OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

sHB-5126

AN ACT ESTABLISHING A CHEMICAL INNOVATIONS INSTITUTE AT THE UNIVERSITY OF CONNECTICUT.

As Amended by House "A" (LCO 4312), House "A" (LCO 4313)

House Calendar No. : 127

Senate Calendar No. : 509

OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

UConn Health Center.

Various - See Below

Municipal Impact: None

Explanation

The bill establishes a Chemical Innovation Institute at the University of Connecticut Health Center (UCHC). The bill specifies that UCHC is not required to develop the Institute unless it has secured adequate state, federal or private funds to pay for initial and ongoing expenses.

Such an Institute would result in significant increased costs for the Health Center for personnel, office and lab space and other costs. The extent of these costs will depend upon the size, scope and structure of the Institute, which is not specified in the bill. The bill directs the Institute's Board to seek federal and other funds for the administration of the Institute.

A potential model for such an Institute could be an academic structure that includes the part-time services of a director, industrial hygienist, and research associate, as well as administrative support and other coordination with UConn faculty. This model is estimated to have annual personnel costs of $195,000, including fringe benefits. Such a structure would require an estimated $55,000 annually in rent, consultant costs and various Other Expense costs.

House “A” eliminated a provision concerning lobbying by the Institute. There was no associated fiscal impact.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.

Sources:

Agency Estimated Program Model