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art.004/1

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     ARTICLE 4

RELATING TO GOVERNMENT REORGANIZATION

     SECTION 1. In any General or Special Law of the State of Rhode Island, and specifically

in Title 28, Chapters 39, 40, 42 and 43 of the General Laws of Rhode Island, 1956, as amended,

reference to the collection of temporary disability insurance, employment security taxes or job

development fund by the tax administrator and/or the division of taxation within the department of

administration or the department of revenue shall be construed to refer to the department of labor

and training. In any reference in Title 28, Chapters 39, 40, 42, and 43, any reference to the tax

administrator and/or the division of taxation within the department of administration or department

of revenue concerning with reference to the collection of revenues or any other duties shall be

construed to refer to the director of the department of labor and training. Any revenue collection or

any other duties conferred upon the tax administrator and/or division of taxation within the

department of administration or the department of revenue and/or by said Title 28, Chapters 39, 40,

42 and 43 shall be construed to refer to the department of labor and training or the director of the

department of labor and training. The tax administrator within the department of revenue division

of taxation and the director of the department of labor and training shall be authorized to share

information under Title 28, Chapter 39, 40, 42, 43 and Title 44 for purposes of tax administration

and shall enter into a written memorandum of understanding to facilitate tax administration.

     SECTION 2. The law revision director of the joint committee on legislative services is

authorized and empowered to make appropriate changes in said Title 28, Chapters 39, 40, 42 and

43 and any other section of the laws to carry out the intent of this act.

     SECTION 3. Chapter 30-17.1 of the General Laws entitled "Veterans' Affairs" is hereby

amended by adding thereto the following sections:

     30-17.1-14. Assistance on veterans claims.

     The office shall prepare and present before the veterans benefit administration of the United

States all legal claims of veterans for compensation, disability allowance, insurance, and pensions

of veterans of World War I, and all other veterans to whom benefits have been extended pursuant

to the provisions of chapter 22 of title 30, entitled "Extension of Veterans Benefits," who had a

legal residence in this state at the time of entrance into the service or who have been qualified

electors in this state for two (2) years preceding the application for aid, and their personal

representatives or dependents, or both, and shall render to such persons reasonable assistance in the

preparation and presentation of any of those claims and shall perform such other duties as may be

required by law. The office shall render such assistance without charge to the claimant.

     30-17.1-15. Special veterans' funds.

     The director of the office shall have control and supervision over any special funds

provided for decorating and installing metal markers on the graves of soldiers, sailors, airmen, and

marines, for the burial of honorably discharged soldiers, for the assistance of World War I veterans,

and other expenditures relating to veteran soldiers, sailors, airmen, and marines.

     SECTION 4. Sections 30-17.1-1, 30-17.1-4, 30-17.1-6, 30-17.1-7, 30-17.1-9, 30-17.1-10,

30-17.1-11 and 30-17.1-13 of the General Laws in Chapter 30-17.1 entitled "Veterans' Affairs" are

hereby amended to read as follows:

     30-17.1-6. Establishment of the office of veterans' affairs; director.

     (a) There is hereby established within the executive branch of government an office of

veterans' affairs. The director of the office of veterans' affairs shall be a person qualified through

experience and training and shall be an honorably discharged war veteran of the United States

armed forces. The director of the office of veterans' affairs shall be appointed by and report directly

to the governor, but the office shall reside within the department of human services executive office

of health and human services for administrative purposes.

     (b) The director of veterans' affairs shall have all such powers, consistent with law, as are

necessary and/or convenient to effectuate the purposes of this chapter and to administer its

functions, including, but, not limited to, the power to promulgate and adopt regulations. The

director shall have authority to apply for, receive, and administer grants and funds from the federal

government and all other public and private entities to accomplish the purposes of the office.

     30-17.1-7. Annual report to general assembly.

     The director of veterans' affairs shall report annually, no later than January 31st of each

year, to the governor, speaker of the house of representatives, the senate president, and house and

senate finance committees, setting forth, in detail, the condition of the veterans' home, any veterans'

cemetery authorized and established by the general assembly, and in general the character of the

work of veterans' affairs the office, and shall render in the report a faithful account of all moneys

received and expended by the director of human services secretary of the office of health and human

services and by the office of veterans' affairs in the execution of the provisions of this chapter and

chapter 24 of this title, excepting the names of persons to whom they have furnished assistance

which shall be omitted.

     30-17.1-10. Veterans' services strategic plan advisory committee established.

     (a) There is hereby created a veterans' services strategic plan advisory committee known

as "the Rhode Island veterans' services strategic plan advisory committee" consisting of fourteen

(14) members as follows:

     (1) One of whom shall be the director of the office of veterans' affairs, or his or her

designee, who shall serve as chairperson;

     (2) One of whom shall be the director of the department of human services secretary of the

executive office of health and human services, or his or her designee;

     (3) One of whom shall be the executive director of the public transit authority, or his or her

designee;

     (4) One of whom shall be the postsecondary education commissioner, or his or her

designee;

     (5) One of whom shall be the director of the department of behavioral healthcare,

developmental disabilities and hospitals, or his or her designee;

     (6) One of whom shall be the director of the department of health, or his or her designee;

     (7) One of whom shall be the director of the division office of elderly affairs, or his or her

designee;

     (8) One of whom shall be the director of the department of business regulation, or his or

her designee;

     (9) One of whom shall be the chief judge of the district court, or his or her designee;

     (10) One of whom shall be the director of the department of labor and training, or his or

her designee;

     (11) One of whom shall be the director of the Rhode Island commerce corporation, or his

or her designee;

     (12) One of whom shall be the secretary of state, or his or her designee;

     (13) One of whom shall be the adjutant general of the Rhode Island national guard, or his

or her designee; and

     (14) One of whom shall be a representative for Rhode Island municipal governments.

     (b) Forthwith upon the passage of this chapter, the members of the advisory committee

shall meet at the call of the chairperson and organize. Thereafter, the committee shall meet at the

call of the chairperson or three (3) members of the advisory committee.

     (c) All departments and agencies of the state shall furnish such advice and information,

documentation, and otherwise to the committee and its agents as is deemed necessary or desirable

by the advisory committee to facilitate the purposes of this chapter.

     (d) The office of veterans' affairs is hereby directed to provide suitable quarters and staff

for the advisory committee.

     (e) [Deleted by P.L. 2017, ch. 131, § 1 and P.L. 2017, ch. 152, § 1].

     (f) The members of the advisory committee shall receive no compensation for their

services.

     30-17.1-11. The duties of the committee.

     (a) The advisory committee, acting through the office of veterans' affairs, shall work in

conjunction with the department of human services executive office of health and human services

to develop, maintain, and annually update a five-year (5) statewide veterans' services strategic plan

("VSSP") that includes goals and measurable outcomes to ensure that all departments deliver

comprehensive services and supports for veterans and their families.

     (b) The advisory committee shall conduct an analysis of study toward the development of

the "VSSP" that shall include, but not be limited to, the following veterans' issues:

     (1) Living in poverty;

     (2) Disability benefits;

     (3) Employment and training;

     (4) Education;

     (5) Family members and caregivers;

     (6) Financial planning;

     (7) Homelessness;

     (8) Legal services;

     (9) Long-term care;

     (10) Mortuary affairs;

     (11) Healthcare;

     (12) Transitional assistance; and

     (13) Transportation.

     (c) The chairperson of the committee shall consult regularly with veterans and community

groups that represent diverse interests and viewpoints and the federal department of veterans'

affairs, to receive input on all matters pertaining to the preparation or implementation of the

veterans' services strategic plan.

     (d) The "VSSP" shall:

     (1) Be based upon comprehensive data gained through open and transparent engagement

of veterans' stakeholders;

     (2) Produce veteran-centric policies and procedures informed by forward looking planning;

     (3) Realistically assess resource adequacy and capabilities delivered;

     (4) Ensure that existing resources are aligned to mission critical objectives;

     (5) Complement, as well as leverage, existing U.S. Veterans' Administration programs and

best practices;

     (6) Foster state, federal, and private partnerships that seamlessly deliver exceptional

services to the state's veteran population; and

     (7) More effectively coordinate the delivery of veterans' services to all current and future

veterans in Rhode Island.

     SECTION 5. Sections 30-24-1, 30-24-2, 30-24-5, 30-24-6, 30-24-9 and 30-24-10 of the

General Laws in Chapter 30-24 entitled "Rhode Island Veterans' Home" are hereby amended to

read as follows:

     30-24-1. Management and control.

     The management and control of the Rhode Island veterans' home, established in this state

for those who served in the army, navy, marine corps, coast guard, merchant marines, or air force

of the United States in any war or conflict and were honorably discharged therefrom, who shall be

in need of such care as is provided at the home, shall be the responsibility of the director of human

services secretary of the executive office of health and human services, or his or her designee.

     30-24-2. Bylaws and regulations -- Supervision by director.

     (a) The director of human services secretary of the executive office of health and human

services, or his or her designee, shall have the general supervision over, and shall prescribe rules

for, the government and management of the Rhode Island veterans' home. He or she shall make all

needful bylaws and regulations governing the admission, maintenance, and discharge of the

residents of the home, which shall not be inconsistent with the spirit and intent of this chapter, and

generally may do all things necessary to successfully carry into effect the purposes of this chapter.

     (b) The director director of human services secretary of the executive office of health and

human services shall appoint and employ all subordinate officials and persons needed for the proper

management of the home.

     30-24-6. Acceptance of gifts -- Veterans' home restricted account.

     (a) The director of human services secretary of the executive office of health and human

services is hereby authorized and empowered to take and receive in the name of the state any grant,

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

Rhode Island veterans' home or the residents or purposes thereof. All money so received, and all

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

treasurer and shall be kept by him or her as a restricted account to be known as the "veterans' home

restricted account". Use of the "veterans' home restricted account" funds may only be made upon

prior approval of the house of representatives' finance committee and senate finance committee.

The director, secretary of the executive office of health and human services may sell and dispose

of any real or personal property received under this section, and any property received under § 30-

24-9, and the proceeds of the sale shall be paid over to the general treasurer to be made a part of

the restricted account. The restricted account shall be used for the improvement of social,

recreational, and educational programs, including the purchase of educational and recreational

supplies and equipment for the welfare of members and for operational expenses and capital

improvements at the veterans' home and veterans' cemetery, as deemed necessary by the director

of human services secretary of the executive office of health and human services.

