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Governor Ned Lamont, Lt. Governor Susan Bysiewicz, and Banking Commissioner Jorge Perez today announced the release of three state grants totaling more than $400,000 that will be used to support programs focused on improving the financial wellness of Connecticut residents with a priority focus on women and girls. The grants are being awarded through a competitive RFP process issued by the Connecticut Department of Banking that solicited proposals centered on the grant’s objectives.

“These grants will be used to support programs that empower people to improve their own financial stability through education and training, with a particular focus on our underserved populations, including women and girls,” Governor Lamont said. “I appreciate the partnership of the organizations that are working in our shared goal of helping people get on the road to financial independence and wellness.”

“Empowering women towards financial wellness benefits all of us,” Lt. Governor Bysiewicz, who serves as chairperson of the Governor’s Council on Women and Girls, said. “Decades of research have shown that the benefits of women’s full participation in economies are enormous. By uplifting women and girls, we can increase financial stability in their households, as well as their local communities and broader societies. Through these partnerships, we are increasing the opportunity and accessibility – especially for women and girls – of these essential programs that will help propel them, and their communities, to a better financial future.”

“The recipients have demonstrated that they can effect real change with the money allocated from this grant,” Commissioner Perez said. “I would like to thank all the committee members who thoroughly reviewed each proposal. It was a difficult decision, as all the proposals had merit. While we could not fund all applicants, it is encouraging to see the various organizations working and making a difference each day in people’s lives.”

The Connecticut Department of Banking sourced the grants from settlement funds with various companies. As per those arrangements, a portion of the monies are set aside for financial wellness and investor education. A committee, composed of department staff, representatives of other state agencies, and industry professionals, reviewed 15 responses to the department’s RFP. Consideration was given to organizations, entities, coalitions, and collaborations able to reach and assist underserved communities, with a priority on women and girls, to improve their financial wellness and empowerment.

Each application required a detailed description that included:

• the program’s method of delivery of financial education;
• the targeted demographic of the program;
• information regarding the nature and structure of the program including the programs goals for participants;
• how the proposed program would go beyond what is available and to what extent would the program serve as an innovative and scalable model; and
• how success of the program would be measured and, if available, information pertaining to the success of past programs.

The committee considered the following factors and gave preference to proposals that:

• empower individuals with financial capabilities that help prepare them to meet their future financial goals;
• describe the benefits of saving and checking accounts;
• teach the importance of establishing good credit as a foundation for future financial success;
• encourage individuals to think long-term by teaching investing principles;
• deliver information regarding consumer protection including high-cost loans, frauds/scams, cybersecurity, and identity theft;
• apply knowledge to practical skills and real-life experiences;
• inspire participants to set personal and financial goals and demonstrates how those goals can be achieved
• provide participants with the ability to seek follow-up services; and
• build upon current programs in a manner that is innovative, measurable and scalable.

The following organizations have been selected to receive the grants:

Local Initiatives Support Corporation

Local Initiatives Support Corporation (LISC) will receive a $250,000 state grant to expand seven of its Financial Opportunity Centers, which are located throughout Connecticut. These serve as career and financial coaching service centers that provide three core services to individuals with low-to-moderate incomes: one-on-one employment coaching, one-on-one financial coaching, and access to benefits that help build credit, savings, and assets. The centers also have the opportunity to transition into Bridges to Career Opportunity Centers. These funds will be used to enhance one-on-one financial coaching, and access to benefits that help build credit, savings, and assets.

“LISC Connecticut is excited to receive this support from the Connecticut Department of Banking, which will strengthen our network of seven Financial Opportunity Centers across the state,” Jim Horan, senior executive director of LISC Connecticut, said. “With this award, our clients will receive budget coaching to save $500 over the course of a year, which will be matched two-to-one with Department of Banking funds and support from Liberty Bank. At the end of the year, clients will have $1,500 and improve their credit score.”

