2014 -- H 7133

========

LC003615

========

     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2014

____________

A N   A C T

RELATING TO MAKING APPROPRIATIONS FOR THE SUPPORT OF THE STATE FOR

THE FISCAL YEAR ENDING JUNE 30, 2015

     

     Introduced By: Representative Raymond E.Gallison

     Date Introduced: January 16, 2014

     Referred To: House Finance

     (Governor)

It is enacted by the General Assembly as follows:

1

ARTICLE 1

2

RELATING TO MAKING APPROPRIATIONS IN SUPPORT OF FY 2015

3

     SECTION 1. Subject to the conditions, limitations and restrictions hereinafter contained

4

in this act, the following general revenue amounts are hereby appropriated out of any money in

5

the treasury not otherwise appropriated to be expended during the fiscal year ending June 30,

6

2015. The amounts identified for federal funds and restricted receipts shall be made available

7

pursuant to section 35-4-22 and Chapter 41 of Title 42 of the Rhode Island General Laws. For the

8

purposes and functions hereinafter mentioned, the state controller is hereby authorized and

9

directed to draw his or her orders upon the general treasurer for the payment of such sums or such

10

portions thereof as may be required from time to time upon receipt by him or her of properly

11

authenticated vouchers.

12

Administration

13

Central Management

14

General Revenues 1,999,772

15

Office of Digital Excellence 908,192

16

Total – General Revenues 2,907,964

17

Total – Central Management 2,907,964

18

Legal Services

 

1

General Revenues 2,039,872

2

Total – Legal Services 2,039,872

3

Accounts and Control

4

General Revenues 4,033,748

5

Total – Accounts and Control 4,033,748

6

Office of Management and Budget

7

General Revenues 4,154,611

8

Restricted Receipts 61,374

9

Total – Office of Management and Budget 4,215,985

10

Purchasing

11

General Revenues 2,735,956

12

Other Funds 308,496

13

Total – Purchasing 3,044,452

14

Auditing

15

General Revenues 1,434,565

16

Total – Auditing 1,434,565

17

Human Resources

18

General Revenues 7,830,548

19

Federal Funds 766,793

20

Restricted Receipts 461,639

21

Other Funds 1,547,079

22

Total – Human Resources 10,606,059

23

Personnel Appeal Board

24

General Revenues 75,216

25

Total – Personnel Appeal Board 75,216

26

Facilities Management

27

General Revenues 30,816,117

28

Federal Funds 1,155,237

29

Restricted Receipts 462,262

30

Other Funds 3,322,025

31

Total – Facilities Management 35,755,641

32

Capital Projects and Property Management

33

General Revenues 1,278,254

34

Total – Capital Projects and Property Management 1,278,254

 

LC003615 - Page 2 of 245

1

Information Technology

2

General Revenues 19,377,273

3

Federal Funds 6,631,482

4

Restricted Receipts 4,099,027

5

Other Funds 3,701,511

6

Total – Information Technology 33,809,293

7

Library and Information Services

8

General Revenues 881,464

9

Federal Funds 1,184,567

10

Restricted Receipts 653

11

Total – Library and Information Services 2,066,684

12

Planning

13

General Revenues 4,442,778

14

Federal Funds 12,662,645

15

Other Funds

16

     Federal Highway – PL Systems Planning 2,984,304

17

     Air Quality Modeling 22,875

18

Other Funds Total 3,007,179

19

Total – Planning 20,112,602

20

General

21

General Revenues

22

     Rhode Island Commerce Corporation 5,395,572

23

     RICC – Airport Impact Aid 1,025,000

24

     Sixty percent (60%) of the first $1,000,000 appropriated for airport impact aid shall be

25

distributed to each airport serving more than 1,000,000 passengers based upon its percentage of

26

the total passengers served by all airports serving more than 1,000,000 passengers. Forty percent

27

(40%) of the first $1,000,000 shall be distributed based on the share of landings during the

28

calendar year 2014 at North Central Airport, Newport-Middletown Airport, Block Island Airport,

29

Quonset Airport, T.F. Green Airport and Westerly Airport, respectively. The Rhode Island

30

Commerce Corporation shall make an impact payment to the towns or cities in which the airport

31

is located based on this calculation. Each community upon which any parts of the above airports

32

are located shall receive at least $25,000.

33

     RICC – EPScore (Research Alliance) 1,150,000

34

     Innovative Matching Grants 500,000

 

LC003615 - Page 3 of 245

1

     Miscellaneous Grants/Payments 146,049

2

     Slater Centers of Excellence 500,000

3

     Torts – Courts/Awards 400,000

4

     Current Care/Health Information Exchange 225,000

5

     I-195 Commission 301,000

6

     RI Film and Television Office 310,312

7

     State Employees/Teachers Retiree Health Subsidy 2,321,057

8

     Resource Sharing and State Library Aid 8,773,398

9

     Library Construction Aid 2,331,589

10

General Revenue Total 23,378,977

11

Federal Funds 4,345,555

12

Restricted Receipts 421,500

13

Other Funds

14

     Rhode Island Capital Plan Fund

15

Statehouse Renovations 3,000,000

16

DoIT Enterprise Operations Center 250,000

17

Cranston Street Armory 1,000,000

18

Cannon Building 440,000

19

Zambarano Building Rehabilitation 500,000

20

Pastore Center Rehab DOA Portion 3,150,000

21

Old State House 1,445,000

22

State Office Building 1,700,000

23

Old Colony House 100,000

24

William Powers Building 1,475,000

25

Fire Code Compliance State Buildings 500,000

26

Pastore Center Fire Code Compliance 1,300,000

27

Pastore Center Utility Systems Upgrade 2,600,000

28

Replacement of Fueling Tanks 300,000

29

Environmental Compliance 200,000

30

Big River Management Area 120,000

31

Pastore Center Building Demolition 1,500,000

32

Washington County Government Center 225,000

33

Chapin Health Laboratory 1,250,000

34

Pastore Center Parking 890,000

 

LC003615 - Page 4 of 245

1

Pastore Center Water Tanks 250,000

2

Pastore Cottages Rehab 800,000

3

Ladd Center Building Demolition 2,100,000

4

I-195 Commission 250,000

5

RI Convention Center Authority 1,000,000

6

Dunkin Donuts Center 1,387,500

7

Mathias 800,000

8

Pastore Center Power Plant 194,723

9

Harrington Hall Renovations 1,400,000

10

McCoy Stadium 50,000

11

Other Funds Total 30,177,223

12

Total – General 58,323,255

13

Debt Service Payments

14

General Revenues 187,623,893

15

     Out of the general revenue appropriations for debt service, the General Treasurer is

16

authorized to make payments for the I-195 Redevelopment District Commission loan up to the

17

maximum debt service due in accordance with the loan agreement.

18

Federal Funds 2,667,399

19

Restricted Receipts 2,089,305

20

Other Funds

21

     Transportation Debt Service 26,828,667

22

     Investment Receipts – Bond Funds 100,000

23

     COPS – DLT Building – TDI 271,653

24

Other Funds Total 27,200,320

25

Total - Debt Service Payments 219,580,917

26

Energy Resources

27

Federal Funds 524,775

28

Restricted Receipts 5,265,426

29

Total – Energy Resources 5,790,201

30

Rhode Island Health Benefits Exchange

31

Federal Funds 23,433,222

32

Total – Rhode Island Health Benefits Exchange 23,433,222

33

Construction Permitting, Approvals and Licensing

34

General Revenues 1,483,525

 

LC003615 - Page 5 of 245

1

Restricted Receipts 1,339,903

2

Total – Construction Permitting, Approvals and Licensing 2,823,428

3

Office of Diversity, Equity & Opportunity

4

General Revenues 1,101,170

5

Federal Funds 82,284

6

Total – Office of Diversity, Equity & Opportunity 1,183,454

7

Grand Total – General Revenue Funds 295,595,931

8

Grand Total – Administration 432,514,812

9

Business Regulation

10

Central Management

11

General Revenues 1,234,949

12

Total – Central Management 1,234,949

13

Banking Regulation

14

General Revenues 1,514,260

15

Restricted Receipts 50,000

16

Total – Banking Regulation 1,564,260

17

Securities Regulation

18

General Revenues 1,009,651

19

Restricted Receipts 3,500

20

Total – Securities Regulation 1,013,151

21

Insurance Regulation

22

General Revenues 3,883,238

23

Restricted Receipts 1,294,012

24

Total – Insurance Regulation 5,177,250

25

Office of the Health Insurance Commissioner

26

General Revenues 507,142

27

Federal Funds 2,021,830

28

Restricted Receipts 10,500

29

Total – Office of the Health Insurance Commissioner 2,539,472

30

Board of Accountancy

31

General Revenues 16,654

32

Total – Board of Accountancy 16,654

33

Commercial Licensing, Racing & Athletics

34

General Revenues 586,948

 

LC003615 - Page 6 of 245

1

Restricted Receipts 583,111

2

Total – Commercial Licensing, Racing & Athletics 1,170,059

3

Boards for Design Professionals

4

General Revenues 260,635

5

Total – Boards for Design Professionals 260,635

6

Grand Total – General Revenue Funds 9,013,477

7

Grand Total – Business Regulation 12,976,430

8

Labor and Training

9

Central Management

10

General Revenues 93,361

11

Restricted Receipts 337,854

12

Other Funds

13

Rhode Island Capital Plan Fund

14

Center General Building Roof 505,996

15

Center General Asset Protection 1,500,000

16

Other Funds Total 2,005,996

17

Total – Central Management 2,437,211

18

Workforce Development Services

19

General Funds 1,661,269

20

Federal Funds 23,892,612

21

Restricted Receipts 8,354,795

22

Other Funds 75,000

23

Total – Workforce Development Services 33,983,676

24

Workforce Regulation and Safety

25

General Revenues 2,720,916

26

Total – Workforce Regulation and Safety 2,720,916

27

Income Support

28

General Revenues 4,317,409

29

Federal Funds 18,291,060

30

Restricted Receipts

31

     Restricted Receipts 2,146,562

32

     Job Development Fund 20,460,000

33

Restricted Receipts Total 22,606,562

34

Other Funds

 

LC003615 - Page 7 of 245

1

     Temporary Disability Insurance Fund 198,485,516

2

     Employment Security Fund 218,620,120

3

Other Funds Total 417,105,636

4

Total – Income Support 462,320,667

5

Injured Workers Services

6

Restricted Receipts 8,951,372

7

Total – Injured Workers Services 8,951,372

8

Labor Relations Board

9

General Revenues 388,648

10

Total – Labor Relations Board 388,648

11

Grand Total – General Revenue Funds 9,181,603

12

Grand Total – Labor and Training 510,802,490

13

Department of Revenue

14

Director of Revenue

15

General Revenues 1,122,100

16

Total – Director of Revenue 1,122,100

17

Office of Revenue Analysis

18

General Revenues 564,334

19

Total – Office of Revenue Analysis 564,334

20

Lottery Division

21

Other Funds

22

     Lottery Funds 342,306,302

23

Total – Lottery Division 342,306,302

24

Municipal Finance

25

General Revenues 1,996,992

26

Total – Municipal Finance 1,996,992

27

Taxation

28

General Revenues 18,430,344

29

Federal Funds 1,294,330

30

Restricted Receipts 878,210

31

Other Funds

32

     Motor Fuel Tax Evasion 43,232

33

     Temporary Disability Insurance 952,454

34

Other Funds Total 995,686

 

LC003615 - Page 8 of 245

1

Total – Taxation 21,598,570

2

Registry of Motor Vehicles

3

General Revenues 9,276,813

4

Federal Funds 1,654,256

5

Restricted Receipts 14,763

6

Total – Registry of Motor Vehicles 20,945,832

7

State Aid

8

General Revenue

9

     Distressed Communities Relief Fund 10,384,458

10

     Payment in Lieu of Tax Exempt Properties 35,080,409

11

     Motor Vehicle Excise Tax Payments 10,000,000

12

     Property Revaluation Program 633,209

13

     Municipal Aid 5,000,000

14

Total – General Revenue Total 61,098,076

15

Restricted Receipts 922,013

16

Total – State Aid 62,020,089

17

Grand Total – General Revenue Funds 102,488,659

18

Grand Total – Revenue 450,554,219

19

Legislature

20

General Revenues 36,429,671

21

Restricted Receipts 1,587,079

22

Grand Total – Legislature 38,016,750

23

Lieutenant Governor

24

General Revenues 1,015,084

25

Federal Funds 74,350

26

Grand Total – Lieutenant Governor 1,089,434

27

Secretary of State

28

Administration

29

General Revenues 2,205,748

30

Total – Administration 2,205,748

31

Corporations

32

General Revenues 2,278,601

33

Total – Corporations 2,278,601

34

State Archives

 

LC003615 - Page 9 of 245

1

General Revenues 69,266

2

Restricted Receipts 514,752

3

Total – State Archives 584,018

4

Elections & Civics

5

General Revenues 1,636,292

6

Total – Elections and Civics 1,636,292

7

State Library

8

General Revenues 521,178

9

Total – State Library 521,178

10

Office of Public Information

11

General Revenues 626,118

12

Receipted Receipts 15,000

13

Total – Office of Public Information 641,118

14

Grand Total – General Revenue Funds 7,337,203

15

Grand Total – Secretary of State 7,866,955

16

General Treasurer

17

Treasury

18

General Revenues 2,306,467

19

Federal Funds 270,861

20

Restricted Receipts 37,651

21

Other Funds

22

     Temporary Disability Insurance Fund 220,608

23

Other Funds Total 220,608

24

Total – Treasury 2,835,587

25

State Retirement System

26

Restricted Receipts

27

     Admin Expenses – State Retirement System 9,308,412

28

     Retirement – Treasury Investment Operations 1,265,045

29

     Defined Contribution – Administration 263,588

30

Restricted Receipts Total 10,837,045

31

Total – State Retirement System 10,837,045

32

Unclaimed Property

33

Restricted Receipts 19,524,231

34

Total – Unclaimed Property 19,524,231

 

LC003615 - Page 10 of 245

1

Crime Victim Compensation Program

2

General Revenues 225,638

3

Federal Funds 599,477

4

Restricted Receipts 1,131,949

5

Total – Crime Victim Compensation Program 1,957,064

6

Grand Total – General Revenue Funds 2,532,105

7

Grand Total – General Treasurer 35,153,927

8

Board of Elections

9

General Revenues

10

     General Revenues 2,145,127

11

     Public Financing of General Elections 2,000,000

12

General Revenue Total 4,145,127

13

Grand Total – Board of Elections 4,145,127

14

Rhode Island Ethics Commission

15

General Revenues 1,581,205

16

Grand Total – Rhode Island Ethics Commission 1,581,205

17

Office of Governor

18

General Revenues

19

     General Revenues 4,402,562

20

     Contingency Fund 250,000

21

General Revenue Total 4,652,562

22

Grand Total – Office of Governor 4,652,562

23

Commission for Human Rights

24

General Revenues 1,193,083

25

Federal Funds 287,096

26

Grand Total – Commission for Human Rights 1,480,179

27

Public Utilities Commission

28

Federal Funds 87,733

29

Restricted Receipts 8,531,738

30

Grand Total – Public Utilities Commission 8,619,471

31

Office of Health and Human Services

32

Central Management

33

General Revenues 28,998,985

34

Federal Funds

 

LC003615 - Page 11 of 245

1

     Federal Funds 92,223,591

2

     Federal Funds – Stimulus 312,000

3

Federal Funds Total 92,535,591

4

Restricted Receipts 5,292,880

5

Total – Central Management 126,827,456

6

Medical Assistance

7

General Revenue

8

     Managed Care 278,857,024

9

     Hospitals 82,077,840

10

     Nursing Facilities 83,705,501

11

     Home and Community Based Services 18,689,149

12

     Other Services 46,020,916

13

     Pharmacy 51,131,483

14

     Rhody Health 258,137,601

15

General Revenue Total 818,619,514

16

Federal Funds

17

     Managed Care 303,187,165

18

     Hospitals 82,380,081

19

     Nursing Facilities 83,806,008

20

     Home and Community Based Services 24,810,851

21

     Other Services 365,663,784

22

     Pharmacy (504,783)

23

     Rhody Health 260,535,199

24

     Special Education 19,000,000

25

Federal Funds Total 1,138,878,305

26

Restricted Receipts 8,515,000

27

Total – Medical Assistance 1,966,012,819

28

Grand Total – General Revenue Funds 847,618,499

29

Grand Total – Office of Health and Human Services 2,092,840,275

30

Children, Youth, and Families

31

Central Management

32

General Revenues 4,625,414

33

Federal Funds 2,269,607

34

Total – Central Management 6,895,021

 

LC003615 - Page 12 of 245

1

Children's Behavioral Health Services

2

General Revenues 6,070,125

3

Federal Funds 6,051,239

4

Other Funds

5

     Rhode Island Capital Plan Funds

6

      NAFI Center 21,494

7

      Various Repairs and Improvements to YDC 1,154,000

8

Other Funds Total 1,175,494

9

Total – Children's Behavioral Health Services 13,296,858

10

Juvenile Correctional Services

11

General Revenue 23,400,611

12

Federal Funds 271,588

13

Other Funds

14

     Rhode Island Capital Plan Fund

15

     Thomas C. Slater Training School Maintenance Building 200,000

16

Other Funds Total 200,000

17

Total – Juvenile Correctional Services 23,872,199

18

Child Welfare

19

General Revenues

20

     General Revenues 104,416,147

21

     18 to 21 Year Olds 9,703,340

22

General Revenue Total 114,119,487

23

Federal Funds

24

     Federal Funds 45,745,611

25

     18 – 21 Year Olds 1,342,963

26

     Federal Funds – Stimulus 446,340

27

Federal Funds Total 47,534,914

28

Restricted Receipts 2,448,750

29

Other Funds

30

     Rhode Island Capital Plan Fund

31

     Fire Code Upgrades 850,000

32

Other Funds Total 850,000

33

Total – Child Welfare 164,953,151

34

Higher Education Incentive Grants

 

LC003615 - Page 13 of 245

1

General Revenues 200,000

2

Total – Higher Education Incentive Grants 200,000

3

Grand Total – General Revenue Funds 148,415,637

4

Grand Total – Children, Youth, and Families 209,217,229

5

Health

6

Central Management

7

General Revenues 541,605

8

Federal Funds 8,071,320

9

Restricted Receipts 4,226,651

10

Total – Central Management 12,839,576

11

State Medical Examiner

12

General Revenues 2,431,511

13

Federal Funds 141,325

14

Total – State Medical Examiner 2,572,836

15

Environmental and Health Services Regulation

16

General Revenues 9,251,095

17

Federal Funds 5,924,339

18

Restricted Receipts 3,628,936

19

Total – Environmental and Health Services Regulation 18,804,370

20

Health Laboratories

21

General Revenues 6,130,022

22

Federal Funds

23

     Federal Funds 1,718,714

24

     Federal Funds – Stimulus 6,500

25

Federal Funds Total 1,725,214

26

Total – Health Laboratories 7,855,236

27

Public Health Information

28

General Revenues 1,559,128

29

Federal Funds 2,066,331

30

Total – Public Health Information 3,625,459

31

Community and Family Health and Equity

32

General Revenues 2,171,249

33

Federal Funds

34

     Federal Funds 40,748,562

 

LC003615 - Page 14 of 245

1

     Federal Funds – Stimulus 1,267,231

2

Federal Funds Total 42,015,793

3

Restricted Receipts 26,137,670

4

Total – Community and Family Health and Equity 70,324,712

5

Infectious Disease and Epidemiology

6

General Revenues 1,428,520

7

Federal Funds 5,150,071

8

Total – Infectious Disease and Epidemiology 6,578,591

9

Grand Total – General Revenue 23,513,130

10

Grand Total – Health 122,600,780

11

Human Services

12

Central Management

13

General Revenues 4,890,516

14

Federal Funds 3,777,064

15

Restricted Receipts 522,542

16

Total – Central Management 9,190,122

17

Child Support Enforcement

18

General Revenues 2,362,840

19

Federal Funds 5,877,595

20

Total – Child Support Enforcement 8,240,435

21

Individual and Family Support

22

General Revenues 25,177,187

23

Federal Funds

24

     Federal Funds 117,044,391

25

     Federal Funds – Stimulus 10,571,598

26

Federal Funds Total 127,615,989

27

Restricted Receipts 4,727,996

28

Other Funds

29

     Rhode Island Capital Plan Fund

30

Blind Vending Facilities 165,000

31

     Intermodal Surface Transportation Fund 4,162,981

32

     Food Stamp Bonus Funding 150,000

33

Other Funds Total 4,477,981

34

Total – Individual and Family Support 161,999,153

 

LC003615 - Page 15 of 245

1

Veterans' Affairs

2

General Revenues 20,274,566

3

Federal Funds 7,481,344

4

Restricted Receipts 635,000

5

Total – Veterans' Affairs 28,390,910

6

Health Care Eligibility

7

General Revenues 8,226,587

8

Federal Funds 11,774,391

9

Total – Health Care Eligibility 20,000,978

10

Supplemental Security Income Program

11

General Revenues 18,639,135

12

Total – Supplemental Security Income Program 18,639,135

13

Rhode Island Works

14

General Revenues

15

     Child Care 9,668,635

16

General Revenue Total 9,668,635

17

Federal Funds 78,233,435

18

Total – Rhode Island Works 87,902,070

19

State Funded Programs

20

General Revenues

21

     General Public Assistance 1,663,858

22

Of this appropriation, $210,000 shall be used for hardship contingency payments.

23

General Revenue Total 1,663,858

24

Federal Funds 300,692,138

25

Total – State Funded Programs 302,355,996

26

Elderly Affairs

27

General Revenues

28

     General Revenue 6,195,226

29

     RIPAE 174,484

30

     Care and Safety of the Elderly 958

31

General Revenue Total 6,370,668

32

Federal Funds 12,223,967

33

Restricted Receipts 149,336

34

Total – Elderly Affairs 18,743,971

 

LC003615 - Page 16 of 245

1

Grand Total General Revenue 97,273,992

2

Grand Total – Human Services 655,462,770

3

Behavioral Health, Developmental Disabilities, and Hospitals

4

Central Management

5

General Revenues 970,823

6

Federal Funds 539,262

7

Total – Central Management 1,510,085

8

Hospital and Community System Support

9

General Revenues 1,594,280

10

Restricted Receipts 934,379

11

Other Funds

12

     Rhode Island Capital Plan Fund

13

     Medical Center Rehabilitation 1,000,000

14

     Community Facilities Fire Code 400,000

15

Other Funds Total 1,400,000

16

Total – Hospital and Community System Support 3,928,659

17

Services for the Developmentally Disabled

18

General Revenues 111,424,765

19

Federal Funds 112,972,476

20

Restricted Receipts 1,977,450

21

Other Funds

22

     Rhode Island Capital Plan Fund

23

      DD Private Waiver 507,286

24

      Regional Center Repair/Rehabilitation 400,000

25

      MR Community Facilities/Access to Independence 500,000

26

Other Funds Total 1,407,286

27

Total – Services for the Developmentally Disabled 227,781,977

28

Behavioral Healthcare Services

29

General Revenues 37,606,243

30

Federal Funds 51,267,483

31

Restricted Receipts 125,000

32

Other Funds

33

     Rhode Island Capital Plan Fund

34

     MH Community Facilities Repair 400,000

 

LC003615 - Page 17 of 245

1

     MH Housing Development-Thresholds 800,000

2

     Substance Abuse Asset Production 100,000

3

Other Funds Total 1,300,000

4

Total – Behavioral Healthcare Services 90,298,726

5

Hospital and Community Rehabilitative Services

6

General Revenues 50,195,257

7

Federal Funds 50,415,072

8

Restricted Receipts 6,571,834

9

Other Funds

10

     Rhode Island Capital Plan Fund

11

     Zambarano Buildings and Utilities 150,000

12

     Hospital Consolidation 9,950,000

13

     BHDDH Administrative Buildings 2,000,000

14

     MR Community Facilities 950,000

15

     Hospital Equipment 275,000

16

Other Funds Total 13,325,000

17

Total - Hospital and Community Rehabilitative Services 120,507,163

18

Grand Total – General Revenue 201,791,368

19

Grand Total – Behavioral Health, Developmental Disabilities,

20

and Hospitals 444,026,610

21

Office of the Child Advocate

22

General Revenues 611,817

23

Federal Funds 50,000

24

Grand Total – Office of the Child Advocate 661,817

25

Commission on the Deaf and Hard of Hearing

26

General Revenues 394,279

27

Restricted Receipts 80,000

28

Grand Total – Com on Deaf and Hard of Hearing 474,279

29

Governor's Commission on Disabilities

30

General Revenues 358,275

31

Federal Funds 141,350

32

Restricted Receipts 9,177

33

Other Funds

34

Rhode Island Capital Plan Fund

 

LC003615 - Page 18 of 245

1

Handicapped Accessibility 1,000,000

2

Other Funds Total 1,000,000

3

Grand Total – Governor's Commission on Disabilities 1,508,802

4

Office of the Mental Health Advocate

5

General Revenues 495,010

6

Grand Total – Office of the Mental Health Advocate 495,010

7

Elementary and Secondary Education

8

Administration of the Comprehensive Education Strategy

9

General Revenues 19,968,574

10

Federal Funds

11

     Federal Funds 192,750,465

12

     Federal Funds – Stimulus 7,727,747

13

     RTTT LEA Share 6,379,521

14

Federal Funds Total 206,857,733

15

Restricted Receipts

16

     Restricted Receipts 1,269,741

17

     HRIC Adult Education Grants 3,800,000

18

Restricted Receipts Total 5,069,741

19

Other Funds

20

Rhode Island Capital Plan Fund

21

     State-Owned Cranston 400,000

22

     State-Owned Warwick 950,000

23

     State-Owned Woonsocket 1,844,364

24

Other Funds Total 3,194,364

25

Total – Administration of the Comprehensive Education Strategy 235,090,412

26

Davies Career and Technical School

27

General Revenues 12,227,793

28

Federal Funds

29

     Federal Funds 1,319,532

30

     Federal Funds – Stimulus 42,099

31

Federal Funds Total 1,361,631

32

Restricted Receipts 4,050,538

33

Other Funds

34

Rhode Island Capital Plan Fund

 

LC003615 - Page 19 of 245

1

     Davies HVAC 1,237,345

2

     Davies Asset Protection 194,962

3

Other Funds Total 1,432,307

4

Total – Davies Career and Technical School 19,072,269

5

RI School for the Deaf

6

General Revenues 5,929,824

7

Federal Funds

8

     Federal Funds 221,056

9

     Federal Funds – Stimulus 55,514

10

Federal Funds Total 276,570

11

Restricted Receipts 558,248

12

Other Funds 59,000

13

Total – RI School for the Deaf 6,823,642

14

Metropolitan Career and Technical School

15

General Revenues 10,536,607

16

Other Funds

17

Rhode Island Capital Plan Fund

18

     MET Asset Protection 100,000

19

     MET School HVAC 1,160,657

20

Other Funds Total 1,260,657

21

Total – Metropolitan Career and Technical School 11,797,264

22

Education Aid

23

General Revenues 61,917,693

24

Restricted Receipts 17,575,445

25

Other Funds

26

     Permanent School Fund – Education Aid 300,000

27

Other Funds Total 300,000

28

Total – Education Aid 779,793,138

29

Central Falls School District

30

General Revenues 38,845,852

31

Total – Central Falls School District 38,845,852

32

Housing Aid

33

General Revenues 67,949,504

34

Total – Housing Aid 67,949,504

 

LC003615 - Page 20 of 245

1

Teachers' Retirement

2

General Revenues 89,829,396

3

Total – Teachers' Retirement 89,829,396

4

Grand Total – General Revenue 1,007,205,243

5

Grand Total – Elementary and Secondary Education 1,249,201,477

6

Public Higher Education

7

Office of Postsecondary Commissioner

8

General Revenues 5,054,495

9

Federal Funds 5,092,287

10

Total – Office of Postsecondary Commissioner 10,146,782

11

University of Rhode Island

12

General Revenue

13

     General Revenues 69,542,680

14

     The University of Rhode Island shall maintain tuition charges in the 2014 – 2015

15

academic year at the same level as the 2013 – 2014 academic year. The University shall not

16

decrease internal student financial aid in the 2014 – 2015 academic year below the level of the

17

2013 – 2014 academic year. The President of the institution shall report, prior to the

18

commencement of the 2014-2015 academic year, to the chair of the Rhode Island Board of

19

Education that such tuition charges and student aid levels have been achieved at the start of FY

20

2015 as prescribed above.

21

     Debt Service 20,925,420

22

     RI State Forensics Laboratory 1,035,888

23

General Revenue Total 91,503,988

24

Other Funds

25

     University and College Funds 612,113,492

26

     Debt – Dining Services 1,110,746

27

     Debt – Education and General 3,180,567

28

     Debt – Health Services 136,814

29

     Debt – Housing Loan Funds 10,625,414

30

     Debt – Memorial Union 314,538

31

     Debt – Ryan Center 2,798,531

32

     Debt – Alton Jones Services 103,078

33

     Debt – Parking Authority 949,029

34

     Debt – Sponsored Research 94,572

 

LC003615 - Page 21 of 245

1

     Debt – URI Energy Conservation 2,460,718

2

     Rhode Island Capital Plan Fund

3

      Asset Protection 7,520,000

4

      Fire and Safety Protection 3,250,000

5

      Nursing Education Center 700,000

6

      New Chemistry Building 21,300

7

Other Funds Total 645,378,799

8

Total – University of Rhode Island 736,882,787

9

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or

10

unencumbered balances as of June 30, 2015 relating to the University of Rhode Island are hereby

11

reappropriated to fiscal year 2016.

12

Rhode Island College

13

General Revenues

14

     General Revenues 42,911,103

15

     Rhode Island College shall maintain tuition charges in the 2014 – 2015 academic year at

16

the same level as the 2013 – 2014 academic year. The College shall not decrease internal student

17

financial aid in the 2014 – 2015 academic year below the level of the 2013 – 2014 academic year.

18

The President of the institution shall report, prior to the commencement of the 2014-2015

19

academic year, to the chair of the Rhode Island Board of Education that such tuition charges and

20

student aid levels have been achieved at the start of FY 2015 as prescribed above.

21

     Debt Service 4,260,122

22

General Revenue Total 47,171,225

23

Other Funds

24

     University and College Funds 112,190,914

25

     Debt – Education and General 883,664

26

     Debt – Housing 2,054,108

27

     Debt – Student Center and Dining 172,600

28

     Debt – Student Union 234,963

29

     Debt – G.O. Debt Service 1,641,626

30

     Rhode Island Capital Plan Fund

31

     Asset Protection 2,963,548

32

     Infrastructure Modernization 2,000,000

33

Other Funds – Total 122,141,423

34

Total – Rhode Island College 169,312,648

 

LC003615 - Page 22 of 245

1

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or

2

unencumbered balances as of June 30, 2015 relating to Rhode Island College are hereby

3

reappropriated to fiscal year 2016.

4

Community College of Rhode Island

5

General Revenues

6

     General Revenues 45,882,495

7

     The Community College of Rhode Island shall maintain tuition charges in the 2014 –

8

2015 academic year at the same level as the 2013 – 2014 academic year. The College shall not

9

decrease internal student financial aid in the 2014 – 2015 academic year below the level of the

10

2013 – 2014 academic year. The President of the institution shall report, prior to the

11

commencement of the 2014-2015 academic year, to the chair of the Rhode Island Board of

12

Education that such tuition charges and student aid levels have been achieved at the start of FY

13

2015 as prescribed above.

14

     Debt Service 2,126,760

15

General Revenue Total 48,009,255

16

Restricted Receipts 644,000

17

Other Funds

18

     University and College Funds 102,754,282

19

     Debt – Bookstore 27,693

20

     CCRI Debt Service – Energy Conservation 807,475

21

     Rhode Island Capital Plan Fund

22

     Asset Protection 2,138,305

23

     Knight Campus Renewal 2,000,000

24

Other Funds Total 107,727,755

25

Total – Community College of RI 156,381,010

26

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or

27

unencumbered balances as of June 30, 2015 relating to the Community College of Rhode Island

28

are hereby reappropriated to fiscal year 2016.

29

Grand Total – General Revenue 191,738,963

30

Grand Total – Public Higher Education 1,072,723,227

31

RI State Council on the Arts

32

General Revenues

33

     Operating Support 428,501

34

     Grants 1,911,657

 

LC003615 - Page 23 of 245

1

General Revenue Total 2,340,158

2

Federal Funds 799,348

3

Other Funds

4

     Art for Public Facilities 632,536

5

Other Funds Total 632,536

6

Grand Total – RI State Council on the Arts 3,772,042

7

RI Atomic Energy Commission

8

General Revenues 913,197

9

Other Funds

10

     URI Sponsored Research 257,977

11

     Rhode Island Capital Plan Funds

12

     RINSC Asset Protection 100,000

13

Other Funds Total 357,977

14

Grand Total – RI Atomic Energy Commission 1,271,174

15

RI Higher Education Assistance Authority

16

General Revenues

17

     Needs Based Grants and Work Opportunities 4,134,726

18

     Authority Operations and Other Grants 147,000

19

General Revenue Total 4,281,726

20

Federal Funds

21

     Federal Funds 11,180,967

22

     WaytogoRI Portal 650,000

23

     Guaranty Agency Reserve Fund 1,500,000

24

Federal Funds Total 13,330,967

25

The $1.5 million expended from the Guaranty Agency Reserve Fund shall be used for RIHEAA

26

scholarships and grants to offset the reduction in Needs Based Grants and Work Opportunities in

27

the Tuition Savings Program.

28

Other Funds

29

     Tuition Savings Prgm – Needs Based Grants and Work Opp 6,500,000

30

     Tuition Savings Program – Administration 334,268

31

Other Funds Total 6,834,268

32

Grand Total – RI Higher Education Assistance Authority 24,446,961

33

RI Historical Preservation and Heritage Commission

34

General Revenues 1,280,610

 

LC003615 - Page 24 of 245

1

Federal Funds 2,183,588

2

Restricted Receipts 434,910

3

Other Funds

4

     RIDOT Project Review 70,868

5

     Rhode Island Capital Fund

6

Eisenhower House Asset Protection 1,132,851

7

Other Funds Total 1,203,719

8

Grand Total – RI Historical Preservation and Heritage Comm 5,102,827

9

Attorney General

10

Criminal

11

General Revenues 14,455,192

12

Federal Funds 1,366,309

13

Restricted Receipts 10,332,721

14

Total – Criminal 26,154,222

15

Civil

16

General Revenues 4,816,217

17

Restricted Receipts 917,187

18

Total – Civil 5,733,404

19

Bureau of Criminal Identification

20

General Revenues 1,542,124

21

Total – Bureau of Criminal Identification 1,542,124

22

General

23

General Revenues 2,773,613

24

Other Funds

25

Rhode Island Capital Plan Fund

26

     Building Renovations and Repairs 300,000

27

Other Funds Total 300,000

28

Total – General 3,073,613

29

Grand Total – General Revenue 23,587,146

30

Grand Total – Attorney General 36,503,363

31

Corrections

32

Central Management

33

General Revenues 9,070,974

34

Federal Funds 117,996

 

LC003615 - Page 25 of 245

1

Total – Central Management 9,188,970

2

Parole Board

3

General Revenues 1,421,102

4

Federal Funds 38,000

5

Total – Parole Board 1,459,102

6

Custody and Security

7

General Revenues 118,747,911

8

Federal Funds 810,713

9

Total – Custody and Security 119,558,624

10

Institutional Support

11

General Revenues 15,726,066

12

Other Funds

13

Rhode Island Capital Plan Fund

14

     Asset Protection 3,750,000

15

     Maximum – General Renovations 715,433

16

     General Renovations Women's 850,000

17

     Bernadette Guay Roof 896,556

18

     ISC Exterior Envelope and HVAC 3,933,749

19

     Minimum Security Kitchen Expansion 4,160,392

20

     Medium Infrastructure 4,833,931

21

Other Funds Total 19,140,061

22

Total – Institutional Support 34,866,127

23

Institutional Based Rehab./Population Management

24

General Revenues 8,972,305

25

Federal Funds 619,476

26

Restricted Receipts 29,164

27

Total – Institutional Based Rehab/Population Mgt. 9,620,945

28

Healthcare Services

29

General Revenues 19,751,408

30

Total – Healthcare Services 19,751,408

31

Community Corrections

32

General Revenues 15,035,529

33

Federal Funds 68,518

34

Restricted Receipts 25,475

 

LC003615 - Page 26 of 245

1

Total – Community Corrections 15,129,522

2

Grand Total – General Revenue 188,725,295

3

Grand Total – Corrections 209,574,698

4

Judiciary

5

Supreme Court

6

General Revenues

7

     General Revenues 26,400,642

8

     Defense of Indigents 3,542,240

9

General Revenue Total 29,942,882

10

Federal Funds 151,954

11

Restricted Receipts 2,285,781

12

Other Funds

13

     Rhode Island Capital Plan Fund

14

Judicial HVAC 525,000

15

Judicial Complexes Asset Protection 825,000

16

Other Funds Total 1,350,000

17

Total - Supreme Court 33,730,617

18

Judicial Tenure and Discipline

19

General Revenues 115,513

20

Total – Judicial Tenure and Discipline 115,513

21

Superior Court

22

General Revenues 22,359,027

23

Federal Funds 47,552

24

Restricted Receipts 302,378

25

Total – Superior Court 22,708,957

26

Family Court

27

General Revenues 19,245,592

28

Federal Funds 1,709,741

29

Total – Family Court 20,955,333

30

District Court

31

General Revenues 11,998,535

32

Restricted Receipts 292,802

33

Total – District Court 12,291,337

34

Traffic Tribunal

 

LC003615 - Page 27 of 245

1

General Revenues 8,760,119

2

Total – Traffic Tribunal 8,760,119

3

Workers' Compensation Court

4

Restricted Receipts 7,932,640

5

Total – Workers' Compensation Court 7,932,640

6

Grand Total – General Revenue 92,421,668

7

Grand Total – Judiciary 106,494,516

8

Military Staff

9

General Revenues 1,842,096

10

Federal Funds 14,779,178

11

Restricted Receipts 442,800

12

Other Funds

13

     Rhode Island Capital Plan Fund

14

Armory of Mounted Command Roof Replacement 300,000

15

State Armories Fire Code Compliance 10,000

16

Asset Protection 1,260,000

17

Logistics/Maintenance Facilities Fire Code Comp. 5,000

18

Benefit Street Arsenal Rehabilitation 375,000

19

Other Funds Total 1,950,000

20

Grand Total – Military Staff 19,014,074

21

Public Safety

22

Central Management

23

General Revenues 1,248,886

24

Federal Funds 4,096,105

25

Restricted Receipts 20,000

26

Total – Central Management 5,364,991

27

E-911 Emergency Telephone System

28

General Revenues 5,428,479

29

Total – E-911 Emergency Telephone System 5,428,479

30

State Fire Marshal

31

General Revenues 2,746,455

32

Federal Funds 94,000

33

Restricted Receipts 498,854

34

Other Funds

 

LC003615 - Page 28 of 245

1

     Rhode Island Capital Plan Fund

2

Fire Academy 1,934,500

3

     Quonset Development Corporation 57,335

4

Other Funds – Total 1,991,835

5

Total – State Fire Marshal 5,331,144

6

Security Services

7

General Revenues 21,801,650

8

Total – Security Services 21,801,650

9

Municipal Police Training Academy

10

General Revenues 245,379

11

Federal Funds 397,400

12

Total – Municipal Police Training Academy 642,779

13

State Police

14

General Revenues 64,496,985

15

Federal Funds 2,306,770

16

Restricted Receipts 12,345,000

17

Other Funds

18

     Rhode Island Capital Plan Fund

19

Barracks and Training 4,627,659

20

Headquarters Repairs/Rehabilitation 380,768

21

Parking Area Improvements 250,000

22

HQ Expansion 200,000

23

     Traffic Enforcement – Municipal Training 134,500

24

     Lottery Commission Assistance 1,399,683

25

     Airport Corporation 176,206

26

     Road Construction Reimbursement 2,935,000

27

Other Funds Total 10,103,816

28

Total – State Police 89,252,571

29

Grand Total – General Revenue 95,967,834

30

Grand Total – Public Safety 127,821,614

31

Office of Public Defender

32

General Revenues 11,130,816

33

Federal Funds 248,864

34

Grand Total – Office of Public Defender 11,379,680

 

LC003615 - Page 29 of 245

1

Emergency Management

2

General Revenues 1,959,858

3

Federal Funds 18,273,640

4

Restricted Receipts 221,729

5

Other Funds

6

     Rhode Island Capital Plan Fund

7

Hurricane Sandy Cleanup 167,000

8

Other Funds Total 167,000

9

Grand Total – Emergency Management 20,622,227

10

Environmental Management

11

Office of the Director

12

General Revenues

13

     General Revenues 4,520,153

14

     Permit Streamlining 33,414

15

General Revenue Total 4,553,567

16

Federal Funds 150,000

17

Restricted Receipts 2,884,372

18

Other Funds

19

     Rhode Island Capital Plan Fund

20

DEM Telephone Repairs 175,000

21

Other Funds Total 175,000

22

Total – Office of the Director 7,762,939

23

Natural Resources

24

General Revenues 19,074,615

25

Federal Funds 21,348,128

26

Restricted Receipts 4,138,036

27

Other Funds

28

     DOT Recreational Projects 1,114,278

29

     Blackstone Bikepath Design 2,059,795

30

     Transportation MOU 78,579

31

     Rhode Island Capital Plan Fund

32

Dam Repair 550,000

33

Fort Adams Rehabilitation 300,000

34

Fort Adams America's Cup 2,450,000

 

LC003615 - Page 30 of 245

1

Recreational Facilities Improvements 400,000

2

Galilee Piers Upgrade 500,000

3

Newport Piers 250,000

4

World War II Facility 2,600,000

5

Blackstone Valley Bike Path 350,000

6

Natural Resources Office/Visitor's Center 2,250,100

7

Other Funds Total 12,902,752

8

Total – Natural Resources 57,463,531

9

Environmental Protection

10

General Revenues 11,241,923

11

Federal Funds 10,281,483

12

Restricted Receipts 8,912,581

13

Other Funds

14

Transportation MOU 165,000

15

Other Funds Total 165,000

16

Total – Environmental Protection 30,600,987

17

Grand Total – General Revenue 34,870,105

18

Grand Total – Environmental Management 95,827,457

19

Coastal Resources Management Council

20

General Revenues 2,185,538

21

Federal Funds 1,802,613

22

Restricted Receipts 250,000

23

Grand Total – Coastal Resources Mgmt. Council 4,238,151

24

Transportation

25

Central Management

26

Federal Funds 9,199,986

27

Other Funds

28

Gasoline Tax 1,770,720

29

Other Funds Total 1,770,720

30

Total – Central Management 10,970,706

31

Management and Budget

32

Other Funds

33

Gasoline Tax 2,242,961

34

Other Funds Total 2,242,961

 

LC003615 - Page 31 of 245

1

Total – Management and Budget 2,242,961

2

Infrastructure Engineering - GARVEE/Motor Fuel Tax Bonds

3

Federal Funds

4

Federal Funds 325,726,490

5

Federal Funds – Stimulus 17,188,279

6

Federal Funds Total 342,914,769

7

Restricted Receipts 12,352,761

8

Other Funds

9

Gasoline Tax 53,013,645

10

Land Sale Revenue 21,300,002

11

Rhode Island Capital Fund

12

RIPTA Land and Buildings 223,529

13

Highway Improvement Program 21,650,000

14

Other Funds Total 96,187,176

15

Total - Infrastructure Engineering – GARVEE 451,454,706

16

Infrastructure Maintenance

17

Other Funds

18

Gasoline Tax 44,849,009

19

Non-Land Surplus Property 10,000

20

Outdoor Advertising 150,000

21

Rhode Island Capital Plan Fund

22

Maintenance Facilities Improvements 400,000

23

Salt Storage Facilities 1,500,000

24

Portsmouth Facility 1,200,000

25

Maintenance - Capital Equipment Replacement 2,500,000

26

Train Station Maintenance and Repairs 200,000

27

Cooperative Maintenance Facility DOT/RIPTA 3,500,000

28

Mass Transit Preliminary Conceptual Design 250,000

29

Other Funds Total 54,559,009

30

Total – Infrastructure Maintenance 54,559,009

31

Grand Total – Transportation 519,227,382

32

Statewide Totals

33

General Revenues 3,456,087,970

34

Federal Funds 2,878,350,086

 

LC003615 - Page 32 of 245

1

Restricted Receipts 258,886,990

2

Other Funds 1,950,636,957

3

Statewide Grand Total 8,543,962,003

4

     SECTION 2. Each line appearing in Section 1 of this Article shall constitute an

5

appropriation.

6

     SECTION 3. Upon the transfer of any function of a department or agency to another

7

department or agency, the Governor is hereby authorized by means of executive order to transfer

8

or reallocate, in whole or in part, the appropriations and the full-time equivalent limits affected

9

thereby.

10

     SECTION 4. From the appropriation for contingency shall be paid such sums as may be

11

required at the discretion of the Governor to fund expenditures for which appropriations may not

12

exist. Such contingency funds may also be used for expenditures in the several departments and

13

agencies where appropriations are insufficient, or where such requirements are due to unforeseen

14

conditions or are non-recurring items of an unusual nature. Said appropriations may also be used

15

for the payment of bills incurred due to emergencies or to any offense against public peace and

16

property, in accordance with the provisions of Titles 11 and 45 of the General Laws of 1956, as

17

amended. All expenditures and transfers from this account shall be approved by the Governor.

18

     SECTION 5. The general assembly authorizes the state controller to establish the internal

19

service accounts shown below, and no other, to finance and account for the operations of state

20

agencies that provide services to other agencies, institutions and other governmental units on a

21

cost reimbursed basis. The purpose of these accounts is to ensure that certain activities are

22

managed in a businesslike manner, promote efficient use of services by making agencies pay the

23

full costs associated with providing the services, and allocate the costs of central administrative

24

services across all fund types, so that federal and other non-general fund programs share in the

25

costs of general government support. The controller is authorized to reimburse these accounts for

26

the cost of work or services performed for any other department or agency subject to the

27

following expenditure limitations:

28

Account Expenditure Limit

29

State Assessed Fringe Benefit Internal Service Fund 37,123,794

30

Administration Central Utilities Internal Service Fund 14,244,902

31

State Central Mail Internal Service Fund 5,617,173

32

State Telecommunications Internal Service Fund 4,080,029

33

State Automotive Fleet Internal Service Fund 13,733,063

34

Surplus Property Internal Service Fund 2,500

 

LC003615 - Page 33 of 245

1

Health Insurance Internal Service Fund 250,127,757

2

Other Post-Employment Benefits Fund 63,934,483

3

Capital Police Internal Service Fund 1,060,301

4

Corrections Central Distribution Center Internal Service Fund 6,739,558

5

Correctional Industries Internal Service Fund 7,704,793

6

Secretary of State Record Center Internal Service Fund 882,436

7

     SECTION 6. The General Assembly may provide a written "statement of legislative

8

intent" signed by the chairperson of the House Finance Committee and by the chairperson of the

9

Senate Finance Committee to show the intended purpose of the appropriations contained in

10

Section 1 of this Article. The statement of legislative intent shall be kept on file in the House

11

Finance Committee and in the Senate Finance Committee.

12

     At least twenty (20) days prior to the issuance of a grant or the release of funds, which

13

grant or funds are listed on the legislative letter of intent, all department, agency and corporation

14

directors, shall notify in writing the chairperson of the House Finance Committee and the

15

chairperson of the Senate Finance Committee of the approximate date when the funds are to be

16

released or granted.

17

     SECTION 7. Appropriation of Temporary Disability Insurance Funds -- There is hereby

18

appropriated pursuant to sections 28-39-5 and 28-39-8 of the Rhode Island General Laws all

19

funds required to be disbursed for the benefit payments from the Temporary Disability Insurance

20

Fund and Temporary Disability Insurance Reserve Fund for the fiscal year ending June 30, 2015.

21

     SECTION 8. Appropriation of Employment Security Funds -- There is hereby

22

appropriated pursuant to section 28-42-19 of the Rhode Island General Laws all funds required to

23

be disbursed for benefit payments from the Employment Security Fund for the fiscal year ending

24

June 30, 2015.

25

     SECTION 9. Appropriation of Lottery Division Funds – There is hereby appropriated to

26

the Lottery Division any funds required to be disbursed by the Lottery Division for the purposes

27

of paying commissions or transfers to the prize fund for the fiscal year ending June 30, 2015.

28

     SECTION 10. Departments and agencies listed below may not exceed the number of full-

29

time equivalent (FTE) positions shown below in any pay period. Full-time equivalent positions do

30

not include seasonal or intermittent positions whose scheduled period of employment does not

31

exceed twenty-six consecutive weeks or whose scheduled hours do not exceed nine hundred and

32

twenty-five (925) hours, excluding overtime, in a one-year period. Nor do they include

33

individuals engaged in training, the completion of which is a prerequisite of employment.

34

Provided, however, that the Governor or designee, Speaker of the House of Representatives or

 

LC003615 - Page 34 of 245

1

designee, and the President of the Senate or designee may authorize an adjustment to any

2

limitation. Prior to the authorization, the State Budget Officer shall make a detailed written

3

recommendation to the Governor, the Speaker of the House, and the President of the Senate. A

4

copy of the recommendation and authorization to adjust shall be transmitted to the chairman of

5

the House Finance Committee, Senate Finance Committee, the House Fiscal Advisor and the

6

Senate Fiscal Advisor.

7

     State employees whose funding is from non-state general revenue funds that are time

8

limited shall receive limited term appointment with the term limited to the availability of non-

9

state general revenue funding source.

10

FY 2015 FTE POSITION AUTHORIZATION

11

Departments and Agencies Full-Time Equivalent

12

Administration 723.7

13

Business Regulation 94.0

14

Labor and Training 410.0

15

Revenue 499.0

16

Legislature 298.5

17

Office of the Lieutenant Governor 8.0

18

Office of the Secretary of State 57.0

19

Office of the General Treasurer 83.0

20

Board of Elections 11.0

21

Rhode Island Ethics Commission 12.0

22

Office of the Governor 45.0

23

Commission for Human Rights 14.5

24

Public Utilities Commission 50.0

25

Office of Health and Human Services 184.0

26

Children, Youth, and Families 670.5

27

Health 491.3

28

Human Services 959.1

29

Behavioral Health, Developmental Disabilities, and Hospitals 1,422.4

30

Office of the Child Advocate 6.0

31

Commission on the Deaf and Hard of Hearing 3.0

32

Governor's Commission on Disabilities 4.0

33

Office of the Mental Health Advocate 3.7

34

Elementary and Secondary Education 154.9

 

LC003615 - Page 35 of 245

1

School for the Deaf 60.0

2

Davies Career and Technical School 126.0

3

Office of Postsecondary Commissioner 12.8

4

Provided that 1.0 of the total authorization would be available only for positions that are

5

supported by third-party funds.

6

University of Rhode Island 2,456.50

7

Provided that 501.2 of the total authorization would be available only for positions that are

8

supported by third-party funds.

9

Rhode Island College 923.6

10

Provided that 82.0 of the total authorization would be available only for positions that are

11

supported by third-party funds.

12

Community College of Rhode Island 854.1

13

Provided that 58.7 of the total authorization would be available only for positions that are

14

supported by third-party funds.

15

Rhode Island State Council on the Arts 6.0

16

RI Atomic Energy Commission 8.6

17

Higher Education Assistance Authority 25.0

18

Historical Preservation and Heritage Commission 16.6

19

Office of the Attorney General 233.1

20

Corrections 1,419.0

21

Judicial 726.3

22

Military Staff 85.0

23

Public Safety 634.2

24

Office of the Public Defender 93.0

25

Emergency Management 32.0

26

Environmental Management 399.0

27

Coastal Resources Management Council 29.0

28

Transportation 752.6

29

Total 15,097.0

30

     SECTION 11. The amounts reflected in this Article include the appropriation of Rhode

31

Island Capital Plan funds for fiscal year 2015 and supersede appropriations provided for FY 2015

32

within Section 11 of Article 1 of Chapter 144 of the P.L. of 2013.

33

     The following amounts are hereby appropriated out of any money in the State's Rhode

34

Island Capital Plan Fund not otherwise appropriated to be expended during the fiscal years ending

 

LC003615 - Page 36 of 245

1

June 30, 2016, June 30, 2017, and June 30, 2018. These amounts supersede appropriations

2

provided within Section 11 of Article 1 of Chapter 144 of the P.L. of 2013. For the purposes and

3

functions hereinafter mentioned, the State Controller is hereby authorized and directed to draw

4

his or her orders upon the General Treasurer for the payment of such sums and such portions

5

thereof as may be required by him or her upon receipt of properly authenticated vouchers.

6

FY Ending FY Ending FY Ending

7

June 30, 2016 June 30,2017 June 30, 2018

8

Project

9

BHDDH-Hospital Consolidation 30,645,820 10,590,850 5,780,000

10

DOA-State House Renovations 3,000,000 4,000,000 2,400,000

11

DOA-Pastore Center Building Demotion 1,025,000 975,000 1,200,000

12

Higher Ed-Asset Protection-CCRI 2,184,100 2,232,100 2,299,063

13

Higher Ed-Asset Protection-RIC 3,080,400 3,357,700 3,458,431

14

Higher Ed-Asset Protection-URI 5,482,900 7,856,000 8,030,000

15

DOC Asset Protection 4,020,000 3,000,000 3,000,000

16

Judicial-Asset Protection 850,000 875,000 950,000

17

Mil Staff-Asset Protection 1,225,000 179,250 342,500

18

DEM-Dam Repairs 750,000 1,000,000 2,000,000

19

DEM-Recreation Facility Improvements 500,000 500,000 500,000

20

DOT-Highway Improvement Program 23,200,000 23,200,000 23,200,000

21

     SECTION 12. Reappropriation of Funding for Rhode Island Capital Plan Fund Projects.

22

– Any unexpended and unencumbered funds from Rhode Island Capital Plan Fund project

23

appropriations may be reappropriated at the recommendation of the Governor in the ensuing

24

fiscal year and made available for the same purpose. However, any such reappropriations are

25

subject to final approval by the General Assembly as part of the supplemental appropriations act.

26

Any unexpended funds of less than five hundred dollars ($500) shall be reappropriated at the

27

discretion of the State Budget Officer.

28

     SECTION 13. For the Fiscal Year ending June 30, 2015, the Rhode Island Housing and

29

Mortgage Finance Corporation shall provide from its resources such sums as appropriate in

30

support of the Neighborhood Opportunities Program. The Corporation shall provide a report

31

detailing the amount of funding provided to this program, as well as information on the number

32

of units of housing provided as a result to the Director of Administration, the Chair of the

33

Housing Resources Commission, the Chair of the House Finance Committee, the Chair of the

34

Senate Finance Committee and the State Budget Officer.

 

LC003615 - Page 37 of 245

1

     SECTION 14. This article shall take effect as of July 1, 2014.

2

ARTICLE 2

3

RELATING TO MUNICIPAL AID

4

     SECTION 1. Section 45-13.2-4 of the General Laws in Chapter 45-13.2 entitled

5

"Municipal Incentive Aid" is hereby amended to read as follows:

6

     45-13.2-4. State Aid Incentive Program appropriated. – There are hereby appropriated

7

funds for a state aid program entitled "Municipal Incentive Aid Program." For fiscal year 2014,

8

fiscal year 2015 and fiscal year 2016, the amount of five million dollars ($5,000,000) shall be

9

appropriated., and an amount of ten million dollars ($10,000.000) will be requested for

10

appropriation for fiscal year 2015 and for fiscal year 2016. Municipal Incentive Aid shall be

11

administered and managed by the division of municipal finance within the department of revenue.

12

     SECTION 2. This article shall take effect as of July 1, 2014.

13

ARTICLE 3

14

RELATING TO RESTRICTED RECEIPT ACCOUNTS

15

     SECTION 1. Section 35-4-27 of the General Laws in Chapter 35-4 entitled "State Funds"

16

is hereby amended to read as follows:

17

     35-4-27. Indirect cost recoveries on restricted receipt accounts. – Indirect cost

18

recoveries of ten percent (10%) of cash receipts shall be transferred from all restricted receipt

19

accounts, to be recorded as general revenues in the general fund. However, there shall be no

20

transfer from cash receipts with restrictions received exclusively: (1) from contributions from

21

non-profit charitable organizations; (2) from the assessment of indirect cost recovery rates on

22

federal grant funds; or (3) through transfers from state agencies to the department of

23

administration for the payment of debt service. These indirect cost recoveries shall be applied to

24

all accounts, unless prohibited by federal law or regulation, court order, or court settlement. The

25

following restricted receipt accounts shall not be subject to the provisions of this section:

26

     Executive Office of Health and Human Services

27

     Organ Transplant Fund

28

     HIV Care Grant Drug Rebates

29

     Department of Human Services

30

     Veterans' home – Restricted account

31

     Veterans' home – Resident benefits

32

     Pharmaceutical Rebates Account

33

     Demand Side Management Grants

34

     Organ transplant fund

 

LC003615 - Page 38 of 245

1

     Veteran's Cemetery Memorial Fund

2

     Donations- New Veterans' Home Construction

3

     Department of Health

4

     Providence Water Lead Grant

5

     Pandemic medications and equipment account

6

     Department of Behavioral Healthcare, Developmental Disabilities and Hospitals

7

     Eleanor Slater non-Medicaid third-party payor account

8

     Hospital Medicare Part D Receipts

9

     RICLAS Group Home Operations

10

     Commission on the Deaf and Hard of Hearing

11

     Emergency and public communication access account

12

     Department of Environmental Management

13

     National heritage revolving fund

14

     Environmental response fund II

15

     Underground storage tanks registration fees

16

     Rhode Island Historical Preservation and Heritage Commission

17

     Historic preservation revolving loan fund

18

     Historic Preservation loan fund – Interest revenue

19

     Department of Public Safety

20

     Forfeited property – Retained

21

     Forfeitures – Federal

22

     Forfeited property – Gambling

23

     Donation – Polygraph and Law Enforcement Training

24

     Rhode Island State Firefighter's League Training Account

25

     Fire Academy Training Fees Account

26

     Attorney General

27

     Forfeiture of property

28

     Federal forfeitures

29

     Attorney General multi-state account

30

     Forfeited property – Gambling

31

     Department of Administration

32

     Office of Management and Budget

33

     Information Technology Investment Fund

34

     Restore and replacement – Insurance coverage

 

LC003615 - Page 39 of 245

1

     Convention Center Authority rental payments

2

     Investment Receipts – TANS

3

     Car Rental Tax/Surcharge-Warwick Share

4

     Legislature

5

     Audit of federal assisted programs

6

     Department of Children, Youth and Families

7

     Children's Trust Accounts – SSI

8

     Military Staff

9

     RI Military Family Relief Fund

10

     RI National Guard Counterdrug Program

11

     Treasury

12

     Admin. Expenses – State Retirement System

13

     Retirement – Treasury Investment Options

14

     Violent Crimes Compensation – Refunds

15

     Treasury Research Fellowship

16

     Business Regulation

17

     Banking Division Reimbursement Account

18

     Office of the Health Insurance Commissioner Reimbursement Account

19

     Securities Division Reimbursement Account

20

     Commercial Licensing and Racing and Athletics Division Reimbursement Account

21

     Insurance Division Reimbursement Account

22

     Historic Preservation Tax Credit Account

23

     Judiciary

24

     Arbitration Fund Restricted Receipt Account

25

     Third Party Grants

26

     Department of Elementary and Secondary Education

27

     Statewide Student Transportation Services Account

28

     School for the Deaf Fee for Service Account

29

     Davies Career and Technical School Local Education Aid Account

30

     Department of Labor and Training

31

     Job Development Fund – Title XII loans principal and interest

32

     Department of Transportation

33

     Rhode Island Highway Maintenance Account

34

     SECTION 2. Section 30-24-6 of the General Laws in Chapter 30-24 entitled "Rhode

 

LC003615 - Page 40 of 245

1

Island Veterans' Home" is hereby amended to read as follows:

2

     30-24-6. Acceptance of gifts – Veterans' home restricted account. – (a) The director of

3

human services is hereby authorized and empowered to take and receive in the name of the state

4

any grant, devise, gift, or bequest of real or personal property that may be made for the use and

5

benefit of the Rhode Island veterans' home or the residents or purposes thereof. All money so

6

received, and all money received under the provisions of §§ 30-24-9 and 30-24-10, shall be paid

7

over to the general treasurer and shall be kept by him or her as a restricted account to be known as

8

the "veterans' home restricted account". Use of the "veterans' home restricted account" funds may

9

only be made upon prior approval of the house of representatives' finance committee and senate

10

finance committee. The director may sell and dispose of any real or personal property received

11

under this section, and any property received under § 30-24-9, and the proceeds of the sale shall

12

be paid over to the general treasurer to be made a part of the restricted account. The restricted

13

account shall be used for the improvement of social, recreational, and educational programs,

14

including the purchase of educational and recreational supplies and equipment for the welfare of

15

members and for operational expenses and capital improvements at the veterans' home and

16

veterans' cemetery, as deemed necessary by the director of human services.

17

     (b) [Deleted by P.L. 1999, ch. 11, section 5.]

18

     (c) Notwithstanding the provisions of subsection (a) of this section, there is hereby

19

established a restricted receipt account within the general fund of the state for the sole purpose of

20

the collection and disbursement of any grant, devise, gift, or bequest of real or personal property

21

that may be made for the use and benefit of the design, construction, and furnishing of a new

22

Rhode Island veterans home in Bristol. This account shall be known as "donations- new veterans'

23

home construction".

24

     SECTION 3. This article shall take effect as of January 1, 2014.

25

ARTICLE 4

26

RELATING TO DEBT MANAGEMENT ACT JOINT RESOLUTIONS

27

     SECTION 1. This article consists of joint resolutions that are submitted pursuant to

28

Rhode Island General Laws § 35-18-1, et seq.

29

     SECTION 2. Information Technology Improvements.

30

     WHEREAS, the funds generated from the sale of State Property to be deposited into the

31

Information Technology Investment Fund will be insufficient to fund system and application

32

upgrades that are required and anticipated by the State in the immediate future; and

33

     WHEREAS, the projects that are required and are not able to be financed through the

34

Information Technology Investment Fund include, but are not limited to: department of

 

LC003615 - Page 41 of 245

1

administration budget and grants management and human resources information systems,

2

emergency notification system upgrades, Rhode Island veterans home – automated pharmacy

3

services, content management system, department of health electronic birth records, department

4

of environmental management enterprise permit system and record digitization upgrades, and an

5

electronic permitting system; and

6

     WHEREAS, the Office of Digital Excellence and the Division of Information

7

Technology within the Department of Administration will review all information technology

8

requests and will prioritize them based on potential positive impact for consolidation, efficiency,

9

improvement in customer service, and the need for ongoing technical support; and

10

     WHEREAS, the project costs associated with these information technology

11

improvements are estimated to be $30.0 million. Total payments on the State's obligation over ten

12

(10) years on the $30.0 million issuance are projected to be $38.9 million, assuming an average

13

interest rate of 5.0 percent. The payments would be financed within the department of

14

administration from general revenue appropriations; now, therefore, be it

15

     RESOLVED, that this general assembly hereby approves financing in an amount not to

16

exceed $30.0 million for the provision of information technology improvements, including $0.5

17

million to pay costs of financing; and be it further

18

     RESOLVED, that this joint resolution shall take effect immediately upon its passage by

19

the general assembly.

20

     SECTION 3. Virks Building Renovation

21

     WHEREAS, the Virks Building at the John O. Pastore Government Center in Cranston is

22

a vacant, four-story structure of approximately 54,000 square feet and is in need of immediate

23

repair, including roof, envelope and interior renovations, so that the State can continue to use this

24

capital asset; and

25

     WHEREAS, the Executive Office and Health and Human Services (hereafter "EOHHS")

26

is in need of office space as program and operations now require larger facilities to successfully

27

carry out these programs; and

28

     WHEREAS, the Executive Office of Health and Human Services will be able to leverage

29

federal funding available to pay for fifty (50) percent of the lease payments required once the

30

building has been fully renovated and occupied by EOHHS; and

31

     WHEREAS, preliminary architectural and design costs for the renovations to the Virks

32

Building will be financed with Rhode Island Capital Plan Fund expenditures, which are estimated

33

to be three hundred thousand dollars ($300,000) in fiscal year 2014; and

34

     WHEREAS, the project costs associated with the full renovation and upgrade to the Virks

 

LC003615 - Page 42 of 245

1

Building at the John O. Pastore Government Center are estimated to be $13.0 million and would

2

begin in fiscal year 2015. Total payments on the State's obligation over fifteen (15) years on the

3

$13.0 million issuance are projected to be $18.8 million, assuming an average interest rate of 5.0

4

percent. The payments would be financed within the department of administration from general

5

revenue appropriations and through federal funds available to the Executive Office of Health and

6

Human Services; now, therefore, be it

7

     RESOLVED, that this general assembly hereby approves financing in an amount not to

8

exceed $13.0 million for the provision of renovations and upgrades to the Virks Building at the

9

Pastore Center in Cranston, which will provide additional office space for the Executive Office of

10

Health and Human Services, including $0.2 million to pay costs of financing; and be it further

11

     RESOLVED, that this joint resolution shall take effect immediately upon its passage by

12

the general assembly.

13

     SECTION 4. Garrahy Courthouse Parking Project.

