OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

HB-7432

AN ACT CONCERNING ELECTRICITY AND ENERGY EFFICIENCY.

AMENDMENT

LCO No.: 8806

House Calendar No.: 702

OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 08 $

FY 09 $

Department of Revenue Services

GF - Revenue Loss

130 million

130 million

Note: GF=General Fund

Municipal Impact: None

Explanation

The amendment reduces the gross receipts tax on transmission and distribution services. It reduces the rate on for residential customers from 6.8% to 3.4% and non-residential customers from 8.5% to 4.25%. This is expected to result in a General Fund revenue loss of $130 million per year beginning in FY 08.

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.