The Village for Families and Children

The Village for Families and Children will receive a $103,911 state grant for its Boosting Financial Wellness for Greater Hartford Families project, which will support connection between its Financial Opportunity Center and its family-centered programs based at the Spring Street site in Hartford. The Village’s Financial Opportunity Center helps low and moderate-income adults living in the Hartford area to effectively manage their finances and achieve financial goals. The Village served more than 690 families at the Spring Street site in the most recent program year. Many of these were single-parent, female-led households.

“At The Village, we know that there is a direct relationship between financial health and overall well-being,” Tammy Freeberg, vice president of strategy and planning for The Village for Families and Children, said. “This grant will increase capacity and resources for our Financial Opportunity Center, helping us to empower more families in Greater Hartford with education, coaching, and tools to achieve financial wellness and gain stability in many aspects of their lives.”

United Way of Southeastern Connecticut

The United Way of Southeastern Connecticut will receive a $50,000 state grant for its Path to Financial Wellness program. The mission of this program is to provide an opportunity for BIPOC (Black, Indigenous, and People of Color) and female-led households to engage in financial literacy education on their own time and at their own page, and to provide an opportunity for those individuals to make empowered financial decisions. The program will utilize self-directed e-learning and professional financial coaching to guide participants in gaining financial stability through self-assessment, goal setting, and practical application of financial literacy skills. The grant funding will allow them to provide their program to the Greater New London area.

“United Way of Southeastern Connecticut is excited to bring our Path to Financial Wellness program to New London County,” Dina Sears-Graves, president and CEO of the United Way of Southeastern Connecticut, said. “We are excited to partner with local nonprofits and Chelsea Groton Bank to provide members of our community an opportunity to make empowered financial decisions. This program aims to increase financial stability, focusing on communities that are disproportionately affected by financial hardship including female single-headed households, Black, Indigenous and people of color.”

Three Prize-Winning Students Awarded $20,000; 24 Students Awarded $6,000; Ten Connecticut Schools Also Announced as Recipients of Technology Prizes

State Treasurer Erick Russell, Trustee of the Connecticut Higher Education Trust (CHET), today announced the winners of the 2023 CHET Dream Big! Competition.

Three students were awarded $20,000 prizes and 24 students were awarded $6,000 prizes. An additional 336 students will be awarded $500 prizes this month.

Treasurer Russell also announced ten schools that will receive a $7,500 technology prize to help provide new items like tablets, smartboards, and small electronics for classrooms. Each school in Connecticut represented by at least one entry in the Dream Big! Competition was eligible for a random drawing for these prizes. 

Since 2013, the Dream Big! Competition has awarded over $4.5 million dollars to Connecticut students to help pay for future education expenses. The 2023 competition began on August 1, 2023, and ended on November 6, 2023, and was open to all Connecticut residents in grades K-12.

To enter, students were asked to submit a drawing, short essay or video answering a question focusing on their dreams for the future – dependent on their grade level group, as defined in the competition Official Rules.

From bettering neighborhoods with free sports equipment, improving the environment, helping people with addiction, and working in a soup kitchen to sheltering the homeless, being kind, and collecting donations, winning entries showcased imaginative and innovative dreams for themselves and their communities through essays, drawings, and videos.

“I was so impressed with the nearly 3,000 entries we received from students from across the state for the Dream Big! Competition,” said Treasurer Russell. “These students’ entries were so creative and show that they are truly committed to their goals and their communities. I congratulate all our winners and look forward to seeing all they do in the future.

“I also want to congratulate the ten schools that won technology prizes,” he continued. “We are grateful for your encouragement of students to Dream Big.”

First-prize winner in the kindergarten through fourth grade group, Flynn J. of Watertown, wants to organize a community garden at his school to benefit people in need. “Each week, a different grade would be responsible for caring for the garden. After each grade has improved the garden, we could harvest the vegetables and divide them into groups to sell 50% and donate 50%,” he wrote.

Grand-prize winner in the fifth through eighth grade group, Zia V. of Manchester, created a detailed and colorful collage showing different ways someone could improve the lives of others. Examples include helping the less fortunate, being an active listener, becoming a teacher, supporting people with mental health needs, and protecting the Earth. 

