H7123

	2022 -- H 7123
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	LC004149
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	STATE OF RHODE ISLAND
	IN GENERAL ASSEMBLY
	JANUARY SESSION, A.D. 2022
	____________
	A N A C T
	MAKING APPROPRIATIONS FOR THE SUPPORT OF THE STATE FOR THE FISCAL
	YEAR ENDING JUNE 30, 2023

	Introduced By: Representative Marvin L. Abney
	Date Introduced: January 20, 2022
	Referred To: House Finance
	(Governor)
	It is enacted by the General Assembly as follows:
1	ARTICLE 1 RELATING TO MAKING APPROPRIATIONS IN SUPPORT OF FY 2023
2	ARTICLE 2 RELATING TO STATE FUNDS
3	ARTICLE 3 RELATING TO GOVERNMENT REFORM AND REORGANIZATION
4	ARTICLE 4 RELATING TO DEBT MANAGEMENT ACT JOINT RESOLUTIONS
5	ARTICLE 5 RELATING TO CAPITAL DEVELOPMENT PROGRAM
6	ARTICLE 6 RELATING TO TAXATION
7	ARTICLE 7 RELATING TO ENERGY AND THE ENVIRONMENT
8	ARTICLE 8 RELATING TO SMALL BUSINESS
9	ARTICLE 9 RELATING TO ECONOMIC DEVELOPMENT
10	ARTICLE 10 RELATING TO EDUCATION
11	ARTICLE 11 RELATING TO ADULT USE MARIJUANA
12	ARTICLE 12 RELATING TO MEDICAL ASSISTANCE
13	ARTICLE 13 RELATING TO HUMAN SERVICES
14	ARTICLE 14 RELATING TO LEASE AGREEMENTS FOR LEASED OFFICE AND
15	OPERATING SPACE
16	ARTICLE 15 RELATING TO EFFECTIVE DATE

1	ARTICLE 1
2	RELATING TO MAKING APPROPRIATIONS IN SUPPORT OF FY 2023
3	SECTION 1. Subject to the conditions, limitations and restrictions hereinafter contained in
4	this act, the following general revenue amounts are hereby appropriated out of any money in the
5	treasury not otherwise appropriated to be expended during the fiscal year ending June 30, 2023.
6	The amounts identified for federal funds and restricted receipts shall be made available pursuant to
7	section 35-4-22 and Chapter 41 of Title 42 of the Rhode Island General Laws. For the purposes
8	and functions hereinafter mentioned, the state controller is hereby authorized and directed to draw
9	his or her orders upon the general treasurer for the payment of such sums or such portions thereof
10	as may be required from time to time upon receipt by him or her of properly authenticated vouchers.
11	Administration
12	Central Management
13	General Revenues 4,896,389
14	Provided that $2,000,000 shall be allocated to support a state workforce compensation and
15	classification study, of which all unexpended or unencumbered balances, at the end of the fiscal
16	year, shall be reappropriated to the ensuing fiscal year and made immediately available for the same
17	purposes.
18	Federal Funds 108,998,500
19	Federal Funds- State Fiscal Recovery Fund
20	Nonprofit Assistance 10,000,000
21	Ongoing COVID-19 Response 75,000,000
22	ERP Implementation Support 2,200,000
23	Total – Central Management 201,094,889
24	Legal Services
25	General Revenues 2,374,193
26	Accounts and Control
27	General Revenues 5,211,103
28	Federal Funds- Capital Projects Fund
29	CPF Administration 2,807,250
30	Restricted Receipts – OPEB Board Administration 137,905
31	Restricted Receipts – Grants Management Administration 5,579,639
32	Total – Accounts and Control 13,735,897
33	Office of Management and Budget
34	General Revenues 8,354,324
	LC004149 - Page 2 of 319
1	Federal Funds 101,250
2	Restricted Receipts 300,000
3	Other Funds 1,228,111
4	Total – Office of Management and Budget 9,983,685
5	Purchasing
6	General Revenues 3,830,668
7	Restricted Receipts 381,474
8	Other Funds 550,989
9	Total – Purchasing 4,763,131
10	Human Resources
11	General Revenues 755,922
12	Personnel Appeal Board
13	General Revenues 143,059
14	Information Technology
15	General Revenues 721,340
16	Restricted Receipts 40,449,160
17	Provided that of the total available in the Information Technology Investment Fund as of
18	July 1, 2022, $22.4 million shall be made available for the development and implementation of an
19	electronic medical records system for the state hospitals and $19.4 million shall be made available
20	for the replacement and modernization of the legacy department of labor and training mainframe
21	system.
22	Total – Information Technology 41,170,500
23	Library and Information Services
24	General Revenues 1,796,514
25	Federal Funds 2,088,205
26	Restricted Receipts 6,990
27	Total – Library and Information Services 3,891,709
28	Planning
29	General Revenues 840,855
30	Federal Funds 3,050
31	Other Funds
32	Air Quality Modeling 24,000
33	Federal Highway – PL Systems Planning 3,813,016
34	State Transportation Planning Match 592,033
	LC004149 - Page 3 of 319
1	FTA – Metro Planning Grant 1,340,126
2	Total – Planning 6,613,080
3	General
4	General Revenues
5	Miscellaneous Grants/Payments 130,000
6	Provided that this amount be allocated to City Year for the Whole School Whole Child
7	Program, which provides individualized support to at-risk students.
8	Torts – Courts/Awards 675,000
9	Resource Sharing and State Library Aid 9,562,072
10	Library Construction Aid 1,859,673
11	Federal Funds- State Fiscal Recovery Fund
12	Aid to the Convention Center 17,700,000
13	Federal Funds- Capital Projects Fund
14	Municipal and Higher Ed Matching Grant Program 23,360,095
15	RIC Student Services Center 5,000,000
16	Restricted Receipts 700,000
17	Other Funds
18	Rhode Island Capital Plan Funds
19	Security Measures State Buildings 500,000
20	Energy Efficiency Improvements 1,250,000
21	Cranston Street Armory 750,000
22	State House Renovations 1,928,000
23	Zambarano Buildings and Campus 6,070,000
24	Replacement of Fueling Tanks 680,000
25	Environmental Compliance 400,000
26	Big River Management Area 427,000
27	Shepard Building Upgrades 1,500,000
28	RI Convention Center Authority 1,700,000
29	Accessibility – Facility Renovations 1,000,000
30	DoIT Enterprise Operations Center 2,300,000
31	BHDDH MH & Community Facilities – Asset Protection 750,000
32	BHDDH DD & Community Homes – Fire Code 325,000
33	BHDDH DD Regional Facilities – Asset Protection 1,700,000
34	BHDDH Substance Abuse Asset Protection 500,000
	LC004149 - Page 4 of 319
1	BHDDH Group Homes 1,250,000
2	Statewide Facility Master Plan 1,700,000
3	Cannon Building 1,150,000
4	Old State House 100,000
5	State Office Building 100,000
6	State Office Reorganization & Relocation 250,000
7	William Powers Building 2,700,000
8	Pastore Center Non-Hospital Buildings Asset Protection 6,250,000
9	Washington County Government Center 500,000
10	Chapin Health Laboratory 500,000
11	560 Jefferson Blvd Asset Protection 150,000
12	Arrigan Center 825,000
13	Dunkin Donuts Center 1,100,000
14	Pastore Center Building Demolition 1,000,000
15	Veterans Auditorium 765,000
16	Pastore Center Hospital Buildings Asset Protection 500,000
17	Pastore Campus Infrastructure 11,050,000
18	Community Facilities Asset Protection 450,000
19	Zambarano LTAC Hospital 1,177,542
20	Total – General 112,284,382
21	Debt Service Payments
22	General Revenues 153,991,095
23	Out of the general revenue appropriations for debt service, the General Treasurer is
24	authorized to make payments for the I-195 Redevelopment District Commission loan up to the
25	maximum debt service due in accordance with the loan agreement.
26	Other Funds
27	Transportation Debt Service 40,548,738
28	Investment Receipts – Bond Funds 100,000
29	Total - Debt Service Payments 194,639,833
30	Energy Resources
31	Federal Funds 981,791
32	Federal Funds- State Fiscal Recovery Fund
33	Electric Heat Pump Grant Program 4,900,500
34	Restricted Receipts 20,179,659
	LC004149 - Page 5 of 319
1	Total – Energy Resources 26,061,950
2	Rhode Island Health Benefits Exchange
3	General Revenues 2,820,336
4	Federal Funds 12,392,493
5	Federal Funds- State Fiscal Recovery Fund
6	Auto-Enrollment Program 339,079
7	Eligibility Extension Compliance 125,618
8	Restricted Receipts 15,010,294
9	Total – Rhode Island Health Benefits Exchange 30,687,820
10	Office of Diversity, Equity & Opportunity
11	General Revenues 1,508,606
12	Other Funds 119,807
13	Total – Office of Diversity, Equity & Opportunity 1,628,413
14	Capital Asset Management and Maintenance
15	General Revenues 9,810,315
16	Statewide Personnel and Operations
17	General Revenues 15,350,000
18	Grand Total – Administration 674,988,778
19	Business Regulation
20	Central Management
21	General Revenues 3,801,190
22	Federal Funds (37)
23	Federal Funds- State Fiscal Recovery Fund
24	Blockchain Digital Identity 1,500,000
25	Total - Central Management 5,301,153
26	Banking Regulation
27	General Revenues 1,942,687
28	Restricted Receipts 63,000
29	Total – Banking Regulation 2,005,687
30	Securities Regulation
31	General Revenues 863,630
32	Restricted Receipts 15,000
33	Total – Securities Regulation 878,630
34	Insurance Regulation
	LC004149 - Page 6 of 319
1	General Revenues 4,419,316
2	Restricted Receipts 2,041,662
3	Total – Insurance Regulation 6,460,978
4	Office of the Health Insurance Commissioner
5	General Revenues 1,752,447
6	Federal Funds 372,887
7	Federal Funds- State Fiscal Recovery Fund
8	Health Spending Accountability and Transparency Program 500,000
9	Restricted Receipts 532,817
10	Total – Office of the Health Insurance Commissioner 3,158,151
11	Board of Accountancy
12	General Revenues 5,490
13	Commercial Licensing and Gaming and Athletics Licensing
14	General Revenues 1,167,550
15	Restricted Receipts 914,932
16	Total – Commercial Licensing and Gaming and Athletics Licensing 2,082,482
17	Building, Design and Fire Professionals
18	General Revenues 8,996,699
19	Federal Funds 818,300
20	Restricted Receipts 2,950,455
21	Other Funds
22	Quonset Development Corporation 69,727
23	Rhode Island Capital Plan Funds
24	Fire Academy 150,000
25	Total – Building, Design and Fire Professionals 12,985,181
26	Office of Cannabis Regulation
27	Restricted Receipts 5,623,590
28	Grand Total – Business Regulation 38,501,342
29	Executive Office of Commerce
30	Central Management
31	General Revenues 2,356,175
32	Housing and Community Development
33	General Revenues 1,642,433
34	Federal Funds 16,849,699
	LC004149 - Page 7 of 319
1	Federal Funds- State Fiscal Recovery Fund
2	Development of Affordable Housing 20,000,000
3	Homelessness Assistance Program 7,000,000
4	Site Acquisition 3,000,000
5	Down Payment Assistance 15,000,000
6	Workforce Housing 12,000,000
7	Affordable Housing Predevelopment Program 2,500,000
8	Home Repair and Community Revitalization 15,000,000
9	Statewide Housing Plan 2,000,000
10	Homelessness Infrastructure 5,000,000
11	Restricted Receipts 7,664,150
12	Total – Housing and Community Development 107,656,282
13	Quasi–Public Appropriations
14	General Revenues
15	Rhode Island Commerce Corporation 7,947,778
16	Airport Impact Aid 1,010,036
17	Sixty percent (60%) of the first $1,000,000 appropriated for airport impact aid shall be
18	distributed to each airport serving more than 1,000,000 passengers based upon its percentage of the
19	total passengers served by all airports serving more than 1,000,000 passengers. Forty percent (40%)
20	of the first $1,000,000 shall be distributed based on the share of landings during calendar year 2022
21	at North Central Airport, Newport-Middletown Airport, Block Island Airport, Quonset Airport,
22	T.F. Green Airport and Westerly Airport, respectively. The Rhode Island Commerce Corporation
23	shall make an impact payment to the towns or cities in which the airport is located based on this
24	calculation. Each community upon which any part of the above airports is located shall receive at
25	least $25,000.
26	STAC Research Alliance 900,000
27	Innovative Matching Grants/Internships 1,000,000
28	I-195 Redevelopment District Commission 961,000
29	Polaris Manufacturing Grant 350,000
30	East Providence Waterfront Commission 50,000
31	Urban Ventures 140,000
32	Chafee Center at Bryant 476,200
33	Quonset Development Corporation 1,200,000
34	Federal Funds- State Fiscal Recovery Fund
	LC004149 - Page 8 of 319
1	Port of Davisville 6,000,000
2	Other Funds
3	Rhode Island Capital Plan Funds
4	I-195 Redevelopment District Commission 805,000
5	Quonset Point Davisville Pier 3,100,000
6	Total – Quasi–Public Appropriations 23,940,014
7	Economic Development Initiatives Fund
8	General Revenues
9	Innovation Initiative 1,000,000
10	Rebuild RI Tax Credit Fund 13,500,000
11	Small Business Promotion 300,000
12	Small Business Assistance 650,000
13	Federal Funds 20,000,000
14	Federal Funds- State Fiscal Recovery Fund
15	Assistance to Impacted Industries 15,500,000
16	Total – Economic Development Initiatives Fund 50,950,000
17	Commerce Programs
18	General Revenues
19	Wavemaker Fellowship 2,400,000
20	Air Service Development Fund 2,250,000
21	Federal Funds- State Fiscal Recovery Fund
22	OHCD Predevelopment and Capacity Building 500,000
23	Small Business Financial and Technical Assistance 13,000,000
24	Minority Business Accelerator 1,500,000
25	Blue Economy Investments 10,000,000
26	Bioscience Investments 5,000,000
27	Small Business Access to Capital 20,000,000
28	South Quay Marine Terminal 12,000,000
29	Main Streets Revitalization 5,000,000
30	Federal Funds- Capital Projects Fund
31	Broadband 15,383,000
32	Total – Commerce Programs 87,033,000
33	Grand Total – Executive Office of Commerce 271,935,471
34	Labor and Training
	LC004149 - Page 9 of 319
1	Central Management
2	General Revenues 1,065,747
3	Restricted Receipts 379,215
4	Total – Central Management 1,444,962
5	Workforce Development Services
6	General Revenues 903,105
7	Federal Funds 19,464,609
8	Other Funds 8,026
9	Total – Workforce Development Services 20,375,740
10	Workforce Regulation and Safety
11	General Revenues 4,240,619
12	Income Support
13	General Revenues 3,644,977
14	Federal Funds 57,711,996
15	Federal Funds- State Fiscal Recovery Fund
16	Unemployment Insurance Trust Fund Contribution 30,000,000
17	Restricted Receipts 2,076,599
18	Other Funds
19	Temporary Disability Insurance Fund 215,049,696
20	Employment Security Fund 177,075,000
21	Total – Income Support 485,558,268
22	Injured Workers Services
23	Restricted Receipts 11,403,127
24	Labor Relations Board
25	General Revenues 452,822
26	Governor’s Workforce Board
27	General Revenues 6,050,000
28	Provided that $600,000 of these funds shall be used for enhanced training for direct care
29	and support services staff to improve resident quality of care and address the changing health care
30	needs of nursing facility residents due to higher acuity and increased cognitive impairments
31	pursuant to Rhode Island General Laws, Section 23-17.5-36.
32	Federal Funds- State Fiscal Recovery Fund
33	Enhanced Real Jobs 10,000,000
34	Restricted Receipts 18,443,377
	LC004149 - Page 10 of 319
1	Total – Governor’s Workforce Board 34,493,377
2	Grand Total – Labor and Training 557,968,915
3	Department of Revenue
4	Director of Revenue
5	General Revenues 2,257,475
6	Office of Revenue Analysis
7	General Revenues 970,638
8	Lottery Division
9	Other Funds 435,992,155
10	Rhode Island Capital Plan Funds
11	Lottery Building Enhancements 850,000
12	Total - Lottery Division 436,842,155
13	Municipal Finance
14	General Revenues 1,738,044
15	Federal Funds 131,957,594
16	Total – Municipal Finance 133,695,638
17	Taxation
18	General Revenues 34,243,050
19	Federal Funds- State Fiscal Recovery Fund
20	Tax Modernization 750,000
21	Restricted Receipts 2,106,890
22	Other Funds
23	Motor Fuel Tax Evasion 155,000
24	Total – Taxation 37,254,940
25	Registry of Motor Vehicles
26	General Revenues 34,802,460
27	Federal Funds 220,000
28	Restricted Receipts 3,494,403
29	Total – Registry of Motor Vehicles 38,516,863
30	State Aid
31	General Revenues
32	Distressed Communities Relief Fund 12,384,458
33	Payment in Lieu of Tax Exempt Properties 46,089,504
34	Motor Vehicle Excise Tax Payments 166,594,596
	LC004149 - Page 11 of 319
1	Property Revaluation Program 414,947
2	Restricted Receipts 995,120
3	Total – State Aid 226,478,625
4	Collections
5	General Revenues 887,668
6	Grand Total – Revenue 876,904,002
7	Legislature
8	General Revenues 48,542,952
9	Restricted Receipts 1,919,241
10	Grand Total – Legislature 50,462,193
11	Lieutenant Governor
12	General Revenues 1,353,568
13	Secretary of State
14	Administration
15	General Revenues 3,909,383
16	Corporations
17	General Revenues 2,687,784
18	State Archives
19	General Revenues 178,651
20	Restricted Receipts 520,197
21	Total – State Archives 698,848
22	Elections and Civics
23	General Revenues 3,439,462
24	Federal Funds 1,621,565
25	Other Funds
26	Rhode Island Capital Plan Funds
27	Election Equipment 170,000
28	Total – Elections and Civics 5,231,027
29	State Library
30	General Revenues 825,475
31	Provided that $125,000 be allocated to support the Rhode Island Historical Society
32	pursuant to Rhode Island General Law, Section 29-2-1 and $18,000 be allocated to support the
33	Newport Historical Society, pursuant to Rhode Island General Law, Section 29-2-2.
34	Office of Public Information
	LC004149 - Page 12 of 319
1	General Revenues 686,260
2	Receipted Receipts 25,000
3	Total – Office of Public Information 711,260
4	Grand Total – Secretary of State 14,063,777
5	General Treasurer
6	Treasury
7	General Revenues 2,709,016
8	Federal Funds 350,752
9	Other Funds
10	Temporary Disability Insurance Fund 289,491
11	Tuition Savings Program – Administration 404,401
12	Total –Treasury 3,753,660
13	State Retirement System
14	Restricted Receipts
15	Admin Expenses – State Retirement System 12,464,878
16	Retirement – Treasury Investment Operations 2,000,963
17	Defined Contribution – Administration 314,124
18	Total – State Retirement System 14,779,965
19	Unclaimed Property
20	Restricted Receipts 29,039,718
21	Crime Victim Compensation Program
22	General Revenues 849,616
23	Federal Funds 422,493
24	Restricted Receipts 555,000
25	Total – Crime Victim Compensation Program 1,827,109
26	Grand Total – General Treasurer 49,400,452
27	Board of Elections
28	General Revenues 6,126,861
29	Rhode Island Ethics Commission
30	General Revenues 2,029,145
31	Office of Governor
32	General Revenues
33	General Revenues 7,002,280
34	Contingency Fund 150,000
	LC004149 - Page 13 of 319
1	Grand Total – Office of Governor 7,152,280
2	Commission for Human Rights
3	General Revenues 1,632,904
4	Federal Funds 408,411
5	Grand Total – Commission for Human Rights 2,041,315
6	Public Utilities Commission
7	Federal Funds 582,689
8	Restricted Receipts 12,837,076
9	Grand Total – Public Utilities Commission 13,419,765
10	Office of Health and Human Services
11	Central Management
12	General Revenues 42,221,694
13	Federal Funds 132,402,412
14	Federal Funds- State Fiscal Recovery Fund
15	Pediatric Recovery 7,500,000
16	Early Intervention Recovery 5,500,000
17	Eligibility Extension Compliance 56,722
18	Certified Community Behavioral Health Clinics 28,100,000
19	9-8-8 Hotline 1,875,000
20	Restricted Receipts 14,401,156
21	Total – Central Management 232,056,984
22	Medical Assistance
23	General Revenues
24	Managed Care 382,344,923
25	Hospitals 98,302,406
26	Of the general revenue funding, $2.0 million shall be provided for Graduate Medical
27	Education programs of which $1.0 million is for hospitals designated as a Level I Trauma Center
28	and $1.0 million is for hospitals providing Neonatal Intensive Care Unit level of care.
29	Nursing Facilities 140,848,657
30	Home and Community Based Services 44,861,679
31	Other Services 133,013,828
32	Pharmacy 87,032,570
33	Rhody Health 234,553,510
34	Federal Funds
	LC004149 - Page 14 of 319
1	Managed Care 488,134,078
2	Hospitals 121,357,824
3	Nursing Facilities 166,614,030
4	Home and Community Based Services 53,068,203
5	Other Services 726,255,819
6	Pharmacy (432,570)
7	Rhody Health 275,637,516
8	Other Programs 62,090,457
9	Restricted Receipts 39,576,847
10	Total – Medical Assistance 3,053,259,777
11	Grand Total – Office of Health and Human Services 3,285,316,761
12	Children, Youth, and Families
13	Central Management
14	General Revenues 14,085,829
15	The director of the department of children, youth and families shall provide to the speaker
16	of the house and president of the senate at least every sixty (60) days beginning September 1, 2021,
17	a report on its progress implementing the accreditation plan filed in accordance with Rhode Island
18	General Law, Section 42-72-5.3 and any projected changes needed to effectuate that plan. The
19	report shall, at minimum, provide data regarding recruitment and retention efforts including
20	attaining and maintaining a diverse workforce, documentation of newly filled and vacated
21	positions, and progress towards reducing worker caseloads.
22	Federal Funds 4,302,426
23	Federal Funds- State Fiscal Recovery Fund
24	Foster Home Lead Abatement & Fire Safety 1,500,000
25	Other Funds
26	Rhode Island Capital Plan Funds
27	DCYF Headquarters 250,000
28	DCYF Transitional Housing 500,000
29	Total – Central Management 20,638,255
30	Children's Behavioral Health Services
31	General Revenues 8,543,535
32	Federal Funds 8,833,069
33	Federal Funds- State Fiscal Recovery Fund
34	Psychiatric Residential Treatment Facility 6,000,000
	LC004149 - Page 15 of 319
1	Total – Children's Behavioral Health Services 23,376,604
2	Juvenile Correctional Services
3	General Revenues 22,098,188
4	Federal Funds 416,972
5	Restricted Receipts 317,386
6	Other Funds
7	Rhode Island Capital Plan Funds
8	Training School Asset Protection 250,000
9	Total – Juvenile Correctional Services 23,082,546
10	Child Welfare
11	General Revenues 155,441,971
12	Federal Funds 71,268,481
13	Restricted Receipts 1,463,053
14	Total – Child Welfare 228,173,505
15	Higher Education Incentive Grants
16	General Revenues 200,000
17	Grand Total – Children, Youth, and Families 295,470,910
18	Health
19	Central Management
20	General Revenues 2,965,099
21	Federal Funds 4,322,005
22	Restricted Receipts 10,780,010
23	Provided that the disbursement of any indirect cost recoveries on federal grants budgeted
24	in this line item that are derived from grants authorized under The Coronavirus Preparedness and
25	Response Supplemental Appropriations Act (P.L. 116-123); The Families First Coronavirus
26	Response Act (P.L. 116-127); The Coronavirus Aid, Relief, and Economic Security Act (P.L. 116-
27	136); The Paycheck Protection Program and Health Care Enhancement Act (P.L. 116-139); the
28	Consolidated Appropriations Act, 2021 (P.L. 116-260); and the American Rescue Plan Act of 2021
29	(P.L. 117-2), are hereby subject to the review and prior approval of the Director of Management
30	and Budget. No obligation or expenditure of these funds shall take place without such approval.
31	Total – Central Management 18,067,114
32	Community Health and Equity
33	General Revenues 1,588,431
34	Federal Funds 75,864,234
	LC004149 - Page 16 of 319
1	Restricted Receipts 41,511,977
2	Total – Community Health and Equity 118,964,642
3	Environmental Health
4	General Revenues 5,968,762
5	Federal Funds 8,549,060
6	Restricted Receipts 967,543
7	Total – Environmental Health 15,485,365
8	Health Laboratories and Medical Examiner
9	General Revenues 10,980,589
10	Federal Funds 2,760,974
11	Other Funds
12	Rhode Island Capital Plan Funds
13	Health Laboratories & Medical Examiner Equipment 400,000
14	Total – Health Laboratories and Medical Examiner 14,141,563
15	Customer Services
16	General Revenues 8,198,687
17	Federal Funds 6,369,584
18	Restricted Receipts 2,790,691
19	Total – Customer Services 17,358,962
20	Policy, Information and Communications
21	General Revenues 958,580
22	Federal Funds 2,876,367
23	Restricted Receipts 1,266,247
24	Total – Policy, Information and Communications 5,101,194
25	Preparedness, Response, Infectious Disease & Emergency Services
26	General Revenues 2,092,672
27	Federal Funds 19,551,542
28	Total – Preparedness, Response, Infectious Disease & Emergency Services 21,644,214
29	COVID-19
30	Federal Funds 162,225,635
31	Grand Total - Health 372,988,689
32	Human Services
33	Central Management
34	General Revenues 5,436,208
	LC004149 - Page 17 of 319
1	Of this amount, $400,000 is to support the Domestic Violence Prevention Fund to provide
2	direct services through the Coalition Against Domestic Violence, $350,000 to support Project
3	Reach activities provided by the RI Alliance of Boys and Girls Clubs, $267,000 is for outreach and
4	supportive services through Day One, $450,000 is for food collection and distribution through the
5	Rhode Island Community Food Bank, $500,000 for services provided to the homeless at Crossroads
6	Rhode Island, $600,000 for the Community Action Fund, $250,000 is for the Institute for the Study
7	and Practice of Nonviolence’s Reduction Strategy, $50,000 is to support services provided to the
8	immigrant and refugee population through Higher Ground International, and $50,000 is for services
9	provided to refugees through the Refugee Dream Center.
10	Federal Funds 5,425,851
11	Restricted Receipts 300,000
12	Total – Central Management 11,162,059
13	Child Support Enforcement
14	General Revenues 3,678,142
15	Federal Funds 8,773,784
16	Restricted Receipts 3,575,448
17	Total – Child Support Enforcement 16,027,374
18	Individual and Family Support
19	General Revenues 39,250,009
20	Federal Funds 119,508,574
21	Federal Funds- State Fiscal Recovery Fund
22	Child Care Support 21,283,000
23	Eligibility Extension Compliance 36,182
24	RI Bridges Mobile Access and Childcare Tracking 2,400,000
25	Restricted Receipts 250,255
26	Other Funds
27	Rhode Island Capital Plan Funds
28	Blind Vending Facilities 165,000
29	Total – Individual and Family Support 182,893,020
30	Office of Veterans Services
31	General Revenues 30,304,208
32	Of this amount, $200,000 is to provide support services through Veterans’ organizations.
33	Federal Funds 13,320,230
34	Federal Funds- State Fiscal Recovery Fund
	LC004149 - Page 18 of 319
1	Emergency Staffing RIVH 95,500
2	Restricted Receipts 759,968
3	Other Funds
4	Rhode Island Capital Plan Funds
5	Veterans Home Asset Protection 300,000
6	Veterans Memorial Cemetery Asset Protection 200,000
7	Total – Office of Veterans Services 44,979,906
8	Health Care Eligibility
9	General Revenues 8,375,256
10	Federal Funds 13,810,817
11	Total – Health Care Eligibility 22,186,073
12	Supplemental Security Income Program
13	General Revenues 18,527,352
14	Rhode Island Works
15	General Revenues 8,798,583
16	Federal Funds 103,597,843
17	Total – Rhode Island Works 112,396,426
18	Other Programs
19	General Revenues 788,244
20	Of this appropriation, $90,000 shall be used for hardship contingency payments.
21	Federal Funds 435,166,342
22	Restricted Receipts 8,000
23	Total – Other Programs 435,962,586
24	Office of Healthy Aging
25	General Revenues 12,781,431
26	Of this amount, $325,000 is to provide elder services, including respite, through the
27	Diocese of Providence, $40,000 is for ombudsman services provided by the Alliance for Long Term
28	Care in accordance with Rhode Island General Laws, Chapter 42-66.7, $85,000 is for security for
29	housing for the elderly in accordance with Rhode Island General Law, Section 42-66.1-3, and
30	$1,000,000 is for Senior Services Support and $580,000 is for elderly nutrition, of which $530,000
31	is for Meals on Wheels.
32	Federal Funds 21,108,383
33	Restricted Receipts 61,000
34	Other Funds
	LC004149 - Page 19 of 319
1	Intermodal Surface Transportation Fund 4,385,711
2	Total – Office of Healthy Aging 38,336,525
3	Grand Total – Human Services 882,471,321
4	Behavioral Healthcare, Developmental Disabilities, and Hospitals
5	Central Management
6	General Revenues 4,900,015
7	Federal Funds 609,732
8	Total – Central Management 5,509,747
9	Hospital and Community System Support
10	General Revenues 2,791,946
11	Federal Funds 796,646
12	Restricted Receipts 261,029
13	Total – Hospital and Community System Support 3,849,621
14	Services for the Developmentally Disabled
15	General Revenues 184,095,099
16	Provided that of this general revenue funding, $16,060,471 shall be expended on certain
17	community-based department of behavioral healthcare, developmental disabilities and hospitals
18	(BHDDH) developmental disability private provider and self-directed consumer direct care service
19	worker raises and associated payroll cost as authorized by BHDDH. Any increases for direct
20	support staff and residential or other community-based setting must first receive the approval of
21	BHDDH.
22	Provided further that of this general revenue funding, $4,748,600 shall be expended on a
23	Transformation Fund to be used for integrated day activities and supported employment services
24	for individuals with intellectual and developmental disabilities, of which $2,000,000 shall be
25	expended specifically on those who self-direct for creation of regional service advisement models
26	and pool of substitute staff. An additional $458,100 shall be expended on technology acquisition
27	for individuals within the developmental disabilities system. For these two designations of general
28	revenue funding, all unexpended or unencumbered balances at the end of the fiscal year shall be
29	reappropriated to the ensuing fiscal year and made immediately available for the same purpose.
30	Federal Funds 206,170,858
31	Provided that of this federal funding, $18,998,405 shall be expended on certain
32	community-based department of behavioral healthcare, developmental disabilities and hospitals
33	(BHDDH) developmental disability private provider and self-directed consumer direct care service
34	worker raises and associated payroll cost as authorized by BHDDH. Any increases for direct
	LC004149 - Page 20 of 319
1	support staff and residential or other community-based setting must first receive the approval of
2	BHDDH.
3	Provided further that of this federal funding, $3,251,400 shall be expended on a
4	Transformation Fund to be used for integrated day activities and supported employment services
5	for individuals with intellectual and developmental disabilities. An additional $541,900 shall be
6	expended on technology acquisition for individuals within the developmental disabilities system.
7	For these two designations of federal funding, all unexpended or unencumbered balances at the end
8	of the fiscal year shall be reappropriated to the ensuing fiscal year and made immediately available
9	for the same purpose.
10	Restricted Receipts 1,275,700
11	Other Funds
12	Rhode Island Capital Plan Funds
13	DD Residential Support 100,000
14	Total – Services for the Developmentally Disabled 391,641,657
15	Behavioral Healthcare Services
16	General Revenues 2,969,495
17	Federal Funds 45,702,498
18	Federal Funds- State Fiscal Recovery Fund
19	Crisis Intervention Trainings 550,000
20	Restricted Receipts 2,538,789
21	Total – Behavioral Healthcare Services 51,760,782
22	Hospital and Community Rehabilitative Services
23	General Revenues 80,422,430
24	Federal Funds 31,993,975
25	Federal Funds- State Fiscal Recovery Fund
26	Emergency Staffing ESH 194,557
27	Emergency Staffing ESH Zambrano 167,775
28	Restricted Receipts 25,000
29	Other Funds
30	Rhode Island Capital Plan Funds
31	Hospital Equipment 300,000
32	Total - Hospital and Community Rehabilitative Services 113,103,737
33	State of RI Psychiatric Hospital
34	General Revenue 30,504,895
	LC004149 - Page 21 of 319
1	Federal Funds- State Fiscal Recovery Fund
2	Emergency Staffing ESH Psychiatric Hospital 92,168
3	Total- State of RI Psychiatric Hospital 30,597,063
4	Grand Total – Behavioral Healthcare,
5	Developmental Disabilities, and Hospitals 596,462,607
6	Office of the Child Advocate
7	General Revenues 1,152,930
8	Federal Funds 7,538
9	Grand Total – Office of the Child Advocate 1,160,468
10	Commission on the Deaf and Hard of Hearing
11	General Revenues 716,876
12	Restricted Receipts 100,000
13	Grand Total – Comm. On Deaf and Hard-of-Hearing 816,876
14	Governor’s Commission on Disabilities
15	General Revenues
16	General Revenues 655,746
17	Livable Home Modification Grant Program 485,743
18	Provided that this will be used for home modification and accessibility enhancements to
19	construct, retrofit, and/or renovate residences to allow individuals to remain in community settings.
20	This will be in consultation with the Executive Office of Health and Human Services. All
21	unexpended or unencumbered balances, at the end of the fiscal year, shall be reappropriated to the
22	ensuing fiscal year, and made immediately available for the same purpose.
23	Federal Funds 378,658
24	Restricted Receipts 84,235
25	Grand Total – Governor’s Commission on Disabilities 1,604,382
26	Office of the Mental Health Advocate
27	General Revenues 738,882
28	Federal Funds- State Fiscal Recovery Fund
29	Mental Health Court Pilot Program 234,447
30	Grand Total – Office of the Mental Health Advocate 973,329
31	Elementary and Secondary Education
32	Administration of the Comprehensive Education Strategy
33	General Revenues 26,082,442
	LC004149 - Page 22 of 319
1	Provided that $90,000 be allocated to support the hospital school at Hasbro Children’s
2	Hospital pursuant to Rhode Island General Law, Section 16-7-20 and that $395,000 be allocated to
3	support child opportunity zones through agreements with the Department of Elementary and
4	Secondary Education to strengthen education, health and social services for students and their
5	families as a strategy to accelerate student achievement.
6	Federal Funds 279,812,082
7	Provided that $684,000 from the Department’s administrative share of Individuals with
8	Disabilities Education Act funds be allocated to the Paul V. Sherlock Center on Disabilities to
9	support the Rhode Island Vision Education and Services Program.
10	Federal Funds- State Fiscal Recovery Fund
11	Municipal Learning Centers 5,000,000
12	Restricted Receipts
13	Restricted Receipts 2,271,670
14	HRIC Adult Education Grants 3,500,000
15	Total – Admin. of the Comprehensive Ed. Strategy 316,666,194
16	Davies Career and Technical School
17	General Revenues 15,414,314
18	Federal Funds 1,872,920
19	Restricted Receipts 4,525,049
20	Other Funds
21	Rhode Island Capital Plan Funds
22	Davies School HVAC 150,000
23	Davies School Asset Protection 500,000
24	Davies School Healthcare Classroom Renovations 4,500,000
25	Total – Davies Career and Technical School 26,962,283
26	RI School for the Deaf
27	General Revenues 7,940,337
28	Federal Funds 420,053
29	Restricted Receipts 605,166
30	Other Funds
31	School for the Deaf Transformation Grants 59,000
32	Rhode Island Capital Plan Funds
33	School for the Deaf Asset Protection 100,000
34	Total – RI School for the Deaf 9,124,556
	LC004149 - Page 23 of 319
1	Metropolitan Career and Technical School
2	General Revenues 9,479,298
3	Federal Funds 2,625,711
4	Other Funds
5	Rhode Island Capital Plan Funds
6	MET School Asset Protection 800,000
7	Total – Metropolitan Career and Technical School 12,905,009
8	Education Aid
9	General Revenues 1,045,656,782
10	Provided that the criteria for the allocation of early childhood funds shall prioritize
11	prekindergarten seats and classrooms for four-year-olds whose family income is at or below one
12	hundred eighty-five percent (185%) of federal poverty guidelines and who reside in communities
13	with higher concentrations of low performing schools.
14	Provided further that $48,325,314 shall be allocated to ensure that the total amount of
15	funds received by any local education agency pursuant to Section 16-7.2-3(a) of the Rhode
16	Island General Laws during fiscal year 2023 shall in no event be less than the total received
17	during fiscal year 2022, and any adjustment to the amount of such funds received during fiscal
18	year 2023 necessary to enable a local education agency to receive at least the total received during
19	fiscal year 2022 shall be drawn from a designated account established for that purpose.
20	Federal Funds 167,000,000
21	Restricted Receipts 36,719,278
22	Other Funds
23	Permanent School Fund 300,000
24	Total – Education Aid 1,249,676,060
25	Central Falls School District
26	General Revenues 48,702,745
27	Provided that $1,348,583 shall be allocated to ensure that the total amount of funds
28	received by any local education agency pursuant to Section 16-7.2-3(a) of the Rhode Island
29	General Laws during fiscal year 2023 shall in no event be less than the total received during
30	fiscal year 2022, and any adjustment to the amount of such funds received during fiscal year 2023
31	necessary to enable a local education agency to receive at least the total received during fiscal year
32	2022 shall be drawn from a designated account established for that purpose.
33	Federal Funds 12,845,329
34	Total – Central Falls School District 61,548,074
	LC004149 - Page 24 of 319
1	School Construction Aid
2	General Revenues
3	School Housing Aid 88,536,507
4	Teachers' Retirement
5	General Revenues 130,855,471
6	Grand Total – Elementary and Secondary Education 1,896,274,154
7	Public Higher Education
8	Office of Postsecondary Commissioner
9	General Revenues 18,167,940
10	Provided that $355,000 shall be allocated to the Rhode Island College Crusade pursuant to
11	the Rhode Island General Law, Section 16-70-5 and that $75,000 shall be allocated to Best Buddies
12	Rhode Island to support its programs for children with developmental and intellectual disabilities.
13	It is also provided that $7,670,543 shall be allocated to the Rhode Island Promise Scholarship
14	program and $147,000 shall be used to support Rhode Island’s membership in the New England
15	Board of Higher Education.
16	Federal Funds
17	Federal Funds 3,604,422
18	Guaranty Agency Administration 413,917
19	Guaranty Agency Operating Fund - Scholarships & Grants 4,000,000
20	Federal Funds- State Fiscal Recovery Fund
21	Higher Education Academies 6,504,000
22	Restricted Receipts 4,010,406
23	Other Funds
24	Tuition Savings Program – Dual Enrollment 2,300,000
25	Tuition Savings Program - Scholarships and Grants 5,595,000
26	Nursing Education Center – Operating 2,891,398
27	Total – Office of Postsecondary Commissioner 47,487,083
28	University of Rhode Island
29	General Revenues
30	General Revenues 91,170,252
31	Provided that in order to leverage federal funding and support economic development,
32	$700,000 shall be allocated to the Small Business Development Center and that $50,000 shall be
33	allocated to Special Olympics Rhode Island to support its mission of providing athletic
34	opportunities for individuals with intellectual and developmental disabilities.
	LC004149 - Page 25 of 319
1	Debt Service 29,049,378
2	RI State Forensics Laboratory 1,516,015
3	Other Funds
4	University and College Funds 707,626,466
5	Debt – Dining Services 999,983
6	Debt – Education and General 5,402,219
7	Debt – Health Services 991,794
8	Debt – Housing Loan Funds 12,965,597
9	Debt – Memorial Union 2,053,787
10	Debt – Ryan Center 2,375,073
11	Debt – Parking Authority 1,294,923
12	URI Restricted Debt Service - Energy Conservation 546,271
13	URI Debt Service - Energy Conservation 2,071,504
14	Rhode Island Capital Plan Funds
15	Asset Protection 11,350,000
16	Mechanical, Electric, and Plumbing Improvements 4,694,533
17	Fire Protection Academic Buildings 1,706,802
18	Total – University of Rhode Island 875,814,597
19	Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or
20	unencumbered balances as of June 30, 2023 relating to the University of Rhode Island are hereby
21	reappropriated to fiscal year 2024.
22	Rhode Island College
23	General Revenues
24	General Revenues 61,236,320
25	Debt Service 6,002,565
26	Other Funds
27	University and College Funds 108,584,424
28	Debt – Education and General 879,474
29	Debt – Housing 371,105
30	Debt – Student Center and Dining 155,000
31	Debt – Student Union 208,800
32	Debt – G.O. Debt Service 1,640,931
33	Debt – Energy Conservation 699,575
34	Rhode Island Capital Plan Funds
	LC004149 - Page 26 of 319
1	Asset Protection 5,518,000
2	Infrastructure Modernization 4,900,000
3	Total – Rhode Island College 190,196,194
4	Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or
5	unencumbered balances as of June 30, 2023 relating to Rhode Island College are hereby
6	reappropriated to fiscal year 2024.
7	Community College of Rhode Island
8	General Revenues
9	General Revenues 55,121,637
10	Debt Service 1,405,299
11	Federal Funds 1,818,835
12	Restricted Receipts 804,787
13	Other Funds
14	University and College Funds 121,625,011
15	Rhode Island Capital Plan Funds
16	Asset Protection 3,246,000
17	Knight Campus Renewal 1,390,000
18	Data, Cabling, and Power Infrastructure 3,300,000
19	Flanagan Campus Renovations 2,000,000
20	CCRI Renovation and Modernization Phase I 5,000,000
21	Total – Community College of RI 195,711,569
22	Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or
23	unencumbered balances as of June 30, 2023 relating to the Community College of Rhode Island
24	are hereby reappropriated to fiscal year 2024.
25	Grand Total – Public Higher Education 1,309,209,443
26	RI State Council on the Arts
27	General Revenues
28	Operating Support 969,088
29	Grants 1,165,000
30	Provided that $375,000 be provided to support the operational costs of WaterFire
31	Providence art installations.
32	Federal Funds 1,324,677
33	Restricted Receipts 15,000
34	Other Funds
	LC004149 - Page 27 of 319
1	Art for Public Facilities 585,000
2	Grand Total – RI State Council on the Arts 4,058,765
3	RI Atomic Energy Commission
4	General Revenues 1,146,763
5	Restricted Receipts 25,036
6	Other Funds
7	URI Sponsored Research 314,597
8	Rhode Island Capital Plan Funds
9	Asset Protection 50,000
10	Grand Total – RI Atomic Energy Commission 1,536,396
11	RI Historical Preservation and Heritage Commission
12	General Revenues 1,572,452
13	Provided that $30,000 support the operational costs of the Fort Adams Trust’s restoration
14	activities.
15	Federal Funds 759,283
16	Restricted Receipts 424,100
17	Other Funds
18	RIDOT Project Review 156,901
19	Grand Total – RI Historical Preservation and Heritage Comm. 2,912,736
20	Attorney General
21	Criminal
22	General Revenues 19,214,381
23	Federal Funds 2,884,123
24	Federal Funds- State Fiscal Recovery Fund
25	Mental Health Court Pilot Program 204,005
26	Restricted Receipts 603,772
27	Total – Criminal 22,906,281
28	Civil
29	General Revenues 6,558,199
30	Restricted Receipts 1,431,698
31	Total – Civil 7,989,897
32	Bureau of Criminal Identification
33	General Revenues 2,015,572
34	Restricted Receipts 1,187,466
	LC004149 - Page 28 of 319
1	Total – Bureau of Criminal Identification 3,203,038
2	General
3	General Revenues 4,513,811
4	Other Funds
5	Rhode Island Capital Plan Funds
6	Building Renovations and Repairs 1,890,000
7	Total – General 6,403,811
8	Grand Total – Attorney General 40,503,027
9	Corrections
10	Central Management
11	General Revenues 18,618,789
12	Federal Funds- State Fiscal Recovery Fund
13	Wi-Fi and Tech at the ACI 3,100,000
14	Radio System 2,700,000
15	Total- Central Management 24,418,789
16	Parole Board
17	General Revenues 1,438,337
18	Custody and Security
19	General Revenues 132,098,071
20	Federal Funds 1,149,582
21	Total – Custody and Security 133,247,653
22	Institutional Support
23	General Revenues 23,108,898
24	Other Funds
25	Rhode Island Capital Plan Funds
26	Asset Protection 5,125,000
27	Correctional Facilities – Renovations 250,000
28	Total – Institutional Support 28,483,898
29	Institutional Based Rehab/Population Management
30	General Revenues 11,773,097
31	Provided that $1,050,000 be allocated to Crossroads Rhode Island for sex offender
32	discharge planning.
33	Federal Funds 625,118
34	Restricted Receipts 64,600
	LC004149 - Page 29 of 319
1	Total – Institutional Based Rehab/Population Mgt. 12,462,815
2	Healthcare Services
3	General Revenues 27,484,248
4	Restricted Receipts 2,868,614
5	Total – Healthcare Services 30,352,862
6	Community Corrections
7	General Revenues 19,872,087
8	Federal Funds 369,417
9	Restricted Receipts 11,107
10	Total – Community Corrections 20,252,611
11	Grand Total – Corrections 250,656,965
12	Judiciary
13	Supreme Court
14	General Revenues
15	General Revenues 32,238,688
16	Provided however, that no more than $1,302,057 in combined total shall be offset to the
17	Public Defender’s Office, the Attorney General’s Office, the Department of Corrections, the
18	Department of Children, Youth, and Families, and the Department of Public Safety for square-
19	footage occupancy costs in public courthouses and further provided that $230,000 be allocated to
20	the Rhode Island Coalition Against Domestic Violence for the domestic abuse court advocacy
21	project pursuant to Rhode Island General Law, Section 12-29-7 and that $90,000 be allocated to
22	Rhode Island Legal Services, Inc. to provide housing and eviction defense to indigent individuals.
23	Defense of Indigents 5,075,432
24	Federal Funds 338,402
25	Federal Funds- State Fiscal Recovery Fund
26	Mental Health Court Pilot Program 107,900
27	Restricted Receipts 4,051,045
28	Other Funds
29	Rhode Island Capital Plan Funds
30	Garrahy Courtroom Restoration 750,000
31	Judicial Complexes – HVAC 1,000,000
32	Judicial Complexes Asset Protection 1,500,000
33	Judicial Complexes Fan Coil Unit Replacements 750,000
34	Licht Judicial Complex Restoration 750,000
	LC004149 - Page 30 of 319
1	McGrath Judicial Complex 225,000
2	Total - Supreme Court 46,786,467
3	Judicial Tenure and Discipline
4	General Revenues 169,767
5	Superior Court
6	General Revenues 26,708,059
7	Federal Funds 236,617
8	Restricted Receipts 665,000
9	Total – Superior Court 27,609,676
10	Family Court
11	General Revenues 25,131,666
12	Federal Funds 3,374,190
13	Total – Family Court 28,505,856
14	District Court
15	General Revenues 15,215,383
16	Federal Funds 372,592
17	Federal Funds- State Fiscal Recovery Fund
18	Mental Health Court Pilot Program 844,582
19	Restricted Receipts 60,000
20	Total - District Court 16,492,557
21	Traffic Tribunal
22	General Revenues 10,728,771
23	Workers' Compensation Court
24	Restricted Receipts 10,020,945
25	Grand Total – Judiciary 140,314,039
26	Military Staff
27	General Revenues 3,145,133
28	Federal Funds 40,305,712
29	Restricted Receipts
30	RI Military Family Relief Fund 55,000
31	Other Funds
32	Rhode Island Capital Plan Funds
33	Aviation Readiness Center 1,138,272
34	Asset Protection 1,290,000
	LC004149 - Page 31 of 319
1	Quonset Airport Runway Reconstruction 275,000
2	Sun Valley Armory 788,161
3	Grand Total – Military Staff 46,997,278
4	Public Safety
5	Central Management
6	General Revenues 1,437,445
7	Provided that notwithstanding the provisions of section 35-3-15 of the general laws, all
8	unexpended or unencumbered balances as of June 30, 2023, of the general revenue contribution
9	designated for the Statewide Body-worn Camera Program are hereby reappropriated to fiscal year
10	2024.
11	Federal Funds 10,466,521
12	Federal Funds- State Fiscal Recovery Fund
13	Support for Survivors of Domestic Violence 1,000,000
14	Restricted Receipts 186,121
15	Total – Central Management 13,090,087
16	E-911 Emergency Telephone System
17	Restricted Receipts 8,413,240
18	Security Services
19	General Revenues 29,858,676
20	Municipal Police Training Academy
21	General Revenues 281,456
22	Federal Funds 608,963
23	Total – Municipal Police Training Academy 890,419
24	State Police
25	General Revenues 81,801,756
26	Federal Funds 6,177,296
27	Restricted Receipts 1,969,734
28	Other Funds
29	Airport Corporation Assistance 156,943
30	Road Construction Reimbursement 2,687,792
31	Weight and Measurement Reimbursement 407,814
32	Rhode Island Capital Plan Funds
33	DPS Asset Protection 1,000,000
34	Portsmouth Barracks 1,650,000
	LC004149 - Page 32 of 319
1	Southern Barracks 13,000,000
2	Training Academy Upgrades 475,000
3	Statewide Communications System Network 230,929
4	Total–State Police 109,557,264
5	Grand Total – Public Safety 161,809,686
6	Office of Public Defender
7	General Revenues 14,568,485
8	Federal Funds 65,665
9	Grand Total – Office of Public Defender 14,634,150
10	Emergency Management Agency
11	General Revenues 4,038,154
12	Federal Funds 29,462,797
13	Restricted Receipts 457,420
14	Other Funds
15	Rhode Island Capital Plan Funds
16	RI Statewide Communications Network 1,494,400
17	State Emergency Ops Center 524,657
18	RI Statewide Communications Infrastructure 1,134,400
19	Grand Total – Emergency Management Agency 37,111,828
20	Environmental Management
21	Office of the Director
22	General Revenues 8,007,872
23	Of this general revenue amount, $50,000 is appropriated to the Conservation Districts.
24	Federal Funds 65,100
25	Federal Funds- State Fiscal Recovery Fund
26	Permit and Licensing IT 2,825,000
27	Restricted Receipts 4,126,794
28	Total – Office of the Director 15,024,766
29	Natural Resources
30	General Revenues 28,507,514
31	Federal Funds 23,181,039
32	Federal Funds- State Fiscal Recovery Fund
33	Galilee Port Rehabilitation 6,000,000
34	Restricted Receipts 5,699,215
	LC004149 - Page 33 of 319
1	Other Funds
2	DOT Recreational Projects 762,000
3	Blackstone Bike Path Design 1,000,000
4	Rhode Island Capital Plan Funds
5	Blackstone Park Improvements 244,191
6	Dam Repair 824,238
7	Fort Adams Rehabilitation 300,000
8	Port of Galilee Asset Protection 3,348,461
9	Recreation Facility Asset Protection 500,000
10	Recreational Facilities Improvement 3,400,000
11	Natural Resources Office and Visitor's Center 250,000
12	Fish & Wildlife Maintenance Facilities 100,000
13	Total – Natural Resources 74,116,658
14	Environmental Protection
15	General Revenues 15,081,859
16	Federal Funds 11,503,721
17	Restricted Receipts 7,819,654
18	Other Funds
19	Transportation MOU 30,986
20	Total – Environmental Protection 34,436,220
21	Grand Total – Environmental Protection 123,577,644
22	Coastal Resources Management Council
23	General Revenues 3,177,275
24	Federal Funds 1,980,304
25	Restricted Receipts 250,000
26	Other Funds
27	Rhode Island Capital Plan Funds
28	South Coast Restoration Project 1,900,000
29	Pawcatuck Resiliency 50,000
30	Little Narragansett Bay 50,000
31	Grand Total – Coastal Resources Mgmt. Council 7,407,579
32	Transportation
33	Central Management
34	Federal Funds 16,577,046
	LC004149 - Page 34 of 319
1	Other Funds
2	Gasoline Tax 9,118,769
3	Total – Central Management 25,695,815
4	Management and Budget
5	Other Funds
6	Gasoline Tax 3,761,946
7	Infrastructure Engineering
8	Federal Funds 411,719,330
9	Federal Funds- State Fiscal Recovery Fund
10	Pawtucket/Central Falls Bus Hub Passenger Facility 4,000,000
11	Restricted Receipts 5,949,070
12	Other Funds
13	Gasoline Tax 73,520,497
14	Toll Revenue 33,614,329
15	Land Sale Revenue 9,260,141
16	Rhode Island Capital Plan Funds
17	Highway Improvement Program 52,700,000
18	Bike Path Asset Protection 400,000
19	RIPTA - Land and Buildings 12,939,628
20	RIPTA - URI Mobility Hub 250,000
21	RIPTA - Providence High-Capacity Transit Corridor Study 225,000
22	Total - Infrastructure Engineering 604,577,995
23	Infrastructure Maintenance
24	Federal Funds 21,456,198
25	Other Funds
26	Gasoline Tax 22,844,514
27	Rhode Island Highway Maintenance Account 101,611,663
28	Rhode Island Capital Plan Funds
29	Maintenance Capital Equipment Replacement 1,500,000
30	Maintenance Facilities Improvements 500,000
31	Welcome Center 200,000
32	Salt Storage Facilities 1,900,000
33	Train Station Asset Protection 350,000
34	Total – Infrastructure Maintenance 150,362,375
	LC004149 - Page 35 of 319
1	Grand Total – Transportation 784,398,131
2	Statewide Totals
3	General Revenues 4,731,312,148
4	Federal Funds 5,311,039,436
5	Restricted Receipts 432,230,976
6	Other Funds 2,350,432,468
7	Statewide Grand Total 12,825,015,028
8	SECTION 2. Each line appearing in Section 1 of this Article shall constitute an
9	appropriation.
10	SECTION 3. Upon the transfer of any function of a department or agency to another
11	department or agency, the Governor is hereby authorized by means of executive order to transfer
12	or reallocate, in whole or in part, the appropriations and the full-time equivalent limits affected
13	thereby; provided, however, in accordance with Rhode Island General Law, Section 42-6-5, when
14	the duties or administrative functions of government are designated by law to be performed within
15	a particular department or agency, no transfer of duties or functions and no re-allocation, in whole
16	or part, or appropriations and full-time equivalent positions to any other department or agency shall
17	be authorized.
18	SECTION 4. From the appropriation for contingency shall be paid such sums as may be
19	required at the discretion of the Governor to fund expenditures for which appropriations may not
20	exist. Such contingency funds may also be used for expenditures in the several departments and
21	agencies where appropriations are insufficient, or where such requirements are due to unforeseen
22	conditions or are non-recurring items of an unusual nature. Said appropriations may also be used
23	for the payment of bills incurred due to emergencies or to any offense against public peace and
24	property, in accordance with the provisions of Titles 11 and 45 of the General Laws of 1956, as
25	amended. All expenditures and transfers from this account shall be approved by the Governor.
26	SECTION 5. The general assembly authorizes the state controller to establish the internal
27	service accounts shown below, and no other, to finance and account for the operations of state
28	agencies that provide services to other agencies, institutions and other governmental units on a cost
29	reimbursed basis. The purpose of these accounts is to ensure that certain activities are managed in
30	a businesslike manner, promote efficient use of services by making agencies pay the full costs
31	associated with providing the services, and allocate the costs of central administrative services
32	across all fund types, so that federal and other non-general fund programs share in the costs of
33	general government support. The controller is authorized to reimburse these accounts for the cost
	LC004149 - Page 36 of 319
1	of work or services performed for any other department or agency subject to the following
2	expenditure limitations:
3	Account Expenditure Limit
4	State Assessed Fringe Benefit Internal Service Fund 37,370,321
5	Administration Central Utilities Internal Service Fund 27,355,205
6	State Central Mail Internal Service Fund 7,303,550
7	State Telecommunications Internal Service Fund 3,513,931
8	State Automotive Fleet Internal Service Fund 12,869,107
9	Surplus Property Internal Service Fund 3,000
10	Health Insurance Internal Service Fund 272,697,174
11	Other Post-Employment Benefits Fund 63,858,483
12	Capitol Police Internal Service Fund 1,380,836
13	Corrections Central Distribution Center Internal Service Fund 7,524,912
14	Correctional Industries Internal Service Fund 8,472,206
15	Secretary of State Record Center Internal Service Fund 1,143,730
16	Human Resources Internal Service Fund 15,991,654
17	DCAMM Facilities Internal Service Fund 47,011,910
18	Information Technology Internal Service Fund 50,789,409
19	SECTION 6. Legislative Intent - The General Assembly may provide a written "statement
20	of legislative intent" signed by the chairperson of the House Finance Committee and by the
21	chairperson of the Senate Finance Committee to show the intended purpose of the appropriations
22	contained in Section 1 of this Article. The statement of legislative intent shall be kept on file in the
23	House Finance Committee and in the Senate Finance Committee.
24	At least twenty (20) days prior to the issuance of a grant or the release of funds, which
25	grant or funds are listed on the legislative letter of intent, all department, agency and corporation
26	directors, shall notify in writing the chairperson of the House Finance Committee and the
27	chairperson of the Senate Finance Committee of the approximate date when the funds are to be
28	released or granted.
29	SECTION 7. Appropriation of Temporary Disability Insurance Funds -- There is hereby
30	appropriated pursuant to sections 28-39-5 and 28-39-8 of the Rhode Island General Laws all funds
31	required to be disbursed for the benefit payments from the Temporary Disability Insurance Fund
32	and Temporary Disability Insurance Reserve Fund for the fiscal year ending June 30, 2023.
	LC004149 - Page 37 of 319
1	SECTION 8. Appropriation of Employment Security Funds -- There is hereby appropriated
2	pursuant to section 28-42-19 of the Rhode Island General Laws all funds required to be disbursed
3	for benefit payments from the Employment Security Fund for the fiscal year ending June 30, 2023.
4	SECTION 9. Appropriation of Lottery Division Funds -- There is hereby appropriated to
5	the Lottery Division any funds required to be disbursed by the Lottery Division for the purposes of
6	paying commissions or transfers to the prize fund for the fiscal year ending June 30, 2023.
7	SECTION 10. Appropriation of CollegeBoundSaver Funds – There is hereby appropriated
8	to the Office of the General Treasurer designated funds received under the CollegeBoundSaver
9	program for transfer to the Division of Higher Education Assistance within the Office of the
10	Postsecondary Commissioner to support student financial aid for the fiscal year ending June 30,
11	2023.
