Senate Bill No. 576 establishes the Learn Here, Live Here program, which is to be implemented by the Commissioner of Economic and Community Development in collaboration with other state officials by October 1, 2025. The program is designed to encourage graduates from various educational institutions in Connecticut to purchase their first homes in the state. Eligible participants, defined as those graduating on or after January 1, 2026, with an annual federal adjusted gross income not exceeding $75,000, can segregate up to $2,500 of their income tax liability annually into a first-time homebuyers account, with a total cap of $5 million for all participants in any calendar year. The bill also includes provisions for repayment if participants relocate out of state within five years of receiving funds.

The legislation repeals and replaces existing statutes related to the program, increasing the annual expenditure cap from $1 million to $5 million and expanding eligibility to include in-state high school graduates. It also mandates the development of a public education program to inform recent graduates about the Learn Here, Live Here initiative and related home-buying information, to be implemented by January 1, 2026. The bill incurs additional costs for administrative expenses and marketing, with an estimated one-time setup cost of $100,000 for the Department of Revenue Services to manage the tax provisions. Overall, the program aims to assist graduates in saving for their first home while ensuring that unutilized funds are returned to the General Fund if not used within a specified timeframe or if participants move out of state within five years.

Statutes affected:
Committee Bill: 32-4i, 32-4k
CE Joint Favorable: 32-4i, 32-4k
File No. 422: 32-4i, 32-4k