Can a public housing authority created in another state operate as a public housing authority in Connecticut without going through Connecticut's authorization process?
Plain-English summary
The Connecticut Attorney General concluded that a public housing authority instrumentality created by another state could not operate as a housing authority in Connecticut without first complying with Connecticut's statutory authorization process.
The Department of Economic and Community Development had asked whether an out-of-state public housing authority's affiliate could function as a housing authority inside Connecticut. The AG read the Connecticut statutes governing public housing authorities, mainly Chapter 128 of the General Statutes, as a "pervasive regulatory scheme." Conn. Gen. Stat. § 8-40 expressly required the governing body of a Connecticut municipality to adopt a resolution declaring need for a housing authority, and provided that no authority "shall transact any business or exercise any powers" until such a resolution was passed. The Connecticut Supreme Court had already described a public housing authority as a "creature of statute" that was "pervasively regulated" by the state (Connelly v. Housing Authority of the City of New Haven; City of Norwich v. Housing Authority of Town of Norwich). Allowing an out-of-state entity to bypass the municipal-creation requirement would be inconsistent with the statutory framework.
So an out-of-state housing authority instrumentality wanting to operate in Connecticut had to be created under the local-municipality process in Conn. Gen. Stat. § 8-40 before it could exercise the substantial powers Connecticut law vested in housing authorities (eminent domain, police powers, tax-exempt bonding, tenant selection, and others).
Currency note
This opinion was issued in 2011. Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.
Background and statutory framework
Connecticut's housing authority statutes (Chapter 128 of the General Statutes) declare in Conn. Gen. Stat. § 8-38 that the provision of safe and sanitary housing for low and moderate income persons is a matter of necessity and the public interest. The General Assembly authorized municipalities to create housing authorities to carry out that mission.
The definition in Conn. Gen. Stat. § 8-39(b) limited "public housing authority" to either the Connecticut Housing Authority (since succeeded by the State Housing Authority, a subsidiary of the Connecticut Housing Finance Authority under Conn. Gen. Stat. §§ 8-244b and 8-244c) or any public corporation created under Conn. Gen. Stat. § 8-40. The statute on creation was strict. Conn. Gen. Stat. § 8-40 required that:
- The governing body of a municipality pass a resolution declaring the need for a housing authority.
- The authority "shall not transact any business or exercise any powers hereunder until the governing body of the municipality" passed such a resolution.
Once a Connecticut housing authority was properly established, its powers were substantial:
- It could maintain a police force (§ 8-44b).
- It could issue tax-exempt bonds (§§ 8-244d, 8-252, 8-52).
- It could acquire property by eminent domain (§ 8-50).
- It exercised supervisory authority over residential property, agents, managers, and tenant selection plans (§§ 8-253a(7)(C) and (E); 8-44; 8-254a; 8-45).
- It was required to submit an annual report on inventory, new construction, and housing transactions to the municipality and to the Commissioner of Economic and Community Development (§ 8-68d; Regs. Conn. State Agencies § 8-68d-1).
The Connecticut Supreme Court had described authorities as "creatures of statute" subject to a "pervasive regulatory scheme." In Connelly v. Housing Authority of the City of New Haven, 213 Conn. 354, 361 (1990), the Court held that a housing authority was not subject to a private unfair trade practice claim precisely because its powers and duties were so completely defined by statute. In City of Norwich v. Housing Authority of Town of Norwich, 216 Conn. 112, 122-23 (1990), the Court emphasized that authorities were creatures of both the state and the creating municipality.
Given that framework, the AG reasoned that an out-of-state instrumentality could not lawfully exercise housing authority powers in Connecticut without first being created under § 8-40. The municipal-resolution requirement was the gateway to housing-authority status, and there was no statutory mechanism for an out-of-state authority to short-cut around it.
Common questions
Q: What specific powers did the AG say required Connecticut authorization to exercise?
A: Among others, maintaining a police force (§ 8-44b), issuing tax-exempt bonds (§§ 8-244d, 8-252, 8-52), exercising eminent domain (§ 8-50), and supervising tenant selection and management (§§ 8-253a, 8-44, 8-254a, 8-45). These were the kinds of governmental powers Connecticut law reserved to authorities created through its own municipal process.
Q: Was there any way for an out-of-state authority to operate in Connecticut?
A: The opinion's logic pointed to one path: the local municipality where the authority sought to operate would have to pass a § 8-40 resolution declaring the need for a housing authority and creating one. That new authority would be a Connecticut entity subject to Connecticut's full regulatory regime, including annual reporting to the Commissioner of Economic and Community Development.
Q: Did the AG draw a bright line based on the language of § 8-40?
A: Yes. The opinion emphasized § 8-40's statement that an authority "shall not transact any business or exercise any powers" until the municipality passed a creation resolution. The AG read that language as foreclosing any structure under which an out-of-state authority could simply extend its existing operations into Connecticut.
Q: What did the cited Connecticut Supreme Court cases hold?
A: Connelly held that a housing authority was insulated from private unfair trade practice claims because its activities were pervasively regulated by statute. City of Norwich held that authorities were creatures of both the state and the creating municipality. Together, the cases supported the AG's view that Connecticut's housing authority statutes were a self-contained regulatory regime with no implicit room for out-of-state entrants.