12	SECTION 11. Departments and agencies listed below may not exceed the number of full-
13	time equivalent (FTE) positions shown below in any pay period. Full-time equivalent positions do
14	not include limited period positions or, seasonal or intermittent positions whose scheduled period
15	of employment does not exceed twenty-six consecutive weeks or whose scheduled hours do not
16	exceed nine hundred and twenty-five (925) hours, excluding overtime, in a one-year period. Nor
17	do they include individuals engaged in training, the completion of which is a prerequisite of
18	employment. Provided, however, that the Governor or designee, Speaker of the House of
19	Representatives or designee, and the President of the Senate or designee may authorize an
20	adjustment to any limitation. Prior to the authorization, the State Budget Officer shall make a
21	detailed written recommendation to the Governor, the Speaker of the House, and the President of
22	the Senate. A copy of the recommendation and authorization to adjust shall be transmitted to the
23	chairman of the House Finance Committee, Senate Finance Committee, the House Fiscal Advisor,
24	and the Senate Fiscal Advisor.
25	State employees whose funding is from non-state general revenue funds that are time
26	limited shall receive limited term appointment with the term limited to the availability of non-state
27	general revenue funding source.
28	FY 2023 FTE POSITION AUTHORIZATION
29	Departments and Agencies Full-Time Equivalent
30	Administration 660.7
31	Provided that no more than 429.5 of the total authorization would be limited to positions
32	that support internal service fund programs.
33	Business Regulation 176.0
34	Executive Office of Commerce 21.0
	LC004149 - Page 38 of 319
1	Labor and Training 461.7
2	Revenue 575.5
3	Legislature 298.5
4	Office of the Lieutenant Governor 8.0
5	Office of the Secretary of State 59.0
6	Office of the General Treasurer 90.0
7	Board of Elections 13.0
8	Rhode Island Ethics Commission 12.0
9	Office of the Governor 45.0
10	Commission for Human Rights 14.0
11	Public Utilities Commission 54.0
12	Office of Health and Human Services 200.0
13	Children, Youth, and Families 702.5
14	Health 535.4
15	Human Services 753.0
16	Office of Veterans Services 263.0
17	Office of Healthy Aging 31.0
18	Behavioral Healthcare, Developmental Disabilities, and Hospitals 1,201.4
19	Office of the Child Advocate 10.0
20	Commission on the Deaf and Hard of Hearing 4.0
21	Governor’s Commission on Disabilities 4.0
22	Office of the Mental Health Advocate 6.0
23	Elementary and Secondary Education 145.1
24	School for the Deaf 60.0
25	Davies Career and Technical School 123.0
26	Office of Postsecondary Commissioner 37.0
27	Provided that 1.0 of the total authorization would be available only for positions that are
28	supported by third-party funds, 11.0 would be available only for positions at the State’s Higher
29	Education Centers located in Woonsocket and Westerly, and 10.0 would be available only for
30	positions at the Nursing Education Center.
31	University of Rhode Island 2,555.0
32	Provided that 357.8 of the total authorization would be available only for positions that are
33	supported by third-party funds.
34	Rhode Island College 949.2
	LC004149 - Page 39 of 319
1	Provided that 76.0 of the total authorization would be available only for positions that are
2	supported by third-party funds.
3	Community College of Rhode Island 849.1
4	Provided that 89.0 of the total authorization would be available only for positions
5	that are supported by third-party funds.
6	Rhode Island State Council on the Arts 9.6
7	RI Atomic Energy Commission 8.6
8	Historical Preservation and Heritage Commission 15.6
9	Office of the Attorney General 249.1
10	Corrections 1,427.0
11	Judicial 733.3
12	Military Staff 93.0
13	Emergency Management Agency 33.0
14	Public Safety 635.2
15	Office of the Public Defender 99.0
16	Environmental Management 410.0
17	Coastal Resources Management Council 31.0
18	Transportation 755.0
19	Total 15,416.5
20	No agency or department may employ contracted employee services where contract
21	employees would work under state employee supervisors without determination of need by the
22	Director of Administration acting upon positive recommendations by the Budget Officer and the
23	Personnel Administrator and 15 days after a public hearing.
24	Nor may any agency or department contract for services replacing work done by state
25	employees at that time without determination of need by the Director of Administration acting upon
26	the positive recommendations of the State Budget Officer and the Personnel Administrator and 30
27	days after a public hearing.
28	SECTION 12. The amounts reflected in this Article include the appropriation of Rhode
29	Island Capital Plan funds for fiscal year 2023 and supersede appropriations provided for FY 2023
30	within Section 12 of Article 1 of Chapter 162 of the P.L. of 2021.
31	The following amounts are hereby appropriated out of any money in the State’s Rhode
32	Island Capital Plan Fund not otherwise appropriated to be expended during the fiscal years ending
33	June 30, 2024, June 30, 2025, June 30, 2026, and June 30, 2027. These amounts supersede
34	appropriations provided within Section 12 of Article 1 of Chapter 162 of the P.L. of 2021.
	LC004149 - Page 40 of 319
1	For the purposes and functions hereinafter mentioned, the State Controller is hereby
2	authorized and directed to draw his or her orders upon the General Treasurer for the payment of
3	such sums and such portions thereof as may be required by him or her upon receipt of properly
4	authenticated vouchers.
5	FY Ending FY Ending FY Ending FY Ending
6	Project 06/30/2024 06/30/2025 06/30/2026 06/30/2027
7	DOA – 560 Jefferson Boulevard 150,000 1,550,000 1,050,000 50,000
8	DOA – Accessibility 1,000,000 1,000,000 1,000,000 1,000,000
9	DOA – Arrigan Center 125,000 75,000 200,000 200,000
10	DOA – Big River Management Area 130,000 250,000 250,000 130,000
11	DOA – Cannon Building 3,725,000 4,125,000 4,025,000 0
12	DOA – Chapin Health Laboratory 425,000 350,000 0 0
13	DOA – Communities Facilities
14	Asset Protection 50,000 50,000 50,000 50,000
15	DOA – Convention Center
16	Authority 1,575,000 800,000 2,500,000 2,500,000
17	DOA – Cranston Street Armory 2,250,000 3,250,000 1,600,000 100,000
18	DOA – Zambarano Buildings and Campus 1,515,000 1,040,000 1,300,000 1,275,000
19	DOA – Developmental Disability
20	Regional Centers 1,700,000 1,000,000 1,000,000 1,200,000
21	DOA – DoIT Enterprise
22	Operations Center 2,050,000 1,150,000 1,050,000 300,000
23	DOA – Dunkin Donuts Center 1,450,000 2,100,000 2,300,000 2,300,000
24	DOA – Energy Efficiency 1,000,000 1,000,000 1,000,000 1,000,000
25	DOA – Environmental Compliance 200,000 200,000 200,000 200,000
26	DOA – Group Homes Asset Protection 1,250,00 1,250,000 1,250,000 1,250,000
27	DOA – Group Homes - Fire Code 325,000 325,000 325,000 325,000
28	DOA – Mental Health Community
29	Facilities Asset Protection 800,000 850,000 900,000 950,000
30	DOA – Old State House 100,000 100,000 100,000 100,000
31	DOA – Pastore Campus Infrastructure 33,200,000 38,900,000 32,600,000 5,050,000
32	DOA – Statewide Facility
33	Master Plan 2,200,000 200,000 200,000 200,000
34	DOA – Pastore Building
	LC004149 - Page 41 of 319
1	Demolition 1,000,000 1,000,000 1,000,000 1,000,000
2	DOA – Pastore Center
3	Hospital Buildings 500,000 500,000 500,000 500,000
4	DOA – Pastore Center
5	Non-Hospital Buildings 5,500,000 4,500,000 4,000,000 4,000,000
6	DOA – Pastore Electric Utilities
7	Asset Protection 0 0 0 100,000
8	DOA – Pastore Power Plant
9	Rehabilitation 0 0 0 50,000
10	DOA – Pastore Water Utility System
11	Asset Protection 0 0 0 100,000
12	DOA – Replacement of Fueling Tanks 430,000 330,000 100,000 250,000
13	DOA – Shepard Building 1,500,000 0 0 0
14	DOA – State Building Security Measures 500,000 500,000 500,000 325,000
15	DOA – State House Renovations 3,079,000 16,629,000 15,379,000 15,379,000
16	DOA – State Office Building 100,000 100,000 100,000 100,000
17	DOA – State Office
18	Reorganization & Relocation 250,000 0 0 0
19	DOA – Substance Abuse Group
20	Homes Asset Protection 500,000 500,000 500,000 500,000
21	DOA – Veterans Auditorium 100,000 75,000 100,000 100,000
22	DOA – Washington County
23	Government Center 650,000 800,000 350,000 350,000
24	DOA – William Powers Building 2,750,000 2,400,000 2,200,000 2,000,000
25	DOA – Zambarano Long Term
26	Acute Care Hospital 6,569,677 26,185,740 26,067,041 23,804,439
27	EOC – I-195 Commission 805,000 0 0 0
28	DCYF – Training School
29	Asset Protection 250,000 250,000 250,000 250,000
30	DOH – Health Laboratories and Medical
31	Examiner Equipment 400,000 400,000 400,000 400,000
32	BHDDH – DD Residential Support 100,000 100,000 100,000 100,000
33	BHDDH – Hospital Equipment
34	Asset Protection 300,000 300,000 300,000 300,000
	LC004149 - Page 42 of 319
1	DHS – Blind Vending Facilities 165,000 165,000 165,000 165,000
2	DHS – Veterans Cemetery Asset Protection 750,000 250,000 300,000 250,000
3	DHS – Veterans’ Home Asset Protection 100,000 100,000 100,000 100,000
4	ELSEC – Davies School Asset Protection 500,000 500,000 500,000 500,000
5	ELSEC – MET School Asset Protection 2,000,000 2,000,000 250,000 250,000
6	ELSEC – School for the Deaf
7	Asset Protection 450,000 550,000 350,000 350,000
8	URI – Mechanical, Electric, and Plumbing
9	Improvements 13,205,467 0 0 0
10	URI – Asset Protection 11,494,395 12,006,225 12,606,536 13,236,863
11	URI – Fire Protection
12	Academic Phase II 3,081,532 3,311,666 0 0
13	URI – Stormwater Management 256,338 2,221,831 2,221,831 0
14	RIC – Asset Protection 5,431,657 5,785,000 5,950,000 6,025,000
15	RIC – Infrastructure
16	Modernization 5,275,000 5,675,000 5,675,000 5,675,000
17	CCRI – Asset Protection 2,653,124 2,719,452 2,719,452 2,719,452
18	CCRI – Data, Cabling, and
19	Power Infrastructure 3,700,000 4,650,000 0 0
20	CCRI – Flanagan Campus
21	Renewal 6,000,000 2,500,000 0 0
22	CCRI – Renovation and
23	Modernization - Phase I 9,000,000 14,000,000 0 0
24	AEC – Asset Protection 50,000 50,000 50,000 50,000
25	Attorney General – Renovation
26	and Asset Protection 150,000 150,000 150,000 150,000
27	DOC – Asset Protection 4,100,000 4,100,000 4,100,000 4,100,000
28	Judiciary – Garrahy Courthouse
29	Renovation 2,250,000 2,250,000 0 0
30	Judiciary – Garrahy Courtroom
31	Restoration 750,000 250,000 0 0
32	Judiciary – Judicial Asset Protection 1,500,000 1,200,000 1,200,000 1,200,000
33	Judiciary – Fan Coil Unit Replacements 500,000 500,000 500,000 0
34	Judiciary – Judicial Complexes HVAC 1,000,000 500,000 500,000 500,000
	LC004149 - Page 43 of 319
1	Judiciary – Licht Judicial Complex
2	Restoration 750,000 750,000 0 0
3	Military Staff – Aviation Readiness 1,599,115 125,800 0 0
4	Military Staff – Asset Protection 975,000 1,166,500 1,363,205 775,000
5	Military Staff – Quonset Air
6	National Guard Headquarters Facility 3,000,000 0 0 0
7	Military Staff – Quonset Airport
8	Runway Reconstruction 1,663,612 926,505 0 0
9	EMA – RI Statewide
10	Communications Network 1,494,400 1,494,400 0 0
11	EMA – RI Statewide
12	Communications Infrastructure 1,190,000 140,000 40,000 15,000
13	DPS – Asset Protection 2,053,436 1,261,884 600,000 730,000
14	DPS – Southern Barracks 13,000,000 0 0 0
15	DPS – Training Academy 900,000 1,920,000 715,000 150,000
16	DPS – RISCON Microwave
17	Replacement 230,929 230,929 230,929 0
18	CRMC – Confined Aquatic
19	Dredged Material Disposal Cells 5,000,000 0 0 0
20	DEM – Dam Repair 1,805,000 3,065,000 2,000,000 2,000,000
21	DEM – Facilities Asset Protection 500,000 500,000 500,000 500,000
22	DEM – Fish and Wildlife Facilities 100,000 100,000 100,000 100,000
23	DEM – Fort Adams Trust/Rehabilitation 300,000 300,000 300,000 300,000
24	DEM – Marine Infrastructure/
25	Pier Development 650,000 650,000 0 0
26	DEM – Natural Resources Offices
27	and Visitor's Center 250,000 2,500,000 2,000,000 0
28	DEM – Newport Piers 1,000,000 1,000,000 0 0
29	DEM – Port of Galilee Asset Protection 1,491,817 1,500,000 1,500,000 1,500,000
30	DEM – Recreational Facilities
31	Improvements 3,245,578 2,550,000 2,290,000 3,050,000
32	DOT – Highway Improvement
33	Program 93,863,800 31,875,000 27,200,000 27,200,000
34	DOT – Bike Path Asset Protection 400,000 400,000 400,000 400,000
	LC004149 - Page 44 of 319
1	DOT – Maintenance
2	Capital Equipment Replacement 1,800,000 1,800,000 1,800,000 1,800,000
3	DOT – Maintenance Facility
4	Improvements 500,000 500,000 500,000 500,000
5	DOT – Salt Storage Facilities
6	Improvement 1,000,000 1,150,000 1,150,000 1,150,000
7	DOT – Train Station Asset Protection 350,000 350,000 500,000 500,000
8	DOT – Welcome Center Improvements 200,000 150,000 150,000 150,000
9	DOT – RIPTA
10	Land and Building Enhancements 14,411,792 2,584,780 500,000 500,000
11	SECTION 13. Reappropriation of Funding for Rhode Island Capital Plan Fund Projects. –
12	Any unexpended and unencumbered funds from Rhode Island Capital Plan Fund project
13	appropriations shall be reappropriated in the ensuing fiscal year and made available for the same
14	purpose. However, any such reappropriations are subject to final approval by the General Assembly
15	as part of the supplemental appropriations act. Any unexpended funds of less than five hundred
16	dollars ($500) shall be reappropriated at the discretion of the State Budget Officer.
17	SECTION 14. For the Fiscal Year ending June 30, 2023, the Rhode Island Housing and
18	Mortgage Finance Corporation shall provide from its resources such sums as appropriate in support
19	of the Neighborhood Opportunities Program. The Corporation shall provide a report detailing the
20	amount of funding provided to this program, as well as information on the number of units of
21	housing provided as a result to the Director of Administration, the Chair of the Housing Resources
22	Commission, the Chair of the House Finance Committee, the Chair of the Senate Finance
23	Committee and the State Budget Officer.
24	SECTION 15. Appropriation of Economic Activity Taxes in accordance with the city of
25	Pawtucket downtown redevelopment statute -- There is hereby appropriated for the fiscal year
26	ending June 30, 2023, all State Economic Activity Taxes to be collected pursuant to § 45-33.4-4 of
27	the Rhode Island General Laws, as amended (including, but not limited to, the amount of tax
28	revenues certified by the Commerce Corporation in accordance with § 45-33.4-1(13) of the Rhode
29	Island General Laws), for the purposes of paying debt service on bonds, funding debt service
30	reserves, paying costs of infrastructure improvements in and around the ballpark district, arts
31	district, and the growth center district, funding future debt service on bonds, and funding a
32	redevelopment revolving fund established in accordance with § 45-33-1 of the Rhode Island
33	General Laws.
	LC004149 - Page 45 of 319
1	SECTION 16. The appropriations from federal funds contained in Section 1 shall not be
2	construed to mean any federal funds or assistance appropriated, authorized, allocated or
3	apportioned to the State of Rhode Island from the State Fiscal Recovery Fund and Capital Projects
4	Fund enacted pursuant to the American Rescue Plan Act of 2021, P.L. 117-2 for fiscal year 2023
5	except for those instances specifically designated.
6	The following amounts are hereby appropriated out of any money available in the State
7	Fiscal Recovery Fund and Capital Projects Fund for the fiscal years ending June 30, 2024, June 30,
8	2025, June 30, 2026, and June 30, 2027.
9	For the purposes and functions hereinafter mentioned, the State Controller is hereby
10	authorized and directed to draw his or her orders upon the General Treasurer for payment of such
11	sums and such portions thereof as may be required by him or her upon receipt of properly
12	authenticated vouchers.
13	FY Ending FY Ending FY Ending FY Ending
14	06/30/2024 06/30/2025 06/30/2026 06/30/2027
15	State Fiscal Recovery Fund – Federal Funds
16	Project
17	DOA – Aid to Convention Center 13,425,000 5,540,000 2,000,000 0
18	DOA – Electric Heat Pump Grant
19	Program 10,233,000 10,665,000 8,377,000 0
20	DOA – Ongoing COVID-19 Response 25,052,439 0 0 0
21	DBR – Blockchain Digital Identity 1,000,000 0 0 0
22	DLT – Enhanced Real Jobs 15,000,000 15,000,000 0 0
23	DOR – Tax Modernization 1,500,000 0 0 0
24	EOC – Minority Business Accelerator 6,000,000 2,500,000 0 0
25	EOC – Blue Economy Investments 40,000,000 20,000,000 0 0
26	EOC – Bioscience Investments 15,000,000 9,000,000 1,000,000 0
27	EOC – South Quay Marine Terminal 23,000,000 0 0 0
28	RIH – Development of Affordable
29	Housing 30,000,000 25,000,000 0 0
30	RIH – Site Acquisition 5,000,000 5,000,000 0 0
31	RIH – Down Payment Assistance 20,000,000 15,000,000 0 0
32	RIH – Workforce Housing 8,000,000 0 0 0
33	RIH – Affordable Housing
34	Predevelopment Program 2,500,000 2,500,000 2,500,000 0
35	RIH – Home Repair and Community
36	Revitalization 10,000,000 0 0 0
37	OHCD – Predevelopment and Capacity
	LC004149 - Page 46 of 319
1	Building 500,000 0 0 0
2	OHCD – Homelessness Assistance
3	Program 7,000,000 0 0 0
4	QDC – Port of Davisville 19,360,000 27,000,000 7,640,000 0
5	DCYF – Foster Home Lead Abatement
6	& Fire Safety 375,000 0 0 0
7	DHS – Childcare Support. 1,217,000 500,000 0 0
8	DHS – RI Bridges Mobile and
9	Childcare Tracking 2,400,000 1,900,000 0 0
10	BHDDH – Crisis Intervention
11	Trainings 550,000 550,000 0 0
12	MHA – Mental Health Court Pilot
13	Program 232,880 244,523 0 0
14	RIDE – Municipal Learning Centers 5,000,000 5,000,000 0 0
15	OPC – Higher Education Academies 4,500,000 4,500,000 4,500,000
16	2,496,000
17	Attorney General – Mental Health
18	Court Pilot Program 210,179 220,687 0 0
19	DOC – Wi-Fi and Tech at the ACI 100,000 50,000 50,000 25,000
20	Judiciary – Mental Health Court
21	Pilot Program 935,701 982,486 0 0
22	DPS – Support for Survivors of
23	Domestic Violence 3,500,000 0 0 0
24	DEM – Galilee Port Rehabilitation 4,000,000 10,000,000 16,000,000
25	10,000,000
26	DEM – Permit and Licensing IT 2,000,000 500,000 500,000 0
27	RIPTA – Pawtucket/Central Falls Bus
28	Hub Passenger Facility 1,000,000 0 0 0
29	Capital Projects Fund – Federal Funds
30	Project
31	DOA – CPF Administration 2,807,250 0 0 0
32	DOA – Municipal and Higher Ed
33	Matching Grant Program 23,360,095 0 0 0
34	DOA – RIC Student Services Center 15,000,000 15,000,000 0 0
35	EOC – Broadband 5,160,500 4,413,000 0 0
36	The State Fiscal Recovery Fund and Capital Projects Fund appropriations herein shall be
37	made in support of the following projects:
38	Federal Funds - State Fiscal Recovery Fund
39	Department of Administration (DOA)
	LC004149 - Page 47 of 319
1	DOA – Aid to the Convention Center. These funds shall support a program to finance
2	facility improvements and provide operating support to the Rhode Island convention center
3	authority.
4	DOA – Electric Heat Pump Grant Program. These funds shall support a grant program
5	within the office of energy resources to assist homeowners and small-to-mid-size business owners
6	with the purchase and installation of high-efficiency electric heat pumps, with an emphasis on
7	families in environmental justice communities, minority-owned businesses, and community
8	organizations who otherwise cannot afford this technology.
9	DOA – Ongoing COVID-19 Response. These funds shall be allocated to continue COVID-
10	19 mitigation activities and to address the public health impacts of the pandemic in Rhode Island,
11	to be administered by the director of administration, in consultation with the director of health and
12	the secretary of health and human services.
13	DOA – Nonprofit Assistance. This program shall support nonprofit organizations to
14	address needs that have been exacerbated by COVID-19, including housing and food insecurity,
15	and behavioral health issues, among others.
16	DOA – Auto-Enrollment Program. These funds shall support a program for automatically
17	enrolling qualified individuals transitioned off Medicaid coverage at the end of the COVID-19
18	public health emergency into qualified health plans to avoid gaps in coverage, administered by
19	HealthSource RI.
20	DOA – Eligibility Extension Compliance. These funds shall be allocated to support
21	maintaining RIBridges eligibility functionalities within HealthSource RI during the extension of
22	the public health emergency.
23	DOA – ERP Implementation Support. These funds shall be allocated to the department of
24	administration to support the implementation of the enterprise resource planning system, such as
25	operating expenses, software and personnel.
26	Department of Business Regulation (DBR)
27	DBR – Blockchain Digital Identity. These funds shall support a program for the
28	development of blockchain technology to improve information technology security and streamline
29	professional licensing credentialing for the State.
30	DBR – Health Spending Accountability and Transparency Program. These funds shall
31	support a program allowing the office of the health insurance commissioner to track and curb health
32	care spending growth rates.
33	Department of Labor and Training (DLT)
	LC004149 - Page 48 of 319
1	DLT – Unemployment Insurance Trust Fund Contribution. The director of labor and
2	training shall allocate these appropriations to the employment security fund if he or she determines
3	the allocation would be beneficial for the purpose of determining the experience rate for each
4	eligible employer for calendar year 2023. If the director of labor and training determines the
5	allocation to the employment security fund is not beneficial for eligible employers in the next
6	calendar year, he or she shall allocate these monies to the DLT – Enhanced Real Jobs project
7	referenced in this section.
8	DLT – Enhanced Real Jobs. These funds shall support the Real Jobs Rhode Island program
9	in the development of job partnerships, connecting industry employers adversely impacted by the
10	pandemic to individuals enrolled in workforce training programs.
11	Department of Revenue (DOR)
12	DOR – Tax Modernization. These funds shall enhance department of revenue division of
13	taxation business process improvements and taxpayer services.
14	Executive Office of Commerce (EOC)
15	EOC – Small Business and Technical Assistance. These funds shall support a program to
16	invest additional financial and technical assistance resources to support small businesses which
17	have been disproportionately impacted by the pandemic. The program will include direct payments
18	to businesses to address the negative impacts of the pandemic, technical assistance for long-term
19	business capacity building, capital improvements for public health upgrades and outdoor
20	programming, and administration expenses.
21	EOC – Assistance to Impacted Industries. These funds shall be allocated to a program to
22	provide support to the tourism, hospitality, events and other industries disproportionately impacted
23	by the pandemic. The program will include direct payments to businesses to address the negative
24	economic impacts of the pandemic, outdoor and public space capital improvements and event
25	programming, tourism marketing in coordination with state tourism regions and the airport
26	corporation, and costs to implement these initiatives.
27	EOC – Statewide Broadband Planning and Mapping. These funds shall be allocated to
28	develop a statewide broadband strategic plan, to support related staffing, and to conduct mapping
29	in support of future state broadband investment.
30	EOC – Minority Business Accelerator. These funds shall support a program to invest
31	additional resources to enhance the growth of minority owned businesses. The initiative will
32	support a range of assistance and programming, including for example, financial and technical
33	assistance, entrepreneurship training, space for programming and co-working, and assistance
34	accessing low-interest loans.
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1	EOC – Blue Economy Investments. These funds shall support a program to invest in the
2	state’s blue economy industries, including, but not limited to, such areas of focus as ports and
3	shipping, defense, marine trades, ocean-related technology, ocean-based renewables, aquaculture
4	and fisheries, and tourism and recreation.
5	EOC – Bioscience Investments. These funds shall support a program to invest in the state’s
6	life science industries. The investments will include, but are not limited to, such areas of focus as
7	the build-out of shared wet lab space for startup and early-stage businesses, a competitive life
8	sciences site acquisition and facility investments program, and supports for small businesses
9	seeking to connect with and expand within the sector.
10	EOC – Small Business Access to Capital. These funds shall support a program to assist
11	small businesses with COVID-related impacts as well as such expenses as real estate costs, short-
12	and long-term working capital, refinancing debt, and the purchase of furniture, fixtures, and
13	supplies. This program will also seek to leverage other private and public resources, such as the
14	SBA 7(a) loan program, to maximize its reach and effectiveness.
15	EOC – Main Streets Revitalization. These funds shall support a program providing
16	investments in main street improvements such as signage, lighting, façade and sidewalk
17	improvements in municipal commercial districts. These funds may also provide technical
18	assistance to municipalities and non-profit partners in developing and executing main street
19	improvement projects.
20	EOC – South Quay Marine Terminal. These funds shall support the development of an
21	integrated and centralized hub of intermodal shipping designed to support the offshore wind
22	industry in East Providence. The program will include elements such as design activities and the
23	development of the waterfront portion of the terminal into a marine-industrial facility.
24	Rhode Island Housing (RIH)
25	RIH – Development of Affordable Housing. These funds shall expand a program at the
26	Rhode Island housing and mortgage finance corporation to provide additional investments in the
27	development of affordable housing units.
28	RIH – Site Acquisition. These funds shall be allocated to the Rhode Island housing and
29	mortgage finance corporation toward the acquisition of properties for redevelopment as affordable
30	and supportive housing.
31	RIH – Down Payment Assistance. Administered by the Rhode Island housing and
32	mortgage finance corporation, these funds shall be allocated to a program to provide $17,500 in
33	down payment assistance to eligible first-time home buyers to promote homeownership.
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1	RIH – Workforce Housing. These funds shall support a program to increase the housing
2	supply for families earning up to 120 percent of area median income.
3	RIH – Affordable Housing Predevelopment Program. These funds shall support
4	predevelopment work, for proposed affordable housing developments to build a pipeline of new
5	projects and build the capacity of affordable housing developers in the state to expand affordable
6	housing production.
7	RIH – Home Repair and Community Revitalization. These funds shall expand a program
8	administered by the Rhode Island housing and mortgage finance corporation to finance the
9	acquisition and redevelopment of blighted properties to increase the number of commercial and
10	community spaces in disproportionately impacted communities and or to increase the development
11	of affordable housing. The program will also support critical home repairs within the same
12	communities.
13	Office of Housing and Community Development (OHCD)
14	OHCD – Predevelopment and Capacity Building. These funds shall support a program to
15	increase contract staffing capacity to administer proposed affordable housing projects. These funds
16	will support research and data analysis, stakeholder engagement, and the expansion of services for
17	people experiencing homelessness.
18	OHCD – Homelessness Assistance Program. These funds shall support a program to
19	expand housing navigation, behavioral health, and stabilization services to address pandemic-
20	related homelessness. The program will support both operating subsidies for extremely low-income
21	housing units and services for people transitioning from homelessness to housing, including
22	individuals transitioning out of the adult correctional institutions
23	OHCD – Homelessness Infrastructure. These funds shall be used to support a program to
24	respond to pandemic-related homelessness, including but not limited to, acquisition or construction
25	of temporary or permanent shelter-based and/or housing-based solutions, wrap-around services and
26	administrative costs of implementation.
27	OHCD – Statewide Housing Plan. These funds shall be allocated to the development of a
28	statewide comprehensive housing plan to assess current and future housing needs, consider barriers
29	to home ownership and affordability, and identify services needed for increased investments toward
30	disproportionately impacted individuals and communities. These funds will also be used to support
31	municipal planning efforts to identify and cultivate viable sites and housing projects.
32	Quonset Development Corporation (QDC)
33	QDC – Port of Davisville. These funds shall be allocated to expand a program developing
34	port infrastructure and services at the Port of Davisville in Quonset. This will increase investments
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1	to job opportunities, marine transportation and improvements to projects in the offshore wind
2	industry.
3	Executive Office of Health and Human Services (EOHHS)
4	EOHHS – Pediatric Recovery. These funds shall support a program to provide relief to
5	pediatric providers in response to the decline in visitation and enrollment caused by the public
6	health emergency and incentivize providers to increase developmental and psychosocial behavioral
7	screenings.
8	EOHHS – Early Intervention Recovery. These funds shall support a program to provide
9	relief to early intervention providers in response to a decline in enrollment for early intervention,
10	family home visiting and screening programs. This program will also provide performance bonuses
11	for providers who hit certain targets, such as recovering referral numbers and achieving reduced
12	staff turnover.
13	EOHHS – Eligibility Extension Compliance. These funds shall be allocated to support
14	maintaining RIBridges eligibility functionalities during the extension of the federal public health
15	emergency.
16	EOHHS – Certified Community Behavioral Clinics. These funds shall be allocated to a
17	program to support certified community behavioral health clinics to bolster behavioral health
18	supports, medical screening and monitoring, and social services to particularly vulnerable
19	populations in response to a rise in mental health needs during the public health emergency.
20	EOHHS – 9-8-8 Hotline. These funds shall be allocated for the creation of a 9-8-8 hotline
21	to maintain compliance with the National Suicide Hotline Designation Act of 2020 and the Federal
22	Communications Commission-adopted rules to assure that all citizens receive a consistent level of
23	9-8-8 and crisis behavioral health services.
24	Department of Children, Youth and Families (DCYF)
25	DCYF – Provider Workforce Stabilization. These funds shall be allocated to support
26	workforce stabilization supplemental wage payments and sign-on bonuses to eligible direct care
27	and supporting care staff of contracted service providers.
28	DCYF – Psychiatric Treatment Facility. These funds shall be allocated to establish a
29	Psychiatric Residential Treatment Facility to provide intensive residential treatment options for
30	adolescent girls and young women who face severe and complex behavioral health challenges.
31	DCYF – Foster Home Lead Abatement & Fire Safety. These funds shall be allocated to
32	provide financial assistance to foster families for lead remediation and fire suppression upgrades.
33	Department of Human Services (DHS)
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1	DHS – Child Care Support. To address the adverse impact the pandemic has had on the
2	child care sector, the funds allocated to this program will provide retention bonuses for direct care
3	staff at child care centers and licensed family providers in response to pandemic-related staffing
4	shortages and start up and technical assistance grants for family child care providers. The director
5	of the department of human services and the director of the department of children, youth and
6	families may waive any fees otherwise assessed upon child care provider applicants who have been
7	awarded the family child care provider incentive grant. The allocation to this program will also
8	support quality improvements, the creation of a workforce registry and additional funds for
9	educational opportunities for direct care staff.
10	DHS – RIBridges Mobile and Child Care Tracking. These funds shall be allocated to the
11	department of human services to expand functionality of the HealthyRhode mobile application to
12	allow for beneficiaries to digitally submit applications, recertifications and reports to reduce the
13	need for in-person services, prevent the loss of needed benefits and improve efficiencies.
14	DHS – Eligibility Extension Compliance. These funds shall be allocated to support
15	maintaining RIBridges eligibility functionalities during the extension of the public health
16	emergency.
17	DHS – Emergency Staffing RIVH. These funds shall support a program to address urgent
18	staffing needs in state health care facilities, including the Veterans Home.
19	Department of Behavioral Healthcare, Developmental Disabilities and Hospitals (BHDDH)
20	BHDDH – Crisis Intervention Trainings. To respond to the increased volume of mental-
21	health related calls reported by police departments, these funds shall be allocated to the crisis
22	intervention training program to provide an eight-hour training every three years for law
23	enforcement as well as continuing education opportunities.
24	BHDDH - Emergency Staffing ESH Zambarano. These funds shall support a program to
25	address urgent staffing needs in state health care facilities, including the Zambarano unit.
26	BHDDH – Emergency Staffing State Psychiatric Hospital. These funds shall support a
27	program to address urgent staffing needs in the state psychiatric hospital.
28	BHDDH – Emergency Staffing ESH. These funds shall support a program to address
29	urgent staffing needs in state health care facilities, including Eleanor Slater Hospital.
30	Office of the Mental Health Advocate
31	MHA – Mental Health Court Pilot Program. This program shall support a pilot program to
32	provide increased services for defendants with mental illness and divert entry into the criminal
33	justice system.
34	Rhode Island Department of Education (RIDE)
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1	RIDE – Municipal Learning Centers. These funds shall be allocated to a program to partner
2	with municipalities to support the creation of centers to provide educational programing. Programs
3	will be available year-round for free or a fee-for-service rate structure, with an emphasis on out-of-
4	school time and vacations.
5	Office of the Postsecondary Commissioner (OPC)
6	OPC – Higher Education Academies. These funds shall be allocated to the office of the
7	postsecondary commissioner to provide supports, such as targeted coaching and wraparound
8	supports, for those age 16 and older to continue their education. The program will establish
9	academies to focus on outreach to rising seniors and recent graduates in disproportionately
10	impacted communities, ensuring a seamless transition to postsecondary education or workforce
11	training, and college readiness coursework and support to enroll in summer courses.
12	Office of the Attorney General
13	Attorney General – Mental Health Court Pilot Program. This program shall support a pilot
14	program to provide increased services for defendants with mental illness and divert entry into the
15	criminal justice system.
16	Department of Corrections (DOC)
17	DOC – Wi-Fi and Tech at the Adult Correctional Institutions. These funds shall support
18	the purchase and installation of capital infrastructure of Wi-Fi systems at the adult correctional
19	institutions. This will enable increased access to educational opportunities for incarcerated
20	individuals.
21	DOC – Radio Systems. These funds shall support the purchase and installation of an
22	updated radio and communication system at the adult correctional institutions.
23	Judicial Branch (Judiciary)
24	Judiciary – Mental Health Court Pilot Program. This program shall support a pilot program
25	to provide increased services for defendants with mental illness and divert entry into the criminal
26	justice system.
27	Department of Public Safety (DPS)
28	DPS – Support for Survivors of Domestic Violence. These funds shall be allocated to invest
29	in the nonprofit community to provide additional housing, clinical and mental health services to
30	victims of domestic violence and sexual assault. This includes increased investments for therapy
31	and counseling, housing assistance, job training, relocation aid and case management.
32	Department of Environmental Management (DEM)
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1	DEM – Galilee Port Rehabilitation. These funds shall support a program providing
2	additional investments to port infrastructure improvements at the Port of Galilee, increasing
3	services for commercial fishing and related businesses.
4	DEM – Permit and Licensing IT. These funds shall support a program to provide
5	information technology improvements for online permit and licensing systems for fish and wildlife,
6	commercial fishing and boating registrations.
7	Rhode Island Public Transit Authority (RIPTA)
8	RIPTA – Pawtucket/Central Falls Bus Hub Passenger Facility. These funds shall support
9	the development of a facility outfitted with restrooms, customer service windows and covered
10	waiting areas at the Pawtucket-Central Falls Commuter Rail Station.
11	Federal Funds - Capital Projects Fund
12	Department of Administration (DOA)
13	DOA – CPF Administration. These funds shall be allocated to the department of
14	administration to oversee the implementation of the Capital Projects Fund award from the
15	American Rescue Plan Act.
16	DOA – Municipal and Higher Ed Matching Grant Program. These funds shall be allocated
17	to a matching fund program for cities and towns that renovate or build a community wellness center
18	that meets the work, education and health monitoring requirements identified by the U.S.
19	Department of the Treasury.
20	DOA – RIC Student Services Center. These funds shall support the development of a
21	centralized hub at Rhode Island College, where students can complete essential tasks.
22	Executive Office of Commerce (EOC)
23	EOC – Broadband. These funds shall be allocated to the executive office of commerce to
24	invest in last-mile projects to provide high-speed, reliable internet to all Rhode Islanders. The
25	secretary of commerce, in partnership with the director of business regulation, will run a series of
26	requests for proposals for broadband infrastructure projects, providing funds to municipalities,
27	public housing authorities, business cooperatives and local internet service providers for last-mile
28	projects targeted at those unserved and underserved by the current infrastructure. This investment
29	will unlock a minimum of $100 million in federal funds for broadband investment through the
30	Infrastructure Investment and Jobs Act.
31	SECTION 17. Reappropriation of Funding for State Fiscal Recovery Fund and Capital
32	Projects Fund. Notwithstanding any provision of general law, any unexpended and unencumbered
33	federal funds from the State Fiscal Recovery Fund and Capital Projects Fund shall be
34	reappropriated in the ensuing fiscal year and made available for the same purposes.
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1	SECTION 18. State Fiscal Recovery Fund and Capital Projects Fund Compliance and
2	Reporting. The pandemic recovery office shall be established within the department of
3	administration to oversee all programs financed by the State Fiscal Recovery Fund or Capital
4	Projects Fund to ensure compliance with the rules, regulations, and other guidance issued by the
5	U.S. Department of the Treasury in accordance with the provisions of Section 9901, Subsections
6	602 and 604 of the American Rescue Plan Act of 2021, Pub. L. No. 117-2. The pandemic recovery
7	office shall be responsible for submission of all reports required by the U.S. Department of the
8	Treasury for the State Fiscal Recovery Fund and Capital Projects Fund.
9	In consultation with the pandemic recovery office, the budget officer shall establish an
10	allotment system such that distributions of State Fiscal Recovery Fund and Capital Projects Fund
11	shall be made contingent upon recipients’ compliance with all state and federal rules, regulations,
12	and guidance.
13	SECTION 19. This article shall take effect as of July 1, 2022, except as otherwise provided
14	herein.
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1	ARTICLE 2
2	RELATING TO STATE FUNDS
3	SECTION 1. Chapter 23-17.14 of the General Laws entitled “The Hospital Conversions
4	Act” is hereby amended by adding thereto the following section:
5	23-17.14-36. Hospital conversion monitoring account
6	There is hereby established within the department of health, a restricted receipt account
7	entitled “Hospital Conversion Monitoring.” This account shall be used for the sole purpose to fund
8	monitoring activities associated with hospital conversions pursuant to § 23-17.14-28(d) (1), (2),
9	(3), and (4). Funds held in non-state escrow, whether currently existing or prospective, through
10	agreement between the department of health and the conversion acquiror may be deposited into the
11	restricted receipt account and disbursed, as necessary, to conduct the monitoring activities
12	associated with § 23-17.14-28(d) (1), (2), (3), and (4).
13	SECTION 2. Section 35-4-27 of the General Laws in Chapter 35-4 entitled “State Funds”
14	is hereby amended to read as follows:
15	35-4-27. Indirect cost recoveries on restricted receipt accounts.
16	Indirect cost recoveries of ten percent (10%) of cash receipts shall be transferred from all
17	restricted-receipt accounts, to be recorded as general revenues in the general fund. However, there
18	shall be no transfer from cash receipts with restrictions received exclusively: (1) From contributions
19	from nonprofit charitable organizations; (2) From the assessment of indirect cost-recovery rates on
20	federal grant funds; or (3) Through transfers from state agencies to the department of administration
21	for the payment of debt service. These indirect cost recoveries shall be applied to all accounts,
22	unless prohibited by federal law or regulation, court order, or court settlement. The following
23	restricted receipt accounts shall not be subject to the provisions of this section:
24	Executive Office of Health and Human Services
25	Organ Transplant Fund
26	HIV Care Grant Drug Rebates
27	Health System Transformation Project
28	Adult Use Marijuana Program Licensing
29	Rhode Island Statewide Opioid Abatement Account
30	HCBS Support- ARPA
31	HCBS Admin Support- ARPA
32	Department of Human Services
33	Veterans' home — Restricted account
34	Veterans' home — Resident benefits
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1	Pharmaceutical Rebates Account
2	Demand Side Management Grants
3	Veteran's Cemetery Memorial Fund
4	Donations — New Veterans' Home Construction
5	Department of Health
6	Pandemic medications and equipment account
7	Miscellaneous Donations/Grants from Non-Profits
8	State Loan Repayment Match
9	Healthcare Information Technology
10	Adult Use Marijuana Program
11	Department of Behavioral Healthcare, Developmental Disabilities and Hospitals
12	Eleanor Slater non-Medicaid third-party payor account
13	Hospital Medicare Part D Receipts
14	RICLAS Group Home Operations
15	Adult Use Marijuana Program
16	Commission on the Deaf and Hard of Hearing
17	Emergency and public communication access account
18	Department of Environmental Management
19	National heritage revolving fund
20	Environmental response fund II
21	Underground storage tanks registration fees
22	De Coppet Estate Fund
23	Rhode Island Historical Preservation and Heritage Commission
24	Historic preservation revolving loan fund
25	Historic Preservation loan fund — Interest revenue
26	Department of Public Safety
27	E-911 Uniform Emergency Telephone System
28	Forfeited property — Retained
29	Forfeitures — Federal
30	Forfeited property — Gambling
31	Donation — Polygraph and Law Enforcement Training
32	Rhode Island State Firefighter's League Training Account
33	Fire Academy Training Fees Account
34	Adult Use Marijuana Program
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1	Attorney General
2	Forfeiture of property
3	Federal forfeitures
4	Attorney General multi-state account
5	Forfeited property — Gambling
6	Automatic Expungement
7	Department of Administration
8	OER Reconciliation Funding
9	Health Insurance Market Integrity Fund
10	RI Health Benefits Exchange
11	Information Technology Investment Fund
12	Restore and replacement — Insurance coverage
13	Convention Center Authority rental payments
14	Investment Receipts — TANS
15	OPEB System Restricted Receipt Account
16	Car Rental Tax/Surcharge-Warwick Share
17	Grants Management Administration
18	Executive Office of Commerce
19	Housing Resources Commission Restricted Account
20	Housing Production Fund
21	Department of Revenue
22	DMV Modernization Project
23	Jobs Tax Credit Redemption Fund
24	Adult Use Marijuana Program
25	Legislature
26	Audit of federal assisted programs
27	Department of Children, Youth and Families
28	Children's Trust Accounts — SSI
29	Military Staff
30	RI Military Family Relief Fund
31	RI National Guard Counterdrug Program
32	Treasury
33	Admin. Expenses — State Retirement System
34	Retirement — Treasury Investment Options
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1	Defined Contribution — Administration - RR
2	Violent Crimes Compensation — Refunds
3	Treasury Research Fellowship
4	Business Regulation
5	Banking Division Reimbursement Account
6	Office of the Health Insurance Commissioner Reimbursement Account
7	Securities Division Reimbursement Account
8	Commercial Licensing and Racing and Athletics Division Reimbursement Account
9	Insurance Division Reimbursement Account
10	Historic Preservation Tax Credit Account
11	Adult Use Marijuana Program
12	Judiciary
13	Arbitration Fund Restricted Receipt Account
14	Third-Party Grants
15	RI Judiciary Technology Surcharge Account
16	Automatic Expungement
17	Department of Elementary and Secondary Education
18	Statewide Student Transportation Services Account
19	School for the Deaf Fee-for-Service Account
20	School for the Deaf — School Breakfast and Lunch Program
21	Davies Career and Technical School Local Education Aid Account
22	Davies — National School Breakfast & Lunch Program
23	School Construction Services
24	Office of the Postsecondary Commissioner
25	Higher Education and Industry Center
26	Department of Labor and Training
27	Job Development Fund
28	Rhode Island Council on the Arts
29	Governors' Portrait Donation Fund
30	Statewide records management system account
31	SECTION 3. Section 39-1-42 of the General Laws in Chapter 39-1 entitled “Public
32	Utilities Commission” is hereby amended to read as follows:
33	39-1-42. Access to telephone information services for persons with disabilities.
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1	(a) The public utilities commission shall establish, administer, and promote an information
2	accessibility service that includes:
3	(1) A statewide telephone relay service and, through the competitive bidding process,
4	contract for the administration and operation of such a relay system for utilization of the
5	telecommunications network by deaf, hard-of-hearing and speech-impaired persons;
6	(2) The adaptive telephone equipment loan program capable of servicing the needs of
7	persons who are deaf, hard of hearing, severely speech impaired, or those with neuromuscular
8	impairments for use with a single-party telephone line, or wireless telephone, to any subscriber who
9	is certified as deaf, hard of hearing, severely speech impaired, or with neuromuscular impairments
10	by a licensed physician, audiologist, speech pathologist, or a qualified state agency, pursuant to
11	chapter 23 of this title; and
12	(3) A telephone access to the text of newspaper programs to residents who are blind, deaf
13	or blind, visually impaired, or reading impaired with a single-party telephone line.
14	(b) The commission shall establish, by rule or regulation, an appropriate funding
15	mechanism to recover the costs of providing this service from each residence and business
16	telephone access line or trunk in the state, including PBX trunks and centrex equivalent trunks and
17	each service line or trunk, and upon each user interface number or extension number or similarly
18	identifiable line, trunk, or path to or from a digital network. Notwithstanding the foregoing, there
19	shall not be any additional funding mechanism used to charge each residence and business
20	telephone access line or trunk in the state, including PBX trunks and centrex equivalent trunks and
21	each service line or trunk, or upon each user interface number or extension number or similarly
22	identifiable line, trunk, or path to or from a digital network, to recover the costs of providing the
23	services outlined in subsection (a)(1), (2) or (3) above.
24	(c) The commission, with the assistance of the state commission on the deaf and hard of
25	hearing, shall also develop the appropriate rules, regulations, and service standards necessary to
26	implement the provisions of subsection (a)(1). At a minimum, however, the commission shall
27	require, under the terms of the contract, that the relay service provider:
28	(1) Offer its relay services seven (7) days a week, twenty-four (24) hours a day, including
29	holidays;
30	(2) Hire only qualified salaried operators with deaf language skills; and
31	(3) Maintain the confidentiality of all communications.
32	(d) The commission shall collect from the telecommunications service providers the
33	amounts of the surcharge collected from their subscribers and remit to the department of human
34	services an additional ten thousand dollars ($10,000) annually commencing in fiscal year 2005 for
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1	the adaptive telephone equipment loan program and forty thousand dollars ($40,000) to the
2	department of human services for the establishment of a new telephone access to the text of
3	newspaper programs. In addition, eighty thousand dollars ($80,000) one hundred thousand dollars
4	($100,000) shall annually be remitted to the Rhode Island commission on the deaf and hard of
5	hearing for an emergency and public communication access program, pursuant to § 23-1.8-4. The
6	surcharge referenced hereunder shall be generated from existing funding mechanisms and shall not
7	be generated as a result of any new funding mechanisms charged to each residence and business
8	telephone access line or trunk in the state, including PBX trunks and centrex equivalent trunks and
9	each service line or trunk, or upon each user interface number or extension number or similarly
10	identifiable line, trunk, or path to or from a digital network.
11	SECTION 4. Section 42-7.2-10 of the General Laws in Chapter 42-7.2 entitled “Office of
12	Health and Human Services” is hereby amended to read as follows:
13	42-7.2-10. Appropriations and disbursements.
14	(a) The general assembly shall annually appropriate such sums as it may deem necessary
15	for the purpose of carrying out the provisions of this chapter. The state controller is hereby
16	authorized and directed to draw his or her orders upon the general treasurer for the payment of such
17	sum or sums, or so much thereof as may from time to time be required, upon receipt by him or her
18	of proper vouchers approved by the secretary of the executive office of health and human services,
19	or his or her designee.
20	(b) For the purpose of recording federal financial participation associated with qualifying
21	healthcare workforce development activities at the state's public institutions of higher education,
22	and pursuant to the Rhode Island designated state health programs (DSHP), as approved by the
23	Centers for Medicare & Medicaid Services (CMC) October 20, 2016, in the 11-W-00242/1
24	amendment to Rhode Island's section 1115 Demonstration Waiver, there is hereby established a
25	restricted-receipt account entitled "Health System Transformation Project" in the general fund of
26	the state and included in the budget of the office of health and human services.
27	(c) There are hereby created within the general fund of the state and housed within the
28	budget of the office of health and human services two restricted receipt accounts, respectively
29	entitled “HCBS Support- ARPA” and HCBS Admin Support- ARPA”. Amounts deposited into
30	these accounts are the enhanced federal match received on eligible home and community-based
31	services between April 1, 2021 and March 31, 2022, allowable under Section 9817 of the American
32	Rescue Plan Act of 2021, P.L. 117-2. Funds deposited into the “HCBS Support- ARPA” account
33	will used to finance the state share of newly eligible medicaid expenditures by the executive office
34	of health and human services and its sister agencies, including the department of children, youth,
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1	and families, the department of health, and the department of behavioral healthcare, developmental
2	disabilities, and hospitals. Funds deposited into the “HCBS Admin Support- ARPA” account will
3	used to finance the state share of allowable administrative expenditures attendant to the
4	implementation of these newly eligible medicaid expenditures. The accounts created under this
5	subsection shall be exempt from the indirect cost recovery provisions of Section 35-4-27 of the
6	Rhode Island general laws.
7	(d) There is hereby created within the general fund of the state and housed within the budget
8	of the office of health and human services a restricted receipt account entitled “Rhode Island
9	Statewide Opioid Abatement Account” for the purpose of receiving and expending monies from
10	settlement agreements with opioid manufacturers, pharmaceutical distributors, pharmacies, or their
11	affiliates, as well as monies resulting from bankruptcy proceedings of the same entities. The
12	executive office of health and human services shall deposit any revenues from such sources that
13	are designated for opioid abatement purposes into the restricted receipt account. Funds from this
14	account shall only to be used for forward-looking opioid abatement efforts as defined and limited
15	by any settlement agreements, state-city and town agreements, or court orders pertaining to the use
16	of such funds. By January 1 of each calendar year, the secretary of health and human services shall
17	report to the governor, the speaker of the house of representatives, the president of the senate, and
18	the attorney general on the expenditures that were funded using monies from the Rhode Island
19	statewide opioid abatement account and the amount of funds spent. The account created under this
20	subsection shall be exempt from the indirect cost recovery provisions of Section 35-4-27 of the
21	Rhode Island General Laws.
22	SECTION 5. Section 4 of this Article shall take effect as of July 1, 2021. Sections 1, 2,
23	and 3 of this Article shall take effect as of July 1, 2022.
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1	ARTICLE 3
2	RELATING TO GOVERNMENT REFORM AND RE-ORGANIZATION
3	SECTION 1. Section 3-7-14.2 of the General Laws in Chapter 3-7 entitled "Retail
4	Licenses" is hereby amended to read as follows:
5	3-7-14.2. Class P licenses -- Caterers.
6	(a) A caterer licensed by the department of health and the division of taxation shall
7	be eligible to apply for a Class P license from the department of business regulation. The
8	department of business regulation is authorized to issue all caterers' licenses. The license will
9	be valid throughout this state as a state license and no further license will be required or tax imposed
10	by any city or town upon this alcoholic beverage privilege. Each caterer to which the license is issued
11	shall pay to the department of business regulation an annual fee of five hundred dollars ($500) for
12	the license, and one dollar ($1.00) for each duplicate of the license, which fees are paid into the
13	state treasury. The department is authorized to promulgate rules and regulations for the
14	implementation of this license. In promulgating said rules, the department shall include, but is
15	not limited to, the following standards:
16	(1) Proper identification will be required for individuals who look thirty (30) years old or
17	younger and who are ordering alcoholic beverages;
18	(2) Only valid ID's as defined by these titles are acceptable;
19	(3) An individual may not be served more than two (2) drinks at a time;
20	(4) Licensee's, their agents, or employees will not serve visibly intoxicated individuals;
21	(5) Licensee's may only serve alcoholic beverages for no more than a five (5) hour period
22	per event;
23	(6) Only a licensee, or its employees, may serve alcoholic beverages at the event;
24	(7) The licensee will deliver and remove alcoholic beverages to the event; and
25	(8) No shots or triple alcoholic drinks will be served.
26	(b) Any bartender employed by the licensee shall be certified by a nationally recognized
27	alcohol beverage server training program.
28	(c) The licensee shall purchase at retail all alcoholic beverages from a licensed Class A
29	alcohol retail establishment located in the state, provided, however, any licensee who also holds a
30	Class T license, issued pursuant to the provisions of § 3-7-7, shall be allowed to purchase
31	alcoholic beverages at wholesale. Any person violating this section shall be fined five hundred
32	dollars ($500) for this violation and shall be subject to license revocation. The provisions of this
33	section shall be enforced in accordance with this title.
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1	(d) Violation of subsection (a) of this section is punishable upon conviction by a fine of
2	not more than five hundred dollars ($500). Fines imposed under this section shall be paid to the
3	department of business regulation.
4	SECTION 2. Chapter 5-2 of the General Laws entitled "Bowling Alleys, Billiard Tables,
5	and Shooting Galleries" is hereby amended by adding thereto the following section:
6	5-2-3.1. Billiard table defined.
7	As used in this chapter, the term "billiard table" means and shall include billiard tables,
8	pool tables, and pocket billiard tables.
9	SECTION 3. Sections 5-2-1, 5-2-2, 5-2-3 and 5-2-9 of the General Laws in Chapter 5-2
10	entitled "Bowling Alleys, Billiard Tables, and Shooting Galleries" are hereby amended to read as
11	follows:
12	5-2-1. City and town regulation and taxation of bowling alleys and billiard tables City
13	and town regulation and taxation of bowling alleys and establishments with three (3) or more
14	billiard tables.
15	The town and city councils of the several towns and cities may tax, regulate, and, if they
16	find it expedient, prohibit and suppress, bowling alleys and establishments with three (3) or more
17	billiard tables in their respective cities and towns, conforming to law.
18	§ 5-2-2. Refusal of bowling alley, box ball alley, or billiard table keeper to comply with
19	order of the city or town council.
20	The keeper of any bowling alley, box ball alley, or establishment with three (3) or more
21	billiard table tables who refuses or neglects to comply with an order or decree relating to it, which
22	any city or town council is authorized to make, shall be fined fifty dollars ($50.00).
23	§ 5-2-3. Keeper of bowling alley, box ball alley, or billiard table defined.
24	The owner or occupant of the premises on which any bowling alley, box ball alley, or three
25	(3) or more billiard table is tables are situated is deemed the keeper of that bowling alley, box ball
26	alley, or (3) or more billiard table tables, within the meaning of the provisions of this chapter.
27	5-2-9. Sunday operation of bowling alleys and billiard tables.
28	(a) Town or city councils or licensing authorities in any city or town may permit licensees
29	operating bowling alleys, or persons paying a tax for the operation of a bowling alley, to operate
30	rooms or places where bowling, or playing of billiards, or pocket billiards at establishments with
31	three (3) or more billiard tables for a fee or charge may be engaged in by patrons of those rooms or
32	places on the first day of the week, subject to any restrictions and regulations that the city or town
33	council or licensing authority designates; provided, that the operation of bowling alleys or rooms
34	or places where bowling, playing of billiards, or pocket billiards at establishments with three (3) or
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1	more billiard tables for a fee or charge is permitted on the first day of the week only between the
2	hours of one o'clock (1:00) p.m. and twelve o'clock (12:00) midnight; and provided, that no bowling
3	alley or rooms or places where bowling, playing of billiards, or pocket billiards for a fee or charge
4	is operated on the first day of the week within two hundred feet (200') of a place of public worship
5	used for public worship.
6	(b) The operation of any bowling alley, room, or place between any hour on the last day of
7	the week and one o'clock (1:00) a.m. on the first day of the week is not a violation of this section.
8	SECTION 4. Chapter 5-12 of the General Laws entitled "Hide and Leather Inspection"
9	is hereby repealed.
10	5-12-1.Town and city inspectors.
11	There may be annually elected by the town councils of the several towns and by the
12	city councils of Providence and Newport an officer to be denominated "inspector of hides and
13	leather," who shall be sworn to the faithful discharge of his or her duties.
14	5-12-2. Inspection and stamping of hides and leather.
15	City and town inspectors of hides and leather shall examine and inspect all hides and
16	leather that they may be called upon to inspect, within their towns or cities, and stamp upon the
17	inspected hides or leather their quality, as rated in the hides and leather trade, together with the
18	name of the inspector and date of inspection.
19	5-12-3. Inspection fees.
20	The fee of the inspector shall be at the rate of one dollar ($1.00) per hour for each
21	hour actually employed, paid by the person employing him or her; provided, that not more than five
22	(5) hours shall be paid for by one employer for the same day.
23	5-12-4. Misconduct by inspectors.
24	Every inspector appointed under the provisions of this chapter who willfully stamps
25	any hides or leather as of a grade above or below that at which it is properly ratable, shall forfeit
26	and pay a penalty of one hundred dollars ($100) and is liable to an action at law for damages to
27	any person injured from the action.
28	SECTION 5. Section 5-71-8 of the General Laws in Chapter 5-71 entitled "Licensure of
29	Interpreters for the Deaf" is hereby amended to read as follows:
30	5-71-8. Qualifications of applicants for licenses.
31	(a) To be eligible for licensure by the board as an interpreter for the deaf or transliterator,
32	the applicant must submit written evidence on forms furnished by the department, verified by oath,
33	that the applicant meets all of the following requirements:
34	(1) Is of good moral character;
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1	(2) Meets the screened requirements as defined in regulations promulgated by the
2	department or meets the certification requirements set forth by RID or its successor agency
3	approved by the department in consultation with the board;
4	(3) Pays the department a license fee as set forth in § 23-1-54;
5	(4) Adheres to the National Association of the Deaf (NAD) and the Registry of Interpreters
6	for the Deaf, Inc. (RID) code of professional conduct; and
7	(5) Provides verification of a background check with the bureau of criminal investigation
8	in the office of attorney general at the time of the initial application for license.
