Office of Legislative Research Connecticut General Assembly

May 7, 2004 (Regular Session and May 2004 Special Session) 2004-R-0411 (Revised)

NOTICE TO READERS

CONTENTS These

summaries are Budget and Finance 2 intended to describe briefly Business and Labor 3 the most significant, far- Children and Families 7 reaching, and publicly debated Criminal Justice 7 acts adopted by the General Elections 10 Assembly in its 2004 regular Energy and the session and May 2004 special Environment 11 session. Not all provisions of these acts are included. The Health 13 Major Public Acts are posted on the intranet at Local Government 15 http://cgalites/olr/ and on the Internet at http://www.cga.state. Schools 18 ct.us/olr/. The Office of Legislative Seniors 20 Research also produces a number of specific reports State Government 20 highlighting legislation in various Transportation 22 subject areas, including acts affecting children, senior citizens, Veterans 26 the environment, and business. Our 2004 Public Act Summary Welfare 26 book, which contains detailed summaries of all public acts, will be available this fall.

5. $1.25 million to eliminate the BUDGET AND FINANCES ConnPACE asset test and estate recovery requirements; This year’s budget act increases 6. $25.3 (from the anticipated FY the original FY 2004-05 2003-04 surplus) for the Higher appropriation for state agencies and Education State Matching Grant accounts enacted last year by program, which provides $1 in $261.6 million to $14,317.8 million. state funds for every $2 in It also increases by $234.9 million, private funds raised by the including $90.5 million for current constituent units of higher year deficiencies, the FY 2003-04 education, up to a certain level; appropriation. The FY 2004-05 7. $1 million in financial aid for appropriation is a 3.24% increase students at the state’s public and over the adjusted FY 2003-04 private colleges and universities; appropriation. The revised FY 2004- 8. $13.4 million to enhance justice 05 budget is $133.3 million under and prisoner recidivism the spending cap. reduction efforts, including The act increases the maximum funding for more drug treatment property tax credit against the and halfway house beds and personal income tax from $350 to probation officers; and $500 for income years starting on or 9. $3.4 million to add more state after January 1, 2005. troopers. The added appropriations are to The budget also anticipates be used for, among other items: saving an additional $12.5 million 1. $88.2 million in grants to towns; by expanding the preferred drug list 2. $4.6 million to reduce the in the Medicaid, ConnPACE, and number of people on the State Administered General Department of Mental Assistance programs (SAGA). Retardation’s (DMR) waiting list Finally, the budget act eliminates for residential supports and the governor’s authority to make up services; to $55 million in deeper-than- 3. $5 million for private social normal rescissions in FY 2004-05 service providers operating under appropriations if the state fails to contracts with DMR and the receive at least that amount in departments of Children and extraordinary federal assistance Families, Mental Health and during the fiscal year. This Addiction Services, Corrections, extraordinary authority permitted and other state agencies; the governor to reduce total 4. $14.25 million to repeal the appropriations from any fund or Medicaid co-payments required individual appropriation by up to last year and $17.69 million to 5% over his ordinary rescission restore the Medicaid benefit package and eliminate proposed premiums;

2 authority if that authority was not million in seven-year special sufficient to cope with a budgetary obligation abandoned property fund exigency or insufficient resources. bonds to support state General (HB 5692, effective on various Fund programs. It establishes a dates) Special Abandoned Property Fund to secure the bonds and requires the Bonding treasurer to deposit into it all cash proceeds realized from the sale of The General Assembly authorized abandoned property the treasurer general obligation bonding, takes into custody. Under the act, including: (1) $138.9 million for FY neither the state nor its political 2003-04 for asbestos abatement subdivisions have any direct or projects in state buildings and contingent general obligation to capital projects for the community- repay the abandoned property fund technical colleges and Connecticut bonds. The act exempts the bonds State University and (2) $56.7 from statutory state debt limits. million for FY 2004-05 for a new The act is estimated to produce $40 science building and various facility million of revenue in FY 2004-05. renovations, alterations, and (HB 5632, effective on passage) improvements at Eastern Connecticut State University. It also Sales Tax Free Week allowed $7.115 million in existing bonding to be used to consolidate The act restores a sales tax Gateway Community Technical exemption for clothing and footwear College at a single location. costing less than $300 that applies (PA 04-3, sSB 30, effective on during the fourth week of August passage) (the third Sunday of the month to the following Saturday) every year. Abandoned Property Sales and The “sales-tax-free week” was Fund Bonds scheduled for elimination on July 1, 2004. The act allows the treasurer to (sSB 35, effective July 1, 2004 liquidate all types of unclaimed and applicable to sales on or after property as soon as she takes that date) custody of it, instead of waiting at least one year before selling most BUSINESS AND LABOR property and at least three years before selling abandoned securities Income Tax Refund Anticipation and other business ownership Disclosures . It expressly permits her to immediately liquidate all unclaimed This act requires refund securities she is currently holding, a anticipation loan facilitators to provision that results in $50 million disclose certain facts when a in additional revenue in FY 2004-05. borrower applies for the loan. A The bill authorizes the state to “refund anticipation loan” is a loan issue, by June 30, 2005, up to $60

3 arranged to be paid directly from the It specifies that the exemption from proceeds of the borrower’s income the law for United States tax refund. government contracts includes When a borrower is completing a contracts funded or insured by the loan application, the bill requires a federal Department of Housing and facilitator to disclose in a separate Urban Development (HUD). The law document: exempts state, federal, and 1. the estimated fee for preparing municipal construction contracts and electronically filing a tax and contracts intended for return, residential occupancy containing 2. the refund anticipation loan fee four or fewer units. The act also schedule, exempts a contract between an 3. the annual percentage rate (APR) owner and contractor valued at using guidelines established by $25,000 or less and the official staff interpretations of subcontracts that result from it. Regulation Z of the federal Truth The act makes the use of in Lending Act, statutory default payment schedule 4. the estimated total cost to the provisions mandatory. It requires borrower for the refund parties to pay within 30, instead of anticipation loan, 15, days after receiving a payment 5. the estimated number of days demand. within which the loan will be Finally, it establishes a paid if the borrower’s application subcontractor’s right to sue an is approved, owner for payment. The act 6. that the borrower must repay the requires each owner who has failed loan and related fees if the tax or neglected to pay a contractor for refund is not paid or not paid in labor or materials required by a full, and construction contract to pay 7. that electronic filing is available promptly when demanded to do so and the average time the by someone who has not been paid Internal Revenue Service says a by the contractor. If the owner fails consumer can expect to receive a to make the payment, the act gives refund if the return is filed the person making the demand a electronically and the borrower direct right of action against the does not obtain an anticipation owner in the Superior Court for the loan. judicial district in which the (SB 476, effective October 1, construction project is located. The 2004) owner’s obligations to make direct payments to the contractor, Construction Contracts subcontractors, or suppliers giving notice under this provision is limited This act applies the existing to the amount owed to the private sector construction contract law to all types of private sector construction work and specifies that it applies to nonprofit corporations.

