Sec. 8-169jj. Purposes of authority. Powers.
Sec. 8-169ll. Member municipalities; joint member entities. Appointment of local development board.
Sec. 8-169tt. Approval of housing growth zones.
Sec. 8-169aa. Appointment of receiver to rehabilitate abandoned and blighted property. Petition to superior court. Powers and duties of receivers. Disposition of property. Termination of receivership. Exceptions. (a) As used in this section:
(1) “Abandoned property” means any building that meets the conditions described in subdivision (2) of subsection (c) of this section;
(2) “Actively marketed” means (A) a sign has been placed on a property advertising sale of such property, (B) the owner of such property has (i) hired a real estate broker or salesperson, licensed pursuant to section 20-312, to include the property in the multiple listing service or to otherwise market the property, (ii) placed advertisements weekly, or more frequently, in print or electronic media, or (iii) distributed printed advertisements, and (C) such sign contains accurate contact information for such owner or real estate broker or salesperson;
(3) “Building” means a residential, commercial or industrial structure and the land appurtenant to such structure, including any vacant lot on which such structure was demolished;
(4) “Competent entity” means a person or entity, including a governmental unit, with experience in the rehabilitation of buildings and the ability to provide or obtain the necessary financing for such rehabilitation;
(5) “Costs of rehabilitation” means each expense for construction, stabilization, restoration, maintenance, operation or demolition of a building, or any action reasonably associated with the rehabilitation of a building, including, but not limited to, environmental remediation and architectural, engineering, legal, financing, permit and receiver's fees;
(6) “Development organization” means a nonprofit corporation established, in part, to carry out the purposes of blight remediation, community development, economic development, historic preservation or promotion or enhancement of affordable housing opportunities;
(7) “Historic property” means a property listed on the National Register of Historic Places, a contributing property in a national register historic district or a property located in an historic district established pursuant to section 7-147c;
(8) “Immediate family” means a parent, spouse, child or sibling;
(9) “Lienholder of record” means a lienholder owning a valid interest in the abandoned property, which interest is recorded in the land records of the municipality in which such abandoned property is located;
(10) “Municipal code” means any building, housing, blight, property maintenance, fire, health or other public safety ordinance enacted by a municipality;
(11) “Owner” means the holder or holders of title to, or of legal or equitable interest in, a building, and shall include, provided any such interest is a matter of public record, any heir, assignee, trustee, beneficiary or lessee of such building;
(12) “Party in interest” means any person or entity with a direct and immediate interest in a building, including (A) an owner of such building, (B) a lienholder or other secured creditor of such an owner, (C) a resident of or business owner in the municipality in which such building is located, provided such resident's residence or such owner's business is located less than one thousand feet from such building, (D) a development organization (i) in the municipality in which such building is located, and (ii) that has participated in a project in line with such organization's purpose within a five-mile radius of such building, or (E) the municipality in which such building is located;
(13) “Receiver” means any person or entity that takes possession of a building pursuant to the provisions of this section for the purpose of rehabilitating such building or otherwise disposing of such building; and
(14) “Substantial rehabilitation” means (A) the costs of any repair, replacement or improvement to a building exceed fifteen per cent of the value of such building after the completion of all such repairs, replacements or improvements, or (B) the replacement of two or more of the following: (i) Roof structures, (ii) ceilings, (iii) wall or floor structures, (iv) foundations, (v) plumbing systems, (vi) heating and air conditioning systems, or (vii) electrical systems.
(b) (1) In any municipality with a population of fifteen thousand or more, a party in interest may file a petition for the appointment of a receiver to take possession and undertake rehabilitation of a building within such municipality, which petition shall be filed in the superior court for the judicial district in which such building is located. The proceeding on the petition shall constitute an action in rem.
(2) (A) The petition shall include a sworn statement of the petitioner that, to the best of his or her knowledge, the building meets the conditions described in subdivision (2) of subsection (c) of this section on the date the petition is filed. The petition shall also include, to the extent available to the petitioner after his or her reasonable efforts to obtain the following information, (i) a copy of any citation or order charging the owner of the building with being in violation of municipal code requirements or determining the building to be a public nuisance, blighted or unfit for human occupancy or use, (ii) a recommendation for appointment as receiver for the building, (iii) a preliminary plan detailing (I) initial cost estimates of rehabilitation of the building for purposes of compliance with the applicable municipal code and plan for the area adopted by the municipality in which the building is located, and (II) anticipated funding sources, and (iv) a schedule of each mortgage, lien or other encumbrance on the building.
(B) The petition may include any other property adjacent to the building, provided (i) such other property is owned by the same owner as the building, and (ii) the building and each such property are used for a single or interrelated purpose.
(3) A true copy of the petition shall be served on the owner of the building and each lienholder of record, including any municipality, unless such municipality is the petitioner, in the manner provided by section 52-57. In addition, the petitioner shall record a notice of lis pendens with the clerk of such municipality, in the manner provided by section 52-325.
(c) (1) The court shall hold a hearing on the petition and issue a decision after completion of the hearing.