9	(b) To be eligible for licensure by the board as an educational interpreter for the deaf, the
10	applicant must meet all of the requirements as described in subsection (a) and must further present
11	proof of successful completion of the educational interpreter performance assessment (EIPA),
12	written and performance tests, or a similar test as approved by the board, at a performance level
13	established by the board.
14	(c) An individual whose license, certification, permit, or equivalent form of permission
15	issued within another state has been revoked, suspended, or currently placed on probation shall not
16	be eligible for consideration for licensure unless they have first disclosed to the department about
17	such disciplinary actions.
18	SECTION 6. Sections 9-5-10.1, 9-5-10.5 and 9-5-10.6 of the General Laws in Chapter 9-
19	5 entitled "Writs, Summons and Process" are hereby amended to read as follows:
20	9-5-10.1. Certification of constables.
21	(a) (1) A person at least twenty-one (21) years of age who complies with the statute and
22	the requirements set forth in any regulations promulgated by the department of business regulation
23	may file an application with the department requesting that the applicant be certified as a
24	constable. Once issued by the department, the certification shall be effective for a period of two (2)
25	years or until the approval is withdrawn by the department. A certified constable shall be entitled
26	to serve or execute writs and process in such capacity for any court of the state, anywhere in the
27	state, subject to any terms and limitations as set forth by the court, and in such number as determined
28	by the chief judge of the district court.
29	(2) A person to be certified as a constable shall provide documentation and evidence
30	satisfactory to the department of business regulations that the person possesses the specified
31	minimum qualifications to include:
32	(i) Sixty (60) hours of earned credit from an accredited college, university, or institution;
33	or
34	(ii) Four (4) years of honorable military service; or
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1	(iii) Twenty (20) years of honorable service with a local, state, or federal law enforcement
2	agency; and
3	(iv) United State citizenship; and
4	(v) Possession of a valid motor vehicle operator's license; and
5	(vi) Successful completion of unlawful drug use screening; and
6	(vii) Successful completion of psychological testing approved by the department of
7	business regulation.
8	(b) Certification process.
9	(1) Application.
10	(i) Any person seeking certification pursuant to this section shall complete an application
11	and submit it to the department of business regulation in the form designated by the department for
12	such applications.
13	(ii) The application shall include information determined by the department to be relevant
14	to licensure and shall include a national criminal background check.
15	(2) Referral to certified constables' board. Once the applicant has provided a completed
16	application, the department shall refer the applicant to the certified constables' board by providing
17	a copy of the application to the board and to the chief judge of the district court.
18	(3) Training.
19	(i) Following review of the application, the board shall determine whether the applicant
20	should be recommended for training by the board to be conducted by a volunteer training constable.
21	If the board determines that training is appropriate, the applicant shall be assigned to a training
22	constable who shall be a constable in good standing for a minimum of ten (10) years and who is
23	approved by the chief judge of the district court to train prospective constables department.
24	(ii) Training shall consist of a minimum of ninety (90) hours to be completed no sooner
25	than ninety (90) days from the date of the referral by the board. The department may waive the
26	training requirement of this section for an applicant who has graduated from a certified police or
27	law enforcement academy and who has a minimum of twenty (20) years of honorable service as a
28	police or law enforcement officer.
29	(iii) Within thirty (30) days from the conclusion of training, a written report shall be
30	submitted by the training constable to the board with a copy to the department that reflects the dates
31	and times of training and comments on the aptitude of the trainee.
32	(iv) If the board concludes that training is not appropriate or if the report of the training
33	constable concludes that the applicant does not have the aptitude to perform the duties of a
34	constable, the board shall so inform the department which shall deny the application on that basis.
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1	(4) Oral and written tests.
2	(i) Upon the successful completion of the training period and recommendation from the
3	training constable, within ninety (90) days, the applicant shall complete an oral examination on the
4	legal and practical aspects of certified constables' duties that shall be created and administered by
5	the board.
6	(ii) Upon the successful completion of the oral examination, within sixty (60) days the
7	applicant must complete a written test created by the board and approved by the chief judge of the
8	district court department that measures the applicant's knowledge of state law and court procedure.
9	(iii) If the board concludes that the applicant has not successfully passed either the oral or
10	written test, the board shall so inform the department which shall deny the application on that basis.
11	(5) Final review. The department shall review the application, training record, test scores,
12	and such other information or documentation as required and shall determine whether the applicant
13	shall be approved for certification and the person authorized to serve process in the state.
14	(c) Any person certified as a constable on the effective date of this act shall continue to be
15	certified without complying with the certification requirements prescribed by this act.
16	9-5-10.5. Suspension, revocation or review of certification of certified constables.
17	(a) Upon the receipt of a written complaint, request of the board, request of a judge of any
18	court, or upon its own initiative, the department shall ascertain the facts and, if warranted, hold a
19	hearing for the reprimand, suspension, or revocation of a certification. The director, or his or her
20	designee, has the power to refuse a certification for cause or to suspend or revoke a certification or
21	place an applicant on probation for any of the following reasons:
22	(1) The certification was obtained by false representation or by fraudulent act or conduct;
23	(2) Failure to report to the department any of the following within thirty (30) days of the
24	occurrence:
25	(i) Any criminal prosecution taken in any jurisdiction. The constable shall provide the
26	initial complaint filed and any other relevant legal documents;
27	(ii) Any change of name, address or other contact information;
28	(iii) Any administrative action taken against the constable in any jurisdiction by any
29	government agency within or outside of this state. The report shall include a copy of all relevant
30	legal documents.
31	(3) Failure to respond to the department within ten (10) days to any written inquiry from
32	the department;
33	(4) Where a certified constable, in performing or attempting to perform any of the acts
34	mentioned in this section, is found to have committed any of the following:
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1	(i) Inappropriate conduct that fails to promote public confidence, including failure to
2	maintain impartiality, equity, and fairness in the conduct of his or her duties;
3	(ii) Neglect, misfeasance, or malfeasance of his or her duties;
4	(iii) Failure to adhere to court policies, rules, procedures, or regulations;
5	(iv) Failure to maintain the highest standards of personal integrity, honesty, and
6	truthfulness, including misrepresentation, bad faith, dishonesty, incompetence, or an arrest or
7	conviction of a crime.
8	(5) A copy of the determination of the director of department of business regulation, or his
9	or her designee, shall be forwarded to the chief judge of the district court within ten (10) business
10	days.
11	(b) Nothing herein shall be construed to prohibit the chief of any court from suspending
12	the certification of a constable to serve process within his or her respective court pending the
13	outcome of an investigation consistent with the provisions of chapter 35 of title 42.
14	(c) The department is authorized to levy an administrative penalty not exceeding one
15	thousand dollars ($1,000) for each violation for failure to comply with the provisions of this chapter
16	or with any rule or regulation promulgated by the department.
17	9-5-10.6. Certified constables' board.
18	(a) There shall be created a certified constables' board that shall review each applicant and
19	recommend him or her for training, conduct the oral examination of each applicant, and that shall
20	serve as a resource to the chief judge and the department in the consideration of the practical aspects
21	of constable practice. The board shall consist of five (5) members appointed by the governor: two
22	(2) who shall be constables in good standing who have served for at least ten (10) years, one of
23	whom shall be appointed recommended by the Rhode Island Constables, Inc. and one appointed
24	recommended by the Rhode Island Constables Association; and three (3) attorneys who shall be
25	licensed to practice law by the supreme court in good standing who shall be appointed by the chief
26	judge of the district court. Members of the constables' board shall serve for terms of five (5) years
27	until a successor is appointed and qualified.
28	(b) A representative of the board may attend hearings in order to furnish advice to the
29	department. The board may also consult with the department of business regulation from time to
30	time on matters relating to constable certification.
31	SECTION 7. Chapter 28.10 of the General Laws entitled “Opioid Stewardship Act” is
32	hereby amended by adding thereto the following section:
33	21-28.10-14. Transfer of powers and duties.
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1	The employee responsible for performing fiscal functions associated with the management
2	of the opioid stewardship fund within the department of health shall be transferred to the executive
3	office.
4	SECTION 8. Sections 21-28.10-1, 21-28.10-2, 21-28.10-3, 21-28.10-4, 21-28.10-5, 21-
5	28.10-6, 21-28.10-7, 21-28.10-8, 21-28.10-9, 21-28.10-10, 21-28.10-11, and 21-28.10-13 of the
6	General Laws in Chapter 28.10 entitled “Opioid Stewardship Act” are hereby amended to read as
7	follows:
8	21-28.10-1. Definitions.
9	Unless the context otherwise requires, the following terms shall be construed in this chapter
10	to have the following meanings:
11	(1) "Department" means the Rhode Island department of health.
12	(2) "Director" means the director of the Rhode Island department of health.
13	(3) (1) "Distribute" means distribute as defined in § 21-28-1.02.
14	(4) (2) "Distributor" means distributor as defined in § 21-28-1.02.
15	(5) (3) “Executive Office” means the executive office of health and human
16	services.
17	(5) (4) "Manufacture" means manufacture as defined in § 21-28-1.02.
18	(6) (5) "Manufacturer" means manufacturer as defined in § 21-28-1.02.
19	(7) (6) "Market share" means the total opioid stewardship fund amount measured
20	as a percentage of each manufacturer's, distributor's and wholesaler's gross, in-state opioid sales in
21	dollars from the previous calendar year as reported to the U.S. Drug Enforcement Administration
22	(DEA) on its Automation of Reports and Consolidated Orders System (ARCOS) report.
23	(7) “Secretary” means the secretary of the executive office of health and human services.
24	(8) "Wholesaler" means wholesaler as defined in § 21-28-1.02.
25	21-28.10-2. Opioid registration fee imposed on manufacturers, distributors, and
26	wholesalers.
27	All manufacturers, distributors, and wholesalers licensed or registered under this title or
28	chapter 19.1 of title 5 (hereinafter referred to as "licensees"), that manufacture or distribute opioids
29	shall be required to pay an opioid registration fee. On an annual basis, the director secretary shall
30	certify the amount of all revenues collected from opioid registration fees and any penalties imposed,
31	to the general treasurer. The amount of revenues so certified shall be deposited annually into the
32	opioid stewardship fund restricted receipt account established pursuant to § 21-28.10-10.
33	21-28.10-3. Determination of market share and registration fee.
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1	(1) The total opioid stewardship fund amount shall be five million dollars ($5,000,000)
2	annually, subject to downward adjustments pursuant to § 21-28.10-7.
3	(2) Each manufacturer's, distributor's, and wholesaler's annual opioid registration fee shall
4	be based on that licensee's in-state market share.
5	(3) The following sales will not be included when determining a manufacturer's,
6	distributor's, or wholesaler's market share:
7	(i) The gross, in-state opioid sales attributed to the sale of buprenorphine or methadone;
8	(ii) The gross, in-state opioid sales sold or distributed directly to opioid treatment
9	programs, data-waivered practitioners, or hospice providers licensed pursuant to chapter 17 of title
10	23;
11	(iii) Any sales from those opioids manufactured in Rhode Island, but whose final point of
12	delivery or sale is outside of Rhode Island;
13	(iv) Any sales of anesthesia or epidurals as defined in regulation by the department; and
14	(v) Any in-state intracompany transfers of opioids between any division, affiliate,
15	subsidiary, parent, or other entity under complete and common ownership and control.
16	(4) The department executive office shall provide to the licensee, in writing, on or before
17	October 15, 2019 annually, the licensee's market share for the 2018 previous calendar year.
18	Thereafter, tThe department executive office shall notify the licensee, in writing, on or before
19	October 15 of each year, of its market share for the prior calendar year based on the opioids sold
20	or distributed for the prior calendar year.
21	21-28.10-4. Reports and records.
22	(a) Each manufacturer, distributor, and wholesaler licensed to manufacture or distribute
23	opioids in the state of Rhode Island shall provide to the director secretary a report detailing all
24	opioids sold or distributed by that manufacturer or distributor in the state of Rhode Island. Such
25	report shall include:
26	(1) The manufacturer's, distributor's, or wholesaler's name, address, phone number, DEA
27	registration number, and controlled substance license number issued by the department;
28	(2) The name, address, and DEA registration number of the entity to whom the opioid was
29	sold or distributed;
30	(3) The date of the sale or distribution of the opioids;
31	(4) The gross receipt total, in dollars, of all opioids sold or distributed;
32	(5) The name and National Drug Code of the opioids sold or distributed;
33	(6) The number of containers and the strength and metric quantity of controlled substance
34	in each container of the opioids sold or distributed; and
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1	(7) Any other elements as deemed necessary or advisable by the director secretary.
2	(b) Initial and future reports. This information shall be reported annually to the department
3	executive office via ARCOS or in such other form as defined or approved by the director secretary;
4	provided, however, that the initial report provided pursuant to subsection (a) shall consist of all
5	opioids sold or distributed in the state of Rhode Island for the 2018 calendar year, and shall be
6	submitted by September 1, 2019. Subsequent annual reports shall be submitted by April 15 of each
7	year based on the actual opioid sales and distributions of the prior calendar year.
8	21-28.10-5. Payment of market share.
9	The licensee shall make payments annually to the department executive office with the first
10	payment of its market share due on December 31, 2019; provided, that the amount due on December
11	31, 2019, shall be for the full amount of the payment for the 2018 calendar year, with subsequent
12	payments to be due and owing on the last day of every year thereafter.
13	21-28.10-6. Rebate of market share.
14	In any year for which the director secretary determines that a licensee failed to report
15	information required by this chapter, those licensees complying with this chapter shall receive a
16	reduced assessment of their market share in the following year equal to the amount in excess of any
17	overpayment in the prior payment period.
18	21-28.10-7. Licensee opportunity to appeal.
19	(a) A licensee shall be afforded an opportunity to submit information to the
20	department secretary documenting or evidencing that the market share provided to the licensee (or
21	amounts paid thereunder), pursuant to § 21-28.10-3(4), is in error or otherwise not warranted. The
22	department executive office may consider and examine such additional information that it
23	determines to be reasonably related to resolving the calculation of a licensee's market share, which
24	may require the licensee to provide additional materials to the department executive office. If the
25	department executive office determines thereafter that all or a portion of such market share, as
26	determined by the director secretary pursuant to § 21-28.10-3(4), is not warranted, the department
27	executive office may:
28	(1) Adjust the market share;
29	(2) Adjust the assessment of the market share in the following year equal to the amount in
30	excess of any overpayment in the prior payment period; or
31	(3) Refund amounts paid in error.
32	(b) Any person aggrieved by a decision of the department executive office relating to the
33	calculation of market share may appeal that decision to the superior court, which shall have power
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1	to review such decision, and the process by which such decision was made, as prescribed in chapter
2	35 of title 42.
3	(c) A licensee shall also have the ability to appeal its assessed opioid registration fee if the
4	assessed fee amount exceeds the amount of profit the licensee obtains through sales in the state of
5	products described in § 21-28.10-3. The department executive office may, exercising discretion as
6	it deems appropriate, waive or decrease fees as assessed pursuant to § 21-28.10-3 if a licensee can
7	demonstrate that the correctly assessed payment will pose undue hardship to the licensee's
8	continued activities in state. The department executive office shall be allowed to request, and the
9	licensee shall furnish to the department, any information or supporting documentation validating
10	the licensee's request for waiver or reduction under this subsection. Fees waived under this section
11	shall not be reapportioned to other licensees which have payments due under this chapter.
12	21-28.10-8. Departmental aAnnual reporting.
13	By January of each calendar year, the department of health, the department of behavioral
14	healthcare, developmental disabilities and hospitals (BHDDH), the executive office of health and
15	human services (EOHHS), the department of children, youth and families (DCYF), the Rhode
16	Island department of education (RIDE), the Rhode Island office of veterans services, the
17	department of corrections (DOC), the department of labor and training (DLT), and any other
18	department or agency receiving opioid stewardship funds shall report annually to the governor, the
19	speaker of the house, and the senate president which programs in their respective departments were
20	funded using monies from the opioid stewardship fund and the total amount of funds spent on each
21	program.
22	21-28.10-9. Penalties.
23	(a) The department executive office may assess a civil penalty in an amount not to exceed
24	one thousand dollars ($1,000) per day against any licensee that fails to comply with this chapter.
25	(b) (1) In addition to any other civil penalty provided by law, where a licensee has failed
26	to pay its market share in accordance with § 21-28.10-5, the department executive office may also
27	assess a penalty of no less than ten percent (10%) and no greater than three hundred percent (300%)
28	of the market share due from such licensee.
29	(2) In addition to any other criminal penalty provided by law, where a licensee has failed
30	to pay its market share in accordance with § 21-28.10-5, the department executive office may also
31	assess a penalty of no less than ten percent (10%) and no greater than fifty percent (50%) of the
32	market share due from such licensee.
33	21-28.10-10. Creation of opioid stewardship fund.
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1	(a) There is hereby established, in the custody of the department, executive office, a
2	restricted-receipt account to be known as the "opioid stewardship fund."
3	(b) Monies in the opioid stewardship fund shall be kept separate and shall not be
4	commingled with any other monies in the custody of the department executive office.
5	(c) The opioid stewardship fund shall consist of monies appropriated for the purpose of
6	such account; monies transferred to such account pursuant to law; contributions consisting of
7	promises or grants of any money or property of any kind or value, or any other thing of value,
8	including grants or other financial assistance from any agency of government; and monies required
9	by the provisions of this chapter or any other law to be paid into or credited to this account.
10	(d) Monies of the opioid stewardship fund shall be available to provide opioid treatment,
11	recovery, prevention, education services, and other related programs, subject to appropriation by
12	the general assembly.
13	(e) The budget officer is hereby authorized to create restricted receipt accounts entitled
14	"opioid stewardship fund allocation" in any department or agency of state government wherein
15	monies from the opioid stewardship fund are appropriated by the general assembly for the
16	programmatic purposes set forth in subsection (d) of this section.
17	21-28.10-11. Allocation.
18	The monies, when allocated, shall be paid out of the opioid stewardship fund and subject
19	to the approval of the director secretary and the approvals of the directors of the departments of
20	health and behavioral healthcare, developmental disabilities and hospitals (BHDDH), pursuant to
21	the provisions of this chapter.
22	21-28.10-13. Rules and regulations.
23	The director secretary may prescribe rules and regulations, not inconsistent with law, to
24	carry into effect the provisions of this chapter 28.10 of title 21, which rules and regulations, when
25	reasonably designed to carry out the intent and purpose of this chapter, are prima facie evidence of
26	its proper interpretation. Such rules and regulations may be amended, suspended, or revoked, from
27	time to time and in whole or in part, by the director secretary. The director secretary may prescribe,
28	and may furnish, any forms necessary or advisable for the administration of this chapter.
29	SECTION 9. Section 23-24.12-3 of the General Laws in Chapter 23-24.12 entitled "Proper
30	Management of Unused Paint" is hereby amended to read as follows:
31	23-24.12-3. Establishment of paint stewardship program.
32	(a) On or before March 1, 2014, each producer shall join the representative organization
33	and such representative organization shall submit a plan for the establishment of a paint stewardship
34	program to the department for approval. The program shall minimize the public sector involvement
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1	in the management of post-consumer paint by reducing the generation of post-consumer paint,
2	negotiating agreements to collect, transport, reuse, recycle, and/or burn for energy recovery at an
3	appropriately licensed facility post-consumer paint using environmentally sound management
4	practices.
5	(b) The program shall also provide for convenient and available state-wide collection of
6	post-consumer paint that, at a minimum, provides for collection rates and convenience greater than
7	the collection programs available to consumers prior to such paint stewardship program; propose a
8	paint stewardship assessment; include a funding mechanism that requires each producer who
9	participates in the representative organization to remit to the representative organization payment
10	of the paint stewardship assessment for each container of architectural paint sold within the state;
11	include an education and outreach program to help ensure the success of the program; and, work
12	with the department and Rhode Island commerce corporation to identify ways in which the state
13	can motivate local infrastructure investment, business development and job creation related to the
14	collection, transportation and processing of post-consumer paint.
15	(c) The plan submitted to the department pursuant to this section shall:
16	(1) Identify each producer participating in the paint stewardship program and the brands
17	of architectural paint sold in this state covered by the program;
18	(2) Identify how the representative organization will provide convenient, statewide
19	accessibility to the program;
20	(3) Set forth the process by which an independent auditor will be selected and identify
21	the criteria used by the representative organization in selecting independent auditor;
22	(4) Identify, in detail, the educational and outreach program that will be implemented to
23	inform consumers and retailers of the program and how to participate;
24	(5) Identify the methods and procedures under which the paint stewardship program will
25	be coordinated with the Rhode Island resource recovery corporation;
26	(6) Identify, in detail, the operational plans for interacting with retailers on the proper
27	handling and management of post-consumer paint;
28	(7) Include the proposed, audited paint assessment as identified in this section;
29	(8) Include the targeted annual collection rate;
30	(9) Include a description of the intended treatment, storage, transportation and disposal
31	options and methods for the collected post-consumer paint; and
32	(10) Be accompanied by a fee in the amount of two thousand five hundred dollars
33	($2,500) to be deposited into the environmental response fund to cover the review of said plan by
34	the department.
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1	(d) (1) Not later than sixty (60) days after submission of a plan pursuant to this section,
2	the department shall make a determination whether to:
3	(1i) Approve the plan as submitted;
4	(2ii) Approve the plan with conditions; or
5	(3iii) Deny the plan.
6	(2) If the department chooses to deny the plan, the department shall inform the
7	representative organization, in writing, of the reasons for the denial. The representative
8	organization shall then submit a revised plan for review by the department that takes into
9	consideration the reasons for the initial denial.
10	(e) Not later than three (3) months after the date the plan is approved, the representative
11	organization shall implement the paint stewardship program.
12	(f) On or before March 1, 2014, the representative organization shall propose a uniform
13	paint stewardship assessment for all architectural paint sold in this state. Such proposed paint
14	stewardship assessment shall be reviewed by an independent auditor to assure that such assessment
15	is consistent with the budget of the paint stewardship program described in this section and such
16	independent auditor shall recommend an amount for such paint stewardship assessment to the
17	department. The department shall be responsible for the approval of such paint stewardship
18	assessment based upon the independent auditor's recommendation. If the paint stewardship
19	assessment previously approved by the department pursuant to this section is proposed to be
20	changed, the representative organization shall submit the new, adjusted uniform paint stewardship
21	assessment to an independent auditor for review. After such review has been completed, the
22	representative organization shall submit the results of said auditor's review and a proposal to amend
23	the paint stewardship assessment to the department for review. The department shall review and
24	approve, in writing, the adjusted paint stewardship assessment before the new assessment can be
25	implemented. Any proposed changes to the paint stewardship assessment shall be submitted to the
26	department no later than sixty (60) days prior to the date the representative organization anticipates
27	the adjusted assessment to take effect.
28	(g) On and after the date of implementation of the paint stewardship program pursuant to
29	this section, the paint stewardship assessment shall be added to the cost of all architectural paint
30	sold to retailers and distributors in this state by each producer. On and after such implementation
31	date, each retailer or distributor, as applicable, shall add the amount of such paint stewardship
32	assessment to the purchase price of all architectural paint sold in this state.
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1	(h) Any retailer may participate, on a voluntary basis, as a paint collection point pursuant
2	to such paint stewardship program and in accordance with any applicable provision of law or
3	regulation.
4	(i) Each producer and the representative organization shall be immune from liability for
5	any claim of a violation of antitrust law or unfair trade practice if such conduct is a violation of
6	antitrust law, to the extent such producer or representative organization is exercising authority
7	pursuant to the provisions of this section.
8	(j) Not later than the implementation date of the paint stewardship program, the
9	department shall list the names of participating producers the brands of architectural paint covered
10	by such paint stewardship program and the cost of the approved paint stewardship assessment on
11	its website.
12	(k) (1) On and after the implementation date of the paint stewardship program, no
13	producer, distributor or retailer shall sell or offer for sale architectural paint to any person in this
14	state if the producer of such architectural paint is not a member of the representative organization.
15	(2) No retailer or distributor shall be found to be in violation of the provisions of this
16	section if, on the date the architectural paint was ordered from the producer or its agent, the
17	producer or the subject brand of architectural paint was listed on the department's website in
18	accordance with the provisions of this section.
19	(l) Producers or the representative organization shall provide retailers with educational
20	materials regarding the paint stewardship assessment and paint stewardship program to be
21	distributed at the point of sale to the consumer. Such materials shall include, but not be limited to,
22	information regarding available end-of-life management options for architectural paint offered
23	through the paint stewardship program and information that notifies consumers that a charge for
24	the operation of such paint stewardship program is included in the purchase price of all architectural
25	paint sold in this state.
26	(m) On or before October 15, 2015, and annually thereafter, the representative organization
27	shall submit a report to the director of the department of environmental management that details
28	the paint stewardship program. Said report shall include a copy of the independent audit detailed
29	in subdivision (4) below. Such annual report shall include, but not be limited to:
30	(1) A detailed description of the methods used to collect, transport and process post-
31	consumer paint in this state;
32	(2) The overall volume of post-consumer paint collected in this state;
33	(3) The volume and type of post-consumer paint collected in this state by method of
34	disposition, including reuse, recycling and other methods of processing or disposal;
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1	(4) The total cost of implementing the program, as determined by an independent financial
2	audit, as performed by an independent auditor;
3	(5) An evaluation of the adequacy of the program's funding mechanism;
4	(6) Samples of all educational materials provided to consumers of architectural paint and
5	participating retailers; and
6	(7) A detailed list of efforts undertaken and an evaluation of the methods used to
7	disseminate such materials including recommendations, if any, for how the educational component
8	of the program can be improved.
9	(n) The representative organization shall update the plan, as needed, when there are
10	changes proposed to the current program. A new plan or amendment will be required to be
11	submitted to the department for approval when:
12	(1) There is a change to the amount of the assessment; or
13	(2) There is an addition to the products covered under the program; or
14	(3) There is a revision of the product stewardship organization's goals: or
15	(4) Every four (4) years, if requested, in writing, by the department the representative
16	organization shall notify the department annually, in writing, if there are no changes proposed to
17	the program and the representative organization intends to continue implementation of the program
18	as previously approved by the department.
19	(o) The representative organization may maintain a reserve fund to protect against volatility
20	in the collection of the paint stewardship assessment and funded using the paint stewardship
21	assessment provided that the reserve fund shall not exceed an amount equal to 50 percent of the
22	total cost to administer the paint stewardship program during the previous program year. Any
23	proposal to establish or otherwise maintain a reserve fund shall be included in the plan submitted
24	to the department pursuant to § 23-24.12-3 and shall be subject to the approval of the department.
25	If, at the time this section takes effect, the reserve fund exceeds 50 percent, the representative
26	organization shall utilize the excess reserves on interim program activities, as approved by the
27	department, within two years of the effective date of this section. Thereafter, the representative
28	organization shall not propose a paint stewardship assessment that will cause the reserve fund to
29	exceed the level specified in this subsection.
30	(p) Any program funds to be used for program administrative expenses by the
31	representative organization shall be subject to approval by the department.
32	SECTION 10. Sections 23-26-7.1, 23-26-11, 23-26-12, 23-26-13, 23-26-15, 23-26-25, 23-
33	26-26, 23-26-27, 23-26-30 and 23-26-31 of the General Laws in Chapter 23-26 entitled "Bedding
34	and Upholstered Furniture" are hereby amended to read as follows:
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1	23-26-7.1. Sterilization, disinfection and disinfestation of bedding and materials.
2	(a) No person shall sell, offer for sale or include in a sale any item of secondhand bedding
3	or any item of bedding of any type manufactured in whole or in part from secondhand material,
4	including their component parts or wiping rags, unless such material has been sterilized, disinfected
5	and cleaned, by a method approved by the department of business regulation; provided, further,
6	that any product used for sterilization or disinfection of secondhand bedding must be registered
7	as consumer and health benefit products and labeled for use on bedding and upholstered furniture
8	by the EPA in accordance with § 23-25-6 of this title. The department of business regulation
9	shall promulgate rules and regulations consistent with the provisions of this chapter.
10	(b) No person shall use in the manufacture, repair and renovation of bedding of any
11	type any material which has been used by a person with an infectious or contagious disease, or
12	which is filthy, oily or harbors loathsome insects or pathogenic bacteria.
13	(c) No person shall sell, or offer for sale or include in a sale any material or bedding
14	which under the provisions of this chapter or regulations requires treatment unless there is
15	securely attached in accordance with regulations, a yellow tag not less than twelve square inches
16	in size, made of substantial cloth or a material of equal quality. Upon the tag there shall be plainly
17	printed, in black ink, in the English language, a statement showing:
18	(1) That the item or material has been treated by a method approved by the department
19	of business regulation, and the method of treatment applied.
20	(2) The lot number and the tag number of the item treated.
21	(3) The license registration number of the person applying treatment.
22	(4) The name and address of the person for whom treated.
23	(d) The tag required by this section shall be in addition to any other tag required pursuant to
24	the provisions of this chapter. Holders of licenses registrations to apply sterilization, disinfection or
25	disinfestation treatment shall be required to keep an accurate record of all materials which
26	have been subjected to treatment, including the source of material, date of treatment, and the name
27	and address of the receiver of each. Such records shall be available for inspection at any time
28	by authorized representatives of the department.
29	(e) Violations of this section shall be punishable by a fine not to exceed five hundred
30	dollars ($500).
31	23-26-11. Counterfeit stamps and permits Counterfeit stamps and registrations.
32	No person shall have in his or her possession or shall make, use, or sell any counterfeit
33	or colorable imitation of the inspection stamp or permit registration required by this chapter.
34	Each counterfeited or imitated stamp or permit registration made, used, sold, offered for sale,
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1	delivered, or consigned for sale contrary to the provisions of this chapter shall constitute a separate
2	offense.
3	23-26-12. Sterilization permits Sterilization registrations.
4	Any sterilization process, before being used in connection with this chapter, must
5	receive the approval of the director. Every person, firm, or corporation desiring to operate the
6	sterilization process shall first obtain a numbered permit registration from the director and shall not
7	operate the process unless the permit registration is kept conspicuously posted in the
8	establishment. Fee for original permit registration shall be eighty-four dollars ($84.00).
9	Application for the permit registration shall be accompanied by specifications in duplicate, in
10	such form as the director shall require. Each permit registration shall expire one year from date of
11	issue. Fee for annual renewal of a sterilizing permit registration shall be one-half (1/2) the original
12	fee.
13	23-26-13. Contents of tag on bedding articles for sale.
14	Every article of bedding made for sale, sold, or offered for sale shall have attached thereto a
15	tag which shall state the name of the material used, that the material used is new, or second-
16	hand and, when required to be sterilized, that the material has been sterilized, and the number
17	of the sterilizing permit registration. The tag shall also contain the name and address of the maker
18	or the vendor and the registry number of the maker. All tags attached to new articles shall be
19	legibly stamped or marked by the retail vendor with the date of delivery to the customer.
20	23-26-15. Contents of tag on shipments of filling material.
21	Any shipment or delivery, however contained, of material used for filling articles
22	of bedding shall have firmly and conspicuously attached thereto a tag which shall state the name
23	of the maker, preparer or vendor, and the address of the maker, preparer, or vendor, the name of
24	the contents and whether the contents are new or second-hand, and, if sterilized, the number of
25	the sterilizing permit registration.
26	23-26-25. Rules, regulations, and findings -- Suspension or revocation of permits
27	Rules, regulations, and findings -- Suspension or revocation of registrations.
28	(a) The director is hereby authorized and empowered to make general rules and
29	regulations and specific rulings, demands, and findings for the enforcement of this chapter, in
30	addition hereto and not inconsistent herewith. The director may suspend or revoke any permit or
31	registration for violation of any provision of this chapter, or any rule, regulation, ruling, or demand
32	made pursuant to the authority granted by this chapter. (b) The director of the department of health
33	shall investigate and enforce the provisions of § 23-26-3.1, and promulgate rules and regulations
34	deemed necessary to enforce it.
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1	23-26-26. Appeal of director's decisions.
2	Any person aggrieved by the action of the director in denying an application for a permit or
3	for registration, or in revoking or suspending any permit or registration, or by any order
4	or decision of the director, shall have the right to appeal to the supreme court and the procedure
5	in case of the appeal shall be the same as that provided in § 42-35-15.
6	23-26-27. Penalty for violations.
7	Any person who:
8	(1) Makes, remakes, renovates, sterilizes, prepares, sells, or offers for sale, exchange,
9	or lease any article of bedding as defined by § 23-26-1, not properly tagged as required by this
10	chapter; or
11	(2) Uses in the making, remaking, renovating, or preparing of the article of bedding or
12	in preparing cotton or other material therefor that has been used as a mattress, pillow, or bedding
13	in any public or private hospital, or that has been used by or about any person having an infectious
14	or contagious disease, and that after such use has not been sterilized and approved for use, by
15	the director of business regulation; or
16	(3) Counterfeits or imitates any stamp or permit registration issued under this chapter
17	shall be guilty of a misdemeanor, punishable by a fine of not more than five hundred dollars ($500)
18	or by imprisonment for not more than six (6) months or both.
19	(4) Any person or entity who or that violates the provisions of § 23-26-3.1 shall be
20	civilly fined not to exceed five thousand dollars ($5,000) for the first violation and up to ten
21	thousand dollars ($10,000) for each subsequent violation.
22	23-26-30. License required -- Application -- Issuance and term of license
23	Registration required -- Application -- Issuance and term of registration.
24	No person shall be engaged: (1) as a manufacturer of articles of bedding for sale
25	at wholesale; (2) as a manufacturer of articles of bedding for sale at retail; (3) as a supply dealer;
26	(4) as a repairer-renovator; or (5) as a retailer of second-hand articles of bedding, unless he or she
27	has obtained the appropriate numbered license registration therefor from the director, who is
28	hereby empowered to issue the license registration. Application for the license registration shall be
29	made on forms provided by the director and shall contain such information as the director may
30	deem material and necessary. Based on the information furnished in the application and on
31	any investigation deemed necessary by the director, the applicant's classification shall be
32	determined. Each license registration issued by the director pursuant to this section shall be
33	conspicuously posted in the establishment of the person to whom issued. The director may withhold
34	the issuance of a license registration to any person who shall make any false statement in the
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1	application for a license registration under this chapter. The director shall promulgate rules
2	and regulations mandating the term of license registration for each category of license registration
3	issued pursuant to this chapter; however, no license registration shall remain in force for a period in
4	excess of three (3) years. The fee for the initial issuance or renewal of a license registration shall be
5	determined by multiplying the per annum fee by the number of years in the term of the license
6	registration. The entire fee must shall be paid in full for the total number of years of license
7	registration prior to the issuance of the license registration.
8	23-26-31. Fees.
9	(a) The per annum fees imposed for licenses registrations issued pursuant to § 23-26-
10	30 shall be as follows:
11	(1) Every applicant classified as a manufacturer of articles of bedding for sale at
12	wholesale or retail or as a supply dealer shall pay, prior to the issuance of a general license
13	registration, a per annum fee of two hundred ten dollars ($210) and the licensee registrant may be
14	engaged in any or all of the following:
15	(i) Manufacture of articles of bedding for sale at wholesale;
16	(ii) Manufacture of articles of bedding for sale at retail;
17	(iii) Supply dealer;
18	(iv) Repairer-renovator.
19	(2) Every applicant classified as a repairer-renovator or retailer of second-hand articles
20	of bedding shall pay, prior to the issuance of a limited license registration, a per annum fee of
21	sixty dollars ($60.00), and the licensee registrant may be engaged in any or all of the following:
22	(i) Repairer-renovator;
23	(ii) Retailer of second-hand articles of bedding; provided, however, that if a
24	licensee registrant is reclassified from one category to another which calls for a higher license
25	registration fee, he or she shall pay a pro rata share of the higher license registration fee for the
26	unexpired period and shall be issued a new license registration to expire on the expiration date of
27	the original license registration.
28	(b) If, through error, a licensee registrant has been improperly classified as of the date
29	of issue of his or her current license registration, the proper fee for the entire period shall be
30	payable. Any overpayment shall be refunded to the licensee registrant. No refunds shall be allowed
31	to any licensee registrant who has discontinued business, or whose license registration has been
32	revoked or suspended or who has been reclassified to a category calling for a greater or lesser
33	licenseregistration fee, except as provided herein. The fee shall be paid to the director of
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1	business regulation. For reissuing a revoked or expired license registration the fee shall be the
2	same as for an original license registration.
3	(c) All payments for registration fees, sterilization process, permits, fines and
4	penalties, and other money received under this chapter shall constitute inspection fees for the
5	purpose of enforcing this chapter.
6	SECTION 11. Sections 23-90-4, 23-90-5 and 23-90-6 of the General Laws in Chapter 23-
7	90 entitled " Responsible Recycling, Reuse and Disposal of Mattresses" are hereby amended to
8	read as follows:
9	23-90-4. Mattress stewardship council established.
10	(a) On or before July 1, 2015, each producer shall join the council and such council shall
11	submit a plan, for the corporation director's approval, to establish a statewide mattress stewardship
12	program, as described in this section. Any retailer may be a member of such council. Such mattress
13	stewardship program shall, to the extent it is technologically feasible and economically practical:
14	(1) Minimize public sector involvement in the management of discarded mattresses;
15	(2) Provide for the convenient and accessible statewide collection of discarded mattresses
16	from any person in the state with a discarded mattress that was discarded in the state, including
17	from participating covered entities that accumulated and segregated a minimum of fifty (50)
18	discarded mattresses for collection at one time, or a minimum of thirty (30) discarded mattresses
19	for collection at one time in the case of participating municipal transfer stations;
20	(3) Provide for council-financed recycling and disposal of discarded mattresses;
21	(4) Provide suitable storage containers at permitted municipal transfer stations, municipal
22	government property or other solid waste management facilities for segregated, discarded
23	mattresses, or make other mutually agreeable storage and transportation agreements at no cost to
24	such municipality provided the municipal transfer station, municipal government property or other
25	solid waste management facilities make space available for such purpose and imposes no fee for
26	placement of such storage container on its premises;
27	(5) Include a uniform mattress stewardship fee, with approval of the corporation, that is
28	sufficient to cover the costs of operating and administering the program; and
29	(6) Establish a financial incentive that provides for the payment of a monetary sum,
30	established by the council, to promote the recovery of mattresses.
31	(b) The council shall be a nonprofit organization with a fee structure that covers, but does
32	not exceed, the costs of developing the plan and operating and administering the program in
33	accordance with the requirements of this chapter, and maintaining a financial reserve sufficient to
34	operate the program over a multi-year period of time in a fiscally prudent and responsible manner.
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1	The council shall maintain all records relating to the program for a period of not less than three (3)
2	years.
3	(c) Pursuant to the program, recycling shall be preferred over any other disposal method to
4	the extent that recycling is technologically feasible and economically practical.
5	(d) The council shall enter into an agreement with the corporation to reimburse for
6	reasonable costs directly related to administering the program but not to exceed the cost of two (2)
7	full time equivalent employees.
8	23-90-5. Mattress stewardship plan.
9	(a) On or before July 1, 2015, the mattress stewardship council shall submit a mattress
10	stewardship plan for the establishment of a mattress stewardship program to the corporation
11	director for approval.
12	(b) The plan submitted pursuant to subsection (a) of this section shall, to the extent it is
13	technologically feasible and economically practical:
14	(1) Identify each producer's participation in the program;
15	(2) Describe the fee structure for the program and propose a uniform stewardship fee that
16	is sufficient to cover the costs of operating and administering the program;
17	(3) Establish performance goals for the first two (2) years of the program;
18	(4) Identify proposed recycling facilities to be used by the program, such facilities shall not
19	require a solid waste management facilities license;
20	(5) Detail how the program will promote the recycling of discarded mattresses;
21	(6) Include a description of the public education program;
22	(7) Describe fee-disclosure language that retailers will be required to prominently display
23	that will inform consumers of the amount and purpose of the fee; and
24	(8) Identify the methods and procedures to facilitate implementation of the mattress
25	stewardship program in coordination with the corporation director and municipalities.
26	(c) Not later than ninety (90) days after submission of the plan pursuant to this section, the
27	corporation shall make a determination whether to:
28	(1) Approve the plan as submitted; or
29	(2) Deny the plan.
30	(d) The corporation director shall approve the plan for the establishment of the mattress
31	stewardship program, provided such plan reasonably meets the requirements of this section. Prior
32	to making such determination, the corporation director shall post the plan for at least thirty (30)
33	days, in accordance with the "Administrative Procedures Act" as set forth in chapter 35 of title 42
34	on the corporation's website and solicit public comments on the plan to be posted on the website.
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1	(e) In the event that the corporation director denies the plan, the corporation director shall
2	provide a notice of determination to the council, within sixty (60) days, detailing the reasons for
3	the disapproval. The council shall revise and resubmit the plan to the corporation director not later
4	than forty-five (45) days after receipt of notice of the corporation director's denial notice. Not later
5	than forty-five (45) days after receipt of the revised plan, the corporation director shall review and
6	approve or deny the revised plan. The council may resubmit a revised plan to the corporation
7	director for approval on not more than two (2) occasions. If the council fails to submit a plan that
8	is acceptable to the corporation director, because it does not meet the criteria pursuant to
9	subdivisions (b)(1-8), the corporation director shall have the ability to modify the submitted plan
10	and approve it. Not later than one hundred twenty (120) days after the approval of a plan pursuant
11	to this section, the council shall implement the mattress stewardship program.
12	(f) It is the responsibility of the council to:
13	(1) Notify the corporation director whenever there is a proposed substantial change to the
14	program. If the corporation director takes no action on a proposed substantial change within ninety
15	(90) days after notification of the proposed change, the proposed change shall be deemed approved.
16	For the purposes of this subdivision, "substantial change" shall include, but not be limited to:
17	(i) A change in the processing facilities to be used for discarded mattresses collected
18	pursuant to the program; or
19	(ii) A material change to the system for collecting mattresses.
20	(2) Not later than October 1, 2017, the council shall submit to the corporation director for
21	review, updated performance goals that are based on the experience of the program during
22	the first two (2) years of the program.
23	(g) The council shall notify the corporation director of any other changes to the program
24	on an ongoing basis, whenever they occur, without resubmission of the plan to the
25	corporation director for approval. Such changes shall include, but not be limited to, a change in the
26	composition, officers, or contact information of the council.
27	(h) On or before July 1, 2015, and every two (2) years thereafter, the council shall propose
28	a uniform fee for all mattresses sold in this state. The council may propose a change to the uniform
29	fee more frequently than once every two (2) years if the council determines such change is needed
30	to avoid funding shortfalls or excesses. Any proposed fee shall be reviewed by an independent
31	auditor to ensure that such assessment does not exceed the costs of the mattress stewardship
32	program described in subsection (b) of this section and to maintain financial reserves sufficient to
33	operate the program over a multi-year period in a fiscally prudent and responsible manner. Not
34	later than sixty (60) days after the council proposes a mattress stewardship fee, the auditor shall
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1	render an opinion provide an evaluation of the proposed fee to the corporation director as to whether
2	the proposed mattress stewardship fee is reasonable to achieve the goals set forth in this section.
3	Copies of all documents related to the auditor’s evaluation, along with the financial information
4	provided by the council, shall be filed with the corporation and considered public documents
5	pursuant to chapter 2 of title 38 ("Access to Public Records"). If the auditor corporation director
6	concludes that the mattress stewardship fee is reasonable, then the proposed fee shall go into effect
7	not less than ninety (90) days after the auditor corporation director notifies the corporation director
8	council that the fee is reasonable. If the auditor corporation director concludes that the mattress
9	stewardship fee is not reasonable, the auditor corporation director shall provide the council with
10	written notice explaining the auditor corporation director's opinion. Not later than fourteen (14)
11	days after the council's receipt of the auditor corporation director's opinion, the council may either
12	propose a new mattress stewardship fee, or provide written comments on the auditor corporation
13	director's opinion. If the auditor concludes that the fee is not reasonable, the corporation director
14	shall decide, based on the auditor's opinion and any comments provided by the council, whether to
15	approve the proposed mattress stewardship fee. Such auditor shall be selected by the council. The
16	cost of any work performed by such auditor pursuant to the provisions of this subsection and
17	subsection (i) of this section shall be funded by the council.
18	(i)(1) On and after the implementation of the mattress stewardship program, each retailer
19	shall add the amount of the fee established pursuant to subsection (b) of this section and described
20	in subsection (h) of this section to the purchase price of all mattresses sold in this state. The fee
21	shall be remitted by the retailer to the council. The council may, subject to the corporation director's
22	approval, establish an alternative, practicable means of collecting or remitting such fee.
23	(2) On and after the implementation date of the mattress stewardship program, no producer,
24	distributor or retailer shall sell or offer for sale a mattress to any person in the state if the producer
25	is not a member of the council.
26	(3) No retailer or distributor shall be found to be in violation of the provisions of this
27	section, if, on the date the mattress was ordered from the producer or its agent, the producer of said
28	mattress was listed on the corporation's website in accordance with the provisions of this chapter.
29	(j) Not later than October 1, 2016, and annually thereafter, the council shall submit an
30	annual report to the corporation director. The corporation director shall post such annual report on
31	the corporation's website. Such report shall include, but not be limited to:
32	(1) The weight of mattresses collected pursuant to the program from:
33	(i) Municipal and/or transfer stations;
34	(ii) Retailers; and
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1	(iii) All other covered entities;
2	(2) The weight of mattresses diverted for recycling;
3	(3) Identification of the mattress recycling facilities to which mattresses were delivered for
4	recycling;
5	(4) The weight of discarded mattresses recycled, as indicated by the weight of each of the
6	commodities sold to secondary markets;
7	(5) The weight of mattresses, or parts thereof, sent for disposal at each of the following:
8	(i) Rhode Island resource recovery corporation; and
9	(ii) Any other facilities;
10	(6) Samples of public education materials and methods used to support the program;
11	(7) A description of efforts undertaken and evaluation of the methods used to
12	disseminate such materials;
13	(8) Updated performance goals and an evaluation of the effectiveness of the methods
14	and processes used to achieve performance goals of the program; and
15	(9) Recommendations for any changes to the program.
16	(k) Two (2) years after the implementation of the program and upon the request of the
17	corporation director, but not more frequently than once a year, the council shall cause an audit of
18	the program to be conducted by the auditor described in subsection (h) of this section. Such audit
19	shall review the accuracy of the council's data concerning the program and provide any other
20	information requested by the corporation director. Such audit shall be paid for by the council. The
21	council shall maintain all records relating to the program for not less than three (3) years.
22	(l) No covered entity that participates in the program shall charge for receipt of mattresses
23	generated in the state. Covered entities may charge a fee for providing the service of collecting
24	mattresses and may restrict the acceptance of mattresses by number, source or physical condition.
25	(m) Covered entities that, upon the date of this act's passage, have an existing program for
26	recycling discarded mattresses may continue to operate such program without coordination of the
27	council, so long as the entities are able to demonstrate, in writing, to the corporation director that
28	the facilities to which discarded mattresses are delivered are engaged in the business of recycling
29	said mattresses and the corporation director approves the written affirmation that the facility
30	engages in mattress recycling of mattresses received by the covered entity. A copy of the written
31	affirmation and the corporation's approval shall be provided to the council by the corporation
32	director in a timely manner.
33	23-90-6. Responsibilities of the Rhode Island resource recovery corporation.
34	(a) The corporation shall review for approval the mattress stewardship plan of the council.
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1	(b) The corporation shall maintain on its website information on collection opportunities
2	for mattresses, including collection site locations. The information must be made available in a
3	printable format for retailers and consumers.
4	(c) Not later than the implementation date of the mattress stewardship program, the
5	corporation shall list the names of participating producers covered by the program and the cost of
6	the approved mattress stewardship fee on its website.
7	(d) The corporation shall approve the mattress stewardship fee to be applied by the council
8	to mattresses pursuant to this chapter § 23-90-5(h).
9	(e) Pursuant to § 23-90-11, the corporation shall report biennially to the general assembly
10	on the operation of the statewide system for collection, transportation and recycling of mattresses.
11	SECTION 12. Section 36-4-16.4 of the General Laws in Chapter 36-4 entitled "Merit
12	System" is hereby amended to read as follows:
13	36-4-16.4. Salaries of directors.
14	(a) In the month of March of each year, the department of administration shall conduct a
15	public hearing to determine salaries to be paid to directors of all state executive departments for the
16	following year, at which hearing all persons shall have the opportunity to provide testimony, orally
17	and in writing. In determining these salaries, the department of administration will take into
18	consideration the duties and responsibilities of the aforenamed officers, as well as such related
19	factors as salaries paid executive positions in other states and levels of government, and in
20	comparable positions anywhere that require similar skills, experience, or training. Consideration
21	shall also be given to the amounts of salary adjustments made for other state employees during the
22	period that pay for directors was set last.
23	(b) Each salary determined by the department of administration will be in a flat amount,
24	exclusive of such other monetary provisions as longevity, educational incentive awards, or other
25	fringe additives accorded other state employees under provisions of law, and for which directors
26	are eligible and entitled.
27	(c) In no event will the department of administration lower the salaries of existing directors
28	during their term of office.
29	(d) Upon determination by the department of administration, the proposed salaries of
30	directors will be referred to the general assembly by the last day in April of that year to go into
31	effect thirty (30) days hence, unless rejected by formal action of the house and the senate acting
32	concurrently within that time.
33	(e) Notwithstanding the provisions of this section, for 2015 only, the time period for the
34	department of administration to conduct the public hearing shall be extended to July and the
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1	proposed salaries shall be referred to the general assembly by August 30. The salaries may take
2	effect before next year, but all other provisions of this section shall apply.
3	(f) Notwithstanding the provisions of this section or any law to the contrary, for 2017 only,
4	the salaries of the director of the department of transportation, the secretary of health and human
5	services, and the director of administration shall be determined by the governor.
6	(g) Notwithstanding the provisions of this section or any law to the contrary, for 2021 2022
7	only, the salary of the director of the department of children, youth and families shall be determined
8	by the governor.
9	SECTION 13. Chapter 41-5.2 of the General Laws entitled "Mixed Martial Arts" is
10	hereby amended by adding thereto the following section:
11	41-5.2-30. Fees of officials.
12	The fees of the referee and other licensed officials, as established by this chapter, shall
13	be fixed by the division of gaming and athletics licensing, and shall be paid by the
14	licensed organization prior to the exhibition.
15	SECTION 14. Section 41-5.2-2 of the General Laws in Chapter 41-5.2 entitled "Mixed
16	Martial Arts" is hereby amended to read as follows:
17	41-5.2-2. License required for mixed-martial-arts exhibitions License required for
18	mixed-martial-arts exhibitions -- Amateur exhibitions exempt.
19	Except as provided in subsection (b) of this section, no No mixed-martial-arts match
20	or exhibition for a prize or a purse, or at which an admission fee is charged, either directly
21	or indirectly, in the form of dues or otherwise, shall take place or be conducted in this state
22	unless licensed by the division of gaming and athletics licensing in accordance with this chapter.
23	(b) The provisions of this section shall not apply to any mixed-martial-arts match
24	or exhibition in which the contestants are amateurs and that is conducted under the supervision
25	and control of:
26	(1) Any educational institution recognized by the council on postsecondary education and
27	the council on elementary and secondary education of this state; or
28	(2) Any religious or charitable organization or society engaged in the training of youth
29	and recognized as such by the division of gaming and athletics licensing in this state.
30	(c) For the purposes of this section, an "amateur" means a person who engages in
31	mixed- martial-arts matches or exhibitions for which no cash prizes are awarded to the
32	participants, and for which the prize competed for, if any, shall not exceed in value the sum of
33	twenty-five dollars ($25.00).
34	SECTION 15. This article shall take effect upon passage.
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1	ARTICLE 4
2	RELATING TO DEBT MANAGEMENT ACT JOINT RESOLUTIONS
3	SECTION 1. This Article shall serve as joint resolution required pursuant to Rhode Island
4	Laws § 35-18-1, et seq.
5	SECTION 2. University of Rhode Island – Facilities Service Sector Upgrade.
6	WHEREAS, the University of Rhode Island Board of Trustees and the University of Rhode
7	Island are proposing a project which involves the design and construction to enhance and
8	reorganize the facilities within the service sector for more efficient and effective operations;
9	WHEREAS, the University has engaged qualified architectural and engineering firms to
10	perform master planning for this purpose;
11	WHEREAS, in the last few decades, the University has made significant improvements to
12	the campus infrastructure and building inventory that house academic functions, student activities,
13	and athletic events for the University’s faculty and students;
14	WHEREAS, it is in the best interest of the State, University, and the students and faculty
15	to have these improvements maintained and repaired;
16	WHEREAS, the University’s facilities group has the responsibility for maintenance and
17	repair of these 5.8 million square feet, comprising approximately 25% of the State’s real estate
18	portfolio;
19	WHEREAS, the buildings housing the facilities group were built in the 1950s through
20	1970s, have passed the end of their 40-year useful life, and are in need of substantial capital renewal
21	or replacement;
22	WHEREAS, such improvements to the facilities group’s buildings are necessary to allow
23	for the ongoing support of the campus; and
24	WHEREAS, the total project cost associated with completion of this phase of the project
25	and proposed financing method is thirteen million dollars ($13,000,000), including cost of issuance,
26	debt service payments would be supported by revenues derived from the University’s unrestricted
27	general revenues, and total debt service on the bonds is not expected to exceed one million one
28	hundred fifty thousand dollars ($1,150,000) annually and twenty-three million dollars
29	($23,000,000) in the aggregate based on an average interest rate of five (6%) percent; now,
30	therefore be it
31	RESOLVED, that this General Assembly hereby approves financing in an amount not to
32	exceed thirteen million dollars ($13,000,000) for the facilities service sector upgrade project at the
33	University of Rhode Island; and be it further
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1	RESOLVED, that, this Joint Resolution shall take effect upon passage by this General
2	Assembly.
3	SECTION 3. University of Rhode Island – Utility Infrastructure Upgrade Phase II.
4	WHEREAS, the University of Rhode Island Board of Trustees and the University of Rhode
5	Island are proposing a project which involves the engineering and construction of upgrades and
6	component replacements to five municipal-level Kingston Campus utility systems;
7	WHEREAS, the University has engaged qualified engineering firms to examine its major
8	infrastructure systems;
9	WHEREAS, based on the condition and capabilities of these systems, the studies have
10	concluded that replacement of components and reconfiguration was advisable for each of these
11	extensive systems to ensure necessary steam, water, sanitary, and electrical support for the
12	University’s campuses for the next 20-40 years;
13	WHEREAS, the University has also developed the required Storm Water Management
14	Plan for the Kingston Campus, which provides guidelines that are being incorporated into new
15	building projects under development and are driving stand-alone storm water infrastructure projects
16	as well;
17	WHEREAS, the University has successfully completed many extremely important
18	individual utility infrastructure projects in its continuing progression of work to upgrade and
19	replace infrastructure systems but now needs additional investments beyond annual capital
20	resources;
21	WHEREAS, this project is the second phase in a phased implementation plan to upgrade
22	and improve the reliability of infrastructure on the University of Rhode Island’s campuses; and
23	WHEREAS, the total project cost associated with completion of this phase of the project
24	and proposed financing method is fifteen million four hundred fifty thousand dollars ($15,450,000),
25	including cost of issuance, debt service payments would be supported by revenues derived from
26	the University’s unrestricted general revenues, and total debt service on the bonds is not expected
27	to exceed one million three hundred fifty thousand dollars ($1,350,000) annually and twenty-seven
28	million dollars ($27,000,000) in the aggregate based on an average interest rate of five (6%)
29	percent; now, therefore be it
30	RESOLVED, that this General Assembly hereby approves financing in an amount not to
31	exceed fifteen million four hundred fifty thousand dollars ($15,450,000) for the Utility
32	Infrastructure Upgrade Phase II project at the University of Rhode Island; and be it further
33	RESOLVED, that this Joint Resolution shall take effect upon passage by this General
34	Assembly.
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1	ARTICLE 5
2	RELATING TO CAPITAL DEVELOPMENT PROGRAM
3	SECTION 1. Proposition to be submitted to the people.
4	At the general election to be held on the Tuesday next after the first Monday in November
5	2022, there shall be submitted to the people (“People”) of the State of Rhode Island (“State”), for
6	their approval or rejection, the following proposition:
7	"Shall the action of the general assembly, by an act passed at the January 2022 session,
8	authorizing the issuance of bonds, refunding bonds, and temporary notes of the State of Rhode
9	Island for the capital projects and in the amount with respect to each such project listed below be
10	approved, and the issuance of bonds, refunding bonds, and temporary notes authorized in
11	accordance with the provisions of said act?"
12	Project
13	(1) Higher Education Facilities $62,000,000
14	Approval of this question will allow the State of Rhode Island to issue general obligation
15	bonds, refunding bonds, and/or temporary notes in an amount not to exceed sixty-two million
16	dollars ($62,000,000) for capital improvements to higher education facilities, to be allocated as
17	follows:
18	(a) University of Rhode Island Narragansett Bay Campus $50,000,000
19	Provides fifty million dollars ($50,000,000) to fund repairs and construct new facilities on
20	the University of Rhode Island’s Narragansett Bay Campus in support of the educational and
21	research needs for the marine disciplines.
22	(b) Community College of Rhode Island Renovation and Modernization $12,000,000
23	Provides twelve million dollars ($12,000,000) to fund restoration and enhancement of
24	academic and student support spaces and other infrastructure on the four campuses of the
25	Community College of Rhode Island (CCRI). Funds will go towards modernizing and renovating
26	facilities, addressing repairs, improving safety and energy efficiency, and replacing outdated
27	technology and equipment used for teaching and learning.
28	(2) Rhode Island School Buildings $250,000,000
29	Approval of this question will allow the state of Rhode Island to issue general obligation
30	bonds, refunding bonds, and/or temporary notes in an amount not to exceed two-hundred-fifty
31	million dollars ($250,000,000). Of this total, two-hundred million dollars ($200,000,000) would
32	provide direct funding for school construction projects, such as the construction of new school
33	facilities and the rehabilitation of existing school facilities. Fifty million ($50,000,000) would fund
34	the school building authority capital fund enabling projects that address high priority school
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1	building needs including upgraded lighting, heating, and ventilation systems to help create facility
2	equity between Rhode Island students.
3	(3) Green Bond Economy Bonds $38,000,000
4	Approval of this question will allow the State of Rhode Island to issue general obligation
5	bonds, refunding bonds, and/or temporary notes in an amount not to exceed thirty-eight million
6	dollars ($38,000,000) for environmental and recreational purposes, to be allocated as follows:
7	(a) Municipal Resiliency $16,000,000
8	Provides sixteen million dollars ($16,000,000) for up to seventy-five percent (75%)
9	matching grants to municipalities for restoring and/or improving resiliency of infrastructure,
10	vulnerable coastal habitats, and restoring rivers and stream floodplains. These funds are expected
11	to leverage significant matching funds to support local programs to improve community resiliency
12	and public safety in the face of increased flooding, major storm events, and environmental
13	degradation.
