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art.020/1

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ARTICLE 20 AS AMENDED

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RELATING TO EAST BAY BRIDGE SYSTEM

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     SECTION 1. Title 24 of the General Laws entitled “HIGHWAYS” is hereby amended by

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adding thereto the following chapter:

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     CHAPTER 24-17

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     EAST BAY BRIDGE SYSTEM ACT OF 2012

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     24-17-1. Short Title. -- This chapter shall be known and may be cited as the “East Bay

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Bridge System Act of 2012”.

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     24-17-2. Legislative findings. -- The general assembly finds that:

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     (1) The State of Rhode Island, through the Rhode Island Department of Transportation

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(“RIDOT”), funds the repair, replacement, and maintenance of bridges in Rhode Island, except

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the Newport Bridge and the Mount Hope Bridge.

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     (2) Rhode Island depends on three primary sources for funding all transportation

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infrastructure construction, maintenance, and operations. These sources are Federal funds, State

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bond funds, and motor fuel tax revenue. Of these sources, two (Federal funds and motor fuel tax

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revenue) are mutable.

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     (3) The 2008 Governor’s Blue Ribbon Panel on Transportation Funding and the 2011

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Senate Special Commission on Sustainable Transportation funding determined that there is

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insufficient revenue available from all existing sources to fund the maintenance and improvement

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of Rhode Island transportation infrastructure.

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     (4) In 2011, the Rhode Island general assembly adopted a component of the

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recommended systemic change to transportation funding by creating the Rhode Island Highway

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Maintenance Trust Fund, to be funded by an increase in license and registration fees and

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contributions from the Rhode Island Capital Plan (RICAP) fund, beginning in FY2014.

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     (5) Although the State is shifting from long-term borrowing to annual revenues to fund

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transportation infrastructure, there is still a funding gap between the revenue needed to maintain

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all roads and bridges in good condition and the annual amounts generated by current revenue

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sources.

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     (6) The State has sufficient financial resources to complete the construction of the new

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Sakonnet River Bridge and to demolish the existing Sakonnet River Bridge, but does not have

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sufficient financial resources to assure the future maintenance and operation of the Sakonnet

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River Bridge.

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     (7) There is limited access to and from Rhode Island’s East Bay, consisting of Bristol and

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Newport Counties, and this access is restricted both by geography and infrastructure. The most

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critical infrastructure includes the four bridges that comprise the access to Aquidneck Island and

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Conanicut Island. These four bridges make up less than half a percent of the total bridges in the

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state, but comprise approximately twenty percent of the deck area of all Rhode Island bridges.

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     (8) Two of the four bridges, the Sakonnet River Bridge and the Jamestown Verrazzano

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Bridge, are owned and maintained by RIDOT. The Rhode Island Turnpike and Bridge Authority

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(“RITBA”) currently owns and maintains the other two bridges: the Newport Bridge and the

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Mount Hope Bridge.

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     (9) In the current economic and political climate, cooperation between State departments

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and/or quasi-public agencies provides the best opportunity to maximize financial and knowledge-

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based resources.

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     (10) RITBA currently assesses a toll for passage over the Newport Bridge, and this toll

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serves as the sole source of revenue for RITBA to maintain both the Newport Bridge and the

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Mount Hope Bridge and related appurtenances.

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     (11) The Federal Highway Administration allows for the placement of tolls on certain

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transportation infrastructure in order to assure the improvement and proper operation and

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maintenance of the structure and associated roadways.

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     (12) The current toll structure places undue burden on the residents, businesses, and

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visitors who must use the Newport Bridge to access work, schools, shopping, and other essential

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services. It is crucial to establish a comprehensive strategy to fund and maintain the bridges

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connecting the East Bay.

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     (13) The transfer of the Sakonnet River Bridge and its appurtenances and the Jamestown

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Verrazzano Bridge and its appurtenances to the Rhode Island Turnpike and Bridge Authority

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would be in the best interests of the State of Rhode Island and its residents, particularly those

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living and working in the East Bay.

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     (14) The placement of a toll on the Sakonnet River Bridge, under the direction of RITBA,

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would serve to create a more viable means of funding future maintenance and repairs of the East

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Bay bridges and would allow for the establishment of a more equitable toll structure, along with a

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fund for capital transportation projects and preventive maintenance in the East Bay.

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     24-17-3. East Bay Infrastructure fund established. -- (a) There is hereby created a

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special account in the general fund to be known as the East Bay Infrastructure (EBI) fund.

