundred
thousand dollars per year, each such figure to be
subject to price adjustment as provided below.
Beginning with the first NFL season in which the
team plays at the stadium facility and for each
subsequent NFL season throughout the term of the
lease, the state will guarantee, subject to the
limitations and on the terms set forth in this
section, effectively the sale of four thousand
club seats each NFL season based on an average
value of four thousand dollars each at the rate of
fifty per cent of each dollar, and the sale of up
to the last one hundred luxury suites each NFL
season based on an average value of one hundred
thousand dollars each at the rate of fifty per
cent on each dollar, each assumed average value to
be adjusted annually to reflect any percentage
increase in the average NFL list price per head
for such seats and suites, including premiums and
related ticket prices, as determined pursuant to a
report prepared by a nationally recognized firm of
accountants chosen by the team after consultation
with the state. Such annual adjustment shall not
take into account any NFL stadium which has been
in operation for less than twelve months at the
time of the adjustment. Such average value of a
club seat, initially four thousand dollars and
thereafter adjusted as provided in this
subdivision, is referred to as the "club seat
target price", and such average value of a luxury
suite, initially one hundred thousand dollars and
thereafter adjusted as provided in this
subdivision, is referred to as the "luxury suite
target price";
(2) The computation of the required amount of
the guarantee payment for each such NFL season,
the "guarantee payment", shall be effected as
follows:
(A) Club Seats: (i) Multiply the club seat
target price, initially, four thousand dollars as
aforesaid, by six thousand; (ii) from the dollar
product computed in subparagraph (A)(i),
initially, twenty-four million dollars, subtract
the total revenues to the team from club seat
sales, including premiums and related ticket
prices, for that NFL season; (iii) the state shall
pay to the team an amount equal to thirty-three
and one-third per cent of the dollar difference
computed in subparagraph (A)(ii);
(B) Luxury Suites: (i) Order all luxury suite
sales from one to one hundred fifty based on the
highest to lowest total revenues attributable to
each such luxury suite for that NFL season,
assigning zero dollars to each luxury suite for
which there was no such revenue; (ii) disregarding
the total revenues from the ten luxury suites sold
for the highest prices that NFL season, start with
the eleventh such luxury suite and continue in
order to and including the fiftieth such luxury
suite, all such luxury suites from eleven to
fifty, inclusive, are referred to as the "credited
luxury suites"; (iii) compute the excess, if any,
of (I) the total revenues to the team from sales
of the credited luxury suites, including premiums
and related ticket prices, for that NFL season
over (II) the amount that is the product of forty
times the luxury suite target price. Such excess
or a proportionate part thereof determined in
accordance with the agreement is referred to as
the "state credit"; (iv) start with the
fifty-first such luxury suite and continue in
order to and including the last guaranteed luxury
suite, all such luxury suites from the fifty-first
to the last guaranteed luxury suite, inclusive,
are referred to as the "state guaranteed luxury
suites", such number of state guaranteed luxury
suites in no event to be less than seventy-five or
greater than one hundred; (v) determine the amount
equal to fifty per cent of the excess, if any, of
(I) the product of the number of state guaranteed
luxury suites times the luxury suite target price,
over (II) the total revenues to the team from the
sales of state guaranteed luxury suites, including
premium and related ticket prices, for that NFL
season; (vi) the state will pay to the team the
amount determined pursuant to subparagraph (B)(v)
reduced by the state credit in a manner provided
by the agreement;
(3) For purposes of this subsection, the term
"last guaranteed luxury suite" means the number on
the ordered list which represents the total number
of luxury suites presold and committed prior to
the first regular season home game played by the
team at the stadium facility, which number shall
for this purpose in no event be less than one
hundred twenty-five or more than one hundred
fifty; provided for purposes of the count of such
number of luxury suites, over one hundred
twenty-five presold and committed, only those
luxury suites sold (A) with marketing practices,
for periods of time and on other terms and
conditions not including the sales prices thereof,
that are not inconsistent with the marketing
practices, periods of time and other terms and
conditions applicable to the first one hundred
twenty-five luxury suites, and (B) for at least
the minimum required price set forth in the
agreement shall be counted;
(4) The team shall be required to use
commercially reasonable efforts to market and
lease to one hundred per cent occupancy the club
seats and luxury suites, provided any practice of
pricing club seats or luxury suites below the
applicable target price of each shall be at the
discretion of the team. The state shall be
entitled to deduct from each guarantee payment and
retain an amount equal to the taxes under chapter
225 of the general statutes that would have been
payable had the guarantee payment instead been
paid by third parties for club seat and luxury
suite admissions;
(5) In determining the number of luxury suites
which constitute the first ten luxury suites or
which constitute state guaranteed luxury suites,
if any such luxury suite is dramatically
disproportionately large or small as compared to
the average luxury suite, the status of such
luxury suite as a multiple or partial luxury suite
shall be determined by the state and the team in
accordance with procedures set forth in the
agreement;
(6) The agreement shall include provisions
dealing with bundled sales of club seats and
luxury suites; barter or exchange of club seats
and luxury suites; use of club seats and luxury
suites by the team and its affiliates; adjustments
in the event that the use or number of club seats
or luxury suites is limited or curtailed or in the
event of general interruptions in NFL play; and
the allocation and valuation of multiple-year club
seat and luxury suite sales;
(7) The team shall not sell any club seat or
any luxury suite below minimum prices determined
pursuant to the agreement, provided such minimum
prices shall in no event be less than fifty per
cent of the club seat target price and the luxury
suite target price, respectively, unless the
secretary determines that lower minimum prices are
in the best interest of the state;
(8) The secretary may, in consultation with
the Insurance Purchasing Board, obtain insurance
to cover, in whole or in part, the risk to the
state of the obligations imposed by this section;
(9) The payments required by this section
shall be calculated after the end of the then
applicable NFL season during the term of the lease
and paid on the following July fifteenth. The
agreement shall provide that the guarantee may not
be cancelled by the state during the first ten
years of the lease term. From and after the
seventh anniversary of the commencement of the
lease term, the agreement may provide that the
state may cancel the guarantee by giving the owner
three years' prior written notice of the effective
date of such cancellation. The agreement may
provide that if the guarantee is so cancelled by
the state the team may, at its option, terminate
the agreement. Cancellation by the state of the
agreement under this section shall be evidenced
only by the passage of an act of the legislature,
and if so evidenced, shall be irrevocable;
(10) The full faith and credit of the state is
hereby pledged to guarantee the payments provided
for in this subsection, which payments are hereby
deemed appropriated from the General Fund on the
July first following the adjournment date of the
regular session of the General Assembly in the
amount certified by the secretary to the State
Treasurer as sufficient to fund such payments.
Such amount shall be allotted and paid to the team
and, accordingly, the secretary shall pay such
amounts in accordance with the provisions of the
agreement;
(11) The agreement shall provide that there
shall be no increase in the number of premium
seats contemplated by the agreement without the
consent of the secretary. The agreement shall
provide that such consent shall not be
unreasonably withheld, but such consent may be
conditioned on an equitable adjustment of the
guarantees provided for in this subsection;
(12) The agreement shall permit the state to
access the luxury suites or club seats with
respect to which the state makes payments as
provided in this subsection, subject to such terms
and conditions as may be set forth in the
agreement;
(13) In the event that the state is required
to make payments with respect to the guarantees
provided for in this subsection, the agreement
shall contain provisions respecting the
circumstances in which the state will have the
option to designate an independent consultant to
review, or manage, the marketing of the luxury
suites and club seats, subject to such terms and
conditions as may be set forth in the agreement;
(14) The agreement shall provide that there is
an exclusive dealing arrangement between the team
and state for the term of the lease, provided that
the state or team can discuss arrangements with
other teams or municipalities, respectively, that
would become effective only upon the termination
or expiration of the lease term; and
(15) The agreement shall provide that there
will be no change in the controlling ownership of
the franchise or of controlling interest in the
team by voluntary sale, assignment or transfer for
the period prior to the end of the first NFL
season in which all home games are played at the
stadium facility or the end of the 2002 NFL
season, whichever is sooner. This restriction
shall not apply to any change in the controlling
ownership of the franchise or of controlling
interest in the team resulting from or following
death, incapacity or other involuntary sale,
assignment or transfer.
(c) The agreement shall not be subject to
termination by the team or any affiliate of the
team except by the reason of: (1) A continuing
failure by the state, after notice, resolution of
any dispute and opportunity to cure as provided in
the agreement, to satisfy the construction
commencement date conditions within the time
provided in the agreement; (2) commercial
impossibility, as defined in the agreement,
asserted by written notice to the secretary and
the Governor on a date prior to the filing of the
certificate with the Treasurer pursuant to
subsection (b) of section 5 of this act; (3) a
continuing default by the state, after notice,
resolution of any dispute and opportunity to cure,
as provided in the agreement, with respect to the
state's obligations relating to (A) subject to the
provisions hereof respecting the allotment and
guaranteed maximum price, the funding of costs of
the overall project, (B) the guarantee provided
for in subsection (b) of this section, (C) the
Capital Replacement Reserve Fund, or (D) payment
of any judgment entered upon a final arbitration
award pursuant to the agreement; or (4) damage or
destruction to the stadium facility necessitating
restoration, the cost of which shall exceed
available insurance proceeds and any other funds
made available by the state for such restoration,
as more particularly described in the agreement.