14	(a) Small Business Energy Loan Program $5,000,000
15	Provides five million dollars ($5,000,000) for grants for small businesses to remove
16	impediments to clean energy project implementation and would provide zero interest and below
17	market rate loans for clean energy projects.
18	(b) Narragansett Bay and Watershed Restoration $3,000,000
19	Provides three million dollars ($3,000,000) for activities to restore and protect the water
20	quality and enhance the economic viability and environmental sustainability of Narragansett Bay
21	and the state’s watersheds. Eligible activities include nonpoint source pollution abatement,
22	including stormwater management; nutrient loading abatement; commercial, industrial and
23	agricultural pollution abatement; and riparian buffer and watershed ecosystem restoration.
24	(c) Forest Restoration $3,000,000
25	Provides three million dollars ($3,000,000) to maintain forest and wildlife habitat and
26	infrastructure on state properties, including state management areas.
27	(e) Brownfields Remediation and Economic Development $4,000,000
28	Provides four million dollars ($4,000,000) for up to eighty percent (80%) matching grants
29	to public, private, and/or non-profit entities for brownfield remediation projects.
30	(f) State Land Acquisition Program $3,000,000
31	Provides three million dollars ($3,000,000) for the State to acquire fee simple interest or
32	conservation easements to open space, farmland, watershed, and recreation lands.
33	(g) Local Land Acquisition Matching Grant Program $2,000,000
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1	Provides two million dollars ($2,000,000) for up to fifty percent (50%) matching grants to
2	municipalities, local land trusts and nonprofit organizations to acquire fee-simple interest,
3	development rights, or conservation easements on open space and urban parklands.
4	(h) Local Recreation Development Matching Grant Program $2,000,000
5	Provides two million dollars ($2,000,000) for up to eighty percent (80%) matching grants
6	to municipalities to acquire, develop, or rehabilitate local public recreational facilities in Rhode
7	Island.
8	SECTION 2. Ballot labels and applicability of general election laws.
9	The Secretary of State shall prepare and deliver to the State Board of Elections ballot labels
10	for each of the projects provided for in Section 1 hereof with the designations "approve" or "reject"
11	provided next to the description of each such project to enable voters to approve or reject each such
12	proposition. The general election laws, so far as consistent herewith, shall apply to this proposition.
13	SECTION 3. Approval of projects by people.
14	If a majority of the People voting on the proposition in Section 1 hereof shall vote to
15	approve any project stated therein, said project shall be deemed to be approved by the People. The
16	authority to issue bonds, refunding bonds and/or temporary notes of the State shall be limited to
17	the aggregate amount for all such projects as set forth in the proposition, which has been approved
18	by the People.
19	SECTION 4. Bonds for capital development program.
20	The General Treasurer is hereby authorized and empowered, with the approval of the
21	Governor, and in accordance with the provisions of this Act to issue capital development bonds in
22	serial form, in the name of and on behalf of the State of Rhode Island, in amounts as may be
23	specified by the Governor in an aggregate principal amount not to exceed the total amount for all
24	projects approved by the People and designated as "capital development loan of 2022 bonds."
25	Provided, however, that the aggregate principal amount of such capital development bonds and of
26	any temporary notes outstanding at any one time issued in anticipation thereof pursuant to Section
27	7 hereof shall not exceed the total amount for all such projects approved by the People. All
28	provisions in this Act relating to "bonds" shall also be deemed to apply to "refunding bonds."
29	Capital development bonds issued under this Act shall be in denominations of one thousand
30	dollars ($1,000) each, or multiples thereof, and shall be payable in any coin or currency of the
31	United States which at the time of payment shall be legal tender for public and private debts. These
32	capital development bonds shall bear such date or dates, mature at specified time or times, but not
33	mature beyond the end of the twentieth (20th) State fiscal year following the fiscal year in which
34	they are issued; bear interest payable semi-annually at a specified rate or different or varying rates:
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1	be payable at designated time or times at specified place or places; be subject to express terms of
2	redemption or recall, with or without premium; be in a form, with or without interest coupons
3	attached; carry such registration, conversion, reconversion, transfer, debt retirement, acceleration
4	and other provisions as may be fixed by the General Treasurer, with the approval by the Governor,
5	upon each issue of such capital development bonds at the time of each issue. Whenever the
6	Governor shall approve the issuance of such capital development bonds, the Governor’s approval
7	shall be certified to the Secretary of State; the bonds shall be signed by the General Treasurer and
8	countersigned by Secretary of State and shall bear the seal of the State. The signature approval of
9	the Governor shall be endorsed on each bond.
10	SECTION 5. Refunding bonds for 2022 capital development program.
11	The General Treasurer is hereby authorized and empowered, with the approval of the
12	Governor, and in accordance with the provisions of this Act, to issue bonds to refund the 2022
13	capital development program bonds, in the name of and on behalf of the state, in amounts as may
14	be specified by the Governor in an aggregate principal amount not to exceed the total amount
15	approved by the People, to be designated as "capital development program loan of 2022 refunding
16	bonds" (hereinafter "Refunding Bonds").
17	The General Treasurer with the approval of the Governor shall fix the terms and form of
18	any Refunding Bonds issued under this Act in the same manner as the capital development bonds
19	issued under this Act, except that the Refunding Bonds may not mature more than twenty (20) years
20	from the date of original issue of the capital development bonds being refunded.
21	The proceeds of the Refunding Bonds, exclusive of any premium and accrual interest and
22	net the underwriters’ cost, and cost of bond issuance, shall, upon their receipt, be paid by the
23	General Treasurer immediately to the paying agent for the capital development bonds which are to
24	be called and prepaid. The paying agent shall hold the Refunding Bond proceeds in trust until they
25	are applied to prepay the capital development bonds. While such proceeds are held in trust, the
26	proceeds may be invested for the benefit of the State in obligations of the United States of America
27	or the State of Rhode Island.
28	If the General Treasurer shall deposit with the paying agent for the capital development
29	bonds the proceeds of the Refunding Bonds, or proceeds from other sources, amounts that, when
30	invested in obligations of the United States or the State of Rhode Island, are sufficient to pay all
31	principal, interest, and premium, if any, on the capital development bonds until these bonds are
32	called for prepayment, then such capital development bonds shall not be considered debts of the
33	State of Rhode Island for any purpose starting from the date of deposit of such moneys with the
34	paying agent. The Refunding Bonds shall continue to be a debt of the State until paid.
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1	The term "bond" shall include "note," and the term "refunding bonds" shall include
2	"refunding notes" when used in this Act.
3	SECTION 6. Proceeds of capital development program.
4	The General Treasurer is directed to deposit the proceeds from the sale of capital
5	development bonds issued under this Act, exclusive of premiums and accrued interest and net the
6	underwriters’ cost, and cost of bond issuance, in one or more of the depositories in which the funds
7	of the State may be lawfully kept in special accounts (hereinafter cumulatively referred to as "such
8	capital development bond fund") appropriately designated for each of the projects set forth in
9	Section 1 hereof which shall have been approved by the People to be used for the purpose of paying
10	the cost of all such projects so approved.
11	All monies in the capital development bond fund shall be expended for the purposes
12	specified in the proposition provided for in Section 1 hereof under the direction and supervision of
13	the Director of Administration (hereinafter referred to as "Director"). The Director or his or her
14	designee shall be vested with all power and authority necessary or incidental to the purposes of this
15	Act, including but not limited to, the following authority: (a) to acquire land or other real property
16	or any interest, estate or right therein as may be necessary or advantageous to accomplish the
17	purposes of this Act; (b) to direct payment for the preparation of any reports, plans and
18	specifications, and relocation expenses and other costs such as for furnishings, equipment
19	designing, inspecting and engineering, required in connection with the implementation of any
20	projects set forth in Section 1 hereof; (c) to direct payment for the costs of construction,
21	rehabilitation, enlargement, provision of service utilities, and razing of facilities, and other
22	improvements to land in connection with the implementation of any projects set forth in Section 1
23	hereof; and (d) to direct payment for the cost of equipment, supplies, devices, materials and labor
24	for repair, renovation or conversion of systems and structures as necessary for the 2022 capital
25	development program bonds or notes hereunder from the proceeds thereof. No funds shall be
26	expended in excess of the amount of the capital development bond fund designated for each project
27	authorized in Section 1 hereof. With respect to the bonds and temporary notes described in Section
28	1, the proceeds shall be used for the following purposes:
29	Question 1, relating to bonds in the amount of sixty-two million dollars ($62,000,000) to
30	provide funding for higher education facilities to be allocated as follows:
31	(a) University of Rhode Island Narragansett Bay Campus$50,000,000
32	Provides fifty million dollars ($50,000,000) to fund repairs and construct new facilities on
33	the University of Rhode Island’s Narragansett Bay Campus in support of the educational and
34	research needs for the marine disciplines.
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1	(b) Community College of Rhode Island Renovation and Modernization$12,000,000
2	Provides twelve million dollars ($12,000,000) to fund restoration and enhancement of
3	academic and student support spaces and other infrastructure on the four campuses of the
4	Community College of Rhode Island (CCRI). Funds will go towards modernizing and renovating
5	facilities, addressing repairs, improving safety and energy efficiency, and replacing outdated
6	technology and equipment used for teaching and learning.
7	Question 2, relating to bonds in the amount of two hundred-fifty million dollars
8	($250,000,000) to provide funding for the construction, renovation, and rehabilitation of the state’s
9	public schools pursuant to § 45-38.2-4 (f).
10	Question 3, relating to bonds in the amount of thirty-eight million dollars ($38,000,000)
11	for environmental and recreational purposes, to be allocated as follows:
12	(a) Municipal Resiliency $16,000,000
13	Provides sixteen million dollars ($16,000,000) for up to seventy-five percent (75%)
14	matching grants to municipalities for restoring and/or improving resiliency of infrastructure,
15	vulnerable coastal habitats, and restoring rivers and stream floodplains. These funds are expected
16	to leverage significant matching funds to support local programs to improve community resiliency
17	and public safety in the face of increased flooding, major storm events, and environmental
18	degradation.
19	(d) Small Business Energy Loan Program $5,000,000
20	Provides five million dollars ($5,000,000) for grants for small businesses to remove
21	impediments to clean energy project implementation and would provide zero interest and below
22	market rate loans for clean energy projects.
23	(e) Narragansett Bay and Watershed Restoration $3,000,000
24	Provides three million dollars ($3,000,000) for activities to restore and protect the water
25	quality and enhance the economic viability and environmental sustainability of Narragansett Bay
26	and the state’s watersheds. Eligible activities include nonpoint source pollution abatement,
27	including stormwater management; nutrient loading abatement; commercial, industrial and
28	agricultural pollution abatement; and riparian buffer and watershed ecosystem restoration.
29	(f) Forest Restoration $3,000,000
30	Provides three million dollars ($3,000,000) to maintain forest and wildlife habitat and
31	infrastructure on state properties, including state management areas.
32	(e) Brownfields Remediation and Economic Development $4,000,000
33	Provides four million dollars ($4,000,000) for up to eighty percent (80%) matching grants
34	to public, private, and/or non-profit entities for brownfield remediation projects.
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1	(f) State Land Acquisition Program $3,000,000
2	Provides three million dollars ($3,000,000) for the State to acquire fee simple interest or
3	conservation easements to open space, farmland, watershed, and recreation lands.
4	(g) Local Land Acquisition Matching Grant Program $2,000,000
5	Provides two million dollars ($2,000,000) for up to fifty percent (50%) matching grants to
6	municipalities, local land trusts and nonprofit organizations to acquire fee-simple interest,
7	development rights, or conservation easements on open space and urban parklands.
8	(h) Local Recreation Development Matching Grant Program $2,000,000
9	Provides two million dollars ($2,000,000) for up to eighty percent (80%) matching grants
10	to municipalities to acquire, develop, or rehabilitate local public recreational facilities in Rhode
11	Island.
12	SECTION 7. Sale of bonds and notes.
13	Any bonds or notes issued under the authority of this Act shall be sold at not less than the
14	principal amount thereof, in such mode and on such terms and conditions as the General Treasurer,
15	with the approval of the Governor, shall deem to be in the best interests of the State.
16	Any premiums and accrued interest, net of the cost of bond issuance and underwriter’s
17	discount, which may be received on the sale of the capital development bonds or notes shall become
18	part of the Rhode Island Capital Plan Fund of the State, unless directed by federal law or regulation
19	to be used for some other purpose.
20	In the event that the amount received from the sale of the capital development bonds or
21	notes exceeds the amount necessary for the purposes stated in Section 6 hereof, the surplus may be
22	used to the extent possible to retire the bonds as the same may become due, to redeem them in
23	accordance with the terms thereof or otherwise to purchase them as the General Treasurer, with the
24	approval of the Governor, shall deem to be in the best interests of the state.
25	Any bonds or notes issued under the provisions of this Act and coupons on any capital
26	development bonds, if properly executed by the manual or electronic signatures of officers of the
27	State in office on the date of execution, shall be valid and binding according to their tenor,
28	notwithstanding that before the delivery thereof and payment therefor, any or all such officers shall
29	for any reason have ceased to hold office.
30	SECTION 8. Bonds and notes to be tax exempt and general obligations of the State.
31	All bonds and notes issued under the authority of this Act shall be exempt from taxation in
32	the State and shall be general obligations of the State, and the full faith and credit of the State is
33	hereby pledged for the due payment of the principal and interest on each of such bonds and notes
34	as the same shall become due.
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1	SECTION 9. Investment of moneys in fund.
2	All moneys in the capital development fund not immediately required for payment pursuant
3	to the provisions of this act may be invested by the investment commission, as established by
4	Chapter 10 of Title 35, entitled “State Investment Commission,” pursuant to the provisions of such
5	chapter; provided, however, that the securities in which the capital development fund is invested
6	shall remain a part of the capital development fund until exchanged for other securities; and
7	provided further, that the income from investments of the capital development fund shall become
8	a part of the general fund of the State and shall be applied to the payment of debt service charges
9	of the State, unless directed by federal law or regulation to be used for some other purpose, or to
10	the extent necessary, to rebate to the United States treasury any income from investments (including
11	gains from the disposition of investments) of proceeds of bonds or notes to the extent deemed
12	necessary to exempt (in whole or in part) the interest paid on such bonds or notes from federal
13	income taxation.
14	SECTION 10. Appropriation.
15	To the extent the debt service on these bonds is not otherwise provided, a sum sufficient to
16	pay the interest and principal due each year on bonds and notes hereunder is hereby annually
17	appropriated out of any money in the treasury not otherwise appropriated.
18	SECTION 11. Advances from general fund.
19	The General Treasurer is authorized, with the approval of the Director and the Governor,
20	in anticipation of the issue of notes or bonds under the authority of this Act, to advance to the capital
21	development bond fund for the purposes specified in Section 6 hereof, any funds of the State not
22	specifically held for any particular purpose; provided, however, that all advances made to the
23	capital development bond fund shall be returned to the general fund from the capital development
24	bond fund forthwith upon the receipt by the capital development fund of proceeds resulting from
25	the issue of notes or bonds to the extent of such advances.
26	SECTION 12. Federal assistance and private funds.
27	In carrying out this act, the Director, or his or her designee, is authorized on behalf of the
28	State, with the approval of the Governor, to apply for and accept any federal assistance which may
29	become available for the purpose of this Act, whether in the form of loan or grant or otherwise, to
30	accept the provision of any federal legislation therefor, to enter into, act and carry out contracts in
31	connection therewith, to act as agent for the federal government in connection therewith, or to
32	designate a subordinate so to act. Where federal assistance is made available, the project shall be
33	carried out in accordance with applicable federal law, the rules and regulations thereunder and the
34	contract or contracts providing for federal assistance, notwithstanding any contrary provisions of
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1	State law. Subject to the foregoing, any federal funds received for the purposes of this Act shall be
2	deposited in the capital development bond fund and expended as a part thereof. The Director or
3	his or her designee may also utilize any private funds that may be made available for the purposes
4	of this Act.
5	SECTION 13. Effective Date.
6	Sections 1, 2, 3, 11, 12 and this Section 13 of this article shall take effect upon passage.
7	The remaining sections of this article shall take effect when and if the State Board of Elections shall
8	certify to the Secretary of State that a majority of the qualified electors voting on the proposition
9	contained in Section 1 hereof have indicated their approval of all or any projects thereunder.
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1	ARTICLE 6
2	RELATING TO TAXATION
3	SECTION 1. Section 44-30-12 of the General Laws in Chapter 44-30 entitled "Personal
4	Income Tax" is hereby amended to read as follows:
5	44-30-12 Rhode Island income of a resident individual.
6	(a) General. The Rhode Island income of a resident individual means his or her adjusted
7	gross income for federal income tax purposes, with the modifications specified in this section.
8	(b) Modifications increasing federal adjusted gross income. There shall be added to federal
9	adjusted gross income:
10	(1) Interest income on obligations of any state, or its political subdivisions, other than
11	Rhode Island or its political subdivisions;
12	(2) Interest or dividend income on obligations or securities of any authority, commission,
13	or instrumentality of the United States, but not of Rhode Island or its political subdivisions, to the
14	extent exempted by the laws of the United States from federal income tax but not from state income
15	taxes;
16	(3) The modification described in § 44-30-25(g);
17	(4) (i) The amount defined below of a nonqualified withdrawal made from an account in
18	the tuition savings program pursuant to § 16-57-6.1. For purposes of this section, a nonqualified
19	withdrawal is:
20	(A) A transfer or rollover to a qualified tuition program under Section 529 of the Internal
21	Revenue Code, 26 U.S.C. § 529, other than to the tuition savings program referred to in § 16-57-
22	6.1; and
23	(B) A withdrawal or distribution that is:
24	(I) Not applied on a timely basis to pay "qualified higher education expenses" as defined
25	in § 16-57-3(12) of the beneficiary of the account from which the withdrawal is made;
26	(II) Not made for a reason referred to in § 16-57-6.1(e); or
27	(III) Not made in other circumstances for which an exclusion from tax made applicable by
28	Section 529 of the Internal Revenue Code, 26 U.S.C. § 529, pertains if the transfer, rollover,
29	withdrawal, or distribution is made within two (2) taxable years following the taxable year for
30	which a contributions modification pursuant to subsection (c)(4) of this section is taken based on
31	contributions to any tuition savings program account by the person who is the participant of the
32	account at the time of the contribution, whether or not the person is the participant of the account
33	at the time of the transfer, rollover, withdrawal or distribution;
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1	(ii) In the event of a nonqualified withdrawal under subsection (b)(4)(i)(A) or (b)(4)(i)(B)
2	of this section, there shall be added to the federal adjusted gross income of that person for the
3	taxable year of the withdrawal an amount equal to the lesser of:
4	(A) The amount equal to the nonqualified withdrawal reduced by the sum of any
5	administrative fee or penalty imposed under the tuition savings program in connection with the
6	nonqualified withdrawal plus the earnings portion thereof, if any, includible in computing the
7	person's federal adjusted gross income for the taxable year; and
8	(B) The amount of the person's contribution modification pursuant to subsection (c)(4) of
9	this section for the person's taxable year of the withdrawal and the two (2) prior taxable years less
10	the amount of any nonqualified withdrawal for the two (2) prior taxable years included in
11	computing the person's Rhode Island income by application of this subsection for those years. Any
12	amount added to federal adjusted gross income pursuant to this subdivision shall constitute Rhode
13	Island income for residents, nonresidents and part-year residents;
14	(5) The modification described in § 44-30-25.1(d)(3)(i);
15	(6) The amount equal to any unemployment compensation received but not included in
16	federal adjusted gross income;
17	(7) The amount equal to the deduction allowed for sales tax paid for a purchase of a
18	qualified motor vehicle as defined by the Internal Revenue Code § 164(a)(6); and
19	(8) For any taxable year beginning on or after January 1, 2020, the amount of any Paycheck
20	Protection Program loan forgiven for federal income tax purposes as authorized by the Coronavirus
21	Aid, Relief, and Economic Security Act and/or the Consolidated Appropriations Act, 2021 and/or
22	any other subsequent federal stimulus relief packages enacted by law, to the extent that the amount
23	of the loan forgiven exceeds $250,000, including an individual's distributive share of the amount
24	of a pass-through entity's loan forgiveness in excess of $250,000.
25	(c) Modifications reducing federal adjusted gross income. There shall be subtracted from
26	federal adjusted gross income:
27	(1) Any interest income on obligations of the United States and its possessions to the extent
28	includible in gross income for federal income tax purposes, and any interest or dividend income on
29	obligations, or securities of any authority, commission, or instrumentality of the United States to
30	the extent includible in gross income for federal income tax purposes but exempt from state income
31	taxes under the laws of the United States; provided, that the amount to be subtracted shall in any
32	case be reduced by any interest on indebtedness incurred or continued to purchase or carry
33	obligations or securities the income of which is exempt from Rhode Island personal income tax, to
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1	the extent the interest has been deducted in determining federal adjusted gross income or taxable
2	income;
3	(2) A modification described in § 44-30-25(f) or § 44-30-1.1(c)(1);
4	(3) The amount of any withdrawal or distribution from the "tuition savings program"
5	referred to in § 16-57-6.1 that is included in federal adjusted gross income, other than a withdrawal
6	or distribution or portion of a withdrawal or distribution that is a nonqualified withdrawal;
7	(4) Contributions made to an account under the tuition savings program, including the
8	"contributions carryover" pursuant to subsection (c)(4)(iv) of this section, if any, subject to the
9	following limitations, restrictions and qualifications:
10	(i) The aggregate subtraction pursuant to this subdivision for any taxable year of the
11	taxpayer shall not exceed five hundred dollars ($500) or one thousand dollars ($1,000) if a joint
12	return;
13	(ii) The following shall not be considered contributions:
14	(A) Contributions made by any person to an account who is not a participant of the account
15	at the time the contribution is made;
16	(B) Transfers or rollovers to an account from any other tuition savings program account or
17	from any other "qualified tuition program" under section 529 of the Internal Revenue Code, 26
18	U.S.C. § 529; or
19	(C) A change of the beneficiary of the account;
20	(iii) The subtraction pursuant to this subdivision shall not reduce the taxpayer's federal
21	adjusted gross income to less than zero (0);
22	(iv) The contributions carryover to a taxable year for purpose of this subdivision is the
23	excess, if any, of the total amount of contributions actually made by the taxpayer to the tuition
24	savings program for all preceding taxable years for which this subsection is effective over the sum
25	of:
26	(A) The total of the subtractions under this subdivision allowable to the taxpayer for all
27	such preceding taxable years; and
28	(B) That part of any remaining contribution carryover at the end of the taxable year which
29	exceeds the amount of any nonqualified withdrawals during the year and the prior two (2) taxable
30	years not included in the addition provided for in this subdivision for those years. Any such part
31	shall be disregarded in computing the contributions carryover for any subsequent taxable year;
32	(v) For any taxable year for which a contributions carryover is applicable, the taxpayer
33	shall include a computation of the carryover with the taxpayer's Rhode Island personal income tax
34	return for that year, and if for any taxable year on which the carryover is based the taxpayer filed a
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1	joint Rhode Island personal income tax return but filed a return on a basis other than jointly for a
2	subsequent taxable year, the computation shall reflect how the carryover is being allocated between
3	the prior joint filers;
4	(5) The modification described in § 44-30-25.1(d)(1);
5	(6) Amounts deemed taxable income to the taxpayer due to payment or provision of
6	insurance benefits to a dependent, including a domestic partner pursuant to chapter 12 of title 36 or
7	other coverage plan;
8	(7) Modification for organ transplantation.
9	(i) An individual may subtract up to ten thousand dollars ($10,000) from federal adjusted
10	gross income if he or she, while living, donates one or more of his or her human organs to another
11	human being for human organ transplantation, except that for purposes of this subsection, "human
12	organ" means all or part of a liver, pancreas, kidney, intestine, lung, or bone marrow. A subtract
13	modification that is claimed hereunder may be claimed in the taxable year in which the human
14	organ transplantation occurs.
15	(ii) An individual may claim that subtract modification hereunder only once, and the
16	subtract modification may be claimed for only the following unreimbursed expenses that are
17	incurred by the claimant and related to the claimant's organ donation:
18	(A) Travel expenses.
19	(B) Lodging expenses.
20	(C) Lost wages.
21	(iii) The subtract modification hereunder may not be claimed by a part-time resident or a
22	nonresident of this state;
23	(8) Modification for taxable Social Security income.
24	(i) For tax years beginning on or after January 1, 2016:
25	(A) For a person who has attained the age used for calculating full or unreduced social
26	security retirement benefits who files a return as an unmarried individual, head of household, or
27	married filing separate whose federal adjusted gross income for the taxable year is less than eighty
28	thousand dollars ($80,000); or
29	(B) A married individual filing jointly or individual filing qualifying widow(er) who has
30	attained the age used for calculating full or unreduced social security retirement benefits whose
31	joint federal adjusted gross income for the taxable year is less than one hundred thousand dollars
32	($100,000), an amount equal to the social security benefits includible in federal adjusted gross
33	income.
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1	(ii) Adjustment for inflation. The dollar amount contained in subsections (c)(8)(i)(A) and
2	(c)(8)(i)(B) of this section shall be increased annually by an amount equal to:
3	(A) Such dollar amount contained in subsections (c)(8)(i)(A) and (c)(8)(i)(B) of this
4	section adjusted for inflation using a base tax year of 2000, multiplied by;
5	(B) The cost-of-living adjustment with a base year of 2000.
6	(iii) For the purposes of this section the cost-of-living adjustment for any calendar year is
7	the percentage (if any) by which the consumer price index for the preceding calendar year exceeds
8	the consumer price index for the base year. The consumer price index for any calendar year is the
9	average of the consumer price index as of the close of the twelve-month (12) period ending on
10	August 31, of such calendar year.
11	(iv) For the purpose of this section the term "consumer price index" means the last
12	consumer price index for all urban consumers published by the department of labor. For the purpose
13	of this section the revision of the consumer price index which is most consistent with the consumer
14	price index for calendar year 1986 shall be used.
15	(v) If any increase determined under this section is not a multiple of fifty dollars ($50.00),
16	such increase shall be rounded to the next lower multiple of fifty dollars ($50.00). In the case of a
17	married individual filing separate return, if any increase determined under this section is not a
18	multiple of twenty-five dollars ($25.00), such increase shall be rounded to the next lower multiple
19	of twenty-five dollars ($25.00);
20	(9) Modification for up to fifteen thousand dollars ($15,000) of taxable retirement income
21	from certain pension plans or annuities.
22	(i) For tax years beginning on or after January 1, 2017, a modification shall be allowed for
23	up to fifteen thousand dollars ($15,000) of taxable pension and/or annuity income that is included
24	in federal adjusted gross income for the taxable year:
25	(A) For a person who has attained the age used for calculating full or unreduced social
26	security retirement benefits who files a return as an unmarried individual, head of household, or
27	married filing separate whose federal adjusted gross income for such taxable year is less than the
28	amount used for the modification contained in subsection (c)(8)(i)(A) of this section an amount not
29	to exceed $15,000 of taxable pension and/or annuity income includible in federal adjusted gross
30	income; or
31	(B) For a married individual filing jointly or individual filing qualifying widow(er) who
32	has attained the age used for calculating full or unreduced social security retirement benefits whose
33	joint federal adjusted gross income for such taxable year is less than the amount used for the
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1	modification contained in subsection (c)(8)(i)(B) of this section an amount not to exceed $15,000
2	of taxable pension and/or annuity income includible in federal adjusted gross income.
3	(ii) Adjustment for inflation. The dollar amount contained by reference in subsections
4	(c)(9)(i)(A) and (c)(9)(i)(B) of this section shall be increased annually for tax years beginning on
5	or after January 1, 2018, by an amount equal to:
6	(A) Such dollar amount contained by reference in subsections (c)(9)(i)(A) and (c)(9)(i)(B)
7	of this section adjusted for inflation using a base tax year of 2000, multiplied by;
8	(B) The cost-of-living adjustment with a base year of 2000.
9	(iii) For the purposes of this section, the cost-of-living adjustment for any calendar year is
10	the percentage (if any) by which the consumer price index for the preceding calendar year exceeds
11	the consumer price index for the base year. The consumer price index for any calendar year is the
12	average of the consumer price index as of the close of the twelve-month (12) period ending on
13	August 31, of such calendar year.
14	(iv) For the purpose of this section, the term "consumer price index" means the last
15	consumer price index for all urban consumers published by the department of labor. For the purpose
16	of this section, the revision of the consumer price index which is most consistent with the consumer
17	price index for calendar year 1986 shall be used.
18	(v) If any increase determined under this section is not a multiple of fifty dollars ($50.00),
19	such increase shall be rounded to the next lower multiple of fifty dollars ($50.00). In the case of a
20	married individual filing a separate return, if any increase determined under this section is not a
21	multiple of twenty-five dollars ($25.00), such increase shall be rounded to the next lower multiple
22	of twenty-five dollars ($25.00); and
23	(10) Modification for Rhode Island investment in opportunity zones. For purposes of a
24	taxpayer's state tax liability, in the case of any investment in a Rhode Island opportunity zone by
25	the taxpayer for at least seven (7) years, a modification to income shall be allowed for the
26	incremental difference between the benefit allowed under 26 U.S.C. § 1400Z-2(b)(2)(B)(iv) and
27	the federal benefit allowed under 26 U.S.C. § 1400Z-2(c).; and
28	(11) Modification for military service pensions.
29	(i) For purposes of a taxpayer’s state tax liability, a modification to income shall be allowed
30	as follows:
31	(A) For the tax year beginning on January 1, 2023, a taxpayer may subtract from federal
32	adjusted gross income up to twenty percent (20%) of the taxpayer’s military service pension
33	benefits included in federal adjusted gross income;
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1	(B) For the tax year beginning on January 1, 2024, a taxpayer may subtract from federal
2	adjusted gross income up to forty percent (40%) of the taxpayer’s military service pension benefits
3	included in federal adjusted gross income;
4	(C) For the tax year beginning on January 1, 2025, a taxpayer may subtract from federal
5	adjusted gross income up to sixty percent (60%) of the taxpayer’s military service pension benefits
6	included in federal adjusted gross income;
7	(D) For the tax year beginning on January 1, 2026, a taxpayer may subtract from federal
8	adjusted gross income up to eighty percent (80%) of the taxpayer’s military service pension benefits
9	included in federal adjusted gross income;
10	(E) For tax years beginning on or after January 1, 2027, a taxpayer may subtract from
11	federal adjusted gross income up to one hundred percent (100%) of the taxpayer’s military service
12	pension benefits included in federal adjusted gross income.
13	(ii) As used in this subsection, the term “military service” shall have the same meaning as
14	set forth in 20 CFR Section 212.2.
15	(iii) At no time shall the modification allowed under this subsection alone or in conjunction
16	with subsection (c)(9) exceed the amount of the military service pension received in the tax year
17	for which the modification is claimed.
18	(d) Modification for Rhode Island fiduciary adjustment. There shall be added to, or
19	subtracted from, federal adjusted gross income (as the case may be) the taxpayer's share, as
20	beneficiary of an estate or trust, of the Rhode Island fiduciary adjustment determined under § 44-
21	30-17.
22	(e) Partners. The amounts of modifications required to be made under this section by a
23	partner, which relate to items of income or deduction of a partnership, shall be determined under §
24	44-30-15.
25	SECTION 2. This article shall take effect upon passage.
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1	ARTICLE 7
2	RELATING TO ENERGY AND THE ENVIRONMENT
3	SECTION 1. Section 39-2-1.2 of the General Laws in Chapter 39-2 entitled “Duties of
4	Utilities and Carriers” is hereby amended to read as follows:
5	39-2-1.2. Utility base rate — Advertising, demand-side management, and
6	renewables.
7	(a) In addition to costs prohibited in § 39-1-27.4(b), no public utility distributing or
8	providing heat, electricity, or water to or for the public shall include as part of its base rate any
9	expenses for advertising, either direct or indirect, that promotes the use of its product or service, or
10	is designed to promote the public image of the industry. No public utility may furnish support of
11	any kind, direct or indirect, to any subsidiary, group, association, or individual for advertising and
12	include the expense as part of its base rate. Nothing contained in this section shall be deemed as
13	prohibiting the inclusion in the base rate of expenses incurred for advertising, informational or
14	educational in nature, that is designed to promote public safety conservation of the public utility's
15	product or service. The public utilities commission shall promulgate such rules and regulations as
16	are necessary to require public disclosure of all advertising expenses of any kind, direct or indirect,
17	and to otherwise effectuate the provisions of this section.
18	(b) Effective as of January 1, 2008, and for a period of twenty (20) years thereafter, each
19	electric distribution company shall include a charge per kilowatt-hour delivered to fund demand-
20	side management programs. The 0.3 mills per kilowatt-hour delivered to fund renewable energy
21	programs shall remain in effect until December 31, 2028. The electric distribution company shall
22	establish and, after July 1, 2007, maintain, two (2) separate accounts, one for demand-side
23	management programs (the "demand-side account"), which shall be funded by the electric demand-
24	side charge and administered and implemented by the distribution company, subject to the
25	regulatory reviewing authority of the commission, and one for renewable energy programs, which
26	shall be administered by the Rhode Island commerce corporation pursuant to § 42-64-13.2 and shall
27	be held and disbursed by the distribution company as directed by the Rhode Island commerce
28	corporation for the purposes of developing, promoting, and supporting renewable energy programs.
29	During the time periods established in this subsection, the commission may, in its
30	discretion, after notice and public hearing, increase the sums for demand-side management and
31	renewable resources. In addition, the commission shall, after notice and public hearing, determine
32	the appropriate charge for these programs. The office of energy resources, and/or the administrator
33	of the renewable energy programs, may seek to secure for the state an equitable and reasonable
34	portion of renewable energy credits or certificates created by private projects funded through those
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1	programs. As used in this section, "renewable energy resources" shall mean: (1) Power generation
2	technologies, as defined in § 39-26-5, "eligible renewable energy resources," including off-grid and
3	on-grid generating technologies located in Rhode Island, as a priority; (2) Research and
4	development activities in Rhode Island pertaining to eligible renewable energy resources and to
5	other renewable energy technologies for electrical generation; or (3) Projects and activities directly
6	related to implementing eligible renewable energy resources projects in Rhode Island.
7	Technologies for converting solar energy for space heating or generating domestic hot water may
8	also be funded through the renewable energy programs. Fuel cells may be considered an energy
9	efficiency technology to be included in demand-side management programs. Special rates for low-
10	income customers in effect as of August 7, 1996, shall be continued, and the costs of all of these
11	discounts shall be included in the distribution rates charged to all other customers. Nothing in this
12	section shall be construed as prohibiting an electric distribution company from offering any special
13	rates or programs for low-income customers which are not in effect as of August 7, 1996, subject
14	to the approval by the commission.
15	(1) The renewable energy investment programs shall be administered pursuant to rules
16	established by the Rhode Island commerce corporation. Said rules shall provide transparent criteria
17	to rank qualified renewable energy projects, giving consideration to:
18	(i) The feasibility of project completion;
19	(ii) The anticipated amount of renewable energy the project will produce;
20	(iii) The potential of the project to mitigate energy costs over the life of the project; and
21	(iv) The estimated cost per kilowatt-hour (KWh) of the energy produced from the project.
22	(c) [Deleted by P.L. 2012, ch. 241, art. 4, § 14.]
23	(d) The chief executive officer of the commerce corporation is authorized and may enter
24	into a contract with a contractor for the cost-effective administration of the renewable energy
25	programs funded by this section. A competitive bid and contract award for administration of the
26	renewable energy programs may occur every three (3) years and shall include, as a condition, that
27	after July 1, 2008, the account for the renewable energy programs shall be maintained and
28	administered by the commerce corporation as provided for in subsection (b) of this section.
29	(e) Effective January 1, 2007, and for a period of twenty-one (21) years thereafter, each
30	gas distribution company shall include, with the approval of the commission, a charge per deca
31	therm delivered to fund demand-side management programs (the "gas demand-side charge"),
32	including, but not limited to, programs for cost-effective energy efficiency, energy conservation,
33	combined heat and power systems, and weatherization services for low-income households.
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1	(f) Each gas company shall establish a separate account for demand-side management
2	programs (the "gas demand-side account") that shall be funded by the gas demand-side charge and
3	administered and implemented by the distribution company, subject to the regulatory reviewing
4	authority of the commission. The commission may establish administrative mechanisms and
5	procedures that are similar to those for electric demand-side management programs administered
6	under the jurisdiction of the commission and that are designed to achieve cost-effectiveness and
7	high, life-time savings of efficiency measures supported by the program.
8	(g) The commission may, if reasonable and feasible, except from this demand-side
9	management charge:
10	(1) Gas used for distribution generation; and
11	(2) Gas used for the manufacturing processes, where the customer has established a self-
12	directed program to invest in and achieve best-effective energy efficiency in accordance with a plan
13	approved by the commission and subject to periodic review and approval by the commission, which
14	plan shall require annual reporting of the amount invested and the return on investments in terms
15	of gas savings.
16	(h) The commission may provide for the coordinated and/or integrated
17	administration of electric and gas demand-side management programs in order to enhance the
18	effectiveness of the programs. Such coordinated and/or integrated administration may after March
19	1, 2009, upon the recommendation of the office of energy resources, be through one or more third-
20	party entities designated by the commission pursuant to a competitive selection process.
21	(i) Effective January 1, 2007, the commission shall allocate, from demand-side
22	management gas and electric funds authorized pursuant to this section, an amount not to exceed
23	three percent (3%) of such funds on an annual basis for the retention of expert consultants, and
24	reasonable administration costs of the energy efficiency and resources management council
25	associated with planning, management, and evaluation of energy-efficiency programs, renewable
26	energy programs, system reliability least-cost procurement, and with regulatory proceedings,
27	contested cases, and other actions pertaining to the purposes, powers, and duties of the council,
28	which allocation may by mutual agreement, be used in coordination with the office of energy
29	resources to support such activities.
30	(j) Effective January 1, 2016, the commission shall annually allocate from the
31	administrative funding amount allocated in subsection (i) from the demand-side management
32	program as described in subsection (i) as follows: forty percent (40%) for the purposes identified
33	in subsection (i) and sixty percent (60%) annually to the office of energy resources for activities
34	associated with planning, management, and evaluation of energy-efficiency programs, renewable
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1	energy programs, system reliability, least-cost procurement, and with regulatory proceedings,
2	contested cases, and other actions pertaining to the purposes, powers, and duties of the office of
3	energy resources. The office of energy resources and the energy efficiency resource management
4	council shall have exclusive authority to direct the use of these funds.
5	(k) On April 15, of each year, the office and the council shall submit to the governor, the
6	president of the senate, and the speaker of the house of representatives, separate financial and
7	performance reports regarding the demand-side management programs, including the specific level
8	of funds that were contributed by the residential, municipal, and commercial and industrial sectors
9	to the overall programs; the businesses, vendors, and institutions that received funding from
10	demand-side management gas and electric funds used for the purposes in this section; and the
11	businesses, vendors, and institutions that received the administrative funds for the purposes in
12	subsections (i) and (j). These reports shall be posted electronically on the websites of the office of
13	energy resources and the energy efficiency and resources management council.
14	(l) On or after August 1, 2015, at the request of the Rhode Island infrastructure bank, each
15	electric distribution company, except for the Pascoag Utility District and Block Island Power
16	Company, shall remit two percent (2%) of the amount of the 2014 electric demand-side charge
17	collections to the Rhode Island infrastructure bank.
18	(m) On or after August 1, 2015, at the request of the Rhode Island infrastructure bank, each
19	gas distribution company shall remit two percent (2%) of the amount of the 2014 gas demand-side
20	charge collections to the Rhode Island infrastructure bank.
21	(n) Effective January 1, 2022, the commission shall allocate, from demand-side
22	management gas and electric funds authorized pursuant to this section, five million dollars
23	($5,000,000) of such funds on an annual basis to the Rhode Island infrastructure bank. Gas and
24	electric demand-side funds transferred to the Rhode Island infrastructure bank pursuant to this
25	section shall be eligible to be used in any energy efficiency, renewable energy, clean transportation,
26	clean heating, energy storage, or demand-side management project financing program administered
27	by the Rhode Island infrastructure bank notwithstanding any other restrictions on the use of such
28	collections set forth in this chapter. The infrastructure bank shall report annually to the commission
29	within ninety (90) days of the end of each calendar year how collections transferred under this
30	section were utilized.
31	(o) Effective January 1, 2023, the commission shall allocate from demand-side
32	management gas and electric funds authorized pursuant to this section, six million dollars
33	($6,000,000) of such funds on an annual basis to the Rhode Island office of energy resources, on
34	behalf of the executive climate change coordinating council, for climate change-related initiatives.
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1	The executive climate change coordinating council shall have exclusive authority to direct the use
2	of these funds. The office of energy resources may act on behalf of the executive climate change
3	coordinating council to disburse these funds.
4	(i) The gas and electric demand-side funds allocated pursuant to 39-2-1.2(o) shall be used
5	for any energy efficiency, renewable energy, clean transportation, clean heating, energy storage,
6	demand-side management, or other programs and investments that support the reduction of
7	greenhouse gases consistent with the 2021 Act on Climate. Funds may also be used for the purpose
8	of providing the financial means for the council to purchase materials and to employ on a contract
9	or other basis expert consultant services, expert witnesses, and/or other support services necessary
10	to advance the requirements of the act on climate.
11	(ii) The Rhode Island executive climate change council shall report annually to the
12	governor and general assembly within one hundred and twenty (120) days of the end of each
13	calendar year how the funds were used to achieve the statutory objectives of the 2021 act on climate.
14	(iii) The office of energy resources is authorized and may enter into contracts with third-
15	party entities for the administration and/or implementation of climate change initiatives funded by
16	this section.
17	(iv) There is hereby established a restricted receipt account in the general fund of the state
18	and housed in the budget of the department of administration entitled “executive climate change
19	coordinating council projects.” The express purpose of this account is to record receipts and
20	expenditures of the program herein described and established within this subsection.
21	(p) Effective January 1, 2023, the electric and gas distribution company shall not be eligible
22	for performance based or other incentives related to the administration and implementation of
23	energy efficiency programs approved pursuant to this chapter.
24	(q) The Rhode Island office of energy resources, in coordination with the energy efficiency
25	resource management council, shall issue a request for proposals for the cost effective
26	administration and implementation of statewide energy efficiency programs funded by this section
27	no later than March 31, 2023. The Rhode Island office of energy resources, in coordination with
28	the energy efficiency resource management council, shall evaluate proposals and determine
29	whether energy efficiency administration and implementation by the electric and gas distribution
30	company or a third-party is in the best interest of Rhode Island energy consumers. After January
31	1, 2025, the office of energy resources may, periodically, and at its discretion, issue additional
32	requests for proposals for the administration and implementation of statewide energy efficiency
33	programs funded through this chapter.
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1	(i) Nothing in this chapter shall prohibit the electric and/or gas distribution company from
2	submitting a proposal to administer and implement the state energy efficiency programs.
3	(ii) If the office of energy resources, in coordination with the energy efficiency resource
4	management council, determines that the use of a third-party administrator is in the best interest of
5	Rhode Island energy consumers, it shall file its recommendation with the public utilities
6	commission, which shall docket and rule on the matter pursuant to its general statutory
7	authorization. If the commission determines that the recommended third-party administrator is in
8	the interest of Rhode Island utility customers, it shall provide for the full cost recovery of any
9	subsequent contracts entered into by the office and the third-party administrator from electric and
10	gas distribution customers.
11	(iii) If the office does not recommend advancement of a third-party administrator, the
12	electric and gas distribution utility shall continue to administer statewide energy efficiency
13	programs.
14	SECTION 2. Title 42 of the General Laws entitled “State Affairs and Government” is
15	hereby amended by adding thereto the following chapter:
16	CHAPTER 162
17	ELECTRIC VEHICLE CHARGING INFRASTRUCTURE PROGRAM
18	42-162-1. Legislative findings.
19	The general assembly finds and declares that:
20	(1) The 2021 act on climate establishes mandatory, economy-wide greenhouse gas
21	emissions reduction targets; and
22	(2) To meet these goals, Rhode Island must accelerate its adoption of more sustainable
23	transportation solutions, including electric vehicles; and
24	(3) The widespread adoption of electric vehicles will necessitate investment in and
25	deployment of electric vehicle charging infrastructure; and
26	(4) Electric vehicle charging infrastructure must be made accessible to all Rhode Island
27	citizens and businesses, and deployed in an equitable manner; and
28	(5) The installation of electric vehicle charging infrastructure – and other clean energy
29	investments – will support statewide economic development and job growth in the clean energy
30	sector.
31	42-162-2. Definitions.
32	As used in this chapter, the following terms, unless the context requires a different
33	interpretation, shall have the following meanings:
34	(1) "Department" means the department of transportation.
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1	(2) “Electric Vehicle Charging Infrastructure” means equipment that supplies electricity to
2	charge electric vehicles, including charging stations and balance of plant.
3	(3) “Electric Vehicle Charging Infrastructure Funds” means but is not limited to, federal
4	funds allocated for electric vehicle charging infrastructure from the federal infrastructure
5	investment and jobs act and any funds allocated as state match to federal funds.
6	(4) “Federal Funds” means monies allocated for electric vehicle charging infrastructure
7	from the infrastructure investment and jobs act.
8	(5) "Office" means the office of energy resources.
9	42-162-3. Implementation of the electric vehicle charging infrastructure investment
10	program.
11	(a) There is hereby established an electric vehicle charging infrastructure investment
12	program. The department and office shall, in consultation with the department of environmental
13	management, establish the electric vehicle charging infrastructure investment program to be
14	administered by the office in consultation with the department.
15	(b) The department and office, in consultation with the department of environmental
16	management, shall propose draft program and investment criteria on the electric vehicle charging
17	infrastructure investment program and accept public comment for thirty (30) days. The draft shall
18	specify the incentive levels, eligibility criteria, and program rules for electric vehicle charging
19	infrastructure incentives. The program and investment criteria shall be finalized by the office and
20	department after the public comment period closes and include responses to submitted public
21	comments.
22	(c) The department and office shall provide a website for the electric vehicle charging
23	infrastructure investment program to support public accessibility.
24	42-162-4. Reporting.
25	The department and office shall provide a report to the governor and general assembly by
26	December 31, 2023, on the results of the electric vehicle charging infrastructure investment
27	program. The department and office shall provide an annual report to the governor and general
28	assembly until the federal funds have been completely utilized.
29	SECTION 3. Section 46-23-20.1 of the General Laws in Chapter 46-23 entitled “Coastal
30	Resources Management Council” is hereby amended to read as follows:
31	46-23-20.1. Hearing officers — Appointment — Compensation — Subcommittee.
32	(a) The governor, with the advice and consent of the senate, shall appoint two (2) hearing
33	officers who shall be attorneys-at-law, who, prior to their appointment, shall have practiced law for
34	a period of not less than five (5) years for a term of five (5) years; provided, however, that the initial
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1	appointments shall be as follows: one hearing officer shall be appointed for a term of three (3) years
2	and one hearing officer shall be appointed for a term of five (5) years. The appointees shall be
3	addressed as hearing officers.
4	(b) The governor shall designate one of the hearing officers as chief hearing officer. The
5	hearing officers shall hear proceedings as provided by this section, and the council, with the
6	assistance of the chief hearing officer, may promulgate such rules and regulations as shall be
7	necessary or desirable to effect the purposes of this section.
8	(c) A hearing officer shall be devoted full time to these administrative duties, and shall not
9	otherwise practice law while holding office nor be a partner nor an associate of any person in the
10	practice of law. may be appointed to serve on a part-time basis. No hearing officer shall participate
11	in any case in which he or she is an interested party.
12	(d) Compensation for hearing officers shall be determined by the unclassified pay board.
13	(e) Whenever the chairperson of the coastal resources management council or, in the
14	absence of the chairperson, the commissioner of coastal resources makes a finding that the hearing
15	officers are otherwise engaged and unable to hear a matter in a timely fashion, he or she may
16	appoint a subcommittee which will act as hearing officers in any contested case coming before the
17	council. The subcommittee shall consist of at least one member; provided, however, that in all
18	contested cases an additional member shall be a resident of the coastal community affected. The
19	city or town council of each coastal community shall, at the beginning of its term of office, appoint
20	a resident of that city or town to serve as an alternate member of the aforesaid subcommittee should
21	there be no existing member of the coastal resources management council from that city or town
22	available to serve on the subcommittee. Any member of the subcommittee actively engaged in
23	hearing a case shall continue to hear the case, even though his or her term may have expired, until
24	the case is concluded and a vote taken thereon. Hearings before subcommittees shall be subject to
25	all rules of practice and procedure as govern hearings before hearing officers.
26	SECTION 4. This article shall take effect upon passage.
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1	ARTICLE 8
2	RELATING TO SMALL BUSINESS
3	SECTION 1. Section 3-6-1.2 of the General Laws in Chapter 3-6 entitled “Manufacturing
4	and Wholesale Licenses” is hereby amended as follows:
5	3-6-1.2. Brewpub manufacturer's license.
6	(a) A brewpub manufacturer's license shall authorize the holder to establish and operate a
7	brewpub within this state. The brewpub manufacturer's license shall authorize the retail sale of the
8	beverages manufactured on the location for consumption on the premises. The license shall not
9	authorize the retail sale of beverages from any location other than the location set forth in the
10	license. A brewpub may sell at retail alcoholic beverages produced on the premises by the half-
11	gallon bottle known as a "growler" to consumers for off the premises consumption to be sold
12	pursuant to the laws governing retail Class A establishments. The license also authorizes the sale
13	of beverages produced on the premises in an amount not in excess of forty-eight (48) twelve-ounce
14	(12 oz.) bottles or cans or forty-eight (48) sixteen-ounce (16 oz.) bottles or cans of malt beverages,
15	or one thousand five hundred milliliters (1500 ml), of distilled spirits per visitor, per day, to be sold
16	in containers that may hold no more than seventy-two ounces (72 oz.) each. These beverages may
17	be sold to the consumers for off-premises consumption, and shall be sold pursuant to the laws
18	governing retail Class A establishments.
19	(b) The license shall also authorize the sale at wholesale at the licensed place by the
20	manufacturer of the product of his or her licensed plant as well as beverages produced for the
21	brewpub and sold under the brewpub's name to a holder of a wholesaler's license and the
22	transportation and delivery from the place of sale to the licensed wholesaler or to a common carrier
23	for that delivery.
24	(c) The brewpub manufacturer's license further authorizes the sale of beverages
25	manufactured on the premises to any person holding a valid wholesaler's and importer's license
26	under § 3-6-9 or 3-6-11.
27	(d) The annual fee for the license is one thousand dollars ($1,000) for a brewpub producing
28	more than fifty thousand gallons (50,000 gal.) per year and five hundred dollars ($500) per year for
29	a brewpub producing less than fifty thousand gallons (50,000 gal.) per year. The annual fee is
30	prorated to the year ending December 1 in every calendar year and paid to the general treasurer for
31	the use of the state.
32	(e) [Expires March 1, 2022]. A holder of a brewpub manufacturer’s license will be
33	permitted to sell, with take-out food orders, up to two (2) seven hundred fifty millimeter (750 ml)
34	bottles of wine or the equivalent volume of wine in smaller factory sealed containers, or seventy-
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1	two ounces (72 oz.) of mixed wine-based drinks or single-serving wine in containers sealed in such
2	a way as to prevent re-opening without obvious evidence that the seal was removed or broken, one
3	hundred forty-four ounces (144 oz.) of beer or mixed beverages in original factory sealed
4	containers, and one hundred forty-four ounces (144 oz.) of draft beer or seventy-two ounces (72
5	oz.) of mixed beverages containing not more than nine ounces (9 oz.) of distilled spirits in growlers,
6	bottles, or other containers sealed in such a way as to prevent re-opening without obvious evidence
7	that the seal was removed or broken, provided such sales shall be made in accordance with § 1.4.10
8	of the department of business regulation (DBR) liquor control administration regulations, 230-
9	RICR-30-10-1, and any other DBR regulations.
10	(1) [Expires March 1, 2022]. Delivery of alcoholic beverages with food from a brewpub
11	licensee is prohibited.
12	SECTION 2. Section 3-7-7 of the General Laws in Chapter 3-7 entitled “Retail Licenses”
13	is hereby amended as follows:
14	3-7-7. Class B license.
15	(a)(1) A retailer's Class B license is issued only to a licensed bona fide tavern keeper or
16	victualer whose tavern or victualing house may be open for business and regularly patronized at
17	least from nine o'clock (9:00) a.m. to seven o'clock (7:00) p.m. provided no beverage is sold or
18	served after one o'clock (1:00) a.m., nor before six o'clock (6:00) a.m. Local licensing boards may
19	fix an earlier closing time within their jurisdiction, at their discretion. The East Greenwich town
20	council may, in its discretion, issue full and limited Class B licenses which may not be transferred,
21	but which shall revert to the town of East Greenwich if not renewed by the holder. The Cumberland
22	town council may, in its discretion, issue full and limited Class B licenses which may not be
23	transferred to another person or entity, or to another location, but which shall revert to the town of
24	Cumberland if not renewed by the holder.
25	The Pawtucket city council may, in its discretion, issue full and limited Class B licenses
26	which may not be transferred to another person or entity, or to another location, but which shall
27	revert to the city of Pawtucket if not renewed by the holder. This legislation shall not affect any
28	Class B license holders whose licenses were issued by the Pawtucket city council with the right to
29	transfer.
30	(2) The license authorizes the holder to keep for sale and sell beverages including beer in
31	cans, at retail at the place described and to deliver them for consumption on the premises or place
32	where sold, but only at tables or a lunch bar where food is served. It also authorizes the charging
33	of a cover, minimum, or door charge. The amount of the cover, or minimum, or door charge is
34	posted at the entrance of the establishments in a prominent place.
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1	(i) [Expires March 1, 2022]. A holder of a Class B license will be permitted to sell, with
2	take-out food orders, up to two (2) seven hundred fifty millimeter (750 ml) bottles of wine or the
3	equivalent volume of wine in smaller factory sealed containers, or seventy-two ounces (72 oz.) of
4	mixed wine-based drinks or single-serving wine in containers sealed in such a way as to prevent
5	re-opening without obvious evidence that the seal was removed or broken, one hundred forty-four
6	ounces (144 oz.) of beer or mixed beverages in original factory sealed containers, and one hundred
7	forty-four ounces (144 oz.) of draft beer or seventy-two ounces (72 oz.) of mixed beverages
8	containing not more than nine ounces (9 oz.) of distilled spirits in growlers, bottles, or other
9	containers sealed in such a way as to prevent re-opening without obvious evidence that the seal was
10	removed or broken, provided such sales shall be made in accordance with § 1.4.10 of the
11	department of business regulation (DBR) liquor control administration regulations, 230-RICR-30-
12	10-1, and any other DBR regulations.
13	(ii) [Expires March 1, 2022]. Delivery of alcoholic beverages with food from a Class B
14	licensee is prohibited.
15	(3) Holders of licenses are not permitted to hold dances within the licensed premises unless
16	proper permits have been properly obtained from the local licensing authorities.
17	(4) Any holder of a Class B license may, upon the approval of the local licensing board
18	and for the additional payment of two hundred dollars ($200) to five hundred dollars ($500), open
19	for business at twelve o'clock (12:00) p.m. and on Fridays and Saturdays and the night before legal
20	state holidays may close at two o'clock (2:00) a.m. All requests for a two o'clock (2:00) a.m. license
21	shall be advertised by the local licensing board in a newspaper having a circulation in the county
22	where the establishment applying for the license is located.
23	(5) A holder of a retailer's Class B license is allowed to erect signs advertising his or her
24	business and products sold on the premises, including neon signs, and is allowed to light those signs
25	during all lawful business hours, including Sundays and holidays.
26	(6) Notwithstanding the provisions of subsection (a) and/or § 3-7-16.4, a holder of a retail
27	class B and/or class ED license may apply to the municipality in which the licensee is located for
28	a permit to conduct a so-called "Lock-In Event", under the following conditions:
29	(i) A "Lock-In Event" is defined as an event where a specified group of individuals are
30	permitted to remain in a licensed premises after closing hours including, but not limited to, the
31	hours of 1:00 a.m. to 6:00 a.m.
32	(ii) A Lock-In Event must have the approval of the municipal licensing authority pursuant
33	to a permit issued for each such event, subject to such conditions as may attach to the permit. The
34	fee for the permit shall be not less than fifty dollars ($50.00) nor more than one hundred dollars
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1	($100). The granting or denial of a Lock-In Event permit shall be in the sole discretion of the
2	municipal licensing authority and there shall be no appeal from the denial of such a permit.
3	(iii) During the entire period of any Lock-In Event, all alcoholic beverages must be secured
4	in place or removed from the public portion of the premises and secured to the satisfaction of the
5	municipality issuing the Lock-In Event permit.
6	(iv) During the Lock-In Event, the establishment shall be exclusively occupied by the
7	Lock-In Event participants and no other patrons shall be admitted to the premises who are not
8	participants. It shall be a condition of the permit that participants shall not be admitted more than
9	thirty (30) minutes after the permitted start time of the Lock-In Event, except in the event of
10	unforeseen travel delays, nor permitted to re-enter the event if they leave the licensed premises.
11	(v) As part of the Lock-In Event, food shall be served.
12	(vi) The municipal licensing authority may, in its sole discretion, require the presence of a
13	police detail, for some or all of the event, and the number of officers required, if any, shall be
14	determined by the municipality as part of the process of issuing the Lock-In Event permit. The
15	licensee shall be solely responsible for the cost of any such required police detail.
16	(b) The annual license fee for a tavern keeper shall be four hundred dollars ($400) to two
17	thousand dollars ($2,000), and for a victualer the license fee shall be four hundred dollars ($400)
18	to two thousand dollars ($2,000). In towns with a population of less than two thousand five hundred
19	(2,500) inhabitants, as determined by the last census taken under the authority of the United States
20	or the state, the fee for each retailer's Class B license shall be determined by the town council, but
21	shall in no case be less than three hundred dollars ($300) annually. If the applicant requests it in his
22	or her application, any retailer's Class B license may be issued limiting the sale of beverages on the
23	licensed premises to malt and vinous beverages containing not more than twenty percent (20%)
24	alcohol by volume, and the fee for that limited Class B license shall be two hundred dollars ($200)
25	to one thousand five hundred dollars ($1,500) annually. The fee for any Class B license shall in
26	each case be prorated to the year ending December 1 in every calendar year.