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     (b) The fund shall consist of all those moneys which the Rhode Island Turnpike and

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Bridge Authority may and the state may, from time to time, direct to the fund, including, but not

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necessarily limited to, funds in excess of those required to (i) pay debt service payments, (ii)

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operate and maintain the bridges; and (iii) maintain required or adequate reserves.

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     (c) All funds collected pursuant to this section shall be deposited in the EBI fund and

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shall be used only in Bristol and Newport Counties, and only for the purposes set forth in this

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chapter.

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     (d) Unexpended balances and any earnings thereon shall not revert to the general fund but

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shall remain in the EBI fund. There shall be no requirement that moneys received into the EBI

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fund during any given calendar year or fiscal year be expended during the same calendar year or

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fiscal year.

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     (e) The EBI fund shall be administered by the director, who shall allocate and spend

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moneys from the fund only in accordance with the purposes and procedures set forth in this

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chapter.

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     SECTION 2. Section 24-8-28 of the General Laws in Chapter 24-8 entitled

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“Construction and Maintenance of State Roads” is hereby repealed.

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     § 24-8-28 Sakonnet River stone bridge. – The department of transportation shall have

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full charge and control of the operation and maintenance of the Rhode Island stone bridge across

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Sakonnet River connecting the island of Rhode Island with the mainland, and the bridge is hereby

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made a part of the state highway system. The department shall appoint the attendants and other

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employees as may be required for the care and operation of the bridge, and in all matters of the

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care, operation, and maintenance of the bridge the department shall exercise full authority. All

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appropriations for the care, maintenance, and repair of the bridge shall be expended under the

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direction of the department.

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     SECTION 3. Sections 24-12-1, 24-12-5, 24-12-9, 24-12-18, 24-12-26, 24-12-28, 24-12-

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39 and 24-12-50 of the General Laws in Chapter 24-12 entitled “Rhode Island Bridge and

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Turnpike Authority” are hereby amended to read as follows:

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      24-12-1. Definitions. -- As used in this chapter, the following words and terms shall

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have the following meanings, unless the context shall indicate another or different meaning:

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     (1) "Additional facility" means any bridge, (excluding the Sakonnet River Bridge),

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approach or feeder road, highway, road, freeway, tunnel, overpass, or underpass, parking facility

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or toll facility, in the state, equipment or signal and information system, which the authority is

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authorized by this chapter or any other law to construct, reconstruct, renovate, acquire, maintain,

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repair, operate, or manage after May 3, 1954 or any portion thereof.

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     (2) "Annual period" means the one-year fiscal period of the state commencing on the first

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day of July of any year and ending the last day of June of the following year.

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     (3) "Authority" means the Rhode Island turnpike and bridge authority created by § 24-12-

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2, or, if the authority shall be abolished, the board, body, or commission succeeding to the

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principal functions thereof or upon whom the powers given by the chapter to the authority shall

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be given by law.

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     (4) "Cost" as applied to any project to be constructed, reconstructed, renovated,

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maintained, acquired, leased, repaired, operated or managed by the authority shall embrace the

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cost of construction, reconstruction, renovation, maintenance, repair, operation or management,

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the cost of the acquisition of all land, rights-of-way, property, rights, easements, and interests

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acquired by the authority for the construction, reconstruction, renovation, maintenance, repair,

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operation or management, the cost of demolishing or removing any buildings or structures on

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land so acquired, including the cost of acquiring any lands to which the buildings or structures

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may be moved, the cost of all machinery and equipment, financing charges, interest prior to and

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during construction, reconstruction, renovation, maintenance, repair, operation or management,

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and for one year after completion of construction, reconstruction, renovation, maintenance, repair,

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operation or management, cost of traffic estimates and of engineering and legal services, plans,

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specifications, surveys, estimates of cost and of revenues, other expenses necessary or incident to

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determining the feasibility or practicability of construction, reconstruction, renovation,

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maintenance, repair, operation or management, administrative expenses, and such other expenses

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as may be necessary or incident to the construction, reconstruction, renovation, maintenance,

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repair, operation or management, the financing of the construction, and the placing of the project

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in operation, and in connection with the Newport Bridge shall include the purchase price of the

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ferry franchise. The word "cost" as applied to any project which the authority may be authorized

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to acquire means the amount of the purchase price, lease payments, debt service payments, or the

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amount of any condemnation award in connection with the acquisition of the project, and shall

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include the cost of acquiring all the capital stock of the corporation owning the project, if such be

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the case, and the amount to be paid to discharge all of the obligations of the corporation in order

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to vest title to the project in the authority, the cost of improvements to the project which may be

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determined by the authority to be necessary prior to the financing thereof, interest during the

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period of construction of the improvements and for one year thereafter, the cost of all lands,

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properties, rights, easements, franchises, and permits acquired, the cost of engineering and legal

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services, plans, specifications, surveys, estimates of cost and of revenues, other expenses

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necessary or incident to determining the feasibility or practicability of the acquisition or

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improvement, administrative expenses, and such other expenses as may be necessary or incident

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to the financing of the acquisition or improvement and the placing of the project in operation by

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the authority.