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

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

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

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

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

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

construction".

     30-24-9. Property of deceased residents.

     All goods, chattels, property, money, and effects of a deceased resident of the Rhode Island

veterans' home that have not been disposed of by him or her by a completed inter vivos conveyance

or gift, or by a valid will, after payment therefrom of the funeral expenses, which shall not exceed

ten thousand dollars ($10,000), and after payment therefrom of the reasonable debts and expenses

of the deceased resident to be determined by rules and regulations as shall be adopted by the

director, shall upon his or her decease become the property of the state, and shall be applied by the

director of human services secretary of the executive office of health and human services, or his or

her designee, to the uses and purposes of the veterans' restricted account; provided, however, that

the director may, in his or her discretion, deliver to any surviving relative of the deceased resident

any of the property or effects as may serve as a memento of the deceased resident. For purposes of

this section, the provisions of chapter 24 of title 33 shall be applicable.

     30-24-10. Admissible to home -- Fees.

     (a) Any person who has served in the army, navy, marine corps, coast guard, or air force

of the United States for a period of ninety (90) days or more and that period began or ended during

any foreign war in which the United States shall have been engaged or in any expedition or

campaign for which the United States government issues a campaign medal, and who was

honorably discharged from it, and who shall be deemed to be in need of care provided at the Rhode

Island veterans' home, may be admitted to that facility subject to such rules and regulations as shall

be adopted by the director of human services secretary of the executive office of health and human

services to govern the admission of applicants to the facility. Any person who has served in the

armed forces of the United States designated herein and otherwise qualified, who has served less

than the ninety-day (90) period described in this section, and who was honorably discharged from

service, and who, as a result of the service, acquired a service-connected disability or disease, may

be admitted. No person shall be admitted to the facility unless the person has been accredited to the

enlistment or induction quota of the state or has resided in the state for at least two (2) consecutive

years next prior to the date of the application for admission to the facility.

     (b)(1) The director secretary of the executive office of health and human services shall, at

the end of each fiscal year, determine the net, per-diem expenses of maintenance of residents in the

facility and shall assess against each resident who has "net income", as defined in this section, a fee

equal to eighty percent (80%) of the resident's net income, provided that fee shall not exceed the

actual cost of care and maintenance for the resident; and provided that an amount equal to twenty

percent (20%) of the maintenance fee assessed shall be allocated to, and deposited in, the veterans'

restricted account. For the purposes of this section, "net income" is defined as gross income minus

applicable federal and state taxes and minus:

     (i) An amount equal to one hundred fifty dollars ($150) per month of residency and fifty

percent (50%) of any sum received due to wounds incurred under battle conditions for which the

resident received the purple heart; and

     (ii) The amount paid by a resident for the support and maintenance of his or her spouse,

parent(s), minor child(ren), or child(ren) who is/are blind or permanently and totally disabled as

defined in title XVI of the Federal Social Security Act, 42 U.S.C. §§ 1381 -- 1383d, subject to a

maximum amount to be determined by rules and regulations as shall be adopted by the director.

     (2) The fees shall be paid monthly to the home and any failure to make payment when due

shall be cause for dismissal from the facility. Prior to dismissal, the resident shall be afforded

administrative due process.

     (c) Admissions to the veterans' home shall be made without discrimination as to race, color,

national origin, religion, sex, disability, marital status, age, sexual orientation, gender identity or

expression, assets, or income.

     (d) Laundry services shall be provided to the residents of the Rhode Island veterans' home

at no charge to the residents, with such funds to cover the cost of providing laundry services for

residents of the Rhode Island veterans' home derived from monies appropriated to the department

of human services executive office of health and human services.

     SECTION 6. Sections 30-25-8, 30-25-9, 30-25-10, 30-25-11, 30-25-12, 30-25-13 and 30-

25-14 of the General Laws in Chapter 30-25 entitled "Burial of Veterans" are hereby amended to

read as follows:

     30-25-8. Maintenance of north cemetery.

     The director of human services secretary of the executive office of health and human

services shall be custodian of the Rhode Island soldiers' burial lots, and the monument and grave

markers thereon, located in the north cemetery in the town of Bristol. He or she shall, from time to

time, cause such work to be done as may be necessary in keeping the lots, monuments, and markers

in good condition and repair.

     30-25-9. Expenses of north cemetery.

     The director of human services secretary of the executive office of health and human

services, is authorized to make such expenditures as may be necessary in carrying out the purposes

of § 30-25-8, and the state controller is hereby authorized and directed upon receipt of proper

vouchers approved by the state director of human services secretary of the executive office of health

and human services, to draw orders upon the general treasurer for the payment of such sums as may

be required, from the funds under the control of the director of human services secretary of the

executive office of health and human services, known as the veterans' home, restricted account.

     30-25-10. Care of neglected graves.

     The director of human services secretary of the executive office of health and human

services is authorized and empowered to undertake the care of any grave of any soldier or sailor

who fought in the war of the revolution, or who at any time served the United States in any war,

when the grave appears to have been neglected or abandoned. For that purpose, the director

secretary, and the agents or employees of the division office, when duly authorized thereunto by

the director secretary, may enter into and upon any public or private cemetery or burial place to

clear any grave of grass, weeds, brush, briars, or rubbish; to erect, replace, repair, or renovate

fences, memorial stones, or markers; and to perform the other tasks as may be necessary to restore

and maintain the grave and its surroundings in a decent and orderly condition.

     30-25-11. Consent of custodian of neglected grave.

     When any cemetery or burial place containing a neglected grave is found by the director

of human services secretary of the executive office of health and human services, or the agents or

employees of the division division executive office, to be under the custody or control of some

private owner or public authority, then the director secretary shall obtain permission, in writing,

from the person or persons having custody or control before entering into and upon the cemetery

or burial place; provided, that if no person or persons can be found having the custody or control

of the cemetery or burial place, the director secretary shall assume the right of entry and shall

perform the duties specified in § 30-25-10, without further notice.

     30-25-12. Appropriations for care of graves.

     The general assembly shall, from time to time, appropriate such sums as it may deem

necessary to be expended by the director of human services secretary of the executive office of

health and human services in carrying out the purposes of §§ 30-25-10 and 30-25-11, and the state

controller is hereby authorized and directed, upon the receipt of the proper vouchers approved by

the director director secretary, to draw orders upon the general treasurer for the payment of such

sums as may be required, within the amount appropriated therefor.

     30-25-13. Acceptance and administration of gifts.

     The director of human services secretary of the executive office of health and humans

services may accept in the name of the state, and may administer, any devise, bequest, or gift that

is to be expended for the general purposes of this chapter. All sums received by devise, bequest, or

gift from any person or corporation shall be deposited with the general treasurer, and by him or her

kept in a special fund, to be known as "the veterans' cemetery fund", and held subject to the order

of the director.

     30-25-14. Rhode Island veterans' memorial cemetery.

     (a) The Rhode Island veterans' memorial cemetery, located on the grounds of the Joseph

H. Ladd school in the town of Exeter, shall be under the management and control of the director of

the department of human services director of the department of human services secretary of the

executive office of health and human services. The director of the department of human services

secretary of the executive office of health and human services shall appoint an administrator for

the Rhode Island veterans' memorial cemetery who shall be an honorably discharged veteran of the

United States Armed Forces and shall have the general supervision over, and shall prescribe rules

for, the government and management of the cemetery. He or she shall make all needful rules and

regulations governing the operation of the cemetery and generally may do all things necessary to

ensure the successful operation thereof. The director secretary shall promulgate rules and

regulations, not inconsistent with the provisions of 38 U.S.C. § 2402, to govern the eligibility for

burial in the Rhode Island veterans' memorial cemetery. In addition to all persons eligible for burial

pursuant to rules and regulations established by the director, any person who served in the army,

navy, air force, or marine corps of the United States for a period of not less than two (2) years and

whose service was terminated honorably, shall be eligible for burial in the Rhode Island veterans'

memorial cemetery. The director secretary shall appoint and employ all subordinate officials and

persons needed for the proper management of the cemetery. National guard members who are killed

in the line of duty or who are honorably discharged after completion of at least twenty (20) years'

of service in the Rhode Island national guard and their spouse shall be eligible for interment in the

Rhode Island veterans' memorial cemetery. For the purpose of computing service under this

section, honorable service in the active forces or reserves shall be considered toward the twenty

(20) years of national guard service. The general assembly shall make an annual appropriation to

the department of human services executive office of health and human services to provide for the

operation and maintenance for the cemetery. The director secretary shall charge and collect a grave

liner fee per interment of the eligible spouse and/or eligible dependents of the qualified veteran

equal to the department's cost for the grave liner.

     (b) No domestic animal shall be allowed on the grounds of the Rhode Island veterans'

memorial cemetery, whether at large or under restraint, except for seeing eye guide dogs, hearing

ear signal dogs or any other service animal, as required by federal law or any personal assistance

animal, as required by chapter 9.1 of title 40. Any person who violates the provisions of this section

shall be subject to a fine of not less than five hundred dollars ($500).

     (c) The state of Rhode Island office of veterans' affairs shall bear the cost of all tolls

incurred by any motor vehicles that are part of a veteran's funeral procession, originating from

Aquidneck Island ending at the veterans' memorial cemetery, for burial or internment. The

executive director of the turnpike and bridge authority shall assist in the administration and

coordination of this toll reimbursement program.

     SECTION 7. Section 30-27-1 of the General Laws in Chapter 30-27 entitled "Veterans'

Organizations" is hereby repealed as follows.

     30-27-1. Appropriations for annual encampment of Spanish war veterans.

     The general assembly shall annually appropriate such sum as it may deem necessary to

defray the expenses of the annual encampment of the united spanish war veterans, department of

Rhode Island, to be expended under the direction of the department of human services or of any

other department as the general assembly shall indicate and direct at any future time; and the

controller is hereby authorized and directed to draw orders upon the general treasurer for the

payment of that sum, or so much thereof as may be necessary from time to time, upon the receipt

by the controller of proper vouchers approved by the director of human services, or such other

approving authority as the general assembly may direct.

     SECTION 8. Section 30-28-10 of the General Laws in Chapter 30-28 entitled "Monuments

and Memorials" is hereby amended to read as follows:

     30-28-10. Rhode Island veterans memorial chapel.