27	(1) Upon the approval and designation of a district or districts within its city or town by
28	the local licensing board, the local licensing board may issue to any holder of a Class B license or
29	a Class ED license, an extended hours permit to extend closing hours on Thursdays, Fridays and
30	Saturdays, the night before a legal state holiday or such other days as determined by the local board,
31	for one hour past such license holder's legal closing time as established by the license holder's
32	license or licenses including, but not limited to, those issued pursuant to subsection (a)(4)of this
33	section. The extended hours permit shall not permit the sale of alcohol during the extended one-
34	hour period and shall prohibit the admittance of new patrons in the establishment during the
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1	extended one-hour period. The designation of such district(s) shall be for a duration of not less than
2	six (6) months. Prior to designating any such district, the local licensing authority shall hold a
3	hearing on the proposed designation. The proposed designation shall include the boundaries of the
4	proposed district, the applicable days for the extended hours, and the duration of the designation
5	and the conditions imposed. The proposed designation shall be advertised at least once per week
6	for three (3) weeks prior to the hearing in a newspaper in general circulation in the city or town.
7	The city or town will establish an application process for an extended hours permit for such license
8	holder and may adopt rules and regulations to administer the permit.
9	SECTION 3. Section 21-27-1 of the Rhode Island General Laws in Chapter 21-27 entitled
10	“Sanitation in Food Establishments” is hereby amended to read as follows:
11	21-27-1. Definitions.
12	Unless otherwise specifically provided in this chapter, the following definitions apply to
13	this chapter:
14	(1) "Approved" means approved by the director.
15	(2) "Commissary" means a central processing establishment where food is prepared for
16	sale or service off the premises or by mobile vendor an operating base location to which a mobile
17	food establishment or transportation vehicle returns regularly for such things as food preparation,
18	food storage, vehicle and equipment cleaning, discharging liquid or solid wastes, refilling water
19	tanks and ice bins.
20	(3) “Cottage food manufacture” means the production in accordance with the requirements
21	of § 21-27-6.2 of allowable foods for retail sale directly to the consumer in a residential kitchen or
22	a rented commercial kitchen licensed by the department.
23	(4) “Cultural heritage education facility” means a facility for up to ten (10 individuals who,
24	for a fee, participate in the preparation and consumption of food, limited to an owner-occupied site
25	documented to be at least one hundred and fifty (150) years old and whose drinking water shall be
26	obtained from an approved source which meets all of the requirements of chapter 46-13.
27	(3) (5) "Department" means the department of health.
28	(4) (6) "Director" means the director of health or the director's duly appointed agents.
29	(5) (7) "Farmers market" means a market where two (2) or more farmers are selling
30	produce exclusively grown on their own farms on a retail basis to consumers. Excluded from this
31	term is any market where farmers or others are selling produce at wholesale and/or any market in
32	which any individual is selling produce not grown on his or her own farm.
33	(6) (8) "Farm home food manufacture" means the production in accordance with the
34	requirements of § 21-27-6.1 of food for retail sale in a residential kitchen on a farm which produces
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1	agricultural products for human consumption and the operator of which is eligible for exemption
2	from the sales and use tax in accordance with § 44-18-30(32).
3	(7) (9) "Food" means: (i) articles used for food or drink for people or other animals, (ii)
4	chewing gum, and (iii) articles used for components of any food or drink article.
5	(8) (10) "Food business" means and includes any establishment or place, whether fixed or
6	mobile, where food or ice is held, processed, manufactured, packaged, prepared, displayed, served,
7	transported, or sold.
8	(9) (11) "Food service establishment" means any fixed or mobile restaurant, coffee shop,
9	cafeteria, short-order cafe, luncheonette, grill, tearoom, sandwich shop, soda fountain, tavern; bar,
10	cocktail lounge, night club, roadside stand, industrial feeding establishment, cultural heritage
11	education facility, private, public or nonprofit organization or institution routinely serving food,
12	catering kitchen, commissary or similar place in which food or drink is prepared for sale or for
13	service on the premises or elsewhere, and any other eating or drinking establishment or operation
14	where food is served or provided for the public with or without charge.
15	(10) (12) "Mobile food service unit" means a unit that prepares and/or sells food products
16	for direct consumption.
17	(13) “Operator” in relation to food vending machines means any person who by contract,
18	agreement, lease, rental, or ownership sells food from vending machines.
19	(11) (14) "Person" means any individual, firm, co-partnership, association, or private or
20	municipal corporation.
21	(12) (15) "Processor" means one who combines, handles, manufactures or prepares,
22	packages, and stores food products.
23	(13) "Operator" in relation to food vending machines means any person who by contract,
24	agreement, lease, rental, or ownership sells food from vending machines.
25	(14) (16) "Retail" means when eighty percent (80%) or more of sales are made directly to
26	consumers.
27	(15) (17) "Retail peddler" means a food business which sells meat, seafood, and dairy
28	products directly to the consumer, house to house or in a neighborhood.
29	(16) (18) "Roadside farmstand" means a stand or location adjacent to a farm where produce
30	grown only on that farm is sold at the time of harvest.
31	(17) (19) "Vending machine site or location" means the room, enclosure, space, or area
32	where one or more vending machines are installed and/or operated.
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1	(18) (20) "Warehouse" means a place for the storage of dried, fresh, or frozen food or food
2	products, not including those areas associated within or directly part of a food service establishment
3	or retail market.
4	(19) (21) "Wholesale" means when eighty percent (80%) or more of the business is for
5	resale purposes.
6	(20) "Cultural heritage education facility" means a facility for up to ten (10) individuals
7	who, for a fee, participate in the preparation and consumption of food, limited to an owner-occupied
8	site documented to be at least one hundred fifty (150) years old and whose drinking water shall be
9	obtained from an approved source which meets all of the requirements of chapter 46-13.
10	SECTION 4. Chapter 21-27 of the Rhode Island General Laws entitled “Sanitation in Food
11	Establishments” is hereby amended by adding thereto the following section:
12	21-27-6.2. Cottage food manufacture.
13	Notwithstanding the other provisions of this chapter, the department of health shall register
14	cottage food manufacture and the sale of the products of cottage food manufacture direct to
15	consumers whether by pickup or delivery within the state, provided that the requirements of this
16	section are met.
17	(1) The cottage food products shall be produced in a kitchen that is on the premises of a
18	home and meets the standards for kitchens as provided for in minimum housing standards, adopted
19	pursuant to chapter 24.2 of title 45 and the Housing Maintenance and Occupancy Code, adopted
20	pursuant to chapter 24.3 of title 45, and in addition the kitchen shall:
21	(i) Be equipped at minimum with either a two (2) compartment sink or a dishwasher that
22	reaches one hundred fifty (150) degrees Fahrenheit after the final rinse and drying cycle and a one
23	compartment sink;
24	(ii) Have sufficient area or facilities, such as portable dish tubs and drain boards, for the
25	proper handling of soiled utensils prior to washing and of cleaned utensils after washing so as not
26	to interfere with safe food handling; equipment, utensils, and tableware shall be air dried;
27	(iii) Have drain boards and food preparation surfaces that shall be of a nonabsorbent,
28	corrosion resistant material such as stainless steel, formica or other chip resistant, nonpitted surface;
29	(iv) Have self-closing doors for bathrooms that open directly into the kitchen;
30	(v) If the home is on private water supply, the water supply must be tested once per year;
31	(vi) Notwithstanding this subsection, the cottage food products may also be produced in a
32	commercial kitchen licensed by the department and is leased or rented by the cottage food registrant
33	provided that a record be maintained as to the dates the commercial kitchen was used and that
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1	ingredients used in the production of cottage foods are transported according to applicable food
2	safety standards and regulations promulgated by the department.
3	(2) The cottage food products are prepared and produced ready for sale under the following
4	conditions:
5	(i) Pets are kept out of food preparation and food storage areas at all times;
6	(ii) Cooking facilities shall not be used for domestic food purposes while cottage food
7	products are being prepared;
8	(iii) Garbage is placed and stored in impervious covered receptacles before it is removed
9	from the kitchen, which removal shall be at least once each day that the kitchen is used for cottage
10	food manufacture;
11	(iv) Any laundry facilities which may be in the kitchen shall not be used during cottage
12	food manufacture;
13	(v) Recipe(s) for each cottage food product with all the ingredients and quantities listed,
14	and processing times and procedures, are maintained in the kitchen for review and inspection;
15	(vi) An affixed label that contains:
16	(A) Name, address, and telephone number;
17	(B) The ingredients of the cottage food product, in descending order of predominance by
18	weight or volume;
19	(C) Allergen information, as specified by federal and state labeling requirements, such as
20	milk, eggs, tree nuts, peanuts, wheat, and soybeans; and
21	(D) The following statement printed in at least ten-point type in a clear and conspicuous
22	manner that provides contrast to the background label: “Made by a Cottage Food Business
23	Registrant that is not Subject to Routine Government Food Safety Inspection,” unless products
24	have been prepared in a commercial kitchen licensed by the department.
25	(3) Cottage food manufacture shall be limited to the production of baked goods that do not
26	require refrigeration or time/temperature control for safety, including but not limited to:
27	(i) Double crust pies;
28	(ii) Yeast breads;
29	(iii) Biscuits, brownies, cookies, muffins; and
30	(iv) Cakes that do not require refrigeration or temperature-controlled environment; and
31	(v) Other baked goods as defined by the department.
32	(4) Each cottage food manufacturer shall be registered with the department of health and
33	shall require a notarized affidavit of compliance, in any form that the department may require, from
34	the applicant that the requirements of this section have been met and the operation of the kitchen
	LC004149 - Page 124 of 319
1	shall be in conformity with the requirements of this section. Prior to the initial registration, each
2	cottage food manufacturer is required to successfully complete a Food Safety Instructor Training
3	Course approved by the department pursuant to § 21-27-11.3. A certificate of registration shall be
4	issued by the department upon the payment of a fee as set forth in § 23-1-54 and the submission of
5	an affidavit of compliance. The certificate of registration shall be valid for one year after the date
6	of issuance; provided, however, that the certificate may be revoked by the director at any time for
7	noncompliance with the requirements of the section. The certificate of registration, with a copy of
8	the affidavit of compliance, shall be kept in the kitchen where the cottage food manufacture takes
9	place. The director of health shall have the authority to develop and issue a standard form for the
10	affidavit of compliance to be used by persons applying for a certificate of registration; the form
11	shall impose no requirements or certifications beyond those set forth in this section and § 21-27-
12	1(6). No certificates of registration shall be issued by the department prior to November 1, 2022.
13	(5) No such operation shall engage in consignment or wholesale sales. The following
14	additional locational sales by any such cottage food operation shall be prohibited: (1) Grocery
15	stores; (2) restaurants; (3) long-term care facilities; (4) group homes; (5) day care facilities; and (6)
16	schools. Advertising and sales by Internet, mail and phone are permissible, provided the cottage
17	food licensee or their designee shall deliver, in person, to the customer within the state.
18	(6) Total annual gross sales for a cottage food operation shall not exceed twenty-five
19	thousand dollars ($25,000) per calendar year. If annual gross sales exceed the maximum annual
20	gross sales amount allowed, the cottage food registrant shall either obtain food processor license or
21	cease operations. The director of health may request documentation to verify the annual gross sales
22	figure of any cottage food operation.
23	(7) Sales on all cottage foods are subject to applicable sales tax pursuant to § 44-18-7.
24	(8) The director of health or designee may inspect a cottage food operation at any time to
25	ensure compliance with the provisions of this section. Nothing in this section shall be construed to
26	prohibit the director of health or designee of the director from investigating the registered area of a
27	cottage food operation in response to a foodborne illness outbreak, consumer complaint or other
28	public health emergency.
29	SECTION 5. Section 23-1-54 of the Rhode Island General Laws in Chapter 23-1 entitled
30	“Health and Safety” is hereby amended to read as follows:
31	23-1-54. Fees payable to the department of health.
32	Fees payable to the department shall be as follows:
33	PROFESSION RIGL Section Description of Fee FEE
34	Barbers/hairdressers 5-10-10(a) Renewal application $25.00
	LC004149 - Page 125 of 319
1	Barbers/hairdressers 5-10-10(a) Renewal application:
2	Manicuring Instructors and manicurists $25.00
3	Barbers/hairdressers 5-10-10(b) Minimum late renewal fee $25.00
4	Barbers/hairdressers 5-10-10(b) Maximum late renewal fee $ 100.00
5	Barbers/hairdressers 5-10-11[c] Application fee $25.00
6	Barbers/hairdressers 5-10-11[c] Application fee: manicuring
7	Instructors and manicurists $25.00
8	Barbers/hairdressers 5-10-13 Demonstrator's permit $90.00
9	Barbers/hairdressers 5-10-15 Shop license: initial $170.00
10	Barbers/hairdressers 5-10-15 Shop license: renewal $170.00
11	Veterinarians 5-25-10 Application fee $40.00
12	Veterinarians 5-25-11 Examination fee $540.00
13	Veterinarians 5-25-12(a) Renewal fee $580.00
14	Veterinarians 5-25-12[c] Late renewal fee $120.00
15	Podiatrists 5-29-7 Application fee $240.00
16	Podiatrists 5-29-11 Renewal fee: minimum $240.00
17	Podiatrists 5-29-11 Renewal fee: maximum $540.00
18	Podiatrists 5-29-13 Limited registration $65.00
19	Podiatrists 5-29-14 Limited registration:
20	Academic faculty $240.00
21	Podiatrists 5-29-14 Application fee:
22	Renewal maximum $440.00
23	Chiropractors 5-30-6 Examination fee: $210.00
24	Chiropractors 5-30-7 Examination exemption fee: $210.00
25	Chiropractors 5-30-8(b) Exam Physiotherapy $210.00
26	Chiropractors 5-30-8(b) Exam chiro and physiotherapy $210.00
27	Chiropractors 5-30-12 Renewal fee $210.00
28	Dentists/dental hygienists 5-31.1-6(d) Dentist: application fee $965.00
29	Dentists/dental hygienists 5-31.1-6(d) Dental hygienist: application fee $65.00
30	Dentists/dental hygienists 5-31.1-6(d) Reexamination: dentist $965.00
31	Dentists/dental hygienists 5-31.1-6(d) Reexamination: hygienist $65.00
32	Dentists/dental hygienists 5-31.1-21(b) Reinstatement fee dentist $90.00
33	Dentists/dental hygienists 5-31.1-21(b) Reinstatement fee hygienist $90.00
34	Dentists/dental hygienists 5-31.1-21(c) Inactive status: dentist $220.00
	LC004149 - Page 126 of 319
1	Dentists/dental hygienists 5-31.1-21(c) Inactive status: hygienist $40.00
2	Dentists/dental hygienists 5-31.1-22 Limited registration $65.00
3	Dentists/dental hygienists 5-31.1-23[c] Limited reg: Academic faculty $965.00
4	Dentists/dental hygienists 5-31.1-23[c] Limited reg: Academic faculty renewal $500.00
5	Electrolysis 5-32-3 Application fee $25.00
6	Electrolysis 5-32-6(b) Renewal fee $25.00
7	Electrolysis 5-32-7 Reciprocal license fee $25.00
8	Electrolysis 5-32-17 Teaching license $25.00
9	Funeral directors/embalmers 5-33.2-12 Funeral establishment license $120.00
10	Funeral services establishments
11	Funeral directors/embalmers 5-33.2-15 Renewal: funeral/director $90.00
12	Funeral services establishments
13	embalmer $30.00
14	Funeral directors/embalmers 5-33.2-12 Funeral branch ofc license $90.00
15	Funeral directors/embalmers 5-33.2-13.1 Crematories: application fee $120.00
16	Funeral services establishments
17	Funeral directors/embalmers 5-33.2-15 Renewal: funeral/director
18	Funeral Svcs establishments
19	establishment $120.00
20	Funeral directors/embalmers 5-33.2-15 Additional branch office
21	Funeral services Establishments
22	licenses $120.00
23	Funeral directors/embalmers 5-33.2-15 Crematory renewal fee
24	Funeral svcs establishments $120.00
25	Funeral directors/embalmers 5-33.2-15 Late renewal fee
26	Funeral svcs establishments
27	(All license types) $25.00
28	Funeral directors/embalmers 5-33.2-16(a) Intern registration fee
29	Funeral Services establishments $25.00
30	Nurses 5-34-12 RN Application fee $135.00
31	Nurses 5-34-16 LPN Application fee $45.00
32	Nurses 5-34-19 Renewal fee: RN $135.00
33	Nurses 5-34-19 Renewal fee: LPN $45.00
34	Nurses 5-34-37 RNP application fee $80.00
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1	Nurses 5-34-37 RNP renewal fee $80.00
2	Nurses 5-34-37 RNP prescriptive privileges $65.00
3	Nurses 5-34-40.3 Clin nurse spec application $80.00
4	Nurses 5-34-40.3 Clin nurse spec renewal $80.00
5	Nurses 5-34-40.3 Clin nurse spec Rx privilege $65.00
6	Nurse anesthetists 5-34.2-4(a) CRNA application fee $80.00
7	Nurse anesthetists 5-34.2-4(b) CRNA renewal fee $80.00
8	Optometrists 5-35.1-4 Application fee $280.00
9	Optometrists 5-35.1-7 Renewal fee $280.00
10	Optometrists 5-35.1-7 Late fee $90.00
11	Optometrists 5-35.1-7 Reactivation of license fee $65.00
12	Optometrists 5-35.1-19(b) Violations of section $650.00
13	Optometrists 5-35.1-20 Violations of chapter $260.00
14	Opticians 5-35.2-3 Application fee $30.00
15	Physicians 5-37-2 Application fee $1,090.00
16	Physicians 5-37-2 Re-examination fee $1,090.00
17	Physicians 5-37-10(b) Late renewal fee $170.00
18	Physicians 5-37-16 Limited registration fee $65.00
19	Physicians 5-37-16.1 Ltd reg: academic faculty $600.00
20	Physicians 5-37-16.1 Ltd reg: Faculty renewal $170.00
21	Acupuncture 5-37.2-10 Application fee $310.00
22	Acupuncture 5-37.2-13(4) Acupuncture assistant $310.00
23	Licensure fee $170.00
24	Social workers 5-39.1-9 Application fee $70.00
25	Social workers 5-39.1-9 Renewal fee $70.00
26	Physical therapists 5-40-8 Application fee $155.00
27	Physical therapists 5-40-8.1 Application: physical therapy assistants $50.00
28	Physical therapists 5-40-10(a) Renewal fee: Physical therapists $155.00
29	Physical therapists 5-40-10(a) Renewal fee: Physical therapy assistants $50.00
30	Physical therapists 5-40-10[c] Late renewals $50.00
31	Occupational therapists 5-40.1-12(2) Renewal fee $140.00
32	Occupational therapists 5-40.1-12(5) Late renewal fee $50.00
33	Occupational therapists 5-40.1-12(b) Reactivation fee $140.00
34	Occupational therapists 5-40.1-13 Application fee $140.00
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1	Psychologists 5-44-12 Application fee $230.00
2	Psychologists 5-44-13 Temporary permit $120.00
3	Psychologists 5-44-15[c] Renewal fee $230.00
4	Psychologists 5-44-15(e) Late renewal fee $50.00
5	Nursing home administrators 5-45-10 Renewal fee $160.00
6	Speech pathologist/audiologists 5-48-1(14) Speech lang support personnel:
7	late filing $90.00
8	Speech pathologist/audiologists 5-48-9(a) Application fee: Audiologist $65.00
9	Speech pathologist/audiologists 5-48-9(a) Application fee: Speech Pathologist $145.00
10	Speech pathologist/audiologists 5-48-9(a) Renewal fee: Audiologist $65.00
11	Speech pathologist/audiologists 5-48-9(a) Renewal fee: Speech Pathologist $145.00
12	Speech pathologist/audiologists 5-48-9(a) Provisional license: renewal fee $65.00
13	Speech pathologist/audiologists 5-48-9(b) Late renewal fee $50.00
14	Speech pathologist/audiologists 5-48-9(d)(1) Reinstatement fee: audiologist $65.00
15	Speech pathologist/audiologists 5-48-9(d)(1) Reinstatement fee: audiologist $65.00
16	speech pathologists $145.00
17	personnel: late filing $65.00
18	Hearing aid dealers/fitters 5-49-6(a) License endorsement Examination fee $25.00
19	Hearing aid dealersfitters 5-49-6(b) Temporary permit fee $25.00
20	Hearing aid dealers/fitters 5-49-6(d) Temporary permit renewal fee $35.00
21	Hearing aid dealers/fitters 5-49-11(a)(1) License fee $25.00
22	Hearing aid dealers/fitters 5-49-11(b) License renewal fee $25.00
23	Hearing aid dealers/fitters 5-49-11[c] License renewal late fee $25.00
24	Physician assistants 5-54-9(4) Application fee $110.00
25	Physician assistants 5-54-11(b) Renewal fee $110.00
26	Orthotics/prosthetic practice 5-59.1-5 Application fee $120.00
27	Orthotics/prosthetic practice 5-59.1-12 Renewal fee $120.00
28	Athletic trainers 5-60-11 Application fee $60.00
29	Athletic trainers 5-60-11 Renewal fee $60.00
30	Athletic trainers 5-60-11 Late renewal fee $25.00
31	Mental health counselors
32	Marriage and family therapists 5-63.2-16 Application fee: Marriage
33	Family therapist $130.00
34	Mental health counselors
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1	Marriage and family therapists 5-63.2-16 Application fee: Mental
2	health counselors $70.00
3	Mental health counselors
4	Marriage and family therapists 5-63.2-16 Reexamination fee:
5	Marriage/family therapist $130.00
6	Mental health counselors
7	Marriage and family therapists 5-63.2-16 Reexamination fee:
8	Mental health counselors $70.00
9	Mental health counselors
10	Marriage and family therapists 5-63.2-17(a) Renewal fee: Marriage
11	Family therapist $130.00
12	Mental health counselors
13	Marriage and family therapists 5-63.2-17(a) Renewal fee: Mental
14	health counselors $50.00
15	Mental health counselors
16	Marriage and family therapists 5-63.2-17(b) Late Renewal fee:
17	Marriage Family therapist $90.00
18	Dieticians/nutritionists 5-64-6(b) Application fee $75.00
19	Dieticians/nutritionists 5-64-7 Graduate status:
20	Application fee: $75.00
21	Dieticians/nutritionists 5-64-8 Renewal fee $75.00
22	Dieticians/nutritionists 5-64-8 Reinstatement fee $75.00
23	Radiologic technologists 5-68.1-10 Application fee maximum $190.00
24	Licensed chemical
25	dependency professionals 5-69-9 Application fee $75.00
26	Licensed chemical
27	dependency professionals 5-69-9 Renewal fee $75.00
28	Licensed chemical 5-69-9 Application fee $75.00
29	Licensed chemical
30	dependency professionals 5-69-9 Application fee $75.00
31	Licensed chemical
32	dependency professionals 5-69-9 Renewal fee $75.00
33	Deaf interpreters 5-71-8(a)(3) License fee maximum $25.00
34	Deaf interpreters 5-71-8(a)(3) License renewal fee $25.00
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1	Milk producers 21-2-7(g)(1) In-state milk processor $160.00
2	Milk producers 21-2-7(g)(2) Out-of-state milk processor $160.00
3	Milk producers 21-2-7(g)(3) Milk distributors $160.00
4	Frozen desserts 21-9-3(1) In-state wholesale $550.00
5	Frozen desserts 21-9-3(2) Out-of-state wholesale $160.00
6	Frozen desserts 21-9-3(3) Retail frozen dess processors $160.00
7	Meats 21-11-4 Wholesale $160.00
8	Meats 21-11-4 Retail $40.00
9	Shellfish packing houses 21-14-2 License fee: Shipper/reshipper $320.00
10	Shellfish packinghouses 21-14-2 License fee:Shucker packer/repacker $390.00
11	Non-alcoholic bottled
12	beverages, drinks & juices 21-23-2 Bottler permit $550.00
13	Non-alcoholic bottled
14	beverages, drinks & juices 21-23-2 Bottle apple cider fee $60.00
15	Farm home food manufacturers 21-27-6.1(4) Registration fee $65.00
16	Cottage Food Manufacturers 21-27-6.2(4) Registration fee $65.00
17	Food businesses 21-27-10(e)(1) Food processors wholesale $300.00
18	Food businesses 21-27-10(e)(2) Food processors retail $120.00
19	Food businesses 21-27-10(e)(3) Food service establishments
20	50 seats or less $160.00
21	Food businesses 21-27-10(e)(3) Food service establishments
22	more than 50 seats $240.00
23	Food businesses 21-27-10(e)(3) Mobile food service units $100.00
24	Food businesses 21-27-10(e)(3) Industrial caterer or food vending
25	Machine commissary $280.00
26	Food businesses 21-27-10(e)(3) Cultural heritage educational Faculty $80.00
27	Food businesses 21-27-10(e)(4) Vending Machine
28	Location 3 units or less $50.00
29	Food businesses 21-27-10(e)(4) Vending Machine
30	Location 4-10 units $100.00
31	Food businesses 21-27-10(e)(4) Vending Machine
32	Location = 11 units $120.00
33	Food businesses 21-27-10(e)(5) Retail Mkt 1-2 cash registers $120.00
34	Food businesses 21-27-10(e)(5) Retail Market 3-5 cash registers $240.00
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1	Food businesses 21-27-10(e)(5) Retail Market =6 cash registers $510.00
2	Food businesses 21-27-10(e)(6) Retail food peddler $100.00
3	Food businesses 21-27-10(e)(7) Food warehouses $190.00
4	Food businesses 21-27-11.2 Certified food safety mgr $50.00
5	License verification fee 23-1-16.1 All license types $50.00
6	Tattoo and body piercing 23-1-39 Annual registration fee:Person $90.00
7	Tattoo and bodypiercing 23-1-39 Annual registration fee:Establishment $90.00
8	Vital records 23-3-25(a)(1) Certificate of birth, fetal death, death,
9	marriage, birth, or certification that
10	such record cannot be found $20.00
11	Vital records 23-3-25(a)(1) Each duplicate of certificate of birth,
12	fetal death, death, marriage, birth, or
13	certification that such record cannot
14	be found $15.00
15	Vital records 23-3-25(a)(2) Each additional calendar year
16	Search, if within 3 months of original
17	search and if receipt of original search
18	presented $2.00
19	Vital records 23-3-25(a)(3) Expedited service $7.00
20	Vital records 23-3-25(a)(4) Adoptions, legitimations,
21	or Paternity determinations $15.00
22	Vital records 23-3-25(a)(5) Authorized corrections,
23	Alterations, and additions $10.00
24	Vital records 23-3-25(a)(6) Filing of delayed record and
25	Examination of documentary Proof $20.00
26	Vital records 23-3-25(a)(6) Issuance of certified copy of a
27	delayed record $20.00
28	Medical Examiner 23-4-13 Autopsy reports $40.00
29	Medical Examiner 23-4-13 Cremation certificates
30	and statistics $30.00
31	Medical Examiner 23-4-13 Testimony in civil suits:
32	Minimum/day $650.00
33	Medical Examiner 23-4-13 Testimony in civil suits:
34	Maximum/day $3,250.00
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1	Emergency medical technicians 23-4.1-10[c] Annual fee: ambulance
2	service maximum $540.00
3	Emergency medical technicians 23-4.1-10[c] Annual fee: vehicle
4	license maximum $275.00
5	Emergency medical technicians 23-4.1-10[c] Triennial fee: EMT
6	license maximum $120.00
7	Emergency medical technicians 23-4.1-10(c)(2) Exam fee maximum:
8	EMT $120.00
9	Emergency medical technicians 23-4.1-10(c)(2) Vehicle inspection Maximum $190.00
10	Clinical laboratories 23-16.2-4(a) Clinical laboratory
11	license per specialty $650.00
12	Clinical laboratories 23-16.2-4(a) Laboratory station
13	license $650.00
14	Clinical laboratories 23-16.2-4(b) Permit fee $70.00
15	Health care facilities 23-17-38 Hospital: base fee annual $16,900.00
16	Health care facilities 23-17-38 Hospital: annual per bed fee $120.00
17	Health care facilities 23-17-38 ESRD: annual fee $3,900.00
18	Health care facilities 23-17-38 Home nursing-care/
19	home- care providers $650.00
20	Health care facilities 23-17-38 OACF: annual fee $650.00
21	Assisted living residences/
22	administrators 23-17.4-15.2(d) License application fee: $220.00
23	Assisted living residences/
24	administrators 23-17.4-15.2(d) License renewal fee: $220.00
25	Assisted living
26	residences 23-17.4-31 Annual facility fee:base $330.00
27	Assisted living
28	residences 23-17.4-31 Annual facility per bed $70.00
29	Nursing assistant
30	registration 23-17.9-3 Application: competency
31	evaluation training program maximum $325.00
32	Nursing assistant
33	registration 23-17.9-5 Application fee $35.00
34	Nursing assistant
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1	registration 23-17.9-5 Exam fee: skills proficiency $170.00
2	Nursing assistant
3	registration 23-17.9-6 Registration fee $35.00
4	Nursing assistant
5	registration 23-17.9-7 Renewal fee $35.00
6	Sanitarians 23-19.3-5(a) Registration fee $25.00
7	Sanitarians 23-19.3-5(b) Registration renewal $25.00
8	Massage therapy 23-20.8-3(e) Massage therapist appl fee $65.00
9	Massage therapy 23-20.8-3(e) Massage therapist renewal fee $65.00
10	Recreational facilities 23-21-2 Application fee $160.00
11	Swimming pools 23-22-6 Application license: first pool $250.00
12	Swimming pools 23-22-6 Additional pool fee at same location $75.00
13	Swimming pools 23-22-6 Seasonal application license: first pool $150.00
14	Swimming pools 23-22-6 Seasonal additional
15	pool fee at same location $75.00
16	Swimming pools 23-22-6 Year-round license for non-profit $25.00
17	Swimming pools 23-22-10 Duplicate license $2.00
18	Swimming pools 23-22-12 Penalty for violations $50.00
19	Respiratory care practitioners 23-39-11 Application fee $60.00
20	Respiratory care practitioners 23-39-11 Renewal fee $60.00
21	SECTION 6. Sections 42-64.33-2, 42-64.33-3, 42-64.33-4, 42-64.33-5, 42-64.33-9, and
22	42-64.33-10 of the General Laws in Chapter 42-64.33 entitled “The Rhode Island Small Business
23	Development Fund” are hereby amended to read as follows:
24	42-64.33-2. Definitions.
25	(a) As used in this chapter:
26	(1) "Affiliate" means an entity that directly, or indirectly, through one or more
27	intermediaries, controls, or is controlled by, or is under common control with another entity. For
28	the purposes of this chapter, an entity is "controlled by" another entity if the controlling entity holds,
29	directly or indirectly, the majority voting or ownership interest in the controlled entity or has control
30	over the day-to-day operations of the controlled entity by contract or by law.
31	(2) "Applicable percentage" means zero percent (0%) for the first three (3) credit allowance
32	dates, and up to twenty-one and one-half percent (21.5%) for the fourth, fifth, and sixth credit
33	allowance dates.
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1	(3) "Capital investment" means any equity or debt investment in a small business
2	development fund by a small business fund investor that:
3	(i) Is acquired after July 5, 2019, at its original issuance solely in exchange for cash;
4	(ii) Has one hundred percent (100%) of its cash purchase price used by the small business
5	development fund to make qualified investments in eligible businesses located in this state within
6	three (3) years of the initial credit allowance date; and
7	(iii) Is designated by the small business development fund as a capital investment under
8	this chapter and is certified by the corporation pursuant to § 42-64.33-4. This term shall include
9	any capital investment that does not meet the provisions of § 42-64.33-4(a) if the investment was
10	a capital investment in the hands of a prior holder.
11	(4) "Corporation" means the Rhode Island commerce corporation.
12	(5) "Credit allowance date" means the date on which a capital investment is made and each
13	of the five (5) anniversary dates of the date thereafter.
14	(6) "Eligible business" means a business that, at the time of the initial qualified investment
15	in the company:
16	(i) Has less than two hundred fifty (250) employees;
17	(ii) Has not more than fifteen million dollars ($15,000,000) in net income from the
18	preceding tax year;
19	(iii) Has its principal business operations in this state; and
20	(iv) Is engaged in industries related to clean energy, biomedical innovation, life sciences,
21	information technology, software, cyber physical systems, cybersecurity, data analytics, defense,
22	shipbuilding, maritime, composites, advanced business services, design, food, manufacturing,
23	transportation, distribution, logistics, arts, education, hospitality, tourism, or, if not engaged in the
24	industries, the corporation makes a determination that the investment will be beneficial to the
25	economic growth of the state.
26	(7) "Eligible distribution" means, as approved by the corporation in relation to an
27	application:
28	(i) A distribution of cash to one or more equity owners of a small business fund investor to
29	fully or partially offset a projected increase in the owner's federal or state tax liability, including
30	any penalties and interest, related to the owner's ownership, management, or operation of the small
31	business fund investor;
32	(ii) A distribution of cash as payment of interest and principal on the debt of the small
33	business fund investor or small business development fund; or
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1	(iii) A distribution of cash related to the reasonable costs and expenses of forming,
2	syndicating, managing, and operating the small business fund investor or the small business
3	development fund, or a return of equity or debt to affiliates of a small business fund investor or
4	small business development fund. The distributions may include reasonable and necessary fees paid
5	for professional services, including legal and accounting services, related to the formation and
6	operation of the small business development fund.
7	(8) "Jobs created" means a newly created position of employment that was not previously
8	located in the state at the time of the qualified investment in the eligible business and requiring a
9	minimum of thirty five (35) hours worked each week, measured each year by subtracting the
10	number of full-time, thirty-five hours-per-week (35) employment positions at the time of the initial
11	qualified investment in the eligible business from the monthly average of full-time, thirty-five
12	hours-per-week (35) employment positions for the applicable year. The number shall not be less
13	than zero.
14	(9) "Jobs retained" means a position requiring a minimum of thirty-five (35) hours worked
15	each week that existed prior to the initial qualified investment. Retained jobs shall be counted each
16	year based on the monthly average of full-time, thirty-five hours-per-week (35) employment
17	positions for the applicable year. The number shall not exceed the initial amount of retained jobs
18	reported and shall be reduced each year if employment at the eligible business concern drops below
19	that number.
20	(10) "Minority business enterprise" means an eligible business which is certified by the
21	Rhode Island office of diversity, equity and opportunity as being a minority or women business
22	enterprise.
23	(11) "Principal business operations" means the location where at least sixty percent (60%)
24	of a business's employees work or where employees who are paid at least sixty percent (60%)
25	percent of the business's payroll work. A business that has agreed to relocate employees using the
26	proceeds of a qualified investment to establish its principal business operations in a new location
27	shall be deemed to have its principal business operations in the new location if it satisfies these
28	requirements no later than one hundred eighty (180) days after receiving a qualified investment.
29	(12) "Purchase price" means the amount paid to the small business development fund that
30	issues a capital investment that shall not exceed the amount of capital investment authority certified
31	pursuant to § 42-64.33-4.
32	(13) "Qualified investment" means any investment in an eligible business or any loan to an
33	eligible business with a stated maturity date of at least one year after the date of issuance, excluding
34	revolving lines of credit and senior secured debt unless the eligible business has a credit refusal
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1	letter or similar correspondence from a depository institution or a referral letter or similar
2	correspondence from a depository institution referring the business to a small business development
3	fund; provided that, with respect to any one eligible business, the maximum amount of investments
4	made in the business by one or more small business development funds, on a collective basis with
5	all of the businesses' affiliates, with the proceeds of capital investments shall be twenty percent
6	(20%) of the small business development fund's capital investment authority, exclusive of
7	investments made with repaid or redeemed investments or interest or profits realized thereon. An
8	eligible business, on a collective basis with all of the businesses' affiliates, is prohibited from
9	receiving more than four million dollars ($4,000,000) in investments from one or more small
10	business development funds with the proceeds of capital investments.
11	(14) "Small business development fund" means an entity certified by the corporation under
12	§ 42-64.33-4.
13	(15) "Small business fund investor" means an entity that makes a capital investment in a
14	small business development fund.
15	(16) "State" means the state of Rhode Island.
16	(17) "State tax liability" means any liability incurred by any entity under § 44-17-1 et seq.
17	chapters 11, 13, 14, 17 and 30, of title 44.
18	42-64.33-3. Tax credit established.
19	(a) Upon making a capital investment in a small business development fund, a small
20	business fund investor earns a vested right to a credit against the entity's state tax liability that may
21	be utilized on each credit allowance date of the capital investment in an amount equal to the
22	applicable percentage for the credit allowance date multiplied by the purchase price paid to the
23	small business development fund for the capital investment. The amount of the credit claimed by
24	any entity shall not exceed reduce the amount of the entity's state tax liability for the tax year for
25	which the credit is claimed beyond the entity’s state minimum tax. Any amount of credit that an
26	entity is prohibited from claiming in a taxable year as a result of this section may be carried forward
27	for a period of seven (7) years. It is the intent of this chapter that an entity claiming a credit under
28	this section is not required to pay any additional tax that may arise as a result of claiming the credit.
29	(b) No credit claimed under this section shall be refundable or saleable on the open market.
30	Credits earned by or allocated to a partnership, limited liability company, or S corporation may be
31	allocated to the partners, members, or shareholders of the entity for their direct use for state tax
32	liability as defined in this chapter in accordance with the provisions of any agreement among the
33	partners, members, or shareholders, and a small business development fund must notify the
34	corporation of the names of the entities that are eligible to utilize credits pursuant to an allocation
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1	of credits or a change in allocation of credits or due to a transfer of a capital investment upon the
2	allocation, change, or transfer. The allocation shall be not considered a sale for purposes of this
3	section. Credits may be assigned, transferred, conveyed or sold by an owner or holder of such
4	credits.
5	(c) The corporation shall provide copies of issued certificates to the division of taxation.;
6	such certificates shall include information deemed necessary by the division of taxation for tax
7	administration.
8	42-64.33-4. Application, approval and allocations.
9	(a) The corporation shall publicly solicit applicants and approve applications through a
10	selection process. A small business development fund that seeks to have an equity or debt
11	investment certified as a capital investment and eligible for credits under this chapter shall apply to
12	the corporation The corporation shall begin accepting applications within ninety (90) days of July
13	5, 2019. in response to a public solicitation. The small business development fund application shall
14	include the following:
15	(1) The amount of capital investment requested;
16	(2)(A) A copy of the applicant's or an affiliate of the applicant's license as a rural business
17	investment company under 7 U.S.C. § 2009cc, or as a small business investment company under
18	15 U.S.C. § 681, and a certificate executed by an executive officer of the applicant attesting that
19	the license remains in effect and has not been revoked; or (B) evidence satisfactory to the
20	corporation that the applicant is a mission-oriented community financial institution such as a
21	community development financial institution, minority depository institution, certified
22	development company, microloan intermediary, or an organization with demonstrated experience
23	of making capital investments in small businesses.
24	(3) Evidence that, as of the date the application is submitted, the applicant or affiliates of
25	the applicant have invested at least one hundred million dollars ($100,000,000) in nonpublic
26	companies;
27	(4) An estimate of the number of jobs that will be created or retained in this state as a result of the
28	applicant's qualified investments;
29	(45) A business plan that includes a strategy for reaching out to and investing in minority
30	business enterprises and a revenue impact assessment projecting state and local tax revenue to be
31	generated by the applicant's proposed qualified investment prepared by a nationally recognized,
32	third-party, independent economic forecasting firm using a dynamic economic forecasting model
33	that analyzes the applicant's business plan over the ten (10) years following the date the application
34	is submitted to the corporation; and
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1	(65) A nonrefundable application fee of five thousand dollars ($5,000), which fee shall be
2	set by regulation; and
3	(6) Such other criteria as the corporation deems appropriate.
4	(b) Within thirty (30) days after receipt of a completed application, the corporation shall
5	grant or deny the application in full or in part. After the close of a public solicitation period, the
6	corporation shall make a determination based upon the criteria set forth in the application or any
7	supplementary materials or information requested by the corporation as to which of the qualified
8	applicants, if any, shall receive an award of tax credits. The corporation shall deny the application
9	if:
10	(1) The applicant does not satisfy all of the criteria described in subsection (a) of this
11	section;
12	(2) The revenue impact assessment submitted with the application does not demonstrate
13	that the applicant's business plan will result in a positive economic impact on this state over a ten-
14	year (10) period that exceeds the cumulative amount of tax credits that would be issued to the
15	applicant if the application were approved; or
16	(3) The corporation has already approved the maximum amount of capital investment
17	authority under subsection (ge) of this section.
18	(c) If the corporation denies any part of the application, it shall inform the applicant of the
19	grounds for the denial. If the applicant provides any additional information required by the
20	corporation or otherwise completes its application within fifteen (15) days of the notice of denial,
21	the application shall be considered completed as of the original date of submission. If the applicant
22	fails to provide the information or fails to complete its application within the fifteen-day (15)
23	period, the application remains denied and must be resubmitted in full with a new submission date.
24	(d) If the application is deemed to be complete and the applicant deemed to meet all of the
25	requirements of subsections (a) and (b) approved, the corporation shall certify the proposed equity
26	or debt investment as a capital investment that is eligible for credits under this chapter, subject to
27	the limitations contained in subsection (ge) of this section. The corporation shall provide written
28	notice of the certification to the small business development fund.
29	(e) The corporation shall certify capital investments in the order that the applications were
30	received by the corporation. Applications received on the same day shall be deemed to have been
31	received simultaneously.
32	(f) For applications that are complete and received on the same day, the corporation shall certify
33	applications in proportionate percentages based upon the ratio of the amount of capital investments
34	requested in an application to the total amount of capital investments requested in all applications.
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1	(g) The corporation shall certify no more than sixty-five million dollars ($65,000,000) in capital
2	investments pursuant to this section; provided that not more than twenty million dollars
3	($20,000,000) may be allocated to any individual small business development fund certified under
4	this section.
5	(hf) Within sixty (60) days of the applicant receiving notice of certification, the small
6	business development fund shall issue the capital investment to and receive cash in the amount of
7	the certified amount from a small business fund investor. At least forty-five percent (45%) of the
8	small business fund investor's capital investment shall be composed of capital raised by the small
9	business fund investor from sources, including directors, members, employees, officers, and
10	affiliates of the small business fund investor, other than the amount of capital invested by the
11	allocatee claiming the tax credits in exchange for the allocation of tax credits; provided that at least
12	ten percent (10%) of the capital investment shall be derived from the small business investment
13	fund's managers. The small business development fund shall provide the corporation with evidence
14	of the receipt of the cash investment within sixty-five (65) days of the applicant receiving notice of
15	certification. If the small business development fund does not receive the cash investment and issue
16	the capital investment within the time period following receipt of the certification notice, the
17	certification shall lapse and the small business development fund shall not issue the capital
18	investment without reapplying to the corporation for certification. Lapsed certifications revert to
19	the authority and shall be reissued pro rata to applicants whose capital investment allocations were
20	reduced pursuant to this chapter and then in accordance with the application process.
21	42-64.33-5. Tax credit recapture and exit.
22	(a) The corporation, working in coordination with the division of taxation, may recapture,
23	from any the entity claims a credit on a tax return that receives a tax credit certificate as a result of
24	certification or the partners, members, or shareholders of the entity to whom a tax credit is allocated,
25	the credit allowed under this chapter if:
26	(1) The small business development fund does not invest one hundred (100%) percent of
27	its capital investment authority in qualified investments in this state within three (3) years of the
28	first credit allowance date;
29	(2) The small business development fund, after satisfying subsection (a)(1) of this section,
30	fails to maintain qualified investments equal to one hundred (100%) percent of its capital
31	investment authority until the sixth anniversary of the initial credit allowance date. For the purposes
32	of this subsection, a qualified investment is considered maintained even if the qualified investment
33	was sold or repaid so long as the small business development fund reinvests an amount equal to the
34	capital returned or recovered by the small business development fund from the original investment,
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1	exclusive of any profits realized, in other qualified investments in this state within twelve (12)
2	months of the receipt of the capital. Amounts received periodically by a small business
3	development fund shall be treated as continually invested in qualified investments if the amounts
4	are reinvested in one or more qualified investments by the end of the following calendar year. A
5	small business development fund shall not be required to reinvest capital returned from qualified
6	investments after the fifth anniversary of the initial credit allowance date, and the qualified
7	investments shall be considered held continuously by the small business development fund through
8	the sixth anniversary of the initial credit allowance date;
9	(3) The small business development fund, before exiting the program in accordance with
10	subsection (ef) of this section, makes a distribution or payment that results in the small business
11	development fund having less than one hundred percent (100%) of its capital investment authority
12	invested in qualified investments in this state or available for investment in qualified investments
13	and held in cash and other marketable securities;
14	(4) The small business development fund, before exiting the program in accordance with
15	subsection (ef) of this section, fails to make qualified investments in minority business enterprises
16	that when added together equal at least ten percent (10%) of the small business development fund's
17	capital investment authority; or
18	(5) The small business development fund violates subsection (de) of this section.
19	(b) Recaptured credits and the related capital investment authority revert to the corporation
20	and shall be reissued pro rata to applicants whose capital investment allocations were reduced
21	pursuant to § 42-64.33-4(f) and then in accordance with the application process.
22	(c) Enforcement of each of the recapture provisions of subsection (a) of this section shall
23	be subject to a six-month (6) cure period. No recapture shall occur until the small business
24	development fund has been given notice of noncompliance and afforded six (6) months from the
25	date of the notice to cure the noncompliance.
26	(d) In the event that tax credits, or a portion of tax credits, have been transferred or assigned
27	in an arms-length transaction, for value, and without notice of violation, fraud, or
28	misrepresentation, the corporation will pursue its recapture rights and remedies against the
29	applicant for the tax credits and/or the recipient of the certification who shall be liable to repay to
30	the corporation the face value of all tax credits assigned or transferred and all fees paid by the
31	applicant shall be deemed forfeited. No redress shall be sought against assignees or transferees of
32	such tax credits provided the tax credits were acquired by way of an arms-length transaction, for
33	value, and without notice of violation, fraud, or misrepresentation.
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1	(e) No eligible business that receives a qualified investment under this chapter, or any
2	affiliates of the eligible business, may directly or indirectly:
3	(1) Own or have the right to acquire an ownership interest in a small business development
4	fund or member or affiliate of a small business development fund, including, but not limited to, a
5	holder of a capital investment issued by the small business development fund; or
6	(2) Loan to or invest in a small business development fund or member or affiliate of a small
7	business development fund, including, but not limited to, a holder of a capital investment issued by
8	a small business development fund, where the proceeds of the loan or investment are directly or
9	indirectly used to fund or refinance the purchase of a capital investment under this chapter.
10	(ef) On or after the sixth anniversary of the initial credit allowance date, a small business
11	development fund may apply to the corporation to exit the program and no longer be subject to
12	regulation under this chapter. The corporation shall respond to the exit application within thirty
13	(30) days of receipt. In evaluating the exit application, the fact that no credits have been recaptured
14	and that the small business development fund has not received a notice of recapture that has not
15	been cured pursuant to subsection (c) of this section shall be sufficient evidence to prove that the
16	small business development fund is eligible for exit. The corporation shall not unreasonably deny
17	an exit application submitted under this subsection. If the exit application is denied, the notice shall
18	include the reasons for the determination.
19	(fg) If the number of jobs created or retained by the eligible businesses that received
20	qualified investments from the small business development fund, calculated pursuant to reports
21	filed by the small business development fund pursuant to § 42-64.33-7, is:
22	(1) Less than sixty percent (60%) of the amount projected in the approved small business
23	development fund's business plan filed as part of its application for certification under § 42-64.33-
24	4, then the state shall receive thirty percent (30%) of any distribution or payment to an equity or
25	debt holder in an approved small business development fund made after its exit from the program
26	in excess of eligible distributions; or
27	(2) Greater than sixty percent (60%) but less than one hundred percent (100%) of the amount
28	projected in the approved small business development fund's business plan filed as part of its
29	application for certification under § 42-64.33-4, then the state shall receive fifteen percent (15%)
30	of any distribution or payment to an equity or debt holder in an approved small business
31	development fund made after its exit from the program in excess of eligible distributions.
32	(gh) At the time a small business development fund applies to the corporation to exit the
33	program, it shall calculate the aggregate internal rate of return of its qualified investments. If the
34	small business development fund's aggregate internal rate of return on its qualified investments at
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1	exit exceeds ten percent (10%), then, after eligible distributions, the state shall receive ten percent
2	(10%) of any distribution or payment in excess of the aggregate ten percent (10%) internal rate of
3	return to an equity or debtholder in an approved small business development fund.
4	(hi) The corporation shall not revoke a tax credit certificate after the small business
5	development fund's exit from the program.
6	42-64.33-9. Rules and regulations.
7	The corporation and division of taxation may issue reasonable rules and regulations, consistent
8	with this chapter, as are necessary to carry out the intent and purpose and implementation of the
9	responsibilities under this chapter.
10	The corporation in consultation with the division of taxation shall promulgate and adopt
11	rules and regulations pursuant to § 42-35-3 of the general laws, as are necessary to implement this
12	chapter, including, but not limited to: the determination of additional limits; the promulgation of
13	procedures and forms necessary to apply for a tax credit, including the enumeration of the
14	certification procedures; the promulgation of procedures and forms relating to the issuance of tax
15	credit certificates and assignment of credits; and provisions for tax credit applicants to be charged
16	ongoing service fees, to cover the administrative costs related to the tax credit. Further, the division
17	of taxation, in consultation with the corporation, may issue rules and regulations for filing,
18	claiming, and applying the credit in the method and manner to be prescribed by the tax
19	administrator.
20	42-64.33-10. Program integrity.
21	Program integrity being of paramount importance, the corporation shall establish
22	procedures to ensure ongoing compliance with the terms and conditions of the program established
23	herein, including procedures to safeguard the expenditure of public funds and to ensure that the
24	funds further the objectives of the program.
25	SECTION 7. Section 44-1-7 of the General Laws in Chapter 44-1 entitled "State Tax
26	Officials" is hereby amended to read as follows:
27	44-1-7. Interest on delinquent payments.
28	(a) Whenever the full amount of any state tax or any portion or deficiency, as finally
29	determined by the tax administrator, has not been paid on the date when it is due and payable,
30	whether the time has been extended or not, there shall be added as part of the tax or portion or
31	deficiency interest at the rate as determined in accordance with subsection (b) of this section,
32	notwithstanding any general or specific statute to the contrary.
33	(b) Each January 1 the tax administrator shall compute the rate of interest to be in effect
34	for that calendar year by adding two percent (2%) to the prime rate, which was in effect on October
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1	1 of the preceding year, except:
2	(1) Before January 1, 2023, iIn no event shall the rate of interest exceed twenty-one percent
3	(21%) per annum nor be less than eighteen percent (18%) per annum;.
4	(2) On and after January 1, 2023, in no event shall the rate of interest exceed twenty-one
5	percent (21%) per annum nor be less than twelve percent (12%) per annum except:
6	(A) for trust fund taxes as established by §§ 44-19-35 and 44-30-76, in no event shall the
7	rate of interest exceed twenty-one percent (21%) per annum nor be less than eighteen percent (18%)
8	per annum.
9	(c) "Prime rate" as used in subsection (b) of this section means the predominant prime rate
10	quoted by commercial banks to large businesses as determined by the board of governors of the
11	Federal Reserve System.
12	(d) Notwithstanding any provisions of the general laws to the contrary, the tax
13	administrator shall waive interest and penalty on the taxable portion of each Paycheck Protection
14	Program loan taxed pursuant to §§ 44-11-11(a)(1)(iv), 44-14-11, and 44-30-12(b)(8) and forgiven
15	during tax year 2020 provided that the tax on that portion is paid in full on or before March 31,
16	2022. The tax administrator shall make available suitable forms with instructions for making tax
17	payments on the taxable portion of such forgiven Paycheck Protection Program loans.
18	SECTION 8. Chapter 44-1 of the General Laws entitled "State Tax Officials" is hereby
19	amended by adding thereto the following section:
20	44-1-41. Taxpayer Steward.
21	(a) There is hereby created within the division of taxation of the department of revenue, a
22	taxpayer steward to:
23	(1) Coordinate the resolution of taxpayer complaints and problems, if so requested by a
24	taxpayer or the taxpayer’s duly authorized representative;
25	(2) Provide recommendations to the division of taxation for informational publications and
26	recommended taxpayer and division education programs needed to reduce or eliminate errors or
27	improve voluntary taxpayer compliance;
28	(3) Provide recommendations to the division of taxation for simplification or other
29	improvements needed in tax laws, regulations, forms, systems, and procedures to promote better
30	understanding and voluntary compliance by taxpayers.
31	(b) By October 1, 2023, and each year thereafter, the taxpayer steward shall prepare and
32	submit a report to the tax administrator and the director of the department of revenue summarizing
33	the activities of the steward during the immediately preceding fiscal year, describing any
34	recommendations made pursuant to subsections (2) and (3) of this section, including the progress
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1	in implementing such recommendations, and providing such other information as the division
2	deems appropriate relating to the rights of taxpayers of this state.
3	SECTION 9. Section 44-3-3 of the General Laws in Chapter 44-3 entitled “Property
4	Subject to Taxation” is hereby amended to read as follows:
5	44-3-3. Property exempt. [Effective January 1, 2022.]
6	(a) The following property is exempt from taxation:
7	(1) Property belonging to the state, except as provided in § 44-4-4.1;
8	(2) Lands ceded or belonging to the United States;
9	(3) Bonds and other securities issued and exempted from taxation by the government of
10	the United States or of this state;
11	(4) Real estate, used exclusively for military purposes, owned by chartered or incorporated
12	organizations approved by the adjutant general and composed of members of the national guard,
13	the naval militia, or the independent, chartered-military organizations;
14	(5) Buildings for free public schools, buildings for religious worship, and the land upon
15	which they stand and immediately surrounding them, to an extent not exceeding five (5) acres so
16	far as the buildings and land are occupied and used exclusively for religious or educational
17	purposes;
18	(6) Dwellings houses and the land on which they stand, not exceeding one acre in size, or
19	the minimum lot size for zone in which the dwelling house is located, whichever is the greater,
20	owned by, or held in trust for, any religious organization and actually used by its officiating clergy;
21	provided, further, that in the town of Charlestown, where the property previously described in this
22	paragraph is exempt in total, along with dwelling houses and the land on which they stand in
23	Charlestown, not exceeding one acre in size, or the minimum lot size for zone in which the dwelling
24	house is located, whichever is the greater, owned by, or held in trust for, any religious organization
25	and actually used by its officiating clergy, or used as a convent, nunnery, or retreat center by its
26	religious order;
27	(7) Intangible personal property owned by, or held in trust for, any religious or charitable
28	organization, if the principal or income is used or appropriated for religious or charitable purposes;
29	(8) Buildings and personal estate owned by any corporation used for a school, academy, or
30	seminary of learning, and of any incorporated public charitable institution, and the land upon which
31	the buildings stand and immediately surrounding them to an extent not exceeding one acre, so far
32	as they are used exclusively for educational purposes, but no property or estate whatever is hereafter
33	exempt from taxation in any case where any part of its income or profits, or of the business carried
34	on there, is divided among its owners or stockholders; provided, however, that unless any private
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1	nonprofit corporation organized as a college or university located in the town of Smithfield reaches
2	a memorandum of agreement with the town of Smithfield, the town of Smithfield shall bill the
3	actual costs for police, fire, and rescue services supplied, unless otherwise reimbursed, to said
4	corporation commencing March 1, 2014;
5	(9) Estates, persons, and families of the president and professors for the time being of
6	Brown University for not more than ten thousand dollars ($10,000) for each officer, the officer's
7	estate, person, and family included, but only to the extent that any person had claimed and utilized
8	the exemption prior to, and for a period ending, either on or after December 31, 1996;
9	(10) Property especially exempt by charter unless the exemption has been waived in whole
10	or in part;
11	(11) Lots of land exclusively for burial grounds;
12	(12) Property, real and personal, held for, or by, an incorporated library, society, or any
13	free public library, or any free public library society, so far as the property is held exclusively for
14	library purposes, or for the aid or support of the aged poor, or poor friendless children, or the poor
15	generally, or for a nonprofit hospital for the sick or disabled;
16	(13) Real or personal estate belonging to, or held in trust for, the benefit of incorporated
17	organizations of veterans of any war in which the United States has been engaged, the parent body
18	of which has been incorporated by act of Congress, to the extent of four hundred thousand dollars
19	($400,000) if actually used and occupied by the association; provided, that the city council of the
20	city of Cranston may by ordinance exempt the real or personal estate as previously described in
21	this subdivision located within the city of Cranston to the extent of five hundred thousand dollars
22	($500,000);
23	(14) Property, real and personal, held for, or by, the fraternal corporation, association, or
24	body created to build and maintain a building or buildings for its meetings or the meetings of the
25	general assembly of its members, or subordinate bodies of the fraternity, and for the
26	accommodation of other fraternal bodies or associations, the entire net income of which real and
27	personal property is exclusively applied or to be used to build, furnish, and maintain an asylum or
28	asylums, a home or homes, a school or schools, for the free education or relief of the members of
29	the fraternity, or the relief, support, and care of worthy and indigent members of the fraternity, their
30	wives, widows, or orphans, and any fund given or held for the purpose of public education,
31	almshouses, and the land and buildings used in connection therewith;
32	(15) Real estate and personal property of any incorporated volunteer fire engine company
33	or incorporated volunteer ambulance or rescue corps in active service;
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1	(16) The estate of any person who, in the judgment of the assessors, is unable from infirmity
2	or poverty to pay the tax; provided, that in the towns of Burrillville and West Greenwich, the tax
3	shall constitute a lien for five (5) years on the property where the owner is entitled to the exemption.
4	At the expiration of five (5) years, the lien shall be abated in full. Provided, if the property is sold
5	or conveyed, or if debt secured by the property is refinanced during the five-year (5) period, the
6	lien immediately becomes due and payable; any person claiming the exemption aggrieved by an
7	adverse decision of an assessor shall appeal the decision to the local board of tax review and
8	thereafter according to the provisions of § 44-5-26;
9	(17) Household furniture and family stores of a housekeeper in the whole, including
10	clothing, bedding, and other white goods, books, and all other tangible personal property items that
11	are common to the normal household;
12	(18) Improvements made to any real property to provide a shelter and fallout protection
13	from nuclear radiation, to the amount of one thousand five hundred dollars ($1,500); provided, that
14	the improvements meet applicable standards for shelter construction established, from time to time,
15	by the Rhode Island emergency management agency. The improvements are deemed to comply
16	with the provisions of any building code or ordinance with respect to the materials or the methods
17	of construction used and any shelter or its establishment is deemed to comply with the provisions
18	of any zoning code or ordinance;
19	(19) Aircraft for which the fee required by § 1-4-6 has been paid to the tax administrator;
20	(20) Manufacturer's inventory.
