OLR Bill Analysis

HB 7501 (as amended by Senate "A" (LCO 10069) and "B" (LCO 10072))

AN ACT PROVIDING FOR THE CONTINUED OPERATION OF ESSENTIAL FUNCTIONS OF THE STATE.

TABLE OF CONTENTS:

1-34 — BUDGET PROVISIONS

Please refer to the fiscal note for a summary of these sections

35 & 973 — REPEAL OF CAR TAX CAP

Eliminates the motor vehicle mill rate cap

36 — FRESH START

Authorizes the DRS commissioner to establish a fresh start program for qualified taxpayers who owe Connecticut state taxes

37 — AMBULATORY SURGICAL CENTER (ASC) TAX

Changes the base for the ASC tax to the total net revenue received by each ASC for providing specified services, rather than gross receipts

38-42 — ESTATE AND GIFT TAX CHANGES

Increases, starting January 1, 2018, the estate and gift tax threshold over three years

43-45 — INSURANCE PREMIUM TAX REDUCTION

Reduces, from 1.75% to 1.5%, certain taxes on insurers and HMOs

46 — FILM AND DIGITAL MEDIA PRODUCTION TAX CREDITS

Permanently bars the issuance of film and digital media tax credits to certain motion pictures; allows the credits to be used against the sales and use tax at a reduced value

47 — INSURANCE PREMIUM TAX CREDIT CAP

Restores and makes permanent the insurance premium tax credit cap

48 — CONNECTICUT TELEVISION NETWORK (CT-N) REDUCTION

Reduces by half the amount of specified tax revenue that must be reserved for CT-N

49 — INCOME TAX ON SOCIAL SECURITY, PENSION, AND ANNUITY INCOME

Increases the income thresholds for the 100% Social Security income tax deduction and phases out the income tax on certain pension and annuity income

50 — ANGEL INVESTOR TAX CREDIT

Terminates the Angel Investor Tax Credit Program as of October 1, 2017

51 — EARNED INCOME TAX CREDIT (EITC)

Replaces ETIC rate with a graduated rate schedule

52 — UTILITY COMPANIES TAX EXEMPTION ELIMINATION

Eliminates the utility companies tax exemption for earnings from sales to certain natural gas-fueled power plants

53 — MUNICIPAL VIDEO COMPETITION TRUST ACCOUNT

Beginning with FY 18, increases, by $2 million, the annual transfer from the municipal video competition trust account to the General Fund

54 — PUBLIC, EDUCATIONAL, AND GOVERNMENTAL PROGRAMMING AND EDUCATION TECHNOLOGY INVESTMENT ACCOUNT (PEGPETIA)

Beginning in FY 18, requires $3.5 million to be transferred to the General Fund each fiscal year from PEGPETIA

55 — ADMISSIONS TAX

Eliminates certain admissions tax exemptions

56 — REDUCING CONNECTICUT LOTTERY CORPORATION (CLC) EXPENSES

Requires CLC to reduce its expenses for the next two fiscal years

57 — CRIMINAL HISTORY RECORD CHECK FEE INCREASES

Increases fees for certain criminal history record-related searches

58 — DOCUMENT RECORDING FEE

Increases, from $3 to $10, the document recording fee that is charged to generate revenue for preserving historic documents and modifies the fee revenue distribution

59 — URGENT CARE CENTER LICENSES

Requires urgent care centers to be licensed by DPH as outpatient clinics

60 — OUTPATIENT CLINIC LICENSE RENEWAL

Requires outpatient clinics to renew their license every three years, instead of every four years

61 — PUBLIC WATER SYSTEM LICENSING

Requires certain public water systems, as of July 1, 2018, to obtain a two-year DPH license before providing water to the public

62 & 975 — NEWBORN SCREENING ACCOUNT

Eliminates, on July 1, 2018, the newborn screening account and transfers any money from it into the General Fund for DPH to use for newborn health screening services in FY 18

63 & 64 — REGIONAL PLANNING INCENTIVE ACCOUNT

Eliminates the revenue diversion to the Regional Performance Incentive Account

63 & 64 — MUNICIPAL REVENUE SHARING ACCOUNT (MRSA) DIVERSION

Eliminates the revenue diversion to MRSA

63 & 64 — SALES AND USE TAX REVENUE FROM MOTOR VEHICLE SALES

Beginning in FY 21, phases in, over five years, a revenue diversion to the Special Transportation Fund (STF) of sales and use tax revenue from motor vehicle sales

63-67 — TOURISM FUNDING

Establishes a marketing, culture, and tourism account for depositing sales and use tax revenue transfers and specifies how they must be dispersed

68 — CIVIL PENALTIES FOR NURSING AND RESIDENTIAL CARE HOMES

Increases the maximum civil penalty that may be imposed on nursing home facilities and residential care homes that violate statutory or regulatory requirements

69 & 70 — TOBACCO SETTLEMENT FUND DISTRIBUTIONS

Beginning in FY 18, eliminates the required annual disbursement from the Tobacco Settlement Fund to the General Fund and Tobacco and Health Trust Fund; Reduces, from $10 million to $1.5 million, the annual disbursement to the Smart Start competitive operating grant account for FYs 18 through 25

71 — SMART START TRANSFER

Transfers the smart start grant account balance to the General Fund for FY 18

72 — COMMUNITY INVESTMENT ACCOUNT (CIA)

Transfers funds from the CIA to the General Fund in FYs 18 and 19

73 — FY 20 GENERALLY ACCEPTED ACCOUNTING PRINCIPALS (GAAP) DEFICIT

Deems that $1 is appropriated to pay off the state's GAAP deficit in FY 20

74 — PROPERTY TAX CREDIT

Limits the eligibility for the property tax credit against the personal income tax to seniors and taxpayers with dependents

75 — CLEAN ENERGY FUND

Transfers funds from the Clean Energy Fund to the General Fund in FYs 18 and 19

76 — CONNECTICUT HEALTH AND EDUCATIONAL FACILITIES AUTHORITY (CHEFA) TRANSFER

Annually transfers $900,000 from CHEFA to the General Fund in FY 18 and FY 19

77 — REGIONAL GREENHOUSE GAS (RGG) ACCOUNT TRANSFER

Transfers $10 million from the RGG account to General Fund in FY 18 and FY 19

78 — HIGHWAY RIGHT-OF-WAY ENCROACHMENT FEES

Requires the DOT commissioner, by January 1, 2018, to set fees for certain applications for right-of way encroachment permits to mirror the fees the Massachusetts DOT charges for similar permits

79 — EMISSIONS ENTERPRISE FUND

Reduces, by $250,000, the amount of money the comptroller must transfer quarterly from the Special Transportation Fund to the Emissions Enterprise Fund

80 — CONNECTICUT AIRPORT AND AVIATION ACCOUNT

Creates the “Connecticut airport and aviation account” and, regardless of other laws, requires the revenue services commissioner to deposit into it 75.3% of the amount the state receives from the petroleum products gross earnings tax on aviation fuel

81 — GREEN BUILDING TAX CREDIT

Sunsets the Green Building Tax Credit

82 — FY 19 GENERAL FUND REVENUE

Allows the comptroller to designate resources in the General Fund in FY 18 as FY 19 General Fund revenue

83 — NEIGHBORHOOD ASSISTANCE ACT (NAA) TAX CREDIT

Lowers, from $10 million to $5 million, the annual cap on NAA tax credits

84, 973 & 974 — REPEAL OF MUNICIPAL SPENDING CAP, MUNICIPAL REVENUE SHARING ACCOUNT, AND RELATED PROVISIONS

Eliminates the municipal spending cap and the Municipal Revenue Sharing Account and grant distributions from it

85 — GRANTS AND PAYMENTS IN LIEU OF TAXES FOR TIER 3 DISTRICTS AND MUNICIPALITIES

Prohibits, regardless of existing law, any tier three district or municipality from receiving a grant in lieu of taxes or the additional payment in lieu of taxes in either FY 18 or FY 19

86 — STATE AGENCIES TO REVIEW FEES

Requires agency heads to determine whether fees charged cover program administration costs

87 — HOSPITAL TAX

Phases out the hospital tax over five years, starting in FY 20; Beginning in FY 17, authorizes a credit against the hospital tax in any fiscal year in which supplemental Medicaid payments are reduced from the amount appropriated in the budget act for that fiscal year

88 & 89 — COMPTROLLER'S ANALYSIS OF OPM'S MONTHLY STATEMENTS

Requires the comptroller to analyze OPM's monthly revenue and expenditure statements

90 & 91 — CONSENSUS REVENUE ESTIMATES DEADLINE

Moves up the deadline by which OPM and OFA must issue consensus revenue estimates

92-94 — BONDING CAP ( 92 & 93 ARE IDENTICAL TO 513 & 514)

Places a $2 billion cap on (1) bonds the State Bond Commission allocates per calendar year starting January 1, 2017 and (2) general obligation bonds or notes the Treasurer issues per fiscal year starting July 1, 2018 (FY 19), adjusted in subsequent years by the Consumer Price Index

95 & 517 — TRANSPORTATION PROJECT CAPS

Establishes annual caps on general obligation bonds the State Bond Commission may authorize for transportation projects each calendar year starting January 1, 2017

96 & 97 — CONNECTICUT STATE COLLEGES & UNIVERSITIES (CSCU) 2020 INFRASTRUCTURE PROGRAM

Defers $55 million in FY 18 bonding to FY 20 and authorizes an additional $11.7 million in bonding for FY 20

98 & 99 — UCONN 2000 INFRASTRUCTURE PROGRAM

Reduces bond authorizations by $99.1 million and extends the program by two years

100 — BANKING FUND TRANSFER

Requires the transfer of $6 million from the Banking Fund to the General Fund for FY 18

101 — TECHNICAL SERVICES REVOLVING FUND TRANSFER

Transfers $3 million from the Technical Services Revolving Fund to the General Fund in FY 18

102 — SCHOOL BUS SEAT BELT ACCOUNT

Transfers funds from the School Bus Seat Belt Account to the General Fund in FY 18

103 — CORRECTIONAL COMMISSARIES ACCOUNT TRANSFER

Transfers $1 million from the correctional commissaries account to the General Fund in FY 18

104 — CORRECTIONAL INDUSTRIES ACCOUNT TRANSFER

Transfers $1 million from the correctional industries account to the General Fund in FY 18

105 — ED-NET ACCOUNT TRANSFER

Transfers $1 million from the Ed-Net account to the General Fund in FY 18

106 — PROBATION TRANS-TECH VIOLENCE UNIT ACCOUNT TRANSFER

Transfers $4 million from the probation Trans-Tech violence unit account to the General Fund in FY 18

107 — LITIGATION/SETTLEMENT ACCOUNT TRANSFER

Transfers $5 million from the litigation/settlement account to the General Fund in FY 18

108 — PLAN TO TRANSFER JUVENILE JUSTICE PROGRAMS FROM DCF TO THE JUDICIAL BRANCH'S COURT SUPPORT SERVICES DIVISION (CSSD)

Requires DCF and CSSD to submit a plan to the legislature to transfer certain juvenile justice programs and services, from DCF to CSSD

108 — 90-DAY TURNAROUND BY DOT ON CERTAIN PERMIT APPLICATIONS

Requires DOT to review and make final determinations on specified permit applications within 90 days after receiving them, or they are deemed approved

109 — 90-DAY TURNAROUND BY DEEP ON CERTAIN PERMIT APPLICATIONS

Requires DEEP to review and make final determinations on specified permit applications within 90 days after receiving them, or they are deemed approved

110 — 90-DAY TURNAROUND BY DOAG ON AQUACULTURE PERMIT APPLICATIONS

Requires the Department of Agriculture to review and make a final determination on aquaculture permit applications within 90 days after receiving them, or they are deemed approved

111-113 — SCHOOL CONSTRUCTION PROGRAM AND PROTOTYPE SCHOOL DESIGNS (IDENTICAL TO 503-505)

Requires towns to choose between three design prototypes when seeking the highest level of state school cost reimbursement for new construction and makes other changes

114 — SCHOOL CONSTRUCTION APPLICATIONS AND DAS REPORT TO THE LEGISLATURE (IDENTICAL TO 506)

Requires school districts to indicate on their school construction applications whether they considered one of the prototype designs and adds additional enrollment reporting and other requirements for DAS when it submits the school construction list to the legislature

115-120 — SCHOOL CONSTRUCTION PROGRAM (CHANGES IDENTICAL TO 507-512)

Makes changes to the school building emergency grant program; reduces certain reporting requirements, and increases percentage of a school construction grant that DAS can withhold pending the completion of an audit, among other changes

121-127 — SCHOOL CONSTRUCTION PROJECT AUTHORIZATIONS (IDENTICAL TO 496-502)

Authorizes the DAS commissioner to commit to new school construction grants for up to $515 million and makes changes to other existing projects

128-134 — REVISIONS TO EDUCATION COST SHARING (ECS) FORMULA

Revises ECS formula, the largest form of state aid to towns, by changing several major formula components, including the base aid ratio, foundation dollar amount, weighting for need students; includes phase-in for funding increases and decreases until FY 28

135 — ECS FORMULA REVIEW TEAM

Creates an ECS formula review team to review and make recommendations on the ECS formula

136 — EDUCATION FUNDING REALLOCATION

Requires the education commissioner to redistribute Education Cost Sharing (ECS) and special education grant increases received by certain school districts over the past fiscal year among districts that received a decrease

137 & 138 — SPECIAL EDUCATION FUNDING

Eliminates, makes permanent, and creates various special education cost grants, including those for state agency-placed students receiving special education services

139 — GRANTS TO BOARDS OF EDUCATION FOR STATE AGENCY PLACEMENTS IN RESIDENTIAL AND JUVENILE DETENTION FACILITIES

Eliminates grants for boards of education for students placed by state agencies in residential facilities and juvenile detention facilities

140 — UCONN PROFESSORS' COURSE LOAD

Requires the UConn board of trustees to increase each full-time professor's course load by one course during a school year

141 — SUPERINTENDENTS FOR SMALL TOWNS

Allows local boards of education that meet certain “small town” criteria to receive direction from another board of education's superintendent, rather than employ their own local superintendent

142 — SUPERINTENDENTS FOR MULTIPLE TOWNS

Allows boards of education that share a superintendent to adjust the frequency and format of their board meetings

143 & 144 — COOPERATIVE ARRANGEMENTS

Allows for cooperative agreements for the provision of administrative and central office duties

145 — MINIMUM BUDGET REQUIREMENT (MBR)

For FYs 18 and 19, extends the MBR only for alliance districts

146 — BOARD OF EDUCATION ADMINISTRATIVE PERSONNEL

Requires municipal legislative bodies to approve the hiring of administrative personnel by boards of education absent a budgeted appropriation

147 — REGIONAL SCHOOL DISTRICT FINANCE COMMITTEE

Allows regional boards of education to establish a finance committee

148 & 149 — CHARTER SCHOOL GRANT PAYMENTS

Disburses state grants to charter schools directly to a charter school's fiscal authority, rather than the towns, and permits proportional grant reductions if the grant total exceeds the appropriated amount in FYs 18 and 19

150 — ROBERTA B. WILLIS SCHOLARSHIP

Closes the scholarship program to new applicants but allows awards previously issued to be renewable

151 — UCONN AND UCHC FRINGE BENEFITS

Requires UCONN and UCHC to fund a portion of certain employees' compensation with funds from outside the General Fund

152-153 — TEACHER CONTRIBUTIONS TO THE TEACHERS' RETIREMENT SYSTEM (TRS)

Increases teachers' contributions to TRS and requires funds from the increases to be credited to the General Fund

154 — NON-UNION STATE EMPLOYEE CONTRIBUTION TO RETIREE HEALTH INSURANCE

Requires 5% of non-union state employees' base salary to be withheld from their pay

155 — TRANSFERS FROM NONAPPROPRIATED ACCOUNTS

Allows the OPM secretary to transfer funds from certain nonappropriated accounts to the General Fund

156 — LEGISLATIVE APPROVAL OF STATE EMPLOYEE CONTRACTS AND ARBITRATION AWARDS

Requires the legislature to affirmatively vote in order to approve state employee union contracts and arbitration awards; revises the process that occurs after the legislature rejects an agreement or award

157 — APPLYING SEBAC 2017 TO NON-UNION STATE EMPLOYEES

Requires terms comparable to those in the 2017 SEBAC Agreement to be implemented for non-union state employees by October 1, 2017

158-160 — 2027 CHANGES TO THE STATE EMPLOYEES RETIREMENT SYSTEM (SERS)

Changes certain provisions of SERS starting July 1, 2027

161 — CRIMINAL JUSTICE DIVISION'S COLD CASE UNIT AND SHOOTING TASK FORCE APPROPRIATIONS

Prohibits the Division of Criminal Justice from comingling funds appropriated to the Cold Case Unit with those appropriated to the Shooting Task Force

162 — REOPENING MUNICIPAL EMPLOYEE CONTRACTS

For new contracts, establishes a process under which towns may ask unions to reopen a contract to negotiate revisions to enact regionalization

163 — MUNICIPAL BINDING ARBITRATION

Requires random appointment of neutral arbitrators in municipal binding arbitration cases; gives arbitrators more time to issue decisions; requires parties to meet certain procedural deadlines (which may be mutually waived) within one year

164 — EDUCATION ADMINISTRATIVE PERSONNEL CONTRACTS

Requires boards of education to file their administrative personnel contracts with their town clerks

165 — MUNICIPAL BUDGET RESERVES IN ARBITRATION

Establishes an irrebuttable presumption that a portion of a municipality's rainy day fund cannot be used to pay for arbitration awards

166 & 167 — PREVAILING WAGE

Increases prevailing wage law thresholds for public works projects; exempts municipal elevator or roof work from prevailing wage requirements; temporarily exempts certain projects in New Haven County from prevailing wage requirements; applies prevailing wage requirements to certain DECD-funded projects

168 — MEDICAID WAIVERS AND AMENDMENTS NOTIFICATION

Requires DSS to report annually on potential Medicaid waivers and changes to the Medicaid state plan that may result in cost savings and narrows a legislative notification requirement

169 — SPECIAL TRANSPORTATION FUND (STF)

Removes the requirement that remaining STF funds, after first being used for other specified obligations, pay for DSS' transportation to work program

170-172 — BIRTH-TO-THREE

Transfers administration of the Birth-to-Three program from OEC to SDE

173 — MEDICARE PART D FOR DUAL ELIGIBLES

Eliminates the requirement that DSS pay for any Medicare Part D prescription drug copayments for beneficiaries who are dually eligible for Medicare and Medicaid

174 — MEDICAID PHARMACY REIMBURSEMENT

Eliminates statutory requirements and allows DSS to revise reimbursement methodology and professional dispensing fees

175-178 — MEDICAID AND SPECIAL EDUCATION

Requires each local and regional board of education to enroll as a Medicaid provider, participate in DSS's Medicaid School Based Child Health Program, and submit billable service information to DSS

179 — LIMIT ON NON-EMERGENCY ADULT DENTAL SERVICES

Caps payment for nonemergency dental services for adults to $1000 per fiscal year

180-203 & 973 — CITIZENS' ELECTION PROGRAM (CEP)

Repeals the CEP; requires that CEF funds be transferred to the General Fund

204-212 — CONTRIBUTION LIMITS

Increases the limit on contributions to exploratory committees from various contributors and to legislative office candidates from legislative caucus and legislative leadership committees

213-215 — 7/7 BROWNFIELD REVITALIZATION PROGRAM

Authorizes a package of state and local tax incentives available to eligible owners for 14 years after remediating, redeveloping, and using formerly contaminated, abandoned, or underutilized property