     The Rhode Island Veterans Memorial Chapel Building Fund, Inc. is hereby authorized to

construct a nonsectarian memorial chapel in the Rhode Island veterans cemetery located in Exeter,

Rhode Island; provided, however, that the plans for the memorial chapel shall be approved by the

director of administration; provided further that the Rhode Island Veterans Memorial Chapel

Building Fund, Inc. grant to the state all of its right, title, and interest in the chapel; and provided

further that the management and control of the chapel shall be with the director of the department

of human services secretary of the executive office of health and human services.

     SECTION 9. Sections 31-38-7 and 31-38-18 of the General Laws in Chapter 31-38 entitled

"Inspection of Motor Vehicles" are hereby amended to read as follows:

     31-38-7. Operation of official stations.

     (a) No permit for an official station shall be assigned or transferred or used at any location

other than designated in it, and the permit shall be posted in a conspicuous place at the designated

location.

     (b) The state certified person operating an official inspection station shall issue a certificate

of inspection and approval upon an official form to the owner of a vehicle upon inspection of the

vehicle and determining that its equipment required under the provisions of this chapter is in good

condition and proper adjustment, otherwise, no certificate shall be issued. A record and report shall

be made of every inspection and every certificate issued. The records shall be kept available for

review by the motor vehicle inspection station commission or those employees of the department

of revenue that the director may designate.

     (c) The following fees shall be charged for inspection and issuance of certificate of

inspection and approval:

     (1) For every vehicle with a registered gross weight of not more than eight thousand five

hundred pounds (8,500 lbs.), the fee shall be included with the fee charged pursuant to § 31-47.1-

11;

     (2) For every vehicle of a registered gross weight of more than eight thousand five hundred

pounds (8,500 lbs.) or more, except trailers, fifteen dollars ($15.00);

     (3) For every motorcycle and electrically powered vehicle, eleven dollars ($11.00);

     (4) For every trailer or semi-trailer with a registered gross weight of more than one

thousand pounds (1,000 lbs.), eleven dollars ($11.00); and

     (5) Provided that for the inspection of vehicles used for the transportation of persons for

hire, as provided in § 31-22-12, and subject to an inspection pursuant to chapter 47.1 of this title,

the fee shall be included with the fee charged pursuant to § 31-47.1-11.

     (d) The director of the department of revenue may establish a state inspection facility at

which any motor vehicle may be reinspected at no cost to the owner. The state inspection facility

may inspect all public conveyance vehicles or these inspections may be otherwise provided for by

the director, or any other vehicles which in the opinion of the director of revenue, or his or her

designee, require specific testing to ensure for the health and safety of the general public.

     (e) Any other inspections or activities which may be required to be performed at a state

inspection facility may be performed at any official inspection station if determined by the director.

     31-38-18. Conduct of hearings.

     The director of the department of revenuecommission shall hold and conduct hearings in

accordance with § 31-38-17. These hearings shall be governed by rules to be adopted by the director

of the department of revenuecommission, and the director of the department of revenuecommission

shall not be bound by technical rules of evidence. The director of the department of

revenuecommission may subpoena witnesses and require the producing of documental evidence,

and shall sit as an impartial independent body in order to make decisions affecting the interest of

the motor vehicle inspection owner and/or operator. The concurrence of a majority of the members

present and voting of the commission is required for a decision.

     SECTION 10. Sections 31-38-15 and 31-38-16 of the General Laws in Chapter 31-38

entitled "Inspection of Motor Vehicles" are hereby repealed.

     31-38-15. Motor vehicle inspection commission.

     (a) Within the department of revenue there shall be a motor vehicle inspection commission,

referred to in this chapter as the "commission", which shall function as a unit in the department.

The commission shall consist of seven (7) members who shall be appointed by the governor, with

the advice and consent of the senate. In making said appointments, the governor shall give due

consideration to including in the commission's membership one or more garage keeper(s) and/or

inspection station owner(s).

     (b) The tenure of all members of the commission as of the effective date of this act [March

29, 2006] shall expire on the effective date of this act [March 29, 2006], and the governor shall

nominate seven (7) new members as follows:

     (1) The governor shall appoint seven (7) members of the commission; three (3) of whom

shall serve initial terms of three (3) years; two (2) of whom shall serve an initial term of two (2)

years; and two (2) of whom shall serve an initial term of one year.

     (2) Thereafter, all members of the commission shall be appointed to serve three (3) year

terms.

     (c) The governor shall designate one member of the commission to serve as chairperson.

The commission may elect from among its members such other officers as they deem necessary.

     (d) No person shall be eligible for appointment to the commission after the effective date

of this act [March 29, 2006] unless he or she is a resident of this state.

     (e) Four (4) members of the commission shall constitute a quorum.

     (f) Members of the commission shall be removable by the governor pursuant to the

provisions of § 36-1-7 of the general laws and for cause only, and removal solely for partisan or

personal reasons unrelated to capacity of fitness for the office shall be unlawful.

     (g) Within ninety (90) days after the end of each fiscal year, the commission shall approve

and submit an annual report to the governor, the speaker of the house of representatives, the

president of the senate, and the secretary of state of its activities during that fiscal year. The report

shall provide: an operating statement summarizing meetings or hearings held, including meeting

minutes, subjects addressed, decisions rendered, licenses considered and their disposition, rules or

regulations promulgated, studies conducted, policies and plans developed, approved or modified

and programs administered or initiated; a consolidated financial statement of all funds received and

expended including the source of the funds, a listing of any staff supported by these funds and a

summary of any clerical, administrative or technical support received; a summary of performance

during the previous fiscal year including accomplishments, shortcomings and remedies; a synopsis

of hearings, complaints, suspensions or other legal matters related to the authority of the

commission; a summary of any training courses held pursuant to the provisions of this section; a

briefing on anticipated activities in the upcoming fiscal year; and findings and recommendations

for improvements. The report shall be posted electronically on the general assembly and secretary

of state's websites as prescribed in § 42-20-8.2. The director of the department of revenue shall be

responsible for the enforcement of the provisions of this subsection.

     (h) To conduct a training course for newly appointed and qualified members within six (6)

months of their qualification or designation. The course shall be developed by the chair of the

commission, approved by the commission, and conducted by the chair of the commission. The

commission may approve the use of any commission or staff members or other individuals to assist

with training. The training course shall include instruction in the following areas: the provisions of

chapters 42-46, 36-14, and 38-2; and the commission's rules and regulations. The director of the

department of revenue shall, within ninety (90) days of the effective date of this act [March 29,

2006], prepare and disseminate training material relating to the provisions of chapters 42-46, 36-

14, and 38-2.

     31-38-16. Meetings -- Compensation.

     The commission shall meet at least once a month to consider any matters that may be proper

before it. The members of the commission shall receive no compensation for their services, but

each member shall be reimbursed for traveling or other expenses that are actually incurred in the

discharge of the member's duties.

     SECTION 11. Sections 35-1.1-1 through 35-1.1-5 of the General Laws in Chapter 35-1.1

entitled "Office of Management and Budget" are hereby amended to read as follows:

     35-1.1-1. Statement of intent.

     The purpose of this chapter is to establish a comprehensive public finance and management

system for the State of Rhode Island that manages a data-driven budget process, monitors state

departments' and agencies' performance, maximizes the application for and use of federal grants

improves the regulatory climate and ensures accountability and transparency regarding the use of

public funds and regulatory impact.

     35-1.1-2. Establishment of the office of management and budget.

     There is hereby established within the department of administration an office of

management and budget. This office shall serve as the principal agency of the executive branch of

state government for managing budgetary functions, regulatory review, performance management,

internal audit, and federal grants management. In this capacity, the office shall:

     (1) Establish an in-depth form of data analysis within and between departments and

agencies, creating a more informed process for resource allocation to best meet the needs of Rhode

Island citizens;

     (2) Identify federal grant funding opportunities to support the governor's and general

assembly's major policy initiatives and provide technical assistance with the application process

and post-award grants management;

     (2) Analyze the impact of proposed regulations on the public and state as required by

chapters 42-64.13 and 42-35;

     (3) Analyze federal budgetary issues and report on potential impacts to the state;

     (4) Coordinate the budget functions of the state with performance management objectives;

     (5) Maximize efficiencies in departments, agencies, advisory councils, and

instrumentalities of the state by improving processes and prioritizing programs;

     (6) Be responsible for the internal audit function of state government and conduct audits of

any state department, state agency, or private entity that is a recipient of state funding or state

grants; provide management advisory and consulting services; or conduct investigations relative to

the financial affairs or the efficiency of management, or both, of any state department or agency.

     35-1.1-3. Director of management and budget -- Appointment and responsibilities.

     (a) Within the department of administration there shall be a director of management and

budget who shall be appointed by the director of administration with the approval of the governor.

The director shall be responsible to the governor and director of administration for supervising the

office of management and budget and for managing and providing strategic leadership and direction

to the budget officer, the performance management office, and the federal grants management

office.

     (b) The director of management and budget shall be responsible to:

     (1) Oversee, coordinate, and manage the functions of the budget officer as set forth by

chapter 3 of this title; program performance management as set forth by § 35-3-24.1; approval of

agreements with federal agencies defined by § 35-3-25; and budgeting, appropriation, and receipt

of federal monies as set forth by chapter 41 of title 42;

     (2) Oversee the director of regulatory reform as set forth by § 42-64.13-6;

     (2) Manage federal fiscal proposals and guidelines and serve as the state clearinghouse for

the application of federal grants;

     (3) Maximize the indirect cost recoveries by state agencies set forth by § 35-4-23.1; and

     (4) Undertake a comprehensive review and inventory of all reports filed by the executive

office and agencies of the state with the general assembly. The inventory should include, but not

be limited to: the type, title, and summary of reports; the author(s) of the reports; the specific

audience of the reports; and a schedule of the reports' release. The inventory shall be presented to

the general assembly as part of the budget submission on a yearly basis. The office of management

and budget shall also make recommendations to consolidate, modernize the reports, and to make

recommendations for elimination or expansion of each report.

     35-1.1-4. Offices and functions assigned to the office of management and budget --

Powers and duties.

     (a) The offices assigned to the office of management and budget include the budget office,

the office of regulatory reform, the performance management office, and the office of internal audit,

and the federal grants management office.