21	(i) For the purposes of §§ 44-4-10, 44-5-3, 44-5-20, and 44-5-38, a person is deemed to be
22	a manufacturer within a city or town within this state if that person uses any premises, room, or
23	place in it primarily for the purpose of transforming raw materials into a finished product for trade
24	through any or all of the following operations: adapting, altering, finishing, making, and
25	ornamenting; provided, that public utilities; non-regulated power producers commencing
26	commercial operation by selling electricity at retail or taking title to generating facilities on or after
27	July 1, 1997; building and construction contractors; warehousing operations, including distribution
28	bases or outlets of out-of-state manufacturers; and fabricating processes incidental to warehousing
29	or distribution of raw materials, such as alteration of stock for the convenience of a customer; are
30	excluded from this definition;
31	(ii) For the purposes of this section and §§ 44-4-10 and 44-5-38, the term "manufacturer's
32	inventory," or any similar term, means and includes the manufacturer's raw materials, the
33	manufacturer's work in process, and finished products manufactured by the manufacturer in this
34	state, and not sold, leased, or traded by the manufacturer or its title or right to possession divested;
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1	provided, that the term does not include any finished products held by the manufacturer in any retail
2	store or other similar selling place operated by the manufacturer whether or not the retail
3	establishment is located in the same building in which the manufacturer operates the manufacturing
4	plant;
5	(iii) For the purpose of § 44-11-2, a "manufacturer" is a person whose principal business
6	in this state consists of transforming raw materials into a finished product for trade through any or
7	all of the operations described in paragraph (i) of this subdivision. A person will be deemed to be
8	principally engaged if the gross receipts that person derived from the manufacturing operations in
9	this state during the calendar year or fiscal year mentioned in § 44-11-1 amounted to more than
10	fifty percent (50%) of the total gross receipts that person derived from all the business activities in
11	which that person engaged in this state during the taxable year. For the purpose of computing the
12	percentage, gross receipts derived by a manufacturer from the sale, lease, or rental of finished
13	products manufactured by the manufacturer in this state, even though the manufacturer's store or
14	other selling place may be at a different location from the location of the manufacturer's
15	manufacturing plant in this state, are deemed to have been derived from manufacturing;
16	(iv) Within the meaning of the preceding paragraphs of this subdivision, the term
17	"manufacturer" also includes persons who are principally engaged in any of the general activities
18	coded and listed as establishments engaged in manufacturing in the Standard Industrial
19	Classification Manual prepared by the Technical Committee on Industrial Classification, Office of
20	Statistical Standards, Executive Office of the President, United States Bureau of the Budget, as
21	revised from time to time, but eliminating as manufacturers those persons, who, because of their
22	limited type of manufacturing activities, are classified in the manual as falling within the trade
23	rather than an industrial classification of manufacturers. Among those thus eliminated, and
24	accordingly also excluded as manufacturers within the meaning of this paragraph, are persons
25	primarily engaged in selling, to the general public, products produced on the premises from which
26	they are sold, such as neighborhood bakeries, candy stores, ice cream parlors, shade shops, and
27	custom tailors, except, that a person who manufactures bakery products for sale primarily for home
28	delivery, or through one or more non-baking retail outlets, and whether or not retail outlets are
29	operated by the person, is a manufacturer within the meaning of this paragraph;
30	(v) The term "Person" means and includes, as appropriate, a person, partnership, or
31	corporation; and
32	(vi) The department of revenue shall provide to the local assessors any assistance that is
33	necessary in determining the proper application of the definitions in this subdivision;
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1	(21) Real and tangible personal property acquired to provide a treatment facility used
2	primarily to control the pollution or contamination of the waters or the air of the state, as defined
3	in chapter 12 of title 46 and chapter 25 of title 23, respectively, the facility having been constructed,
4	reconstructed, erected, installed, or acquired in furtherance of federal or state requirements or
5	standards for the control of water or air pollution or contamination, and certified as approved in an
6	order entered by the director of environmental management. The property is exempt as long as it is
7	operated properly in compliance with the order of approval of the director of environmental
8	management; provided, that any grant of the exemption by the director of environmental
9	management in excess of ten (10) years is approved by the city or town in which the property is
10	situated. This provision applies only to water and air pollution control properties and facilities
11	installed for the treatment of waste waters and air contaminants resulting from industrial
12	processing; furthermore, it applies only to water or air pollution control properties and facilities
13	placed in operation for the first time after April 13, 1970;
14	(22) Manufacturing machinery and equipment acquired or used by a manufacturer after
15	December 31, 1974. Manufacturing machinery and equipment is defined as:
16	(i) Machinery and equipment used exclusively in the actual manufacture or conversion of
17	raw materials or goods in the process of manufacture by a manufacturer, as defined in subdivision
18	(20), and machinery, fixtures, and equipment used exclusively by a manufacturer for research and
19	development or for quality assurance of its manufactured products;
20	(ii) Machinery and equipment that is partially used in the actual manufacture or conversion
21	of raw materials or goods in process of manufacture by a manufacturer, as defined in subdivision
22	(20), and machinery, fixtures, and equipment used by a manufacturer for research and development
23	or for quality assurance of its manufactured products, to the extent to which the machinery and
24	equipment is used for the manufacturing processes, research and development, or quality assurance.
25	In the instances where machinery and equipment is used in both manufacturing and/or research and
26	development and/or quality assurance activities and non-manufacturing activities, the assessment
27	on machinery and equipment is prorated by applying the percentage of usage of the equipment for
28	the manufacturing, research and development, and quality-assurance activity to the value of the
29	machinery and equipment for purposes of taxation, and the portion of the value used for
30	manufacturing, research and development, and quality assurance is exempt from taxation. The
31	burden of demonstrating this percentage usage of machinery and equipment for manufacturing and
32	for research and development and/or quality assurance of its manufactured products rests with the
33	manufacturer; and
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1	(iii) Machinery and equipment described in §§ 44-18-30(7) and 44-18-30(22) that was
2	purchased after July 1, 1997; provided that the city or town council of the city or town in which the
3	machinery and equipment is located adopts an ordinance exempting the machinery and equipment
4	from taxation. For purposes of this subsection, city councils and town councils of any municipality
5	may, by ordinance, wholly or partially exempt from taxation the machinery and equipment
6	discussed in this subsection for the period of time established in the ordinance and may, by
7	ordinance, establish the procedures for taxpayers to avail themselves of the benefit of any
8	exemption permitted under this section; provided, that the ordinance does not apply to any
9	machinery or equipment of a business, subsidiary, or any affiliated business that locates or relocates
10	from a city or town in this state to another city or town in the state;
11	(23) Precious metal bullion, meaning any elementary metal that has been put through a
12	process of melting or refining, and that is in a state or condition that its value depends upon its
13	content and not its form. The term does not include fabricated precious metal that has been
14	processed or manufactured for some one or more specific and customary industrial, professional,
15	or artistic uses;
16	(24) Hydroelectric power-generation equipment, which includes, but is not limited to,
17	turbines, generators, switchgear, controls, monitoring equipment, circuit breakers, transformers,
18	protective relaying, bus bars, cables, connections, trash racks, headgates, and conduits. The
19	hydroelectric power-generation equipment must have been purchased after July 1, 1979, and
20	acquired or used by a person or corporation who or that owns or leases a dam and utilizes the
21	equipment to generate hydroelectric power;
22	(25) Subject to authorization by formal action of the council of any city or town, any real
23	or personal property owned by, held in trust for, or leased to an organization incorporated under
24	chapter 6 of title 7, as amended, or an organization meeting the definition of "charitable trust" set
25	out in § 18-9-4, as amended, or an organization incorporated under the not-for-profits statutes of
26	another state or the District of Columbia, the purpose of which is the conserving of open space, as
27	that term is defined in chapter 36 of title 45, as amended, provided the property is used exclusively
28	for the purposes of the organization;
29	(26) Tangible personal property, the primary function of which is the recycling, reuse, or
30	recovery of materials (other than precious metals, as defined in § 44-18-30(24)(ii) and (iii)), from,
31	or the treatment of "hazardous wastes," as defined in § 23-19.1-4, where the "hazardous wastes"
32	are generated primarily by the same taxpayer and where the personal property is located at, in, or
33	adjacent to a generating facility of the taxpayer. The taxpayer may, but need not, procure an order
34	from the director of the department of environmental management certifying that the tangible
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1	personal property has this function, which order effects a conclusive presumption that the tangible
2	personal property qualifies for the exemption under this subdivision. If any information relating to
3	secret processes or methods of manufacture, production, or treatment is disclosed to the department
4	of environmental management only to procure an order, and is a "trade secret" as defined in § 28-
5	21-10(b), it shall not be open to public inspection or publicly disclosed unless disclosure is
6	otherwise required under chapter 21 of title 28 or chapter 24.4 of title 23;
7	(27) Motorboats as defined in § 46-22-2 for which the annual fee required in § 46-22-4 has
8	been paid;
9	(28) Real and personal property of the Providence Performing Arts Center, a non-business
10	corporation as of December 31, 1986;
11	(29) Tangible personal property owned by, and used exclusively for the purposes of, any
12	religious organization located in the city of Cranston;
13	(30) Real and personal property of the Travelers Aid Society of Rhode Island, a nonprofit
14	corporation, the Union Mall Real Estate Corporation, and any limited partnership or limited liability
15	company that is formed in connection with, or to facilitate the acquisition of, the Providence YMCA
16	Building;
17	(31) Real and personal property of Meeting Street Center or MSC Realty, Inc., both not-
18	for-profit Rhode Island corporations, and any other corporation, limited partnership, or limited
19	liability company that is formed in connection with, or to facilitate the acquisition of, the properties
20	designated as the Meeting Street National Center of Excellence on Eddy Street in Providence,
21	Rhode Island;
22	(32) The buildings, personal property, and land upon which the buildings stand, located on
23	Pomham Island, East Providence, currently identified as Assessor's Map 211, Block 01, Parcel
24	001.00, that consists of approximately twenty-one thousand three hundred (21,300) square feet and
25	is located approximately eight hundred sixty feet (860′), more or less, from the shore, and limited
26	exclusively to these said buildings, personal estate and land, provided that said property is owned
27	by a qualified 501(c)(3) organization, such as the American Lighthouse Foundation, and is used
28	exclusively for a lighthouse;
29	(33) The Stadium Theatre Performing Arts Centre building located in Monument Square,
30	Woonsocket, Rhode Island, so long as said Stadium Theatre Performing Arts Center is owned by
31	the Stadium Theatre Foundation, a Rhode Island nonprofit corporation;
32	(34) Real and tangible personal property of St. Mary Academy — Bay View, located in
33	East Providence, Rhode Island;
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1	(35) Real and personal property of East Bay Community Action Program and its
2	predecessor, Self Help, Inc; provided, that the organization is qualified as a tax-exempt corporation
3	under § 501(c)(3) of the United States Internal Revenue Code;
4	(36) Real and personal property located within the city of East Providence of the Columbus
5	Club of East Providence, a Rhode Island charitable nonprofit corporation;
6	(37) Real and personal property located within the city of East Providence of the Columbus
7	Club of Barrington, a Rhode Island charitable nonprofit corporation;
8	(38) Real and personal property located within the city of East Providence of Lodge 2337
9	BPO Elks, a Rhode Island nonprofit corporation;
10	(39) Real and personal property located within the city of East Providence of the St.
11	Andrews Lodge No. 39, a Rhode Island charitable nonprofit corporation;
12	(40) Real and personal property located within the city of East Providence of the Trustees
13	of Methodist Health and Welfare service a/k/a United Methodist Elder Care, a Rhode Island
14	nonprofit corporation;
15	(41) Real and personal property located on the first floor of 90 Leonard Avenue within the
16	city of East Providence of the Zion Gospel Temple, Inc., a religious nonprofit corporation;
17	(42) Real and personal property located within the city of East Providence of the Cape
18	Verdean Museum Exhibit, a Rhode Island nonprofit corporation;
19	(43) The real and personal property owned by a qualified 501(c)(3) organization that is
20	affiliated and in good standing with a national, congressionally chartered organization and thereby
21	adheres to that organization's standards and provides activities designed for recreational,
22	educational, and character building purposes for children from ages six (6) years to seventeen (17)
23	years;
24	(44) Real and personal property of the Rhode Island Philharmonic Orchestra and Music
25	School; provided, that the organization is qualified as a tax-exempt corporation under § 501(c)(3)
26	of the United States Internal Revenue Code;
27	(45) The real and personal property located within the town of West Warwick at 211
28	Cowesett Avenue, Plat 29-Lot 25, which consists of approximately twenty-eight thousand seven
29	hundred fifty (28,750) square feet and is owned by the Station Fire Memorial Foundation of East
30	Greenwich, a Rhode Island nonprofit corporation;
31	(46) Real and personal property of the Comprehensive Community Action Program, a
32	qualified tax-exempt corporation under § 501(c)(3) of the United States Internal Revenue Code;
33	(47) Real and personal property located at 52 Plain Street, within the city of Pawtucket of
34	the Pawtucket Youth Soccer Association, a Rhode Island nonprofit corporation;
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1	(48) Renewable energy resources, as defined in § 39-26-5, used in residential systems and
2	associated equipment used therewith in service after December 31, 2015;
3	(49) Renewable energy resources, as defined in § 39-26-5, if employed by a manufacturer,
4	as defined in subsection (a) of this section, shall be exempt from taxation in accordance with
5	subsection (a) of this section;
6	(50) Real and personal property located at 415 Tower Hill Road within the town of North
7	Kingstown, of South County Community Action, Inc., a qualified tax-exempt corporation under §
8	501(c)(3) of the United States Internal Revenue Code;
9	(51) As an effort to promote business growth, tangible business or personal property, in
10	whole or in part, within the town of Charlestown's community limits, subject to authorization by
11	formal action of the town council of the town of Charlestown;
12	(52) All real and personal property located at 1300 Frenchtown Road, within the town of
13	East Greenwich, identified as assessor's map 027, plat 019, lot 071, and known as the New England
14	Wireless and Steam Museum, Inc., a qualified tax-exempt corporation under § 501(c)(3) of the
15	United States Internal Revenue Code;
16	(53) Real and tangible personal property of Mount Saint Charles Academy located within
17	the city of Woonsocket, specifically identified as the following assessor's plats and lots: Logee
18	Street, plat 23, lot 62, Logee Street, plat 24, lots 304 and 305; Welles Street, plat 23, lot 310;
19	Monroe Street, plat 23, lot 312; and Roberge Avenue, plat 24, lot 47;
20	(54) Real and tangible personal property of Steere House, a Rhode Island nonprofit
21	corporation, located in Providence, Rhode Island;
22	(55) Real and personal property located within the town of West Warwick of Tides Family
23	Services, Inc., a Rhode Island nonprofit corporation;
24	(56) Real and personal property of Tides Family Services, Inc., a Rhode Island nonprofit
25	corporation, located in the city of Pawtucket at 242 Dexter Street, plat 44, lot 444;
26	(57) Real and personal property located within the town of Middletown of Lucy's Hearth,
27	a Rhode Island nonprofit corporation;
28	(58) Real and tangible personal property of Habitat for Humanity of Rhode Island—
29	Greater Providence, Inc., a Rhode Island nonprofit corporation, located in Providence, Rhode
30	Island;
31	(59) Real and personal property of the Artic Playhouse, a Rhode Island nonprofit
32	corporation, located in the town of West Warwick at 1249 Main Street;
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1	(60) Real and personal property located at 321 Main Street, within the town of South
2	Kingstown, of the Contemporary Theatre Company, a qualified, tax-exempt corporation under §
3	501(c)(3) of the United States Internal Revenue Code;
4	(61) Real and personal property of The Samaritans, Inc., a Rhode Island nonprofit §
5	501(c)(3) corporation located at 67 Park Place, Pawtucket, Rhode Island, to the extent the city
6	council of Pawtucket may from time to time determine;
7	(62) Real and personal property of North Kingstown, Exeter Animal Protection League,
8	Inc., dba "Pet Refuge," 500 Stony Lane, a Rhode Island nonprofit corporation, located in North
9	Kingstown, Rhode Island;
10	(63) Real and personal property located within the city of East Providence of Foster
11	Forward (formerly the Rhode Island Foster Parents Association), a Rhode Island charitable
12	nonprofit corporation;
13	(64) Real and personal property located at 54 Kelly Avenue within the town of East
14	Providence, of the Associated Radio Amateurs of Southern New England, a Rhode Island nonprofit
15	corporation;
16	(65) Real and tangible personal property of Providence Country Day School, a Rhode
17	Island nonprofit corporation, located in East Providence, Rhode Island and further identified as plat
18	406, block 6, lot 6, and plat 506, block 1, lot 8;
19	(66) As an effort to promote business growth, tangible business or personal property, in
20	whole or in part, within the town of Bristol's community limits, subject to authorization by formal
21	action of the town council of the town of Bristol;
22	(67) Real and tangible personal property of the Heritage Harbor Foundation, a Rhode
23	Island nonprofit corporation, located at 1445 Wampanoag Trail, Suites 103 and 201, within the city
24	of East Providence;
25	(68) Real property of Ocean State Community Wellness, Inc., a qualified tax-exempt
26	corporation under § 501(c)(3) of the United States Internal Revenue Code, located in North
27	Kingstown, Rhode Island, with a physical address of 7450 Post Road, and further identified as plat
28	108, lot 83;
29	(69) Real and tangible personal property of St. John Baptist De La Salle Institute, d/b/a La
30	Salle Academy, a Rhode Island domestic nonprofit corporation, located in Providence, Rhode
31	Island denominated at the time this subsection was adopted as Plat 83 Lot 276 by the tax assessor
32	for the city of Providence comprising approximately 26.08 acres of land along with all buildings
33	and improvements that have been or may be made;
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1	(70) Real and tangible personal property of The Providence Community Health Centers,
2	Inc., a Rhode Island domestic nonprofit corporation, located in Providence, Rhode Island; and
3	(71) In the city of Central Falls and the city of Pawtucket, real property and tangible
4	personal property located on or in the premise acquired or leased by a railroad entity and for the
5	purpose of providing boarding and disembarking of railroad passengers and the supporting
6	passenger railroad operations and services. For the purpose of this section, a railroad entity shall be
7	any incorporated entity that has been duly authorized by the Rhode Island public utilities
8	commission to provide passenger railroad services.
9	(b) Except as provided below, when a city or town taxes a for-profit hospital facility, the
10	value of its real property shall be the value determined by the most recent full revaluation or
11	statistical property update performed by the city or town; provided, however, in the year a nonprofit
12	hospital facility converts to or otherwise becomes a for-profit hospital facility, or a for-profit
13	hospital facility is initially established, the value of the real property and personal property of the
14	for-profit hospital facility shall be determined by a valuation performed by the assessor for the
15	purpose of determining an initial assessed value of real and personal property, not previously taxed
16	by the city or town, as of the most recent date of assessment pursuant to § 44-5-1, subject to a right
17	of appeal by the for-profit hospital facility which shall be made to the city or town tax assessor with
18	a direct appeal from an adverse decision to the Rhode Island superior court business calendar.
19	A "for-profit hospital facility" includes all real and personal property affiliated with any
20	hospital as identified in an application filed pursuant to chapter 17 or 17.14 of title 23.
21	Notwithstanding the above, a city or town may enter into a stabilization agreement with a for-profit
22	hospital facility under § 44-3-9 or other laws specific to the particular city or town relating to
23	stabilization agreements. In a year in which a nonprofit hospital facility converts to, or otherwise
24	becomes, a for-profit hospital facility, or a for-profit hospital facility is otherwise established, in
25	that year only the amount levied by the city or town and/or the amount payable under the
26	stabilization agreement for that year related to the for-profit hospital facility shall not be counted
27	towards determining the maximum tax levy permitted under § 44-5-2.
28	(c) Notwithstanding any other provision of law to the contrary, in an effort to provide relief
29	for businesses, including small businesses, and to promote economic development, a city, town, or
30	fire district may establish an exemption for tangible personal property within its geographic limits
31	by formal action of the appropriate governing body within the city, town, or fire district, which
32	exemptions shall be uniformly applied and in compliance with local tax classification requirements.
33	Exemptions established pursuant to this subsection shall conform to the requirements of § 44-5-
34	12.2.
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1	SECTION 10. Chapter 44-5 of the General Laws entitled " Levy and Assessment of Local
2	Taxes" is hereby amended by adding thereto the following sections:
3	44-5-11.16. Division of Municipal Finance Classification Exemption Authority
4	Notwithstanding any other provision of law to the contrary, the Division of Municipal
5	Finance (Division) within the Department of Revenue shall have the authority to grant a one-year
6	exemption to any city or town authorized to have a property tax classification structure under this
7	chapter, where in the absence of such an exemption, the city or town would not be in compliance
8	with its applicable tax classification structure. Any city or town seeking such an exemption shall
9	provide the Division with any documentation that the Division deems necessary to grant an
10	exemption. Such exemption, if approved by the Division, shall be limited to one year. The city or
11	town, if granted such an exemption, shall be required to either have applicable state legislation
12	approved amending the specific section of law for which the exemption was sought or adjust its
13	class tax rates so that the city or town is in compliance for its next fiscal year.
14	44-5-12.2. Tangible personal property exemption-Tax rate cap.
15	Notwithstanding any other provision of law to the contrary, the tax rate for the class of
16	property that includes tangible personal property for any city, town, or fire district that also
17	establishes a tangible personal property assessment exemption, pursuant to subsections (a)(51),
18	(a)(66), or (c) of § 44-3-3, § 44-3-47, § 44-3-65, or any other provision of law that enables a city,
19	town, or fire district to establish a tangible personal property assessment exemption, shall be capped
20	at the tax rate in effect for the assessment date immediately preceding the assessment date on which
21	the exemption takes effect or the assessment date immediately following the effective date of this
22	section, whichever is later.
23	SECTION 11. Section 44-11-2 of the General Laws in Chapter 44-11 entitled "Business
24	Corporation Tax" is hereby amended to read as follows:
25	44-11-2 Imposition of Tax.
26	(a) Each corporation shall annually pay to the state a tax equal to nine percent (9%) of net
27	income, as defined in § 44-11-11, qualified in § 44-11-12, and apportioned to this state as provided
28	in §§ 44-11-13 — 44-11-15, for the taxable year. For tax years beginning on or after January 1,
29	2015, each corporation shall annually pay to the state a tax equal to seven percent (7.0%) of net
30	income, as defined in § 44-11-13 — 44-11-15, for the taxable year.
31	(b) A corporation shall pay the amount of any tax as computed in accordance with
32	subsection (a) after deducting from "net income," as used in this section, fifty percent (50%) of the
33	excess of capital gains over capital losses realized during the taxable year, if for the taxable year:
34	(1) The corporation is engaged in buying, selling, dealing in, or holding securities on its
	LC004149 - Page 156 of 319
1	own behalf and not as a broker, underwriter, or distributor;
2	(2) Its gross receipts derived from these activities during the taxable year amounted to at
3	least ninety percent (90%) of its total gross receipts derived from all of its activities during the year.
4	"Gross receipts" means all receipts, whether in the form of money, credits, or other valuable
5	consideration, received during the taxable year in connection with the conduct of the taxpayer's
6	activities.
7	(c) A corporation shall not pay the amount of the tax computed on the basis of its net
8	income under subsection (a), but shall annually pay to the state a tax equal to ten cents ($.10) for
9	each one hundred dollars ($100) of gross income for the taxable year or a tax of one hundred dollars
10	($100), whichever tax shall be the greater, if for the taxable year the corporation is either a "personal
11	holding company" registered under the federal Investment Company Act of 1940, 15 U.S.C. § 80a-
12	1 et seq., "regulated investment company," or a "real estate investment trust" as defined in the
13	federal income tax law applicable to the taxable year. "Gross income" means gross income as
14	defined in the federal income tax law applicable to the taxable year, plus:
15	(1) Any interest not included in the federal gross income; minus
16	(2) Interest on obligations of the United States or its possessions, and other interest exempt
17	from taxation by this state; and minus
18	(3) Fifty percent (50%) of the excess of capital gains over capital losses realized during the
19	taxable year.
20	(d) (1) A small business corporation having an election in effect under subchapter S, 26
21	U.S.C. § 1361 et seq., shall not be subject to the Rhode Island income tax on corporations, except
22	that the corporation shall be subject to the provisions of subsection (a), to the extent of the income
23	that is subjected to federal tax under subchapter S. Effective for tax years beginning on or after
24	January 1, 2015, a small business corporation having an election in effect under subchapter S, 26
25	U.S.C. § 1361 et seq., shall be subject to the minimum tax under § 44-11-2(e).
26	(2) The shareholders of the corporation who are residents of Rhode Island shall include in
27	their income their proportionate share of the corporation's federal taxable income.
28	(3) [Deleted by P.L. 2004, ch. 595, art. 29, § 1.]
29	(4) [Deleted by P.L. 2004, ch. 595, art. 29, § 1.]
30	(e) Minimum tax. The tax imposed upon any corporation under this section, including a
31	small business corporation having an election in effect under subchapter S, 26 U.S.C. § 1361 et
32	seq., shall not be less than four hundred fifty dollars ($450). For tax years beginning on or after
33	January 1, 2017, the tax imposed shall not be less than four hundred dollars ($400). For tax years
34	beginning on or after January 1, 2023, the tax imposed shall not be less than three hundred seventy-
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1	five dollars ($375.00).
2	SECTION 12. Section 44-18-30 of the General Laws in Chapter 44-18 entitled "Sales and
3	Use Taxes — Liability and Computation" is hereby amended to read as follows:
4	44-18-30. Gross receipts exempt from sales and use taxes.
5	There are exempted from the taxes imposed by this chapter the following gross receipts:
6	(1) Sales and uses beyond constitutional power of state. From the sale and from the storage,
7	use, or other consumption in this state of tangible personal property the gross receipts from the sale
8	of which, or the storage, use, or other consumption of which, this state is prohibited from taxing
9	under the Constitution of the United States or under the constitution of this state.
10	(2) Newspapers.
11	(i) From the sale and from the storage, use, or other consumption in this state of any
12	newspaper.
13	(ii) "Newspaper" means an unbound publication printed on newsprint that contains news,
14	editorial comment, opinions, features, advertising matter, and other matters of public interest.
15	(iii) "Newspaper" does not include a magazine, handbill, circular, flyer, sales catalog, or
16	similar item unless the item is printed for, and distributed as, a part of a newspaper.
17	(3) School meals. From the sale and from the storage, use, or other consumption in this
18	state of meals served by public, private, or parochial schools, school districts, colleges, universities,
19	student organizations, and parent-teacher associations to the students or teachers of a school,
20	college, or university whether the meals are served by the educational institutions or by a food
21	service or management entity under contract to the educational institutions.
22	(4) Containers.
23	(i) From the sale and from the storage, use, or other consumption in this state of:
24	(A) Non-returnable containers, including boxes, paper bags, and wrapping materials that
25	are biodegradable and all bags and wrapping materials utilized in the medical and healing arts,
26	when sold without the contents to persons who place the contents in the container and sell the
27	contents with the container.
28	(B) Containers when sold with the contents if the sale price of the contents is not required
29	to be included in the measure of the taxes imposed by this chapter.
30	(C) Returnable containers when sold with the contents in connection with a retail sale of
31	the contents or when resold for refilling.
32	(D) Keg and barrel containers, whether returnable or not, when sold to alcoholic beverage
33	producers who place the alcoholic beverages in the containers.
34	(ii) As used in this subdivision, the term "returnable containers" means containers of a kind
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1	customarily returned by the buyer of the contents for reuse. All other containers are "non-returnable
2	containers."
3	(5) (i) Charitable, educational, and religious organizations. From the sale to, as in defined
4	in this section, and from the storage, use, and other consumption in this state, or any other state of
5	the United States of America, of tangible personal property by hospitals not operated for a profit;
6	"educational institutions" as defined in subdivision (18) not operated for a profit; churches,
7	orphanages, and other institutions or organizations operated exclusively for religious or charitable
8	purposes; interest-free loan associations not operated for profit; nonprofit, organized sporting
9	leagues and associations and bands for boys and girls under the age of nineteen (19) years; the
10	following vocational student organizations that are state chapters of national vocational student
11	organizations: Distributive Education Clubs of America (DECA); Future Business Leaders of
12	America, Phi Beta Lambda (FBLA/PBL); Future Farmers of America (FFA); Future Homemakers
13	of America/Home Economics Related Occupations (FHA/HERD); Vocational Industrial Clubs of
14	America (VICA); organized nonprofit golden age and senior citizens clubs for men and women;
15	and parent-teacher associations; and from the sale, storage, use, and other consumption in this state,
16	of and by the Industrial Foundation of Burrillville, a Rhode Island domestic nonprofit corporation.
17	(ii) In the case of contracts entered into with the federal government, its agencies, or
18	instrumentalities, this state, or any other state of the United States of America, its agencies, any
19	city, town, district, or other political subdivision of the states; hospitals not operated for profit;
20	educational institutions not operated for profit; churches, orphanages, and other institutions or
21	organizations operated exclusively for religious or charitable purposes, the contractor may purchase
22	such materials and supplies (materials and/or supplies are defined as those that are essential to the
23	project) that are to be utilized in the construction of the projects being performed under the contracts
24	without payment of the tax.
25	(iii) The contractor shall not charge any sales or use tax to any exempt agency, institution,
26	or organization but shall in that instance provide his or her suppliers with certificates in the form
27	as determined by the division of taxation showing the reason for exemption and the contractor's
28	records must substantiate the claim for exemption by showing the disposition of all property so
29	purchased. If any property is then used for a nonexempt purpose, the contractor must pay the tax
30	on the property used.
31	(6) Gasoline. From the sale and from the storage, use, or other consumption in this state
32	of: (i) Gasoline and other products taxed under chapter 36 of title 31 and (ii) Fuels used for the
33	propulsion of airplanes.
34	(7) Purchase for manufacturing purposes.
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1	(i) From the sale and from the storage, use, or other consumption in this state of computer
2	software, tangible personal property, electricity, natural gas, artificial gas, steam, refrigeration, and
3	water, when the property or service is purchased for the purpose of being manufactured into a
4	finished product for resale and becomes an ingredient, component, or integral part of the
5	manufactured, compounded, processed, assembled, or prepared product, or if the property or
6	service is consumed in the process of manufacturing for resale computer software, tangible personal
7	property, electricity, natural gas, artificial gas, steam, refrigeration, or water.
8	(ii) "Consumed" means destroyed, used up, or worn out to the degree or extent that the
9	property cannot be repaired, reconditioned, or rendered fit for further manufacturing use.
10	(iii) "Consumed" includes mere obsolescence.
11	(iv) "Manufacturing" means and includes: manufacturing, compounding, processing,
12	assembling, preparing, or producing.
13	(v) "Process of manufacturing" means and includes all production operations performed in
14	the producing or processing room, shop, or plant, insofar as the operations are a part of and
15	connected with the manufacturing for resale of tangible personal property, electricity, natural gas,
16	artificial gas, steam, refrigeration, or water and all production operations performed insofar as the
17	operations are a part of and connected with the manufacturing for resale of computer software.
18	(vi) "Process of manufacturing" does not mean or include administration operations such
19	as general office operations, accounting, collection, or sales promotion, nor does it mean or include
20	distribution operations that occur subsequent to production operations, such as handling, storing,
21	selling, and transporting the manufactured products, even though the administration and
22	distribution operations are performed by, or in connection with, a manufacturing business.
23	(8) State and political subdivisions. From the sale to, and from the storage, use, or other
24	consumption by, this state, any city, town, district, or other political subdivision of this state. Every
25	redevelopment agency created pursuant to chapter 31 of title 45 is deemed to be a subdivision of
26	the municipality where it is located.
27	(9) Food and food ingredients. From the sale and storage, use, or other consumption in this
28	state of food and food ingredients as defined in § 44-18-7.1(l).
29	For the purposes of this exemption "food and food ingredients" shall not include candy,
30	soft drinks, dietary supplements, alcoholic beverages, tobacco, food sold through vending
31	machines, or prepared food, as those terms are defined in § 44-18-7.1, unless the prepared food is:
32	(i) Sold by a seller whose primary NAICS classification is manufacturing in sector 311,
33	except sub-sector 3118 (bakeries);
34	(ii) Sold in an unheated state by weight or volume as a single item;
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1	(iii) Bakery items, including: bread, rolls, buns, biscuits, bagels, croissants, pastries,
2	donuts, danish, cakes, tortes, pies, tarts, muffins, bars, cookies, tortillas; and is not sold with utensils
3	provided by the seller, including: plates, knives, forks, spoons, glasses, cups, napkins, or straws.
4	(10) Medicines, drugs, and durable medical equipment. From the sale and from the storage,
5	use, or other consumption in this state, of:
6	(i) "Drugs" as defined in § 44-18-7.1(h)(i), sold on prescriptions, medical oxygen, and
7	insulin whether or not sold on prescription. For purposes of this exemption drugs shall not include
8	over-the-counter drugs and grooming and hygiene products as defined in § 44-18-7.1(h)(iii).
9	(ii) Durable medical equipment as defined in § 44-18-7.1(k) for home use only, including,
10	but not limited to: syringe infusers, ambulatory drug delivery pumps, hospital beds, convalescent
11	chairs, and chair lifts. Supplies used in connection with syringe infusers and ambulatory drug
12	delivery pumps that are sold on prescription to individuals to be used by them to dispense or
13	administer prescription drugs, and related ancillary dressings and supplies used to dispense or
14	administer prescription drugs, shall also be exempt from tax.
15	(11) Prosthetic devices and mobility enhancing equipment. From the sale and from the
16	storage, use, or other consumption in this state, of prosthetic devices as defined in § 44-18-7.1(t),
17	sold on prescription, including, but not limited to: artificial limbs, dentures, spectacles, eyeglasses,
18	and artificial eyes; artificial hearing devices and hearing aids, whether or not sold on prescription;
19	and mobility enhancing equipment as defined in § 44-18-7.1(p), including wheelchairs, crutches,
20	and canes.
21	(12) Coffins, caskets, urns, shrouds and burial garments. From the sale and from the
22	storage, use, or other consumption in this state of coffins, caskets, urns, shrouds, and other burial
23	garments that are ordinarily sold by a funeral director as part of the business of funeral directing.
24	(13) Motor vehicles sold to nonresidents.
25	(i) From the sale, subsequent to June 30, 1958, of a motor vehicle to a bona fide nonresident
26	of this state who does not register the motor vehicle in this state, whether the sale or delivery of the
27	motor vehicle is made in this state or at the place of residence of the nonresident. A motor vehicle
28	sold to a bona fide nonresident whose state of residence does not allow a like exemption to its
29	nonresidents is not exempt from the tax imposed under § 44-18-20. In that event, the bona fide
30	nonresident pays a tax to Rhode Island on the sale at a rate equal to the rate that would be imposed
31	in his or her state of residence not to exceed the rate that would have been imposed under § 44-18-
32	20. Notwithstanding any other provisions of law, a licensed motor vehicle dealer shall add and
33	collect the tax required under this subdivision and remit the tax to the tax administrator under the
34	provisions of chapters 18 and 19 of this title. When a Rhode Island licensed, motor vehicle dealer
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1	is required to add and collect the sales and use tax on the sale of a motor vehicle to a bona fide
2	nonresident as provided in this section, the dealer in computing the tax takes into consideration the
3	law of the state of the nonresident as it relates to the trade-in of motor vehicles.
4	(ii) The tax administrator, in addition to the provisions of §§ 44-19-27 and 44-19-28, may
5	require any licensed motor vehicle dealer to keep records of sales to bona fide nonresidents as the
6	tax administrator deems reasonably necessary to substantiate the exemption provided in this
7	subdivision, including the affidavit of a licensed motor vehicle dealer that the purchaser of the
8	motor vehicle was the holder of, and had in his or her possession a valid out-of-state motor vehicle
9	registration or a valid out-of-state driver's license.
10	(iii) Any nonresident who registers a motor vehicle in this state within ninety (90) days of
11	the date of its sale to him or her is deemed to have purchased the motor vehicle for use, storage, or
12	other consumption in this state, and is subject to, and liable for, the use tax imposed under the
13	provisions of § 44-18-20.
14	(14) Sales in public buildings by blind people. From the sale and from the storage, use, or
15	other consumption in all public buildings in this state of all products or wares by any person
16	licensed under § 40-9-11.1.
17	(15) Air and water pollution control facilities. From the sale, storage, use, or other
18	consumption in this state of tangible personal property or supplies acquired for incorporation into
19	or used and consumed in the operation of a facility, the primary purpose of which is to aid in the
20	control of the pollution or contamination of the waters or air of the state, as defined in chapter 12
21	of title 46 and chapter 23 of title 23, respectively, and that has been certified as approved for that
22	purpose by the director of environmental management. The director of environmental management
23	may certify to a portion of the tangible personal property or supplies acquired for incorporation
24	into those facilities or used and consumed in the operation of those facilities to the extent that that
25	portion has as its primary purpose the control of the pollution or contamination of the waters or air
26	of this state. As used in this subdivision, "facility" means any land, facility, device, building,
27	machinery, or equipment.
28	(16) Camps. From the rental charged for living quarters, or sleeping, or housekeeping
29	accommodations at camps or retreat houses operated by religious, charitable, educational, or other
30	organizations and associations mentioned in subsection (5), or by privately owned and operated
31	summer camps for children.
32	(17) Certain institutions. From the rental charged for living or sleeping quarters in an
33	institution licensed by the state for the hospitalization, custodial, or nursing care of human beings.
34	(18) Educational institutions. From the rental charged by any educational institution for
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1	living quarters, or sleeping, or housekeeping accommodations or other rooms or accommodations
2	to any student or teacher necessitated by attendance at an educational institution. "Educational
3	institution" as used in this section means an institution of learning not operated for profit that is
4	empowered to confer diplomas, educational, literary, or academic degrees; that has a regular
5	faculty, curriculum, and organized body of pupils or students in attendance throughout the usual
6	school year; that keeps and furnishes to students and others records required and accepted for
7	entrance to schools of secondary, collegiate, or graduate rank; and no part of the net earnings of
8	which inures to the benefit of any individual.
9	(19) Motor vehicle and adaptive equipment for persons with disabilities.
10	(i) From the sale of: (A) Special adaptations; (B) The component parts of the special
11	adaptations; or (C) A specially adapted motor vehicle; provided that the owner furnishes to the tax
12	administrator an affidavit of a licensed physician to the effect that the specially adapted motor
13	vehicle is necessary to transport a family member with a disability or where the vehicle has been
14	specially adapted to meet the specific needs of the person with a disability. This exemption applies
15	to not more than one motor vehicle owned and registered for personal, noncommercial use.
16	(ii) For the purpose of this subsection the term "special adaptations" includes, but is not
17	limited to: wheelchair lifts, wheelchair carriers, wheelchair ramps, wheelchair securements, hand
18	controls, steering devices, extensions, relocations, and crossovers of operator controls, power-
19	assisted controls, raised tops or dropped floors, raised entry doors, or alternative signaling devices
20	to auditory signals.
21	(iii) From the sale of: (a) Special adaptations, (b) The component parts of the special
22	adaptations, for a "wheelchair accessible taxicab" as defined in § 39-14-1, and/or a "wheelchair
23	accessible public motor vehicle" as defined in § 39-14.1-1.
24	(iv) For the purpose of this subdivision the exemption for a "specially adapted motor
25	vehicle" means a use tax credit not to exceed the amount of use tax that would otherwise be due on
26	the motor vehicle, exclusive of any adaptations. The use tax credit is equal to the cost of the special
27	adaptations, including installation.
28	(20) Heating fuels. From the sale and from the storage, use, or other consumption in this
29	state of every type of heating fuel.
30	(21) Electricity and gas. From the sale and from the storage, use, or other consumption in
31	this state of electricity and gas.
32	(22) Manufacturing machinery and equipment.
33	(i) From the sale and from the storage, use, or other consumption in this state of tools, dies,
34	molds, machinery, equipment (including replacement parts), and related items to the extent used in
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1	an industrial plant in connection with the actual manufacture, conversion, or processing of tangible
2	personal property, or to the extent used in connection with the actual manufacture, conversion, or
3	processing of computer software as that term is utilized in industry numbers 7371, 7372, and 7373
4	in the standard industrial classification manual prepared by the Technical Committee on Industrial
5	Classification, Office of Statistical Standards, Executive Office of the President, United States
6	Bureau of the Budget, as revised from time to time, to be sold, or that machinery and equipment
7	used in the furnishing of power to an industrial manufacturing plant. For the purposes of this
8	subdivision, "industrial plant" means a factory at a fixed location primarily engaged in the
9	manufacture, conversion, or processing of tangible personal property to be sold in the regular
10	course of business;
11	(ii) Machinery and equipment and related items are not deemed to be used in connection
12	with the actual manufacture, conversion, or processing of tangible personal property, or in
13	connection with the actual manufacture, conversion, or processing of computer software as that
14	term is utilized in industry numbers 7371, 7372, and 7373 in the standard industrial classification
15	manual prepared by the Technical Committee on Industrial Classification, Office of Statistical
16	Standards, Executive Office of the President, United States Bureau of the Budget, as revised from
17	time to time, to be sold to the extent the property is used in administration or distribution operations;
18	(iii) Machinery and equipment and related items used in connection with the actual
19	manufacture, conversion, or processing of any computer software or any tangible personal property
20	that is not to be sold and that would be exempt under subdivision (7) or this subdivision if purchased
21	from a vendor or machinery and equipment and related items used during any manufacturing,
22	converting, or processing function is exempt under this subdivision even if that operation, function,
23	or purpose is not an integral or essential part of a continuous production flow or manufacturing
24	process;
25	(iv) Where a portion of a group of portable or mobile machinery is used in connection with
26	the actual manufacture, conversion, or processing of computer software or tangible personal
27	property to be sold, as previously defined, that portion, if otherwise qualifying, is exempt under
28	this subdivision even though the machinery in that group is used interchangeably and not otherwise
29	identifiable as to use.
30	(23) Trade-in value of motor vehicles. From the sale and from the storage, use, or other
31	consumption in this state of so much of the purchase price paid for a new or used automobile as is
32	allocated for a trade-in allowance on the automobile of the buyer given in trade to the seller, or of
33	the proceeds applicable only to the automobile as are received from the manufacturer of
34	automobiles for the repurchase of the automobile whether the repurchase was voluntary or not
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1	towards the purchase of a new or used automobile by the buyer. For the purpose of this subdivision,
2	the word "automobile" means a private passenger automobile not used for hire and does not refer
3	to any other type of motor vehicle.
4	(24) Precious metal bullion.
5	(i) From the sale and from the storage, use, or other consumption in this state of precious
6	metal bullion, substantially equivalent to a transaction in securities or commodities.
7	(ii) For purposes of this subdivision, "precious metal bullion" means any elementary
8	precious metal that has been put through a process of smelting or refining, including, but not limited
9	to: gold, silver, platinum, rhodium, and chromium, and that is in a state or condition that its value
10	depends upon its content and not upon its form.
11	(iii) The term does not include fabricated precious metal that has been processed or
12	manufactured for some one or more specific and customary industrial, professional, or artistic uses.
13	(25) Commercial vessels. From sales made to a commercial ship, barge, or other vessel of
14	fifty (50) tons burden or over, primarily engaged in interstate or foreign commerce, and from the
15	repair, alteration, or conversion of the vessels, and from the sale of property purchased for the use
16	of the vessels including provisions, supplies, and material for the maintenance and/or repair of the
17	vessels.
18	(26) Commercial fishing vessels. From the sale and from the storage, use, or other
19	consumption in this state of vessels and other watercraft that are in excess of five (5) net tons and
20	that are used exclusively for "commercial fishing," as defined in this subdivision, and from the
21	repair, alteration, or conversion of those vessels and other watercraft, and from the sale of property
22	purchased for the use of those vessels and other watercraft including provisions, supplies, and
23	material for the maintenance and/or repair of the vessels and other watercraft and the boats nets,
24	cables, tackle, and other fishing equipment appurtenant to or used in connection with the
25	commercial fishing of the vessels and other watercraft. "Commercial fishing" means taking or
26	attempting to take any fish, shellfish, crustacea, or bait species with the intent of disposing of it for
27	profit or by sale, barter, trade, or in commercial channels. The term does not include subsistence
28	fishing, i.e., the taking for personal use and not for sale or barter; or sport fishing; but shall include
29	vessels and other watercraft with a Rhode Island party and charter boat license issued by the
30	department of environmental management pursuant to § 20-2-27.1 that meet the following criteria:
31	(i) The operator must have a current United States Coast Guard (U.S.C.G.) license to carry
32	passengers for hire; (ii) U.S.C.G. vessel documentation in the coast wide fishery trade; (iii)
33	U.S.C.G. vessel documentation as to proof of Rhode Island home port status or a Rhode Island boat
34	registration to prove Rhode Island home port status; and (iv) The vessel must be used as a
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1	commercial passenger carrying fishing vessel to carry passengers for fishing. The vessel must be
2	able to demonstrate that at least fifty percent (50%) of its annual gross income derives from charters
3	or provides documentation of a minimum of one hundred (100) charter trips annually; and (v) The
4	vessel must have a valid Rhode Island party and charter boat license. The tax administrator shall
5	implement the provisions of this subdivision by promulgating rules and regulations relating thereto.
6	(27) Clothing and footwear. From the sales of articles of clothing, including footwear,
7	intended to be worn or carried on or about the human body for sales prior to October 1, 2012.
8	Effective October 1, 2012, the exemption will apply to the sales of articles of clothing, including
9	footwear, intended to be worn or carried on or about the human body up to two hundred and fifty
10	dollars ($250) of the sales price per item. For the purposes of this section, "clothing or footwear"
11	does not include clothing accessories or equipment or special clothing or footwear primarily
12	designed for athletic activity or protective use as these terms are defined in section 44-18-7.1(f). In
13	recognition of the work being performed by the streamlined sales and use tax governing board,
14	upon passage of any federal law that authorizes states to require remote sellers to collect and remit
15	sales and use taxes, this unlimited exemption will apply as it did prior to October 1, 2012. The
16	unlimited exemption on sales of clothing and footwear shall take effect on the date that the state
17	requires remote sellers to collect and remit sales and use taxes.
18	(28) Water for residential use. From the sale and from the storage, use, or other
19	consumption in this state of water furnished for domestic use by occupants of residential premises.
20	(29) Bibles. [Unconstitutional; see Ahlburn v. Clark, 728 A.2d 449 (R.I. 1999); see Notes
21	to Decisions.] From the sale and from the storage, use, or other consumption in the state of any
22	canonized scriptures of any tax-exempt nonprofit religious organization including, but not limited
23	to, the Old Testament and the New Testament versions.
24	(30) Boats.
25	(i) From the sale of a boat or vessel to a bona fide nonresident of this state who does not
26	register the boat or vessel in this state or document the boat or vessel with the United States
27	government at a home port within the state, whether the sale or delivery of the boat or vessel is
28	made in this state or elsewhere; provided, that the nonresident transports the boat within thirty (30)
29	days after delivery by the seller outside the state for use thereafter solely outside the state.
30	(ii) The tax administrator, in addition to the provisions of §§ 44-19-27 and 44-19-28, may
31	require the seller of the boat or vessel to keep records of the sales to bona fide nonresidents as the
32	tax administrator deems reasonably necessary to substantiate the exemption provided in this
33	subdivision, including the affidavit of the seller that the buyer represented himself or herself to be
34	a bona fide nonresident of this state and of the buyer that he or she is a nonresident of this state.
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1	(31) Youth activities equipment. From the sale, storage, use, or other consumption in this
2	state of items for not more than twenty dollars ($20.00) each by nonprofit Rhode Island
3	eleemosynary organizations, for the purposes of youth activities that the organization is formed to
4	sponsor and support; and by accredited elementary and secondary schools for the purposes of the
5	schools or of organized activities of the enrolled students.
6	(32) Farm equipment. From the sale and from the storage or use of machinery and
7	equipment used directly for commercial farming and agricultural production; including, but not
8	limited to: tractors, ploughs, harrows, spreaders, seeders, milking machines, silage conveyors,
9	balers, bulk milk storage tanks, trucks with farm plates, mowers, combines, irrigation equipment,
10	greenhouses and greenhouse coverings, graders and packaging machines, tools and supplies and
11	other farming equipment, including replacement parts appurtenant to or used in connection with
12	commercial farming and tools and supplies used in the repair and maintenance of farming
13	equipment. "Commercial farming" means the keeping or boarding of five (5) or more horses or the
14	production within this state of agricultural products, including, but not limited to, field or orchard
15	crops, livestock, dairy, and poultry, or their products, where the keeping, boarding, or production
16	provides at least two thousand five hundred dollars ($2,500) in annual gross sales to the operator,
17	whether an individual, a group, a partnership, or a corporation for exemptions issued prior to July
18	1, 2002. For exemptions issued or renewed after July 1, 2002, there shall be two (2) levels. Level I
19	shall be based on proof of annual, gross sales from commercial farming of at least twenty-five
20	hundred dollars ($2,500) and shall be valid for purchases subject to the exemption provided in this
21	subdivision except for motor vehicles with an excise tax value of five thousand dollars ($5,000) or
22	greater. Level II shall be based on proof of annual gross sales from commercial farming of at least
23	ten thousand dollars ($10,000) or greater and shall be valid for purchases subject to the exemption
24	provided in this subdivision including motor vehicles with an excise tax value of five thousand
25	dollars ($5,000) or greater. For the initial issuance of the exemptions, proof of the requisite amount
26	of annual gross sales from commercial farming shall be required for the prior year; for any renewal
27	of an exemption granted in accordance with this subdivision at either level I or level II, proof of
28	gross annual sales from commercial farming at the requisite amount shall be required for each of
29	the prior two (2) years. Certificates of exemption issued or renewed after July 1, 2002, shall clearly
30	indicate the level of the exemption and be valid for four (4) years after the date of issue. This
31	exemption applies even if the same equipment is used for ancillary uses, or is temporarily used for
32	a non-farming or a non-agricultural purpose, but shall not apply to motor vehicles acquired after
33	July 1, 2002, unless the vehicle is a farm vehicle as defined pursuant to § 31-1-8 and is eligible for
34	registration displaying farm plates as provided for in § 31-3-31.
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1	(33) Compressed air. From the sale and from the storage, use, or other consumption in the
2	state of compressed air.
3	(34) Flags. From the sale and from the storage, consumption, or other use in this state of
4	United States, Rhode Island or POW-MIA flags.
5	(35) Motor vehicle and adaptive equipment to certain veterans. From the sale of a motor
6	vehicle and adaptive equipment to and for the use of a veteran with a service-connected loss of or
7	the loss of use of a leg, foot, hand, or arm, or any veteran who is a double amputee, whether service
8	connected or not. The motor vehicle must be purchased by and especially equipped for use by the
9	qualifying veteran. Certificate of exemption or refunds of taxes paid is granted under rules or
10	regulations that the tax administrator may prescribe.
11	(36) Textbooks. From the sale and from the storage, use, or other consumption in this state
12	of textbooks by an "educational institution," as defined in subsection (18) of this section, and any
13	educational institution within the purview of § 16-63-9(4), and used textbooks by any purveyor.
14	(37) Tangible personal property and supplies used in on-site hazardous waste recycling,
15	reuse, or treatment. From the sale, storage, use, or other consumption in this state of tangible
16	personal property or supplies used or consumed in the operation of equipment, the exclusive
17	function of which is the recycling, reuse, or recovery of materials (other than precious metals, as
18	defined in subdivision (24)(ii) of this section) from the treatment of "hazardous wastes," as defined
19	in § 23-19.1-4, where the "hazardous wastes" are generated in Rhode Island solely by the same
20	taxpayer and where the personal property is located at, in, or adjacent to a generating facility of the
21	taxpayer in Rhode Island. The taxpayer shall procure an order from the director of the department
22	of environmental management certifying that the equipment and/or supplies as used or consumed,
23	qualify for the exemption under this subdivision. If any information relating to secret processes or
24	methods of manufacture, production, or treatment is disclosed to the department of environmental
25	management only to procure an order, and is a "trade secret" as defined in § 28-21-10(b), it is not
26	open to public inspection or publicly disclosed unless disclosure is required under chapter 21 of
27	title 28 or chapter 24.4 of title 23.
28	(38) Promotional and product literature of boat manufacturers. From the sale and from the
29	storage, use, or other consumption of promotional and product literature of boat manufacturers
30	shipped to points outside of Rhode Island that either: (i) Accompany the product that is sold; (ii)
31	Are shipped in bulk to out-of-state dealers for use in the sale of the product; or (iii) Are mailed to
32	customers at no charge.
33	(39) Food items paid for by food stamps. From the sale and from the storage, use, or other
34	consumption in this state of eligible food items payment for which is properly made to the retailer
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1	in the form of U.S. government food stamps issued in accordance with the Food Stamp Act of 1977,
2	7 U.S.C. § 2011 et seq.
3	(40) Transportation charges. From the sale or hiring of motor carriers as defined in § 39-
4	12-2(12) to haul goods, when the contract or hiring cost is charged by a motor freight tariff filed
5	with the Rhode Island public utilities commission on the number of miles driven or by the number
6	of hours spent on the job.
7	(41) Trade-in value of boats. From the sale and from the storage, use, or other consumption
8	in this state of so much of the purchase price paid for a new or used boat as is allocated for a trade-
9	in allowance on the boat of the buyer given in trade to the seller or of the proceeds applicable only
10	to the boat as are received from an insurance claim as a result of a stolen or damaged boat, towards
11	the purchase of a new or used boat by the buyer.
12	(42) Equipment used for research and development. From the sale and from the storage,
13	use, or other consumption of equipment to the extent used for research and development purposes
14	by a qualifying firm. For the purposes of this subsection, "qualifying firm" means a business for
15	which the use of research and development equipment is an integral part of its operation and
16	"equipment" means scientific equipment, computers, software, and related items.
17	(43) Coins. From the sale and from the other consumption in this state of coins having
18	numismatic or investment value.
19	(44) Farm structure construction materials. Lumber, hardware, and other materials used in
20	the new construction of farm structures, including production facilities such as, but not limited to:
21	farrowing sheds, free stall and stanchion barns, milking parlors, silos, poultry barns, laying houses,
22	fruit and vegetable storages, rooting cellars, propagation rooms, greenhouses, packing rooms,
23	machinery storage, seasonal farm worker housing, certified farm markets, bunker and trench silos,
24	feed storage sheds, and any other structures used in connection with commercial farming.
25	(45) Telecommunications carrier access service. Carrier access service or
26	telecommunications service when purchased by a telecommunications company from another
27	telecommunications company to facilitate the provision of telecommunications service.
28	(46) Boats or vessels brought into the state exclusively for winter storage, maintenance,
29	repair, or sale. Notwithstanding the provisions of §§ 44-18-10, 44-18-11 and 44-18-20, the tax
30	imposed by § 44-18-20 is not applicable for the period commencing on the first day of October in
31	any year up to and including the 30th day of April next succeeding with respect to the use of any
32	boat or vessel within this state exclusively for purposes of: (i) Delivery of the vessel to a facility in
33	this state for storage, including dry storage and storage in water by means of apparatus preventing
34	ice damage to the hull, maintenance, or repair; (ii) The actual process of storage, maintenance, or
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1	repair of the boat or vessel; or (iii) Storage for the purpose of selling the boat or vessel.
2	(47) Jewelry display product. From the sale and from the storage, use, or other
3	consumption in this state of tangible personal property used to display any jewelry product;
4	provided that title to the jewelry display product is transferred by the jewelry manufacturer or seller
5	and that the jewelry display product is shipped out of state for use solely outside the state and is not
6	returned to the jewelry manufacturer or seller.
7	(48) Boats or vessels generally. Notwithstanding the provisions of this chapter, the tax
8	imposed by §§ 44-18-20 and 44-18-18 shall not apply with respect to the sale and to the storage,
9	use, or other consumption in this state of any new or used boat. The exemption provided for in this
10	subdivision does not apply after October 1, 1993, unless prior to October 1, 1993, the federal ten
11	percent (10%) surcharge on luxury boats is repealed.
12	(49) Banks and regulated investment companies interstate toll-free calls. Notwithstanding
13	the provisions of this chapter, the tax imposed by this chapter does not apply to the furnishing of
14	interstate and international, toll-free terminating telecommunication service that is used directly
15	and exclusively by or for the benefit of an eligible company as defined in this subdivision; provided
16	that an eligible company employs on average during the calendar year no less than five hundred
17	(500) "full-time equivalent employees" as that term is defined in § 42-64.5-2. For purposes of this
18	section, an "eligible company" means a "regulated investment company" as that term is defined in
19	the Internal Revenue Code of 1986, 26 U.S.C. § 851, or a corporation to the extent the service is
20	provided, directly or indirectly, to or on behalf of a regulated investment company, an employee
21	benefit plan, a retirement plan or a pension plan, or a state-chartered bank.
22	(50) Mobile and manufactured homes generally. From the sale and from the storage, use,
23	or other consumption in this state of mobile and/or manufactured homes as defined and subject to
24	taxation pursuant to the provisions of chapter 44 of title 31.
25	(51) Manufacturing business reconstruction materials.
26	(i) From the sale and from the storage, use, or other consumption in this state of lumber,
27	hardware, and other building materials used in the reconstruction of a manufacturing business
28	facility that suffers a disaster, as defined in this subdivision, in this state. "Disaster" means any
29	occurrence, natural or otherwise, that results in the destruction of sixty percent (60%) or more of
30	an operating manufacturing business facility within this state. "Disaster" does not include any
31	damage resulting from the willful act of the owner of the manufacturing business facility.
32	(ii) Manufacturing business facility includes, but is not limited to, the structures housing
33	the production and administrative facilities.
34	(iii) In the event a manufacturer has more than one manufacturing site in this state, the sixty
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1	percent (60%) provision applies to the damages suffered at that one site.
2	(iv) To the extent that the costs of the reconstruction materials are reimbursed by insurance,
3	this exemption does not apply.