216-219 & 281 — JUDICIAL COMPENSATION

Delays by two years a 3% salary increase for judges and certain other judicial officials that took effect July 1, 2017 and requires the comptroller to recover the salary increase received by such officials from July 1, 2007 until the bill's passage

220-223 — EDUCATION GRANT CAPS

Makes permanent the caps on four education grants to school districts and regional education service centers (RESCs)

224 — MAGNET SCHOOL GRANTS

Renews the mechanism to prioritize per-student grant payments for magnet school enrollment increases; allows RESC-operated magnets outside of the Sheff region to be eligible for a higher per student grant

225 — BAN ON SHEFF HOST MAGNET SCHOOLS CHARGING TUITION TO SENDING DISTRICTS

Continues the existing ban on a Sheff region host magnet school charging tuition

226 — DCF-LICENSED PRIVATE RESIDENTIAL TREATMENT FACILITIES

Suspends daily and other rate adjustments for FYs 18 and 19 for DCF-licensed private residential treatment facilities

227 — REDUCTIONS FOR MUNICIPAL HEALTH DEPARTMENTS AND HEALTH DISTRICTS

Requires DPH to reduce payments to municipal and district health departments in FY 18

228 — FEDERAL REIMBURSEMENT FOR DCF AND DSS PROGRAMS

Allows DSS and DCF, for FYs 18 and 19, to establish receivables to make payments before receiving reimbursement for federal programs

229 — TEMPORARY FAMILY ASSISTANCE (TFA) AND STATE ADMINISTERED GENERAL ASSISTANCE (SAGA)

Extends the existing freeze on TFA and SAGA rates

230 — STATE SUPPLEMENT PROGRAM

Extends the freeze on SSP rates for FYs 18 and 19

231 — BOARDING HOMES

Caps, with exceptions, rates for certain boarding homes

231-233 — RESIDENTIAL CARE HOMES, COMMUNITY LIVING ARRANGEMENTS, AND COMMUNITY COMPANION HOMES

Freezes rates for certain facilities through FY 19

234 — RESIDENTIAL CARE HOMES

Caps residential care home rates with certain exceptions

235 & 236 — NURSING HOMES

Reverses a recent rate decrease, generally limits changes to FY 18 and FY 19 rates, and makes other changes

237 — INTERMEDIATE CARE FACILITIES FOR INDIVIDUALS WITH INTELLECTUAL DISABILITIES

Caps rates for ICF-IDs at FY 17 levels for FYs 18 and 19, with certain exceptions

238 — RETIRED TEACHERS HEALTH INSURANCE

Reduces state payments for FYs 18 and 19 to the Teachers' Retirement Board (TRB) for costs of retiree health plans offered by (1) the TRB and (2) by local or regional boards of education

239 & 133 — MEDICARE SAVINGS PROGRAM (MSP)

Reduces income eligibility for the Medicare Savings Program

240 — OFFICE OF STATE BROADBAND

Eliminates the Office of State Broadband

241 — EVALUATING TRANSPORTATION PROJECTS

Exempts from certain evaluation requirements certain projects that the DOT commissioner determines are necessary to maintain the state's infrastructure

242 — DAS CANDIDATE LISTS

Allows DAS to extend candidate lists through the end of 2018

243 — OFFICE OF HEALTH STRATEGY

Establishes an Office of Health Strategy

244 & 245 — DEFICIT MITIGATION

Lowers the projected budget deficit threshold, from 1% to 0.5% of total General Fund appropriations, at which the governor (1) must submit a deficit mitigation plan and (2) may require that certain monies be transferred to the General Fund

246 — MUNICIPAL VOLUNTEERS

Prohibits new municipal collective bargaining agreements from limiting a town's ability to have volunteers provide services for the town

247 — SUPERMAJORITY VOTE REQUIRED FOR CERTAIN MANDATES

Prohibits the legislature from adopting a public act that imposes an unfunded state mandate on a political subdivision unless approved by a supermajority

248 — MUNICIPAL EDUCATION BUDGET REDUCTIONS

Allows a municipality to reduce its non-educational expenses by the same amount as its reduced municipal aid without holding a referendum

249 — PURCHASING PROCEDURES APPLICABLE TO LOCAL BOARDS OF EDUCATION

Requires school boards to use and comply with any local purchasing procedures

250 — MUNICIPAL COLLABORATION WITH BOARDS OF EDUCATION

Requires, when possible, local boards of education to collaborate with their municipalities to jointly purchase property, casualty, and workers' compensation insurance

251 — CONSULTATION CONCERNING SHARED MAINTENANCE RESPONSIBILITY

Requires school boards to consult with their local appropriating authority before authorizing the authority to share responsibility for certain maintenance tasks

252 — LOCAL BUDGET AND TAX ADJUSTMENTS

Authorizes municipalities and regional boards of education to amend adopted budgets and adjust tax levies to reflect inaccurate state aid projections

253 – GENERAL FUND SAVINGS

Requires the governor to achieve savings by (1) eliminating certain agency positions and deputy secretary positions and (2) consolidating all agency human resource functions into DAS

254 – RESULTS FIRST PILOT PROGRAM

Requires the OPM secretary to create a pilot program that applies Pew-MacArthur Results First principles to at least 10 state-financed grant programs

255 — UCONN HEALTH CENTER PUBLIC-PRIVATE PARTNERSHIPS

Requires UConn Health Center to seek to establish public-private partnerships and report to certain legislative committees on their status by April 1, 2018

256 & 973 — STATE BUILDING WORKS OF ART

Eliminates the (1) requirement that the state bond commission, when allocating bonds for state building construction, reconstruction, or remodeling, include funds for works of art and (2) the state building works of art account within the General Fund and its maintenance subaccount

257 — PRISON HEALTH CARE

Requires OPM secretary to issue an RFP for the provision of health care to prison inmates

258-263 — CONTRACTING EXEMPTIONS FOR UCONN AND UCONN HEALTH CENTER

Exempts UConn and the UConn Health Center (UCHC) from several state contracting requirements

264 — MUNICIPAL CONSULTATION REQUIRED FOR BOARD OF EDUCATION LEASES

Prohibits a municipality's local board of education from leasing certain items unless it first consults with the municipality's legislative body

265 — REQUIRED CONSULTATION FOR REGIONAL SHARING OF BOARD OF EDUCATION PAYROLL SOFTWARE

Requires a Board of Education to consult with its municipal legislative body prior to purchasing payroll software

266 — JUDGE SALARY WITHHOLDINGS

Increases, from 5% to 8%, the amount that must be withheld from judges', family support magistrates', and compensation commissioners' salaries and deposited into the Judge's Retirement Fund.

267 — STATE AGENCY AFFIRMATIVE ACTION PLANS

Allows agencies to use an alternative method for complying with affirmative action plan requirements

268-279 — CRUMBLING CONCRETE FOUNDATIONS

Creates a framework to assist homeowners with crumbling concrete foundations due to the presence of pyrrhotite

280 — PUBLIC HEARINGS ON AUDITS

Generally requires legislative committees to hold public hearings on the auditor reports of agencies under their cognizance

282-284 — PASSPORT TO THE STATE PARKS AND FORESTS

Establishes a supplemental fee on motor vehicle registrations to pay staff expenses for managing and operating state parks and forests

285-309 — MUNICIPAL ACCOUNTABILITY REVIEW BOARD AND TIER DESIGNATIONS

Provides an alternative process through which financially distressed municipalities may use statutory methods to issue deficit bonds if they submit to state fiscal oversight by a Municipal Accountability Review Board the bill establishes

310 — MUNICIPAL APPROVAL OF COLLECTIVE BARGAINING AGREEMENTS AND ARBITRATION AWARDS

Requires municipal legislative bodies to affirmatively vote in order to approve municipal employee union contracts; revises the process that occurs after a municipality rejects a contract or an arbitration award

311 — TAX REVENUE FOR MUNICIPAL SERVICES TASK FORCE

Creates a task force to study the spending of tax revenue for municipal governments' services

312 — SEPARATES DEEP INTO DEP AND PURA

Establishes the Department of Environmental Protection and the Public Utilities Regulatory Authority as separate agencies

313 — IMPAIRMENT OF STATE CONTRACTS

Specifies the circumstances under which state legislation may impair state contracts

314 — STATE EMPLOYEE ARBITRATION

Defines the state's “ability to pay” in arbitration proceedings

315 — LEGISLATIVE APPROVAL OF CONTRACTS

Requires the legislature to affirmatively vote in order to approve state employee union contracts and arbitration awards; revises the process that occurs after the legislature rejects an agreement or award

316-320 — LIMITS ON FUTURE SEBAC CONTRACTS

Limits certain provisions of future SEBAC Agreements

321 — TEACHERS' RETIREMENT SYSTEM (TRS) VIABILITY COMMISSION

Establishes a commission to develop and implement a plan to maintain TRS' financial viability

322 — TRS ACTUARIAL VALUATION

Requires valuation annually, rather than biennially

323 — STATE SUSTAINABILITY PLAN

Requires OPM or OLM to contract with a professional services adviser to develop and implement a state Sustainability Plan

324 — BOND CAP

Establishes a $2 billion total bond cap starting July 1, 2017

325 — COMPTROLLER REPORTS ON SEBAC SAVINGS

Requires the comptroller to determine the savings realized through the 2017 SEBAC Agreement and related contracts

326 — LITCHFIELD COUNTY COURTHOUSE

Allows the state to retain use of the old Litchfield County Courthouse land and building unless certain conditions are met

327 & 328 — BRIDGE RENAMING

Renames “Detective Bruce Boisland Memorial Bridge” as “Detective Bruce Boislard Memorial Bridge” and the “Veterans of Foreign Wars Memorial Bridge” as the “American Legion Bridge”

329 — STATUTORY SPENDING CAP DEFINITIONS

Modifies definitions used to calculate the state's statutory spending cap

330-495, 976-977 — BOND AUTHORIZATIONS, ADJUSTMENTS, AND CANCELLATIONS

Authorizes new state GO bonds for various state projects and grant programs; authorizes STO bonds for transportation projects; increases bond limits for various statutory grants and purposes; cancels, reduces, or restores bond authorizations for various projects and grants; adjusts the annual bond caps under the CSCU 2020 program; extends the UConn 2000 program by three years and defers bond authorizations to those three years; extends the CT Bioscience Innovation Fund bond authorizations by a year and defers bond authorizations to that year; makes permanent the school security infrastructure grant program; limits LoCIP funds to municipalities; and allows the state to enter into credit agreements with the federal government that are backed by STO bonds

515 — BONDING CAP

Places a $2 billion cap on general obligation bonds or notes the treasurer issues per fiscal year starting July 1, 2018(FY 19), excludes from this cap certain GO bonds related to transportation projects, CSCU 2020, or UCONN 2000

516 — BOND LISTS

Requires the (1) treasurer to provide the governor with an annual list of unissued bonds and (2) governor to provide the treasurer with an annual list of GO bond expenditures that can be made in the next fiscal year

519-942, 974 & 978-980 — AGENCY CONSOLIDATIONS AND ELIMINATION OF COMMISSIONS

Consolidates the Department of Housing within the Department of Economic and Community Development, the Office of Early Childhood within the state Department of Education, and the state Department on Aging within the Department of Social Services; eliminates the state's two legislative commissions

943 — TECHNICAL CHANGES BY THE LEGISLATIVE COMMISSIONERS' OFFICE (LCO)

Requires LCO, as part of codification, to make necessary changes to the bill's text

944-960 — HEALTH CARE PROVIDER TAX

Beginning July 1, 2017, sunsets the current taxes on hospitals and ambulatory surgical centers (ASCs) and user fees on nursing homes and intermediate care facilities (ICFs) and reestablishes the taxes and fees as part of a comprehensive health provider tax system

961-963 — HOSPITAL SUPPLEMENTAL PAYMENTS

Requires DSS to (1) distribute supplemental Medicaid payments for FYs 18 and 19 based on criteria developed with the Connecticut Hospital Association and (2) pay the total amount in accordance with the state budget; establishes a payment schedule and a process for payment advances for distressed hospitals; and prohibits the governor from reducing amounts to the Hospital Supplemental Payment account

964-972 — REVENUE ESTIMATES

Adopts revenue estimates for FYs 18 and 19 for appropriated state funds

973 — UCONN HEALTH CENTER (UCHC) FRINGE BENEFIT COST DIFFERENTIAL

Repeals the requirement for the Comptroller to fund the fringe benefit cost differential of UCHC employees (CGS 3-123i)

975 — KIRKLYN M. KERR GRANT PROGRAM

Repeals the program

1-34 — BUDGET PROVISIONS

Please refer to the fiscal note for a summary of these sections

35 & 973 — REPEAL OF CAR TAX CAP

Eliminates the motor vehicle mill rate cap

● Eliminates the cap on the motor vehicle mill rates municipalities and special taxing districts may impose, which is currently set at 32 mills

● Eliminates statutory authority to set a mill rate for motor vehicles that is different from the mill rate for real and personal property

● EFFECTIVE DATE: Upon passage

36 — FRESH START

Authorizes the DRS commissioner to establish a fresh start program for qualified taxpayers who owe Connecticut state taxes

● Authorizes the Department of Revenue Services (DRS) commissioner to establish a fresh start program in which he may, at his discretion, enter into agreements with qualified taxpayers to (1) waive all of the penalties and half of the interest due on delinquent state taxes and (2) for taxpayers who failed to file a tax return, provide a limited look-back period

● Requires participating taxpayers to, among other things, disclose certain tax information to the commissioner, file any required returns or documents, and pay their liabilities

● Specifies conditions under which the commissioner may rescind an agreement

Program runs from the bill's passage to October 31, 2018 and covers any tax returns due on or before December 31, 2016

● EFFECTIVE DATE: Upon passage

37 — AMBULATORY SURGICAL CENTER (ASC) TAX

Changes the base for the ASC tax to the total net revenue received by each ASC for providing specified services, rather than gross receipts

● Beginning October 1, 2017, bases the ASC tax on the total net revenue received by each ASC for providing ASC services, rather than ASC gross receipts; in doing so, eliminates the exclusion for the first $1 million of an ASC's gross receipts (However, 944-960 sunset the ASC gross receipts tax as of July 1, 2017 and impose a new health provider tax that is substantially similar to the one imposed in 37)

● Maintains the tax rate at 6%

● Defines “ASC services” as those services furnished in connection with covered surgical procedures performed in an ASC for which payment for the procedure is allowable under Medicare; includes facility services only and excludes surgical procedures

● Current ASC gross receipts tax applies to DPH-licensed outpatient surgical facilities and Medicare-certified ASCs that are included in the federal definition of an ASC (i.e., a distinct entity that operates exclusively to provide surgical services to patients not requiring hospitalization, where the services are not expected to take more than 24 hours)

● Applies the net revenue tax to ASCs that (1) meet the federal definition described above and (2) have an agreement with the Centers for Medicare and Medicaid Services (CMS) to participate in Medicare as an ASC and meet federal requirements to do so

● EFFECTIVE DATE: October 1, 2017

38-42 — ESTATE AND GIFT TAX CHANGES

Increases, starting January 1, 2018, the estate and gift tax threshold over three years

● Beginning in 2018, increases the estate and gift tax threshold over three years, from $2 million to the federal estate tax threshold (the federal threshold is $5.49 million for 2017)

● Modifies the marginal rate schedule for estates and gifts over $5.1 million

● Makes conforming changes in requirements for (1) filing tax returns with the probate court and (2) releasing estate tax liens

● EFFECTIVE DATE: January 1, 2018, and applicable to estates of decedents dying on or after January 1, 2018

43-45 — INSURANCE PREMIUM TAX REDUCTION

Reduces, from 1.75% to 1.5%, certain taxes on insurers and HMOs

● Applies tax reduction, beginning January 1, 2018, to taxes paid on (1) total net direct insurance premiums paid to Connecticut insurers and out-of-state and foreign insurers doing business in Connecticut on certain policies wrote during the preceding calendar year and (2) subscriber charges HMOs impose on contracts they enter into or renew during the calendar year

● EFFECTIVE DATE: Upon passage

46 — FILM AND DIGITAL MEDIA PRODUCTION TAX CREDITS

Permanently bars the issuance of film and digital media tax credits to certain motion pictures; allows the credits to be used against the sales and use tax at a reduced value

● Restores and makes permanent the moratorium on issuing film and media production tax credits to certain motion pictures

● Excludes from moratorium motion picture companies that conduct at least 25% of their principal photography days in a Connecticut facility, receive at least $25 million in private investment, and open for business on or after July 1, 2013

● Starting January 1, 2018, allows credits that are sold, assigned, or otherwise transferred to be claimed against the sales and use tax, but at a reduced value (92% of face value if there is at least 50% common ownership between the transferee and transferor and 95% of face value if transfer is to another taxpayer)

● EFFECTIVE DATE: Upon passage

47 — INSURANCE PREMIUM TAX CREDIT CAP

Restores and makes permanent the insurance premium tax credit cap

● Restores cap structure that (1) classifies credits into three types based on their purpose, (2) specifies the order in which insurers may apply each type to reduce their tax liability, and (3) establishes the maximum amount of liability that insurers can reduce by applying one or more types of credits.