The agreement may require the state to deposit in
escrow any disputed amount with respect to the
guarantee provided for in subsection (b) of this
section, as a condition to the state's right to
dispute its obligation to pay such amount.
(d) The sale of PSLs shall not be permitted
prior to the tenth anniversary of the lease
commencement date, and thereafter shall be
permitted only with the express permission of the
Governor.
Sec. 13. (NEW) The training facility and the
training facility site, if owned by the state, may
be net leased to the team, for a term coinciding
with the term of the stadium facility lease, for a
net annual rent of one dollar. In such event, the
training facility will be for the exclusive use of
the Patriots. The agreement shall obligate the
developer to design and construct the training
facility, on such terms and subject to such
conditions as shall be set forth in the agreement,
at a maximum cost to the state of fifteen million
dollars, by not later than the first day of the
second full NFL season in which the team plays in
the stadium facility, subject to extension for
delays caused by uncontrollable circumstances or
as a result of state action.
Sec. 14. (NEW) (a) There is created a
nonlapsing capital improvement fund to be held by
the State Treasurer separate from, and not be
commingled with, other funds of the state, to be
known as the "Capital Replacement Reserve Fund".
(b) The Commissioner of Revenue Services shall
segregate from the amounts received by the state
from the tax imposed on admissions under section
12-541 of the general statutes, as amended by this
act, such amounts as are attributable to admission
charges at the stadium facility, up to the annual
amounts required pursuant to this subsection. Such
segregated amounts shall be paid to the Treasurer
and credited to the Capital Replacement Reserve
Fund as follows: (1) Two million dollars
commencing with the June thirtieth following the
first full season of the Patriots playing in the
stadium facility and each June thirtieth
thereafter up to and including June thirtieth of
the calendar year that includes the tenth
anniversary of the lease commencement; (2) three
million five hundred thousand dollars commencing
with the June thirtieth of the calendar year that
includes the eleventh anniversary of the lease
commencement and each June thirtieth thereafter up
to and including June thirtieth of the calendar
year that includes the twentieth anniversary of
the lease commencement; and (3) six million
dollars commencing on June thirtieth of the
calendar year that includes the twenty-first
anniversary of the lease commencement and each
June thirtieth thereafter up to and including June
thirtieth of the calendar year that includes the
thirtieth anniversary of the lease commencement.
In the event that a source of revenue becomes
available for deposit to such fund, other than
from proceeds of insurance, investment income or
capital contributions as described in subsection
(h) of this section, the amounts required for
deposit by the state shall be reduced in
corresponding amounts.
(c) If the amount segregated by the
commissioner pursuant to subsection (b) of this
section in any year is less than the amount
required to be deposited in the Capital Reserve
Replacement Fund there shall be transferred from
the General Fund to the Capital Reserve
Replacement Fund, no later than June thirtieth in
each year such transfer is required, an amount
certified by the secretary as equal to the
difference between the amount segregated from the
tax on admissions by the commissioner pursuant to
subsection (a) of this section and the amount
required to be deposited in the fund pursuant to
subsection (b) of this section. The full faith and
credit of the state of Connecticut is hereby
pledged to guarantee the payment of such amounts
so certified by the secretary, which payments are
hereby deemed appropriated from the General Fund
for deposit to the Capital Replacement Reserve
Fund.
(d) The Treasurer shall invest the moneys in
such fund in accordance with section 3-31a of the
general statutes. Net earnings on investment of
the fund shall be credited to the fund but such
earnings shall not be considered deposits to the
fund from other sources for purposes of reducing
the amounts required to be deposited pursuant to
subsection (b) of this section. The agreement may
provide for filing with the Treasurer of the date
or dates when expenditures from such fund can be
expected and such investments shall mature at such
time or times so as to be available therefor.
(e) The moneys in the Capital Replacement
Reserve Fund shall be expended solely for the
payment of capital costs, pursuant to a
requisition certificate of the secretary
certifying that: (1) The disbursement is to be
used to pay or reimburse capital costs without
profit to the team; (2) the amount of such payment
has been verified by the secretary as accurate;
and (3) the payment or reimbursement for such
capital costs from the Capital Replacement Reserve
Fund is required by the agreement. Each such
amount shall be paid to the person identified by
the secretary in such certificate and the State
Comptroller shall make such payments.
(f) The agreement shall provide for the
payment of capital costs from the Capital
Replacement Reserve Fund for capital replacements
that are required so as to maintain the stadium
facility in first class condition, including work
necessitated by construction defects,
deterioration, NFL requirements related to
open-air stadiums of similar age and use and other
such requirements to maintain its foundation and
structural integrity. The agreement may also
provide for the payment from such fund of capital
costs for capital modifications that the team
certifies as enhancing the revenue potential or
economic competitiveness of the stadium facility
so long as amounts thereafter available in, or to
be made available to, the fund are sufficient to
pay such required capital replacements. The
agreement shall include standards of care and
priority so as to reasonably assure the
performance and payment of required capital
replacements from the amounts required to be paid
or deposited into the fund as set forth in this
section.
(g) Notwithstanding the foregoing, funds in
the Capital Replacement Reserve Fund shall not be
available for the payment of capital costs prior
to June thirtieth of the calendar year that
includes the tenth anniversary of the lease
commencement, and the lessee shall not at any time
be entitled to any reimbursement of capital costs
incurred prior to said tenth anniversary.
(h) On and after June thirtieth of the
calendar year that includes the tenth anniversary
of the lease commitment, and prior to June
thirtieth of the calendar year that includes the
twentieth anniversary of the lease commencement,
to the extent that amounts in the Capital
Replacement Reserve Fund at any time are not
sufficient to pay in whole or a portion of the
capital costs of required capital replacements, as
described in this section, the agreement shall
require the lessee to complete such required
capital replacement using lessee's own funds,
provided any such payment shall be deemed an
advance and shall be reimbursed to the lessee in
subsequent years to the extent that moneys are
available in the Capital Replacement Reserve Fund.
(i) On and after June thirtieth of the
calendar year that includes the twentieth
anniversary of the lease commencement, to the
extent that amounts in the Capital Replacement
Reserve Fund are not sufficient to pay in whole or
a portion of the capital costs of required capital
replacements, the agreement shall provide that the
lessee and the state shall share equally in such
capital costs in excess of amounts available in
the Capital Replacement Reserve Fund. Any such
payments shall be deemed to be advances and shall
be reimbursed equally to the lessee and to the
state to the extent that in subsequent years
moneys are available in the Capital Replacement
Reserve Fund.
(j) Upon the expiration or earlier termination
of the lease, any amounts in the Capital
Replacement Reserve Fund remaining after payment
or reimbursement of any capital costs theretofore
properly incurred shall be transferred to the
General Fund.
Sec. 15. (NEW) (a) The Secretary of the Office
of Policy and Management may take all or a portion
of the real property in the capital city economic
development district as bounded and described in
section 1 of public act 98-179, as amended by this
act, in the town and city of Hartford, for use as
the stadium facility site, to be more particularly
described in the agreement. The secretary may also
take all such real property as may be necessary to
implement the infrastructure improvements. The
owner or owners of such real property shall be
paid by the state for all damages, and the state
shall receive from such owner the amount or value
of all benefits, resulting from such taking or
construction of the stadium facility or the
implementation of the infrastructure improvements.
The assessment of such damages and of such
benefits shall be made by the secretary and filed
by the secretary with the clerk of the superior
court for the judicial district in which the real
property is located. The assessment shall include
the name and address of each person having an
interest of record in the property. The clerk
shall give notice of such assessment to each
person having an interest of record in the
property by mailing to each a copy of the same,
postage prepaid. No entry fee shall be charged for
the filing of such assessments. At any time after
such assessment has been made by the secretary,
the physical construction of the stadium facility
may be started.
(b) If notice cannot be given to any person
entitled to such notice because his whereabouts or
existence is unknown, notice may be given by
publishing a notice at least twice in a newspaper
published in said judicial district and having a
daily or weekly circulation in the town and city
of Hartford. Any such published notice shall state
that it is a notice to the last owner of record or
his surviving spouse, heirs, administrators,
assigns, representatives or creditors, if he is
deceased, and shall contain a brief description of
the property taken. Notice shall also be given by
mailing to each such person at his last-known
address, by registered or certified mail, a copy
of such notice. If, after a search of the land and
probate records, the address of any interested
party cannot be found, an affidavit stating such
facts and reciting the steps taken to establish
the address of any such person shall be filed with
the clerk of the superior court and accepted in
lieu of service of such notice by mailing the same
to the last-known address of such person.
