(a) The State Treasurer shall notify the Commissioner of Finance and Management when he or she receives funds from either the State of Connecticut or the Commonwealth of Massachusetts, as provided in the Connecticut River Flood Control Compact, sections 1151-1160 of this title, in reimbursement for loss of taxes and for economic losses and damages for any tax year in a town or towns of this State occasioned by ownership therein by the United States of lands, rights or other property in a flood control dam and reservoir.

(b) At the same time the State Treasurer shall transmit to the Secretary of the Agency of Natural Resources the official notification he or she has received from the Connecticut River Valley Flood Control Commission setting forth the tax loss or the economic losses and damages, as determined by the Commission according to the terms of said Compact, or as otherwise determined by the Commission, together with the part of each such loss the State of Connecticut and the Commonwealth of Massachusetts are obligated to pay.

(c) Funds received pursuant to subsection (a) of this section shall be credited to a special fund, established and managed pursuant to 32 V.S.A. chapter 7, subchapter 5, from which payments shall be made in accordance with section 1176 of this title. (Amended 1959, No. 108, § 1; 1959, No. 328 (Adj. Sess.), § 8; 1961, No. 100, § 2; 1981, No. 222 (Adj. Sess.), § 5; 1983, No. 195 (Adj. Sess.), § 5; 1987, No. 76, § 18; 2011, No. 162 (Adj. Sess.), § E.709.1.)