● EFFECTIVE Upon passage

48 — CONNECTICUT TELEVISION NETWORK (CT-N) REDUCTION

Reduces by half the amount of specified tax revenue that must be reserved for CT-N

● Reduces, from $3.2 million to $1.6 million, the amount of revenue that is reserved for CT-N from the gross receipts tax on cable, satellite, and competitive video services companies

● EFFECTIVE DATE: Upon passage

49 — INCOME TAX ON SOCIAL SECURITY, PENSION, AND ANNUITY INCOME

Increases the income thresholds for the 100% Social Security income tax deduction and phases out the income tax on certain pension and annuity income

● Beginning with the 2018 tax year, increases the income thresholds for the 100% Social Security income tax deduction, from $50,000 to $75,000 for single filers and $60,000 to $100,000 for joint filers (taxpayers with incomes above these thresholds qualify for a 75% deduction)

● From the 2019 through 2025 tax years, phases out the income tax on pension and annuity income for taxpayers with incomes less than $75,000 for single filers and $100,000 for joint filers

● EFFECTIVE DATE: Upon passage and applicable to income years beginning on or after January 1, 2017

50 — ANGEL INVESTOR TAX CREDIT

Terminates the Angel Investor Tax Credit Program as of October 1, 2017

● Terminates the Angel Investor Tax Credit Program as of October 1, 2017 by prohibiting Connecticut Innovations, Inc. (CI) from reserving tax credits under the program on or after October 1, 2017

● Under current law, the credit applies to the personal income tax and equals 25% of cash invested (up to $250,000) in a CI-approved Connecticut business

● EFFECTIVE DATE: October 1, 2017

51 — EARNED INCOME TAX CREDIT (EITC)

Replaces ETIC rate with a graduated rate schedule

● Replaces the 30% EITC with a graduated rate schedule

● Under the graduated schedule, the EITC rate is (1) 5% for taxpayers with no dependent children, (2) 10% for taxpayers with one dependent child, (3) 15% for taxpayers with two dependent children, and (4) 25% for taxpayers with three or more dependent children

● EFFECTIVE DATE: Upon passage and applicable to income years beginning on or after January 1, 2017

52 — UTILITY COMPANIES TAX EXEMPTION ELIMINATION

Eliminates the utility companies tax exemption for earnings from sales to certain natural gas-fueled power plants

● Eliminates the utility companies gross earnings tax exemption for gross income a gas company earns by selling gas to an existing combined cycle plant that generates electricity using three gas turbines with a total capacity of 775 megawatts

● EFFECTIVE DATE: October 1, 2017

53 — MUNICIPAL VIDEO COMPETITION TRUST ACCOUNT

Beginning with FY 18, increases, by $2 million, the annual transfer from the municipal video competition trust account to the General Fund

● Beginning in FY 18, increases, from $3 million to $5 million, the annual transfer from the municipal video competition trust account to the General Fund

● EFFECTIVE DATE: Upon passage

54 — PUBLIC, EDUCATIONAL, AND GOVERNMENTAL PROGRAMMING AND EDUCATION TECHNOLOGY INVESTMENT ACCOUNT (PEGPETIA)

Beginning in FY 18, requires $3.5 million to be transferred to the General Fund each fiscal year from PEGPETIA

● Beginning in FY 18, requires $3.5 million to be transferred to the General Fund each year from PEGPETIA, which provides grants to support public, educational, and governmental (i.e. community access) programming and education technology initiatives

● EFFECTIVE DATE: Upon passage

55 — ADMISSIONS TAX

Eliminates certain admissions tax exemptions

● Eliminates certain admissions tax exemptions for events at the XL Center, Webster Bank Arena in Bridgeport, Dunkin Donuts Park in Hartford, and New Britain Stadium

● Subjects these venues to the 10% admissions tax

● Makes a technical change by removing an expired exemption regarding athletic events held at the Ballpark at Harbor Yard in Bridgeport

● EFFECTIVE DATE: October 1, 2017

56 — REDUCING CONNECTICUT LOTTERY CORPORATION (CLC) EXPENSES

Requires CLC to reduce its expenses for the next two fiscal years

● Requires CLC to reduce its expenses, for FYs 18 and 19, by $1 million from its FY 17 expenses

● EFFECTIVE DATE: Upon passage

57 — CRIMINAL HISTORY RECORD CHECK FEE INCREASES

Increases fees for certain criminal history record-related searches

● Increases, from $50 to $75, the fees for the following criminal history record searches: fingerprint, personal record, letters of good conduct, bar association, and criminal history record information

● EFFECTIVE DATE: October 1, 2017 and applicable to background check services requested on or after that date

58 — DOCUMENT RECORDING FEE

Increases, from $3 to $10, the document recording fee that is charged to generate revenue for preserving historic documents and modifies the fee revenue distribution

● Increases, from $3 to $10, the recording fee municipalities charge to generate revenue for preserving historic documents

● Currently the municipality retains $1 of each fee for municipal historic document preservation and remits $2 of each fee to the state librarian for state historic document preservation

● The bill doubles each of these amounts and requires municipalities to remit the remaining $4 to the state to be credited to the General Fund

● EFFECTIVE DATE: October 1, 2017

59 — URGENT CARE CENTER LICENSES

Requires urgent care centers to be licensed by DPH as outpatient clinics

● On or after April 1, 2018, requires urgent care centers to be licensed by DPH as outpatient clinics

● Defines “urgent care center” as a free-standing facility, separate from an emergency department, that (1) treats conditions that do not require emergent intervention for life-threatening or potentially permanently disabling conditions, (2) does not require an appointment, and (3) provides services during times when primary care offices are not customarily open

● Authorizes the DSS commissioner to establish payment rates for urgent care centers

● EFFECTIVE DATE: October 1, 2017

60 — OUTPATIENT CLINIC LICENSE RENEWAL

Requires outpatient clinics to renew their license every three years, instead of every four years

● Requires outpatient clinics to renew their licenses every three years, instead of every four years as under current law

● As under current law, the licensing fee is $1,000

● Fee also applies to urgent care centers required to be licensed by the bill (see 59)

● EFFECTIVE DATE: October 1, 2017

61 — PUBLIC WATER SYSTEM LICENSING

Requires certain public water systems, as of July 1, 2018, to obtain a two-year DPH license before providing water to the public

● Starting July 1, 2018, requires water companies that own community public water systems or non-transient non-community public water systems to obtain a two-year DPH license; excludes state agencies from the requirement

● Requires DPH commissioner, in consultation with OPM, to establish a staggered license application system and publish the license fees on DPH's website

● Requires the fee for community public water systems to be based on the system's number of service connections and allows the company to collect the fee for such a system from its consumers, pro rata based on how much water each consumer used

● Requires any such system to obtain a new license if it changes ownership

● Specifies grounds for the commissioner to deny an application or suspend or revoke a license

● Requires the commissioner to assess a civil penalty on a company that fails to pay the fee

● Allows the commissioner to adopt implementing regulations

● EFFECTIVE DATE: Upon passage

62 & 975 — NEWBORN SCREENING ACCOUNT

Eliminates, on July 1, 2018, the newborn screening account and transfers any money from it into the General Fund for DPH to use for newborn health screening services in FY 18

● Eliminates, on July 1, 2018, the newborn screening account, which the Department of Public Health (DPH) currently uses to pay for certain newborn health screening services

● Also eliminates the associated annual $500,000 credit to the account from the General Fund

● Requires funds in the account as of June 30, 2017 to be credited to the General Fund for DPH to use for newborn health screening services in FY 18

● EFFECTIVE DATE: Upon passage, except the repeal of the account is effective July 1, 2018

63 & 64 — REGIONAL PLANNING INCENTIVE ACCOUNT

Eliminates the revenue diversion to the Regional Performance Incentive Account

● Beginning October 1, 2017, eliminates the revenue diversion to the Regional Performance Incentive Account, thus redirecting this revenue to the General Fund

● Current law directs to the account 6.7% of the revenue generated by the room occupancy tax and 10.7% of the revenue generated by the rental car tax

● EFFECTIVE DATE: October 1, 2017, and applicable to sales occurring on or after that date.

63 & 64 — MUNICIPAL REVENUE SHARING ACCOUNT (MRSA) DIVERSION

Eliminates the revenue diversion to MRSA

● Beginning in FY 18, eliminates the sales and use tax revenue diversion to MRSA, thus redirecting this revenue to the General Fund

● Current law directs 7.9% of sales and use tax revenue to the account

● EFFECTIVE DATE: October 1, 2017, and applicable to sales occurring on or after that date.

63 & 64 — SALES AND USE TAX REVENUE FROM MOTOR VEHICLE SALES

Beginning in FY 21, phases in, over five years, a revenue diversion to the Special Transportation Fund (STF) of sales and use tax revenue from motor vehicle sales

● From FYs 2021 to 2025, phases in (in 20% increments) a revenue diversion to the STF of sales and use tax revenue from motor vehicle sales (applies to revenue from 6.35% sales tax)

● EFFECTIVE DATE: October 1, 2017, and applicable to sales occurring on or after that date.

63-67 — TOURISM FUNDING

Establishes a marketing, culture, and tourism account for depositing sales and use tax revenue transfers and specifies how they must be dispersed

Funding Source: Sales and Use Tax Transfers ( 63 & 64)

● Beginning with calendar quarters on or after December 31, 2017, transfers 10% of revenue generated by the room occupancy tax to the marketing, culture, and tourism account the bill creates (see 65)

● EFFECTIVE DATE: October 1, 2017 and applicable to sales occurring on or after that date

Marketing, Culture, and Tourism Account ( 65-67)

● Establishes a separate, nonlapsing marketing, culture, and tourism account within the General Fund and capitalizes it by transferring 10% of the occupancy tax, as described in 63 & 64

● Requires DECD commissioner, in consultation with the Culture and Tourism Advisory Committee, to provide grants from the account to private entities to market and promote Connecticut as a tourism destination; promote the arts; and recognize, protect, preserve, and promote historic resources

● Requires the biennial strategic marketing plan to include the names of the grant recipients and the grant amounts, beginning with the plan due on or before January 1, 2020

● EFFECTIVE DATE: October 1, 2017

68 — CIVIL PENALTIES FOR NURSING AND RESIDENTIAL CARE HOMES

Increases the maximum civil penalty that may be imposed on nursing home facilities and residential care homes that violate statutory or regulatory requirements

● Increases the maximum civil penalties on nursing home facilities and residential care homes that violate statutory or regulatory requirements from $5,000 to $20,000 for a Class A violation and from $3,000 to $10,000 for a Class B violation

● Changes the definition of Class B violations to actions that present a potential for death, instead of a probability of death

● EFFECTIVE DATE: October 1, 2017

69 & 70 — TOBACCO SETTLEMENT FUND DISTRIBUTIONS

Beginning in FY 18, eliminates the required annual disbursement from the Tobacco Settlement Fund to the General Fund and Tobacco and Health Trust Fund; Reduces, from $10 million to $1.5 million, the annual disbursement to the Smart Start competitive operating grant account for FYs 18 through 25

● Eliminates, beginning in FY 18, the required annual disbursements from the Tobacco Settlement Fund as follows:

$ 4 million to the General Fund,

$6 million to the Tobacco and Health Trust Fund (THTF), and

any remaining funds to the THTF

● Reduces, from $10 million to $1.5 million, the required annual disbursement from the Tobacco Settlement Fund to the Smart Start competitive operating grant account for FYs 18 through 25

● Makes a related conforming change to the Smart Start competitive operating grant account statute

● EFFECTIVE DATE: Upon passage

71 — SMART START TRANSFER

Transfers the smart start grant account balance to the General Fund for FY 18

● Transfers to the General Fund the unexpended balance of funds in the smart start competitive grant account on June 30, 2017

● Credits such funds to the General Fund for FY 18

● EFFECTIVE DATE: Upon passage

72 — COMMUNITY INVESTMENT ACCOUNT (CIA)

Transfers funds from the CIA to the General Fund in FYs 18 and 19

● Transfers $2.5 million annually in FY 18 and FY 19 from the CIA to the General Fund

● By law, the CIA is a separate, non-lapsing General Fund account that provides funding for open space, farmland preservation, historic preservation, affordable housing, and promoting agriculture. The account is capitalized through a $40 land recording fee (CGS 7-34a (e)).

● EFFECTIVE DATE: Upon passage

73 — FY 20 GENERALLY ACCEPTED ACCOUNTING PRINCIPALS (GAAP) DEFICIT

Deems that $1 is appropriated to pay off the state's GAAP deficit in FY 20

● Deems that $1 is appropriated in FY 20 to pay off the General Fund's unassigned negative balances (i.e., GAAP deficits)

● Existing law deems that $1 is appropriated to pay off such deficits in FY 18 and FY 19

● EFFECTIVE DATE: Upon passage

74 — PROPERTY TAX CREDIT

Limits the eligibility for the property tax credit against the personal income tax to seniors and taxpayers with dependents

● Limits eligibility for the credit to people who (1) are age 65 or older before the end of the tax year or (2) validly claim at least one dependent on their federal income tax return for that year

● EFFECTIVE DATE: Upon passage and applicable to tax years beginning on or after January 1, 2017

75 — CLEAN ENERGY FUND

Transfers funds from the Clean Energy Fund to the General Fund in FYs 18 and 19

● Transfers $13 million annually in FY 18 and FY 19 from the Clean Energy Fund to the General Fund

● By law, the Clean Energy Fund is supported by a one mill per kilowatt-hour charge on electric bills; proceeds from the fund support the Connecticut Green Bank's clean energy programs

● EFFECTIVE DATE: Upon passage

76 — CONNECTICUT HEALTH AND EDUCATIONAL FACILITIES AUTHORITY (CHEFA) TRANSFER

Annually transfers $900,000 from CHEFA to the General Fund in FY 18 and FY 19

● Transfers $900,000 from CHEFA to the General Fund in each of FY 18 and FY 19

● EFFECTIVE DATE: Upon passage

77 — REGIONAL GREENHOUSE GAS (RGG) ACCOUNT TRANSFER

Transfers $10 million from the RGG account to General Fund in FY 18 and FY 19

● Transfers $10 million from the Regional Greenhouse Gas account to the General Fund in each of FY 18 and FY 19

● EFFECTIVE DATE: Upon passage

78 — HIGHWAY RIGHT-OF-WAY ENCROACHMENT FEES

Requires the DOT commissioner, by January 1, 2018, to set fees for certain applications for right-of way encroachment permits to mirror the fees the Massachusetts DOT charges for similar permits

● Requires the DOT commissioner, by January 1, 2018, to set fees for applications for certain state highway right-of-way encroachment permits to reflect the fees the Massachusetts DOT charges for such permits

● Applies to permit applications for open air theaters, shopping centers, or other developments generating a large volume of traffic

● The law does not define what constitutes a major traffic generator, but state regulations specify that a development is subject to the statutory requirements if it has (1) 200 or more parking spaces or (2) a gross floor area of at least 100,000 square feet (Conn. Agencies Regs. 14-312-1)

● Current law requires the DOT commissioner to establish a “reasonable fee” for such applications

● EFFECTIVE DATE: Upon passage

79 — EMISSIONS ENTERPRISE FUND

Reduces, by $250,000, the amount of money the comptroller must transfer quarterly from the Special Transportation Fund to the Emissions Enterprise Fund

● Reduces, from $1.625 million to $1.375 million, the amount of money the comptroller must transfer quarterly from the Special Transportation Fund to the Emissions Enterprise Fund

● As under current law, transfers must be made on the first day of October, January, April, and July

● EFFECTIVE DATE: October 1, 2017

80 — CONNECTICUT AIRPORT AND AVIATION ACCOUNT

Creates the “Connecticut airport and aviation account” and, regardless of other laws, requires the revenue services commissioner to deposit into it 75.3% of the amount the state receives from the petroleum products gross earnings tax on aviation fuel

● Creates the “Connecticut airport and aviation account” and, regardless of other laws, requires the revenue services commissioner to deposit into it 75.3% of the amount the state receives from the petroleum products gross earnings tax on aviation fuel

● The DOT commissioner, with the approval of the OPM secretary, must spend the money in the new account on airport and aviation related purposes

● The new account is a separate, nonlapsing account in the Grants and Restricted Accounts Fund

● Revenue from the petroleum products gross earnings tax currently goes into the Special Transportation Fund

● EFFECTIVE DATE: Upon passage

81 — GREEN BUILDING TAX CREDIT

Sunsets the Green Building Tax Credit

● Eliminates the Green Building tax credit, which can be applied against the corporation business tax

● The credit is earned for certain costs related to the construction or renovation of projects that meet certain energy efficiency standards

● EFFECTIVE DATE: October 1, 2017

82 — FY 19 GENERAL FUND REVENUE

Allows the comptroller to designate resources in the General Fund in FY 18 as FY 19 General Fund revenue

● Allows the comptroller to designate up to $37 million of General Fund resources in FY 18 as FY 19 General Fund revenue

● EFFECTIVE DATE: Upon passage

83 — NEIGHBORHOOD ASSISTANCE ACT (NAA) TAX CREDIT

Lowers, from $10 million to $5 million, the annual cap on NAA tax credits

● Lowers annual NAA tax credit cap to $5 million total for all business firms

● Cap was increased from $5 million to $10 million in PA 15-5, June Special Session, but the increase did not go into effect until July 1, 2017

● EFFECTIVE DATE: Upon passage

84, 973 & 974 — REPEAL OF MUNICIPAL SPENDING CAP, MUNICIPAL REVENUE SHARING ACCOUNT, AND RELATED PROVISIONS

Eliminates the municipal spending cap and the Municipal Revenue Sharing Account and grant distributions from it

● Eliminates the Municipal Revenue Sharing Account (MRSA) and the Municipal Revenue Sharing Fund (MRSF)

● Correspondingly eliminates the following grant distributions from MRSA: municipal revenue sharing grants, motor vehicle property tax grants, regional services grants, and additional PILOT grants to specified municipalities (i.e., select PILOT grants) ( 85 of the bill retains the select PILOT grants, but limits the municipalities that receive them)

● Eliminates the municipal spending cap, which is tied to municipal revenue sharing grants, and makes conforming changes

● EFFECTIVE DATE: October 1, 2017, except the repeal of an obsolete provision concerning MRSF is effective upon passage

85 — GRANTS AND PAYMENTS IN LIEU OF TAXES FOR TIER 3 DISTRICTS AND MUNICIPALITIES

Prohibits, regardless of existing law, any tier three district or municipality from receiving a grant in lieu of taxes or the additional payment in lieu of taxes in either FY 18 or FY 19

● Prohibits, regardless of existing law, any tier three district or municipality from receiving a grant in lieu of taxes or the additional payment in lieu of taxes in either FY 18 or FY 19

By law, tier one and two districts and municipalities are those with the highest percentage of tax-exempt property and a mill rate of at least 25; tier three includes all other districts and municipalities

● EFFECTIVE DATE: Upon passage

86 — STATE AGENCIES TO REVIEW FEES

Requires agency heads to determine whether fees charged cover program administration costs

● Requires all agency heads, except for the Office of Policy and Management (OPM) secretary, to determine whether the fees charged by their departments cover the cost of collecting the fee and administering the program the fee is collected for

● Requires agency heads to report any recommended fee increases to the OPM secretary by December 1, 2017

● Requires the OPM secretary to review the agencies' submissions and submit a report by February 7, 2018 to the Finance, Revenue and Bonding Committee

The report must include recommended fee increases (not to exceed a 50% increase)

The recommended fee increases cannot exceed $20 million in the aggregate (it is unclear whether this cap refers to expected annual revenue)

● EFFECTIVE DATE: Upon passage

87 — HOSPITAL TAX

Phases out the hospital tax over five years, starting in FY 20; Beginning in FY 17, authorizes a credit against the hospital tax in any fiscal year in which supplemental Medicaid payments are reduced from the amount appropriated in the budget act for that fiscal year

● From FY 20 to FY 25, phases out the tax on hospital net patient revenue over five years; requires the social services commissioner to reduce the tax over this period in equal increments and base the annual reduction on the taxes hospitals pay in FY 19 (However, 944-960 sunset the hospital tax as of July 1, 2017 and impose a new health care provider tax)

● Authorizes the commissioner, in consultation with the Office of Policy and Management secretary and as federal law allows, to exempt a hospital from the tax on payments it earns for providing outpatient services, based on financial hardship (same provision applies under current law)

● From FY 18 to FY 25, authorizes a credit against the hospital tax in any fiscal year in which supplemental Medicaid payments are reduced from the amount appropriated in the budget act for that fiscal year; credit equals the amount of the reduction

● EFFECTIVE DATE: Upon passage

88 & 89 — COMPTROLLER'S ANALYSIS OF OPM'S MONTHLY STATEMENTS

Requires the comptroller to analyze OPM's monthly revenue and expenditure statements

● By law, the OPM secretary must submit to the comptroller each month a cumulative monthly statement of revenue and expenditures, including a statement of (1) estimated revenue by source to the end of the fiscal year and (2) General Fund appropriation requirements to the end of the fiscal year, itemized as much as practical for each agency

● The bill requires the comptroller to include an analysis of OPM's monthly statement in his cumulative monthly financial statements

● EFFECTIVE DATE: November 1, 2017 and applicable to cumulative monthly statements issued on or after December 1, 2017, except a conforming change is effective July 1, 2019

90 & 91 — CONSENSUS REVENUE ESTIMATES DEADLINE

Moves up the deadline by which OPM and OFA must issue consensus revenue estimates

● Moves up the deadline, from November 10 to October 31, by which OFA and OPM must issue the consensus revenue estimate for the current biennium and next three fiscal years

● Correspondingly moves up the deadline, from November 20 to November 10, by which the Comptroller must issue the consensus revenue estimates if OPM and OFA cannot reach agreement on revenue estimates

● EFFECTIVE DATE: Upon passage, except a conforming change is effective July 1, 2019

