Bill Text: CT HB05404 | 2014 | General Assembly | Introduced

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Bill Title: An Act Concerning Financial Assistance For Businesses Affected By Prolonged State Infrastucture Projects.

Spectrum:

Status: (Introduced - Dead) 2014-03-07 - Public Hearing 03/11 [HB05404 Detail]

Download: Connecticut-2014-HB05404-Introduced.html

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General Assembly		Raised Bill No. 5404
February Session, 2014		LCO No. 1893
		*01893_______CE_*
Referred to Committee on COMMERCE
Introduced by:
(CE)

AN ACT CONCERNING FINANCIAL ASSISTANCE FOR BUSINESSES AFFECTED BY PROLONGED STATE INFRASTUCTURE PROJECTS.

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

Section 1. (NEW) (Effective July 1, 2014) (a) The Commissioner of Economic and Community Development shall establish and administer a program of low interest loans for any owner of a business that has experienced an adverse business impact from any road or bridge project undertaken by the Department of Transportation that has extended beyond the original estimated completion date for such project. Such loans shall be made to cover current expenses and working capital needs of such business during the remaining term of such project. Such loans shall be for a term not to exceed ten years from the date of completion of such project and shall be made at a rate of interest of three per cent per year.

(b) The commissioner shall adopt regulations in accordance with the provisions of chapter 54 of the general statutes to carry out the purposes of this section. Such regulations shall establish: (1) Procedures for the determination of the extent of an adverse business impact; (2) any requirements deemed necessary for collateral or other security for any loan made pursuant to subsection (a) of this section; and (3) any application fees for such loans as the commissioner determines are reasonable and necessary to pay for the costs of processing such loans.

Sec. 2. (NEW) (Effective July 1, 2014) There is established an account to be known as the "road and bridge repair business disruption account", which shall be a separate, nonlapsing account within the General Fund. The account shall contain any moneys required by law to be deposited in the account. Moneys in the account shall be expended by the Department of Economic and Community Development for the purposes of making loans pursuant to section 1 of this act and for any administrative costs of carrying out the provisions of section 1 of this act. Repayment of principal and interest on such loans shall be credited to the account and shall become part of the assets of the account.

Sec. 3. (Effective July 1, 2014) (a) For the purposes described in subsection (b) of this section, the State Bond Commission shall have the power from time to time to authorize the issuance of bonds of the state in one or more series and in principal amounts not exceeding in the aggregate five hundred fifty thousand dollars.

(b) The proceeds of the sale of said bonds, to the extent of the amount stated in subsection (a) of this section, shall be used by the Department of Economic and Community Development for the purposes of the road and bridge repair business disruption account established pursuant to section 2 of this act.

(c) All provisions of section 3-20 of the general statutes, or the exercise of any right or power granted thereby, which are not inconsistent with the provisions of this section are hereby adopted and shall apply to all bonds authorized by the State Bond Commission pursuant to this section, and temporary notes in anticipation of the money to be derived from the sale of any such bonds so authorized may be issued in accordance with said section 3-20 and from time to time renewed. Such bonds shall mature at such time or times not exceeding twenty years from their respective dates as may be provided in or pursuant to the resolution or resolutions of the State Bond Commission authorizing such bonds. None of said bonds shall be authorized except upon a finding by the State Bond Commission that there has been filed with it a request for such authorization which is signed by or on behalf of the Secretary of the Office of Policy and Management and states such terms and conditions as said commission, in its discretion, may require. Said bonds issued pursuant to this section shall be general obligations of the state and the full faith and credit of the state of Connecticut are pledged for the payment of the principal of and interest on said bonds as the same become due, and accordingly and as part of the contract of the state with the holders of said bonds, appropriation of all amounts necessary for punctual payment of such principal and interest is hereby made, and the State Treasurer shall pay such principal and interest as the same become due.

This act shall take effect as follows and shall amend the following sections:
Section 1	July 1, 2014	New section
Sec. 2	July 1, 2014	New section
Sec. 3	July 1, 2014	New section

Statement of Purpose:

To establish a program providing financial assistance to businesses affected by prolonged state infrastructure projects.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]