Bills Target Much-Needed Regulatory Reforms

The state legislature’s Government Oversight Committee reviewed multiple bills this week targeting much-need regulatory reforms.

Three bills before the committee—SB 248, SB 252, and HB 5254—focus on strengthening accountability and modernizing regulatory review.

Together, they represent a structural approach to improving transparency, efficiency, and predictability in state government.

The bills also represent a key piece of CBIA’s 2026 Policy Solutions, which calls for “regular agency reviews of existing regulations to identify and eliminate obsolete, inconsistent, or ineffective rules, ensuring a more business-friendly regulatory environment.” 

SB 248 directs a study on whether Connecticut should reestablish a dedicated, bipartisan Legislative Review and Investigations Committee to conduct independent performance evaluations of state agencies and programs.

The committee was eliminated in 2017 due to budget cuts and financial uncertainty. 

Growing Scope, Complexity

Since the former committee’s dissolution, the scope and complexity of state government has grown significantly.

While research support remains available through existing legislative offices, structured and ongoing performance review can provide: 

• Independent assessment of whether programs meet intended goals 
• Identification of operational efficiencies and cost savings 
• Greater transparency around public spending 
• Stronger fiscal insight for policymakers

SB 252 creates a Regulation Sunset Commission to systematically review existing agency regulations and recommend elimination or amendment of rules that are outdated, duplicative, unnecessary, or overly burdensome. 

SB 252 introduces a structured, ongoing review process rather than sporadic reform efforts.

The bill also establishes a public online portal for submitting recommendations to amend or repeal regulations and encourages use of advanced regulatory analytics tools to support review efforts. 

Connecticut businesses operate under thousands of pages of agency regulations layered on top of statutory requirements.

Many were adopted decades ago in very different economic and technological conditions. Outdated regulations can: 

• Increase compliance costs without improving public outcomes 
• Slow permitting and project timelines 
• Create uncertainty through inconsistent agency interpretation 
• Discourage capital investment and job creation 

SB 252 introduces a structured, ongoing review process rather than sporadic reform efforts, ensuring regulatory modernization becomes part of a predictable governance cycle. 

Regulatory Review

HB 5254 strengthens Connecticut’s existing regulatory review framework by establishing clearer accountability and structured timelines for agency reviews. 

The bill requires the governor to establish individualized timetables for agency regulatory reviews, reinforces the seven-year review requirement, requires agencies to assess whether regulations are obsolete, unused, duplicative, overly costly, inconsistent with law, or ineffective, and enhances legislative oversight. 

Connecticut’s regulatory climate has historically ranked in the lower half of states nationally and lags stronger regional competitors in business-friendliness.

While necessary safeguards must remain in place, regulatory accumulation over time creates compounding costs for employers. 

These costs often appear as: 

• Additional administrative hours 
• Extended compliance procedures 
• Increased legal review 
• Delayed project approvals 

HB 5254 ensures regulatory review is substantive—not merely procedural. By enforcing consistent review cycles and requiring meaningful evaluation criteria, the bill promotes clarity and predictability in the regulatory environment. 

“Regulations play a key role in business operations, notably when it comes to economic development and capital investment,” said CBIA’s Paul Amarone.

“Providing businesses with a more predictable, simplified, and affordable regulatory framework is long overdue.

“We appreciate the committee’s efforts to raise these important pieces of legislation and look forward to seeing them through.”

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For more information, contact CBIA’s Paul Amarone (860.244.1978).