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     (ii) "Cost" as applied to the Mount Hope Bridge means such amount, if any, as the

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authority may deem necessary, following the acquisition of a bridge under the provisions of § 24-

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12-40A, to place the bridge in safe and efficient condition for its operation. And as applied to any

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project constructed or acquired by the authority under the provisions of the chapter, the word

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"cost" shall also include such amounts as the authority may deem necessary for working capital

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and to create a debt service reserve for interest.

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     (iii) "Cost" as applied to the Sakonnet River Bridge includes such amount, if any, as the

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authority may deem necessary, following the acquisition of the Sakonnet River Bridge under the

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provisions of subsection 24-12-40F, to place the bridge in safe and efficient condition for its

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operation. As applied to any project constructed or acquired by the authority under the provisions

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of the chapter, the word "cost" shall also include such amounts as the authority may deem

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necessary for capitalized interest, working capital and to create a debt service reserve.

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     (iv) “Cost” as applied to the Jamestown Verrazzano Bridge includes such amount, if any,

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as the authority may deem necessary, following the acquisition of the Jamestown Verrazzano

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Bridge under the provisions of subsection 24-12-40G, to place the bridge in safe and efficient

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condition for its operation. As applied to any project constructed or acquired by the authority

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under the provisions of the chapter, the word "cost" shall also include such amounts as the

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authority may deem necessary for capitalized interest, working capital and to create a debt service

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reserve.

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     (5) "Department" means the department of transportation, or, if the department shall be

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abolished, the board, body, or commission succeeding to the principal functions thereof or upon

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whom the powers given by chapter 5 of title 37 to the department shall be given by law.

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     (6) "Ferry franchise" means the existing franchises and rights to operate ferries belonging

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to the Jamestown and Newport ferry company, but not including any other intangible personal

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property or real estate or tangible personal property of the corporation which shall remain the

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property of the corporation.

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     (7) "Jamestown Bridge" means the existing former bridge over the west passage of

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Narragansett Bay between the towns of Jamestown and North Kingstown constructed by the

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Jamestown Bridge commission under the provisions of chapter 2536 of the Public Laws, 1937

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and the approaches thereto, and shall embrace all tollhouses, administration, and other buildings

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and structures used in connection therewith, together with all property, rights, easements, and

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interests acquired by the Jamestown Bridge commission in connection with the construction and

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operation of the bridge.

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     (8) "Jamestown Verrazzano Bridge" means any the bridge constructed in replacement of

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the Jamestown Bridge, as defined in subdivision (7) and the approaches thereto, and shall

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embrace all tollhouses, administration, and other buildings and structures used in connection

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therewith, together with all property, rights, easements, and interests acquired by the authority in

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connection with the construction and operation of such bridge.

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     (9) "Mount Hope Bridge" means the existing bridge between the towns of Bristol and

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Portsmouth and the approaches thereto, which was constructed by the Mount Hope Bridge

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corporation and which was acquired and is now owned and operated by the Mount Hope Bridge

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authority under the provisions of chapter 13 of this title, and shall embrace all tollhouses,

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administration, and other buildings and structures used in connection therewith, together with all

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property, rights, easements, and interests acquired by the Mount Hope Bridge corporation or the

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Mount Hope Bridge authority in connection with the construction and operation of the bridge.

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     (10) "Newport Bridge" means the bridge or tunnel or combination of bridge and tunnel

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constructed or to be constructed under the provisions of this chapter over or under the waters of

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Narragansett Bay between Conanicut Island and the island of Rhode Aquidneck Island, shall

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embrace the substructure and the superstructure thereof and the approaches thereto and the

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entrance plazas, interchanges, overpasses, underpasses, tollhouses, administration, storage, and

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other buildings, and highways connecting the bridge or tunnel with the Jamestown Verrazzano

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Bridge (defined in subdivision (7 8) and with state highways as the authority may determine to

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construct from time to time in connection therewith, together with all property, rights, easements,

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and interests acquired by the authority for the construction and operation of the bridge or tunnel

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or combination of bridge and tunnel.

