House Bill No. 5408, as amended by House Amendment Schedule "A," is an act that requires state agencies in Connecticut, excluding higher education institutions, to contract with in-state commercial or nonprofit news publishers for at least 15% of their total annual advertising contracts starting July 1, 2025. These publishers must produce original news content and have been doing so for at least 12 months, with their principal place of business in Connecticut. The bill stipulates that if a publisher is owned by an out-of-state parent company, the principal place of business is considered to be the location of the parent company. The Commissioner of Administrative Services is tasked with establishing guidelines for these contracts by June 1, 2025, and state agencies can seek waivers if compliance would interfere with the advertising's purpose. The bill also exempts advertising aimed primarily at out-of-state audiences and requires agencies to submit annual summaries of their advertising purchases. The fiscal impact statement anticipates a cost of up to $140,000 per year for the Department of Administrative Services to administer the bill's requirements, including hiring additional staff.

House Amendment “A” modifies the original bill by delaying the start date by six months, reducing the in-state advertising contract requirement from 50% to 15%, and specifying that certain actions must be performed within available appropriations. It also clarifies the definition of exempt advertising and identifies the state agencies affected by the bill. The bill, with an effective date of July 1, 2024, received a Joint Favorable report from the Government Administration and Elections Committee with a vote of 13-5 on March 22, 2024. Agencies are required to report their advertising purchases annually to the Commissioner of Administrative Services, who will then report to the General Assembly's relevant committee. The bill's fiscal note addresses the potential costs associated with personnel changes and acknowledges that future inflation may affect the bill's financial impact.