14

     WHEREAS, given the prime geographic location of the Garrahy Courthouse surface

15

parking lot site and its current limitations to adequately serve the Courthouse and surrounding

16

buildings; and

17

     WHEREAS, given the results of the Garrahy Courthouse Parking Garage Conceptual

18

Analysis presented to a Special Legislative Commission for the Garrahy Parking Garage in

19

January, 2014 which identifies development of the current site into a multi-level parking garage

20

as a way to alleviate parking demand in the area and to spur economic activity; and

21

     WHEREAS, the I-195 Redevelopment District Commission ("Commission") has the

22

principal responsibility for developing the surplus land from the relocation of Interstate 195 ("the

23

Link"), to promote economic development through the best use of nearby-by freed-up parcels;

24

and

25

     WHEREAS, the Commission has indicated that adequate structured parking is essential

26

to the development of the Link; and

27

     WHEREAS, the State is prepared, on its own, in concert with the Commission, another

28

quasi-public agency or in a public-private partnership to develop and operate the garage once

29

constructed; and

30

     WHEREAS, the State would enter into a long term financial structure that would provide

31

initial financial benefits for the State from development of the garage, and include provisions for

32

long term revenues based on the upside potential of the project; now, therefore, be it

33

     RESOLVED, that the State is authorized, if in the best interests of the State and to

34

effectuate the development of the garage, to sell the surface lot adjacent to the Garrahy

 

LC003615 - Page 43 of 245

1

Courthouse to a quasi-public agency, to enter into a long-term parking lease for court employees

2

and other state employees, and to enter into appropriate agreements including financing

3

arrangements that would permit the development and operation of the garage; and be it further

4

     RESOLVED, that the general assembly hereby approves financing in an amount not to

5

exceed $45.0 million for the provision of financing for construction of a parking garage at the

6

current site of the Garrahy surface parking lot providing approximately 1,250 parking spaces and

7

13,800 square feet of retail space on the ground level; and further

8

     RESOLVED, that this Joint Resolution shall take effect immediately upon its passage by

9

this General Assembly.

10

     SECTION 5. Rhode Island Airport Corporation.

11

     WHEREAS, the Rhode Island Commerce Corporation is a public instrumentality of the

12

State of Rhode Island (the "State"), created by the General Assembly pursuant to Rhode Island

13

General Laws §§ 42-64-1 et seq. (as enacted, reenacted and amended, the "Act"); and

14

     WHEREAS, the Act declares, in part, that new industrial, manufacturing, recreational,

15

and commercial facilities are required to attract and house new industries and thereby reduce the

16

hazards of unemployment; and that unaided efforts of private enterprises have not met and cannot

17

meet the needs of providing those facilities due to problems encountered in assembling suitable

18

building sites, lack of adequate public service, unavailability of private capital for development,

19

and the inability of private enterprise alone to plan, finance, and coordinate industrial,

20

recreational, and commercial development; and

21

     WHEREAS, the Act further declares it to be the public policy of the state to furnish

22

proper and adequate airport facilities within the state and to encourage the integration of these

23

facilities so far as practicable; and

24

     WHEREAS, in furtherance of these goals, it is the policy of the state to retain existing

25

industries and to induce, encourage and attract new industries through the acquisition,

26

construction, reconstruction and rehabilitation of industrial, manufacturing, recreational, and

27

commercial facilities, as well as transportation, residential, environmental, utility, public service,

28

institutional and civic and community facilities, and to develop sites for such facilities; and

29

     WHEREAS, the Act has empowered the Rhode Island Commerce Corporation to

30

establish subsidiary corporations to exercise its powers and functions, or any of them, and,

31

pursuant to such power, the Rhode Island Commerce Corporation has established the Rhode

32

Island Airport Corporation to plan, develop, construct, finance, manage, and operate airport

33

facilities in the state; and

34

     WHEREAS, the Act provides that the Rhode Island Airport Corporation shall have the

 

LC003615 - Page 44 of 245

1

power to purchase, take, receive, lease or otherwise acquire, own, hold, improve, use and

2

otherwise deal in and with, real or personal property, or any interest therein, wherever situated;

3

and

4

     WHEREAS, the Act also provides that the Rhode Island Airport Corporation shall have

5

the power to sell, mortgage, lease, exchange, transfer or otherwise dispose of or encumber any

6

project, (or in the case of a sale, to accept a purchase money mortgage in connection therewith) or

7

to grant options for any such purposes with respect to any real or personal property or interest

8

therein, all of the foregoing for such consideration as the Rhode Island Airport Corporation shall

9

determine. Any lease by the Rhode Island Airport Corporation to another party may be for such

10

part of the Rhode Island Airport Corporation's property, real or personal, for such period, upon

11

such terms or conditions, with or without an option on the part of the lessee to purchase any or all

12

of the leased property for such consideration, at or after the retirement of all indebtedness

13

incurred by the Rhode Island Airport Corporation on account thereof, as the Rhode Island Airport

14

Corporation shall determine; and

15

     WHEREAS, the Act authorizes the Rhode Island Commerce Corporation to borrow

16

money and issue bonds for any of its corporate purposes; and

17

     WHEREAS, pursuant to Rhode Island General Laws Sections 35-18-3 and 35-18-4, the

18

Rhode Island Commerce Corporation has requested the approval of the General Assembly of the

19

Rhode Island Commerce Corporation's issuance of airport revenue bonds (the "Bonds") for the

20

purpose of providing funds to the Rhode Island Airport Corporation for financing the various

21

capital projects including by way of example and not limitation runway and taxiway

22

improvements and facility developments on the premises, the provision of architectural,

23

engineering, surveying, construction management and other professional services necessary or

24

appropriate therefore ,funding capitalized interest, costs of issuing the Bonds and related costs,

25

and the establishment of reserves for the project and the Bonds, including a debt service reserve

26

fund (the "Airport Project"); and

27

     WHEREAS, the financing of the Airport Project will be accomplished through one or

28

more loan agreements having the Rhode Island Airport Corporation as borrower, such agreement

29

or agreements to require that the Rhode Island Airport Corporation make loan payments in an

30

amount equal to the debt service on the Bonds.

31

     RESOLVED, the General Assembly hereby approves the Rhode Island Commerce

32

Corporation's issuance of the Bonds (as defined below) and notes in anticipation thereof. The

33

Bonds will be special obligations of the Rhode Island Commerce Corporation payable exclusively

34

from loan repayments under a loan agreement with the Rhode Island Airport Corporation and

 

LC003615 - Page 45 of 245

1

from Bond proceeds, funds, accounts, and properties and the proceeds thereof pledged therefor,

2

and thus the Rhode Island Commerce Corporation's maximum liability will be limited to loan

3

repayments received under the loan agreement and the aggregate amount of such other funds,

4

accounts, properties, and proceeds.

5

     RESOLVED, that the total amount of debt approved to be issued in the aggregate shall be

6

limited to not more than $60,000,000 (the "Bonds"). Total debt service on the Bonds is not

7

expected to exceed approximately $4,600,000 annually and approximately $135,000,000 in the

8

aggregate based on anticipated level annual payments, an estimated average interest rate of 6.25%

9

and a maturity of 30 years.

10

     RESOLVED, the General Assembly hereby approves the Rhode Island Airport

11

Corporation's entering into the loan agreements described above. Payments under the loan

12

agreements shall be derived exclusively from project revenues and such other proceeds, funds,

13

accounts, projects and the proceeds thereof as the Rhode Island Airport Corporation may pledge

14

therefor.

15

     RESOLVED, the Bonds or the amounts due under the loan agreements shall not

16

constitute indebtedness of the State or a debt for which the full faith and credit of the State is

17

pledged or a moral obligation thereof.

18

     RESOLVED, that this resolution shall apply to debt issued within two (2) years of the

19

date of passage of this resolution.

20

     SECTION 6. This article shall take effect upon passage.

21

ARTICLE 5

22

RELATING TO CAPITAL DEVELOPMENT PROGRAM

23

     SECTION 1. Proposition to be submitted to the people. -- At the general election to be

24

held on the Tuesday next after the first Monday in November 2014, there shall be submitted to

25

the people for their approval or rejection the following proposition:

26

     "Shall the action of the general assembly, by an act passed at the January 2014 session,

27

authorizing the issuance of bonds, refunding bonds, and temporary notes of the state for the

28

capital projects and in the amount with respect to each such project listed below be approved, and

29

the issuance of bonds, refunding bonds, and temporary notes authorized in accordance with the

30

provisions of said act?"

31

     Project

32

     (1) Higher Education Facilities $125,000,000

33

     Approval of this question will allow the State of Rhode Island to issue general obligation

34

bonds, refunding bonds, and temporary notes in an amount not to exceed one hundred twenty-five

 

LC003615 - Page 46 of 245

1

million dollars ($125,000,000) to construct a new College of Engineering building and undertake

2

supporting renovations. The new building will anchor the northwest corner of the Engineering

3

Quadrangle on the Kingston Campus and provide contemporary and state-of-the-art instructional

4

and research facilities. As part of this project, outdated engineering buildings will be taken out of

5

service and razed.

6

     (2) Creative and Cultural Economy $35,000,000

7

     Approval of this question will authorize the State of Rhode Island to issue general

8

obligation bonds, refunding bonds, and temporary notes in an amount not to exceed thirty-five

9

million dollars ($35,000,000) to fund capital preservation and renovation projects for public and

10

nonprofit artistic, performance centers, historic sites, museums and cultural art centers located

11

throughout the State of Rhode Island. Of the thirty-five million dollars ($35,000,000) amount,

12

thirty million dollars ($30,000,000) will be used to capitalize a new Cultural Arts and the

13

Economy Grant program to be administered by the Rhode Island Commerce Corporation in

14

consultation with the Rhode Island State Council on the Arts and five million dollars

15

($5,000,000) will be used to assist cities and towns and non-profit organizations to renovate and

16

improve public and nonprofit historic sites, museums, and cultural art centers located in historic

17

structures to be administered by the Rhode Island Historical Preservation and Heritage

18

Commission.

19

     (3) Mass Transit Hub Infrastructure $40,000,000

20

     Approval of this question will allow the State of Rhode Island to issue general obligation

21

bonds, refunding bonds, and temporary notes in an amount not to exceed forty million dollars

22

($40,000,000) to fund enhancements and renovations to mass transit hub infrastructure

23

throughout the State of Rhode Island to improve access to multiple intermodal sites, key

24

transportation, healthcare, and other locations.

25

     (4) Clean Water, Open Space, and Healthy Communities $75,000,000

26

     Approval of this question will allow the State of Rhode Island to issue general obligation

27

bonds, refunding bonds, and temporary notes in an amount not to exceed seventy-five million

28

dollars ($75,000,000) for environmental and recreational purposes, to be allotted as follows:

29

     (a) Brownfield Remediation and Economic Development $5,000,000

30

     Provides up to eighty percent (80%) matching grants to public, private, and/or non-profit

31

entities for brownfield remediation projects.

32

     (b) Green Streets and Green Neighborhoods $4,000,000

33

     Provides up to seventy percent (70%) matching grants of five hundred thousand dollars

34

($500,000) or less for public, private, and/or non-profit entities to install "Green Infrastructure".

 

LC003615 - Page 47 of 245

1

     (c) Flood Prevention $3,000,000

2

     To provide grants to public and/or non-profit entities for project design and construction

3

grants for repairing and/or removing dams, restoring and/or improving resiliency of vulnerable

4

coastal habitats, and restoring rivers and stream floodplains.

5

     (d) Local Land Acquisition $3,000,000

6

     Provides fifty percent (50%) matching grants to municipalities, local land trusts and non-

7

profit organizations to acquire fee-simple title, development rights, or conservation easements to

8

open space in Rhode Island.

9

     (e) Local Food Sector $500,000

10

     Provides funds through the Department of Environmental Management's Local

11

Agriculture and Seafood Act program to farmers and/or non-profit entities to acquire, renovate

12

and construct agricultural structures that enhance the viability and profitability of Rhode Island's

13

food system.

14

     (f) Farmland Acquisition $3,000,000

15

     Provides funds to protect the state's working farms.

16

     (g) Aquaculture Sector $3,200,000

17

     Provides funds to develop a facility to serve as the base of operations for shellfish

18

management and restoration in Rhode Island.

19

     (h) Marine Infrastructure and Pier Development $4,300,000

20

     Provides funds for marine infrastructure and pier development at sites critical to Rhode

21

Island's tourism and fishing economy

22

     (i) Parks and Management Area Improvement and Development $4,000,000

23

     Provides funds to repair and improve Rhode Island's park and management areas

24

infrastructure.

25

     (j) Land Conservation and Acquisition $4,000,000

26

     Provides funds to purchase land, development rights and conservation easements to fill

27

gaps in state parks and management areas; protect iconic properties that have statewide

28

significance; and for state parks, beaches, and water access points.

29

     (k) Lake Recreation and Restoration Fund $1,000,000

30

     Provides funds to carry out long-term projects to improve water quality in lakes that are

31

priority state recreational assets and to improve access to and recreational opportunities on Rhode

32

Island's fresh water bodies.

33

     (l) Local Recreation Grants $4,000,000

34

     Provides up to eighty percent (80%) matching grant funds to municipalities to acquire ,

 

LC003615 - Page 48 of 245

1

develop, or rehabilitate local recreational facilities to meet the growing needs for active

2

recreational facilities.

3

     (m) Distressed Community Recreation Grants $1,000,000

4

     Provides ninety percent (90%) matching grants under the distressed communities

5

program to develop and acquire parks and parkland.

6

     (n) Clean Water Finance Agency $20,000,000

7

     Provides funds to finance water pollution abatement infrastructure projects.

8

     (o) Water Facilities Assistance $15,000,000

9

     Provides funds to be leveraged with local water supplier funds to finance state water

10

supply infrastructure projects.

11

     SECTION 2. Ballot labels and applicability of general election laws. -- The secretary

12

of state shall prepare and deliver to the state board of elections ballot labels for each of the

13

projects provided for in section 1 hereof with the designations "approve" or "reject" provided next

14

to the description of each such project to enable voters to approve or reject each such proposition.

15

The general election laws, so far as consistent herewith, shall apply to this proposition.

16

     SECTION 3. Approval of projects by people. -- If a majority of the people voting on

17

the proposition provided for in section 1 hereof shall vote to approve the proposition as to any

18

project provided for in section 1 hereof, said project shall be deemed to be approved by the

19

people. The authority to issue bonds, refunding bonds and temporary notes of the state shall be

20

limited to the aggregate amount for all such projects as set forth in the proposition provided for in

21

section 1 hereof which has been approved by the people.

22

     SECTION 4. Bonds for capital development program. -- The general treasurer is

23

hereby authorized and empowered with the approval of the governor and in accordance with the

24

provisions of this act, to issue from time to time capital development bonds in serial form in the

25

name and on behalf of the state in amounts as may be specified from time to time by the governor

26

in an aggregate principal amount not to exceed the total amount for all projects approved by the

27

people and designated as "capital development loan of 2014 bonds" provided, however, that the

28

aggregate principal amount of such capital development bonds and of any temporary notes

29

outstanding at any one time issued in anticipation thereof pursuant to section 7 hereof shall not

30

exceed the total amount for all such projects as have been approved by the people. All provisions

31

in this act relating to "bonds" shall also be deemed to apply to "refunding bonds".

32

     Capital development bonds issued under this act shall be in denominations of one

33

thousand dollars ($1,000) each, or multiples thereof, and shall be payable in any coin or currency

34

of the United States which at the time of payment shall be legal tender for public and private

 

LC003615 - Page 49 of 245

1

debts. These capital development bonds shall bear such date or dates, mature at specified time or

2

times, but not beyond the end of the twentieth state fiscal year following the state fiscal year in

3

which they are issued, bear interest payable semi-annually at a specified rate or different or

4

varying rates, be payable at designated time or times at specified place or places, be subject to

5

expressed terms of redemption or recall, with or without premium, be in a form, with or without

6

interest coupons attached, carry such registration, conversion, reconversion, transfer, debt

7

retirement, acceleration and other provisions as may be fixed by the general treasurer, with the

8

approval of the governor, upon each issue of such capital development bonds at the time of each

9

issue. Whenever the governor shall approve the issuance of such capital development bonds, he

10

or she shall certify approval to the secretary of state; the bonds shall be signed by the general

11

treasurer and countersigned by the manual or facsimile signature of the secretary of state and

12

shall bear the seal of the state or a facsimile thereof. The approval of the governor shall be

13

endorsed on each bond so approved with a facsimile of his or her signature.

14

     SECTION 5. Refunding bonds for 2014 capital development program. -- The general

15

treasurer is hereby authorized and empowered, with the approval of the governor and in

16

accordance with the provisions of this act, to issue from time to time bonds to refund the 2014

17

capital development program bonds in the name and on behalf of the state, in amounts as may be

18

specified from time to time by the governor in an aggregate principal amount not to exceed the

19

total amount approved by the people, to be designated as "capital development program loan of

20

2014 refunding bonds" (hereinafter "refunding bonds").

21

     The general treasurer with the approval of the governor shall fix the terms and form of

22

any refunding bonds issued under this act in the same manner as the capital development bonds

23

issued under this act, except that the refunding bonds may not mature more than twenty (20)

24

years from the date of original issue of the capital development bonds being refunded.

25

     The proceeds of the refunding bonds, exclusive of any premium and accrual interest and

26

net the underwriters' cost, and cost of bond insurance, shall, upon their receipt, be paid by the

27

general treasurer immediately to the paying agent for the capital development bonds which are to

28

be called and prepaid. The paying agent shall hold the refunding bond proceeds in trust until they

29

are applied to prepay the capital development bonds. While such proceeds are held in trust, they

30

may be invested for the benefit of the state in obligations of the United States of America or the

31

State of Rhode Island.

32

     If the general treasurer shall deposit with the paying agent for the capital development

33

bonds the proceeds of the refunding bonds or proceeds from other sources amounts that, when

34

invested in obligations of the United States or the State of Rhode Island, are sufficient to pay all

 

LC003615 - Page 50 of 245

1

principal, interest, and premium, if any, on the capital development bonds until these bonds are

2

called for prepayment, then such capital development bonds shall not be considered debts of the

3

State of Rhode Island for any purpose from the date of deposit of such moneys with the paying

4

agent. The refunding bonds shall continue to be a debt of the state until paid.

5

     The term "bond" shall include "note", and the term "refunding bonds" shall include

6

"refunding notes" when used in this act.

7

     SECTION 6. Proceeds of capital development program. -- The general treasurer is

8

directed to deposit the proceeds from the sale of capital development bonds issued under this act,

9

exclusive of premiums and accrued interest and net the underwriters' cost, and cost of bond

10

insurance, in one or more of the depositories in which the funds of the state may be lawfully kept

11

in special accounts (hereinafter cumulatively referred to as "such capital development bond

12

fund") appropriately designated for each of the projects set forth in section 1 hereof which shall

13

have been approved by the people to be used for the purpose of paying the cost of all such

14

projects so approved.

15

     All monies in the capital development bond fund shall be expended for the purposes

16

specified in the proposition provided for in section 1 hereof under the direction and supervision of

17

the director of administration (hereinafter referred to as "director"). The director or his or her

18

designee shall be vested with all power and authority necessary or incidental to the purposes of

19

this act, including but not limited to, the following authority: (a) to acquire land or other real

20

property or any interest, estate or right therein as may be necessary or advantageous to

21

accomplish the purposes of this act; (b) to direct payment for the preparation of any reports, plans

22

and specifications, and relocation expenses and other costs such as for furnishings, equipment

23

designing, inspecting and engineering, required in connection with the implementation of any

24

projects set forth in section 1 hereof; (c) to direct payment for the costs of construction,

25

rehabilitation, enlargement, provision of service utilities, and razing of facilities, and other

26

improvements to land in connection with the implementation of any projects set forth in section 1

27

hereof; and (d) to direct payment for the cost of equipment, supplies, devices, materials and labor

28

for repair, renovation or conversion of systems and structures as necessary for 2014 capital

29

development program bonds or notes hereunder from the proceeds thereof. No funds shall be

30

expended in excess of the amount of the capital development bond fund designated for each

31

project authorized in section 1 hereof. With respect to the bonds and temporary notes described in

32

section 1, the proceeds shall be used for the following purposes:

33

     Question 1 relating to bonds in the amount of one hundred twenty-five million dollars

34

($125,000,000) to be provided to the University of Rhode Island to construct a state-of-the-art

 

LC003615 - Page 51 of 245

1

College of Engineering building and for supporting renovations and demolition of outdated

2

engineering buildings at the University of Rhode Island Kingston Campus.

3

     Question 2 relating to bonds in the amount of thirty-five million dollars ($35,000,000) for

4

capital preservation and renovation projects for public and non-profit artistic, performance

5

centers, historic sites, museums and cultural arts centers to be allocated as follows:

6

     (a) Cultural Arts and the Economy Grant Program $30,000,000

7

     Provide funds for the a new Cultural Arts and the Economy Grant program to be

8

administered by the Rhode Island Commerce Corporation in consultation with the Rhode Island

9

State Council on the Arts for capital preservation and renovation projects for public and nonprofit

10

artistic, performance centers and cultural art centers located throughout the State of Rhode Island.

11

     (b) State Preservation Grants Program $5,000,000

12

     Provide funds to cities, towns and non-profit organizations to preserve, renovate and

13

improve public and nonprofit historic sites, museums, and cultural art centers located in historic

14

structures in the State of Rhode Island to be administered by the Rhode Island Historical

15

Preservation and Heritage Commission.

16

     Question 3 relating to bonds in the amount of forty million dollars ($40,000,000) to be

17

provided to the Department of Transportation to provide funding for enhancements and

18

renovations to mass transit hub infrastructure throughout the State of Rhode Island to improve

19

access to multiple intermodal sites, key transportation, healthcare, and other locations.

20

     Question 4 relating to bonds in the amount of seventy five million dollars ($75,000,000)

21

for Clean Water, Open Space, and Healthy Communities programs to be allocated as follows:

22

     (a) Brownfield Remediation for Economic Development $5,000,000

23

     Provides up to eighty percent (80%) matching grants to public, private, and/or non-profit

24

entities for brownfield remediation projects. Between 10,000 and 12,000 abandoned industrial

25

sites, referred to as "brownfields," lie idle in towns and cities across the state, much of it in prime

26

commercial or industrial locations within the state's urban services boundaries established by

27

Land Use 2020. Cleanup, reinvestment and re-use of these sites creates and attracts jobs, protects

28

the urban environment, removes hazards, prevents sprawl, and reduces the cost of stormwater

29

flooding.

30

     (b) Green Streets and Green Neighborhoods $4,000,000

31

     Provides up to seventy percent (70%) matching grants of five hundred thousand dollars

32

($500,000) or less for public, private, and/or non-profit entities to install "Green Infrastructure",

33

such as green roofs, rain gardens, vegetated swales, pocket wetlands, green parking, vegetated

34

filter strips, and riparian buffers to address major stormwater issues in Rhode Island communities.

 

LC003615 - Page 52 of 245

1

Investment in green infrastructure will reduce beach closures, polluted ponds and flooding; build

2

resiliency to extreme weather events; and create green jobs.

3

     (c) Flood Prevention $3,000,000

4

     Provides grants to public and/or non-profit entities for project design and construction

5

grants for repairing and/or removing dams, restoring and/or improving resiliency of vulnerable

6

coastal habitats, and restoring rivers and stream floodplains. These funds are expected to leverage

7

significant matching funds to support local programs to improve community resiliency and public

8

safety in the face of increased flooding, major storm events, and environmental degradation.

9

     (d) Local Land Acquisition to Build Resiliency and Natural Buffers $3,000,000

10

     Provides fifty percent (50%) matching grants to municipalities, local land trusts and non-

11

profit organizations to acquire fee-simple title, development rights, or conservation easements to

12

open space in Rhode Island. Two million dollars ($2,000,000) of this bond funding will be

13

prioritized for acquisitions or easements along vulnerable rivers, streams, ponds, and shoreline.

14

     (e) Growing our Local Food Sector $500,000

15

     Provides funds through the Department of Environmental Management's Local

16

Agriculture and Seafood Act program to farmers and/or non-profit entities to acquire, renovate,

17

and construct agricultural structures that enhance the viability and profitability of Rhode Island's

18

food system.

19

     (f) Farmland Acquisition for Active Use $3,000,000

20

     Provides funds to protect the state's working farms. Through the State Land Acquisition

21

Program, the Department of Environmental Management will purchase farmland in danger of

22

converting to non-agricultural use, then restrict and affordably sell or lease the land to qualified

23

farmers. Funds from sale of the land to farmers will be returned to the program account for re-use

24

in new projects.

25

     (g) Supporting the Growth of our Aquaculture Sector $3,200,000

26

     Provides funds for developing a facility to serve as the base of operations for shellfish

27

management and restoration in Rhode Island. Linked to the priorities and recommendations of the

28

University of Rhode Island-led Shellfish Management Planning Initiative, the facility will house

29

the Department of Environmental Management's Fish and Wildlife staff, host marine restoration

30

partners, such as The Nature Conservancy, Save the Bay, and state universities; and serve as the

31

base for aquaculture research, restoration, and aquaculture business sector development.

32

     (h) Marine Infrastructure and Pier Development $4,300,000

33

     Provides funds for marine infrastructure and pier development at sites critical to Rhode

34

Island's tourism and fishing economy. Funds used for marine development and improvements

 

LC003615 - Page 53 of 245

1

will be matched with federal funds, with landside improvements to be leveraged with local,

2

private, and federal funds. These funds shall be used to: develop a fishing pier and boating access

3

ramp at Rocky Point in Warwick; develop a fishing pier and public restroom facility at India

4

Point in Providence; and develop a fishing pier at Green Lane in Portsmouth.

5

     (i) Park and Management Area Improvement and Development $4,000,000

6

     Provides funds to repair and improve Rhode Island's park and management areas

7

infrastructure. The Department of Environmental Management maintains over fifty state-owned

8

buildings and over 163 miles of paved and un-paved roads in state parks and management areas.

9

Priority projects include facility upgrades at Colt State Park, Brenton Point, and Fisherman's

10

Memorial state park; drainage and road improvements within the state's management areas;

11

demolition of structures at Arcadia, Black Farm, and Chopmist management areas; and the initial

12

phase of Rocky Point development.

13

     (j) Land Conservation and Acquisition Program $4,000,000

14

     Provides funds to purchase land, development rights and conservation easements to fill

15

gaps in state parks and management areas; protect iconic properties that have statewide

16

significance; and for state parks, beaches, and water access points. Rhode Island's beaches, bays,

17

forests, farms, and rivers help to sustain the state's economy and provide residents with a high

18

quality of life. On average, the Department of Environmental Management is able to leverage a

19

seventy-five percent (75%) match from federal and local sources to match the state's investment.

20

     (k) Lake Recreation and Restoration Fund $1,000,000

21

     Provides funds to carry out long-term projects to improve water quality in lakes that are

22

priority state recreational assets and to improve access to and recreational opportunities on Rhode

23

Island's fresh water bodies. Rhode Island's landscape includes hundreds of freshwater lakes and

24

ponds covering 20,749 acres. Freshwater facilities and water bodies provide a myriad of outdoor

25

recreational opportunities, support our robust recreational fishing economy, and in many

26

communities serve as drinking water supplies.

27

     (l) Local Recreation Grants $4,000,000

28

     Provides up to eighty percent (80%) matching grant funds to municipalities to acquire,

29

develop, or rehabilitate local recreational facilities to meet the growing needs for active

30

recreational facilities. All grant applications are evaluated and ranked by the State Recreation

31

Resources Review Committee.

32

     (m) Distressed Community Recreation Grants $1,000,000

33

     Provides ninety percent (90%) matching grants under the distressed communities

34

program for development of parks and parkland acquisition.

 

LC003615 - Page 54 of 245

1

     (n) Capital for Clean Water $20,000,000

2

     Provides funds to be administered by the Clean Water Finance Agency to finance water

3

pollution abatement infrastructure projects. The Department of Environmental Management has

4

compiled a list of more than $1.8 billion dollars of needed clean water infrastructure

5

improvements from municipalities and the Narragansett Bay Commission. Projects range from

6

wastewater treatment upgrades and stormwater quality improvements to combined sewer

7

overflow abatement projects.

8

     (o) Protection and Enhancement of Public Drinking Water Supplies $15,000,000

9

     Provides funds to be leveraged with local water supplier funds to finance state water

10

supply infrastructure projects. Projects include the construction of an alternative water supply line

11

for the Bristol County Water Authority and to construct interconnection lines between major

12

water systems for strategic movement of water throughout the State, both for emergency and

13

normal operations.

14

     SECTION 7. Sale of bonds and notes. -- Any bonds or notes issued under the authority

15

of this act shall be sold from time to time at not less than the principal amount thereof, in such

16

mode and on such terms and conditions as the general treasurer, with the approval of the

17

governor, shall deem to be for the best interests of the state.

18

     Any premiums and accrued interest, net of the cost of bond insurance and underwriter's

19

discount, which may be received on the sale of the capital development bonds or notes shall

20

become part of the Rhode Island Capital Plan Fund of the state, unless directed by federal law or

21

regulation to be used for some other purpose.

22

     In the event that the amount received from the sale of the capital development bonds or

23

notes exceeds the amount necessary for the purposes stated in section 6 hereof, the surplus may

24

be used to the extent possible to retire the bonds as the same may become due, to redeem them in

25

accordance with the terms thereof or otherwise to purchase them as the general treasurer, with the

26

approval of the governor, shall deem to be for the best interests of the state.

27

     Any bonds or notes issued under the provisions of this act and coupons on any capital

28

development bonds, if properly executed by the manual or facsimile signatures of officers of the

29

state in office on the date of execution shall be valid and binding according to their tenor,

30

notwithstanding that before the delivery thereof and payment therefor, any or all such officers

31

shall for any reason have ceased to hold office.

32

     SECTION 8. Bonds and notes to be tax exempt and general obligations of the state. -

33

- All bonds and notes issued under the authority of this act shall be exempt from taxation in the

34

state and shall be general obligations of the state, and the full faith and credit of the state is hereby

 

LC003615 - Page 55 of 245

1

pledged for the due payment of the principal and interest on each of such bonds and notes as the

2

same shall become due.

3

     SECTION 9. Investment of moneys in fund. -- All moneys in the capital development

4

fund not immediately required for payment pursuant to the provisions of this act may be invested

5

by the investment commission, as established by chapter 35-10, pursuant to the provisions of such

6

chapter; provided, however, that the securities in which the capital development fund is invested

7

shall remain a part of the capital development fund until exchanged for other securities; and

8

provided further, that the income from investments of the capital development fund shall become

9

a part of the general fund of the state and shall be applied to the payment of debt service charges

10

of the state, unless directed by federal law or regulation to be used for some other purpose, or to

11

the extent necessary, to rebate to the United States treasury any income from investments

12

(including gains from the disposition of investments) of proceeds of bonds or notes to the extent

13

deemed necessary to exempt (in whole or in part) the interest paid on such bonds or notes from

14

federal income taxation.

15

     SECTION 10. Appropriation. -- To the extent the debt service on these bonds is not

16

otherwise provided, a sum sufficient to pay the interest and principal due each year on bonds and

17

notes hereunder is hereby annually appropriated out of any money in the treasury not otherwise

18

appropriated.

19

     SECTION 11. Advances from general fund. -- The general treasurer is authorized from

20

time to time with the approval of the director and the governor, in anticipation of the issue of

21

notes or bonds under the authority of this act, to advance to the capital development bond fund for

22

the purposes specified in section 6 hereof, any funds of the state not specifically held for any

23

particular purpose; provided, however, that all advances made to the capital development bond

24

fund shall be returned to the general fund from the capital development bond fund forthwith upon

25

the receipt by the capital development fund of proceeds resulting from the issue of notes or bonds

26

to the extent of such advances.

27

     SECTION 12. Federal assistance and private funds. -- In carrying out this act, the

28

director, or his or her designee, is authorized on behalf of the state, with the approval of the

29

governor, to apply for and accept any federal assistance which may become available for the

30

purpose of this act, whether in the form of loan or grant or otherwise, to accept the provision of

31

any federal legislation therefor, to enter into, act and carry out contracts in connection therewith,

32

to act as agent for the federal government in connection therewith, or to designate a subordinate

33

so to act. Where federal assistance is made available, the project shall be carried out in

34

accordance with applicable federal law, the rules and regulations thereunder and the contract or

 

LC003615 - Page 56 of 245

1

contracts providing for federal assistance, notwithstanding any contrary provisions of state law.

2

Subject to the foregoing, any federal funds received for the purposes of this act shall be deposited

3

in the capital development bond fund and expended as a part thereof. The director or his or her

4

designee may also utilize any private funds that may be made available for the purposes of this

5

act.

6

     SECTION 13. Effective Date. -- Sections 1, 2, 3, 11, and 12 of this article shall take

7

effect upon passage. The remaining sections of this article shall take effect when and if the state

8

board of elections shall certify to the secretary of state that a majority of the qualified electors

9

voting on the propositions contained in section 1 hereof have indicated their approval of all or any

10

projects thereunder.

11

ARTICLE 6

12

RELATING TO RESOURCE RECOVERY CORPORATION

13

     SECTION 1. Section 23-19-13.5 of the General Laws in Chapter 23-19 entitled "Rhode

14

Island Resource Recovery Corporation" is hereby amended to read as follows:

15

     23-19-13.5. Interim rates. -- The municipal tipping fee charged by the resource recovery

16

corporation shall be as follows:

17

     (1) Thirty-two dollars ($32.00) per ton from July 1, 2011 to June 30, 2014 2015, for any

18

municipality that recycles between zero percent (0%) and twenty-four and ninety-nine hundredths

19

percent (24.99%) of its solid waste at the Corporation's material recycling facility ("MRF") in

20

Johnston.

21

     (2) Thirty-one dollars ($31.00) per ton from July 1, 2011 to June 30, 2014 2015, for any

22

municipality that recycles between twenty-five percent (25%) and twenty-nine and ninety-nine

23

hundredths percent (29.99%) of its solid waste at the Corporation's ("MRF") in Johnston.

24

     (3) Thirty dollars ($30.00) per ton from July 1, 2011 to June 30, 2014 2015, for any

25

municipality that recycles between thirty percent (30%) and thirty-four and ninety-nine

26

hundredths percent (34.99%) of its solid waste at the Corporation's ("MRF") in Johnston.

27

     (4) Twenty-nine dollars ($29.00) per ton from July 1, 2011 to June 30, 2014 2015, for

28

any municipality that recycles thirty-five percent (35%) or more of its solid waste at the

29

Corporation's ("MRF") in Johnston.

30

     (5) The Corporation shall issue a rebate not later than September 1 of each year to those

31

municipalities qualifying for a year-end tipping fee adjustment according to the municipality's

32

actual recorded tonnage delivered to the MRF in Johnston, and in accordance with the provisions

33

of the municipality's current-year signed solid waste and recycling services agreement with the

34

corporation.

 

LC003615 - Page 57 of 245

1

     SECTION 2. This article shall take effect as of July 1, 2014.

2

ARTICLE 7

3

RELATING TO REGIONAL GREENHOUSE GAS INITIATIVE ACT

4

     SECTION 1. Section 23-82-6 of the General Laws in Chapter 23-82 entitled

5

"Implementation of the Regional Greenhouse Gas Initiative Act" is hereby amended to read as

6

follows:

7

     23-82-6. Use of auction or sale proceeds. -- (a) The proceeds from the auction or sale of

8

the allowances shall be used for the benefit of energy consumers through investment in the most

9

cost-effective available projects that can reduce long-term consumer energy demands and costs.

10

Such proceeds may be used only for the following purposes, in a proportion to be determined

11

annually by the office in consultation with the council and the board:

12

     (1) Promotion of cost-effective energy efficiency and conservation in order to achieve the

13

purposes of § 39-1-27.7;

14

     (2) Promotion of cost-effective renewable non-carbon emitting energy technologies in

15

Rhode Island as defined in § 39-26-5 and to achieve the purposes of chapter 39-26 entitled

16

"Renewable Energy Standard";

17

     (3) Cost-effective direct rate relief for consumers;

18

     (4) Direct rate relief for low-income consumers;

19

     (5) Reasonable compensation to an entity selected to administer the auction or sale; and

20

     (6) Reasonable costs of the department of environmental management and office of

21

energy resources in administering this program, as well as other climate change, energy

22

efficiency, and renewable program efforts of the department of environmental management and

23

office of energy resources, which shall not in any year exceed three hundred thousand dollars

24

($300,000) or five percent (5%) ten percent (10%) of the proceeds from sale or auction of the

25

allowances, whichever is less greater. Administrative funds not expended in any fiscal year shall

26

remain in the administrative account to be used as needed in subsequent years. The office of

27

energy resources shall have the ability to apply administrative funds not used in a fiscal year to

28

achieve the purpose of this section. The funds deposited into the administrative funds account

29

shall be exempt from the indirect cost recovery provisions of section 35-4-27.

30

     (b) Any interest earned on the funds so generated must be credited to the fund. Funds not

31

spent in any fiscal year shall remain in the fund to be used for future energy efficiency and carbon

32

reduction programs.

33

     (c) Annually, the office, in consultation with council and board, shall prepare a draft

34

proposal on how the proceeds from the allowances shall be allocated. The draft proposal shall be

 

LC003615 - Page 58 of 245

1

designed to augment and coordinate with existing energy efficiency and renewable energy

2

programs, and shall not propose use of auction proceeds for projects already funded under other

3

programs. The proposal for allocation of proceeds in subsections 23-82-6(1), (2) and (3) shall be

4

one that best achieves the purposes of the law, namely, lowering carbon emissions and

5

minimizing costs to consumers over the long term. The office shall hold a public hearing and

6

accept public comment on the draft proposal in accordance with chapter 42-35 (the

7

"Administrative Procedure Act"). Once the proposal is final, the office shall authorize the

8

disbursement of funds in accordance with the final plan.

9

     (d) The office shall prepare, in consultation with council and board, a report by April

10

15th of each year describing the implementation and operation of RGGI, the revenues collected

11

and the expenditures, including funds that were allocated to the energy efficiency and renewable

12

energy programs, and the individuals, businesses and vendors that received funding, made under

13

this section, the statewide energy efficiency and carbon reduction programs, and any

14

recommendations for changes to law relating to the state's energy conservation or carbon

15

reduction efforts. The report shall be made public and be posted electronically on the website of

16

the office of energy resources and shall also be submitted to the general assembly. 

17

     SECTION 2. This article shall take effect as of July 1, 2014.

18

ARTICLE 8

19

RELATING TO WATER SUPPLIES

20

     SECTION 1. Sections 46-15.5-2, 46-15.5-4, 46-15.5-5, 46-15.5-6, 46-15.5-6.1, 46-15.5-

21

7, and 46-15.5-9 of the General Laws in Chapter 46-15.5 entitled "Bristol County Water Supply"

22

are hereby amended to read as follows:

23

     46-15.5-2. Legislative declaration. -- Recognizing the importance of protecting,

24

maintaining and utilizing all sources of potable water and recognizing that with the continued

25

demands on the Scituate Reservoir water resources throughout the State, the existing Bristol

26

County water supplies will remain an important source of water for Bristol County in the future

27

(there being no other logical recipient of this water), it is the intent of the legislature that the

28

existing sources, transmission lines and treatment facilities be maintained and/or upgraded to

29

conform to federal Safe Drinking Water Act standards, 42 U.S.C. § 300f et seq. as a tertiary

30

source, irrespective of whether ownership and control is maintained by the Bristol County water

31

authority or is turned over to the state water resources board or its successor. Accordingly, this

32

general assembly hereby finds and declares that:

33

     (1) The citizens of Bristol County and East Providence lack an adequate and secure

34

supply a secure and reliable secondary source of potable water;

 

LC003615 - Page 59 of 245

1

     (2) Heretofore acting through Bristol County water authority the state water resources

2

board, the citizens of Bristol County Staff of the state water resources board, representatives of

3

the Pawcatuck water supply board, the East Providence water division, and the Bristol County

4

water authority have presented a proposal for the construction of certain water facilities to bring

5

water from the Scituate Reservoir Pawtucket Water Supply Board's reservoirs to East Providence

6

and the Bristol County water authority pump station in East Providence;

7

     (3) The state and its citizens would be better served and the environment enhanced by the

8

construction of an additional connection connecting Bristol County to the Scituate Reservoir

9

future demands for potable water in the state's Northern Region are estimated by the state water

10

resources board to be adequately serviced by the Northern Region surface water systems; and

11

     (4) The need for water in Bristol County and East Providence is critical and requires

12

immediate and prompt action on the part of the state, its agencies, boards and commissions.

13

     (5) The Bristol County will require water authority and the East Providence water

14

division may use water from the Pawtucket water supply board as an alternate source of supply,

15

in order to construct the improvements to its existing system of reservoirs, wells, and treatment

16

plants in addition to their existing water supply from the Providence water supply board,

17

     (6) The alternatives connection to the Pawtucket water supply board authorized by this

18

chapter will be less expensive than the East Providence connection Shad Factory pipeline

19

replacement and the Child Street Treatment facility upgrade, so-called, and

20

     (7) Reliance by citizens of East Providence and Bristol County on a single connection to

21

the Providence water supply board would create a hazard to the health, safety and welfare of the

22

citizens of East Providence and Bristol County, and, therefore, the construction of an emergency

23

connection interconnection to the Pawtucket water supply board, which shall permit water to flow

24

in either direction is a public necessity.

25

     (8) The state is mandated to upgrade the current Bristol County water system of

26

reservoirs, wells, treatment plant, and transmission lines, with the first priority being given to the

27

construction of a new raw water transmission line coordinate the construction of the

28

interconnection between Pawtucket water supply board, the East Providence water division, and

29

the Bristol County water authority

30

     46-15.5-4. Rates and charges for water. -- If either the Pawtucket water supply board,

31

city of East Providence or the Bristol County water authority shall utilize the emergency

32

connection interconnection, the party providing water shall charge the party for the water so

33

provided an amount determined by applying the rate charged to such providing party by the

34

Providence originating water supply board under the then current schedule applicable to such

 

LC003615 - Page 60 of 245

1

party. No such connection nor the transmission of water through such connection nor the payment

2

of the surcharge shall subject the either the City of East Providence or the Pawtucket water supply

3

board to the jurisdiction of the public utilities commission pursuant to § 39-1-2(20). 

4

     46-15.5-5. Financing. -- (a) The Bristol County water authority extension of the its

5

transmission system to connect the Bristol County water authority to the Providence Pawtucket

6

water supply system through the additional connection together with the emergency connection as

7

set forth in § 46-15.5-3 and the cost of planning, design and permitting the improvements to the

8

Bristol County water authority's existing system as set forth in § 46-15.5-6 (the "existing system"

9

enhancement) as directed by the water resources board shall be deemed an approved intersystem

10

facility as that term is defined in § 46-15.2-3 and up to fifty percent (50%) of the cost thereof

11

shall be considered eligible for funding pursuant to the provisions of chapter 15.2 of this title.

12

This funding will supplement the funding available through provisions of § 46-15.5-6 and 46-

13

15.5-6.1. The remaining costs will be contributed by the Pawtucket water supply board, East

14

Providence water division, and the Bristol County water authority, in proportions to be

15

established by the state water resources board. There is hereby included in the 1994 capital

16

budget an amount equal to $14.8 million ($14,800,000) to be used to fund such additional

17

connections, the emergency connection and the existing system enhancement. The water

18

resources board is hereby directed to take such steps as shall be necessary to transfer any funds

19

heretofore set aside or designated for purposes of providing funding to the Bristol County water

20

authority for the cross-bay pipeline to the East Providence connection for the design, permitting,

21

and construction of interconnections between the Pawtucket water supply board and the Bristol

22

County water authority system, as authorized and directed by this chapter.

23

     (b) The Bristol County water authority, the East Providence water division, and the

24

Pawtucket water supply board is deemed to have met the provisions of § 46-15.2-5(d)(2), (3), (4),

25

(5), (6), (8), (e) and (f) with respect to the connections authorized by this chapter. The water

26

resources board shall give priority to the application filed by the Bristol County water authority in

27

accordance with chapter 15.2 of this title and this chapter and shall approve the project based

28

upon its findings of fact as provided in §§ 46-15.2-5(d)(1) and (7) without the necessity of

29

meeting any other conditions precedent set forth in §§ 46-15.2-4(e) and 46-15.2-6(a).

30

     (c) All other state agencies having jurisdiction over the Bristol County water authority

31

with respect to any permit required to design and construct the additional and emergency

32

connections authorized by this chapter shall give administrative, hearing and decisional priority to

33

any application for any such permit. 

34

     46-15.5-6. Existing facilities of the Bristol County water authority. -- (a) The Bristol

 

LC003615 - Page 61 of 245

1

County water authority will continue to maintain its reservoirs, wells and well sites, transmission

2

lines and water treatment plants in good, sound and safe condition in accordance with its past

3

practices. The Bristol County water authority shall continue to take all steps necessary to protect

4

its legal right to withdraw water from its existing reservoirs, wells and well sites, and shall protect

5

the watershed surrounding said reservoirs to the extent it has legal authority to do so and shall

6

maintain its transmission lines from its existing reservoirs, wells, well sites and water treatment

7

facilities; provided, however, that if in order to protect its legal authority to withdraw water from

8

the existing reservoirs, the Bristol County water authority shall be required to maintain all or part

9

of its facilities in accordance with federal Safe Drinking Water Act standards, 42 U.S.C. § 300f et

10

seq., the capital cost thereof shall be paid for by the state water resources board ratepayers of the

11

Bristol County water authority.

12

     (b) The Bristol County water authority in co-operation with the state water resources

13

board shall prepare a plan to protect, enhance and improve its existing reservoirs, wells, well

14

sites, transmission lines and treatment plants. Upon approval of such plan, the authority shall

15

cause to be prepared definitive construction plans and drawings and shall apply for and prosecute

16

to completion all federal, state and local permits necessary to permit such construction to be

17

lawfully undertaken.; provided, however, if at any time, the Bristol County water authority shall

18

have satisfied the limitation on its financial commitment as set forth in § 46-15.5-6.1, then it shall

19

no longer be required to undertake such planning, design and permitting unless the water

20

resources board shall lawfully provide one hundred percent (100%) of the cost thereof. This plan

21

will be integrated into the Bristol County water authority water supply system management plan

22

pursuant to chapter 15.3 of this title. Such plan shall make reference to the proper use,

23

management, and maintenance of the primary, secondary, and tertiary sources of supply.

24

     (c) Upon completion of the construction authorized by such plan, the Bristol County

25

water authority shall utilize the existing system as so improved in the overall management of its

26

water supply and distribution system in compliance with its water supply management plan

27

approved pursuant to chapter 15.4 15.3 of this title. If, after all permits for such improvements

28

and enhancements have been received the water resources board shall determine to purchase such

29

existing reservoirs, wells, well sites, transmission lines, and distribution of water treatment

30

facilities, the Bristol County water authority is authorized to sell or lease any one or more of such

31

reservoirs, wells, well sites, transmission lines, or treatment facilities to the board pursuant to the

32

provision of § 46-15.1-7 and the board is authorized to the extent not otherwise permitted by law

33

to acquire such facilities and improve such facilities under the provisions of chapter 15.3 of this

34

title except as specifically provided for in this section. From and after the date of the activation of

 

LC003615 - Page 62 of 245

1

the additional and emergency connection, the Bristol County water authority shall have no further

2

obligation to expend funds for improvements to its reservoirs, pipelines connecting any one or

3

more of such reservoirs and water treatment facilities unless and to the extent that such funds

4

shall be provided by the water resources board pursuant to existing provisions of the general laws

5

or such provisions as may be hereinafter enacted.

6

     (d) The state water resources board shall provide funding necessary to maintain the

7

reservoirs, wells and well sites and pipelines connecting any one or more of such reservoirs, wells

8

and well sites, and water treatment facilities of the Bristol County water authority system from

9

general obligation bond proceeds, if available, of up to $13.5 million (fifty percent (50%) of the

10

total estimated project cost of $27.0 million) to construct interconnections from the Pawtucket

11

water supply board system to the Bristol County water authority system, so as to meet all federal

12

standards related to safe drinking water. Notwithstanding any other provision of law, any

13

amounts so expended by the state water resources board shall be deemed eligible expenditures

14

within the meaning of § 46-15.3-4(4). 

15

     46-15.5-6.1. Limitation on expenditures. -- The Bristol County water authority, the

16

Pawtucket water supply board, and the East Providence water division shall pay fifty percent

17

(50%) proportional shares of costs of planning, design, permitting and construction of the

18

additional and emergency connections authorized by this chapter, until the total cost thereof shall

19

equal $29.6 million ($29,600,000) in proportions to be established by the state water resources

20

board. All costs in excess of $29.6 million ($29,600,000) $13.5 million will be paid by the Bristol

21

County water authority, the East Providence water division, and the Pawtucket water supply

22

board, in proportions to be established by the state water resources board. In the event that the

23

total expenditures by the Bristol County water authority for the planning, design, permitting and

24

construction of the additional and emergency connections authorized hereby shall be less than

25

$14.8 million ($14,800,000), the Bristol County water authority shall expend the differences for

26

the planning, design, permitting and construction of the existing systems enhancements, with the

27

first priority being given to the completion of a new raw water transmission line to the existing

28

Bristol County reservoirs. 

29

     46-15.5-7. Connection with Providence and Pawtucket water supply system. -- The

30

provisions of § 18 of chapter 1278 of the public laws of Rhode Island, of 1915 as amended,

31

dealing with the connection of the Bristol County water authority with the Providence water

32

supply system are hereby amended to authorize the additional connection and the emergency

33

connections in the manner approved by the water resources board in accordance with the

34

provisions of this chapter and with chapter 15 of this title. That § 18 is further amended by adding

 

LC003615 - Page 63 of 245

1

the City of East Providence to those cities wherein all pipelines and other water works

2

appurtenances of the Bristol County water authority are exempt from local taxation. The City of

3

Providence is authorized and directed to treat the additional connection as an acceptable "delivery

4

point" pursuant to those provisions of that certain agreement dated March 28, 1986 between the

5

Bristol County water authority and the City of Providence, subject nevertheless to the provisions

6

of § 5 of such agreement. The connection of the Bristol County water authority system and the

7

East Providence water division with the Pawtucket water supply board system shall be authorized

8

by the water resources board in accordance with the provisions of this chapter and with chapter

9

15 of this title, and as stated in a written agreement executed by the parties.

10

     46-15.5-9. Administrative priority. -- Any state agency, board, council, or commission

11

shall give priority in terms of consideration of, and hearing on, any application made by the

12

Bristol County water authority, East Providence water division, or the Pawtucket water supply

13

board, seeking necessary approvals to carry out the provisions of this chapter. 

14

     SECTION 2. Section 46-15.5-3 of the General Laws in Chapter 46-15.5 entitled "Bristol

15

County Water Supply" is hereby repealed.

16

     46-15.5-3. Pipeline connection. -- (a) The Bristol County water authority shall design,

17

plan, permit, and construct an additional connection to the City of Providence water supply

18

system and construct a new water transmission line to its existing reservoirs. The additional

19

connection to Providence will be constructed north of Fields Point across the Providence River

20

through subterranean excavation, directional drilling or micro tunneling for a pipe not to exceed

21

thirty (30) inches in diameter and without any excavation of the river bed and to extend its

22

transmission mains into and through the city of East Providence to connect with the distribution

23

system of the Bristol County water authority to effect a regular and emergency connection at such

24

places and on such terms and pursuant to such plans as the water resources board shall approve

25

pursuant to the provisions of § 46-15-7.

26

     (1) In addition, the Bristol County water authority shall design, plan, permit, and

27

construct an emergency connection to the City of East Providence water supply system at such

28

point and upon such terms and conditions as the authority, the city and the water resources board

29

shall agree upon.

30

     (2) It is hereby being determined that such connections are just and equitable to all the

31

municipalities affected thereby and that such connections are justified by public necessity and are

32

desirable, and will not adversely affect present and future necessities for sources of water supply,

33

including an adequate flow to the Pawtuxet River.

34

     (3) The Providence water supply board shall release a minimum of nine million

 

LC003615 - Page 64 of 245

1

(9,000,000) gallons of water per day into the Pawtuxet River from the Scituate Reservoir, thereby

2

assisting the cities of Cranston and Warwick and the towns of Coventry and West Warwick to

3

achieve its wastewater treatment plan permit limits and enable the Pawtuxet River to meet EPA

4

Class C water quality standards.

5

     (4) The water resources board shall give priority consideration to the application, when

6

and if filed by the Bristol County water authority pursuant to the provisions of § 46-15-7, but the

7

application need only address the plans and specifications for the connections and the means by

8

which the connections will be effected. There shall be no requirement that the Bristol County

9

water authority demonstrate public necessity, or whether the plans and specifications give

10

consideration to present and future necessities for the sources of water supply. The design

11

contained in the plans and specifications shall afford the Bristol County water authority a capacity

12

not to exceed 7.5 million (7,500,000) gallons per day maximum day demand. The provisions of §

13

46-15.3-7.6 or chapter 15.3 of this title shall not apply to any approval of the connection.

14

     (b) The design, of both the new raw water transmission line and the additional

15

connections to the City of Providence water supply system including the emergency connection

16

to the City of East Providence water supply system shall be commenced simultaneously, and such

17

projects shall be simultaneously pursued to completion with all reasonable diligence. 

18

     SECTION 3. This article shall take effect upon passage.

19

ARTICLE 9

20

RELATING TO FICA ALTERNATE RETIREMENT PLAN

21

     SECTION 1. Section 36-7-2 of the General Laws in Chapter 36-7 entitled "Federal Old-

22

Age and Survivors' Insurance" is hereby amended to read as follows:

23

     36-7-2. Definitions. -- For the purposes of §§ 36-7-1 – 36-7-31, 36-7-33.1, and 36-7-35,

24

the following terms shall have the meanings indicated unless different meanings are clearly

25

expressed or required by the context:

26

     (1) "Agency of the state" shall mean:

27

     (i) All departments, divisions, agencies, and instrumentalities of the state which are not

28

juristic entities, legally separate and distinct from the state;

29

     (ii) Civilian employees of the Rhode Island national guard; or

30

     (iii) Any instrumentality of the state such as fire districts, water districts, water

31

authorities, sewer commissions and authorities, housing authorities, or other instrumentality of

32

the state which are a juristic entity and legally separate and distinct from the state and if the

33

employees of the instrumentality are not by virtue of their relation to juristic entity employees of

34

the state. Without limiting the generality of the foregoing, examples of those agencies would be

 

LC003615 - Page 65 of 245

1

the Kent County water authority, the Providence housing authority, the Blackstone Valley sewer

2

district commission, and other like instrumentalities of the state.

3

     (2) "City or town" shall mean:

4

     (i) Any city or town of the state of Rhode Island, inclusive of any department, division,

5

agency, board, commission, or bureau thereof;

6

     (ii) Any instrumentality of a city or town which is a juristic entity and legally separate

7

and distinct from the city or town and if its employees are not by virtue of their relation to the

8

juristic entity employees of the city or town; or

9

     (iii) Any instrumentality of two or more citizens and/or towns which is a juristic entity as

10

provided in subdivision (ii) hereof.

11

     (3) "IRC" shall mean the Internal Revenue Code of 1986, as amended.

12

     (4) "Coverage group" shall mean:

13

     (i) All employees of the state other than those engaged in performing service in

14

connection with a proprietary function;

15

     (ii) All employees of a city or town other than those engaged in performing service in

16

connection with a single proprietary function;

17

     (iii) All employees of the state engaged in performing service in connection with a single

18

proprietary function;

19

     (iv) All employees of an agency of the state;

20

     (v) All employees of a city or town of the state engaged in performing service in

21

connection with a single proprietary function. If under the preceding sentence an employee would

22

be included in more than one coverage group by reason of the fact that he or she performs service

23

in connection with two (2) or more proprietary functions or in connection with both a proprietary

24

function and a nonproprietary function, he or she shall be included in only one coverage group.

25

The determination of the coverage group in which the employee shall be included shall be made

26

in such manner as may be specified in the agreement. Members of retirement systems shall

27

constitute separate coverage groups as provided in § 36-7-10.

28

     (5) "Employee" shall mean any officer or employee of any city, town, or agency of the

29

state receiving salaries or wages for employment.

30

     (6) "Employment" shall mean any service performed by an employee for wages as a

31

member of a coverage group as herein defined, including service of an emergency nature, service

32

in any class or classes of elective positions and service in part-time positions, but excluding the

33

following:

34

     (i) Service in a position the compensation for which is on a fee basis;

 

LC003615 - Page 66 of 245

1

     (ii) Service performed by election officials or election workers for calendar year 2003 in

2

which the remuneration paid for that service is less than one thousand two hundred fifty dollars

3

($1,250), and for each calendar year after 2003 in which the remuneration paid is less than the

4

adjusted amount in accordance with section 218(c)(8)(B) of the Social Security Act;

5

     (iii) Service which under the federal Social Security Act may not be included in an

6

agreement between the state and the secretary entered into under this chapter;

7

     (iv) Service which, in the absence of an agreement entered into under §§ 36-7-1 – 36-7-

8

31, would constitute "employment" as defined in the federal Social Security Act. Service which

9

under the federal Social Security Act may be included in an agreement only upon certification by

10

the governor in accordance with § 218(d)(3) of the federal Social Security Act, 42 U.S.C. §

11

418(d)(3), shall be included in the term "employment" if and when the governor issues, with

12

respect to that service, a certificate to the secretary, pursuant to § 36-7-19.

13

     (B) Notwithstanding any of the foregoing, if pursuant to § 141 of P.L. 92-603, 42 U.S.C.

14

§ 418, the state agreement with the federal government referred to in § 36-7-3 is modified

15

appropriately at any time prior to January 1, 1974, the term "employment" with respect to any

16

coverage group specified in the modification shall, effective after the effective date specified in

17

the modification, include services in designated part-time positions but not services performed in

18

the employ of a school, college, or university by a student who is enrolled and regularly attending

19

classes at that school, college, or university.

20

     (7) "FARP" shall mean the FICA Alternative Retirement Income Security Program as

21

described in § 36-7-33.1.

22

     (8) "FARP-eligible employee" shall mean any part-time, seasonal, or temporary

23

employee of the state of Rhode Island who is ineligible for participation in the Employees'

24

Retirement System of Rhode Island.

25

     (9) "FARP part-time employee" shall mean an employee of the state of Rhode Island who

26

works less than twenty (20) hours or less per week, in accordance with IRC standards.

27

     (10) "Federal Insurance Contributions Act" or "FICA" shall mean subchapter A of

28

chapter 9 of the federal Internal Revenue Code of 1939, subchapters A and B of chapter 21 of the

29

federal Internal Revenue Code of 1954, and subchapters A and B of chapter 21 of the federal

30

Internal Revenue Code of 1986 as those codes have been and may from time to time be amended;

31

and the term "employee tax" shall mean the tax imposed by § 1400 of the code of 1939, § 3101 of

32

the code of 1954, and § 3101 of the code of 1986.

33

     (11) "Federal Social Security Act", 42 U.S.C. § 301 et seq., shall mean the act of

34

congress approved August 14, 1935, officially cited as the "Social Security Act", including any

 

LC003615 - Page 67 of 245

1

amendments thereto, and any regulations, directives, or requirements interpretative or

2

implementive thereof.

3

     (12) "Part-time employment" shall mean any employment by those who work on a

4

regularly scheduled basis regardless of hours.

5

     (13) "Retirement board" shall mean the retirement board as provided in chapter 8 of this

6

title.

7

     (14) "Secretary", except when used in the title "secretary of the treasury", shall mean the

8

secretary of health and human services and any individual to whom the secretary of health and

9

human services has delegated any of his or her functions under the federal Social Security Act, 42

10

U.S.C. § 301 et seq., with respect to coverage under that act of employees of states and their

11

political subdivisions.

12

     (15) "Sick pay" shall mean the amount of any payment (including any amount paid by an

13

employer for insurance or annuities, or into a fund to provide for any sick pay) made to, or on

14

behalf of, an employee or any of his or her dependents under a plan or system established by an

15

employer which makes provision for his employees generally (or for his or her employees

16

generally and their dependents) or for a class or classes of his employees (or for a class or classes

17

of his employees and their dependents), on account of sickness or accident disability.

18

     (16) "State" shall mean the state of Rhode Island.

19

     (17) "Wages" or "salaries" shall mean all compensation received by an employee for

20

employment as defined herein, including the cash value of all remuneration received by an

21

employee in any medium other than cash, except that this term shall not include that part of the

22

remuneration which, even if it were for "employment" within the meaning of the Federal

23

Insurance Contributions Act, 26 U.S.C. § 3101 et seq., would not constitute "wages" within the

24

meaning of that act.

25

     SECTION 2. This article shall take effect upon passage.

26

ARTICLE 10

27

RELATING TO MAKING REVISED APPROPRIATIONS IN SUPPORT OF FY 2014

28

     SECTION 1. Subject to the conditions, limitations and restrictions hereinafter contained

29

in this act, the following general revenue amounts are hereby appropriated out of any money in

30

the treasury not otherwise appropriated to be expended during the fiscal year ending June 30,

31

2014. The amounts identified for federal funds and restricted receipts shall be made available

32

pursuant to section 35-4-22 and Chapter 41 of Title 42 of the Rhode Island General Laws. For the

33

purposes and functions hereinafter mentioned, the state controller is hereby authorized and

34

directed to draw his or her orders upon the general treasurer for the payment of such sums or such

 

LC003615 - Page 68 of 245

1

portions thereof as may be required from time to time upon receipt by him or her of properly

2

authenticated vouchers.

3

      FY 2014 FY 2014 FY 2014

4

      Enacted Change Final

5

Administration

6

Central Management

7

General Revenues 2,111,597 339,878 2,451,475

8

Office of Digital Excellence 810,441 5,099 815,540

9

Federal Funds 194,591 (194,591) 0

10

Total - Central Management 3,116,629 150,386 3,267,015

11

Legal Services

12

General Revenues 1,948,683 364,033 2,312,716

13

Total – Legal Services 1,948,683 364,033 2,312,716

14

Accounts and Control

15

General Revenues 3,966,422 (93,883) 3,872,539

16

Total - Accounts and Control 3,966,422 (93,883) 3,872,539

17

Office of Management and Budget

18

General Revenues 4,049,888 (108,988) 3,940,900

19

Restricted Receipts 481,303 (215,364) 265,939

20

Total – Office of Management and Budget 4,531,191 (324,352) 4,206,839

21

Purchasing

22

General Revenues 2,689,542 143,779 2,833,321

23

Federal Funds 193,710 (115,403) 78,307

24

Other Funds 360,814 (45,523) 315,291

25

Total – Purchasing 3,244,066 (17,147) 3,226,919

26

Auditing

27

General Revenues 1,344,585 16,669 1,361,254

28

Other Funds 0 25,000 25,000

29

Total – Auditing 1,344,585 41,669 1,386,254

30

Human Resources

31

General Revenues 8,329,216 (67,831) 8,261,385

32

Federal Funds 808,123 (80,589) 727,534

33

Restricted Receipts 469,283 (36,684) 432,599

34

Other Funds 1,580,772 (49,414) 1,531,358

 

LC003615 - Page 69 of 245

1

Total - Human Resources 11,187,394 (234,518) 10,952,876

2

Personnel Appeal Board

3

General Revenues 75,036 0 75,036

4

Total – Personnel Appeal Board 75,036 0 75,036

5

Facilities Management

6

General Revenues 32,198,875 (1,774,970) 30,423,905

7

Federal Funds 925,630 206,048 1,131,678

8

Restricted Receipts 616,083 (163,194) 452,889

9

Other Funds 3,696,513 (441,380) 3,255,133

10

Total – Facilities Management 37,437,101 (2,173,496) 35,263,605

11

Capital Projects and Property Management

12

General Revenues 1,240,545 23,888 1,264,433

13

Total – Capital Projects and

14

Property Management 1,240,545 23,888 1,264,433

15

Information Technology

16

General Revenues 19,293,222 (214,943) 19,078,279

17

Federal Funds 7,135,490 (613,302) 6,522,188

18

Restricted Receipts 5,370,582 (234,387) 5,136,195

19

Other Funds 2,182,024 611,114 2,793,138

20

Total – Information Technology 33,981,318 (451,518) 33,529,800

21

Library and Information Services

22

General Revenues 1,007,465 (4,060) 1,003,405

23

Federal Funds 1,183,126 186,031 1,369,157

24

Restricted Receipts 1,694 (1,041) 653

25

Total - Library and Information Services 2,192,285 180,930 2,373,215

26

Planning

27

General Revenues 4,701,094 (17,377) 4,683,717

28

Federal Funds 10,935,098 4,094,745 15,029,843

29

Other Funds

30

Federal Highway – PL Systems Planning 5,039,312 (1,311,824) 3,727,488

31

Air Quality Modeling 0 22,875 22,875

32

Total - Planning 20,675,504 2,788,419 23,463,923

33

General

34

General Revenues

 

LC003615 - Page 70 of 245

1

Economic Development Corporation

2

Rhode Island Commerce Corporation 4,545,572 0 4,545,572

3

EDC RICC – Airport Corporation Impact Aid 1,025,000 0 1,025,000

4

Sixty percent (60%) of the first one million dollars ($1,000,000) appropriated for airport

5

impact aid shall be distributed to each airport serving more than one million (1,000,000)

6

passengers based upon its percentage of the total passengers served by all airports serving more

7

than 1,000,000 passengers. Forty percent (40%) of the first one million dollars ($1,000,000) shall

8

be distributed based on the share of landings during the calendar year 2013 at North Central

9

Airport, Newport-Middletown Airport, Block Island Airport, Quonset Airport, T.F. Green Airport

10

and Westerly Airport, respectively. The Economic Development Corporation Rhode Island

11

Commerce Corporation shall make an impact payment to the towns or cities in which the airport

12

is located based on this calculation. Each community upon which any parts of the above airports

13

are located shall receive at least twenty-five thousand dollars ($25,000).

