H5798

	2017 -- H 5798
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	LC000850
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	STATE OF RHODE ISLAND
	IN GENERAL ASSEMBLY
	JANUARY SESSION, A.D. 2017
	____________
	A N A C T
	RELATING TO TOWNS AND CITIES -- INDEBTEDNESS OF TOWNS AND CITIES--
	STUDY OF CONSOLIDATION

	Introduced By: Representatives Morgan, Chippendale, Price, and Giarrusso
	Date Introduced: March 01, 2017
	Referred To: House Finance
	It is enacted by the General Assembly as follows:
1	SECTION 1. Chapter 45-12 of the General Laws entitled "Indebtedness of Towns and
2	Cities" is hereby amended by adding thereto the following section:
3	45-12-2.2. Consolidation of indebtedness -- Study.
4	The department of administration is directed to determine the feasibility of using the
5	bonding authority and credit of the state to consolidate the bonded indebtedness of the towns and
6	cities in order to reduce the amount paid by the towns and cities to service their bonded
7	indebtedness. If the department of administration finds that such a plan is feasible, it shall present
8	the plan to the general assembly, for its consideration and possible enactment, on or before
9	January 1, 2018. The plan shall include a provision which requires that any savings realized as a
10	result of such consolidation shall be used to reduce the bonded indebtedness of any city or town
11	receiving such savings.
12	SECTION 2. This act shall take effect upon passage.
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	LC000850
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	EXPLANATION
	BY THE LEGISLATIVE COUNCIL
	OF
	A N A C T
	RELATING TO TOWNS AND CITIES -- INDEBTEDNESS OF TOWNS AND CITIES--
	STUDY OF CONSOLIDATION
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1	This act would direct the department of administration to study the feasibility of using the
2	bonding authority of the state to consolidate the bonded indebtedness of the towns and cities, and
3	if found to be feasible to present a plan to the general assembly, for its consideration and possible
4	enactment, on or before January 1, 2018.
5	This act would take effect upon passage.
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	LC000850
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