Connecticut Seal

General Assembly

File No. 398

    February Session, 2018

Substitute Senate Bill No. 442

Senate, April 10, 2018

The Committee on Commerce reported through SEN. HARTLEY, J. of the 15th Dist. and SEN. FRANTZ, L. of the 36th Dist., Chairpersons of the Committee on the part of the Senate, that the substitute bill ought to pass.

AN ACT CONCERNING MARKETING OF THE STATE BY FIRST FIVE PLUS BUSINESSES AND OTHER RECIPIENTS OF SUBSTANTIAL FINANCIAL ASSISTANCE.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. (NEW) (Effective July 1, 2018) A business that receives financial assistance from the state shall make reasonable efforts to market Connecticut and reference the state of Connecticut in marketing materials for such business if such business receives such financial assistance (1) pursuant to section 32-4l of the general statutes under an agreement entered into with the state on or after July 1, 2018, or (2) as specifically authorized by an act of the General Assembly enacted on or after July 1, 2018, in accordance with section 32-462 of the general statutes.

This act shall take effect as follows and shall amend the following sections:

Section 1

July 1, 2018

New section

CE

Joint Favorable Subst.

 

The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do 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.


OFA Fiscal Note

State Impact: None

Municipal Impact: None

Explanation

The bill has no fiscal impact by requiring businesses receiving financial assistance from the state to make reasonable efforts to market Connecticut. This requirement would only impact businesses entering into an agreement on or after July 1, 2018 or as specifically authorized by the General Assembly.

The Out Years

State Impact: None

Municipal Impact: None

OLR Bill Analysis

sSB 442

AN ACT CONCERNING MARKETING OF THE STATE BY FIRST FIVE PLUS BUSINESSES AND OTHER RECIPIENTS OF SUBSTANTIAL FINANCIAL ASSISTANCE.

SUMMARY

This bill requires businesses that receive substantial financial assistance for development projects to make reasonable efforts to market Connecticut and reference the state in their marketing materials. A business must do this if, on or after July 1, 2018, it receives financial assistance through the First Five Plus program or an act of the legislature. By law, legislative approval is needed for financing that exceeds, over two years, (1) $20 million for biotechnology projects or (2) $10 million for other types of business development projects (CGS 32-462).

The First Five Plus program encourages business expansion and job creation. The law authorizes the economic and community development commissioner to provide financial assistance to a business that proposes a project that meets specific statutory job creation and investment deadlines (CGS 32-4l). The law exempts First Five Plus projects from (1) statutory limits on the amount of funds or tax credits that can be awarded under various programs and (2) the law requiring the legislature's prior approval for business financial assistance that exceeds specified amounts.

EFFECTIVE DATE: July 1, 2018

COMMITTEE ACTION

Commerce Committee

Joint Favorable Substitute

Yea

18

Nay

2

(03/27/2018)

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