House Bill No. 7205 proposes the establishment of a pilot program for the public financing of municipal chief executive officer campaigns in certain distressed municipalities for the 2027 municipal election. The bill defines "distressed municipality" in accordance with existing law and stipulates that the State Elections Enforcement Commission (SEEC) will oversee the program. Candidates who choose to participate must agree to limit their campaign fundraising and expenditures. Notably, public financing under this program will not be classified as public funds for the purposes of existing campaign finance laws. Candidates opting out of the program will still be subject to the standard regulations outlined in chapter 155 of the general statutes.

The implementation of this pilot program is expected to incur costs for the SEEC, estimated at $306,894 in FY 26 and $296,894 in FY 27, along with fringe benefits totaling $120,866 for both fiscal years. The bill also anticipates potential costs for participating municipalities, which may need to provide funding for grants and establish oversight mechanisms. The program aims to enhance campaign financing transparency and accessibility in municipalities with populations under 25,000, with the SEEC having previously conducted a similar pilot program in New Haven in 2007.