Substitute House Bill No. 5336, also known as "AN ACT IMPLEMENTING THE RECOMMENDATIONS OF THE CONNECTICUT HOUSING AND SEGREGATION STUDY," introduces changes to Connecticut's housing assistance programs, particularly the Rental Assistance Program (RAP), Moderate Rental Housing Program, and Elderly Rental Assistance Program. The bill requires the Commissioner of Housing to annually assess housing assistance payments under the federal Housing Choice Voucher Program starting January 1, 2025, and align state housing assistance payments with federal levels. It also changes the frequency of reexaminations for continued eligibility from annual to biennial, unless federal law dictates otherwise. The bill includes a new requirement for the Commissioner of Housing, in coordination with the Connecticut Housing Finance Authority (CHFA), to adopt a qualified allocation plan by August 1, 2025, that prioritizes developments based on the need for affordable housing units in the planning region and whether the municipality has not previously received funding through the federal Low-Income Housing Tax Credit Program. The bill is effective from October 1, 2024.

The bill also includes insertions and deletions in the existing statutes. It repeals and substitutes language in Section 8-345(g) of the 2024 supplement to the general statutes, requiring the commissioner to adopt regulations for rental assistance eligibility and assistance amounts, with a significant insertion that reexamination of a family's eligibility for rental assistance should not occur more frequently than biennially. Amendments to Section 8-72 include provisions for efficient management of housing projects, biennial income eligibility reexaminations, and penalties for false statements about family income. The bill extends the period between required recertifications of family income from twelve to twenty-four months, with exceptions for decreased income. The fiscal impact statement indicates potential costs exceeding $1 million to the Department of Housing (DOH) beginning in FY 26 and biennially thereafter, and up to $75,000 annually for assessments of housing assistance payments. The bill also requires DOH to conduct an assessment of housing assistance payments under the federal Housing Choice Voucher program, which could incur a cost of up to $75,000 annually if the assessment includes all Connecticut public housing authorities.

Statutes affected:
HSG Joint Favorable Substitute: 8-72
File No. 110: 8-72