Substitute Bill No. 7112 aims to tackle housing and homelessness issues in Connecticut by establishing a study and task force focused on affordable housing initiatives. The bill requires the majority leaders' roundtable group on affordable housing to conduct a feasibility study on creating an Affordable Housing Real Estate Investment Trust, which would acquire housing units for long-term retention as affordable housing through deed restrictions. A report on the findings is due by January 1, 2026. Additionally, the bill creates a task force to explore a housing opportunity tax credit for landlords who rent to formerly incarcerated individuals, offering a tax credit equal to 25% of the rental income. The bill also repeals Section 7-246 of the general statutes, replacing it with new provisions regarding municipal water pollution control authorities and their plans to support multifamily housing development.

The bill introduces significant changes to zoning regulations, prohibiting municipalities from imposing certain restrictions on nonconforming uses and establishing minimum lot sizes greater than one acre for residential construction. It also mandates that municipalities cannot install "hostile architecture" to deter homeless individuals from public spaces. Furthermore, the bill modifies the Community Investment Fund 2030 by creating a new board to oversee projects promoting economic and community development, with a focus on equitable treatment for underserved populations. It increases bond issuance limits for affordable housing projects and allocates funds for various housing initiatives, including a pilot program for direct rental assistance and portable facilities for individuals experiencing homelessness. Overall, the bill seeks to enhance housing accessibility and support vulnerable populations while limiting restrictive zoning practices.

Statutes affected:
Raised Bill: 7-246, 8-2, 8-345, 32-285a
HSG Joint Favorable Substitute: 7-246, 8-2, 32-285a
File No. 274: 7-246, 8-2, 32-285a
FIN Joint Favorable: 7-246, 8-2, 32-285a