92-94 — BONDING CAP ( 92 & 93 ARE IDENTICAL TO 513 & 514)

Places a $2 billion cap on (1) bonds the State Bond Commission allocates per calendar year starting January 1, 2017 and (2) general obligation bonds or notes the Treasurer issues per fiscal year starting July 1, 2018 (FY 19), adjusted in subsequent years by the Consumer Price Index

● Limits to an aggregate of $2 billion, starting January 1, 2017, all bond issuances the State Bond Commission may authorize in any given calendar year, but starting January 1, 2018, requires the aggregate limit to be annually adjusted to reflect any change in the consumer price index for all urban consumers for the preceding calendar year, less food and energy

● Requires the State Bond Commission, within the limit described above, to authorize bonds each calendar year for transportation projects up to the amounts specified under 100 of this bill (presumably 95 & 517 which are the sections that list the transportation project caps)

● Prohibits the State Bond Commission from adopting any resolution to authorize bonds, except for refunding bonds, if, among other things, the authorization exceeds the limits described in the first bullet above

● Prohibits the Treasurer, starting July 1, 2018, from issuing general obligation bonds or notes that exceed an aggregate of $2 billion in any fiscal year, but starting July 1, 2019, requires the aggregate limit to be annually adjusted to reflect any change in the consumer price index for all urban consumers for the preceding calendar year, less food and energy

● Existing law limits the total amount of General Fund-supported state debt the legislature can authorize to 1.6 times the estimated net General Fund tax receipts for the fiscal year of the authorization (CGS 3-21)

● EFFECTIVE DATE: Upon passage

95 & 517 — TRANSPORTATION PROJECT CAPS

Establishes annual caps on general obligation bonds the State Bond Commission may authorize for transportation projects each calendar year starting January 1, 2017

● Starting January 1, 2017, caps the amount of general obligation bonds (GO bonds) the State Bond Commission may authorize for transportation projects each calendar year until January 1, 2046, as shown in Table 1

Table: Annual Caps on GO Bonds for Transportation Projects

Calendar Year Starting

Up to

January 1, 2017

$422,800,000

January 1, 2018

419,600,000

January 1, 2019

525,300,000

January 1, 2020

551,300,000

January 1, 2021

691,600,000

January 1, 2022

796,300,000

January 1, 2023

809,900,000

January 1, 2024

809,200,000

January 1, 2025

716,300,000

January 1, 2026

728,500,000

January 1, 2027 – January 1, 2046

728,500,000 each year

● Starting January 1, 2017, all bond issuances the State Bond Commission may authorize in any given calendar year is limited to an aggregate of $2 billion, adjusted annually thereafter by the Consumer Price Index for all urban consumers for the preceding year, less food and energy ( 92)

● EFFECTIVE DATE: Upon passage

96 & 97 — CONNECTICUT STATE COLLEGES & UNIVERSITIES (CSCU) 2020 INFRASTRUCTURE PROGRAM

Defers $55 million in FY 18 bonding to FY 20 and authorizes an additional $11.7 million in bonding for FY 20

● Extends the program by one year (from FY 19 to FY 20)

● Defers $55 million in FY 18 bonding to FY 20

● Authorizes an additional $11.7 million in FY 20 bonding

● Earmarks the additional bonding for a new line item, Other Projects Recommended by the Board of Regents

● These provisions conflict with 388 & 389 (see below), which also extend the program to FY 20 but defer $110 million in FY 18 bonding to FY 20

● EFFECTIVE DATE: Upon passage

98 & 99 — UCONN 2000 INFRASTRUCTURE PROGRAM

Reduces bond authorizations by $99.1 million and extends the program by two years

● Reduces the program's annual bond limits for FYs 18 to 24 by a total of $334.1 million

● Extends the program by two years (to FYs 25 and 26) and authorizes a total of $235 million across these fiscal years, for a net reduction of $99.1 million

● However, the bill does not make conforming reductions to the program's aggregate bond limit or the limits for any of its named projects

● These provisions conflict with 390-394 (see below), which extends the program by three years to FY 27 and defers $54.6 million in FYs 18 and 19 bonding to FYs 25 to 27

● EFFECTIVE DATE: Upon passage

100 — BANKING FUND TRANSFER

Requires the transfer of $6 million from the Banking Fund to the General Fund for FY 18

● Requires the transfer of $6 million from the Banking Fund to the General Fund for FY 18

● EFFECTIVE DATE: Upon passage

101 — TECHNICAL SERVICES REVOLVING FUND TRANSFER

Transfers $3 million from the Technical Services Revolving Fund to the General Fund in FY 18

● Transfers $3 million from the Technical Services Revolving Fund to the General Fund in FY 18

● EFFECTIVE DATE: Upon passage

102 — SCHOOL BUS SEAT BELT ACCOUNT

Transfers funds from the School Bus Seat Belt Account to the General Fund in FY 18

● Transfers $2 million in FY 18 from the School Bus Seat Belt Account to the General Fund

● EFFECTIVE DATE: Upon passage

103 — CORRECTIONAL COMMISSARIES ACCOUNT TRANSFER

Transfers $1 million from the correctional commissaries account to the General Fund in FY 18

● For FY 18, transfers to the General Fund $1 million from the correctional commissaries account, which is administered by the Department of Correction

● EFFECTIVE DATE: Upon passage

104 — CORRECTIONAL INDUSTRIES ACCOUNT TRANSFER

Transfers $1 million from the correctional industries account to the General Fund in FY 18

● For FY 18, transfers to the General Fund $1 million from the correctional industries account, which is administered by the Department of Correction

● EFFECTIVE DATE: Upon passage

105 — ED-NET ACCOUNT TRANSFER

Transfers $1 million from the Ed-Net account to the General Fund in FY 18

● Transfers to the General Fund $1 million from the Ed-Net account in FY 18

● EFFECTIVE DATE: Upon passage

106 — PROBATION TRANS-TECH VIOLENCE UNIT ACCOUNT TRANSFER

Transfers $4 million from the probation Trans-Tech violence unit account to the General Fund in FY 18

● For FY 18, transfers to the General Fund $4 million from the probation Trans-Tech violence unit account, which is administered by the Judicial Department

● EFFECTIVE DATE: Upon passage

107 — LITIGATION/SETTLEMENT ACCOUNT TRANSFER

Transfers $5 million from the litigation/settlement account to the General Fund in FY 18

● For FY 18, transfers to the General Fund $5 million from the litigation/settlement account, which is administered by OPM

● EFFECTIVE DATE: Upon passage

108 — PLAN TO TRANSFER JUVENILE JUSTICE PROGRAMS FROM DCF TO THE JUDICIAL BRANCH'S COURT SUPPORT SERVICES DIVISION (CSSD)

Requires DCF and CSSD to submit a plan to the legislature to transfer certain juvenile justice programs and services, from DCF to CSSD

● Requires the DCF commissioner and CSSD executive director, by February 1, 2018, to submit a plan and recommendations to the Appropriations, Children's, and Judiciary committees to transfer juvenile justice programs and services, except those provided at the Connecticut Juvenile Training School or Pueblo Unit for girls, from DCF to CSSD

● EFFECTIVE DATE: Upon passage

108 — 90-DAY TURNAROUND BY DOT ON CERTAIN PERMIT APPLICATIONS

Requires DOT to review and make final determinations on specified permit applications within 90 days after receiving them, or they are deemed approved

● Requires DOT to review and make a final determination on certain permit applications within 90 days after receiving them

● Applies to the following permit applications: encroachment, parkway, industrial truck, outdoor advertising, and specific information signs on limited access highways

● Deems the applications approved if DOT does not make a final determination within the 90-day period

● EFFECTIVE DATE: Upon passage

109 — 90-DAY TURNAROUND BY DEEP ON CERTAIN PERMIT APPLICATIONS

Requires DEEP to review and make final determinations on specified permit applications within 90 days after receiving them, or they are deemed approved

● Requires DEEP to review and make a final determination on certain permit applications within 90 days after receiving them

● Applies this to 45 permit applications, including aquifer protection and pesticide permits

● Deems the applications approved if DEEP does not make a final determination within the 90-day period

● EFFECTIVE DATE: Upon passage

110 — 90-DAY TURNAROUND BY DOAG ON AQUACULTURE PERMIT APPLICATIONS

Requires the Department of Agriculture to review and make a final determination on aquaculture permit applications within 90 days after receiving them, or they are deemed approved

● Requires DoAg to review and make a final determination on aquaculture permit applications within 90 days after receiving them

● Deems the applications approved if DoAg does not make a final determination within the 90-day period

● EFFECTIVE DATE: Upon passage

111-113 — SCHOOL CONSTRUCTION PROGRAM AND PROTOTYPE SCHOOL DESIGNS (IDENTICAL TO 503-505)

Requires towns to choose between three design prototypes when seeking the highest level of state school cost reimbursement for new construction and makes other changes

● Requires the Department of Administrative Services' (DAS) School Building Projects Advisory Council to submit a report by April 1, 2018, to the Appropriations, Finance, Revenue and Bonding, and Education committees containing the blueprints for three different school design prototypes

● Requires that for applications on and after July 1, 2018, towns that do not pick one of the three prototypes will generally receive a lower state reimbursement rate for new construction; with prototypes the reimbursement range is 10% to 70% of eligible costs, depending upon the wealth ranking of the town; without prototypes the range is 0% to 60% (reimbursement rates for renovations, alterations, code violations, and other types of work remain unchanged at a range of 20% to 80%)

● Prohibits any reimbursement to towns for architectural and engineering costs for new construction projects when they do not choose one of the three prototypes, for applications on and after July 1, 2018

● Requires the DAS commissioner to use three years, rather than one, of adjusted equalized net grand list (AENGL) per capita when ranking all of the state's towns for school construction reimbursement rates; AENGL per capita is a measure of property wealth in a town

● EFFECTIVE DATE: Upon passage

114 — SCHOOL CONSTRUCTION APPLICATIONS AND DAS REPORT TO THE LEGISLATURE (IDENTICAL TO 506)

Requires school districts to indicate on their school construction applications whether they considered one of the prototype designs and adds additional enrollment reporting and other requirements for DAS when it submits the school construction list to the legislature

● Requires, for school construction program applications submitted on or after July 1, 2018, the superintendent of the applying school district to affirm that the school district considered the blueprints for three different school design prototypes

● Requires the DAS commissioner to provide the following more extensive information for each project she submits to the legislature as part of the priority list:

a substantiation of the estimated total project costs

the readiness of the project to begin construction

an enrollment projection and school capacity

efforts made by the board of education to redistrict, reconfigure, merge, or close schools under the board's jurisdiction before applying for a school construction grant

enrollment and capacity information for all of the board's schools for the five years prior to application and estimated enrollment and capacity information for all of the board's schools for the eight years following the application

the state's education priorities relating to reducing racial and economic isolation for the school district

● EFFECTIVE DATE: Upon passage

115-120 — SCHOOL CONSTRUCTION PROGRAM (CHANGES IDENTICAL TO 507-512)

Makes changes to the school building emergency grant program; reduces certain reporting requirements, and increases percentage of a school construction grant that DAS can withhold pending the completion of an audit, among other changes

● Changes the law that authorizes the DAS commissioner to provide emergency school construction grants, including expanding the types of projects that can be funded (such as skylights as part of a roof replacement and limited use elevators)

● Requires school districts to notify DAS commissioner of the emergency condition within seven days of discovering the condition in order to be eligible for an emergency grant

● Postpones and reduces the frequency of required reports by local and regional boards of education to the DAS commissioner on the following required programs: (1) facilities and long-term building, (2) air quality, and (3) green cleaning

● Increases, from 5% to 11%, the amount of a project's reimbursement grant that DAS can withhold pending the completion of a final audit

● Specifies that when a regional board of education dissolves, the local boards of education or towns that participated in the regional board are not absolved from any school construction responsibilities or financial obligations incurred while part of the regional board

● Makes a technical changes

● EFFECTIVE DATE: Upon passage

121-127 — SCHOOL CONSTRUCTION PROJECT AUTHORIZATIONS (IDENTICAL TO 496-502)

Authorizes the DAS commissioner to commit to new school construction grants for up to $515 million and makes changes to other existing projects

● Authorizes the DAS commissioner to enter into grant commitments on behalf of the state for 50 new school construction projects for grants totaling $515 million

● Reauthorizes, with changes in scope or cost, three previously approved projects

● Exempts six projects from various statutory and regulatory requirements in order to make them eligible for a higher state reimbursement or eligible for this year's school construction list, and makes other changes

● EFFECTIVE DATE: Upon passage

128-134 — REVISIONS TO EDUCATION COST SHARING (ECS) FORMULA

Revises ECS formula, the largest form of state aid to towns, by changing several major formula components, including the base aid ratio, foundation dollar amount, weighting for need students; includes phase-in for funding increases and decreases until FY 28

ECS Formula Overview

● By law, the fully-funded aid grant equals the product of the following three factors: foundation dollar amount, number of need students, and aid ratio, plus a small bonus for regional districts (if applicable)

Formula Factors Modified

Decreases foundation dollar amount from $11,525 to $9,638

● As part of student need weightings:

changes student poverty from 30% of students eligible for free or reduced priced meal or free milk (FRPM) to 30% of FRPM plus an additional 5% for any students eligible for FRPM above 75% of the total number of resident students

adds a new 15% weighting for the number of students who are English language learners, as identified by the school district

Creates the base aid ratio adjustment factor, which is a bonus to a town's base aid ratio, if the town is ranked high in the eligibility index for public investment communities (PIC)

adjustment factor gives towns anywhere from 3 to 6 percentage points bonus in their base aid ratio if they rank in the top 19 of all towns in total eligibility index points

PIC eligibility index measures the town relative wealth and need by ranking them in descending order by their cumulative point allocations for per capita income, adjusted equalized net grand list per capita, equalized mill rate, per capita temporary family assistance, and unemployment rate (CGS 7-545)

Minimum Aid Ratios and Balance of Property and Income Wealth

Maintains minimum aid ratio for alliance districts at 10%

Reduced minimum aid ratio for all other districts from 2% to 1%

Modifies balance of property and income portions of town wealth measure (“wealth adjustment factor”) from current 90% property wealth and 10% income wealth to 70% property and 30% income, thus giving income wealth more weight in the aid ratio part of the formula

ECS Aid Determination for FYs 18 and 19

Creates new base grant amount for calculating ECS aid

Base grant amount equals 78% of the aid a town was entitled to receive for FY 17, under PA 16-2, May Special Session

Aid increases if a town's fully-funded grant is greater than base grant amount

FY 18 aid equals base grant plus 5% of the difference between the town's fully-funded grant and its base amount

FY 19 aid equals amount from previous FY plus 15% of the difference between the town's fully-funded grant and its base amount

FY 18 aid remains constant from previous year if a town's fully-funded aid is less than its base aid

● FY 19 aid decreases if a town's fully-funded aid is less than its base aid

Aid amount equals the base grant minus 10% of the difference between the base and the fully-funded amount

Phase-In for the Out Years

Phases in aid for FYs 20 to 28

For FY 29 and all years following, towns receive their fully funded amount

● EFFECTIVE DATE: Upon passage

135 — ECS FORMULA REVIEW TEAM

Creates an ECS formula review team to review and make recommendations on the ECS formula

● Team consists of chairs and ranking members of the Education Committee; OPM secretary; and representatives of Connecticut Association of Boards of Education, the Connecticut Association of Public School Superintendents, the Connecticut Education Association, and the American Federation of Teachers-Connecticut

● Requires the team to make recommendations to the Education and Appropriations committees by March 1, 2018

● Terminates the team on the date it submits its report or March 1, 2018, whichever is later

● EFFECTIVE DATE: Upon passage

136 — EDUCATION FUNDING REALLOCATION

Requires the education commissioner to redistribute Education Cost Sharing (ECS) and special education grant increases received by certain school districts over the past fiscal year among districts that received a decrease

● For each school district that received a combined ECS and special education grant increase in FY 18 in an amount up to $1,550,000 more than its FY 17 allocation, the bill requires the education commissioner to withhold an amount equal to that increase and deposit it in an “education funding reallocation account”

● Requires the commissioner to use these account funds to give grants to each school district that received less ECS and special education grant money in FY 18 in than FY 17; grants must be equal to the amount of the reduction in funding

● EFFECTIVE DATE: Upon passage

137 & 138 — SPECIAL EDUCATION FUNDING

Eliminates, makes permanent, and creates various special education cost grants, including those for state agency-placed students receiving special education services

● Requires boards of education to cover all special education costs in their entirety for children placed in their district by the Department of Children and Families and other state agencies, rather than the lesser of (1) the full costs or (2) the average per pupil expenditure

● Correspondingly eliminates the requirement that the State Board of Education pay the difference between the above costs and the board of education's average per pupil expenditure

● Eliminates special education excess cost grants to boards of education for all state agency-placed students in their districts

● Eliminates special education cost grants for all other non-agency-placed students receiving special education services whose excess costs exceed 4.5 times the per pupil cost for a board to educate a student

● Eliminates the supplemental special education grant

● Creates a new special education grant to reimburse boards of education for a portion of net special education costs; establishes a formula for the grant based on a percentage of a district's net special education costs for the previous fiscal year and the town's adjusted equalized net grand list per capita ranking; allows the state to reduce this new special education grant proportionally when grant amounts exceed appropriations (i.e., creates a grant cap)

● EFFECTIVE DATE: Upon passage

139 — GRANTS TO BOARDS OF EDUCATION FOR STATE AGENCY PLACEMENTS IN RESIDENTIAL AND JUVENILE DETENTION FACILITIES

Eliminates grants for boards of education for students placed by state agencies in residential facilities and juvenile detention facilities

● Requires boards of education to cover all costs in their entirety, rather than the lesser of (1) the full costs or (2) the average per pupil expenditure

● Correspondingly eliminates the requirement that the State Board of Education pay the difference between these costs and the board of education's average per pupil expenditure

● EFFECTIVE DATE: Upon passage

140 — UCONN PROFESSORS' COURSE LOAD

Requires the UConn board of trustees to increase each full-time professor's course load by one course during a school year

● Requires the UConn board of trustees, by January 1, 2018, to increase each full-time professor's course load during a school year by one course

● EFFECTIVE DATE: Upon passage

141 — SUPERINTENDENTS FOR SMALL TOWNS

Allows local boards of education that meet certain “small town” criteria to receive direction from another board of education's superintendent, rather than employ their own local superintendent

● Gives local boards of education whose towns have fewer than (1) 10,000 residents, (2) 2,000 resident students, and (3) three public schools the option to either employ a local superintendent or receive direction from another board of education's superintendent

● Limits the requirement to employ a superintendent to (1) regional boards of education and (2) local boards of education that do not meet the above criteria

● Existing law allows boards of education to jointly employ a superintendent (see 142 below)

● EFFECTIVE DATE: Upon passage

142 — SUPERINTENDENTS FOR MULTIPLE TOWNS

Allows boards of education that share a superintendent to adjust the frequency and format of their board meetings

● Allows boards of education that jointly employ the same superintendent to reduce the number of board meetings they hold, or to hold joint meetings at least quarterly, to reduce expenses and align their provision of education

● EFFECTIVE DATE: Upon passage

143 & 144 — COOPERATIVE ARRANGEMENTS

Allows for cooperative agreements for the provision of administrative and central office duties

● Allows two or more boards of education, or a municipality and its own board of education, to enter into cooperative arrangements for administrative and central office duties

● EFFECTIVE DATE: Upon passage

145 — MINIMUM BUDGET REQUIREMENT (MBR)

