OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http: //www.cga.ct.gov/ofa

HB-7090

AN ACT CONCERNING RESPONSIBLE GROWTH.

AMENDMENT

LCO No.: 9277

File Copy No.: 471

House Calendar No.: 372

OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 08 $

FY 09 $

Policy & Mgmt., Off.

GF - Implements the Budget

See Below

See Below

Department of Economic & Community Development

GF - See Below

See Below

See Below

Various State Agencies

GF - None

None

None

Note: GF=General Fund

Municipal Impact:

Municipalities

Effect

FY 08 $

FY 09 $

Various Municipalities

Savings

Potential

Potential

Various Municipalities

Revenue Loss

Potential

Potential

Explanation

The amendment strikes the underlying bill and its associated fiscal impact.

Section 1 establishes a Responsible Growth Task Force, appoints various agency heads and makes the Secretary of the Office of Policy and Management (OPM) the chairperson of the task force. It is anticipated that all agencies can participate in the task force within their normal budgetary resources.

Section 2 makes changes which result in no fiscal impact.

Section 3 makes municipalities that fail to decennially amend their local plans of conservation and development ineligible for discretionary state funds unless the prohibition is expressly waived by the OPM Secretary. This may result in a revenue loss to certain municipalities.

Section 4 requires the Commissioner of the Department of Economic and Community Development (DECD) to prepare an economic strategic plan for the state in consultation with a variety of agency heads. The amendment requires that DECD perform these duties within available appropriations, though none were provided for this purpose in sHB 7077, the budget bill as favorably reported by the Appropriations Committee. DECD has indicated that resources totaling $478, 000 - $510, 000 will be needed for staff, associated expenses and consultant services, or a portion of such resources will need to be diverted if no funds are provided for this purpose. To the extent that consulting state agencies can provide additional assistance and resources, it may mitigate a portion of the additional funding DECD may require.

Section 5- 6 makes changes which result in no fiscal impact.

Section 7 requires OPM to review regional tax-based revenue sharing programs and submit a report by July 1, 2009, within available appropriations. Because the report is not required until FY 10, it is anticipated that the agency will have the adequate resources to perform the required review within normal budgetary resources of the agency during the upcoming biennium.

Section 8 implements a provision of the budget. The Appropriations Committee Budget, sHB 7077, contains $10 million in the Office of Policy and Management in FY 08 to provide regional performance incentive grants. It is anticipated that the Office of Policy and Management (OPM) will need one additional staff member (Lead Planning Analyst with salary and associated other expenses of $95, 000) to administer the grant program, develop guidelines, prescribe the necessary forms, review the proposals for eligibility, make payments to eligible projects and complete the required report to the General Assembly.   To the extent that regional councils of governments submit proposals to OPM to provide services on a regional basis that are currently provided by one or more towns in the region, such towns may experience a potential cost savings.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose.