OLR Bill Analysis

sHB 5431

AN ACT REQUIRING THE SUSPENSION OF ADMINISTRATIVE PENALTIES IMPOSED ON CERTAIN BUSINESS ENTITIES.

SUMMARY:

This bill allows state agencies and other state entities to suspend civil penalties they assess against businesses, on the business' request, for violating the agency's or entity's regulations if the business (1) is a first-time violator and (2) takes remedial measures to completely correct the violation within 30 days of the penalty's assessment. This authority applies regardless of other statutes requiring these penalties. But, the bill does not allow suspending a penalty (1) for a willful or grossly negligent violation; (2) for a violation that results in bodily injury; or (3) when it is required by federal law or regulation, including as a condition of receiving federal funding.

The bill applies to civil penalties assessed by any state department, board, council, commission, institution, or other executive branch agency. It allows them to waive penalties for any business entity, defined as a corporation, association, partnership, limited liability company, or other similar business organization.

The bill allows businesses to appeal the denial of a waiver request to Superior Court.

EFFECTIVE DATE: October 1, 2014 and applicable to penalties imposed starting on that date.

BACKGROUND

Civil Penalties

By law, many state agencies and entities can impose civil penalties for regulatory violations. For example, agencies can impose civil penalties for violating various environmental, public health, and labor laws.

COMMITTEE ACTION

Government Administration and Elections Committee

Joint Favorable Substitute