Senator Judith G. Freedman (R-26) said that several local communities will benefit from the General Assembly’s decision to restore funding to the state’s moderate rental housing PILOT, payments in lieu of taxes, program and its housing tax abatement program.

“These municipalities will benefit because of the General Assembly’s action. I was happy to vote in favor of restoring state funding for both of these worthwhile programs both in the Appropriations Committee and on the floor of the Senate,” said Senator Freedman.

Local communities that will benefit are:

• Bethel - $33,870 under the housing tax abatement program.
• New Canaan - $9,693 under the moderate rental housing PILOT program
• Ridgefield - $18,680 under the moderate rental housing PILOT program
• Westport - $39,964 under the moderate rental housing PILOT program.

The moderate rental housing PILOT program allows the state to enter into contracts with municipalities and their housing authorities to make payments in lieu of taxes on eligible parcels of land and improvements owned or leased by the housing authorities. The funds housing authorities would have otherwise used to pay property taxes would have to be used for specific purposes as outlined by the state Department of Economic and Community Development. Those purposes include reducing rents below the levels which would be achieved in the absence of this program, increasing occupancy of the housing units, improving the quality and design of the housing units or providing necessary related facilities or services in the housing units.

The housing tax abatement program allows the state to abate the taxes for low or moderate-income family and elderly rental units owned and operated by nonprofit entities. The funds a nonprofit entity would have otherwise used to pay property taxes would have to be used for specific purposes as outlined by the Department of Economic and Community Development. Those purposes include reducing rents below the levels which would be achieved in the absence of abatement, increasing occupancy of the housing units, improving the quality and design of the housing units or providing necessary related facilities or services in the housing units.