14

EDC RICC – EPScore (Research Alliance) 1,150,000 0 1,150,000

15

     Innovative Matching Grants 500,000 0 500,000

16

     Miscellaneous Grants/Payments 146,049 0 146,049

17

     Slater Centers of Excellence 1,000,000 0 1,000,000

18

     Torts – Courts 400,000 0 400,000

19

     Current Care/Health Information Exchange 450,000 0 450,000

20

     I-195 Commission 501,000 674,679 1,175,679

21

     RI Film and Television Office 310,747 (1,782) 308,965

22

     State Employees/Teachers Retiree Health Subsidy 2,321,057 0 2,321,057

23

     Resource Sharing and State Library Aid 8,773,398 0 8,773,398

24

     Library Construction Aid 2,500,666 0 2,500,666

25

Federal Funds 4,345,555 0 4,345,555

26

Restricted Receipts 421,500 0 421,500

27

Rhode Island Capital Plan Funds

28

     Statehouse Renovations 1,879,000 (454,000) 1,425,000

29

     DoIT Enterprise Operations Center 250,000 106,350 356,350

30

     Cranston Street Armory 1,650,000 (724,456) 925,544

31

     Cannon Building 650,000 288,987 938,987

32

     Zambarano Building Rehabilitation 1,530,000 63,080 1,593,080

33

     Pastore Center Rehab DOA Portion 1,155,000 1,362,000 2,517,000

34

     Old State House 500,000 32,000 532,000

 

LC003615 - Page 71 of 245

1

     State Office Building 715,000 358,936 1,073,936

2

     Old Colony House 175,000 187,605 362,605

3

     William Powers Building 2,700,000 (200,000) 2,500,000

4

     Fire Code Compliance State Buildings 500,000 (500,000) 0

5

     Pastore Center Fire Code Compliance 1,691,596 (966,596) 725,000

6

     Pastore Center Utility Systems Upgrade 2,745,789 (1,645,789) 1,100,000

7

     Replacement of Fueling Tanks 300,000 350,000 650,000

8

     Environmental Compliance 200,000 0 200,000

9

     Big River Management Area 180,000 175,811 355,811

10

     Pastore Center Building Demolition 2,400,000 (1,063,123) 1,336,877

11

     Washington County Government Center 612,000 (152,000) 460,000

12

     Veterans Memorial Auditorium 5,298,789 246,016 5,544,805

13

     Chapin Health Laboratory 1,725,000 (1,425,000) 300,000

14

     Pastore Center Parking 300,000 300,884 600,884

15

     Pastore Center Water Tanks 300,000 0 300,000

16

     Board of Elections New Location 1,250,000 (1,250,000) 0

17

     Pastore Cottages Rehab 800,000 (177,672) 622,328

18

     Ladd Center Building Demolition 1,500,000 228,208 1,728,208

19

     I-195 Commission 250,000 30,789 280,789

20

     RI Convention Center Authority 1,000,000 58,531 1,058,531

21

     Dunkin Donuts Center 925,000 0 925,000

22

     Mathias 1,600,000 (350,000) 1,250,000

23

     Pastore Center Power Plant 1,600,000 0 1,600,000

24

     Virks 1,000,000 (700,000) 300,000

25

     Harrington Hall Renovations 1,000,000 180,000 1,180,000

26

     Veterans Land Purchase 4,150,000 0 4,150,000

27

     Health Laboratory Feasibility Study 0 111,892 111,892

28

     Zambarano Wood Chip Boiler 0 32,838 32,838

29

     Ladd Rubble Pile 0 45,000 45,000

30

Provided that the cost for the land purchase shall not exceed $70.00 per square foot.

31

Total – General 70,922,718 (4,776,812) 66,145,906

32

Debt Service Payments

33

General Revenues 157,387,801 (3,188,408) 154,199,393

34

Of the general revenue appropriation for debt service, two million five hundred thousand

 

LC003615 - Page 72 of 245

1

dollars ($2,500,000) is appropriated for transfer to the Capital Reserve Fund of the EDC RICC

2

Job Creation Guaranty program.

3

Federal Funds 2,759,328 (91,929) 2,667,399

4

Restricted Receipts 2,131,275 (46,026) 2,085,249

5

Other Funds

6

     Transportation Debt Service 30,369,820 116,868 30,486,688

7

     Investment Receipts – Bond Funds 100,000 0 100,000

8

     COPS - DLT Building – TDI 278,848 (7,195) 271,653

9

Total - Debt Service Payments 193,027,072 (3,216,690) 189,810,382

10

Energy Resources

11

Federal Funds 590,080 (18,915) 571,165

12

Federal Funds – Stimulus 5,150,000 560,235 5,710,235

13

Restricted Receipts 5,459,477 183,062 5,642,539

14

Total – Energy Resources 11,199,557 724,382 11,923,939

15

Rhode Island Health Benefits Exchange

16

Federal Funds 28,348,926 24,079,750 52,428,676

17

Total - Rhode Island Health Benefits

18

Exchange 28,348,926 24,079,750 52,428,676

19

Construction Permitting, Approvals and Licensing

20

General Revenues 1,421,350 70,225 1,491,575

21

Restricted Receipts 1,408,159 (12,172) 1,395,987

22

Total – Construction Permitting, Approvals and

23

Licensing 2,829,509 58,053 2,887,562

24

Personnel Savings

25

General Revenues (1,398,040) 1,134,452 (263,588)

26

Federal Funds (379,988) 316,875 (63,113)

27

Restricted Receipts (446,548) 416,848 (29,700)

28

Other Funds (342,628) 331,490 (11,138)

29

Total – Personnel Savings (2,567,204) 2,199,665 (367,539)

30

Grand Total – Administration 428,701,337 19,322,759 448,024,096

31

Business Regulation

32

Central Management

33

General Revenues 1,197,671 23,727 1,221,398

34

Total – Central Management 1,197,671 23,727 1,221,398

 

LC003615 - Page 73 of 245

1

Banking Division

2

General Revenues 1,715,225 (197,531) 1,517,694

3

Restricted Receipts 125,000 (75,000) 50,000

4

Total – Banking Division 1,840,225 (272,531) 1,567,694

5

Securities Regulation

6

General Revenues 980,090 (44,942) 935,148

7

Restricted Receipts 15,000 (11,500) 3,500

8

Total - Securities Regulation 995,090 (56,442) 938,648

9

Insurance Regulation

10

General Revenues 3,767,883 15,069 3,782,952

11

Restricted Receipts 1,345,584 (62,844) 1,282,740

12

Total - Insurance Regulation 5,113,467 (47,775) 5,065,692

13

Office of the Health Commissioner

14

General Revenues 542,180 (42,005) 500,175

15

Federal Funds 1,747,589 2,210,905 3,958,494

16

Restricted Receipts 10,500 0 10,500

17

Total – Office of the Health Commissioner 2,300,269 2,168,900 4,469,169

18

Board of Accountancy

19

General Revenues 81,034 (64,380) 16,654

20

Total – Board of Accountancy 81,034 (64,380) 16,654

21

Commercial Licensing, Racing & Athletics

22

General Revenues 707,941 (123,246) 584,695

23

Restricted Receipts 500,329 56,287 556,616

24

Total - Commercial Licensing, Racing &

25

Athletics 1,208,270 (66,959) 1,141,311

26

Board for Design Professionals

27

General Revenues 253,854 2,360 256,214

28

Total – Board for Design Professionals 253,854 2,360 256,214

29

Grand Total - Business Regulation 12,989,880 1,686,900 14,676,780

30

Labor and Training

31

Central Management

32

General Revenues 118,760 (27,682) 91,078

33

Restricted Receipts 342,730 244,280 587,010

34

Rhode Island Capital Plan Funds

 

LC003615 - Page 74 of 245

1

Center General Building Roof 0 751,412 751,412

2

Center General Asset Protection 702,000 (86,931) 615,069

3

Total - Central Management 1,163,490 881,079 2,044,569

4

Workforce Development Services

5

General Funds 1,250,000 (825) 1,249,175

6

Federal Funds 22,942,484 6,974,518 29,917,002

7

Restricted Receipts 9,134,984 3,327,267 12,462,251

8

Other Funds 0 40,250 40,250

9

Total - Workforce Development Services 33,327,468 10,341,210 43,668,678

10

Workforce Regulation and Safety

11

General Revenues 3,002,408 2,325 3,004,733

12

Total – Workforce Regulation and Safety 3,002,408 2,325 3,004,733

13

Income Support

14

General Revenues 4,299,157 17,344 4,316,501

15

Federal Funds 17,957,752 11,059,374 29,017,126

16

Federal Funds – Stimulus – UI 54,810,000 (14,677,519) 40,132,481

17

Restricted Receipts 2,008,358 138,480 2,146,838

18

Job Development Fund 22,500,000 8,605,360 31,105,360

19

Other Funds

20

     Temporary Disability Insurance Fund 172,549,295 8,513,122 181,062,417

21

     Employment Security Fund 271,329,801 (29,212,784) 242,117,017

22

Total - Income Support 545,454,363 (15,556,623) 529,897,740

23

Injured Workers Services

24

Restricted Receipts 9,139,647 (198,616) 8,941,031

25

Total – Injured Workers Services 9,139,647 (198,616) 8,941,031

26

Labor Relations Board

27

General Revenues 393,736 (7,204) 386,532

28

Total - Labor Relations Board 393,736 (7,204) 386,532

29

Grand Total - Labor and Training 592,481,112 (4,537,829) 587,943,283

30

Department of Revenue

31

Director of Revenue

32

General Revenues 1,222,847 (111,184) 1,111,663

33

Total – Director of Revenue 1.222,847 (111,184) 1,111,663

34

Office of Revenue Analysis

 

LC003615 - Page 75 of 245

1

General Revenues 528,721 (8,284) 520,437

2

Total – Office of Revenue Analysis 528,721 (8,284) 520,437

3

Lottery Division

4

Lottery Funds 245,451,858 89,310,926 334,762,784

5

Rhode Island Capital Plan Funds

6

Lottery Building Renovations 0 306,750 306,750

7

Total – Lottery Division 245,451,858 89,617,676 335,069,534

8

Municipal Finance

9

General Revenues 2,351,173 (326,580) 2,024,593

10

Total – Municipal Finance 2,351,173 (326,580) 2,024,593

11

Taxation

12

General Revenues 18,027,851 (442,343) 17,585,508

13

Federal Funds 1,261,962 23,582 1,285,544

14

Restricted Receipts 849,626 22,433 872,059

15

Other Funds

16

     Motor Fuel Tax Evasion 43,232 0 43,232

17

     Temporary Disability Insurance 916,617 29,364 945,981

18

Total – Taxation 21,099,288 (366,964) 20,732,324

19

Registry of Motor Vehicles

20

General Revenues 18,895,421 89,185 18,984,606

21

Federal Funds 1,786,689 938,517 2,725,206

22

Restricted Receipts 14,763 2,185,833 2,200,596

23

Rhode Island Capital Plan Funds

24

Safety & Emissions Lift Replacement 150,000 150,000 300,000

25

Total – Registry of Motor Vehicles 20,846,873 3,363,535 24,210,408

26

State Aid

27

General Revenue

28

     Distressed Communities Relief Fund 10,384,458 0 10,384,458

29

     Payment in Lieu of Tax Exempt Properties 35,080,409 0 35,080,409

30

     Motor Vehicle Excise Tax Payments 10,000,000 0 10,000,000

31

     Property Revaluation Program 516,615 (55,999) 460,616

32

     Municipal Aid 5,000,000 0 5,000,000

33

Restricted Receipts 957,497 (48,514) 908,983

34

Total – State Aid 61,938,979 (104,513) 61,834,466

 

LC003615 - Page 76 of 245

1

Grand Total – Revenue 353,439,739 92,063,686 445,503,425

2

Legislature

3

General Revenues 36,186,933 2,467,284 38,654,217

4

Restricted Receipts 1,604,615 (36,615) 1,568,000

5

Grand Total – Legislature 37,791,548 2,430,669 40,222,217

6

Lieutenant Governor

7

General Revenues 986,890 (40,389) 946,501

8

Federal Funds 1,108,488 485,836 1,594,324

9

Restricted Receipts 0 135,000 135,000

10

Grand Total - Lieutenant Governor 2,095,378 580,447 2,675,825

11

Secretary of State

12

Administration

13

General Revenues 2,078,542 130,070 2,208,612

14

Total – Administration 2,078,542 130,070 2,208,612

15

Corporations

16

General Revenues 2,152,424 134,404 2,286,828

17

Total – Corporations 2,152,424 134,404 2,286,828

18

State Archives

19

General Revenues 131,705 (60,564) 71,141

20

Restricted Receipts 449,931 56,482 506,413

21

Total - State Archives 581,636 (4,082) 577,554

22

Elections & Civics

23

General Revenues 1,162,821 (264,015) 898,806

24

Federal Funds 0 50,163 50,163

25

Total – Elections & Civics 1,162,821 (213,852) 948,969

26

State Library

27

General Revenues 611,318 (93,230) 518,088

28

Total – State Library 611,318 (93,230) 518,088

29

Office of Public Information

30

General Revenues 361,023 133,071 494,094

31

Restricted Receipts 5,000 8,431 13,431

32

Total – Office of Public Information 366,023 141,502 507,525

33

Grand Total – Secretary of State 6,952,764 94,812 7,047,576

34

General Treasurer

 

LC003615 - Page 77 of 245

1

Treasury

2

General Revenues 2,471,194 (52,024) 2,419,170

3

Federal Funds 293,099 (21,821) 271,278

4

Restricted Receipts 40,000 246 40,246

5

Other Funds

6

Temporary Disability Insurance Fund 228,923 (18,646) 210,277

7

Total – Treasury 3,033,216 (92,245) 2,940,971

8

State Retirement System

9

Restricted Receipts

10

     Admin Expenses - State Retirement System 10,256,532 (421,569) 9,834,963

11

     Retirement - Treasury Investment Operations 1,162,562 (112,654) 1,049,908

12

     Defined Contribution – Administration 246,971 8,918 255,889

13

Total - State Retirement System 11,666,065 (525,305) 11,140,760

14

Unclaimed Property

15

Restricted Receipts 18,559,092 4,688,073 23,247,165

16

Total – Unclaimed Property 18,559,092 4,688,073 23,247,165

17

Crime Victim Compensation Program

18

General Revenues 183,498 14,649 198,147

19

Federal Funds 837,323 (257,572) 579,751

20

Restricted Receipts 1,128,267 25,045 1,153,312

21

Total - Crime Victim Compensation Program 2,149,088 (217,878) 1,931,210

22

Grand Total – General Treasurer 35,407,461 3,852,645 39,260,106

23

Board of Elections

24

General Revenues 1,589,361 21,044 1,610,405

25

Public Financing of General Elections 150,000 0 150,000

26

Grand Total - Board of Elections 1,739,361 21,044 1,760,405

27

Rhode Island Ethics Commission

28

General Revenues 1,577,204 (1,264) 1,575,940

29

Grand Total - Rhode Island Ethics Commission 1,577,204 (1,264) 1,575,940

30

Office of Governor

31

General Revenues 4,193,513 (25,867) 4,167,646

32

Contingency Fund 250,000 196,428 446,428

33

Grand Total – Office of Governor 4,443,513 170,561 4,614,074

34

Commission for Human Rights

 

LC003615 - Page 78 of 245

1

General Revenues 1,150,785 (4,719) 1,146,066

2

Federal Funds 308,638 8,729 317,367

3

Grand Total - Commission for Human Rights 1,459,423 4,010 1,463,433

4

Public Utilities Commission

5

Federal Funds 90,574 0 90,574

6

Federal Funds – Stimulus 76,244 38,238 114,482

7

Restricted Receipts 8,253,475 60,396 8,313,871

8

Grand Total - Public Utilities Commission 8,420,293 98,634 8,518,927

9

Office of Health and Human Services

10

Central Management

11

General Revenues 27,699,190 11,206 27,710,396

12

Federal Funds 88,057,656 9,876,555 97,934,211

13

Federal Funds – Stimulus 537,780 0 537,780

14

Restricted Receipts 982,284 (15,215) 967,069

15

Total – Central Management 117,276,910 9,872,546 127,149,456

16

Medical Assistance

17

General Revenues

18

Managed Care 281,682,858 (2,118,545) 279,564,313

19

Hospitals 107,499,737 (9,822,158) 97,677,579

20

Of this amount, $5,482,009 is for the outpatient upper payment limit reimbursement.

21

     Nursing Facilities 179,263,818 (37,507,018) 141,756,800

22

     Home and Community Based Services 48,645,073 (9,857,873) 38,787,200

23

     Other Services 44,013,672 (74,751) 43,938,921

24

     Pharmacy 51,721,344 7,759 51,729,103

25

     Rhody Health 100,701,958 59,177,987 159,879,945

26

     Affordable Care Act Transition Program 2,000,000 (1,000,000) 1,000,000

27

Federal Funds

28

Managed Care 311,563,733 (128,046) 311,435,687

29

Hospitals 111,449,104 (9,980,627) 101,468,477

30

Of this amount, $5,570,428 is for the outpatient upper payment limit reimbursement.

31

     Nursing Facilities 182,155,169 (38,111,969) 144,043,200

32

     Home and Community Based Services 49,429,970 (10,017,170) 39,412,800

33

     Other Services 150,655,199 (6,310,320) 144,344,879

34

     Pharmacy 243,742 (464,485) (220,743)

 

LC003615 - Page 79 of 245

1

     Rhody Health 101,617,845 62,802,210 164,420,055

2

     Special Education 19,000,000 0 19,000,000

3

Restricted Receipts 9,015,000 0 9,015,000

4

Total - Medical Assistance 1,750,658,222 (3,405,006) 1,747,253,216

5

Grand Total – Office of Health and

6

Human Services 1,867,935,132 6,467,540 1,874,402,672

7

Children, Youth, and Families

8

Central Management

9

General Revenues 4,911,020 (297,451) 4,613,569

10

Federal Funds 2,155,735 107,297 2,263,032

11

Restricted Receipts 34,991 (34,991) 0

12

Total - Central Management 7,101,746 (225,145) 6,876,601

13

Children's Behavioral Health Services

14

General Revenues 4,491,441 2,073,802 6,565,243

15

Federal Funds 5,572,682 1,415,666 6,988,348

16

Rhode Island Capital Plan Funds

17

     NAFI Center 280,000 114,806 394,806

18

     Mt. Hope Building Facade 275,000 (275,000) 0

19

     Fire Towers 0 137,500 137,500

20

     Various Repairs and Improvements to YDC 0 355,000 355,000

21

Total - Children's Behavioral Health

22

Services 10,619,123 3,821,774 14,440,897

23

Juvenile Correctional Services

24

General Revenues 26,877,697 (2,372,381) 24,505,316

25

Federal Funds 330,645 (30,031) 300,614

26

Federal Funds – Stimulus 4,270 22,109 26,379

27

Rhode Island Capital Plan Funds

28

     Thomas C. Slater Training School

29

     Maintenance Building 535,000 (200,000) 335,000

30

     Vocational Building – RITS 0 265,770 265,770

31

     Generators – Rhode Island Training School 0 213,837 213,837

32

Total - Juvenile Correctional Services 27,747,612 (2,100,696) 25,646,916

33

Child Welfare

34

General Revenues 105,380,058 255,950 105,636,008

 

LC003615 - Page 80 of 245

1

18 to 21 Year Olds 11,116,775 (296,585) 10,820,190

2

Federal Funds 46,003,996 1,571,835 47,575,831

3

18 to 21 Year Olds 2,239,970 (493,973) 1,745,997

4

Federal Funds – Stimulus 385,107 61,233 446,340

5

Restricted Receipts 2,579,179 (130,429) 2,448,750

6

Rhode Island Capital Plan Funds

7

Fire Code Upgrades 500,000 (225,000) 275,000

8

Total - Child Welfare 168,205,085 743,031 168,948,116

9

Higher Education Incentive Grants

10

General Revenues 200,000 0 200,000

11

Total – Higher Education Incentive Grants 200,000 0 200,000

12

Grand Total - Children, Youth, and Families 213,873,566 2,238,964 216,112,530

13

Health

14

Central Management

15

General Revenues 544,959 (4,534) 540,425

16

Federal Funds 8,645,598 (877,478) 7,768,120

17

Restricted Receipts 4,239,580 (496,226) 3,743,354

18

Total - Central Management 13,430,137 (1,378,238) 12,051,899

19

State Medical Examiner

20

General Revenues 2,365,037 (10,236) 2,354,801

21

Federal Funds 163,940 (22,604) 141,336

22

Total - State Medical Examiner 2,528,977 (32,840) 2,496,137

23

Environmental and Health Services Regulation

24

General Revenues 9,491,266 (149,084) 9,342,182

25

Federal Funds 5,856,356 539,335 6,395,691

26

Restricted Receipts 4,199,254 (610,785) 3,588,469

27

Total - Environmental and Health Services

28

Regulation 19,546,876 (220,534) 19,326,342

29

Health Laboratories

30

General Revenues 6,199,240 (132,018) 6,067,222

31

Federal Funds 1,492,480 706,450 2,198,930

32

Federal Funds – Stimulus 0 6,500 6,500

33

Total - Health Laboratories 7,691,720 580,932 8,272,652

34

Public Health Information

 

LC003615 - Page 81 of 245

1

General Revenues 1,524,091 13,552 1,537,643

2

Federal Funds 847,574 1,857,068 2,704,642

3

Federal Funds – Stimulus 97,959 76,067 174,026

4

Total – Public Health Information 2,469,624 1,946,687 4,416,311

5

Community and Family Health and Equity

6

General Revenues 2,448,286 82,911 2,531,197

7

Federal Funds 41,420,480 (4,171,236) 37,249,244

8

Federal Funds - Stimulus 382,645 (16,418) 366,227

9

Restricted Receipts 26,194,072 (1,020,877) 25,173,195

10

Other Funds

11

Safe and Active Commuting 35,310 93,752 129,062

12

Total – Community and Family Health

13

and Equity 70,480,793 (5,031,868) 65,448,925

14

Infectious Disease and Epidemiology

15

General Revenues 1,735,122 (113,977) 1,621,145

16

Federal Funds 3,097,510 1,293,208 4,390,718

17

Restricted Receipts 0 5,995 5,995

18

Total – Infectious Disease and Epidemiology 4,832,632 1,185,226 6,017,858

19

Grand Total – Health 120,980,759 (2,950,635) 118,030,124

20

Human Services

21

Central Management

22

General Revenues 5,543,121 (54,037) 5,489,084

23

Federal Funds 5,244,172 (960,068) 4,284,104

24

Restricted Receipts 414,962 107,580 522,542

25

Total - Central Management 11,202,255 (906,525) 10,295,730

26

Child Support Enforcement

27

General Revenues 2,370,212 (6,365) 2,363,847

28

Federal Funds 6,095,358 (153,076) 5,942,282

29

Total – Child Support Enforcement 8,465,570 (159,441) 8,306,129

30

Individual and Family Support

31

General Revenues 20,922,405 3,723,397 24,645,802

32

Federal Funds 133,591,509 (3,691,527) 129,899,982

33

Federal Funds – Stimulus 0 11,748,163 11,748,163

34

Restricted Receipts 7,352,671 (2,624,675) 4,727,996

 

LC003615 - Page 82 of 245

1

Rhode Island Capital Plan Fund

2

Blind Vending Facilities 165,000 18,083 183,083

3

Intermodal Surface Transportation Fund 4,165,364 567,561 4,732,925

4

Food Stamp Bonus Funding 150,000 110,000 260,000

5

Total - Individual and Family Support 166,346,949 9,851,002 176,197,951

6

Veterans' Affairs

7

General Revenues 20,993,993 (1,155,505) 19,838,488

8

Federal Funds 7,678,815 1,405,161 9,083,976

9

Restricted Receipts 1,467,376 266,764 1,734,140

10

Total - Veterans' Affairs 30,140,184 516,420 30,656,604

11

Health Care Eligibility

12

General Revenues 8,141,377 (75,646) 8,065,731

13

Federal Funds 11,060,155 (574,912) 10,485,243

14

Total - Health Care Eligibility 19,201,532 (650,558) 18,550,974

15

Supplemental Security Income Program

16

General Revenues 18,234,514 206,996 18,441,510

17

Total - Supplemental Security Income

18

Program 18,234,514 206,996 18,441,510

19

Rhode Island Works

20

General Revenues - Child Care 9,668,635 0 9,668,635

21

Federal Funds 80,298,745 (2,087,360) 78,211,385

22

Total – Rhode Island Works 89,967,380 (2,087,360) 87,880,020

23

State Funded Programs

24

General Revenues

25

General Public Assistance 1,906,800 108,800 2,015,600

26

Of this appropriation, $210,000 shall be used for hardship contingency payments.

27

Federal Funds 298,637,602 2,450,176 301,087,778

28

Total - State Funded Programs 300,544,402 2,558,976 303,103,378

29

Elderly Affairs

30

General Revenues 5,522,367 383,690 5,906,057

31

RIPAE 174,484 0 174,484

32

     Care and Safety of the Elderly 1,287 (329) 958

33

     Federal Funds 11,761,746 243,182 12,004,928

34

     Restricted Receipts 527,491 (378,323) 149,168

 

LC003615 - Page 83 of 245

1

Total – Elderly Affairs 17,987,375 248,220 18,235,595

2

Grand Total - Human Services 662,090,161 9,577,730 671,667,891

3

Behavioral Health, Developmental Disabilities, and Hospitals

4

Central Management

5

General Revenues 816,045 159,398 975,443

6

Federal Funds 429,446 119,963 549,409

7

Total - Central Management 1,245,491 279,361 1,524,852

8

Hospital and Community System Support

9

General Revenues 1,592,216 (12,399) 1,579,817

10

Restricted Receipts 734,152 182,570 916,722

11

Rhode Island Capital Plan Funds

12

     Medical Center Rehabilitation 925,000 (75,000) 850,000

13

     Community Facilities Fire Code 325,000 75,000 400,000

14

Total - Hospital and Community System

15

Support 3,576,368 170,171 3,746,539

16

Services for the Developmentally Disabled

17

General Revenues 109,467,984 519,665 109,987,649

18

Federal Funds 112,094,959 815,775 112,910,734

19

Restricted Receipts 1,652,750 306,700 1,959,450

20

Rhode Island Capital Plan Funds

21

     DD Private Waiver 225,431 (40,866) 184,565

22

     Regional Center Repair/Rehabilitation 400,000 (50,000) 350,000

23

     MR Community Facilities/Access to Independence 500,000 118,863 618,863

24

Total - Services for the Developmentally

25

Disabled 224,341,124 1,670,137 226,011,261

26

Behavioral Healthcare Services

27

General Revenues 39,670,207 (294,255) 39,375,952

28

Federal Funds 53,105,582 4,107,101 57,212,683

29

Federal Funds – Stimulus 232,500 (232,500) 0

30

Restricted Receipts 125,000 0 125,000

31

Rhode Island Capital Plan Funds

32

     MH Community Facilities Repair 225,000 95,000 320,000

33

     MH Housing Development-Thresholds 800,000 0 800,000

34

     Substance Abuse Asset Production 125,000 (25,000) 100,000

 

LC003615 - Page 84 of 245

1

Total – Behavioral Healthcare Services 94,283,289 3,650,346 97,933,635

2

Hospital and Community Rehabilitative Services

3

General Revenues 50,544,930 (1,528,714) 49,016,216

4

Federal Funds 51,897,236 (2,687,441) 49,209,795

5

Restricted Receipts 4,884,970 1,665,298 6,550,268

6

Rhode Island Capital Plan Funds

7

     Zambarano Buildings and Utilities 150,000 0 150,000

8

     Hospital Consolidation 3,000,000 (1,400,000) 1,600,000

9

     BHDDH Administrative Buildings 3,000,000 140,000 3,140,000

10

     MR Community Facilities 925,000 89,831 1,014,831

11

Total - Hospital and Community

12

Rehabilitative Services 114,402,136 (3,721,026) 110,681,110

13

Grand Total – Behavioral Healthcare,

14

Developmental Disabilities, and Hospitals 437,848,408 2,048,989 439,897,397

15

Office of the Child Advocate

16

General Revenues 608,651 (33,174) 575,477

17

Federal Funds 39,997 10,003 50,000

18

Grand Total – Office of the Child Advocate 648,648 (23,171) 625,477

19

Commission on the Deaf and Hard of Hearing

20

General Revenues 391,609 (2,342) 389,267

21

Restricted Receipts 80,000 0 80,000

22

Grand Total – Com. on Deaf and Hard of

23

Hearing 471,609 (2,342) 469,267

24

Governor's Commission on Disabilities

25

General Revenues 357,711 (1,359) 356,352

26

Federal Funds 129,989 26,341 156,330

27

Restricted Receipts 10,365 5,565 15,930

28

Rhode Island Capital Plan Funds

29

     Accessibility to Disability Service Provider 247,938 (247,938) 0

30

     Accessibility Fire Safety Renovations 115,833 (115,833) 0

31

     Accessibility to Higher Education 593,500 (593,500) 0

32

     Handicapped Accessibility 0 957,000 957,000

33

Grand Total - Governor's Commission on

34

      Disabilities 1,455,336 30,276 1,485,612

 

LC003615 - Page 85 of 245

1

Office of the Mental Health Advocate

2

     General Revenues 486,144 (2,428) 483,716

3

Grand Total - Office of the Mental

4

Health Advocate 486,144 (2,428) 483,716

5

Elementary and Secondary Education

6

Administration of the Comprehensive Education Strategy

7

General Revenues 19,826,703 (237,487) 19,589,216

8

Federal Funds 192,856,736 5,787,982 198,644,718

9

Federal Funds – Stimulus 19,956,823 (3,015,906) 16,940,917

10

RTTT LEA Share 11,022,400 210,345 11,232,745

11

Restricted Receipts 1,400,286 (216,874) 1,183,412

12

HRIC Adult Education Grants 3,800,000 0 3,800,000

13

Rhode Island Capital Plan Funds

14

     State-Owned Cranston 872,583 0 872,583

15

     State-Owned East Providence 175,000 0 175,000

16

     State-Owned Warwick 500,000 35,040 535,040

17

     State-Owned Woonsocket 1,575,000 (1,375,000) 200,000

18

Total – Administration of the Comprehensive

19

Education Strategy 251,985,531 1,188,100 253,173,631

20

Davies Career and Technical School

21

General Revenues 12,792,048 0 12,792,048

22

Federal Funds 1,384,139 (16,880) 1,367,259

23

Federal Funds – Stimulus 123,877 42,137 166,014

24

Restricted Receipts 2,564,848 353,003 2,917,851

25

Rhode Island Capital Plan Funds

26

     Davies HVAC 830,271 192,265 1,022,536

27

     Davies Asset Protection 95,000 1,131,038 1,226,038

28

     Davies School Roof Repairs 0 330,000 330,000

29

Total - Davies Career and Technical School 17,790,183 2,031,563 19,821,746

30

RI School for the Deaf

31

General Revenues 6,070,194 (165,622) 5,904,572

32

Federal Funds 281,867 24,488 306,355

33

Federal Funds – Stimulus 120,812 45,732 166,544

34

Restricted Receipts 300,000 233,629 533,629

 

LC003615 - Page 86 of 245

1

Other Funds 0 59,000 59,000

2

Total - RI School for the Deaf 6,772,873 197,227 6,970,100

3

Metropolitan Career and Technical School

4

General Revenues 11,085,049 0 11,085,049

5

Rhode Island Capital Plan Funds

6

     MET School East Bay 2,580,000 2,902,642 5,482,642

7

     MET Asset Protection 100,000 0 100,000

8

     MET School HVAC 833,333 506,010 1,339,343

9

Total – Metropolitan Career and Technical

10

School 14,598,382 3,408,652 18,007,034

11

Education Aid

12

General Revenues 724,892,567 (90,130) 724,802,437

13

Restricted Receipts 19,593,382 (2,034,382) 17,559,000

14

Permanent School Fund – Education Aid 300,000 (59,000) 241,000

15

Total – Education Aid 744,785,949 (2,183,512) 742,602,437

16

Central Falls School District

17

General Revenues 38,399,591 0 38,399,591

18

Total – Central Falls School District 38,399,591 0 38,399,591

19

Housing Aid

20

General Revenues 69,949,504 (2,286,468) 67,663,036

21

Total – Housing Aid 69,949,504 (2,286,468) 67,663,036

22

Teachers' Retirement

23

General Revenues 81,691,253 (799,316) 80,891,937

24

Total – Teachers’ Retirement 81,691,253 (799,316) 80,891,937

25

Grand Total - Elementary and Secondary

26

Education 1,225,973,266 1,556,246 1,227,529,512

27

Public Higher Education

28

Board of Governors/Office of Higher Education

29

Office of Postsecondary Commissioner

30

General Revenues 4,994,523 (3,951) 4,990,572

31

Federal Funds 6,190,306 (1,158,112) 5,032,194

32

Total - Board of Governors/Office of

33

Higher Education Office of

34

Postsecondary Commissioner 11,184,829 (1,162,063) 10,022,766

 

LC003615 - Page 87 of 245

1

University of Rhode Island

2

General Revenues

3

General Revenues 64,086,076 (122,375) 63,963,701

4

The University of Rhode Island shall maintain tuition charges in the 2013 – 2014 academic

5

year at the same level as the 2012 – 2013 academic year. The University shall not decrease

6

internal student financial aid in the 2013 – 2014 academic year below the level of the 2012 –

7

2013 academic year. The President of the institution shall report, prior to the commencement of

8

the 2013 – 2014 academic year, to the chair of the Rhode Island Board of Education that such

9

tuition charges and student aid levels have been achieved at the start of FY 2014 as prescribed

10

above.

11

     Debt Service 20,585,263 (233,333) 20,351,930

12

     State Crime Lab 1,027,327 (3,781) 1,023,546

13

University and College Funds

14

     University and College Funds 600,530,024 5,674,407 606,204,431

15

     Debt – Dining Services 1,160,911 (45,246) 1,115,665

16

     Debt – Education and General 3,304,053 (122,041) 3,182,012

17

     Debt – Health Services 152,595 (16,413) 136,182

18

     Debt – Housing Loan Funds 11,049,281 (362,824) 10,686,457

19

     Debt – Memorial Union 301,628 3,980 305,608

20

     Debt – Ryan Center 2,798,704 5,367 2,804,071

21

     Debt – Alton Jones Services 115,305 157 115,462

22

     Debt - Parking Authority 1,040,836 (95,810) 945,026

23

     Debt – Sponsored Research (Ind. Cost) 100,238 (16,201) 84,037

24

     Debt – Energy Conservation 2,905,496 (501,296) 2,404,200

25

Rhode Island Capital Plan Funds

26

     Asset Protection 7,357,500 0 7,357,500

27

     Fire and Safety Protection 10,100,000 0 10,100,000

28

     Nursing Education Center 2,500,000 (700,000) 1,800,000

29

     New Chemistry Building 0 682,510 682,510

30

     Fire Arts Center Advanced Planning 0 55,231 55,231

31

Total – University of Rhode Island 729,115,237 4,202,332 733,317,569

32

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or

33

unencumbered balances as of June 30, 2014 relating to the University of Rhode Island are hereby

34

reappropriated to fiscal year 2015.

 

LC003615 - Page 88 of 245

1

Rhode Island College

2

General Revenues

3

General Revenues 39,004,298 (114,389) 38,889,909

4

Rhode Island College shall maintain tuition charges in the 2013 – 2014 academic year at the

5

same level as the 2012 – 2013 academic year. The College shall not decrease internal student

6

financial aid in the 2013 – 2014 academic year below the level of the 2012 – 2013 academic year.

7

The President of the institution shall report, prior to the commencement of the 2013 – 2014

8

academic year, to the chair of the Rhode Island Board of Education that such tuition charges and

9

student aid levels have been achieved at the start of FY 2014 as prescribed above.

10

Debt Service 3,887,576 (245,333) 3,642,243

11

University and College Funds

12

University and College Funds 110,482,163 (279,282) 110,202,881

13

     Debt – Education and General 886,640 0 886,640

14

     Debt – Housing 2,050,004 0 2,050,004

15

     Debt – Student Center and Dining 172,078 0 172,078

16

     Debt – Student Union 234,113 0 234,113

17

     Debt – G.O. Debt Service 1,638,017 0 1,638,017

18

Rhode Island Capital Plan Funds

19

     Asset Protection 2,843,250 407,491 3,250,741

20

     Infrastructure Modernization 5,000,000 871,317 5,871,317

21

     New Art Center Advance Planning 0 103,162 103,162

22

Total – Rhode Island College 166,198,139 742,966 166,941,105

23

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or

24

unencumbered balances as of June 30, 2014 relating to Rhode Island College are hereby

25

reappropriated to fiscal year 2015.

26

Community College of Rhode Island

27

General Revenues

28

General Revenues 44,589,076 (155,790) 44,433,286

29

The Community College of Rhode Island College shall maintain tuition charges in the 2013

30

– 2014 academic year at the same level as the 2012 – 2013 academic year. The Community

31

College shall not decrease internal student financial aid in the 2013 – 2014 academic year below

32

the level of the 2012 – 2013 academic year. The President of the institution shall report, prior to

33

the commencement of the 2013 – 2014 academic year, to the chair of the Rhode Island Board of

34

Education that such tuition charges and student aid levels have been achieved at the start of FY

 

LC003615 - Page 89 of 245

1

2014 as prescribed above.

2

Debt Service 1,839,656 0 1,839,656

3

Restricted Receipts 702,583 0 702,583

4

University and College Funds

5

University and College Funds 100,333,007 2,102,805 102,435,812

6

     Debt – Bookstore 28,443 0 28,443

7

     CCRI Debt Service – Energy Conservation 1,289,480 (483,555) 805,925

8

Rhode Island Capital Plan Funds

9

     Asset Protection 2,093,500 0 2,093,500

10

     Knight Campus Renewal 125,000 0 125,000

11

Total – Community College of RI 151,000,745 1,463,460 152,464,205

12

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or

13

unencumbered balances as of June 30, 2014 relating to the Community College of Rhode Island

14

are hereby reappropriated to fiscal year 2015.

15

Grand Total – Public Higher Education 1,057,498,950 5,246,695 1,062,745,645

16

RI State Council on the Arts

17

General Revenues

18

     Operating Support 423,973 (18,039) 405,934

19

     Grants 911,657 0 911,657

20

Federal Funds 797,329 (649) 796,680

21

Other Funds

22

Arts for Public Facilities 632,536 0 632,536

23

Grand Total - RI State Council on the Arts 2,765,495 (18,688) 2,746,807

24

RI Atomic Energy Commission

25

General Revenues 861,710 (4,940) 856,770

26

Federal Funds 267,044 (206,320) 60,724

27

Other Funds

28

URI Sponsored Research 257,977 0 257,977

29

Rhode Island Capital Plan Funds

30

RINSC Asset Protection 50,000 0 50,000

31

Grand Total - RI Atomic Energy Commission 1,436,731 (211,260) 1,225,471

32

RI Higher Education Assistance Authority

33

General Revenues

34

     Needs Based Grants and Work Opportunities 4,134,726 51,597 4,186,323

 

LC003615 - Page 90 of 245

1

     Authority Operations and Other Grants 147,000 0 147,000

2

Federal Funds 13,274,020 (957,506) 12,316,514

3

Other Funds

4

     Tuition Savings Program – Needs Based Grants &

5

     Work Opportunities 8,800,000 (800,000) 8,000,000

6

     Tuition Savings Program – Administration 407,989 (77,907) 330,082

7

Grand Total – RI Higher Education

8

Assistance Authority 26,763,735 (1,783,816) 24,979,919

9

RI Historical Preservation and Heritage Commission

10

General Revenues 1,357,510 (16,714) 1,340,796

11

Federal Funds 609,949 1,565,473 2,175,422

12

Restricted Receipts 454,491 (34,171) 420,320

13

Other Funds

14

RIDOT – Project Review 84,999 (16,310) 68,689

15

Rhode Island Capital Plan Funds

16

Eisenhower House Asset Protection 1,000,000 (500,000) 500,000

17

Grand Total – RI Historical Preservation

18

and Heritage Commission 3,506,949 998,278 4,505,227

19

Attorney General

20

Criminal

21

General Revenues 14,446,868 (140,216) 14,306,652

22

Federal Funds 1,619,532 1,202,380 2,821,912

23

Restricted Receipts 4,440,620 10,880,185 15,320,805

24

Total – Criminal 20,507,020 11,942,349 32,449,369

25

Civil

26

General Revenues 4,985,425 466,534 5,451,959

27

Restricted Receipts 632,970 2,900 635,870

28

Total – Civil 5,618,395 469,434 6,087,829

29

Bureau of Criminal Identification

30

General Revenues 1,503,119 21,106 1,524,225

31

Federal Funds 0 7,178 7,178

32

Total – Bureau of Criminal Identification 1,503,119 28,284 1,531,403

33

General

34

General Revenues 2,721,567 9,391 2,730,958

 

LC003615 - Page 91 of 245

1

Rhode Island Capital Plan Funds

2

Building Renovations and Repairs 50,000 191,805 241,805

3

Total – General 2,771,567 201,196 2,972,763

4

Grand Total - Attorney General 30,400,101 12,641,263 43,041,364

5

Corrections

6

Central Management

7

General Revenues 9,077,039 (877,921) 8,199,118

8

Federal Funds 45,094 566,605 611,699

9

Federal Funds – Stimulus 10,770 (10,770) 0

10

Total – Central Management 9,132,903 (322,086) 8,810,817

11

Parole Board

12

General Revenues 1,354,433 (76,812) 1,277,621

13

Federal Funds 38,000 0 38,000

14

Total – Parole Board 1,392,433 (76,812) 1,315,621

15

Custody and Security

16

General Revenues 115,418,407 1,561,770 116,980,177

17

Federal Funds 761,526 210,013 971,539

18

Total – Custody and Security 116,179,933 1,771,783 117,951,716

19

Institutional Support

20

General Revenues 15,728,306 198,384 15,926,690

21

Rhode Island Capital Plan Funds

22

     Asset Protection 3,000,000 4,042,068 7,042,068

23

     Maximum – General Renovations 1,100,000 178,624 1,278,624

24

     General Renovations – Women’s 1,000,000 196,857 1,196,857

25

     Bernadette Guay Roof 1,165,000 (568,444) 596,556

26

     ISC Exterior Envelope and HVAC 4,000,000 (1,643,673) 2,356,327

27

     Minimum Security Kitchen Expansion 2,485,392 (1,985,400) 499,992

28

     Medium Infrastructure 4,719,359 (3,457,938) 1,261,421

29

     Women’s Bath Renovations 0 364,673 364,673

30

     D-Building State Match – Reintegration C 0 220,022 220,022

31

Total - Institutional Support 33,198,057 (2,454,827) 30,743,230

32

Institutional Based Rehab./Population Management

33

General Revenues 9,129,775 75,133 9,204,908

34

Federal Funds 794,918 (12,853) 782,065

 

LC003615 - Page 92 of 245

1

Federal Funds – Stimulus 64,394 (64,311) 83

2

Restricted Receipts 29,758 (894) 28,864

3

Total – Institutional Based Rehab/Pop/Mgt. 10,018,845 (2,925) 10,015,920

4

Healthcare Services

5

General Revenue 19,639,269 (55,609) 19,583,660

6

Total – Healthcare Services 19,639,269 (55,609) 19,583,660

7

Community Corrections

8

General Revenues 15,031,969 (162,101) 14,869,868

9

Federal Funds 73,986 43,267 117,253

10

Restricted Receipts 35,132 2,157 37,289

11

Total – Community Corrections 15,141,087 (116,677) 15,024,410

12

Grand Total – Corrections 204,702,527 (1,257,153) 203,445,374

13

Judiciary

14

Supreme Court

15

General Revenues 26,221,542 (99,073) 26,122,469

16

Defense of Indigents 3,562,240 (20,000) 3,542,240

17

Federal Funds 272,163 (81,512) 190,651

18

Restricted Receipts 3,356,909 51,563 3,408,472

19

Rhode Island Capital Plan Funds

20

     Judicial HVAC 425,000 197,271 622,771

21

     Judicial Complexes Asset Protection 650,000 182,719 832,719

22

     Murray Judicial Complex Cell Block 440,000 290,293 730,293

23

Total - Supreme Court 34,927,854 521,261 35,449,115

24

Judicial Tenure and Discipline

25

General Revenues 115,627 (573) 115,054

26

Total – Judicial Tenure and Discipline 115,627 (573) 115,054

27

Superior Court

28

General Revenues 22,294,581 (364,700) 21,929,881

29

Federal Funds 94,205 44,956 139,161

30

Restricted Receipts 306,723 (4,345) 302,378

31

Total - Superior Court 22,695,509 (324,089) 22,371,420

32

Family Court

33

General Revenues 18,851,385 141,452 18,992,837

34

Federal Funds 2,257,880 (523,932) 1,733,948

 

LC003615 - Page 93 of 245

1

Total - Family Court 21,109,265 (382,480) 20,726,785

2

District Court

3

General Revenues 12,545,634 (423,287) 12,122,347

4

Restricted Receipts 297,822 (5,020) 292,802

5

Total - District Court 12,843,456 (428,307) 12,415,149

6

Traffic Tribunal

7

General Revenues 8,090,350 490,228 8,580,578

8

Total – Traffic Tribunal 8,090,350 490,228 8,580,578

9

Workers' Compensation Court

10

Restricted Receipts 7,842,060 (7,530) 7,834,530

11

Total – Workers’ Compensation Court 7,842,060 (7,530) 7,834,530

12

Grand Total – Judiciary 107,624,121 (131,490) 107,492,631

13

Military Staff

14

National Guard

15

General Revenues 1,361,037 315,776 1,676,813

16

Federal Funds 14,816,306 (322,293) 14,494,013

17

Restricted Receipts 300,000 263,000 563,000

18

Rhode Island Capital Plan Funds

19

     Armory of Mounted Command Roof

20

     Replacement 280,000 (140,000) 140,000

21

     State Armories Fire Code Compliance 20,250 14,750 35,000

22

     Federal Armories Fire Code Compliance 20,250 (16,150) 4,100

23

     Asset Protection 775,000 (132,102) 642,898

24

     Logistics/Maintenance Facilities Fire Code Comp. 12,500 (2,500) 10,000

25

     Benefit Street Arsenal Rehabilitation 800,000 (375,000) 425,000

26

     Hurricane Sandy Cleanup 1,500,000 88,702 1,588,702

27

     Command Center Readiness Addition 0 168,458 168,458

28

     Emergency Management Building 0 29,643 29,643

29

     Burrillville Regional Training Institute 0 30,290 30,290

30

     Camp Fogarty Amory Roof 0 406,367 406,367

31

Total - National Guard 19,885,343 328,941 20,214,284

32

Emergency Management

33

General Revenues 2,508,946 (545,722) 1,963,224

34

Federal Funds 20,062,446 6,773,663 26,836,109

 

LC003615 - Page 94 of 245

1

Restricted Receipts 700,779 (492,721) 208,058

2

Total - Emergency Management 23,272,171 5,735,220 29,007,391

3

Grand Total - Military Staff 43,157,514 6,064,161 49,221,675

4

Public Safety

5

Central Management

6

General Revenues 1,240,692 (37,439) 1,203,253

7

Federal Funds 4,032,164 682,295 4,714,459

8

Federal Funds – Stimulus 73,809 073,809

9

Restricted Receipts 850 19,150 20,000

10

Total – Central Management 5,347,515 664,006 6,011,521

11

E-911 Emergency Telephone System

12

General Revenues 5,488,731 (44,435) 5,444,296

13

Total - E-911 Emergency Telephone System 5,488,731 (44,435) 5,444,296

14

State Fire Marshal

15

General Revenues 2,894,425 (168,764) 2,725,661

16

Federal Funds 0 316,668 316,668

17

Restricted Receipts 277,338 131,417 408,755

18

Rhode Island Capital Plan Funds

19

Fire Academy 800,000 (583,500) 216,500

20

Quonset Development Corp 55,303 64 55,367

21

Total - State Fire Marshal 4,027,066 (304,115) 3,722,951

22

Security Services

23

General Revenues 21,814,553 (688,213) 21,126,340

24

Total – Security Services 21,814,553 (688,213) 21,126,340

25

Municipal Police Training Academy

26

General Revenues 293,022 (56,618) 236,404

27

Federal Funds 269,151 21,249 290,400

28

Restricted Receipts 0 60,000 60,000

29

Total - Municipal Police Training Academy 562,173 24,631 586,804

30

State Police

31

General Revenues 64,630,376 (721,641) 63,908,735

32

Federal Funds 1,780,411 3,117,696 4,898,107

33

Federal Funds – Stimulus 0 155,000 155,000

34

Restricted Receipts 12,475,000 (110,000) 12,365,000

 

LC003615 - Page 95 of 245

1

Rhode Island Capital Plan Funds

2

     Barracks and Training 1,409,743 (1,152,426) 257,317

3

     Headquarters Repairs/Rehabilitation 500,000 65,032 565,032

4

     Parking Area Improvements 225,000 137,967 362,967

5

     HQ Expansion 210,000 27,044 237,044

6

     State Police Headquarters Facility 0 150,000 150,000

7

     Statewide Microwave Tower Installations 0 50,000 50,000

8

Traffic Enforcement - Municipal Training 130,150 4,350 134,500

9

Lottery Commission Assistance 1,558,727 (249,498) 1,309,229

10

Airport Corporation 240,304 (51,155) 189,149

11

Road Construction Reimbursement 3,078,000 (143,000) 2,935,000

12

Total - State Police 86,237,711 1,279,369 87,517,080

13

Grand Total – Public Safety 123,477,749 931,243 124,408,992

14

Office of Public Defender

15

General Revenues 11,034,686 (149,275) 10,885,411

16

Federal Funds 291,996 (34,910) 257,086

17

Grand Total - Office of Public Defender 11,326,682 (184,185) 11,142,497

18

Environmental Management

19

Office of the Director

20

General Revenues 4,575,920 (95,543) 4,480,377

21

Permit Streamlining 33,414 0 33,414

22

Federal Funds 150,000 0 150,000

23

Federal Funds – Stimulus 0 355,000 355,000

24

Restricted Receipts 2,929,180 394,800 3,323,980

25

Total – Office of the Director 7,688,514 654,257 8,342,771

26

Natural Resources

27

General Revenues 18,718,638 (292,930) 18,425,708

28

Federal Funds 27,119,465 (1,359,271) 25,760,194

29

Restricted Receipts 6,594,688 72,630 6,667,318

30

Other Funds

31

DOT Recreational Projects 370,428 723,850 1,094,278

32

     Blackstone Bikepath Design 2,060,087 0 2,060,087

33

     Transportation MOU 78,579 0 78,579

34

Rhode Island Capital Plan Funds

 

LC003615 - Page 96 of 245

1

     Dam Repair 1,300,000 0 1,300,000

2

     Fort Adams Rehabilitation 500,000 0 500,000

3

     Fort Adams America’s Cup 3,883,558 0 3,883,558

4

     Recreational Facilities Improvements 3,390,000 (600,000) 2,790,000

5

     Galilee Piers Upgrade 2,696,307 (44,997) 2,651,310

6

     Newport Piers 250,000 (104,958) 145,042

7

     World War II Facility 2,600,000 (2,600,000) 0

8

     Blackstone Valley Bike Path 596,000 (196,000) 400,000

9

     Natural Resources Office/Visitor’s Center 1,800,000 (1,352,547) 447,453

10

     Rocky Point Acquisition/Renovations 2,500,000 0 2,500,000

11

Total - Natural Resources 74,457,750 (5,754,223) 68,703,527

12

Environmental Protection

13

General Revenues 11,428,346 (164,643) 11,263,703

14

Federal Funds 11,122,266 (1,274,824) 9,847,442

15

Restricted Receipts 8,557,647 352,505 8,910,152

16

Other Funds

17

     Transportation MOU 165,000 0 165,000

18

     Retrofit Heavy-Duty Diesel Vehicles 2,760,000 (2,500,000) 260,000

19

Total - Environmental Protection 34,033,259 (3,586,962) 30,446,297

20

Grand Total - Environmental

21

Management 116,179,523 (8,686,928) 107,492,595

22

Coastal Resources Management Council

23

General Revenues 2,174,331 (15,595) 2,158,736

24

Federal Funds 1,754,919 (119,656) 1,635,263

25

Federal Funds – Stimulus 405,674 294,095 699,769

26

Restricted Receipts 374,982 (124,982) 250,000

27

Rhode Island Capital Plan Funds

28

Security Facility Area 0 50,000 50,000

29

Grand Total - Coastal Resources Mgmt.

30

Council 4,709,906 83,862 4,793,768

31

Transportation

32

Central Management

33

Federal Funds 11,307,723 (3,307,736) 7,999,987

34

Other Funds

 

LC003615 - Page 97 of 245

1

Gasoline Tax 1,455,983 237,729 1,693,712

2

Total – Central Management 12,763,706 (3,070,007) 9,693,699

3

Management and Budget

4

Other Funds

5

Gasoline Tax 1,549,669 616,312 2,165,981

6

Total – Central Management 1,549,669 616,312 2,165,981

7

Infrastructure Engineering – GARVEE/Motor Fuel Tax Bonds

8

Federal Funds 293,587,942 34,817,619 328,405,561

9

Of these federal funds, $1,790,000 is appropriated to the Public Rail Corporation from

10

CMAQ federal funds for the payment of liability insurance.

11

Federal Funds – Stimulus 6,865,921 5,856,068 12,721,989

12

Restricted Receipts 8,010,496 (1,141,546) 6,868,950

13

Other Funds

14

Gasoline Tax 53,061,714 (248,450) 52,813,264

15

Land Sale Revenue 14,809,264 (5,709,183) 9,100,081

16

Rhode Island Capital Plan Funds

17

     RIPTA Land and Buildings 104,000 115,261 219,261

18

     Highway Projects Match Plan 21,135,000 (13,398,640) 7,736,360

19

Total – Infrastructure Engineering

20

GARVEE/Motor Fuel Tax Bonds 397,574,337 20,291,129 417,865,466

21

Infrastructure Maintenance

22

Other Funds

23

     Gasoline Tax 42,251,075 (566,694) 41,684,381

24

     Non-Land Surplus Property 125,000 (75,000) 50,000

25

     Outdoor Advertising 175,000 150,000 325,000

26

Rhode Island Capital Plan Funds

27

     Maintenance Facilities Improvements 776,210 14,044 790,254

28

     Salt Storage Facilities 1,500,000 171,435 1,671,435

29

     Portsmouth Facility 1,835,000 (935,000) 900,000

30

     Maintenance Equipment Replacement 1,000,000 1,000,000 2,000,000

31

     Train Station Maintenance and Repairs 100,000 (2,126) 97,874

32

     Cooperative Maintenance Facility DOT/RIPTA 600,000 (300,000) 300,000

33

     Cherry Hill/Lincoln Facility 0 481,007 481,007

34

     East Providence Facility 0 150,000 150,000

 

LC003615 - Page 98 of 245

1

     DOT Maintenance Facilities – Fire Alarms 0 17,187 17,187

2

Total – Infrastructure Maintenance 48,362,285 104,853 48,467,138

3

Grand Total – Transportation 460,249,997 17,942,287 478,192,284

4

Statewide Totals

5

General Revenues 3,359,755,123 (8,102,315) 3,351,742,808

6

Federal Funds 2,717,673,430 105,084,530 2,822,757,960

7

Restricted Receipts 255,035,912 24,359,686 279,395,598

8

Other Funds 1,880,597,557 44,930,611 1,925,528,168

9

Statewide Grand Total 8,213,062,022 166,362,512 8,379,424,534

10

     SECTION 2. Each line appearing in Section 1 of this Article shall constitute an

11

appropriation.

12

     SECTION 3. The general assembly authorizes the state controller to establish the internal

13

service accounts shown below, and no other, to finance and account for the operations of state

14

agencies that provide services to other agencies, institutions and other governmental units on a

15

cost reimbursed basis. The purpose of these accounts is to ensure that certain activities are

16

managed in a businesslike manner, promote efficient use of services by making agencies pay the

17

full costs associated with providing the services, and allocate the costs of central administrative

18

services across all fund types, so that federal and other non-general fund programs share in the

19

costs of general government support. The controller is authorized to reimburse these accounts for

20

the cost of work or services performed for any other department or agency subject to the

21

following expenditure limitations:

22

FY 2014 FY 2014 FY 2014

23

Account Enacted Change Final

24

State Assessed Fringe Benefit Internal Service Fund 33,644,675 2,053,134 35,697,809

25

Administration Central Utilities Internal Service Fund 20,253,728 (6,015,271) 14,238,457

26

State Central Mail Internal Service Fund 5,336,633 183,170 5,519,803

27

State Telecommunications Internal Service Fund 4,084,660 (31,222) 4,053,438

28

State Automotive Fleet Internal Service Fund 13,668,556 (263,198) 13,405,358

29

Surplus Property Internal Service Fund 2,500 0 2,500

30

Health Insurance Internal Service Fund 250,127,757 0 250,127,757

31

Other Post-Employment Benefits Fund

32

Retired State Employees 49,727,160 (518,377) 49,208,783

33

Retired Higher Education Employees 2,536,462 0 2,536,462

34

Retired Teachers 7,531,279 0 7,531,279

 

LC003615 - Page 99 of 245

1

Retired State Police 3,073,102 0 3,073,102

2

Retired Legislators 772,532 0 772,532

3

Retired Judges 931,493 0 931,493

4

Capital Police Internal Service Fund 872,233 147,688 1,019,921

5

Corrections Central Distribution Center Internal

6

Service Fund 6,701,947 569,518 7,271,465

7

Correctional Industries Internal Service Fund 8,341,086 (750,581) 7,590,505

8

Secretary of State Record Center Internal Service Fund 869,457 (3,166) 866,291

9

     SECTION 4. Departments and agencies listed below may not exceed the number of full-

10

time equivalent (FTE) positions shown below in any pay period. Full-time equivalent positions do

11

not include seasonal or intermittent positions whose scheduled period of employment does not

12

exceed twenty-six consecutive weeks or whose scheduled hours do not exceed nine hundred and

13

twenty-five (925) hours, excluding overtime, in a one-year period. Nor do they include

14

individuals engaged in training, the completion of which is a prerequisite of employment.

15

Provided, however, that the Governor or designee, Speaker of the House of Representatives or

16

designee, and the President of the Senate or designee may authorize an adjustment to any

17

limitation. Prior to the authorization, the State Budget Officer shall make a detailed written

18

recommendation to the Governor, the Speaker of the House, and the President of the Senate. A

19

copy of the recommendation and authorization to adjust shall be transmitted to the chairman of

20

the House Finance Committee, Senate Finance Committee, the House Fiscal Advisor and the

21

Senate Fiscal Advisor.

22

     State employees whose funding is from non-state general revenue funds that are time

23

limited shall receive limited term appointment with the term limited to the availability of non-

24

state general revenue funding source.

25

FY 2014 FTE POSITION AUTHORIZATION

26

Departments and Agencies Full-Time Equivalent

27

Administration 720.7

28

Business Regulation 94.0

29

Labor and Training 392.0 410.0

30

Revenue 492.0

31

Legislature 298.5

32

Office of the Lieutenant Governor 8.0

33

Office of the Secretary of State 57.0

34

Office of the General Treasurer 83.0

 

LC003615 - Page 100 of 245

1

Board of Elections 11.0

2

Rhode Island Ethics Commission 12.0

3

Office of the Governor 45.0

4

Commission for Human Rights 14.5

5

Public Utilities Commission 49.0

6

Office of Health and Human Services 184.0

7

Children, Youth, and Families 670.5

8

Health 494.1 491.1

9

Human Services 959.1

10

Behavioral Health, Developmental Disabilities, and Hospitals 1,423.4 1,422.4

11

Office of the Child Advocate 6.0

12

Commission on the Deaf and Hard of Hearing 3.0

13

Governor's Commission on Disabilities 4.0

14

Office of the Mental Health Advocate 3.7

15

Elementary and Secondary Education 171.4

16

School for the Deaf 60.0

17

Davies Career and Technical School 126.0

18

Office of Higher Education Office of Postsecondary Commissioner 13.8 12.8

19

Provided that 1.0 of the total authorization would be available only for positions that are

20

supported by third-party funds.

21

University of Rhode Island 2,456.5

22

Provided that 593.2 518.6 of the total authorization would be available only for positions that

23

are supported by third-party funds.

24

Rhode Island College 923.6

25

Provided that 82.0 of the total authorization would be available only for positions that are

26

supported by third-party funds.

27

Community College of Rhode Island 854.1

28

Provided that 100.0 59.7 of the total authorization would be available only for positions that

29

are supported by third-party funds.

30

Rhode Island State Council on the Arts 6.0

31

RI Atomic Energy Commission 8.6

32

Higher Education Assistance Authority 23.0

33

Historical Preservation and Heritage Commission 16.6

34

Office of the Attorney General 233.1

 

LC003615 - Page 101 of 245

1

Corrections 1,419.0

2

Judicial 726.3

3

Military Staff 117.0

4

Public Safety 645.2 634.2

5

Office of the Public Defender 93.0

6

Environmental Management 399.0

7

Coastal Resources Management Council 29.0

8

Transportation 772.6 752.6

9

Total 15,118.3 15,100.3

10

     SECTION 5. Notwithstanding any public laws to the contrary, three million, three

11

hundred twenty thousand, nine hundred seventy nine dollars ($3,320,979) of bond premium

12

deposited into the Rhode Island Capital Plan Fund in FY 2014 shall be transferred to the general

13

fund on or before June 30, 2014.

14

     SECTION 6. This Article shall take effect upon passage.

15

ARTICLE 11

16

JOB DEVELOPMENT FUND ASSESSMENT

17

     SECTION 1. Section 28-42-84 of the General Laws in Chapter 28-42 entitled

18

"Employment Security – General Provisions" is hereby amended to read as follows:

19

     28-42-84. Job development fund – Disbursements – Unexpended balance. -- (a) The

20

moneys in the job development fund shall be used for the following purposes:

21

     (1) To reimburse the department of labor and training for the loss of any federal funds

22

resulting from the collection and maintenance of the fund by the department;

23

     (2) To make refunds of contributions erroneously collected and deposited in the fund;

24

     (3) To pay any administrative expenses incurred by the department of labor and training

25

associated with the collection of the contributions for employers paid pursuant to § 28-43-8.5, and

26

any other administrative expenses associated with the maintenance of the fund, including the

27

payment of all premiums upon bonds required pursuant to § 28-42-85;

28

     (4) To provide for job training, counseling and assessment services, and other related

29

activities and services. Services will include, but are not limited to, research, development,

30

coordination, and training activities to promote workforce development and business

31

development as established by the human resource investment council;

32

     (5) To support the state's job training for economic development;

33

     (6)(i) Beginning January 1, 2001, two hundredths of one percent (0.02%) out of the

34

twenty-one hundredths of one percent (0.21%) job development assessment paid pursuant to §

 

LC003615 - Page 102 of 245

1

28-43-8.5 shall be used to support necessary core services in the unemployment insurance and

2

employment services programs operated by the department of labor and training; and

3

     (ii) Beginning January 1, 2011 and ending in tax year 2015, two hundredths of one

4

percent (0.02%) out of the fifty- one hundredths of one percent (0.51%) job development

5

assessment paid pursuant to § 28-43-8.5 shall be used to support necessary core services in the

6

unemployment insurance and employment services programs operated by the department of labor

7

and training; and

8

     (7)(i) Beginning January 1, 2011 and ending in tax year 2015, three tenths of one percent

9

(0.3%) out of the fifty-one hundredths of one percent (0.51%) job development assessment paid

10

pursuant to § 28-43.8.5 shall be deposited into a restricted receipt account to be used solely to pay

11

the principal and/or interest due on Title XII advances received from the federal government in

12

accordance with the provisions of Section 1201 of the Social Security Act; provided, however,

13

that if the federal Title XII loans are repaid through a state revenue bond or other financing

14

mechanism, then these funds may also be used to pay the principal and/or interest that accrues on

15

that debt. Any remaining funds in the restricted receipt account, after the outstanding principal

16

and interest due has been paid, shall be transferred to the employment security fund for the

17

payment of benefits.

18

     (ii) Notwithstanding the provisions of this section, for FY 2015 and ensuing fiscal years,

19

the general assembly may annually allocate in the budget out of available funds in the restricted

20

receipt account such funds as may be necessary to support the costs associated with the

21

department's unemployment insurance modernization project.

22

     (b) The general treasurer shall pay all vouchers duly drawn by the council upon the fund,

23

in any amounts and in any manner that the council may prescribe. Vouchers so drawn upon the

24

fund shall be referred to the controller within the department of administration. Upon receipt of

25

those vouchers, the controller shall immediately record and sign them and shall promptly transfer

26

those signed vouchers to the general treasurer. Those expenditures shall be used solely for the

27

purposes specified in this section and its balance shall not lapse at any time but shall remain

28

continuously available for expenditures consistent with this section. The general assembly shall

29

annually appropriate the funds contained in the fund for the use of the human resource investment

30

council and, in addition, for the use of the department of labor and training effective July 1, 2000,

31

and for the payment of the principal and interest due on federal Title XII loans beginning July 1,

32

2011; provided, however, that if the federal Title XII loans are repaid through a state revenue

33

bond or other financing mechanism, then the funds may also be used to pay the principal and/or

34

interest that accrues on that debt.

 

LC003615 - Page 103 of 245

1

     SECTION 2. This article shall take effect upon passage.

2

ARTICLE 12

3

RELATING TO REVENUES

4

     SECTION 1. Chapter 31-3-6.1 of the General Laws entitled "Registration of Vehicles" is

5

hereby amended by adding thereto the following section:

6

     31-3-6.1.1. Denial of registration- Denial of transfer of registration -- Failure to file

7

tax returns and/or pay taxes. -- (a) On or before October 31 in each year and at least quarterly

8

thereafter, the tax administrator shall furnish the division of motor vehicles, with a list the names,

9

addresses and social security numbers of persons who have neglected or refused to file a tax

10

return(s) and/or to pay any tax administered by the tax administrator and that there is no

11

administrative or appellate review pending regarding such tax matter.

12

     (b) Thereafter, the tax administrator, at the times and in the manner mutually agreed to by

13

the tax administrator and the administrator of the division of motor vehicles, shall furnish to the

14

division of motor vehicles the names, addresses and social security numbers of those persons

15

whose names appear on that list but who have subsequently filed all required returns and paid all

16

required taxes, interest and attendant penalties in full or entered into a time payment agreement

17

satisfactory to the tax administrator. Upon receipt of said information, said names, addresses and

18

social security numbers of said persons shall be removed from the list.

19

     (c) The administrator of the division of motor vehicles shall not register any motor

20

vehicle or transfer the registration of any motor vehicle for any person whose name appears on a

21

list provided by the tax administrator pursuant to subsection (a) above until all state taxes, interest

22

and attendant penalties have been paid in full and the payment has been certified to the division

23

of motor vehicles by the tax administrator.

