Aging Committee
JOINT FAVORABLE REPORT
Bill No.: HB-6553
AN ACT PROTECTING PROPERTY OWNERS AGE FIFTY AND OLDER FROM
Title: FORECLOSURE.
Vote Date: 3/11/2021
Vote Action: Joint Favorable Substitute
PH Date: 3/9/2021
File No.:
Disclaimer: The following JOINT FAVORABLE Report is prepared for the benefit of the
members of the General Assembly, solely for purposes of information, summarization and
explanation and does not represent the intent of the General Assembly or either chamber
thereof for any purpose.
SPONSORS OF BILL:
Aging Committee
REASONS FOR BILL:
Currently, elderly homeowners are falling behind on their property taxes and due to accruing
interest on unpaid balances and/or the sale of these accounts to third parties, these residents
are facing unforeseen foreclosures on their homes. This legislation sets limitations on tax
liens placed on real property owned by taxpayers age fifty and older. The bill calls for a
threshold of fifteen percent of back taxes of the assessed value before a tax lien maybe
placed on the property.
The JFS language directs for limitations on tax liens on real property for ages sixty years of
age and over. Additionally, the threshold for delinquent taxes is to be set at eight percent of
the property's assessed value. Interest on delinquent property taxes may not exceed the U.S.
prime rate as reported by the Wall Street Journal or twelve percent per annum, whichever is
lower. The language also notes that tax liens may not be sold or assigned to a third party
unless the delinquency has reached four years.
RESPONSE FROM ADMINISTRATION/AGENCY:
No testimony was offered.
NATURE AND SOURCES OF SUPPORT:
Louis Roman, Constituent, Bridgeport Mr. Roman is in support of this legislation. He
submitted testimony of how the normal (but ignored) procedure to apply tax liens and
foreclosure as well as the realistic and illegal procedures. This testimony reviewed a step-
by-step procedure of what is occurring and an alternate step-by-step procedure.
Joan Kloth-Zanard, Constituent, Southbury Ms. Kloth-Zanard supports this bill with
some tweaking. She notes that many elderly residents have a difficult time finding well paying
positions. She also noted the negative impact of the high interest rates on unpaid property
taxes as well as the selling of these accounts to a third party. She referenced that there are
federally funded programs available to many residents, but most are unaware of these
programs. She illustrated in detail the negative aspects of the current system involving her
own residence.
Jeryl Gray, Constituent, Stratford Ms. Gray indicated her support of this legislation and
discussed, at length, her experience in this process.
Michael Porzio, Constituent, Westport Mr. Porzio sent in correspondence in support of
HB 6553.
Walter Reddy, Constituent, Weston Mr. Reddy sent in correspondence in support of HB
6553.
NATURE AND SOURCES OF OPPOSITION:
David Kluczwski, CCMC, Tax Collector, Town of Fairfield Mr. Kluczwskis testimony
indicates that the Connecticut Tax Collectors Association is opposed to this legislation. He
indicated that by uniformly applying tax liens on delinquent property taxes the procedure
encourages all residents to remit property taxes on a timely manner. He also points out that if
municipal tax collectors are limited to the amount of tax liens they are allowed to levy
annually, a benefit would accrue to the delinquent taxpayers at the expense of residents and
businesses who pay their taxes in a timely fashion. Municipalities depend on 98 to 99%
property tax collections to fund town services. The bill as originally written will lead to severe
consequences for the financial health of the communities.
Lisa Biagiarelli, CCMC, Tax Collector, City of Norwalk Ms. Biagiarelli submitted
testimony in opposition of HB 6553. She states that it is inequitable to base tax collection
enforcement based on age. The proposed legislation also creates significant logistical
problems and a potential task risk for municipalities.
Beth Hamel, CCMC and CCMO, Tax Collector, Town of Harwington Ms. Hamel
opposes HB 6553. She illustrates how the bill would allow residents to accrue large property
tax debt over several years before the tax collector could enforce any type of lien on the
property, These accumulated deficiencies would also be detrimental to the other taxpayers
but the entire municipality.
Fourteen additional tax collectors from various municipalities around the state joined
the above three tax collectors in their opposition of HB 6553. They all submitted
written testimony.
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Zachary McKeown, Senior Legislative Associate, Connecticut Conference of
Municipalities (CCM) The CCM submitted testimony in opposition of this legislation. The
proposed bill provides a mechanism for individuals not to pay their property taxes with no
immediate downside. The bill sets an arbitrary age of fifty or older to benefit from this
legislation. The proposed legislation removes the moral hazard of an individuals obligation to
pay property taxes and asks municipalities and responsible taxpayers to shoulder the burden
of the delinquent taxpayers.
Rex Fowler, Chief Executive Officer, Hartford Community Loan Fung (HCLF) The HCLF
strongly believes that the sale of tax liens to third party investors is detrimental to the
neighborhoods and municipalities across the state, and that the sale of liens for owner-
operated properties, especially those properties owned by elderly residents, should be
eliminated entirely.
Reported by: Richard ONeil, Assistant Clerk Date: 3/25/2021
Joe Perkus, Clerk
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