HB 7209 — AN ACT ESTABLISHING THE CONNECTICUT MUNICIPAL REDEVELOPMENT AUTHORITY.

(NEW) (Effective October 1, 2019) (a) Any municipality with a population of seventy thousand or more as determined by the most recent decennial census, except the city of Hartford or any municipality that is considered part of the capital region, as defined in section 32-600 of the general statutes, may, by certified resolution of the legislative body of the municipality, opt to join the Connecticut Municipal Redevelopment Authority as a member municipality, LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07212 of 29 R01-HB.docx } Substitute Bill No.

44097209 12 of 29 Raised Bill No.7209 provided such municipality holds a public hearing prior to any vote on such certified resolution.

(1) A list of all bonds issued during the preceding fiscal year, including, for each such LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07213 of 29 R01-HB.docx } Substitute Bill No.

44097209 13 of 29 Raised Bill No.7209 issue, the financial advisor and underwriters, whether the issue was competitive, negotiated or privately placed, and the issue's face value and net proceeds;

The board shall submit the audit report to the Governor, the Auditors of Public Accounts and the joint standing committeeLCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07214 of the29 GeneralR01-HB.docx Assembly} havingSubstitute cognizanceBill of matters LCO No.

44097209 14committee of 29the RaisedGeneral BillAssembly No.7209having cognizance of matters relating to finance, revenue and bonding.

(b) Notwithstanding any provision of the general statutes, public or specialLCO acts,{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07215 anyof regulation29 orR01-HB.docx procedure} orSubstitute anyBill other law, no officer, LCO No.

44097209 15special ofacts, 29any Raisedregulation Billor No.7209procedure or any other law, no officer, official, employee or agent of the state or any authority created by the general statutes or any public or special act shall expend any funds on any authority development project, unless such officer, official, employee or agent has received an economic development statement prepared by the Connecticut Municipal Redevelopment Authority pursuant to subsection (a) of this section, except that if no such statement is received by the dateninetieth ninetyday daysafter from the date of the initial application or request for such funds, such funds may be expended.

(NEW) (Effective October 1, 2019) (a) The board of directors of the Connecticut Municipal Redevelopment Authority is authorized from time to time to issue its bonds, notes and other obligations in such principal amounts as in the opinion of the board shall be necessary to provide sufficient funds for carrying out the purposes set forth in section 3 of this act, including the payment, funding or refunding of the principal of, or interest or redemption premiums on, any bonds, notes and other obligations issued by it, whether the bonds, notes or other obligations or interest to be funded or refunded have or haveLCO not{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07216 become due, the establishment of reserves29 toR01-HB.docx secure} suchSubstitute LCOBill No.

44097209 16have not become due, the establishment of 29reserves Raisedto Billsecure No.7209such bonds, notes and other obligations, loans made by the authority and all other expenditures of the authority incident to and necessary or convenient to carry out the purposes set forth in section 3 of this act.

(c) Notwithstanding any other provision of any law, any bonds, notes or other obligations issued by the authority pursuant to this section shall be fully negotiable within the meaning and for all purposes of title 42a of the general statutes.

(d) Bonds, notes or other obligations of the authority shall be authorized by resolution of the board of directors of the authority and may be issued in one or more series and shall bear such date or dates, mature at such time or times, in the case of any such note, or any renewal thereof, not exceeding the term of years as the board shall determine from the date of the original issue of such notes, and, in the case of bonds, not exceeding thirty years from the date thereof, bear interest at such rate or rates, be in such denomination or denominations, be in such form, either coupon or registered, carry such conversion or registration privileges, have such rank or priority, be executed in such manner, be payable from such sources in such medium of payment at such place or places within or without this LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07217 of 29 R01-HB.docx } Substitute Bill No.

44097209 17 of 29 Raised Bill No.7209 state, and be subject to such terms of redemption, with or without premium, as such resolution or resolutions may provide.

(1) The pledging of all or any part of the moneys received by the authority to secure the payment of the LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07218 of 29 R01-HB.docx } Substitute Bill No.

44097209 18 of 29 Raised Bill No.7209 principal of and interest on any bonds, notes or other obligations or of any issue thereof;

(9) provision for a trust agreement by and between the authority and a corporate trustee which may be any trust company or bank having the powers of a trust company within or without the state, which agreement may provide for the pledging or assigning of any assets or income from assets to which or in which the authority has any rightsright or interest, and may further provide for such other rights and remedies exercisable by the trustee as may be proper for the protection of the holders of any bonds, notes or other obligations of the authority and not otherwise in LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07219 of 29 R01-HB.docx } Substitute Bill No.

4409 19 of 29 Raised Bill No.

(j) The board of directors of the authority is authorized and empowered to obtain from any department, agency or instrumentality of the United States any insurance or guarantee as to, or of or for the payment or repayment of, interest or principal or both, or any part thereof, on any bonds, notes or other obligations issued by the authority pursuant to the provisions of this section and, notwithstanding any other provisions of sections 2 to 12, inclusive, of thisLCO act,{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-0720920 toof enter29 intoR01-HB.docx any} agreement,Substitute contractBill or any other instrument LCO No.