First-prize winner in the ninth through twelfth grade group, Layan J. of Farmington, wrote about a nonprofit organization she created to benefit people in Yemen, her mother’s home country. “After receiving a tremendous amount of support from the public, (my organization’s) outreach increased dramatically, ultimately allowing me to acquire a greater sense of purpose,” she wrote. “As I transition into the next chapter of my education, I plan to pursue political science in order to expand my ability in solving international issues.”

For more information about the CHET Dream Big! Competition and the winners’ vision, go to www.chetdreambig.com.

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Governor’s Bill Approved by General Law Committee Last Week, Now Awaits Further Action by the Full Legislature 

Governor Ned Lamont is urging the Connecticut General Assembly to approve legislation he proposed for consideration this session that will enact a new consumer rights law requiring upfront pricing on all event tickets, hotel and short-term rental accommodations, and food and beverage sale and delivery services, and accordingly prohibit the increasingly common practice of adding unexpected, mandatory hidden fees that are tacked on at the end of a consumer’s transaction.

These hidden fees, frequently known as junk fees, are often vaguely labeled as a “service fee” or “convenience fee.” It is estimated that they cost Connecticut families thousands of dollars each year and they disproportionally impact low-income families who may lack the time, resources, or financial literacy to filter through these fees or search for a competitive price.

The governor’s proposal is Senate Bill 15, An Act Requiring Fee Disclosures. It was unanimously approved last week by the members of the General Law Committee, and it now awaits further action by both chambers of the General Assembly. The governor is urging them to act on the legislation so that he can sign it into law.

“We are increasingly seeing situations in which a product or service is being advertised at a low price and then when a consumer gets to the very end of their transaction that price suddenly increases with any number of mandatory fees being tacked on, and frequently consumers will complete their purchase without even realizing the price jumped until well after it has already been finalized,” Governor Lamont said. “This proposal simply says that the price of a product or service cannot be misrepresented to consumers. Upfront pricing will ensure that consumers are able to make well-informed purchases, and it levels the playing field among competitors in these industries by requiring that they all be honest and transparent on the costs of their products and services from the get go.”

Attorney General William Tong and Consumer Protection Commissioner Bryan T. Cafferelli also support the enactment of this law, saying that if it is approved by the legislature it will be a major win for Connecticut consumers.

“Junk fees tacked on at the last minute add up to serious costs for consumers,” Attorney General Tong said. “These hidden charges make it next to impossible to compare costs and find affordable deals. Everyone hates these bait and switch charges, and I fully support the governor and the legislature in strengthening our state laws to ensure fair, transparent pricing.”

“Companies have increasingly found ways to gain more money from consumers, often by tacking on superfluous ‘service fees’ just when you’re ready to hit the final purchase button on an event ticket, hotel room, or food purchase,” Commissioner Cafferelli said. “By waiting until the last second to add on these junk fees, companies make it difficult for consumers to shop around, price compare and find the best deal. This legislation promotes open and honest transactions in the marketplace and raises consumer confidence in our retail and services industries, and putting money back in people’s pockets.”

This proposal builds on a provision included in Public Act 23-98, which the General Assembly approved and Governor Lamont signed into law last year. That law, which took effect on October 1, 2023, requires upfront disclosure of pricing for the purchase of tickets to live events, however some consumers have noted that since its enactment certain ticketing platforms continue to run advertisements or otherwise not disclose the full price of tickets until the consumer begins a transaction by selecting the tickets they want to purchase. Senate Bill 15 closes this loophole by requiring ticket platforms to disclose the full price of tickets beginning at the moment they are first advertised, displayed, or offered, even prior to the consumer selecting a ticket.

President Joe Biden, the Federal Trade Commission, and the Consumer Financial Protection Bureau recently announced similar efforts to crack down on junk fees on a nationwide level. Governor Lamont applauds these efforts, and notes that until those federal rules are able to take effect, the states must act to protect consumers from deceptive pricing.

The General Assembly must act on the proposal prior to the adjournment of the regular session, which will occur on May 8, 2024.