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     (11) "Owner" means and include all individuals, incorporated companies, partnerships,

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societies, or associations, and also municipalities, political subdivisions, and all public agencies

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and instrumentalities, having any title or interest in any property, rights, easements, or franchises

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authorized to be acquired under the provisions of this chapter.

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     (12) "Project" means the "Newport Bridge," "Mount Hope Bridge," “Sakonnet River

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Bridge,” “Jamestown Verrazzano Bridge”, the "turnpike" or any "additional facility," as the case

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may be, or any portion thereof which may be financed, acquired or leased under the provisions of

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this chapter.

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     (13) "Turnpike" means the controlled access highway or any portion thereof to be

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constructed or acquired, from time to time, under the provisions of this chapter from a point at or

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near the Connecticut-Rhode Island border through the county of Washington and the county of

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Newport to a point at or near the Massachusetts-Rhode Island border in the town of Tiverton

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(excluding the Jamestown Verrazzano Bridge, the Mount Hope Bridge, the Newport Bridge, and

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the Sakonnet River Bridge), together with all bridges (except those mentioned above),

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overpasses, underpasses, interchanges, entrance plazas, approaches, approach roads, tollhouses,

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service stations, and administration, storage, and other buildings and facilities which the authority

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may deem necessary for the operation of the turnpike, together with all property, rights,

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easements, and interests which may be acquired by the authority for the construction or the

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operation of the turnpike.

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     (14) "Sakonnet River Bridge" means the replacement Sakonnet River bridge constructed

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or to be constructed under the provisions of Article 36 of Chapter 376 of the Public Laws of 2003

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between the towns of Tiverton and Portsmouth and shall embrace the substructure and the

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superstructure thereof and the approaches thereto and the toll structures, interchanges, overpasses,

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underpasses, tollhouses, administration, storage, and other buildings, and highways connecting

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the bridge with state highways, as the authority may determine to construct or acquire from time

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to time in connection therewith, together with all property, rights, easements, and interests

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acquired by the authority for the construction and operation of the bridge.

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     24-12-5. Power to construct, reconstruct, renovate, acquire, maintain, repair,

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operate or manage projects or additional facilities and to issue bonds. -- In order to facilitate

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vehicular traffic, remove many of the present handicaps and hazards on the congested highways

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in the state, alleviate the barriers caused by large bodies of water, and promote the agricultural

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and industrial development of the state, the Rhode Island turnpike and bridge authority is hereby

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authorized and empowered: to construct the Newport Bridge, the turnpike, any portion thereof or

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any additional facility hereafter authorized to be constructed; to acquire the Mount Hope Bridge,

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to acquire the Sakonnet River Bridge, to acquire the Jamestown Verrazzano Bridge and any

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additional facility hereafter authorized to be acquired (except the Sakonnet River Bridge); to

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maintain, construct, reconstruct, renovate, acquire, repair, operate or manage any project or

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projects; and to issue bonds of the authority as provided in this chapter to finance any project or

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projects; provided, however, that the Mount Hope Bridge shall only be acquired as provided for

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by § 24-12-40A.

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     24-12-9. Powers of authority. -- (a) The authority is hereby authorized and empowered:

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     (1) To adopt bylaws for the regulation of its affairs and the conduct of its business;

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     (2) To adopt an official seal and alter it at pleasure;

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     (3) To maintain an office at such place or places within the state as it may designate;

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     (4) To sue and be sued in its own name, plead and be impleaded; provided, however, that

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any and all actions at law or in equity against the authority shall be brought only in the county in

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which the principal office of the authority shall be located;

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     (5) To determine, subject to the approval of the director of transportation, the location

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and the design standards of the Newport Bridge, the turnpike and any additional new facility to be

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constructed;

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     (6) To issue bonds of the authority for any of its purposes and to refund its bonds, all as

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provided in this chapter;

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     (7) To combine for financing purposes the Newport Bridge, the Mount Hope Bridge, the

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Sakonnet River Bridge, the Jamestown Verrazzano Bridge, the turnpike and any additional

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facility or facilities, or any two (2) or more of such projects;

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     (8) To borrow money in anticipation of the issuance of bonds for any of its purposes and

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to issue notes, certificates, or other evidences of borrowing in form as may be authorized by

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resolution of the authority, the notes, certificates, or other evidence of borrowing to be payable in

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the first instance from the proceeds of any bonds issued under the provisions of this chapter and

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to contain on their face a statement to the effect that neither the state, the authority nor any

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municipality or other political subdivision of the state shall be obligated to pay the same or the

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interest thereon except from the proceeds of bonds in anticipation of the issuance of which the

