OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

HB-5534

AN ACT CONCERNING THE CLASSIFICATION OF FARM LAND.

As Amended by House "A" (LCO 4108)

House Calendar No.: 330

Senate Calendar No.: 540


OFA Fiscal Note

State Impact: None

Municipal Impact:

Municipalities

Effect

FY 19 $

FY 20 $

Various Municipalities

Grand List Reduction

None

Potential

Explanation

The bill specifies that municipalities shall not deny an application for classification of farmland as PA-490 land due to any minimum acreage requirement for residential parcels or agricultural use.

To the extent that this expands the amount of land assessors classify as farmland under the PA-490 program, there is a grand list reduction which will vary based on the value of such land. A grand list reduction results in a revenue loss, given a constant mill rate.

Due to the timing of the bill, any impact would not occur until FY 20.

House “A” results in the above identified fiscal impact by specifying that municipalities shall not deny an application for classification of farmland as PA-490 land due to any minimum acreage requirement for residential parcels or agricultural use.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to changes in municipal mill rates and grand lists.

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.