4 contractor by the owner for work motor fuel franchisors from doing performed under the contract as of certain activities may not be the date the notice was sent. construed as granting to a (SB 477, effective October 1, franchisor any right limited by other 2004) state or federal statute. (HB 5450, effective October 1, Debarment Reform 2004)

This act expands the state's Conversions and Reorganizations debarment law by barring general of Mutual Savings contractors working on public projects (state or municipal) from When a mutual savings awarding work to subcontractors converts to a capital bank, who have violated the prevailing this act requires its conversion plan wage law. Under the existing law, to be approved by (1) a majority of state and municipal agencies are the converting bank’s corporators, prohibited from awarding provided the bank has at least 25 construction contracts to firms that corporators at the time (unless the have violated the prevailing wage banking commissioner allows law. Debarment lasts three years. otherwise) and (2) a majority of the The act requires a subcontractor to bank’s independent corporators who submit a sworn affidavit to the general constitute at least 60% of all contractor that he does not hold an corporators. The approval must be of 10% or more in any firm on given at a meeting held in the debarment list before he can work accordance with the bank’s charter, on a prevailing wage project. certificate of incorporation, or The act establishes a $1,000-per- bylaws. If a mutual day civil penalty for prevailing wage reorganizes into a mutual holding violators who perform work on a company, the act requires approval public construction project. by the same numbers and (PA 04-102, SB 57) effective proportions of corporators. October 1, 2004) The act requires a converting or reorganizing mutual savings bank, Gasoline Prices before the meeting for approval, to provide the corporators with This act prohibits gasoline and information on the plan. The motor fuel refiners and distributors information must be filed with and from requiring or coercing approved by the commissioner franchisees (which can be either before distribution and include distributors or retailers) from selling disclosures summarizing the (1) gasoline at a specific price or in a conversion or reorganization, (2) specific price range. It also share distribution, and (3) eliminates the provision stating that management compensation plans. the law prohibiting gasoline and The bank also must provide the commissioner with the following information on the corporators

5 eligible to vote at the meeting to $70 million in the prior year without approve the plan: counting transactions with a related 1. the number of corporators who business. The refunds equal 65% of are (a) not bank employees, the value of the credits they could officers, directors, or trustees; (b) not use. employees, but not officers, (HB 5245, effective on passage directors, or trustees; and (c) and applicable to income years officers, directors, or trustees; starting on or after January 1, 2002) 2. a description of any loan relationships, outstanding within Terrorism Coverage Under The the five years before the meeting, Standard Fire Policy between the mutual savings bank and any of its corporators This act allows commercial risk who are not also employees, insurers to exclude coverage for loss officers, directors, or trustees; caused by terrorism from standard and fire policies delivered, 3. a description of any commercial issued for delivery, or renewed in relationships (sale or lease of real this state beginning July 1, 2004. or personal property or provision They may exclude the coverage only of commercial services), other (1) if the premiums charged for the than the loan relationships with policy reflect projected savings from corporators described above, in excluding it and (2) until the existence within five years before program the meeting between the bank established by the federal Terrorism and any of the corporators who Risk Insurance Act of 2002 expires. are not the bank employees, (HB 5200, effective July 1, 2004) officers, directors, or trustees. The converting or reorganizing Insurance Coverage for Medically bank’s secretary must file with the Necessary Food commissioner a certification that the corporators approved the plan at the This act requires individual and required meeting. group policies to (PA 04-23, effective on passage) cover, on the same basis as other outpatient prescription drugs, (1) Research and Development Tax amino acid modified preparations Credit Exchange and low protein modified food prescribed for the treatment of This act makes permanent tax cystic fibrosis, in addition to other credit refunds for research and inherited metabolic diseases, and (2) development tax credits, which prior medically necessary specialized law allowed only for 2003 and 2004. formula for children up to age eight, The refunds are available to instead of age three. companies that (1) pay the (HB 5201, effective October 1, alternative capital base corporation 2004) tax for a year when they report no income and (2) grossed less than

6 Health Savings Accounts of legislative leaders, executive agency heads, and other state Health savings accounts (“HSAs”) officials. It must submit its plan to are tax-exempt personal savings certain legislative committees by accounts in which account holders January 1, 2005 and then report can save money for future medical annually on its implementation until expenses funded by employee it terminates on June 30, 2015. contributions through pre-tax (sHB 5572, effective on passage) payroll deductions or employer contributions. Federal law allows CRIMINAL JUSTICE someone under 65 to contribute to an HSA only if they are covered by a Prison Overcrowding qualifying, high- health . Connecticut law This act combines the Board of generally prohibits certain health Pardons and Board of Parole into insurance plans from imposing a the Board of Pardons and Paroles, deductible on home health care that makes a number of changes related exceeds $50. This act exempts the to parole, allows the board and the high-deductible health plans used Department of Correction (DOC) to with federally qualified health transfer certain inmates to facilities savings accounts from the home other than prisons under certain health care deductible limit, thus circumstances, and alters a number allowing such policies to be sold in of release provisions that apply to the state. parole and DOC. (HB 5204, effective upon The act removes the court’s passage) discretion to depart from a mandatory minimum sentence for CHILDREN AND FAMILIES certain drug crimes under certain circumstances. Child Poverty It sets rules for Board of Pardons and Paroles membership and This act establishes a Child hearings, makes the board Poverty Council to develop a plan to chairman the head of the board and reduce the number of children living creates an executive director who in poverty in Connecticut by 50% by has many of the responsibilities July 1, 2014. The plan must (1) currently assigned to the DOC identify root causes of child poverty, commissioner. The act makes the (2) analyze poverty’s effects on board part of DOC, specifies its children and families and its costs independent decision-making to government, (3) inventory authority, and makes DOC programs that address child responsible for supervising parolees. poverty, and (4) contain procedures Regarding parole, the act: and priorities for implementing 1. requires a parole hearing for strategies to achieve the 50% someone who is (a) eligible for reduction. The council is composed release after serving 50% of his