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notes, certificates, or other evidences of borrowing shall have been issued, or from revenues;

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     (9) To fix and revise from time to time, subject to the provisions of this chapter, and to

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charge and collect tolls for transit over the turnpike and the several parts or sections thereof, and

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for the use of the Newport Bridge, the Mount Hope Bridge, the Sakonnet River Bridge, the

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Jamestown Verrazzano Bridge and any additional facility acquired, financed or leased under the

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provisions of this chapter;

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     (10) To acquire, lease, hold and dispose of real and personal property in the exercise of

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its powers and the performance of its duties;

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     (11) To acquire in the name of the authority by purchase or otherwise, on such terms and

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conditions and in such manner as it may deem proper, or by the exercise of the rights of

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condemnation in the manner as provided by this chapter, public or private lands, including public

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parks, playgrounds, or reservations, or parts thereof or rights therein, rights-of-way, property,

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rights, easements and interests as it may deem necessary for carrying out the provisions of this

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chapter; provided, however, that all public property damaged in carrying out the powers granted

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by this chapter shall be restored or repaired and placed in its original condition as nearly as

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practicable;

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     (12) To designate the locations, with the approval of the director of transportation, and

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establish, limit and control the points of ingress to and egress from the turnpike and any

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additional facility as may be necessary or desirable in the judgment of the authority to insure the

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proper operation and maintenance thereof, and to prohibit entrance to and exit from any point or

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points not so designated;

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     (13) To employ, in its discretion, consulting engineers, attorneys, accountants,

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construction and financial experts, superintendents, managers, and such other employees and

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agents as may be necessary in its judgment, and to fix their compensation;

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     (14) To apply for, receive and accept from any federal agency aid and/or grants for or in

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aid of the repair, maintenance and/or construction of the turnpike, the Newport Bridge, the

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Sakonnet River Bridge, the Mount Hope Bridge, the Jamestown Verrazzano Bridge or any

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additional facility, and to receive and accept from the state, from any municipality, or other

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political subdivision thereof and from any other source aid or contributions of either money,

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property, labor or other things of value, to be held, used and applied only for the purposes for

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which the grants and contributions may be made;

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     (15) To construct grade separations at intersections of the turnpike, the approaches and

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highway connections of the Newport Bridge, the Sakonnet River Bridge, the Mount Hope Bridge,

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the Jamestown Verrazzano Bridge and any additional facility with public highways, streets, or

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other public ways or places, and to change and adjust the lines and grades thereof so as to

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accommodate the same to the design of the grade separation; the cost of the grade separations and

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any damage incurred in changing and adjusting the lines and grades of the highways, streets,

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ways, and places shall be ascertained and paid by the authority as a part of the cost of the project;

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     (16) To vacate or change the location of any portion of any public highway, street, or

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other public way or place, sewer, pipe, main, conduit, cable, wire, tower, pole, and other

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equipment and appliance of the state or of any municipality or other political subdivision of the

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state and to reconstruct the same at such new location as the authority shall deem most favorable

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for the project and of substantially the same type and in as good condition as the original

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highway, street, way, place, sewer, pipe, main, conduit, cable, wire, tower, pole, equipment, or

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appliance, and the cost of the reconstruction and any damage incurred in vacating or changing the

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location thereof shall be ascertained and paid by the authority as a part of the cost of the project;

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any public highway, street or other public way or place vacated or relocated by the authority shall

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be vacated or relocated in the manner provided by law for the vacation or relocation of public

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roads, and any damages awarded on account thereof shall be paid by the authority as a part of the

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cost of the project;

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     (17) The authority shall also have the power to make reasonable regulations, subject to

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the approval of the public utility administrator, for the installation, construction, maintenance,

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repair, renewal, relocation and removal of tracks, pipes, mains, conduits, cables, wires, towers,

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poles, and other equipment and appliances (herein called "public utility facilities") of any public

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utility as defined in § 39-1-2, in, on, along, over or under any project. Whenever the authority

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shall determine that it is necessary that any public facilities which now are, or hereafter may be,

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located in, on, along, over, or under any project should be relocated in the project, or should be

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removed from the project, the public utility owning or operating the facilities shall relocate or

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remove the facilities in accordance with the order of the authority; provided, however, that the

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cost and expenses of the relocation or removal, including the cost of installing the facilities in a

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new location, or new locations, and the cost of any lands, or any rights or interests in lands, and

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any other rights acquired to accomplish the relocation or removal, less the cost of any lands or

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any rights or interests in lands of any other rights of the public utility paid to the public utility in

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connection with the relocation or removal of the property, shall be ascertained and paid by the

