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June 7, 2010
Beneficial legislation fell short in 2010
Numerous legislative proposals that would have assisted towns and cities
in these difficult economic times were debated by the 2010 General
Assembly, but fell short of passage.
Hotel Tax -- HB 5483 would have increased the State hotel tax by 3%,
with 1% going to the "host" municipalities and 2% for regional
cooperation. This bill passed the House, but was never taken up by the
Senate.
Municipal Fees -HB 5255 would have given municipalities broader
latitude to charge fees for services.
Streaming Grant Processes-- SB 362 would have required the Office of
Policy and Management to review state grant programs to determine
methods for streamlining grant processes and require the applicable
agency to implement such methods.
Tax Increment Financing -- SB 110 would have allowed certain tax
incremental financing programs to continue. Tax incremental financing
has proven to be an effective alternative method to finance needed
projects and the programs should be retained. Eliminating the sunsets
currently included in the statutes would do just that.
Tax Abatements-- SB 326 would have allowed municipalities to fix the tax
assessment on large-scale development projects for up to 14 years if the
total value of the investment exceeds $30 million
Alternative Energy -- HB 5464 would have allowed municipalities, at
local option, to exempt alternative energy projects from local building
permit fees.
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