(2) The court may appoint a receiver for the building if the court finds that, on the date the petition was filed, each of the following conditions applied:
(A) The building has not been legally occupied for at least the twelve months immediately preceding the date of such filing;
(B) The owner fails to present compelling evidence, as determined by the court, that the owner has (i) actively marketed the building during the sixty days immediately preceding the date of such filing, and (ii) made a good faith effort to sell the building at a price reflective of circumstances and market conditions;
(C) The building is not subject to a pending foreclosure action by an individual or nongovernmental entity;
(D) The owner fails to present compelling evidence, as determined by the court, that the owner acquired the building during the twelve months immediately preceding the date of such filing, except that the provisions of this subparagraph shall not apply when ownership of such building is in dispute in any other legal proceeding. For the purposes of this subparagraph, “compelling evidence” does not include evidence that (i) the prior owner is a member of the immediate family of such owner, unless the change in ownership resulted from the death of the prior owner, and (ii) such owner or the prior owner is a corporation, partnership or other entity of which an interest in excess of five per cent is held by a principal, or a member of the immediate family of such principal, of such owner or the prior owner; and
(E) The court finds at least three of the following:
(i) The building is a public nuisance, blighted or unfit for human occupancy or use pursuant to the applicable municipal code;
(ii) The building requires substantial rehabilitation, and no effort to rehabilitate the building has been made during the twelve months immediately preceding the date of such filing;
(iii) The condition and any vacancy of the building materially increase the risk of fire to the building and any adjacent property;
(iv) The building is susceptible to unauthorized entry and resulting potential health and safety hazards, and (I) the owner has failed to take reasonable and necessary measures to secure the building, or (II) the municipality has secured the building as a result of the failure by the owner;
(v) The building is an attractive nuisance to children as a result of the presence of abandoned wells, shafts, basements, excavations and other unsafe structures;
(vi) The building is an attractive nuisance for illicit purposes, including, but not limited to, prostitution, drug use and vagrancy;
(vii) The presence of vermin or the accumulation of debris, uncut vegetation or physical deterioration of the building creates potential health and safety hazards, and the owner has failed to take reasonable and necessary measures to remove such hazards; or
(viii) The appearance or other condition of the building negatively impacts the economic well-being of residents or businesses in close proximity to the building, which impact may include decrease in property values or loss of business, and the owner has failed to take reasonable and necessary measures to remedy the appearance or other condition.
(3) (A) Except as provided in subdivision (4) of this subsection, if the court determines that the building is an abandoned property and appoints a receiver pursuant to subdivision (2) of this subsection, the court shall certify the schedule of each mortgage, lien or other encumbrance on such abandoned property and may grant other relief as the court deems just and appropriate. Such certification shall be binding with respect to each mortgage, lien or other encumbrance, including any municipal lien, arising or attaching to the abandoned property prior to the date of such petition.
(B) The court shall give the most senior nongovernmental lienholder of record on the abandoned property first consideration for appointment as receiver.
(C) If such lienholder is found not competent or declines the appointment, the court may appoint a development organization or other competent entity as receiver, if such organization or entity agrees to serve as receiver. In appointing a receiver pursuant to this subparagraph, the court shall (i) consider any recommendation contained in the petition or otherwise presented by the petitioner or other party in interest, and (ii) give preference to a development organization or governmental unit over an individual.
(4) If the court determines that the building is an abandoned property and the owner represents that the conditions described in subdivision (2) of this subsection will be remedied in a reasonable period, the court may permit the owner to remedy the conditions by issuing an order that if the conditions are not remedied by the date set forth in the order, or if other specified remedial efforts have not occurred by the date or dates set forth in the order, the relief requested in the petition shall be granted.
(5) Upon a finding that the building is an abandoned property in accordance with subdivision (3) or (4) of this subsection, or that the owner is electing to sell the building, the owner shall reimburse the petitioner for all costs incurred in the preparation and filing of the petition as determined by the court.
(6) Upon appointment of the receiver by the court, the receiver (A) shall promptly take possession of the abandoned property and exercise the powers described in subsection (d) of this section, and (B) may file a lien against the abandoned property in an amount based on the costs incurred during the receivership, including, but not limited to, costs of rehabilitation, attorneys' fees and court costs, which amount may be adjusted as necessary.
(7) The court may remove the receiver at any time upon request of such receiver or showing by the petitioner or any party to such action that such receiver is not carrying out the duties described in subsection (d) of this section.
(d) (1) A receiver appointed pursuant to this section shall have all powers necessary and appropriate, as approved by the court, for the efficient operation, management and improvement of the abandoned property in order to bring the same into compliance with municipal code requirements and fulfill all duties described in this subsection. Subject to approval of the court, the powers and duties shall include, but not be limited to:
(A) Taking possession and control of the abandoned property and any personal property of the owner used with respect to the abandoned property;
(B) Collecting outstanding accounts receivable;
(C) Pursuing all claims or causes of action of the owner with respect to the property described in subparagraph (A) of this subdivision;
(D) Contracting for the repair and maintenance of the abandoned property, provided the receiver shall make a reasonable effort to solicit three bids for any contract valued at more than twenty-five thousand dollars unless the contractor or developer provides or obtains financing for the receivership, and each of which contract shall be appropriately documented and included in the reports and accounting required to be submitted or filed by the receiver pursuant to this section;
(E) Borrowing money and incurring credit in accordance with subsection (f) of this section;
(F) Contracting and paying for the maintenance and restoration of utilities to the abandoned property;
(G) Purchasing materials, goods and supplies to repair and operate the abandoned property;
(H) Entering into a rental contract or lease for a period of time not to exceed twelve months, provided the court shall approve any such contract or lease;
(I) Affirming, renewing or entering into contracts providing for insurance coverage on the abandoned property;
(J) Engaging and paying legal, accounting, appraisal and other professionals to assist such receiver in such receivership;
(K) If such building was designated an historic property prior to determination by the court as an abandoned property, consulting with the municipality's historical commission or board of historical and architectural review, or a local historic preservation organization, for any recommendation on preserving the historic character of such abandoned property;
(L) Applying for and receiving public grants and loans;
(M) Selling the building in accordance with subsection (g) of this section; and
(N) Exercising any right a property owner would have to improve, maintain and otherwise manage such property, including to the extent necessary to carry out the purposes of this section.