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authority as a part of the cost of the project. In case of any relocation or removal of facilities the

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public utility owning or operating the facilities, its successors or assigns, may maintain and

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operate the facilities, with the necessary appurtenances, in the new location or new locations, for

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as long a period, and upon the same terms and conditions, as it had the right to maintain and

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operate the facilities in their former location or locations;

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     (18) To make reasonable regulations and to grant easements for the installation,

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construction, maintenance, repair, renewal, relocation, and removal of pipelines, other equipment,

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and appliances of any corporation or person owning or operating pipelines in, on, along, over, or

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under the turnpike, whenever the authority shall determine that it is necessary that any facilities

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which now are, or hereafter may be located in, on, along, over or under the turnpike should be

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relocated in the turnpike, or should be removed from the turnpike, the corporation or person

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owning or operating the facilities shall relocate or remove the facilities in accordance with the

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order of the authority; provided, however, that the cost and expense of the relocation or removal,

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including the cost of installing the facilities in a new location, or new locations, and the cost of

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any lands, or any rights or interests in lands, and any other rights acquired to accomplish the

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relocation or removal, less the cost of any lands or any rights or interests in lands or any other

10-132

rights of any corporation or person paid to any corporation or person in connection with the

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relocation or removal of the property, shall be ascertained and paid by the authority as a part of

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the cost of the project. In case of any relocation or removal of facilities the corporation or person

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owning or operating the facilities, its successors or assigns, may maintain and operate the

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facilities, with the necessary appurtenances, in the new location or new locations, for as long a

11-1

period, and upon the same terms and conditions, as it had the right to maintain and operate the

11-2

facilities in their former location or locations;

11-3

     (19) To enter upon any lands, waters, and premises for the purpose of making such

11-4

surveys, soundings, borings, and examinations as the authority may deem necessary or

11-5

convenient for its purposes, and the entry shall not be deemed a trespass, nor shall an entry for

11-6

such purposes be deemed an entry under any condemnation proceedings; provided, however, the

11-7

authority shall pay any actual damage resulting to the lands, water, and premises as a result of the

11-8

entry and activities as a part of the cost of the project;

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     (20) To enter into contracts or agreements with any board, commission, public

11-10

instrumentality of another state or the federal government or with any political subdivision of

11-11

another state relating to the connection or connections to be established between the turnpike or

11-12

any additional facility with any public highway or turnpike now in existence or hereafter to be

11-13

constructed in another state, and with respect to the construction, maintenance and operation of

11-14

interstate turnpikes or expressways;

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     (21) To enter into contracts with the department of transportation with respect to the

11-16

construction, reconstruction, renovation, acquisition, maintenance, repair, mitigation,

11-17

remediation, operation or management of any project and with the Rhode Island state police with

11-18

respect to the policing of any project;

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     (22) To make and enter into all contracts and agreements necessary or incidental to the

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performance of its duties and the execution of its powers under this chapter; and

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     (23) To do all other acts and things necessary or convenient to carry out the powers

11-22

expressly granted in this chapter.

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     (24) To grant and/or contract through the transfer of funds of the authority to the

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department of transportation for the construction, reconstruction, acquisition, maintenance, repair,

11-25

operation or management by the department of transportation of any project or projects

11-26

authorized by this chapter, and the department of transportation is authorized to accept any such

11-27

grant or transfer of funds.

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     (b) Provided, the authority in carrying out the provisions of this section shall hold public

11-29

hearings in the city or town where a proposed project will be located prior to the finalization of

11-30

any specifications or the awarding of any contracts for any project.

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     24-12-18. Bonds. -- (a) Issuance and sale of revenue bonds. Subject to the provisions of

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§§24-12-21 24-12-24 tThe authority is hereby authorized to provide by resolution for the

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issuance, at one time or in series from time to time, of revenue bonds of the authority for the

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purpose of paying all or a part of the cost of any one or more projects, the construction,

12-1

reconstruction, renovation, acquisition, maintenance, repair, operation or management of which is

12-2

authorized by this chapter, and making provision for working capital and a debt service reserve

12-3

for interest. The principal of and the interest on the bonds shall be payable solely from the funds

12-4

herein provided for the payment. The bonds of each issue shall be dated, shall bear interest at

12-5

such rate or rates per annum, shall mature at such time or times not exceeding fifty (50) years

12-6

from their date or dates, as may be determined by the authority, and may be made redeemable

12-7

before maturity, at the option of the authority, at such price or prices and under such terms and

12-8

conditions as may be fixed by the authority prior to the issuance of the bonds. The authority may

12-9

sell such bonds in such manner, either at public or private sale, and for such price, as it may

12-10

determine to be for the best interests of the authority, but no such sale shall be made at a price

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less than ninety-seven percent (97%) of the principal amount of the bonds.