24

     (d) If the person thereafter files an overdue return and/or remits past taxes due or enters

25

into a satisfactory time payment agreement with respect to any and all returns due and taxes

26

payable, the tax administrator shall, within five (5) business days of the person's request, provide

27

the division of motor vehicles with a certificate of good standing specified in § 5-76-5. Within

28

five (5) business days of receiving such a certificate, the division of motor vehicles shall register

29

or transfer the person's registration.

30

     (e) If a person files an overdue return and/or remits past due taxes in order to register a

31

motor vehicle or transfer the registration of a motor vehicle, said late filing and/or payment shall

32

not be an admission of a violation of any criminal tax statute regarding late filing and/or late

33

payment. The tax administrator shall not refer such person to the Attorney General for

34

prosecution based solely upon said late filing and/or payment of past due taxes.

 

LC003615 - Page 104 of 245

1

     SECTION 2. Chapter 44-1 of the General Laws entitled "State Tax Officials" is hereby

2

amended by adding thereto the following section:

3

     44-1-31.2. Charges of Electronic Filing of Tax Returns. -- (a) For the purpose of this

4

chapter, the following terms have the specified meanings:

5

     (1) "Authorized tax document" means a document which the tax administrator has

6

authorized to be filed electronically.

7

     (2) "Software Company" means a developer of tax software.

8

     (3) "Tax Return Preparer" means any person who prepares for compensation, or who

9

employs or engages one or more persons to prepare for compensation, any authorized tax

10

document. For the purpose of this section, the term "tax return preparer" also includes a payroll

11

service.

12

     (4) "Tax Software" means any computer software program intended for tax return

13

preparation purposes. For purposes of this section, the term "tax software" includes, but is not

14

limited to, an off-the-shelf software program loaded onto a tax return preparer's or taxpayer's

15

computer, or an online tax preparation application.

16

     (b) It shall be unlawful for a tax return preparer or a software company to charge a

17

separate fee for the electronic filing of authorized tax documents. It shall also be unlawful for a

18

software company to offer a version of its tax software that charges a separate fee for the

19

electronic filing of authorized tax documents and a version of the same tax software that does not.

20

     (c) Any tax return preparer or software company violating this section shall be liable for a

21

civil penalty of five hundred dollars ($500.00) for the first violation and on thousand dollars

22

($1,000.00) for each succeeding violation. The civil penalties imposed by this section shall be

23

paid to the tax administrator upon notice and demand, and will be assessed, collected and paid in

24

the same manner as taxes under this title.

25

     SECTION 3. Sections 44-18-7, 44-18-7.3, 44-18-12.1, and 44-18-36.1 of the General

26

Laws in Chapter 44-18 entitled "Sales and Use Tax – Liability and Computation" are hereby

27

amended to read as follows:

28

     44-18-7. Sales defined. -- "Sales" means and includes:

29

     (1) Any transfer of title or possession, exchange, barter, lease, or rental, conditional or

30

otherwise, in any manner or by any means of tangible personal property for a consideration.

31

"Transfer of possession", "lease", or "rental" includes transactions found by the tax administrator

32

to be in lieu of a transfer of title, exchange, or barter.

33

     (2) The producing, fabricating, processing, printing, or imprinting of tangible personal

34

property for a consideration for consumers who furnish either directly or indirectly the materials

 

LC003615 - Page 105 of 245

1

used in the producing, fabricating, processing, printing, or imprinting.

2

     (3) The furnishing and distributing of tangible personal property for a consideration by

3

social, athletic, and similar clubs and fraternal organizations to their members or others.

4

     (4) The furnishing, preparing, or serving for consideration of food, meals, or drinks,

5

including any cover, minimum, entertainment, or other charge in connection therewith.

6

     (5) A transaction whereby the possession of tangible personal property is transferred, but

7

the seller retains the title as security for the payment of the price.

8

     (6) Any withdrawal, except a withdrawal pursuant to a transaction in foreign or interstate

9

commerce, of tangible personal property from the place where it is located for delivery to a point

10

in this state for the purpose of the transfer of title or possession, exchange, barter, lease, or rental,

11

conditional or otherwise, in any manner or by any means whatsoever, of the property for a

12

consideration.

13

     (7) A transfer for a consideration of the title or possession of tangible personal property,

14

which has been produced, fabricated, or printed to the special order of the customer, or any

15

publication.

16

     (8) The furnishing and distributing of electricity, natural gas, artificial gas, steam,

17

refrigeration, and water.

18

     (9) The furnishing for consideration of intrastate, interstate and international

19

telecommunications service sourced in this state in accordance with subsections 44-18.1(15) and

20

(16) and all ancillary services, any maintenance services of telecommunication equipment other

21

than as provided for in subdivision 44-18-12(b)(ii). For the purposes of chapters 18 and 19 of this

22

title only, telecommunication service does not include service rendered using a prepaid telephone

23

calling arrangement.

24

     (ii) Notwithstanding the provisions of paragraph (i) of this subdivision, in accordance

25

with the Mobile Telecommunications Sourcing Act (4 U.S.C. §§ 116 – 126), subject to the

26

specific exemptions described in 4 U.S.C. § 116(c), and the exemptions provided in §§ 44-18-8

27

and 44-18-12, mobile telecommunications services that are deemed to be provided by the

28

customer's home service provider are subject to tax under this chapter if the customer's place of

29

primary use is in this state regardless of where the mobile telecommunications services originate,

30

terminate or pass through. Mobile telecommunications services provided to a customer, the

31

charges for which are billed by or for the customer's home service provider, shall be deemed to be

32

provided by the customer's home service provider.

33

     (10) The furnishing of service for transmission of messages by telegraph, cable, or radio

34

and the furnishing of community antenna television, subscription television, and cable television

 

LC003615 - Page 106 of 245

1

services.

2

     (11) The rental of living quarters in any hotel, as defined in § 42-63.1-2, rooming house,

3

or tourist camp.

4

     (12) The transfer for consideration of prepaid telephone calling arrangements and the

5

recharge of prepaid telephone calling arrangements sourced to this state in accordance with §§

6

44-18.1-11 and 44-18.1-15. "Prepaid telephone calling arrangement" means and includes prepaid

7

calling service and prepaid wireless calling service.

8

     (13) The sale, storage, use or other consumption of over-the-counter drugs as defined in

9

paragraph 44-18-7.1(h)(ii).

10

     (14) The sale, storage, use or other consumption of prewritten computer software

11

delivered electronically or by load and leave as defined in paragraph 44-18-7.1(v).

12

     (15) The sale, storage, use or other consumption of medical marijuana as defined in § 21-

13

28.6-3.

14

     (16) The furnishing of services in this state as defined in § 44-18-7.3

15

     44-18-7.3. Services defined. -- a) "Services" means all activities engaged in for other

16

persons for a fee, retainer, commission, or other monetary charge, which activities involve the

17

performance of a service in this state as distinguished from selling property.

18

     (b) The following businesses and services performed in this state, along with the

19

applicable 2007 North American Industrial Classification System (NAICS) codes, are included in

20

the definition of services:

21

     (1) Taxicab and limousine services including but not limited to:

22

     (i) Taxicab services including taxi dispatchers (485310); and

23

     (ii) Limousine services (485320).

24

     (2) Other road transportation service including but not limited to:

25

     (i) Charter bus service (485510); and

26

     (ii) All other transit and ground passenger transportation (485999).

27

     (3) Pet care services (812910) except veterinary and testing laboratories services.

28

     (c)(1) "Room reseller" or "Reseller." Room reseller or reseller shall mean any person

29

having any right, permission, license, or other authority from or through a hotel, as defined in §

30

42-63.1-2, to reserve, or arrange the transfer of occupancy of, accommodations, the reservation or

31

transfer of which is subject to this chapter, such that the occupant pays all or a portion of the

32

rental and other fees to the reseller. Room reseller or reseller shall include, but not be limited to,

33

sellers of travel packages as defined in this section. Notwithstanding the provisions of any other

34

law, where said reservation or transfer of occupancy is made using a room reseller, the

 

LC003615 - Page 107 of 245

1

application of the sales and use under §§ 44-18-18 and 44-18-20, and the hotel tax under §44-18-

2

36.1 shall be as follows: The room reseller is required to register with and shall collect and pay to

3

the tax administrator the sales and use and hotel taxes with said taxes being calculated upon the

4

amount of rental and other fees paid by the occupant to the room reseller, less the amount of any

5

rental and other fees paid by the reseller to the hotel. The hotel shall collect and pay to the tax

6

administrator said taxes upon the amount of rental and other fees paid to the hotel by the reseller

7

and/or the occupant. No assessment shall be made by the tax administrator against a hotel because

8

of an incorrect remittance of the taxes under this chapter by a room reseller. No assessment shall

9

be made by the tax administrator against a room reseller because of an incorrect remittance of the

10

taxes under this chapter by a hotel. If the hotel has paid the taxes imposed under this chapter, the

11

occupant and/or room reseller shall reimburse the hotel for said taxes. If the reseller has paid said

12

taxes, the occupant shall reimburse the reseller for said taxes. Each hotel and room reseller shall

13

add and collect from the occupant or the room reseller the full amount of the taxes imposed on the

14

rental and other fees. When added to the rental and other fees, the taxes shall be a debt owed by

15

the occupant to the hotel or room reseller, as applicable, and shall be recoverable at law in the

16

same manner as other debts. The amount of the taxes collected by the hotel and/or room reseller

17

from the occupant under this chapter shall be stated and charged separately from the rental and

18

other fees, and shall be shown separately on all records thereof, whether made at the time the

19

transfer of occupancy occurs and made on valid evidence of the transfer, issued or used by the

20

hotel or the room reseller. A room reseller shall not be required to disclose to the occupant the

21

amount of tax charged by the hotel; provided, however, the reseller shall represent to the

22

occupant that the separately stated taxes charged by the reseller include taxes charged by the

23

hotel. No person shall operate a hotel in this state, or act as a room reseller for any hotel in the

24

state, unless the tax administrator has issued a permit pursuant to R.I. Gen. Laws § 44-19-1.

25

     (2) "Travel package" means a room or rooms bundled with one or more other, separate

26

components of travel such as air transportation, car rental or similar items, which travel package

27

is charged to the customer or occupant for a single retail price. When the room occupancy is

28

bundled for a single consideration, with other property, services, amusement charges, or any other

29

items, the separate sale of which would not otherwise be subject to tax under this chapter, the

30

entire single consideration shall be treated as rent, subject to tax under this chapter; provided,

31

however, that where the amount of the rental or other fees for room occupancy is stated

32

separately from the price of such other property, services, amusement charges, or other items, on

33

any sales slip, invoice, receipt, or other statement given the occupant, and such rental and other

34

fees are determined by the tax administrator to be reasonable in relation to the value of such other

 

LC003615 - Page 108 of 245

1

property, services, amusement charges or other items, only such separately stated rental and other

2

fees will be subject to tax under this chapter. The value of the transfer of any room or rooms

3

bundled as part of a travel package may be determined by the tax administrator from the room

4

reseller's and/or hotel's books and records kept in the regular and ordinary course of business.

5

     (c)(d) The tax administrator is authorized to promulgate rules and regulations in

6

accordance with the provisions of chapter 42-35 to carry out the provisions, policies, and

7

purposes of this chapter.

8

     44-18-12.1. Additional measure subject to tax. -- Also included in the measure subject

9

to tax under this chapter is the total amount charged for the furnishing or distributing of

10

electricity, natural gas, artificial gas, steam, refrigeration, water, telecommunications, telegraph,

11

cable, and radio message service, community antenna television, subscription television, and

12

cable television service; provided, that the measure of tax in regard to telecommunications service

13

is the total consideration received for the service as defined in § 44-18-7(9); provided, that in

14

order to prevent multistate taxation of all telecommunications service, any taxpayer is allowed a

15

credit or refund of sales tax upon presenting proof that a tax has been paid to another state to

16

which the tax is properly due for the identical service taxed under this chapter. Furthermore,

17

included in the measure of tax is the total amount charged for the rental of living quarters in any

18

hotel as defined in § 42-63.1-2, rooming house, or tourist camp.

19

     44-18-36.1. Hotel tax. -- (a) There is imposed a hotel tax of five percent (5%) upon the

20

total consideration charged for occupancy of any space furnished by any hotel, as defined in § 42-

21

63.1-2, or room reseller, as defined in § 44-18-7.3(c), in this state. The hotel tax is in addition to

22

any sales tax imposed. This hotel tax is administered and collected by the division of taxation and

23

unless provided to the contrary in this chapter, all the administration, collection, and other

24

provisions of chapters 18 and 19 of this title apply. Nothing in this chapter shall be construed to

25

limit the powers of the convention authority of the city of Providence established pursuant to the

26

provisions of chapter 84 of the public laws of 1980, except that distribution of hotel tax receipts

27

shall be made pursuant to chapter 63.1 of title 42 rather than chapter 84 of the public laws of

28

1980.

29

     (b) There is hereby levied and imposed, upon the total consideration charged for

30

occupancy of any space furnished by any hotel, as defined in § 42-63.1-2, or room reseller as

31

defined in § 44-18-7.3(c), in this state, in addition to all other taxes and fees now imposed by law,

32

a local hotel tax at a rate of one percent (1%). The local hotel tax shall be administered and

33

collected in accordance with subsection (a).

34

     (c) All sums received by the division of taxation from the local hotel tax, penalties or

 

LC003615 - Page 109 of 245

1

forfeitures, interest, costs of suit and fines shall be distributed at least quarterly, credited and paid

2

by the state treasurer to the city or town where the space for occupancy that is furnished by the

3

hotel is located. Unless provided to the contrary in this chapter, all of the administration,

4

collection, and other provisions of chapters 18 and 19 of this title shall apply.

5

     (d) Notwithstanding the provisions of subsection (a) of this section, the city of Newport

6

shall have the authority to collect from hotels, as defined in § 42-63.1-2, or room reseller as

7

defined in § 44-18-7.3(c), located in the city of Newport the tax imposed by subsection (a) of this

8

section.

9

     (1) Within ten (10) days of collection of the tax, the city of Newport shall distribute the

10

tax as provided in § 42-63.1-3. No later than the first day of March and the first day of September

11

in each year in which the tax is collected, the city of Newport shall submit to the division of

12

taxation a report of the tax collected and distributed during the six (6) month period ending thirty

13

(30) days prior to the reporting date.

14

     (2) The city of Newport shall have the same authority as the division of taxation to

15

recover delinquent hotel taxes pursuant to chapter 44-19, and the amount of any hotel tax, penalty

16

and interest imposed by the city of Newport until collected constitutes a lien on the real property

17

of the taxpayer.

18

     In recognition of the work being performed by the Streamlined Sales and Use Tax

19

Governing Board, upon passage of any federal law which authorizes states to requires remote

20

sellers to collect and remit taxes, effective the first (1st) day of the first (1st) state fiscal quarter

21

following the change, the rate imposed under § 44-18-36.1(b) shall be one and one-half percent

22

(1.5%). effective on the same date this state requires remote sellers to collect and remit sales and

23

use taxes.

24

     SECTION 4. Section 42-63.1-2 of the General Laws in Chapter 42-63.1 entitled

25

"Tourism and Development" is hereby amended to read as follows:

26

     42-63.1-2. Definitions. -- For the purposes of this chapter:

27

     (1) "Consideration" means the monetary charge for the use of space devoted to transient

28

lodging accommodations.

29

     (2) "Corporation" means the Rhode Island economic development corporation Rhode

30

Island Commerce Corporation.

31

     (3) "District" means the regional tourism districts set forth in § 42-63.1-5.

32

     (4) "Hotel" means any facility offering a minimum of three (3) one rooms for which the

33

public may, for a consideration, obtain transient lodging accommodations. The term "hotel" shall

34

include hotels, motels, bed and breakfasts (B&B's), time shares as defined in §34-41-1.02(13),

 

LC003615 - Page 110 of 245

1

tourist homes, tourist camps, lodging houses, and inns and shall exclude schools, hospitals,

2

sanitariums, nursing homes, and chronic care centers.

3

     (5) "Occupancy" means a person, firm or corporation's use of space ordinarily used for

4

transient lodging accommodations not to exceed thirty (30) days. Excluded from "occupancy" is

5

the use of space for which the occupant has a written lease for the space, which lease covers a

6

rental period of twelve (12) months or more.

7

     (6) "Tax" means the hotel tax imposed by subsection 44-18-36.1(a).

8

     SECTION 5. Chapter 44-30 entitled "Personal Income Tax" is hereby amended by

9

adding thereto the following section:

10

     44-30-100. Lookup Table to Report Use Tax on Personal Income Tax Return. -- (a)

11

When reporting the amount of use tax obligation on the Rhode Island personal income return, the

12

taxpayer shall list either the actual amount (from books, records, and other sources), or an amount

13

using a lookup table established by the tax administrator.

14

     (b) Establishment of lookup table. (1) The tax administrator shall create the lookup table

15

with reference to a taxpayer's federal adjusted gross income (AGI) as listed on the Rhode Island

16

personal income tax return before modifications, adjustments, or other changes. To determine the

17

amount of use tax from the lookup table, the taxpayer shall multiply 0.0008 by the amount of the

18

taxpayer's federal AGI as listed on the Rhode Island personal income tax return before

19

modifications, adjustments, or other changes.

20

     (2) The AGI income ranges within the lookup table shall be adjusted by the tax

21

administrator by December 31 of each calendar year by the percentage, if any, by which the

22

Consumer Price Index for All Urban Consumers (CPI-U) as of the close of the 12-month period

23

ending on August 31 of that year, exceeds the CPI-U as of the close of the 12-month period

24

ending on August 31 of the immediately preceding year. For purposes of the annual calculation,

25

the tax administrator shall be free to substitute an inflation index which is substantially similar to

26

the CPI-U.

27

     (3) If a taxpayer uses the lookup table, the taxpayer shall list on the return not only the

28

result from the lookup table, but also the actual amount of each single purchase whose purchase

29

price equals or exceeds $1,000.

30

     (4) Instructions for the personal income tax form shall indicate that the use of the lookup

31

table as described in this section is, for the taxpayer, a "safe harbor" alternative to listing the

32

actual amount of the taxpayer's use tax obligation.

33

     (c) When completing and filing a Rhode Island personal income tax return, the taxpayer

34

shall check a box attesting to the amount of use tax listed on the return. The tax administrator

 

LC003615 - Page 111 of 245

1

shall direct computer software providers to require the taxpayer or the taxpayer's preparer to

2

proactively check the box; software providers shall not program an automatically checked

3

attestation box.

4

     (d) The tax administrator shall make clear on personal income tax forms and instructions

5

that use tax is typically due on internet, mail-order, and catalog out-of-state purchases.

6

     SECTION 6. Sections 44-20-1 and 44-20-13.2 of the General Laws in Chapter 44-20

7

entitled "Cigarette Tax" are hereby amended to read as follows:

8

     44-20-1. Definitions. -- Whenever used in this chapter, unless the context requires

9

otherwise:

10

     (1) "Administrator" means the tax administrator;

11

     (2) "Cigarettes" means and includes any cigarettes suitable for smoking in cigarette form,

12

and each sheet of cigarette rolling paper;

13

     (3) "Dealer" means any person whether located within or outside of this state, who sells

14

or distributes cigarettes to a consumer in this state;

15

     (4) "Distributor" means any person:

16

     (A) Whether located within or outside of this state, other than a dealer, who sells or

17

distributes cigarettes within or into this state. Such term shall not include any cigarette

18

manufacturer, export warehouse proprietor, or importer with a valid permit under 26 U.S.C. §

19

5712, if such person sells or distributes cigarettes in this state only to licensed distributors, or to

20

an export warehouse proprietor or another manufacturer with a valid permit under 26 U.S.C. §

21

5712;

22

     (B) Selling cigarettes directly to consumers in this state by means of at least twenty-five

23

(25) cigarette vending machines;

24

     (C) Engaged in this state in the business of manufacturing cigarettes or any person

25

engaged in the business of selling cigarettes to dealers, or to other persons, for the purpose of

26

resale only; provided, that seventy-five percent (75%) of all cigarettes sold by that person in this

27

state are sold to dealers or other persons for resale and selling cigarettes directly to at least forty

28

(40) dealers or other persons for resale; or

29

     (D) Maintaining one or more regular places of business in this state for that purpose;

30

provided, that seventy-five percent (75%) of the sold cigarettes are purchased directly from the

31

manufacturer and selling cigarettes directly to at least forty (40) dealers or other persons for

32

resale;

33

     (5) "Electronic cigarette", commonly known as "E-Cigarette", means a personal

34

vaporizer, electronic nicotine delivery system or an electronic inhaler, which generally utilizes a

 

LC003615 - Page 112 of 245

1

heating element that vaporizes a liquid solution containing nicotine or nicotine derivative.

2

     (5)(6) "Importer" means any person who imports into the United States, either directly or

3

indirectly, a finished cigarette for sale or distribution;

4

     (6)(7) "Licensed", when used with reference to a manufacturer, importer, distributor or

5

dealer, means only those persons who hold a valid and current license issued under § 44-20-2 for

6

the type of business being engaged in. When the term "licensed" is used before a list of entities,

7

such as "licensed manufacturer, importer, wholesale dealer, or retailer dealer," such term shall be

8

deemed to apply to each entity in such list;

9

     (7)(8) "Manufacturer" means any person who manufactures, fabricates, assembles,

10

processes, or labels a finished cigarette;

11

     (8)(9) "Person" means any individual, including an employee or agent, firm, fiduciary,

12

partnership, corporation, trust, or association, however formed;

13

     (9)(10) "Place of business" means and includes any place where cigarettes are sold or

14

where cigarettes are stored or kept for the purpose of sale or consumption, including any vessel,

15

vehicle, airplane, train, or vending machine;

16

     (10)(11) "Sale" or "sell" includes and applies to gifts, exchanges, and barter;

17

     (11)(12) "Stamp" means the impression, device, stamp, label, or print manufactured,

18

printed, or made as prescribed by the administrator to be affixed to packages of cigarettes, as

19

evidence of the payment of the tax provided by this chapter or to indicate that the cigarettes are

20

intended for a sale or distribution in this state that is exempt from state tax under the provisions of

21

state law; and also includes impressions made by metering machines authorized to be used under

22

the provisions of this chapter.

23

     44-20-13.2. Tax imposed on smokeless tobacco, cigars, and pipe tobacco products. --

24

(a) A tax is imposed on all smokeless tobacco, electronic cigarettes, cigars, and pipe tobacco

25

products sold or held for sale in the state by any person, the payment of the tax to be

26

accomplished according to a mechanism established by the administrator, division of taxation,

27

department of administration. Any tobacco product on which the proper amount of tax provided

28

for in this chapter has been paid, payment being evidenced by a stamp, is not subject to a further

29

tax under this chapter. The tax imposed by this section shall be as follows:

30

     (1) At the rate of eighty percent (80%) of the wholesale cost of cigars, pipe tobacco

31

products and smokeless tobacco other than snuff.

32

     (2) Notwithstanding the eighty percent (80%) rate in subsection (a) above, in the case of

33

cigars, the tax shall not exceed fifty cents ($.50) for each cigar.

34

     (3) At the rate of one dollar ($1.00) per ounce of snuff, and a proportionate tax at the like

 

LC003615 - Page 113 of 245

1

rate on all fractional parts of an ounce thereof. Such tax shall be computed based on the net

2

weight as listed by the manufacturer, provided, however, that any product listed by the

3

manufacturer as having a net weight of less than 1.2 ounces shall be taxed as if the product has a

4

net weight of 1.2 ounces.

5

     (b) Any dealer having in his or her possession any tobacco, cigars, and pipe tobacco

6

products with respect to the storage or use of which a tax is imposed by this section shall, within

7

five (5) days after coming into possession of the tobacco, cigars, and pipe tobacco in this state,

8

file a return with the tax administrator in a form prescribed by the tax administrator. The return

9

shall be accompanied by a payment of the amount of the tax shown on the form to be due.

10

Records required under this section shall be preserved on the premises described in the relevant

11

license in such a manner as to ensure permanency and accessibility for inspection at reasonable

12

hours by authorized personnel of the administrator.

13

     (c) The proceeds collected are paid into the general fund.

14

     SECTION 7. Title 44 of the General Laws entitled "Taxation" is hereby amended by

15

adding thereto the following chapter:

16

CHAPTER 69

17

COMPLIANCE OF STATE EMPLOYEES WITH STATE INCOME TAX ACT

18

     44-69-1. Short title. -- This chapter shall be known as the "State Employee Tax

19

Compliance Act".

20

     44-69-2. Definitions. -- (a) "Appointing Authority" means the person or group of persons

21

having the power by virtue of the constitution, a state statute, or lawfully delegated authority to

22

make appointments.

23

     (b) "Employee" or "State Employee" means an appointed officer or employee of a state

24

agency; provided, the term employee or state employee shall not include an elected official or an

25

employee of a local governmental entity.

26

     (c) "State Agency" means any office, department, board, commission or institution of the

27

executive, legislative, higher education or judicial branch of state government.

28

     44-68-3. Administration. -- (a) The department of administration shall, not later than

29

August 1, 2014, and August 1 of each year thereafter, provide to the tax administrator a list of all

30

state employees as of the preceding July 1 and such identifying information as may be required

31

by the Tax Administrator. Such list and information shall be used by the Tax Administrator

32

exclusively for the purpose of collection of income taxes due to the State of Rhode Island.

33

     (b) The Tax Administrator shall, not later than December 1, 2014, and December 1 of

34

each year thereafter, notify any state employee who is not in compliance with the income tax laws

 

LC003615 - Page 114 of 245

1

of this state. Such notification shall include:

2

     (1) A statement that the employee will be subject to mandatory garnishment of wages by

3

the state controller, unless the taxpayer is deemed by the Tax Administrator to be in compliance

4

with the income tax laws of this state;

5

     (2) The reasons that the taxpayer is considered to be out of compliance with the income

6

tax laws of this state, including a statement of the amount of any tax, penalties and interest due, or

7

a list of the tax years for which income tax returns have not been filed, as required by law;

8

     (3) An explanation of the rights of the taxpayer and the procedures which must be

9

followed by the taxpayer in order to come into compliance with the income tax laws of this state;

10

and

11

     (4) Such other information as may be deemed necessary by the Tax Administrator.

12

     (c) A state employee who has entered into and is abiding by a payment agreement, or

13

who has requested relief as an innocent spouse, which request is pending or has been granted,

14

shall be deemed to be in compliance with the state income tax laws for purposes of this section.

15

     (d) If the Tax Administrator notifies a state employee who is not in compliance with the

16

income tax laws of this state as required in this section and such state employee does not respond

17

to such notification or fails to come into compliance with the income tax laws of this state after an

18

assessment has been made final or after the Tax Administrator determines that every reasonable

19

effort has been made to assist the state employee to come into compliance with the income tax

20

laws of this state, the Tax Administrator shall so notify the state controller, who shall commence

21

mandatory garnishment of the state employee's wages and shall notify the state employee of the

22

reason for such action. If a state employee, who has been previously reported by the Tax

23

Administrator to a state agency as being out of compliance, comes into compliance, the Tax

24

Administrator shall immediately notify the state controller. Neither a state agency nor an

25

appointing authority shall be held liable for any action with respect to a state employee pursuant

26

to the provisions of this section.

27

     SECTION 8. Chapter 44-19 entitled "Sales and Use Taxes – Enforcement and

28

Collection" is hereby amended by adding thereto the following section:

29

     44-19-42. Sales Suppression Devices -- Definitions and Applicability. -- (a) As used in

30

this section:

31

     (1) "Automated sales suppression device," also known as a "zapper," means a software

32

program, carried on a memory stick or removable compact disc, accessed through an Internet

33

link, or accessed through any other means, that falsifies transaction data, transaction reports, or

34

any other electronic records of electronic cash registers and other point-of-sale systems.

 

LC003615 - Page 115 of 245

1

     (2) "Electronic cash register" means a device that keeps a register or supporting

2

documents through the means of an electronic device or computer system designed to record

3

transaction data for the purpose of computing, compiling, or processing retail sales transaction

4

data in any manner.

5

     (3) "Phantom-ware" means a hidden programming option, whether preinstalled or

6

installed at a later time, embedded in the operating system of an electronic cash register or

7

hardwired into the electronic cash register that:

8

     (A) Can be used to create a virtual second till; or

9

     (B) May eliminate or manipulate transaction records.

10

     (4) "Transaction data" includes items purchased by a customer, the price for each item, a

11

taxability determination for each item, a segregated tax amount for each of the taxed items, the

12

amount of cash or credit tendered, the net amount returned to the customer in change, the date

13

and time of the purchase, the name, address, and identification number of the vendor, and the

14

receipt or invoice number of the transaction.

15

     (5) "Transaction reports" means a report documenting, but not limited to, the sales, taxes

16

collected, media totals, and discount voids at an electronic cash register that is printed on cash

17

register tape at the end of a day or shift, or a report documenting every action at an electronic

18

cash register that is stored electronically.

19

     (b) A person shall not knowingly sell, purchase, install, transfer or possess an automated

20

sales suppression device or phantom-ware.

21

     (c) Any person who violates subdivision (b) of this section shall be guilty of a felony and,

22

upon conviction, shall be subject to a fine not exceeding fifty-thousand dollars ($50,000) or

23

imprisonment not exceeding five (5) years, or both.

24

     (d) In addition, a person who violates subdivision (b) of this section shall be liable to the

25

State for:

26

     (1) All taxes, interest, and penalties due as the result of the person's use of an automated

27

sales suppression device or phantom-ware; and

28

     (2) All profits associated with the person's sale of an automated sales suppression device

29

or phantom-ware.

30

     (e) An automated sales suppression device or phantom-ware and any device containing

31

such device or software shall be deemed contraband and shall be subject to seizure by the tax

32

administrator or by a law enforcement officer when directed to do so by the tax administrator.

33

     (f) Safe Harbor. A person shall not be subject to prosecution under Rhode Island General

34

Laws § 44-19-42, if by October 1, 2014 the person:

 

LC003615 - Page 116 of 245

1

     (1) Notifies the division of taxation of the person's possession of an automated sales

2

suppression device;

3

     (2) Provides any information requested by the division of taxation, including transaction

4

records, software specifications, encryption keys, passwords, and other data; and

5

     (3) Corrects any underreported sales tax records and fully pays the division of taxation

6

any amounts previously owed.

7

     (g) This section shall not be construed to limit the person's civil or criminal liability under

8

any other provision of law.

9

     SECTION 9. This article shall take effect as of July 1, 2014.

10

ARTICLE 13

11

RELATING TO STATE LOTTERY

12

     SECTION 1. Section 42-61-15 of the General Laws in Chapter 42-61 entitled "State

13

Lottery" is hereby amended to read as follows:

14

     42-61-15. State lottery fund. -- (a) There is created the state lottery fund, into which

15

shall be deposited all revenues received by the division from the sales of lottery tickets and

16

license fees. The fund shall be in the custody of the general treasurer, subject to the direction of

17

division for the use of the division, and money shall be disbursed from it on the order of the

18

controller of the state, pursuant to vouchers or invoices signed by the director and certified by the

19

director of administration. The moneys in the state lottery fund shall be allotted in the following

20

order, and only for the following purposes:

21

     (1) Establishing a prize fund from which payments of the prize awards shall be disbursed

22

to holders of winning lottery tickets on checks signed by the director and countersigned by the

23

controller of the state or his or her designee.

24

     (i) The amount of payments of prize awards to holders of winning lottery tickets shall be

25

determined by the division, but shall not be less than forty-five percent (45%) nor more than

26

sixty-five percent (65%) of the total revenue accruing from the sale of lottery tickets.

27

     (ii) However, for For the lottery game commonly known as "Keno", the amount of prize

28

awards to holders of winning Keno tickets shall be determined by the division, but shall not be

29

less than forty-five percent (45%) nor more than seventy-two percent (72%) of the total revenue

30

accruing from the sale of Keno tickets.

31

     (2) Payment of expenses incurred by the division in the operation of the state lotteries

32

including, but not limited to, costs arising from contracts entered into by the director for

33

promotional, consulting, or operational services, salaries of professional, technical, and clerical

34

assistants, and purchases or lease of facilities, lottery equipment, and materials; provided

 

LC003615 - Page 117 of 245

1

however, solely for the purpose of determining revenues remaining and available for transfer to

2

the state's general fund, beginning in fiscal year 2015, expenses incurred by the division in the

3

operation of state lotteries shall reflect the actuarially determined employer contribution to the

4

Employees' Retirement System consistent with the state's adopted funding policy. For financial

5

reporting purposed, the state lottery fund financial statements shall be prepared in a accordance

6

with generally accepted accounting principles as promulgated by the Governmental Accounting

7

Standards Board; and

8

     (3) Repayment into the general revenue fund of the amount appropriated for the

9

implementation of the state lottery; and

10

     (4)(3) Payment into the general revenue fund of all revenues remaining in the state lottery

11

fund after the payments specified in subdivisions (a)(1) – (a)(3) (a)(2) of this section; provided,

12

that the amount to be transferred into the general revenue fund shall equal no less than twenty-

13

five percent (25%) of the total revenue received and accrued from the sale of lottery tickets plus

14

any other income earned from the lottery; provided further, that the revenue returned to the

15

general fund from the game commonly known as Keno, shall not be calculated as part of the

16

twenty-five percent (25%) mandate required by this section, but the amount transferred into the

17

general revenue fund shall equal no less than fifteen percent (15%) of the total Keno revenue

18

received.

19

     (b) The auditor general shall conduct an annual post audit of the financial records and

20

operations of the lottery for the preceding year in accordance with generally accepted auditing

21

standards and government auditing standards. In connection with the audit, the auditor general

22

may examine all records, files, and other documents of the division, and any records of lottery

23

sales agents that pertain to their activities as agents, for purposes of conducting the audit. The

24

auditor general, in addition to the annual post audit, may require or conduct any other audits or

25

studies he or she deems appropriate, the costs of which shall be borne by the division.

26

     (c) Payments into the state's general fund specified in subsection (a)(4) (3) of this section

27

shall be made on an estimated quarterly basis. Payment shall be made on the tenth business day

28

following the close of the quarter except for the fourth quarter when payment shall be on the last

29

business day.

30

     SECTION 2. Section 42-61.2-7 of the General Laws in Chapter 42-61.7 entitled "Video

31

Lottery Terminal" is hereby amended to read as follows:

32

     42-61.2-7. Division of revenue. -- (a) Notwithstanding the provisions of § 42-61-15, the

33

allocation of net terminal income derived from video lottery games is as follows:

34

     (1) For deposit in the general fund and to the state lottery division fund for administrative

 

LC003615 - Page 118 of 245

1

purposes: Net terminal income not otherwise disbursed in accordance with subdivisions (a)(2) –

2

(a)(6) herein;

3

     (i) Except for the fiscal year ending June 30, 2008, nineteen one hundredths of one

4

percent (0.19%) up to a maximum of twenty million dollars ($20,000,000) shall be equally

5

allocated to the distressed communities as defined in § 45-13-12 provided that no eligible

6

community shall receive more than twenty-five percent (25%) of that community's currently

7

enacted municipal budget as its share under this specific subsection. Distributions made under

8

this specific subsection are supplemental to all other distributions made under any portion of

9

general laws § 45-13-12. For the fiscal year ending June 30, 2008 distributions by community

10

shall be identical to the distributions made in the fiscal year ending June 30, 2007 and shall be

11

made from general appropriations. For the fiscal year ending June 30, 2009, the total state

12

distribution shall be the same total amount distributed in the fiscal year ending June 30, 2008 and

13

shall be made from general appropriations. For the fiscal year ending June 30, 2010, the total

14

state distribution shall be the same total amount distributed in the fiscal year ending June 30,

15

2009 and shall be made from general appropriations, provided however that $784,458 of the total

16

appropriation shall be distributed equally to each qualifying distressed community. For each of

17

the fiscal years ending June 30, 2011, June 30, 2012, and June 30, 2013 seven hundred eighty-

18

four thousand four hundred fifty-eight dollars ($784,458) of the total appropriation shall be

19

distributed equally to each qualifying distressed community.

20

     (ii) Five one hundredths of one percent (0.05%) up to a maximum of five million dollars

21

($5,000,000) shall be appropriated to property tax relief to fully fund the provisions of § 44-33-

22

2.1. The maximum credit defined in subdivision 44-33-9(2) shall increase to the maximum

23

amount to the nearest five dollar ($5.00) increment within the allocation until a maximum credit

24

of five hundred dollars ($500) is obtained. In no event shall the exemption in any fiscal year be

25

less than the prior fiscal year.

26

     (iii) One and twenty-two one hundredths of one percent (1.22%) to fund § 44-34.1-1,

27

entitled "Motor Vehicle and Trailer Excise Tax Elimination Act of 1998", to the maximum

28

amount to the nearest two hundred fifty dollar ($250) increment within the allocation. In no event

29

shall the exemption in any fiscal year be less than the prior fiscal year.

30

     (iv) Except for the fiscal year ending June 30, 2008, ten one hundredths of one percent

31

(0.10%) to a maximum of ten million dollars ($10,000,000) for supplemental distribution to

32

communities not included in paragraph (a)(1)(i) above distributed proportionately on the basis of

33

general revenue sharing distributed for that fiscal year. For the fiscal year ending June 30, 2008

34

distributions by community shall be identical to the distributions made in the fiscal year ending

 

LC003615 - Page 119 of 245

1

June 30, 2007 and shall be made from general appropriations. For the fiscal year ending June 30,

2

2009, no funding shall be disbursed. For the fiscal year ending June 30, 2010 and thereafter,

3

funding shall be determined by appropriation.

4

     (2) To the licensed video lottery retailer:

5

     (a) Prior to the effective date of the NGJA Master Contract, Newport Jai Ali twenty-six

6

percent (26%) minus three hundred eighty four thousand nine hundred ninety-six dollars

7

($384,996);

8

     (ii) On and after the effective date of the NGJA Master Contract, to the licensed video

9

lottery retailer who is a party to the NGJA Master Contract, all sums due and payable under said

10

Master Contract minus three hundred eighty four thousand nine hundred ninety-six dollars

11

($384,996).

12

     (iii) Effective July 1, 2013 the rate of net terminal income payable to Newport Grand,

13

LLC under the Newport Grand Master Contract shall increase by two and one quarter percent

14

(2.25%) points. The increase herein shall sunset and expire on June 30, 2015 and the rate in effect

15

as of June 30, 2013 shall be reinstated.

16

     (b) Prior to the effective date of the UTGR Master Contract, to the present licensed video

17

lottery retailer at Lincoln Park which is not a party to the UTGR Master Contract, twenty-eight

18

and eighty-five one hundredths percent (28.85%) minus seven hundred sixty-seven thousand six

19

hundred eighty-seven dollars ($767,687);

20

     (ii) On and after the effective date of the UTGR Master Contract, to the licensed video

21

lottery retailer who is a party to the UTGR Master Contract, all sums due and payable under said

22

Master Contract minus seven hundred sixty-seven thousand six hundred eighty-seven dollars

23

($767,687).

24

     (3) To the technology providers who are not a party to the GTECH Master Contract as set

25

forth and referenced in Public Law 2003, Chapter 32, seven percent (7%) of the net terminal

26

income of the provider's terminals; in addition thereto, technology providers who provide

27

premium or licensed proprietary content or those games that have unique characteristics such as

28

3D graphics, unique math/game play features or merchandising elements to video lottery

29

terminals may receive incremental compensation, either in the form of a daily fee or as an

30

increased percentage, if all of the following criteria are met:

31

     (A) A licensed video lottery retailer has requested the placement of premium or licensed

32

proprietary content at its licensed video lottery facility;

33

     (B) The division of lottery has determined in its sole discretion that the request is likely to

34

increase net terminal income or is otherwise important to preserve or enhance the competiveness

 

LC003615 - Page 120 of 245

1

of the licensed video lottery retailer;

2

     (C) After approval of the request by the division of lottery, the total number of premium

3

or licensed propriety content video lottery terminals does not exceed ten percent (10%) of the

4

total number of video lottery terminals authorized at the respective licensed video lottery retailer;

5

and

6

     (D) All incremental costs are shared between the division and the respective licensed

7

video lottery retailer based upon their proportionate allocation of net terminal income. The

8

division of lottery is hereby authorized to amend agreements with the licensed video lottery

9

retailers, or the technology providers, as applicable, to effect the intent herein.

10

     (ii) To contractors who are a party to the Master Contract as set forth and referenced in

11

Public Law 2003, Chapter 32, all sums due and payable under said Master Contract;

12

     (iii) Notwithstanding paragraphs (i) and (ii) above, there shall be subtracted

13

proportionately from the payments to technology providers the sum of six hundred twenty-eight

14

thousand seven hundred thirty-seven dollars ($628,737);

15

     (4) To the city of Newport one and one hundredth percent (1.01%) of net terminal income

16

of authorized machines at Newport Grand, except that:

17

     (i) Effective November 9, 2009 until June 30, 2013, the allocation shall be one and two

18

tenths percent (1.2%) of net terminal income of authorized machines at Newport Grand for each

19

week the facility operates video lottery games on a twenty-four (24) hour basis for all eligible

20

hours authorized, and

21

     (ii) Effective July 1, 2013, provided that the referendum measure authorized by Section 1

22

of Chapters 24 and 25 of the Public Laws of 2012 is approved statewide and in the City of

23

Newport, the allocation shall be one and forty-five hundredths percent (1.45%) of net terminal

24

income of authorized video lottery terminals at Newport Grand; and

25

     (B) To the town of Lincoln one and twenty-six hundredths percent (1.26%) of net

26

terminal income of authorized machines at Twin River except that,

27

     (i) Effective November 9, 2009 until June 30, 2013, the allocation shall be one and forty-

28

five hundredths percent (1.45%) of net terminal income of authorized machines at Twin River for

29

each week video lottery games are offered on a twenty-four (24) hour basis for all eligible hours

30

authorized, and

31

     (ii) Effective July 1, 2013, provided that the referendum measure authorized by Article

32

25, Chapter 151, Section 4 of the Public Laws of 2011 is approved statewide and in the Town of

33

Lincoln, the allocation shall be one and forty-five hundredths percent (1.45%) of net terminal

34

income of authorized video lottery terminals at Twin River; and

 

LC003615 - Page 121 of 245

1

     (5) To the Narragansett Indian Tribe, seventeen hundredths of one percent (0.17%) of net

2

terminal income of authorized machines at Lincoln Park up to a maximum of ten million dollars

3

($10,000,000) per year, which shall be paid to the Narragansett Indian Tribe for the account of a

4

Tribal Development Fund to be used for the purpose of encouraging and promoting: home

5

ownership and improvement, elderly housing, adult vocational training; health and social

6

services; childcare; natural resource protection; and economic development consistent with state

7

law. Provided, however, such distribution shall terminate upon the opening of any gaming facility

8

in which the Narragansett Indians are entitled to any payments or other incentives; and provided

9

further, any monies distributed hereunder shall not be used for, or spent on previously contracted

10

debts; and

11

     (6) Unclaimed prizes and credits shall remit to the general fund of the state; and

12

     (7) Payments into the state's general fund specified in subdivisions (a)(1) and (a)(6) shall

13

be made on an estimated monthly basis. Payment shall be made on the tenth day following the

14

close of the month except for the last month when payment shall be on the last business day.

15

     (b) Notwithstanding the above, the amounts payable by the Division to UTGR related to

16

the Marketing Program shall be paid on a frequency agreed by the Division, but no less

17

frequently than annually.

18

     (c) Notwithstanding anything in this chapter 61.2 of this title 42 to the contrary, the

19

Director is authorized to fund the Marketing Program as described above in regard to the First

20

Amendment to the UTGR Master Contract.

21

     (d) Notwithstanding the above, the amounts payable by the Division to Newport Grand

22

related to the Marketing Program shall be paid on a frequency agreed by the Division, but no less

23

frequently than annually.

24

     (e) Notwithstanding anything in this chapter 61.2 of this title 42 to the contrary, the

25

Director is authorized to fund the Marketing Program as described above in regard to the First

26

Amendment to the Newport Grand Master Contract.

27

     (f) Notwithstanding the provisions of § 42-61-15, the allocation of Net Table Game

28

Revenue derived from Table Games at Twin River is as follows:

29

     (1) For deposit into the state lottery fund for administrative purposes and then the balance

30

remaining into the general fund:

31

     (i) Sixteen percent (16%) Eighteen percent (18%) of Net Table Game Revenue, except as

32

provided in subsection (f)(1)(ii):

33

     (ii) An additional two percent (2%) of Net Table Game Revenue generated at Twin River

34

shall be allocated starting from the commencement of Table Game activities by such Table Game

 

LC003615 - Page 122 of 245

1

Retailer, and ending, with respect to such Table Game Retailer, on the first date that such Table

2

Game Retailer's net terminal income for a full State fiscal year is less than such Table Game

3

Retailer's net terminal income for the prior State fiscal year, at which point this additional

4

allocation to the State shall no longer apply to such Table Game Retailer.

5

     (ii) After casino gaming has commenced in the Commonwealth of Massachusetts, for the

6

first consecutive twelve (12) month period thereafter that the Table Game Retailer's net terminal

7

income is less than its net terminal income for the same twelve (12) month period in the prior

8

year, then for one (1) period of four (4) consecutive State fiscal years immediately thereafter, the

9

State's share of Net Table Game Revenue shall be decreased from eighteen percent (18%) to

10

sixteen percent (16%) with an additional one percent (1%) of Net Table Game Revenue generated

11

by the Table Game Retailer allocated to said Table Game Retailer and one percent (1%) of Net

12

Table Game Revenue generated by the Table Game Retailer allocated to the town of Lincoln.

13

     (2) To UTGR, Net Table Game Revenue not otherwise disbursed pursuant to above

14

subsection (f)(1).; provided, however, on the first date that such Table Game Retailer's net

15

terminal income for a full State fiscal year is less than such Table Game Retailer's net terminal

16

income for the prior State fiscal year, as set forth in subsection (f)(1)(ii) above, one percent (1%)

17

of this Net Table Game Revenue shall be allocated to the town of Lincoln for four (4) consecutive

18

State fiscal years.

19

     (g) Notwithstanding the provisions of § 42-61-15, the allocation of Net Table Game

20

Revenue derived from Table Games at Newport Grand is as follows:

21

     (1) For deposit into the state lottery fund for administrative purposes and then the balance

22

remaining into the general fund: eighteen percent (18%) of Net Table Game Revenue.

23

     (2) To Newport Grand LLC, Net Table Game Revenue not otherwise disbursed pursuant

24

to above subsection (g)(1) provided, however, on the first date that such Table Game Retailer's

25

net terminal income for a full State fiscal year is less than such Table Game Retailer's net

26

terminal income for the prior State fiscal year, one percent (1%) of this Net Table Game Revenue

27

shall be allocated to the city of Newport for four (4) consecutive State fiscal years.

28

     SECTION 3. This article will take effect July 1, 2014.

29

ARTICLE 14

30

RELATING TO MARKETPLACE FAIRNESS ACT

31

     SECTION 1. Section 44-11-2 of the General Laws in Chapter 44-11 entitled "Business

32

Corporation Tax" is hereby amended to read as follows:

33

     44-11-2. Imposition of tax. -- (a) Each corporation shall annually pay to the state a tax

34

equal to nine percent (9.0%) of net income, as defined in § 44-11-11, qualified in § 44-11-12, and

 

LC003615 - Page 123 of 245

1

apportioned to this state as provided in §§ 44-11-13 – 44-11-15, for the taxable year. In

2

recognition of the work being performed by the Streamlined Sales and Use Tax Governing Board,

3

upon passage of any federal law which authorizes states to require remote sellers defined in

4

section 44-18-15.2, to collect and remit sales and use taxes under chapters 18 and 19 of this title,

5

the rate imposed under section 44-11-2 shall be reduced from nine percent (9.0%) to six percent

6

(6.0%). The six percent (6.0%) rate shall take effect for tax years beginning on or after the date

7

the state requires remote sellers to collect and remit sales and use tax.

8

     (b) A corporation shall pay the amount of any tax as computed in accordance with

9

subsection (a) of this section after deducting from "net income," as used in this section, fifty

10

percent (50%) of the excess of capital gains over capital losses realized during the taxable year, if

11

for the taxable year:

12

     (1) The corporation is engaged in buying, selling, dealing in, or holding securities on its

13

own behalf and not as a broker, underwriter, or distributor;

14

     (2) Its gross receipts derived from these activities during the taxable year amounted to at

15

least ninety percent (90%) of its total gross receipts derived from all of its activities during the

16

year. "Gross receipts" means all receipts, whether in the form of money, credits, or other valuable

17

consideration, received during the taxable year in connection with the conduct of the taxpayer's

18

activities.

19

     (c) A corporation shall not pay the amount of the tax computed on the basis of its net

20

income under subsection (a) of this section, but shall annually pay to the state a tax equal to ten

21

cents ($.10) for each one hundred dollars ($100) of gross income for the taxable year or a tax of

22

one hundred dollars ($100), whichever tax shall be the greater, if for the taxable year the

23

corporation is either a "personal holding company" registered under the federal Investment

24

Company Act of 1940, 15 U.S.C. § 80a-1 et seq., "regulated investment company", or a "real

25

estate investment trust" as defined in the federal income tax law applicable to the taxable year.

26

"Gross income" means gross income as defined in the federal income tax law applicable to the

27

taxable year, plus:

28

     (1) Any interest not included in the federal gross income; minus

29

     (2) Interest on obligations of the United States or its possessions, and other interest

30

exempt from taxation by this state; and minus

31

     (3) Fifty percent (50%) of the excess of capital gains over capital losses realized during

32

the taxable year.

33

     (d) A small business corporation having an election in effect under subchapter S, 26

34

U.S.C. § 1361 et seq., shall not be subject to the Rhode Island income tax on corporations, except

 

LC003615 - Page 124 of 245

1

that the corporation shall be subject to the provisions of subsection (a), to the extent of the income

2

that is subjected to federal tax under subchapter S.

3

     (2) The shareholders of the corporation who are residents of Rhode Island shall include in

4

their income their proportionate share of the corporation's federal taxable income.

5

     (3) [Deleted by P.L. 2004, ch. 595. art. 29, § 1.]

6

     (4) [Deleted by P.L. 2004, ch. 595, art. 29, § 1.]

7

     (e) Minimum tax. The tax imposed upon any corporation under this section shall not be

8

less than five hundred dollars ($500).

9

     SECTION 2. Sections 44-18-18, 44-18-18.1, 44-18-20 and 44-18-30 of the General Laws

10

in Chapter 44-18 entitled "Sales and Use Tax – Liability and Computation" are hereby amended

11

to read as follows:

12

     44-18-18. Sales tax imposed. -- A tax is imposed upon sales at retail in this state

13

including charges for rentals of living quarters in hotels as defined in § 42-63.1-2, rooming

14

houses, or tourist camps, at the rate of six percent (6%) of the gross receipts of the retailer from

15

the sales or rental charges; provided, that the tax imposed on charges for the rentals applies only

16

to the first period of not exceeding thirty (30) consecutive calendar days of each rental; provided,

17

further, that for the period commencing July 1, 1990, the tax rate is seven percent (7%). The tax is

18

paid to the tax administrator by the retailer at the time and in the manner provided. Excluded from

19

this tax are those living quarters in hotels, rooming houses, or tourist camps for which the

20

occupant has a written lease for the living quarters which lease covers a rental period of twelve

21

(12) months or more. In recognition of the work being performed by the Streamlined Sales and

22

Use Tax Governing Board, upon passage any federal law which authorizes states to require

23

remote sellers to collect and remit sales and use taxes, the rate imposed under § 44-18-18 shall be

24

reduced from seven percent (7%) to six and one-half percent (6.5%). The six and one-half percent

25

(6.5%) rate shall take effect on the date that the state requires remote sellers to collect and remit

26

sale and use taxes.

27

     44-18-18.1. Local meals and beverage tax. -- (a) There is hereby levied and imposed,

28

upon every purchaser of a meal and/or beverage, in addition to all other taxes and fees now

29

imposed by law, a local meals and beverage tax upon each and every meal and/or beverage sold

30

within the state of Rhode Island in or from an eating and/or drinking establishment, whether

31

prepared in the eating and/or drinking establishment or not and whether consumed at the premises

32

or not, at a rate of one percent of the gross receipts. The tax shall be paid to the tax administrator

33

by the retailer at the time and in the manner provided.

34

     (b) All sums received by the division of taxation under this section as taxes, penalties or

 

LC003615 - Page 125 of 245

1

forfeitures, interest, costs of suit and fines shall be distributed at least quarterly, credited and paid

2

by the state treasurer to the city or town where the meals and beverages are delivered.

3

     (c) When used in this section, the following words have the following meanings:

4

     (1) "Beverage" means all nonalcoholic beverages, as well as alcoholic beverages, beer,

5

lager beer, ale, porter, wine, similar fermented malt or vinous liquor.

6

     (2) "Eating and/or drinking establishments" mean and include restaurants, bars, taverns,

7

lounges, cafeterias, lunch counters, drive-ins, roadside ice cream and refreshment stands, fish and

8

chip places, fried chicken places, pizzerias, food and drink concessions, or similar facilities in

9

amusement parks, bowling alleys, clubs, caterers, drive-in theatres, industrial plants, race tracks,

10

shore resorts or other locations, lunch carts, mobile canteens and other similar vehicles, and other

11

like places of business which furnish or provide facilities for immediate consumption of food at

12

tables, chairs or counters or from trays, plates, cups or other tableware or in parking facilities

13

provided primarily for the use of patrons in consuming products purchased at the location.

14

Ordinarily, eating establishments do not mean and include food stores and supermarkets. Eating

15

establishments do not mean "vending machines," a self-contained automatic device that dispenses

16

for sale foods, beverages, or confection products. Retailers selling prepared foods in bulk either in

17

customer-furnished containers or in the seller's containers, for example "Soup and Sauce"

18

establishments, are deemed to be selling prepared foods ordinarily for immediate consumption

19

and, as such, are considered eating establishments.

20

     (3) "Meal" means any prepared food or beverage offered or held out for sale by an eating

21

and/or drinking establishment for the purpose of being consumed by any person to satisfy the

22

appetite and which is ready for immediate consumption. All such food and beverage, unless

23

otherwise specifically exempted or excluded herein shall be included, whether intended to be

24

consumed on the seller's premises or elsewhere, whether designated as breakfast, lunch, snack,

25

dinner, supper or by some other name, and without regard to the manner, time or place of service.

26

     (d) This local meals and beverage tax shall be administered and collected by the division

27

of taxation and unless provided to the contrary in this chapter, all of the administration,

28

collection, and other provisions of chapters 18 and 19 of this article apply.

29

     In recognition of the work being performed by the Streamlined Sales and Use Tax

30

Governing Board, upon passage of any federal law which authorizes states to require remote

31

sellers to collect and remit sales and use taxes, the rate imposed under § 44-18-18.1 shall be

32

increased from one percent (1%) to one and one-half percent (1.5%). The one and one-half

33

percent (1.5%) rate shall take effect on the date that the state requires remote sellers to collect and

34

remit sales and use taxes.

 

LC003615 - Page 126 of 245

1

     44-18-20. Use tax imposed. -- (a) An excise tax is imposed on the storage, use, or other

2

consumption in this state of tangible personal property, prewritten computer software delivered

3

electronically or by load and leave or services as defined in § 44-18-7.3; including a motor

4

vehicle, a boat, an airplane, or a trailer, purchased from any retailer at the rate of six percent (6%)

5

of the sale price of the property.

6

     (b) An excise tax is imposed on the storage, use, or other consumption in this state of a

7

motor vehicle, a boat, an airplane, or a trailer purchased from other than a licensed motor vehicle

8

dealer or other than a retailer of boats, airplanes, or trailers respectively, at the rate of six percent

9

(6%) of the sale price of the motor vehicle, boat, airplane, or trailer.

10

     (c) The word "trailer" as used in this section and in § 44-18-21 means and includes those

11

defined in § 31-1-5(a) – (e) and also includes boat trailers, camping trailers, house trailers, and

12

mobile homes.

13

     (d) Notwithstanding the provisions contained in this section and in § 44-18-21 relating to

14

the imposition of a use tax and liability for this tax on certain casual sales, no tax is payable in

15

any casual sale:

16

     (1) When the transferee or purchaser is the spouse, mother, father, brother, sister, or child

17

of the transferor or seller;

18

     (2) When the transfer or sale is made in connection with the organization, reorganization,

19

dissolution, or partial liquidation of a business entity; provided:

20

     (i) The last taxable sale, transfer, or use of the article being transferred or sold was

21

subjected to a tax imposed by this chapter;

22

     (ii) The transferee is the business entity referred to or is a stockholder, owner, member, or

23

partner; and

24

     (iii) Any gain or loss to the transferor is not recognized for income tax purposes under the

25

provisions of the federal income tax law and treasury regulations and rulings issued thereunder;

26

     (3) When the sale or transfer is of a trailer, other than a camping trailer, of the type

27

ordinarily used for residential purposes and commonly known as a house trailer or as a mobile

28

home; or

29

     (4) When the transferee or purchaser is exempt under the provisions of § 44-18-30 or

30

other general law of this state or special act of the general assembly of this state.

31

     (e) The term "casual" means a sale made by a person other than a retailer; provided, that

32

in the case of a sale of a motor vehicle, the term means a sale made by a person other than a

33

licensed motor vehicle dealer or an auctioneer at an auction sale. In no case is the tax imposed

34

under the provisions of subsections (a) and (b) of this section on the storage, use, or other

 

LC003615 - Page 127 of 245

1

consumption in this state of a used motor vehicle less than the product obtained by multiplying

2

the amount of the retail dollar value at the time of purchase of the motor vehicle by the applicable

3

tax rate; provided, that where the amount of the sale price exceeds the amount of the retail dollar

4

value, the tax is based on the sale price. The tax administrator shall use as his or her guide the

5

retail dollar value as shown in the current issue of any nationally recognized used vehicle guide

6

for appraisal purposes in this state. On request within thirty (30) days by the taxpayer after

7

payment of the tax, if the tax administrator determines that the retail dollar value as stated in this

8

subsection is inequitable or unreasonable, he or she shall, after affording the taxpayer reasonable

9

opportunity to be heard, re-determine the tax.

10

     (f) Every person making more than five (5) retail sales of tangible personal property or

11

prewritten computer software delivered electronically or by load and leave, or services as defined

12

in § 44-18-7.3 during any twelve (12) month period, including sales made in the capacity of

13

assignee for the benefit of creditors or receiver or trustee in bankruptcy, is considered a retailer

14

within the provisions of this chapter.

15

     (g) "Casual sale" includes a sale of tangible personal property not held or used by a seller

16

in the course of activities for which the seller is required to hold a seller's permit or permits or

17

would be required to hold a seller's permit or permits if the activities were conducted in this state;

18

provided, that the sale is not one of a series of sales sufficient in number, scope, and character

19

(more than five (5) in any twelve (12) month period) to constitute an activity for which the seller

20

is required to hold a seller's permit or would be required to hold a seller's permit if the activity

21

were conducted in this state.

22

     (2) Casual sales also include sales made at bazaars, fairs, picnics, or similar events by

23

nonprofit organizations, which are organized for charitable, educational, civic, religious, social,

24

recreational, fraternal, or literary purposes during two (2) events not to exceed a total of six (6)

25

days duration each calendar year. Each event requires the issuance of a permit by the division of

26

taxation. Where sales are made at events by a vendor, which holds a sales tax permit and is not a

27

nonprofit organization, the sales are in the regular course of business and are not exempt as casual

28

sales.

29

     (h) The use tax imposed under this section for the period commencing July 1, 1990 is at

30

the rate of seven percent (7%). In recognition of the work being performed by the Streamlined

31

Sales and Use Tax Governing Board, upon passage of any federal law which authorizes states to

32

require remote sellers to collect and remit sales and use taxes, effective the first (1st) day of the

33

first (1st) state fiscal quarter following the change, the rate imposed under § 44-18-18 shall be

34

reduced from seven percent (7.0%) to six and one-half percent (6.5%). The six and one- half

 

LC003615 - Page 128 of 245

1

percent (6.5%) rate shall take effect on the date that the state requires remote sellers to collect and

2

remit sales and use taxes.

3

     44-18-30. Gross receipts exempt from sales and use taxes. -- There are exempted from

4

the taxes imposed by this chapter the following gross receipts:

5

     (1) Sales and uses beyond constitutional power of state. From the sale and from the

6

storage, use, or other consumption in this state of tangible personal property the gross receipts

7

from the sale of which, or the storage, use, or other consumption of which, this state is prohibited

8

from taxing under the Constitution of the United States or under the constitution of this state.

9

     (2) Newspapers.

10

     (i) From the sale and from the storage, use, or other consumption in this state of any

11

newspaper.

12

     (ii) "Newspaper" means an unbound publication printed on newsprint, which contains

13

news, editorial comment, opinions, features, advertising matter, and other matters of public

14

interest.

15

     (iii) "Newspaper" does not include a magazine, handbill, circular, flyer, sales catalog, or

16

similar item unless the item is printed for and distributed as a part of a newspaper.

17

     (3) School meals. From the sale and from the storage, use, or other consumption in this

18

state of meals served by public, private, or parochial schools, school districts, colleges,

19

universities, student organizations, and parent teacher associations to the students or teachers of a

20

school, college, or university whether the meals are served by the educational institutions or by a

21

food service or management entity under contract to the educational institutions.

22

     (4) Containers.

23

     (i) From the sale and from the storage, use, or other consumption in this state of:

24

     (A) Non-returnable containers, including boxes, paper bags, and wrapping materials

25

which are biodegradable and all bags and wrapping materials utilized in the medical and healing

26

arts, when sold without the contents to persons who place the contents in the container and sell

27

the contents with the container.

28

     (B) Containers when sold with the contents if the sale price of the contents is not required

29

to be included in the measure of the taxes imposed by this chapter.

30

     (C) Returnable containers when sold with the contents in connection with a retail sale of

31

the contents or when resold for refilling.

32

     (ii) As used in this subdivision, the term "returnable containers" means containers of a

33

kind customarily returned by the buyer of the contents for reuse. All other containers are "non-

34

returnable containers."

 

LC003615 - Page 129 of 245

1

     (5) Charitable, educational, and religious organizations. From the sale to as in defined in

2

this section, and from the storage, use, and other consumption in this state or any other state of

3

the United States of America of tangible personal property by hospitals not operated for a profit,

4

"educational institutions" as defined in subdivision (18) not operated for a profit, churches,

5

orphanages, and other institutions or organizations operated exclusively for religious or charitable

6

purposes, interest free loan associations not operated for profit, nonprofit organized sporting

7

leagues and associations and bands for boys and girls under the age of nineteen (19) years, the

8

following vocational student organizations that are state chapters of national vocational students

9

organizations: Distributive Education Clubs of America, (DECA); Future Business Leaders of

10

America, phi beta lambda (FBLA/PBL); Future Farmers of America (FFA); Future Homemakers

11

of America/Home Economics Related Occupations (FHA/HERD); and Vocational Industrial

12

Clubs of America (VICA), organized nonprofit golden age and senior citizens clubs for men and

13

women, and parent teacher associations.

14

     (ii) In the case of contracts entered into with the federal government, its agencies or

15

instrumentalities, this state or any other state of the United States of America, its agencies, any

16

city, town, district, or other political subdivision of the states, hospitals not operated for profit,

17

educational institutions not operated for profit, churches, orphanages, and other institutions or

18

organizations operated exclusively for religious or charitable purposes, the contractor may

19

purchase such materials and supplies (materials and/or supplies are defined as those which are

20

essential to the project) that are to be utilized in the construction of the projects being performed

21

under the contracts without payment of the tax.

22

     (iii) The contractor shall not charge any sales or use tax to any exempt agency,

23

institution, or organization but shall in that instance provide his or her suppliers with certificates

24

in the form as determined by the division of taxation showing the reason for exemption; and the

25

contractor's records must substantiate the claim for exemption by showing the disposition of all

26

property so purchased. If any property is then used for a nonexempt purpose, the contractor must

27

pay the tax on the property used.

28

     (6) Gasoline. From the sale and from the storage, use, or other consumption in this state

29

of: (i) gasoline and other products taxed under chapter 36 of title 31, and (ii) fuels used for the

30

propulsion of airplanes.

31

     (7) Purchase for manufacturing purposes.

32

     (i) From the sale and from the storage, use, or other consumption in this state of computer

33

software, tangible personal property, electricity, natural gas, artificial gas, steam, refrigeration,

34

and water, when the property or service is purchased for the purpose of being manufactured into a

 

LC003615 - Page 130 of 245

1

finished product for resale, and becomes an ingredient, component, or integral part of the

2

manufactured, compounded, processed, assembled, or prepared product, or if the property or

3

service is consumed in the process of manufacturing for resale computer software, tangible

4

personal property, electricity, natural gas, artificial gas, steam, refrigeration, or water.

5

     (ii) "Consumed" means destroyed, used up, or worn out to the degree or extent that the

6

property cannot be repaired, reconditioned, or rendered fit for further manufacturing use.

7

     (iii) "Consumed" includes mere obsolescence.

8

     (iv) "Manufacturing" means and includes manufacturing, compounding, processing,

9

assembling, preparing, or producing.

10

     (v) "Process of manufacturing" means and includes all production operations performed

11

in the producing or processing room, shop, or plant, insofar as the operations are a part of and

12

connected with the manufacturing for resale of tangible personal property, electricity, natural gas,

13

artificial gas, steam, refrigeration, or water and all production operations performed insofar as the

14

operations are a part of and connected with the manufacturing for resale of computer software.

15

     (vi) "Process of manufacturing" does not mean or include administration operations such

16

as general office operations, accounting, collection, sales promotion, nor does it mean or include

17

distribution operations which occur subsequent to production operations, such as handling,

18

storing, selling, and transporting the manufactured products, even though the administration and

19

distribution operations are performed by or in connection with a manufacturing business.

20

     (8) State and political subdivisions. From the sale to, and from the storage, use, or other

21

consumption by, this state, any city, town, district, or other political subdivision of this state.