(c) Upon filing an assessment with the clerk
of the superior court, the secretary shall
forthwith sign and file for record with the town
clerk of the town and city of Hartford, a
certificate setting forth the fact of such taking,
a description of the real property so taken and
the names and residences of the owners from whom
it was taken. Upon the filing of such certificate,
title to such real property in fee simple shall
vest in the state, except that, if it is so
specified in such certificate, a lesser estate,
interest or right shall vest in the state. The
secretary shall permit the last owner of record of
such real property upon which a residence is
situated to remain in such residence, rent free,
for a period of one hundred twenty days after the
filing of such certificate.
(d) The secretary may purchase any real
property and take a deed thereof in the name of
the state when such real property is needed, in
the secretary's opinion, in connection with the
construction of the stadium facility or the
implementation of the infrastructure improvements,
provided any purchase price for any of such real
property in an amount in excess of the sum of
fifteen thousand dollars shall be approved by a
state referee. The secretary, with the advice and
consent of the Attorney General, may settle and
compromise any claim by any person, claiming to be
aggrieved by such construction, by the payment of
money or the transfer of other real property
acquired for or in connection with the stadium
facility.
(e) The secretary may take or purchase real
property abutting or near the stadium facility
site or any infrastructure improvements for the
purpose of protecting the functional
characteristics of the stadium facility or to
protect public safety or to implement the
infrastructure improvements. Such taking or
purchase shall be in the same manner and with like
powers as authorized and exercised by the
secretary in taking or purchasing real property
for the stadium facility or the infrastructure
improvements.
(f) As used in this section, "public service
facility" means all privately, publicly or
cooperatively owned lines, facilities and systems
for producing, transmitting or distributing
communications, cable television, power,
electricity, light, heat, gas, oil, crude
products, water, steam, waste, storm water not
connected with highway drainage and any other
similar commodities, including fire and police
signal systems and street lighting systems which
directly or indirectly serve the public. Whenever
the secretary determines that the construction or
reconstruction of the stadium facility or the
infrastructure improvements necessitates the
readjustment or relocation of any public service
facility located within, on, along, over or under
any land comprising the right-of-way of a state
highway or any other public highway within, or
removal of any such public service facility from
such right-of-way, the secretary shall issue an
appropriate order to the company, corporation or
municipality owning or operating such facility,
and such company, corporation or municipality
shall readjust, relocate or remove the same
promptly in accordance with such order; provided
an equitable share of the cost of such
readjustment, relocation or removal, including the
cost of installing and constructing a facility of
equal capacity in a new location, shall be borne
by the state. Such equitable share, in the case of
or in connection with the construction or
reconstruction of the stadium facility or the
infrastructure improvements, shall be the entire
cost, less the deductions as provided in this
subsection. In establishing the equitable share of
the cost to be borne by the state, there shall be
deducted from the cost of the readjusted,
relocated or removed public service facilities a
sum based on a consideration of the value of
materials salvaged from existing installations,
the cost of the original installation, the life
expectancy of the original public service facility
and the unexpired term of such life use. When any
public service facility is removed from the
right-of-way of a public highway to a private
right-of-way, the state shall not pay for such
private right-of-way, provided, when a
municipally-owned public service facility is thus
removed from a municipally-owned highway, the
state shall pay for the private right-of-way
needed by the municipality for such relocation. If
the secretary and the company, corporation or
municipality owning or operating such public
service facility cannot agree upon the share of
the cost to be borne by the state, either may
apply to the superior court for the judicial
district within which such facility is situated
for a determination of the cost to be borne by the
state, and said court or such judge, after causing
notice of the pendency of such application to be
given to the other party, shall appoint a trial
referee to make such determination. Such trial
referee, having given at least ten days' notice to
the parties interested of the time and place of
the hearing, shall hear both parties, shall view
such facility, shall take such testimony as such
trial referee deems material and shall thereupon
determine the amount of the cost to be borne by
the state. Such determination shall, subject to
right of appeal as in civil actions, be conclusive
upon both parties.
(g) Notwithstanding any provisions of the
general statutes, when the secretary finds it
necessary that real property, the title to which
is in the state or any municipality, political
subdivision, public authority, district,
quasi-public agency or other governmental entity
and which is under the custody and control of any
state department, commission or institution,
municipality, political subdivision, public
authority, district, quasi-public agency or other
governmental entity, be taken for the purpose of
constructing the stadium facility or implementing
the infrastructure improvements, the secretary
shall present a petition to such an entity having
custody and control of such real property that
custody of the real property be transferred to the
secretary and such entity shall transfer the
custody and control of such real property to the
secretary for the purposes required.
(h) The secretary or his agent may enter upon
private real property for the purpose of
conducting surveys, inspections, appraisals, or
environmental and geological investigations for
the location or construction of the stadium
facility, or the infrastructure improvements.
After giving reasonable notice to the real
property owner or owners affected, the secretary
or his agent may also enter such property for the
purpose of performing borings, soundings or other
tests required to accomplish any of the foregoing
objectives with respect to the stadium facility or
the infrastructure improvements. The secretary or
his agent shall use care so that no unnecessary
damage shall result and the state shall pay
damages to the owner of any real property for any
damage or injury he causes such owner by such
entrance and use. If entry to any real property
for the purpose of performing borings, soundings
or other tests is refused to the secretary or his
agent after he has given reasonable notice to the
owner or owners thereof, the secretary shall
assess damages in the manner provided by this
section and, at any time after such assessment has
been made by said secretary, may enter said
property for the purpose of performing borings,
soundings or other tests. If the real property
owner accepts such assessment of damages, such
owner shall notify the secretary in writing, and
said secretary shall pay such sum to said real
property owner within thirty days or, after the
expiration of said thirty days, shall pay such sum
with interest at six per cent. If the real
property owner is aggrieved by such assessment
such owner shall notify the secretary in writing
and may appeal to any court within its
jurisdiction for a reassessment of such damages
within six months from the date said secretary
forwarded such assessment to such owner. This
section shall not limit or modify rights of entry
upon property otherwise provided for by the
general statutes.
Sec. 16. (NEW) After the assessment of damages
and benefits provided for in subsections (a) to
(c), inclusive, of section 15 of this act, has
been filed with the clerk of the superior court,
the property owner affected may file with said
clerk his written acceptance thereof. Said clerk
shall thereupon notify the State Comptroller and
the Secretary of the Office of Policy and
Management of such acceptance. If the amount to be
paid by the state for such real property, after
deducting any benefits which have been assessed,
does not exceed fifteen thousand dollars, said
clerk shall send a certified copy of the
assessment and the acceptance thereof to the
secretary and the Comptroller, and the Comptroller
shall, upon receipt thereof, draw his order on the
State Treasurer in favor of such property owner
for the amount due him under such assessment. If
the amount of such assessment, after deducting any
such benefits, exceeds fifteen thousand dollars,
said clerk shall not certify the same to the
Comptroller until the assessment has been approved
as reasonable in amount by a trial referee. If
such trial referee approves the assessment, the
clerk shall thereupon send a certified copy of the
assessment and the acceptance and a certificate
that the same has been approved to the secretary
and to the Comptroller, and the Comptroller shall,
upon receipt thereof, draw his order on the
Treasurer in favor of such property owner for the
amount due him on such assessment. If the trial
referee does not approve such assessment, the
clerk shall notify the Attorney General and the
secretary and the latter may file an amended
assessment.
Sec. 17. (NEW) Any real property owner
claiming to be aggrieved by the assessment of such
damages or such benefits by the Secretary of the
Office of Policy and Management may, not later
than six months after the same has been filed,
apply to the superior court for the judicial
district in which such real property is located
for a reassessment of such damages or such
benefits so far as the same affect such applicant,
and said court, after causing notice of the
pendency of such application to be given to said
secretary, shall appoint a trial referee to make
such reassessment of such damages or such
benefits. Such trial referee, having given at
least ten days' notice to the parties interested
of the time and place of hearing, shall hear the
applicant and said secretary, shall view the real
property and take such testimony as the trial
referee deems material and shall thereupon
reassess such damages and benefits so far as they
affect the applicant. If the amount of the
reassessment of such damages awarded to any such
property owner exceeds the amount of the
assessment of such damages by the secretary for
the real property, the trial referee shall award
to the property owner such appraisal fees as the
trial referee determines to be reasonable. If no
appeal to the Appellate Court is filed within the
time allowed by law, or if one is filed and the
proceedings have terminated in a final judgment
finding the amount due the real property owner,
the clerk shall send a certified copy of the
assessment of the secretary and of the judgment to
the State Comptroller, who shall, upon receipt
thereof, draw his order on the State Treasurer in
favor of the real property owner for the amount
due such owner as damages. The pendency of any
such application for reassessment shall not
prevent or delay the construction of the stadium
facility or the implementation of the
infrastructure improvements. As used in this
section and sections 15 and 16 of this act, "trial
referee" means a referee appointed pursuant to
subdivision (1) or (2) of subsection (a) of
section 52-434 of the general statutes, as
amended, and designated a trial referee pursuant
to subsection (b) of said section 52-434.