44097209 20this ofact, 29to Raisedenter Billinto No.7209any agreement, contract or any other instrument whatsoever with respect to any such insurance or guarantee except to the extent that such action would in any way impair or interfere with the authority's ability to perform and fulfill the terms of any agreement made with the holders of the bonds, bond anticipation notes or other obligations of the authority.

(m) All moneys received pursuant to the authority of this section, whetherLCO as{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07221 proceeds from the sale of bonds29 orR01-HB.docx as} revenues,Substitute shallBill be LCO No.

44097209 21whether as proceeds from the sale of 29bonds Raisedor Billas No.7209revenues, shall be deemed to be trust funds to be held and applied solely as provided in this section.

(1) A covenant to pay rebates to the federal government of investment earnings derived from the investment of the proceedsLCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07222 of the29 bonds,R01-HB.docx notes} orSubstitute otherBill obligationsNo. of the authority;

(2)7209 aproceeds covenantof that the authoritybonds, willnotes not limit or alterother its rebate obligations LCOof No.the authority;

4409(2) 22a ofcovenant 29that Raisedthe Billauthority No.7209will not limit or alter its rebate obligations until its obligations to the holders or owners of such bonds, notes or other obligations are finally met and discharged;

(NEW) (Effective October 1, 2019) The state shall protect, save harmless and indemnify the Connecticut Municipal Redevelopment Authority and its directors, officers and employees from financial loss and expenses, including legal fees and costs, if any, arising out of any claim, demand, suit or judgment based upon any alleged act or omission of the authority or any such director, officer or employee in connection with, or any other legal challenge to, authority development projects within a Connecticut Municipal Redevelopment AuthorityLCO development{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07223 district, provided any such director, officer or employee is found to have been acting in the discharge of such29 director,R01-HB.docx officer} orSubstitute employee'sBill duties or within the scope of such LCO No.

44097209 23Authority development district, provided any such director, officer or employee is found to have been acting in the discharge of 29such Raiseddirector, Billofficer No.7209or employee's duties or within the scope of such director, officer or employee's employment and any such act or omission is found not to have been wanton, reckless, wilful or malicious.

(b) Prior to execution of a memorandum of agreement between the authority and the chief executive officeofficer of a member municipality establishing a development district, the member municipality shall develop an economic development master plan and submit such plan for the authority's review and approval.

(d) Any authority development project that receives support from theLCO authority{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07224 shall be consistent with (1) the economic development master plan of the29 memberR01-HB.docx municipality} inSubstitute whichBill such project is located, (2) the plan of conservation and development, adopted under LCO No.

44097209 24the authority shall be consistent with (1) the economic development master plan of 29the Raisedmember Billmunicipality No.7209in which such project is located, (2) the plan of conservation and development, adopted under section 8-23 of the general statutes, of the member municipality in which such project is located, and (3) the Comprehensive Economic Development Strategy prepared under section 32-742 of the general statutes.

Any business that receives financial assistance from the authority shall enter into an agreement with the Workforce Training Authority established inpursuant publicto actsection 17-20731-11ii of the general statutes for assistance with the training and recruitment of workers.

(1) "Quasi-public agency" means Connecticut Innovations, Incorporated,LCO the{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07225 Connecticutof Health29 andR01-HB.docx Educational} FacilitiesSubstitute Authority,Bill the Connecticut Higher Education Supplemental Loan Authority, the Connecticut Student Loan Foundation, the Connecticut Housing Finance Authority, the Connecticut Housing Authority, the LCO No.

44097209 25Incorporated, ofthe 29Connecticut RaisedHealth Billand No.7209Educational Facilities Authority, the Connecticut Higher Education Supplemental Loan Authority, the Connecticut Student Loan Foundation, the Connecticut Housing Finance Authority, the Connecticut Housing Authority, the Materials Innovation and Recycling Authority, the Capital Region Development Authority, the Connecticut Lottery Corporation, the Connecticut Airport Authority, the Connecticut Health Insurance Exchange, the Connecticut Green Bank, the Connecticut Retirement Security Authority, the Connecticut Port Authority, the Connecticut Municipal Redevelopment Authority and the State Education Resource Center.

The approval of the State Treasurer or said deputy shall be based on documentation provided by the authority that it has sufficient revenues to (1) pay the principal of and interest on the bonds and notes issued, (2) establish, increase and maintain any reserves deemed by the authorityLCO to{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07226 be advisable to secure the payment of the29 principalR01-HB.docx of} andSubstitute interestBill onNo. such bonds and notes, (3) pay the cost of maintaining, servicing and properly insuring the purpose for which the proceeds of the bonds and notes have been issued, if applicable, and (4) pay such other costs as may be required.

LCO7209 No.authority to be advisable to secure the payment of the principal of and interest on such bonds and notes, (3) pay the cost of maintaining, servicing and properly insuring the purpose for which the proceeds of the bonds and notes have been issued, if applicable, and (4) pay such other costs as may be required.