7 sentence but has not been 2. requires DOC to issue a request released after serving 75% of his for proposals for a community sentence or (b) eligible for release justice center in Hartford; after serving 85% of his sentence 3. authorizes DOC to transfer an when he reaches the 85% mark; inmate on work or education 2. changes eligibility for release to an approved administrative parole; community or private residence if 3. allows the board chairman to he already participated transfer inmates granted parole satisfactorily in a residential to a halfway house, group home, program; mental health facility, or an 4. increases, from 15 to 30 days, approved community or private the length of time DOC can residence within 18 months release an inmate on furlough to before their parole release date; visit a dying relative, attend a 4. allows an inmate to receive a relative’s funeral, get otherwise compassionate parole release unavailable medical services, under certain circumstances; contact prospective employers, or 5. requires a board employee to for other compelling reasons conduct parole revocation and consistent with rehabilitation; rescission hearings; and 6. requires the board chairman and 5. requires DOC, which is executive director to (a) consult authorized to enter a contract to with DOC to develop a parole send an additional 2,000 inmates orientation program and (b) out-of-state, to submit that create an incremental sanctions contract to the Appropriations system for parole violations; and and Judiciary committees for 7. requires a hearing on a violation review and comment before of special parole. entering it. The act requires development of The act also: (1) plans to reduce by at least 20% 1. allows someone to participate in the number of incarcerations due to the alcohol and drug dependency technical violations of the conditions diversion program twice, instead of probation or parole and (2) a of once and comprehensive reentry strategy. 2. changes a number of provisions The act requires the board to on recovering the costs of an create an administrative pardons inmate’s incarceration, including process for certain people. making additional types of Regarding inmates, the act: property subject to the state’s 1. allows DOC, unless the court claim but excluding others such orders otherwise, to release a as property acquired for work person to a DOC-approved performed during incarceration residence if the court commits as part of a program designated the person to DOC and he is or defined in regulation by DOC charged only with a as job training, skill misdemeanor or most class D development, a career felonies;

8 Penalties for Enticing a Minor

(sHB 5211, effective on passage, This act enhances penalties for except for the provisions concerning offenses involving child pornography the Board of Pardons and Paroles, and using the Internet to entice administrative pardons regulations, minors to engage in sexual activity. incremental sanctions system, and It: parole orientation, which are 1. updates the definition of “child effective July 1, 2004.) pornography”; 2. increases, from one to three, the Sending Inmates Out Of State number of visual depictions a person must possess to be The law authorizes DOC convicted of importing child commissioner to contract with a pornography; government or private vendor for 3. creates graduated offense levels out-of-state supervision of 500 and penalties based on the inmates. Prior law also authorizes amount of child pornography her to contract to send an additional possessed; 2,000 inmates out of state in FY 04 4. bars people charged with these and FY 05, and to enter a contract offenses from the pretrial with the Virginia Department of Accelerated Rehabilitation Correction (the vendor for the 500 program; inmates) for any number of the 5. requires sentences to include additional inmates without following between 10 and 35 years of the competitive bidding or probation, rather than up to five negotiation requirements. The act years as under current law; limits the commissioner’s authority 6. requires a 10-year sex offender to send inmates out of state in FY registration and submission of 05 to 1,000 rather than 2,000 DNA samples for people inmates. convicted of enticement The act also authorizes the (including those convicted before commissioner to contract with a the act’s effective date) and the government or private vendor to newly created child pornography supervise up to an additional 1,000 possession offenses; and inmates out of state during FYs 06 7. directs the DOC commissioner to and 07. deny computer access to As under existing law, the incarcerated offenders convicted government or private vendor must of crimes requiring sex offender agree to be bound by the Interstate registration. Corrections Compact and the facility (sHB 5043, effective October 1, used by Connecticut inmates must 2004, except for the prison be in a state that has enacted and computer restrictions, which are entered the compact. effective on passage and the (HB 5801, effective on July 1, 2004) increased criminal classification for enticement crimes, which is effective July 1, 2004)

9 involved in soliciting or awarding it. Dual Arrests in Family Violence During the same period, agency Cases officials or employees authorized to execute the contract must certify This act creates an exception to that their selection was not the the requirement that peace officers result of collusion, gifts, arrest anyone they suspect has compensation, fraud, or other committed a family violence crime. inappropriate influence. When complaints are made by two Under phase II, which begins on or more opposing parties to the July 1, 2006, the act prohibits any crime, the act relieves the officer of state or quasi-public agency from his duty to arrest a party that he executing a large state contract reasonably believes used force only unless it and the contract recipient for self-defense. By law, the certify that there was no fraud or procedures or criteria for making collusion and that no gifts were this determination must be included exchanged from the date contract in each law enforcement agency's planning began to the date the operational guidelines for arrest contract was executed. policies in family violence incidents. The act broadens the information (sHB 5293, effective October 1, public officials provide in their 2004) annual statement of financial interest to the State Ethics ELECTIONS AND ETHICS Commission to include business affiliations between a business with State Ethics Laws Concerning which they are associated. Gifts, Financial Disclosures and Lastly, the act requires the State Contractors Ethics Commission to (1) develop a plain language summary of state This act establishes a two-phase ethics laws regarding state contract process for awarding building bids or proposals and (2) publish it construction, procurement, or on the commission’s website. service (other than consultant or (sHB 5025, effective on passage, professional) contracts; leases; or except the provision on the licensing arrangements valued at statement of financial interests is over $500,000 (“large state effective on October 1, 2004) contracts”). Under phase I, which runs from State Ethics Codes Reforms the act’s effective date to June 30, 2006, the act prohibits any state or This act changes the State Code quasi-public agency from executing of Ethics by: a large state contract unless it 1. increasing, from three to five receives an affidavit from the people years, the statute of limitations who bid on and were awarded the for filing complaints of ethics contract regarding “gifts” given to violations with the State Ethics agency officials or employees Commission;