Sec. 18. (NEW) In any appeal to the Superior
Court taken under and by virtue of sections 15 to
20, inclusive, of this act, when the appellant
obtains an award from the court greater than that
awarded by the Secretary of the Office of Policy
and Management, court costs shall be awarded the
appellant and taxed against the state in addition
to the amount fixed by the judgment.
Sec. 19. (NEW) (a) The amount of benefits
assessed by the Secretary of the Office of Policy
and Management under the provisions of subsections
(a) to (c), inclusive, of section 15 of this act,
or reassessed by the court shall constitute a lien
upon the real property against which such benefits
were assessed from the date such assessment was
filed with the clerk of the superior court until
the amount thereof has been paid by the owner of
such real property to the state, with interest at
four per cent per annum, which interest shall
commence to accrue from the date of the filing of
such assessment. No such lien shall continue
against such real property unless notice of the
same is filed by the secretary in the office of
the town clerk for the town and city of Hartford,
or with respect to infrastructure improvements,
the town clerk of the municipality in which the
real property is located, within sixty days after
the filing of such assessment or after the
acceptance by the court of such reassessment.
(b) The provisions of this section and
subsections (a) to (c), inclusive, of section 15
of this act, and sections 16 and 17 of this act,
shall not apply in the case of any construction of
the stadium facility for which the town and city
of Hartford is liable to pay to the owner any
damages or to receive from the owner any benefits
except as provided in sections 15 to 20,
inclusive, of this act.
Sec. 20. (NEW) When the Secretary of the
Office of Policy and Management desires to take
property for the stadium facility or
infrastructure improvements and has entered into
an agreement to purchase at a stipulated amount
any real property with the owner or owners thereof
and the amount agreed to be paid for such real
property or interest is not paid within ninety
days from the date when the owner or owners of
such property file with the secretary a notice in
writing of acceptance of such agreement, interest
at four per cent per annum shall be paid on such
amount by the state unless the property owner
fails to furnish clear title within such
ninety-day period. Such interest shall commence to
accrue at the end of such ninety-day period,
whether or not an assessment has been filed as
provided in subsection (a) of section 15 of this
act. Whenever the state enters into possession of
real property being condemned prior to the date of
execution of such an agreement, such interest
shall commence to accrue from the date of actual
taking of possession by the state.
Sec. 21. (NEW) (a) The following provisions of
the general statutes, including regulations
adopted thereunder, shall not apply to the stadium
project, the construction of the NFL pavilion, the
site preparation or the implementation of the
infrastructure improvements: Section 3-14b,
subdivisions (12), (13) and (14) of section 4-166,
sections 4-167 to 4-174, inclusive, 4-181a, 4a-1
to 4a-59a, inclusive, 4a-63 to 4a-76, inclusive,
title 4b, chapters 97a, 124 and 126, sections
10-303, sections 14-311 to 14-314c, inclusive,
16a-31, 16a-38, 19a-37, subsection (a) of section
22a-19 and 22a-194g of the general statutes, and,
except as otherwise provided in this act, sections
1 to 22, inclusive, of public act 98-179, as
amended by this act. For the purposes of section
22a-12 of the general statutes, construction plans
relating to the stadium facility, the NFL
pavilion, the site preparation and the
infrastructure improvements shall not be
considered construction plans required to be
submitted by state agencies to the Council on
Environmental Quality. Notwithstanding any
provision of any special act, charter, ordinance,
home rule ordinance or chapter 98 of the general
statutes, no provision of any such act, charter or
ordinance or said chapter 98 concerning licenses,
permits or approvals by a political subdivision of
the state pertaining to building construction
shall apply to the stadium project, the
construction of the NFL pavilion, the site
preparation or the infrastructure improvements.
The provisions of section 4-61 of the general
statutes, shall not apply to the stadium project,
the construction of the NFL pavilion, the site
preparation or the infrastructure improvements,
and the provisions of section 4-160 of the general
statutes, as amended, shall not apply to any
dispute arising pursuant to the agreement of the
lease. For the purposes of part III of chapter 557
of the general statutes, the stadium project, the
construction of the NFL pavilion, the site
preparation and the infrastructure improvements
shall be deemed to be a public works project and
consist of public buildings except that the
provisions relating to payment of prevailing wages
to workers in connection with a public works
project including, but not limited to, section
31-53 of the general statutes, as amended, shall
not apply to the stadium project, the construction
of the NFL pavilion, the site preparation and
infrastructure improvements if the contractor has
negotiated other wage terms pursuant to a project
labor agreement. The provisions of subsection (c)
of section 2-79a of the general statutes, as
amended, shall not apply to any provisions of this
act concerning the stadium project, the
construction of the NFL pavilion, the site
preparation or the infrastructure improvements.
Executive orders, with the approval of the
Governor, need not apply to any contracts entered
into in connection with the stadium project, the
construction of the NFL pavilion, the site
preparation and the infrastructure improvements.
(b) As a state-owned facility, the operation
of the stadium facility shall be subject to such
ordinances, laws or regulations as are applicable
to a state facility, except as otherwise provided
in subsection (c) of section 11 and section 22 of
this act, and provided the operation of the
stadium facility shall not be subject to the
following provisions of the general statutes,
including any regulations adopted thereunder:
Title 4b, chapter 97a, sections 10-303 and 14-311
to 14-314c, inclusive, of the general statutes.
For the purposes of subsection (g) of section
22a-68 of the general statutes, the activities at
the stadium facility shall be deemed sanctioned by
the state.
Sec. 22. (NEW) All financial, business, credit
and proprietary information obtained by the
Secretary of the Office of Policy and Management
or the authority with respect to the development,
construction, leasing, management or operation of
the stadium facility shall be exempt from the
provisions of subsection (a) of section 1-19 of
the general statutes, as amended.
Sec. 23. (NEW) (a) Notwithstanding any
provision of the general statutes, any permit or
approval required or permitted to be issued and
any administrative action required or permitted to
be taken pursuant to the general statutes in
connection with any work supervised by a
department, board or agency of the state for the
overall project shall be in accordance with the
procedure set forth in this section to the extent
not inconsistent with the state's delegated
authority under federal law. Whenever the
Secretary of the Office of Policy and Management
enters into a written agreement with any public
entity pursuant to section 7 of this act for work
in respect of any aspect of the overall project
including without limitation, permit, license,
governmental approval, acquisition of real
property, construction of sewer, water or utility
connections or the like, any administrative action
to be taken by such public entity shall also be in
accordance with the procedure set forth in this
section unless inconsistent with such entity's
delegated authority under federal law or in
conflict with any contract by which such entity is
bound, provided that the procedure for review of
environmental impact evaluations and statements
required by section 22a-1a to 22a-1c, inclusive,
of the general statutes shall be in accordance
with the procedures set forth in subsections (k)
to (m), inclusive, of this section. As used in
this section, the term "commissioner" shall mean
"commissioners", if more than one commissioner has
jurisdiction over the subject matter and their
designees, if any.
(b) Each license, permit and approval required
or permitted to be issued and each administrative
action required or permitted to be taken pursuant
to the general statutes in connection with the
overall project shall be issued or taken upon
application to the particular commissioner or
commissioners having the jurisdiction over such
license, permit, approval or other administrative
action or such other state official as such
commissioner shall designate. No agency,
commission, council, committee, panel or other
body whatsoever other than such commissioner shall
have jurisdiction over or cognizance of any
licenses, permits, approvals or administrative
actions concerning the overall project. No notice
of any tentative determination or any final
determination regarding any such license, permit,
approval or administrative action and no notice of
any such license, permit, approval or
administrative action shall be required except as
expressly provided in this section. No ordinance,
law or regulation adopted by, or authority granted
to, any municipality or any other political
subdivision of the state shall apply to the
overall project.
(c) All applications, supporting documentation
and other records submitted to the commissioner
and pertaining to any application for any license,
permit, approval or other administrative action,
together with all records of the proceedings of
the commissioner relating to any license, permit,
approval or administrative action, shall be a
public record and shall be made, maintained and
disclosed in accordance with the Freedom of
Information Act, as defined in subsection (a) of
section 1-18 of the general statutes, as amended.
(d) All applications for licenses, permits,
approvals and other administrative action required
by any applicable provision of the general
statutes shall be submitted to the commissioner as
provided in subsection (b) of this section. The
commissioner shall adopt a master process to
consider multiple licenses, permits, approvals and
administrative actions to the extent practicable.