22

Every redevelopment agency created pursuant to chapter 31 of title 45 is deemed to be a

23

subdivision of the municipality where it is located.

24

     (9) Food and food ingredients. From the sale and storage, use, or other consumption in

25

this state of food and food ingredients as defined in § 44-18-7.1(l).

26

     For the purposes of this exemption "food and food ingredients" shall not include candy,

27

soft drinks, dietary supplements, alcoholic beverages, tobacco, food sold through vending

28

machines or prepared food (as those terms are defined in § 44-18-7.1, unless the prepared food is:

29

     (i) Sold by a seller whose primary NAICS classification is manufacturing in sector 311,

30

except sub-sector 3118 (bakeries);

31

     (ii) Sold in an unheated state by weight or volume as a single item;

32

     (iii) Bakery items, including bread, rolls, buns, biscuits, bagels, croissants, pastries,

33

donuts, danish, cakes, tortes, pies, tarts, muffins, bars, cookies, tortillas; and is not sold with

34

utensils provided by the seller, including plates, knives, forks, spoons, glasses, cups, napkins, or

 

LC003615 - Page 131 of 245

1

straws.

2

     (10) Medicines, drugs and durable medical equipment. From the sale and from the

3

storage, use, or other consumption in this state, of;

4

     (i) "Drugs" as defined in § 44-18-7.1(h)(i), sold on prescriptions, medical oxygen, and

5

insulin whether or not sold on prescription. For purposes of this exemption drugs shall not

6

include over-the-counter drugs and grooming and hygiene products as defined in § 44-18-

7

7.1(h)(iii).

8

     (ii) Durable medical equipment as defined in section 44-18-7.1(k) for home use only,

9

including, but not limited to, syringe infusers, ambulatory drug delivery pumps, hospital beds,

10

convalescent chairs, and chair lifts. Supplies used in connection with syringe infusers and

11

ambulatory drug delivery pumps which are sold on prescription to individuals to be used by them

12

to dispense or administer prescription drugs, and related ancillary dressings and supplies used to

13

dispense or administer prescription drugs shall also be exempt from tax.

14

     (11) Prosthetic devices and mobility enhancing equipment. From the sale and from the

15

storage, use, or other consumption in this state, of prosthetic devices as defined in § 44-18-7.1(t),

16

sold on prescription, including but not limited to, artificial limbs, dentures, spectacles and

17

eyeglasses, and artificial eyes; artificial hearing devices and hearing aids, whether or not sold on

18

prescription and mobility enhancing equipment as defined in § 44-18-7.1(p) including

19

wheelchairs, crutches and canes.

20

     (12) Coffins, caskets, and burial garments. From the sale and from the storage, use, or

21

other consumption in this state of coffins or caskets, and shrouds or other burial garments which

22

are ordinarily sold by a funeral director as part of the business of funeral directing.

23

     (13) Motor vehicles sold to nonresidents.

24

     (i) From the sale, subsequent to June 30, 1958, of a motor vehicle to a bona fide

25

nonresident of this state who does not register the motor vehicle in this state, whether the sale or

26

delivery of the motor vehicle is made in this state or at the place of residence of the nonresident.

27

A motor vehicle sold to a bona fide nonresident whose state of residence does not allow a like

28

exemption to its nonresidents is not exempt from the tax imposed under § 44-18-20. In that event

29

the bona fide nonresident pays a tax to Rhode Island on the sale at a rate equal to the rate that

30

would be imposed in his or her state of residence not to exceed the rate that would have been

31

imposed under § 44-18-20. Notwithstanding any other provisions of law, a licensed motor vehicle

32

dealer shall add and collect the tax required under this subdivision and remit the tax to the tax

33

administrator under the provisions of chapters 18 and 19 of this title. When a Rhode Island

34

licensed motor vehicle dealer is required to add and collect the sales and use tax on the sale of a

 

LC003615 - Page 132 of 245

1

motor vehicle to a bona fide nonresident as provided in this section, the dealer in computing the

2

tax takes into consideration the law of the state of the nonresident as it relates to the trade-in of

3

motor vehicles.

4

     (ii) The tax administrator, in addition to the provisions of §§ 44-19-27 and 44-19-28, may

5

require any licensed motor vehicle dealer to keep records of sales to bona fide nonresidents as the

6

tax administrator deems reasonably necessary to substantiate the exemption provided in this

7

subdivision, including the affidavit of a licensed motor vehicle dealer that the purchaser of the

8

motor vehicle was the holder of, and had in his or her possession a valid out of state motor

9

vehicle registration or a valid out of state driver's license.

10

     (iii) Any nonresident who registers a motor vehicle in this state within ninety (90) days of

11

the date of its sale to him or her is deemed to have purchased the motor vehicle for use, storage,

12

or other consumption in this state, and is subject to, and liable for the use tax imposed under the

13

provisions of § 44-18-20.

14

     (14) Sales in public buildings by blind people. From the sale and from the storage, use, or

15

other consumption in all public buildings in this state of all products or wares by any person

16

licensed under § 40-9-11.1.

17

     (15) Air and water pollution control facilities. From the sale, storage, use, or other

18

consumption in this state of tangible personal property or supplies acquired for incorporation into

19

or used and consumed in the operation of a facility, the primary purpose of which is to aid in the

20

control of the pollution or contamination of the waters or air of the state, as defined in chapter 12

21

of title 46 and chapter 25 of title 23, respectively, and which has been certified as approved for

22

that purpose by the director of environmental management. The director of environmental

23

management may certify to a portion of the tangible personal property or supplies acquired for

24

incorporation into those facilities or used and consumed in the operation of those facilities to the

25

extent that that portion has as its primary purpose the control of the pollution or contamination of

26

the waters or air of this state. As used in this subdivision, "facility" means any land, facility,

27

device, building, machinery, or equipment.

28

     (16) Camps. From the rental charged for living quarters, or sleeping or housekeeping

29

accommodations at camps or retreat houses operated by religious, charitable, educational, or

30

other organizations and associations mentioned in subdivision (5), or by privately owned and

31

operated summer camps for children.

32

     (17) Certain institutions. From the rental charged for living or sleeping quarters in an

33

institution licensed by the state for the hospitalization, custodial, or nursing care of human beings.

34

     (18) Educational institutions. From the rental charged by any educational institution for

 

LC003615 - Page 133 of 245

1

living quarters, or sleeping or housekeeping accommodations or other rooms or accommodations

2

to any student or teacher necessitated by attendance at an educational institution. "Educational

3

institution" as used in this section means an institution of learning not operated for profit which is

4

empowered to confer diplomas, educational, literary, or academic degrees, which has a regular

5

faculty, curriculum, and organized body of pupils or students in attendance throughout the usual

6

school year, which keeps and furnishes to students and others records required and accepted for

7

entrance to schools of secondary, collegiate, or graduate rank, no part of the net earnings of which

8

inures to the benefit of any individual.

9

     (19) Motor vehicle and adaptive equipment for persons with disabilities.

10

     (i) From the sale of: (A) special adaptations, (B) the component parts of the special

11

adaptations, or (C) a specially adapted motor vehicle; provided, that the owner furnishes to the

12

tax administrator an affidavit of a licensed physician to the effect that the specially adapted motor

13

vehicle is necessary to transport a family member with a disability or where the vehicle has been

14

specially adapted to meet the specific needs of the person with a disability. This exemption

15

applies to not more than one motor vehicle owned and registered for personal, noncommercial

16

use.

17

     (ii) For the purpose of this subsection the term "special adaptations" includes, but is not

18

limited to: wheelchair lifts; wheelchair carriers; wheelchair ramps; wheelchair securements; hand

19

controls; steering devices; extensions, relocations, and crossovers of operator controls; power-

20

assisted controls; raised tops or dropped floors; raised entry doors; or alternative signaling

21

devices to auditory signals.

22

     (iii) From the sale of: (a) special adaptations, (b) the component parts of the special

23

adaptations, for a "wheelchair accessible taxicab" as defined in § 39-14-1 and/or a "wheelchair

24

accessible public motor vehicle" as defined in § 39-14.1-1.

25

     (iv) For the purpose of this subdivision the exemption for a "specially adapted motor

26

vehicle" means a use tax credit not to exceed the amount of use tax that would otherwise be due

27

on the motor vehicle, exclusive of any adaptations. The use tax credit is equal to the cost of the

28

special adaptations, including installation.

29

     (20) Heating fuels. From the sale and from the storage, use, or other consumption in this

30

state of every type of fuel used in the heating of homes and residential premises.

31

     (21) Electricity and gas. From the sale and from the storage, use, or other consumption in

32

this state of electricity and gas furnished for domestic use by occupants of residential premises.

33

     (22) Manufacturing machinery and equipment.

34

     (i) From the sale and from the storage, use, or other consumption in this state of tools,

 

LC003615 - Page 134 of 245

1

dies, and molds, and machinery and equipment (including replacement parts), and related items to

2

the extent used in an industrial plant in connection with the actual manufacture, conversion, or

3

processing of tangible personal property, or to the extent used in connection with the actual

4

manufacture, conversion or processing of computer software as that term is utilized in industry

5

numbers 7371, 7372, and 7373 in the standard industrial classification manual prepared by the

6

technical committee on industrial classification, office of statistical standards, executive office of

7

the president, United States bureau of the budget, as revised from time to time, to be sold, or that

8

machinery and equipment used in the furnishing of power to an industrial manufacturing plant.

9

For the purposes of this subdivision, "industrial plant" means a factory at a fixed location

10

primarily engaged in the manufacture, conversion, or processing of tangible personal property to

11

be sold in the regular course of business;

12

     (ii) Machinery and equipment and related items are not deemed to be used in connection

13

with the actual manufacture, conversion, or processing of tangible personal property, or in

14

connection with the actual manufacture, conversion or processing of computer software as that

15

term is utilized in industry numbers 7371, 7372, and 7373 in the standard industrial classification

16

manual prepared by the technical committee on industrial classification, office of statistical

17

standards, executive office of the president, United States bureau of the budget, as revised from

18

time to time, to be sold to the extent the property is used in administration or distribution

19

operations;

20

     (iii) Machinery and equipment and related items used in connection with the actual

21

manufacture, conversion, or processing of any computer software or any tangible personal

22

property which is not to be sold and which would be exempt under subdivision (7) or this

23

subdivision if purchased from a vendor or machinery and equipment and related items used

24

during any manufacturing, converting or processing function is exempt under this subdivision

25

even if that operation, function, or purpose is not an integral or essential part of a continuous

26

production flow or manufacturing process;

27

     (iv) Where a portion of a group of portable or mobile machinery is used in connection

28

with the actual manufacture, conversion, or processing of computer software or tangible personal

29

property to be sold, as previously defined, that portion, if otherwise qualifying, is exempt under

30

this subdivision even though the machinery in that group is used interchangeably and not

31

otherwise identifiable as to use.

32

     (23) Trade-in value of motor vehicles. From the sale and from the storage, use, or other

33

consumption in this state of so much of the purchase price paid for a new or used automobile as is

34

allocated for a trade-in allowance on the automobile of the buyer given in trade to the seller, or of

 

LC003615 - Page 135 of 245

1

the proceeds applicable only to the automobile as are received from the manufacturer of

2

automobiles for the repurchase of the automobile whether the repurchase was voluntary or not

3

towards the purchase of a new or used automobile by the buyer. For the purpose of this

4

subdivision, the word "automobile" means a private passenger automobile not used for hire and

5

does not refer to any other type of motor vehicle.

6

     (24) Precious metal bullion.

7

     (i) From the sale and from the storage, use, or other consumption in this state of precious

8

metal bullion, substantially equivalent to a transaction in securities or commodities.

9

     (ii) For purposes of this subdivision, "precious metal bullion" means any elementary

10

precious metal which has been put through a process of smelting or refining, including, but not

11

limited to, gold, silver, platinum, rhodium, and chromium, and which is in a state or condition

12

that its value depends upon its content and not upon its form.

13

     (iii) The term does not include fabricated precious metal which has been processed or

14

manufactured for some one or more specific and customary industrial, professional, or artistic

15

uses.

16

     (25) Commercial vessels. From sales made to a commercial ship, barge, or other vessel of

17

fifty (50) tons burden or over, primarily engaged in interstate or foreign commerce, and from the

18

repair, alteration, or conversion of the vessels, and from the sale of property purchased for the use

19

of the vessels including provisions, supplies, and material for the maintenance and/or repair of the

20

vessels.

21

     (26) Commercial fishing vessels. From the sale and from the storage, use, or other

22

consumption in this state of vessels and other water craft which are in excess of five (5) net tons

23

and which are used exclusively for "commercial fishing", as defined in this subdivision, and from

24

the repair, alteration, or conversion of those vessels and other watercraft, and from the sale of

25

property purchased for the use of those vessels and other watercraft including provisions,

26

supplies, and material for the maintenance and/or repair of the vessels and other watercraft and

27

the boats nets, cables, tackle, and other fishing equipment appurtenant to or used in connection

28

with the commercial fishing of the vessels and other watercraft. "Commercial fishing" means the

29

taking or the attempting to take any fish, shellfish, crustacea, or bait species with the intent of

30

disposing of them for profit or by sale, barter, trade, or in commercial channels. The term does

31

not include subsistence fishing, i.e., the taking for personal use and not for sale or barter; or sport

32

fishing; but shall include vessels and other watercraft with a Rhode Island party and charter boat

33

license issued by the department of environmental management pursuant to § 20-2-27.1 which

34

meet the following criteria: (i) the operator must have a current U.S.C.G. license to carry

 

LC003615 - Page 136 of 245

1

passengers for hire; (ii) U.S.C.G. vessel documentation in the coast wide fishery trade; (iii)

2

U.S.C.G. vessel documentation as to proof of Rhode Island home port status or a Rhode Island

3

boat registration to prove Rhode Island home port status; (iv) the vessel must be used as a

4

commercial passenger carrying fishing vessel to carry passengers for fishing. The vessel must be

5

able to demonstrate that at least fifty percent (50%) of its annual gross income derives from

6

charters or provides documentation of a minimum of one hundred (100) charter trips annually; (v)

7

the vessel must have a valid Rhode Island party and charter boat license. The tax administrator

8

shall implement the provisions of this subdivision by promulgating rules and regulations relating

9

thereto.

10

     (27) Clothing and footwear. From the sales of articles of clothing, including footwear,

11

intended to be worn or carried on or about the human body for sales prior to October 1, 2012.

12

Effective October 1, 2012, the exemption will apply to the sales of articles of clothing, including

13

footwear, intended to be worn or carried on or about the human body up to two hundred and fifty

14

dollars ($250) of the sales price per item. For the purposes of this section, "clothing or footwear"

15

does not include clothing accessories or equipment or special clothing or footwear primarily

16

designed for athletic activity or protective use as these terms are defined in section 44-18-7.1(f).

17

In recognition of the work being performed by the Streamlined Sales and Use Tax Governing

18

Board, upon passage of any federal law which authorizes states to require remote sellers to collect

19

and remit sales and use taxes, this unlimited exemption will apply as it did prior to October 1,

20

2012. The unlimited exemption on sales of clothing and footwear shall take effect on the date that

21

the state requires remote sellers to collect and remit sales and use taxes.

22

     (28) Water for residential use. From the sale and from the storage, use, or other

23

consumption in this state of water furnished for domestic use by occupants of residential

24

premises.

25

     (29) Bibles. [Unconstitutional; see Ahlburn v. Clark, 728 A.2d 449 (R.I. 1999); see Notes

26

to Decisions.] From the sale and from the storage, use, or other consumption in the state of any

27

canonized scriptures of any tax-exempt nonprofit religious organization including, but not limited

28

to, the Old Testament and the New Testament versions.

29

     (30) Boats.

30

     (i) From the sale of a boat or vessel to a bona fide nonresident of this state who does not

31

register the boat or vessel in this state, or document the boat or vessel with the United States

32

government at a home port within the state, whether the sale or delivery of the boat or vessel is

33

made in this state or elsewhere; provided, that the nonresident transports the boat within thirty

34

(30) days after delivery by the seller outside the state for use thereafter solely outside the state.

 

LC003615 - Page 137 of 245

1

     (ii) The tax administrator, in addition to the provisions of §§ 44-19-17 and 44-19-28, may

2

require the seller of the boat or vessel to keep records of the sales to bona fide nonresidents as the

3

tax administrator deems reasonably necessary to substantiate the exemption provided in this

4

subdivision, including the affidavit of the seller that the buyer represented himself or herself to be

5

a bona fide nonresident of this state and of the buyer that he or she is a nonresident of this state.

6

     (31) Youth activities equipment. From the sale, storage, use, or other consumption in this

7

state of items for not more than twenty dollars ($20.00) each by nonprofit Rhode Island

8

eleemosynary organizations, for the purposes of youth activities which the organization is formed

9

to sponsor and support; and by accredited elementary and secondary schools for the purposes of

10

the schools or of organized activities of the enrolled students.

11

     (32) Farm equipment. From the sale and from the storage or use of machinery and

12

equipment used directly for commercial farming and agricultural production; including, but not

13

limited to, tractors, ploughs, harrows, spreaders, seeders, milking machines, silage conveyors,

14

balers, bulk milk storage tanks, trucks with farm plates, mowers, combines, irrigation equipment,

15

greenhouses and greenhouse coverings, graders and packaging machines, tools and supplies and

16

other farming equipment, including replacement parts, appurtenant to or used in connection with

17

commercial farming and tools and supplies used in the repair and maintenance of farming

18

equipment. "Commercial farming" means the keeping or boarding of five (5) or more horses or

19

the production within this state of agricultural products, including, but not limited to, field or

20

orchard crops, livestock, dairy, and poultry, or their products, where the keeping, boarding, or

21

production provides at least two thousand five hundred dollars ($2,500) in annual gross sales to

22

the operator, whether an individual, a group, a partnership, or a corporation for exemptions issued

23

prior to July 1, 2002; for exemptions issued or renewed after July 1, 2002, there shall be two (2)

24

levels. Level I shall be based on proof of annual gross sales from commercial farming of at least

25

twenty-five hundred dollars ($2,500) and shall be valid for purchases subject to the exemption

26

provided in this subdivision except for motor vehicles with an excise tax value of five thousand

27

dollars ($5,000) or greater; Level II shall be based on proof of annual gross sales from

28

commercial farming of at least ten thousand dollars ($10,000) or greater and shall be valid for

29

purchases subject to the exemption provided in this subdivision including motor vehicles with an

30

excise tax value of five thousand dollars ($5,000) or greater. For the initial issuance of the

31

exemptions, proof of the requisite amount of annual gross sales from commercial farming shall be

32

required for the prior year; for any renewal of an exemption granted in accordance with this

33

subdivision at either Level I or Level II, proof of gross annual sales from commercial farming at

34

the requisite amount shall be required for each of the prior two (2) years. Certificates of

 

LC003615 - Page 138 of 245

1

exemption issued or renewed after July 1, 2002, shall clearly indicate the level of the exemption

2

and be valid for four (4) years after the date of issue. This exemption applies even if the same

3

equipment is used for ancillary uses, or is temporarily used for a non-farming or a non-

4

agricultural purpose, but shall not apply to motor vehicles acquired after July 1, 2002, unless the

5

vehicle is a farm vehicle as defined pursuant to § 31-1-8 and is eligible for registration displaying

6

farm plates as provided for in § 31-3-31.

7

     (33) Compressed air. From the sale and from the storage, use, or other consumption in

8

the state of compressed air.

9

     (34) Flags. From the sale and from the storage, consumption, or other use in this state of

10

United States, Rhode Island or POW-MIA flags.

11

     (35) Motor vehicle and adaptive equipment to certain veterans. From the sale of a motor

12

vehicle and adaptive equipment to and for the use of a veteran with a service-connected loss of or

13

the loss of use of a leg, foot, hand, or arm, or any veteran who is a double amputee, whether

14

service connected or not. The motor vehicle must be purchased by and especially equipped for

15

use by the qualifying veteran. Certificate of exemption or refunds of taxes paid is granted under

16

rules or regulations that the tax administrator may prescribe.

17

     (36) Textbooks. From the sale and from the storage, use, or other consumption in this

18

state of textbooks by an "educational institution" as defined in subdivision (18) of this section and

19

as well as any educational institution within the purview of § 16-63-9(4) and used textbooks by

20

any purveyor.

21

     (37) Tangible personal property and supplies used in on-site hazardous waste recycling,

22

reuse, or treatment. From the sale, storage, use, or other consumption in this state of tangible

23

personal property or supplies used or consumed in the operation of equipment, the exclusive

24

function of which is the recycling, reuse, or recovery of materials (other than precious metals, as

25

defined in subdivision (24)(ii) of this section) from the treatment of "hazardous wastes", as

26

defined in § 23-19.1-4, where the "hazardous wastes" are generated in Rhode Island solely by the

27

same taxpayer and where the personal property is located at, in, or adjacent to a generating

28

facility of the taxpayer in Rhode Island. The taxpayer shall procure an order from the director of

29

the department of environmental management certifying that the equipment and/or supplies as

30

used, or consumed, qualify for the exemption under this subdivision. If any information relating

31

to secret processes or methods of manufacture, production, or treatment is disclosed to the

32

department of environmental management only to procure an order, and is a "trade secret" as

33

defined in § 28-21-10(b), it is not open to public inspection or publicly disclosed unless

34

disclosure is required under chapter 21 of title 28 or chapter 24.4 of title 23.

 

LC003615 - Page 139 of 245

1

     (38) Promotional and product literature of boat manufacturers. From the sale and from

2

the storage, use, or other consumption of promotional and product literature of boat

3

manufacturers shipped to points outside of Rhode Island which either: (i) accompany the product

4

which is sold, (ii) are shipped in bulk to out of state dealers for use in the sale of the product, or

5

(iii) are mailed to customers at no charge.

6

     (39) Food items paid for by food stamps. From the sale and from the storage, use, or other

7

consumption in this state of eligible food items payment for which is properly made to the retailer

8

in the form of U.S. government food stamps issued in accordance with the Food Stamp Act of

9

1977, 7 U.S.C. § 2011 et seq.

10

     (40) Transportation charges. From the sale or hiring of motor carriers as defined in § 39-

11

12-2(l) to haul goods, when the contract or hiring cost is charged by a motor freight tariff filed

12

with the Rhode Island public utilities commission on the number of miles driven or by the

13

number of hours spent on the job.

14

     (41) Trade-in value of boats. From the sale and from the storage, use, or other

15

consumption in this state of so much of the purchase price paid for a new or used boat as is

16

allocated for a trade-in allowance on the boat of the buyer given in trade to the seller or of the

17

proceeds applicable only to the boat as are received from an insurance claim as a result of a stolen

18

or damaged boat, towards the purchase of a new or used boat by the buyer.

19

     (42) Equipment used for research and development. From the sale and from the storage,

20

use, or other consumption of equipment to the extent used for research and development purposes

21

by a qualifying firm. For the purposes of this subdivision, "qualifying firm" means a business for

22

which the use of research and development equipment is an integral part of its operation, and

23

"equipment" means scientific equipment, computers, software, and related items.

24

     (43) Coins. From the sale and from the other consumption in this state of coins having

25

numismatic or investment value.

26

     (44) Farm structure construction materials. Lumber, hardware and other materials used

27

in the new construction of farm structures, including production facilities such as, but not limited

28

to, farrowing sheds, free stall and stanchion barns, milking parlors, silos, poultry barns, laying

29

houses, fruit and vegetable storages, rooting cellars, propagation rooms, greenhouses, packing

30

rooms, machinery storage, seasonal farm worker housing, certified farm markets, bunker and

31

trench silos, feed storage sheds, and any other structures used in connection with commercial

32

farming.

33

     (45) Telecommunications carrier access service. Carrier access service or

34

telecommunications service when purchased by a telecommunications company from another

 

LC003615 - Page 140 of 245

1

telecommunications company to facilitate the provision of telecommunications service.

2

     (46) Boats or vessels brought into the state exclusively for winter storage, maintenance,

3

repair or sale. Notwithstanding the provisions of §§ 44-18-10, 44-18-11, 44-18-20, the tax

4

imposed by § 44-18-20 is not applicable for the period commencing on the first day of October in

5

any year to and including the 30th day of April next succeeding with respect to the use of any

6

boat or vessel within this state exclusively for purposes of: (i) delivery of the vessel to a facility in

7

this state for storage, including dry storage and storage in water by means of apparatus preventing

8

ice damage to the hull, maintenance, or repair; (ii) the actual process of storage, maintenance, or

9

repair of the boat or vessel; or (iii) storage for the purpose of selling the boat or vessel.

10

     (47) Jewelry display product. From the sale and from the storage, use, or other

11

consumption in this state of tangible personal property used to display any jewelry product;

12

provided, that title to the jewelry display product is transferred by the jewelry manufacturer or

13

seller and that the jewelry display product is shipped out of state for use solely outside the state

14

and is not returned to the jewelry manufacturer or seller.

15

     (48) Boats or vessels generally. Notwithstanding the provisions of this chapter, the tax

16

imposed by §§ 44-18-20 and 44-18-18 shall not apply with respect to the sale and to the storage,

17

use, or other consumption in this state of any new or used boat. The exemption provided for in

18

this subdivision does not apply after October 1, 1993, unless prior to October 1, 1993, the federal

19

ten percent (10%) surcharge on luxury boats is repealed.

20

     (49) Banks and Regulated investment companies interstate toll-free calls.

21

Notwithstanding the provisions of this chapter, the tax imposed by this chapter does not apply to

22

the furnishing of interstate and international, toll-free terminating telecommunication service that

23

is used directly and exclusively by or for the benefit of an eligible company as defined in this

24

subdivision; provided, that an eligible company employs on average during the calendar year no

25

less than five hundred (500) "full-time equivalent employees", as that term is defined in § 42-

26

64.5-2. For purposes of this section, an "eligible company" means a "regulated investment

27

company" as that term is defined in the Internal Revenue Code of 1986, 26 U.S.C. § 1 et seq., or a

28

corporation to the extent the service is provided, directly or indirectly, to or on behalf of a

29

regulated investment company, an employee benefit plan, a retirement plan or a pension plan or a

30

state chartered bank.

31

     (50) Mobile and manufactured homes generally. From the sale and from the storage, use,

32

or other consumption in this state of mobile and/or manufactured homes as defined and subject to

33

taxation pursuant to the provisions of chapter 44 of title 31.

34

     (51) Manufacturing business reconstruction materials.

 

LC003615 - Page 141 of 245

1

     (i) From the sale and from the storage, use or other consumption in this state of lumber,

2

hardware, and other building materials used in the reconstruction of a manufacturing business

3

facility which suffers a disaster, as defined in this subdivision, in this state. "Disaster" means any

4

occurrence, natural or otherwise, which results in the destruction of sixty percent (60%) or more

5

of an operating manufacturing business facility within this state. "Disaster" does not include any

6

damage resulting from the willful act of the owner of the manufacturing business facility.

7

     (ii) Manufacturing business facility includes, but is not limited to, the structures housing

8

the production and administrative facilities.

9

     (iii) In the event a manufacturer has more than one manufacturing site in this state, the

10

sixty percent (60%) provision applies to the damages suffered at that one site.

11

     (iv) To the extent that the costs of the reconstruction materials are reimbursed by

12

insurance, this exemption does not apply.

13

     (52) Tangible personal property and supplies used in the processing or preparation of

14

floral products and floral arrangements. From the sale, storage, use, or other consumption in this

15

state of tangible personal property or supplies purchased by florists, garden centers, or other like

16

producers or vendors of flowers, plants, floral products, and natural and artificial floral

17

arrangements which are ultimately sold with flowers, plants, floral products, and natural and

18

artificial floral arrangements or are otherwise used in the decoration, fabrication, creation,

19

processing, or preparation of flowers, plants, floral products, or natural and artificial floral

20

arrangements, including descriptive labels, stickers, and cards affixed to the flower, plant, floral

21

product or arrangement, artificial flowers, spray materials, floral paint and tint, plant shine, flower

22

food, insecticide and fertilizers.

23

     (53) Horse food products. From the sale and from the storage, use, or other consumption

24

in this state of horse food products purchased by a person engaged in the business of the boarding

25

of horses.

26

     (54) Non-motorized recreational vehicles sold to nonresidents.

27

     (i) From the sale, subsequent to June 30, 2003, of a non-motorized recreational vehicle to

28

a bona fide nonresident of this state who does not register the non-motorized recreational vehicle

29

in this state, whether the sale or delivery of the non-motorized recreational vehicle is made in this

30

state or at the place of residence of the nonresident; provided, that a non-motorized recreational

31

vehicle sold to a bona fide nonresident whose state of residence does not allow a like exemption

32

to its nonresidents is not exempt from the tax imposed under § 44-18-20; provided, further, that in

33

that event the bona fide nonresident pays a tax to Rhode Island on the sale at a rate equal to the

34

rate that would be imposed in his or her state of residence not to exceed the rate that would have

 

LC003615 - Page 142 of 245

1

been imposed under § 44-18-20. Notwithstanding any other provisions of law, a licensed non-

2

motorized recreational vehicle dealer shall add and collect the tax required under this subdivision

3

and remit the tax to the tax administrator under the provisions of chapters 18 and 19 of this title.

4

Provided, that when a Rhode Island licensed non-motorized recreational vehicle dealer is required

5

to add and collect the sales and use tax on the sale of a non-motorized recreational vehicle to a

6

bona fide nonresident as provided in this section, the dealer in computing the tax takes into

7

consideration the law of the state of the nonresident as it relates to the trade-in of motor vehicles.

8

     (ii) The tax administrator, in addition to the provisions of §§ 44-19-27 and 44-19-28, may

9

require any licensed non-motorized recreational vehicle dealer to keep records of sales to bona

10

fide nonresidents as the tax administrator deems reasonably necessary to substantiate the

11

exemption provided in this subdivision, including the affidavit of a licensed non-motorized

12

recreational vehicle dealer that the purchaser of the non-motorized recreational vehicle was the

13

holder of, and had in his or her possession a valid out-of-state non-motorized recreational vehicle

14

registration or a valid out-of-state driver's license.

15

     (iii) Any nonresident who registers a non-motorized recreational vehicle in this state

16

within ninety (90) days of the date of its sale to him or her is deemed to have purchased the non-

17

motorized recreational vehicle for use, storage, or other consumption in this state, and is subject

18

to, and liable for the use tax imposed under the provisions of § 44-18-20.

19

     (iv) "Non-motorized recreational vehicle" means any portable dwelling designed and

20

constructed to be used as a temporary dwelling for travel, camping, recreational, and vacation use

21

which is eligible to be registered for highway use, including, but not limited to, "pick-up coaches"

22

or "pick-up campers," "travel trailers," and "tent trailers" as those terms are defined in chapter 1

23

of title 31.

24

     (55) Sprinkler and fire alarm systems in existing buildings. From the sale in this state of

25

sprinkler and fire alarm systems, emergency lighting and alarm systems, and from the sale of the

26

materials necessary and attendant to the installation of those systems, that are required in

27

buildings and occupancies existing therein in July 2003, in order to comply with any additional

28

requirements for such buildings arising directly from the enactment of the Comprehensive Fire

29

Safety Act of 2003, and that are not required by any other provision of law or ordinance or

30

regulation adopted pursuant to that Act. The exemption provided in this subdivision shall expire

31

on December 31, 2008.

32

     (56) Aircraft. Notwithstanding the provisions of this chapter, the tax imposed by §§ 44-

33

18-18 and 44-18-20 shall not apply with respect to the sale and to the storage, use, or other

34

consumption in this state of any new or used aircraft or aircraft parts.

 

LC003615 - Page 143 of 245

1

     (57) Renewable energy products. Notwithstanding any other provisions of Rhode Island

2

general laws the following products shall also be exempt from sales tax: solar photovoltaic

3

modules or panels, or any module or panel that generates electricity from light; solar thermal

4

collectors, including, but not limited to, those manufactured with flat glass plates, extruded

5

plastic, sheet metal, and/or evacuated tubes; geothermal heat pumps, including both water-to-

6

water and water-to-air type pumps; wind turbines; towers used to mount wind turbines if

7

specified by or sold by a wind turbine manufacturer; DC to AC inverters that interconnect with

8

utility power lines; manufactured mounting racks and ballast pans for solar collector, module or

9

panel installation. Not to include materials that could be fabricated into such racks; monitoring

10

and control equipment, if specified or supplied by a manufacturer of solar thermal, solar

11

photovoltaic, geothermal, or wind energy systems or if required by law or regulation for such

12

systems but not to include pumps, fans or plumbing or electrical fixtures unless shipped from the

13

manufacturer affixed to, or an integral part of, another item specified on this list; and solar storage

14

tanks that are part of a solar domestic hot water system or a solar space heating system. If the tank

15

comes with an external heat exchanger it shall also be tax exempt, but a standard hot water tank is

16

not exempt from state sales tax.

17

     (58) Returned property. The amount charged for property returned by customers upon

18

rescission of the contract of sale when the entire amount exclusive of handling charges paid for

19

the property is refunded in either cash or credit, and where the property is returned within one

20

hundred twenty (120) days from the date of delivery.

21

     (59) Dietary Supplements. From the sale and from the storage, use or other consumption

22

of dietary supplements as defined in § 44-18-7.1(l)(v), sold on prescriptions.

23

     (60) Blood. From the sale and from the storage, use or other consumption of human

24

blood.

25

     (61) Agricultural products for human consumption. From the sale and from the storage,

26

use or other consumption of livestock and poultry of the kinds of products of which ordinarily

27

constitute food for human consumption and of livestock of the kind the products of which

28

ordinarily constitute fibers for human use.

29

     (62) Diesel emission control technology. From the sale and use of diesel retrofit

30

technology that is required by § 31-47.3-4 of the general laws.

31

     (63) Feed for certain animals used in commercial farming. From the sale of feed for

32

animals as described in subsection 44-18-30(61).

33

     (64) Alcoholic beverages. From the sale and storage, use, or other consumption in this

34

state by a Class A licensee of alcoholic beverages, as defined in § 44-18-7.1, excluding beer and

 

LC003615 - Page 144 of 245

1

malt beverages from December 1, 2013 through March 31, 2015; provided, further,

2

notwithstanding § 6-13-1 or any other general or public law to the contrary, alcoholic beverages,

3

as defined in § 44-18-7.1, shall not be subject to minimum markup from December 1, 2013

4

through March 31, 2015.

5

     (65) Electricity and gas. In recognition of the work being performed by the Streamlined

6

Sales and Use Tax Governing Board, upon passage of any federal law which authorizes states to

7

require remote sellers defined in § 44-18-15.2, to collect and remit sales and use taxes under

8

chapters 18 and 19 of this title, the sale and storage, use, or other consumption in this state of

9

electricity and gas furnished to any business shall be exempted from the taxes imposed by this

10

chapter. This exemption shall take effect on the date that the state requires remote sellers to

11

collect and remit sales and use tax.

12

     SECTION 3. This article shall take effect upon passage.

13

ARTICLE 15

14

RELATING TO HISTORIC TAX CREDITS

15

     SECTION 1. Section 1 of Article 22 of Chapter 144 of the 2013 Public Laws entitled

16

"Relating to Making Appropriations for the Support of the State for the Fiscal Year ending June

17

30, 2014" is hereby amended to read as follows:

18

     WHEREAS, the General Assembly finds that the State of Rhode Island tax credits earned

19

pursuant to Rhode Island General Laws chapters 44-33.2 and 44-33.6 (the "Historic Tax Credits")

20

have had and continue to have the desired effect of stimulating, promoting and encouraging the

21

redevelopment and reuse of historic structures by modern commercial, residential and

22

manufacturing enterprises in order to foster civic beauty, promote public education, pleasure and

23

welfare and otherwise generally improve and enhance the long-term economic well-being of the

24

citizens and municipalities of the State of Rhode Island; and

25

     WHEREAS, the 2008 General Assembly authorized Rhode Island Economic

26

Development Corporation (the "RIEDC") to issue not more than three hundred fifty-six million

27

two hundred thousand dollars ($356.2 million) of Revenue Bonds – Historic Structures Tax

28

Credit Financing Taxable Series to assist in the future cost of the Historic Structures Tax Credit

29

Program; and

30

     WHEREAS, this three hundred fifty-six million two hundred thousand dollars ($356.2

31

million) authorization included two hundred ninety-nine million nine hundred thousand dollars

32

($299.9 million) to be deposited into the project fund, and the balance was authorized for a debt

33

service reserve fund and cost of issuance; and

34

     WHEREAS, allowing tax credits formerly issued to projects declared abandoned by the

 

LC003615 - Page 145 of 245

1

Division of Taxation on May 15, 2013 to be reissued would stimulate and encourage the

2

redevelopment and reuse of historic structures by modern commercial, residential and

3

manufacturing enterprises, in order to foster civic beauty, promote public education, pleasure and

4

welfare and otherwise generally improve and further enhance the long-term economic well-being

5

of the citizens and municipalities of the State of Rhode Island however the total amount of credits

6

requested far exceeded the total amount of credits available; now, therefore, be it

7

     RESOLVED, that the RIEDC is authorized to continue with the financing as detailed in

8

the 2008 Joint Resolution and the General Assembly hereby reaffirms the RIEDC's issuance of

9

not more than $356.2 million in Bonds; and be it further

10

     RESOLVED, that the original amount of bonds authorized to be issued for deposit in the

11

project fund of $299.9 million plus the approximately $52.1 million originally planned for a

12

reserve fund (totaling $352.0 million) shall be the maximum amount that can be issued to pay

13

processing fee reimbursements on abandoned projects and to reimburse the State of Rhode Island

14

for tax credits issued on original projects or those approved after July 1, 2013, recognizing that

15

savings from currently abandoned projects have primarily offset the lower interest earnings on

16

bond proceeds and the processing fees originally anticipated in 2008; and be it further

17

     RESOLVED, that the RIEDC is authorized to use the Bond proceeds to pay processing

18

fee reimbursements and to reimburse the State of Rhode Island for Historic Tax Credits approved

19

in accordance with Rhode Island General Laws chapter 44-33.2 or 44-33.6 as well as any project

20

approved on or after July 1, 2013; and be it further

21

     RESOLVED, that the RIEDC shall continue to request the Governor to include in each of

22

the fiscal years following the issuance of the Bonds by the RIEDC an amount equal to the debt

23

service of the Bonds pursuant to the terms set forth in this Resolution; and be it further

24

     RESOLVED, that neither the Bonds nor the Payment Agreement shall constitute

25

indebtedness of the State or any of its subdivisions or a debt for which the full faith and credit of

26

the State or any of its subdivisions is pledged, except to the extent that the State appropriates

27

funds for the Bonds or the Payment Agreement subject to annual budget appropriations.

28

     SECTION 2. This article shall take effect upon passage.

29

ARTICLE 16

30

RELATING TO UNDERGROUND ECONOMY AND EMPLOYEE

31

MISCLASSIFICATION ACT

32

     SECTION 1. Title 42 of the General Laws entitled "STATE AFFAIRS AND

33

GOVERNMENT" is hereby amended by adding thereto the following chapter:

34

CHAPTER 155

 

LC003615 - Page 146 of 245

1

UNDERGROUND ECONOMY AND EMPLOYEE MISCLASSIFICATION ACT

2

     42-155-1. Short Title. -- This chapter shall be known as the "Underground Economy and

3

Employee Misclassification Act".

4

     42-155-2. Declaration of purpose. -- The general assembly finds and declares that this

5

state's economy, its workers and its businesses is harmed by the existence of an illegal

6

underground economy in which individuals and businesses conceal their activities from

7

government licensing, regulatory and taxing authorities. The underground economy and, in

8

particular, the practice of employee misclassification:

9

     (a) exploits vulnerable workers and deprives them of legal benefits and protections;

10

     (b) gives unlawful businesses an unfair competitive advantage over lawful businesses by

11

illegally driving down violators' taxes, wages, and other overhead costs;

12

     (c) defrauds the government of substantial tax revenues; and

13

     (d) harms consumers who suffer at the hands of unlicensed businesses that fail to

14

maintain minimum levels of skills and knowledge.

15

     The creation of a task force has proven to be an effective mechanism for enhancing

16

interagency cooperation, information sharing, and the prosecution of violators.

17

     42-155-3. Task Force.-- There is hereby established a Task Force on the Underground

18

Economy and Employee Misclassification. The Task Force shall consist of the following

19

members or their designees:

20

     (a) the director of labor and training or designee;

21

     (b) the tax administrator or designee;

22

     (c) the director of business regulations or designee;

23

     (d) the head of the workforce regulation and safety division or designee;

24

     (e) the attorney general or designee; and

25

     (f) the commissioner of the department of public safety or designee,

26

     The director of labor and training shall chair the Task Force.

27

     42-155-4. Duties and Responsibilities. -- The Task Force shall coordinate joint efforts to

28

combat the underground economy and employee misclassification, The Task Force shall: foster

29

voluntary compliance with the law by educating business owners and employees about applicable

30

requirements;

31

     (b) conduct joint, targeted investigations and enforcement actions against violators;

32

     (c) protect the health, safety and benefit rights of workers; and

33

     (d) restore competitive equality for law-abiding businesses.

34

     42-155-5. Sharing of Information. -- Notwithstanding any other law or regulation to the

 

LC003615 - Page 147 of 245

1

contrary, the Task Force shall facilitate timely information sharing between and among Task

2

Force members, including the establishment of protocols by which participating agencies will

3

advise or refer to other agencies matters of potential investigative interest.

4

     44-155-6. Annual Report.-- No later than March 15, 2015 and every March 15th

5

thereafter, the Task Force shall submit a report to the governor and the chairpersons of the house

6

finance committee and senate finance committee summarizing the Task Force's activities during

7

the preceding year. The report shall, without limitation:

8

     (a) describe the Task Force's efforts and accomplishments during the year;

9

     (b) identify any administrative or legal barriers impeding the more effective operation of

10

the Task Force, including any barriers to information sharing or joint action; and propose

11

appropriate administrative, legislative, or regulatory changes to strengthen the Task Force's

12

operations and enforcement efforts and reduce or eliminate any barriers to those efforts.

13

     SECTION 2. The article shall take effect upon passage.

14

ARTICLE 17

15

RELATING TO GOVERNMENT REFORM

16

     SECTION 1. Section 35-6-1 of the General Laws in Chapter 35-6 entitled "Accounts and

17

Control" is hereby amended to read as follows: 

18

     35-6-1. Controller – Duties in general. -- (a) Within the department of administration

19

there shall be a controller who shall be appointed by the director of administration pursuant to

20

chapter 4 of title 36. The controller shall be responsible for accounting and expenditure control

21

and shall be required to:

22

     (1) Administer a comprehensive accounting and recording system which will classify the

23

transactions of the state departments and agencies in accordance with the budget plan;

24

     (2) Maintain control accounts for all supplies, materials, and equipment for all

25

departments and agencies except as otherwise provided by law;

26

     (3) Prescribe a financial, accounting, and cost accounting system for state departments

27

and agencies;

28

     (4) Preaudit all state receipts and expenditures;

29

     (5) Prepare financial statements required by the several departments and agencies, by the

30

governor, or by the general assembly;

31

     (6) Approve the orders drawn on the general treasurer; provided, that the preaudit of all

32

expenditures under authority of the legislative department and the judicial department by the state

33

controller shall be purely ministerial, concerned only with the legality of the expenditure and

34

availability of the funds, and in no event shall the state controller interpose his or her judgment

 

LC003615 - Page 148 of 245

1

regarding the wisdom or expediency of any item or items of expenditure;

2

     (7) Prepare and timely file, on behalf of the state, any and all reports required by the

3

United States, including, but not limited to, the internal revenue service, or required by any

4

department or agency of the state, with respect to the state payroll; and

5

     (8) Prepare a preliminary closing statement for each fiscal year. The controller shall

6

forward the statement to the chairpersons of the house finance committee and the senate finance

7

committee, with copies to the house fiscal advisor and the senate fiscal and policy advisor, by

8

September 1 following the fiscal year ending the prior June 30 or thirty (30) days after enactment

9

of the appropriations act, whichever is later. The report shall include but is not limited to:

10

     (i) A report of all revenues received by the state in the completed fiscal year, together

11

with the estimates adopted for that year as contained in the final enacted budget, and together

12

with all deviations between estimated revenues and actual collections. The report shall also

13

include cash collections and accrual adjustments;

14

     (ii) A comparison of actual expenditures with each of the actual appropriations, including

15

supplemental appropriations and other adjustments provided for in the Rhode Island General

16

Laws;

17

     (iii) A statement of the opening and closing surplus in the general revenue account; and

18

     (iv) A statement of the opening surplus, activity, and closing surplus in the state budget

19

reserve and cash stabilization account and the state bond capital fund.

20

     (b) The controller shall provide supporting information on revenues, expenditures, capital

21

projects, and debt service upon request of the house finance committee chairperson, senate

22

finance committee chairperson, house fiscal advisor, or senate fiscal and policy advisor.

23

     (c) Upon issuance of the audited annual financial statement, the controller shall provide a

24

report of the differences between the preliminary financial report and the final report as contained

25

in the audited annual financial statement.

26

     (d) Upon issuance of the audited financial statement, the controller shall transfer all

27

general revenues received in the completed fiscal year net of transfer to the state budget reserve

28

and cash stabilization account as required by § 35-3-20 in excess of those estimates adopted for

29

that year as contained in the final enacted budget to the employees' retirement system of the state

30

of Rhode Island as defined in § 36-8-2.

31

     (e)(d) The controller shall create a special fund not part of the general fund and shall

32

deposit amounts equivalent to all deferred contributions under this act into that fund. Any

33

amounts remaining in the fund on June 15, 2010, shall be transferred to the general treasurer who

34

shall transfer such amounts into the retirement system as appropriate.

 

LC003615 - Page 149 of 245

1

     (e) The controller shall implement a direct deposit payroll system for state employees.

2

     (i) There shall be no service charge of any type paid by the state employee at any time

3

which shall decrease the net amount of the employee's salary deposited to the financial institution

4

of the personal choice of the employee as a result of the use of direct deposit.

5

     (ii) Employees hired after September 30, 2014, shall participate in the direct deposit

6

system. At the time the employee is hired, the employee shall identify a financial institution that

7

will serve as a personal depository agent for the employee.

8

     (iii) No later than June 30, 2016, each employee hired before September 30, 2014, who is

9

not a participant in the direct deposit system, shall identify a financial institution that will serve as

10

a personal depository agent for the employee.

11

     (iv) The controller shall promulgate rules and regulations as necessary for implementation

12

and administration of the direct deposit system, which shall include limited exceptions to required

13

participation.

14

     SECTION 2. Section 36-4-16.4 of the General Laws in Chapter 36-4 entitled "Merit

15

System" is hereby repealed.

16

     36-4-16.4. Salaries of directors. – (a) In the month of March of each year, the

17

department of administration shall conduct a public hearing to determine salaries to be paid to

18

directors of all state executive departments for the following year, at which hearing all persons

19

shall have the opportunity to provide testimony, orally and in writing. In determining these

20

salaries, the department of administration will take into consideration the duties and

21

responsibilities of the aforenamed officers, as well as such related factors as salaries paid

22

executive positions in other states and levels of government, and in comparable positions

23

anywhere which require similar skills, experience, or training. Consideration shall also be given

24

to the amounts of salary adjustments made for other state employees during the period that pay

25

for directors was set last.

26

     (b) Each salary determined by the department of administration will be in a flat amount,

27

exclusive of such other monetary provisions as longevity, educational incentive awards, or other

28

fringe additives accorded other state employees under provisions of law, and for which directors

29

are eligible and entitled.

30

     (c) In no event will the department of administration lower the salaries of existing

31

directors during their term of office.

32

     (d) Upon determination by the department of administration, the proposed salaries of

33

directors will be referred to the general assembly by the last day in April of that year to go into

34

effect thirty (30) days hence, unless rejected by formal action of the house and the senate acting

 

LC003615 - Page 150 of 245

1

concurrently within that time.

2

     SECTION 3. Section 36-4-16.5 of the General Laws in Chapter 36-4 entitled "Merit

3

System" is hereby amended to read as follows:

4

     36-4-16.5. Certain unclassified positions excluded. -- Sections 36-4-16.2 and 36-416.4

5

of this chapter shall have no application to those positions enumerated in subdivisions 36-4-2(1),

6

36-4-2(2), 36-4-2(3), and the department of administration shall have no jurisdiction over the

7

status, tenure or salaries of those said enumerated positions.

8

     SECTION 4. Sections 37-2.3-3 and 37-2.3-4 of the General Laws in Chapter 37-2.3

9

entitled "Government Oversight and Fiscal Accountability Review Act" are hereby amended to

10

read as follows:

11

     37-2.3-3. Definitions. -- As used in this chapter, the following terms shall have the

12

following meanings:

13

     (1) "Agency" includes any executive office, department, division, board, commission, or

14

other office or officer in the executive branch of the government.

15

     (2) "Person" includes an individual, institution, federal, state, or local governmental

16

entity, or any other public or private entity.

17

     (3) "Private contractor employee" includes a worker directly employed by a private

18

contractor, as defined in this section, as well as an employee of a subcontractor or an independent

19

contractor that provides supplies or services to a private contractor.

20

     (4) "Privatization or privatization contract" means an agreement or combination or series

21

of agreements by which a non-governmental person or entity agrees with an agency to provide

22

services expected to result in a fiscal year expenditure of at least one hundred fifty thousand

23

dollars ($150,000) (as of July 1 each year, the amount shall increase to reflect increases in the

24

consumer price index calculated by the United States Bureau of Labor Statistics for all urban

25

consumers nationally during the most recent twelve (12) month period for which data are

26

available or more), which would contract services which are substantially similar to and in

27

replacement of work normally performed by an employee of an agency as of June 30, 2007.

28

     "Privatization" or "privatization contract" excludes:

29

     (i) Contracts resulting from an emergency procurement;

30

     (ii) Contracts with a term of one hundred eighty (180) days or less on a non-recurring

31

basis;

32

     (iii) Contracts to provide highly specialized or technical services not normally provided

33

by state employees;

34

     (iv) Any subsequent contract which: (a) renews or rebids a prior privatization contract

 

LC003615 - Page 151 of 245

1

which existed before June 30, 2007; or (b) renews or rebids a privatization contract that was

2

subject to the provisions of this statute after its enactment; and

3

     (v) An agreement to provide legal services or management consulting services.

4

     (5) "Privatization contractor" is any contractor, consultant, subcontractor, independent

5

contractor or private business owner that contracts with a state agency to perform services in

6

accordance with the definition of a "privatization contract."

7

     (6) "Services" includes, with respect to a private contractor, all aspects of the provision of

8

services provided by a private contractor pursuant to a privatization contract, or any services

9

provided by a subcontractor of a private contractor.

10

     37-2.3-4. Fiscal monitoring of privatization contracts. -- Each private contractor shall

11

file a A copy of each executed subcontract contract or amendment to the subcontract with the

12

agency, which shall maintain the subcontract or amendment be made available by the Division of

13

Purchases as a public record, as defined in the access to public records act.

14

     (1) Audits. Privatization contracts shall be subject to audit or review, as defined by the

15

American Institute of Certified Public Accountants, by the office of the auditor general at the

16

discretion of the auditor general. Any audit or review shall be conducted in compliance with

17

generally accepted auditing standards.

18

     (2) Access. All privatization contracts shall include a contract provision specifying

19

language that provides public access to the complete contract.

20

     (3) Fiscal accountability. As part of the budgetary process, each state agency shall

21

provide an addendum to include in their submitted budget request a listing of all privatization

22

contracts.; the name of each contractor, subcontractor, duration of the contract provided and

23

services provided; the total cost of each contract(s) for the prior year; and the projected number of

24

privatization service contracts for the current and upcoming year, the total cost of each contract(s)

25

for the prior year; the estimated costs of each contract(s) for the current and upcoming year. The

26

addendum for each agency shall also contain a summary of contracted private contractor

27

employees for each contract, reflected as full-time equivalent positions, their hourly wage rate,

28

and the number of private contractor employees and consultants for the current and previous

29

fiscal year. For the prior fiscal year, the listing shall include the name of each contractor; a

30

description of the services provided; the amount expended for the fiscal year: the positions

31

employed by title, if applicable; and the hourly wage paid by position, if applicable. For the

32

current and upcoming fiscal years, the listing shall include the name of each contractor, if known

33

at the time the listing is prepared; a description of the services to be provided; the amount

34

budgeted for the contract in each fiscal year; the positions to be employed by title, if known and

 

LC003615 - Page 152 of 245

1

applicable; and the hourly wage to be paid by position, if known and applicable. The addendums

2

listings shall be open records published annually online at the State's transparency portal or an

3

equivalent website, available for public inspection, no later than December 1 of each year.

4

     SECTION 5. Section 37-6-2 of the General Laws in Chapter 37-6 entitled "Acquisition of

5

Land" is hereby amended to read as follows:

6

     37-6-2. Rules, regulations, and procedures of committee. -- (a) The state properties

7

committee is hereby authorized and empowered to adopt and prescribe rules of procedure and

8

regulations, and from time to time amend, change, and eliminate rules and regulations, and make

9

such orders and perform such actions as it may deem necessary to the proper administration of

10

this chapter and §§ 37-7-1 – 37-7-9. In the performance of the commission's duties hereunder, the

11

commission may in any particular case prescribe a variation in procedure or regulation when it

12

shall deem it necessary in view of the exigencies of the case and the importance of speedy action

13

in order to carry out the intent and purpose of this chapter and §§ 37-7-1 – 37-7-9. The

14

commission shall file written notice thereof in the office of the secretary of state. All filings shall

15

be available for public inspection.

16

     (b) The following siting criteria shall be utilized whenever current existing leases expire

17

or additional office space is needed:

18

     (1) A preference shall be given to sites designated as enterprise zone census tracts

19

pursuant to chapter 64.3 of title 42, or in blighted and/or substandard areas pursuant to § 45-31-8,

20

or in downtown commercial areas where it can be shown the facilities would make a significant

21

impact on the economic vitality of the community's central business district;

22

     (2) Consideration should be given to adequate access via public transportation for both

23

employees as well as the public being served, and, where appropriate, adequate parking;

24

     (3) A site must be consistent with the respective community's local comprehensive plan;

25

and  (4) The division of planning within the department of administration shall be included in

26

the evaluation of all future lease proposals.

27

     (c) The state properties committee shall explain, in writing, how each site selected by the

28

committee for a state facility meets the criteria described in subsection (b) of this section.

29

     (d) For any lease, rental agreement or extension of an existing rental agreement for leased

30

office and operating space which carries a term of five (5) years or longer, including any options

31

or extensions that bring the total term to five (5) years or longer, where the state is the tenant and

32

the aggregate rent of the terms exceeds five hundred thousand dollars ($500,000) the state

33

properties committee shall request approval of the general assembly prior to entering into any

34

new agreements or signing any extensions with existing landlords. The state properties

 

LC003615 - Page 153 of 245

1

committee, in the form of a resolution, shall provide information relating to the purpose of the

2

lease or rental agreement, the agency's current lease or rental costs, the expiration date of any

3

present lease or rental agreement, the range of costs of a new lease or rental agreement, the

4

proposed term of a new agreement, and the location and owner of the desired property.

5

     SECTION 6. Section 42-90-1 of the General Laws in Chapter 42-90 entitled "Disclosure

6

of Names of State Government Consultants" is hereby amended to read as follows:

7

     42-90-1. Public disclosure required. -- (a) All departments, commissions, boards,

8

councils, other agencies in the government of the state and public corporations shall annually

9

prepare and submit to the secretary of state quarterly a budget office by October 1 a list

10

containing:

11

     (1) The name of any person or vendor who performed legal, medical, accounting,

12

engineering, or any other professional, technical or consultant service to the department,

13

commission, board, council, agency or public corporation on a contractual basis during the

14

previous quarter fiscal year; and

15

     (2) The amount of compensation received by each consultant during the previous quarter

16

fiscal year.

17

     (b) All departments, commissions, boards, councils, other agencies in the government of

18

the state and public corporations shall prepare and submit to the secretary of state budget office

19

on an annual basis by October 1 a contracting report containing:

20

     (1) Digital/Electronic copies A list of all contracts or agreements by which a

21

nongovernmental person or entity agrees with the department, commission, board, council,

22

agency or public corporation to provide services, valued at one hundred fifty thousand dollars

23

($100,000 ($150,000) or more, which are substantially similar to and in lieu of services

24

heretofore provided, in whole or in part, by regular employees replacement of work normally

25

performed by an employee of the department, commission, board, council, agency or public

26

corporation; and.

27

     (2) A budget analysis of each contract reported pursuant to this subsection containing the

28

cost of each contract for the prior, current and next year; and the number of private contractor

29

employees reflected as full-time equivalent positions with their hourly wage rate, and costs of

30

benefits for each job classification for the current and previous year.

31

     (c) The secretary of state budget office shall compile, publish, and make available for

32

public inspection all lists and contracting reports prepared in accordance with this chapter post

33

electronic/digital copies of all contracts and reports online using the state's transparency portal or

34

an equivalent website annually no later than December 1 of each year.

 

LC003615 - Page 154 of 245

1

     SECTION 7. Chapter 42-149 of the General Laws entitled "State Expenditures for Non-

2

State Employee Services" is hereby repealed in its entirety.

3

     42-149-1. Short title. -- This chapter may be cited as the "State Expenditure for Non-

4

State Employee Services."

5

     42-149-2. Legislative intent.-- The legislature is committed to increasing fiscal

6

efficiency and accountability for all state expenditures.

7

     42-149-3. State expenditures for non-state employee services. -- All state departments

8

shall submit quarterly reports of all non-state employee expenditures for legal services, financial

9

services, temporary workers, and other non-state employee personnel costs. The reports shall be

10

submitted to the state budget office and the chairpersons of the house and senate finance

11

committees with the first report due on January 1, 2008. The reports shall contain the following

12

information:

13

     (1) Efforts made to identify qualified individuals or services within state government;

14

     (2) Factors used in choosing a non-state employee or firm;

15

     (3) Results of requests for proposals for services or bids for services; and

16

     (4) The actual cost and the budgeted cost for the expenditure.

17

     42-149-3.1. Assessment on state expenditures for non-state employee services. --

18

Whenever a department, commission, board, council, agency or public corporation incurs

19

expenditures through contracts or agreements by which a nongovernmental person or entity

20

agrees to provide services which are substantially similar to and in lieu of services hereto fore

21

provided, in whole or in part, by regular employees of the department, commission, board,

22

council, agency or public corporation covered by chapter 36-8, those expenditures shall be

23

subject to an assessment equal to five and one-half percent (5.5%) of the cost of the service. That

24

assessment shall be paid to the retirement system on a quarterly basis in accordance with

25

subsection 36-10-2(e).

26

     SECTION 8. Section 2 shall be effective January 1, 2015. All other sections shall be

27

effective upon passage.

28

ARTICLE 18

29

RELATING TO GOVERNMENT REORGANIZATION

30

     SECTION 1. Sections 30-15-5 and 30-15-6 of the General Laws in Chapter 30-15

31

entitled "Emergency Management" are hereby amended to read as follows:

32

     30-15-5. Emergency management preparedness agency created – Personnel –

33

Facilities. -- (a) There is hereby created within the executive department, the Rhode Island

34

emergency management agency (hereinafter in this chapter called the "agency"), to be headed by

 

LC003615 - Page 155 of 245

1

the adjutant general of the Rhode Island national guard an executive director, who shall be

2

appointed by and serve at the pleasure of, the governor and who shall be in the unclassified

3

service.

4

     (b) The adjutant general executive director may employ such technical, clerical,

5

stenographic, and other personnel, all of whom shall be in the classified service, and may make

6

such expenditures within the appropriation therefor, or from other funds made available for the

7

purposes of this chapter, as may be necessary to carry out the purposes of this chapter, consistent

8

with other applicable provisions of law.

9

     (c) The agency may provide itself with appropriate office space, furniture, equipment,

10

supplies, stationery, and printing.

11

     (d) The adjutant general, executive director, subject to the direction and control of the

12

governor, shall be the executive head of the agency, and shall be responsible to the governor for

13

carrying out the program for disaster preparedness of this state. The adjutant general executive

14

director shall coordinate the activities of all organizations for disasters within the state, and shall

15

maintain liaison with and cooperate with disaster agencies and organizations of other states and of

16

the federal government. The adjutant general executive director shall have such additional

17

authority, duties, and responsibilities authorized by this chapter as may be prescribed by the

18

governor.

19

     30-15-6. Advisory council. – (a) There is hereby created the Rhode Island emergency

20

management advisory council (hereinafter in this chapter called the "council"). The council will

21

consist of forty (40) members as follows:

22

     (1) Twenty-two (22) ex officio members as follows:

23

     (i) The lieutenant governor;

24

     (ii) The adjutant general;

25

     (iii) The director of administration/statewide planning;

26

     (iv) The director of health;

27

     (v) The director of transportation;

28

     (vi) The director of human services;

29

     (vii) The superintendent of state police;

30

     (viii) The public utilities administrator;

31

     (ix) The director of the department of environmental management;

32

     (x) The director of mental health, retardation, and hospitals department of behavioral

33

healthcare, developmental disabilities and hospitals;

34

     (xi) The director of elderly affairs;

 

LC003615 - Page 156 of 245

1

     (xii) The chairperson of the state water resources board;

2

     (xiii) The chairperson of the governor's commission on disabilities;

3

     (xiv) The chairperson of the Rhode Island public transit authority;

4

     (xv) The executive director of the coastal resources management council or his or her

5

designee;

6

     (xvi) The executive director of the American Red Cross, Rhode Island chapter;

7

     (xvii) The executive director of the Rhode Island emergency management agency;

8

     (xviii) The state court administrator;

9

     (xix) The executive director of the commission on the deaf and hard of hearing;

10

     (xx) The director of the Providence emergency management agency;

11

     (xxi) The executive director of E-911 emergency telephone system division;

12

     (xxii) The federal security director of the transportation security administration for Rhode

13

Island; and

14

     (2) Eighteen (18) members appointed by and serving at the pleasure of the governor, as

15

follows:

16

     (i) Two (2) members of the senate, recommended by the president of the senate, not more

17

than one of whom shall be from the same political party;

18

     (ii) Two (2) members of the house of representatives, recommended by the speaker of the

19

house, not more than one of whom shall be from the same political party;

20

     (iii) One representative of the electric industry;

21

     (iv) One representative of the gas industry;

22

     (v) One representative of the telephone industry;

23

     (vi) The executive director of the Rhode Island petroleum association or other similarly

24

situated person;

25

     (vii) Two (2) representatives of the general public, one who shall have expertise in

26

disaster preparedness;

27

     (viii) One representative of the Rhode Island league of cities and towns;

28

     (ix) One representative of the media;

29

     (x) One representative of the water supply industry;

30

     (xi) One representative of the health care industry;

31

     (xii) One representative of the Rhode Island firefighters association;

32

     (xiii) One representative of the Rhode Island association of fire chiefs;

33

     (xiv) One representative of a private ambulance company; and

34

     (xv) One representative of a level I trauma hospital who shall have direct expertise in

 

LC003615 - Page 157 of 245

1

disaster preparedness.

2

     (b) It shall be the duty of the council to advise the governor and the adjutant general

3

executive director on all matters pertaining to disaster preparedness. The lieutenant governor shall

4

serve as chairperson of the council and the adjutant general executive director shall serve as vice-

5

chairperson. In providing advice to the governor and the adjutant general, executive director, the

6

council shall, among other matters reasonably related to their authority, do the following:

7

     (1) Establish a regular meeting schedule and form subcommittees as may be appropriate;

8

     (2) Review emergency management plans and other matters as may be acted upon or

9

otherwise provided for in this chapter;

10

     (3) Establish priorities and goals on emergency management matters on an annual basis;

11

     (4) Study emergency management plans in conjunction with the adjutant general, and

12

otherwise conduct such other studies as may be deemed appropriate;

13

     (5) Review the coordination of the state's emergency management programs with

14

appropriate authorized agencies and conduct studies on the programs as may be necessary;

15

     (6) Review the plans and operations of the various cities and towns in disaster

16

preparedness in conjunction with the director and his or her office as required or necessary; and

17

     (7) [Deleted by P.L. 2000, ch. 170, § 2];

18

     (8) Provide an annual report on its activities in conjunction with the adjutant general

19

executive director.

20

     SECTION 2. Section 39-1-27.12 of the General Laws in Chapter 39-1 entitled "Public

21

Utilities Commission" is hereby amended to read as follows:

22

     39-1-27.12. Low Income Home Energy Assistance Program Enhancement Plan. --

23

(a) The Low Income Home Energy Assistance Program Enhancement Plan (hereinafter "LIHEAP

24

Enhancement Plan") is hereby created to supplement the federal Low Income Household

25

Assistance Program ("LIHEAP") funding being received by customers of Rhode Island electric

26

and gas distribution companies.

27

     (b) Within a period of time sufficient to accomplish the purposes of this section, but not

28

longer than ninety (90) days after the effective date of this chapter, the Office of Energy

29

Resources department of human services shall develop a recommended monthly "LIHEAP

30

Enhancement Charge" rate for the following year and make a filing with the commission pursuant

31

to this chapter recommending rates. Thereafter annually but no later than October 15 of each

32

year, the office department shall make filings with the commission to recommend the LIHEAP

33

Enhancement Charge rates for each class of electric and natural gas distribution company

34

customer for the following year.

 

LC003615 - Page 158 of 245

1

     (c) A LIHEAP Enhancement Charge approved by the Commission shall have the

2

following limitations:

3

     (1) For electric distribution company customers, the charge shall not be more than ten

4

dollars ($10.00) per year.

5

     (2) For natural gas distribution company customers, the charge shall not be more than ten

6

dollars ($10.00) per year.

7

     (3) The total projected annual revenue for the LIHEAP Enhancement Plan through

8

charges to all electric and natural gas distribution company customers shall not exceed seven

9

million five hundred thousand dollars ($7,500,000) and shall not be below six million five

10

hundred thousand dollars ($6,500,000).