     (b) The offices assigned to the office of management and budget shall:

     (1) Exercise their respective powers and duties in accordance with their statutory authority

and the general policy established by the governor or by the director acting on behalf of the

governor or in accordance with the powers and authorities conferred upon the director by this

chapter;

     (2) Provide such assistance or resources as may be requested or required by the governor

and/or the director;

     (3) Provide such records and information as may be requested or required by the governor

and/or the director, to the extent allowed under the provisions of any applicable general or public

law, regulation, or agreement relating to the confidentiality, privacy, or disclosure of such records

or information; and

     (c) Except as provided herein, no provision of this chapter or application thereof shall be

construed to limit or otherwise restrict the budget officer from fulfilling any statutory requirement

or complying with any valid rule or regulation.

     35-1.1-5. Federal grants management.

     (a) The office of management and budget controller shall be responsible for managing

federal grant applications, providing administrative assistance to agencies regarding reporting

requirements, providing technical assistance and approving agreements with federal agencies

pursuant to § 35-1-1. The director controller shall:

     (1) Establish state goals and objectives for maximizing the utilization of federal aid

programs;

     (2) Ensure that the state establishes and maintains statewide federally-mandated grants

management processes and procedures as mandated by the federal Office of Management and

Budget;

     (3) Promulgate procedures and guidelines for all state departments, agencies, advisory

councils, instrumentalities of the state and public higher education institutions covering

applications for federal grants;

     (4) Require, upon request, any state department, agency, advisory council, instrumentality

of the state or public higher education institution receiving a grant of money from the federal

government to submit a report to the director controller of expenditures and program measures for

the fiscal period in question;

     (5) Ensure state departments and agencies adhere to the requirements of § 42-41-5

regarding Legislative appropriation authority and delegation thereof;

     (6) Assist the state controller in managing and overseeing overseeingManage and

oversee the disbursements of federal funds in accordance with § 35-6-42;

     (7) Assist the state controller in the preparation of Prepare the statewide cost allocation

plan and serve as the monitoring agency to ensure that state departments and agencies are working

within the guidelines contained in the plan; and,

     (8) Provide technical assistance to agencies to ensure resolution and closure of all single

state audit findings and recommendations made by the Auditor General related to Federal funding.

     (b) The office of management and budget Accounts and control shall serve as the Sstate

Cclearinghouse for purposes of coordinating federal grants, aid and assistance applied for and/or

received by any state department, agency, advisory council or instrumentality of the state. Any state

department, agency, advisory council, or instrumentality of the state applying for federal funds,

aids, loans, or grants shall file a summary notification of the intended application with the director

controller.

     (1) When as a condition to receiving federal funds, the state is required to match the federal

funds, a statement shall be filed with the notice of intent or summary of the application stating:

     (i) The amount and source of state funds needed for matching purposes;

     (ii) The length of time the matching funds shall be required;

     (iii) The growth of the program;

     (iv) How the program will be evaluated;

     (v) What action will be necessary should the federal funds be canceled, curtailed, or

restricted; and,

     (vi) Any other financial and program management data required by the office or by law.

     (2) Except as otherwise required, any application submitted by an executive agency for

federal funds, aids, loans, or grants which will require state matching or replacement funds at the

time of application or at any time in the future, must be approved by the director of the office of

management and budget or their designated agents prior to its filing with the appropriate federal

agency. Any application submitted by an executive agency for federal funds, aids, loans, or grants

which will require state matching or replacement funds at the time of application or at any time in

the future, when funds have not been appropriated for that express purpose, must be approved by

the General Assembly in accordance with § 42-41-5. When the general assembly is not in session,

the application shall be reported to and reviewed by the Director pursuant to rules and regulations

promulgated by the Director.

     (3) When any federal funds, aids, loans, or grants are received by any state department,

agency, advisory council or instrumentality of the state, a report of the amount of funds received

shall be filed with the office; and this report shall specify the amount of funds which would

reimburse an agency for indirect costs, as provided for under federal OMB Circular A-

87requirements.

     (4) The director controller may refuse to issue approval for the disbursement of any state

or federal funds from the State Treasury as the result of any application which is not approved as

provided by this section, or in regard to which the statement or reports required by this section were

not filed.

     (5) The director controller shall be responsible for the orderly administration of this section

and for issuing the appropriate guidelines and regulations from each source of funds used.

     SECTION 12. Section 35-6-1 of the General Laws in Chapter 35-6 entitled "Accounts and

Control" is hereby amended to read as follows:

     35-6-1. Controller -- Duties in general.

     (a) Within the department of administration there shall be a controller who shall be

appointed by the director of administration pursuant to chapter 4 of title 36. The controller shall be

responsible for accounting and expenditure control and shall be required to:

     (1) Administer a comprehensive accounting and recording system which will classify the

transactions of the state departments and agencies in accordance with the budget plan;

     (2) Maintain control accounts for all supplies, materials, and equipment for all departments

and agencies except as otherwise provided by law;

     (3) Prescribe a financial, accounting, and cost accounting system for state departments and

agencies;

     (4) Identify federal grant funding opportunities to support the governor's and general

assembly's major policy initiatives and provide technical assistance with the application process

and post-award grants management;

     (5) Manage federal fiscal proposals and guidelines and serve as the state clearinghouse for

the application of federal grants;

     (4)(6) Preaudit all state receipts and expenditures;

     (5)(7) Prepare financial statements required by the several departments and agencies, by

the governor, or by the general assembly;

     (6) (8) Approve the orders drawn on the general treasurer; provided, that the preaudit of all

expenditures under authority of the legislative department and the judicial department by the state

controller shall be purely ministerial, concerned only with the legality of the expenditure and

availability of the funds, and in no event shall the state controller interpose his or her judgment

regarding the wisdom or expediency of any item or items of expenditure;

     (7)(9) Prepare and timely file, on behalf of the state, any and all reports required by the

United States, including, but not limited to, the internal revenue service, or required by any

department or agency of the state, with respect to the state payroll; and

     (8)(10) Prepare a preliminary closing statement for each fiscal year. The controller shall

forward the statement to the chairpersons of the house finance committee and the senate finance

committee, with copies to the house fiscal advisor and the senate fiscal and policy advisor, by

September 1 following the fiscal year ending the prior June 30 or thirty (30) days after enactment

of the appropriations act, whichever is later. The report shall include but is not limited to:

     (i) A report of all revenues received by the state in the completed fiscal year, together with

the estimates adopted for that year as contained in the final enacted budget, and together with all

deviations between estimated revenues and actual collections. The report shall also include cash

collections and accrual adjustments;

     (ii) A comparison of actual expenditures with each of the actual appropriations, including

supplemental appropriations and other adjustments provided for in the Rhode Island General Laws;

     (iii) A statement of the opening and closing surplus in the general revenue account; and

     (iv) A statement of the opening surplus, activity, and closing surplus in the state budget

reserve and cash stabilization account and the state bond capital fund.

     (b) The controller shall provide supporting information on revenues, expenditures, capital

projects, and debt service upon request of the house finance committee chairperson, senate finance

committee chairperson, house fiscal advisor, or senate fiscal and policy advisor.

     (c) Upon issuance of the audited annual financial statement, the controller shall provide a

report of the differences between the preliminary financial report and the final report as contained

in the audited annual financial statement.

     (d) The controller shall create a special fund not part of the general fund and shall deposit

amounts equivalent to all deferred contributions under this act into that fund. Any amounts

remaining in the fund on June 15, 2010, shall be transferred to the general treasurer who shall

transfer such amounts into the retirement system as appropriate.

     (e) The controller shall implement a direct deposit payroll system for state employees.

     (i) There shall be no service charge of any type paid by the state employee at any time

which shall decrease the net amount of the employee's salary deposited to the financial institution

of the personal choice of the employee as a result of the use of direct deposit.

     (ii) Employees hired after September 30, 2014, shall participate in the direct deposit

system. At the time the employee is hired, the employee shall identify a financial institution that

will serve as a personal depository agent for the employee.

     (iii) No later than June 30, 2016, each employee hired before September 30, 2014, who is

not a participant in the direct deposit system, shall identify a financial institution that will serve as

a personal depository agent for the employee.

     (iv) The controller shall promulgate rules and regulations as necessary for implementation

and administration of the direct deposit system, which shall include limited exceptions to required

participation.

     SECTION 13. Chapter 39-3 of the General Laws entitled "Regulatory Powers of

Administration" is hereby amended by adding thereto the following section:

     39-3-45. Transfer of powers, functions and resources from the water resources board.

(a) There are hereby transferred to the division of public utilities and carriers those powers and

duties formerly administered by the department of administration and/or the employees of the water

resources board as provided for in chapter 46-15 (“Water Resources Management”) through 46-

15.8 (“Water Use and Efficiency Act”), inclusive, and any other applicable provisions of the

general laws.

     (b) Unless otherwise specified by statute, all resources of the water resources board,

including, but not limited to, property, employees and accounts, are hereby transferred to the

division of public utilities and carriers effective July 1, 2019.

     (c) As part of the above transfer, except for the general manager, all employees of the water

resources board currently subject to the provisions of chapter 4 of title 36 shall continue to be

subject to those provisions.

     SECTION 14. Sections 40-1-4 and 40-1-6 of the General Laws in Chapter 40-1 entitled

"Department of Human Services" are hereby amended to read as follows:

     40-1-4. Organization of department.

     All functions, services, and duties of the department of human services shall be organized

by the director with the approval of the governor as to:

     (1) Community services to include generally and specifically the administration of all

forms of human services excluding child welfare services, which are the responsibility of the

department of children, youth, and families.

     (2) Management services to include generally and specifically all central management,

financial, forms of relief, and other services concerned with the business and servicing operations

of the department.

     (3) Veterans' affairs to include all forms of services to veterans of the armed forces. There

shall be within the department of human services a division of veterans' affairs.

     40-1-6. Officers required to be veterans.

     The respective officers appointed by the director of human services secretary of the

executive office of health and human services to be in charge of the state's administration of

veterans' relief, of graves' registration, and the commandant and the assistant commandant of the

Rhode Island veterans' home, in addition to any other qualifications required for their respective

positions as already provided in law, shall each be an honorably discharged war veteran of any war

in which the United States has been engaged.

     SECTION 15. Sections 42-6-1, 42-6-2 and 42-6-3 of the General Laws in Chapter 42-6

entitled "Departments of State Government" are hereby amended to read as follows:

     42-6-1. Enumeration of departments.