(2) While in possession and control of the abandoned property, such receiver shall:
(A) Maintain, safeguard and insure such property;
(B) Apply all revenue generated from such property consistent with the provisions of this section;
(C) Develop a receiver's plan for abatement of the conditions described in subdivision (2) of subsection (c) of this section or, if no such plan can feasibly be developed, a receiver's plan for alternatives such as the closing, sealing or demolition of all or part of the abandoned property, provided (i) if the building was designated an historic property prior to determination by the court as an abandoned property, the receiver's plan for abatement shall provide for the rehabilitation of architectural features that define the historic character of such property, and (ii) if demolition of an abandoned property located in an historic district is necessary, the receiver's plan for alternatives shall provide for the design of any replacement construction on the site of the demolition to comply with law;
(D) Implement the receiver's plan developed pursuant to subparagraph (C) of this subdivision, provided the court shall approve such plan; and
(E) Annually, or more frequently if the court deems appropriate, submit a status report to the court and each party to the action, which report shall include (i) a copy of any contract entered into by the receiver regarding the rehabilitation of the abandoned property, (ii) an account of the disposition of all revenue generated from such property, (iii) an account of all expenses, repairs and improvements, (iv) the status of developing and implementing the receiver's plan described in subparagraph (C) of this subdivision, and (v) a description of any proposed action to be taken in the six months following the date of submission of the status report to rehabilitate such property.
(3) (A) At the time such court appoints a receiver pursuant to subdivision (2) of subsection (c) of this section, the receiver may present for the court's approval a receiver's plan described in subparagraph (C) of subdivision (2) of this subsection. If no such plan is presented, the hearing date on such plan shall be set not later than one hundred twenty days after the appointment and the receiver shall submit such plan to the court and each party to the action not later than thirty days prior to the hearing on such plan.
(B) Such plan shall (i) include a cost estimate, a financing plan and either (I) a description of the rehabilitation to be done for the abandoned property, or (II) if rehabilitation is not feasible, a proposal for the closing, sealing or demolition of such property, and (ii) conform with the applicable municipal code, plan for the area adopted by the municipality in which such building is located and historic preservation requirements.
(C) At the time of the hearing on the receiver's plan, each party to the action may comment on such plan and the court shall consider all comments when assessing the feasibility of such plan and proposed financing. In making its determination for approving such plan, the costs of such receivership or sale of the abandoned property, the court shall give reasonable regard to the receiver's assessment of the scope and necessity of work to be done for rehabilitation or demolition, as applicable, of the property.
(D) The court shall issue a decision approving such receiver's plan or requiring that such plan be amended, in which case another hearing date shall be set.
(4) Upon implementation of such receiver's plan approved by the court, the receiver shall file with the court a full accounting of all income and expenditures during the time from approval of the plan to such implementation.
(e) (1) The receiver appointed pursuant to subdivision (2) of subsection (c) of this section shall be deemed to have powers and authority equivalent to ownership and legal control of the abandoned property for the purposes of filing plans with any public agency or board, seeking or obtaining construction permits or other approvals and submitting applications for financing or other assistance to public or private entities.
(2) Notwithstanding the provisions of subdivision (1) of this subsection, nothing in this section shall be construed to relieve the owner of a building that has been determined to be an abandoned property pursuant to subdivision (2) of subsection (c) of this section of any civil or criminal liability or of any obligation to pay any tax, municipal lien or charge, mortgage, private lien or other fee or charge incurred before or after the appointment of the receiver, and no such liability shall transfer to the receiver.
(3) Notwithstanding any provision of the general statutes, the receiver shall not be liable for any environmental damage to a building that has been determined to be an abandoned property pursuant to subdivision (2) of subsection (c) of this section, which environmental damage existed prior to such determination and the appointment of such receiver. The owner of the building shall be held liable for the environmental damage.
(f) (1) The receiver may borrow money or incur indebtedness in order to cover the costs of rehabilitation or otherwise fulfill any duty described in subsection (d) of this section.
(2) For the purpose of facilitating the borrowing of moneys for the costs of rehabilitation, the court may grant priority status to a lien given to secure payment on a debt incurred for the purposes authorized under this section, provided (A) the receiver sought to obtain the necessary financing from the most senior, nongovernmental lienholder and such lienholder declined to provide financing on reasonable terms for any reasonable improvement or other costs of rehabilitation, and (B) lien priority is necessary to induce another lender to provide financing on reasonable terms.
(3) If the most senior, nongovernmental lienholder agrees to provide financing for the costs of rehabilitation, any moneys lent to cover such costs shall be deemed added to such lienholder's preexisting first lien.
(4) The court may approve financing for the costs of rehabilitation, the terms of which may include deferred repayment and use restrictions. Such terms may remain with the rehabilitated property after the termination of the receivership and be assumed by (A) the owner of the building that was determined to be an abandoned property pursuant to subdivision (2) of subsection (c) of this section, if such owner regains possession of the rehabilitated property, or (B) a purchaser of the rehabilitated property pursuant to subsection (g) of this section.
(g) (1) If an abandoned property is sold by the owner or foreclosed upon by any lienholder, or if any interest in such property is transferred, the sale, foreclosure or transfer shall be subject to the receivership.
(2) Upon application of the receiver, the court may order the sale of the abandoned property if the court finds that (A) notice and an opportunity to provide comment to the court was given to each record owner of such property and each lienholder of record, (B) the receiver has been in control of such property for more than three months and the owner has not successfully petitioned to terminate the receivership pursuant to subsection (h) of this section, and (C) the terms and conditions of the sale are acceptable to the court and the purchaser of such property is reasonably likely to maintain such property.
(3) The court may authorize the receiver to sell the abandoned property free and clear of any lien, claim and encumbrance, provided the proceeds of the sale are distributed at settlement pursuant to subdivision (4) of this subsection and such distribution is approved by the court. If the proceeds are insufficient to pay each lien, claim and encumbrance, the proceeds shall be distributed according to the priorities set forth in said subdivision and each unpaid lien, claim and encumbrance that has not been assumed pursuant to subdivision (4) of subsection (f) of this section shall be extinguished.