4409 26 of 29 Raised Bill No.7209 (b) To the extent Connecticut Innovations, Incorporated, the Connecticut Higher Education Supplemental Loan Authority, the Connecticut Student Loan Foundation, the Connecticut Housing Finance Authority, the Connecticut Housing Authority, the Materials Innovation and Recycling Authority, the Connecticut Health and Educational Facilities Authority, the Connecticut Airport Authority, the Capital Region Development Authority, the Connecticut Health Insurance Exchange, the Connecticut Green Bank, the Connecticut Retirement Security Authority, the Connecticut Port Authority, the Connecticut Municipal Redevelopment Authority or the State Education Resource Center is permitted by statute and determines to exercise any power to moderate interest rate fluctuations or enter into any investment or program of investment or contract respecting interest rates, currency, cash flow or other similar agreement, including, but not limited to, interest rate or currency swap agreements, the effect of which is to subject a capital reserve fund which is in any way contributed to or guaranteed by the state of Connecticut, to potential liability, such determination shall not be effective until and unless the State Treasurer or his or her deputy appointed pursuant to section 3-12 has approved such agreement or agreements.

The directors, officers and employees of Connecticut Innovations, Incorporated, the Connecticut Higher Education Supplemental Loan Authority,LCO the{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07227 Connecticut Student Loan Foundation, the Connecticut Housing Finance Authority, the Connecticut Housing Authority, the Materials Innovation and Recycling Authority, including ad hoc members of the29 MaterialsR01-HB.docx Innovation} andSubstitute RecyclingBill Authority, the Connecticut Health and Educational Facilities Authority, the Capital Region Development Authority, the Connecticut Airport Authority, LCO No.

44097209 27Authority, the Connecticut Student Loan Foundation, the Connecticut Housing Finance Authority, the Connecticut Housing Authority, the Materials Innovation and Recycling Authority, including ad hoc members of 29the RaisedMaterials BillInnovation No.and Recycling Authority, the Connecticut Health and Educational Facilities Authority, the Capital Region Development Authority, the Connecticut Airport Authority, the Connecticut Lottery Corporation, the Connecticut Health Insurance Exchange, the Connecticut Green Bank, the Connecticut Retirement Security Authority, the Connecticut Port Authority, the Connecticut Municipal Redevelopment Authority and the State Education Resource Center and any person executing the bonds or notes of the agency shall not be liable personally on such bonds or notes or be subject to any personal liability or accountability by reason of the issuance thereof, nor shall any director or employee of the agency, including ad hoc members of the Materials Innovation and Recycling Authority, be personally liable for damage or injury, not wanton, reckless, wilful or malicious, caused in the performance of his or her duties and within the scope of his or her employment or appointment as such director, officer or employee, including ad hoc members of the Materials Innovation and Recycling Authority.

7209 the Connecticut Lottery Corporation, the Connecticut Health Insurance Exchange, the Connecticut Green Bank, the Connecticut Retirement Security Authority, the Connecticut Port Authority, the Connecticut Municipal Redevelopment Authority and the State Education Resource Center and any person executing the bonds or notes of the agency shall not be liable personally on such bonds or notes or be subject to any personal liability or accountability by reason of the issuance thereof, nor shall any director or employee of the agency, including ad hoc members of the Materials Innovation and Recycling Authority, be personally liable for damage or injury, not wanton, reckless, wilful or malicious, caused in the performance of his or her duties and within the scope of his or her employment or appointment as such director, officer or employee, including ad hoc members of the Materials Innovation and Recycling Authority.

SectionLCO 1{\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07228 Octoberof 1,29 2019R01-HB.docx New} sectionSubstitute Sec.Bill No.

7209 Section 1 October 1, 2019 New section Sec.

8 October 1, 2019 New section LCOSec. No.

4409 28 of 29 Raised Bill No.

7209 Sec.

10 October 1, 2019 New section October 1, 2019 Sec.

11 October 1, 2019 New section Sec.

16 October 1, 2019 1-125 Statement of Purpose:Legislative Commissioners:

ToIn createSection 2(d), "article XI, section 1, of the Connecticutstate MunicipalConstitution" Redevelopmentwas Authority.changed to "section 1 of article eleventh of the Constitution of the state" for consistency;

[Proposedin deletionsSection are3, enclosed"memorandum inof brackets.understanding" was changed to "memorandum of agreement" for consistency, and the provisions of Subsec.

Proposed(b)(6) additionswere arerestructured indicatedfor byclarity underline,and exceptgrammar; that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.] LCO No.

4409in 29Section of7(b), 29"the date ninety days from" was changed to "the ninetieth day after" for clarity;

in Section 11(b), "chief executive office" was changed to "chief executive officer" for accuracy;

and in Section 12, "in public act 17-207" was changed to "pursuant to section 31-11ii of the general statutes" for accuracy.

PD Joint Favorable Subst.

-LCO LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2019HB-07209- 29 of 29 R01-HB.docx }