HARTFORD, CT -- We are reaching out to alert you about a state bill filed yesterday that would impact foundations and other nonprofits in the state. We are gathering more information, but it appears that bill, SB.1137, would impact 501(c) organizations that are exempt from paying property tax and maintain a pension fund, endowment fund, or other significant savings fund or account, or those that are exempt from paying property tax and own college or hospital property.
As we understand it, the bill would levy a fee on such organizations in lieu of taxes. The fee would be equal to 25% of the amount of the property tax, calculated annually, that the entity would have paid on such real property at the mill rate applicable for each assessment year. This money would be paid to the Treasurer for deposit in a new "community development account."
We will share additional information as we have it.
The Joint Committee on Finance, Revenue and Bonding will be holding a public hearing on this bill on Monday, April 29, at 11:30 am. CCP plans to testify at this hearing. We encourage you to submitting testimony as well - in person or by email.
You may submit testimony using the CT Nonprofit Alliance's tool. Alternatively, you may provide written testimony via email in Word or PDF format to FINtestimony@cga.ct.gov.
If you are interested in testifying in person, here are more details:
The Finance, Revenue and Bonding Committee will hold a public hearing on Monday, April 29, 2019 at 11:30 am. in Room 2E of the LOB, 300 Capitol Avenue in Hartford.
Public speaker order will be determined by a lottery system. Lottery numbers will be drawn from 9:00 to 10:30 am in the First Floor Atrium of the LOB. Speakers arriving after the completion of the lottery will have their names placed at the end of the speaker list.
Please submit 35 copies of written testimony to the Committee staff at 9:00 am in the First Floor Atrium of the LOB. Testimony received after the designated time may not be distributed until after the hearing. The Committee requests that testimony be limited to matters related to the items on the Agenda.
The first hour of the hearing is reserved for Legislators, Constitutional Officers, State Agency Heads, and Chief Elected Municipal Officials.
Speakers will be limited to three minutes of testimony. The Committee encourages witnesses to submit a written statement and to condense oral testimony to a summary of that statement. Unofficial sign-up sheets have no standing with the Committee.
All public hearing testimony, written and spoken, is public information. As such, it will be made available on the CGA website and indexed by internet search engines.
Regards,
Karla Fortunato
President
Connecticut Council for Philanthropy