(4) The proceeds of any such sale approved by the court shall be distributed as follows, in order of priority:
(A) Court costs;
(B) Except as provided in subparagraph (G) of this subdivision, liens of the state, liens for unpaid property taxes and properly recorded municipal liens, except as to any such lien that has been sold or transferred;
(C) Costs and expenses of sale;
(D) Principal and interest on any borrowing or incurrence of indebtedness that was granted priority over existing liens and security interests pursuant to subdivision (2) of subsection (f) of this section;
(E) Costs incurred by such petitioner in preparing and filing the petition in accordance with the requirements of subsection (b) of this section;
(F) Costs of rehabilitation and any fee or expense incurred by the receiver in connection with the sale or the safeguarding of the abandoned property for which the lien authorized under subparagraph (B) of subdivision (6) of subsection (c) of this section was filed;
(G) Liens of the state, liens for unpaid property taxes and properly recorded municipal liens that have been sold or transferred;
(H) Valid liens and security interests in accordance with the priority of the liens and interests;
(I) Unpaid obligations of the receiver; and
(J) The owner of the building that was determined to be an abandoned property pursuant to subdivision (2) of subsection (c) of this section.
(5) If at the time of the distribution of the proceeds of the sale the owner cannot be located, the proceeds of the sale that belong to the owner shall be (A) presumed unclaimed and forfeited, (B) subject to the custody and control of the municipality in which the sold property is located, and (C) used for all associated costs to the municipality for the security and remediation of blight and enforcement of any regulation enacted pursuant to subparagraph (H)(xv) of subdivision (7) of subsection (c) of section 7-148.
(6) At the conclusion of any such sale and distribution of proceeds, the receiver shall draft a deed stating that recognizable and marketable title to such property is vested in the purchaser of such property and that any prior ownership interest in such abandoned property has been extinguished. Upon approval of such deed by the court and filing in the land records of the municipality in which such property is located, transfer of ownership of such property shall be deemed fully effectuated.
(h) Upon request of the receiver or any party in interest, the court may order the termination of a receivership of an abandoned property if the court finds:
(1) The purposes of the receivership have been fulfilled, such as the remediation or abatement of the conditions described in subdivision (2) of subsection (c) of this section and the payment of or provision for each obligation, expense and improvement of the receivership, including any fee or expense incurred by the receiver;
(2) The owner, a mortgagee or a lienholder has requested the receivership be terminated and has provided adequate assurance to the court that the purposes of the receivership will be fulfilled, such as the remediation or abatement of the conditions described in subdivision (2) of subsection (c) of this section and the payment of or provision for each obligation, expense and improvement of such receivership, including any fee or expense incurred by such receiver;
(3) The abandoned property has been sold by the receiver and the proceeds of the sale have been distributed in accordance with subdivision (4) of subsection (g) of this section; or
(4) The receiver has been unable, after diligent effort, to (A) develop a receiver's plan pursuant to subparagraph (C) of subdivision (2) of subsection (c) of this section for approval by the court, (B) implement any court-approved plan, or (C) fulfill the purposes of the receivership for any reason.
(i) The provisions of this section shall not apply (1) to any commercial or residential building, structure or land owned by or held in trust for the United States government and regulated under the United States Housing Act of 1937, as amended from time to time, and regulations promulgated under such act, and (2) if the owner of a building that would be determined by a court to be an abandoned property pursuant to this section has vacated such building to perform military service in time of war or armed conflict or to assist relief efforts during a declared federal or state emergency as a member of the United States armed forces or any reserve component of such armed forces.
(P.A. 19-92, S. 1; P.A. 23-33, S. 1.)
History: P.A. 19-92 effective January 1, 2020; P.A. 23-33 amended Subsec. (b) to reduce the population threshold from 35,000 to 15,000 for municipalities in which parties in interest may petition for the appointment of a receiver to rehabilitate blighted real property.
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Sec. 8-169hh. Definitions. For purposes of this section and sections 8-169ii to 8-169tt, inclusive:
(1) “As of right” has the same meaning as provided in section 8-1a;
(2) “Authority” means the Connecticut Municipal Redevelopment Authority established in section 8-169ii;
(3) “Authority development project” means a project occurring within the boundaries of a Connecticut Municipal Redevelopment Authority development district;
(4) “Connecticut Municipal Redevelopment Authority development district” or “development district” means the area determined by a memorandum of agreement between the authority and the chief executive officer of the member municipality, or the chief executive officers of the municipalities constituting a joint member entity, as applicable, where such development district is located, provided such area shall be considered a downtown or does not exceed a one-half-mile radius of a transit station;
(5) “Designated tier III municipality” has the same meaning as provided in section 7-560;
(6) “Designated tier IV municipality” has the same meaning as provided in section 7-560;
(7) “Downtown” means a central business district or other commercial neighborhood area of a community that serves as a center of socioeconomic interaction in the community, characterized by a cohesive core of commercial and mixed-use buildings, often interspersed with civic, religious and residential buildings and public spaces, that are typically arranged along a main street and intersecting side streets and served by public infrastructure;
(8) “Member municipality” means any municipality that opts to join the Connecticut Municipal Redevelopment Authority in accordance with section 8-169ll. “Member municipality” does not include the city of Hartford or any municipality that is considered part of the capital region, as defined in section 32-600;
(9) “Middle housing” has the same meaning as provided in section 8-1a;
(10) “Joint member entity” means two or more municipalities that together opt to join the Connecticut Municipal Redevelopment Authority in accordance with section 8-169ll, provided no such municipality is considered part of the capital region, as defined in section 32-600;
(11) “Project” means any or all of the following: (A) The design and construction of transit-oriented development, as defined in section 13b-79kk; (B) the creation of housing units through rehabilitation or new construction; (C) the demolition or redevelopment of vacant buildings; and (D) development and redevelopment;
(12) “State-wide transportation investment program” means the planning document developed and updated at least every four years by the Department of Transportation in compliance with the requirements of 23 USC 135, listing all transportation projects in the state expected to receive federal funding during the four-year period covered by the program; and
(13) “Transit station” means any passenger railroad station or bus rapid transit station that is operational, or for which the Department of Transportation has initiated planning or that is included in the state-wide transportation investment program, that is or will be located within the boundaries of a member municipality or the municipalities constituting a joint member entity.
(P.A. 19-117, S. 212; P.A. 23-120, S. 1; 23-204, S. 194.)