For FYs 18 and 19, extends the MBR only for alliance districts

For FYs 18 and 19, renews the MBR only for alliance districts (i.e., school districts with the lowest accountability index scores), thus requiring these districts to at least maintain their budgeted education appropriation (1) at the same level as the previous year, if aid is level, or (2) by the amount of any aid increase, if aid increases

● Does not renew the MBR for non-alliance districts (under current law MBR expired for all districts at the end of FY 17)

● Removes obsolete language

● EFFECTIVE DATE: Upon passage

146 — BOARD OF EDUCATION ADMINISTRATIVE PERSONNEL

Requires municipal legislative bodies to approve the hiring of administrative personnel by boards of education absent a budgeted appropriation

● Prohibits boards of education from hiring administrative personnel without approval from their respective municipal legislative body if the education budget does not provide funding for the position

● EFFECTIVE DATE: Upon passage

147 — REGIONAL SCHOOL DISTRICT FINANCE COMMITTEE

Allows regional boards of education to establish a finance committee

● Allows regional boards of education to establish a finance committee for the regional school district to inform the board about local budget issues of member towns and assist with the district budget proposal

● Requires member towns to each appoint two members to the committee

● EFFECTIVE DATE: Upon passage

148 & 149 — CHARTER SCHOOL GRANT PAYMENTS

Disburses state grants to charter schools directly to a charter school's fiscal authority, rather than the towns, and permits proportional grant reductions if the grant total exceeds the appropriated amount in FYs 18 and 19

Requires the state to send per-pupil grants for local charter schools and state charter schools to the respective charter schools' fiscal authorities, rather than to the towns where the schools are located

● Requires, for FYs 18 and 19, that per-pupil charter school grants be reduced proportionately if the grant total exceeds the appropriated amount

● Makes various conforming changes

EFFECTIVE DATE: Upon passage

150 — ROBERTA B. WILLIS SCHOLARSHIP

Closes the scholarship program to new applicants but allows awards previously issued to be renewable

● Prohibits the Office of Higher Education from making new awards of these scholarships to students

● Allows awards made in FY 17 to be renewable for the life of the original award if the student continues to meet need and academic standards

● EFFECTIVE DATE: Upon passage

151 — UCONN AND UCHC FRINGE BENEFITS

Requires UCONN and UCHC to fund a portion of certain employees' compensation with funds from outside the General Fund

● Requires UCONN and UCHC to fund the portion of any of their employees' salaries (excluding fringe benefits) that exceeds $100,000, and the cost of any fringe benefits associated with that portion, with funds that are not appropriated from the General Fund

● EFFECTIVE DATE: Upon passage

152-153 — TEACHER CONTRIBUTIONS TO THE TEACHERS' RETIREMENT SYSTEM (TRS)

Increases teachers' contributions to TRS and requires funds from the increases to be credited to the General Fund

● Increases teachers' regular contributions to TRS from 6% to 7% of their annual salary between January 1, 2018 and June 30, 2018 and from 7% to 8% on and after July 1, 2018

● Requires the additional funds received from the increases to be credited to the General Fund in FYs 18 and 19

● EFFECTIVE DATE: Upon passage

154 — NON-UNION STATE EMPLOYEE CONTRIBUTION TO RETIREE HEALTH INSURANCE

Requires 5% of non-union state employees' base salary to be withheld from their pay

● Starting July 1, 2017, requires 5% of non-union state employees' base salary to be withheld from their pay

● Three percent of the amount withheld constitutes the cost of providing the non-union employee's retiree health insurance

● Two percent of the amount withheld must be deposited in the General Fund to offset the state's share of providing the non-union employee's retiree health insurance

● EFFECTIVE DATE: Upon passage

155 — TRANSFERS FROM NONAPPROPRIATED ACCOUNTS

Allows the OPM secretary to transfer funds from certain nonappropriated accounts to the General Fund

● For FY 19, allows the OPM secretary to transfer up to $20 million to the General Fund's resources from the Fund's nonappropriated accounts that do not receive (1) gifts, grants, or donations from public or private sources or (2) other revenues from individuals to support a particular interest or purpose

● EFFECTIVE DATE: Upon passage

156 — LEGISLATIVE APPROVAL OF STATE EMPLOYEE CONTRACTS AND ARBITRATION AWARDS

Requires the legislature to affirmatively vote in order to approve state employee union contracts and arbitration awards; revises the process that occurs after the legislature rejects an agreement or award

● Requires the legislature to affirmatively vote in order to approve state employee union contracts and arbitration awards

● Requires arbitration, rather than further negotiating, for contracts and awards rejected by the legislature as follows:

a rejected arbitration award must return to arbitration; an award from a subsequent arbitration is automatically deemed approved by legislature

a rejected contract goes to arbitration and the subsequent award must be submitted to the legislature; if rejected, the subsequent award goes to further arbitration; an award from this further arbitration is automatically deemed approved by the legislature

● The provisions of this section are repeated in 315

● EFFECTIVE DATE: Upon passage

157 — APPLYING SEBAC 2017 TO NON-UNION STATE EMPLOYEES

Requires terms comparable to those in the 2017 SEBAC Agreement to be implemented for non-union state employees by October 1, 2017

● Requires DAS and OPM to apply terms comparable to those in the 2017 SEBAC Agreement to all non-union state employees; terms concerning legislative employee wages must be applied by the Legislative Management Committee

● Requires, by September 30, 2017, OPM to submit a plan to the Appropriations Committee detailing how the SEBAC Agreement's terms will apply to these employees

● Requires the chief court administrator and the executive director of Legislative Management, by the same date, to also submit plans to the committee detailing how the terms of the SEBAC contract will apply to nonunion classified and unclassified officers and employees of the judicial department and legislative branch, respectively

● Requires, by October 1, 2017, the DAS commissioner and OPM secretary, chief court administrator or Supreme Court judges, and legislative management committee to consider and implement wage changes for nonunion and unclassified officers and employees of the executive branch, constituent units of higher education, and Board of Regents; judicial department; and legislative branch, respectively, that are comparable to the SEBAC Agreement's wage payment provisions

● Specifies that the requirement to implement wage changes does not apply to judicial branch officers or employees whose wages are set in statute (e.g., judges, family support magistrates, and workers' compensation commissioners) or legislators

● EFFECTIVE DATE: Upon passage

158-160 — 2027 CHANGES TO THE STATE EMPLOYEES RETIREMENT SYSTEM (SERS)

Changes certain provisions of SERS starting July 1, 2027

● Starting July 1, 2027, requires state employees to contribute 7% of salary to SERS

● For those who retire after that date, (1) prohibits COLAs unless SERS is at least 80% funded, (2) applies Tier IV overtime formula (i.e., 25-year overtime averaging) to pension calculations, and (3) eliminates breakpoint from pension calculations

The above provisions may be subject to litigation brought by employees who vested in SERS prior to July 2027; to the extent that a court recognizes an employee's contractual property right to the benefits promised under the contract in effect when the employee vested, such an employee could claim that the above provisions violate the U.S. Constitution's Contracts Clause (which generally prohibits states from passing laws impairing the obligation of contracts) and Takings Clause (which prohibits state governments from taking private property for public use without just compensation)

● Prohibits future SEBAC agreements from including provisions that conflict with section two of the bill (presumably, this refers to the above 2027 changes in SERS, and not to the bill's appropriations from the Special Transportation Fund)

● Starting June 30, 2027, prohibits SEBAC agreements and state employee arbitration awards from having terms of more than four years (this provision is repeated in 317 of the bill)

● EFFECTIVE DATE: Upon passage

161 — CRIMINAL JUSTICE DIVISION'S COLD CASE UNIT AND SHOOTING TASK FORCE APPROPRIATIONS

Prohibits the Division of Criminal Justice from comingling funds appropriated to the Cold Case Unit with those appropriated to the Shooting Task Force

● Requires the Division of Criminal Justice to (1) maintain the Cold Case Unit's appropriated funds separate from those of the Shooting Task Force and (2) spend the funds only for the purposes appropriated

● EFFECTIVE DATE: Upon passage

162 — REOPENING MUNICIPAL EMPLOYEE CONTRACTS

For new contracts, establishes a process under which towns may ask unions to reopen a contract to negotiate revisions to enact regionalization

● Allows municipalities, for any employee contract negotiated on or after the bill's effective date, to ask the union covered by the contract to reopen the negotiation process and present a proposed contract revision to enact regional consolidation or shared service agreements

● If the union denies the request, the State Board of Labor Relations must convene a meeting of the bargaining unit's members within 30 days; at the meeting, the municipality must present its proposed revisions; membership must vote on the proposal within five days after the meeting

● If the union agrees to negotiate and reaches an agreement, it must be ratified under the bargaining unit's normal ratification procedure

● If the parties do not reach an agreement within 14 days (with the option of a mutual 14-day extension), the municipality's last best offer on its proposal must be submitted to the bargaining unit's membership for a vote; the union must schedule the vote within five days after negotiations ended and the municipality must have a chance to present its revisions to the members before the vote

● All of the above membership votes constitute final action on the proposed revision; a proposal's failure to achieve an affirmative vote is not subject to further dispute resolution; if a proposal is rejected, the existing contract remains in effect

● Specifies that the above requirements are not prohibited labor practices under the Municipal Employees Relations Act or the School Board Teacher Negotiations Act

● EFFECTIVE DATE: Upon passage

163 — MUNICIPAL BINDING ARBITRATION

Requires random appointment of neutral arbitrators in municipal binding arbitration cases; gives arbitrators more time to issue decisions; requires parties to meet certain procedural deadlines (which may be mutually waived) within one year

● Allows the parties in municipal employee binding arbitration to mutually agree to have their case heard by a single neutral arbitrator randomly appointed from a panel of neutral arbitrators by the State Board of Mediation

● If the parties instead opt to have their case heard by a three-arbitrator panel (as required under current law), each side must select a panel member (as under current law); however, rather than having the two panel members mutually select the third member, the board must randomly appoint the third member from the neutral arbitrator panel.

● Requires the parties to file their last best offer statements and briefs on unresolved issues (two procedural steps in the arbitration process) within one year after (1) either party requested the State Board of Mediation and Arbitration's arbitration services or (2) the date the board imposed binding and final arbitration on them

● Requires arbitrators to issue their decisions within 60, rather than 20, days after the parties file their briefs on unresolved issues

● The law, unchanged by the bill, allows the parties to mutually modify, defer, or waive any deadlines in the arbitration process

● EFFECTIVE DATE: Upon passage

164 — EDUCATION ADMINISTRATIVE PERSONNEL CONTRACTS

Requires boards of education to file their administrative personnel contracts with their town clerks

Requires local boards of education to immediately file with their town clerk a signed copy of any contract for administrative personnel; the town clerk must post a copy of the contract on the town's website

● Requires regional boards of education to file copies of such contracts with the town clerks in each member town; the clerks must post copies of the contracts on their town's website

● EFFECTIVE DATE: Upon passage

165 — MUNICIPAL BUDGET RESERVES IN ARBITRATION

Establishes an irrebuttable presumption that a portion of a municipality's rainy day fund cannot be used to pay for arbitration awards

Establishes an irrebuttable presumption that a municipality's budget reserve of 15% or less is not available to pay the costs of any item subject to municipal binding arbitration

● EFFECTIVE DATE: Upon passage

166 & 167 — PREVAILING WAGE

Increases prevailing wage law thresholds for public works projects; exempts municipal elevator or roof work from prevailing wage requirements; temporarily exempts certain projects in New Haven County from prevailing wage requirements; applies prevailing wage requirements to certain DECD-funded projects

● Increases the prevailing wage law's thresholds from $400,000 to $1 million for new construction and from $100,000 to $500,000 for renovations (public works projects that cost more than the thresholds must pay prevailing wages to workers on the projects)

● Exempts any municipal elevator or roof work from prevailing wage requirements

● Exempts from prevailing wage requirements, between the bill's effective date and July 1, 2019, any public works project that are (1) for a New Haven County municipality that has a population between 12,000 and 13,000 and (2) funded in whole or in part by a $9 million - $12 million private bequest

● Applies prevailing wage requirements to private-sector new construction or renovation projects if DECD provided at least $1 million in financial assistance for the project on or after January 1, 2019

● EFFECTIVE DATE: October 1, 2017

168 — MEDICAID WAIVERS AND AMENDMENTS NOTIFICATION

Requires DSS to report annually on potential Medicaid waivers and changes to the Medicaid state plan that may result in cost savings and narrows a legislative notification requirement

● Requires the DSS commissioner, annually by December 15, to notify the Appropriations and Human Services committees of potential Medicaid waivers and amendments to the Medicaid state plan that may result in state cost savings

● Under current law, if in developing the next FY's budget, the commissioner considers applying for a federal waiver or submitting a proposed amendment to the federal government, he must notify the Appropriations and Human Services committees

● The bill (1) narrows this requirement to apply to Medicaid waivers and Medicaid state plan amendments and (2) requires the commissioner to notify the committees before he submits the budget for legislative approval

● Existing law, unchanged by the bill, requires the DSS commissioner to submit applications for waivers and waiver renewals to the Appropriations and Human Services committees for approval before submitting them to the federal government

● EFFECTIVE DATE: Upon passage

169 — SPECIAL TRANSPORTATION FUND (STF)

Removes the requirement that remaining STF funds, after first being used for other specified obligations, pay for DSS' transportation to work program

● Under current law, remaining STF funds must be applied to (1) general obligation bonds issued for transportation projects, (2) budget appropriations for DOT and DMV, (3) DESPP motor patrol work, (4) DEEP boating regulation and enforcement and (5) the DSS transportation for employment independence program

● Removes the requirement that remaining STF funds pay for DSS' transportation program

● EFFECTIVE DATE: Upon passage

170-172 — BIRTH-TO-THREE

Transfers administration of the Birth-to-Three program from OEC to SDE

● Transfers administration of the Birth-to-Three program from OEC to SDE

● Birth-to-Three provides mental health services to children eligible under the federal Individuals with Disabilities Education Act (IDEA) law

● EFFECTIVE DATE: Upon passage

173 — MEDICARE PART D FOR DUAL ELIGIBLES

Eliminates the requirement that DSS pay for any Medicare Part D prescription drug copayments for beneficiaries who are dually eligible for Medicare and Medicaid

● Eliminates requirement that DSS pay for any Medicare Part D prescription drug copayments for full benefit dual eligibles (i.e., Medicare beneficiaries who are also fully eligible for Medicaid)

● Under current law, DSS pays any costs that exceed $17 for any beneficiary in one month

● EFFECTIVE DATE: Upon passage

174 — MEDICAID PHARMACY REIMBURSEMENT

Eliminates statutory requirements and allows DSS to revise reimbursement methodology and professional dispensing fees

● Eliminates current statutory requirements for Medicaid reimbursement of prescription drugs and pharmacist professional fees

● Instead allows DSS, with OPM's approval, to revise the Medicaid reimbursement methodology and dispensing fees for covered outpatient drugs on or after April 1, 2017

● Eliminates a provision allowing DSS to provide an enhanced dispensing fee to a pharmacy enrolled in, or under contract to provide services under, the federal Office of Pharmacy Affairs Section 340B drug discount program (42 USC 256b)

● EFFECTIVE DATE: Upon passage

175-178 — MEDICAID AND SPECIAL EDUCATION

Requires each local and regional board of education to enroll as a Medicaid provider, participate in DSS's Medicaid School Based Child Health Program, and submit billable service information to DSS

● Requires each local and regional board of education, by July 1, 2017, to (1) enroll as a medical assistance (e.g., Medicaid) provider, (2) participate in DSS's Medicaid School Based Child Health (SBCH) Program, and (3) submit billable service information electronically to DSS or its billing agent

● Allows any local or regional board of education to enter into an agreement with a third-party vendor to comply with these requirements

● Allows such third-party vendor agreements to provide that costs for the above services be paid from, and contingent on receipt of sufficient funds from, grants DSS makes under current law to local and regional boards of education based on Medicaid claims for special education services provided to students in the school district

● Requires, rather than allows, local and regional boards of education to determine a child's Medicaid enrollment status

● Requires planning and placement teams to comply with federal parental consent and written notification requirements prior to billing for services under the SBCH Program

● Requires private schools, hospitals, or other institutions that provide special education instruction under an agreement with a local or regional board of education to submit to the board all documentation required to submit claims to the SBCH Program

● EFFECTIVE DATE: Upon passage

179 — LIMIT ON NON-EMERGENCY ADULT DENTAL SERVICES

Caps payment for nonemergency dental services for adults to $1000 per fiscal year

● Establishes a cap on DSS' payment for nonemergency dental services for adults at $1,000 per fiscal year per individual

● By law, covered services are subject to provisions on medical necessity

● EFFECTIVE DATE: Upon passage

180-203 & 973 — CITIZENS' ELECTION PROGRAM (CEP)

Repeals the CEP; requires that CEF funds be transferred to the General Fund

● Repeals the CEP—the state's voluntary public campaign financing system available to legislative and statewide office candidates

Makes numerous conforming changes, including eliminating the (1) Citizens' Election Fund (CEF) from which payments to candidates who participate in the program are made and (2) State Elections Enforcement Commission's duties related to the program

Requires that all CEF funds be transferred to the General Fund

● EFFECTIVE DATE: Upon passage

204-212 — CONTRIBUTION LIMITS

Increases the limit on contributions to exploratory committees from various contributors and to legislative office candidates from legislative caucus and legislative leadership committees

Increases, from $375 to $1,000, the limit on contributions to exploratory committees from the following sources: individuals, business PACs, labor PACs, party committees (state central and town), PACs organized for ongoing political purposes, and PACs organized for a single primary or election

Increases from $5,000 to $10,000 and from $10,000 to $20,000, the limit on contributions to candidates for state representative and state senator, respectively, from legislative caucus and legislative leadership committees

● EFFECTIVE DATE: Upon passage

213-215 — 7/7 BROWNFIELD REVITALIZATION PROGRAM

Authorizes a package of state and local tax incentives available to eligible owners for 14 years after remediating, redeveloping, and using formerly contaminated, abandoned, or underutilized property

● Qualifies eligible owners for certain tax credits and exemptions and a property tax assessment freeze during first seven years after an approved property's redevelopment

Qualifies eligible owners for a business or personal income tax deduction for eligible remediation expenses in years eight through 14 after the approved property was contaminated and remediated

Requires owners, among other things, to commit to train and hire local students to work at the redeveloped properties in order to be eligible for the program's benefits

● EFFECTIVE DATE: Upon passage an applicable to taxable or income years beginning on or after January 1, 2017

216-219 & 281 — JUDICIAL COMPENSATION

Delays by two years a 3% salary increase for judges and certain other judicial officials that took effect July 1, 2017 and requires the comptroller to recover the salary increase received by such officials from July 1, 2007 until the bill's passage

● Delays a previously scheduled 3% increase in salaries for judges and family support magistrates and per diem rates for family support referees and judge trial referees; the increases take effect July 1, 2019 rather than July 1, 2017 as under current law

● Similarly delays increases in (1) the additional compensation that certain judges receive for performing administrative duties and (2) the salary or per diem rate of certain officials (e.g., workers' compensation commissioners) whose compensation, by law, is tied to a Superior Court judge's salary or state referee's per-diem rate

● Requires the state comptroller, in collaboration with other state officials, to take such measures as he deems necessary to recover any salary increase received by judges or other specified officials from July 1, 2017 through the bill's passage and prohibits any such salary increase from being included in the computation of their retirement salary

● EFFECTIVE DATE: Upon passage

220-223 — EDUCATION GRANT CAPS

Makes permanent the caps on four education grants to school districts and regional education service centers (RESCs)

