Amendments to create permanent municipal fund and Social Security exemption fail amid transparency concerns over hundreds of grants

Two floor amendments to the budget‑adjustment bill failed on the House floor after extended debate over whether the plan adopted one‑time relief or structural changes.

House Amendment A (LCO 5790) would have created a non‑lapsing municipal property tax relief fund fed by excess sales and use tax revenue and would have begun in fiscal 2028. Representative Paletta summarized the amendment as an effort to dedicate a revenue stream for towns; supporters called it a path to sustainable tax relief, while opponents said it risked upsetting existing fiscal guardrails and cautioned about relying on volatile revenue.

The chamber debated earmarks and the committee practice of moving prior operating investments into a "various grants" category; Representative Master Francesco and others pushed for stronger vetting and transparency for the 200+ organizations listed in cross‑referenced grant schedules.

House Amendment B (LCO 5808) would have exempted Social Security from state income tax if future consensus revenue growth exceeded a trigger; proponents called it a way to keep retirees in Connecticut while opponents warned the proposal would tie permanent relief to volatile revenue.

Both amendments were called for roll‑call votes and failed; members expressed concern that structural reforms (ECS formula rewrite, property tax rules) will require additional study and, in some members’ view, more bipartisan work in the months ahead.