History: P.A. 23-120 made a technical change in Subdiv. (10), effective June 26, 2023; P.A. 23-204 defined the terms “as of right” and “middle housing”, redefined the terms “member municipality” and “joint member entity” and made a technical change, effective July 1, 2023 (Revisor's note: In codifying section 194 of public act 23-204, an incorrect reference to “section 195 of this act” was deemed by the Revisors to be a reference to “section 198” and therefore replaced “8-169ss” with “8-169tt” in the introductory clause).
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Sec. 8-169ii. Connecticut Municipal Redevelopment Authority established. Board of directors; appointments; record of proceedings; action. Authority's procedures for conduct. Termination. (a) There is hereby established and created a body politic and corporate, constituting a public instrumentality and political subdivision of the state established and created for the performance of an essential public and governmental function, to be known as the Connecticut Municipal Redevelopment Authority. The authority shall not be construed to be a department, institution or agency of the state.
(b) The powers of the authority shall be vested in and exercised by a board of directors, which shall consist of the following members: (1) One appointed by the speaker of the House of Representatives who has expertise in housing development; (2) one appointed by the president pro tempore of the Senate who has expertise in planning and zoning; (3) one appointed by the majority leader of the House of Representatives who is a certified planner; (4) one appointed by the majority leader of the Senate who has expertise in transit-oriented development; (5) one appointed by the minority leader of the House of Representatives who has expertise in regional planning; (6) one appointed by the minority leader of the Senate who has expertise in economic development; (7) three appointed by the Governor; and (8) the Secretary of the Office of Policy and Management, the Labor Commissioner and the Commissioners of Transportation, Energy and Environmental Protection, Public Health, Housing and Economic and Community Development, or their designees, who shall serve as ex-officio, voting members of the board.
(c) The Governor shall designate the chairperson of the board from among the members. All initial appointments shall be made not later than sixty days after October 1, 2023. All members shall be appointed by the original appointing authority for four-year terms. Any member of the board shall be eligible for reappointment. Any vacancy occurring other than by expiration of term shall be filled in the same manner as the original appointment for the balance of the unexpired term. The appointing authority for any member may remove such member for misfeasance, malfeasance or wilful neglect of duty.
(d) Each member of the board, before commencing such member's duties, shall take and subscribe the oath or affirmation required by section 1 of article eleventh of the Constitution of the state. A record of each such oath shall be filed in the office of the Secretary of the State.
(e) The board of directors shall maintain a record of its proceedings in such form as it determines, provided such record indicates attendance and all votes cast by each member. Any appointed member who fails to attend three consecutive meetings or who fails to attend fifty per cent of all meetings held during any calendar year shall be deemed to have resigned from the board. A majority of the members of the board then in office shall constitute a quorum, and an affirmative vote by a majority of the members present at a meeting of the board shall be sufficient for any action taken by the board. No vacancy in the membership of the board shall impair the right of a quorum to exercise all the rights and perform all the duties of the board. Any action taken by the board may be authorized by resolution at any regular or special meeting and shall take effect immediately unless otherwise provided in the resolution. The board may delegate to three or more of its members, or its officers, agents or employees, such board powers and duties as it may deem proper.
(f) The board of directors shall annually elect one of its members as a vice-chairperson, and shall elect other of its members as officers, adopt a budget and bylaws, designate an executive committee, report semiannually to the appointing authorities with respect to operations, finances and achievement of its economic development objective, be accountable to and cooperate with the state whenever the state may audit the Connecticut Municipal Redevelopment Authority or an authority development project or at any other time as the state may inquire as to either, including allowing the state reasonable access to any such project and to the records of the authority.
(g) The chairperson of the board, with the approval of the members of the board of directors, shall appoint an executive director of the authority who shall be an employee of the authority and paid a salary prescribed by the members. The executive director shall be the chief administrative officer of the authority and shall supervise the administrative affairs and technical activities of the authority in accordance with the directives of the board. The executive director shall not be a member of the board.
(h) No member of the board of directors may receive compensation for the performance of such member's official duties.
(i) Each member of the board of directors of the authority and the executive director shall execute a surety bond in the penal sum of at least one hundred thousand dollars, or, in lieu thereof, the chairperson of the board shall execute a blanket position bond or procure an equivalent insurance product covering each member, the executive director and the employees of the authority. Each surety bond or equivalent insurance product shall be conditioned upon the faithful performance of the duties of the office or offices covered, issued by an insurance company authorized to transact business in this state for surety or such insurance product. The cost of each such bond or insurance product shall be paid by the authority.
(j) No board member, or member of his or her immediate family, as defined in section 1-91, shall have or acquire any financial interest in (1) any authority development project, or (2) any property included or planned to be included in any such project or in any contract or proposed contract for materials or services to be used in such project.
(k) The authority shall have perpetual succession and shall adopt procedures for the conduct of its affairs in accordance with section 8-169kk. Such succession shall continue as long as the authority has bonds, notes or other obligations outstanding and until its existence is terminated by law, provided no such termination shall affect any outstanding contractual obligation of the authority and the state shall succeed to the obligations of the authority under any contract. Upon the termination of the existence of the authority, all its rights and properties shall pass to and be vested in the state.
(P.A. 19-117, S. 213; P.A. 23-204, S. 195.)
History: P.A. 23-204 amended Subsec. (b) by substantially modifying membership of the board of directors and amended Subsec. (c) by replacing “October 1, 2019” with “October 1, 2023”.
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Sec. 8-169jj. Purposes of authority. Powers. (a) The purposes of the Connecticut Municipal Redevelopment Authority shall be to: (1) Stimulate economic and transit-oriented development, as defined in section 13b-79kk, within Connecticut Municipal Redevelopment Authority development districts; (2) encourage residential housing development within development districts; (3) manage facilities through contractual agreement or other legal instrument; (4) stimulate new investment within development districts and provide support for the creation of vibrant, multidimensional downtowns; (5) upon request of the legislative body of a member municipality, or the legislative bodies of the municipalities constituting a joint member entity, as applicable, in which a development district is located, work with such municipality or municipalities to assist in development and redevelopment efforts to stimulate the economy of such municipality or municipalities; (6) upon request of the Secretary of the Office of Policy and Management and with the approval of the chief executive officer of a member municipality, or the chief executive officers of the municipalities constituting a joint member entity, as applicable, in which a development district is located, enter into an agreement to facilitate development or redevelopment within such development district; (7) encourage development and redevelopment of property within development districts; (8) engage residents of member municipalities, or municipalities constituting a joint member entity, as applicable, and other stakeholders in development and redevelopment efforts; (9) market and develop development districts as vibrant and multidimensional; and (10) provide financial support and technical assistance to municipalities to develop housing growth zones.
