HB 6899 establishes new pay standards for early childhood educators starting July 1, 2025, requiring all early childhood care and education programs (including child care centers, preschools, and family child care homes receiving state funds) to pay employees according to a state-developed compensation schedule. Programs must cover the difference between current salaries and the new schedule using state-provided salary enhancement grants: $20,000 per family child care home licensee, plus $6,000 for full-time staff and $3,000 for part-time staff. The bill mandates that employees earn at least the schedule amount, but keeps higher existing salaries if they exceed the new standard. These grants, administered by the Office of Early Childhood, are designed to ensure equitable pay without requiring programs to pay more than the state grant covers.
SB 1278 modifies Connecticut's income tax code by updating specific deductions used to calculate taxable income. It repeals existing tax adjustments and adds new provisions, including adjustments for Social Security benefits and interest from Connecticut state bonds. The bill directly affects Connecticut residents who itemize deductions on their state tax returns, particularly those receiving Social Security income or investing in state-issued bonds. Key provisions allow taxpayers to subtract certain Social Security benefits (based on federal adjusted gross income thresholds) and interest from Connecticut government obligations from their taxable income. These changes apply to tax years beginning on or after January 1, 2025.
SB 1461 establishes two new state funds to manage transportation debt: the Special Transportation Fund (for bonds financing infrastructure) and the Transportation Grants and Restricted Accounts Fund (for restricted transportation moneys). It requires the Treasurer to use any excess balance in the Special Transportation Fund (over 18% of annual appropriations) to pay down state transportation debt through redemption, open-market purchases, or setting aside funds to cover future payments. This directly affects state debt management for transportation projects funded by special tax bonds. The bill mandates annual reporting on these debt-reduction actions to the Governor and Investment Advisory Council.
HB 7240 establishes a $500 refundable personal income tax credit for owners of state-licensed family child care homes. The credit applies to taxpayers who operate homes caring for up to six children (or nine with staff), as defined by state law, and must be licensed under specific regulations. Owners, shareholders of S corporations, partners in partnerships, or single-member LLC owners (if subject to personal income tax) can claim the credit against their tax bill. If the credit exceeds tax liability, the state must refund the excess without interest, effective January 1, 2026.
HB 7274 allows municipalities that offer a homestead property tax exemption to add eligibility requirements, such as limiting the assessed value of qualifying homes or requiring owners to have lived in the property for a specified period (or both). The bill modifies existing law that permits municipalities to provide a 5%-35% tax exemption on owner-occupied single-family homes, duplexes, condos, and common-interest community units. It does not change the exemption percentage but gives towns more control over who qualifies, potentially reducing the number of homes eligible for the benefit. Municipalities that already offer this exemption will see a revenue increase starting in fiscal year 2027 due to narrower eligibility. The bill takes effect upon passage and applies only to towns that choose to adopt the exemption.
This bill exempts property transfers to public housing authorities from two state taxes: the real estate conveyance tax and the controlling interest transfer tax. It directly affects public housing authorities purchasing properties, removing a financial barrier to acquiring housing units for affordable housing programs. The key provision adds a specific exemption to the tax code (section 12-498(23)) for deeds made to public housing authorities in the state. This change reduces costs for public housing entities when acquiring properties, supporting their mission to provide affordable housing.
SB 1177 (2025) directs the Commissioner of Social Services, with input from the Commissioner of Aging and Disability Services, to conduct a study on the state's long-term care needs. The study must be completed and reported to relevant legislative committees by January 1, 2026. This bill does not change existing laws or directly affect residents; it solely mandates a government study to inform future policy decisions.
SB 884 sets strict limits on 1,4-dioxane, a chemical found in some products, by requiring manufacturers and sellers to keep concentrations below specific thresholds. Starting April 1, 2026, household cleaning products must not exceed 2 parts per million (ppm), dropping to 1 ppm by 2027. Cosmetics must stay under 10 ppm from 2026, while personal care products (like shampoos and soaps) must not exceed 2 ppm by 2026, then 1 ppm by 2027. Violations carry daily fines up to $2,500, enforced by the Environmental Protection Commissioner.
SB 1244 requires the state Department of Education to establish annual tuition rates for private special education providers by July 2027, replacing current cost calculations. It mandates school districts to use these rates in contracts with private providers after 2027 and requires written contracts for reimbursement eligibility. The bill creates a competitive grant program for school districts to develop or improve in-district special education programs, prioritizing collaborative projects and high-need students. School districts must also conduct and publish comprehensive special education spending reviews every five years starting in 2026.
SB 1350 requires Connecticut's Department of Education to create a grant program by January 1, 2026, to help public schools pay for cardiac emergency response plans. The program prioritizes schools where at least 40% of students qualify for free or reduced-price lunches (called "priority schools") and covers costs for automated external defibrillators (AEDs), maintenance, and staff training. This supports existing law requiring schools to have AEDs and trained personnel accessible during school hours, athletic events, and other school activities. The grant details, including available funds and application forms, must be posted online by the same deadline.
SB 1552 exempts the sale of gold/silver bullion (90% purity minimum), palladium bullion, platinum, rare coins, and foreign precious metal legal tender from Connecticut's sales tax starting January 1, 2026 - expanding the current exemption that previously required transactions over $1,000. It establishes a Connecticut Precious Metals Working Group to monitor market trends, inflation, and other states' legislation, reporting annually to relevant legislative committees starting in 2026. The bill directly affects precious metal sellers, investors, and the state treasury, which will lose an estimated $650,000 in 2026 and $1.3 million annually due to the tax change. The working group includes legislators, the Treasurer, and industry experts to inform future policy.
HB 5977 exempts sales and use taxes on tangible personal property (like building materials) used in developing, constructing, or operating "mixed-income developments" certified by the state commissioner. This directly affects developers and contractors working on housing projects that include units for low-to-moderate income households, as defined by HUD median income standards. The bill requires purchasers to present a commissioner's certification and a certificate confirming the property will be used exclusively for the certified mixed-income development. It creates a new tax exemption category separate from existing exemptions for nonprofit housing, effective October 1, 2025. The policy change reduces costs for qualifying development projects while maintaining tax revenue for other transactions.