Each license or permit shall be issued, approval
shall be granted and administrative action shall
be taken not later than ten business days after
the date of submission of any application for such
license, permit, approval or administrative action
to the commissioner. Each application for a
license or permit shall be deemed to have been
issued, approval shall be deemed to have been
granted and administrative action shall be deemed
to have been taken as requested unless such
application has been denied or conditionally
issued prior to the close of business on the tenth
business day after either the date of submission
of such application, or a hearing is held on such
application pursuant to this section. Any
requirement for permits or inspections by the
State Building Inspector or State Fire Marshal
shall be satisfied if the secretary obtains a
certification from an engineer or other
appropriate professional duly certified or
licensed in the state, to the effect that such
work, to the extent such work is subject to
approval by the State Building Inspector or State
Fire Marshal, is in compliance with state building
or fire laws and regulations, as applicable.
(e) The responsibility for obtaining any
license, permit approval or administrative action
shall be allocated between the state and the
developer in accordance with the agreement.
(f) Any hearing regarding all or any part of
the overall project provided for by this section
shall be conducted by the particular commissioner
having jurisdiction over the applicable license,
permit, approval or other administrative action.
Legal notice of such hearing shall be published in
a newspaper having a general circulation in an
area which includes the municipality in which the
particular part of the overall project is proposed
to be built or is being built not more than ten
nor less than five days in advance of such
hearing.
(g) In rendering any decision in connection
with the overall project, the commissioner shall
weigh all competent material and substantial
evidence presented by the applicant and the public
in accordance with the applicable statute. The
commissioner shall issue written findings and
determinations upon which his decision is based.
Such findings and determinations shall consist of
evidence presented, including such matters as the
commissioner deems appropriate, provided such
matters, to the extent applicable to the
particular permit, shall consider the nature of
any major adverse health or environmental impact
of the overall project. The commissioner may
reverse or modify any order or action at any time
on his own motion. The procedure for such reversal
or modification shall be the same as the procedure
for the original proceeding.
(h) Any administrative action taken by any
commissioner in connection with the overall
project may be appealed by an aggrieved party to
the superior court for the judicial district of
Hartford in accordance with the provisions of
section 4-183 of the general statutes. Such appeal
shall be brought within ten days of the date of
mailing to the parties to the proceeding of a
notice of such order, decision or action by
certified mail, return receipt requested. The
appellant shall serve a copy of the appeal on each
party listed in the final decision at the address
shown in such decision. Failure to make such
service within the ten days on parties other than
the commissioner who rendered the final decision
may not, in the discretion of the court, deprive
the court of jurisdiction over the appeal. Not
later than ten days following the service of such
appeal, or within such further time as may be
allowed by the court, the commissioner who
rendered such decision shall cause any portion of
the record that had not been transcribed to be
transcribed and shall cause either the original or
a certified copy of the entire record of the
proceeding appealed from to be transmitted to the
reviewing court. The record shall include the
commissioner's findings of fact and conclusions of
law, separately stated. If more than one
commissioner has jurisdiction over the matter,
such commissioners shall issue joint findings of
fact and conclusions of law. The appeal shall
state the reasons upon which it is predicated and,
notwithstanding any provisions of the general
statutes, shall not stay the development of the
overall project. The commissioner who rendered the
decision shall appear as the respondent. Appeals
to the Superior Court shall each be privileged
matters and shall be heard as soon after the
return date as practicable. A court shall render
its decision not later than twenty-one days after
the date that the entire record with the
transcript is filed with the court by the
commissioner who rendered the decision.
(i) The court shall not substitute its
judgment for that of the commissioner as to the
weight of the evidence presented on a question of
fact. The court shall affirm the decision of the
commissioner unless the court finds that
substantial rights of the party appealing the
decision have been materially prejudiced because
the administrative findings, inferences,
conclusions or decisions of the commissioner are:
(1) In violation of constitutional or statutory
provisions; (2) in excess of the statutory
authority of the commissioner; (3) made upon
unlawful procedure; (4) affected by an error of
law; (5) clearly erroneous in view of the
reliable, probative and substantial evidence on
the whole record; or (6) arbitrary, capricious or
characterized by abuse of discretion or clearly
unwarranted exercise of discretion.
(j) If the court finds material prejudice, it
may sustain the appeal, and upon sustaining an
appeal may render a judgment which modifies the
decision of the commissioner, orders particular
action of the commissioner or orders the
commissioner to take such action as may be
necessary to effect a particular action. The
commissioner may issue a permit consistent with
such judgment. An applicant may file an amended
application and the commissioner may consider an
amended application for an order, permit or other
administrative action following court action.
(k) The Capital City Economic Development
Authority shall be considered the state agency
responsible for preparing the written evaluation
of the impact of the overall project on the
environment in accordance with the requirements
set forth in section 22a-1b of the general
statutes and the regulations adopted thereunder.
Such evaluation shall include a description of the
permits, licenses or other approvals required from
the Commissioner of Environmental Protection for
the overall project. The authority shall submit
such evaluation and a summary thereof, including
any negative findings to the Commissioner of
Environmental Protection and the secretary and
shall make the evaluation and summary available to
the public for inspection and comment at the same
time. Notwithstanding the regulations adopted
pursuant to section 22a-1a of the general
statutes, the authority shall hold a public
hearing on the evaluation and shall publish notice
of the availability of such evaluation and summary
in a newspaper of general circulation in the city
of Hartford not less than fourteen calendar days
before the date of such hearing. Any person may
comment in writing or at the public hearing. All
public comments received by the authority shall be
forwarded to the Commissioner of Environmental
Protection and the secretary and shall be made
available for public inspection.
(l) The secretary shall review the evaluation,
together with the comments thereon, and shall make
a written determination as to whether such
evaluation satisfies the requirements of sections
22a-1a to 22a-1c, inclusive, of the general
statutes, which determination shall be made public
and forwarded to the authority no later than ten
days after the close of the hearing. The secretary
may require the revision of the evaluation if the
secretary finds that the evaluation is inadequate.
In making his determination, the secretary shall
take into account all public and agency comments.
The Commissioner of Environmental Protection shall
make no final decision with respect to any
license, permit or approval required in connection
with the overall project until the secretary has
made a determination under this section, provided
thereafter the Commissioner of Environmental
Protection shall make a final decision within
sixty days of such determination or receipt of a
completed application. The commissioner shall make
a final determination as to whether an application
is complete not later than fourteen calendar days
after the submission of the application.
(m) In exercising jurisdiction over any
license, permit or approval required in connection
with the overall project, the Commissioner of
Environmental Protection shall take into
consideration all public comments received in
connection with the evaluation submitted by the
authority pursuant to subsection (k) of this
section and shall make written findings with
respect to any comments which are relevant to the
issuance or denial of any such license or permit
or the grant or denial of any such approval. The
Commissioner of Environmental Protection shall
provide for administrative hearings which would
otherwise have been required pursuant to statute
or regulation regarding such licenses, permits or
approvals or administrative actions only for the
purposes of considering issues or factors not
included in the environmental evaluation. The
provisions of subsection (d) of this section
regarding deadlines for administrative action
shall not apply to any license or permit issued or
any approval granted by the Commissioner of
Environmental Protection.
Sec. 24. (NEW) Notwithstanding any provision
of the general statutes, other than section 25 of
this act, the stadium facility, the stadium
facility site, and any leasehold interest of the
team or any affiliate of the team in said
facilities and sites shall be exempt from real
property taxation and assessment by the
municipalities in which such facilities and sites
are located, including sections 12-19a and 12-19b
of the general statutes, as amended, which
provides for grants in lieu of taxes on
state-owned property and from any other charges
the authority may assess or impose pursuant to
sections 1 to 22, inclusive, of public act 98-179,
as amended by this act. The lessee shall be
required to pay, as applicable, all such taxes or
assessments as apply to the training facility and
the training facility site.
Sec. 25. (NEW) On or before January first,
annually, the lessee shall pay as a payment in
lieu of taxes or in lieu of a grant in lieu of
taxes, to the municipality in which the NFL
pavilion and to the municipality in which, to the
extent on state-owned property, the training
facility site and the training facility is
located, the amount equal to the total of one
hundred per cent of the property taxes which would
have been paid with respect to such NFL pavilion,
such training facility site and such training
facility, respectively, except for the exemption
applicable to such property.
Sec. 26. (NEW) The state shall have no
liability for any act or omission of any other
entity in connection with the overall project or
the operation of the stadium facility including,
but not limited to, the acts or omissions of any
architect, contractor, developer, lessee or
sublessee or any employee thereof.
Sec. 27. (NEW) No officer or employee of the
state executing the agreement or any lease of all
or any portion of the stadium facility, the
stadium facility site, the training facility, the
training facility site, the NFL pavilion or the
site of the NFL pavilion, shall be liable
personally or be subject to any personal liability
or accountability under such agreement or lease.
The state shall protect, save, hold harmless and
indemnify such officer and employee of the state
against any and all financial loss or expense
therefor including, without limitation, any legal
expenses related thereto by reason of the
execution thereof.