● Permanently caps four state education grants to school districts and regional education service centers (RESCs) (caps had expired on June 30, 2017):

health services for private school students (CGS 10-217a)

adult education programs (CGS 10-71)

bilingual education programs (CGS 10-17g)

RESC operations (CGS 10-66j)

● Requires that grants be proportionately reduced if the state budget appropriations do not cover the full amounts required by the statutory formulas

● Beginning with FY 18, does not appear to extend the local or regional board's eligibility to apply for bilingual grants

● EFFECTIVE DATE: Upon passage

224 — MAGNET SCHOOL GRANTS

Renews the mechanism to prioritize per-student grant payments for magnet school enrollment increases; allows RESC-operated magnets outside of the Sheff region to be eligible for a higher per student grant

● Renews SDE authority to prioritize funding for additional magnet school seats based on enrollment increases that result from adding planned new grade levels

● For FYs 18 and 19, requires SDE to consider a magnet school's enrollment as of October 1, 2013, October 1, 2015, or October 1, 2016, whichever is lower, as the base enrollment that SDE will fund (for FY 19, it is unclear whether enrollment in 2017 must be considered instead of 2016)

● Extends, for FYs 18 and 19, an authorization under which magnet school programs operating at less than full-time, but more than half-time, receive 65% of the normal grant

● Extends, for FYs 18 and 19, the Sheff region host magnet school per student grant ($13,054)

● Applies the Sheff region RESC magnet school per student grant amount ($10,443) to any RESC magnet school in the state that enrolls less than 60% of its students from Hartford

● Makes technical changes

● EFFECTIVE DATE: Upon passage

225 — BAN ON SHEFF HOST MAGNET SCHOOLS CHARGING TUITION TO SENDING DISTRICTS

Continues the existing ban on a Sheff region host magnet school charging tuition

● Continues, for the school years beginning July 1, 2017 and July 1, 2018, the prohibition on a Sheff host magnet school operator charging tuition to the school districts whose students attend the magnet school

● EFFECTIVE DATE: Upon passage

226 — DCF-LICENSED PRIVATE RESIDENTIAL TREATMENT FACILITIES

Suspends daily and other rate adjustments for FYs 18 and 19 for DCF-licensed private residential treatment facilities

● Freezes daily and other rate adjustments for DCF-licensed private residential treatment facilities in FYs 18 and 19

● EFFECTIVE DATE: Upon passage

227 — REDUCTIONS FOR MUNICIPAL HEALTH DEPARTMENTS AND HEALTH DISTRICTS

Requires DPH to reduce payments to municipal and district health departments in FY 18

● Requires DPH, on a pro rata basis, to reduce payments to municipal and district health departments by a total of $512,330 for FY 18

● Requires the reduced payments to be made on or after October 15, 2017

● By law, to qualify for such funding, among other requirements, (1) municipalities must have a full-time health department and a population of at least 50,000 and (2) health districts must have a total population of at least 50,000 or serve three or more municipalities

● EFFECTIVE DATE: Upon passage

228 — FEDERAL REIMBURSEMENT FOR DCF AND DSS PROGRAMS

Allows DSS and DCF, for FYs 18 and 19, to establish receivables to make payments before receiving reimbursement for federal programs

● For FYs 18 and 19, allows DSS and DCF to establish receivables, with OPM's approval and in compliance with any U.S. Department of Health and Human Services-approved advanced planning document, for anticipated reimbursement from approved projects

● Establishing receivables (i.e., an amount due from another source) which allows the agencies to make payments before being reimbursed

● EFFECTIVE DATE: Upon passage

229 — TEMPORARY FAMILY ASSISTANCE (TFA) AND STATE ADMINISTERED GENERAL ASSISTANCE (SAGA)

Extends the existing freeze on TFA and SAGA rates

● Extends for FYs 18 and 19 a freeze on payment standards (i.e., maximum benefit amounts) for DSS' TFA and SAGA cash assistance programs at FY 15 rates

● By law, TFA provides temporary cash assistance to families that meet certain income and asset limits

● In general, SAGA provides cash assistance to single or married adults who have very low incomes, do not qualify for other cash assistance programs, and who are considered “transitional” or “unemployable”

● EFFECTIVE DATE: Upon passage

230 — STATE SUPPLEMENT PROGRAM

Extends the freeze on SSP rates for FYs 18 and 19

● Extends the current freeze on State Supplement payment standards (i.e., maximum benefits) for the next two years (FYs 18 and 19)

● Current law generally requires the DSS commissioner to annually increase SSP payment standards based on the consumer price index within certain parameters

● EFFECTIVE DATE: Upon passage

231 — BOARDING HOMES

Caps, with exceptions, rates for certain boarding homes

● Generally caps rates paid by DSS for FYs 18 and 19 at FY 17 levels for room and board at private residential facilities and similar facilities operated by regional educational service centers that provide vocational or functional services for individuals with certain disabilities (non-ICF-ID boarding homes)

● Within available appropriations, allows these rates to exceed the FY 17 level for capital improvements made to these facilities that are approved by DDS, in consultation with DSS and made in FY 18 or FY 19 for residents' health and safety

● EFFECTIVE DATE: Upon passage

231-233 — RESIDENTIAL CARE HOMES, COMMUNITY LIVING ARRANGEMENTS, AND COMMUNITY COMPANION HOMES

Freezes rates for certain facilities through FY 19

● Freezes rates at FY 16 levels through FY 19 for residential care homes, community living arrangements, and community companion homes that receive a flat rate from DSS for residential services

● State regulations permit these facilities to have their rates determined on a flat rate basis rather than on the basis of submitted cost reports (Conn. Agency Reg. 17-311-54)

● EFFECTIVE DATE: Upon passage

234 — RESIDENTIAL CARE HOMES

Caps residential care home rates with certain exceptions

● Caps residential care home rates at FY 17 and FY 18 levels for FY 18 and FY 19, respectively, with an exception for residential care homes that receive certain proportional fair rent increases

● Allows DSS to provide the rate increases within available appropriations to homes with documented fair rent additions (1) placed in service in the cost report years ending September 30, 2016, and September 30, 2017, respectively and (2) that are not otherwise included in their rates

● EFFECTIVE DATE: Upon passage

235 & 236 — NURSING HOMES

Reverses a recent rate decrease, generally limits changes to FY 18 and FY 19 rates, and makes other changes

● Eliminates a requirement that DSS issue a lower rate for FYs 16 and 17 to nursing homes that, but for the current rate freeze, would have received a lower rate due to a change in allowable fair rent

● For FY 18, reverses a recent rate decrease that affected facilities that had a fair rent asset expire in 2015

● For FY 18, requires DSS to determine facility rates based on 2016 cost report filings as required by state law and regulations, as long as the facility's rate is neither higher than, nor more than 2% lower than, rates in effect on December 31, 2016

● For FY 19, caps nursing home rates at FY 18 levels, but allows DSS to pay a higher rate if the DSS commissioner provides proportional fair rent increases

● Such increases may include, at the commissioner's discretion, increases for facilities that had a change in fair rent additions or moveable equipment placed in service in the cost report year ending September 30, 2017 and not otherwise included in their rates

● Under current law, when DSS computes a facility's rates, it divides the facility's allowable costs by the facility occupancy at 95% of licensed capacity so that homes with more empty beds receive lower rates than higher occupancy homes

● Lowers the licensed capacity used to calculate occupancy from 95% to 90% for FY 14 and succeeding fiscal years

● EFFECTIVE DATE: Upon passage

237 — INTERMEDIATE CARE FACILITIES FOR INDIVIDUALS WITH INTELLECTUAL DISABILITIES

Caps rates for ICF-IDs at FY 17 levels for FYs 18 and 19, with certain exceptions

● Caps rates for ICF-IDs for FYs 18 and 19 at FY 17 levels

● Allows the state to pay a higher rate, within available appropriations, to facilities that make a capital improvement, approved by DDS in consultation with DSS, for residents' health or safety during FYs 18 or 19.

● Extends, through FYs 18 and 19, a provision allowing the DSS commissioner to provide fair rent increases to facilities that (1) have an approved certificate of need and (2) undergo a material change in circumstance related to fair rent

● EFFECTIVE DATE: Upon passage

238 — RETIRED TEACHERS HEALTH INSURANCE

Reduces state payments for FYs 18 and 19 to the Teachers' Retirement Board (TRB) for costs of retiree health plans offered by (1) the TRB and (2) by local or regional boards of education

● Supersedes the law that requires the state to pay one-third of the premium for the basic TRB health plan for retired teachers enrolled in Medicare Parts A and B and instead requires the state to pay only the amount appropriated for FYs 18 and 19

● Supersedes the law that requires the state to pay one-third of the subsidy to local boards of education that provide retiree health insurance to those who are not enrolled in Medicare Parts A and B and instead requires the state to pay only the amount appropriated for FYs 18 and 19

● Requires the retired teachers' health insurance premium account to make up the difference for both of these health plans for FYs 18 and 19

Under current law, annual premiums for the basic TRB health plan are split among the General Fund, the retired teacher, and the retired teachers' health insurance premium account

Under current law, TRB provides a monthly subsidy to local school boards to offset retired teachers' local plan premiums and the General Fund pays one-third of the subsidy and the retired teachers' health insurance account pays two-thirds

● EFFECTIVE DATE: Upon passage

239 & 133 — MEDICARE SAVINGS PROGRAM (MSP)

Reduces income eligibility for the Medicare Savings Program

Lowers income eligibility for all three MSP tiers (as shown in table below) and makes conforming changes

Table: MSP Eligibility Changes

MSP

Program Tier

Cost-Sharing Payments Covered

Current Law

Under the Bill

Income Limit (% FPL)

Annual Income Limit (Individual)

Income Limit (% FPL)

Annual Income Limit (Individual)

Qualified Medicare Beneficiary Program (QMB)

Medicare Part B Premium

All Medicare deductibles

Co-insurance

Less than 211%

$25,447

Less than 100%

$12,060

Specified Low-Income Medicare Beneficiary Program (SLMB)

Medicare Part B Premium

211%-231%

$27,859

100% to 120%

$14,472

Qualified Individual (QI)

Medicare Part B Premium

231%-246%

$29,668

120% to 135%

$16,281


● EFFECTIVE DATE: January 1, 2018

240 — OFFICE OF STATE BROADBAND

Eliminates the Office of State Broadband

● Eliminates the Office of State Broadband within the Office of Consumer Counsel (OCC)

● Eliminates OCC's explicit authority to collaborate with towns and private corporations to expand broadband access in the state

● Under current law, the broadband office must (1) work to facilitate broadband's availability to every state citizen and (2) increase access to, and the adoption of, ultra-high-speed gigabit capable broadband networks

● EFFECTIVE DATE: Upon passage

241 — EVALUATING TRANSPORTATION PROJECTS

Exempts from certain evaluation requirements certain projects that the DOT commissioner determines are necessary to maintain the state's infrastructure

● PA 17-192 requires the transportation commissioner to develop, and get legislative approval for, a method to evaluate “transportation projects,” and use the method to evaluate the projects before asking the legislature to fund them

● Under the act, a transportation project includes a transportation planning or capital project, begun by the state after July 1, 2018, that (1) is estimated to cost more than $150 million or (2) expands capacity on a limited access highway, transit or railroad system, or parking facility

● The bill excludes from the definition of “transportation project” and therefore from PA 17-192's evaluation requirements, any project that (1) the transportation commissioner determines is needed to maintain the state's infrastructure in good repair and (2) is estimated to cost less than $150 million

● EFFECTIVE DATE: Upon passage

242 — DAS CANDIDATE LISTS

Allows DAS to extend candidate lists through the end of 2018

● Allows the DAS commissioner to continue or extend, through the end of 2018, any candidate lists scheduled to expire on or after June 7, 2017

● By law, positions in the state employee classified service must be filled from a list of qualified people, known as a candidate list; under current law, candidate lists must generally remain in force for a period of at least three months, but not more than one year, unless the DAS commissioner grants an exception under certain circumstances

● EFFECTIVE DATE: Upon passage

243 — OFFICE OF HEALTH STRATEGY

Establishes an Office of Health Strategy

● Establishes an Office of Health Strategy (OHS) as of July 1, 2018, led by an executive director appointed by the governor

● Office is within DPH for administrative purposes only

Office's duties include:

developing and implementing a comprehensive health care vision for the state, including a coordinated cost containment strategy;

overseeing the all-payer claims database (office serves as successor to Access Health CT for this purpose);

overseeing the State Innovation Model (SIM) initiative;

coordinating the state's health information technology initiatives;

overseeing the Office of Health Care Access;

convening meetings with government and external stakeholders to discuss health care issues to develop health care cost and quality strategies; and

serving as a successor to the lieutenant governor's office as to certain other health policy-related duties

EFFECTIVE DATE: July 1, 2018

244 & 245 — DEFICIT MITIGATION

Lowers the projected budget deficit threshold, from 1% to 0.5% of total General Fund appropriations, at which the governor (1) must submit a deficit mitigation plan and (2) may require that certain monies be transferred to the General Fund

● Lowers the projected budget deficit threshold, from 1% to 0.5% of total General Fund appropriations, that triggers certain deficit mitigation actions by the governor

● Specifically, when the comptroller's cumulative monthly financial statement projects a current year deficit of more than 0.5% of General Fund appropriations, (1) requires the governor, within 30 days, to submit a deficit mitigation plan to the Appropriations and Finance, Revenue and Bonding committees and (2) authorizes the governor to reduce allotments

● Similarly, effective July 1, 2019, as part of the deficit mitigation plan, authorizes the governor to direct the treasurer to transfer money in the Restricted Grants Fund (RGF) to the General Fund when the comptroller projects a budget deficit of 0.5% of General Fund appropriations

● EFFECTIVE DATE: Upon passage, except that the provision on transferring RGF funds is effective July 1, 2019

246 — MUNICIPAL VOLUNTEERS

Prohibits new municipal collective bargaining agreements from limiting a town's ability to have volunteers provide services for the town

● Prohibits any municipal employee union contracts entered into on or after the bill becomes effective from containing any provisions that limit the municipality's ability to allow volunteer services for the municipality's benefit

● EFFECTIVE DATE: Upon passage

247 — SUPERMAJORITY VOTE REQUIRED FOR CERTAIN MANDATES

Prohibits the legislature from adopting a public act that imposes an unfunded state mandate on a political subdivision unless approved by a supermajority

Prohibits legislature from adopting a public act that imposes an unfunded state mandate on a political subdivision unless the act receives the approval of at least two-thirds of the membership in each house of the legislature

Based on the principle of legislative entrenchment, it is unclear whether this provision is enforceable against future legislatures

Legislative entrenchment refers to one legislature restricting a future legislature's ability to enact legislation.

The Connecticut Supreme Court has held that a legislature cannot statutorily restrict a future legislature's ability to enact legislation (Patterson v. Dempsey, 152 Conn. 431 (1965))

● EFFECTIVE DATE: Upon passage

248 — MUNICIPAL EDUCATION BUDGET REDUCTIONS

Allows a municipality to reduce its non-educational expenses by the same amount as its reduced municipal aid without holding a referendum

● Allows a municipality that has adopted a FY 18 budget to reduce, without holding a referendum, the non-educational expenses component of its education budget by the amount of any reduction in municipal aid from FY 17 to FY 18

● The bill does not define “non-educational expenses”

● EFFECTIVE DATE: Upon passage

249 — PURCHASING PROCEDURES APPLICABLE TO LOCAL BOARDS OF EDUCATION

Requires school boards to use and comply with any local purchasing procedures

● Requires each local board of education to use, and comply with, all purchasing procedures used by the municipality where the board is located

● Applies regardless of any conflicting special act, municipal charter, or home rule ordinance

● EFFECTIVE DATE: Upon passage

250 — MUNICIPAL COLLABORATION WITH BOARDS OF EDUCATION

Requires, when possible, local boards of education to collaborate with their municipalities to jointly purchase property, casualty, and workers' compensation insurance

● Requires local boards of education and their host municipalities to consult with each other, when possible, about consolidating to jointly purchase property, casualty, and workers' compensation insurance

● EFFECTIVE DATE: Upon passage

251 — CONSULTATION CONCERNING SHARED MAINTENANCE RESPONSIBILITY

Requires school boards to consult with their local appropriating authority before authorizing the authority to share responsibility for certain maintenance tasks

● Requires each local board of education to consult with the local appropriating authority (e.g., the board of finance or board of selectmen) before authorizing that authority to share responsibility for the board's maintenance of buildings, grounds, equipment, or information technology

● Applies regardless of any conflicting special act, municipal charter, or home rule ordinance

● EFFECTIVE DATE: Upon passage

252 — LOCAL BUDGET AND TAX ADJUSTMENTS

Authorizes municipalities and regional boards of education to amend adopted budgets and adjust tax levies to reflect inaccurate state aid projections

Authorizes municipalities and regional boards of education that adopted a budget or levied taxes for FY 18 before the state adopted its budget to make changes to their budgets and levies if the amount of state aid provided in the state's budget differs from the amount the board or municipality projected by more than $500,000

Municipalities and boards may amend their budgets in the same manner the budget was originally adopted, in an amount not exceeding the increase in state aid to the board or municipality

By January 1, 2018, municipalities and boards may adjust tax levies and any remaining tax installments

By January 1, 2018, municipalities that collect taxes in a single installment may also issue supplemental bills reflecting the repeal of the motor vehicle mill rate cap (i.e., adjustments reflecting an increased mill rate for motor vehicles and the termination of motor vehicle property tax grants)

Authorization applies regardless of conflicting (1) statutes affecting education and boards of education, municipalities, and property tax levy and collection (including the provisions concerning installments); (2) special acts; or (3) municipal charters or home rule ordinances

“Municipalities” covered by the bill's authorization are any towns, cities, boroughs, consolidated towns and cities, and consolidated towns and boroughs

● EFFECTIVE DATE: Upon passage

253 – GENERAL FUND SAVINGS

Requires the governor to achieve savings by (1) eliminating certain agency positions and deputy secretary positions and (2) consolidating all agency human resource functions into DAS

● Requires the governor to achieve General Fund savings of $19,472,184 in FY 18 and $24,042,877 in FY 19 by doing the following with respect to executive branch agencies:

eliminating agency deputy secretary positions,

consolidating human resource functions into DAS,

eliminating all filled executive assistant positions, and

reducing filled executive secretary communications positions

● EFFECTIVE DATE: Upon passage

254 – RESULTS FIRST PILOT PROGRAM

Requires the OPM secretary to create a pilot program that applies Pew-MacArthur Results First principles to at least 10 state-financed grant programs

● Requires the OPM secretary, by January 1, 2018, to create a pilot program that applies Pew-MacArthur Results First principles (i.e., a cost-benefit analysis approach), with the goal of promoting cost-effective state policies and programming, to at least 10 state-financed grant programs he selects

● The grant programs must include those that provide services to families, employment programs, and at least one contracting program provided by a state agency with an annual budget of greater than $200 million

● Requires the OPM secretary, by April 1, 2018, to submit a report to the Appropriations Committee on which grant programs he included in the pilot program, the pilot program's status, and any recommendations

● EFFECTIVE DATE: Upon passage

255 — UCONN HEALTH CENTER PUBLIC-PRIVATE PARTNERSHIPS

Requires UConn Health Center to seek to establish public-private partnerships and report to certain legislative committees on their status by April 1, 2018

● Requires the UConn Health Center board of directors to seek to enter into public-private partnerships with hospitals or other private entities the board selects

● Requires the board to report, by April 1, 2018, to the Higher Education, Public Health, and Appropriations committees on the status of the partnerships and any recommended legislation

