Sec. 8-387. Housing Infrastructure Fund. State financial assistance to municipalities located in pilot program planning regions.
Sec. 8-387. Housing Infrastructure Fund. State financial assistance to municipalities located in pilot program planning regions. (a) There is established a fund to
be known as the "Housing Infrastructure Fund". The fund shall contain any moneys
required by law to be deposited therein and shall be held separate and apart from all
other moneys, funds and accounts. Any balance remaining in the fund at the end of any
fiscal year shall be carried forward in the fund for the fiscal year next succeeding. The
fund may be used to make grants-in-aid, loans or deferred loans authorized by subsection
(b) of this section.
(b) The state, acting by and in the discretion of the Commissioner of Economic and
Community Development, in consultation with the Secretary of the Office of Policy
and Management, may enter into a contract to provide state financial assistance in the
form of a grant-in-aid, loan, deferred loan or combination thereof to municipalities
located within the planning regions in which the pilot program is established, upon the
approval of the regional fair housing compact as provided in section 8-386. In the case
of a deferred loan, the contract shall require that payments on interest are due immediately but that payments on principal may be made at a later time. Notwithstanding the
provisions of subsection (d) of section 4-86, funds appropriated to any state agency for
payment to local governments for purposes related to or necessary for the development
of housing in the regions, including but not limited to the purposes contained in this
subsection, other than those for which distribution is governed by statutory formula,
may be made available for the pilot program authorized under section 8-386 upon the
recommendation of the Governor and approval of the Finance Advisory Committee.
The grants-in-aid, loans, deferred loans or combinations thereof authorized under this
subsection and any additional funds made available for the pilot program as provided
in this subsection shall be used by the municipalities in said regions for the purpose of
planning, construction or renovation of housing and for any of the following when
necessary to support the development of housing within such municipalities in accordance with the regional fair housing compact: (1) Sanitary sewer lines, including interceptors, laterals and pumping stations; (2) natural gas, electric, telephone and telecommunications pipes, wires, conduits and other facilities and waterlines and water supply
facilities, except for any such pipes, wires, conduits, waterlines or facilities which a
public service company, as defined in section 16-1, a water company, as defined in
section 25-32a, or a municipal utility is required to install pursuant to any provision of
the general statutes, or any special act, a regulation or order of the Department of Public
Utility Control or a certificate of public convenience and necessity; (3) storm drainage
facilities, including facilities to control flooding; (4) public roadways and related appurtenances; (5) community septic systems approved by the Department of Environmental
Protection, provided administrative costs directly related to such construction or renovation shall not exceed five per cent of the total grant or loan from the department. Such
grants-in-aid, loans, deferred loans or combinations thereof shall be awarded in such
amounts and upon such conditions as the commissioner, in consultation with the secretary, may prescribe by regulation except that no grant-in-aid, loan, or deferred loan or
combination thereof shall be made to any municipality that has not approved a housing
compact prepared under section 8-386.
(P.A. 87-550, S. 6, 10; P.A. 88-334, S. 4, 7; 88-364, S. 91, 123; P.A. 90-205, S. 2; 90-238, S. 23, 32; P.A. 92-166, S.
25, 31; P.A. 94-95, S. 5; P.A. 95-250, S. 1; P.A. 96-211, S. 1, 5, 6.)
History: P.A. 88-334 and 88-364 made technical changes to Subsec. (b); P.A. 90-205 amended Subsec. (b) to prohibit
grants to municipalities that have not approved a housing compact; P.A. 90-238 amended Subsec. (a) to allow, rather than
require, that the fund be used to make grants-in-aid or loans under Subsec. (b); P.A. 92-166 amended Subsec. (a) to make
deferred loans a form of financial assistance available under the section and to provide that payments on interest are due
immediately but that payments on principal may be made at a later time and amended Subsec. (a) to make technical changes
consistent with changes in Subsec. (b); P.A. 94-95 in Subsec. (a) eliminated provision requiring investment earnings to
be credited to assets of the fund; P.A. 95-250 and P.A. 96-211 replaced Commissioner and Department of Housing with
Commissioner and Department of Economic and Community Development.