10 2. increasing the maximum civil individuals to contribute up to penalty for ethics code violations $1,000 per year to a public official’s from $2,000 to $10,000; or state employee’s legal defense 3. doubling the time, from 90 to fund. It prohibits the families of 180 days, the state has to bring lobbyists and people doing business an action to void a contract with the state from contributing to entered into in violation of the these funds, but it allows unlimited ethics code; and contributions from the official’s or 4. raising the penalty and criminal employee’s relatives and from people classification for intentional whose relationship does not depend ethics code violations from a on the official’s or employee’s class A misdemeanor, which is position. punishable by up to one year in It requires officials and prison, a $2,000 fine, or both, to employees who benefit from the a class D felony, which is fund to give the State Ethics punishable by up to five years in Commission quarterly reports on prison, a $5,000 fine, or both. the fund’s directors and officers, (sSB 386, effective July 1, 2004) , contributions, and expenditures. It Legal Defense Funds and permits the commission to enforce Intentional Ethics Violations defense fund violations in the same way that it enforces Ethics Code This act increases the penalty for violations, including conducting certain intentional State Ethics investigations, determining Code violations from up to one year violations, and imposing penalties. in prison, up to a $2,000 fine, or (sHB 5021, effective on passage, both to up to five years in prison, up except for the intentional code to a $5,000 fine, or both. The violation provisions, which are increased penalty applies to a effective July 1, 2004) person who commits two or more violations or violations that provide ENERGY AND ENVIRONMENT him with a financial benefit of $1,000 or more. Electric Transmission Line Siting The act requires Connecticut Criteria Lottery Corporation employees to comply with the State Ethics Code, By law, a Siting Council which primarily means they must certificate is required to build adhere to employment and post- electric transmission lines and employment restrictions applicable certain other utility facilities. The to most state and quasi-public act requires the council to make officials and employees. findings on the impact of the The act restricts contributions to electromagnetic fields (EMFs) a legal defense funds established after facility may produce when deciding its passage to help defray the whether to grant a certificate. expenses of public officials or state employees. It allows certain

11 The act establishes a update them to keep them current presumption that high power with changes in the California transmission lines located adjacent standards. The regulations will to residential areas, schools, and apply to vehicles manufactured for certain land uses should be buried. the 2008 model year and beyond. But it allows an applicant to rebut The act also authorizes the the presumption by showing that commission to regulate motor burial is technologically infeasible, vehicle emissions for other motor taking into account the reliability of vehicle classes. the state’s electric grid. It requires LEV II requires a manufacturer’s overhead portions of transmission vehicle fleet to meet stricter average lines to be in a buffer zone. emissions standards for both The act requires the council to gasoline and diesel vehicles, applies adopt standards for best passenger car standards to most management practices for EMFs. It sport utility vehicles and light requires that a transmission line be trucks, and places tighter controls consistent with these practices. on evaporative emissions from Under the act, if legislation passed vehicles’ fuel tanks and fuel on or after January 1, 2004 results systems, as well as their exhaust in the reconfiguration or burial of a systems. LEV II also requires that transmission line, all of the prudent 10% of a motor vehicle fleet costs incurred by an electric comprise zero-emission vehicles or company as a result must be their equivalent. considered reasonable for (PA 04-84, sSB 119, effective ratemaking purposes and must be October 1, 2004) recovered by the company in its rates. Jurisdiction of Municipal Inland The act applies to applications Wetlands Commissions filed on or after October 1, 2003 for which the council has not already By law, municipal inland rendered a decision. As a result, it wetlands agencies may regulate applies to the proposed certain activities that occur outside transmission line between Norwalk a wetlands area if the activity may and Middletown. affect the wetlands. This act bars a (sHB 5418, effective on passage) wetlands agency from denying or making conditional an application to Clean Cars conduct a regulated activity outside a wetlands or watercourse area on The act requires the state to the basis of its effect on aquatic, adopt, by December 31, 2004, plant, or animal life or habitats in regulations implementing the wetlands or watercourse unless California’s Low Emission Vehicle II the proposed activity is likely to (LEV II) standards for light-duty affect the physical characteristics of motor vehicles (passenger cars and such life or habitat in the wetlands trucks with a maximum loaded or watercourses or the wetlands or weight of 8,500 pounds) and to watercourses themselves. In doing

12 so, it expands the powers of 2. annually consider requiring the wetlands agencies as determined by reporting of additional the Connecticut Supreme Court in greenhouse gases and direct and Avalonbay Communities, Inc. v. indirect emissions; Wilton Inland Wetlands Commission 3. provide for the voluntary (266 Conn. 150 (2003)), in which reporting of greenhouse gas the Court held that the Inland emissions by additional entities; Wetlands and Watercourses Act 4. evaluate the feasibility of creating protects the physical characteristics and administering a statewide of wetlands and watercourses and registry if a regional registry is not the wildlife, including wetland not developed and implemented; obligate species, or biodiversity. and (sSB 445, effective on passage) 5. publish a greenhouse gas emissions inventory every three Climate Change years. (sSB 595, effective October 1, This act requires (1) the state to 2004) reduce greenhouse gas emissions as part of a regional effort to reduce HEALTH such emissions and (2) the Governor’s Steering Committee on An Act Concerning Medical Climate Change to develop plans to Malpractice Insurance Reform help achieve the goal of greenhouse gas emission reduction. It requires This act makes numerous the Department of Environmental changes to the laws dealing with Protection (DEP) commissioner to (1) medical malpractice in the areas of report annually on progress in civil litigation; insurance regulation achieving the goals and (2) work to and oversight; and the regulation, establish a regional greenhouse gas oversight, and disciplining of registry and regional reporting doctors. system with other states or a Civil Litigation. The act: regional consortium. It requires 1. establishes a mediation program certain electric generators and that must be used unless the commercial and industrial sites to parties have agreed to use an report annually to the registry on alternative, their direct smokestack greenhouse 2. requires that a signed opinion of gas emissions. a similar health care provider be It also requires the DEP prepared to show that medical commissioner to: negligence occurred before a 1. annually consider expanding the lawsuit can be filed; registry to require the reporting 3. reduces the interest rate courts by, or of, other (a) facilities or may award to malpractice victims sectors, (b) greenhouse gases, if defendants reject their offer to and (c) direct and indirect settle the case under certain emissions; circumstances;

13 4. allows the attorney fee schedule investigate further or take for contingency fees in medical disciplinary action; malpractice cases to be waived 2. requires anyone who pays a only with court approval; and medical malpractice award or 5. requires the court, when a jury settlement to provide copies of awards more than $1,000,000 in the award or settlement and non-economic damages, to review complaint and answer, if any, to the evidence to determine if the the Insurance Department amount is excessive as a matter instead of just DPH; of law. 3. requires those paying medical Insurance Regulation and malpractice awards or Oversight. The act: settlements for licensed 1. requires the Insurance physicians and certain other Department’s prior rate approval health care providers to provide for medical malpractice additional information to DPH, insurance rate changes for including a breakdown by certain health care providers; economic and non-economic 2. requires consideration be given damages; to relevant factors that may 4. makes liability releases invalid reduce malpractice insurance until the attorney representing rates; the paying party files an affidavit 3. requires (1) insurers to provide with the court that he has detailed information about provided DPH and the insurance medical malpractice awards and commissioner with the required payments and (2) the information; commissioner to compile and 5. requires DPH and the insurance analyze it and annually submit a commissioner to develop report to the legislature and the systems to collect, store, use, public; and interpret, report, and provide 4. requires captive insurers to public access to such provide certain information to the information; commissioner. 6. requires DPH to adopt guidelines Regulation, Oversight, and to determine the basis for Discipline of Medical Providers. further investigation or The act: disciplinary action regarding 1. requires a plaintiff or his physicians who paid damages or attorney to mail a copy of a were sued for malpractice; medical malpractice complaint 7. requires DPH to adopt to the Department of Public regulations establishing Health (DPH) and the Insurance guidelines for screening Department when he files a complaints, prioritizing lawsuit against a licensed investigations, and determining physician and certain other when an investigation should be licensed health care providers, broadened; and requires DPH to determine if 8. requires the Medical Examining there is a basis for it to Board to adopt guidelines for its

