Sec. 7-560. Definitions.
Sec. 7-560. Definitions. Whenever used in subsection (a) of section 7-394b and
sections 7-560 to 7-579, inclusive, the following definitions shall apply:
(1) "Attorney General" means the Attorney General of the state of Connecticut.
(2) "Certified municipality" means a tier I or tier II municipality.
(3) "Chief executive officer" means the officer described in section 7-193.
(4) "Debt service payment fund" means the fund into which the proceeds of the
property tax intercept procedure are deposited and from which debt service on all outstanding general obligations of a municipality which have a term of more than one year
and additionally all outstanding general obligations which the municipality determines
are to be supported by the tax intercept procedure shall be paid as provided in subsection
(a) of section 7-394b and sections 7-560 to 7-579, inclusive.
(5) "Debt service payment fund requirement" means an amount at least equal to the
aggregate amount of principal, sinking fund installments, if any, and interest during the
then current fiscal year as the same become due and payable on all outstanding general
obligations of the municipality which have a term of more than one year and additionally
all outstanding general obligations which the municipality determines are to be supported by the tax intercept procedure.
(6) "Deficit" means with respect to the general fund of any municipality, any cumulative excess of expenditures, encumbrances, or other uses of funds for any fiscal year
and all prior fiscal years over revenues of the municipality for such period and the
prior year's undesignated fund balance, as reflected in the most recent audited financial
statements of such municipality. For purposes of determining such excess, revenues
shall not include the proceeds of tax anticipation notes and expenditures shall not include
any principal payment of tax anticipation notes.
(7) "Deficit obligation" means any general obligation with a term of more than one
year or any bond or any note issued in anticipation thereof, issued by a municipality
either for the purpose of or having the effect of reducing, eliminating or preventing a
general fund, special revenue fund or enterprise fund deficiency, other than any obligation issued pursuant to chapter 110.
(8) "General fund deficiency" means a deficit or a projected fiscal year deficit,
or both.
(9) "General obligation" means an obligation issued by a municipality and secured
by the full faith and credit and taxing power of such municipality including any contingent obligation which is payable from the general fund and is subject to annual appropriation.
(10) "Maximum required capital reserve" means the maximum aggregate amount
of principal, interest and other amounts due and owing during any succeeding fiscal
year, excluding any sinking fund installments payable in a prior fiscal year on outstanding general obligations of a certified municipality supported by a special capital reserve
fund issued pursuant to subsection (a) of section 7-394b and sections 7-568 to 7-579,
inclusive.
(11) "Minimum required capital reserve" means the aggregate amount of principal,
sinking fund installments, interest and other amounts due and owing during the next
succeeding fiscal year on outstanding general obligations of a certified municipality
supported by a special capital reserve fund pursuant to subsection (a) of section 7-394b
and sections 7-560 to 7-579, inclusive.
(12) "Municipal Finance Advisory Commission" means the Municipal Finance Advisory Commission established in section 7-394b.
(13) "Municipality" means any town, city, borough, consolidated town and city,
consolidated city and borough, any metropolitan district, any district, as defined in section 7-324, and any other political subdivision of the state having the power to levy
taxes and to issue bonds, notes or other obligations.
(14) "Obligation" means any bond, bond anticipation note, tax anticipation note or
other interim funding obligation, certificate of participation, security, financing lease,
installment purchase agreements, capital lease, receivable or other asset sale, refinancing
covered by this definition and any other transaction which constitutes debt in accordance
with both municipal reporting standards in section 7-394a and the regulations prescribing municipal financial reporting adopted by the secretary.
(15) "Outstanding obligation" means any obligation with respect to which a principal or interest payment, sinking fund installment or other payment or deposit is, or will
be, due in the future and for which moneys or defeasance securities have not been
deposited in escrow.
(16) "Projected fiscal year deficit" means, with respect to the general fund of any
municipality during any fiscal year, the excess of estimated expenditures and uses of
funds for the fiscal year over estimated revenues and any cumulative undesignated general fund balance from the prior fiscal year.
(17) "Property taxes" means all taxes on real and personal property levied by the
municipality in accordance with the general statutes including any interest, penalties
and other related charges, and shall not mean any rent, rate, fee, special assessment or
other charge based on benefit or use.
(18) "Property tax intercept procedure" means a procedure where a municipality
provides for the collection and deposit in a debt service payment fund maintained with
a trustee of all property taxes needed to meet the debt service payment fund requirement
and which meets all the requirements of section 7-562.
(19) "Revenues" means, with respect to the general fund for any municipality for
any fiscal year, property taxes and other moneys that are generally available for, accounted for and deposited in the municipality's general fund.
(20) "Secretary" means the Secretary of the Office of Policy and Management.
(21) "Special capital reserve fund" means the fund established pursuant to section
7-571 to secure the timely payment of principal and interest on general obligations issued
by a certified municipality approved by the Treasurer pursuant to section 7-573.
(22) "State" means the state of Connecticut.
(23) "Tier I municipality" means any municipality which has applied to and been
certified by the secretary as a tier I municipality.
(24) "Tier II municipality" means any municipality which has applied to and been
certified by the secretary as a tier II municipality.
(25) "Treasurer" means the Treasurer of the state of Connecticut.
(26) "Trustee" means any trust company or bank having the powers of a trust company within or without the state, appointed by the municipality as trustee for the municipality's tax intercept procedure or special capital reserve fund and approved by the
Treasurer, as well as any successor trust company or bank having the powers of a trust
company within or without the state succeeding a prior trust company or bank as trustee,
so appointed and approved.
(P.A. 93-421, S. 1, 22.)
History: P.A. 93-421 effective July 1, 1993.