     All the administrative powers and duties heretofore vested by law in the several state

departments, boards, divisions, bureaus, commissions, and other agencies shall be vested in the

following departments and other agencies which are specified in this title:

     (a) Executive department (chapter 7 of this title);

     (b) Department of state (chapter 8 of this title);

     (c) Department of the attorney general (chapter 9 of this title);

     (d) Treasury department (chapter 10 of this title);

     (e) Department of administration (chapter 11 of this title);

     (f) Department of business regulation (chapter 14 of this title);

     (g) Department of children, youth and families (chapter 72 of this title);

     (h) Department of corrections (chapter 56 of this title);

     (i) Department of elderly affairs (chapter 66 of this title);

     (ji) Department of elementary and secondary education (chapter 60 of title 16);

     (kj) Department of environmental management (chapter 17.1 of this title);

     (lk) Department of health (chapter 18 of this title);

     (ml) Board of governors for higher education (chapter 59 of title 16);

     (nm) Department of labor and training (chapter 16.1 of this title);

     (on) Department of behavioral healthcare, developmental disabilities and hospitals (chapter

12.1 of this title);

     (po) Department of human services (chapter 12 of this title);

     (qp) Department of transportation (chapter 13 of this title);

     (rq) Public utilities commission (chapter 14.3 of this title);

     (sr) Department of revenue (chapter 142 of title 42);

     (ts) Department of public safety (chapter 7.3 of this title).

     42-6-2. Heads of departments.

     The governor, secretary of state, attorney general, and general treasurer, hereinafter called

general officers, shall each be in charge of a department. There shall also be a director of

administration, a director of revenue, a director of public safety, a director of human services, a

director of behavioral healthcare, developmental disabilities and hospitals, a director of

transportation, a director of business regulation, a director of labor and training, a director of

environmental management, a director for children, youth and families, a director of elderly affairs,

and a director of corrections. Each director shall hold office at the pleasure of the governor and he

or she shall serve until his or her successor is duly appointed and qualified unless the director is

removed from office by special order of the governor.

     42-6-3. Appointment of directors.

     (a) At the January session following his or her election to office, the governor shall appoint

a director of administration, a director of revenue, a director of public safety, a director of human

services, a director of behavioral healthcare, developmental disabilities and hospitals, a director of

transportation, a director of business regulation, a director of labor and training, a director of

environmental management, a director for children, youth and families, a director of elderly affairs,

and a director of corrections. The governor shall, in all cases of appointment of a director while the

senate is in session, notify the senate of his or her appointment and the senate shall, within sixty

(60) legislative days after receipt of the notice, act upon the appointment. If the senate shall, within

sixty (60) legislative days, vote to disapprove the appointment it shall so notify the governor, who

shall forthwith appoint and notify the senate of the appointment of a different person as director

and so on in like manner until the senate shall fail to so vote disapproval of the governor's

appointment. If the senate shall fail, for sixty (60) legislative days next after notice, to act upon any

appointment of which it has been notified by the governor, the person so appointed shall be the

director. The governor may withdraw any appointment of which he or she has given notice to the

senate, at any time within sixty (60) legislative days thereafter and before action has been taken

thereon by the senate.

     (b) Except as expressly provided in § 42-6-9, no director of any department shall be

appointed or employed pursuant to any contract of employment for a period of time greater than

the remainder of the governor's current term of office. Any contract entered into in violation of this

section after July 1, 1994 is hereby declared null and void.

     SECTION 16. Sections 42-7.2-2, 42-7.2-4, 42-7.2-5, 42-7.2-6, 42-7.2-6.1, 42-7.2-9, 42-

7.2-15 and 42-7.2-17 of the General Laws in Chapter 42-7.2 entitled "Office of Health and Human

Services" are hereby amended to read as follows:

     42-7.2-2. Executive office of health and human services.

     There is hereby established within the executive branch of state government an executive

office of health and human services to serve as the principal agency of the executive branch of state

government for managing the departments of children, youth and families, health, human services,

and behavioral healthcare, developmental disabilities and hospitals and offices of elder and

veterans’ affairs. In this capacity, the office shall:

     (a) Lead the state's four (4) health and human services departments and the offices of elder

and veterans’ affairs in order to:

     (1) Improve the economy, efficiency, coordination, and quality of health and human

services policy and planning, budgeting, and financing.

     (2) Design strategies and implement best practices that foster service access, consumer

safety, and positive outcomes.

     (3) Maximize and leverage funds from all available public and private sources, including

federal financial participation, grants, and awards.

     (4) Increase public confidence by conducting independent reviews of health and human

services issues in order to promote accountability and coordination across departments.

     (5) Ensure that state health and human services policies and programs are responsive to

changing consumer needs and to the network of community providers that deliver assistive services

and supports on their behalf.

     (6) Administer Rhode Island Medicaid in the capacity of the single state agency authorized

under title XIX of the U.S. Social Security Act, 42 U.S.C. § 1396a et seq., and exercise such single

state agency authority for such other federal and state programs as may be designated by the

governor. Except as provided for herein, nothing in this chapter shall be construed as transferring

to the secretary the powers, duties, or functions conferred upon the departments or offices by Rhode

Island general laws for the management and operations of programs or services approved for

federal financial participation under the authority of the Medicaid state agency.

     (7) To act in conjunction with the department of behavioral healthcare, developmental

disabilities and hospitals as the state's co-designated agency (42 U.S.C. § 300x-30(a)) for

administering federal aid and for the purposes of the calculation of expenditures relative to the

substance-abuse block grant and federal funding maintenance of effort.

     42-7.2-4. Responsibilities of the secretary.

     (a) The secretary shall be responsible to the governor for supervising the executive office

of health and human services and for managing and providing strategic leadership and direction to

the four (4) departments and two (2) offices.

     (b) Notwithstanding the provisions set forth in this chapter, the governor shall appoint the

directors of the departments within the executive office of health and human services. Directors

appointed to those departments shall continue to be subject to the advice and consent of the senate

and shall continue to hold office as set forth in §§ 42-6-1 et seq. and 42-72-1(c).

     42-7.2-5. Duties of the secretary.

     The secretary shall be subject to the direction and supervision of the governor for the

oversight, coordination and cohesive direction of state administered health and human services and

in ensuring the laws are faithfully executed, not withstanding any law to the contrary. In this

capacity, the Secretary of Health and Human Services shall be authorized to:

     (1) Coordinate the administration and financing of health-care benefits, human services

and programs including those authorized by the state's Medicaid section 1115 demonstration waiver

and, as applicable, the Medicaid State Plan under Title XIX of the U.S. Social Security Act.

However, nothing in this section shall be construed as transferring to the secretary the powers,

duties or functions conferred upon the departments by Rhode Island public and general laws for

the administration of federal/state programs financed in whole or in part with Medicaid funds or

the administrative responsibility for the preparation and submission of any state plans, state plan

amendments, or authorized federal waiver applications, once approved by the secretary.

     (2) Serve as the governor's chief advisor and liaison to federal policymakers on Medicaid

reform issues as well as the principal point of contact in the state on any such related matters.

     (3)(a) Review and ensure the coordination of the state's Medicaid section 1115

demonstration waiver requests and renewals as well as any initiatives and proposals requiring

amendments to the Medicaid state plan or category two (II) or three (III) changes, as described in

the special terms and conditions of the state's Medicaid section 1115 demonstration waiver with

the potential to affect the scope, amount or duration of publicly-funded health-care services,

provider payments or reimbursements, or access to or the availability of benefits and services as

provided by Rhode Island general and public laws. The secretary shall consider whether any such

changes are legally and fiscally sound and consistent with the state's policy and budget priorities.

The secretary shall also assess whether a proposed change is capable of obtaining the necessary

approvals from federal officials and achieving the expected positive consumer outcomes.

Department and office directors shall, within the timelines specified, provide any information and

resources the secretary deems necessary in order to perform the reviews authorized in this section;

     (b) Direct the development and implementation of any Medicaid policies, procedures, or

systems that may be required to assure successful operation of the state's health and human services

integrated eligibility system and coordination with HealthSource RI, the state's health insurance

marketplace.

     (c) Beginning in 2015, conduct on a biennial basis a comprehensive review of the Medicaid

eligibility criteria for one or more of the populations covered under the state plan or a waiver to

ensure consistency with federal and state laws and policies, coordinate and align systems, and

identify areas for improving quality assurance, fair and equitable access to services, and

opportunities for additional financial participation.

     (d) Implement service organization and delivery reforms that facilitate service integration,

increase value, and improve quality and health outcomes.

     (4) Beginning in 2006, prepare and submit to the governor, the chairpersons of the house

and senate finance committees, the caseload estimating conference, and to the joint legislative

committee for health-care oversight, by no later than March 15 of each year, a comprehensive

overview of all Medicaid expenditures outcomes, and utilization rates. The overview shall include,

but not be limited to, the following information:

     (i) Expenditures under Titles XIX and XXI of the Social Security Act, as amended;

     (ii) Expenditures, outcomes and utilization rates by population and sub-population served

(e.g. families with children, persons with disabilities, children in foster care, children receiving

adoption assistance, adults ages nineteen (19) to sixty-four (64), and elders);

     (iii) Expenditures, outcomes and utilization rates by each state department or other

municipal or public entity receiving federal reimbursement under Titles XIX and XXI of the Social

Security Act, as amended; and

     (iv) Expenditures, outcomes and utilization rates by type of service and/or service provider.

     The directors of the departments or offices, as well as local governments and school

departments, shall assist and cooperate with the secretary in fulfilling this responsibility by

providing whatever resources, information and support shall be necessary.

     (5) Resolve administrative, jurisdictional, operational, program, or policy conflicts among

departments and offices and their executive staffs and make necessary recommendations to the

governor.