● EFFECTIVE DATE: Upon passage

256 & 973 — STATE BUILDING WORKS OF ART

Eliminates the (1) requirement that the state bond commission, when allocating bonds for state building construction, reconstruction, or remodeling, include funds for works of art and (2) the state building works of art account within the General Fund and its maintenance subaccount

● Repeals the requirement that the state bond commission allocate at least 1% of bond proceeds for the construction, reconstruction, and remodeling of state buildings for art works

● Removes DECD's authority to reimburse artists that create art for certain DECD proposals for development

● Eliminates the state building works of art account within the General Fund and its maintenance subaccount

● Eliminates (1) DECD's responsibility for selecting artists and reviewing certain art designs and placements and (2) DAS's responsibility to contract with such artists and adopt regulations to implement the law

● EFFECTIVE DATE: Upon passage

257 — PRISON HEALTH CARE

Requires OPM secretary to issue an RFP for the provision of health care to prison inmates

● Requires the OPM secretary, by December 1, 2017, to issue an RFP for the provision of health care and behavioral health care services to prison inmates; any such proposal must be submitted to OPM by February 1, 2018

● Requires the secretary, if he determines that contracting with a new provider will lead to cost savings, to enter such a contract by July 1, 2018

● Currently, UConn's Correctional Managed Health Care division provides such services to inmates, under a memorandum of agreement with DOC

● EFFECTIVE DATE: Upon passage

258-263 — CONTRACTING EXEMPTIONS FOR UCONN AND UCONN HEALTH CENTER

Exempts UConn and the UConn Health Center (UCHC) from several state contracting requirements

● On and after January 1, 2018, exempts UConn and UCHC from competitive bidding and negotiation requirements applicable to personal services agreements and contracts for purchasing equipment, supplies, or contractual services

Requires UConn and UCHC to establish, by January 1, 2018, policies and guidelines that establish (1) an alternative competitive bidding and negotiation process and (2) a cost-benefit analysis and contracting process that eliminates or transfers institutional activities to government or private entities

Specifies that UConn and UCHC are subject to audit by the state auditors in accordance with these policies and guidelines (it is unclear how this provision interacts with the auditors' existing authority to audit the books and accounts of all state agencies (CGS 2-90)

Requires UConn and UCHC, beginning by January 1, 2019, to annually report to the Appropriations and Higher Education and Employment Advancement committees on the adopted policies and guidelines and any expenditures and revenues they generate

● Removes UConn from the State Contracting Standards Board's (SCSB) jurisdiction (under current law, the board has authority over UConn only with respect to the state law on privatizing services)

Similarly eliminates a requirement that the board adopt regulations applying the provisions of certain SCSB-related statutes to UConn

● Eliminates a requirement that UConn post, on the State Contracting Portal, all of its bids, requests for proposals, and resulting contracts and agreements

EFFECTIVE DATE: Upon passage, except sections that make conforming changes to existing laws that currently subject UConn and UCHC to competitive bidding and negotiation requirements and SCSB jurisdiction are effective January 1, 2018

264 — MUNICIPAL CONSULTATION REQUIRED FOR BOARD OF EDUCATION LEASES

Prohibits a municipality's local board of education from leasing certain items unless it first consults with the municipality's legislative body

● Prohibits a municipality's local board of education from leasing certain items unless it first consults with the municipality's legislative body

● Applies to leases for portable classrooms, motor vehicles or equipment, including phone systems, computers, and copy machines

● EFFECTIVE DATE: October 1, 2017

265 — REQUIRED CONSULTATION FOR REGIONAL SHARING OF BOARD OF EDUCATION PAYROLL SOFTWARE

Requires a Board of Education to consult with its municipal legislative body prior to purchasing payroll software

● Requires a municipality's local board of education to consult with its legislative body before purchasing payroll processing or accounts payable software to determine whether such systems may be purchased or shared regionally

● EFFECTIVE DATE: October 1, 2017

266 — JUDGE SALARY WITHHOLDINGS

Increases, from 5% to 8%, the amount that must be withheld from judges', family support magistrates', and compensation commissioners' salaries and deposited into the Judge's Retirement Fund.

● Increases, from 5% to 8%, the amount deducted and withheld from salaries of judges, family support magistrates, and compensation commissioners

● As under existing law, the deducted funds must be deposited in the Judge's Retirement Fund

● EFFECTIVE DATE: Upon passage

267 — STATE AGENCY AFFIRMATIVE ACTION PLANS

Allows agencies to use an alternative method for complying with affirmative action plan requirements

Existing law requires each state agency, department, board, and commission (i.e., “state agency”) with 25 or more full-time employees to submit an affirmative action plan to the Commission on Human Rights and Opportunities (CHRO)

● Currently, agencies must develop and implement a plan in cooperation with CHRO and pursuant to its regulations

As an alternative, the bill allows agencies that are required to maintain a federal affirmative action or equal employment opportunity plan to submit the plan or report to CHRO to satisfy the state affirmative action plan requirement

Upon receiving the federal plan or report from the agency, CHRO must deem the plan or report approved as long as it complies with the requirements of the federal agency that monitors the state agency's compliance

The bill also lets an agency satisfy the state affirmative action plan requirement by submitting to CHRO an affirmative action plan that complies with, and uses a form prescribed by, federal regulations for plans submitted by certain federal goods and services contractors (41 CFR 60-2). Such a plan's compliance with federal regulations is subject to CHRO's review and approval

The bill requires the CHRO executive director to establish a schedule for agencies to file their plans or reports, taking into account how often the agencies must submit their reports to the respective federal agencies. But no state agency that complies with federal agency requirements is required to file more frequently than it would otherwise be required to file a state affirmative action plan

● EFFECTIVE DATE: Upon passage

268-279 — CRUMBLING CONCRETE FOUNDATIONS

Creates a framework to assist homeowners with crumbling concrete foundations due to the presence of pyrrhotite

Creates the Crumbling Foundations Assistance Fund and the Crumbling Foundations Voluntary Assistance Fund, both of which are used by the Crumbling Foundation Assistance program to provide financial assistance (i.e., grants) to homeowners with crumbling concrete foundations

Requires homeowners receiving money from the program to indemnify insurers who contributed money to the Voluntary Assistance Fund up to the amount of the insurer's contribution

Establishes the Office of the Executive Administrator of the Crumbling Foundations Assistance program within the governor's office to administer the program

Prohibits, with certain exceptions, disclosure or use of names and information on individuals applying for or receiving assistance from the program

Creates the Collapsing Foundations Interest Rate Reduction program, administered by DCP, which provides interest rate subsidies for homeowners who have difficulty getting loans to fix crumbling concrete foundations

● Requires the DEEP commissioner to report, by January 1, 2018, to the Planning and Development Committee on any methods used by government entities to determine acceptable pyrrhotite levels for residential concrete

● Requires (1) a municipality to waive the building permit application fee for repairing or replacing a crumbling concrete foundation and (2) the State Building Inspector to waive the education fee on any building permit application for repairing or replacing a crumbling concrete foundation

● Establishes a training program for contractors repairing or replacing these foundations

Adds to the residential property condition disclosure report a (1) recommendation that the prospective purchaser have any concrete foundation inspected by a state licensed structural engineer for deterioration and the presence of pyrrhotite and (2) question as to whether the seller has knowledge of any testing or repairs related to the property's foundation

Requires insurers, when issuing, renewing, amending, or endorsing a homeowners insurance policy, to provide a copy of the policy to the mortgage holder

● Tolls the contractual period for which the insured may sue a personal risk or master policy (e.g., condominium) insurer until the insured receives written notice of a claim denial and requires the insurer to include in the notice the specific date on which the limitation period expires or reference the relevant policy provisions

● Allows taxpayers to reduce their state adjusted gross income by the amount of any donation to the Crumbling Foundations Assistance Fund

● Prohibits the use of recycled material containing pyrrhotite to make structural concrete for residential or commercial construction and makes doing so punishable under the Connecticut Unfair Trade Practices Act (CUTPA)

● Requires DCP to form a working group to develop a model quality control plan for quarries and submit the plan to the Planning and Development Committee by February 1, 2018

● EFFECTIVE DATE: Upon passage

280 — PUBLIC HEARINGS ON AUDITS

Generally requires legislative committees to hold public hearings on the auditor reports of agencies under their cognizance

● Generally requires any legislative joint standing committee with cognizance over a state agency that is subject to a state auditors' report to hold a public hearing on the report within 180 days after the auditors submit it to the legislature

● The hearing must be held jointly with the Government Administration and Elections Committee

● But committee chairpersons may choose not to hold a hearing if (1) the report contains no statutory or regulatory violations by the agency, (2) the report makes only minor or technical recommendations, or (3) they determine it does not otherwise need a hearing

● EFFECTIVE DATE: October 1, 2017

282-284 — PASSPORT TO THE STATE PARKS AND FORESTS

Establishes a supplemental fee on motor vehicle registrations to pay staff expenses for managing and operating state parks and forests

● Adds a $10 fee to biennial motor vehicle registrations and a $5 fee to annual ones

● Applies fees to the following vehicles: passenger motor vehicles, motorcycles, motor homes, trucks, and passenger vans

● Requires DMV to transfer the fees to the DRS commissioner, who must deposit them into the “passport to the state parks and forests” account, which the bill establishes as a separate, nonlapsing General Fund account

● Exempts individuals who pay the new fee from paying for parking at state parks

● Requires certain revenue derived from state parks, forests, and recreational facilities to be deposited in the new account instead of the General Fund

● Requires DEEP to use the account for personal services expenditures related to managing and operating state parks and forests

● EFFECTIVE DATE: Upon passage

285-309 — MUNICIPAL ACCOUNTABILITY REVIEW BOARD AND TIER DESIGNATIONS

Provides an alternative process through which financially distressed municipalities may use statutory methods to issue deficit bonds if they submit to state fiscal oversight by a Municipal Accountability Review Board the bill establishes

● Allows municipalities meeting a broader range of financial distressed criteria to issue deficit bonds based on the bill's alternative four-tier classification system, with tier IV representing the most financially distressed tier (the current two-tier classification system is mostly based on a municipality's capacity to issue bonds on favorable terms and conditions)

● Establishes the Municipal Accountability Review Board (MARB) to provide fiscal oversight and managerial oversight and requires it to have an equal number of municipal union representatives and state and local officials

● Subjects designated municipalities to varying degrees of state fiscal oversight and managerial control (e.g., review, comment on, and finances, and, for designated tiers III and IV, approval of annual budgets, bond issuances, and labor agreements)

● Specifies conditions that must be met before a municipality's designation may be changed

● EFFECTIVE DATE: Upon passage

310 — MUNICIPAL APPROVAL OF COLLECTIVE BARGAINING AGREEMENTS AND ARBITRATION AWARDS

Requires municipal legislative bodies to affirmatively vote in order to approve municipal employee union contracts; revises the process that occurs after a municipality rejects a contract or an arbitration award

● Requires municipal legislative bodies to affirmatively vote to approve municipal employee union contracts; (under current law, a contract is deemed approved if the legislative body fails to approve or reject it; by law, municipal legislative bodies may reject union contracts through a majority vote and arbitration awards through a two-thirds majority vote)

● For contracts rejected by the legislative body, requires arbitration, rather than further negotiating, as follows: a rejected contract goes to arbitration and the subsequent award must be submitted to the legislative body; if rejected, the award goes to further arbitration; an award from this further arbitration is automatically deemed approved by the legislative body

● Requires a rejected arbitration award to return to arbitration; an award from a subsequent arbitration is automatically deemed approved by legislative body (it appears this provision overlaps with a similar, but more detailed, process already in existing law (CGS 7-473c))

● EFFECTIVE DATE: October 1, 2017

311 — TAX REVENUE FOR MUNICIPAL SERVICES TASK FORCE

Creates a task force to study the spending of tax revenue for municipal governments' services

● Creates a 14-member task force to study the spending of tax revenue for the provision of local services by municipal governments

● Members include (1) the Finance and Planning and Development committee chairpersons and ranking members or their designees and (2) six legislative appointees

● Requires the task force to report by April 1, 2018

● EFFECTIVE DATE: Upon passage

312 — SEPARATES DEEP INTO DEP AND PURA

Establishes the Department of Environmental Protection and the Public Utilities Regulatory Authority as separate agencies

● Renames the Department of Energy and Environmental Protection (DEEP) as the Department of Environmental Protection (DEP) and establishes the Public Utilities Regulatory Authority (PURA) as its own authority separate from DEP

● Delegates DEEP's current energy policy goals to PURA, including (1) increasing the use of clean energy and technologies that support clean energy and (2) developing the state's energy-related economy

● Makes the current head of DEEP the head of DEP

● Makes the current chairperson of PURA under DEEP the head of the new PURA agency

● Authorizes the Legislative Commissioners' Office to make the statutory language changes necessary to carry out this agency separation

● EFFECTIVE DATE: Upon passage

313 — IMPAIRMENT OF STATE CONTRACTS

Specifies the circumstances under which state legislation may impair state contracts

● Specifies that the state may modify its contracts through legislation if (1) the impairment of the contract is insubstantial or, (2) if the impairment is substantial, the legislation serves a legitimate public purpose and the means to accomplish it are reasonable and necessary

● Specifies that an impairment is reasonable and necessary if (1) the state considered it with other policy alternatives and reasonably determined that it could not serve its purposes as well with an evident and more moderate course of action and (2) the action is not unreasonable in light of the surrounding circumstances

● It appears that the above provisions have no legal effect. Although they generally codify federal court decisions regarding when a state may enact laws impairing its contracts, these decisions are the federal courts' interpretations of the U.S. Constitution's Contracts Clause and state laws cannot dictate how courts must interpret the Constitution

● EFFECTIVE DATE: Upon passage

314 — STATE EMPLOYEE ARBITRATION

Defines the state's “ability to pay” in arbitration proceedings

● Requires arbitrators considering the state's ability to pay in arbitration proceedings to consider the state's: (1) fiscal health; (2) Budget Reserve Fund balance; (3) long and short-term liabilities, including the ability to meet minimum funding levels required by law, contract, or court order; (4) initial budgeted revenue vs. actual revenue received for the last five fiscal years; (5) revenue projections; (6) economic outlook; and (7) access to capital markets

● Prohibits arbitrators, in considering the state's ability to pay, from taking into account the state's ability to impose new or increase existing taxes

● Specifies that this provision preempts any conflicting provisions in state employee contracts

● Specifies that the above provisions may only be modified through a two-thirds majority vote of each legislative chamber

It is unclear whether this provision is enforceable on future legislatures under the concept of “legislative entrenchment.” This refers to one legislature restricting a future legislature's ability to enact legislation. For example, CGS 2-35 previously prohibited appropriations bills from containing general legislation. This provision has since been repealed. In Patterson v. Dempsey, 152 Conn. 431 (1965), the Connecticut Supreme Court held that this provision of CGS 2-35 was unenforceable, writing that, “to hold otherwise would be to hold that one General Assembly could effectively control the enactment of legislation by a subsequent General Assembly. This obviously is not true, except where vested rights, protected by the constitution, have accrued under the earlier act. ”

● EFFECTIVE DATE: Upon passage

315 — LEGISLATIVE APPROVAL OF CONTRACTS

Requires the legislature to affirmatively vote in order to approve state employee union contracts and arbitration awards; revises the process that occurs after the legislature rejects an agreement or award

● Requires the legislature to affirmatively vote in order to approve state employee union contracts and specifies that the requirement may only be repealed or amended with a two-thirds majority vote

It is unclear whether the requirement for a two-thirds majority vote to repeal or amend this provision is enforceable on future legislatures under the concept of “legislative entrenchment” (see 314)

● Requires arbitration, rather than further negotiating, for contracts and awards rejected by the legislature as follows:

a rejected arbitration award must return to arbitration; an award from a subsequent arbitration is automatically deemed approved by the legislature

a rejected contract goes to arbitration and the subsequent award must be submitted to the legislature; if rejected, the award goes to further arbitration; an award from this further arbitration is automatically deemed approved by the legislature

● The above provisions (except the requirement for a two-thirds vote to repeal or amend the need to affirmatively vote) are duplicated in section 156 of the bill

● EFFECTIVE DATE: Upon passage

316-320 — LIMITS ON FUTURE SEBAC CONTRACTS

Limits certain provisions of future SEBAC Agreements

● Starting on June 30, 2027, prohibits SEBAC agreements and arbitration awards from (1) lasting for more than four years (this provision is repeated in 160 of the bill), (2) including any COLAs, or (3) including overtime pay in pension calculations

● Specifies that these provisions supersede conflicting contract provisions and may only be repealed or amended with a two-thirds majority vote

It is unclear whether the requirement for a two-thirds vote to repeal or amend this provision is enforceable on future legislatures under the concept of “legislative entrenchment” (see 314)

● Requires the Retirement Commission to (1) prepare a valuation to reflect the above changes, (2) re-determine the pension system's normal cost and unfunded liability, and (3) include the results when it must certify to the legislature, by December 1, 2017, the amount needed to maintain the pension system

● EFFECTIVE DATE: Upon passage

321 — TEACHERS' RETIREMENT SYSTEM (TRS) VIABILITY COMMISSION

Establishes a commission to develop and implement a plan to maintain TRS' financial viability

● Establishes the TRS Viability Commission and charges it with developing and implementing a plan to maintain TRS' financial viability; membership consists of the Teachers' Retirement Board members and a global consulting firm with significant experience and expertise in human resources, talent development, and health and retirement benefits and investments

● Requires the commission, in developing the plan, to give significance to the state's financial capability, which includes the state's (1) fiscal health; (2) Budget Reserve Fund balance; (3) long and short-term liabilities, including the ability to meet minimum funding levels required by law, contract, or court order; (4) initial budgeted revenue vs. actual revenue received for the last five fiscal years; (5) revenue projections; (6) economic outlook; and (7) access to capital markets

● Specifies that the state's financial capability does not include its ability to raise revenue through new or increased taxes

● Requires the commission to hold at least one public hearing and solicit input from TRS members in developing the plan

● Requires OPM to contract with a global consulting firm to serve on the commission; if OPM does not do so within 60 days after the bill's passage, OLM must contract with such a firm

● OPM (or OLM) must select and contract with the consulting firm by soliciting bids from at least four candidates; the contract is not considered a personal service agreement under state law and is not subject to state purchasing laws or laws under the State Contracting Standards Board's jurisdiction

● If OPM contracts with a firm, then the governor must transfer to OPM any funds appropriated to OLM for the contract, with the approval of the Finance Advisory Committee; if OLM contracts with a firm, then the funds appropriated to OLM for this purpose must be retained by OLM

● Allows the state to accept gifts, grants, and donations for purposes of contracting with the consulting firm; however, it may not accept them from any candidate that also submits a bid for the contract

● Requires the commission to submit the plan and any proposed legislation to the Appropriations and Education committees within 90 days after a contract is entered into with the consulting firm

● Terminates the commission within one year after it submits its plan

● EFFECTIVE DATE: Upon passage

322 — TRS ACTUARIAL VALUATION

Requires valuation annually, rather than biennially

● Requires the Teachers' Retirement Board to have prepared an actuarial valuation of TRS as of the date the bill is enacted and annually, rather than biennially, after that

● EFFECTIVE DATE: Upon passage

323 — STATE SUSTAINABILITY PLAN

Requires OPM or OLM to contract with a professional services adviser to develop and implement a state Sustainability Plan

● Requires OPM to contract with an independent financial and operational global professional services adviser to help (1) OPM develop and implement a long term fiscal and operational plan for the state (“Sustainability Plan”) and (2) the legislature develop guidelines for authorizing general budget expenditures; if OPM does not contract with an adviser within 60 days after the bill is enacted, OLM must do so under OPM's direction

● OPM (or OLM) must select and contract with the adviser by soliciting bids from at least four candidates; the contract is not considered a personal service agreement under state law and is not subject to state purchasing laws or laws under the State Contracting Standards Board's jurisdiction.