Sec. 28. (NEW) Sections 1 to 28, inclusive,
and sections 38 to 41, inclusive, of this act,
being necessary for the welfare of the state and
its inhabitants, shall be liberally construed, so
as to effect its purposes. In connection with the
overall project, the Secretary of the Office of
Policy and Management, the State Treasurer, the
State Comptroller, the team, the lessee, the
developer, the contractor and all other persons
shall be governed by this act, which shall control
in the event of any inconsistency between this act
and any other public or special act of the state.
Sec. 29. Subdivision (2) of section 12-407 of
the general statutes, as amended by section 12 of
public act 97-243 and section 6 of public act
97-316, is repealed and the following is
substituted in lieu thereof:
(2) "Sale" and "selling" mean and include: (a)
Any transfer of title, exchange or barter,
conditional or otherwise, in any manner or by any
means whatsoever, of tangible personal property
for a consideration; (b) any withdrawal, except a
withdrawal pursuant to a transaction in foreign or
interstate commerce, of tangible personal property
from the place where it is located for delivery to
a point in this state for the purpose of the
transfer of title, exchange or barter, conditional
or otherwise, in any manner or by any means
whatsoever, of the property for a consideration;
(c) the producing, fabricating, processing,
printing or imprinting of tangible personal
property for a consideration for consumers who
furnish either directly or indirectly the
materials used in the producing, fabricating,
processing, printing or imprinting, including but
not limited to, sign construction, photofinishing,
duplicating and photocopying; (d) the furnishing
and distributing of tangible personal property for
a consideration by social clubs and fraternal
organizations to their members or others; (e) the
furnishing, preparing, or serving for a
consideration of food, meals or drinks; (f) a
transaction whereby the possession of property is
transferred but the seller retains the title as
security for the payment of the price; (g) a
transfer for a consideration of the title of
tangible personal property which has been
produced, fabricated or printed to the special
order of the customer, or of any publication,
including but not limited to, sign construction,
photofinishing, duplicating and photocopying; (h)
a transfer for a consideration of the occupancy of
any room or rooms in a hotel or lodging house for
a period of thirty consecutive calendar days or
less; (i) the rendering of certain services for a
consideration, exclusive of such services rendered
by an employee for his employer, as follows: (A)
Computer and data processing services, including
but not limited to, time, and exclusive of
services rendered in connection with the creation,
development hosting or maintenance of all or part
of a web site which is part of the graphical,
hypertext portion of the Internet, commonly
referred to as the World-Wide Web, (B) credit
information and reporting services, (C) services
by employment agencies and agencies providing
personnel services, (D) private investigation,
protection, patrol work, watchman and armored car
services, exclusive of services of off-duty police
officers and off-duty fire fighters, (E) painting
and lettering services, (F) photographic studio
services, (G) telephone answering services, (H)
stenographic services, (I) services to industrial,
commercial or income-producing real property,
including but not limited to, such services as
management, electrical, plumbing, painting and
carpentry and excluding any such services rendered
in the voluntary evaluation, prevention,
treatment, containment or removal of hazardous
waste, as defined in section 22a-115, or other
contaminants of air, water or soil, provided
income-producing property shall not include
property used exclusively for residential purposes
in which the owner resides and which contains no
more than three dwelling units, or a housing
facility for low and moderate income families and
persons owned or operated by a nonprofit housing
organization, as defined in subsection (29) of
section 12-412, (J) business analysis, management,
management consulting and public relations
services, excluding any environmental consulting
services, (K) services providing "piped-in" music
to business or professional establishments, (L)
flight instruction and chartering services by a
certificated air carrier on an aircraft, the use
of which for such purposes, but for the provisions
of subsection (4) of section 12-410 and subsection
(12) of section 12-411, would be deemed a retail
sale and a taxable storage or use, respectively,
of such aircraft by such carrier, (M) motor
vehicle repair services, including any type of
repair, painting or replacement related to the
body or any of the operating parts of a motor
vehicle, (N) motor vehicle parking, including the
provision of space, other than metered space, in a
lot having thirty or more spaces, excluding (i)
space in a seasonal parking lot provided by a
person who is exempt from taxation under this
chapter pursuant to subsection (1), (5) or (8) of
section 12-412, (ii) space in a parking lot owned
or leased under the terms of a lease of not less
than ten years duration and operated by an
employer for the exclusive use of its employees,
(iii) valet parking provided at any airport, and
(iv) space in municipally-operated railroad
parking facilities in municipalities located
within an area of the state designated as a severe
nonattainment area for ozone under the federal
Clean Air Act, (O) radio or television repair
services, (P) furniture reupholstering and repair
services, (Q) repair services to any electrical or
electronic device, including but not limited to,
such equipment used for purposes of refrigeration
or air-conditioning, (R) lobbying or consulting
services for purposes of representing the
interests of a client in relation to the functions
of any governmental entity or instrumentality, (S)
services of the agent of any person in relation to
the sale of any item of tangible personal property
for such person, exclusive of the services of a
consignee selling works of art, as defined in
subsection (b) of section 12-376c, or articles of
clothing or footwear intended to be worn on or
about the human body other than (i) any special
clothing or footwear primarily designed for
athletic activity or protective use and which is
not normally worn except when used for the
athletic activity or protective use for which it
was designed and (ii) jewelry, handbags, luggage,
umbrellas, wallets, watches and similar items
carried on or about the human body but not worn on
the body in the manner characteristic of clothing
intended for exemption under subdivision (47) of
section 12-412, under consignment, exclusive of
services provided by an auctioneer, (T) locksmith
services, (U) advertising or public relations
services, including layout, art direction, graphic
design, mechanical preparation or production
supervision, not related to the development of
media advertising or cooperative direct mail
advertising, (V) landscaping and horticulture
services, (W) window cleaning services, (X)
maintenance services, (Y) janitorial services, (Z)
exterminating services, (AA) swimming pool
cleaning and maintenance services, (BB) renovation
and repair services as set forth in this
subparagraph, to other than industrial, commercial
or income-producing real property: Paving of any
sort, painting or staining, wallpapering, roofing,
siding and exterior sheet metal work, (CC)
miscellaneous personal services included in
industry group 729 in the Standard Industrial
Classification Manual, United States Office of
Management and Budget, 1987 edition, exclusive of
(i) services rendered by massage therapists
licensed pursuant to chapter 384a, and (ii)
services rendered by a hypertrichologist licensed
pursuant to chapter 388, (DD) any repair or
maintenance service to any item of tangible
personal property including any contract of
warranty or service related to any such item; (EE)
business analysis, management or managing
consulting services rendered by a general partner,
or an affiliate thereof, to a limited partnership,
provided (i) that the general partner, or an
affiliate thereof, is compensated for the
rendition of such services other than through a
distributive share of partnership profits or an
annual percentage of partnership capital or assets
established in the limited partnership's offering
statement, and (ii) the general partner, or an
affiliate thereof, offers such services to others,
including any other partnership. As used in
subparagraph (EE) (i) "an affiliate of a general
partner" means an entity which is directly or
indirectly owned fifty per cent or more in common
with a general partner; and (FF) notwithstanding
the provisions of section 12-412, except
subsection (87) thereof, patient care services, as
defined in subsection (30) of this section by a
hospital; (j) the leasing or rental of tangible
personal property of any kind whatsoever,
including but not limited to, motor vehicles,
linen or towels, machinery or apparatus, office
equipment and data processing equipment, provided
for purposes of this subdivision and the
application of sales and use tax to contracts of
lease or rental of tangible personal property, the
leasing or rental of any motion picture film by
the owner or operator of a motion picture theater
for purposes of display at such theater shall not
constitute a sale within the meaning of this
subsection; (k) the rendering of
telecommunications service, as defined in
subsection (26) of this section, for a
consideration on or after January 1, 1990,
exclusive of any such service rendered by an
employee for his employer, subject to the
provisions related to telecommunications service
in accordance with section 12-407a; (l) the
rendering of community antenna television service,
as defined in subsection (27) of this section, for
a consideration on or after January 1, 1990,
exclusive of any such service rendered by an
employee for his employer; (m) the transfer for
consideration of space or the right to use any
space for the purpose of storage or mooring of any
noncommercial vessel, exclusive of dry or wet
storage or mooring of such vessel during the
period commencing on the first day of November in
any year to and including the thirtieth day of
April of the next succeeding year; (n) THE SALE
FOR CONSIDERATION OF NAMING RIGHTS TO ANY PLACE OF
AMUSEMENT, ENTERTAINMENT OR RECREATION WITHIN THE
MEANING OF SUBSECTION (3) OF SECTION 12-540, AS
AMENDED BY THIS ACT. Wherever in this chapter
reference is made to the sale of tangible personal
property or services, it shall be construed to
include sales described in this subsection, except
as may be specifically provided to the contrary.