4	(52) Tangible personal property and supplies used in the processing or preparation of floral
5	products and floral arrangements. From the sale, storage, use, or other consumption in this state of
6	tangible personal property or supplies purchased by florists, garden centers, or other like producers
7	or vendors of flowers, plants, floral products, and natural and artificial floral arrangements that are
8	ultimately sold with flowers, plants, floral products, and natural and artificial floral arrangements
9	or are otherwise used in the decoration, fabrication, creation, processing, or preparation of flowers,
10	plants, floral products, or natural and artificial floral arrangements, including descriptive labels,
11	stickers, and cards affixed to the flower, plant, floral product, or arrangement, artificial flowers,
12	spray materials, floral paint and tint, plant shine, flower food, insecticide, and fertilizers.
13	(53) Horse food products. From the sale and from the storage, use, or other consumption
14	in this state of horse food products purchased by a person engaged in the business of the boarding
15	of horses.
16	(54) Non-motorized recreational vehicles sold to nonresidents.
17	(i) From the sale, subsequent to June 30, 2003, of a non-motorized recreational vehicle to
18	a bona fide nonresident of this state who does not register the non-motorized recreational vehicle
19	in this state, whether the sale or delivery of the non-motorized recreational vehicle is made in this
20	state or at the place of residence of the nonresident; provided that a non-motorized recreational
21	vehicle sold to a bona fide nonresident whose state of residence does not allow a like exemption to
22	its nonresidents is not exempt from the tax imposed under § 44-18-20; provided, further, that in
23	that event the bona fide nonresident pays a tax to Rhode Island on the sale at a rate equal to the rate
24	that would be imposed in his or her state of residence not to exceed the rate that would have been
25	imposed under § 44-18-20. Notwithstanding any other provisions of law, a licensed, non-
26	motorized recreational vehicle dealer shall add and collect the tax required under this subdivision
27	and remit the tax to the tax administrator under the provisions of chapters 18 and 19 of this title.
28	Provided, that when a Rhode Island licensed, non-motorized recreational vehicle dealer is required
29	to add and collect the sales and use tax on the sale of a non-motorized recreational vehicle to a bona
30	fide nonresident as provided in this section, the dealer in computing the tax takes into consideration
31	the law of the state of the nonresident as it relates to the trade-in of motor vehicles.
32	(ii) The tax administrator, in addition to the provisions of §§ 44-19-27 and 44-19-28, may
33	require any licensed, non-motorized recreational vehicle dealer to keep records of sales to bona fide
34	nonresidents as the tax administrator deems reasonably necessary to substantiate the exemption
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1	provided in this subdivision, including the affidavit of a licensed, non-motorized recreational
2	vehicle dealer that the purchaser of the non-motorized recreational vehicle was the holder of, and
3	had in his or her possession a valid out-of-state non-motorized recreational vehicle registration or
4	a valid out-of-state driver's license.
5	(iii) Any nonresident who registers a non-motorized recreational vehicle in this state within
6	ninety (90) days of the date of its sale to him or her is deemed to have purchased the non-motorized
7	recreational vehicle for use, storage, or other consumption in this state, and is subject to, and liable
8	for, the use tax imposed under the provisions of § 44-18-20.
9	(iv) "Non-motorized recreational vehicle" means any portable dwelling designed and
10	constructed to be used as a temporary dwelling for travel, camping, recreational, and vacation use
11	that is eligible to be registered for highway use, including, but not limited to, "pick-up coaches" or
12	"pick-up campers," "travel trailers," and "tent trailers" as those terms are defined in chapter 1 of
13	title 31.
14	(55) Sprinkler and fire alarm systems in existing buildings. From the sale in this state of
15	sprinkler and fire alarm systems; emergency lighting and alarm systems; and the materials
16	necessary and attendant to the installation of those systems that are required in buildings and
17	occupancies existing therein in July 2003 in order to comply with any additional requirements for
18	such buildings arising directly from the enactment of the Comprehensive Fire Safety Act of 2003
19	and that are not required by any other provision of law or ordinance or regulation adopted pursuant
20	to that act. The exemption provided in this subdivision shall expire on December 31, 2008.
21	(56) Aircraft. Notwithstanding the provisions of this chapter, the tax imposed by §§ 44-
22	18-18 and 44-18-20 shall not apply with respect to the sale and to the storage, use, or other
23	consumption in this state of any new or used aircraft or aircraft parts.
24	(57) Renewable energy products. Notwithstanding any other provisions of Rhode Island
25	general laws, the following products shall also be exempt from sales tax: solar photovoltaic
26	modules or panels, or any module or panel that generates electricity from light; solar thermal
27	collectors, including, but not limited to, those manufactured with flat glass plates, extruded plastic,
28	sheet metal, and/or evacuated tubes; geothermal heat pumps, including both water-to-water and
29	water-to-air type pumps; wind turbines; towers used to mount wind turbines if specified by or sold
30	by a wind turbine manufacturer; DC to AC inverters that interconnect with utility power lines; and
31	manufactured mounting racks and ballast pans for solar collector, module, or panel installation. Not
32	to include materials that could be fabricated into such racks; monitoring and control equipment, if
33	specified or supplied by a manufacturer of solar thermal, solar photovoltaic, geothermal, or wind
34	energy systems or if required by law or regulation for such systems but not to include pumps, fans
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1	or plumbing or electrical fixtures unless shipped from the manufacturer affixed to, or an integral
2	part of, another item specified on this list; and solar storage tanks that are part of a solar domestic
3	hot water system or a solar space heating system. If the tank comes with an external heat exchanger
4	it shall also be tax exempt, but a standard hot water tank is not exempt from state sales tax.
5	(58) Returned property. The amount charged for property returned by customers upon
6	rescission of the contract of sale when the entire amount exclusive of handling charges paid for the
7	property is refunded in either cash or credit, and where the property is returned within one hundred
8	twenty (120) days from the date of delivery.
9	(59) Dietary supplements. From the sale and from the storage, use, or other consumption
10	of dietary supplements as defined in § 44-18-7.1(l)(v), sold on prescriptions.
11	(60) Blood. From the sale and from the storage, use, or other consumption of human blood.
12	(61) Agricultural products for human consumption. From the sale and from the storage,
13	use, or other consumption of livestock and poultry of the kinds of products that ordinarily constitute
14	food for human consumption and of livestock of the kind the products of which ordinarily constitute
15	fibers for human use.
16	(62) Diesel emission control technology. From the sale and use of diesel retrofit
17	technology that is required by § 31-47.3-4.
18	(63) Feed for certain animals used in commercial farming. From the sale of feed for
19	animals as described in subsection (61) of this section.
20	(64) Alcoholic beverages. From the sale and storage, use, or other consumption in this
21	state by a Class A licensee of alcoholic beverages, as defined in § 44-18-7.1, excluding beer and
22	malt beverages; provided, further, notwithstanding § 6-13-1 or any other general or public law to
23	the contrary, alcoholic beverages, as defined in § 44-18-7.1, shall not be subject to minimum
24	markup.
25	(65) Seeds and plants used to grow food and food ingredients. From the sale, storage, use,
26	or other consumption in this state of seeds and plants used to grow food and food ingredients as
27	defined in § 44-18-7.1(l)(i). "Seeds and plants used to grow food and food ingredients" shall not
28	include marijuana seeds or plants.
29	(66) Feminine hygiene products. From the sale and from the storage, use, or other
30	consumption of tampons, panty liners, menstrual cups, sanitary napkins, and other similar products
31	the principal use of which is feminine hygiene in connection with the menstrual cycle.
32	(67) Trade-in value of motorcycles. From the sale and from the storage, use, or other
33	consumption in this state of so much of the purchase price paid for a new or used motorcycle as is
34	allocated for a trade-in allowance on the motorcycle of the buyer given in trade to the seller, or of
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1	the proceeds applicable only to the motorcycle as are received from the manufacturer of
2	motorcycles for the repurchase of the motorcycle whether the repurchase was voluntary or not
3	towards the purchase of a new or used motorcycle by the buyer. For the purpose of this subdivision,
4	the word "motorcycle" means a motorcycle not used for hire and does not refer to any other type
5	of motor vehicle.
6	SECTION 13. Section 45-13-14 of the General Laws in Chapter 45-13 entitled “State Aid”
7	is hereby amended to read as follows:
8	45-13-14. Adjustments to tax levy, assessed value, and full value when computing
9	state aid.
10	(a) Whenever the director of revenue computes the relative wealth of municipalities for the
11	purpose of distributing state aid in accordance with title 16 and the provisions of § 45-13-12, he or
12	she shall base it on the full value of all property except:
13	(1) That exempted from taxation by acts of the general assembly and reimbursed under §
14	45-13-5.1 of the general laws, which shall have its value calculated as if the payment in lieu of tax
15	revenues received pursuant to § 45-13-5.1, has resulted from a tax levy;
16	(2) That whose tax levy or assessed value is based on a tax treaty agreement authorized by
17	a special public law or by reason of agreements between a municipality and the economic
18	development corporation in accordance with § 42-64-20 prior to May 15, 2005, which shall not
19	have its value included;
20	(3) That whose tax levy or assessed value is based on tax treaty agreements or tax
21	stabilization agreements in force prior to May 15, 2005, which shall not have its value included;
22	(4) That which is subject to a payment in lieu of tax agreement in force prior to May 15,
23	2005;
24	(5) Any other property exempt from taxation under state law; or
25	(6) Any property subject to chapter 27 of title 44, taxation of Farm, Forest, and Open Space
26	Land.; or
27	(7) Any property exempt from taxation, in whole or in part, under the provisions of
28	subsections (a)(51), (a)(66), or (c) of § 44-3-3, § 44-3-47, § 44-3-65, or any other provision of law
29	that enables a city, town, or fire district to establish a tangible personal property exemption, which
30	shall have its value calculated as the full value of the property minus the exemption amount.
31	(b) The tax levy of each municipality and fire district shall be adjusted for any real estate
32	and personal property exempt from taxation by act of the general assembly by the amount of
33	payment in lieu of property tax revenue anticipated to be received pursuant to § 45-13-5.1 relating
34	to property tax from certain exempt private and state properties, and for any property subject to any
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1	payment in lieu of tax agreements, any tax treaty agreements or tax stabilization agreements in
2	force after May 15, 2005, by the amount of the payment in lieu of taxes pursuant to such
3	agreements.
4	(c) Fire district tax levies within a city or town shall be included as part of the total levy
5	attributable to that city or town.
6	(d) The changes as required by subsections (a) through (c) of this section shall be
7	incorporated into the computation of entitlements effective for distribution in fiscal year 2007-2008
8	and thereafter.
9	SECTION 14. This article shall take effect upon passage except for Sections 3, 4, and 5,
10	which shall be effective November 1, 2022.
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1	ARTICLE 9
2	RELATING TO ECONOMIC DEVELOPMENT
3	It is enacted by the General Assembly as follows:
4	SECTION 1. Section 42-64.19-3 in Chapter 42-64.19 entitled “Executive Office of
5	Commerce” is hereby amended to read as follows:
6	42-64.19-3. Executive Office of Commerce.
7	(a) There is hereby established within the executive branch of state government an
8	executive office of commerce effective February 1, 2015, to serve as the principal agency of the
9	executive branch of state government for managing the promotion of commerce and the economy
10	within the state and shall have the following powers and duties in accordance with the following
11	schedule:
12	(1) On or about February 1, 2015, to operate functions from the department of business
13	regulation;
14	(2) On or about April 1, 2015, to operate various divisions and functions from the
15	department of administration;
16	(3) On or before September 1, 2015, to provide to the Senate and the House of
17	Representatives a comprehensive study and review of the roles, functions, and programs of the
18	department of administration and the department of labor and training to devise recommendations
19	and a business plan for the integration of these entities with the office of the secretary of commerce.
20	The governor may include such recommendations in the Fiscal Year 2017 budget proposal; and
21	(4) On or before July 1, 2021, to provide for the hiring of a deputy secretary of commerce
22	and housing who shall report directly to the secretary of commerce. The deputy secretary of
23	commerce and housing shall:
24	(i) Prior to hiring, have completed and earned a minimum of a master's graduate degree in
25	the field of urban planning, economics, or a related field of study or possess a juris doctor law
26	degree. Preference shall be provided to candidates having earned an advanced degree consisting of
27	an L.L.M. law degree or Ph.D in urban planning or economics. Qualified candidates must have
28	documented five (5) years' full-time experience employed in the administration of housing policy
29	and/or development;
30	(ii) Be responsible for overseeing all housing initiatives in the state of Rhode Island and
31	developing a housing plan, including, but not limited to, the development of affordable housing
32	opportunities to assist in building strong community efforts and revitalizing neighborhoods;
33	(iii) Coordinate with all agencies directly related to any housing initiatives including, but
34	not limited to, the Rhode Island housing and mortgage finance corporation, coastal resources
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1	management council (CRMC), and state departments including, but not limited to: the department
2	of environmental management (DEM), the department of business regulation (DBR), the
3	department of transportation (DOT) and statewide planning; and
4	(iv) Coordinate with the housing resources commission to formulate an integrated housing
5	report to include findings and recommendations to the governor, speaker of the house, senate
6	president, each chamber's finance committee, and any committee whose purview is reasonably
7	related to, including, but not limited to, issues of housing, municipal government, and health on or
8	before December 31, 2021, and annually thereafter which report shall include, but not be limited
9	to, the following:
10	(A) The total number of housing units in the state with per community counts, including
11	the number of Americans with Disabilities Act compliant special needs units;
12	(B) The occupancy and vacancy rate of the units referenced in subsection (a)(4)(iv)(A);
13	(C) The change in the number of units referenced in subsection (a)(4)(iv)(A), for each of
14	the prior three (3) years in figures and as a percentage;
15	(D) The number of net new units in development and number of units completed since the
16	prior report;
17	(E) For each municipality the number of single-family, two-family (2), and three-family
18	(3) units, and multi-unit housing delineated sufficiently to provide the lay reader a useful
19	description of current conditions, including a statewide sum of each unit type;
20	(F) The total number of units by income type;
21	(G) A projection of the number of status quo units;
22	(H) A projection of the number of units required to meet housing formation trends;
23	(I) A comparison of regional and other similarly situated state funding sources that support
24	housing development including a percentage of private, federal, and public support;
25	(J) A reporting of unit types by number of bedrooms for rental properties including an
26	accounting of all:
27	(I) Single-family units;
28	(II) Accessory dwelling units;
29	(III) Two-family (2) units;
30	(IV) Three-family (3) units;
31	(V) Multi-unit sufficiently delineated units;
32	(VI) Mixed use sufficiently delineated units; and
33	(VII) Occupancy and vacancy rates for the prior three (3) years;
34	(K) A reporting of unit types by ownership including an accounting of all:
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1	(I) Single-family units;
2	(II) Accessory dwelling units;
3	(III) Two-family (2) units;
4	(IV) Three-family (3) units;
5	(V) Multi-unit sufficiently delineated units;
6	(VI) Mixed use sufficiently delineated units; and
7	(VII) Occupancy and vacancy rates for the prior three (3) years;
8	(L) A reporting of the number of applications submitted or filed for each community
9	according to unit type and an accounting of action taken with respect to each application to include,
10	approved, denied, appealed, approved upon appeal, and if approved, the justification for each
11	approval;
12	(M) A reporting of permits for each community according to affordability level that were
13	sought, approved, denied, appealed, approved upon appeal, and if approved, the justification for
14	each approval;
15	(N) A reporting of affordability by municipality that shall include the following:
16	(I) The percent and number of units of extremely low-, very low-, low-, moderate-, fair-
17	market rate, and above-market-rate units; including the average and median costs of those units;
18	(II) The percent and number of units of extremely low-, very low-, low-, and moderate-
19	income housing units required to satisfy the ten percent (10%) requirement pursuant to chapter 24
20	of title 45; including the average and median costs of those units;
21	(III) The percent and number of units for the affordability levels above moderate-income
22	housing, including a comparison to fair-market rent and fair-market homeownership; including the
23	average and median costs of those units;
24	(IV) The percentage of cost burden by municipality with population equivalent;
25	(V) The percentage and number of home financing sources, including all private, federal,
26	state, or other public support; and
27	(VI) The cost growth for each of the previous five (5) years by unit type at each
28	affordability level, by unit type;
29	(O) A reporting of municipal healthy housing stock by unit type and number of bedrooms
30	and providing an assessment of the state's existing housing stock and enumerating any risks to the
31	public health from that housing stock, including, but not limited to: the presence of lead, mold, safe
32	drinking water, disease vectors (insects and vermin), and other conditions that are an identifiable
33	health detriment. Additionally, the report shall provide the percentage of the prevalence of health
34	risks by age of the stock for each community by unit type and number of bedrooms; and
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1	(P) A recommendation shall be included with the report required under this section that
2	shall provide consideration to any and all populations, ethnicities, income levels, and other relevant
3	demographic criteria determined by the deputy secretary, and with regard to any and all of the
4	criteria enumerated elsewhere in the report separately or in combination, provide recommendations
5	to resolve any issues that provide an impediment to the development of housing, including specific
6	data and evidence in support of the recommendation. All data and methodologies used to present
7	evidence are subject to review and approval of the chief of revenue analysis, and that approval shall
8	include an attestation of approval by the chief to be included in the report.
9	(b) In this capacity, the office shall:
10	(1) Lead or assist state departments and coordinate business permitting processes in order
11	to:
12	(i) Improve the economy, efficiency, coordination, and quality of the business climate in
13	the state;
14	(ii) Design strategies and implement best practices that foster economic development and
15	growth of the state's economy;
16	(iii) Maximize and leverage funds from all available public and private sources, including
17	federal financial participation, grants, and awards;
18	(iv) Increase public confidence by conducting customer centric operations whereby
19	commercial enterprise are supported and provided programs and services that will grow and nurture
20	the Rhode Island economy; and
21	(v) Be the state's lead agency for economic development.
22	(2) Provide oversight and coordination of all housing initiatives in the state of Rhode
23	Island.
24	(3) Provide oversight and coordination of all broadband and digital equity initiatives in the
25	state of Rhode Island, including, but not limited to, the following:
26	(i) Creating a statewide broadband strategic plan which shall include goals and strategies
27	related to internet access in the state. Such a plan shall include, but not be limited to considerations
28	such as speed, latency, affordability, access, sustainability, and digital equity and which shall be
29	submitted to the Governor, the speaker of the house of representatives, and the president of the
30	senate on or before December 31, 2022 and shall be updated every five years thereafter;
31	(ii) Coordinating with all agencies and quasi-agencies of the state relating to any broadband
32	initiative, including, but not limited to the Rhode Island department of business regulation, Rhode
33	Island division of information and technology, Rhode Island emergency management agency,
34	Rhode Island infrastructure bank, the division of public utilities and carriers, the department of
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1	education, the department of environmental management, RI housing, the office of library and
2	information services, the department of labor and training, the division of purchasing, and the office
3	of healthy aging;
4	(iii) Hiring a statewide broadband coordinator and supporting staff contingent on
5	availability of funds, whether through the Rhode Island commerce corporation, department of
6	business regulation, the executive office of commerce, or a combination, to carry out the duties
7	herein;
8	(iv) Convening at least quarterly a broadband advisory committee, which is hereby
9	established, and shall include no more than thirteen members. The members of the broadband
10	advisory committee shall be appointed by the governor, one of whom shall be appointed in
11	consultation with the speaker of the house and one of whom shall be appointed in consultation with
12	the president of the senate. The broadband advisory committee shall be subject to the provisions of
13	R.I. Gen. Laws § 42-46-1, et seq. and shall advise the executive office of commerce on broadband
14	implementation efforts undertaken by the agency including but not limited to the development of a
15	state strategic plan and broadband-related investment strategies. The broadband advisory
16	committee will additionally invite telecommunications/IT experts and broadband stakeholders to
17	inform the committee.
18	(v) Creating grant and other programs to allow localities, community anchor institutions,
19	and public-private partnerships to invest in both middle-mile and last-mile broadband infrastructure
20	improvements. The executive office of commerce may appoint any state agency or quasi-state
21	agency to administer such program or programs. The executive office of commerce or any state
22	agency or quasi-state agency charged with administering such grant and other programs is
23	authorized to promulgate rules and regulations pursuant to § 42-35-3 of the State’s general laws
24	that set forth the programs’ goals, investment criteria, principles, and parameters. The executive
25	office of commerce or any state agency or quasi-state agency charged with administering such grant
26	and other programs is authorized to create funds to hold any federal or state appropriation for such
27	grant or other program. Such funds shall be established consistent with federal or state law that
28	makes the appropriation. Any such funds shall be exempt from attachment, levy, or any other
29	process at law or in equity.
30	(vi) Creating or otherwise administering programs, projects, initiatives, or mapping efforts
31	to further the investment in and development of broadband and digital equity in the State.
32	(c) The office shall include the office of regulatory reform and other administration
33	functions that promote, enhance, or regulate various service and functions in order to promote the
34	reform and improvement of the regulatory function of the state.
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1	SECTION 2. Sections 42-64.20-5 and 42-64.20-10 of the General Laws in Chapter 42-
2	64.20 entitled “Rebuild Rhode Island Tax Credit Act” are hereby amended to read as follows:
3	42-64.20-5. Tax credits.
4	(a) An applicant meeting the requirements of this chapter may be allowed a credit as set
5	forth hereinafter against taxes imposed upon such person under applicable provisions of title 44 of
6	the general laws for a qualified development project.
7	(b) To be eligible as a qualified development project entitled to tax credits, an applicant's
8	chief executive officer or equivalent officer shall demonstrate to the commerce corporation, at the
9	time of application, that:
10	(1) The applicant has committed a capital investment or owner equity of not less than
11	twenty percent (20%) of the total project cost;
12	(2) There is a project financing gap in which after taking into account all available private
13	and public funding sources, the project is not likely to be accomplished by private enterprise
14	without the tax credits described in this chapter; and
15	(3) The project fulfills the state's policy and planning objectives and priorities in that:
16	(i) The applicant will, at the discretion of the commerce corporation, obtain a tax
17	stabilization agreement from the municipality in which the real estate project is located on such
18	terms as the commerce corporation deems acceptable;
19	(ii) It (A) Is a commercial development consisting of at least 25,000 square feet occupied
20	by at least one business employing at least 25 full-time employees after construction or such
21	additional full-time employees as the commerce corporation may determine; (B) Is a multi-family
22	residential development in a new, adaptive reuse, certified historic structure, or recognized
23	historical structure consisting of at least 20,000 square feet and having at least 20 residential units
24	in a hope community; or (C) Is a mixed-use development in a new, adaptive reuse, certified historic
25	structure, or recognized historical structure consisting of at least 25,000 square feet occupied by at
26	least one business, subject to further definition through rules and regulations promulgated by the
27	commerce corporation; and
28	(iii) Involves a total project cost of not less than $ 5,000,000, except for a qualified
29	development project located in a hope community or redevelopment area designated under § 45-
30	32-4 in which event the commerce corporation shall have the discretion to modify the minimum
31	project cost requirement.
32	(c) The commerce corporation shall develop separate, streamlined application processes
33	for the issuance of rebuild RI tax credits for each of the following:
34	(1) Qualified development projects that involve certified historic structures;
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1	(2) Qualified development projects that involve recognized historical structures;
2	(3) Qualified development projects that involve at least one manufacturer; and
3	(4) Qualified development projects that include affordable housing or workforce housing.
4	(d) Applications made for a historic structure or recognized historic structure tax credit
5	under chapter 33.6 of title 44 shall be considered for tax credits under this chapter. The division of
6	taxation, at the expense of the commerce corporation, shall provide communications from the
7	commerce corporation to those who have applied for and are in the queue awaiting the offer of tax
8	credits pursuant to chapter 33.6 of title 44 regarding their potential eligibility for the rebuild RI tax
9	credit program.
10	(e) Applicants (1) Who have received the notice referenced in subsection (d) above and
11	who may be eligible for a tax credit pursuant to chapter 33.6 of title 44, (2) Whose application
12	involves a certified historic structure or recognized historical structure, or (3) Whose project is
13	occupied by at least one manufacturer shall be exempt from the requirements of subsections
14	(b)(3)(ii) and (b)(3)(iii). The following procedure shall apply to such applicants:
15	(i) The division of taxation shall remain responsible for determining the eligibility of an
16	applicant for tax credits awarded under chapter 33.6 of title 44;
17	(ii) The commerce corporation shall retain sole authority for determining the eligibility of
18	an applicant for tax credits awarded under this chapter; and
19	(iii) The commerce corporation shall not award in excess of fifteen percent (15%) of the
20	annual amount authorized in any fiscal year to applicants seeking tax credits pursuant to this
21	subsection (e).
22	(f) Maximum project credit.
23	(1) For qualified development projects, the maximum tax credit allowed under this chapter
24	shall be the lesser of (i) Thirty percent (30%) of the total project cost; or (ii) The amount needed to
25	close a project financing gap (after taking into account all other private and public funding sources
26	available to the project), as determined by the commerce corporation.
27	(2) The credit allowed pursuant to this chapter, inclusive of any sales and use tax
28	exemptions allowed pursuant to this chapter, shall not exceed fifteen million dollars ($15,000,000)
29	for any qualified development project under this chapter; except as provided in subsection (f)(3) of
30	this section; provided however, any qualified development project that exceeds the project cap upon
31	passage of this act shall be deemed not to exceed the cap, shall not be reduced, nor shall it be further
32	increased. No building or qualified development project to be completed in phases or in multiple
33	projects shall exceed the maximum project credit of fifteen million dollars ($15,000,000) for all
34	phases or projects involved in the rehabilitation of the building. Provided, however, that for
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1	purposes of this subsection and no more than once in a given fiscal year, the commerce corporation
2	may consider the development of land and buildings by a developer on the "I-195 land" as defined
3	in § 42-64.24-3(6) as a separate, qualified development project from a qualified development
4	project by a tenant or owner of a commercial condominium or similar legal interest including
5	leasehold improvement, fit out, and capital investment. Such qualified development project by a
6	tenant or owner of a commercial condominium or similar legal interest on the I-195 land may be
7	exempted from subsection (f)(1)(i) of this section.
8	(3) The credit allowed pursuant to this chapter, inclusive of any sales and use tax
9	exemptions allowed pursuant to this chapter, shall not exceed twenty-five million dollars
10	($25,000,000) for the project for which the I-195 redevelopment district was authorized to enter
11	into a purchase and sale agreement for parcels 42 and P4 on December 19, 2018, provided that
12	project is approved for credits pursuant to this chapter by the commerce corporation.
13	(g) Credits available under this chapter shall not exceed twenty percent (20%) of the project
14	cost, provided, however, that the applicant shall be eligible for additional tax credits of not more
15	than ten percent (10%) of the project cost, if the qualified development project meets any of the
16	following criteria or other additional criteria determined by the commerce corporation from time
17	to time in response to evolving economic or market conditions:
18	(1) The project includes adaptive reuse or development of a recognized historical structure;
19	(2) The project is undertaken by or for a targeted industry;
20	(3) The project is located in a transit-oriented development area;
21	(4) The project includes residential development of which at least twenty percent (20%) of
22	the residential units are designated as affordable housing or workforce housing;
23	(5) The project includes the adaptive reuse of property subject to the requirements of the
24	industrial property remediation and reuse act, § 23-19.14-1 et seq.; or
25	(6) The project includes commercial facilities constructed in accordance with the minimum
26	environmental and sustainability standards, as certified by the commerce corporation pursuant to
27	Leadership in Energy and Environmental Design or other equivalent standards.
28	(h) Maximum aggregate credits. The aggregate sum authorized pursuant to this chapter,
29	inclusive of any sales and use tax exemptions allowed pursuant to this chapter, shall not exceed
30	two hundred ten million dollars ($210,000,000)two hundred twenty five million dollars
31	($225,000,000), excluding any tax credits allowed pursuant to subsection (f)(3) of this section.
32	(i) Tax credits shall not be allowed under this chapter prior to the taxable year in which the
33	project is placed in service.
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1	(j) The amount of a tax credit allowed under this chapter shall be allowable to the taxpayer
2	in up to five, annual increments; no more than thirty percent (30%) and no less than fifteen percent
3	(15%) of the total credits allowed to a taxpayer under this chapter may be allowable for any taxable
4	year.
5	(k) If the portion of the tax credit allowed under this chapter exceeds the taxpayer's total
6	tax liability for the year in which the relevant portion of the credit is allowed, the amount that
7	exceeds the taxpayer's tax liability may be carried forward for credit against the taxes imposed for
8	the succeeding four (4) years, or until the full credit is used, whichever occurs first. Credits allowed
9	to a partnership, a limited-liability company taxed as a partnership, or multiple owners of property
10	shall be passed through to the persons designated as partners, members, or owners respectively pro
11	rata or pursuant to an executed agreement among persons designated as partners, members, or
12	owners documenting an alternate distribution method without regard to their sharing of other tax
13	or economic attributes of such entity.
14	(l) The commerce corporation, in consultation with the division of taxation, shall establish,
15	by regulation, the process for the assignment, transfer, or conveyance of tax credits.
16	(m) For purposes of this chapter, any assignment or sales proceeds received by the taxpayer
17	for its assignment or sale of the tax credits allowed pursuant to this section shall be exempt from
18	taxation under title 44. If a tax credit is subsequently revoked or adjusted, the seller's tax calculation
19	for the year of revocation or adjustment shall be increased by the total amount of the sales proceeds,
20	without proration, as a modification under chapter 30 of title 44. In the event that the seller is not a
21	natural person, the seller's tax calculation under chapter 11, 13, 14, or 17 of title 44, as applicable,
22	for the year of revocation, or adjustment, shall be increased by including the total amount of the
23	sales proceeds without proration.
24	(n) The tax credit allowed under this chapter may be used as a credit against corporate
25	income taxes imposed under chapter 11, 13, 14, or 17, of title 44, or may be used as a credit against
26	personal income taxes imposed under chapter 30 of title 44 for owners of pass-through entities such
27	as a partnership, a limited-liability company taxed as a partnership, or multiple owners of property.
28	(o) In the case of a corporation, this credit is only allowed against the tax of a corporation
29	included in a consolidated return that qualifies for the credit and not against the tax of other
30	corporations that may join in the filing of a consolidated tax return.
31	(p) Upon request of a taxpayer and subject to annual appropriation, the state shall redeem
32	this credit, in whole or in part, for ninety percent (90%) of the value of the tax credit. The division
33	of taxation, in consultation with the commerce corporation, shall establish by regulation a
34	redemption process for tax credits.
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1	(q) Projects eligible to receive a tax credit under this chapter may, at the discretion of the
2	commerce corporation, be exempt from sales and use taxes imposed on the purchase of the
3	following classes of personal property only to the extent utilized directly and exclusively in the
4	project: (1) Furniture, fixtures, and equipment, except automobiles, trucks, or other motor vehicles;
5	or (2) Other materials, including construction materials and supplies, that are depreciable and have
6	a useful life of one year or more and are essential to the project.
7	(r) The commerce corporation shall promulgate rules and regulations for the administration
8	and certification of additional tax credit under subsection (e), including criteria for the eligibility,
9	evaluation, prioritization, and approval of projects that qualify for such additional tax credit.
10	(s) The commerce corporation shall not have any obligation to make any award or grant
11	any benefits under this chapter.
12	42-64.20-10. Sunset.
13	No credits shall be authorized to be reserved pursuant to this chapter after December 31,
14	2022 2023.
15	SECTION 3. Section 42-64.21-9 of the General Laws in Chapter 42-64.21 entitled “Rhode
16	Island Tax Increment Financing” is hereby amended to read as follows:
17	42-64.21-9. Sunset.
18	The commerce corporation shall enter into no agreement under this chapter after December
19	31, 2022 2023.
20	SECTION 4. Section 42-64.22-15 of the General Laws in Chapter 42-64.22 entitled “Tax
21	Stabilization Incentive” is hereby amended to read as follows:
22	42-64.22-15. Sunset.
23	The commerce corporation shall enter into no agreement under this chapter after December
24	31, 2022 2023.
25	SECTION 5. Section 42-64.23-8 of the General Laws in Chapter 42-64.23 entitled “First
26	Wave Closing Fund Act” is hereby amended to read as follows:
27	42-64.23-8. Sunset.
28	No financing shall be authorized to be reserved pursuant to this chapter after December 31,
29	2022 2023.
30	SECTION 6. Section 42-64.24-8 of the General Laws in Chapter 42-64.24 entitled “I-195
31	Redevelopment Project Fund Act” is hereby amended as follows:
32	42-64.24-8. Sunset.
33	No funding, credits, or incentives shall be authorized or authorized to be reserved pursuant
34	to this chapter after December 31, 2022 2023.
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1	SECTION 7. Section 42-64.25-14 of the General Laws in Chapter 42-64.25 entitled “Small
2	Business Assistance Program Act” is hereby amended as follows:
3	42-64.25-14. Sunset.
4	No grants, funding, or incentives shall be authorized pursuant to this chapter after
5	December 31, 2022 2023.
6	SECTION 8. Sections 42-64.26-3, 42-64.26-4, 42-64.26-5, and 42-64.26-12 of the
7	General Laws in Chapter 42-64.26 entitled “Stay Invested in RI Wavemaker Fellowship” are
8	hereby amended to read as follows:
9	42-64.26-3. Definitions.
10	As used in this chapter:
11	(1) “Eligible graduate” means an individual who meets the eligibility requirements under
12	this chapter.
13	(2) “Applicant” means an eligible graduate who applies for a tax credit for education loan
14	repayment expenses under this chapter.
15	(3) “Award” means a tax credit awarded by the commerce corporation to an applicant as
16	provided under this chapter.
17	(4) “Taxpayer” means an applicant who receives a tax credit under this chapter.
18	(5) “Commerce corporation” means the Rhode Island commerce corporation established
19	pursuant to chapter 64 of title 42.
20	(6) “Eligible expenses” or “education loan repayment expenses” means annual higher
21	education loan repayment expenses, including, without limitation, principal, interest and fees, as
22	may be applicable, incurred by an eligible graduate and which the eligible graduate is obligated to
23	repay for attendance at a postsecondary institution of higher learning.
24	(7) “Eligibility period” means a term of up to four (4) consecutive service periods
25	beginning with the date that an eligible graduate receives initial notice of award under this chapter
26	and expiring at the conclusion of the fourth service period after such date specified.
27	(8) “Eligibility requirements” means the following qualifications or criteria required for an
28	applicant to claim an award under this chapter:
29	(i) That the applicant shall have graduated from an accredited two (2) year, four (4) year
30	or graduate postsecondary institution of higher learning with an associate’s, bachelor’s, graduate,
31	or post-graduate degree and at which the applicant incurred education loan repayment expenses;
32	(ii) That the applicant shall be a full-time employee with a Rhode Island-based employer
33	located in this state throughout the eligibility period, whose employment is for work in one or more
34	of the following covered fields: life, natural or environmental sciences; computer, information or
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1	software technology; advanced mathematics or finance; engineering; industrial design or other
2	commercially related design field; or medicine or medical device technology.
3	(9) “Full-time employee” means a person who is employed by a business for consideration
4	for a minimum of at least thirty-five (35) hours per week, or who renders any other standard of
5	service generally accepted by custom or practice as full-time employment, or who is employed by
6	a professional employer organization pursuant to an employee leasing agreement between the
7	business and the professional employer organization for a minimum of thirty-five (35) hours per
8	week, or who renders any other standard of service generally accepted by custom or practice as
9	full-time employment, and whose wages are subject to withholding.
10	(10) “Healthcare applicant” means any applicant that meets the eligibility requirements and
11	works as a full-time employee as a high-demand healthcare practitioner, as defined in regulations
12	to be promulgated by the commerce corporation, in consultation with the executive office of health
13	and human services, pursuant to chapter 35 of this title.
14	(1011) “Service period” means a twelve (12) month period beginning on the date that an
15	eligible graduate receives initial notice of award under this chapter.
16	(1112) “Student loan” means a loan to an individual by a public authority or private lender
17	to assist the individual to pay for tuition, books, and living expenses in order to attend a
18	postsecondary institution of higher learning.
19	(1213) “Rhode Island-based employer” means (i) an employer having a principal place of
20	business or at least fifty-one percent (51%) of its employees located in this state; or (ii) an employer
21	registered to conduct business in this state that reported Rhode Island tax liability in the previous
22	tax year.
23	(1314) “STEM/designFund fund” refers to the “Stay Invested in RI Wavemaker Fellowship
24	Fund” established pursuant to § 42-64.26-4(a).
25	(15) “Healthcare fund” refers to the “Healthcare Stay Invested in RI Wavemaker
26	Fellowship Fund” established pursuant to § 42-64.26-4(b).
27	42-64.26-4. Establishment of fund — Purposes — Composition.
28	(a) There is hereby established the "Stay Invested in RI Wavemaker Fellowship Fund" (the
29	“fund”) to be administered by the commerce corporation as set forth in this chapter.
30	(b) There is hereby established the “Healthcare Stay Invested in RI Wavemaker Fellowship
31	Fund” to be administered by the commerce corporation as set forth in this chapter.
32	(bc) The purpose of the fund STEM/design fund and healthcare fund is to expand
33	employment opportunities in the state and to retain talented individuals in the state by providing
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1	tax credits in relation to education loan repayment expenses to applicants who meet the eligibility
2	requirements under this chapter.
3	(cd) The fund STEM/design fund and healthcare fund shall consist of:
4	(1) Money appropriated in the state budget to the fund;
5	(2) Money made available to the fund through federal programs or private contributions;
6	and
7	(3) Any other money made available to the fund.
8	(de) The fund STEM/design fund shall be used to pay for the redemption of tax credits or
9	reimbursement to the state for tax credits applied against a taxpayer's the tax liability of any non-
10	healthcare applicant that received an award. The healthcare fund shall be used to pay for the
11	redemption of tax credits or reimbursement to the state for tax credits applied against the tax
12	liability of any healthcare applicant that received an award on or after July 1, 2022. The funds shall
13	be exempt from attachment, levy or any other process at law or in equity. The director of the
14	department of revenue shall make a requisition to the commerce corporation for funding during
15	any fiscal year as may be necessary to pay for the redemption of tax credits presented for
16	redemption or to reimburse the state for tax credits applied against a taxpayer's tax liability. The
17	commerce corporation shall pay from the funds such amounts as requested by the director of the
18	department of revenue necessary for redemption or reimbursement in relation to tax credits granted
19	under this chapter.
20	42-64.26-5. Administration.
21	(a) Application. An eligible graduate claiming an award under this chapter shall submit to
22	the commerce corporation an application in the manner that the commerce corporation shall
23	prescribe.
24	(b) Upon receipt of a proper application from an applicant who meets all of the eligibility
25	requirements, the commerce corporation shall select applicants on a competitive basis to receive
26	credits for up to a maximum amount for each service period of one thousand dollars ($1,000) for
27	an associate’s degree holder, four thousand dollars ($4,000) for a bachelor’s degree holder, and six
28	thousand dollars ($6,000) for a graduate or post-graduate degree holder, but not to exceed the
29	education loan repayment expenses incurred by such taxpayer during each service period
30	completed, for up to four (4) consecutive service periods provided that the taxpayer continues to
31	meet the eligibility requirements throughout the eligibility period. The commerce corporation shall
32	delegate the selection of the applicants that are to receive awards to a fellowship committee to be
33	convened by the commerce corporation and promulgate the selection procedures the fellowship
34	committee will use, which procedures shall require that the committee’s consideration of
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1	applications be conducted on a name-blind and employer-blind basis and that the applications and
2	other supporting documents received or reviewed by the fellowship committee shall be redacted of
3	the applicant’s name, street address, and other personally-identifying information as well as the
4	applicant’s employer’s name, street address, and other employer-identifying information. The
5	commerce corporation shall determine the composition of the fellowship committee and the
6	selection procedures it will use in consultation with the state’s chambers of commerce.
7	Notwithstanding the foregoing, the commerce corporation shall create and establish a committee
8	to evaluate any healthcare applicant for an award in the same manner as prescribed in this
9	paragraph. The executive office of health and human services (“EOHHS”) shall be represented on
10	the committee and provide consultation to the commerce corporation on selection procedures.
11	Notwithstanding EOHHS’s consultation and representation in the selection of healthcare
12	applicants, the commerce corporation shall administer all other aspects of a healthcare applicant’s
13	application, award, and certification.
14	(c) The credits awarded under this chapter shall not exceed one hundred percent (100%)
15	of the education loan repayment expenses incurred by such taxpayer during each service period
16	completed for up to four (4) consecutive service periods. Tax credits shall be issued annually to the
17	taxpayer upon proof that (i) the taxpayer has actually incurred and paid such education loan
18	repayment expenses; (ii) the taxpayer continues to meet the eligibility requirements throughout the
19	service period; (iii) The award shall not exceed the original loan amount plus any capitalized
20	interest less award previously claimed under this section; and (iv) that the taxpayer claiming an
21	award is current on his or her student loan repayment obligations.
22	(d) The commerce corporation shall not commit to overall STEM/design awards in excess
23	of the amount contained in the commerce STEM/design fund or to overall healthcare awards in
24	excess of the amount contained in the healthcare fund.
25	(e) The commerce corporation shall reserve seventy percent (70%) of the awards issued in
26	a calendar year to applicants who are permanent residents of the state of Rhode Island or who
27	attended an institution of higher education located in Rhode Island when they incurred the
28	education loan expenses to be repaid.
29	(f) In administering award, the commerce corporation shall:
30	(1) Require suitable proof that an applicant meets the eligibility requirements for award
31	under this chapter;
32	(2) Determine the contents of applications and other materials to be submitted in support
33	of an application for award under this chapter; and
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1	(3) Collect reports and other information during the eligibility period for each award to
2	verify that a taxpayer continues to meet the eligibility requirements for an award.
3	42-64.26-12. Sunset.
4	No incentives or credits shall be authorized pursuant to this chapter after December 31,
5	2022 2023.
6	SECTION 9. Section 42-64.27-6 of the General Laws in Chapter 42-64.27 entitled “Main
7	Street Rhode Island Streetscape Improvement Fund” is hereby amended as follows:
8	42-64.27-6. Sunset.
9	No incentives shall be authorized pursuant to this chapter after December 31, 2022 2023.
10	SECTION 10. Section 42-64.28-10 of the General Laws in Chapter 42-64.28 entitled
11	“Innovation Initiative” is hereby amended as follows:
12	42-64.28-10. Sunset.
13	No vouchers, grants, or incentives shall be authorized pursuant to this chapter after
14	December 31, 2022 2023.
15	SECTION 11. Section 42-64.29-8 of the General Laws in Chapter 42-64.29 entitled
16	“Industry Cluster Grants” is hereby amended as follows:
17	42-64.29-8. Sunset.
18	No grants or incentives shall be authorized to be reserved pursuant to this chapter after
19	June 30, 2021 December 31, 2023.
20	SECTION 12. Section 42-64.31-4 of the General Laws in Chapter 42-64.31 entitled “High
21	School, College, and Employer Partnerships” is hereby amended as follows:
22	42-64.31-4. Sunset.
23	No grants shall be authorized pursuant to this chapter after December 31, 2022 2023.
24	SECTION 13. Section 42-64.32-6 of the General Laws in Chapter 42-64.32 entitled “Air
25	Service Development Fund” is hereby amended as follows:
26	42-64.32-6. Sunset.
27	No grants, credits, or incentives shall be authorized or authorized to be reserved pursuant
28	to this chapter after December 31, 2022 2023.
29	SECTION 14. Section 44-48.3-14 of the General Laws in Chapter 44-48.3 entitled “Rhode
30	Island Qualified Jobs Incentive Act of 2015” is hereby amended as follows:
31	44-48.3-14. Sunset.
32	No credits shall be authorized to be reserved pursuant to this chapter after December 31,
33	2022 2023.
34	SECTION 15. This Article shall take effect upon passage.
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1	ARTICLE 10
2	RELATING TO EDUCATION
3	SECTION 1. Section 16-7-20 of the General Laws in Chapter 16-7 entitled “Foundation
4	Level School Support” is hereby amended to read as follows:
5	16-7-20. Determination of state's share.
6	(a) For each community the state's share shall be computed as follows: Let
7	R=state share ratio for the community.
8	v=adjusted equalized weighted assessed valuation for the community, as defined in § 16-
9	7-21(3).
10	V=sum of the values of v for all communities.
11	m=average daily membership of pupils in the community as defined in § 16-7-22(3).
12	M=total average daily membership of pupils in the state.
13	E=approved reimbursable expenditures for the community for the reference year minus the
14	excess costs of special education, tuitions, federal and state receipts, and other income.
15	Then the state share entitlement for the community shall be RE where
16	R = 1 − 0.5vM/(Vm) through June 30, 2011, and R = 1 − 0.475 vM/(Vm) beginning on
17	July 1, 2011 and thereafter. Except that in no case shall R be less than zero percent (0%).
18	(b) Whenever any funds are appropriated for educational purposes, the funds shall be used
19	for educational purposes only and all state funds appropriated for educational purposes must be
20	used to supplement any and all money allocated by a city or town for educational purposes and in
21	no event shall state funds be used to supplant, directly or indirectly, any money allocated by a city
22	or town for educational purposes. The courts of this state shall enforce this section by writ of
23	mandamus.
24	(c) Notwithstanding the calculations in subsection (a), the hospital school at the Hasbro
25	Children's Hospital shall be reimbursed one hundred percent (100%) of all expenditures approved
26	by the council on elementary and secondary education in accordance with currently existing rules
27	and regulations for administering state aid, and subject to annual appropriations by the general
28	assembly including, but not limited to, expenditures for educational personnel, supplies, and
29	materials in the prior fiscal year.
30	(d) In the event the computation of the state's share for any local education agency as
31	outlined in subsection (a) is determined to have been calculated incorrectly after the state budget
32	for that fiscal year has been enacted, the commissioner of elementary and secondary education shall
33	notify affected local education agencies, the senate president, and the speaker of the house within
34	fifteen (15) days of the determination.
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1	(e) Realignment of aid payments to the affected local education agencies pursuant to
2	subsection (d) shall occur in the following fiscal year:
3	(1) If the determination shows aid is underpaid to the local education agency, any amounts
4	owed shall be paid in equal monthly installments.
5	(2) If the determination shows aid was overpaid, the department of elementary and
6	secondary education shall recapture some amount of the aid from the overpaid local education
7	agency. The amount to be withheld shall be equal to the amount of the overpayment prorated to the
8	number of full months remaining in the fiscal year when the notification required in subsection (d)
9	was made.
10	(f) The above notwithstanding, in no event shall the total paid to a local education agency
11	in the 2023 fiscal year pursuant subsection (a), above, be reduced as the result of the implementation
12	of section (1), above.
13	SECTION 2. Section 45-38.2-4 of the General Laws in Chapter 38.2-4 entitled “School
14	Building Authority Capital Fund” is hereby amended to read as follows:
15	45-38.2-4. Payment of state funds.
16	(a) Subject to the provisions of subsection (b), upon the written request of the corporation,
17	the general treasurer shall pay to the corporation, from time to time, from the proceeds of any bonds
18	or notes issued by the state for the purposes of this chapter or funds otherwise lawfully payable to
19	the corporation for the purposes of this chapter, such amounts as shall have been appropriated or
20	lawfully designated for the fund. All amounts so paid shall be credited to the fund in addition to
21	any other amounts credited or expected to be credited to the fund.
22	(b) The corporation and the state may enter into, execute, and deliver one or more
23	agreements setting forth or otherwise determining the terms, conditions, and procedures for, and
24	the amount, time, and manner of payment of, all amounts available from the state to the corporation
25	under this section.
26	(c) The corporation, per order of the school building authority capital fund, is authorized
27	to grant a district or municipality its state share of an approved project cost, pursuant to §§ 16-7-39
28	and 16-77.1-5. Construction pay-as-you-go grants received from the school building authority
29	capital fund shall not be considered a form of indebtedness subject to the provisions of § 16-7-44.
30	(d) (1) Notwithstanding the provisions of §§ 45-12-19 and 45-12-20, and notwithstanding
31	city or town charter provisions to the contrary, prior to July 1, 2016, no voter approval shall be
32	required for loans in any amount made to a city or town for the local education agency's share of
33	total project costs.
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1	(2) Notwithstanding the provisions of §§ 45-12-19 and 45-12-20, and notwithstanding city
2	or town charter provisions to the contrary, on or after July 1, 2016, up to five hundred thousand
3	dollars ($500,000) may be loaned to a city or town for the local education agency's share of total
4	project costs without the requirement of voter approval.
5	(e) (1) Funds from the two hundred fifty million ($250,000,000) in general obligation
6	bonds, if approved on the November 2018 ballot, shall first be used to support the state share of
7	foundational housing aid and shall be offered to local education agencies on a pay-as-you-go basis
8	and not as a reimbursement of debt service for previously completed projects.
9	(2) Funds to support approved projects in a given year on a pay-as-you-go basis shall be
10	offered proportionately to local education agencies based on the total state share of foundational
11	housing aid awarded to projects in that year.
12	(3) Any excess funds up may be transferred to the school building authority capital fund in
13	an amount not to exceed five percent (5%) of any amount of bonds issued in a given year.
14	(f) (1) Two hundred million ($200,000,000) in general obligation bonds, if approved on
15	the November 2022 ballot, shall be used to support approved projects as defined by § 16-7-36(2)
16	and shall be offered to local education agencies on a pay-as-you-go basis and not as a
17	reimbursement of debt service for previously completed projects.
18	(2) Fifty million ($50,000,000) in general obligation bonds, if approved on the November
19	2022 ballot, shall be transferred to the school building authority capital fund to help create facility
20	equity between Rhode Island students.
21	(3) Any excess funds up may be transferred to the school building authority capital fund in
22	an amount not to exceed five percent (5%) of any amount of bonds issued in a given year.
23	(f) (g) Notwithstanding any provision to the contrary, the term of any bond, capital lease,
24	or other financing instrument shall not exceed the useful life of the project being financed.
25	(g) (h) In accordance with §§ 45-10-5.1 and 45-10-6, the auditor general shall give
26	guidance to municipalities and school districts on the uniform financial reporting of construction
27	debt authorized and issued, and on funding received from the state within ninety (90) days of the
28	passage of this article.
29	SECTION 3. This Article shall take effect upon passage.
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1	ARTICLE 11
2	RELATING TO ADULT USE MARIJUANA
3	SECTION 1. Section 2-26-5 of the General Laws in Chapter 2-26 entitled “Hemp Growth
4	Act” is hereby amended to read as follows:
5	2-26-5. Authority over licensing and sales.
6	(a) The department shall prescribe rules and regulations for the licensing and regulation of
7	hemp growers, handlers, licensed CBD distributors, and licensed CBD retailers and persons
8	employed by the applicant not inconsistent with law, to carry into effect the provision of this chapter
9	and shall be responsible for the enforcement of the licensing.
10	(b) All growers, handlers, licensed CBD distributors, and licensed CBD retailers must have
11	a hemp license issued by the department. All production, distribution, and retail sale of hemp-
12	derived consumable CBD products must be consistent with any applicable state or local food
13	processing and safety regulations, and the applicant shall be responsible to ensure its compliance
14	with the regulations and any applicable food safety licensing requirements, including, but not
15	limited to, those promulgated by the department on health.
16	(c) The application for a hemp license shall include, but not be limited to, the following:
17	(1)(i) The name and address of the applicant who will supervise, manage, or direct the
18	growing and handling of hemp and the names and addresses of any person or entity partnering or
19	providing consulting services regarding the growing or handling of hemp; and
20	(ii) The name and address of the applicant who will supervise, manage, or direct the
21	distribution or sale of hemp-derived consumable CBD products, and names and addresses of any
22	person or entity partnering or providing consulting services regarding the distribution or sale of
23	hemp-derived CBD products.
24	(2) A certificate of analysis that the seeds or plants obtained for cultivation are of a type
25	and variety that do not exceed the maximum concentration of delta-9 THC, as set forth in § 2-26-
26	3; any seeds that are obtained from a federal agency are presumed not to exceed the maximum
27	concentration and do not require a certificate of analysis.
28	(3) (i) The location of the facility, including the Global Positioning System location, and
29	other field reference information as may be required by the department with a tracking program
30	and security layout to ensure that all hemp grown is tracked and monitored from seed to distribution
31	outlets; and
32	(ii) The location of the facility and other information as may be required by the department
33	as to where the distribution or sale of hemp-derived consumable CBD products will occur.
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1	(4) An explanation of the seed to sale tracking, cultivation method, extraction method, and
2	certificate of analysis or certificate of analysis for the standard hemp seeds or hemp product if
3	required by the department.
4	(5) Verification, prior to planting any seed, that the plant to be grown is of a type and
5	variety of hemp that will produce a delta-9 THC concentration of no more than three-tenths of one
6	percent (0.3%) on a dry-weight basis.
7	(6) Documentation that the licensee and/or its agents have entered into a purchase
8	agreement with a hemp handler, processor, distributor or retailer.
9	(7) All applicants:
10	(i) Shall apply to the state police, attorney general, or local law enforcement for a National
11	Criminal Identification records check that shall include fingerprints submitted to the Federal
12	Bureau of Investigation. Upon the discovery of a disqualifying conviction defined in subsections
13	(c)(7)(iv) and (c)(7)(v), and in accordance with the rules promulgated by the department, the state
14	police shall inform the applicant, in writing, of the nature of the conviction, and the state police
15	shall notify the department, in writing, without disclosing the nature of the conviction, that a
16	conviction has been found;
17	(ii) In those situations in which no conviction has been found, the state police shall inform
18	the applicant and the department, in writing, of this fact;
19	(iii) All applicants shall be responsible for any expense associated with the criminal
20	background check with fingerprints.
21	(iv) Any applicant who has been convicted of any felony offense under chapter 28 of title
22	21, or any person who has been convicted of murder; manslaughter; first-degree sexual assault;
23	second-degree sexual assault; first-degree child molestation; second-degree child molestation;
24	kidnapping; first-degree arson; second-degree arson; mayhem; robbery; burglary; breaking and
25	entering; assault with a dangerous weapon; or any assault and battery punishable as a felony or
26	assault with intent to commit any offense punishable as a felony, shall be disqualified from holding
27	any license or permit under this chapter. The department shall notify any applicant, in writing, of a
28	denial of a license pursuant to this subsection, provided that any disqualification or denial of license
29	shall be subject to the provisions of § 28-5.1-14 of the general laws.
30	(v) For purposes of this section, "conviction" means, in addition to judgments of conviction
31	entered by a court subsequent to a finding of guilty, or plea of guilty, those instances where the
32	defendant has entered a plea of nolo contendere and has received a jail sentence or a suspended jail
33	sentence, or those instances wherein the defendant has entered into a deferred sentence agreement
34	with the Rhode Island attorney general and the period of deferment has not been completed.
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1	(8) Any other information as set forth in rules and regulations as required by the
2	department.
3	(d) [Deleted by P.L. 2019, ch. 88, art. 15, §1].
4	(e) The department shall issue a hemp license to the grower or handler applicant if he, she,
5	or it meets the requirements of this chapter, upon the applicant paying a licensure fee of two
6	thousand five hundred dollars ($2,500). Said license shall be renewed every two (2) years upon
7	payment of a two thousand five hundred dollar ($2,500) renewal fee. Any licensee convicted of
8	any disqualifying offense described in subsection (c)(7)(iv) shall have his, her, or its license
9	revoked. All license fees shall be directed to the department to help defray the cost of enforcement.
10	The department shall collect a nonrefundable application fee of two hundred fifty dollars ($250)
11	for each application to obtain a license.
12	(f) Any grower or handler license applicant or license holder may also apply for and be
13	issued a CBD distributor and/or CBD retailer license at no additional cost provided their grower or
14	handler license is issued or renewed. CBD distributor and CBD retailer licenses shall be renewed
15	each year at no additional fee provided the applicant also holds or renews a grower and/or handler
16	license.
17	(g) For applicants who do not hold, renew, or receive a grower or handler license, CBD
18	distributor and CBD retailer licenses shall have a licensure fee of five hundred dollars ($500). The
19	licenses shall be renewed each year upon approval by the department and payment of a five hundred
20	dollar ($500) renewal fee.
21	SECTION 2. Chapter 12-1.3 of the General Laws entitled “EXPUNGEMENT OF
22	CRIMINAL RECORDS” is hereby amended by adding thereto the following section:
23	12-1.3-5. Automatic expungement of marijuana related convictions.
24	(a) Any person with a prior conviction for misdemeanor or felony possession of a
25	marijuana-related offense that has been decriminalized subsequent to the date of conviction shall
26	be entitled to have the criminal conviction automatically expunged, notwithstanding the provisions
27	of chapter 1.3 of title 12. No prior criminal charge and/or conviction having been expunged
28	pursuant to the provisions of this section may be used to impede a person from entering into the
29	cannabis industry or any government assistance programs. There shall be no expungement fee
30	assessed to the individual.
31	(b) Any person who has been incarcerated for misdemeanor or felony possession of
32	marijuana shall have all court costs waived with respect to expungement of his or her criminal
33	record under this section.
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1	(c) Records shall be expunged pursuant to the procedures set forth in this chapter in
2	accordance with the following timelines:
3	(i) Records created prior to the effective date of this section, but on or after January 1,
4	2014, shall be automatically expunged January 1, 2023;
5	(ii) Records created prior to January 1, 2014, but on or after January 1, 2001, shall be
6	automatically expunged January 1, 2024;
7	(iii) Records created prior to January 1, 2001, shall be automatically expunged prior to
8	January 1, 2026.
9	(d) Nothing in this section shall be construed to restrict or modify a person’s right to have
10	their records expunged, except as otherwise may be provided in this chapter, or diminish or
11	abrogate any rights or remedies otherwise available to the individual;
12	(e) The Rhode Island attorney general, in consultation with the Rhode Island state police
13	and the municipal police departments of the state, is hereby authorized to promulgate any and all
14	rules and regulations necessary to carry out the provisions of this section.
15	SECTION 3. Section 21-28.5-2 of the General Laws in Chapter of Chapter 21-28.5 entitled
16	“Sale of Drug Paraphernalia” is hereby amended to read as follows:
17	21-28.5-2. Manufacture or delivery of drug paraphernalia – Penalty.
18	It is unlawful for any person to deliver, sell, possess with intent to deliver, or sell, or
19	manufacture with intent to deliver, or sell drug paraphernalia, knowing that it will be used to plant,
20	propagate, cultivate, grow, harvest, manufacture, compound, convert, produce, process, prepare,
21	test, analyze, pack, repack, store, contain, conceal, inject, ingest, inhale, or introduce into the human
22	body a controlled substance in violation of chapter 28 of this title. A violation of this section shall
23	be punishable by a fine not exceeding five thousand dollars ($5,000) or imprisonment not exceeding
24	two (2) years, or both.
25	Notwithstanding any other provision of the general laws, the sale, manufacture, or delivery
26	of drug paraphernalia to a person acting in accordance with chapters 28.6, 28.11, or 28.12 of this
27	title shall not be considered a violation of this chapter.
