AN ACT CONCERNING REGIONAL ECONOMIC DEVELOPMENT.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. (NEW) (Effective July 1, 2006) (a) Any of the following entities may, either individually or in conjunction with one or more other such entities, establish a regional economic development district for the purposes of sections 1 to 5, inclusive, and 7 and 8 of this act and section 16a-27 of the 2006 supplement to the general statutes, as amended by this act: (1) A regional economic development commission formed under section 7-137 of the general statutes, (2) another regional economic development commission or corporation formed under any other provision of the general statutes or any special act, (3) a regional planning agency organized under the provisions of chapter 127 of the general statutes, (4) a regional council of governments organized under sections 4-124i to 4-124p, inclusive, of the general statutes, or (5) a regional council of elected officials organized under the provisions of chapter 50 of the general statutes for planning and implementation of regional economic development. The entity or entities establishing a regional economic development district shall provide for a board of directors of the district.

(b) The boundaries of such districts shall, to the extent practicable, be contiguous with boundaries of the planning regions defined by the Secretary of the Office of Policy and Management pursuant to section 16a-4a of the general statutes. Each district shall contain at least one area that meets one or more of the criteria of low per capita income, high unemployment or unemployment or economic adjustment problems set forth in 42 USC 3161 and regulations adopted pursuant to Chapter 38 of Title 42 of the United States Code.

Sec. 2. (NEW) (Effective July 1, 2006) (a) The board of directors of a regional economic development district shall prepare and approve a comprehensive economic development strategy for the district to address identified economic development problems in a manner that promotes economic development and opportunity, fosters effective transportation access, improves workforce development, enhances and protects the environment and balances resources through sound management of development. A comprehensive economic development strategy shall contain:

(1) An analysis of economic and community development problems and opportunities, including incorporation of any relevant material or suggestions from other government-sponsored or supported plans;

(2) Background and history of the economic development situation in the district, with a discussion of the economy, geography, population, labor force, resources and the environment;

(3) A discussion of community participation in the planning efforts for the strategy;

(4) The goals and objectives for (A) taking advantage of the opportunities in the district, and (B) solving the economic development problems of the district;

(5) A plan of action, including suggested projects to implement the goals and objectives set forth in subdivision (4) of this subsection; and

(6) Performance measures that will be used to evaluate whether and to what extent such goals and objectives have been met.

(b) Upon approving the comprehensive economic development strategy for a district, the board of directors of the district shall submit the strategy to the regional council of governments, regional councils of elected officials and regional planning agencies serving any portion of the geographical area of such district, provided such regional council of elected officials or regional planning agencies are not part of the regional economic development district pursuant to section 1 of this act. Not later than forty-five days after receiving the strategy, said councils or agencies shall review the strategy and notify said board of directors of either their approval of the strategy or recommendations for modifying the strategy for consistency with the regional plan of development required under section 8-35a of the 2006 supplement to the general statutes. If said councils and agencies do not notify the board within said forty-five days, the strategy shall be deemed to have been approved. If said councils and agencies recommend modifications, the board shall modify the strategy in accordance with such recommendations and resubmit the strategy for review in the same manner as for the original submission of the strategy.

(c) After approval of the comprehensive economic development strategy under subsection (b) of this section, the board of directors of the district shall submit the strategy to the Commissioner of Economic and Community Development. The commissioner shall review the strategy and, not later than forty-five days after receiving the strategy, shall notify said board of directors of either the commissioner's approval of the strategy or recommendations for modifying the strategy for consistency with title 32 of the general statutes, Chapter 38 of Title 42 of the United States Code and regulations adopted pursuant to said Chapter 38 and with the state-wide comprehensive economic development strategy required under section 5 of this act. If the commissioner does not notify the board within said forty-five days, the strategy shall be deemed to have been approved. If said commissioner recommends modifications, the board shall modify the strategy in accordance with such recommendations and resubmit the strategy for review in the same manner as for the original submission of the strategy.

(d) The board of directors of a regional economic development district shall update a comprehensive economic development strategy at least once every five years. The board shall submit each updated strategy for review and approval in accordance with the same procedure as for a new strategy under subsections (b) and (c) of this section.

Sec. 3. (NEW) (Effective July 1, 2006) (a) Upon approval by the Commissioner of Economic and Community Development of a comprehensive economic development strategy for a regional economic development district, the board of directors of said district shall submit the strategy to the United States Secretary of Commerce for approval pursuant to Chapter 38 of Title 42 of the United States Code and regulations adopted pursuant to said Chapter 38, unless such comprehensive economic development strategy was submitted to and approved by said secretary before the effective date of this section.

