Commerce Committee
Finance, Revenue and Bonding Committee
AN ACT CONCERNING THE TAX INCREMENTAL FINANCING PROGRAM
SUMMARY: This act extends the sunset dates for two Connecticut Development Authority (CDA) programs that provide bond financing for large-scale development projects. Both programs use the new or incremental tax revenues the projects generate to repay the bonds (i. e. , tax increment financing). Prior law prohibited CDA from approving new projects under the programs on or after July 1, 2010. The act extends the sunset date to July 1, 2012. It also makes a technical change.
The programs use different tax revenues to fund different types of projects. One uses incremental property tax revenues to repay the bonds issued for projects that clean up and redevelop contaminated property or involve the use of information technologies. The other uses incremental hotel, sales, dues, cabaret, and admission tax revenues to repay bonds issued for projects that create jobs or stimulate significant business activity.
EFFECTIVE DATE: Upon passage
OLR Tracking: RP: RC: JL: TS