14 disciplinary process and 14. requires the DPH commissioner requires the DPH commissioner to develop and implement a to conduct a hearing on charges process that will ensure a against a doctor if a board- continuing and coordinated appointed hearing panel has not focus on patient safety programs done so within 60 days after the within DPH. board reports charges to it; Tax Credit. The act gives a 9. requires that DPH's annual resident physician subject to the report to the governor and Public state income tax the right to an Health Committee include income tax credit for part of his additional information such as medical malpractice insurance the number of complaints filed premiums. against doctors and the number (sHB 5669, effective on passage, of notices of malpractice except for the provision dealing with lawsuits filed that were not the duty of captive insurers to investigated and the reasons provide certain information to the why; insurance commissioner takes effect 10. requires DPH to develop July 1, 2004; the provision protocols for accurate providing tax credits takes effect identification procedures that July 1, 2004 and applies taxable hospitals and outpatient surgical years beginning January 1, 2004; facilities must use before and the provision requiring the data surgery; on closed cases takes effect January 11. requires DPH to notify the 1, 2005) physician and person who filed a petition or his legal LOCAL GOVERNMENT representative when it makes a finding of no probable cause and Delay in Revaluation and Change include the reason for such in Revaluation Cycle finding; 12. requires doctors annually to The act allows municipalities provide certain information to that, under current law, must DPH, including their malpractice revalue real property in the 2003, insurer, policy number, area of 2004, or 2005 assessment year to specialization, and disciplinary delay revaluation to the 2006 actions and malpractice assessment year, if the delay is payments made in other approved by the municipality’s jurisdictions and allows doctors legislative body (except the board of to fulfill this obligation by selectmen in town meeting towns). including such information in The assessor or board of their physician profile; assessors in a municipality that 13. requires DPH to report annually delays revaluation for the 2003 the number of doctors, by assessment year must prepare a specialty, actively providing revised grand list for the 2002 patient care; and assessment year reflecting the

15 assessments for the 2002 option allowing 18 towns to add assessment year, subject only to another 0.25% to their rates. Under changes in ownership, new the act, the higher basic rate expires construction, and demolitions. The on June 30, 2005 rather than on assessor must send notice of any June 30, 2004. The change increase in the valuation of real produces an estimated $25 million estate over 2002 valuation to the in additional municipal revenue for affected person’s last-known FY 2004-05. address. The person can appeal the (HB 5692, effective on passage) increase during the next regular session of the board of assessment Property Tax Credit Increase appeals at which appeals may be heard. The act increases the maximum Beginning in 2004, towns must property tax credit against the state revalue every five years, rather than personal income tax from $350 to every four (except for the delayed $500 starting with tax years revaluations described above). At beginning on or after January 1, least one revaluation in every 10 2005. This change has no fiscal years, rather than 12, must be impact for the FY 2003-2005 based on a physical inspection. If a biennial budget but is anticipated to towns’ last inspection was done by result in a General Fund revenue statistical means, the next loss of $105 million in FY 2005-06 revaluation must be physical. and in subsequent fiscal years. (Because of the act’s changes in the (HB 5692, effective July 1, 2004 revaluation cycle, this provision and applicable to tax years starting could result in a town being on or after January 1, 2005) required to conduct two physical revaluation in 10 years. In this case, Floodplain Management and the act provides that only one Hazard Mitigation physical revaluation is required.) The act allows towns that conducted This act (1) requires towns to their last revaluation by physical adopt regulatory standards for inspection to conduct a statistical managing land uses in floodplains revaluation the next time. and reducing potential hazards, (2) (HB 5801, effective on October 1, requires the state to consider ways 2003 and applicable to assessment to reduce flooding and other natural years starting on or after that date) hazards when it revises the State Plan of Conservation and Municipal Real Estate Development after March 1, 2006, Conveyance Tax and (3) specifically allows towns to use Local Capital Improvement The act (1) extends for an Program (LoCIP) funds to manage additional year a temporary increase floodplains and reduce hazards. in the basic municipal real estate The act requires DEP to provide conveyance tax rate from 0.11% to grants for local and regional projects 0.25% and (2) makes permanent an and plans to minimize flooding and

16 other natural hazards, beginning regardless of whether they are October 1, 2005. It funds the registered here. grants by increasing the existing (sHB 5475, effective on passage state fee on local land use and applicable to any assessment applications and dedicating about a year, except for the provision third of the revenue to the grants. regarding the motor vehicles (sHB 5045, effective October 1, commissioner, which takes effect 2004, except for the provisions July 1, 2004, and the provision that increasing the fee, establishing the subjects motor vehicles and grant program, and authorizing snowmobiles to Connecticut regulations, which take effect July property taxes, which takes effect on 1, 2004) passage)

Property Taxes on Motor Vehicles Requiring Subdivisions To and Snowmobiles Comply With Subsequently Enacted Zoning Regulations This act establishes rules for determining the town where people This act modifies the exemption and businesses must pay property for lots shown on an approved taxes on a registered or unregistered residential subdivision plan from motor vehicle or snowmobile (i.e., its subsequent changes in the town’s situs). It requires owners to pay zoning regulations or zoning map. It taxes to the town where the vehicle extends the provision to cover lots most frequently leaves from and on approved resubdivision plans, returns to during the normal course but it requires that any construction of its operation and sets additional on an improved lot covered by a rules for vehicles owned by plan conform to zoning changes nonresidents and recreational and adopted after the lot is improved. construction vehicles. Under the act, a lot is considered The act requires the motor improved once a building permit has vehicles commissioner annually to been issued and a foundation has provide tax assessors with a list of been completed under the permit. vehicles subject to taxation in their The requirement also applies if an respective towns. It also puts into existing structure on the lot is law the commissioner’s practice of demolished (i.e., a “teardown”). The providing towns lists of vehicles that act continues to exempt vacant lots were registered on or after the (other than teardowns) from October 1 assessment date. changes in the zoning regulations The act specifies that all motor and maps adopted after the vehicles and snowmobiles operating subdivision is approved. or located in Connecticut must pay The act does not affect the law property taxes here if they most that exempts a legal nonconforming frequently leave from or return to a use or structure from subsequent Connecticut town. This requirement changes in zoning law. A legal applies to all motor vehicles,

