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Read. Follow. Verify.Connecticut establishes municipal growth dividend program to share state tax revenue with towns and cities
Last action · April 16, 2026: File Number 655
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What This Bill Proposed
To establish a municipal growth dividend distribution program.
Local governments stand to gain an estimated $88.2 million collectively by 2029 through 2031 from diverted state income, sales, and corporate tax streams, altering long-term municipal budgeting and local property tax relief options.
- State revenue sharing mechanisms in Connecticut allocate portions of statewide taxes to local governments to help alleviate reliance on local property taxes. context
- Prior legislation passed in 2025 required the Department of Revenue Services to track and record the source of state sales, income, and corporation business tax revenue by municipality. context
Who It Would Have Affected
Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.
Municipalities
Office of Policy and Management
The office is tasked with managing the statewide municipal growth account, distributing dividends, and submitting annual reports to the General Assembly.
Department of Revenue Services
The department must determine and provide MAR baselines and annual revenue determinations for every municipality starting by November 1, 2028.
Key Facts
You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.
Frequently Asked Questions
What revenue sources are used to fund the municipal growth dividends?
What can a municipality do with the money received from the dividend?
What else do you want to know?
News Coverage
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Votes, people, money & the original sourceWhere This Stands
This bill did not become law - Died at adjournment · on the Senate floor.
Procedural history
9 actions- Apr 16, 2026Connecticut General AssemblyFile Number 655
- Apr 16, 2026SenateSenate Calendar Number 418
- Apr 16, 2026SenateFavorable Report, Tabled for the Calendar, Senate
- Apr 16, 2026Connecticut General AssemblyReported Out of Legislative Commissioners' Office
- Apr 10, 2026Connecticut General AssemblyReferred to Office of Legislative Research and Office of Fiscal Analysis 04/15/26 5:00 PM
- Apr 1, 2026Connecticut General AssemblyFiled with Legislative Commissioners' Office
Show 3 earlier actions
- Mar 30, 2026Connecticut General AssemblyJoint Favorable
- Mar 23, 2026Connecticut General AssemblyPublic Hearing 03/27
- Mar 20, 2026Connecticut General AssemblyCommitteeReferred to Joint Committee on Finance, Revenue and Bonding
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
Discoveries
Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.
Establishment of Permanent Revenue Diversion for Local Governments
The legislation connects local municipal revenue growth directly to state-level sales, withholding, and corporate tax collections through a dedicated nonlapsing account.
Connected Entities
Sources
cga.ct.gov
Analysis Score
0–100- Significance20Lowered because this bill did not pass (its text scored 75)
- Controversy35Intensity of disagreement among stakeholders
- Entertainment10Compellingness for a non-policy-wonk reader
- Buzz40Current news / social attention level
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