11

     (d) The commission shall open a docket to consider for approval LIHEAP Enhancement

12

Charge rates proposed by the office department. In reviewing the recommended rates the

13

commission shall give due consideration to the recommendations of the office department and the

14

standards set forth in subsection (c) of this section. The commission shall issue a decision within

15

sixty (60) days after said recommendations and report are filed with the commission establishing

16

the Enhancement Plan Charge rates.(e) The electric or gas distribution company shall use the

17

funds collected through this Enhancement Plan Charge to provide a credit to customers accounts

18

that are receiving federal LIHEAP assistance payments. The office of energy resources

19

department of human services shall designate to the gas or electric distribution company the

20

qualifying customer accounts and the amounts to be credited to those customer accounts,

21

provided that the total amount to be credited to those accounts shall be fully funded by and not

22

exceed the total amount collected through the Enhancement Plan Charge. The electric or gas

23

distribution company's added administrative expenses to process the credit assignments provided

24

to it by the office of energy resources department of human services will be recoverable either

25

from the LIHEAP Enhancement Charge or through a separate charge approved by the Public

26

Utilities Commission.

27

     (f) As used in this section, "electric and natural gas distribution company" means a

28

company as defined in subsection 39-1-2(12), but not including the Block Island Power Company

29

or the Pascoag Utility District.

30

     SECTION 3. Section 42-17.1-2 of the General Laws in Chapter 42-17.1 entitled

31

"Department of Environmental Management" is hereby amended to read as follows:

32

     42-17.1-2. Powers and duties. -- The director of environmental management shall have

33

the following powers and duties:

34

     (1) To supervise and control the protection, development, planning, and utilization of the

 

LC003615 - Page 159 of 245

1

natural resources of the state, such resources, including but not limited to, water, plants, trees,

2

soil, clay, sand, gravel, rocks and other minerals, air, mammals, birds, reptiles, amphibians, fish,

3

shellfish, and other forms of aquatic, insect, and animal life;

4

     (2) To exercise all functions, powers, and duties heretofore vested in the department of

5

agriculture and conservation, and in each of the divisions of the department, such as the

6

promotion of agriculture and animal husbandry in their several branches, including the inspection

7

and suppression of contagious diseases among animals, the regulation of the marketing of farm

8

products, the inspection of orchards and nurseries, the protection of trees and shrubs from

9

injurious insects and diseases, protection from forest fires, the inspection of apiaries and the

10

suppression of contagious diseases among bees, prevention of the sale of adulterated or

11

misbranded agricultural seeds, promotion and encouragement of the work of farm bureaus in

12

cooperation with the University of Rhode Island, farmers' institutes and the various organizations

13

established for the purpose of developing an interest in agriculture, together with such other

14

agencies and activities as the governor and the general assembly may from time to time place

15

under the control of the department, and as heretofore vested by such of the following chapters

16

and sections of the general laws as are presently applicable to the department of environmental

17

management and which were previously applicable to the department of natural resources and the

18

department of agriculture and conservation or to any of its divisions: chapters 1 through 22,

19

inclusive, as amended, in title 2 entitled "Agriculture and Forestry;" chapters 1 through 17,

20

inclusive, as amended, in title 4 entitled "Animals and Animal Husbandry;" chapters 1 through

21

19, inclusive, as amended, in title 20 entitled "Fish and Wildlife;" chapters 1 through 32,

22

inclusive, as amended, in title 21 entitled "Food and Drugs;" chapter 7 of title 23 as amended,

23

entitled "Mosquito Abatement;" and by any other general or public law relating to the department

24

of agriculture and conservation or to any of its divisions or bureaus;

25

     (3) To exercise all the functions, powers, and duties heretofore vested in the division of

26

parks and recreation of the department of public works by chapters 1, 2, and 5 in title 32 entitled

27

"Parks and Recreational Areas;" by chapter 22.5 of title 23, as amended, entitled "Drowning

28

Prevention and Lifesaving;" and by any other general or public law relating to the division of

29

parks and recreation;

30

     (4) To exercise all the functions, powers, and duties heretofore vested in the division of

31

harbors and rivers of the department of public works, or in the department itself by such as were

32

previously applicable to the division or the department, of chapters 1 through 22 and sections

33

thereof, as amended, in title 46 entitled "Waters and Navigation"; and by any other general or

34

public law relating to the division of harbors and rivers;

 

LC003615 - Page 160 of 245

1

     (5) To exercise all the functions, powers and duties heretofore vested in the department of

2

health by chapters 25, 18.9, and 19.5 of title 23, as amended, entitled "Health and Safety;" and by

3

chapters 12 and 16 of title 46, as amended, entitled "Waters and Navigation"; by chapters 3, 4, 5,

4

6, 7, 9, 11, 13, 18, and 19 of title 4, as amended, entitled "Animals and Animal Husbandry;" and

5

those functions, powers, and duties specifically vested in the director of environmental

6

management by the provisions of § 21-2-22, as amended, entitled "Inspection of Animals and

7

Milk;" together with other powers and duties of the director of the department of health as are

8

incidental to or necessary for the performance of the functions transferred by this section;

9

     (6) To cooperate with the Rhode Island economic development corporation in its

10

planning and promotional functions, particularly in regard to those resources relating to

11

agriculture, fisheries, and recreation;

12

     (7) To cooperate with, advise, and guide conservation commissions of cities and towns

13

created under chapter 35 of title 45 entitled "Conservation Commissions", as enacted by chapter

14

203 of the Public Laws, 1960;

15

     (8) To assign or reassign, with the approval of the governor, any functions, duties, or

16

powers established by this chapter to any agency within the department, except as hereinafter

17

limited;

18

     (9) To cooperate with the water resources board and to provide to the board facilities,

19

administrative support, staff services, and such other services as the board shall reasonably

20

require for its operation and, in cooperation with the board and the statewide planning program to

21

formulate and maintain a long range guide plan and implementing program for development of

22

major water sources transmissions systems needed to furnish water to regional and local

23

distribution systems;

24

     (10) To cooperate with the solid waste management corporation and to provide to the

25

corporation such facilities, administrative support, staff services and such other services within

26

the department as the corporation shall reasonably require for its operation;

27

     (11) To provide for the maintenance of waterways and boating facilities, consistent with

28

chapter 6.1 of title 46, by: (i) establishing minimum standards for upland beneficial use and

29

disposal of dredged material; (ii) promulgating and enforcing rules for water quality, ground

30

water protection, and fish and wildlife protection pursuant to § 42-17.1-24; (iii) planning for the

31

upland beneficial use and/or disposal of dredged material in areas not under the jurisdiction of the

32

council pursuant to § 46-23-6(2); and (iv) cooperating with the coastal resources management

33

council in the development and implementation of comprehensive programs for dredging as

34

provided for in §§ 46-23-6(1)(ii)(H) and 46-23-18.3; and (v) monitoring dredge material

 

LC003615 - Page 161 of 245

1

management and disposal sites in accordance with the protocols established pursuant to § 46-6.1-

2

5(3) and the comprehensive program provided for in § 46-23-6(1)(ii)(H); no powers or duties

3

granted herein shall be construed to abrogate the powers or duties granted to the coastal resources

4

management council under chapter 23 of title 46, as amended;

5

     (12) To establish minimum standards, subject to the approval of the environmental

6

standards board, relating to the location, design, construction and maintenance of all sewage

7

disposal systems;

8

     (13) To enforce, by such means as provided by law, the standards for the quality of air,

9

and water, and the design, construction and operation of all sewage disposal systems; any order or

10

notice issued by the director relating to the location, design, construction or maintenance of a

11

sewage disposal system shall be eligible for recordation under chapter 13 of title 34. The director

12

shall forward the order or notice to the city or town wherein the subject property is located and

13

the order or notice shall be recorded in the general index by the appropriate municipal official in

14

the land evidence records in the city or town wherein the subject property is located. Any

15

subsequent transferee of that property shall be responsible for complying with the requirements of

16

the order or notice. Upon satisfactory completion of the requirements of the order or notice, the

17

director shall provide written notice of the same, which notice shall be similarly eligible for

18

recordation. The original written notice shall be forwarded to the city or town wherein the subject

19

property is located and the notice of satisfactory completion shall be recorded in the general index

20

by the appropriate municipal official in the land evidence records in the city or town wherein the

21

subject property is located. A copy of the written notice shall be forwarded to the owner of the

22

subject property within five (5) days of a request for it, and, in any event, shall be forwarded to

23

the owner of the subject property within thirty (30) days after correction;

24

     (14) To establish minimum standards for the establishment and maintenance of salutary

25

environmental conditions, including standards and methods for the assessment and the

26

consideration of the cumulative effects on the environment of regulatory actions and decisions,

27

which standards for consideration of cumulative effects shall provide for: (i) evaluation of

28

potential cumulative effects that could adversely effect public health and/or impair ecological

29

functioning; (ii) analysis of such other matters relative to cumulative effects as the department

30

may deem appropriate in fulfilling its duties, functions and powers; which standards and methods

31

shall only be applicable to ISDS systems in the town of Jamestown in areas that are dependent for

32

water supply on private and public wells, unless broader use is approved by the general assembly.

33

The department shall report to the general assembly not later than March 15, 2008 with regard to

34

the development and application of such standards and methods in Jamestown.

 

LC003615 - Page 162 of 245

1

     (15) To establish and enforce minimum standards for permissible types of septage,

2

industrial waste disposal sites and waste oil disposal sites;

3

     (16) To establish minimum standards subject to the approval of the environmental

4

standards board for permissible types of refuse disposal facilities, the design, construction,

5

operation, and maintenance of disposal facilities; and the location of various types of facilities;

6

     (17) To exercise all functions, powers, and duties necessary for the administration of

7

chapter 19.1 of title 23 entitled "Rhode Island Hazardous Waste Management Act";

8

     (18) To designate in writing any person in any department of the state government or any

9

official of a district, county, city, town, or other governmental unit, with that official's consent, to

10

enforce any rule, regulation, or order promulgated and adopted by the director under any

11

provision of law; provided, however, that enforcement of powers of the coastal resources

12

management council shall be assigned only to employees of the department of environmental

13

management, except by mutual agreement or as otherwise provided in chapter 23 of title 46;

14

     (19) To issue and enforce such rules, regulations, and orders as may be necessary to carry

15

out the duties assigned to the director and the department by any provision of law; and to conduct

16

such investigations and hearings and to issue, suspend, and revoke such licenses as may be

17

necessary to enforce those rules, regulations, and orders.

18

     Notwithstanding the provisions of § 42-35-9 to the contrary, no informal disposition of a

19

contested licensing matter shall occur where resolution substantially deviates from the original

20

application unless all interested parties shall be notified of said proposed resolution and provided

21

with opportunity to comment upon said resolution pursuant to applicable law and any rules and

22

regulations established by the director.

23

     (20) To enter, examine or survey at any reasonable time such places as the director deems

24

necessary to carry out his or her responsibilities under any provision of law subject to the

25

following provisions:

26

     (i) For criminal investigations, the director shall, pursuant to chapter 5 of title 12, seek a

27

search warrant from an official of a court authorized to issue warrants, unless a search without a

28

warrant is otherwise allowed or provided by law;

29

     (ii) All administrative inspections shall be conducted pursuant to administrative

30

guidelines promulgated by the department in accordance with chapter 35 of title 42.

31

     (B) A warrant shall not be required for administrative inspections if conducted under the

32

following circumstances, in accordance with the applicable constitutional standards:

33

     (I) For closely regulated industries;

34

     (II) In situations involving open fields or conditions that are in plain view;

 

LC003615 - Page 163 of 245

1

     (III) In emergency situations;

2

     (IV) In situations presenting an imminent threat to the environment or public health,

3

safety or welfare;

4

     (V) If the owner, operator, or agent in charge of the facility, property, site or location

5

consents; or

6

     (VI) In other situations in which a warrant is not constitutionally required.

7

     (C) Whenever it shall be constitutionally or otherwise required by law, or whenever the

8

director in his or her discretion deems it advisable, an administrative search warrant, or its

9

functional equivalent, may be obtained by the director from a neutral magistrate for the purpose

10

of conducting an administrative inspection. The warrant shall be issued in accordance with the

11

applicable constitutional standards for the issuance of administrative search warrants. The

12

administrative standard of probable cause, not the criminal standard of probable cause, shall

13

apply to applications for administrative search warrants.

14

     (I) The need for, or reliance upon, an administrative warrant shall not be construed as

15

requiring the department to forfeit the element of surprise in its inspection efforts.

16

     (II) An administrative warrant issued pursuant to this subsection must be executed and

17

returned within ten (10) days of its issuance date unless, upon a showing of need for additional

18

time, the court orders otherwise.

19

     (III) An administrative warrant may authorize the review and copying of documents that

20

are relevant to the purpose of the inspection. If documents must be seized for the purpose of

21

copying, and the warrant authorizes such seizure, the person executing the warrant shall prepare

22

an inventory of the documents taken. The time, place and manner regarding the making of the

23

inventory shall be set forth in the terms of the warrant itself, as dictated by the court. A copy of

24

the inventory shall be delivered to the person from whose possession or facility the documents

25

were taken. The seized documents shall be copied as soon as feasible under circumstances

26

preserving their authenticity, then returned to the person from whose possession or facility the

27

documents were taken.

28

     (IV) An administrative warrant may authorize the taking of samples of air, water or soil

29

or of materials generated, stored or treated at the facility, property, site or location. Upon request,

30

the department shall make split samples available to the person whose facility, property, site or

31

location is being inspected.

32

     (V) Service of an administrative warrant may be required only to the extent provided for

33

in the terms of the warrant itself, by the issuing court.

34

     (D) Penalties. Any willful and unjustified refusal of right of entry and inspection to

 

LC003615 - Page 164 of 245

1

department personnel pursuant to an administrative warrant shall constitute a contempt of court

2

and shall subject the refusing party to sanctions, which in the court's discretion may result in up to

3

six (6) months imprisonment and/or a monetary fine of up to ten thousand dollars ($10,000) per

4

refusal.

5

     (21) To give notice of an alleged violation of law to the person responsible therefor

6

whenever the director determines that there are reasonable grounds to believe that there is a

7

violation of any provision of law within his or her jurisdiction or of any rule or regulation adopted

8

pursuant to authority granted to him or her, unless other notice and hearing procedure is

9

specifically provided by that law. Nothing in this chapter shall limit the authority of the attorney

10

general to prosecute offenders as required by law.

11

     (i) The notice shall provide for a time within which the alleged violation shall be

12

remedied, and shall inform the person to whom it is directed that a written request for a hearing

13

on the alleged violation may be filed with the director within ten (10) days after service of the

14

notice. The notice will be deemed properly served upon a person if a copy thereof is served him

15

or her personally, or sent by registered or certified mail to his or her last known address, or if he

16

or she is served with notice by any other method of service now or hereafter authorized in a civil

17

action under the laws of this state. If no written request for a hearing is made to the director

18

within ten (10) days of the service of notice, the notice shall automatically become a compliance

19

order.

20

     (ii) Whenever the director determines that there exists a violation of any law, rule, or

21

regulation within his or her jurisdiction which requires immediate action to protect the

22

environment, he or she may, without prior notice of violation or hearing, issue an immediate

23

compliance order stating the existence of the violation and the action he or she deems necessary.

24

The compliance order shall become effective immediately upon service or within such time as is

25

specified by the director in such order. No request for a hearing on an immediate compliance

26

order may be made.

27

     (B) Any immediate compliance order issued under this section without notice and prior

28

hearing shall be effective for no longer than forty-five (45) days; provided, however, that for

29

good cause shown the order may be extended one additional period not exceeding forty-five (45)

30

days.

31

     (iii) The director may, at his or her discretion and for the purposes of timely and effective

32

resolution and return to compliance, cite a person for alleged noncompliance through the issuance

33

of an expedited citation in accordance with subsection 42-17.6-3(c).

34

     (iv) If a person upon whom a notice of violation has been served under the provisions of

 

LC003615 - Page 165 of 245

1

this section or if a person aggrieved by any such notice of violation requests a hearing before the

2

director within ten (10) days of the service of notice of violation, the director shall set a time and

3

place for the hearing, and shall give the person requesting that hearing at least five (5) days

4

written notice thereof. After the hearing, the director may make findings of fact and shall sustain,

5

modify, or withdraw the notice of violation. If the director sustains or modifies the notice, that

6

decision shall be deemed a compliance order and shall be served upon the person responsible in

7

any manner provided for the service of the notice in this section.

8

     (v) The compliance order shall state a time within which the violation shall be remedied,

9

and the original time specified in the notice of violation shall be extended to the time set in the

10

order.

11

     (vi) Whenever a compliance order has become effective, whether automatically where no

12

hearing has been requested, where an immediate compliance order has been issued, or upon

13

decision following a hearing, the director may institute injunction proceedings in the superior

14

court of the state for enforcement of the compliance order and for appropriate temporary relief,

15

and in that proceeding the correctness of a compliance order shall be presumed and the person

16

attacking the order shall bear the burden of proving error in the compliance order, except that the

17

director shall bear the burden of proving in the proceeding the correctness of an immediate

18

compliance order. The remedy provided for in this section shall be cumulative and not exclusive

19

and shall be in addition to remedies relating to the removal or abatement of nuisances or any

20

other remedies provided by law.

21

     (vii) Any party aggrieved by a final judgment of the superior court may, within thirty (30)

22

days from the date of entry of such judgment, petition the supreme court for a writ of certiorari to

23

review any questions of law. The petition shall set forth the errors claimed. Upon the filing of the

24

petition with the clerk of the supreme court, the supreme court may, if it sees fit, issue its writ of

25

certiorari;

26

     (22) To impose administrative penalties in accordance with the provisions of chapter 17.6

27

of this title and to direct that such penalties be paid into the account established by subdivision

28

(26); and

29

     (23) The following definitions shall apply in the interpretation of the provisions of this

30

chapter:

31

     (i) Director: The term "director" shall mean the director of environmental management of

32

the state of Rhode Island or his or her duly authorized agent.

33

     (ii) Person: The term "person" shall include any individual, group of individuals, firm,

34

corporation, association, partnership or private or public entity, including a district, county, city,

 

LC003615 - Page 166 of 245

1

town, or other governmental unit or agent thereof, and in the case of a corporation, any individual

2

having active and general supervision of the properties of such corporation.

3

     (iii) Service: (A) Service upon a corporation under this section shall be deemed to include

4

service upon both the corporation and upon the person having active and general supervision of

5

the properties of such corporation.

6

     (B) For purposes of calculating the time within which a claim for a hearing is made

7

pursuant to subdivision (21)(i) of this section heretofore, service shall be deemed to be the date of

8

receipt of such notice or three (3) days from the date of mailing of said notice, whichever shall

9

first occur.

10

     (24) To conduct surveys of the present private and public camping and other recreational

11

areas available and to determine the need for and location of such other camping and recreational

12

areas as may be deemed necessary and in the public interest of the state of Rhode Island and to

13

report back its findings on an annual basis to the general assembly on or before March 1 of every

14

year;

15

     (ii) Additionally, the director of the department of environmental management shall take

16

such additional steps, including but not limited to, matters related to funding as may be necessary

17

to establish such other additional recreational facilities and areas as are deemed to be in the public

18

interest.

19

     (25) To apply for and accept grants and bequests of funds with the approval of the

20

director of administration from other states, interstate agencies and independent authorities, and

21

private firms, individuals and foundations, for the purpose of carrying out his or her lawful

22

responsibilities. The funds shall be deposited with the general treasurer in a restricted receipt

23

account created in the Natural Resources Program for funds made available for that program's

24

purposes or in a restricted receipt account created in the Environmental Protection Program for

25

funds made available for that program's purposes. All expenditures from the accounts shall be

26

subject to appropriation by the general assembly, and shall be expended in accordance with the

27

provisions of the grant or bequest. In the event that a donation or bequest is unspecified or in the

28

event that the trust account balance shows a surplus after the project as provided for in the grant

29

or bequest has been completed, the director may utilize said appropriated unspecified or

30

appropriated surplus funds for enhanced management of the department's forest and outdoor

31

public recreation areas, or other projects or programs that promote the accessibility of recreational

32

opportunities for Rhode Island residents and visitors.

33

     (ii) The director shall submit to the house fiscal advisor and the senate fiscal advisor, by

34

October 1 of each year, a detailed report on the amount of funds received and the uses made of

 

LC003615 - Page 167 of 245

1

such funds.

2

     (26) To establish fee schedules by regulation with the approval of the governor for the

3

processing of applications and the performing of related activities in connection with the

4

department's responsibilities pursuant to subdivision (12) of this section, chapter 19.1 of title 23

5

as it relates to inspections performed by the department to determine compliance with chapter

6

19.1 and rules and regulations promulgated in accordance therewith, chapter 18.9 of title 23 as it

7

relates to inspections performed by the department to determine compliance with chapter 18.9

8

and the rules and regulations promulgated in accordance therewith, chapters 19.5 and 23 of title

9

23; chapter 12 of title 46 insofar as it relates to water quality certifications and related reviews

10

performed pursuant to provisions of the federal Clean Water Act, the regulation and

11

administration of underground storage tanks and all other programs administered under chapter

12

12 of title 46 and § 2-1-18 et seq., and chapter 13.1 of title 46 and chapter 13.2 of title 46 insofar

13

as they relate to any reviews and related activities performed under the provisions of the

14

Groundwater Protection Act, chapter 23-24.9 as it relates to the regulation and administration of

15

mercury-added products, and chapter 17.7 of this title insofar as it relates to administrative

16

appeals of all enforcement, permitting and licensing matters to the administrative adjudication

17

division for environmental matters. Two (2) fee ranges shall be required: for "Appeal of

18

enforcement actions", a range of fifty dollars ($50) to one hundred dollars ($100), and for

19

"Appeal of application decisions", a range of five hundred dollars ($500) to ten thousand dollars

20

($10,000). The monies from the administrative adjudication fees will be deposited as general

21

revenues and the amounts appropriated shall be used for the costs associated with operating the

22

administrative adjudication division.

23

     There is hereby established an account within the general fund to be called the water and

24

air protection program. The account shall consist of sums appropriated for water and air pollution

25

control and waste monitoring programs and the state controller is hereby authorized and directed

26

to draw his or her orders upon the general treasurer for the payment of such sums or such portions

27

thereof as may be required from time to time upon receipt by him or her of properly authenticated

28

vouchers. All amounts collected under the authority of this subdivision for the sewage disposal

29

system program and fresh waters wetlands program will be deposited as general revenues and the

30

amounts appropriated shall be used for the purposes of administering and operating the programs.

31

The director shall submit to the house fiscal advisor and the senate fiscal advisor by January 15 of

32

each year a detailed report on the amount of funds obtained from fines and fees and the uses made

33

of such funds.

34

     (27) To establish and maintain a list or inventory of areas within the state worthy of

 

LC003615 - Page 168 of 245

1

special designation as "scenic" to include, but not be limited to, certain state roads or highways,

2

scenic vistas and scenic areas, and to make the list available to the public.

3

     (28) To establish and maintain an inventory of all interests in land held by public and

4

private land trust and to exercise all powers vested herein to insure the preservation of all

5

identified lands.

6

     (i) The director may promulgate and enforce rules and regulations to provide for the

7

orderly and consistent protection, management, continuity of ownership and purpose, and

8

centralized records-keeping for lands, water, and open spaces owned in fee or controlled in full or

9

in part through other interests, rights, or devices such as conservation easements or restrictions,

10

by private and public land trusts in Rhode Island. The director may charge a reasonable fee for

11

filing of each document submitted by a land trust.

12

     (ii) The term "public land trust" means any public instrumentality created by a Rhode

13

Island municipality for the purposes stated herein and financed by means of public funds

14

collected and appropriated by the municipality. The term "private land trust" means any group of

15

five (5) or more private citizens of Rhode Island who shall incorporate under the laws of Rhode

16

Island as a nonbusiness corporation for the purposes stated herein, or a national organization such

17

as the nature conservancy. The main purpose of either a public or a private land trust shall be the

18

protection, acquisition, or control of land, water, wildlife, wildlife habitat, plants, and/or other

19

natural features, areas, or open space for the purpose of managing or maintaining, or causing to

20

be managed or maintained by others, the land, water, and other natural amenities in any

21

undeveloped and relatively natural state in perpetuity. A private land trust must be granted

22

exemption from federal income tax under Internal Revenue Code 501c(3) [26 U.S.C. § 501(c)(3)]

23

within two (2) years of its incorporation in Rhode Island or it may not continue to function as a

24

land trust in Rhode Island. A private land trust may not be incorporated for the exclusive purpose

25

of acquiring or accepting property or rights in property from a single individual, family,

26

corporation, business, partnership, or other entity. Membership in any private land trust must be

27

open to any individual subscribing to the purposes of the land trust and agreeing to abide by its

28

rules and regulations including payment of reasonable dues.

29

     (iii) Private land trusts will, in their articles of association or their bylaws, as appropriate,

30

provide for the transfer to an organization created for the same or similar purposes the assets,

31

lands and land rights and interests held by the land trust in the event of termination or dissolution

32

of the land trust.

33

     (B) All land trusts, public and private, will record in the public records of the appropriate

34

towns and cities in Rhode Island all deeds, conservation easements or restrictions or other

 

LC003615 - Page 169 of 245

1

interests and rights acquired in land and will also file copies of all such documents and current

2

copies of their articles of association, their bylaws, and annual reports with the secretary of state,

3

and with the director of the Rhode Island department of environmental management. The director

4

is hereby directed to establish and maintain permanently a system for keeping records of all

5

private and public land trust land holdings in Rhode Island.

6

     (29) The director will contact in writing, not less often than once every two (2) years,

7

each public or private land trust to ascertain: that all lands held by the land trust are recorded with

8

the director; the current status and condition of each land holding; that any funds or other assets

9

of the land trust held as endowment for specific lands have been properly audited at least once

10

within the two (2) year period; the name of the successor organization named in the public or

11

private land trust's bylaws or articles of association; and any other information the director deems

12

essential to the proper and continuous protection and management of land and interests or rights

13

in land held by the land trust. In the event that the director determines that a public or private land

14

trust holding land or interest in land appears to have become inactive, he or she shall initiate

15

proceedings to effect the termination of the land trust and the transfer of its lands, assets, land

16

rights, and land interests to the successor organization named in the defaulting trust's bylaws or

17

articles of association or to another organization created for the same or similar purposes. Should

18

such a transfer not be possible, then the land trust, assets, and interest and rights in land will be

19

held in trust by the state of Rhode Island and managed by the director for the purposes stated at

20

the time of original acquisition by the trust. Any trust assets or interests other than land or rights

21

in land accruing to the state under such circumstances will be held and managed as a separate

22

fund for the benefit of the designated trust lands.

23

     (30) Consistent with federal standards, issue and enforce such rules, regulations and

24

orders as may be necessary to establish requirements for maintaining evidence of financial

25

responsibility for taking corrective action and compensating third parties for bodily injury and

26

property damage caused by sudden and non-sudden accidental releases arising from operating

27

underground storage tanks.

28

     (31) To enforce, by such means as provided by law, the standards for the quality of air,

29

and water, and the location, design, construction and operation of all underground storage

30

facilities used for storing petroleum products or hazardous materials; any order or notice issued

31

by the director relating to the location, design construction, operation or maintenance of an

32

underground storage facility used for storing petroleum products or hazardous materials shall be

33

eligible for recordation under chapter 13 of title 34. The director shall forward the order or notice

34

to the city or town wherein the subject facility is located, and the order or notice shall be recorded

 

LC003615 - Page 170 of 245

1

in the general index by the appropriate municipal officer in the land evidence records in the city

2

or town wherein the subject facility is located. Any subsequent transferee of that facility shall be

3

responsible for complying with the requirements of the order or notice. Upon satisfactory

4

completion of the requirements of the order or notice, the director shall provide written notice of

5

the same, which notice shall be eligible for recordation. The original written notice shall be

6

forwarded to the city or town wherein the subject facility is located, and the notice of satisfactory

7

completion shall be recorded in the general index by the appropriate municipal official in the land

8

evidence records in the city or town wherein the subject facility is located. A copy of the written

9

notice shall be forwarded to the owner of the subject facility within five (5) days of a request for

10

it, and, in any event, shall be forwarded to the owner of the subject facility within thirty (30) days

11

after correction.

12

     (32) To manage and disburse any and all funds collected pursuant to § 46-12.9-4, in

13

accordance with § 46-12.9-5, and other provisions of the Rhode Island Underground Storage

14

Tank Financial Responsibility Act, as amended.

15

     (33) To support, facilitate and assist the Rhode Island Natural History Survey, as

16

appropriate and/or as necessary, in order to accomplish the important public purposes of the

17

survey in gathering and maintaining data on Rhode Island natural history, making public

18

presentations and reports on natural history topics, ranking species and natural communities,

19

monitoring rare species and communities, consulting on open space acquisitions and management

20

plans, reviewing proposed federal and state actions and regulations with regard to their potential

21

impact on natural communities, and seeking outside funding for wildlife management, land

22

management and research.

23

     (34) To promote the effective stewardship of lakes and ponds including collaboration

24

with associations of lakefront property owners on planning and management actions that will

25

prevent and mitigate water quality degradation, the loss of native habitat due to infestation of

26

non-native species and nuisance conditions that result from excessive growth of algal or non-

27

native plant species. By January 31, 2012, the director shall prepare and submit a report to the

28

governor and general assembly that based upon available information provides: (a) an assessment

29

of lake conditions including a description of the presence and extent of aquatic invasive species in

30

lakes and ponds; (b) recommendations for improving the control and management of aquatic

31

invasives species in lakes and ponds; and (c) an assessment of the feasibility of instituting a boat

32

sticker program for the purpose of generating funds to support implementation actions to control

33

aquatic invasive species in the freshwaters of the state.

34

     (35) In implementing the programs established pursuant to this chapter, to identify

 

LC003615 - Page 171 of 245

1

critical areas for improving service to customers doing business with the department, and to

2

develop and implement strategies to improve performance and effectiveness in those areas. Key

3

aspects of a customer service program shall include, but not necessarily be limited to, the

4

following components:

5

     (a) Maintenance of an organizational unit within the department with the express purpose

6

of providing technical assistance to customers and helping customers comply with environmental

7

regulations and requirements;

8

     (b) Maintenance of an employee training program to promote customer service across the

9

department;

10

     (c) Implementation of a continuous business process evaluation and improvement effort,

11

including process reviews to encourage development of quality proposals, ensure timely and

12

predictable reviews, and result in effective decisions and consistent follow up and implementation

13

throughout the department, and publish an annual report on such efforts;

14

     (d) Creation of a centralized location for the acceptance of permit applications and other

15

submissions to the department;

16

     (e) Maintenance of a process to promote, organize, and facilitate meetings prior to the

17

submission of applications or other proposals in order to inform the applicant on options and

18

opportunities to minimize environmental impact, improve the potential for sustainable

19

environmental compliance, and support an effective and efficient review and decision-making

20

process on permit applications related to the proposed project;

21

     (f) Development of single permits under multiple authorities otherwise provided in state

22

law to support comprehensive and coordinated reviews of proposed projects. The director may

23

address and resolve conflicting or redundant process requirements in order to achieve an effective

24

and efficient review process that meets environmental objectives; and

25

     (g) Exploration of the use of performance-based regulations coupled with adequate

26

inspection and oversight, as an alternative to requiring applications or submissions for approval

27

prior to initiation of projects. The department shall work with the office of regulatory reform to

28

evaluate the potential for adopting alternative compliance approaches and provide a report to the

29

governor and the general assembly by May 1, 2015.

30

     SECTION 4. This article shall take effect as of July 1, 2014.

31

ARTICLE 19

32

RELATING TO EXECUTIVE OFFICE OF COMMERCE

33

     SECTION 1. Section 42-35.1-5 of the General Laws in Chapter 42-35.1 entitled "Small

34

Business Regulatory Fairness in Administrative Procedures" is hereby amended to read as

 

LC003615 - Page 172 of 245

1

follows:

2

     42-35.1-5. Small business enforcement ombudsman. -- (a) The director of the

3

economic development corporation office of regulatory reform shall designate an existing staff

4

member as a "small business regulatory enforcement ombudsman", who shall report directly to

5

the director.

6

     (b) The ombudsman shall:

7

     (1) Work with each agency with regulatory authority over small businesses to ensure that

8

small business concerns that receive or are subject to an audit, on-site inspection, compliance

9

assistance effort, or other enforcement related communication or contact by agency personnel are

10

provided with a means to comment on the enforcement activity conducted by such personnel;

11

     (2) Establish means to receive comments from small business concerns regarding actions

12

by agency employees conducting compliance or enforcement activities;

13

     (3) Within six (6) months of appointment, work with each regulating entity to develop

14

and publish reporting policies;

15

     (4) Based on substantiated comments received from small business concerns the

16

ombudsman shall annually report to the general assembly and affected agencies evaluating the

17

enforcement activities of agency personnel including a rating of the responsiveness of the

18

regulatory agencies policies;

19

     (5) Coordinate and report annually on the activities, findings and recommendations to the

20

general assembly and the directors of affected agencies; and

21

     (6) Provide the affected agency with an opportunity to comment on reports prepared

22

pursuant to this chapter, and include a section of the final report in which the affected agency may

23

make such comments as are not addressed by the ombudsman. 

24

     SECTION 2. Sections 42-64.13-3, 42-64.13-5, and 42-64.13-6 of the General Laws in

25

Chapter 42-64.13 entitled "Rhode Island Regulatory Reform Act" are hereby amended to read as

26

follows:

27

     42-64.13-3. Purposes of chapter. [Effective February 1, 2015.]. -- The purposes of this

28

chapter are to create within the Rhode Island executive office of commerce, office of

29

management and budget the office of regulatory reform that will facilitate the regular review of

30

Rhode Island's regulatory processes and permitting procedures, report thereon in an effort to

31

improve them and assist and facilitate economic development opportunities within the regulatory

32

and permitting processes and procedures that exist within Rhode Island state and municipal

33

government.

34

     42-64.13-5. Creation of the office of regulatory reform. [Effective February 1,

 

LC003615 - Page 173 of 245

1

2015.]. -- The Rhode Island executive office of commerce office of management and budget shall

2

create an office of regulatory reform that shall be adequately staffed and supervised in order to

3

fulfill its functions as set forth in this chapter. 

4

     42-64.13-6. Director of office of regulatory reform. [Effective February 1, 2015.]. --

5

The office of regulatory reform shall be managed by a director of office of regulatory reform who

6

shall report to the secretary of commerce within the Rhode Island executive office of commerce

7

director of the office of management and budget.

8

     SECTION 3. Sections 42-64.19-2, 42-64.19-3, 42-64.19-4, 42-64.19-5, 42-64.19-6, 42-

9

64.19-7, 42-64.19-8, 42-64.19-9, 42-64.19-10, 42-64.19-11, and 42-64.19-12 of the General Laws

10

in Chapter 42-64.19 entitled "Executive Office of Commerce" are hereby amended to read as

11

follows:

12

     42-64.19-2. Purposes. [Effective February 1, 2015 July 1, 2015]. -- The Rhode Island

13

executive office of commerce is authorized, created, and established as the state's lead agency for

14

economic development throughout Rhode Island for the following purposes: To promote and

15

encourage the preservation, expansion, and sound development of new and existing industry,

16

business, commerce, agriculture, tourism, and recreational facilities in the state, which will

17

promote the economic development of the state and the creation of opportunities for economic

18

stability and employment through a business climate that fosters opportunity for all Rhode

19

Islanders. 

20

     42-64.19-3. Executive office of commerce.[Effective February 1, 2015 July 1, 2015]. -

21

- (a) There is hereby established within the executive branch of state government an executive

22

office of commerce effective February 1, 2015 July 1, 2015, to serve as the principal agency of

23

the executive branch of state government for managing the promotion of commerce and the

24

economy within the state and shall have the following powers and duties in accordance with the

25

following schedule:

26

     (1) On or about February 1, 2015 July 1, 2015, to operate functions from the department

27

of business regulation;

28

     (2) On or about April 1, 2015 September 1, 2015, to operate various divisions and

29

functions from the department of administration;

30

     (3) On or before September 1, 2015 January 1, 2016, to provide to the Senate and the

31

House of Representatives a comprehensive study and review of the roles, functions, and programs

32

of the Department of Administration and the Department of Labor and Training to devise

33

recommendations and a business plan for the integration of these entities with the office of the

34

secretary of commerce. The governor may include such recommendations in the Fiscal Year 2017

 

LC003615 - Page 174 of 245

1

budget proposal.

2

     (b) In this capacity, the office shall:

3

     (1) Lead or assist state departments and coordinate business permitting processes in order

4

to:

5

     (i) Improve the economy, efficiency, coordination, and quality of the business climate in

6

the state;

7

     (ii) Design strategies and implement best practices that foster economic development and

8

growth of the state's economy;

9

     (iii) Maximize and leverage funds from all available public and private sources, including

10

federal financial participation, grants and awards;

11

     (iv) Increase public confidence by conducting customer centric operations whereby

12

commercial enterprise are supported and provided programs and services that will grow and

13

nurture the Rhode Island economy; and

14

     (v) Be the state's lead agency for economic development.

15

     (c) The office shall include the office of regulatory reform and other administration

16

functions which promote, enhance or regulate various service and functions in order to promote

17

the reform and improvement of the regulatory function of the state.

18

     42-64.19-4. Secretary of commerce – Appointment. [Effective February 1, 2015 July

19

1, 2015.]. -- The executive office of commerce shall be administered by a secretary of commerce,

20

hereafter referred to as "secretary." The position of secretary is hereby created in the unclassified

21

service. The secretary shall be appointed by the governor with the advice and consent of the

22

senate. The secretary shall hold office at the pleasure of the governor and until a successor is

23

appointed and qualified. Before entering upon the discharge of duties, the secretary shall take an

24

oath to faithfully execute the duties of the office. The secretary shall be appointed by February 1,

25

2015 July 1, 2015.

26

     42-64.19-5. Responsibilities of the secretary. [Effective February 1, 2015 July 1,

27

2015.] . – (a) The secretary shall be responsible to the governor for supervising the executive

28

office of commerce, improving the functions and operations of Rhode Island state government to

29

be clear, reliable, predictable, and as responsive and user-friendly to the state's business

30

community as is practicable, for managing and providing strategic leadership and direction to the

31

other divisions and departments under the jurisdiction of this chapter, for serving as the chief

32

executive officer of the Rhode Island commerce corporation, for convening the economic

33

development planning council to develop the economic development policy and strategic plan in

34

accordance with section 42-64.16, for serving as chair of the council of economic advisors in

 

LC003615 - Page 175 of 245

1

accordance with section 42-64.17; for serving as vice-chair of the Human Resources Investment

2

Council; and for chairing the Governor's Commerce and Workforce Cabinet established pursuant

3

to section 42-6.1.

4

     (b) Notwithstanding any provision of law to the contrary, the secretary shall appoint the

5

chiefs/directors of the divisions/departments within the executive office of commerce with the

6

consent of the governor.

7

     42-64.19-6. Duties of the secretary. [Effective February 1, 2015 July 1, 2015.]. -- The

8

secretary shall be subject to the direction and supervision of the governor for the oversight,

9

coordination and cohesive direction of state economic development activities of the state and in

10

ensuring the laws are faithfully executed, notwithstanding any law to the contrary. In this

11

capacity, the secretary of commerce shall be authorized to:

12

     (1) Coordinate the administration and financing of various departments or divisions

13

within the office and to supervise the work of the Rhode Island commerce corporation.

14

     (2) Serve as the governor's chief advisor and liaison to federal policymakers on economic

15

development as well as the principal point of contact in the state on any such related matters.

16

     (3) Review and ensure the coordination of the development of an overarching economic

17

development plan as produced by the office.

18

     (4) Receive from department directors, within the timelines specified, any information

19

and resources the secretary deems necessary in order to perform the reviews authorized in this

20

section;

21

     (5) Engage in regulatory reform across all state agencies to protect the health and

22

wellbeing of Rhode Islanders while meeting business needs for a clear, predictable, and reliable

23

regulatory structure in the state; including the implementation of systems to enhance customer

24

service by simplifying and expediting state permitting processes.

25

     (6)(5) Prepare and submit to the governor, the chairpersons of the house and senate

26

finance committees, and the caseload estimating conference, by no later than April 15 of each

27

year, a comprehensive overview of the Rhode Island economy. The secretary shall determine the

28

contents of the overview and shall determine the important economic data and information that

29

will inform the governor, and the revenue estimating committee on the economic conditions of

30

the state and future issues and forward looking projects of the Rhode Island economy.

31

     (7)(6)The directors of the departments, as well as local governments and school

32

departments, shall assist and cooperate with the secretary in fulfilling this responsibility by

33

providing whatever information and support shall be necessary.

34

     (8)(7) Resolve administrative, jurisdictional, operational, program, or policy conflicts

 

LC003615 - Page 176 of 245

1

among departments and their executive staffs and make necessary recommendations to the

2

governor.

3

     (9)(8) Assure continued progress toward improving the quality, the accountability, and

4

the efficiency of state-administered programs to support the Rhode Island economy. In this

5

capacity, the secretary shall:

6

     (i) Direct implementation of reforms in the economic development practices of the

7

departments that streamline and upgrade services, achieve greater economies of scale and

8

establish the coordinated system of the staff education, cross- training, and career development

9

services necessary to recruit and retain a highly-skilled, responsive, and engaged workforce;

10

     (ii) Encourage departments to utilize consumer-centered approaches to service design and

11

delivery that expand their capacity to respond efficiently and responsibly to the diverse and

12

changing needs of the people and communities they serve;

13

     (iii) Develop all opportunities to maximize resources by leveraging the state's purchasing

14

power, centralizing fiscal service functions related to budget, finance, and procurement,

15

centralizing communication, policy analysis and planning, and information systems and data

16

management, pursuing alternative funding sources through grants, awards and partnerships and

17

securing all available federal financial participation for programs and services provided through

18

the departments; and

19

     (iv) Strengthen the financial support system for business and enterprises program

20

integrity, quality control and collections, and recovery activities by consolidating functions within

21

the office in a single unit that ensures all affected parties pay their fair share of the cost of

22

services and are aware of alternative financing.

23

     (10)(9) Prepare and integrate comprehensive budgets for the commerce services

24

departments and functions and duties assigned to the office. The budgets shall be submitted to the

25

state budget office by the secretary, for consideration by the governor, on behalf of the state's

26

commerce agencies in accordance with the provisions set forth in § 35-3-4 of the Rhode Island

27

general laws.

28

     (11)(10) Utilize objective data to evaluate economic development policy goals, resource

29

use and outcome evaluation and to perform short and long-term policy planning and

30

development.

31

     (12)(11) Establishment of an integrated approach to interdepartmental information and

32

data management that complements and furthers the goals of the council of economic advisors

33

and that will facilitate the transition to consumer-centered system of state administered economic

34

development programs and services.

 

LC003615 - Page 177 of 245

1

     (13)(12) At the direction of the governor or the general assembly, conduct independent

2

reviews of state-administered economic development programs, policies and related agency

3

actions and activities and assist the department directors in identifying strategies to address any

4

issues or areas of concern that may emerge thereof. The department directors shall provide any

5

information and assistance deemed necessary by the secretary when undertaking such

6

independent reviews.

7

     (14)(13) Provide regular and timely reports to the governor and make recommendations

8

with respect to the state's economic development agenda.

9

     (15)(14) Employ such personnel and contract for such consulting services as may be

10

required to perform the powers and duties lawfully conferred upon the secretary.

11

     (16)(15) Implement the provisions of any general or public law or regulation related to

12

the disclosure, confidentiality and privacy of any information or records, in the possession or

13

under the control of the executive office or the departments assigned to the executive office, that

14

may be developed or acquired for purposes directly connected with the secretary's duties set forth

15

herein.

16

     42-64.19-7. Departments/divisions assigned to the executive office – Powers and

17

duties. [Effective February 1, 2015 July 1, 2015.]. -- (a) The departments and/or divisions

18

assigned to the secretary shall:

19

     (1) Exercise their respective powers and duties in accordance with their statutory

20

authority and the general policy established by the governor or by the secretary acting on behalf

21

of the governor or in accordance with the powers and authorities conferred upon the secretary by

22

this chapter;

23

     (2) Provide such assistance or resources as may be requested or required by the governor

24

and/or the secretary; and

25

     (3) Provide such records and information as may be requested or required by the

26

governor and/or the secretary to the extent allowed under the provisions of any applicable general

27

or public law, regulation, or agreement relating to the confidentiality, privacy or disclosure of

28

such records or information.

29

     (4) Forward to the secretary copies of all reports to the governor.

30

     (b) Except as provided herein, no provision of this chapter or application thereof shall be

31

construed to limit or otherwise restrict the departments, offices, or divisions assigned to the

32

secretary from fulfilling any statutory requirement or complying with any valid rule or regulation.

33

     (c) The secretary shall determine in collaboration with the department directors whether

34

the officers, employees, agencies, advisory councils, committees, commissions, and task forces of

 

LC003615 - Page 178 of 245

1

the departments who were performing such functions shall be transferred to the office.

2

     (d) In the transference of such functions, the secretary shall be responsible for ensuring:

3

     (1) Minimal disruption of services to consumers;

4

     (2) Elimination of duplication of functions and operations;

5

     (3) Services are coordinated and functions are consolidated where appropriate;

6

     (4) Clear lines of authority are delineated and followed;

7

     (5) Cost savings are achieved whenever feasible;

8

     (6) Program application and eligibility determination processes are coordinated and,

9

where feasible, integrated; and

10

     (7) State and federal funds available to the office and the entities therein are allocated and

11

utilized for service delivery to the fullest extent possible.

12

     (e) Except as provided herein, no provision of this chapter or application thereof shall be

13

construed to limit or otherwise restrict the departments under this section from fulfilling any

14

statutory requirement or complying with any regulation deemed otherwise valid.

15

     (f) To ensure an orderly transfer of functions to the office of commerce the following

16

transition shall occur at the direction of the governor, secretary of commerce and the respective

17

directors of the department affected.

18

     (g) On or about February 1, 2015 July 1, 2015, the office shall commence to operate all

19

functions currently assigned to the department of business regulation (DBR)

20

     (h) On or about April 1, 2015 September 1, 2015, the office shall commence to operate

21

the regulatory reform and housing/community development functions currently assigned to the

22

department of administration.

23

     (i) In addition to the requirements of RIGL § 35-3-7, budgets submitted by the impacted

24

state departments for state fiscal years 2015, and 2016, and 2017 shall include provisions to

25

implement this section.

26

     42-64.19-8. Appointment of employees. [Effective February 1, 2015 July 1, 2015.]. –

27

The secretary, subject to the provisions of applicable state law, shall be the appointing authority

28

for all employees of the executive office of commerce. The secretary may assign this function to

29

such subordinate officers and employees of the executive office as may to him or her seem

30

feasible or desirable. The appointing authority of the secretary provided for herein shall not

31

affect, interfere with, limit, or otherwise restrict the appointing authority vested in the directors

32

for the employees of the departments under applicable general and public laws.

33

     42-64.19-9. Appropriations and disbursements. [Effective February 1, 2015 July 1,

34

2015.]. – The general assembly shall annually appropriate such sums as it may deem necessary

 

LC003615 - Page 179 of 245

1

for the purpose of carrying out the provisions of this chapter. The state controller is hereby

2

authorized and directed to draw his or her orders upon the general treasurer for the payment of

3

such sum or sums, or so much thereof as may from time to time be required, upon receipt by him

4

or her of proper authenticated vouchers approved by the secretary of the executive office of

5

commerce, or his or her designee.

6

     42-64.19-10. Rules and regulations. [Effective February 1, 2015 July 1, 2015.]. – The

7

executive office of commerce shall be deemed an agency for purposes of § 42-35-1, et seq. of the

8

Rhode Island general laws. The secretary shall make and promulgate such rules and regulations,

9

fee schedules not inconsistent with state law and fiscal policies and procedures as he or she deems

10

necessary for the proper administration of this chapter and to carry out the policy and purposes

11

thereof.

12

     42-64.19-11. Severability. [Effective February 1, 2015 July 1, 2015.]. – If any

13

provision of this chapter or the application thereof to any person or circumstance is held invalid,

14

such invalidity shall not affect other provisions or applications of the chapter, which can be given

15

effect without the invalid provision or application, and to this end the provisions of this chapter

16

are declared to be severable.

17

     42-64.19-12. Cooperation of other state executive branch agencies. [Effective

18

February 1, 2015 July 1, 2015.]. -- As may be appropriate from time to time, the departments

19

and other agencies of the state of the executive branch that have not been assigned to the

20

executive office of commerce under this chapter shall assist and cooperate with the executive

21

office as may be required by the governor requested by the secretary.

22

     SECTION 4. Sections 42-102-2, 42-102-3 and 42-102-6 of the General Laws in Chapter

23

entitled "Rhode Island Human Resource Investment Council" are hereby amended to read as

24

follows:

25

     42-102-2. Composition of council. [Effective until February 1, 2015 July 1, 2015.]. --

26

(a) Effective until January 1, 2005, the council shall be composed of twenty-seven (27) members

27

of whom no less than one-third (1/3) shall be women as follows:

28

     (1) One shall be appointed by the governor from the nongovernmental sector to serve as

29

chairperson of the council;

30

     (2) Eight (8) shall be appointed by the governor from the employer community, two (2)

31

of whom shall be from the nonprofit sector, and at least two (2) of whom must be women from

32

the following employer groups:

33

     (i) Two (2) from companies with fewer than twenty-five (25) employees;

34

     (ii) Two (2) from companies with twenty-five (25) to two hundred fifty (250) employees;

 

LC003615 - Page 180 of 245

1

     (iii) Two (2) from companies with more than two hundred fifty (250) employees; and

2

     (iv) Two (2) from minority-owned companies;

3

     (3) Three (3) members from organized labor shall be appointed by the governor;

4

     (4) One member from a community-based organization representing minorities shall be

5

appointed by the governor;

6

     (5) One individual who serves as the chairperson of the governor's commission on

7

disabilities;

8

     (6) Six (6) individuals shall serve on the council by virtue of their respective positions as

9

chairpersons of the following organizations:

10

     (i) Three (3) individuals, who serve as chairpersons of their respective private industry

11

councils;

12

     (ii) One individual who serves as chairperson of the Rhode Island state apprenticeship

13

council; and

14

     (iii) One individual who serves as chairperson of the pathways to independence advisory

15

council;

16

     (7) The president of the senate and the speaker of the house shall appoint one individual

17

each from their respective chambers to become members of the council;

18

     (8) The directors or commissioners of the following four (4) departments and corporation

19

shall serve on the council: employment and training, Rhode Island economic development

20

corporation, human services, elementary and secondary education, and higher education;

21

     (9) The executive director of the Rhode Island economic policy council shall serve on the

22

council; and

23

     (10) Any individual serving on the council as of June 1, 2004 shall remain on the council

24

until the new members are appointed and confirmed by the senate.

25

     (b) Effective January 1, 2005, the council shall be composed of fifteen (15) members,

26

thirteen (13) members appointed by the governor, with the advice and consent of the senate, at

27

least four (4) of whom shall be women, at least three (3) of whom shall be from minority

28

communities, and at least one of whom shall be a person with disabilities, as follows:

29

     (1) One shall be appointed by the governor to serve as chairperson of the council;

30

     (2) Six (6) shall be appointed by the governor from the employer community, in a manner

31

that is representative of employers of different sizes and sectors, including the nonprofit sector;

32

provided, however, that in the event that there is established a state workforce investment board

33

that is separate and distinct from the council, then one of the six (6) representatives of the

34

employer community shall be the chairperson of the state work force investment board, and if all

 

LC003615 - Page 181 of 245

1

employer community appointments have been duly made and are filled, then the appointed

2

chairperson of the state workforce investment board shall be made with the next available

3

appointment of a representative of the employer community;

4

     (3) Four (4) members from organized labor shall be appointed by the governor;

5

     (4) Two (2) members from community-based organizations shall be appointed by the

6

governor;

7

     (5) The president of the senate and the speaker of the house shall appoint one individual

8

each from their respective chambers to be members of the council.

9

     (c) Transitional Provisions. The council as provided for in subsection (b) shall assume

10

the powers, duties and responsibilities set forth in this chapter, and the council as provided for in

11

subsection (a) shall be terminated, and shall cease to exist and all the powers, duties, and

12

responsibilities of the council as provided for in subsection (a) shall be transferred to the council

13

as provided in subsection (b); the governor may appoint persons serving on the council as

14

provided for in subsection (a) to the council as provided for in subsection (b), as provided for in §

15

42-102-4(a), and may appoint an interim executive director who shall serve until such time as an

16

executive director is appointed in accordance with § 42-102-3(b). All rules, regulations,

17

decisions, actions, and approvals taken by the council as provided in subsection (a) shall remain

18

in full force and effect until superseded, amended, revised, or rescinded by the council as

19

provided for in subsection (b). The present council will continue its duties and responsibilities

20

until the new members of the council are appointed and a number sufficient to satisfy a quorum

21

are confirmed by the senate.

22

     42-102-2. Composition of council. [Effective February 1, 2015 July 1, 2015.]. -- The

23

council shall be composed of fifteen (15) members, the secretary of commerce, who shall be vice-

24

chair, twelve (12) members appointed by the governor, with the advice and consent of the senate,

25

at least four (4) of whom shall be women, at least three (3) of whom shall be from minority

26

communities, and at least one of whom shall be a person with disabilities, as follows:

27

     (1) One shall be appointed by the governor to serve as chairperson of the council;

28

     (2) Five (5) shall be appointed by the governor from the employer community, in a

29

manner that is representative of employers of different sizes and sectors, including the nonprofit

30

sector; provided, however, that in the event that there is established a state workforce investment

31

board that is separate and distinct from the council, then one of the five (5) representatives of the

32

employer community shall be the chairperson of the state work force investment board, and if all

33

employer community appointments have been duly made and are filled, then the appointed

34

chairperson of the state workforce investment board shall be made with the next available

 

LC003615 - Page 182 of 245

1

appointment of a representative of the employer community;

2

     (3) Four (4) members from organized labor shall be appointed by the governor;

3

     (4) Two (2) members from community-based organizations shall be appointed by the

4

governor;

5

     (5) The president of the senate and the speaker of the house shall appoint one individual

6

each from their respective chambers to be members of the council. 

7

     42-102-3. Officers. [Effective until February 1, 2015 July 1, 2015.]. -- (a) The position

8

of chairperson shall be unpaid and the individual that is appointed chairperson shall serve a three

9

(3) year term. The governor may reappoint the individual appointed chairperson to serve another

10

three (3) year term. The council shall elect from its own members a vice-chairperson, who is

11

authorized to preside over meetings in the absence of the chairperson.

12

     (b) Executive director. The council, in consultation with the governor, shall appoint an

13

executive director who shall serve at the pleasure of the council, provided that the executive

14

director's initial engagement by the council shall be for a period of not more than three (3) years.

15

The position of executive director shall be in the unclassified service of the state and he or she

16

shall serve as the chief executive officer of the council. 

17

     42-102-3. Officers. [Effective February 1, 2015 July 1, 2015.]. -- (a) The position of

18

chairperson shall be unpaid and the individual that is appointed chairperson shall serve a three (3)

19

year term. The governor may reappoint the individual appointed chairperson to serve another

20

three (3) year term.

21

     (b) The secretary of commerce shall be vice-chair, and is authorized to preside over

22

meetings in the absence of the chairperson.

23

     (c) Executive director. The council, in consultation with the governor, shall appoint an

24

executive director who shall serve at the pleasure of the council, provided that the executive

25

director's initial engagement by the council shall be for a period of not more than three (3) years.

26

The position of executive director shall be in the unclassified service of the state and he or she

27

shall serve as the chief executive officer of the council.

28

     42-102-6. Duties. [Effective until February 1, 2015 July 1, 2015.]. -- (a) The council

29

shall meet with other entities involved with vocational education, labor, and training and shall be

30

responsible for the planning of labor and training activities to ensure that a comprehensive and

31

cohesive plan is developed. The council shall take into consideration the needs of all segments of

32

the state's citizenry in establishing goals and training objectives.

33

     (b) The council shall establish policy to ensure the effectiveness and efficiency of

34

programs and activities as they pertain to labor and training.

 

LC003615 - Page 183 of 245

1

     (c) The council shall provide funding for special projects that will increase and improve

2

the skill base of Rhode Island's workforce. The council shall take into account labor market

3

information from the Rhode Island economic development corporation to help establish training

4

needs. In addition, the council shall have the following responsibilities:

5

     (1) Prepare and submit by September 1, 1992 and thereafter annually, a proposed budget

6

for the ensuing year for the governor's approval;

7

     (2) The auditor general shall conduct annual audits of all financial accounts and any other

8

audits that he or she shall deem necessary.

9

     (3) Ensure that, for those contracts or grants characterized as training or upgrading, the

10

administrative expenses of the private or public entity awarded the contract or grant shall not

11

exceed fifteen percent (15%) of the total contract or grant.

12

     (4) Receive any gifts, grants, or donations made and to disburse and administer them in

13

accordance with the terms thereof; and

14

     (5) Allocate moneys from the job development fund for projects to implement the

15

recommendations of the council, including, but not limited to, technology transfers or technical

16

assistance to manufacturers to improve their operations through the use of appropriate

17

technologies; provided, that for fiscal year 2005, a minimum of three million four hundred

18

thousand dollars ($3,400,000) from the job development fund shall be allocated for adult literacy

19

programs.

20

     (6) Within ninety (90) days after the end of each fiscal year, the council shall approve and

21

submit an annual report to the governor, the speaker of the house, the president of the senate, and

22

the secretary of state, of its activities during the fiscal year. The report shall provide: an operating

23

statement summarizing meetings or hearings held, meeting minutes if requested, subjects

24

addressed, decisions rendered, rules and regulations promulgated, studies conducted, policies and

25

plans developed, approved or modified, and programs administered or initiated; a consolidated

26

financial statement of all funds received and expended including the source of funds, a listing of

27

any staff supported by these funds, and a summary of clerical, administrative, professional or

28

technical reports received; a summary of performance during the previous fiscal year including

29

accomplishments, shortcomings and remedies; a synopsis of hearings, complaints, suspensions or

30

other legal matters related to the authority of the council; a summary of any training courses held

31

pursuant to subsection 42-102-2(c); a briefing on anticipated activities in the upcoming fiscal

32

year; and findings and recommendations for improvement. The report, within thirty (30) days of

33

its completion, shall be posted electronically on the general assembly and secretary of state's

34

websites. The director of the department of administration shall be responsible for the

 

LC003615 - Page 184 of 245

1

enforcement of this provision.

2

     42-102-6. Duties. [Effective February 1, 2015 July 1, 2015.]. -- (a) The council shall

3

meet with other entities involved with vocational education, labor, and training and shall be

4

responsible for the planning of labor and training activities to ensure that a comprehensive and

5

cohesive plan is developed. The council shall take into consideration the needs of all segments of

6

the state's citizenry in establishing goals and training objectives.

7

     (b) The council shall establish policy to ensure the effectiveness and efficiency of

8

programs and activities as they pertain to labor and training, including the workforce needs of

9

state employers.

10

     (c) The council shall provide funding for special projects that will increase and improve

11

the skill base of Rhode Island's workforce. The council shall take into account labor market

12

information from the Rhode Island economic development corporation to help establish training

13

needs. In addition, the council shall have the following responsibilities:

14

     (1) Prepare and submit by September 1, 1992 and thereafter annually, a proposed budget

15

for the ensuing year for the governor's approval;

16

     (2) The auditor general shall conduct annual audits of all financial accounts and any other

17

audits that he or she shall deem necessary.

18

     (3) Ensure that, for those contracts or grants characterized as training or upgrading, the

19

administrative expenses of the private or public entity awarded the contract or grant shall not

20

exceed fifteen percent (15%) of the total contract or grant.

21

     (4) Receive any gifts, grants, or donations made and to disburse and administer them in

22

accordance with the terms thereof; and

23

     (5) Allocate moneys from the job development fund for projects to implement the

24

recommendations of the council, including, but not limited to, technology transfers or technical

25

assistance to manufacturers to improve their operations through the use of appropriate

26

technologies; provided, that for fiscal year 2005, a minimum of three million four hundred

27

thousand dollars ($3,400,000) from the job development fund shall be allocated for adult literacy

28

programs.

29

     (6) Within ninety (90) days after the end of each fiscal year, the council shall approve and

30

submit an annual report to the governor, the speaker of the house, the president of the senate, and

31

the secretary of state, of its activities during the fiscal year. The report shall provide: an operating

32

statement summarizing meetings or hearings held, meeting minutes if requested, subjects

33

addressed, decisions rendered, rules and regulations promulgated, studies conducted, policies and

34

plans developed, approved or modified, and programs administered or initiated; a consolidated

 

LC003615 - Page 185 of 245

1

financial statement of all funds received and expended including the source of funds, a listing of

2

any staff supported by these funds, and a summary of clerical, administrative, professional or

3

technical reports received; a summary of performance during the previous fiscal year including

4

accomplishments, shortcomings and remedies; a synopsis of hearings, complaints, suspensions or

5

other legal matters related to the authority of the council; a summary of any training courses held

6

pursuant to subsection 42-102-2(c); a briefing on anticipated activities in the upcoming fiscal

7

year; and findings and recommendations for improvement. The report, within thirty (30) days of

8

its completion, shall be posted electronically on the general assembly and secretary of state's

9

websites. The director of the department of administration shall be responsible for the

10

enforcement of this provision. 

11

     SECTION 5. This article shall take effect upon passage.

12

ARTICLE 20

13

RELATING TO BOARD OF EDUCATION

14

     SECTION 1. Board of Education Organizational Structure.

15

     WHEREAS, Pursuant to Rhode Island Public Law 2012, Chapter 241, Article 4, Section

16

3 enacted by the General Assembly, the Rhode Island Board of Education was established, "…to

17

modernize the manner in which education shall be governed for future generations"; and

18

     WHEREAS, The Rhode Island Board of Education was charged by the General

19

Assembly to "…establish a plan for distributing the assets, responsibilities, powers, authorities,

20

and duties of the office of higher education to the three (3) higher education institutions and

21

appropriate state agencies"; and,

22

     WHEREAS, The Board was responsible for submitting a permanent governance structure

23

to the General Assembly for consideration that at a minimum would: "…(1) Provide clear

24

guidance on statutory, legal, financial and contractual obligations; (2) Establish a policy

25

framework that furthers the goals of this chapter; and (3) Establish appropriate administrative

26

structures, support, policies and procedures."; now, therefore, be it

27

     RESOLVED, That the Rhode Island Board of Education recommends the General

28

Assembly enact a new governance structure to effectuate the permanent establishment of the

29

Board of Education in order to achieve the goals articulated by the preamble of Rhode Island

30

Public Law 2012, Chapter 241, Article 4, Section 3.

31

     SECTION 2. Chapter 16-32 of the General Laws entitled "University of Rhode Island" is

32

hereby amended by adding thereto the following section:

33

     16-32-2.1. Additional powers of the President of the University.-- In addition to any

34

powers granted to the president of the University of Rhode Island by law or regulation, the

 

LC003615 - Page 186 of 245

1

president shall have the following additional powers and duties:

2

     (a) To create, and consolidate departments, divisions, programs, and courses of study

3

within the university with the assistance of the commissioner of postsecondary education within

4

the approved role and scope adopted by the council on postsecondary education pursuant to § 16-

5

59-4. Any new or proposed eliminations of departments, divisions, programs or courses of study

6

that are outside the role and scope approved by the council shall require the review and approval

7

of the council on postsecondary education.

8

     (b) To adopt a budget for the university and submit it to the council on postsecondary

9

education for approval.

10

     (c) To be responsible for the general management of property of the university.

11

     (d) To recommend to the council on postsecondary education, after consultation with the

12

commissioner of postsecondary education, tables of organization for the university.

13

     (e) To submit to the office of postsecondary commissioner and to compile and analyze

14

the following information for presentation to the council on postsecondary education and the

15

board of education annually by May 1st the following:

16

     (1) A detailed departmental breakdown of all faculty members employed at the university

17

by rank (including all professors, associate professors, assistant professors, lecturers, and

18

instructors) and tenure (tenured and non-tenured, and other) and by race (African American,

19

Hispanic, Native American, and Asian) and gender.

20

     (2) A detailed report on current student enrollments for each class at the university by

21

race and gender, by academic department, and by outreach program (e.g. talent development),

22

guaranteed admissions program, and the current levels of funding and staff support for each of

23

these programs.

24

     (3) A report on the current status of the African and Afro-American studies programs at

25

the university and a five (5) year budgetary history of the programs along with projections for

26

budgetary support for the next two (2) years.

27

     (4) A plan for recruitment of African American and Hispanic faculty into tenure track

28

positions at each the university with specific reference to and planned involvement with the New

29

England higher education's minority faculty recruitment and development plan.

30

     (5) Certified copies of the report shall be furnished to the council of postsecondary

31

education and the board of education.

32

     SECTION 3. Chapter 16-33 of the General Laws entitled "Rhode Island College" is

33

hereby amended by adding thereto the following section:

34

     16-33-2.1. Additional powers of the President of the College. -- In addition to any

 

LC003615 - Page 187 of 245

1

powers granted to the president of Rhode Island College by law or regulation, the president shall

2

have the following additional powers and duties:

3

     (a) To create and consolidate departments, divisions, programs, and courses of study

4

within the college with the assistance of the commissioner of postsecondary education within the

5

approved role and scope adopted by the council on postsecondary education pursuant to § 16-59-

6

4. Any new or proposed eliminations of departments, divisions, programs or courses of study that

7

are outside the role and scope approved by the council shall require the review and approval of

8

the council on postsecondary education.

9

     (b) To adopt a budget for the college and submit it to the council for postsecondary

10

education for approval.

11

     (c) To be responsible for the general management of property of the college.

12

     (d) To recommend to the council on postsecondary education, after consultation with the

13

commissioner of postsecondary, education tables of organization for the College.

14

     (e) To submit to the office of postsecondary commissioner and to compile and analyze

15

the following information for presentation to the council for postsecondary education and the

16

board of education annually by May 1st the following:

17

     (1) A detailed departmental breakdown of all faculty members employed at the college

18

by rank (including all professors, associate professors, assistant professors, lecturers, and

19

instructors) and tenure (tenured and non-tenured, and other) and by race (African American,

20

Hispanic, Native American, and Asian) and gender.

