Adopted Budget

FY2012‐FY2013 Biennium
(As passed by State Senate on May 3, 2011)

Aid to Municipalities
May 3, 2011

900 Chapel St, 9th Floor, New Haven, CT 06510 z P. 203-498-3000 z F. 203-562-6314 z www.ccm-ct.org
 Adopted State Budget
FY2012‐FY2013 Biennium
AID TO MUNICIPALITIES

Page Page

Total Municipal Aid ………………………………………………………… 1 Mashantucket Pequot‐Mohegan Grant …………………………….……..8

Pre‐K to 12 Public Education Grants …………………………….... 2 PILOT: Private Colleges and Hospital Property ............................9

ECS Grant………………………………………………………………………… 3 PILOT: State‐Owned Property …………………………………………………. 10

Excess Cost‐Student Based Grant…………………………………… 4 PILOT: Manufacturing Machinery & Equipment ……………………… 11

State’s Share of Pre‐K to 12 Public Education Costs ……..… 5 DECD PILOT and Tax Abatement Grants …………………………………. 12

Non‐Education Aid ……………………………………………..…………. 6 New Municipal Revenue………………………………………………………… 13

Town Aid Road Grant ……………………………………………………… 7

# # #

If you have questions, please call George Rafael or Jim Finley of CCM at (203) 498‐3000.
 Total Municipal Aid
$25,000 
Increases Total Municipal Aid by $89 Million        50%

45%
$19,754 
$20,000  $19,219  40%
$18,363  $18,309 
$17,724 
$16,331  35%
$15,499 
$15,000  30%
$ Millions

25%

$10,000  20%

15.9% 15.6% 15.6% 15.6% 14.9% 14.8% 15%

14.8%

$5,000  10%
$2,768  $2,863  $2,727  $2,844  $2,933 
$2,459  $2,540 
5%

$0  0%

Total State Budget Expenditures (General Fund and Transportation Fund)

Municipal Aid

Municipal Aid as a % of State Spending

Note: Includes proposed new municipal revenues for FY2012, as estimated by OFA and OPM, which are subject to fluctuation. (See page 13 for more 
information.)

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

1
 Pre‐K to 12 Public Education Grants     
Increases Education Aid by $44.7 Million 

$25,000  50%
45%
$19,219  $19,754 
$20,000  $18,363  $18,309  40%
$17,724 
$ Millions

$16,331  35%
$15,499 
$15,000  30%
25%
$10,000  20%
15%
13.1% 12.7% 13.0% 13.1% 13.1% 12.7% 12.5%
$5,000  10%
$2,023  $2,082  $2,301  $2,401  $2,406 $2,432  $2,476 
5%
$0  0%

Total State Budget Expenditures (General Fund and Transportation Fund)

Pre‐K‐12 Grant Aid

Education Aid as a % of State Spending

Note: Education aid includes operating grant aid that assists towns and cities. School construction, charter schools, and unified school districts are 
excluded.

In FY10 and FY11, ECS was partially funded by federal ARRA funds ($540 million).  Those funds will be replaced by new state funding in the biennium.

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011
2
 ECS Grant
Level Funding

12% $200 

$182  $180 
10%
$160 

$140 
8%
$120 

$ Millions
6% $100 

$80  $80 
4% $69 
$62  $60 
$57 
$40  $40 
2%
$20 
$8  $8 
0% $0  $0  $0  $0 

% Change from Previous Year

$ Increase from Previous Year

Note: In FY10 and FY11, ECS was partially funded by federal ARRA funds ($540 million).  Those funds will be replaced by new state funding in the 
biennium.

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011
3
 Excess Cost‐Student Based Grant
Level Funding

$160
$140.0 $139.8 $139.8 $139.8
$140 $129.8

$120 $110.6

$100 $91.9
$ Millions

$80

$60

$40

$20

$0

Note: The Excess Cost ‐ Student Based grant has two components: (1) children whose placement is handled by the Department of Children and Families and 
(2) children whose placement is handled by a local school district. For children placed by DCF, municipalities are reimbursed for all costs that exceed the 
local school district's average per‐pupil expenditure. For locally placed students, municipalities are reimbursed for all costs that exceed 4.5 times the 
district's average per pupil expenditure. 

The grant is capped at the level of appropriation, so that if reimbursements cost more than the amount appropriated, municipalities would absorb the 
difference.

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011
4
 State's % Share of Pre‐K to 12 Education Costs 
43%
42.20%
42.00%
42%
41.23%
41% 40.70%
40.30% 40.20%
40% 39.50%

39% 38.50%
38.20%
38.00%
38% 37.78%

37%

36%

35%

Note: State funds include all state revenues on behalf of public elementary and secondary education, including state grants, bond funds, and department 
expenditures ‐ including the Connecticut Technical High School System, teacher's retirement costs, and unified school district expenditures.

In FY10 and FY11, ECS was partially funded by federal ARRA funds ($540 million).  Those funds will be replaced by new state funding in the biennium.

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

5
 Non‐Education Aid
Increases Non‐Education Aid by 10.9%

$480

$470 $466.9 
$462.9 
$458.5  $457.2 
$460

$450

$440 $436.1 
$ Millions

$430
$420.9 
$420
$412.3 
$410

$400

$390

$380

Note: Includes proposed new municipal revenues for FY2012, as estimated by OFA and OPM, which are subject to fluctuation. (See page 13 for more 
information.)