(b) For the purposes enumerated in subsection (a) of this section, the authority is authorized and empowered to:
(1) Have perpetual succession as a body politic and corporate and to adopt procedures for the regulation of its affairs and the conduct of its business, as provided in section 8-169kk;
(2) Adopt a corporate seal and alter the same at pleasure;
(3) Maintain an office at such place or places as it may designate;
(4) Sue and be sued in its own name, plead and be impleaded;
(5) Contract and be contracted with;
(6) (A) Employ such assistants, agents and other employees as may be necessary or desirable to carry out its purposes, which employees shall be exempt from the classified service and shall not be employees, as defined in subsection (b) of section 5-270; (B) establish all necessary or appropriate personnel practices and policies, including those relating to hiring, promotion, compensation, retirement and collective bargaining, which need not be in accordance with chapter 68. For the purposes of this subdivision, the authority shall not be an employer as defined in subsection (a) of section 5-270, and for the purposes of group welfare benefits and retirement, including, but not limited to, those provided under chapter 66 and sections 5-257 and 5-259, the officers and all other employees of the authority shall be state employees; and (C) engage consultants, attorneys and appraisers as may be necessary or desirable to carry out its purposes in accordance with sections 8-169ii to 8-169ss, inclusive;
(7) Acquire, lease, purchase, own, manage, hold and dispose of personal property, and lease, convey or deal in or enter into agreements with respect to such property on any terms necessary or incidental to carrying out the purposes set forth in this section;
(8) Procure insurance against any liability or loss in connection with its property and other assets, in such amounts and from such insurers as it deems desirable and procure insurance for employees;
(9) Invest any funds not needed for immediate use or disbursement in obligations issued or guaranteed by the United States or the state, including the Short Term Investment Fund and the Tax-Exempt Proceeds Fund, and in other obligations that are legal investments for savings banks in this state, and in-time deposits or certificates of deposit or other similar banking arrangements secured in such manner as the authority determines;
(10) Enter into such memoranda of agreement as the authority deems appropriate to carry out its responsibilities under this section; and
(11) Do all acts and things necessary or convenient to carry out the purposes of, and the powers expressly granted by, this section.
(c) In addition to the powers enumerated in subsection (b) of this section, the Connecticut Municipal Redevelopment Authority shall have the following powers with respect to authority development projects:
(1) (A) To acquire by gift, purchase, lease or transfer, lands or rights-in-land and to sell and lease or sublease, as lessor or lessee or sublessor or sublessee, any portion of its real property rights, including air space above, and enter into related common area maintenance, easement, access, support and similar agreements, and own and operate facilities associated with authority development projects, provided such activity is consistent with all applicable federal tax covenants of the authority; (B) to transfer or dispose of any property or interest therein acquired by the authority at any time; and (C) to receive and accept aid or contributions from any source of money, labor, property or other thing of value, to be held, used and applied to carry out the purposes of this section, subject to the conditions upon which such grants and contributions are made, including, but not limited to, gifts or grants from any department, agency or instrumentality of the United States or this state for any purpose consistent with this section, provided (i) the authority shall provide opportunity for public comment prior to any acquisition, transfer or disposal in accordance with this subdivision, and (ii) any land or right-in-land, aid or contribution received by the authority under this subdivision shall be subject to the provisions of chapter 10;
(2) To formulate plans for, acquire, finance and develop, lease, purchase, construct, reconstruct, repair, improve, expand, extend, operate, maintain and market facilities associated with authority development projects, provided such activities are consistent with all applicable federal tax covenants of the authority;
(3) To contract and be contracted with, provided if management, operating or promotional contracts or agreements or other contracts or agreements are entered into with nongovernmental parties with respect to property financed with the proceeds of obligations, the interest on which is excluded from gross income for federal income taxation, the board of directors shall ensure that such contracts or agreements are in compliance with the covenants of the authority upon which such tax exclusion is conditioned;
(4) To fix and revise, from time to time, and to charge and collect fees, rents and other charges for the use, occupancy or operation of authority development projects, and to establish and revise from time to time procedures concerning the use, operation and occupancy of facilities associated with such projects, including parking rates, rules and procedures, provided such arrangements are consistent with all applicable federal tax covenants of the authority, and to utilize net revenues received by the authority from the operation of such facilities, after allowance for operating expenses and other charges related to the ownership, operation or financing thereof, for other proper purposes of the authority, including, but not limited to, funding of operating deficiencies or operating or capital replacement reserves for such facilities and related parking facilities, as determined to be appropriate by the authority;
(5) To engage architects, engineers, attorneys, accountants, consultants and such other independent professionals as may be necessary or desirable to carry out authority development projects;
(6) To contract for construction, development, concessions and the procurement of goods and services, and to establish and modify procurement procedures from time to time in accordance with the provisions of section 8-169kk to implement the foregoing;
(7) To borrow money and to issue bonds, notes and other obligations of the authority to the extent permitted under section 8-169oo, to fund and refund the same and to provide for the rights of the holders thereof and to secure the same by pledge of assets, revenues and notes;
(8) To do anything necessary and desirable, including executing reimbursement agreements or similar agreements in connection with credit facilities, including, but not limited to, letters of credit or policies of bond insurance, remarketing agreements and agreements for the purpose of moderating interest rate fluctuations, to render any bonds to be issued pursuant to section 8-169oo more marketable; and
(9) To engage in and contract for marketing and promotional activities for authority development projects under the operation or jurisdiction of the authority.