21

     (2) A detailed report on current student enrollments for each class at the college by race

22

and gender, by academic department, and by outreach program (e.g. talent development),

23

guaranteed admissions program, and the current levels of funding and staff support for each of

24

these programs.

25

     (3) A report on the current status of the African and Afro-American studies programs at

26

the college and a five (5) year budgetary history of the programs along with projections for

27

budgetary support for the next two (2) years.

28

     (4) A plan for recruitment of African American and Hispanic faculty into tenure track

29

positions at each the college with specific reference to and planned involvement with the New

30

England higher education's minority faculty recruitment and development plan.

31

     (5) Certified copies of the report shall be furnished to the council of postsecondary

32

education and the board of education.

33

     SECTION 4. Chapter 16-33.1 of the General Laws entitled "Community College of

34

Rhode Island" is hereby amended by adding thereto the following section:

 

LC003615 - Page 188 of 245

1

     16-33.1-2.1 Additional powers of the President of the College. -- In addition to any

2

powers granted to the president of the Community College of Rhode Island by law or regulation,

3

the president shall have the following additional powers and duties:

4

     (a) To create and consolidate departments, divisions, programs, and courses of study

5

within the college with the assistance of the commissioner of postsecondary education within the

6

approved role and scope adopted by the council on postsecondary education pursuant to § 16-59-

7

4. Any new or proposed eliminations of departments, divisions, programs or courses of study that

8

are outside the role and scope approved by the council shall require the review and approval of

9

the council on postsecondary education.

10

     (b) To adopt a budget for the college and submit it to the council on postsecondary

11

education for approval.

12

     (c) To be responsible for the general management of property of the college.

13

     (d) To recommend to the council on postsecondary education, after consultation with the

14

commissioner of postsecondary education, tables of organization for the college.

15

     (e) To submit to the office of postsecondary commissioner and to compile and analyze

16

the following information for presentation to the council on postsecondary education and the

17

board of education annually by May 1st the following:

18

     (1) A detailed departmental breakdown of all faculty members employed at the college

19

by rank (including all professors, associate professors, assistant professors, lecturers, and

20

instructors) and tenure (tenured and non-tenured, and other) and by race (African American,

21

Hispanic, Native American, and Asian) and gender.

22

     (2) A detailed report on current student enrollments for each class at the college by race

23

and gender, by academic department, and by outreach program (e.g. talent development),

24

guaranteed admissions program, and the current levels of funding and staff support for each of

25

these programs.

26

     (3) A report on the current status of the African and Afro-American studies programs at

27

the college and a five (5) year budgetary history of the programs along with projections for

28

budgetary support for the next two (2) years.

29

     (4) A plan for recruitment of African American and Hispanic faculty into tenure track

30

positions at each the college with specific reference to and planned involvement with the New

31

England higher education's minority faculty recruitment and development plan.

32

     (5) Certified copies of the report shall be furnished to the council on postsecondary

33

education and the board of education.

34

     SECTION 5. Sections 16-59-1, 16-59-2, 16-59-4, 16-59-6, 16-59-7.1, 16-59-9 and 16-59-

 

LC003615 - Page 189 of 245

1

22 of the General Laws in Chapter 16-59 entitled "Board of Governors for Higher Education" are

2

hereby amended to read as follows:

3

     16-59-1. Board of governors for higher education established Council on

4

Postsecondary Education established. -- (a) There is created a board of governors for higher

5

council on postsecondary education, sometimes referred to as the "board" or the "board of

6

governors" "council", which shall be and is constituted a public corporation, empowered to sue

7

and be sued in its own name, to have a corporate seal, and to exercise all the powers, in addition

8

to those specifically enumerated in this chapter, usually appertaining to public corporations

9

entrusted with control of postsecondary educational institutions and functions. The board shall be

10

protected from sudden changes in membership and reversal of policy by having staggered terms

11

for its public members. Upon its organization the board of governors council shall be invested

12

with the legal title (in trust for the state) to all property, real and personal, now owned by and/or

13

under the control or in custody of the board of regents for education for the use of the University

14

of Rhode Island, Rhode Island College, Community College of Rhode Island and the system of

15

community colleges of Rhode Island including all departments, divisions, and branches of these.

16

     (b) The board of governors council is empowered to hold and operate the property in trust

17

for the state; to acquire, hold, and dispose of the property and other like property as deemed

18

necessary for the execution of its corporate purposes. The board of governors council is made

19

successor to all powers, rights, duties, and privileges formerly belonging to the board of regents

20

for education pertaining to postsecondary education and the board of governors for higher

21

education.

22

     (c) The board of governors shall consist of thirteen (13) members as follows: twelve (12)

23

public members, appointed pursuant to the terms of § 16-59-2, one of whom shall be a full time

24

student in good standing at the University of Rhode Island, Rhode Island College or the

25

Community College of Rhode Island, and a member of the board of regents for elementary and

26

secondary education designated by the governor.

27

     (d) The public members of the board of governors shall not be compensated for their

28

service in attending meetings or duly organized subcommittee meetings of the board.

29

     (e) The governor shall designate one of the public members as chairperson of the board

30

of governors. The board may elect from among its members such other officers as it deems

31

necessary. Seven (7) voting members of the board shall constitute a quorum and a majority vote

32

of those present and voting shall be required for action.

33

     (c) The council shall be the employer of record for higher education and the office of

34

postsecondary education. It shall retain all authority formerly vested in the board of education

 

LC003615 - Page 190 of 245

1

regarding the employment of faculty and staff at the public higher education institutions.

2

     16-59-2. Appointment of members of the board of governors for higher education

3

council on postsecondary education. -- (a) The governor shall, with the advice and consent of

4

the senate establish the board establish the council for postsecondary education by appointing

5

eleven (11) seven (7) members of the board of education established pursuant to chapter 16-97 to

6

serve in staggered terms. as members of the council, until the expiration of their term as a

7

member of the board of education and their successor is appointed. In addition the governor shall

8

appoint one (1) student member who shall be a full time student in good standing at the

9

University of Rhode Island, Rhode Island College or the Community College of Rhode Island

10

and who shall serve in a non-voting, ex-officio capacity for a single two (2) year term and shall

11

rotate among the three (3) public institutions. The governor shall appoint the chair of the council

12

on an annual basis from among the seven (7) voting council members. The appointments shall be

13

made for terms of three (3) years commencing on February 1 in the year of the appointment and

14

ending on January 31 in the third (3rd) year thereafter, except in the case of the student member

15

whose appointment shall be for a period of two (2) years.

16

     (b) At the expiration of their terms members shall remain and continue in their official

17

capacity until a new member is appointed and confirmed. Any vacancy among the public

18

members of the board shall be filled by appointment of the governor for the remainder of the

19

unexpired term. In the selection and appointment of members of the board, the governor shall

20

seek persons who best serve the entire needs of the state. Public members shall not be appointed

21

for more than three (3) successive three (3) year terms each; provided, however, that this

22

limitation shall not apply to that person designated as chairperson by the governor who may be a

23

member so long as he or she shall serve as chairperson. Student members shall be appointed by

24

the governor for a single two (2) year term and shall rotate among the three (3) public institutions.

25

     (c) No person shall be eligible for appointment to the board after the effective date of this

26

act [March 24, 2006] unless he or she is a resident of this state.

27

     (d) Members of the board shall be removable by the governor pursuant to the provisions

28

of § 36-1-7 of the general laws and for cause only, and removal solely for partisan or personal

29

reasons unrelated to capacity or fitness for the office shall be unlawful.

30

     16-59-4. Powers and duties of board the council on postsecondary education Powers

31

and duties of the council on postsecondary education. -- (a) The board of governors for higher

32

council on postsecondary education shall have, in addition to those enumerated in § 16-59-1, the

33

following powers and duties:

34

     (1) To approve a systematic program of information gathering, processing, and analysis

 

LC003615 - Page 191 of 245

1

addressed to every level, aspect, and form of higher education in this state especially as that

2

information relates to current and future educational needs so that current needs may be met with

3

reasonable promptness and plans formulated to meet future needs as they arise in the most

4

efficient and economical manner possible.

5

     (2) To develop and approve a master strategic plan defining implementing broad goals

6

and objectives for higher education in the state as established by the board of education, including

7

a comprehensive capital development program. These goals and objectives shall be expressed in

8

terms of what men and women should know and be able to do as a result of their educational

9

experience. The board of governors shall continuously evaluate the efforts and results of

10

education in the light of these objectives.

11

     (3) To formulate broad policy to implement the goals and objectives established and

12

adopted by the board of governors education, to adopt standards and require enforcement and to

13

exercise general supervision over all higher public education in the state and over independent

14

higher education in the state as provided in subdivision (8) of this section. The board of governors

15

education and the council shall not engage in the operation or administration of any subordinate

16

committee, university, junior college, or community college, except its own office of higher

17

postsecondary education and except as specifically authorized by an act of the general assembly;

18

provided, the presidents of each institution of higher learning shall be the chief administrative and

19

executive officers of that institution; and provided that nothing contained in this section shall

20

prohibit their direct access to or interfere with the relationship between the presidents and the

21

board of governors education and the council. The adoption and submittal of the budget, the

22

approval of tables of organization, the creation, abolishment, and consolidation of departments,

23

divisions, programs, and courses of study, and the acquisition, holding, disposition, and general

24

management of property shall not be construed to come within the purview of the preceding

25

prohibition. The board shall communicate with and seek the advice of the commissioner of higher

26

education and all those concerned with and affected by its determinations as a regular procedure

27

in arriving at its conclusions and in setting its policy.

28

     (4) To communicate with and seek the advice of the commissioner of postsecondary

29

education, the presidents of the public higher education institutions and all those concerned with

30

and affected by its determinations as a regular procedure in arriving at its conclusions and in

31

setting its policy.

32

     (4)(5) To prepare and maintain a five (5) year funding plan for higher education that

33

implements the strategic financing recommendations of the board of education; to prepare with

34

the assistance of the commissioner of higher postsecondary education and to present annually to

 

LC003615 - Page 192 of 245

1

the state budget officer in accordance with § 35-3-4 a state higher educational budget, which shall

2

include, but not be limited to, the budget of the office of higher postsecondary education and the

3

budget of the state colleges. In the preparation of the budget, the board council shall determine

4

implement the priorities established by the board of education of expenditures for public higher

5

education purposes of state revenues and other public resources made available for the support of

6

higher public education. Prior to submitting the budget to the state budget officer as required by

7

the budget office instructions and this subsection, the council shall present the budget to the board

8

of education for its review and consent. Nothing contained in this subdivision shall authorize the

9

board council to alter the allocation of grants or aid otherwise provided by law.

10

     (5)(6) To maintain an office of higher education postsecondary commissioner; to provide

11

for its staffing and organization; and to appoint manage and oversee a commissioner of higher

12

postsecondary education pursuant to duties and responsibilities defined in § 16-59-6 and § 16-59-

13

7, who shall serve at its pleasure. The commissioner of higher postsecondary education and the

14

office of higher education postsecondary commissioner shall have the duties and responsibilities

15

as defined in §§ 16-59-6 and 16-59-7.

16

     (6)(7) To appoint and dismiss presidents of the public institutions of higher learning with

17

the assistance of the commissioner of higher postsecondary education, and to establish procedures

18

for this, and with the assistance of the commissioner to approve or disapprove vice presidents of

19

the public institutions of higher learning appointed by the respective presidents of the public

20

institutions of higher learning.

21

     (7)(8) To establish other educational agencies or subcommittees necessary or desirable

22

for the conduct of any or all aspects of higher education and to determine all powers, functions,

23

and composition of any agencies or subcommittees and to dissolve them when their purpose shall

24

have been fulfilled.

25

     (8)(9) To exercise the authority vested in the board of regents for education with relation

26

to independent higher educational institutions within the state under the terms of chapter 40 of

27

this title, and other laws affecting independent higher education in the state.

28

     (9)(10) To enforce the provisions of all laws relating to higher education, public and

29

independent.

30

     (10)(11) To be responsible for all the functions, powers, and duties which were vested in

31

the board of regents for education relating to higher education, including but not limited to the

32

following specific functions:

33

     (i) To approve the tables of organization role and scope of programs at public institutions

34

of higher learning with the assistance of the commissioner of higher education postsecondary

 

LC003615 - Page 193 of 245

1

education which shall include but not be limited to populations to be served, the type and level of

2

programs and academic fields offered.

3

     (ii) To adopt and require standard accounting procedures for the office of higher

4

education postsecondary commissioner and all public colleges and universities.

5

     (iii) To create, abolish, and consolidate departments, divisions, programs, and courses of

6

study within the public colleges and universities with the assistance of the commissioner of

7

higher education after consultation with the presidents.

8

     (iv)(iii) To establish approve a clear and definitive mission for each public institution of

9

higher learning with the assistance of the commissioner of higher education. postsecondary

10

education that is consistent with the role and scope of programs at the public institutions.

11

     (v)(iv) To promote maximum efficiency, economy, and cooperation in the delivery of

12

public higher educational services in the state and cooperation with independent institutions of

13

higher education.

14

     (11)(12) To incorporate into its own affirmative action reporting process periodic reports

15

monitoring specific faculty and staff searches by the chairperson of the search committee to

16

include the rationale for granting those interviews and the final hiring results. The institutions

17

must empower its affirmative action officer to monitor searches in this manner, to intervene

18

during the search, and, when necessary, to cause a search to cease if affirmative action goals are

19

not being adequately served.

20

     (12)(13) To incorporate a specific category for accountability on affirmative action goals

21

and implementation as part of the board's annual evaluations and three (3) year reviews for the

22

presidents of each of the public institutions of higher education.

23

     (13)(14) To make a formal request of the governor that whenever an opportunity arises to

24

make new appointments to the board, that the governor make every effort to increase the number

25

of African Americans, Native Americans, Asians, and Hispanics on the board.

26

     (14) Within ninety (90) days after the end of each fiscal year, the board shall submit an

27

annual report to the governor, the speaker of the house of representatives, and the president of the

28

senate of its activities during that fiscal year. The report shall provide: an operating statement

29

summarizing meetings or hearings held, subjects addressed, decisions rendered, rules or

30

regulations promulgated, studies conducted, policies and plans developed, approved, or modified,

31

and programs administered or initiated; a consolidated financial statement of all funds received

32

and expended including the source of the funds, a listing of any staff supported by these funds,

33

and a summary of any clerical, administrative or technical support received; a summary of

34

performance during the previous fiscal year including accomplishments, shortcomings and

 

LC003615 - Page 194 of 245

1

remedies; a synopsis of hearings, complaints, suspensions, or other legal matters related to the

2

authority of the board; a briefing on anticipated activities in the upcoming fiscal year; and

3

findings and recommendations for improvements. The director of the department of

4

administration shall be responsible for the enforcement of the provisions of this subsection.

5

     (15) The board shall conduct a training course for newly appointed and qualified

6

members within six (6) months of their qualification. The course shall be developed by the

7

chairperson of the board, approved by the board, and conducted by the chairperson of the board.

8

The board may approve the use of any board or staff members or other individuals to assist with

9

training. The training course shall include instruction in the following areas: the provisions of

10

chapters 42-46, 36-14, and 38-2; and the board's own rules. The director of the department of

11

administration shall, within ninety (90) days of the effective date of this act [March 24, 2006],

12

prepare and disseminate training materials relating to the provisions of chapters 42-46, 36-14, and

13

38-2.

14

     (15) To develop coherent plans for the elimination of unnecessary duplication in public

15

higher education and addressing the future needs of public education within the state in the most

16

efficient and economical manner possible.

17

     (16) To delegate to the presidents of each public higher education institution the authority

18

and responsibility for operational and management decisions related to their institutions,

19

consistent with the goals of the statewide strategic plan for postsecondary education provided

20

however that the presidents may be required to provide information or updates to the council

21

regarding any delegated operational or management decisions.

22

     16-59-6. Commissioner of higher postsecondary education Commissioner of

23

postsecondary education. -- The board council on postsecondary education shall appoint a

24

commissioner of higher postsecondary education with the advice and consent of the board of

25

education, who shall serve at the pleasure of the board council, provided that his or her initial

26

engagement by the board council shall be for a period of not more than three (3) years. For the

27

purpose of appointing, retaining, or dismissing a commissioner of higher postsecondary

28

education, the governor shall serve as an additional voting member of the board council, and

29

provided that in the case of a tie, the president of the senate shall cast the deciding vote. The

30

position of commissioner shall be in the unclassified service of the state and he or she shall serve

31

as the chief executive officer of the board of governors council on postsecondary education and

32

as the chief administrative officer of the office of higher education postsecondary commissioner.

33

The commissioner of higher postsecondary education shall have any duties that are defined in this

34

section and in this title and other additional duties as may be determined by the board council,

 

LC003615 - Page 195 of 245

1

and shall perform any other duties as may be vested in him or her by law. In addition to these

2

duties and general supervision of the office of higher education postsecondary commissioner and

3

the appointment of the several officers and employees of the office, it shall be the duty of the

4

commissioner of higher postsecondary education:

5

     (1) To develop and implement a systematic program of information gathering,

6

processing, and analysis addressed to every aspect of higher education in the state, especially as

7

that information relates to current and future educational needs.

8

     (2) To prepare a master strategic plan for higher education in the state aligned with the

9

goals of the board of education's strategic plan; to coordinate the goals and objectives of the

10

higher public education sector with the goals of the council on elementary and secondary

11

education, and activities of the independent higher education sector where feasible.

12

     (3) To communicate with and seek the advice of those concerned with and affected by the

13

board of governors' education's and council's determinations.

14

     (4) To implement broad policy as it pertains to the goals and objectives established by the

15

board of education and council on postsecondary education; to enforce standards and to exercise

16

general supervision promote better coordination between over higher public education in the

17

state, and over independent higher education in the state as provided in subdivision (11) of this

18

section and pre k -12 education; to assist in the preparation of the budget for public higher

19

education and to be responsible upon direction of the board council for the allocation of

20

appropriations, the acquisition, holding, and disposition, and general management of property.

21

     (5) To be responsible for the coordination of the various higher educational functions of

22

the state so that maximum efficiency and economy can be achieved.

23

     (6) To assist the board of education in preparation and maintenance of a five (5) year

24

strategic funding plan for higher education; to assist the board council in the preparation and

25

presentation annually to the state budget officer in accordance with § 35-3-4 of a total public

26

higher educational budget.

27

     (7) To recommend to the board of governors, council on postsecondary education after

28

consultation with the presidents, a clear and definitive mission for each public institution of

29

higher learning.

30

     (8) To recommend to the board of governors, after consultation with the presidents, tables

31

of organization for the public institutions of higher learning.

32

     (9) To annually recommend to the board of governors, council on postsecondary

33

education after consultation with the presidents, the creation, abolition, retention, or consolidation

34

of departments, divisions, programs, and courses of study within the public colleges and

 

LC003615 - Page 196 of 245

1

universities to eliminate unnecessary duplication in public higher education and, to address the

2

future needs of public higher education in the state, and to advance proposals recommended by

3

the presidents of the public colleges and universities pursuant to sections 16-32-2.1, 16-33-2.1

4

and 16-33.1-2.1 of the general laws.

5

     (10) To supervise the operations of the office of higher education postsecondary

6

commissioner and any other additional duties and responsibilities that may be assigned by the

7

board council.

8

     (11) To perform the duties vested in the board of governors council with relation to

9

independent higher educational institutions within the state under the terms of chapter 40 of this

10

title and any other laws that affect independent higher education in the state.

11

     (12) To be responsible for the administration of policies, rules, and regulations of the

12

board of governors the council on postsecondary education with relation to the entire field of

13

higher education within the state, not specifically granted to any other department, board, or

14

agency and not incompatible with law.

15

     (13) To prepare standard accounting procedures for public higher education and all public

16

colleges and universities.

17

     (14) To carry out the policies and directives of the board of governors education and the

18

council on postsecondary education through the office of higher education postsecondary

19

commissioner and through utilization of the resources of the public institutions of higher learning.

20

     (15) To direct the office of higher education to compile and analyze the following

21

information for presentation to the speaker of the house and the governor by May 1st annually:

22

     (A) A detailed departmental breakdown of all faculty members employed at each state

23

run college and university by rank (including all professors, associate professors, assistant

24

professors, lecturers, instructors) and tenure (tenured and non-tenured, other) and by race

25

(African American, Hispanic, Native American, and Asian) and gender.

26

     (B) A detailed report on current student enrollments for each class at each state run

27

college and university by race and gender, by academic department, and by outreach program

28

(e.g. talent development), guaranteed admissions program, and the current levels of funding and

29

staff support for each of these programs.

30

     (C) A report on the current status of the African and Afro-American studies programs at

31

each institution and a five (5) year budgetary history of the programs along with projections for

32

budgetary support for the next two (2) years.

33

     (D) A plan for recruitment of African American and Hispanic faculty into tenure track

34

positions at each institution with specific reference to and planned involvement with the New

 

LC003615 - Page 197 of 245

1

England higher education's minority faculty recruitment and development plan.

2

     (ii) Certified copies of the report shall be furnished to the board of governors and the

3

presidents of the state colleges and universities.

4

     16-59-7.1. Permanent status for non-classified employees. -- All non-classified

5

employees of the board of governors council on postsecondary education who shall have twenty

6

(20) years, not necessarily consecutive, of service credit, these credits having been earned in

7

either the classified, non-classified, or unclassified service or any combination of these, shall be

8

deemed to have acquired full status in their positions as the status is defined by § 36-4-59;

9

provided that this provision shall not apply to those employees whose base entry date is after

10

August 7, 1996; and provided that this provision shall not apply to faculty employed by the board

11

of governors council on postsecondary education nor shall it apply to non-classified employees

12

who have acquired tenure as faculty.

13

     16-59-9. Educational budget and appropriations. -- (a) The general assembly shall

14

annually appropriate any sums it deems necessary for support and maintenance of higher

15

education in the state and the state controller is authorized and directed to draw his or her orders

16

upon the general treasurer for the payment of the appropriations or so much of the sums that are

17

necessary for the purposes appropriated, upon the receipt by him or her of proper vouchers as the

18

board of governors for higher education council on postsecondary education may by rule provide.

19

The board council shall receive, review, and adjust the budgets of its several subordinate

20

committees and agencies and for the office of higher education postsecondary commissioner and

21

present the budget as part of the budget for higher education under the requirements of § 35-3-4.

22

     (b) The office of higher education postsecondary commissioner and the institutions of

23

public higher education shall establish working capital accounts.

24

     (c) Any tuition or fee increase schedules in effect for the institutions of public higher

25

education shall be received by the board of governors council on postsecondary education for

26

allocation for the fiscal year for which state appropriations are made to the board of governors

27

council by the general assembly; provided that no further increases may be made by the board of

28

governors education or the council on postsecondary education for the year for which

29

appropriations are made. Except that these provisions shall not apply to the revenues of housing,

30

dining, and other auxiliary facilities at the University of Rhode Island, Rhode Island College, and

31

the Community Colleges including student fees as described in P.L. 1962, ch. 257 pledged to

32

secure indebtedness issued at any time pursuant to P.L. 1962, ch. 257 as amended.

33

     (d) All housing, dining, and other auxiliary facilities at all public institutions of higher

34

learning shall be self-supporting and no funds shall be appropriated by the general assembly to

 

LC003615 - Page 198 of 245

1

pay operating expenses, including principal and interest on debt services, and overhead expenses

2

for the facilities. Any debt service costs on general obligation bonds presented to the voters in

3

November 2000 and November 2004 or appropriated funds from the Rhode Island capital plan for

4

the housing auxiliaries at the University of Rhode Island and Rhode Island College shall not be

5

subject to this self-supporting requirement in order to provide funds for the building construction

6

and rehabilitation program. The institutions of public higher education will establish policies and

7

procedures which enhance the opportunity for auxiliary facilities to be self-supporting, including

8

that all faculty provide timely and accurate copies of booklist for required textbooks to the public

9

higher educational institution's bookstore.

10

     (e) The additional costs to achieve self-supporting status shall be by the implementation

11

of a fee schedule of all housing, dining, and other auxiliary facilities, including but not limited to,

12

operating expenses, principal, and interest on debt services, and overhead expenses.

13

     16-59-22. Applicability of merit system – Teacher certification – List of positions

14

transferable to classified service. -- (a) The appointment, promotion, salaries, tenure, and

15

dismissal of administrative, instructional, and research employees, and secretarial employees not

16

exceeding ten (10) in number, of the state colleges shall not be subject in any manner or degree to

17

control by the personnel administrator or by any officer or board other than the board of

18

governors for higher education council on postsecondary education. The certification of teachers

19

at the University of Rhode Island is abolished, except for teachers that elect to come or remain

20

under it.

21

     (b) All positions that are exempt from the Merit System Law, chapter 4 of title 36, which

22

become vacant or that are to be established, must be forwarded to the personnel administrator,

23

who in consultation with the deputy assistant commissioner of education in charge of personnel

24

and labor relations shall determine whether the position(s) in question shall remain in the board of

25

governors for higher education council on postsecondary education non-classified service or be

26

established in the classified service of the state.

27

     (c) No position presently in the classified service of the state subject to the Merit System

28

Law, chapter 4 of title 36, shall be changed or modified so as to establish the position in the board

29

of governors for higher education council on postsecondary education non-classified service.

30

     (d) Faculty positions, presidents, vice presidents, deans, assistant deans, and student

31

employees of the higher education institutions shall not be covered by the preceding provisions

32

and shall remain in the board of governors for higher education council on postsecondary

33

education non-classified service.

34

     SECTION 6. Sections 16-59-4.1 and 16-59-8 of the General Laws in Chapter 16-59

 

LC003615 - Page 199 of 245

1

entitled "Board of Governors for Higher Education" are hereby repealed.

2

     16-59-4.1. Administration of higher education. -- The director of the department of

3

administration is hereby directed to conduct research and analysis to recommend a revised plan

4

for the organizational structure for higher education governance, staff support and resource

5

allocation in Rhode Island. This plan shall address the goal of improving affordability and

6

accessibility to public higher education; and maximizing efficiencies while providing sufficient

7

support to the governance structure of public higher education. The director of the department of

8

administration is directed to report findings, recommendations and alternative designs to the

9

general assembly no later than November 1, 2011 with copies to the speaker of the house, senate

10

president, chairs of the house and senate finance committees and their respective fiscal advisors.

11

     The report shall include a strategic plan that outlines the mission, goals, and the estimated

12

cost and timelines to implement said recommendations. The report shall provide a clear definition

13

of roles and responsibilities, including those responsible for implementing the proposed

14

recommendations. The analysis shall develop measures of success, and an appropriate timeline to

15

measure implementation progress. It shall also include:

16

     (1) An examination of the various organizational structures in other states, evaluating

17

their strengths and weaknesses, and how they may or may not be applicable in Rhode Island. This

18

should include an evaluation of the best practices regarding organizational structures for higher

19

education.

20

     (2) An analysis of what functions could be allocated to other institutions, and which

21

might be centralized to translate into efficiencies and more effective higher education policy. This

22

should include, but not be limited to, strategies to reorganize and or centralize finance,

23

purchasing, human resources, information technology, and facilities management within an office

24

of higher education, with specific direction on the allocation of resources, staff and

25

responsibilities.

26

     The report should explore the feasibility of permanently allocating all operational

27

activities and other responsibilities currently held within the office of higher education to the

28

three (3) higher education institutions or other viable alternatives while maintaining the board of

29

governors.

30

     All departments and agencies of the state shall furnish such advice and information,

31

documentary or otherwise to the director of the department of administration and its agents as is

32

deemed necessary or desirable to facilitate the purposes of the study.

33

     16-59-8. Operating executive committee. -- (a) There is established an operating

34

executive committee which shall be composed of the president of the University of Rhode Island,

 

LC003615 - Page 200 of 245

1

the president of Rhode Island College, the president of Community College of Rhode Island and

2

the commissioner of higher education. The commissioner of higher education shall serve as the

3

chairperson of the committee.

4

     (b) The committee shall meet on a regular basis, provided, that they shall meet not less

5

than twelve (12) times per year, and the purpose of the committee shall include but not be limited

6

to developing coherent plans for the elimination of unnecessary duplication in public higher

7

education and addressing the future needs of public higher education within the state in the most

8

efficient and economical manner possible. All recommendations and information gathered at the

9

meetings of the committee shall be forwarded to the board of governors by the commissioner of

10

higher education in conjunction with the presidents for approval and disapproval.

11

     (c) Prior to the presentation of any proposal to the board of governors, the committee

12

shall fully examine its impact on higher education, including but not limited to its impact on

13

educational budgetary requirements, quality of higher education and elimination of unnecessary

14

duplication. The chairperson of the committee may invite additional participation by faculty and

15

other employees when he or she deems it necessary.

16

     SECTION 7. Sections 16-60-1, 16-60-2, 16-60-4 and 16-60-6 of the General Laws in

17

Chapter 16-60 entitled "Board of Regents for Elementary and Secondary Education" are hereby

18

amended to read as follows:

19

     16-60-1. Board council on elementary and secondary education established. -- (a)

20

There is created a board of regents for elementary and secondary education sometimes referred to

21

as the "regents" or the "board of regents," council on elementary and secondary education which

22

shall be and is constituted a public corporation, empowered to sue and be sued in its own name, to

23

have a corporate seal, and to exercise all the powers, in addition to those specifically enumerated

24

in this chapter, usually appertaining to public corporations entrusted with control of elementary

25

and secondary education institutions and functions. The regents council on elementary and

26

secondary education shall be protected from sudden changes in membership and reversal of

27

policy by having staggered terms for its public members.

28

     (b) Upon its organization the board of regents council on elementary and secondary

29

education shall be invested with the legal title (in trust for the state) to all property, real and

30

personal, now owned by and/or under the control or in the custody of the board of regents for

31

education for the use of the department of elementary and secondary education. The board of

32

regents council on elementary and secondary education is made successor to all powers, rights,

33

duties, and privileges pertaining to elementary and secondary education.

34

     (c) The board of regents for elementary and secondary education shall consist of ten (10)

 

LC003615 - Page 201 of 245

1

members as follows: Eight (8) public members appointed pursuant to the terms of subsection 16-

2

60-2(a), one student member who shall be ex-officio and nonvoting elected pursuant to the

3

provisions of subsection 16-60-2(d), and a member of the board of governors for higher education

4

designated by the governor council on elementary and secondary education shall consist of seven

5

(7) members appointed by the governor from the membership of the board of education

6

established pursuant to section 16-97-1 of the general laws. Five (5) voting members of the board

7

shall constitute a quorum and the vote of a majority vote of those present and voting shall be

8

required for action.

9

     The public members of the board of regents council on elementary and secondary

10

education shall not be compensated for service in attending meetings or duly organized

11

subcommittee meetings of the board of education or the council at which business is transacted.

12

     (d) The governor shall designate one of the public members as chairperson of the board

13

of regents council on elementary and secondary education. The board council may elect from

14

among its members such other officers as it deems necessary.

15

     (e) The council on elementary and secondary education is made successor to all powers,

16

rights, duties, and privileges formerly belonging to the board of regents for elementary and

17

secondary education, unless otherwise specified in law.

18

     16-60-2. Appointment of board members. -- (a) The governor shall with the advice and

19

consent of the senate establish the board by appointing eight (8) members to serve staggered

20

terms. The appointments shall be made for terms of three (3) years commencing on February 1 in

21

the year of appointment and ending on January 31 in the third (3rd) year after this, except, at the

22

expiration of their terms members shall remain and continue in their official capacity until a new

23

member is appointed and confirmed. Any vacancy among the public members of the board shall

24

be filled by appointment of the governor for the remainder of the unexpired term. In the selection

25

and appointment of members of the board the governor shall seek persons who best serve the

26

entire needs of the state. Public members shall not be appointed for more than three (3)

27

successive three (3) year terms each; provided, that this limitation shall not apply to that person

28

designated as chairperson by the governor who may be a member so long as he or she shall serve

29

as chairperson. establish the council on elementary and secondary education by appointing seven

30

(7) members of the board of education established pursuant to chapter 16-97 to serve as members

31

of the council until the expiration of their term and appointment of their successor as a member of

32

the board of education. The governor shall appoint the chair of the council on an annual basis

33

from among the seven (7) council members.

34

     (b) No person shall be eligible for appointment to the board after the effective date of this

 

LC003615 - Page 202 of 245

1

act [March 24, 2006] unless he or she is a resident of this state.

2

     (c) Members of the board council on elementary and secondary education shall be

3

removable by the governor pursuant to the provisions of § 36-1-7 of the general laws and for

4

cause only, and removal solely for partisan or personal reasons unrelated to capacity or fitness for

5

the office shall be unlawful.

6

     (d) There is hereby established a student advisory council to the board of regents council

7

on elementary and secondary education, consisting of one elected high school student

8

representative from each public secondary school in the state of Rhode Island.

9

     (1) Each public secondary school shall hold elections for its representative to the student

10

advisory council no earlier than the first (1st) day of March and no later than the end of the

11

second (2nd) full week of April. Each school shall elect only one representative. Elected members

12

shall be notified of their election on or before the Friday of the third (3rd) week of April of the

13

year of their election. No person shall be eligible to be elected to the student advisory council

14

unless at the time of his or her election he or she is enrolled as a student in a secondary school

15

between the grades of nine (9) and eleven (11) within the state of Rhode Island. No person shall

16

be allowed to vote if they are not currently enrolled in a Rhode Island public secondary school

17

between the grades of nine (9) and eleven (11). If at any time during his or her term of office a

18

member of the student advisory council ceases to be so enrolled, his or her membership shall be

19

terminated and his or her position shall be deemed vacant. This vacancy shall be filled by the

20

public secondary school within thirty (30) school days of the opening of the vacancy.

21

     (2) The student advisory council will serve from the first (1st) day of May of the year it is

22

elected until the last day of April of the following year. A student may serve no more than three

23

(3) terms.

24

     (3) Said student advisory council shall meet from time to time and shall consider such

25

matters as it deems appropriate.

26

     (4) Prior to the first (1st) day of June of each annual session the student advisory council

27

shall adopt a set of bylaws.

28

     (5) Members of the council shall not be compensated for service in attending meetings

29

except that they shall be reimbursed for necessary expenses incurred in travelling to and from

30

meetings.

31

     (6) The members of said student advisory council shall, by majority vote prior to the first

32

(1st) day of June in each year, elect from their members a chairperson who shall serve for a term

33

of one year beginning on the first (1st) day of June. Said chairperson shall serve as an ex officio

34

and nonvoting member of the board of regents council for a term of one year, unless the student

 

LC003615 - Page 203 of 245

1

advisory council removes said chairperson from his or her position in a manner described within

2

the bylaws of that council and/or if he or she is otherwise removed by the governor.

3

     16-60-4. Board of regents for elementary and secondary education Council on

4

elementary and secondary education– Powers and duties. -- The board of regents for

5

elementary and secondary education Council on Elementary and Secondary Education shall have

6

in addition to those enumerated in § 16-60-1, the following powers and duties:

7

     (1) To approve a systematic program of information gathering, processing, and analysis

8

addressed to every aspect of elementary and secondary education in this state especially as that

9

information relates to current and future educational needs so that current needs may be met with

10

reasonable promptness and plans formulated to meet future needs as they arise in the most

11

efficient and economical manner possible.

12

     (2) To approve a master plan defining implementing the broad goals and objectives for

13

elementary and secondary education in the state that have been established by the board of

14

education. These goals and objectives shall be expressed in terms of what men and women should

15

know and be able to do as a result of their educational experience. The regents council on

16

elementary and secondary education shall continually evaluate the efforts and results of education

17

in the light of these objectives.

18

     (3) To formulate broad policy to implement the goals and objectives established and

19

adopted by the board of regents; to adopt standards and require enforcement and to exercise

20

general supervision over all elementary and secondary public and nonpublic education in the state

21

as provided in subdivision (8) of this section. The board of regents council on elementary and

22

secondary education shall not engage in the operation or administration of any subordinate

23

committee, local school district, school, school service, or school program, except its own

24

department of elementary and secondary education, and except as specifically authorized by an

25

act of the general assembly. The adoption and submittal of the budget and the allocation of

26

appropriations, the acquisition, holding, disposition, and general management of property shall

27

not be construed to come within the purview of the preceding prohibition. The regents council on

28

elementary and secondary education shall communicate with and seek the advice of the

29

commissioner of elementary and secondary education and all those concerned with and affected

30

by its determinations as a regular procedure in arriving at its conclusions and in setting its policy.

31

     (4) To allocate and coordinate the various educational functions among the educational

32

agencies of the state and local school districts and to promote cooperation among them so that

33

maximum efficiency and economy shall be achieved.

34

     (5) To prepare with the assistance of the commissioner of elementary and secondary

 

LC003615 - Page 204 of 245

1

education and to present annually to the state budget officer, in accordance with § 35-3-4, a total

2

educational budget for the elementary and secondary sector which shall include, but not be

3

limited to, the budgets of the department of elementary and secondary education, subordinate

4

boards and agencies, and state aid to local school districts. Prior to submitting the budget as

5

required by the budget office instructions and this subsection the council shall present the budget

6

to the board of education for review and consent.

7

     (ii) In the preparation of the budget, the regents council on elementary and secondary

8

education shall determine implement the priorities established by the board of education of

9

expenditures for elementary and secondary education purposes of state revenues and other public

10

resources made available for the support of public elementary and secondary education among

11

the various education agencies of the state. Nothing contained in this section shall authorize any

12

individual or group of individuals to reallocate resources in a manner other than that prescribed in

13

the budget as appropriations by the general assembly.

14

     (6) To maintain a department of elementary and secondary education, to provide for its

15

staffing and organization and to appoint a commissioner of elementary and secondary education

16

pursuant to § 16-60-6 who shall serve at its pleasure. The commissioner of elementary and

17

secondary education and the department of elementary and secondary education shall have any

18

duties and responsibilities as defined in §§ 16-60-6 and 16-60-7.

19

     (7) To establish other educational agencies or subcommittees necessary or desirable for

20

the conduct of any or all aspects of elementary and secondary education and to determine all

21

powers, functions, and composition of any agencies or subcommittees and to dissolve them when

22

their purpose shall have been fulfilled; provided that nothing contained in this subdivision shall

23

be construed to grant the regents the power to establish subcommittees or agencies performing the

24

duties and functions of local school committees except as provided in § 16-1-10.

25

     (8) To exercise the authority previously vested in the board of regents for education with

26

relation to secondary nonpublic educational institutions within the state under the terms of

27

chapter 40 of this title and other laws affecting nonpublic education in the state, and to cause the

28

department of elementary and secondary education to administer the provisions of that section.

29

     (9) To exercise all the functions, powers and duties which previously were vested in the

30

board of regents for education, under the provisions of former § 16-49-4(9), including but not

31

limited to the following specific functions:

32

     (i) To approve the basic subjects and courses of study to be taught and instructional

33

standards required to be maintained in the public elementary and secondary schools of the state.

34

     (ii) To adopt standards and qualifications for the certification of teachers and to provide

 

LC003615 - Page 205 of 245

1

for the issuance of certificates, and to establish fees for the certification of teachers. The fees

2

collected for the certification of teachers along with various education licensing and testing fees

3

shall be deposited by the board of regents council on elementary and secondary education as

4

general revenues. The funds appropriated by the general assembly shall be utilized by the

5

department of elementary and secondary education to establish and support programs which

6

enhance the quality and diversity of the teaching profession. The commissioner of elementary and

7

secondary education shall regularly make recommendations to the board about specific programs

8

and projects to be supported by those funds. The commissioner shall oversee the funds, assess the

9

effectiveness of its programs and projects, and make recommendations about the general use and

10

operation of the funds to the board.

11

     (iii) To be responsible for the distribution of state school funds.

12

     (iv) To determine the necessity of school construction and to approve standards for

13

design and construction of school buildings throughout the state.

14

     (v) To set standards for school libraries and school library services.

15

     (vi) To make recommendations relative to transportation of pupils to school, school bus

16

routes, time schedules, and other matters relating to pupil transportation.

17

     (vii) To enforce the provisions of all laws relating to elementary and secondary

18

education.

19

     (viii) To decide and determine appeals from decisions of the commissioner.

20

     (ix) To prescribe forms for the use of local school committees and local officers when

21

reporting to the department of elementary and secondary education.

22

     (x) To adopt and require standard accounting procedures for local school districts, except

23

as provided for in subdivision (3) of § 16-24-2.

24

     (xi) To adopt and require standard uniform operating and capital budgeting procedures

25

for local school districts.

26

     (10) To establish rules for the approval and accrediting of elementary and secondary

27

schools.

28

     (11) To recommend to the general assembly changes in the size and number of the school

29

districts within the state; and to make any further and other recommendations to the general

30

assembly as the board of regents may determine to be necessary or desirable, including, but not

31

limited to, proposals for incentives for the coordination of services and facilities of certain school

32

districts and the feasibility of granting taxing authority to local school committees upon their

33

request, and the impact upon the quality of education within that particular community by

34

granting the request. In carrying out this duty, the board of regents council on elementary and

 

LC003615 - Page 206 of 245

1

secondary education shall periodically issue reports in school district organizations for selected

2

regions and school districts.

3

     (12) To exercise all other powers with relation to the field of elementary and secondary

4

education within this state not specifically granted to any other department, board, or agency, and

5

not incompatible with law, which the board of regents for elementary and secondary education

6

council on elementary and secondary education may deem advisable.

7

     (13) To exercise the authority previously vested in the board of regents for education with

8

relation to adult education as defined in § 16-58-2 and to establish definitive goals for and operate

9

a comprehensive delivery system for adult education programs and services, including the

10

counseling and testing of persons interested in obtaining high school equivalency diplomas, the

11

issuance of diplomas, and the maintenance of a permanent record of applications, tests, and

12

equivalency diplomas.

13

     (14) To promote maximum efficiency and economy in the delivery of elementary and

14

secondary educational services in the state.

15

     (15) To approve a training program for school committee members to enhance their

16

individual skills and their effectiveness as a corporate body. The training program should include,

17

but not be limited to, the following roles and responsibilities of school committees: strategic

18

planning, human and community relations, and school finance and budgeting.

19

     (16) Within ninety (90) days after the end of each fiscal year, the board shall submit an

20

annual report to the governor, the speaker of the house of representatives, and the president of the

21

senate of its activities during that fiscal year. The report shall provide: an operating statement

22

summarizing meetings or hearings held, subjects addressed, decisions rendered, rules or

23

regulations promulgated, studies conducted, policies and plans developed, approved, or modified,

24

and programs administered or initiated; a consolidated financial statement of all funds received

25

and expended including the source of the funds, a listing of any staff supported by these funds,

26

and a summary of any clerical, administrative or technical support received; a summary of

27

performance during the previous fiscal year including accomplishments, shortcomings and

28

remedies; a synopsis of hearings, complaints, suspensions, or other legal matters related to the

29

authority of the board council; a briefing on anticipated activities in the upcoming fiscal year; and

30

findings and recommendations for improvements. The director of the department of

31

administration shall be responsible for the enforcement of the provisions of this subsection.

32

     (17) To prepare with the assistance of the commissioner a multi-year plan of priority

33

educational goals and objectives. This plan should recommend policy objectives, implementation

34

strategies, and a timetable for major policy initiatives.

 

LC003615 - Page 207 of 245

1

     (18) Each year the governor shall by writing notify the board of regents for elementary

2

and secondary education council on elementary and secondary education concerning broad

3

economic, cultural, and social needs that the education system needs to consider which the board

4

shall address in developing educational plans and programs.

5

     (19) Appoint a standing committee that will develop a schedule to systematically review

6

all board council policies over a three (3) year period.

7

     (20) To prepare with the assistance of the commissioner a statement of regulatory policy.

8

This policy should set forth the goals and objectives of state regulations which are expressed in

9

terms of what educational inputs and outputs the board expects regulations to address.

10

     (21) To prepare with the assistance of the commissioner of elementary and secondary

11

education and to present annually to the general assembly by January 1 a report on school

12

discipline in Rhode Island schools. This report shall include:

13

     (A) Expulsions by district, including duration and the reason for each action.

14

     (B) Suspensions by district, including duration and the reason for each action.

15

     (C) Placements to alternative programs for disciplinary reasons.

16

     (D) Assaults of teachers, students, and school staff by students.

17

     (E) Incidents involving possession of weapons on school property. For the purpose of this

18

section, a weapon shall be considered any of those weapons described in §§ 11-47-2 and 11-47-

19

42.

20

     (F) Incidents of the sale of controlled substances by students.

21

     (G) Incidents of the possession with the intent to sell controlled substances by students.

22

     (H) Additional demographic information including, but not limited to, the ethnic and

23

racial classifications, age, and gender, as prescribed by the commissioner, of each of the students

24

involved in the incidents, events or actions described in subparagraphs (A) through (G) of this

25

subdivision.

26

     (I) A description of the education program provided to each student suspended for over

27

ten (10) consecutive school days in a school year.

28

     (ii) All school superintendents shall supply the necessary information on forms

29

established by the commissioner of elementary and secondary education to the board of regents

30

council on elementary and secondary education to assist in the preparation of the board of regents'

31

council's report on school discipline.

32

     (22) To prepare and promulgate a uniform statewide school reporting system which

33

would provide information including, but not limited to, the following:

34

     (i) Student and teacher attendance rates;

 

LC003615 - Page 208 of 245

1

     (ii) Standardized test scores;

2

     (iii) Demographic profiles;

3

     (iv) Results of polls of students, parents, and teachers;

4

     (v) Descriptions of goals, initiatives, and achievements;

5

     (vi) Best teaching practices;

6

     (vii) Alternative student assessments;

7

     (viii) Special programs;

8

     (ix) Number of student suspensions and teacher grievances and the amount of parental

9

involvement.

10

     (23) The board shall conduct a training course for newly appointed and qualified

11

members within six (6) months of their qualification. The course shall be developed by the

12

chairperson of the board, approved by the board, and conducted by the chairperson of the board.

13

The board may approve the use of any board or staff members or other individuals to assist with

14

training. The training course shall include instruction in the following areas: the provisions of

15

chapters 42-46, 36-14, and 38-2; and the board's own rules. The director of the department of

16

administration shall, within ninety (90) days of the effective date of this act, prepare and

17

disseminate training materials relating to the provisions of chapters 42-46, 36-14, and 38-2.

18

     16-60-6. Commissioner of elementary and secondary education. -- The regents

19

council on elementary and secondary education, with the advice and consent of the board of

20

education, shall appoint a commissioner of elementary and secondary education who shall serve

21

at the pleasure of the regents council on elementary and secondary education, provided that the

22

commissioner's initial engagement by the regents council shall be for a period of not more than

23

three (3) years. For the purpose of appointing, retaining, or dismissing a commissioner, the

24

governor shall serve as an additional voting member of the board of regents council on

25

elementary and secondary education, and provided that in the case of a tie, the president of the

26

senate shall cast the deciding vote. The position of commissioner shall be in the unclassified

27

service of the state and he or she shall serve as the chief executive officer of the board of regents

28

council on elementary and secondary education and as the chief administrative officer of the

29

department of elementary and secondary education. The commissioner of elementary and

30

secondary education shall have the duties that are defined in this section and in this title and any

31

other additional duties that may be determined by the regents the council on elementary and

32

secondary education, and shall perform any other duties that may be vested in the commissioner

33

by law. In addition to the general supervision of the department of elementary and secondary

34

education and the appointment of the several officers and employees of the department, it shall be

 

LC003615 - Page 209 of 245

1

the duty of the commissioner of elementary and secondary education:

2

     (1) To develop and implement a systematic program of information gathering,

3

processing, and analysis addressed to every aspect of elementary and secondary education in the

4

state, especially as that information relates to current and future educational needs.

5

     (2) To prepare a master plan for elementary and secondary education in the state; to

6

coordinate the goals and objectives of the public elementary and secondary education sector with

7

the activities of the nonpublic elementary and secondary education sector where feasible.

8

     (3) To communicate with and seek the advice of those concerned with and affected by the

9

board of regents' education's and the council's determinations.

10

     (4) To implement broad policy as it pertains to the goals and objectives established by the

11

regents board of education; to enforce standards and to exercise general supervision over public

12

elementary and secondary education in the state and over all elementary and secondary nonpublic

13

education in the state as provided in subdivision (8) of this section; to assist in the preparation of

14

the budget for elementary and secondary education and to be responsible upon direction of the

15

regents council on elementary and secondary education for the allocation of appropriations, the

16

acquisition, holding, disposition, and general management of property.

17

     (5) To be responsible for the coordination of the various elementary and secondary

18

educational functions among the educational agencies of the state including local school districts

19

and to encourage and to assist in the cooperation among them so that maximum efficiency and

20

economy may be achieved.

21

     (6) To assist the regents council on elementary and secondary education in the

22

preparation and presentation annually to the state budget officer, in accordance with § 35-3-4, of

23

a total state elementary and secondary educational budget which shall include, but not be limited

24

to, the budget of the department of elementary and secondary education, subcommittees and

25

agencies, and state aid to local school districts.

26

     (7) To supervise the operation of the department of elementary and secondary education,

27

to have the duties as defined in § 16-1-5 and in this title or in law wherever outlined, and other

28

additional duties and responsibilities that may be assigned by the regents council on elementary

29

and secondary education.

30

     (8) To perform the duties vested in the board of regents education and council on

31

elementary and secondary education with relation to nonpublic elementary and secondary

32

educational institutions within the state under the terms of chapter 40 of this title, and other laws

33

that affect nonpublic elementary and secondary education in the state.

34

     (9) To supervise the following specific functions:

 

LC003615 - Page 210 of 245

1

     (i) To recommend the basic subjects and courses of study to be taught and instructional

2

standards to be maintained in the public elementary and secondary schools in the state.

3

     (ii) To recommend standards and qualifications of teachers and to issue certificates upon

4

approval of standards and qualifications by the regents council on elementary and secondary

5

education.

6

     (iii) To distribute state school funds in accordance with law and regulations of the board

7

of regents council on elementary and secondary education.

8

     (iv) To certify as to the necessity of school construction and that standards and design are

9

in accordance with law and regulations of the regents council on elementary and secondary

10

education and to approve a design for school construction throughout the state.

11

     (v) To certify that school library standards and services are in accordance with law and

12

regulations of the board of regents council on elementary and secondary education.

13

     (vi) To recommend to the board of regents matters council on elementary and secondary

14

education relating to the transportation of pupils to school.

15

     (vii) To require the observance of all laws relating to elementary and secondary schools

16

and education.

17

     (viii) To interpret school law and to decide any controversies that may be appealed to him

18

or her from decisions of local school committees.

19

     (ix) To prepare and recommend standard forms for the use of local schools when

20

reporting to the department of elementary and secondary education.

21

     (x) To prepare standard accounting and auditing procedures for local school districts,

22

except for the purposes of subdivision (3) of § 16-24-2 which shall be done in conjunction with

23

the auditor general.

24

     (xi) To prepare uniform budgeting procedures for local school districts.

25

     (xii) To determine when special purpose grants made to local school districts shall be

26

eligible for reimbursement through the school operations aid formula in accordance with chapter

27

7 of this title, and to designate the purpose(s) for which the local school district may use the

28

school operations aid reimbursement, including reimbursement on local matching funds used to

29

support the special purpose grant. The commissioner shall promulgate and adopt rules and

30

regulations to carry out the intent of this subsection.

31

     (10) To approve and accredit elementary and secondary schools in accordance with the

32

policy and regulations of the board of regents council on elementary and secondary education.

33

     (11) To be responsible for the administration of policies, rules, and regulations of the

34

board of regents education and the council on elementary and secondary education with relation

 

LC003615 - Page 211 of 245

1

to the entire field of elementary and secondary education within the state not specifically granted

2

to any other department, board, or agency and not incompatible with law.

3

     (12) To receive from law enforcement agencies a list periodically of the names of Rhode

4

Island missing children and to disseminate these lists to local school districts.

5

     SECTION 8. Sections 16-97-1 and 16-97-6 of the General Laws in Chapter 16-97

6

entitled "The Rhode Island Board of Education Act" are hereby amended to read as follows:

7

     16-97-1. Rhode Island board of education established. -- (a) Effective January 1, 2013,

8

there is created a board of education which shall be and is constituted a public corporation,

9

empowered to sue and be sued in its own name, to have a corporate seal, and to be vested with all

10

the powers and duties currently vested in the board of governors for higher education established

11

in chapter 16-59 and the board of regents for elementary and secondary education established in

12

chapter 16-60. be responsible for and shall exercise the purposes, powers and duties as defined in

13

this chapter and chapters 16-59 and 16-60 of the general laws. The Board is responsible for the

14

coordination of education from pre-k through higher education and shall set goals and policies for

15

the effective coordination of these public education systems.

16

     (b) Upon its organization, the board of education shall be vested with the legal title (in

17

trust for the state) to all property, real and personal, now owned by and/or under the control or in

18

the custody of the board of governors for higher education and the board of regents for

19

elementary and secondary education, for the use of the board of education. The board of

20

education is hereby-designated successor to all powers, rights, duties, and privileges pertaining to

21

the board of regents for elementary and secondary education and the board of governors for

22

higher education.

23

     (c)(b) The board of education shall consist of eleven (11) fifteen (15) public members

24

appointed by the governor with the advice and consent of the senate. Four (4) Six (6) of the

25

members initially appointed pursuant to this section shall serve terms of three (3) years; four (4)

26

six (6) members initially appointed pursuant to this section shall serve terms of two (2) years;

27

and, three (3) members initially appointed pursuant to this section shall serve terms of one year.

28

Thereafter, all members appointed pursuant to this section shall serve terms of three (3) years. No

29

board member shall be appointed to serve more than two (2) three (3) year terms. The public

30

members of the board shall not be compensated for their service in attending meetings or duly

31

organized meetings of the council on elementary and secondary education, or the council for

32

postsecondary education, or any subcommittees of the board.

33

     (d)(c) The governor shall select from the appointed members a chairperson and vice

34

chairperson. A quorum shall consist of six (6) nine (9) members of the board. A majority vote of

 

LC003615 - Page 212 of 245

1

those present shall be required for action.

2

     (e)(d) The statutory responsibilities of the department of elementary and secondary

3

education, the commissioner of elementary and secondary education, and the commissioner of

4

higher postsecondary education shall remain unchanged. No later than July 1, 2013, the board of

5

education shall submit to the governor and the general assembly its final plan for the permanent

6

administrative structure for higher education. As a requisite element of the administrative

7

structure for higher education, the board of education shall establish a plan for distributing the

8

assets, responsibilities, powers, authorities, and duties of the office of higher education to the

9

three (3) higher education institutions and appropriate state agencies. Said distribution shall be

10

done in a manner designed to maximize efficiency, provide greater articulation of the respective

11

responsibilities of elementary and secondary and higher education, and ensure that students are

12

prepared to succeed in school, college, careers, and life. The permanent governance structure for

13

higher education shall, at a minimum: (1) Provide clear guidance on statutory, legal, financial and

14

contractual obligations; (2) Establish a policy framework that furthers the goals of this chapter;

15

and (3) Establish appropriate administrative structures, support, policies and procedures.

16

Effective July 1, 2014, the office of higher education shall be abolished.

17

     (e) At the expiration of their terms members shall remain and continue in their official

18

capacity until their successor is appointed and confirmed. Any vacancy among the public

19

members of the board shall be filled by appointment of the governor for the remainder of the

20

unexpired term. In the selection and appointment of members of the board, the governor shall

21

seek persons who best serve the needs of the entire state. Public members shall not be appointed

22

for more than three (3) successive three (3) year terms each; provided, however, that this

23

limitation shall not apply to that person designated as chairperson by the governor, who may

24

remain a member so long as he or she shall serve as chairperson.

25

     (f) No person shall be eligible for appointment to the board after the effective date of this

26

act, unless a resident of this state.

27

     (g) Members of the board shall be removable by the governor pursuant to the provisions

28

of § 36-1-7 of the general laws and for cause only. Removal solely for partisan or personal

29

reasons unrelated to capacity or fitness for the office shall be prohibited.

30

     (h) The chair of the board of education shall consult with the chairs of the council on

31

elementary and secondary education, the council on postsecondary education, the commissioner

32

of elementary and secondary education, and the commissioner of postsecondary education in

33

developing agendas, goals, policies and strategic plans for the board.

34

     16-97-6. Reporting requirements. -- The board shall submit periodic reports an annual

 

LC003615 - Page 213 of 245

1

report to the governor, speaker of the house, senate president, chairs of the house and senate

2

finance committees and their respective fiscal advisors, the chair of the house health, education

3

and welfare committee, and chair of the senate education committee no later than March 1, 2015

4

and every March 1 thereafter on its progress towards implementation of this chapter. The first

5

report shall be submitted no later than April 1, 2013 and quarterly thereafter until January 1,

6

2014. It shall submit a report annually thereafter through 2018.

7

     SECTION 9. Chapter 16-97 of the General Laws entitled "The Rhode Island Board of

8

Education Act" is hereby amended by adding thereto the following sections:

9

     16-97-1.1. Purposes of the board of education. -- The Rhode Island Board of Education

10

shall be responsible for long-range planning and for coordinating and evaluating policies and

11

programs for the public educational systems of the state. The general assembly finds and declares

12

that the board of education shall have the following purposes:

13

     (a) To develop and adopt educational, financial and operational goals for the education

14

systems of the state that represent achievable benchmarks for a ten (10) year and (20) twenty (20)

15

year time scale and that can be implemented by the council on elementary and secondary

16

education, the council on postsecondary education, and the commissioners for elementary and

17

secondary education and postsecondary education;

18

     (b) To ensure that the education systems of the state are aligned with the projected

19

opportunities in workforce development and economic development and that the education

20

systems are preparing students to participate in the future workforce of Rhode Island;

21

     (c) To coordinate programs and courses of study and promote collaboration between and

22

among pre-kindergarten through higher education institutions and agencies, including, but not

23

limited to:

24

     (1) improving career and college readiness;

25

     (2) reducing the need for remedial instruction;

26

     (3) implementing and coordinating common core and other system wide standards;

27

     (4) ensuring there is a quality system for adult education and certification programs in

28

secondary school and community college.

29

     (d) To present strategic budget and finance recommendations to the council on

30

elementary and secondary education and council on postsecondary education that are aligned with

31

the long-range goals adopted by the board.

32

     16-97-1.2. Powers and duties of the board of education. -- The board of education

33

shall have the following powers and duties:

34

     (a) To develop and adopt a strategic plan defining broad goals and objectives for

 

LC003615 - Page 214 of 245

1

education in the state. These goals and objectives shall be expressed in terms of the future

2

educational attainment of the population, quality of life and economy of Rhode Island, including

3

but not limited to what children, men and women should know and be able to do as a result of

4

their educational experience and the contributions of education to meeting the workforce and

5

economic development needs of Rhode Island. The board shall approve the strategic plans for

6

elementary and secondary education and postsecondary education in terms of the alignment of

7

these strategic plans with the overall strategic plan of the board of education. The board shall

8

continuously evaluate the efforts of the council on elementary and secondary education and the

9

council on postsecondary education to implement the strategic plans and shall review the results

10

of education in the light of these objectives;

11

     (b) To prepare and maintain a five (5) year strategic funding plan for all levels of

12

education in Rhode Island. The board shall determine priorities of expenditures for public

13

education purposes of state revenues and other public resources made available for the support of

14

public education and direct the council on elementary and secondary education and the council on

15

postsecondary education to implement those priorities when developing the annual budget for

16

elementary and secondary education and higher education. The councils shall present their annual

17

budgets to the board for its review and consent. Nothing contained in this subdivision shall

18

authorize the board to alter the allocation of grants or aid otherwise provided by law;

19

     (c) To develop and submit to the general assembly for approval a performance funding

20

formula for public higher education that furthers the purposes of the board and ensures that all

21

students may achieve educational excellence;

22

     (d) To develop policies that maximize the potential of collaboration from elementary and

23

secondary education through higher education systems and that improve efficiencies at all levels

24

of the education system through improved coordination of activities;

25

     (e) To embrace the legislative findings regarding virtual education established by section

26

16-22.1-2 of the general laws and adopt goals and policies that address these findings and to

27

encourage the council on elementary and secondary education and the council for postsecondary

28

education to develop and or improve virtual learning experiences for Rhode Island students;

29

     (f) To provide advice and consent to the council on elementary and secondary education

30

regarding the appointment of a commissioner of elementary and secondary education.

31

     (g) To provide advice and consent to the council for postsecondary education regarding

32

the appointment of a commissioner of postsecondary education.

33

     (h) To conduct a training course for newly appointed and qualified board members within

34

six (6) months of their qualification. The course shall be developed by the chairperson of the

 

LC003615 - Page 215 of 245

1

board, approved by the board, and conducted by the chairperson of the board. The board may

2

approve the use of any board or staff members or other individuals to assist with training. The

3

training course shall include instruction in the following areas: the provisions of chapters 42-46,

4

36-14, and 38-2; and the board's own rules. The director of the department of administration

5

shall, within ninety (90) days of the effective date of this act, prepare and disseminate training

6

materials relating to the provisions of chapters 42-46, 36-14, and 38-2.

7

     SECTION 10. Sections 16-97-2 and 16-97-3 of the General Laws in Chapter 16-97

8

entitled "The Rhode Island Board of Education Act" are hereby repealed.

9

     16-97-2. Executive agents of the state board of education. -- The state board of

10

education shall appoint a Commissioner of Elementary and Secondary Education who shall be the

11

board's executive agent in matters pertaining to elementary and secondary education and who

12

shall have the duties established in R.I.G.L. 16-60-6. The state board of education shall also

13

appoint a Commissioner of Higher Education who shall be the board's executive agent in matters

14

pertaining to higher education and who shall have the duties established in R.I.G.L. 16-59-6. The

15

Commissioners shall be employees of the board in the unclassified service and shall not be

16

members of the board and shall serve at the pleasure of the board.

17

     16-97-3. Executive committee of education. -- (a) There is established an executive

18

committee of education that shall be composed of the president of the University of Rhode Island,

19

the president of Rhode Island College, the president of Community College of Rhode Island, the

20

commissioner of higher education, and the commissioner of elementary and secondary education.

21

The commissioner of higher education shall serve as the chairperson of the committee.

22

     (b) The committee shall meet on a regular basis, provided, that they shall meet not less

23

than twelve (12) times per year, and the purpose of the committee shall include, but not be limited

24

to, developing coherent plans for the elimination of unnecessary duplication in public education

25

and addressing the future needs of public education within the state in the most efficient and

26

economical manner possible. All recommendations and information gathered at the meetings of

27

the committee shall be forwarded to the board of education for final action of the board of

28

education.

29

     (c) Prior to the presentation of any proposal to the board of governors, the committee

30

shall fully examine its impact on public education, including, but not limited to, its impact on

31

educational budgetary requirements, quality of education and elimination of unnecessary

32

duplication. The chairperson of the committee may invite additional participation by faculty and

33

other employees when he or she deems it necessary.

34

     SECTION 11. This article shall take effect upon passage.

 

LC003615 - Page 216 of 245

1

ARTICLE 21

2

RELATING TO TRANSPORTATION

3

     SECTION 1. Section 31-36-20 of the General Laws in Chapter 31-36 entitled "Motor

4

Fuel Tax" is hereby amended to read as follows:

5

     31-36-20. Disposition of proceeds. -- (a) Notwithstanding any other provision of law to

6

the contrary, all moneys paid into the general treasury under the provisions of this chapter or

7

chapter 37 of this title, and title 46 shall be applied to and held in a separate fund and be

8

deposited in any depositories that may be selected by the general treasurer to the credit of the

9

fund, which fund shall be known as the Intermodal Surface Transportation Fund; provided, that in

10

fiscal year 2004 for the months of July through April six and eighty-five hundredth cents

11

($0.0685) per gallon of the tax imposed and accruing for the liability under the provisions of §

12

31-36-7, less refunds and credits, shall be transferred to the Rhode Island public transit authority

13

as provided under § 39-18-21. For the months of May and June in fiscal year 2004, the allocation

14

shall be five and five hundredth cents ($0.0505). Thereafter, until fiscal year 2006, the allocation

15

shall be six and twenty-five hundredth cents ($0.0625). For fiscal years 2006 through FY 2008,

16

the allocation shall be seven and twenty-five hundredth cents ($0.0725); provided, that

17

expenditures shall include the costs of a market survey of non-transit users and a management

18

study of the agency to include the feasibility of moving the Authority into the Department of

19

Transportation, both to be conducted under the auspices of the state budget officer. The state

20

budget officer shall hire necessary consultants to perform the studies, and shall direct payment by

21

the Authority. Both studies shall be transmitted by the Budget Officer to the 2006 session of the

22

General Assembly, with comments from the Authority. For fiscal year 2009, the allocation shall

23

be seven and seventy-five hundredth cents ($0.0775), of which one-half cent ($0.005) shall be

24

derived from the one cent ($0.01) per gallon environmental protection fee pursuant to § 46-12.9-

25

11. For fiscal years 2010 and thereafter, the allocation shall be nine and seventy-five hundredth

26

cents ($0.0975), of which of one-half cent ($0.005) shall be derived from the one cent ($0.01) per

27

gallon environmental protection fee pursuant to § 46-12.9-11. One cent ($0.01) per gallon shall

28

be transferred to the Elderly/Disabled Transportation Program of the department of human

29

services, and the remaining cents per gallon shall be available for general revenue as determined

30

by the following schedule:

31

     (i) For the fiscal year 2000, three and one fourth cents ($0.0325) shall be available for

32

general revenue.

33

     (ii) For the fiscal year 2001, one and three-fourth cents ($0.0175) shall be available for

34

general revenue.

 

LC003615 - Page 217 of 245

1

     (iii) For the fiscal year 2002, one-fourth cent ($0.0025) shall be available for general

2

revenue.

3

     (iv) For the fiscal year 2003, two and one-fourth cent ($0.0225) shall be available for

4

general revenue.

5

     (v) For the months of July through April in fiscal year 2004, one and four-tenths cents

6

($0.014) shall be available for general revenue. For the months of May through June in fiscal year

7

2004, three and two-tenths cents ($0.032) shall be available for general revenue, and thereafter,

8

until fiscal year 2006, two cents ($0.02) shall be available for general revenue. For fiscal year

9

2006 through fiscal year 2009 one cent ($0.01) shall be available for general revenue.