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

6
 Town Aid Road Grant     
Level Funding

$31

$30 $30 $30 $30 $30 $30

$30

$30

$29
$ Millions

$29

$28
$28

$28

$27

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

7
 Mashantucket Pequot‐Mohegan Grant
$500 Level Funding 100%

$450 90%

$400 $427.5 $430.5 $411.4 80%

$377.8 $384.2 $375.5

$350 $365.0 70%

$300 60%
$ Millions

$250 50%

$200 40%

$150 22.6% 22.8% 30%

20.2% 21.2%
16.9% 16.5%
$100 16.1% 20%

$50 10%
$86.3 $86.3 $93.0 $86.3 $61.8 $61.8 $61.8 
$0 0%

Mashantucket Pequot‐Mohegan Grant Indian Gaming Revenues % Municipal Share of Total Indian Gaming Revenues

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

8
 PILOT: Private College and Hospital Property
Level Funding
250 0.7

64% 63% $224 $224 $224 0.6

62% $217
200
$197 56%
0.5
$182 52% 52% 52%
$174
150
$ Millions

0.4

0.3
100

0.2

50
0.1

$111 $115 $122 $122 $115 $115 $115

0 0

PILOT: Private College & Hospitals Municipal Revenue Lost % Municipal Reimbursement

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

9
 PILOT: State‐Owned Property
Level Funding
250 0.5
44% 0.45
42% $225 $225
40% $225
200 $218 38% 0.4
$194 $209 33% 0.35
33% 33%
$173
150 0.3
$ Millions

0.25

100 0.2

0.15

50 0.1

0.05
$75 $81 $83 $83 $74 $74 $74
0 0

PILOT: State‐Owned Property Municipal Revenue Lost % Municipal Reimbursement

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

10
 PILOT: Manufacturing Machinery & Equipment     
Increases Grant by $1 Million
$60

$58 $57.3 $57.3

$56 $55.3

$54 $53.5
$ Millions

$52
$50.2
$50 $48.9
$47.9
$48

$46

$44

$42

Note: Each taxing district would receive  in FY2012 the same amount it received in FY2011. Any taxing district that did not receive a grant in FY2011 due 
to filing error would receive an amount equal to its FY2012 estimated payment.

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

11
 DECD PILOT and Tax Abatement Grants     
Level Funding

$2.5
$2.2 $2.2 $2.2 $2.2 $2.2 $2.2 $2.2

$2.0
$1.7 $1.7 $1.7 $1.7 $1.7 $1.7 $1.7

$1.5
$ Millions

$1.0

$0.5

$0.0

Housing PILOT

Tax Abatement Program

Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011

12
 New Municipal Grants
$51.6 Million in New Grants to Towns and Cities

$60.0 

$50.0 
$7.2 

$40.0 

New Regional Performance Incentive Grants
Millions

$30.0 

$44.4 
$20.0  New Property Tax Relief Grants

$10.0 

$0.0 
FY2012

Note: A portion of the new revenue from the increased Sales Tax (0.1%) and all of the increased state portion of the Real Estate Conveyance Tax (0.25%) 
would be pooled to fund the new Property Tax Relief grants, which would be distributed through a combination of the Property Tax Relief Fund formula and 
the population in each municipality.  Regional Performance Incentive grants would be funded through an increase in the hotel (1.0%) and car rental (1.0%) 
taxes and provided on a competitive basis for regional projects.

Additional municipal revenue will also come from a 3.0% Cabaret Tax and an increase in fines for failing to register a motor vehicle in the proper state.  That 
revenue would total an estimated $1.7 million statewide in FY2012 and go to the municipality in which the transaction or violation occurs.  This new revenue is 
in addition to the $51.6 million discussed above.

The budget also makes the current municipal rates of the Real Estate Conveyance Tax permanent, 151 towns would remain at 0.25% and 18 distressed 
municipalities would remain at 0.50%.  Without any action, the current rates would decrease on July 1, and towns and cities would lose an estimated $22 
million in FY2012.

More information on these new revenues will be provided in CCM’s detailed budget analysis.
13
Source: FY12‐FY13 budget proposal as passed by State Senate on May 2, 2011; CCM, May 2011
 CCM – THE STATEWIDE ASSOCIATION OF TOWNS AND CITIES

The Connecticut Conference of Municipalities (CCM) is Connecticut's statewide association of towns and cities.
CCM is an inclusionary organization that celebrates the commonalities between, and champions the interests of,
urban, suburban and rural communities. CCM represents municipalities at the General Assembly, before the state
executive branch and regulatory agencies, and in the courts. CCM provides member towns and cities with a wide
array of other services, including management assistance, individualized inquiry service, assistance in municipal
labor relations, technical assistance and training, policy development, research and analysis, publications,
information programs, and service programs such as workers' compensation, liability-automobile-property
insurance, risk management, and energy cost-containment. Federal representation is provided by CCM in
conjunction with the National League of Cities. CCM was founded in 1966.

CCM is governed by a Board of Directors, elected by the member municipalities, with due consideration given to
geographical representation, municipalities of different sizes, and a balance of political parties. Numerous
committees of municipal officials participate in the development of CCM policy and programs. CCM has offices in
New Haven (the headquarters) and in Hartford.

900 Chapel Street, 9th Floor

New Haven, Connecticut 06510-2807
Telephone (203) 498-3000 Fax (203) 562-6314

E-mail: ccm@ccm-ct.org
Web Site: www.ccm-ct.org

THE VOICE OF LOCAL GOVERNMENT