OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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

SB-268

AN ACT INCREASING THE TERM LIMIT FOR LOANS UNDER THE TARGETED BROWNFIELD DEVELOPMENT LOAN PROGRAM.

AMENDMENT

LCO No.: 4902

File Copy No.: 389

Senate Calendar No.: 220


OFA Fiscal Note

See Fiscal Note Details

The amendment results in the following:

Sections 501 – 503 modify the usage of environmental land use restrictions and notice of activity and use limitations. This is not anticipated to result in a fiscal impact.

Section 504 requires certain grant recipients under the Remedial Action and Redevelopment Municipal Grant Program to enter one of the state's remediation programs as chosen by the Commissioner of the Department of Economic Development.

This may result in a revenue gain to the Department of Energy and Environmental Protection (DEEP) to the extent that:

(1) An environmental condition assessment is required for compliance. The fee for the assessment per CGS 22a-133x is $3,250; or,

(2) The recipient must participate in the Brownfield Remediation and Revitalization Program. Any applicant in that program must pay to DEEP a fee equal to 5% of the assessed value of the land, as stated on the last-completed grand list of the relevant town (subject to certain fee waiver provisions).

Section 505 results in a potential revenue loss to municipalities that offer tax abatements for brownfield remediation. Any revenue loss would vary based on the abatement offered by such municipality, and the number of remediation sites in such municipality subject to the amendment's provisions.

As current law allows municipalities to recapture the lost revenue resulting from tax abatements related to brownfield remediation, any revenue loss could be offset by existing recapture provisions within an effected municipality.

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.