(d) The Connecticut Municipal Redevelopment Authority and the Capital Region Development Authority, established pursuant to chapter 588x, may enter into a memorandum of agreement pursuant to which: (1) Administrative support and services, including all staff support necessary for the operations of the Connecticut Municipal Redevelopment Authority may be provided by the Capital Region Development Authority, and (2) provision is made for the coordination of management and operational activities that may include: (A) Joint procurement and contracting; (B) the sharing of services and resources; (C) the coordination of promotional activities; and (D) other arrangements designed to enhance revenues, reduce operating costs or achieve operating efficiencies. The terms and conditions of such memorandum of agreement, including provisions with respect to the reimbursement by the Connecticut Municipal Redevelopment Authority to the Capital Region Development Authority of the costs of such administrative support and services, shall be as the Connecticut Municipal Redevelopment Authority and the Capital Region Development Authority determine to be appropriate.
(e) The authority shall have the power to negotiate, and, with the approval of the Secretary of the Office of Policy and Management, to enter into an agreement with any private developer, owner or lessee of any building or improvement located on land in a development district providing for payments to the authority in lieu of real property taxes. Such an agreement shall be made a condition of any private right of development within the development district, and shall include a requirement that such private developer, owner or lessee make good faith efforts to hire, or cause to be hired, available and qualified minority business enterprises, as defined in section 4a-60g, to provide construction services and materials for improvements to be constructed within the development district in an effort to achieve a minority business enterprise utilization goal of ten per cent of the total costs of construction services and materials for such improvements. Such payments to the authority in lieu of real property taxes shall have the same lien and priority, and may be enforced by the authority in the same manner, as provided for municipal real property taxes. Such payments as received by the authority shall be used to carry out the purposes of the authority set forth in subsection (a) of this section.
(f) Nothing in sections 8-169ii to 8-169ss, inclusive, shall be construed as limiting the authority of the Connecticut Municipal Redevelopment Authority to enter into agreements to facilitate development or redevelopment of municipal property or facilities.
(P.A. 19-117, S. 214; P.A. 23-204, S. 196.)
History: (Revisor's note: In codifying this section, an incorrect reference to “section 8 of this act” was deemed by the Revisors to be a reference to “section 219” and codified as section 8-169oo); P.A. 23-204 amended Subsec. (a) to add Subdiv. (10) re development of housing growth zones.
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Sec. 8-169ll. Member municipalities; joint member entities. Appointment of local development board. (a)(1) Any municipality, except the city of Hartford or any municipality that is considered part of the capital region, as defined in section 32-600, may, by certified resolution of the legislative body of the municipality, opt to join the Connecticut Municipal Redevelopment Authority as a member municipality, provided such municipality holds a public hearing prior to any vote on such certified resolution.
(2) The legislative body of each member municipality shall appoint a local development board to serve as liaison to the authority. Such board (A) shall include three individuals representing the municipality and the chief executive officer of such municipality, who shall serve as chairperson of the board, and (B) may include, but need not be limited to, representatives from local health or human services organizations, local housing organizations, a local school district or education organization, and a local business organization. Such board shall also include one member of the board of directors of the authority, chosen by the chairperson of the board of directors of the authority. Each legislative body shall make a good faith effort to appoint representatives of minority-owned businesses, advocates for walkable communities and members who are geographically, racially, socioeconomically and gender diverse.
(3) Any municipality that opts to join the authority as a member municipality or that is deemed a member municipality pursuant to subsection (a) of this section shall enter into a memorandum of agreement with the authority for the establishment of one or more development districts.
(b) (1) Any two or more municipalities may, by certified concurrent resolutions of the legislative bodies of each such municipality, together opt to join the Connecticut Municipal Redevelopment Authority as a joint member entity, provided (A) no such municipality is considered part of the capital region, as defined in section 32-600, and (B) each such municipality holds a public hearing prior to any vote on the certified resolution from such municipality. The concurrent resolutions shall set forth an agreement of such municipalities as to authority for decisions concerning projects in development districts within such municipalities.
(2) The legislative bodies of the municipalities constituting a joint member entity shall jointly appoint a local development board to serve as liaison to the authority. Such board shall (A) include two individuals representing each such municipality and the chief executive officer of each such municipality, who shall serve as cochairperson of the board with the other chief executive officers, and (B) may include, but need not be limited to, representatives from local health or human services organizations, local housing organizations, a local school district or education organization and a local business organization. Such board shall also include one member of the board of directors of the authority, chosen by the chairperson of the board of directors of the authority. The legislative bodies of the municipalities constituting a joint member entity shall make a good faith effort to appoint representatives of minority-owned businesses, advocates for walkable communities and members who are geographically, racially, socioeconomically and gender diverse.
(3) Any two or more municipalities that together opt to join the authority as a joint member entity shall jointly enter into a memorandum of agreement with the authority for the establishment of one or more development districts.
(c) In consultation with the board of directors of the authority, a local development board appointed pursuant to subdivision (2) of subsection (a) or subdivision (2) of subsection (b) of this section shall have, with respect to authority development projects, all the powers enumerated in subdivision (8) of subsection (b) of section 8-169jj and in subdivisions (1) to (6), inclusive, of subsection (c) of said section.
(P.A. 19-117, S. 216; P.A. 23-204, S. 197.)
History: P.A. 23-204 amended Subsecs. (a)(1) and (b)(1) by deleting criteria re population of seventy thousand or more as determined by most recent decennial census and further amended Subsec. (a)(1) by deleting provision re designated tier III or tier IV municipality deemed a member municipality.