Sec. 30. Subdivision (1) of section 12-412 of
the general statutes, as amended by sections 21 to
25, inclusive, of public act 97-243, section 6 of
public act 97-295, section 1 of public act 97-315,
sections 1 to 4, inclusive, and sections 8 to 10,
inclusive, of public act 97-316 and section 5 of
public act 97-4 of the June 18 special session, is
repealed and the following is substituted in lieu
thereof:
(1) (A) Sales of tangible personal property or
services to the United States, the state of
Connecticut or any of the political subdivisions
thereof, or its or their respective agencies; (B)
sales of tangible personal property or services
used to develop property which the state of
Connecticut is under contract to purchase through
a long-term financing contract; (C) [sales of
tangible personal property or services used to
construct or equip the stadium facility, as
defined in section 32-381, the stadium facility
site, as defined in section 32-381, the practice
facility, as defined in section 32-381 or the
practice facility site, as defined in section
32-381] SALES AND USE OF ANY SERVICES OR TANGIBLE
PERSONAL PROPERTY TO BE INCORPORATED INTO OR USED
OR OTHERWISE CONSUMED IN (i) THE DEMOLITION,
REMEDIATION OR PREPARATION OF THE STADIUM FACILITY
SITE OR THE TRAINING FACILITY SITE, EACH AS
DEFINED IN SECTION 2 OF THIS ACT, (ii) THE
CONSTRUCTION OF THE STADIUM FACILITY, THE
INFRASTRUCTURE IMPROVEMENTS, THE TRAINING FACILITY
OR THE NFL PAVILION, EACH AS DEFINED IN SAID
SECTION 2, OR (iii) THE CONSTRUCTION OF ANY FUTURE
CAPITAL IMPROVEMENT TO SAID STADIUM FACILITY.
Sec. 31. Subsection (a) of section 12-498 of
the general statutes, as amended by section 2 of
public act 98-157 and section 22 of public act
98-244, is repealed and the following is
substituted in lieu thereof:
(a) The tax imposed by section 12-494 shall
not apply to: (1) Deeds which this state is
prohibited from taxing under the constitution or
laws of the United States; (2) deeds which secure
a debt or other obligation; (3) deeds to which
this state or any of its political subdivisions or
its or their respective agencies is a party; (4)
tax deeds; (5) deeds of release of property which
is security for a debt or other obligation; (6)
deeds of partition; (7) deeds made pursuant to
mergers of corporations; (8) deeds made by a
subsidiary corporation to its parent corporation
for no consideration other than the cancellation
or surrender of the subsidiary's stock; (9) deeds
made pursuant to a decree of the Superior Court
under section 46b-81, 49-24 or 52-495; (10) deeds,
when the consideration for the interest or
property conveyed is less than two thousand
dollars; (11) deeds between affiliated
corporations, provided both of such corporations
are exempt from taxation pursuant to paragraph
(2), (3) or (25) of Section 501(c) of the Internal
Revenue Code of 1986, or any subsequent
corresponding internal revenue code of the United
States, as from time to time amended; (12) deeds
made by a corporation which is exempt from
taxation pursuant to paragraph (3) of Section
501(c) of the Internal Revenue Code of 1986, or
any subsequent corresponding internal revenue code
of the United States, as from time to time
amended, to any corporation which is exempt from
taxation pursuant to said paragraph (3) of said
Section 501(c); (13) deeds made to any nonprofit
organization which is organized for the purpose of
holding undeveloped land in trust for conservation
or recreation purposes; (14) deeds between
spouses; [and] (15) deeds of property for the
stadium facility site, [as defined in section
32-381 or the practice facility site, as defined
in section 32-381] THE SITE OF THE NFL PAVILION
AND THE TRAINING FACILITY SITE, BOTH AS DEFINED IN
SECTION 2 OF THIS ACT; and (16) land transfers
made on or after July 1, 1998, to a water company,
as defined in section 16-1, AS AMENDED, provided
the land is classified as class I or class II
land, as defined in section 25-37c, after such
transfer.
Sec. 32. Subsection (3) of section 12-540 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(3) "Admission charge" means the amount paid,
WHETHER IN THE FORM OF A TICKET PRICE, LICENSE
FEE, SKYBOX, LUXURY SUITE OR CLUB SEAT RENTAL
CHARGE OR PURCHASE PRICE, OR OTHERWISE, for the
right or privilege to have access to a place or
location where amusement, entertainment or
recreation is provided, exclusive of any charges
for instruction, AND INCLUDING ANY PREFERRED SEAT
LICENSE FEE OR ANY OTHER PAYMENT REQUIRED IN ORDER
TO HAVE THE RIGHT TO PURCHASE SEATS OR SECURE
ADMISSION TO ANY SUCH PLACE OR LOCATION. Places of
amusement, entertainment or recreation include,
but are not limited to, theaters, motion picture
shows, auditoriums where lectures and concerts are
given, amusement parks, fairgrounds, race tracks,
dance halls, ball parks, STADIUMS, AMPHITHEATERS,
CONVENTION CENTERS, golf courses, miniature golf
courses, tennis courts, skating rinks, swimming
pools, bathing beaches, gymnasiums, auto shows,
boat shows, camping shows, home shows, dog shows
and antique shows.
Sec. 33. Section 12-541 of the general
statutes is repealed and the following is
substituted in lieu thereof:
There is hereby imposed a tax of ten per cent
of the admission charge to any place of amusement,
entertainment or recreation, except that no tax
shall be imposed with respect to any admission
charge (1) when the admission charge is less than
one dollar or, in the case of any motion picture
show, when the admission charge is not more than
four dollars and fifty cents, (2) when a daily
admission charge is imposed which entitles the
patron to participate in an athletic or sporting
activity, (3) to any event, OTHER THAN EVENTS HELD
AT THE STADIUM FACILITY, AS DEFINED IN SECTION 2
OF THIS ACT, all of the proceeds from which inure
exclusively to an entity which is exempt from
federal income tax under the Internal Revenue
Code, provided such entity actively engages in and
assumes the financial risk associated with the
presentation of such event, (4) to any event,
OTHER THAN EVENTS HELD AT THE STADIUM FACILITY, AS
DEFINED IN SECTION 2 OF THIS ACT, which in the
opinion of the commissioner, is conducted
primarily to raise funds for an entity which is
exempt from federal income tax under the Internal
Revenue Code, provided the commissioner is
satisfied that the net profit which inures to such
entity from such event will exceed the amount of
the admissions tax which, but for this
subdivision, would be imposed upon the person
making such charge to such event, (5) to any event
at the Hartford Civic Center, the New Haven
Coliseum, New Britain Beehive Stadium, New Britain
Veterans Memorial Stadium, facilities owned or
managed by the Tennis Foundation of Connecticut or
any successor organization or the William A.
O'Neill Convocation Center, (6) OTHER THAN FOR
EVENTS HELD AT THE STADIUM FACILITY, AS DEFINED IN
SECTION 2 OF THIS ACT, paid by centers of service
for elderly persons, as described in subdivision
(d) of section 17b-425, (7) to any production
featuring live performances by actors or musicians
presented at Gateway's Candlewood Playhouse, Ocean
Beach Park or any nonprofit theater or playhouse
in the state, provided such theater or playhouse
possesses evidence confirming exemption from
federal tax under Section 501 of the Internal
Revenue Code, or (8) to any carnival or amusement
ride. The tax shall be imposed upon the person
making such charge and reimbursement for the tax
shall be collected by such person from the
purchaser. Such reimbursement, termed "tax", shall
be paid by the purchaser to the person making the
admission charge. Such tax, when added to the
admission charge, shall be a debt from the
purchaser to the person making the admission
charge and shall be recoverable at law.
Sec. 34. Section 13a-25 of the general
statutes, as amended by section 6 of public act
97-62, is repealed and the following is
substituted in lieu thereof:
Whenever the Chief Justice of the Supreme
Court finds that the number of state referees
available for the performance of the duties of
state referees under subsection (c) of section
13a-73, AS AMENDED, sections 13a-74 and 13a-76,
subsection (d) of section [32-387 and sections
32-388 and 32-389] 15 OF THIS ACT AND SECTIONS 16
AND 17 OF THIS ACT AND is not sufficient to
consider and act upon the acquisition of land and
buildings for a stadium facility or [practice
facility, as defined in section 32-381]
INFRASTRUCTURE IMPROVEMENTS, AS DEFINED IN SECTION
2 OF THIS ACT, with reasonable promptness, said
Chief Justice, upon the application of the
commissioner or the secretary, as the case may be,
may appoint such number of additional state
referees as he deems necessary to expedite the
performance of such duties. Such appointments may
be made from time to time and for such period of
time, not more than two months in length, as he
designates. Such additional state referees shall
have the same powers and duties as state referees
appointed under section 52-434, AS AMENDED, with
respect to the granting of the approvals and the
performance of other duties of state referees in
the acquisition of land and buildings for such
expressway, highway, stadium facility [or practice
facility] OR INFRASTRUCTURE IMPROVEMENTS and shall
receive such reasonable compensation as is
determined by the Chief Justice, and such
compensation and expenses incurred in the conduct
of any hearings by such state referees shall be
paid as a part of the cost thereof.
