OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

sHB-7019

AN ACT CONCERNING THE DEPARTMENT OF BANKING'S ENFORCEMENT AUTHORITY, THE ISSUANCE OF CERTAIN REPORTS, REQUIRING THE RETURN OF CERTAIN PORTIONS OF SECURITY DEPOSITS AND MAKING MINOR REVISIONS TO THE BANKING STATUTES.

As Amended by House "A" (LCO 8538), House "C" (LCO 8583)

House Calendar No.: 151

Senate Calendar No.: 598


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 18 $

FY 19 $

Banking Dept.

GF - Potential Revenue Gain

See Below

See Below

Various State Agencies

GF - Savings

Minimal

Minimal

Note: GF=General Fund

Municipal Impact: None

Explanation

The bill results in the fiscal impacts, as described below.

Section 16 authorizes the Banking Commissioner to impose a fine of up to $100,000 per violation on any person who engages in dishonest or unethical practices. To the extent that this change results in additional fines, the amendment may result in a revenue gain to the General Fund.

Section 17 requires landlords to return a portion of security deposits if requested by certain tenants over sixty-two years of age, which does not result in a fiscal impact to the state or municipalities.

Section 19 requires the Department of Banking to submit a report to the General Assembly on the implementation of the Student Loan Ombudsman, which has no fiscal impact as the Department has the expertise to provide the report.

Section 20, which requires the Departments of Housing and Banking to conduct a study concerning the development of a lead abatement interest rate reduction program, has no fiscal impact as the agencies have the expertise to complete the study.

Section 501 eliminates mileage reimbursement for any member serving on a task force. This is estimated to result in a minimal savings to the state depending on the number of task forces and those members seeking reimbursement. Mileage reimbursement dedicated to task force members is not tracked in the CORE-CT accounting system.

Additionally, the bill makes other technical and clarifying changes that have no fiscal impact.

House “A” strikes the underlying bill, and its associated fiscal impact, and replaces it with language whose fiscal impact is described above.

House “C” adds the language that does not allow legislative task force members to receive mileage reimbursement for any task force meetings and results in a minimal savings to various agencies.

The Out Years

The annualized on going fiscal impact identified above would continue into the future based on the violations that resulted in fines and subject to the number of task forces created whose participants would not be reimbursed for mileage.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.