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Bill

HB 6805

AN ACT ADJUSTING THE BUDGET RESERVE FUND CAP AND DEPOSITING CERTAIN AMOUNTS IN A MUNICIPAL INFRASTRUCTURE RENOVATION FUND DEDICATED TO CERTAIN PURPOSES.

2025 Regular Session Introduced by Dave DeFronzo and 2 co-sponsors

Connecticut bill increases state reserve fund cap and creates new municipal infrastructure fund to direct state revenues toward local infrastructure projects and repairs.

REF. TO JOINT COMM. ON Finance, Revenue and Bonding
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Bill Summary · HB 6805

Legislative bill overview

HB 6805 proposes to increase Connecticut's Budget Reserve Fund (rainy day fund) cap and establish a new Municipal Infrastructure Renovation Fund dedicated to municipal infrastructure improvements. The bill redirects certain state revenues to support local infrastructure projects rather than keeping all excess funds in general reserves.

Why is this important

Municipalities across Connecticut face significant infrastructure maintenance and repair backlogs, and dedicated state funding could help address deteriorating roads, bridges, water systems, and public buildings without requiring local property tax increases. However, this represents a policy trade-off between maintaining state fiscal cushion for emergencies versus directing resources to immediate local infrastructure needs.

Potential points of contention

  • Fiscal prudence debate: Increasing reserve fund caps while creating spending obligations may reduce the state's financial flexibility during economic downturns or emergencies
  • Municipal equity concerns: The bill's allocation methodology for distributing infrastructure funds among municipalities isn't specified, raising questions about whether funding will be distributed fairly or favor certain communities
  • Accountability and oversight: Details about fund management, project selection criteria, and accountability mechanisms for how municipalities use these funds are unclear from the bill summary alone

Compiled from official sources — confirm details with the bill’s official record.

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