     (6) Assure continued progress toward improving the quality, the economy, the

accountability and the efficiency of state-administered health and human services. In this capacity,

the secretary shall:

     (i) Direct implementation of reforms in the human resources practices of the executive

office and the departments and offices that streamline and upgrade services, achieve greater

economies of scale and establish the coordinated system of the staff education, cross-training, and

career development services necessary to recruit and retain a highly-skilled, responsive, and

engaged health and human services workforce;

     (ii) Encourage EOHHS-wide consumer-centered approaches to service design and delivery

that expand their capacity to respond efficiently and responsibly to the diverse and changing needs

of the people and communities they serve;

     (iii) Develop all opportunities to maximize resources by leveraging the state's purchasing

power, centralizing fiscal service functions related to budget, finance, and procurement,

centralizing communication, policy analysis and planning, and information systems and data

management, pursuing alternative funding sources through grants, awards and partnerships and

securing all available federal financial participation for programs and services provided EOHHS-

wide;

     (iv) Improve the coordination and efficiency of health and human services legal functions

by centralizing adjudicative and legal services and overseeing their timely and judicious

administration;

     (v) Facilitate the rebalancing of the long term system by creating an assessment and

coordination organization or unit for the expressed purpose of developing and implementing

procedures EOHHS-wide that ensure that the appropriate publicly-funded health services are

provided at the right time and in the most appropriate and least restrictive setting;

     (vi) Strengthen health and human services program integrity, quality control and

collections, and recovery activities by consolidating functions within the office in a single unit that

ensures all affected parties pay their fair share of the cost of services and are aware of alternative

financing.

     (vii) Assure protective services are available to vulnerable elders and adults with

developmental and other disabilities by reorganizing existing services, establishing new services

where gaps exist and centralizing administrative responsibility for oversight of all related initiatives

and programs.

     (7) Prepare and integrate comprehensive budgets for the health and human services

departments and offices and any other functions and duties assigned to the office. The budgets shall

be submitted to the state budget office by the secretary, for consideration by the governor, on behalf

of the state's health and human services agencies in accordance with the provisions set forth in §

35-3-4 of the Rhode Island general laws.

     (8) Utilize objective data to evaluate health and human services policy goals, resource use

and outcome evaluation and to perform short and long-term policy planning and development.

     (9) Establishment of an integrated approach to interdepartmental information and data

management that complements and furthers the goals of the unified health infrastructure project

initiative and that will facilitate the transition to consumer-centered integrated system of state

administered health and human services.

     (10) At the direction of the governor or the general assembly, conduct independent reviews

of state-administered health and human services programs, policies and related agency actions and

activities and assist the department and office directors in identifying strategies to address any

issues or areas of concern that may emerge thereof. The office and department directors shall

provide any information and assistance deemed necessary by the secretary when undertaking such

independent reviews.

     (11) Provide regular and timely reports to the governor and make recommendations with

respect to the state's health and human services agenda.

     (12) Employ such personnel and contract for such consulting services as may be required

to perform the powers and duties lawfully conferred upon the secretary.

     (13) Assume responsibility for complying with the provisions of any general or public law

or regulation related to the disclosure, confidentiality and privacy of any information or records, in

the possession or under the control of the executive office or the departments and offices assigned

to the executive office, that may be developed or acquired or transferred at the direction of the

governor or the secretary for purposes directly connected with the secretary's duties set forth herein.

     (14) Hold the director of each health and human services department and office accountable

for their administrative, fiscal and program actions in the conduct of the respective powers and

duties of their agencies.

     42-7.2-6. Departments assigned to the executive office -- Powers and duties.

     (a) The departments and offices assigned to the secretary shall:

     (1) Exercise their respective powers and duties in accordance with their statutory authority

and the general policy established by the governor or by the secretary acting on behalf of the

governor or in accordance with the powers and authorities conferred upon the secretary by this

chapter;

     (2) Provide such assistance or resources as may be requested or required by the governor

and/or the secretary; and

     (3) Provide such records and information as may be requested or required by the governor

and/or the secretary to perform the duties set forth in subsection 6 of this chapter. Upon developing,

acquiring or transferring such records and information, the secretary shall assume responsibility for

complying with the provisions of any applicable general or public law, regulation, or agreement

relating to the confidentiality, privacy or disclosure of such records or information.

     (4) Forward to the secretary copies of all reports to the governor.

     (b) Except as provided herein, no provision of this chapter or application thereof shall be

construed to limit or otherwise restrict the department of children, youth and families, the

department of health, the department of human services, and the department of behavioral

healthcare, developmental disabilities and hospitals or the offices of elder and veterans’ affairs from

fulfilling any statutory requirement or complying with any valid rule or regulation.

     42-7.2-6.1. Transfer of powers and functions.

     (a) There are hereby transferred to the executive office of health and human services the

powers and functions of the departments with respect to the following:

     (1) Fiscal services including budget preparation and review, financial management,

purchasing and accounting and any related functions and duties deemed necessary by the secretary;

     (2) Legal services including applying and interpreting the law, oversight to the rule-making

process, and administrative adjudication duties and any related functions and duties deemed

necessary by the secretary;

     (3) Communications including those functions and services related to government

relations, public education and outreach and media relations and any related functions and duties

deemed necessary by the secretary;

     (4) Policy analysis and planning including those functions and services related to the policy

development, planning and evaluation and any related functions and duties deemed necessary by

the secretary;

     (5) Information systems and data management including the financing, development and

maintenance of all data-bases and information systems and platforms as well as any related

operations deemed necessary by the secretary;

     (6) Assessment and coordination for long-term care including those functions related to

determining level of care or need for services, development of individual service/care plans and

planning, identification of service options, the pricing of service options and choice counseling;

and

     (7) Program integrity, quality control and collection and recovery functions including any

that detect fraud and abuse or assure that beneficiaries, providers, and third-parties pay their fair

share of the cost of services, as well as any that promote alternatives to publicly financed services,

such as the long-term care health insurance partnership.

     (8) Protective services including any such services provided to children, elders and adults

with developmental and other disabilities;

     (9) [Deleted by P.L. 2010, ch. 23, art. 7, § 1].

     (10) The HIV/AIDS care and treatment programs.

     (11) The Office of Elder Affairs functions, formerly administered by the Department of

Human Services, and rules and regulations promulgated by the office.

     (12) The Office of Veterans’ Affairs functions, formerly administered by the Department

of Human Services, and rules and regulations promulgated by the office.

     (b) The secretary shall determine in collaboration with the department and office directors

whether the officers, employees, agencies, advisory councils, committees, commissions, and task

forces of the departments and offices who were performing such functions shall be transferred to

the office.

     (c) In the transference of such functions, the secretary shall be responsible for ensuring:

     (1) Minimal disruption of services to consumers;

     (2) Elimination of duplication of functions and operations;

     (3) Services are coordinated and functions are consolidated where appropriate;

     (4) Clear lines of authority are delineated and followed;

     (5) Cost-savings are achieved whenever feasible;

     (6) Program application and eligibility determination processes are coordinated and, where

feasible, integrated; and

     (7) State and federal funds available to the office and the entities therein are allocated and

utilized for service delivery to the fullest extent possible.

     (d) Except as provided herein, no provision of this chapter or application thereof shall be

construed to limit or otherwise restrict the departments of children, youth and families, human

services, health, and behavioral healthcare, developmental disabilities and hospitals or offices of

elder and veterans’ affairs from fulfilling any statutory requirement or complying with any

regulation deemed otherwise valid.

     (e) The secretary shall prepare and submit to the leadership of the house and senate finance

committees, by no later than January 1, 2010, a plan for restructuring functional responsibilities

across the departments to establish a consumer centered integrated system of health and human

services that provides high quality and cost-effective services at the right time and in the right

setting across the life-cycle.

     42-7.2-9. Appointment of employees.

     The secretary, subject to the provisions of applicable state law, shall be the appointing

authority for all employees of the executive office of health and human services. The secretary may

assign this function to such subordinate officers and employees of the executive office as may to

him or her seem feasible or desirable. The appointing authority of the secretary provided for herein

shall not affect, interfere with, limit, or otherwise restrict the appointing authority vested in the

directors for the employees of the departments and offices under applicable general and public

laws.

     42-7.2-15. Applicability.

     Nothing in this chapter shall change, transfer or interfere with, or limit or otherwise restrict

the general assembly's sole authority to appropriate and re-appropriate fiscal resources to the

departments and offices; the statutory or regulatory duties of the directors of the departments and

offices, or the appointing authority for the employees of the departments and offices vested in the

directors under applicable general and public laws.

     42-7.2-17. Statutory reference to the office of health and human services.

     Notwithstanding other statutory references to the department of human services, wherever

in the general or public laws, or any rule or regulation, any reference shall appear to the "department

of human services" or to "department" as it relates to any responsibilities for and/or to Medicaid,

the office of elder affairs or the office of veterans’ affairs unless the context otherwise requires, it

shall be deemed to mean "the office of health and human services."

     SECTION 17. Section 42-11-10 of the General Laws in Chapter 42-11 entitled

"Department of Administration" is hereby amended to read as follows:

     42-11-10. Statewide planning program.

     (a) Findings. The general assembly finds that the people of this state have a fundamental

interest in the orderly development of the state; the state has a positive interest and demonstrated

need for establishment of a comprehensive, strategic state planning process and the preparation,

maintenance, and implementation of plans for the physical, economic, and social development of

the state; the continued growth and development of the state presents problems that cannot be met

by the cities and towns individually and that require effective planning by the state; and state and

local plans and programs must be properly coordinated with the planning requirements and

programs of the federal government.

     (b) Establishment of statewide planning program.

     (1) A statewide planning program is hereby established to prepare, adopt, and amend

strategic plans for the physical, economic, and social development of the state and to recommend

these to the governor, the general assembly, and all others concerned.

     (2) All strategic planning, as defined in subsection (c) of this section, undertaken by all

departments and agencies of the executive branch unless specifically exempted, shall be conducted

by or under the supervision of the statewide planning program. The statewide planning program

shall consist of a state planning council, and the division of planning, which shall be a division

within the department of administration.

     (c) Strategic planning. Strategic planning includes the following activities:

     (1) Establishing or identifying general goals.

     (2) Refining or detailing these goals and identifying relationships between them.

     (3) Formulating, testing, and selecting policies and standards that will achieve desired

objectives.

     (4) Preparing long-range or system plans or comprehensive programs that carry out the

policies and set time schedules, performance measures, and targets.

     (5) Preparing functional, short-range plans or programs that are consistent with established

or desired goals, objectives, and policies, and with long-range or system plans or comprehensive

programs where applicable, and that establish measurable, intermediate steps toward their

accomplishment of the goals, objectives, policies, and/or long-range system plans.

     (6) Monitoring the planning of specific projects and designing of specific programs of short

duration by the operating departments, other agencies of the executive branch, and political

subdivisions of the state to ensure that these are consistent with, and carry out the intent of,

applicable strategic plans.

