PA 16-180—HB 5479
Planning and Development Committee
AN ACT CONCERNING THE STATE REAL PROPERTY INVENTORY, MUNICIPAL PENSION OBLIGATION BONDS AND MUNICIPAL RESERVE FUNDS
SUMMARY: This act allows municipalities (including metropolitan and certain other districts), by vote of their legislative bodies, to issue pension obligation bonds or temporary notes to fulfill their lump sum payment obligations to a closed pension fund's beneficiaries. They may do so without complying with the legal procedures for issuing pension obligation bonds, but cannot issue notes in amounts exceeding the amount bonded.
The act also expands the purposes for which a municipality may create a reserve fund to include paying the costs associated with preparing, amending, or adopting a municipal plan of conservation and development and makes conforming changes. Prior law restricted the use of such reserve funds to property tax revaluation costs and certain capital and nonrecurring expenditures. By law, the municipality's budget-making authority must recommend, and its legislative body must approve, any expenditure from the reserve fund.
Lastly, the act changes, from March 15 to July 1, the annual deadline for the Office of Policy and Management secretary to submit to the Appropriations and Government Administration and Elections committees an inventory of real property owned by the state or leased by a state agency.
EFFECTIVE DATE: Upon passage, except the provisions on reserve funds are effective October 1, 2016.
OLR Tracking: JSB; LH; PF; cmg