CT HB06807

Establishes the Local Capital Improvement Fund to issue grants to municipalities for eligible capital projects including roads, sewers, water treatment, public buildings, bridges, parks, and broadband networks.

Allocates funds annually on February 1st using a formula based on highway miles (30%), population density (25%), inverse equalized grand list per capita (25%), and population ratio (20%).

Requires municipalities to submit grant applications with Secretary of Office of Policy and Management approval within 45 days; municipalities have 7 years to request payment or must obtain a waiver.

Municipalities must maintain detailed accounting records for 3 years after project completion and can be required to repay grants if records are not maintained or funds are misused.

Allows municipalities to issue grant anticipation notes to temporarily finance approved projects, with notes maturing within 6 months of project completion, except for projects funded through the direct grant mechanism.