10

     (2) All deposits and transfers of funds made by the tax administrator under this section,

11

including those to the Rhode Island public transit authority, the department of human services and

12

the general fund, shall be made within twenty-four (24) hours of receipt or previous deposit of the

13

funds in question.

14

     (3) Commencing in fiscal year 2004, the Director of the Rhode Island Department of

15

Transportation is authorized to remit, on a monthly or less frequent basis as shall be determined

16

by the Director of the Rhode Island Department of Transportation, or his or her designee, or at the

17

election of the Director of the Rhode Island Department of Transportation, with the approval of

18

the Director of the Department of Administration, to an indenture trustee, administrator, or other

19

third party fiduciary, in an amount not to exceed two cents ($0.02) per gallon of the gas tax

20

imposed, in order to satisfy debt service payments on aggregate bonds issued pursuant to a Joint

21

Resolution and Enactment Approving the Financing of Various Department of Transportation

22

Projects adopted during the 2003 session of the General Assembly, and approved by the

23

Governor.

24

     (b) Notwithstanding any other provision of law to the contrary, all other funds in the fund

25

shall be dedicated to the department of transportation, subject to annual appropriation by the

26

general assembly. The director of transportation shall submit to the general assembly, budget

27

office and office of the governor annually an accounting of all amounts deposited in and credited

28

to the fund together with a budget for proposed expenditures for the succeeding fiscal year in

29

compliance with §§ 35-3-1 and 35-3-4. On order of the director of transportation, the state

30

controller is authorized and directed to draw his or her orders upon the general treasurer for the

31

payments of any sum or portion of the sum that may be required from time to time upon receipt

32

of properly authenticated vouchers.

33

     (c) At any time the amount of the fund is insufficient to fund the expenditures of the

34

department of transportation, not to exceed the amount authorized by the general assembly, the

 

LC003615 - Page 218 of 245

1

general treasurer is authorized, with the approval of the governor and the director of

2

administration, in anticipation of the receipts of monies enumerated in § 31-36-20 to advance

3

sums to the fund, for the purposes specified in § 31-36-20, any funds of the state not specifically

4

held for any particular purpose. However, all the advances made to the fund shall be returned to

5

the general fund immediately upon the receipt by the fund of proceeds resulting from the receipt

6

of monies to the extent of the advances.

7

     (d) Beginning with the fiscal year 2014 and annually thereafter, the department of

8

transportation will allocate gas tax revenue made available from the shift of debt service expenses

9

on general obligation bonds to general revenue to programs that are designed to eliminate

10

structural deficiencies of the state's bridge, road and maintenance systems and infrastructure.

11

     (i) Beginning in the fiscal year 2014 and annually thereafter, the department of

12

transportation will appropriately fund and invest in highway maintenance operations;

13

     (ii) Beginning in the fiscal year 2014 and annually thereafter, the department of

14

transportation will set aside not less than one million dollars ($1,000,000) for heavy vehicle

15

replacement program that will align maintenance fleet needs with best practices for vehicle and

16

equipment procurement;

17

     (iii)Beginning in the fiscal year 2015 and annually thereafter, the department of

18

transportation will set aside not less than five hundred thousand dollars ($500,000) for a drainage

19

system preservation program to implement routine cleaning and preservation of catch basins on a

20

system-wide basis;

21

     (iv) In the fiscal year 2016, the department of transportation will set aside not less than

22

five million dollars ($5,000,000) for a preventative maintenance, preservation, and replacement

23

program to address the condition of all state-maintained bridges;

24

     (A) provided that this amount shall increase to fifteen million dollars ($15,000,000) in the

25

fiscal year 2017 and further provided that this amount shall increase to twenty million dollars

26

($20,000,000) in the fiscal year 2018 and shall not be reduced in any year thereafter and;

27

     (B) provided that the department of transportation utilizes ten million dollars

28

($10,000,000) in the fiscal year 2015 and ten million dollars ($10,000,000) in the fiscal year 2016

29

from funds available in the Intermodal Surface Transportation Fund for a preventative

30

maintenance, preservation and replacement program to address the condition of all state-

31

maintained bridges.

32

     SECTION 2. This article shall take effect upon passage.

33

ARTICLE 22

34

RELATING TO LEGAL NOTICES"

 

LC003615 - Page 219 of 245

1

     SECTION 1. Title 42 of the General Laws entitled "STATE AFFAIRS AND

2

GOVERNMENT" is hereby amended by adding thereto the following chapter:

3

CHAPTER 11.4

4

MODERNIZATION OF LEGAL NOTICES AND ADVERTISEMENTS

5

     42-11.4-1. Legislative Findings. – It is hereby found and declared as follows:

6

     (a) Throughout the Rhode Island General Laws, there are over two hundred and fifty

7

(250) discrete requirements for legal notices or advertisements to be published in newspapers.

8

While the responsible parties, geographies (e.g., statewide or local), and frequencies of notice

9

vary widely among these hundreds of different requirements, their common goal is to notify the

10

public about informational requirements under law and to give the public a meaningful

11

opportunity to participate in its government. However, modes of communication change over

12

time, and along with these changes there is an obligation to openness for technological

13

innovation.

14

     (b) The United States Census Bureau reports that computer possession and household

15

internet usage have consistently risen over time. For example, in 1997, there was a computer in

16

thirty six and six-tenths percent (36.6%) of U.S. households, with eighteen percent (18%) of U.S.

17

households reporting internet usage. By 2011, there was a computer in seventy five and six-tenths

18

percent (75.6%) of U.S. households, with seventy one and seven-tenths percent (71.7%) of U.S.

19

households reporting internet usage. The Bureau reported similar rates of household internet

20

connection of Rhode Islanders in 2011 [seventy two and two-tenths percent (72.2%)]. These

21

increases are inclusive, cutting across age, education attainment, income, and racial and ethnic

22

boundaries.

23

     (c) Using the internet to conduct civic transactions is a common practice according to a

24

2010 Pew Research Center's Internet & American Life Project survey, which reported that eighty

25

two percent (82%) of U.S. internet users looked for information or completed a transaction on a

26

government website in the preceding twelve (12) months. This data is consistent with the

27

experience in Rhode Island, where executive agencies have rolled out several new initiatives over

28

the past few years that illustrate this trend: the expansion of online services at the division of

29

motor vehicles; the introduction of a transparency portal (one of the first in the country) to

30

provide more information regarding the operation and management of government; the creation

31

of a new division of veterans' affairs website; and the launch of an e-Licensing initiative by the

32

department of business regulation, working with the office of digital excellence and the division

33

of information technology.

34

     (d) Further, Rhode Island is particularly well poised to harness the power of

 

LC003615 - Page 220 of 245

1

communicating digitally because of its depth of digital infrastructure. The New York Times

2

reported in 2011 that Rhode Island had the fastest internet speed for residential customers in the

3

country; and "broadband service," which describes high-speed internet, digital cable and digital

4

phone services traveling through a single pipeline, is available to ninety seven percent (97%) of

5

Rhode Islanders, with eighty three percent (83%) of Rhode Islanders having the choice of at least

6

two (2) broadband providers, according to the Broadband Rhode Island initiative.

7

     (e) While the use of the internet has grown nationally and in Rhode Island over time, with

8

investments in expansion of online services and digital infrastructure, readership of daily

9

newspapers has shown a steady slide in paid circulation. For example, the Pew Research Center's

10

Project for Excellence in Journalism reported in 2011 that daily newspaper circulation, which

11

stood at sixty two million three hundred thousand (62,300,000) in 1990, had fallen to forty three

12

million four hundred thousand (43,400,000) in 2010, a decline of thirty percent (30%). In 1990,

13

evening papers, which began to decline in the 1970s, made up about a third of daily circulation.

14

In 2009, this ratio had dropped to just over ten percent (10%).

15

     (f) Moreover, a national survey by the Pew Research Center for the People and the Press

16

in 2010 found that "more people continue to cite the internet than newspapers as their main

17

source of news, reflecting both the growth of the internet, and the gradual decline in newspaper

18

readership [from thirty four percent (34%) in 2007 to thirty one percent (31%) now]."

19

     (g) Given historical and current trends, offering an electronic means of publishing notices

20

and advertisements is a common-sense, efficient way to disseminate vital information to the

21

public for several reasons:

22

     (i). Publication of legal notices and advertisements by electronic means is more likely to

23

reach citizens, providing them with crucial information about information required to be

24

disclosed under law and a better opportunity to participate in government;

25

     (ii). Expanding the amount of information available electronically will allow for new

26

forms of connection between citizens and government, through e-mail alerts and enhanced search

27

opportunities; and

28

     (iii). Posting legal notices and advertisements electronically may ease the regulatory

29

burden of compliance for businesses, especially small businesses, and governmental agencies by

30

offering a cost-effective alternative to newspaper publication that capitalizes on the state's

31

existing technological assets and investments.

32

     42-11.4-2. Definitions. -- As used within this chapter,

33

     (a) "Department" shall mean the department of administration; and

34

     (b) "Person" shall mean any individual, corporation, partnership, association,

 

LC003615 - Page 221 of 245

1

municipality, other public body, legal entity, employee or agent of the person.

2

     42-11.4-3. Authorized website transitional notice. -- (a) Notwithstanding any provision

3

of the general or public laws to the contrary, any notice or other written matter required to be

4

published by any law of this state in a newspaper shall be deemed to satisfy such requirement if

5

posted on an "authorized website," as defined in the rules and regulations promulgated in

6

accordance with §42-11.4-7.

7

     (b) Before any person may post a notice or advertisement on an authorized website, such

8

person must announce its intention to do so in the following ways and for the following periods

9

of time:

10

     (i) By publishing an announcement at least three (3) times a week for three (3)

11

consecutive weeks in the newspaper or newspapers - where notice or advertisement is currently

12

required to be published;

13

     (ii) By publishing an announcement on the secretary of state's website for at least three

14

(3) consecutive weeks; and

15

     (iii) By publishing an announcement on the Rhode Island transparency portal

16

(http://www.transparency.ri.gov/) for at least three (3) consecutive weeks.

17

     42-11.4-4. Required posting. -- Posting a notice or advertisement on the secretary of

18

state's website pursuant to § 42-46-6 shall not be sufficient to meet the requirements for posting

19

on an authorized website pursuant to § 42-11.4-7.

20

     42-11.4-5. Costs. -- Any costs associated with posting the notice or advertisement on the

21

authorized website shall be borne by the party required to post the notice or advertisement as set

22

forth in the rules and regulations promulgated in accordance with § 42-11.4-7.

23

     42-11.4-6. Burden of proof. -- In all actions brought under this chapter, the burden shall

24

be on the party required to provide notice or advertisement to demonstrate notice or

25

advertisement was sufficient pursuant to the rules and regulations set forth in accordance with §

26

42-11.4-7.

27

     42-11.4-7. Rules and regulations. -- (a) No later than one hundred and twenty (120)

28

days after the passage of this act, the department shall promulgate rules and regulations, after

29

review and recommendation by the office of digital excellence, to implement the provisions of

30

this chapter.

31

     (b) Such rules and regulations shall include:

32

     (i) a mechanism by which the authorized website can send a subscribing person e-mail

33

alerts (as specified by such subscribing person), including a choice of how often to receive such

34

alerts and the option to terminate such alerts;

 

LC003615 - Page 222 of 245

1

     (ii) the ability to search the authorized website by statutory cite, keyword, or date of

2

posting; and

3

     (iii) the particular specifications, if any, required for mobile electronic devices to access

4

the authorized website and utilize its functionalities.

5

     42-11.4-8. Penalties. -- Any person aggrieved as a result of violations of the provisions

6

of this chapter may file a complaint with the department of attorney general. The attorney general

7

shall investigate the complaint and, if the department of attorney general determines that the

8

allegations of the complaint are meritorious, such person may file a complaint on behalf of the

9

complainant in the superior court against the entities alleged to have violated the requirements of

10

this chapter.

11

     SECTION 2. This article shall take effect upon passage.

12

ARTICLE 23

13

RELATING TO LICENSING OF HOSPITAL FACILITIES

14

     SECTION 1. Section 23-17-38.1 of the General Laws in Chapter 23-17 entitled

15

"Licensing of Health Care Facilities" is hereby amended to read as follows:

16

     23-17-38.1. Hospitals – Licensing fee. -- (a) There is imposed a hospital licensing fee at

17

the rate of five and thirty-five hundredths percent (5.35%) upon the net patient services revenue

18

of every hospital for the hospital's first fiscal year ending on or after January 1, 2011, except that

19

the license fee for all hospitals located in Washington County, Rhode Island shall be discounted

20

by thirty-seven percent (37%). The discount for Washington County hospitals is subject to

21

approval by the Secretary of the US Department of Health and Human Services of a state plan

22

amendment submitted by the Executive Office of Health and Human Services for the purpose of

23

pursuing a waiver of the uniformity requirement for the hospital license fee. This licensing fee

24

shall be administered and collected by the tax administrator, division of taxation within the

25

department of revenue, and all the administration, collection and other provisions of 51 of title 44

26

shall apply. Every hospital shall pay the licensing fee to the tax administrator on or before July

27

15, 2013 and payments shall be made by electronic transfer of monies to the general treasurer and

28

deposited to the general fund. Every hospital shall, on or before June 17, 2013, make a return to

29

the tax administrator containing the correct computation of net patient services revenue for the

30

hospital fiscal year ending September 30, 2011, and the licensing fee due upon that amount. All

31

returns shall be signed by the hospital's authorized representative, subject to the pains and

32

penalties of perjury.

33

     (b)(a) There is also imposed a hospital licensing fee at the rate of five and two hundred

34

forty-six thousandths percent (5.246%) upon the net patient services revenue of every hospital for

 

LC003615 - Page 223 of 245

1

the hospital's first fiscal year ending on or after January 1, 2012, except that the license fee for all

2

hospitals located in Washington County, Rhode Island shall be discounted by thirty-seven percent

3

(37%). The discount for Washington County hospitals is subject to approval by the Secretary of

4

the US Department of Health and Human Services of a state plan amendment submitted by the

5

Executive Office of Health and Human Services for the purpose of pursuing a waiver of the

6

uniformity requirement for the hospital license fee. This licensing fee shall be administered and

7

collected by the tax administrator, division of taxation within the department of revenue, and all

8

the administration, collection and other provisions of 51 of title 44 shall apply. Every hospital

9

shall pay the licensing fee to the tax administrator on or before July 14, 2014 and payments shall

10

be made by electronic transfer of monies to the general treasurer and deposited to the general

11

fund. Every hospital shall, on or before June 16, 2014, make a return to the tax administrator

12

containing the correct computation of net patient services revenue for the hospital fiscal year

13

ending September 30, 2012, and the licensing fee due upon that amount. All returns shall be

14

signed by the hospital's authorized representative, subject to the pains and penalties of perjury.

15

     (b) There is also imposed a hospital licensing fee at the rate of five and two hundred

16

forty-six thousandths percent (5.246%) upon the net patient services revenue of every hospital for

17

the hospital's first fiscal year ending on or after January 1, 2012, except that the license fee for all

18

hospitals located in Washington County, Rhode Island shall be discounted by thirty-seven percent

19

(37%). The discount for Washington County hospitals is subject to approval by the Secretary of

20

the US Department of Health and Human Services of a state plan amendment submitted by the

21

Executive Office of Health and Human Services for the purpose of pursuing a waiver of the

22

uniformity requirement for the hospital license fee. This licensing fee shall be administered and

23

collected by the tax administrator, division of taxation within the department of revenue, and all

24

the administration, collection and other provisions of 51 of title 44 shall apply. Every hospital

25

shall pay the licensing fee to the tax administrator on or before July 13, 2015 and payments shall

26

be made by electronic transfer of monies to the general treasurer and deposited to the general

27

fund. Every hospital shall, on or before June 15, 2015, make a return to the tax administrator

28

containing the correct computation of net patient services revenue for the hospital fiscal year

29

ending September 30, 2012, and the licensing fee due upon that amount. All returns shall be

30

signed by the hospital's authorized representative, subject to the pains and penalties of perjury.

31

     (c) For purposes of this section the following words and phrases have the following

32

meanings:

33

     (1) "Hospital" means a person or governmental unit duly licensed in accordance with this

34

chapter to establish, maintain, and operate a hospital, except a hospital whose primary service and

 

LC003615 - Page 224 of 245

1

primary bed inventory are psychiatric.

2

     (2) "Gross patient services revenue" means the gross revenue related to patient care

3

services.

4

     (3) "Net patient services revenue" means the charges related to patient care services less

5

(i) charges attributable to charity care, (ii) bad debt expenses, and (iii) contractual allowances.

6

     (d) The tax administrator shall make and promulgate any rules, regulations, and

7

procedures not inconsistent with state law and fiscal procedures that he or she deems necessary

8

for the proper administration of this section and to carry out the provisions, policy and purposes

9

of this section.

10

     (e) The licensing fee imposed by this section shall apply to hospitals as defined herein

11

which are duly licensed on July 1, 2013 2014, and shall be in addition to the inspection fee

12

imposed by § 23-17-38 and to any licensing fees previously imposed in accordance with § 23-17-

13

38.1.

14

     SECTION 2. This article shall take effect as of July 1, 2014.

15

ARTICLE 24

16

RELATING TO HOSPITAL UNCOMPENSATED CARE

17

     SECTION 1. Sections 40-8.3-2 and 40-8.3-3 of the General Laws in Chapter 40-8.3

18

entitled "Uncompensated Care" are hereby amended to read as follows:

19

     40-8.3-2. Definitions. -- As used in this chapter:

20

     (1) "Base year" means for the purpose of calculating a disproportionate share payment for

21

any fiscal year ending after September 30, 2012 2013, the period from October 1, 2010 2011

22

through September 30, 2011 2012, and for any fiscal year ending after September 30, 2013 2014,

23

the period from October 1, 2011 through September 30, 2012.

24

     (2) "Medical assistance inpatient utilization rate for a hospital" means a fraction

25

(expressed as a percentage) the numerator of which is the hospital's number of inpatient days

26

during the base year attributable to patients who were eligible for medical assistance during the

27

base year and the denominator of which is the total number of the hospital's inpatient days in the

28

base year.

29

     (3) "Participating hospital" means any nongovernment and nonpsychiatric hospital that:

30

(i) was licensed as a hospital in accordance with chapter 17 of title 23 during the base year; (ii)

31

achieved a medical assistance inpatient utilization rate of at least one percent (1%) during the

32

base year; and (iii) continues to be licensed as a hospital in accordance with chapter 17 of title 23

33

during the payment year.

34

     (4) "Uncompensated care costs" means, as to any hospital, the sum of: (i) the cost

 

LC003615 - Page 225 of 245

1

incurred by such hospital during the base year for inpatient or outpatient services attributable to

2

charity care (free care and bad debts) for which the patient has no health insurance or other third-

3

party coverage less payments, if any, received directly from such patients; and (ii) the cost

4

incurred by such hospital during the base year for inpatient or out-patient services attributable to

5

Medicaid beneficiaries less any Medicaid reimbursement received therefor; multiplied by the

6

uncompensated care index.

7

     (5) "Uncompensated care index" means the annual percentage increase for hospitals

8

established pursuant to § 27-19-14 for each year after the base year, up to and including the

9

payment year, provided, however, that the uncompensated care index for the payment year ending

10

September 30, 2007 shall be deemed to be five and thirty-eight hundredths percent (5.38%), and

11

that the uncompensated care index for the payment year ending September 30, 2008 shall be

12

deemed to be five and forty-seven hundredths percent (5.47%), and that the uncompensated care

13

index for the payment year ending September 30, 2009 shall be deemed to be five and thirty-eight

14

hundredths percent (5.38%), and that the uncompensated care index for the payment years ending

15

September 30, 2010, September 30, 2011, September 30, 2012, September 30, 2013 and,

16

September 30, 2014 and September 30, 2015 shall be deemed to be five and thirty hundredths

17

percent (5.30%).

18

     40-8.3-3. Implementation. -- (a) For the fiscal year commencing on October 1, 2011 and

19

ending September 30, 2012, the executive office of health and human services shall submit to the

20

Secretary of the U.S. Department of Health and Human Services a state plan amendment to the

21

Rhode Island Medicaid state plan for disproportionate share hospital payments (DSH Plan) to

22

provide:

23

     (1) That the disproportionate share hospital payments to all participating hospitals, not to

24

exceed an aggregate limit of $126.2 million, shall be allocated by the executive office of health

25

and human services to the Pool A, Pool C and Pool D components of the DSH Plan; and,

26

     (2) That the Pool D allotment shall be distributed among the participating hospitals in

27

direct proportion to the individual participating hospital's uncompensated care costs for the base

28

year, inflated by the uncompensated care index to the total uncompensated care costs for the base

29

year inflated by uncompensated care index for all participating hospitals. The disproportionate

30

share payments shall be made on or before July 16, 2012 and are expressly conditioned upon

31

approval on or before July 9, 2012 by the Secretary of the U.S. Department of Health and Human

32

Services, or his or her authorized representative, of all Medicaid state plan amendments necessary

33

to secure for the state the benefit of federal financial participation in federal fiscal year 2012 for

34

the disproportionate share payments.

 

LC003615 - Page 226 of 245

1

     (b)(a) For federal fiscal year 2013, commencing on October 1, 2012 and ending

2

September 30, 2013, the executive office of health and human services shall submit to the

3

Secretary of the U.S. Department of Health and Human Services a state plan amendment to the

4

Rhode Island Medicaid state plan for disproportionate share hospital payments (DSH Plan) to

5

provide:

6

     (1) That the disproportionate share hospital payments to all participating hospitals, not to

7

exceed an aggregate limit of $128.3 million, shall be allocated by the executive office of health

8

and human services to the Pool A, Pool C and Pool D components of the DSH Plan; and,

9

     (2) That the Pool D allotment shall be distributed among the participating hospitals in

10

direct proportion to the individual participating hospital's uncompensated care costs for the base

11

year, inflated by the uncompensated care index to the total uncompensated care costs for the base

12

year inflated by uncompensated care index for all participating hospitals. The disproportionate

13

share payments shall be made on or before July 15, 2013 and are expressly conditioned upon

14

approval on or before July 8, 2013 by the Secretary of the U.S. Department of Health and Human

15

Services, or his or her authorized representative, of all Medicaid state plan amendments necessary

16

to secure for the state the benefit of federal financial participation in federal fiscal year 2013 for

17

the disproportionate share payments.

18

     (c) (b) For federal fiscal year 2014, commencing on October 1, 2013 and ending

19

September 30, 2014, the executive office of health and human services shall submit to the

20

Secretary of the U.S. Department of Health and Human Services a state plan amendment to the

21

Rhode Island Medicaid state plan for disproportionate share hospital payments (DSH Plan) to

22

provide:

23

     (1) That the disproportionate share hospital payments to all participating hospitals, not to

24

exceed an aggregate limit of $128.3 million, shall be allocated by the executive office of health

25

and human services to the Pool A, Pool C and Pool D components of the DSH Plan; and,

26

     (2) That the Pool D allotment shall be distributed among the participating hospitals in

27

direct proportion to the individual participating hospital's uncompensated care costs for the base

28

year, inflated by the uncompensated care index to the total uncompensated care costs for the base

29

year inflated by uncompensated care index for all participating hospitals. The disproportionate

30

share payments shall be made on or before July 14, 2014 and are expressly conditioned upon

31

approval on or before July 7, 2014 by the Secretary of the U.S. Department of Health and Human

32

Services, or his or her authorized representative, of all Medicaid state plan amendments necessary

33

to secure for the state the benefit of federal financial participation in federal fiscal year 2014 for

34

the disproportionate share payments.

 

LC003615 - Page 227 of 245

1

     (c) For federal fiscal year 2015, commencing on October 1, 2014 and ending September

2

30, 2015, the executive office of health and human services shall submit to the Secretary of the

3

U.S. Department of Health and Human Services a state plan amendment to the Rhode Island

4

Medicaid state plan for disproportionate share hospital payments (DSH Plan) to provide:

5

     (1) That the disproportionate share hospital payments to all participating hospitals, not to

6

exceed an aggregate limit of $128.3 million, shall be allocated by the executive office of health

7

and human services to the Pool A, Pool C and Pool D components of the DSH Plan; and,

8

     (2) That the Pool D allotment shall be distributed among the participating hospitals in

9

direct proportion to the individual participating hospital's uncompensated care costs for the base

10

year, inflated by the uncompensated care index to the total uncompensated care costs for the base

11

year inflated by uncompensated care index for all participating hospitals. The disproportionate

12

share payments shall be made on or before July 13, 2015 and are expressly conditioned upon

13

approval on or before July 6, 2015 by the Secretary of the U.S. Department of Health and Human

14

Services, or his or her authorized representative, of all Medicaid state plan amendments necessary

15

to secure for the state the benefit of federal financial participation in federal fiscal year 2015 for

16

the disproportionate share payments.

17

     (d) No provision is made pursuant to this chapter for disproportionate share hospital

18

payments to participating hospitals for uncompensated care costs related to graduate medical

19

education programs.

20

     SECTION 2. Section 40-8.3-10 of the General Laws in Chapter 40-8.3 entitled

21

"Uncompensated Care" is hereby repealed.

22

     40-8.3-10. Outpatient adjustment payments. -- Effective July 1, 2012 and for each

23

subsequent year, the executive office of health and human services is hereby authorized and

24

directed to amend its regulations for reimbursement to hospitals for outpatient services as

25

follows:

26

     (a) Each hospital in the state of Rhode Island, as defined in subdivision 23-17-

27

38.19(b)(1), shall receive a quarterly adjustment payment each state fiscal year of an amount

28

determined as follows:

29

     (1) Determine the percent of the state's total Medicaid outpatient and emergency

30

department services (exclusive of physician services) provided by each hospital during each

31

hospital's prior fiscal year;

32

     (2) Determine the sum of all Medicaid payments to hospitals made for outpatient and

33

emergency department services (exclusive of physician services) provided during each hospital's

34

prior fiscal year;

 

LC003615 - Page 228 of 245

1

     (3) Multiply the sum of all Medicaid payments as determined in subdivision (2) by

2

seventy-four and ninety-seven hundredths percent (74.97%) and then multiply that result by each

3

hospital's percentage of the state's total Medicaid outpatient and emergency department services

4

as determined in subdivision (1) to obtain the total outpatient adjustment for each hospital to be

5

paid each year;

6

     (4) Pay each hospital on or before July 20, October 20, January 20, and April 20 one

7

quarter (1/4) of its total outpatient adjustment as determined in subdivision (3) above.

8

     (b) The amounts determined in subsection (a) are in addition to Medicaid outpatient

9

payments and emergency services payments (exclusive of physician services) paid to hospitals in

10

accordance with current state regulation and the Rhode Island Plan for Medicaid Assistance

11

pursuant to Title XIX of the Social Security Act and are not subject to recoupment or settlement.

12

     SECTION 3. This article shall take effect as of July 1, 2014.

13

ARTICLE 25

14

RELATING TO MEDICAL ASSISTANCE

15

     SECTION 1. Section 40-5.2-21 of the General Laws in Chapter 40-5.2 entitled "The

16

Rhode Island Works Program" is hereby amended to read as follows:

17

     40-5.2-21. Eligibility for medical benefits. -- (a) Every member of any family/assistance

18

unit eligible for cash assistance under this chapter shall be eligible for medical assistance

19

Medicaid-funded health coverage through the RIte Care managed care or a RIte Share programs,

20

as determined by the department, -approved plan subject to the provisions of subsection 40-8-1(d)

21

(c) and provided, further, requiring that eligibility for such medical assistance, coverage must

22

qualify for federal financial participation pursuant to the provisions of Title XIX of the federal

23

social security act, 42 U.S.C. § 1396 et seq. and, as may be appropriate, the State's approved

24

Section 1115 demonstration waiver.

25

     (b) If a family becomes ineligible for cash assistance payments under this chapter as a

26

result of excess earnings from employment, the family/assistance unit shall continue to be eligible

27

for medical assistance Medicaid-funded transitional health coverage under Section 1925 of title

28

XIX of the federal social security act, 42 U.S.C. § 1396 et seq. through the RIte Care or RIte

29

Share, program for subject to the provisions of subsection 40-8-1(c) requiring that such coverage

30

must qualify for federal financial participation pursuant to the provisions of title XIX of the

31

federal social security act, 42 U.S.C. § 1396 et seq. and, in no case, shall extend beyond a period

32

of twelve (12) months or until employer paid family health care coverage begins, subject to the

33

provisions of subsection 40-8-1(d), whichever occurs first; and provided, further, that eligibility

34

for such medical assistance, must qualify for federal financial participation pursuant to the

 

LC003615 - Page 229 of 245

1

provisions of title XIX of the federal social security Act, 42 U.S.C. § 1396 et seq.

2

     SECTION 2. Sections 40-8-13.4 and 40-8-19 of the General Laws in Chapter 40-8

3

entitled "Medical Assistance" are hereby amended to read as follows:

4

     40-8-13.4. Rate methodology for payment for in state and out of state hospital

5

services. -- (a) The executive office of health and human services shall implement a new

6

methodology for payment for in state and out of state hospital services in order to ensure access

7

to and the provision of high quality and cost-effective hospital care to its eligible recipients.

8

     (b) In order to improve efficiency and cost effectiveness, the executive office of health

9

and human services shall:

10

     (1) With respect to inpatient services for persons in fee for service Medicaid, which is

11

non-managed care, implement a new payment methodology for inpatient services utilizing the

12

Diagnosis Related Groups (DRG) method of payment, which is, a patient classification method

13

which provides a means of relating payment to the hospitals to the type of patients cared for by

14

the hospitals. It is understood that a payment method based on Diagnosis Related Groups may

15

include cost outlier payments and other specific exceptions. The executive office will review the

16

DRG payment method and the DRG base price annually, making adjustments as appropriate in

17

consideration of such elements as trends in hospital input costs, patterns in hospital coding,

18

beneficiary access to care, and the Center for Medicare and Medicaid Services national CMS

19

Prospective Payment System (IPPS) Hospital Input Price index.

20

     (B) With respect to inpatient services, (i) it is required as of January 1, 2011 until

21

December 31, 2011, that the Medicaid managed care payment rates between each hospital and

22

health plan shall not exceed ninety and one tenth percent (90.1%) of the rate in effect as of June

23

30, 2010. Negotiated increases in inpatient hospital payments for each annual twelve (12) month

24

period beginning January 1, 2012 may not exceed the Centers for Medicare and Medicaid

25

Services national CMS Prospective Payment System (IPPS) Hospital Input Price index for the

26

applicable period; (ii) provided, however, for the twelve (12) twenty-four (24) month period

27

beginning July 1, 2013 the Medicaid managed care payment rates between each hospital and

28

health plan shall not exceed the payment rates in effect as of January 1, 2013; (iii) negotiated

29

increases in inpatient hospital payments for each annual twelve (12) month period beginning July

30

1, 2014 2015 may not exceed the Centers for Medicare and Medicaid Services national CMS

31

Prospective Payment System (IPPS) Hospital Input Price Index, less Productivity Adjustment, for

32

the applicable period; (iv) The Rhode Island executive office of health and human services will

33

develop an audit methodology and process to assure that savings associated with the payment

34

reductions will accrue directly to the Rhode Island Medicaid program through reduced managed

 

LC003615 - Page 230 of 245

1

care plan payments and shall not be retained by the managed care plans; (v) All hospitals licensed

2

in Rhode Island shall accept such payment rates as payment in full; and (vi) for all such hospitals,

3

compliance with the provisions of this section shall be a condition of participation in the Rhode

4

Island Medicaid program.

5

     (2) With respect to outpatient services and notwithstanding any provisions of the law to

6

the contrary, for persons enrolled in fee for service Medicaid, the executive office will reimburse

7

hospitals for outpatient services using a rate methodology determined by the executive office and

8

in accordance with federal regulations. Fee-for-service outpatient rates shall align with Medicare

9

payments for similar services. Notwithstanding the above, there shall be no increase in the

10

Medicaid fee-for-service outpatient rates effective on July 1, 2013 or July 1, 2014. Thereafter,

11

changes to outpatient rates will be implemented on July 1 each year and shall align with Medicare

12

payments for similar services from the prior federal fiscal year. With respect to the outpatient

13

rate, (i) it is required as of January 1, 2011 until December 31, 2011, that the Medicaid managed

14

care payment rates between each hospital and health plan shall not exceed one hundred percent

15

(100%) of the rate in effect as of June 30, 2010. Negotiated increases in hospital outpatient

16

payments for each annual twelve (12) month period beginning January 1, 2012 may not exceed

17

the Centers for Medicare and Medicaid Services national CMS Outpatient Prospective Payment

18

System (OPPS) hospital price index for the applicable period; (ii) provided, however, for the

19

twelve (12) twenty-four (24) month period beginning July 1, 2013 the Medicaid managed care

20

outpatient payment rates between each hospital and health plan shall not exceed the payment rates

21

in effect as of January 1, 2013; (iii) negotiated increases in outpatient hospital payments for each

22

annual twelve (12) month period beginning July 1, 2014 2015 may not exceed the Centers for

23

Medicare and Medicaid Services national CMS Outpatient Prospective Payment System (OPPS)

24

Hospital Input Price Index, less Productivity Adjustment, for the applicable period.

25

     (c) It is intended that payment utilizing the Diagnosis Related Groups method shall

26

reward hospitals for providing the most efficient care, and provide the executive office the

27

opportunity to conduct value based purchasing of inpatient care.

28

     (d) The secretary of the executive office of health and human services is hereby

29

authorized to promulgate such rules and regulations consistent with this chapter, and to establish

30

fiscal procedures he or she deems necessary for the proper implementation and administration of

31

this chapter in order to provide payment to hospitals using the Diagnosis Related Group payment

32

methodology. Furthermore, amendment of the Rhode Island state plan for medical assistance

33

(Medicaid) pursuant to Title XIX of the federal Social Security Act is hereby authorized to

34

provide for payment to hospitals for services provided to eligible recipients in accordance with

 

LC003615 - Page 231 of 245

1

this chapter.

2

     (e) The executive office shall comply with all public notice requirements necessary to

3

implement these rate changes.

4

     (f) As a condition of participation in the DRG methodology for payment of hospital

5

services, every hospital shall submit year-end settlement reports to the executive office within one

6

year from the close of a hospital's fiscal year. Should a participating hospital fail to timely submit

7

a year-end settlement report as required by this section, the executive office shall withhold

8

financial cycle payments due by any state agency with respect to this hospital by not more than

9

ten percent (10%) until said report is submitted. For hospital fiscal year 2010 and all subsequent

10

fiscal years, hospitals will not be required to submit year-end settlement reports on payments for

11

outpatient services. For hospital fiscal year 2011 and all subsequent fiscal years, hospitals will not

12

be required to submit year-end settlement reports on claims for hospital inpatient services.

13

Further, for hospital fiscal year 2010, hospital inpatient claims subject to settlement shall include

14

only those claims received between October 1, 2009 and June 30, 2010.

15

     (g) The provisions of this section shall be effective upon implementation of the

16

amendments and new payment methodology pursuant to this section and § 40-8-13.3, which shall

17

in any event be no later than March 30, 2010, at which time the provisions of §§ 40-8-13.2, 27-

18

19-14, 27-19-15, and 27-19-16 shall be repealed in their entirety.

19

     40-8-19. Rates of payment to nursing facilities. -- (a) Rate reform. (1) The rates to be

20

paid by the state to nursing facilities licensed pursuant to chapter 17 of title 23, and certified to

21

participate in the Title XIX Medicaid program for services rendered to Medicaid-eligible

22

residents, shall be reasonable and adequate to meet the costs which must be incurred by

23

efficiently and economically operated facilities in accordance with 42 U.S.C. § 1396a(a)(13). The

24

executive office of health and human services shall promulgate or modify the principles of

25

reimbursement for nursing facilities in effect as of July 1, 2011 to be consistent with the

26

provisions of this section and Title XIX, 42 U.S.C. § 1396 et seq., of the Social Security Act.

27

     (2) The executive office of health and human services ("Executive Office") shall review

28

the current methodology for providing Medicaid payments to nursing facilities, including other

29

long-term care services providers, and is authorized to modify the principles of reimbursement to

30

replace the current cost based methodology rates with rates based on a price based methodology

31

to be paid to all facilities with recognition of the acuity of patients and the relative Medicaid

32

occupancy, and to include the following elements to be developed by the executive office:

33

     (i) A direct care rate adjusted for resident acuity;

34

     (ii) An indirect care rate comprised of a base per diem for all facilities;

 

LC003615 - Page 232 of 245

1

     (iii) A rearray of costs for all facilities every three (3) years beginning October, 2015,

2

which may or may not result in automatic per diem revisions;

3

     (iv) Application of a fair rental value system;

4

     (v) Application of a pass-through system; and

5

     (vi) Adjustment of rates by the change in a recognized national nursing home inflation

6

index to be applied on October 1st of each year, beginning October 1, 2012. This adjustment will

7

not occur on October 1, 2013 or on October 1, 2014, but will resume on October 1, 2014 2015.

8

Said inflation index shall be applied without regard for the transition factor in subsection (b)(2)

9

below.

10

     (b) Transition to full implementation of rate reform. For no less than four (4) years after

11

the initial application of the price-based methodology described in subdivision (a) (2) to payment

12

rates, the executive office of health and human services shall implement a transition plan to

13

moderate the impact of the rate reform on individual nursing facilities. Said transition shall

14

include the following components:

15

     (1) No nursing facility shall receive reimbursement for direct care costs that is less than

16

the rate of reimbursement for direct care costs received under the methodology in effect at the

17

time of passage of this act; and

18

     (2) No facility shall lose or gain more than five dollars ($5.00) in its total per diem rate

19

the first year of the transition. The adjustment to the per diem loss or gain may be phased out by

20

twenty-five percent (25%) each year; and

21

     (3) The transition plan and/or period may be modified upon full implementation of

22

facility per diem rate increases for quality of care related measures. Said modifications shall be

23

submitted in a report to the general assembly at least six (6) months prior to implementation.

24

     SECTION 3. The Rhode Island Medicaid Reform Act of 2008.

25

     WHEREAS, the General Assembly enacted Chapter 12.4 of Title 42 entitled "The Rhode

26

Island Medicaid Reform Act of 2008"; and

27

     WHEREAS, a Joint Resolution is required pursuant to Rhode Island General Laws § 42-

28

12.4-1, et seq.; and

29

     WHEREAS, Rhode Island General Law § 42-12.4-7 provides that any change that

30

requires the implementation of a rule or regulation or modification of a rule or regulation in

31

existence prior to the implementation of the global consumer choice section 1115 demonstration

32

("the demonstration") shall require prior approval of the general assembly; and further provides

33

that any category II change or category III change as defined in the demonstration shall also

34

require prior approval by the general assembly; and

 

LC003615 - Page 233 of 245

1

     WHEREAS, Rhode Island General Law § 42-7.2-5 provides that the Secretary of the

2

Office of Health and Human Services is responsible for the "review and coordination of any

3

Global Consumer Choice Compact Waiver requests and renewals as well as any initiatives and

4

proposals requiring amendments to the Medicaid state plan or category II or III changes as

5

described in the demonstration, with "the potential to affect the scope, amount, or duration of

6

publicly-funded health care services, provider payments or reimbursements, or access to or the

7

availability of benefits and services provided by Rhode Island general and public laws"; and

8

     WHEREAS, in pursuit of a more cost-effective consumer choice system of care that is

9

fiscally sound and sustainable, the Secretary requests general assembly approval of the following

10

proposals to amend the demonstration:

11

     (a) Nursing Facility Payment Rates – Eliminate Rate Increase. The Medicaid single state

12

agency proposes to eliminate the projected nursing facility rate increase that would otherwise take

13

effect during the state fiscal year 2015. A category II change is required to implement this

14

proposal under the terms and conditions of the demonstration. Further, this change may also

15

require the adoption of new or amended rules, regulations and procedures.

16

     (b) Medicaid Hospital Payments – Eliminate Rate Increases for Hospital Inpatient and

17

Outpatient Payments. The Medicaid single state agency proposes to reduce inpatient and

18

outpatient hospital payments by eliminating the projected rate increase for both managed care and

19

fee-for-service for state fiscal year 2015. Also, the Medicaid single state agency proposes to

20

eliminate the upper payment limit payment for outpatient services for this same period. A

21

category II change is required to implement both aspects of this proposal under the terms and

22

conditions of the Section 1115 waiver demonstration.

23

     (c) Medicaid Manage Care Payments- Reduction. The Medicaid agency seeks to reduce

24

the projected growth in capitation payments to managed care organizations for SFY 2015.

25

Implementation of this reduction requires a Category II change under the terms and conditions of

26

the Medicaid demonstration to assure payment rates remain actuarially sound as is required by

27

federal laws and regulation.

28

     (d) High Cost Care Review and Interventions – Lower Utilization and Cost. By

29

implementing an array of interventions providing intensive services and case management for

30

Medicaid beneficiaries with chronic and disabling conditions and special health care needs, the

31

Medicaid Agency proposes to reduce utilization of high cost services by certain children enrolled

32

in RIte Care, children with special health care needs, and elders and adults with disabilities.

33

Implementation of these interventions may require category II changes to the demonstration as

34

well as adoption or amendment of rules, regulations and procedures.

 

LC003615 - Page 234 of 245

1

     (e) Community First Choice (1915k) Option – Increase Federal Reimbursement for

2

Home and Community-Based Alternatives. The Medicaid Agency proposed to pursue the

3

Community First Choice (CFC) Medicaid State Plan option as part of ongoing reforms to

4

promote home and community-based alternatives to institutionally-based long-term services and

5

supports. Implementation of the CFC option requires approval of a Medicaid State Plan

6

Amendments and may require changes to the demonstration. New and amended rules, regulations

7

and procedures may also be necessary related to these program changes.

8

     (f) Qualified Health Plan (QHP) Coverage for Medicaid-eligible Pregnant and Post-

9

Partum Women – Promote QHP Coverage. With the implementation of health care reform in

10

Rhode Island, many pregnant women with income from 133 to 250 percent of the federal poverty

11

level (FPL) will have access to coverage through a commercial plan. This initiative proposes to

12

support enrollment/retention of coverage in these commercial plans by providing: 1) a RIte

13

Share-like premium subsidy to assist in paying for the out-of-pocket costs in a commercial plan;

14

and 2) wraparound coverage for services available if covered through Medicaid. Such an

15

arrangement would result in a net savings to the Medicaid program. Implementation of this

16

initiative requires Section 1115 waiver authority and may necessitate changes to EOHHS' rules,

17

regulations and procedures.

18

     (g) Extended Family Planning Services – Enhanced federal funds. The Medicaid agency

19

sought Section 1115 demonstration waiver authority for any services and supports that are

20

administered under current Rhode Island general laws to maximize Medicaid federal matching

21

funds. This authority would provide enhanced Medicaid matching funds for family planning for

22

uninsured and underinsured people with income up to 250 percent of the federal poverty level.

23

The adoption of new or amended rules and regulations may also be required.

24

     (h) Katie Beckett Eligibility Coverage – Cost Contribution. Under current Medicaid rules

25

and regulations, Medicaid beneficiaries receiving long-term services and supports are required to

26

contribute to the cost of care based on income to the extent feasible. The Katie Beckett State Plan

27

Option allows children who need an institutional level of care to obtain Medicaid coverage for the

28

care they receive at home. Children eligible under this option typically have family income and

29

resources that exceed Medicaid eligibility limits; though the Katie Beckett option enables these

30

children to obtain Medicaid coverage by excluding their parents' family income and resources

31

when determining Medicaid eligibility. At present, the families of Katie Beckett children are not

32

required to contribute to the cost of Medicaid-funded care, irrespective of income. The Medicaid

33

agency proposes to implement an income-based, cost-sharing requirement for families with a

34

Katie Beckett eligible child. Implementation of this requirement requires a Category II change to

 

LC003615 - Page 235 of 245

1

the Section 1115 waiver and new and amended rules, regulations and procedures.

2

     (i) Approved Authorities: Section 1115 Waiver Demonstration Extension. The Medicaid

3

agency proposes to implement authorities approved under the Section 1115 waiver demonstration

4

extension request – formerly known as the Global Consumer Choice Waiver – that (1) continue

5

efforts to re-balance the system of long term services and supports by assisting people in

6

obtaining care in the most appropriate and least restrictive setting; (2) pursue utilization of care

7

management models that offer a "health home", promote access to preventive care, and provide

8

an integrated system of services; (3) use payments and purchasing to finance and support

9

Medicaid initiatives that fill gaps in the integrated system of care; and (4) recognize and assure

10

access to the non-medical services and supports, such as peer navigation and employment and

11

housing stabilization services, that are essential for optimizing a person's health, wellness and

12

safety and reduce or delay the need for long term services and supports.

13

     (j) Medicaid Requirements and Opportunities under the U.S. Patient Protection and

14

Affordable Care Act of 2010 (PPACA). The Medicaid agency proposes to pursue any

15

requirements and/or opportunities established under the PPACA that may warrant a Medicaid

16

State Plan Amendment, category II or III change under the terms and conditions of Rhode

17

Island's Section 1115 Waiver, its successor, or any extension thereof. Any such actions the

18

Medicaid agency takes shall not have an adverse impact on beneficiaries or cause there to be an

19

increase in expenditures beyond the amount appropriated for state fiscal year 2014; now,

20

therefore, be it

21

     RESOLVED, that the general assembly hereby approves proposals (a) through (j) listed

22

above to amend the Section 1115 demonstration waiver; and be it further

23

     RESOLVED, that the secretary of the office of health and human services is authorized

24

to pursue and implement any waiver amendments, category II or category III changes, state plan

25

amendments and/or changes to the applicable department's rules, regulations and procedures

26

approved herein and as authorized by § 42-12.4-7.

27

     SECTION 4. This article shall take effect upon passage.

28

ARTICLE 26

29

RELATING TO CHILDREN, YOUTH, AND FAMILIES

30

     SECTION 1. Section 42-72-5 of the General Laws in Chapter 42-72 entitled "Department

31

of Children, Youth, and Families" is hereby amended to read as follows:

32

     42-72-5. Powers and scope of activities. -- (a) The department is the principal agency of

33

the state to mobilize the human, physical and financial resources available to plan, develop, and

34

evaluate a comprehensive and integrated statewide program of services designed to ensure the

 

LC003615 - Page 236 of 245

1

opportunity for children to reach their full potential. The services include prevention, early

2

intervention, out-reach, placement, care and treatment, and after-care programs; provided,

3

however, that the department notifies the state police and cooperates with local police

4

departments when it receives and/or investigates a complaint of sexual assault on a minor and

5

concludes that probable cause exists to support the allegations(s). The department also serves as

6

an advocate for the needs of children.

7

     (b) To accomplish the purposes and duties, as set forth in this chapter, the director is

8

authorized and empowered:

9

     (1) To establish those administrative and operational divisions of the department that the

10

director determines is in the best interests of fulfilling the purposes and duties of this chapter;

11

     (2) To assign different tasks to staff members that the director determines best suit the

12

purposes of this chapter;

13

     (3) To establish plans and facilities for emergency treatment, relocation and physical

14

custody of abused or neglected children which may include, but are not limited to,

15

homemaker/educator child case aides, specialized foster family programs, day care facilities,

16

crisis teams, emergency parents, group homes for teenage parents, family centers within existing

17

community agencies, and counseling services;

18

     (4) To establish, monitor, and evaluate protective services for children including, but not

19

limited to, purchase of services from private agencies and establishment of a policy and

20

procedure manual to standardize protective services;

21

     (5) To plan and initiate primary and secondary treatment programs for abused and

22

neglected children;

23

     (6) To evaluate the services of the department and to conduct periodic comprehensive

24

needs assessment;

25

     (7) To license, approve, monitor, and evaluate all residential and non-residential child

26

care institutions, group homes, foster homes, and programs;

27

     (8) To recruit and coordinate community resources, public and private;

28

     (9) To promulgate rules and regulations concerning the confidentiality, disclosure and

29

expungement of case records pertaining to matters under the jurisdiction of the department;

30

     (10) To establish a minimum mandatory level of twenty (20) hours of training per year

31

and provide ongoing staff development for all staff; provided, however, all social workers hired

32

after June 15, 1991, within the department shall have a minimum of a bachelor's degree in social

33

work or a closely related field, and must be appointed from a valid civil service list;

34

     (11) To establish procedures for reporting suspected child abuse and neglect pursuant to

 

LC003615 - Page 237 of 245

1

chapter 11 of title 40;

2

     (12) To promulgate all rules and regulations necessary for the execution of departmental

3

powers pursuant to the Administrative Procedures Act, chapter 35 of title 42;

4

     (13) To provide and act as a clearinghouse for information, data and other materials

5

relative to children;

6

     (14) To initiate and carry out studies and analysis which will aid in solving local, regional

7

and statewide problems concerning children;

8

     (15) To represent and act on behalf of the state in connection with federal grant programs

9

applicable to programs for children in the functional areas described in this chapter;

10

     (16) To seek, accept, and otherwise take advantage of all federal aid available to the

11

department, and to assist other agencies of the state, local agencies, and community groups in

12

taking advantage of all federal grants and subventions available for children;

13

     (17) To review and coordinate those activities of agencies of the state and of any political

14

subdivision of the state which affect the full and fair utilization of community resources for

15

programs for children, and initiate programs that will help assure utilization;

16

     (18) To administer the pilot juvenile restitution program, including the overseeing and

17

coordinating of all local community based restitution programs, and the establishment of

18

procedures for the processing of payments to children performing community service; and

19

     (19) To adopt rules and regulations which:

20

     (i) For the twelve (12) month period beginning on October 1, 1983, and for each

21

subsequent twelve (12) month period, establish specific goals as to the maximum number of

22

children who will remain in foster care for a period in excess of two (2) years; and

23

     (ii) Are reasonably necessary to implement the child welfare services and foster care

24

programs;

25

     (20) May establish and conduct seminars for the purpose of educating children regarding

26

sexual abuse;

27

     (21) To establish fee schedules by regulations for the processing of requests from

28

adoption placement agencies for adoption studies, adoption study updates, and supervision related

29

to interstate and international adoptions. The fee shall equal the actual cost of the service(s)

30

rendered, but in no event shall the fee exceed two thousand dollars ($2,000);

31

     (22) To be responsible for the education of all children who are placed, assigned, or

32

otherwise accommodated for residence by the department in a state operated or supported

33

community residence licensed by a Rhode Island state agency. In fulfilling this responsibility the

34

department is authorized to enroll and pay for the education of students in the public schools or,

 

LC003615 - Page 238 of 245

1

when necessary and appropriate, to itself provide education in accordance with the regulations of

2

the board of regents for elementary and secondary education either directly or through contract;

3

     (23) To develop multidisciplinary service plans, in conjunction with the department of

4

health, at hospitals prior to the discharge of any drug-exposed babies. The plan requires the

5

development of a plan using all health care professionals.

6

     (24) To be responsible for the delivery of appropriate mental health services to seriously

7

emotionally disturbed children and children with functional developmental disabilities.

8

Appropriate mental health services may include hospitalization, placement in a residential

9

treatment facility, or treatment in a community based setting. The department is charged with the

10

responsibility for developing the public policy and programs related to the needs of seriously

11

emotionally disturbed children and children with functional developmental disabilities.

12

     In fulfilling its responsibilities the department shall:

13

     (i) Plan a diversified and comprehensive network of programs and services to meet the

14

needs of seriously emotionally disturbed children and children with functional developmental

15

disabilities;

16

     (ii) Provide the overall management and supervision of the state program for seriously

17

emotionally disturbed children and children with functional developmental disabilities;

18

     (iii) Promote the development of programs for preventing and controlling emotional or

19

behavioral disorders in children;

20

     (iv) Coordinate the efforts of several state departments and agencies to meet the needs of

21

seriously emotionally disturbed children and children with functional developmental disabilities

22

and to work with private agencies serving those children;

23

     (v) Promote the development of new resources for program implementation in providing

24

services to seriously emotionally disturbed children and children with functional developmental

25

disabilities.

26

     The department shall adopt rules and regulations, which are reasonably necessary to

27

implement a program of mental health services for seriously emotionally disturbed children.

28

     Each community, as defined in chapter 7 of title 16, shall contribute to the department, at

29

least in accordance with rules and regulations to be adopted by the department, at least its average

30

per pupil cost for special education for the year in which placement commences, as its share of

31

the cost of educational services furnished to a seriously emotionally disturbed child pursuant to

32

this section in a residential treatment program which includes the delivery of educational services.

33

     "Seriously emotionally disturbed child" means any person under the age of eighteen (18)

34

years or any person under the age of twenty-one (21) years who began to receive services from

 

LC003615 - Page 239 of 245

1

the department prior to attaining eighteen (18) years of age and has continuously received those

2

services thereafter who has been diagnosed as having an emotional, behavioral or mental disorder

3

under the current edition of the Diagnostic and Statistical Manual and that disability has been on-

4

going for one year or more or has the potential of being ongoing for one year or more, and the

5

child is in need of multi-agency intervention, and the child is in an out-of-home placement or is at

6

risk of placement because of the disability.

7

     A child with a "functional developmental disability" means any person under the age of

8

eighteen (18) years, or any person under the age of twenty-one (21) years who began to receive

9

services from the department prior to attaining eighteen (18) years of age and has continuously

10

received those services thereafter.

11

     The term "functional developmental disability" includes autism spectrum disorders and

12

means a severe, chronic disability of a person which:

13

     (a) Is attributable to a mental or physical impairment or combination of mental physical

14

impairments;

15

     (b) Is manifested before the person attains age eighteen (18);

16

     (c) Is likely to continue indefinitely;

17

     (d) Results in age- appropriate substantial functional limitations in three (3) or more of

18

the following areas of major life activity.

19

     (i) Self-care;

20

     (ii) Receptive and expressive language;

21

     (iii) Learning;

22

     (iv) Mobility;

23

     (v) Self-direction;

24

     (vi) Capacity for Independent Living; and

25

     (vii) Economic self-sufficiency; and

26

     (e) Reflects the person's need for a combination and sequence of special,

27

interdisciplinary, or generic care, treatment, or other services which are of life-long or extended

28

duration and are individually planned and coordinated.

29

     Funding for these clients shall include funds that are transferred to the Department of

30

Human Services as part of the Managed Health Care program transfer. However, the expenditures

31

relating to these clients shall not be part of the Department of Human Services' Caseload

32

estimated for the semi-annual Caseload Estimating Conference. The expenditures shall be

33

accounted for separately.

34

     (25) To provide access to services to any person under the age of eighteen (18) years or

 

LC003615 - Page 240 of 245

1

any person under the age of twenty-one (21) years who began to receive child welfare services

2

from the department prior to attaining eighteen (18) years of age, has continuously received those

3

services and elects to continue to receive such services after attaining the age of eighteen (18)

4

years. The assembly has included funding in the FY 2008 Department of Children, Youth and

5

Families budget in the amount of $10.5 million from all sources of funds and $6.0 million from

6

general revenues to provide a managed system to care for children serviced between 18 to 21

7

years of age. The department shall manage this caseload to this level of funding.

8

     (26) To develop and maintain, in collaboration with other state and private agencies, a

9

comprehensive continuum of care in this state for children in the care and custody of the

10

department or at risk of being in state care. This continuum of care should be family-centered and

11

community-based with the focus of maintaining children safely within their families or, when a

12

child cannot live at home, within as close proximity to home as possible based on the needs of the

13

child and resource availability. The continuum should include community-based prevention,

14

family support and crisis intervention services as well as a full array of foster care and residential

15

services, including residential services designed to meet the needs of children who are seriously

16

emotionally disturbed, children who have a functional developmental disability and youth who

17

have juvenile justice issues. The director shall make reasonable efforts to provide a

18

comprehensive continuum of care for children in the care and custody of the DCYF, taking into

19

account the availability of public and private resources and financial appropriations and the

20

director shall submit an annual report to the general assembly as to the status of his or her efforts

21

in accordance with the provisions of subsection 42-72-4(b)(13).

22

     (27) To administer funds under the John H. Chafee Foster Care Independence and

23

Educational And Training Voucher (ETV) Programs of Title IV-E of the Social Security Act, and

24

the DCYF Higher Education Opportunity Grant Program as outlined in RIGL § 42-72.8, in

25

accordance with rules and regulations as promulgated by the director of the department.

26

     (c) In order to assist in the discharge of his or her duties, the director may request from

27

any agency of the state information pertinent to the affairs and problems of children.

28

     (d) [Deleted by P.L. 2008, ch. 9, art. 16, § 2.]

29

     (e) [Deleted by P.L. 2008, ch. 9, art. 16, § 2.] 

30

     (f) Notwithstanding the provisions of subsections 42-72-5 (b)(24) and 42-72-5(b)(25), a

31

person aged 19 years or older with a "functional developmental disability", as defined in

32

subsection 42-72-5 (b)(24), who is receiving services under this section may, at the discretion of

33

the director, be transferred to the developmental disabilities program of the department of

34

behavioral healthcare, developmental disabilities and hospitals, provided that he or she qualifies

 

LC003615 - Page 241 of 245

1

as eligible for services under § 40.1-1-8.1 through the department of behavioral healthcare,

2

developmental disabilities and hospitals.

3

     SECTION 2. This article shall take effect upon passage.

4

ARTICLE 27

5

RELATING TO MEDICAL ASSISTANCE RECOVERIES

6

     SECTION 1. Chapter 34-4 of the General Laws entitled "Estates in Real Property" is

7

hereby amended by adding thereto the following section:

8

     34-4-2.1. Reservation of Life Estate with enhanced powers. -- A grantor may convey

9

title to real estate and reserve a life estate therein, coupled with the reserved power and authority,

10

during his or her lifetime, to sell, convey, mortgage, or otherwise dispose of the real property

11

without the consent or joinder by the holders of the remainder interest. A duly-executed

12

conveyance by the life tenant exercising such reserved powers shall, upon recording, vest good

13

title to the interest conveyed in the grantee thereof, free and clear of any right, title and interest of

14

the holders of the remainder interest without the necessity of any additional conveyance by any

15

such remaindermen.

16

     SECTION 2. Section 40-6-9 of the General Laws in Chapter 40-6 entitled "Public

17

Assistance Act" is hereby amended to read as follows:

18

     40-6-9. Assignment and subrogation for recovery of child, spousal and medical

19

support rights. -- (a) An applicant for or recipient of public assistance under this chapter or

20

under title XIX of the federal Social Security Act, 42 U.S.C. § 1396 et seq., for and on behalf of

21

himself or herself and for and on behalf of a child or children, shall be deemed, without the

22

necessity of signing any document for purposes of recovery, to have made an assignment and

23

given a right of subrogation to the executive office of health and human services and/or the

24

department of human services, as applicable, of any and all rights and interests in any cause of

25

action, past, present, or future, that the applicant or recipient may have against any person failing

26

to or obligated to provide for the support, maintenance, and medical care of the applicant,

27

recipient, and/or minor child or children, for the period of time that assistance is being paid by the

28

executive office of health and human services and/or the department. The executive office of

29

health and human services and/or the department shall be subrogated to any and all rights, title,

30

and interest the applicant or recipient may have against any and all property belonging to the

31

obligated or non-supporting person in the enforcement of any claim for child, spousal, and

32

medical support, whether liquidated through court order or not. The applicant or recipient shall

33

also be deemed, without the necessity of signing any document, to have appointed the executive

34

office of health and human services and/or the department of human services as his or her true

 

LC003615 - Page 242 of 245

1

and lawful attorney in fact to act in his or her name, place, and stead to perform the specific act of

2

instituting suit to establish paternity or secure support and medical care, collecting any and all

3

amounts due and owing for child, spousal, and medical support, endorsing any and all drafts,

4

checks, money orders, or other negotiable instruments representing support payments which are

5

received by executive office of health and human services and/or the department, and retaining

6

any portion thereof permitted under federal and state statutes as reimbursement for financial, and

7

medical and any other assistance previously paid to or for the recipient, child, or children.

8

     (b) An applicant for or a recipient of medical assistance provided by executive office of

9

health and human services and/or the department pursuant to this chapter or chapter 8 of this title

10

or title XIX of the federal Social Security Act, 42 U.S.C. § 1396 et seq., for and on behalf of

11

himself or herself, and for and on behalf of any other person for whom he or she may legally

12

assign rights to any medical support or any other medical care, shall be deemed, without the

13

necessity of signing any document for purposes of reimbursement, to have made an assignment

14

and given a right of subrogation to executive office of health and human services and/or the

15

department of human services of any and all rights and interests that he, she, or such other person

16

may have: (1) to payment for any medical support; and (2) to any payment for any medical care

17

from any third party that has a legal liability to pay for care and services available and provided to

18

the applicant or recipient. The executive office of health and human services and/or the

19

department of human services shall, in accordance with this section and all applicable state and

20

federal laws, be entitled to any payments by a third party to recover costs from the full amount of

21

an applicant's or recipient's liability settlement(s). For this purpose, the executive office of health

22

and human services may place a lien against an applicant's or recipient's liability settlement(s).

23

     (c) In addition to the assignments and subrogation rights provided in subsections (a) and

24

(b) of this section, an applicant for or a recipient of financial assistance provided by the executive

25

office of health and human services and/or department pursuant to this chapter, whenever the

26

assistance is necessary by reason of accident, injury, or illness for which a third party may be

27

liable, for and on behalf of himself or herself, and for and on behalf of any other person for whom

28

he or she may legally act, shall be deemed, without the necessity of signing any document, to

29

have assigned and subrogated to the executive office of health and human services and/or the

30

department of human services, from amounts recovered or recoverable from any third party, an

31

amount of money equal to the amount of financial assistance provided as a result of the accident,

32

illness, or injury.

33

     (d) With respect to an assignment and subrogation rights established pursuant to this

34

section, an applicant or recipient shall provide to the executive office of health and human

 

LC003615 - Page 243 of 245

1

services and/or the department of human services all relevant information regarding the assigned

2

and subrogated rights, and shall execute any documents relating thereto, in accordance with rules

3

and regulations to be adopted by the executive office of health and human services and/or the

4

department.

5

     (e) With respect to any assignment and subrogation rights for medical or financial

6

support or other recoveries under this section, the executive office of health and human services

7

and/or the department of human services shall be considered to have acquired the rights of such

8

individual to payment by any third party for such medical care and support, and financial support

9

and other recoveries.

10

     (f) An applicant for or a recipient of medical assistance provided by the executive office

11

of health and human services in accordance with chapter 40-8 shall also be subject to the

12

provisions of chapter 27-57.1. Funds available to be paid for the payment of child support shall

13

supersede any payment made pursuant to this chapter and chapter 27-57.1.

14

     (g) The executive office of health and human services and/or the department of human

15

services shall, in accordance with this section and all applicable state and federal laws, be entitled

16

to any payments by a third party to recover costs from the full amount of an applicant's or

17

recipient's liability settlement(s). For this purpose, the executive office of health and human

18

services may place a lien against an applicant's or recipient's liability settlement(s). Nothing in

19

these sections shall limit the executive office of health and human services and/or the department

20

of human services from recovery, to the extent of the distribution, in accordance" with all state

21

and federal laws.

22

     SECTION 3. Chapter 40-8 of the General Laws entitled "Medical Assistance" is hereby

23

amended by adding thereto the following section:

24

     40-8-3.1. Life Estate in Property- Retained Powers. -- (a) Every applicant or recipient

25

of medical assistance who owns a life estate in property that is his or her primary residence, with

26

a retained right to revoke, amend or redesignate the remainderman, will not be eligible for

27

medical assistance, unless the applicant or recipient conveys all outstanding remainder interest to

28

him or herself, in accordance with rules and regulations promulgated by the executive office of

29

health and human services.

30

     (b) An applicant or recipient who has reserved a life estate with retained rights to revoke,

31

amend or redesignate the remainderman by a deed created, executed and recorded prior to the

32

effective date of this section, shall not be ineligible for medical assistance on the basis of such

33

deed, regardless of whether the remainderman is a person or persons, a trust or entity.

34

     SECTION 4. Section 2 of this article shall take effect as of October 1, 2014. The

 

LC003615 - Page 244 of 245

1

remainder of this article shall take effect upon passage.

2

ARTICLE 28

3

RELATING TO EDUCATION

4

     SECTION 1. Section 16-8-10.1 of the General Laws in Chapter 16-8 entitled "Federal

5

Aid" is hereby amended to read as follows:

6

     16-8-10.1. Mandatory school breakfast programs. -- (a) All public schools shall make

7

a breakfast program available to students attending the school. The breakfast meal shall meet any

8

rules and regulations that are adopted by the commissioner.

9

     (b) The state of Rhode Island shall may provide school districts a per breakfast subsidy

10

for each breakfast served to students. The general assembly shall may choose to annually

11

appropriate some sum and distribute it based on each district's proportion of the number of

12

breakfasts served in the prior school year relative to the statewide total in the same year. This

13

subsidy, if appropriated, shall augment the nonprofit school food service account and be used for

14

expenses incurred in providing nutritious breakfast meals to students.

15

     SECTION 2. Section 16-23-3.1 of the General Laws in Chapter 16-23 entitled

16

"Textbooks" is hereby repealed.

17

     16-23-3.1. Reimbursements to municipalities for costs of English/language arts and

18

history/social studies textbooks for students in grades K-12. --There is hereby established a

19

textbook reimbursement fund for which the general assembly shall make a specific appropriation.

20

The department of elementary and secondary education shall administer the appropriation. School

21

districts shall submit to the department of elementary and secondary education evidence of the

22

cost of English/language arts and/or history/social studies textbooks that the district has provided

23

to students in grades K-12 pursuant to § 16-23-2. The costs shall be reimbursed from the textbook

24

reimbursement fund by the department of elementary and secondary education upon presentation

25

by a school district of the evidence of cost.

26

     SECTION 3. This article shall take effect as of July 1, 2014.

27

ARTICLE 29

28

RELATING TO EFFECTIVE DATE

29

     This article provides that the act shall take effect as of July 1, 2014, except as otherwise

30

provided herein.

========

LC003615

========

 

LC003615 - Page 245 of 245