Governor's Bill No. 16 is a comprehensive legislative proposal that seeks to implement the Governor's budget recommendations by amending various sections of the general statutes. The bill includes the repeal of certain fees for licensure of registered nurses, advanced practice registered nurses, and licensed practical nurses, as well as fees related to family child care home licensing and educator certificates. It also introduces changes to the Municipal Revenue Sharing Fund, including the establishment of the fund as a separate, nonlapsing entity and the provision of grants to municipalities and districts with high mill rates. The bill outlines the calculation and disbursement of motor vehicle property tax grants and other supplemental revenue sharing grants, with specific amounts listed for eligible entities.

The bill sets fiscal constraints for municipalities, stipulating that no grants will be given to municipalities that increase their adopted budget expenditures beyond a certain threshold, adjusted for population growth. It defines "adopted budget expenditures" and excludes certain types of expenditures from this definition. The bill also mandates that tax bills include a statement about state aid and the consequences of municipal overspending, and allows for electronic delivery of tax bills with taxpayer consent. Additionally, the bill amends sections related to the deposit of tax amounts into the Municipal Revenue Sharing Fund, the workforce housing opportunity development program, and provides a tax credit for residents who have paid income tax to another state but were denied a refund for taxes paid on income earned in Connecticut. It also amends the subtraction modifications for Connecticut adjusted gross income, addressing various types of income and their tax treatment.

The bill proposes changes to the tax treatment of pension and annuity income, as well as distributions from individual retirement accounts (IRAs), with a phased approach to increasing the deduction percentages based on the taxpayer's income level. It also includes provisions for deductions related to organ donation expenses, crumbling foundations assistance, and disallowed Section 179 deductions. The bill addresses the management of the Special Transportation Fund, requiring the Treasurer to report on its use and to implement debt reduction strategies if the fund's balance exceeds a certain threshold. It also requires the State Treasurer to submit detailed financial reports annually and mandates monthly reports to legislative committees on financial matters. The bill specifies the disbursement of the Tobacco Settlement Fund to the General Fund for the fiscal year ending June 30, 2025, and authorizes the Treasurer to invest parts of the Tobacco Settlement Fund and the Tobacco and Health Trust Fund. It repeals the investment authorization for the Biomedical Research Trust Fund and outlines transfers from various funds to the General Fund.

Finally, the bill repeals several sections of the general statutes and inserts new legal language, with most effective dates set for July 1, 2024, and some provisions effective from the date of passage or other specified dates. The bill's changes are intended to align with the Governor's budgetary objectives, and it indicates that proposed deletions from the current law are enclosed in brackets, while proposed additions are indicated by underline, except when the entire text of a bill or section is new.

Statutes affected:
Governor's Bill: 20-93, 20-96, 4-66o, 3-37, 3-20i, 12-18d