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     (b) Form and execution of all bonds. The authority shall determine the form and the

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manner of execution of all bonds issued under the provisions of this chapter, including any

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interest coupons to be attached thereto, and shall fix the denomination or denominations of the

12-15

bonds and the place or places of payment of the principal and interest, which may be at any bank

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or trust company within or without the state. In case any officer whose signature or a facsimile of

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whose signature shall appear on any bonds or coupons shall cease to be an officer before the

12-18

delivery of the bonds, the signature or the facsimile shall nevertheless be valid and sufficient for

12-19

all purposes the same as if the officer had remained in office until the delivery, and any bond may

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bear the facsimile signature of, or may be signed by, the persons as at the actual time of the

12-21

execution of the bond shall be the proper officers to sign the bond although at the date of the bond

12-22

the persons may not have been the officers. The bonds may be issued in coupon or in registered

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form, and in certificated or book entry only form as the authority may determine, and provision

12-24

may be made for the registration of any coupon bonds as to principal alone and also as to both

12-25

principal and interest, for the reconversion into coupon bonds of any bonds registered as to both

12-26

principal and interest, and for the interchange of registered and coupon bonds.

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      24-12-26. Power to collect tolls and charges – Gasoline and service concessions. --

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(a) The authority is hereby authorized, subject to the provisions of this chapter, to fix, revise,

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charge and collect tolls for the use of the Newport Bridge, the Mount Hope Bridge, the Sakonnet

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River Bridge (subject to federal regulations and approvals), the turnpike and the different parts or

12-31

sections thereof, and for the use of any additional facility and the different parts or sections

12-32

thereof, and to contract with any person, partnership, association or corporation for placing on

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any project telephone, telegraph, electric light or power lines, gas stations, garages, and

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restaurants if deemed necessary by the authority in connection with the project, or for the use of

13-1

any project or part thereof, including the right-of-way adjoining the paved portion of the turnpike

13-2

or of any additional facility or for any other purposes and to fix the terms, conditions, rents and

13-3

rates of charges for such use; provided, that the authority shall construct any gasoline service

13-4

facilities which it may determine are needed on the project, and provided, further, that, to afford

13-5

users of the project a reasonable choice of motor fuels of different brands, each gasoline service

13-6

station shall be separately offered for lease upon sealed bids and, after notice of the offer has been

13-7

published once a week in three (3) consecutive weeks in a newspaper having general circulation

13-8

in the state, and, in the event an acceptable bid shall be received in the judgment of the authority,

13-9

each lease shall be awarded to the highest responsible bidder therefor, but no person shall be

13-10

awarded or have the use of, nor shall motor fuel identified by the trade-marks, trade names, or

13-11

brands of any one supplier, distributor, or retailer of such fuel be sold at more than one service

13-12

station if they would constitute more than twenty-five percent (25%) of the service stations on the

13-13

project. Notwithstanding the provisions of this section, members of the town of Jamestown police

13-14

and fire department and ambulance service personnel of the town of Jamestown and Jamestown

13-15

school department who, in the course of their duty, are required to pay a toll for use of the

13-16

Newport Bridge, shall, upon the presentment of receipts for the payment of the toll to the town of

13-17

Jamestown, be reimbursed for all charges on an annual basis by the town of Jamestown who in

13-18

turn shall be reimbursed for all payments made by the state. Notwithstanding the provisions of

13-19

this section, members of the city of Newport police and fire department and rescue personnel

13-20

who, in the course of their duty, are required to pay a toll for use of the Newport Bridge, shall,

13-21

upon the presentment of receipts for the payment of the toll to the city of Newport, be reimbursed

13-22

for all charges on an annual basis by the city of Newport who in turn shall be reimbursed for all

13-23

payments made by the state.

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     (b) Notwithstanding the provisions of this section, members of the police and fire

13-25

department and rescue personnel of any city or town in this state who, in the course of their duty,

13-26

are required to pay a toll for use of the Mount Hope Bridge or the Sakonnet River Bridge, shall,

13-27

upon the presentment of receipts for the payment of the toll to their town or city, be reimbursed

13-28

for all such charges on an annual basis by the town or city, who in turn shall be reimbursed for all

13-29

payments made by the state.