(b) The board of directors of a regional economic development district that submits a comprehensive economic development strategy to the United States Secretary of Commerce or has previously submitted and received the approval of said secretary of such a strategy shall apply to said secretary for federal designation of the economic development district pursuant to Chapter 38 of Title 42 of the United States Code and regulations adopted pursuant to said Chapter 38. Approval by the Commissioner of Economic and Community Development of the comprehensive economic development strategy under section 2 of this act shall be deemed to meet the requirements of said Chapter 38 and regulations with regard to gubernatorial approval of the economic development district application.

Sec. 4. (NEW) (Effective July 1, 2006) Not later than March 1, 2007, the Commissioner of Economic and Community Development shall prepare a state-wide comprehensive economic development strategy. Such state strategy shall (1) on a state-wide basis, address the issues and include the content required for a regional comprehensive economic development strategy required under subsection (a) of section 2 of this act, and (2) coordinate state-wide and regional economic development planning and policies.

Sec. 5. Section 16a-27 of the 2006 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2006):

(a) The secretary, after consultation with all appropriate state, regional and local agencies and other appropriate persons, shall prior to March 1, 2009, complete a revision of the existing plan and enlarge it to include, but not be limited to, policies relating to transportation, energy and air. Any revision made after May 15, 1991, shall identify the major transportation proposals, including proposals for mass transit, contained in the master transportation plan prepared pursuant to section 13b-15. Any revision made after July 1, 1995, shall take into consideration the conservation and development of greenways that have been designated by municipalities and shall recommend that state agencies coordinate their efforts to support the development of a state-wide greenways system. The Commissioner of Environmental Protection shall identify state-owned land for inclusion in the plan as potential components of a state greenways system.

(b) Any revision made after August 20, 2003, shall take into account (1) economic and community development needs and patterns of commerce, and (2) linkages of affordable housing objectives and land use objectives with transportation systems.

(c) Any revision made after March 1, 2006, shall (1) take into consideration risks associated with natural hazards, including, but not limited to, flooding, high winds and wildfires; (2) identify the potential impacts of natural hazards on infrastructure and property; [and] (3) make recommendations for the siting of future infrastructure and property development to minimize the use of areas prone to natural hazards, including, but not limited to, flooding, high winds and wildfires; and (4) include the state-wide comprehensive economic development strategy prepared by the Commissioner of Economic and Community Development under section 4 of this act.

(d) Any revision after July 1, 2005, shall describe the progress towards achievement of the goals and objectives established in the previously adopted state plan of conservation and development and shall identify (1) areas where it is prudent and feasible (A) to have compact, transit accessible, pedestrian-oriented mixed-use development patterns and land reuse, and (B) to promote such development patterns and land reuse, (2) priority funding areas designated under section 16a-35c, and (3) corridor management areas on either side of a limited access highway or a rail line. In designating corridor management areas, the secretary shall make recommendations that (A) promote land use and transportation options to reduce the growth of traffic congestion; (B) connect infrastructure and other development decisions; (C) promote development that minimizes the cost of new infrastructure facilities and maximizes the use of existing infrastructure facilities; and (D) increase intermunicipal and regional cooperation.

(e) Thereafter on or before March first in each revision year the secretary shall complete a revision of the plan of conservation and development.

Sec. 6. (NEW) (Effective July 1, 2006) Regional planning agencies shall include the comprehensive economic development strategies prepared under section 2 of this act in regional plans of development required under section 8-35a of the 2006 supplement to the general statutes.

Sec. 7. (NEW) (Effective July 1, 2006) The Commissioner of Economic and Community Development may, within available appropriations, make grants of not more than fifty thousand dollars, annually, to regional economic development districts to develop, amend and implement comprehensive economic development strategies under section 2 of this act.

Sec. 8. (NEW) (Effective July 1, 2006) Projects identified in comprehensive economic development strategies approved by the Commissioner of Economic and Community Development and the United States Secretary of Commerce under section 3 of this act shall be eligible projects for funding with bond funds available to the Commissioner of Economic and Community Development.

Statement of Purpose:

To promote regional economic development in the state by dividing the state into five regional economic development districts, providing for comprehensive economic development strategies for such districts and coordinating state and regional economic development planning. This will make the state eligible for additional funding from the federal Economic Development Administration.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]