● If OPM contracts with an adviser, then the governor must transfer to OPM any funds appropriated to OLM for the contract, with the approval of the Finance Advisory Committee; if OLM contracts with an adviser, then the funds appropriated to OLM for this purpose must be retained by OLM

● Allows the state to accept gifts, grants, and donations for purposes of contracting with the adviser; however, it may not accept them from any candidate that also submits a bid for the contract

● Requires the plan's goals to be to ensure the state's continued ability to provide essential services, promote economic growth, and meet long-term obligations; the plan must be based on five-year projections of state revenues and expenses and include a comprehensive capital budget for the state based on an inventory of all capital assets owned by the state

● Allows the plan to include the establishment of a public-private partnership to ensure John Dempsey Hospital's and UCHC's financial viability

● Requires the advisor to submit the plan and any proposed legislation to the legislature within 90 days after it contracts for the assignment

● Within 30 days after the advisor files the plan with the legislature, the legislature may approve it by a majority vote of each house, or reject it by a majority vote of either house; however, the plan is deemed approved if the legislature takes no action on it within 30 days; rejected plans must be revised and resubmitted to the legislature

● Once a plan is approved, OPM must submit quarterly status reports to the Appropriations and Finance, Revenue, and Bonding committees; the committees must hold joint meetings for the first two reports to inform the public of the status of the plan's implementation

● EFFECTIVE DATE: Upon passage

324 — BOND CAP

Establishes a $2 billion total bond cap starting July 1, 2017

● Caps at $2 billion the amount the State Bond Commission may authorize to be issued (i.e., allocate) in any fiscal year

● 92 of the bill also establishes a $2 billion bond cap, but bases it on calendar years and annually adjusts it for inflation

● EFFECTIVE DATE: Upon passage

325 — COMPTROLLER REPORTS ON SEBAC SAVINGS

Requires the comptroller to determine the savings realized through the 2017 SEBAC Agreement and related contracts

● Requires the comptroller to annually report, for FY 18 through FY 27, on the labor management savings realized by the state during the previous fiscal year due to the 2017 SEBAC Agreement and its related bargaining unit contracts

● Requires the governor, if the annual savings are less than the labor management savings in the budget, to take immediate action to recover any unrealized savings for the previous fiscal year and, if applicable, ensure that savings specified in the second year of the budget are realized

● Requires the governor to annually report to the Appropriations Committee on any of the above actions taken or to be implemented

● EFFECTIVE DATE: Upon passage

326 — LITCHFIELD COUNTY COURTHOUSE

Allows the state to retain use of the old Litchfield County Courthouse land and building unless certain conditions are met

● Allows the state to retain use of the old Litchfield County Courthouse and associated land, unless the holders of the reversionary interest (i.e., heirs of the lease holders) preserved that interest by recording certain documents in the Litchfield land records within the last 40 years

● Currently, because the land is not being used as a courthouse, ownership of the property will revert to the holders of the reversionary interest (based on deeds from the early 19th century)

● EFFECTIVE DATE: Upon passage

327 & 328 — BRIDGE RENAMING

Renames “Detective Bruce Boisland Memorial Bridge” as “Detective Bruce Boislard Memorial Bridge” and the “Veterans of Foreign Wars Memorial Bridge” as the “American Legion Bridge”

● Renames “Detective Bruce Boisland Memorial Bridge” as “Detective Bruce Boislard Memorial Bridge” (PA 17-230 designated the bridge on Route 229 in Southington, passing over I-84, as “Detective Bruce Boisland Memorial Bridge”)

● Renames the “Veterans of Foreign Wars Memorial Bridge” as the “American Legion Bridge” (PA 17-230 designated Bridge number 01592, carrying Maple Street over the Naugatuck River in Ansonia, the “Veterans of Foreign Wars Memorial Bridge”)

● EFFECTIVE DATE: Upon passage

329 — STATUTORY SPENDING CAP DEFINITIONS

Modifies definitions used to calculate the state's statutory spending cap

● Statutory spending cap bars the legislature from authorizing an increase in “general budget expenditures” for any fiscal year that exceeds the greater of the percentage “increase in personal income” or “increase in inflation,” unless (1) the governor declares an emergency or the existence of extraordinary circumstances and (2) at least three-fifths of each house of the legislature approves the extra expenditure for those purposes (CGS 2-33a)

● Requires that the “increase in personal income” be calculated on a calendar year basis, as existing law required for FYs 15 through 17

● Excludes food and energy items from the consumer price index for urban consumers (CPI-U) used to calculate the “increase in inflation,” and requires it to be calculated on a calendar year basis (December over December basis)

● Expands the types of “general budget expenditures” under the spending cap to include:

Any expenditure authorized by the legislature for a program or purpose that, in the preceding fiscal year, was made from an appropriated fund if such program or purpose is (1) essentially the same as the one funded in the previous fiscal year and (2) being funded by state bonding, a revenue intercept, or a nonappropriated account

statutory grants to distressed municipalities if the grants were in effect on July 1, 1991

● EFFECTIVE DATE: Upon passage

330-495, 976-977 — BOND AUTHORIZATIONS, ADJUSTMENTS, AND CANCELLATIONS

Authorizes new state GO bonds for various state projects and grant programs; authorizes STO bonds for transportation projects; increases bond limits for various statutory grants and purposes; cancels, reduces, or restores bond authorizations for various projects and grants; adjusts the annual bond caps under the CSCU 2020 program; extends the UConn 2000 program by three years and defers bond authorizations to those three years; extends the CT Bioscience Innovation Fund bond authorizations by a year and defers bond authorizations to that year; makes permanent the school security infrastructure grant program; limits LoCIP funds to municipalities; and allows the state to enter into credit agreements with the federal government that are backed by STO bonds

● Authorizes up to $426.2 million in FY 18 and $459.9 in FY 19 in new state general obligation (GO) bonds for various state projects and grants programs, subject to standard issuance procedures and having a maximum term of 20 years ( 330-366 & 383)

$100 million of the FY 18 bond authorizations has no stated purpose or designated agency (see 337)

$100 million of the FY 19 bond authorizations are for the Department of Housing, which the bill consolidates within DECD effective October 1, 2017 (see 355)

● Authorizes $809.9 million for FY 18 and $745.1 for FY 19 in special tax obligation (STO) bonds for transportation projects (but see effective date, below), including $482.3 million over the two years for bus and rail facilities and equipment ( 367-378)

● Increases bond authorization limits for various statutory grants and purposes and allocates new bonding for these purposes for FYs 18 and 19, including $900 million over the two years for school construction projects and $508.5 million over the two years for Clean Water Fund loans (various sections, including 385 & 398)

● Cancels or reduces a number of current bond authorizations for various projects and grants; restores a number of certain bond authorizations cancelled or reduced in previous years (various sections, including 976 & 977)

● Adjusts the annual bond caps under the CSCU 2020 program by cancelling $110 million in bonds for FY 18 and reallocating them to FY 20, correspondingly extending Phase III of the program by one year, from FY 19 to FY 20 ( 388 & 389)

These provisions conflict with 96 & 97 (see above), which also extend the program to FY 20 but defer $55 million in FY 18 bonding to FY 20 and authorize additional bonding for FY 20

● Extends the UConn 2000 program by three years, from 2014 to 2027; defers $54.6 million in bonds currently authorized for FY 18 to FY 19 and FYs 25 to 27; cancels an additional $0.5 million in bonds currently authorized for FY 18; and expands two existing Phase III projects for deferred maintenance and other infrastructure improvements to include utility, administrative, and support facilities ( 390-394)

These provisions conflict with 98 & 99 (see above), which extend the program by two years to FYs 25 and 26 and reduces the total bond authorizations for the program by $99.1 million

● Extends the Connecticut Bioscience Innovation Fund bond authorizations by one year to FY 24; cancels $25 million in bonds currently authorized for FYs 18 and 19, deferring $24 million of them to FY 24 and reducing the total authorization for the program by $1 million; cancels $30 million in bonds authorized for FYs 17 to 19 for the Regenerative Medicine Research Fund; eliminates the requirement that at least $10 million be available each year until FY 19 to provide funds for regenerative medicine research; and allows Connecticut Innovations, Inc. (CI) to use the Connecticut Bioscience Innovation Fund to fund regenerative medicine research as the law allows ( 400-403)

● Makes permanent the school security infrastructure grant program, which under current law ends in FY 17 ( 440)

● Limits the amount of LoCIP funds the OPM secretary may allocate to municipalities to zero dollars on February 1, 2017 and $55 million on February 1, 2018 ( 493)

● Authorizes the Treasurer, OPM secretary, and DOT commissioner to enter into loan or other credit agreements with the U.S. Department of Transportation, which may be backed by STO bonds ( 494)

● Makes technical corrections to various provisions in the 2016 Bond Act (PA 16-4, May Special Section)(various sections)

● EFFECTIVE DATE: Upon passage for FY 18 bond authorizations and July 1, 2018 for FY 19 authorizations, except the FY 19 STO bonds are authorized upon passage (see 373); other sections are effective upon passage, except the elimination of the requirement that $10 million per year be available for regenerative medicine research takes effect October 1, 2017 (see 402)

515 — BONDING CAP

Places a $2 billion cap on general obligation bonds or notes the treasurer issues per fiscal year starting July 1, 2018(FY 19), excludes from this cap certain GO bonds related to transportation projects, CSCU 2020, or UCONN 2000

● Prohibits the treasurer, starting July 1, 2018, from issuing general obligation bonds (GO bonds) or notes that exceed an aggregate of $2 billion in any fiscal year (see exclusions below), but starting July 1, 2019, requires this aggregate limit to be annually adjusted to reflect any change in the consumer price index for all urban consumers for the preceding calendar year, less food and energy

● Excludes, from the aggregate $2 billion cap, GO bonds (1) issued as part of CSCU 2020 or UCONN 2000 or (2) allocated for transportation purposes

● EFFECTIVE DATE: Upon passage

516 — BOND LISTS

Requires the (1) treasurer to provide the governor with an annual list of unissued bonds and (2) governor to provide the treasurer with an annual list of GO bond expenditures that can be made in the next fiscal year

● Requires the state treasurer, starting by January 1, 2018, to annually provide the governor with a list of allocated but unissued bonds

● Requires the governor, starting by April 1, 2018, to annually provide the treasurer with a list of general obligation bond expenditures totaling no more than $2 million that can be made July first starting the next fiscal year

● EFFECTIVE DATE: Upon passage

519-942, 974 & 978-980 — AGENCY CONSOLIDATIONS AND ELIMINATION OF COMMISSIONS

Consolidates the Department of Housing within the Department of Economic and Community Development, the Office of Early Childhood within the state Department of Education, and the state Department on Aging within the Department of Social Services; eliminates the state's two legislative commissions

● Consolidates the Department of Housing (DOH) within the Department of Economic and Community Development

● Designates the Department of Children and Families (DCF) the successor agency to itself for purposes of administering the state's homeless youth program (presumably, it designates DCF as the successor to DOH for this purpose)

● Consolidates the state Department on Aging (SDA) within the Department of Social Services (DSS) and authorizes the transfer of funds and personnel from SDA to DSS

● Consolidates the Office of Early Childhood (OEC) within the State Department of Education (SDE)

● Moves the Early Childhood Cabinet from OEC to SDE for administrative purposes only

● Moves the Trafficking in Persons Council from the Commission on Women, Children, and Seniors to OPM for administrative purposes only

● Eliminates the training program on trafficking in persons, which the Commission on Women, Children, and Seniors develops under current law with the Police Officer Standards and Training Council

● Eliminates the Commission on Women, Children, and Seniors

● Eliminates the Commission on Equity and Opportunity

● Revises the membership of numerous boards and commissions to conform with these changes

● Authorizes the Legislative Commissioners' Office to make technical changes to codify these changes in statute

● EFFECTIVE DATE: October 1, 2017, except for certain conforming changes ( 520 & 786), which are effective July 1, 2019

943 — TECHNICAL CHANGES BY THE LEGISLATIVE COMMISSIONERS' OFFICE (LCO)

Requires LCO, as part of codification, to make necessary changes to the bill's text

● Requires LCO, when codifying the provisions of the bill, to make technical, grammatical, and punctuation changes necessary to carry out the bill's purposes

● Among other things, these changes may include correcting inaccurate internal references

● EFFECTIVE DATE: Upon passage

944-960 — HEALTH CARE PROVIDER TAX

Beginning July 1, 2017, sunsets the current taxes on hospitals and ambulatory surgical centers (ASCs) and user fees on nursing homes and intermediate care facilities (ICFs) and reestablishes the taxes and fees as part of a comprehensive health provider tax system

● Beginning July 1, 2017, sunsets the current taxes on hospitals and ambulatory surgical centers (ASCs) and user fees on nursing homes and intermediate care facilities for individuals with intellectual disabilities (ICF-IDs) and reestablishes the taxes and fees as part of a comprehensive health provider tax system

● New tax is based on the total net revenue hospitals and ASCs receive for each calendar quarter for providing inpatient and outpatient hospital services and ASC services, except for revenue from Medicaid payments for ASC services (establishes definitions for these three service categories that align with definitions under federal Medicaid law)

For ASC services, sets the rate at 6%

For inpatient and outpatient hospital services, establishes a formula for calculating the tax rate, based on the amount of tax revenue specified for the fiscal year; numerator is the specified amount of tax revenue and the denominator is the total “FY 16 audited net revenue” for all health care providers subject to the tax (For FYs 18 and 19, requires $900 million in revenue; for FYs 20 and thereafter, requires $384 million in revenue)

● For FY 18, requires hospitals to make an estimated tax payment on October 31, 2017 that equals 133% of the tax that was due under the current hospital tax for FY 17; requires them to pay the remaining balance due for FY 18 in two equal payments, due on April 30, 2018, and July 31, 2018, respectively

● Requires the DSS commissioner to seek federal Medicaid waivers to exempt certain hospitals that are currently exempt from the hospital tax (i.e., specialty hospitals, children's general hospitals, John Dempsey hospital)

● Imposes quarterly resident day user fees on nursing homes and ICFs that are generally the same as those imposed under current law

Establishes the fee amounts, rather than requiring DSS to calculate the fees according to a statutory formula and up to the maximum rate federal law allows

Requires the DSS commissioner to seek federal Medicaid waivers to exempt continuing care retirement communities from the nursing home fee and charge certain homes a lower fee (similar to current law)

● Prohibits taxpayers from using tax credits to reduce their health provider tax liabilities, but allows those that have been assigned urban and industrial site reinvestment tax credits for application against the current hospital or ASC tax to further assign the credits to other taxpayers one time

Assignees may (1) claim the credits only for the tax year for which the provider would have been eligible to claim them and (2) not further assign the credits

● Establishes administrative, record keeping, and penalty provisions for the provider tax that generally parallel those in existing law for other taxes

● Authorizes the DRS commissioner to adopt regulations to implement the health provider taxes and fees

● Beginning in FY 18, authorizes the comptroller, at the close of each fiscal year, to record as revenue the amount of health provider taxes and fees received by the DRS commissioner within 5 business days after the July 31 following the end of the fiscal year

● EFFECTIVE DATE: Upon passage

961-963 — HOSPITAL SUPPLEMENTAL PAYMENTS

Requires DSS to (1) distribute supplemental Medicaid payments for FYs 18 and 19 based on criteria developed with the Connecticut Hospital Association and (2) pay the total amount in accordance with the state budget; establishes a payment schedule and a process for payment advances for distressed hospitals; and prohibits the governor from reducing amounts to the Hospital Supplemental Payment account

● Requires the Department of Social Services (DSS) to establish one or more supplemental pools for certain hospitals (“supplemental pools” generally refer to hospitals grouped for purposes of receiving supplemental Medicaid payments)

● For FYs 18 and 19, requires DSS to distribute the supplemental Medicaid payments to eligible hospitals based on criteria it determines in consultation with the Connecticut Hospital Association (CHA), including utilization and proportion of total Medicaid expenditures

● Requires DSS to send the proposed distribution criteria in writing to CHA at least 30 days before making any payments based on such criteria

● Requires the DSS consultation with CHA to provide an opportunity to discuss criteria before making payments based on them, with an exception for supplemental payments for the quarter ending September 30, 2017 (For these payments, DSS must send the distribution criteria at least 7 days before making payments based on them.)

● For FYs 18 and 19, requires DSS to pay hospitals the total amount of hospital supplemental payments to eligible hospitals in accordance with the total amount for payments included in the approved state budget, subject to DSS' determination that the payments comply with applicable federal law

● Establishes a payment schedule for supplemental payments for FYs 18 and 19, as shown in the table below

Table: Hospital Supplemental Payment Schedule

For the Quarter Ending

Payment Due by

September 30, 2017

The later of the bill's effective date or September 30, 2017

December 31, 2017

December 31, 2017, except that DSS may delay the payment until 14 days after receiving federal approval for necessary changes to the Medicaid state plan

March 31, 2018 and subsequent quarters through June 30, 2019

The last day of each calendar quarter

● For FY 18, allows the DSS commissioner to advance all or a portion of the quarterly supplemental payment to a distressed hospital in accordance with the bill's provisions

● Under the bill, a “distressed hospital” is a short-term general acute care hospital licensed by the Department of Public Health (DPH) that (1) DSS determines is financially distressed in accordance with criteria DSS develops and (2) is independent and not affiliated with any other hospital or system that includes two or more hospitals

● For FYs 18 and 19, prohibits the governor from reducing any allotment requisition or allotment in force for DSS' Hospital Supplemental Payments account

● EFFECTIVE DATE: Upon passage

964-972 — REVENUE ESTIMATES

Adopts revenue estimates for FYs 18 and 19 for appropriated state funds

Table: Revenue Estimates for FYs 18 and 19

Fund

FY 18

FY 19

General Fund

$18,554,500,000

$18,637,000,000

Special Transportation Fund

1,588,500,000

1,628,100,000

Mashantucket Pequot and Mohegan Fund

58,100,000

58,100,000

Regional Market Operation Fund

1,100,000

1,100,000

Banking Fund

30,000,000

30,200,000

Insurance Fund

90,000,000

91,400,000

Consumer Counsel and Public Utility Control Fund

27,000,000

27,300,000

Workers' Compensation Fund

24,867,000

28,122,000

Criminal Injuries Compensation Fund

3,000,000

3,000,000

● EFFECTIVE DATE: Upon passage

973 — UCONN HEALTH CENTER (UCHC) FRINGE BENEFIT COST DIFFERENTIAL

Repeals the requirement for the Comptroller to fund the fringe benefit cost differential of UCHC employees (CGS 3-123i)

● Eliminates the requirement for the Comptroller to fund the “fringe benefit cost differential” of UCHC employees with resources appropriated for State Comptroller-Fringe Benefits (the “fringe benefit cost differential” is the difference between the average fringe benefit rate for employees of private hospitals and the fringe benefit rate for UCHC employees)

● EFFECTIVE DATE: Upon passage

975 — KIRKLYN M. KERR GRANT PROGRAM

Repeals the program

● Repeals the Kirklyn M. Kerr program, a veterinary medicine grant program for in-state residents enrolled in an accredited veterinary graduate school

● EFFECTIVE DATE: July 1, 2018