17 nonconforming use or structure is July 1, 2005 and (2) starting with one that was legal before the change FY 2004-05, restores the density in the law. supplement, which gives additional (sSB 448, effective on passage ECS funding to towns with and applies to subdivisions and population densities greater than resubdivisions approved before, on, the state average. or after its effective date) (HB 5692 & sHB 5584, effective July 1, 2004) SCHOOLS Other Education Grants ECS Grants The General Assembly provided The budget act appropriates $8.35 million for annual grants to $1.563 billion for FY 2004-05 priority school districts. Grants Education Cost Sharing (ECS) vary according to population as grants to towns, thereby increasing follows: $1.5 million to the priority by $40 million the original FY 2004- district with the largest population 05 appropriation. Legislation (Bridgeport); $1 million each to implementing the budget allocates districts ranked two through four to each town an ECS grant equal to (Hartford, New Haven, and its FY 2003-04 grant plus 23.27% of Stamford), $600,000 for the fifth- the difference between that grant ranked district (Waterbury), and and its full ECS entitlement. This $500,000 for each district ranked allocation is subject to the following six through eight (Danbury, New constraints: Britain, and Norwalk,). Seven 1. every town’s grant must be at smaller districts receive $250,000 least 60% of its full entitlement; each (Ansonia, Bloomfield, Bristol, 2. no priority school district may East Hartford, Meriden, New receive less than $370 per London, and Windham). student; For FY 2004-05 only, the act also 3. every town, except Winchester, allocates money for two former must receive at least the greater priority districts, also according to of (a) its FY 2002-03 grant or (b) population. West Haven receives its FY 2003-04 grant plus 0.07%; $200,000 and Putnam, $100,000. and (sHB 5584, effective July 1, 2004) 4. Winchester must receive a grant at least equal to its fixed This act increases FY 2004-05 entitlement for FY 2002-03. (A allocations to four categorical “fixed entitlement” is a town’s full education grant programs by the ECS formula grant, excluding following amounts: Priority School prior year adjustments.) District Grants, $8.65 million; The implementing legislation also School Readiness, $7 million; Early (1) eliminates the cap on annual Reading Success, $1 million; and increases to the ECS grant one year early, as of July 1, 2004, instead of

18 Summer School, $900,000. It also rather than allowing those funds allocates $1.1 million for School to lapse; Improvement. 3. increases the maximum per child (sHB 5584, effective July 1, reimbursement for the SDE 2004) school readiness component of a program offered by a school Nutrition, Recess, and Lunch readiness provider to $6,400 from $5,891; and This act requires local and 4. increases the maximum school regional school boards (1) to provide readiness competitive grant by all full-day students with a $7,000 per priority school. minimum 20-minute daily lunch (sHB 5690, effective July 1, break and (2) include a daily period 2004) of physical exercise for most Another act extends the school students in kindergarten through readiness competitive grant program grade five, except those students to six towns that are among the 28 requiring special education for poorest in the state, but are not whom a planning and placement considered priority school districts. team develops a different exercise These towns are: Ashford, schedule. The act also requires Chaplain, Griswold, Sprague, school boards to make nutritious Sterling, and Thompson. Prior law food and drinks, such as low-fat allowed towns or regional school milk and dairy products, water, and readiness councils to apply for these fruit, available for purchase funds only to provide spaces in whenever students can purchase school readiness programs for drinks in school or whenever they eligible children who live in area can buy food during the regular served by a priority school or former school day. priority school. (HB 5344, effective on July 1, (sHB 5584, effective July 1, 2004) 2004)

School Readiness School Readiness Staff Qualifications This act: 1. allows the State Department of This act (1) increases the Education (SDE), in consultation minimum required number of early with DSS, to grant waivers to childhood education or child allow for variation in the school development credits from nine to 12 readiness program schedule; for staff holding credentials from an 2. allows the SDE to reallocate 70% SDE commissioner-approved rather than 50% of unused non- organization and (2) adds a competitive school readiness Connecticut teaching certificate with grant program funds to create an early childhood or special new program slots and allows the education endorsement to the list of remaining percentage to be used acceptable credentials for school for professional development, readiness staff, beginning July 1,

19 2005. The act also makes it ConnPACE Estate Recovery and acceptable for staff members to have Asset Test associates’ or four-year degrees in any field, as opposed to a major in This act repeals the never- early childhood development or early implemented 2003 law that allows childhood education, as long as the the state to recoup ConnPACE person has earned at least 9, and on benefits from the estates of deceased or after July 1, 2005, 12 credits in participants. It also repeals the law either of those areas. that set an asset limit for (sHB 5428, effective July 1, ConnPACE participation of 2004) $100,000 for single people and $125,000 for married couples. DSS SENIORS implemented the asset limit on February 1, 2004. ConnPACE and the Federal (sHB 5689, effective on passage) Medicare Drug Discount Card Canadian Drug Reimportation A new federal law establishes a Study and ConnPACE voluntary prescription drug benefit for Medicare beneficiaries. This act This act requires the DSS makes conforming changes in the commissioner to (1) evaluate the ConnPACE program. It requires feasibility, health and safety, legal ConnPACE participants with sufficiency, and cost-effectiveness of incomes below 135% of the federal re-importing prescription drugs from poverty level to obtain a discount Canada under the ConnPACE card designated by the Department program; (2) evaluate waiving the of Social Services (DSS) for use in ConnPACE for such conjunction with ConnPACE. The drugs; and (3) report on it to the act combines ConnPACE and legislature by January 1, 2005. Medicare discount benefits for this (PA 04-101, sSB 8, effective on group and requires the participant passage) to pay the lower of the discount card or ConnPACE copay up to $16.25 STATE GOVERNMENT per prescription. A second act requires low-income ConnPACE Homeland Director And participants to reapply annually for The Department Of Homeland the discount card and allows the Security commissioner to enroll them if they do not choose one for themselves. This act eliminates the Office of (PA 04-6, sHB 5041 & PA 04- Emergency Management (OEM), 101, sSB 8, effective on passage) which serves as the state’s civil defense organization. It instead creates the Department of Emergency Management and Homeland Security (DEMHS) within