     (7) Reviewing the execution of strategic plans, and the results obtained, and making

revisions necessary to achieve established goals.

     (d) State guide plan. Components of strategic plans prepared and adopted in accordance

with this section may be designated as elements of the state guide plan. The state guide plan shall

be comprised of functional elements or plans dealing with land use; physical development and

environmental concerns; economic development; housing production; energy supply, including the

development of renewable energy resources in Rhode Island, and energy access, use, and

conservation; human services; and other factors necessary to accomplish the objective of this

section. The state guide plan shall be a means for centralizing, integrating, and monitoring long-

range goals, policies, plans, and implementation activities related thereto. State agencies concerned

with specific subject areas, local governments, and the public shall participate in the state guide

planning process, which shall be closely coordinated with the budgeting process.

     (e) Membership of state planning council. The state planning council shall consist of the

following members:

     (1) The director of the department of administration as chairperson;

     (2) The director, policy office, in the office of the governor, as vice-chairperson;

     (3) The governor, or his or her designee;

     (4) The budget officer;

     (5) The chairperson of the housing resources commission;

     (6) The highest-ranking administrative officer of the division of planning, as secretary;

     (7) The president of the Rhode Island League of Cities and Towns or his or her designee

and one official of local government who shall be appointed by the governor from a list of not less

than three (3) submitted by the Rhode Island League Cities and Towns;

     (8) The executive director of the Rhode Island League of Cities and Towns;

     (9) One representative of a nonprofit community development or housing organization

appointed by the governor;

     (10) Six (6) public members, appointed by the governor, one of whom shall be an employer

with fewer than fifty (50) employees and one of whom shall be an employer with greater than fifty

(50) employees;

     (11) Two (2) representatives of a private, nonprofit, environmental advocacy organization,

both to be appointed by the governor;

     (12) The director of planning and development for the city of Providence;

     (13) The director of the department of transportation;

     (14) The director of the department of environmental management;

     (15) The director of the department of health;

     (16) The chief executive officer of the commerce corporation;

     (17) The commissioner of the Rhode Island office of energy resources;

     (18) The chief executive officer of the Rhode Island public transit authority;

     (19) The executive director of Rhode Island housing; and

     (20) The executive director of the coastal resources management council.

     (f) Powers and duties of state planning council. The state planning council shall have the

following powers and duties:

     (1) To adopt strategic plans as defined in this section and the long-range state guide plan,

and to modify and amend any of these, following the procedures for notification and public hearing

set forth in § 42-35-3, and to recommend and encourage implementation of these goals to the

general assembly, state and federal agencies, and other public and private bodies; approval of

strategic plans by the governor; and to ensure that strategic plans and the long-range state guide

plan are consistent with the findings, intent, and goals set forth in § 45-22.2-3, the "Rhode Island

Comprehensive Planning and Land Use Regulation Act";

     (2) To coordinate the planning and development activities of all state agencies, in

accordance with strategic plans prepared and adopted as provided for by this section;

     (3) To review and comment on the proposed annual work program of the statewide

planning program;

     (4) To adopt rules and standards and issue orders concerning any matters within its

jurisdiction as established by this section and amendments to it;

     (5) To establish advisory committees and appoint members thereto representing diverse

interests and viewpoints as required in the state planning process and in the preparation or

implementation of strategic plans. The state planning council shall appoint a permanent committee

comprised of:

     (i) Public members from different geographic areas of the state representing diverse

interests; and

     (ii) Officials of state, local, and federal government, who shall review all proposed

elements of the state guide plan, or amendment or repeal of any element of the plan, and shall

advise the state planning council thereon before the council acts on any such proposal. This

committee shall also advise the state planning council on any other matter referred to it by the

council; and

     (6) To establish and appoint members to an executive committee consisting of major

participants of a Rhode Island geographic information system with oversight responsibility for its

activities.

     (7) To adopt, amend, and maintain, as an element of the state guide plan or as an

amendment to an existing element of the state guide plan, standards and guidelines for the location

of eligible, renewable energy resources and renewable energy facilities in Rhode Island with due

consideration for the location of such resources and facilities in commercial and industrial areas,

agricultural areas, areas occupied by public and private institutions, and property of the state and

its agencies and corporations, provided such areas are of sufficient size, and in other areas of the

state as appropriate.

     (8) To act as the single, statewide metropolitan planning organization for transportation

planning, and to promulgate all rules and regulations that are necessary thereto.

     (g) Division of planning.

     (1) The division of planning shall be the principal staff agency of the state planning council

for preparing and/or coordinating strategic plans for the comprehensive management of the state's

human, economic, and physical resources. The division of planning shall recommend to the state

planning council specific guidelines, standards, and programs to be adopted to implement strategic

planning and the state guide plan and shall undertake any other duties established by this section

and amendments thereto.

     (2) The division of planning shall maintain records (which shall consist of files of complete

copies) of all plans, recommendations, rules, and modifications or amendments thereto adopted or

issued by the state planning council under this section. The records shall be open to the public.

     (3) The division of planning shall manage and administer the Rhode Island geographic

information system of land-related resources, and shall coordinate these efforts with other state

departments and agencies, including the University of Rhode Island, which shall provide technical

support and assistance in the development and maintenance of the system and its associated data

base.

     (4) The division of planning shall coordinate and oversee the provision of technical

assistance to political subdivisions of the state in preparing and implementing plans to accomplish

the purposes, goals, objectives, policies, and/or standards of applicable elements of the state guide

plan and shall make available to cities and towns data and guidelines that may be used in preparing

comprehensive plans and elements thereof and in evaluating comprehensive plans and elements

thereby.

     (h) [Deleted by P.L. 2011, ch. 215, § 4, and by P.L. 2011, ch. 313, § 4].

     (i) The division of planning shall be the principal staff agency of the water resources board

established pursuant to chapter 15 of title 46 ("Water Resources Board") and the water resources

board corporate established pursuant to chapter 15.1 of title 46 ("Water Supply Facilities").

     SECTION 18. Section 42-11-10.1 of the General Laws in Chapter 42-11 entitled

"Department of Administration" is hereby repealed.

     42-11-10.1. Transfer of powers, functions and resources from the water resources

board.

     (a) There are hereby transferred to the division of planning within the department of

administration those powers and duties formerly administered by the employees of the water

resources board as provided for in chapter 46-15 ("Water Resources Board") through 46-15.8

("Water Use and Efficiency Act"), inclusive, and any other applicable provisions of the general

laws; provided, however, the governor shall submit to the 2012 assembly any recommended

statutory changes necessary to facilitate the merger.

     (b) All resources of the water resources board, including, but not limited to, property,

employees and accounts, are hereby transferred to the division of planning.

     (c) As part of the above transfer, except for the general manager, all employees of the water

resources board currently subject to the provisions of chapter 4 of title 36 shall continue to be

subject to those provisions.

     SECTION 19. Sections 42-12-1.3, 42-12-2, 42-12-5 and 42-12-7 of the General Laws in

Chapter 42-12 entitled "Department of Human Services" are hereby repealed.

     42-12-1.3. Transfer of functions from the department of elderly affairs.

     There is hereby transferred from the department of elderly affairs to the department of

human services the following function: to provide and coordinate the "elderly/disabled

transportation" program including a passenger cost sharing program as defined and provided for

under rules and regulations promulgated by the department.

     42-12-2. Management of institutions.

     The department of human services shall have the management, supervision, and control of

the adult correctional institutions, training school for boys, training school for girls, Doctor Patrick

I. O'Rourke children's center, and Rhode Island veterans' home, and such other functions as have

been or may be assigned. The department also shall operate, maintain and repair the buildings,

grounds, and other physical property at the institutions, other than the roads and driveways thereof

which shall be under the care and supervision of the department of transportation.

     42-12-5. Assistance on veterans' claims.

     The department of human services shall also prepare and present before the Veterans

Administration of the United States all legal claims of veterans for compensation, disability

allowance, insurance and pensions of veterans of World War I, and all other veterans to whom

benefits have been extended pursuant to the provisions of chapter 22 of title 30 entitled "Extension

of Veterans' Benefits" who had a legal residence in this state at the time of entrance into the service

or who have been qualified electors in this state for two (2) years next preceding the application for

aid, and their personal representatives or dependents, or both, and shall render to such persons

reasonable assistance in the preparation and presentation of any of those claims and shall perform

such other duties as may be by law required. The department shall render such assistance without

charge to the claimant.

     42-12-7. Special veterans' funds.

     The director of the department of human services shall have control and supervision over

any special funds provided for decorating and installing metal markers on the graves of soldiers,

sailors, airmen, and marines, for the burial of honorably discharged soldiers, for the assistance of

World War I veterans and other expenditures relating to veteran soldiers, sailors, airmen, and

marines.

     SECTION 20. Sections 42-12-23 and 42-12-23.1 of the General Laws in Chapter 42-12

entitled "Department of Human Services" are hereby amended to read as follows:

     42-12-23. Child care -- Planning and coordinating.

     (a) The department of human services shall be the principal agency of the state for the

planning and coordination of state involvement in the area of child care. To accomplish this

purpose, the department's duties shall include submitting an annual report to the governor and the

general assembly on the status of child care in Rhode Island.

     (b) The annual report of the department shall include, but not be limited to, the following

information:

     (1) The amount of state and federal funds spent on child care in each of the two (2)

preceding years;

     (2) The number of child care providers licensed; pursuant to the provisions of chapter 72.1

of this title;

     (3) The number of children served in state subsidized programs;

     (4) The number of taxpayers who have claimed the child care assistance and development

tax credit pursuant to chapter 47 of title 44;

     (5) The average cost for both infant and preschool child care;

     (6) An estimate of unmet needs for child care;

     (7) Information on child care staff salaries and training and education programs, and

     (8) Recommendations for any changes in child care public policy.

     (c) The department shall cooperate with the unit of the department of children, youth, and

families which licenses and monitors child care providers pursuant to the terms of chapter 72.1 of

this title.

     (d)(c) The department is hereby charged with the responsibility of assuring that a statewide

child care resource and referral system exists in this state to provide services and consumer

information to assist parents in locating and choosing licensed, approved and/or certified providers,

and to maintain data necessary for such referrals.

     42-12-23.1. Quality of early care and education and school-age child care through

voluntary quality rating system.

