Connecticut General Statutes 7-576f – Retention of designation as tier I, II, III or IV municipality. Requirements for ending designation. Municipal Finance Advisory Commission authority to end tier I designation
(a) A municipality designated as a tier I municipality in accordance with section 7-576a, tier II municipality in accordance with section 7-576b, tier III municipality in accordance with section 7-576c, or tier IV municipality in accordance with section 7-576e, shall retain such designation, notwithstanding any positive changes in the factors leading to its current designation, until, in the fiscal years following such designation, (1) there have been no audited operating deficits in the general fund of the municipality for two consecutive fiscal years, (2) the municipality’s bond rating has either improved or remained unchanged since its most current designation, (3) the municipality has presented and the commission or board has approved a financial plan that projects a positive fund balance for the three succeeding consecutive fiscal years covered by such financial plan, where a positive fund balance of at least five per cent is projected in the third such fiscal year, and (4) the municipality’s audits for such consecutive fiscal years have been completed and contain no general fund deficit.
Terms Used In Connecticut General Statutes 7-576f
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- succeeding: when used by way of reference to any section or sections, mean the section or sections next preceding, next following or next succeeding, unless some other section is expressly designated in such reference. See Connecticut General Statutes 1-1
(b) Notwithstanding subsection (a) of this section, the Municipal Finance Advisory Commission may, by unanimous vote, end the designation of a municipality designated as a tier I municipality, based on an evaluation of such municipality’s financial condition.