Citations
Statutes: Conn. Gen. Stat. § 8-38 (declaration of state housing policy); § 8-39(b) (definition of public housing authority); § 8-40 (municipal creation requirement); § 8-44 (supervisory powers); § 8-44b (housing authority police); § 8-45; § 8-50 (eminent domain); § 8-52 (bonds); § 8-68d (annual report); §§ 8-244b, 8-244c, 8-244d (State Housing Authority and bonds); § 8-252; §§ 8-253a(7)(C) and (E); § 8-254a; Regs. Conn. State Agencies § 8-68d-1.
Cases: Connelly v. Housing Authority of the City of New Haven, 213 Conn. 354 (1990) (housing authority as pervasively regulated creature of statute); City of Norwich v. Housing Authority of Town of Norwich, 216 Conn. 112 (1990) (authorities are creatures of both state and creating municipality).
Source
- Landing page: https://portal.ct.gov/AG/Opinions
- Original PDF: https://portal.ct.gov/-/media/ag/opinions/2011/opinionangelo2011-05-pdf.pdf?rev=abab9eeed53046b5837340b12823c660
Original opinion text
Best-effort transcription from a scanned PDF. Minor errors may remain — the linked PDF is authoritative.
State of Connecticut
GEORGE C. JEPSEN
ATTORNEY GENERAL
Hartford
August 4, 2011
The Honorable Ronald F. Angelo, Jr.
Deputy Commissioner
Department of Economic and Community Development
505 Hudson Street
Hartford, Connecticut 06106
Dear Deputy Commissioner Angelo:
You have requested a legal opinion on whether an instrumentality of an out of state
public housing authority may act as a public housing authority in Connecticut without
being authorized to act as a public housing authority according to the requirements of
Connecticut law. I conclude that an instrumentality of an out of state public housing
authority may not act as a public housing authority in Connecticut without first being
authorized to do so according to Connecticut law. The Connecticut statutes governing the
creation and powers of public housing authorities are clear and constitute a pervasive
regulatory scheme. It would be inconsistent with that pervasive regulatory scheme and the
express terms of Connecticut law for any entity to act as a public housing authority without
complying with the requirements of Connecticut law governing their creation and
regulation.
The Connecticut General Assembly has determined that the provision of safe and
sanitary housing for low and moderate income persons is a matter of necessity and in the
public interest of the state. See Conn. Gen. Stat. § 8-38. Toward that end, the General
Assembly has authorized the creation of public housing authorities throughout the state.
See Conn. Gen. Stat. § 8-40. A "public housing authority" is defined in Connecticut law as
either the Connecticut Housing Authority or any public corporation created under the
provisions of Conn. Gen. Stat. § 8-40. See Conn. Gen. Stat. § 8-39(b); see also Regs.
Conn. State Agencies § 8-68d-1 (setting forth the same definition of "public housing
authority"). Conn. Gen. Stat. § 8-40 requires that the governing body of any municipality
wishing to create a public housing authority must pass a resolution declaring the need for
such an authority. Conn. Gen. Stat. § 8-40 also expressly states that a housing authority
"shall not transact any business or exercise any powers hereunder until the governing body
of the municipality" passes such a resolution.
The Connecticut Housing Authority has been succeeded by the State Housing
Authority, which is a subsidiary of the Connecticut Housing Finance Authority.
See Conn. Gen. Stat. §§ 8-244c and 8-244b.
Once a public housing authority is properly established, its powers and
responsibilities are substantial. For example, a public housing authority may establish a
police force, see Conn. Gen. Stat. § 8-44b, issue tax-exempt bonds, see Conn. Gen. Stat.
§§ 8-244d, 8-252, and 8-52, acquire property by eminent domain, see Conn. Gen. Stat.
§ 8-50, and exercise supervisory authority over residential property, agents, managers, and
tenant selection plans, see Conn. Gen. Stat. §§ 8-253a(7)(C) and (E); 8-44; 8-254a and
8-45. Additionally, public housing authorities in Connecticut are required to submit an
annual report of their activities to the municipality they serve and to the Commissioner of
Economic and Community Development. See Conn. Gen. Stat. § 8-68d. Such reports are
required to include information relating to the housing authority's inventory of existing
housing, new construction projects, and the number and types of housing sold, leased or
transferred during the reporting period. See Regs. Conn. State Agencies § 8-68d-1.
Indeed, the Connecticut Supreme Court has held that a public housing authority is a
"creature of statute" and is "pervasively regulated" by the state. See Connelly v. Housing
Authority of the City of New Haven, 213 Conn. 354, 361 (1990) (holding that a public
housing authority is not subject to a private unfair trade practice claim because it is subject
to a pervasive regulatory scheme that does not provide for such liability); see also City of
Norwich v. Housing Authority of Town of Norwich, 216 Conn. 112, 122-23 (1990) (holding
that public housing authorities are creatures of both the state and the municipality creating
the authority).
Given the express provision of Conn. Gen. Stat. § 8-40 that housing authorities
"shall not transact any business or exercise any powers" until they are created by the
municipality they serve, the Connecticut Supreme Court's holding that a public housing
authority is a "creature of statute" that is "pervasively regulated" by the state, and the
significant powers a properly authorized housing authority possesses, it is my legal opinion
that no instrumentality of an out of state housing authority may act as a public housing
authority in Connecticut without first complying with the statutory requirements governing
the creation and powers of public housing authorities as set forth in Connecticut law.
GEORGE JEPSEN
ATTORNEY GENERAL