Sec. 35. Subdivision (1) of section 22a-134 of
the general statutes, as amended by section 1 of
public act 97-218 and section 2 of public act
98-253, is repealed and the following is
substituted in lieu thereof:
(1) "Transfer of establishment" means any
transaction or proceeding through which an
establishment undergoes a change in ownership, but
does not mean (A) conveyance or extinguishment of
an easement, (B) conveyance of property through a
judicial foreclosure, (C) conveyance of a deed in
lieu of foreclosure to an institutional lender,
including, but not limited to, a banking
institution, (D) conveyance of a security interest
including, without limitation, a mortgage, (E)
renewal of a lease, (F) conveyance, assignment or
termination of a lease for a period less than
twenty-five years from the date of such
conveyance, assignment or termination, including
options or extensions of such period, (G) any
change in ownership approved by the Probate Court,
(H) conveyance of title to a surviving joint
tenant, or to a trustee, executor, or
administrator under the terms of a testamentary
trust or will, or by intestate succession, (I)
corporate reorganization not substantially
affecting the ownership of the establishment,
including, but not limited to, stock dividend
distributions or stock distributions in connection
with a merger, (J) the original issuance of stock
or other securities of an entity which owns or
operates an establishment, (K) the transfer of
stock, securities or other ownership interests
representing less than a majority of the voting
power of the entity that owns or operates the
establishment, (L) any conveyance of an interest
in an establishment where the transferor is the
sibling, spouse, child, parent, grandparent, child
of a sibling or sibling of a parent of the
transferee, (M) any conveyance of a portion of a
parcel upon which portion no establishment is or
has been located and upon which there has not
occurred a discharge, spillage, uncontrolled loss,
seepage or filtration of hazardous waste, provided
either the area of such portion is not greater
than fifty per cent of the area of such parcel or
written notice of such proposed conveyance and an
environmental condition assessment form for such
parcel is provided to the commissioner sixty days
prior to such conveyance, (N) conveyance of a
service station, as defined in subdivision (5) of
this section, (O) any conveyance of a parcel
which, prior to July 1, 1997, had been developed
solely for residential use and such use has not
changed, [or] (P) any conveyance of a parcel to
any entity created or operating under chapter 130
or 132, or to an urban rehabilitation agency, as
defined in section 8-292, or to a municipality
under section 32-225, or to the Connecticut
Development Authority or any subsidiary of the
authority, OR (Q) ANY CONVEYANCE OF A PARCEL TO A
LIMITED LIABILITY COMPANY ESTABLISHED SOLELY TO
ASSEMBLE PROPERTIES NECESSARY TO EFFECTUATE THE
PURPOSES OF THIS ACT.
Sec. 36. Section 48-21 of the general statutes
is repealed and the following is substituted in
lieu thereof:
In any proceeding brought under the provisions
of subsection (b) or (e) of section 13a-73 or
section 13a-74, 13a-76, 13a-77, 13a-78 or section
19a-645 or subsection (a), (b) or (c) of section
[32-387 or sections 32-388 to 32-391, inclusive]
15 OF THIS ACT OR SECTIONS 16 TO 20, INCLUSIVE, OF
THIS ACT, notice shall be given to all persons
appearing of record as holders of any mortgage,
lien or other encumbrance on any real estate or
interest therein which is to be taken by right of
eminent domain or by condemnation proceedings, in
the same manner as notice is required to be given
to the owner of such property; and the amount due
any such mortgagee, lienor or other encumbrancer,
not exceeding the amount to be paid for such
property, shall be paid to him according to
priority of claims, before any sum is paid to any
owner of such property. In case of dispute as to
the amount due any such mortgagee, lienor or other
encumbrancer, the money may be deposited with the
clerk of the superior court for the judicial
district in which such property is situated, and
anyone claiming an interest in the same may bring
suit therefor, making all others claiming interest
in the fund defendants, and the court may
determine the rights in the fund of all parties to
such suit, and may tax costs according to the
rules of equity.
Sec. 37. Subsection (b) of section 22 of
public act 98-179 is repealed and the following is
substituted in lieu thereof:
(b) The proceeds of the sale of said bonds, to
the extent of the amount stated in subsection (a)
of this section, shall be used by the Department
of Economic and Community Development for
grants-in-aid for capital city projects as
follows:
(1) For the Civic Center and coliseum complex
renovation and rejuvenation project, not exceeding
fifteen million dollars;
(2) For the riverfront infrastructure
development and improvement project, not exceeding
twenty-five million dollars provided no amount
shall be issued under this subdivision until the
Commissioner of Economic and Community Development
certifies to the State Bond Commission that it has
received a commitment by agreement, contract or
other legally enforceable instrument with private
investors or developers for a minimum private
investment equal to the amount of bonds at the
time such bonds are issued pursuant to this
subdivision taken together with any previous
commitments; and provided further, twelve million
dollars of said authorization shall be effective
July 1, 1999, and seven million dollars of said
authorization shall be effective July 1, 2001;
(3) For housing REHABILITATION AND NEW
CONSTRUCTION projects, as defined in subparagraph
(E) (i) of subdivision (2) of section 1 of [this
act] PUBLIC ACT 98-179, not exceeding thirty-five
million dollars, provided seven million dollars of
said authorization shall be effective July 1,
1999, fourteen million dollars of said
authorization shall be effective July 1, 2000, and
fourteen million dollars of said authorization
shall be effective July 1, 2001;
(4) For demolition OR REDEVELOPMENT projects,
as defined in subparagraph (E) (ii) of subdivision
(2) of section 1 of [this act] PUBLIC ACT 98-179,
not exceeding twenty-five million dollars,
provided seven million dollars of said
authorization shall be effective July 1, 1999,
eight million dollars of said authorization shall
be effective July 1, 2000, and five million
dollars of said authorization shall be effective
July 1, 2001;
(5) For parking projects, as defined in
subparagraph (F) of subdivision (2) of section 1
of [this act] PUBLIC ACT 98-179, not exceeding
fifteen million dollars provided five million
dollars of said authorization shall be effective
July 1, 1999, and five million dollars of said
authorization shall be effective July 1, 2000.
Sec. 38. (NEW) Notwithstanding any provisions
of any statute, special act, charter or ordinance,
no referendum or town meeting or similar vote
shall be required in connection with the
expenditure of public moneys by any city, town,
district, metropolitan district, metropolitan
district commission, borough, public community,
ecclesiastical society, municipal corporation or
municipal or political subdivision in connection
with the overall project to the extent the
secretary has entered into an agreement providing
for the reimbursement of such expenditures.
Sec. 39. (a) There is established an account
to be known as the "stadium construction account"
which shall be a separate nonlapsing account
within the General Fund. The account may contain
any moneys required by law to be deposited in the
account. The moneys in said account shall be
expended by the Treasurer for payments of costs in
lieu of the issuance of bonds on the overall
project, as defined in section 2 of this act.
(b) The sum of $20,000,000 of the amount
appropriated to the Reserve for Salary Adjustment
from the General Fund in section 11 of special act
97-21, as amended by section 1 of special act
98-6, for the fiscal year ending June 30, 1999, is
transferred to the stadium construction account
for the fiscal year ending June 30, 1999.
(c) The sum of $80,000,000 is appropriated
from the General Fund to the stadium construction
account.
Sec. 40. (NEW) For the fiscal year ending June
30, 1999, the Secretary of the Office of Policy
and Management is authorized to make payments from
the amount appropriated in section 11 of special
act 97-21, as amended by section 1 of special act
98-6, for P.I.L.O.T. - New Manufacturing Machinery
and equipment, for state costs incurred in the
development and implementation of the "Patriots
Stadium Enabling Act".
Sec. 41. (NEW) (a) The agreement shall require
the developer to cause the NFL pavilion to be
developed, without cost to the state, by a date
that shall be specified in the agreement, subject
to delays caused by uncontrollable circumstances
or as a state action, but without regard to when
the convention center shall be developed. The
developer shall be required to cause at least
twenty million dollars of private funds to be
invested with respect to the NFL pavilion,
provided such amount may be reduced in the event
that the developer causes at least seventy million
dollars of private funds to be invested in the
convention center hotel contemplated by sections 1
to 22, inclusive, of public act 98-179, as amended
by this act, and the NFL pavilion.
(b) The agreement shall require, on terms and
conditions set forth in the agreement, the
developer to cause such convention center hotel to
be developed, contemporaneously with the
development of the convention center, and to cause
at least fifty million dollars of private funds to
be invested for such purpose, contingent upon the
state proceeding with development of the
convention center and providing the site for such
hotel to the developer without cost to the
developer.
Sec. 42. Sections 32-380, 32-381 and 32-384 to
32-409, inclusive, of the general statutes are
repealed.
Sec. 43. This act shall take effect from its
passage.
Approved January 12, 1998