CT SB01461

Beginning fiscal year 2025, any Special Transportation Fund balance exceeding 18% of net fund appropriations shall be used by the State Treasurer to pay down special tax obligation debt through early redemption, open market purchases, or defeasance

Debt reduction methods selected must provide projected debt service savings for the current fiscal year and nine subsequent years, with annual savings varying by no more than $1 million or 10% of the lowest reduction amount over the seven-year period following implementation

State Treasurer must report annually on the amount of surplus funds used for debt paydown, the methods selected, and debt service reductions achieved

The Special Transportation Fund remains a perpetual fund restricted exclusively to transportation purposes, including debt service payments on state transportation obligations

Effective upon passage; received Joint Favorable report from Finance, Revenue and Bonding Committee