     (a) There is hereby established a voluntary quality rating system which will assess quality

in early care and education programs and school-age child care. For purposes of this section, early

care and education programs and school-age child care shall mean programs licensed under chapter

72.1, title 42 12.5, title 42 and approved under chapter 48, title 16, including without limitation

child care centers, family child care homes, group family child care homes, school-age child care

programs and preschools, but excluding child placement agencies. The voluntary quality rating

system is established to promote continuous quality improvement of programs and to further the

goals of Rhode Island's "starting right" initiative.

     (b) The department of human services, the department of children, youth and families, the

department of health, the department of elementary and secondary education and other partners and

agencies shall share information and work cooperatively with the Rhode Island quality rating

system, a public-private partnership, to ensure that Rhode Island children have access to quality

early care and education programs and school-age child care.

     (c) The voluntary quality rating system shall also provide a mechanism to gather data about

program quality, and shall report this information to parents, providers and other persons interested

in the quality of early care and education programs and school-age child care services in Rhode

Island.

     SECTION 21. Title 42 of the General Laws entitled "STATE AFFAIRS AND

GOVERNMENT" is hereby amended by adding thereto the following chapter:

CHAPTER 42-12.5

LICENSING AND MONITORING OF CHILD DAY CARE PROVIDERS

     42-12.5-1. Statement of purpose.

     (a) The director of the department of human services shall establish within the department

a unit to license and monitor child day care service providers to protect the health, safety and

wellbeing of children while being cared for as a commercial service and are away from their homes.

     (b) Services for children requiring licensure under this chapter shall include all child day

care providers which offer services within the state, except as defined in § 42-12.5-5

     42-12.5-2. Definitions.

     As used in this chapter:

     (1) "Administrator of licensing" means the director of the licensing unit (or his/her

designee) that carries out the provisions of this chapter, hereafter referred to as the "administrator".

     (2) "Applicant" means a child day care provider that applies for a license to operate.

     (3) "Child" means any person less than eighteen (18) years of age;

     (4) "Child day care" means daily care and/or supervision offered commercially to the

public for any part of a twenty-four (24) hour day to children away from their homes.

     (5) "Child day care center" means any person, firm, corporation, association, or agency

who, on a regular or irregular basis, receives any child under the age of sixteen (16) years, for the

purpose of care and/or supervision, not in a home or residence, apart from the child's parent or

guardian for any part of a twenty-four (24) hour day irrespective of compensation. It shall include

child day care programs that are offered to employees at the worksite. It does not include preschool

programs operating in schools approved by the commissioner of elementary and secondary

education.

     (6) "Child day care provider" means a person or agency, which offers daily care and/or

supervision offered commercially to the public for any part of a twenty-four (24) hour day to

children away from their homes.

     (7) "Department" means the department of human services (DHS).

     (8) "Director" means the director of the department of human services, or the director's

designee.

     (9) "Family day care home" means any home other than the child's home in which child

day care in lieu of parental care and/or supervision is offered at the same time to four (4) or more

children who are not relatives of the care giver.

     (10) "Group family day care home" means a residence occupied by an individual of at least

twenty-one (21) years of age who provides care for not less than nine (9) and not more than twelve

(12) children, with the assistance of one or more approved adults, for any part of a twenty-four (24)

hour day. These programs shall be subject to yearly licensing as addressed in this chapter and shall

comply with all applicable state and local fire, health, and zoning regulations.

     (11) "Licensee" means any person, firm, corporation, association, or agency, which holds

a valid license under this chapter.

     (12) "Regulation" means any requirement for licensure, promulgated pursuant to this

chapter having the force of law.

     (13) "Related" means any of the following relationships, by marriage, blood or adoption,

even following the death or divorce of a natural parent: parent, grandparent, brother, sister, aunt,

uncle, and first cousin. In a prosecution under this chapter or of any law relating thereto, a defendant

who relies for a defense upon the relationship of any child to him or herself, the defendant shall

have the burden of proof as to the relationship.

     42-12.5-3. Powers and scope of activities. 

     (a) The department shall issue, deny, suspend, and revoke licenses for, and monitor the

operation of, facilities and programs by child day care providers, as defined in § 42-12.5-2.

     (b) The department is hereby authorized and directed to adopt, amend, and rescind

regulations in accordance with this chapter and implement its provisions. The regulations shall be

promulgated and become effective in accordance with the provisions of the Administrative

Procedures Act, chapter 35 of title 42 and shall address, but need not be limited to the following:

     (1) Financial, administrative and organizational ability, and stability of the applicant;

     (2) Compliance with specific fire and safety codes and health regulations;

     (3) Character, health suitability, qualifications of child day care providers;

     (4) Staff/child ratios and workload assignments of staff providing care or supervision to

children;

     (5) Type and content of records or documents that must be maintained to collect and retain

information for the planning and caring for children;

     (6) Procedures and practices regarding basic child day care to ensure protection to the child;

     (7) Service to families of children in care;

     (8) Program activities, including components related to physical growth, social, emotional,

educational, and recreational activities;

     (9) Investigation of previous employment, criminal record check and department records

check; and

     (10) Immunization and testing requirements for communicable diseases, including, but not

limited to, tuberculosis, of child day care providers and children at any child day-care center or

family day-care home as is specified in regulations promulgated by the director of the department

of health. Notwithstanding the foregoing, all licensing and monitoring authority shall remain with

the department of human services.

     (c) The department through its licensing unit shall administer and manage the regulations

pertaining to the licensing and monitoring of child day care providers, and shall exercise all

statutory and administrative powers necessary to carry out its functions.

     (d) The administrator shall investigate complaints of noncompliance, and shall take

licensing action as may be necessary pursuant to this chapter.

     (e) The administrator may:

     (1) Prescribe any forms for reports, statements, notices, and other documents deemed

necessary;

     (2) Prepare and publish manuals and guides explaining this chapter and the regulations to

facilitate compliance with and enforcement of the regulations;

     (3) Prepare reports and studies to advance the purpose of this chapter;

     (4) Provide consultation and technical assistance, as requested, to assist licensees in

maintaining compliance; and

     (f) The department may promulgate rules and regulations for the establishment of child day

care centers located on the second floor.

     (g) When the department is otherwise unsuccessful in remedying noncompliance with the

provisions of this chapter and the regulations promulgated thereunder it may petition the superior

court for an order enjoining the noncompliance or for any order that equity and justice may require.

     (h) The department shall collaborate with the departments of children, youth, and families,

elementary and secondary education, and health to provide monitoring, mentoring, training,

technical assistance, and other services which are necessary and appropriate to improving the

quality of child day care offered by child day care providers who are certified, licensed, or approved

by the department or the department of elementary and secondary education or who are seeking

certification, licensure, or approval pursuant to § 42-12.5 or § 16-48-2, including non-English

speaking providers.

     42-12.5-4. License required. 

     (a) No person shall receive or place children in child day care services, including day care

arrangements, without a license issued pursuant to this chapter. This requirement does not apply to

a person related by blood, marriage, guardianship or adoption to the child, unless that arrangement

is for the purposes of day care.

     (b) The licensing requirement does not apply to shelter operations for parents with children,

boarding schools, recreation camps, nursing homes, hospitals, maternity residences, and centers for

developmentally disabled children.

     (c) No person, firm, corporation, association, or agency shall operate a family day care

home without a registration certificate issued by the department, unless they hold an unexpired

registration certificate issued by the Department of Children, Youth, and Families prior to January

1, 2020.

     (d) No state, county, city, or political subdivision shall operate a child day care agency or

center, program or facility without a license issued pursuant to this chapter.

     (e) No person shall be exempt from a required license by reason of public or private,

sectarian, non-sectarian, child day care program, for profit or non-profit status, or by any other

reason of funding, sponsorship, or affiliation. 

     42-12.5-5. General licensing provisions. 

     The following general licensing provisions shall apply:

     (1) A license issued under this chapter is not transferable and applies only to the licensee

and the location stated in the application and remains the property of the department. A license

shall be publicly displayed. A license shall be valid for one year from the date of issue and upon

continuing compliance with the regulations, except that a certificate issued to a family day care

home shall be valid for two (2) years from the date of issue.

     (2) Every license application issued pursuant to § 42-12.5-4 shall be accompanied by a

nonrefundable application fee paid to the State of Rhode Island as follows:

     (a) Child day care center license- five hundred dollars ($500);

     (b) Group family day care home license – two hundred and fifty dollars ($250);

     (c) Family day care home license- one hundred dollars ($100).

     (3) All fees collected by the State pursuant to paragraph (2) of this section shall be

deposited by the general treasurer as general revenues.

     (4) A licensee shall comply with applicable state fire and health safety standards.

     (5) The department may grant a provisional license to an applicant who is not able to

demonstrate compliance with all of the regulations because the program or residence is not in full

operation; however, the applicant must meet all regulations that can be met in the opinion of the

administrator before the program is fully operational. The provisional license shall be granted for

a limited period not to exceed six (6) months and shall be subject to review every three (3) months.

     (6) The department may grant a probationary license to a licensee who is temporarily

unable to comply with a rule or rules when the noncompliance does not present an immediate threat

to the health and well-being of the children, and when the licensee has obtained a plan approved

by the administrator to correct the areas of noncompliance within the probationary period. A

probationary license shall be issued for up to twelve (12) months; it may be extended for an

additional six (6) months at the discretion of the administrator. A probationary license that states

the conditions of probation may be issued by the administrator at any time for due cause. Any prior

existing license is invalidated when a probationary license is issued. When the probationary license

expires, the administrator may reinstate the original license to the end of its term, issue a new

license, suspend, or revoke the license.

     (7) The administrator will establish criteria and procedure for granting variances as part of

the regulations.

     (8) The above exceptions (probationary and provisional licensing and variances) do not

apply to and shall not be deemed to constitute any variance from state fire and health safety

standards. However, if a request for a variance of fire inspection deficiencies has been submitted

to the fire safety code board of appeal and review, DHS may grant a provisional license to terminate

no later than thirty (30) days following the board's decision on said variance.

     (9) A license under this chapter shall be granted to a child day care program without the

necessity for a separate fire, building, or radon inspection, when said child day care program is

conducted at a Rhode Island elementary or secondary school which has already been found in

compliance with said inspections, provided that an applicant complies with all other provisions of

DHS regulations, or has been granted appropriate variances by the department.

     42-12.5-6. Violations, suspensions and revocations of license.

     (a) When a licensee violates the terms of the license, the provisions of this chapter, or any