20 the Executive Branch and the Office municipal and local regional of Policy and Management (OPM). agencies are not required to agree to The governor must appoint a the reallocation of any federal or commissioner to head the state emergency management or department with the advice and homeland security funds for which consent of the legislature to serve a they may be eligible. term of up to four years. The act Beginning January 1, 2006 and transfers to the department the annually thereafter, the act requires functions, powers, duties, and any the DEMHS commissioner to report personnel the commissioner deems to the Public Safety Committee on necessary, of OEM and the Division its evaluation of the statewide of Homeland Security within the emergency management and Department of Public Safety (DPS). homeland security activities during It makes corresponding changes, as the preceding calendar year. appropriate, to replace statutory (sSB 478, effective on January references to OEM or its director 1, 2005, except for the provisions with DEMHS or its head. establishing the statewide advisory The commissioner must, in council and the OPM report on consultation with the state police reorganization, which are effective bargaining unit, enter into an upon passage) interagency memorandum of understanding with the DPS and the Judicial Salaries Military Department for (1) the assignment and retrenchment rights The act increases the salaries of of state police and military judges and family support department employees and (2) magistrates by 5.5% on January 1, interagency information sharing. It 2005, 2006, and 2007. The chart establishes a 24-member statewide below displays the effect of these advisory council to advise OEM; the increases on salaries. DPS; and, beginning January 1, The act’s provisions result in 2005, DEMHS. salary increases for other officials By January 1, 2005, it requires whose salaries are tied to those of the OPM secretary to report to the judges. The salaries of workers’ Appropriations and Public Safety compensation commissioners vary committees on the reorganization of depending on experience and are state emergency management and tied to those of Superior Court homeland security. The report judges. The salaries of probate court must, at a minimum, describe (1) judges are capped at 75% of a how DEMHS, including the Superior Court judge’s salary. organization of any internal The act also increases the per divisions; (2) the transfer of state diem fees paid to judge trial referees agency personnel or budgeted from $200 to $211 and to family funds; and (3) any necessary support referees from $180 to $190. federal, state, or local interagency (HB 5801, effective January 1, procedures, agreements, or 2005) protocols. The act specifies that

21 Current Under the Act other identifying information of a Law Position As of As of As of As of complainant in a sexual 4/1/02 1/1/05 1/1/06 1/1/07 harassment case that the agency is Chief Justice of investigating internally. The the Supreme $149,582 $157,809 $166,489 $175,645 agency must disclose (1) the Court complainant’s name to the accused Chief Court 143,738 151,644 159,984 168,783 Administrator* during the investigation and (2) Supreme Court any information pursuant to a Associate 138,404 146,016 154,047 162,520 court order. It may disclose the Justice complainant’s name to people Appellate Court 136,873 144,401 152,343 160,722 participating in the investigation. Chief Justice Appellate Court (sSB 584, effective on passage) 129,988 137,137 144,680 152,637 Judge Deputy Chief TRANSPORTATION Court 127,617 134,636 142,041 149,853 Administrator** Superior Court Rail Equipment Purchase 125,000 131,875 139,128 146,780 Judge Chief Family The act allows the State Support 108,821 114,806 121,120 127,782 Commission to authorize $25 Magistrate million in Special Tax Obligation Family Support 103,569 109,265 115,275 121,615 Magistrate bonds for the Department of *The chief court administrator earns this salary if he is a Transportation (DOT) to purchase judge of the Supreme, Appellate, or Superior Court. rail equipment, such as Metro North **The deputy chief court administrator earns this salary if rail cars. It also authorizes the he is a Superior Court judge. department to solicit bids or qualifications for equipment, Disclosure of Voice Mails under materials, or services for a project the Freedom of Information Act funded wholly or partially by the Transportation Strategy Board This act specifies that nothing in Account at any time in the fiscal the Freedom of Information Act year regardless of the fact that all (FOIA) requires a public agency to required funds may not be available transcribe or keep information for expenditure until later in the transmitted by voice for the sole same or next succeeding fiscal year. purpose of its electronic receipt, (SA 04-6,sHB 5032, effective on storage, and playback by a public passage) agency. FOIA requires public agencies to make records that they Funding for Transportation maintain available to the public Strategy Board Projects unless federal or state law, including FOIA exemptions, requires The act changes revenue sources or allows them to be kept for and funding of projects confidential. recommended by the Transportation The act limits the circumstances Strategy Board (TSB). Specifically, under which a public agency can it: disclose the name or address, or any

22 1. increases fees for an original provide subsidies or assistance to issue driver’s license from $1 per a carrier; month with a maximum of $4 for 7. authorizes spending up to any six-month period, plus the $2,000,000 in FY 2003-04 from sum of $5.25, to $44 for a four- the TSB project account for DOT year license, $66 for a six-year expenses for these TSB “Section license, and $11 for any single 16” projects—the Deduct-a-Ride year or part of a year; Program, Southeast Corridor 2. accelerates, to July 1, 2004 from Tourism Service-Single Ticket July 1, 2005, the transfer of one- Fare Structure, Capitol Region half of the incremental revenues Council of Governments-New derived from motor vehicle Britain Busway, and the department fee increases to the Southeast Connecticut Jobs TSB project account; Access-Dial-A-Ride; and 3. transfers $150,000 in FY 2004- 8. transfers up to $640,000 in FY 05 from the TSB project account 2004-05 from the TSB project to DOT to support the increased account to OPM for a grant to motorist assistance services regional planning agencies, recommended by the TSB; councils of governments, and 4. authorizes spending $60,000 councils of elected officials. from the TSB account in FY (sHB 5233, effective July 1, 2004-05, with its approval, to 2004, except for the $2 million support the preparation and authorization for Section 16 projects distribution of highway diversion and the accelerated deposit of plans recommended by the TSB; incremental revenues into the TSB 5. authorizes spending up to projects account, which are effective $5,000,000 from the TSB project on passage) account in FY 2004-05 for continuing the TSB’s Fairfield Connecticut Maritime County Inter-Regional Bus Commission Service, New Haven Line Commuter Connection, Danbury This act creates the Connecticut Area Feeder Bus Service, Maritime Commission and the State Shoreline East Service extension, Maritime Office and abolishes the Southeast Connecticut Jobs Connecticut Port Authority. Access-Dial-A-Ride, and Hartford Among its duties, the Area Express Bus Service commission must (1) develop, projects; recommend, and advise on maritime 6. authorizes spending up to policy; (2) support development of $600,000 from the TSB project Connecticut’s maritime commerce account in FY 2004-05 to and industries, including deepwater support Tweed-New Haven ports; and (3) recommend Airport, if New Haven continues and actions, including at least its current subsidy and dredging, required to preserve and the funds are not spent to enhance them. The commission is the successor to the port authority.