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Sec. 8-169mm. Reports to the Governor, Auditors of Public Accounts and General Assembly. Annual compliance and independent financial audits. Contract compliance officer; report. (a) In lieu of the report required under section 1-123, within the first ninety days of each fiscal year of the Connecticut Municipal Redevelopment Authority, the board of directors of the authority shall submit a report to the Governor, the Auditors of Public Accounts and the joint standing committee of the General Assembly having cognizance of matters relating to finance, revenue and bonding. Such report shall include, but not be limited to, the following: (1) A list of all bonds issued during the preceding fiscal year, including, for each such issue, the financial advisor and underwriters, whether the issue was competitive, negotiated or privately placed, and the issue's face value and net proceeds; (2) a description of each authority development project in which the authority is involved, its location and the amount of funds, if any, provided by the authority with respect to the construction of such project; (3) a list of all outside individuals and firms, including principal and other major stockholders, receiving in excess of five thousand dollars as payments for services; (4) an annual comprehensive financial report prepared in accordance with generally accepted accounting principles for governmental enterprises; (5) the cumulative value of all bonds issued, the value of outstanding bonds and the amount of the state's contingent liability; (6) the affirmative action policy adopted pursuant to section 8-169kk, a description of the composition of the workforce of the Connecticut Municipal Redevelopment Authority by race, sex and occupation and a description of the affirmative action efforts of the authority; and (7) a description of planned activities for the current fiscal year.
(b) The board of directors of the authority shall annually contract with a person, firm or corporation for a compliance audit of the authority's activities during the preceding authority fiscal year. The audit shall determine whether the authority has complied with the authority's policies and procedures concerning affirmative action, personnel practices, the purchase of goods and services and the use of surplus funds. The board shall submit the audit report to the Governor, the Auditors of Public Accounts and the joint standing committee of the General Assembly having cognizance of matters relating to finance, revenue and bonding.
(c) The board of directors of the authority shall annually contract with a firm of certified public accountants to undertake an independent financial audit of the Connecticut Municipal Redevelopment Authority in accordance with generally accepted auditing standards. The board shall submit the audit report to the Governor, the Auditors of Public Accounts and the joint standing committee of the General Assembly having cognizance of matters relating to finance, revenue and bonding.
(d) The authority shall designate a contract compliance officer from its staff to monitor compliance of the operations of facilities and parking facilities associated with authority development projects that are under the management or control of the authority, with (1) the provisions of state law applicable to such operations, and (2) applicable requirements of contracts entered into by the authority relating to set-asides for small contractors and minority business enterprises and required efforts to hire available and qualified members of minorities, as defined in section 32-9n. Each year during the period of operations of facilities associated with authority development projects, such officer shall file a written report with the authority as to findings and recommendations regarding such compliance.
(P.A. 19-117, S. 217; P.A. 23-197, S. 5.)
History: P.A. 23-197 amended Subsec. (a)(4) to change “a comprehensive annual financial report” to “an annual comprehensive financial report”.
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Sec. 8-169tt. Approval of housing growth zones. (a) As used in this section, “housing growth zone” means any area within a municipality in which applicable zoning regulations adopted pursuant to section 8-2 are designed to facilitate substantial development of new dwelling units consistent with subsection (c) of this section. Any housing growth zone shall encompass an entire development district and may include areas outside such district.
(b) Notwithstanding section 8-169jj, prior to the execution of any memorandum of agreement that establishes a development district, any chief executive officer of a member municipality, or the chief executive officers of the municipalities constituting a joint member entity, shall create a proposal for a housing growth zone and submit such proposal, including proposed zoning regulations applicable to such zone, for the Connecticut Municipal Redevelopment Authority's review and approval.
(c) (1) The authority shall approve any proposal submitted pursuant to subsection (b) of this section if the authority determines that the proposed zoning regulations applicable to the housing growth zone are likely to substantially increase the production of new dwelling units necessary to meet housing demand within the region.
(2) In making its determination pursuant to subdivision (1) of this subsection, the authority shall presume that any proposal that includes the following provisions is likely to substantially increase the production of new dwelling units: (A) The proposal permits middle housing as of right, and (B) except as provided in subparagraph (iv) of this subdivision, the proposal requires only the approval of the zoning board of appeals, planning commission, zoning commission or combined planning and zoning commission for the issuance of any applicable permits for any application that would result in a net increase of dwelling units other than middle housing units, provided such zoning board of appeals, planning commission, zoning commission or combined planning and zoning commission, with respect to any application submitted pursuant to this section, shall (i) have the same power to issue any permit or approval as any other municipal body or official who would otherwise act with respect to such application, (ii) hold a single public hearing not later than thirty days after the receipt of any such application, (iii) by majority vote, determine whether to approve or deny such application not later than thirty days after such public hearing, and (iv) upon the recommendation of the zoning board of appeals, planning commission, zoning commission or combined planning and zoning commission, require concurrent approval from any sewer commission, water commission, municipal wetlands commission, municipal conservation commission or board or municipal historic preservation commission of the municipality pursuant to a joint review process for such application by any such commission or board, as applicable, not later than thirty days after receipt of such application. The applicant shall file any such application with the zoning board of appeals, the planning commission, zoning commission or combined planning and zoning commission, which shall forward such application to such applicable commission or board to provide for such joint review if such review is recommended by such zoning board of appeals, planning commission, zoning commission or combined planning and zoning commission.
(3) In making its determination pursuant to subdivision (1) of this subsection whether a housing growth zone proposal is likely to substantially increase the production of new dwelling units, the authority shall consider whether the proposal (A) allows the development of new dwelling units without the requirement of any off-street parking spaces, (B) requires that ten per cent of units be sold or rented at, or below, prices which will preserve the units as housing for which persons and families pay thirty per cent or less of their annual income, where such income is less than or equal to eighty per cent of the median income, for any application involving a net increase of ten or more dwelling units, and (C) generally promotes residential diversity.
(d) Notwithstanding this chapter, no member municipality, nor the municipalities constituting a joint member entity, shall submit an application or request for funds for any authority development project pursuant to section 8-169nn, nor shall any bonds, notes or other obligations of the authority be issued to carry out such project, pursuant to section 8-169oo, until the member municipality, or the municipalities constituting a joint member entity, enacts all of the zoning regulations proposed in the housing zone growth proposal approved by the authority.
(P.A. 23-204, S. 198.)
History: P.A. 23-204 effective July 1, 2023.
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