Substitute House Bill No. 7281 amends a prior conveyance of a parcel of state land to the town of Southbury, specifically altering the restrictions on its use, ownership, and leasing. The bill stipulates that the town must use the approximately 45-acre parcel for housing purposes, with new provisions that allow for the sale or transfer of the parcel to a third party for housing, provided it adheres to specific conditions. Notably, the bill introduces a requirement that at least 30% of the housing units constructed on the parcel must be affordable, meaning they should be sold or rented at prices that ensure individuals and families pay no more than 30% of their annual income, which must be at or below 80% of the area or state median income, for a minimum of 40 years.

Additionally, the bill outlines that any funds received from the sale or lease of the parcel for housing purposes must be deposited into a trust fund established by the town to support infrastructure costs related to the affordable housing. It also mandates an environmental impact evaluation to be conducted by the town prior to the transfer of the property, with the Secretary of the Office of Policy and Management having the authority to impose additional terms or terminate the transfer based on the evaluation. The State Properties Review Board is tasked with reviewing the conveyance within 30 days of receiving the proposed agreement, ensuring that the land remains under the care of the Department of Developmental Services until the conveyance is finalized.