23 The commission must hold an changes that are not required for annual public hearing to evaluate compliance. the maritime policy, facilities, and Specifically, it: support for maritime commerce and 1. revises the license classification industry. It must report to the system to create four instead of transportation commissioner, two license classes; governor, and TSB with: (1) a list of 2. revises the endorsements that projects that, if undertaken, would allow CDL holders to drive support the maritime policy and certain specialized vehicles; encourage maritime commerce and 3. exempts military personnel industry and (2) recommendations operating commercial motor for improving maritime policies, vehicles solely in connection programs, and facilities. with their military duties from The State Maritime office must, the CDL requirement; among its duties, (1) be responsible 4. modifies the school bus for maritime operations; (2) serve as endorsement and creates three the governor’s principal maritime related endorsements, including policy advisor and the liaison one for school-related activity between federal, state, local, and vehicles; private entities involved in maritime 5. expands the definition of “school policy activities; and (3) work with bus” to include a commercial the Department of Economic and motor vehicle (except a bus used Community Development and state, by a common carrier) used to local, and private entities to transport preschool, elementary, maximize the economic potential of or secondary school students Connecticut’s ports and maritime between home and school or to resources. and from school-sponsored (sHB 5031, effective October 1, events; 2004) 6. authorizes the motor vehicle commissioner to waive the skills Motor Carrier Safety test for a school bus endorsement applicant who The act makes numerous meets federal requirements; changes to the laws governing 7. requires an applicant for renewal commercial driver’s licenses (CDLs). of a CDL that allows him to Many are required to comply with transport passengers in a the federal Motor Carrier Safety commercial motor vehicle to Improvement Act of 1999 with present evidence that he is in which the state must substantially compliance with federal medical comply by September 30, 2005. It qualifications; also makes changes to laws 8. applies new federal requirements regarding drivers of vehicles for background checks for transportation hazardous materials drivers of vehicles carrying that are required by provisions of hazardous materials; the USA Patriot Act and other 9. authorizes the commissioner to disqualify a CDL holder under

24 certain circumstances when he 15. requires notification of receives a notice of threat disqualification, suspension, assessment from the federal , or revocation to a Transportation Security CDL holder to identify the Administration; violation that is the basis of the 10. requires the commissioner to action; request information from two 16. requires the commissioner to federal databases before issuing notify the state of licensure a driver’s license that is not a when he receives a court report CDL and requires the currently that a driver licensed in another required inquiry of the two state has been convicted of databases for a CDL to cover the violating a Connecticut traffic preceding 10, instead of five, control law; years; 17. expands requirements for 11. makes CDL renewals last four drivers of certain types vehicles rather than six years and to stop at rail-highway grade requires applicants for renewal crossings and proceed across for the first time, beginning the crossing only under certain January 1, 2005, to provide the circumstances to reflect federal names of all states in which they requirements; have been licensed previously; 18. increases the range of civil 12. establishes additional grounds penalties for an employer who for disqualifying a CDL holder knowingly permits or requires a from driving a commercial motor driver subject to an out-of- vehicle for certain periods and service order to drive a expands some of the existing commercial motor vehicle from grounds for disqualification to $2,500 to $10,000 to $2,750 to cover an act the CDL holder $11,000; commits in any motor vehicle, 19. increases the range of civil instead of only a commercial penalties for a commercial motor vehicle; vehicle driver who violates an 13. establishes an additional out-of-service order from $1,000 disqualification based on a to $2,500 to $1,100 to $2,750; federal finding that a CDL and holder’s driving constitutes an 20. makes the Pretrial Alcohol imminent hazard to the public; Education program unavailable 14. applies the lifetime to those charged with a violation disqualification of a CDL holder of driving while under the to commission of a felony influence of alcohol, drugs, or involving the manufacture, both if the person was driving a distribution, or dispensing of a commercial motor vehicle. controlled substance while using (sSB 28, effective January 1, any type of motor vehicle rather 2005, except for the provisions than just a commercial motor relating to the Driver License vehicle; Agreement and renewing CDLs, which are effective on July 1, 2004)

25 VETERANS Preferred Drug List Expansion and Applicability to DSS Eligibility for Veterans’ Home Programs Admission Existing law requires DSS to This act increases the number of establish a preferred drug list for veterans eligible for burial in the medical assistance programs. state veterans’ cemetery and Generally, prescriptions for drugs admission to the state Veterans’ not on the list need prior Home and Hospital, which it authorization. In FY 2003-04, the renames the Veterans’ Home. It does law limits the list to three classes of so by eliminating war service as a drugs, proton pump inhibitors and criterion for burial or admission, two others chosen by the DSS making any veteran honorably commissioner. The list has not yet discharged from active service in the been established. The act allows U.S. Armed Forces eligible. DSS to create different lists for (sSB 239, effective on passage) different medical assistance programs. WELFARE The act requires the commissioner to include other Medical Assistance Fees, Co-Pays, classes of drugs on the lists by June and Premiums 30, 2005. The act exempts drugs for diabetes, asthma, and cancer This act eliminates the Medicaid (Another act, HB 5801, eliminates fee-for-service and HUSKY A co- this exemption). For FY 2003-04, payments and premiums the act does not require medical established last year. It also assistance provided under SAGA to removes (1) pharmacists’ authority use the list, but after that the act to refuse to fill prescriptions for applies the list to ConnPACE, Medicaid recipients who Medicaid, and SAGA. It also continuously fail to pay their co- requires DSS to use the list in the payments and (2) the Department of HUSKY A and B programs under Social Services commissioner’s certain circumstances. Finally, it authority to deny HUSKY A coverage allows the commissioner to contract to families who are late paying their with a pharmacy benefits premiums. organization or a single entity (sHB 5689, effective July 1, qualified to negotiate with 2004) pharmaceutical manufacturers for supplemental rebates for the purchase of drugs on the preferred drug list. (sHB 5689, effective on July 1, 2004)

26 Legal Immigrant Programs

This act reopens the state-funded legal immigrant programs to new applicants who are excluded from federal programs. These state programs include state-funded Temporary Family Assistance, cash assistance under SAGA, state- funded medical assistance (equivalent to Medicaid, SAGA medical, or HUSKY B, as appropriate), the Connecticut Home Care Program for Elders, and state- funded food assistance equivalent to the federal Food Stamp Program. New applicants have not been accepted in these programs since June 30, 2003. (sHB 5689, effective on July 1, 2004)

DD:ro

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