Sec. 8-195. Development grants and special development grants.
Sec. 8-195. Development grants and special development grants. (a) The commissioner is authorized to make development grants to municipalities for development
projects, provided (1) no such grant shall be made for any such project until said commissioner has given approval to the plan therefor and (2) no such grant shall be made for
any such project in an amount exceeding fifty per cent or, in the case of grants to any
distressed municipality, as defined in section 32-9p, sixty-five per cent of the net cost,
excluding, except as provided in this subsection, planning costs and special planning
costs of such project as determined by said commissioner, and except that when two or
more towns jointly initiate such a project in accordance with the provisions of section
8-196, such grant may be in an amount not exceeding seventy-five per cent of the net
cost, excluding, except as provided in this subsection, planning costs and special planning costs of such project as determined by said commissioner. In distressed municipalities, as defined in section 32-9p, the commissioner may authorize such grants to be used
for loans to businesses and industries locating, constructing, expanding, renovating or
operating within development projects. Said commissioner may include planning costs
or special planning costs of such project if such costs have already been paid or reimbursed by the municipality. Any distressed municipality's share of the cost of development projects may, to the extent permitted by federal law, be paid entirely or partially
from amounts received by the municipality under any federal capital grant program.
Special development grants, as provided in subsections (b) and (c), may be made to any
municipality, regardless of whether or not it is a distressed municipality, in amounts up
to one hundred per cent of such costs.
(b) The commissioner is authorized to make special development grants to municipalities to plan, install, construct or reconstruct utilities, sewerage and water lines and
systems, and water towers and to acquire rights-of-way, therefore, to the boundaries of
development projects. Such development grants may be made in amounts to their total
costs, but not to exceed, ten per cent of the estimated physical development costs within
the development project as last approved by the commissioner.
(c) The commissioner is authorized to make special development grants to municipalities for site improvement, utility, water, roads and sewerage facilities, renovation
of building space, related engineering services, and for relocation expenses for the purpose of assisting industrial and business firms to locate or expand within development
projects and which, upon such location or expansion, would result in a significant increase in employment or municipal real estate tax revenue to the municipality within
which such development projects are located. All relocation assistance shall be in conformance with the provisions of chapter 135. Such grants may be made in amounts to
their estimated total cost.
(d) In allocating funds available for the making of development grants, said commissioner is authorized to establish priorities among municipalities, taking into account
their relative needs for development projects, the effects of proposed projects on existing
housing and the extent to which particular projects are likely to advance the purposes
of this chapter.
(1967, P.A. 760, S. 10; 1971, P.A. 505, S. 6; P.A. 74-184, S. 7, 10; P.A. 75-109; 75-480, S. 6, 8; P.A. 76-134, S. 2;
P.A. 78-357, S. 12, 16; P.A. 79-229; P.A. 83-234; P.A. 84-243, S. 3; P.A. 85-50, S. 3; P.A. 86-232, S. 2.)
History: 1971 act substituted Connecticut development commission for commissioner of community affairs; P.A. 74-184 substituted commissioner of commerce for Connecticut development commission; P.A. 75-109 allowed grants for up
to 75% of net costs in project undertaken by two or more towns; P.A. 75-480 divided section into Subsecs., making former
provisions Subsecs. (a) and (d) and inserting new Subsecs. (b) and (c) re special development grants; P.A. 76-134 excluded
planning and special planning costs from consideration as part of net costs in determining amount of grants under Subsec.
(a), reversing previous provision for their inclusion in net cost; P.A. 77-614 substituted commissioner of economic development for commissioner of commerce, effective January 1, 1979; P.A. 78-357 allowed grants for up to 65% of net cost to
distressed municipalities, allowed use of federal grants to pay for distressed municipalities' share of cost and clarified
applicability of special development grants in Subsec. (a); P.A. 79-229 allowed inclusion of planning or special planning
costs in net cost when planning costs already paid by municipality in Subsec. (a); P.A. 83-234 provided that special
development grants could be made for renovation of building space or for expansion within development projects; P.A.
84-243 amended Subsec. (a) to provide for the use of funds for loans to businesses and industries in distressed municipalities;
P.A. 85-50 amended Subsec. (a) to authorize grants in distressed municipalities to also be used for loans to businesses and
industries renovating or operating within development projects; P.A. 86-232 amended Subsec. (d) to require commissioner
to take into account effects of proposed projects on existing housing.
Cited. 184 C. 51.