2013 -- S 0908

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LC02507

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2013

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A N A C T

RELATING TO TOWNS AND CITIES - ZONING ORDINANCES

     

     

     Introduced By: Senators Bates, Hodgson, Sosnowski, E O`Neill, and Cool Rumsey

     Date Introduced: May 02, 2013

     Referred To: Senate Housing & Municipal Government

It is enacted by the General Assembly as follows:

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     SECTION 1. Section 45-24-46.1 of the General Laws in Chapter 45-24 entitled "Zoning

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Ordinances" is hereby amended to read as follows:

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     45-24-46.1. Inclusionary zoning. – Inclusionary zoning – Affordable housing

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requirements – Fees – In – Lieu of construction and provision of affordable housing. – (a) A

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zoning ordinance requiring the inclusion of affordable housing as part of a development shall

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provide that the housing will be affordable housing, as defined in section 42-128-8.1(d)(1), that

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the affordable housing will constitute not less than ten percent (10%) of the total units in the

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development, and that the units will remain affordable for a period of not less than thirty (30)

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years from initial occupancy enforced through a land lease and/or deed restriction enforceable by

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the municipality and the state of Rhode Island.

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     (b) A zoning ordinance which includes inclusionary zoning may provide that the

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affordable housing must be built on-site or utilize one or more alternative methods of production,

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including, but not limited to, off-site construction or rehabilitation, donation of land suitable for

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development of the required affordable units, and/or the payment of a fee-in-lieu of the

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construction or provision of affordable housing units.

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     (c) The fee-in-lieu of the construction or provision of affordable housing shall be applied

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on a per-unit basis. The per-unit fee shall be determined consistent with the United States

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Department of Housing and Urban Development's maximum per-unit subsidy limits for the

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HOME program as prescribed by subdivision 221(d)(3)(ii) of the national housing act (12 U.S.C.

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17151(d)(3)(ii)) and 24 CFR 92.250.

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     (d) The zoning ordinance may restrict the extent to which an applicant may utilize the

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fee-in-lieu of affordable housing option, including, but not limited to, a restriction on the

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maximum number of units subject to the option.

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     (e) The municipality shall deposit all in-lieu payments into restricted accounts, which

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shall be allocated and spent only for the creation and development of affordable housing within

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the municipality serving individuals or families at or below eighty percent (80%) of the area

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median income. The municipality shall maintain a local affordable housing board to oversee the

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funds in the restricted accounts. If any funds within the restricted accounts are not spent within

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five (5) years after their receipt, the municipality shall promptly transfer all unspent funds to the

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housing resources commission or Rhode Island housing and mortgage finance corporation for the

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purpose of promoting affordable housing within the state.

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     (f) As an alternative to the provisions of subsection (e), the municipality may elect to

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transfer in-lieu payments promptly upon receipt or within the five (5) year period after receipt to

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the housing resources commission or Rhode Island housing and mortgage finance corporation for

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the purpose of promoting affordable housing within the state.

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     SECTION 2. This act shall take effect upon passage.

     

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LC02507

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO TOWNS AND CITIES - ZONING ORDINANCES

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     This act would allow inclusionary zoning ordinances to provide that affordable housing

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must be built on-site or, in the alternative, be produced off-site, by donation and/or by the

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payment of a fee-in-lieu of the construction or provision of affordable housing units.

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     This act would take effect upon passage.

     

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LC02507

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S0908