OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

HB-7061

AN ACT CONCERNING THE STATE BUDGET FOR THE BIENNIUM ENDING JUNE 30, 2017, AND MAKING APPROPRIATIONS THEREFOR, AND OTHER PROVISIONS RELATED TO REVENUE, DEFICIENCY APPROPRIATIONS AND TAX FAIRNESS AND ECONOMIC DEVELOPMENT.

AMENDMENT

LCO No.: 9328


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 16 $

FY 17 $

Resources of the General Fund

GF - Revenue Loss

Approximately $9.3 million

Approximately $16 million

State Comptroller - Fringe Benefits (State Employee and Retiree Health Accounts)

GF - Savings

None

$5 million

Various State Agencies

GF - Savings

$1 million

$1 million

Department of Emergency Services and Public Protection

GF - Cost

$2.5 million

$2.5 million

Note: GF=General Fund

Municipal Impact: None

Explanation

The amendment strikes section 93 of the underlying bill which has the effect of restoring funding to the Community Investment Act for the last two quarters of FY 16 and all four quarters of FY 17. This results in General Fund revenue loss of approximately $6.8 million in FY 16 and $13.5 million in FY 17.

The amendment eliminates changes to the reimbursement formula for resident state policemen resulting in a General Fund revenue loss of approximately $2.5 million in both FY 16 and 17.

Subsection (a) of section 501 results in a savings of $5 million in FY 17 by requiring prior authorization for compound drugs. The underlying bill assumes savings of $10 million in FY 16 and $10 million in FY 17 from the same provision.

Subsection (b) of section 501 results in a savings of approximately of $1 million in both FY 16 and FY 17 by capping the number of deputy commissioners within each state agency at one.

Section 502 results in a cost of $2.5 million in both FY 16 and 17 to the Department of Emergency Services and Public Protection for the resident state policemen program.

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. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.