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     24-12-28. Revenues pledged to sinking fund. -- To the extent provided in the resolution

13-31

authorizing the issuance of bonds or finance lease or in the trust agreement securing the same, the

13-32

tolls and all other revenues received by the authority derived from the project or projects or

13-33

portion or portions in connection with which the bonds of any one or more series shall have been

13-34

issued, shall be set aside at such regular intervals as may be provided in the resolution or the trust

14-1

agreement in a sinking fund or funds which shall be pledged to, and charged with, the payment of

14-2

the lease payments and/or of the principal of and the interest on the bonds as the bonds shall

14-3

become due, and the redemption price or the purchase price of bonds or other obligations retired

14-4

by call or purchase as provided in the resolution or trust agreement. The pledge shall be valid and

14-5

binding from the time when the pledge is made; the tolls and other revenues or other money so

14-6

pledged and thereafter received by the authority shall immediately be subject to the lien of the

14-7

pledge without any physical delivery thereof or further act, and the lien of any pledge shall be

14-8

valid and binding as against all parties having claims of any kind in tort, contract, or otherwise

14-9

against the authority, irrespective of whether the parties have notice thereof. Neither the

14-10

resolution nor any trust agreement by which a pledge is created need be filed or recorded except

14-11

in the records of the authority. The use and disposition of money to the credit of each sinking

14-12

fund shall be subject to the provisions of the resolution authorizing the issuance of the lease, the

14-13

bonds or of the trust agreement. Notwithstanding any provision(s) of Section 3 of Article 6 of

14-14

Chapter 23 of the Public Laws of 2010, the provisions of this section shall apply to all bonds

14-15

issued or to be issued by the authority.

14-16

      24-12-39. Transfer of projects to state – Dissolution of authority.-- When all bonds

14-17

issued under the provisions of this chapter and the interest thereon shall have been paid or a

14-18

sufficient amount for the payment of all the bonds and the interest thereon to the maturity thereof

14-19

shall have been set aside in trust for the benefit of the bondholders, all projects financed under the

14-20

provisions of this chapter shall may be transferred to the state in good condition and repair, and

14-21

thereupon the authority shall be dissolved and all funds of the authority not required for the

14-22

payment of bonds shall be paid to the general treasurer for the use of the state and all machinery,

14-23

equipment and other property belonging to the authority shall be vested in the state and delivered

14-24

to the department of transportation.

14-25

     24-12-50. Relationship to department of transportation. -- (a) The department of

14-26

transportation is hereby constituted as the agency for the authority in carrying out all of the

14-27

powers to construct, acquire, operate, and maintain turnpikes and bridges as conferred by the

14-28

general laws upon the authority.

14-29

     (b) Nothing in chapter 13 of title 42 or in this amendment to chapter 12 of title 24 shall

14-30

limit the discretions, powers, and authorities of the Rhode Island turnpike and bridge authority

14-31

necessary or desirable for it to execute and carry out the covenants, agreements, duties, and

14-32

liabilities assumed by it in the trust agreement by and between the authority and the Rhode Island

14-33

hospital trust company, as the then serving trustee under indenture dated as of December 1, 1965

14-34

April 1, 2010, as supplemented from time to time, nor shall these chapters be construed in any

15-1

way to affect the rights, privileges, powers, and remedies of any trustee the Rhode Island hospital

15-2

trust company and its successors, or of the holders of the bonds issued under any indenture, or

15-3

under any resolutions of the authority.

15-4

     SECTION 4. Chapter 24-12 of the General Laws entitled “Rhode Island Turnpike and

15-5

Bridge Authority” is hereby amended by adding thereto the following sections:

15-6

     24-12-40.F. Title to Sakonnet River Bridge vested in Rhode Island turnpike and

15-7

bridge authority – Institution of tolls. -- All powers, control, and jurisdiction of and title to the

15-8

Sakonnet River Bridge is authorized to be transferred to the Rhode Island turnpike and bridge

15-9

authority. The authority may charge and collect tolls for the use of the Sakonnet River Bridge to

15-10

provide funds sufficient with any other monies available therefor for paying the costs of

15-11

acquiring, leasing, maintaining, repairing and operating, the Jamestown Verrazzano Bridge, the

15-12

Mount Hope Bridge, the Newport Bridge, and the Sakonnet River Bridge, the turnpike and

15-13

additional facilities.

15-14

     24-12-40.G. Title to Jamestown Verrazzano Bridge vested in Rhode Island turnpike

15-15

and bridge authority -- All powers, control, and jurisdiction of and title to the Jamestown

15-16

Verrazzano Bridge is authorized to be transferred to the Rhode Island turnpike and bridge

15-17

authority.

15-18

     SECTION 5. This article shall take effect upon passage.