State-Owned Property - Payment in Lieu of Taxes

Program Description

This program provides a payment in lieu of local property taxes (PILOT) for property owned and used by the State of Connecticut. The payment is equal to a percentage of the amount of taxes that would be paid if the property were not exempt from taxation. The payment percentages are 100% for facilities used as a correctional facility, 100% Mashantucket Pequot Tribal land taken into trust by federal government on or after June 8, 1999, 100% for any town in which more than 50% of all property in the town is state-owned real property, 65% for the Connecticut Valley Hospital facility, and 45% for all other property.   Payment is made only for real property and does not include payment for tax loss on exempt personal property owned by these facilities or property used for highway purposes. Payment is made once a year on September 30th.

Grant Activity

Fiscal Year 2020 and 2021: PA 19-117 Sec 57 set a fixed payment in lieu of taxes for state owned property payment on October 31st -- PDF file

The statutory formula for State Owned PILOT has been inactive since FY 2016, as statutory payment lists have been passed each year beginning in FY 2017. As a result, the last formula‐driven PILOT payments were based on municipal grand lists from 2014, nearly 7 years ago.

Statutory References: Connecticut General Statutes (CGS): Sections 12-19a, 12-19b and 12-19c.

Regulatory References: Regulations of Connecticut State Agencies: §12-19b-1 and §12-19b-2.

For Further Information, Please Contact: Martin Heft, (860) 418-6355,