28	SECTION 4. Chapter 21-28.6 of the General Laws entitled “The Edward O. Hawkins and
29	Thomas C. Slater Medical Marijuana Act” is hereby amended by adding thereto the following
30	section:
31	21-28.6-16.1 Procurement and transfer of marijuana.
32	(a) A compassion center or licensed medical marijuana cultivator that obtains a
33	corresponding hybrid license pursuant to chapter 28.12 of title 21 may procure marijuana and
34	marijuana products from or transfer medical marijuana for processing and product manufacturing
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1	to a marijuana establishment that is licensed under chapter 28.12 provided such procurement,
2	processing, manufacturing and transfer is conducted in accordance and compliance with chapters
3	28.6, 28.11 and 28.12 of title 21 and regulations promulgated by the office of cannabis regulation
4	including regulations regarding product testing, labeling, packaging and other requirements
5	designed to ensure health, safety and patient access and all applicable provisions of title 44.
6	(b) Notwithstanding any other provision of the general laws, a licensed compassion center
7	that also holds a license as a hybrid marijuana retailer pursuant to chapter 28.12 of title 21 and the
8	regulations promulgated hereunder shall be exempt from the requirements of chapter 28.6 of title
9	21 requiring registration as a not-for-profit corporation under chapter 6 of title 7 of the general
10	laws, provided the compassion center maintains operation and licensure as a hybrid marijuana
11	retailer in good standing with the department of business regulation. The department of business
12	regulation may promulgate regulations or issue guidance to facilitate the transition from a not-for-
13	profit corporation to a for profit corporation or other entity including but not limited to the
14	requirement that the compassion center must update and/or resubmit licensing and application
15	documents which reflect this transfer.
16	SECTION 5. Sections 21-28.6-3, 21-28.6-5, and 21-28.6-6 of the General Laws in Chapter
17	21-28.6 entitled “The Edward O. Hawkins and Thomas C. Slater Medical Marijuana Act” are
18	hereby amended to read as follows:
19	21-28.6-3 Definitions.
20	For the purposes of this chapter:
21	(1) "Authorized purchaser" means a natural person who is at least twenty-one (21) years
22	old and who is registered with the department of health for the purposes of assisting a qualifying
23	patient in purchasing marijuana from a compassion center. An authorized purchaser may assist no
24	more than one patient, and is prohibited from consuming marijuana obtained for the use of the
25	qualifying patient. An authorized purchaser shall be registered with the department of health and
26	shall possesses a valid registry identification card.
27	(2) “Cannabis” means all parts of the plant of the genus marijuana, also known as marijuana
28	sativa L, whether growing or not; the seeds thereof; the resin extracted from any part of the plant; and
29	every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin
30	regardless of cannabinoid content or cannabinoid potency including “marijuana”, and “industrial
31	hemp” or “industrial hemp products” which satisfy the requirements of chapter 26 of title 2.
32	(3) “Cannabis testing laboratory” means a third-party analytical testing laboratory licensed
33	by the department of health, in coordination with the department of business regulation, to collect
34	and test samples of cannabis.
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1	(4) "Cardholder" means a person who has been registered or licensed with the department
2	of health or the department of business regulation pursuant to this chapter and possesses a valid
3	registry identification card or license.
4	(5) "Commercial unit" means a building, or other space within a commercial or industrial
5	building, for use by one business or person and is rented or owned by that business or person.
6	(6)(i) "Compassion center" means a not-for-profit corporation, subject to the provisions of
7	chapter 6 of title 7, and licensed under § 21-28.6-12, that acquires, possesses, cultivates,
8	manufactures, delivers, transfers, transports, supplies, or dispenses medical marijuana, and/or
9	related supplies and educational materials, to patient cardholders and/or their registered caregiver,
10	cardholder or authorized purchaser.
11	(ii) "Compassion center cardholder" means a principal officer, board member, employee,
12	volunteer, or agent of a compassion center who has registered with the department of business
13	regulation and has been issued and possesses a valid, registry identification card.
14	(7) "Debilitating medical condition" means:
15	(i) Cancer, glaucoma, positive status for human immunodeficiency virus, acquired immune
16	deficiency syndrome, Hepatitis C, post-traumatic stress disorder, or the treatment of these
17	conditions;
18	(ii) A chronic or debilitating disease or medical condition, or its treatment, that produces
19	one or more of the following: cachexia or wasting syndrome; severe, debilitating, chronic pain;
20	severe nausea; seizures, including but not limited to, those characteristic of epilepsy; or severe and
21	persistent muscle spasms, including but not limited to, those characteristic of multiple sclerosis or
22	Crohn's disease; or agitation of Alzheimer's Disease; or
23	(iii) Any other medical condition or its treatment approved by the department of health, as
24	provided for in § 21-28.6-5.
25	(8) "Department of business regulation" means the Rhode Island department of business
26	regulation or its successor agency.
27	(9) "Department of health" means the Rhode Island department of health or its successor
28	agency.
29	(10) "Department of public safety" means the Rhode Island department of public safety or
30	its successor agency.
31	(11) "Dried marijuana" means the dried leaves and flowers of the marijuana plant as
32	defined by regulations promulgated by the department of business regulation.
33	(12) "Dwelling unit" means the room, or group of rooms, within a residential dwelling used
34	or intended for use by one family or household, or by no more than three (3) unrelated individuals,
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1	with facilities for living, sleeping, sanitation, cooking, and eating.
2	(13) "Equivalent amount" means the portion of usable marijuana, be it in extracted, edible,
3	concentrated, or any other form, found to be equal to a portion of dried marijuana, as defined by
4	regulations promulgated by the departments of business regulation.
5	(14) “Immature marijuana plant” means a marijuana plant, rooted or unrooted, with no
6	observable flower or buds.
7	(15) "Licensed medical marijuana cultivator" means a person or entity, as identified in §
8	43-3-6, who has been licensed by the department of business regulation to cultivate medical
9	marijuana pursuant to § 21-28.6-16.
10	(16) "Marijuana" has the meaning given that term in § 21-28-1.02.
11	(17) “Marijuana establishment licensee” means any person or entity licensed by the
12	department of business regulation under this chapter or chapter 28.12 of title 21 whose license
13	permits it to engage in or conduct activities in connection with the medical marijuana program or
14	adult use marijuana industry. “Marijuana establishment licensees” shall include but not be limited
15	to, compassion centers, medical marijuana cultivators, and cannabis testing laboratories, adult use
16	marijuana retailers, hybrid marijuana cultivators, and the holder of any other license issued by the
17	department of business regulation under chapters 28.6 or 28.12 of title 21 of the general laws and/or
18	as specified and defined in regulations promulgated by the department of business regulation.
19	(18) "Mature marijuana plant" means a marijuana plant that has flowers or buds that are
20	readily observable by an unaided visual examination.
21	(19) “Medical marijuana emporium” means any establishment, facility or club, whether
22	operated for-profit or nonprofit, or any commercial unit, at which the sale, distribution, transfer or
23	use of medical marijuana or medical marijuana products is proposed and/or occurs to, by or among
24	registered patients, registered caregivers, authorized purchaser cardholders or any other person.
25	This shall not include a compassion center regulated and licensed by the department of business
26	regulation pursuant to the terms of this chapter.
27	(20) “Medical marijuana” means marijuana and marijuana products that satisfy the
28	requirements of this chapter and have been given the designation of “medical marijuana” due to
29	dose, potency, form. Medical marijuana products are only available for use by patient cardholders,
30	and may only be sold to or possessed by patient cardholders, or their registered caregiver, or
31	authorized purchaser in accordance with this chapter. Medical marijuana may not be sold to,
32	possessed by, manufactured by, or used except as permitted as under this chapter.
33	(21) “Medical marijuana plant tag set” or “plant tag” means any tag, identifier, registration,
34	certificate, or inventory tracking system authorized or issued by the department or which the
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1	department requires be used for the lawful possession and cultivation of medical marijuana plants
2	in accordance with this chapter.
3	(22) "Medical use" means the acquisition, possession, cultivation, manufacture, use,
4	delivery, transfer, or transportation of medical marijuana or paraphernalia relating to the
5	consumption of marijuana to alleviate a patient cardholder's debilitating medical condition or
6	symptoms associated with the medical condition in accordance with the provisions of this chapter.
7	(23) "Practitioner" means a person who is licensed with authority to prescribe drugs
8	pursuant to chapters 34, 37, and 54 of title 5 who may provide a qualifying patient with a written
9	certification in accordance with regulations promulgated by the department of health.
10	(24) "Primary caregiver" means a natural person who is at least twenty-one (21) years old
11	who is registered under this chapter in order to, and who may assist one (1) qualifying patient, but
12	no more than five (5) qualifying patients, with their medical use of marijuana, provided that a
13	qualified patient may also serve as his or her own primary caregiver subject to the registration and
14	requirements set forth in § 21-28.6-4.
15	(25) "Qualifying patient" means a person who has been certified by a practitioner as having
16	a debilitating medical condition and is a resident of Rhode Island.
17	(26) "Registry identification card" means a document issued by the department of health
18	or the department of business regulation, as applicable, that identifies a person as a registered
19	qualifying patient, a registered primary caregiver, or authorized purchaser, or a document issued
20	by the department of business regulation or department of health that identifies a person as a
21	registered principal officer, board member, employee, volunteer, or agent of a compassion center,
22	licensed medical marijuana cultivator, cannabis testing lab, or any other medical marijuana
23	licensee.
24	(27) "Unusable marijuana" means marijuana seeds, stalks, and unusable roots and shall not
25	count towards any weight-based possession limits established in this chapter.
26	(28) "Usable marijuana" means the leaves and flowers of the marijuana plant, and any
27	mixture or preparation thereof, but does not include the seeds, stalks, and roots of the plant.
28	(29) "Wet marijuana" means the harvested leaves and flowers of the marijuana plant before
29	they have reached a dry state, as defined by regulations promulgated by the department of health
30	and department of business regulation.
31	(30) "Written certification" means a statement signed by a practitioner, stating that, in the
32	practitioner's professional opinion, the potential benefits of the medical use of marijuana would
33	likely outweigh the health risks for the qualifying patient. A written certification shall be made only
34	in the course of a bona fide, practitioner-patient relationship after the practitioner has completed a
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1	full assessment of the qualifying patient's medical history. The written certification shall specify
2	the qualifying patient's debilitating medical condition or conditions which may include the
3	qualifying patient’s medical records.
4	21-28.6-5 Departments of health and business regulation to issue regulations.
5	(a) Not later than ninety (90) days after the effective date of this chapter, the department of
6	health shall promulgate regulations governing the manner in which it shall consider petitions from
7	the public to add debilitating medical conditions to those included in this chapter. In considering
8	such petitions, the department of health shall include public notice of, and an opportunity to
9	comment in a public hearing, upon such petitions. The department of health shall, after hearing,
10	approve or deny such petitions within one hundred eighty (180) days of submission. The approval
11	or denial of such a petition shall be considered a final department of health action, subject to judicial
12	review. Jurisdiction and venue for judicial review are vested in the superior court. The denial of a
13	petition shall not disqualify qualifying patients with that condition, if they have a debilitating
14	medical condition as defined in § 21-28.6-3(57). The denial of a petition shall not prevent a person
15	with the denied condition from raising an affirmative defense.
16	(b) Not later than ninety (90) days after the effective date of this chapter, the department
17	of health shall promulgate regulations governing the manner in which it shall consider applications
18	for, and renewals of, registry identification cards for qualifying patients and authorized purchasers.
19	The department of health's regulations shall establish application and renewal fees that generate
20	revenues sufficient to offset all expenses of implementing and administering this chapter. The
21	department of health may vary the application and renewal fees along a sliding scale that accounts
22	for a qualifying patient's or caregiver's income. The department of health may accept donations
23	from private sources in order to reduce the application and renewal fees.
24	(c) Not later than October 1, 2019, the department of business regulation shall promulgate
25	regulations not inconsistent with law, to carry into effect the provisions of this section, governing
26	the manner in which it shall consider applications for, and renewals of, registry identification cards
27	for primary caregivers. The department of business regulation’s regulations shall establish
28	application and renewal fees. The department of business regulation may vary the application and
29	renewal fees along a sliding scale that accounts for a qualifying patient's or caregiver's income. The
30	department of business regulation may accept donations from private sources in order to reduce the
31	application and renewal fees.
32	21-28.6-6 Administration of departments of health and business regulation
33	regulations.
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1	(a) The department of health shall issue registry identification cards to qualifying patients
2	who submit the following, in accordance with the department's regulations. Applications shall
3	include but not be limited to:
4	(1) Written certification as defined in § 21-28.6-3;
5	(2) Application fee, as applicable;
6	(3) Name, address, and date of birth of the qualifying patient; provided, however, that if
7	the patient is homeless, no address is required;
8	(4) Name, address, and telephone number of the qualifying patient's practitioner;
9	(5) Whether the patient elects to grow medical marijuana plants for himself or herself; and
10	(6) Name, address, and date of birth of one primary caregiver of the qualifying patient and
11	any authorized purchaser for the qualifying patient, if any primary caregiver or authorized
12	purchaser is chosen by the patient or allowed in accordance with regulations promulgated by the
13	departments of health or business regulation.
14	(b) The department of health shall not issue a registry identification card to a qualifying
15	patient under the age of eighteen (18) unless:
16	(1) The qualifying patient's practitioner has explained the potential risks and benefits of the
17	medical use of marijuana to the qualifying patient and to a parent, guardian, or person having legal
18	custody of the qualifying patient; and
19	(2) A parent, guardian, or person having legal custody consents in writing to:
20	(i) Allow the qualifying patient's medical use of marijuana;
21	(ii) Serve as the qualifying patient's primary caregiver or authorized purchaser; and
22	(iii) Control the acquisition of the marijuana, the dosage, and the frequency of the medical
23	use of marijuana by the qualifying patient.
24	(c) The department of health shall renew registry identification cards to qualifying patients
25	in accordance with regulations promulgated by the department of health and subject to payment of
26	any applicable renewal fee.
27	(d) The department of health shall not issue a registry identification card to a qualifying
28	patient seeking treatment for post-traumatic stress disorder (PTSD) under the age of eighteen (18).
29	(e) The department of health shall verify the information contained in an application or
30	renewal submitted pursuant to this section, and shall approve or deny an application or renewal
31	within thirty-five (35) days of receiving it. The department may deny an application or renewal
32	only if the applicant did not provide the information required pursuant to this section, or if the
33	department determines that the information provided was falsified, or that the renewing applicant
34	has violated this chapter under their previous registration. Rejection of an application or renewal is
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1	considered a final department action, subject to judicial review. Jurisdiction and venue for judicial
2	review are vested in the superior court.
3	(f) If the qualifying patient's practitioner notifies the department of health in a written
4	statement that the qualifying patient is eligible for hospice care or chemotherapy, the department
5	of health and department of business regulation, as applicable, shall give priority to these
6	applications when verifying the information in accordance with subsection (e) and issue a registry
7	identification card to these qualifying patients, primary caregivers and authorized purchasers within
8	seventy-two (72) hours of receipt of the completed application. The departments shall not charge a
9	registration fee to the patient, caregivers or authorized purchasers named in the application. The
10	department of health may identify through regulation a list of other conditions qualifying a patient
11	for expedited application processing.
12	(g) Following the promulgation of regulations pursuant to § 21-28.6-5(c), the department
13	of business regulation may issue or renew a registry identification card to the qualifying patient
14	cardholder's primary caregiver, if any, who is named in the qualifying patient's approved
15	application. The department of business regulation shall verify the information contained in
16	applications and renewal forms submitted pursuant to this chapter prior to issuing any registry
17	identification card. The department of business regulation may deny an application or renewal if
18	the applicant or appointing patient did not provide the information required pursuant to this section,
19	or if the department determines that the information provided was falsified, or if the applicant or
20	appointing patient has violated this chapter under their previous registration or has otherwise failed
21	to satisfy the application or renewal requirements.
22	(1) A primary caregiver applicant or an authorized purchaser applicant shall apply to the
23	bureau of criminal identification of the department of attorney general, department of public safety
24	division of state police, or local police department for a national criminal records check that shall
25	include fingerprints submitted to the Federal Bureau of Investigation. Upon the discovery of any
26	disqualifying information as defined in subsection (g)(5), and in accordance with the rules
27	promulgated by the director, the bureau of criminal identification of the department of attorney
28	general, department of public safety division of state police, or the local police department shall
29	inform the applicant, in writing, of the nature of the disqualifying information; and, without
30	disclosing the nature of the disqualifying information, shall notify the department of business
31	regulation or department of health, as applicable, in writing, that disqualifying information has been
32	discovered.
33	(2) In those situations in which no disqualifying information has been found, the bureau of
34	criminal identification of the department of attorney general, department of public safety division
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1	of state police, or the local police shall inform the applicant and the department of business
2	regulation or department of health, as applicable, in writing, of this fact.
3	(3) The department of health or department of business regulation, as applicable, shall
4	maintain on file evidence that a criminal records check has been initiated on all applicants seeking
5	a primary caregiver registry identification card or an authorized purchaser registry identification
6	card and the results of the checks. The primary caregiver cardholder shall not be required to apply
7	for a national criminal records check for each patient he or she is connected to through the
8	department's registration process, provided that he or she has applied for a national criminal records
9	check within the previous two (2) years in accordance with this chapter. The department of health
10	and department of business regulation, as applicable, shall not require a primary caregiver
11	cardholder or an authorized purchaser cardholder to apply for a national criminal records check
12	more than once every two (2) years.
13	(4) Notwithstanding any other provision of this chapter, the department of business
14	regulation or department of health may revoke or refuse to issue any class or type of registry
15	identification card or license if it determines that failing to do so would conflict with any federal
16	law or guidance pertaining to regulatory, enforcement and other systems that states, businesses, or
17	other institutions may implement to mitigate the potential for federal intervention or enforcement.
18	This provision shall not be construed to prohibit the overall implementation and administration of
19	this chapter on account of the federal classification of marijuana as a schedule I substance or any
20	other federal prohibitions or restrictions.
21	(5) Information produced by a national criminal records check pertaining to a conviction
22	for any felony offense under chapter 28 of this title 21 ("Rhode Island Controlled Substances Act");
23	murder; manslaughter; rape; first-degree sexual assault; second-degree sexual assault; first-degree
24	child molestation; second-degree child molestation; kidnapping; first-degree arson; second-degree
25	arson; mayhem; robbery; burglary; breaking and entering; assault with a dangerous weapon; assault
26	or battery involving grave bodily injury; and/or assault with intent to commit any offense
27	punishable as a felony or a similar offense from any other jurisdiction shall result in a letter to the
28	applicant and the department of health or department of business regulation, as applicable,
29	disqualifying the applicant. If disqualifying information has been found, the department of health
30	or department of business regulation, as applicable, may use its discretion to issue a primary
31	caregiver registry identification card or an authorized purchaser registry identification card if the
32	applicant's connected patient is an immediate family member and the card is restricted to that
33	patient only. Any disqualification or denial of registration hereunder shall be subject to the
34	provisions of § 28-5.1-14 of the general laws.
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1	(6) The primary caregiver or authorized purchaser applicant shall be responsible for any
2	expense associated with the national criminal records check.
3	(7) For purposes of this section, "conviction" means, in addition to judgments of conviction
4	entered by a court subsequent to a finding of guilty or a plea of guilty, those instances where the
5	defendant has entered a plea of nolo contendere and has received a sentence of probation and those
6	instances where a defendant has entered into a deferred sentence agreement with the attorney
7	general.
8	(8) The office of cannabis regulation may adopt rules and regulations based on federal
9	guidance provided those rules and regulations are designed to comply with federal guidance and
10	mitigate federal enforcement against the registrations and licenses issued under this chapter.
11	(h)(1) On or before December 31, 2016, the department of health shall issue registry
12	identification cards within five (5) business days of approving an application or renewal that shall
13	expire two (2) years after the date of issuance.
14	(2) Effective January 1, 2017, and thereafter, the department of health or the department of
15	business regulation, as applicable, shall issue registry identification cards within five (5) business
16	days of approving an application or renewal that shall expire one year after the date of issuance.
17	(3) Registry identification cards shall contain:
18	(i) The date of issuance and expiration date of the registry identification card;
19	(ii) A random registry identification number;
20	(iii) A photograph; and
21	(iv) Any additional information as required by regulation or the department of health or
22	business regulation as applicable.
23	(i) Persons issued registry identification cards by the department of health or department
24	of business regulation shall be subject to the following:
25	(1) A qualifying patient cardholder shall notify the department of health of any change in
26	his or her name, address, primary caregiver, or authorized purchaser; or if he or she ceases to have
27	his or her debilitating medical condition, within ten (10) days of such change.
28	(2) A qualifying patient cardholder who fails to notify the department of health of any of
29	these changes is responsible for a civil infraction, punishable by a fine of no more than one hundred
30	fifty dollars ($150). If the patient cardholder has ceased to suffer from a debilitating medical
31	condition, the card shall be deemed null and void and the person shall be liable for any other
32	penalties that may apply to the person's nonmedical use of marijuana.
33	(3) A primary caregiver cardholder or authorized purchaser shall notify the issuing
34	department of any change in his or her name or address within ten (10) days of such change. A
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1	primary caregiver cardholder or authorized purchaser who fails to notify the issuing department of
2	any of these changes is responsible for a civil infraction, punishable by a fine of no more than one
3	hundred fifty dollars ($150).
4	(4) When a qualifying patient cardholder or primary caregiver cardholder notifies the
5	department of health or department of business regulation, as applicable, of any changes listed in
6	this subsection, the department of health or department of business regulation, as applicable, shall
7	issue the qualifying patient cardholder and each primary caregiver cardholder a new registry
8	identification card within ten (10) days of receiving the updated information and a ten-dollar
9	($10.00) fee.
10	(5) When a qualifying patient cardholder changes his or her primary caregiver or authorized
11	purchaser, the department of health or department of business regulation, as applicable shall notify
12	the primary caregiver cardholder or authorized purchaser within ten (10) days. The primary
13	caregiver cardholder's protections as provided in this chapter as to that patient shall expire ten (10)
14	days after notification by the issuing department. If the primary caregiver cardholder or authorized
15	purchaser is connected to no other qualifying patient cardholders in the program, he or she must
16	return his or her registry identification card to the issuing department.
17	(6) If a cardholder or authorized purchaser loses his or her registry identification card, he
18	or she shall notify the department that issued the card and submit a ten-dollar ($10.00) fee within
19	ten (10) days of losing the card. Within five (5) days, the department of health or department of
20	business regulation shall issue a new registry identification card with new random identification
21	number.
22	(7) Effective January 1, 2019, if a patient cardholder chooses to alter his or her registration
23	with regard to the growing of medical marijuana for himself or herself, he or she shall notify the
24	department prior to the purchase of medical marijuana tags or the growing of medical marijuana
25	plants.
26	(8) If a cardholder or authorized purchaser willfully violates any provision of this chapter
27	as determined by the department of health or the department of business regulation, his or her
28	registry identification card may be revoked.
29	(j) Possession of, or application for, a registry identification card shall not constitute
30	probable cause or reasonable suspicion, nor shall it be used to support the search of the person or
31	property of the person possessing or applying for the registry identification card, or otherwise
32	subject the person or property of the person to inspection by any governmental agency.
33	(k)(1) Applications and supporting information submitted by qualifying patients, including
34	information regarding their primary caregivers, authorized purchaser, and practitioners, are
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1	confidential and protected in accordance with the federal Health Insurance Portability and
2	Accountability Act of 1996, as amended, and shall be exempt from the provisions of chapter 2 of
3	title 38 et seq. (Rhode Island access to public records act) and not subject to disclosure, except to
4	authorized employees of the departments of health and business regulation as necessary to perform
5	official duties of the departments, and pursuant to subsection (l) and (m).
6	(2) The application for qualifying patient's registry identification card shall include a
7	question asking whether the patient would like the department of health to notify him or her of any
8	clinical studies about marijuana's risk or efficacy. The department of health shall inform those
9	patients who answer in the affirmative of any such studies it is notified of, that will be conducted
10	in Rhode Island. The department of health may also notify those patients of medical studies
11	conducted outside of Rhode Island.
12	(3) The department of health and the department of business regulation, as applicable, shall
13	maintain a confidential list of the persons to whom the department of health or department of
14	business regulation has issued authorized patient, primary caregiver, and authorized purchaser
15	registry identification cards. Individual names and other identifying information on the list shall be
16	confidential, exempt from the provisions of Rhode Island access to public records, chapter 2 of title
17	38, and not subject to disclosure, except to authorized employees of the departments of health and
18	business regulation as necessary to perform official duties of the departments and of this section.
19	(l) Notwithstanding subsections (k) and (m), the departments of health and business
20	regulation, as applicable, shall verify to law enforcement personnel whether a registry identification
21	card is valid and may provide additional information to confirm whether a cardholder is compliant
22	with the provisions of this chapter and the regulations promulgated hereunder. The department of
23	business regulation shall verify to law enforcement personnel whether a registry identification card
24	is valid and may confirm whether the cardholder is compliant with the provisions of this chapter
25	and the regulations promulgated hereunder. This verification may occur through the use of a shared
26	database, provided that any medical records or confidential information in this database related to
27	a cardholder’s specific medical condition is protected in accordance with subsection (k)(1).
28	(m) It shall be a crime, punishable by up to one hundred eighty (180) days in jail and a one
29	thousand dollar ($1,000) fine, for any person, including an employee or official of the departments
30	of health, business regulation, public safety, or another state agency or local government, to breach
31	the confidentiality of information obtained pursuant to this chapter. Notwithstanding this provision,
32	the department of health and department of business regulation employees may notify law
33	enforcement about falsified or fraudulent information submitted to the department or violations of
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1	this chapter. Nothing in this act shall be construed as to prohibit law enforcement, public safety,
2	fire, or building officials from investigating violations of, or enforcing state law.
3	(n) On or before the fifteenth day of the month following the end of each quarter of the
4	fiscal year, the department of health and the department of business regulation shall report to the
5	governor, the speaker of the House of Representatives, and the president of the senate on
6	applications for the use of marijuana for symptom relief. The report shall provide:
7	(1) The number of applications for registration as a qualifying patient, primary caregiver,
8	or authorized purchaser that have been made to the department of health and the department of
9	business regulation during the preceding quarter, the number of qualifying patients, primary
10	caregivers, and authorized purchasers approved, the nature of the debilitating medical conditions
11	of the qualifying patients, the number of registrations revoked, and the number and specializations,
12	if any, of practitioners providing written certification for qualifying patients.
13	(o) On or before September 30 of each year, the department of health and the department
14	of business regulation, as applicable, shall report to the governor, the speaker of the House of
15	Representatives, and the president of the senate on the use of marijuana for symptom relief. The
16	report shall provide:
17	(1) The total number of applications for registration as a qualifying patient, primary
18	caregiver, or authorized purchaser that have been made to the department of health and the
19	department of business regulation, the number of qualifying patients, primary caregivers, and
20	authorized purchasers approved, the nature of the debilitating medical conditions of the qualifying
21	patients, the number of registrations revoked, and the number and specializations, if any, of
22	practitioners providing written certification for qualifying patients;
23	(2) The number of active qualifying patient, primary caregiver, and authorized purchaser
24	registrations as of June 30 of the preceding fiscal year;
25	(3) An evaluation of the costs permitting the use of marijuana for symptom relief, including
26	any costs to law enforcement agencies and costs of any litigation;
27	(4) Statistics regarding the number of marijuana-related prosecutions against registered
28	patients and caregivers, and an analysis of the facts underlying those prosecutions;
29	(5) Statistics regarding the number of prosecutions against physicians for violations of this
30	chapter; and
31	(6) Whether the United States Food and Drug Administration has altered its position
32	regarding the use of marijuana for medical purposes or has approved alternative delivery systems
33	for marijuana.
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1	(p) After June 30, 2018, the department of business regulation shall report to the speaker
2	of the house, senate president, the respective fiscal committee chairpersons, and fiscal advisors
3	within 60 days of the close of the prior fiscal year. The report shall provide:
4	(1) The number of applications for registry identification cards to compassion center staff,
5	the number approved, denied and the number of registry identification cards revoked, and the
6	number of replacement cards issued;
7	(2) The number of applications for compassion centers and licensed cultivators;
8	(3) The number of marijuana plant tag sets ordered, delivered, and currently held within
9	the state;
10	(4) The total revenue collections of any monies related to its regulator activities for the
11	prior fiscal year, by the relevant category of collection, including enumerating specifically the total
12	amount of revenues foregone or fees paid at reduced rates pursuant to this chapter.
13
14	SECTION 6. Title 21 of the General Laws entitled "FOOD AND DRUGS" is hereby
15	amended by adding thereto the following Chapters:
16	CHAPTER 28.11
17	ADULT USE OF MARIJUANA ACT
18	21-28.11-1. Short title.
19	This chapter shall be known and may be cited as the "Adult Use of Marijuana Act."
20	21-28.11-2. Legislative Findings.
21	The general assembly finds and declares that:
22	(1) Prohibiting the possession, cultivation, and sale of cannabis to adults has proven to be
23	an ineffective policy for the State of Rhode Island. In the absence of a legal, tightly regulated
24	market, an illicit cannabis industry has thrived, undermining the public health, safety and welfare
25	of Rhode Islanders.
26	(2) Regional and national shifts in cannabis policy have increased access to legal cannabis
27	and marijuana products for Rhode Islanders in other states, the sale of which benefits the residents
28	of the providing state while providing no funds to the State of Rhode Island to address the public
29	health, safety and welfare externalities that come with increased access to cannabis, including
30	marijuana.
31	(3) It is in the best interests of the of the State of Rhode Island to implement a new
32	regulatory framework and tax structure for the commercial production and sale of cannabis and
33	cannabis products, all aspects of which shall be tightly regulated and controlled by the provisions
34	of this act and the office of cannabis regulation, the revenue from which is to be used to tightly
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1	regulate cannabis and cannabis products and to study and mitigate the risks and deleterious
2	impacts that cannabis and marijuana use may have on the citizens and State of Rhode Island.
3	21-28.11-3. Definitions.
4	For purposes of this chapter:
5	(1) “Adult use marijuana cultivator” means an entity that holds a license to cultivate
6	marijuana pursuant to chapter 28.12 of title 21 and in accordance with regulations promulgated by
7	the office of cannabis regulation and includes a hybrid marijuana cultivator.
8	(2) "Adult use marijuana retailer" means an entity that holds a license to sell marijuana at
9	retail pursuant to chapter 28.12 of title 21 and in accordance with regulations promulgated by the
10	office of cannabis regulation and includes a hybrid marijuana retailer.
11	(3) “Cannabis” means all parts of the plant of the genus marijuana, also known as marijuana
12	sativa L, whether growing or not; the seeds thereof; the resin extracted from any part of the plant; and
13	every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin
14	regardless of cannabinoid content or cannabinoid potency including “marijuana”, and “industrial
15	hemp” or “industrial hemp products” which satisfy the requirements of chapter 2-26 of the general
16	laws and the regulations promulgated thereunder.
17	(4) “Cannabis plant” means a cannabis plant, rooted or unrooted, with no observable flower
18	or buds.
19	(5) “Department” or “department of business regulation” means the office of cannabis regulation
20	within the department of business regulation or its successor agency.
21	(6) "Dwelling unit" means a room or group of rooms within a residential dwelling used or
22	intended for use by one family or household, or by no more than three (3) unrelated individuals, with
23	facilities for living, sleeping, sanitation, cooking, and eating.
24	(7) "Equivalent amount" means the portion of usable marijuana, be it in extracted, edible,
25	concentrated, or any other form, found to be equal to a portion of dried, marijuana, as defined by
26	regulations promulgated by the office of cannabis regulation.
27	(8) "Hybrid marijuana cultivator" means an entity that holds a medical marijuana cultivator
28	license pursuant to chapter 28.6 of title 21 that also holds a license to cultivate marijuana pursuant
29	to chapter 28.12 of title 21 and in accordance with regulations promulgated by the office of cannabis
30	regulation.
31	(9) "Hybrid marijuana retailer" means an entity that holds a medical marijuana compassion
32	center license pursuant to chapter 28.6 of title 21 that also holds a license to sell marijuana at retail
33	pursuant to chapter 28.12 of title 21 and in accordance with regulations promulgated by the office
34	of cannabis regulation.
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1	(10) "Industrial Hemp" means the plant of the genus cannabis and any part of such plant,
2	whether growing or not, with a delta-9 tetrahydrocannabinol concentration that does not exceed
3	three-tenths percent (0.3%) on a dry-weight basis of any part of the plant cannabis, or per volume
4	or weight of cannabis product or the combined percent of delta-9 tetrahydrocannabinol and
5	tetrahydrocannabinolic acid in any part of the plant cannabis regardless of the moisture content,
6	which satisfy the requirements of chapter 2-26 of the general laws and the regulations promulgated
7	thereunder.
8	(11) "Industrial Hemp products" means all products made from industrial hemp plants,
9	including, but not limited to, concentrated oil, cloth, cordage, fiber, food, fuel, paint, paper,
10	construction materials, plastics, seed, seed meal, seed oil, and certified for cultivation which satisfy
11	the requirements of chapter 2-26 of the general laws and the regulations promulgated thereunder.
12	(12) "Marijuana" means all parts of the plant cannabis sativa L., whether growing or not;
13	the seeds of the plant; the resin extracted from any part of the plant; and every compound,
14	manufacture, salt, derivative, mixture, or preparation of the plant, its seeds or resin, but shall not
15	include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the
16	seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of
17	mature stalks, (except the resin extracted from it), fiber, oil or cake, or the sterilized seed from the
18	plant which is incapable of germination. Marijuana shall not include “industrial hemp” or”
19	industrial hemp products” which satisfy the requirements of chapter 26 of title 2 of the general laws
20	and the regulations promulgated thereunder.
21	(13) "Marijuana establishment" and “marijuana establishment licensee” means any person
22	or entity licensed by the office of cannabis regulation under chapter 28.12 or chapter 28.6 of title
23	21 whose license permits it to engage in or conduct activities in connection with the adult use
24	marijuana industry or medical marijuana program and includes but is not limited to a licensed
25	adult use marijuana retailer, marijuana testing facility, hybrid marijuana retailer, adult use marijuana
26	cultivator, hybrid marijuana cultivator, compassion center, medical marijuana cultivator, or any
27	other license issued by the office of cannabis regulation under chapter 28.12 or chapter 28.6 of title
28	21 and/or as specified and defined in regulations promulgated by the office of cannabis regulation.
29	(14) "Marijuana paraphernalia" means equipment, products, and materials which are used
30	or intended for use in planting, propagating, cultivating, growing, harvesting, manufacturing,
31	compounding, converting, producing, processing, preparing, testing, analyzing, packaging,
32	repackaging, storing, containing, concealing, ingesting, or inhaling marijuana, or otherwise
33	introducing marijuana into the human body.
34	(15) "Marijuana products" means any form of marijuana, including concentrated marijuana
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1	and products that are comprised of marijuana and other ingredients that are intended for use or
2	consumption, such as, but not limited to, extracts, infusions, edible products, ointments, and tinctures, as
3	further defined in regulations promulgated by the office of cannabis regulation.
4	(16) "Marijuana testing facility" and “cannabis testing laboratory” means a third-party
5	analytical testing laboratory licensed by the departments of health and office of cannabis regulation
6	to collect and test samples of cannabis pursuant to regulations promulgated by the departments.
7	(17) “Office of cannabis regulation” means the office of cannabis regulation within the
8	department of business regulation.
9	(18) "Public place" means any street, alley, park, sidewalk, public building other than individual
10	dwellings, or any place of business or assembly open to or frequented by the public, and any other
11	place to which the public has access.
12	(19) "Smoke" or "smoking" means heating to at least the point of combustion, causing plant
13	material to burn, inhaling, exhaling, burning, or carrying any lighted or heated cigarette, pipe, weed, plant,
14	other marijuana product in any manner or in any form intended for inhalation in any manner or form and
15	includes but is not limited to the use of electronic cigarettes, electronic pipes, electronic marijuana delivery
16	system products, or other similar products that rely on vaporization or aerosolization.
17	(20) "State prosecution" means prosecution initiated or maintained by the state of Rhode Island
18	or an agency or political subdivision of the state of Rhode Island.
19	(21) “Vaporize” or “vape” means heating below the point of combustion and resulting in a
20	vapor or mist.
21	21-28.11-4. Exempt activities.
22	Effective from and after April 1, 2023, except as otherwise provided in this chapter:
23	(1) A person who is twenty-one (21) years of age or older is exempt from arrest, civil or
24	criminal penalty, seizure or forfeiture of assets, discipline by any state or local licensing board, and state
25	prosecution for solely engaging in the following acts:
26	(i) Actually or constructively using, obtaining, purchasing, transporting, or possessing one ounce
27	(1 oz.) or less of marijuana plant material, or an equivalent amount of marijuana product as determined
28	by regulations promulgated by the office of cannabis regulation, provided that a person who is twenty-
29	one (21) years of age or older may only purchase one ounce (1 oz.) of marijuana plant material, or an
30	equivalent amount of marijuana product as determined by regulations promulgated by the office of
31	cannabis regulation per day;
32	(ii) Possessing in the person’s primary residence in secured and locked storage five ounces
33	(5 oz) or less of marijuana plant material or an equivalent amount of marijuana product as determined
34	by regulations promulgated by the office of cannabis regulation, or possessing in any dwelling unit used
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1	as the a primary residence by two or more persons who are each twenty-one (21) years of age or
2	older in secured and locked storage ten ounces (10 oz.) or less of marijuana plant material or an
3	equivalent amount of marijuana product as determined by regulations promulgated by the office of
4	cannabis regulation;
5	(iii) Controlling any premises or vehicle where persons who are twenty-one (21) years of age
6	or older possess, process, or store amounts of marijuana plant material and marijuana products that are
7	legal under state law under subsections (1)(i) and (1)(ii) of this section, provided that any and all
8	marijuana plant material and/or marijuana products in a vehicle are sealed, unused, and in their original
9	unopened packaging;
10	(iv) Giving away, without consideration, the amounts of marijuana and marijuana products
11	that are legal under state law under subsection (1)(i) of this section, if the recipient is a person who is
12	twenty-one (21) years of age or older, provided the gift or transfer of marijuana is not advertised or
13	promoted to the public and the gift or transfer of marijuana is not in conjunction with the sale or transfer
14	of any money, consideration or value, or another item or any other services in an effort to evade laws
15	governing the sale of marijuana;
16	(v) Aiding and abetting another person who is twenty-one (21) years of age or older in the
17	actions allowed under this chapter; and
18	(vi) Any combination of the acts described within subsections (1)(i) through (1)(v) of this
19	section, inclusive.
20	(2) Except as provided in this chapter and chapter 28.12 of title 21, an adult use marijuana
21	retailer, hybrid marijuana retailer or any person who is twenty-one (21) years of age or older and
22	acting in their capacity as an owner, principal officer, partner, board member, employee, or agent
23	of a licensed retailer is exempt from arrest, civil or criminal penalty, seizure or forfeiture of assets,
24	discipline by any state or local licensing board, and state prosecution for solely engaging in the
25	following acts:
26	(i) Actually or constructively transporting or possessing marijuana or marijuana products that
27	were purchased from a hybrid marijuana cultivator, another adult use marijuana retailer, or any other
28	marijuana establishment in accordance with regulations promulgated by the office of cannabis
29	regulation;
30	(ii) Manufacturing, possessing, producing, obtaining, or purchasing marijuana paraphernalia;
31	(iii) Selling, delivering, or transferring marijuana or marijuana products to another retailer in
32	accordance with regulations promulgated by the office of cannabis regulation;
33	(iv) Selling, transferring, or delivering, no more than, one ounce (1 oz.) of marijuana, or an
34	equivalent amount of marijuana product per day, or marijuana paraphernalia to any person who is
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1	twenty-one (21) years of age or older, in accordance with regulations promulgated by the office of
2	cannabis regulation and within the transaction limits of this chapter, chapter 21-28.12 and transactions
3	limits specified in regulations promulgated by the office of cannabis regulation;
4	(v) Transferring or delivering marijuana or marijuana products to a cannabis testing facility
5	in accordance with regulations promulgated by the office of cannabis regulation;
6	(vi) Controlling any premises or vehicle where marijuana, marijuana products, and marijuana
7	paraphernalia are possessed, sold, or deposited in a manner that is not in conflict with this chapter or
8	the regulations pursuant thereto; and
9	(vii) Any combination of the acts described within subsections (2)(i) through (2)(vi) of this
10	section, inclusive.
11	(3) Except as provided in this chapter and chapter 28.12 of title 21, an adult use marijuana
12	cultivator, hybrid marijuana cultivator or any person who is twenty-one (21) years of age or older
13	and acting in their capacity as an owner, principal officer, partner, board member, employee, or agent
14	of a licensed cultivator is exempt from arrest, civil or criminal penalty, seizure or forfeiture of assets,
15	discipline by any state or local licensing board, and state prosecution for solely engaging in the
16	following acts:
17	(i) Cultivating, packing, processing, transporting, or manufacturing marijuana, but not
18	marijuana products, in accordance with regulations promulgated by the office of cannabis
19	regulation;
20	(ii) Transporting or possessing marijuana that was produced by the hybrid marijuana cultivator
21	or another marijuana establishment, in accordance with regulations promulgated by the office of
22	cannabis regulation;
23	(iii) Selling, delivering, or transferring marijuana to an adult use marijuana retailer, hybrid
24	marijuana retailer, another hybrid marijuana cultivator, or any other marijuana establishment, in
25	accordance with regulations promulgated by the office of cannabis regulation;
26	(iv) Purchasing marijuana from another hybrid marijuana cultivator;
27	(v) Delivering or transferring marijuana to a marijuana testing facility;
28	(vi) Controlling any premises or vehicle where marijuana is possessed, manufactured, sold, or
29	deposited, in accordance with regulations promulgated by the office of cannabis regulation; and
30	(vii) Any combination of the acts described within subsections (3)(i) through (3)(vi) of this
31	section, inclusive.
32	(4) Except as provided in this chapter and chapter 28.12 of title 21, a cannabis testing facility
33	or any person who is twenty-one (21) years of age or older and acting in their capacity as an owner,
34	principal officer, owner, partner, board member, employee, or agent of a licensed cannabis testing
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1	facility shall not be subject to state prosecution; search, except by the department of business regulation
2	or department of health pursuant to § 21-28.12-8; seizure; or penalty in any manner or be denied any
3	right or privilege, including, but not limited to, civil penalty or disciplinary action by a court or business
4	licensing board or entity solely engaging in for the following acts:
5	(i) Acquiring, transporting, storing, or possessing marijuana or marijuana products, in
6	accordance with regulations promulgated by the office of cannabis regulation;
7	(ii) Returning marijuana and marijuana products to marijuana cultivation facilities, marijuana
8	retailers, other marijuana establishment licensees and industrial hemp license holders, in accordance
9	with regulations promulgated by the office of cannabis regulation;
10	(iii) Receiving compensation for analytical testing, including but not limited to testing for
11	contaminants and potency; and
12	(iv) Any combination of the acts described within subsections (4)(i) through (4)(iii) of this
13	section, inclusive.
14	(5) The acts listed in subsections (1) through (4) of this section, when undertaken in
15	compliance with the provisions of this chapter and regulations promulgated hereunder, are lawful
16	under Rhode Island law.
17	(6) Except as provided in this chapter and chapter 28.12 of title 21, a marijuana establishment
18	licensee or any person who is twenty-one (21) years of age or older and acting in their capacity as an
19	owner, principal officer, partner, board member, employee, or agent of licensed a marijuana
20	establishment created by the office of cannabis regulation is exempt from arrest, civil or criminal
21	penalty, seizure or forfeiture of assets, discipline by any state or local licensing board, and state
22	prosecution solely for possessing, transferring, dispensing, or delivering marijuana in accordance
23	with the corresponding marijuana establishment license regulations promulgated by the office of
24	cannabis regulation, or otherwise engaging in activities permitted under the specific marijuana
25	establishment license it holds as issued by the office of cannabis regulation and the regulations
26	promulgated by the office of cannabis regulation.
27	(7) Except for the exemptions set forth in subsection (1) of this section which shall be
28	effective from and after April 1, 2023, the exemptions set forth in subsections (2), (3), (4), (5) and
29	(6) of this section shall be effective as to a marijuana establishment licensee from and after the date
30	of issuance of a license by the office of cannabis regulation.
31	21-28.11-5. Authorized activities; paraphernalia.
32	(a) Any person who is twenty-one (21) years of age or older is authorized to manufacture,
33	produce, use, obtain, purchase, transport, or possess, actually or constructively, marijuana
34	paraphernalia in accordance with all applicable laws.
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1	(b) Any person who is twenty-one (21) years of age or older is authorized to distribute or
2	sell marijuana paraphernalia to marijuana establishments or persons who are twenty-one (21) years
3	of age or older in accordance with all applicable laws.
4	21-28.11-6. Unlawful activities; penalties.
5	(a) Except as expressly provided in this chapter and chapters 2-26, 28.6 and 21-28.12, no
6	person or entity shall cultivate, grow, manufacture, process, or otherwise produce cannabis,
7	cannabis plants or cannabis products.
8	(b) Any person who cultivates, grows, manufactures, processes, or otherwise produces
9	cannabis, cannabis plants or cannabis products in violation of this chapter and chapters 2-26, 21-
10	28.6, 21-28.12, and/or the regulations promulgated hereunder shall be subject to imposition of an
11	administrative penalty and order by the office of cannabis regulation as follows:
12	(i) for a violation of this section involving one (1) to five (5) cannabis plants, an
13	administrative penalty of $2,000 per plant and an order requiring forfeiture and/or destruction of
14	said plants;
15	(ii) for a violation of this section involving six (6) to ten (10) cannabis plants, an
16	administrative penalty of $3,000 per plant and an order requiring forfeiture and/or destruction of
17	said plants;
18	(iii) for a violation of this section involving eleven (11) to twenty (20) cannabis plants, an
19	administrative penalty of $4,000 per plant and an order requiring forfeiture and/or destruction of
20	said plants;
21	(iv) for a violation of this section involving more than twenty (20) cannabis plants, an
22	administrative penalty of $5,000 per plant and an order requiring forfeiture and/or destruction of
23	said plants;
24	(v) for any violation of this section involving more than twenty (20) cannabis plants, such
25	person and, in the case of an entity such entity’s principal officers and other key persons, shall also
26	be guilty of a felony, and upon conviction shall be punished by imprisonment and a fine as provided
27	in chapter 21-28 of the general laws and the attorney general shall prosecute such criminal
28	violation; and
29	(vi) for any violation of this section involving possession of marijuana material or marijuana
30	products over the legal possession limits of this chapter, there shall be an administrative penalty of $2,000
31	per ounce of equivalent marijuana material over the legal possession limit and an order requiring
32	forfeiture and/or destruction of said marijuana.
33	21-28.11-7. Activities not exempt.
34	The provisions of this chapter do not exempt any person from arrest, civil or criminal penalty,
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1	seizure or forfeiture of assets, discipline by any state or local licensing board or authority, and state
2	prosecution for, nor may they establish an affirmative defense based on this chapter to charges arising
3	from, any of the following acts:
4	(1) Driving, operating, or being in actual physical control of a vehicle or a vessel under power
5	or sail while impaired by marijuana or marijuana products;
6	(2) Possessing marijuana or marijuana products if the person is incarcerated;
7	(3) Possessing marijuana or marijuana products in any local detention facility, county jail,
8	state prison, reformatory, or other correctional facility, including, without limitation, any facility for the
9	detention of juvenile offenders; or
10	(4) Manufacturing or processing of marijuana products with the use of prohibited solvents,
11	in violation of § 21-28.11-13.
12	21-28.11-8. Marijuana use prohibitions.
13	(a) No person shall smoke, vaporize or otherwise consume or use cannabis in a public
14	place. A person who violates this section shall be subject to imposition of any applicable penalty
15	or fine established pursuant to local ordinance by the municipality where the public consumption
16	or use occurred.
17	(b) No person shall smoke or vaporize cannabis in, on or about the premises of any housing
18	that is subject to regulation or otherwise within the purview of chapters 45-25, 45-26, 45-53 or 45-
19	60 of the general laws and any regulations promulgated thereunder. A person who smokes or
20	vaporizes cannabis in, on or about such housing premises shall be subject to imposition of any
21	applicable penalty established pursuant to local ordinance, access prohibition or restriction, eviction
22	or other action that may lawfully be taken by the owner and/or applicable authority with respect to
23	said housing.
24	(c) No person shall smoke or vaporize cannabis in, on or about the premises of any multi-
25	unit housing complex or building without the written permission of the owner of such property
26	and/or any applicable governing body of the housing complex or building. A person who smokes
27	or vaporizes cannabis in, on or about any multi-unit housing complex or building premises without
28	such written permission shall be subject to imposition of any applicable penalty established
29	pursuant to local ordinance, access prohibition or restriction, eviction or other action that may
30	lawfully be taken by the owner and/or any applicable authority with respect to such multi- unit
31	housing complex or building.
32	(d) No person or entity shall permit smoking, vaporizing or other consumption or use, sale,
33	distribution or other transfer or any proposed sale, distribution or transfer, of cannabis or cannabis
34	products in, on or about the premises of any place of business, establishment, or club, whether
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1	public or private, and whether operated for-profit or nonprofit, or any commercial property or other
2	premises as further defined through regulations promulgated by the office of cannabis regulation,
3	unless a cannabis social use license or temporary cannabis social use permit has been issued by the
4	office of cannabis regulation with respect to such business, establishment, club or commercial
5	property premises in accordance with regulations promulgated by the office of cannabis regulation.
6	Any person or entity who violates this section shall be subject to imposition of administrative fine
7	and/or other penalty as prescribed by the office of cannabis regulation in such regulations.
8	21-28.11-9. Places of employment.
9	(a) Nothing in this chapter shall be construed to require an employer to accommodate the
10	use or possession of marijuana, or being under the influence of marijuana, in any workplace.
11	(b) An employer shall be entitled to implement policies prohibiting the use or possession
12	of marijuana in the workplace and/or working under the influence of marijuana, provided such
13	policies are in writing and uniformly applied to all employees and an employee is given prior
14	written notice of such policies by the employer.
15	(c) The provisions of this chapter shall not permit any person to undertake any task under
16	the influence of marijuana when doing so would constitute negligence or professional malpractice,
17	jeopardize workplace safety, or to operate, navigate or be in actual physical control of any motor
18	vehicle or other transport vehicle, aircraft, motorboat, machinery or equipment, or firearms under
19	the influence of marijuana.
20	(d) Notwithstanding any other section of the general laws, upon specific request of a person
21	who is a qualifying medical marijuana patient cardholder under chapter 28.6 of title 21, the
22	department of health may verify the requesting cardholder’s status as a valid patient cardholder to
23	the qualifying patient cardholder’s employer, in order to ensure compliance with patient protections
24	of § 21-28.6-4(e).
25	(e) Notwithstanding any other section of the general laws, an employer may take
26	disciplinary action against an employee, including termination of employment, if the results of a
27	drug test administered in accordance with section § 28-6.5-1 of the general laws demonstrates that
28	the employee was under the influence of or impaired by marijuana while in the workplace or during
29	the performance of work. For purposes of this subsection (e), a drug test that yields a positive result
30	for cannabis metabolites shall not be construed as proof that an employee is under the influence of
31	or impaired by marijuana unless the test yields a positive result for active THC, delta-9-
32	tetrahydrocannabinol, delta-8-tetrahydrocannabinol, or any other active cannabinoid found in
33	marijuana which causes intoxication and/or impairment.
34	21-28.11-10. Private property.
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1	(a) Except as provided in this section, the provisions of this chapter do not require any person,
2	corporation, or any other entity that occupies, owns, or controls a property to allow the consumption, or
3	transfer of marijuana on or in that property.
4	(b) Except as provided in this section, in the case of the rental of a residential dwelling unit
5	governed by chapter 18 of title 34, a landlord may not prohibit the consumption of cannabis by non-
6	smoked or non-vaporized means, or the transfer without compensation of cannabis by the tenant as
7	defined in § 34-18-11, provided the tenant is in compliance with the possession and transfer limits
8	and other requirements set forth in § 21-28.11-4(1)(i)-(vi), and provided any such consumption or
9	transfer by the tenant is done within the tenant’s dwelling unit and is not visible from outside of the
10	individual residential dwelling unit. A landlord may prohibit the consumption, display, and transfer of
11	cannabis by a roomer as defined in § 34-18-11 and by any other person who is not a tenant.
12	21-28.11-12. Unlawful distribution to minors; penalties.
13	(a) Except as expressly provided in chapter 28.6 of title 21 of the general laws, no person
14	or entity shall sell, deliver or otherwise transfer to any person who is under twenty-one (21) years
15	of age marijuana, marijuana plants or marijuana products.
16	(b) Any person or entity who sells, delivers or otherwise transfers marijuana, marijuana
17	plants or marijuana products to any person who is under twenty-one (21) years of age violation of
18	this chapter and chapter 28.12 of title 21 and/or the regulations promulgated hereunder shall be
19	subject to imposition of an administrative penalty by the office of cannabis regulation in the amount
20	of $10,000 per violation.
21	(c) As to any violation of this section, such person, and in the case of an entity such entity’s
22	principal officers and other key persons, shall also be guilty of a felony, and upon conviction shall
23	be punished by imprisonment and a fine as provided in chapter 28 of title 21 of the general laws
24	and the attorney general shall prosecute such criminal violation.
25	21-28.11-13. Unlawful marijuana extraction, penalties.
26	(a) No person, other than a licensee who is authorized to process marijuana pursuant to a
27	license under chapter 28.12 of title 21 and who is in compliance with this chapter, chapter 28.12 and
28	accompanying regulations or an agent of such licensee acting in that capacity, may extract compounds
29	from marijuana using solvents other than water, glycerin, propylene glycol, vegetable oil, or food grade
30	ethanol (ethyl alcohol). No person may extract compounds from marijuana using ethanol in the
31	presence or vicinity of open flame.
32	(b) A person who violates this section shall be subject to imposition of an administrative
33	penalty by the office of cannabis regulation of up to five thousand dollars ($5,000) per violation.
34	(c) A person who violates this section shall also be guilty of a felony punishable by imprisonment
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1	and a fine in accordance with chapter 28 of title 21 of the general laws and the attorney general shall
2	prosecute such criminal violation.
3	21-28.11-14. Medical marijuana program parity.
4	(a) No later than April 1, 2024, the department of business regulation shall, in collaboration
5	with the department of health and the office of management and budget, conduct and deliver to the
6	Governor, the Speaker of the House of Representatives, and the President of the Senate a study
7	relating to the impact of the implementation of adult use cannabis in Rhode Island on the existing
8	medical marijuana program (MMP) established pursuant to chapter 28.6 of title 21. This study shall
9	examine and make recommendations relating to, without limitation, the following:
10	(b) The extent to which the introduction of adult use cannabis has diminished or eliminated
11	the availability of certain medical marijuana products or product types;
12	(c) The extent to which patient cardholders in Rhode Island have experienced new or
13	greater obstacles to obtaining medical marijuana, including on the basis of price, quantity, product
14	type, or geographic location;
15	(d) The extent to which the number of caregiver registrations and/or the number of plant
16	tag certificates issued by the office of cannabis regulation increases or decreases;
17	(e) The extent to which the introduction of the new adult use cannabis tax and license fee
18	structure requires a realignment of the existing medical marijuana tax and license fee structure; and
19	(f) Any recommendations delivered to the Governor pursuant to this study shall be
20	considered by the Governor, the department, and the office of management and budget in the
21	development of the act proposing appropriations for the fiscal year beginning July 1, 2025.
22	CHAPTER 28.12
23	MARIJUANA REGULATION, CONTROL, AND TAXATION ACT
24	21-28.12-1. Short title.
25	This chapter shall be known and may be cited as the "Marijuana Regulation, Control, and
26	Taxation Act."
27	21-28.12-2. Definitions.
28	For purposes of this chapter:
29	(1) “Adult use marijuana cultivator” means an entity that holds a license to cultivate
30	marijuana pursuant to chapter 28.12 of title 21 and in accordance with regulations promulgated by
31	the office of cannabis regulation and includes a hybrid marijuana cultivator.
32	(2) "Adult use marijuana retailer" means an entity that holds a license to sell marijuana at
33	retail pursuant to chapter 28.12 of title 21 and in accordance with regulations promulgated by the
34	office of cannabis regulation and includes a hybrid marijuana retailer.
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1	(3) “Cannabis” means all parts of the plant of the genus marijuana, also known as marijuana
2	sativa L, whether growing or not; the seeds thereof; the resin extracted from any part of the plant; and
3	every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin
4	regardless of cannabinoid content or cannabinoid potency including “marijuana”, and “industrial
5	hemp” or “industrial hemp products” which satisfy the requirements of chapter 26 of title 2 of the
6	general laws and the regulations promulgated thereunder.
7	(4) "Equivalent amount" means the portion of usable marijuana, be it in extracted, edible,
8	concentrated, or any other form, found to be equal to a portion of dried marijuana, as defined by
9	regulations promulgated by the office of cannabis regulation.
10	(5) "Hybrid marijuana cultivator" means an entity that holds a medical marijuana cultivator
11	license pursuant to chapter 28.6 of title 21 that also holds a license to cultivate marijuana pursuant
12	to chapter 28.12 of title 21 and in accordance with regulations promulgated by the office of cannabis
13	regulation.
14	(6) "Hybrid marijuana retailer" means an entity that holds a medical marijuana compassion
15	center license pursuant to chapter 28.6 of title 21 that also holds a license to sell marijuana at retail
16	pursuant to chapter 28.12 of title 21 and in accordance with regulations promulgated by the office
17	of cannabis regulation.
18	(7) "Marijuana" means all parts of the plant cannabis sativa L., whether growing or not; the
19	seeds of the plant; the resin extracted from any part of the plant; and every compound, manufacture,
20	salt, derivative, mixture, or preparation of the plant, its seeds or resin, but shall not include the
21	mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the
22	plant, any other compound, manufacture, salt, derivative, mixture, or preparation of mature stalks,
23	(except the resin extracted from it), fiber, oil or cake, or the sterilized seed from the plant which is
24	incapable of germination. Marijuana shall not include “industrial hemp or” industrial hemp
25	products” which satisfy the requirements of chapter 2-26 of the general laws and the regulations
26	promulgated thereunder.
27	(8) "Marijuana establishment" and “marijuana establishment licensee” means any person or
28	entity licensed by the office of cannabis regulation under this chapter or chapter 21-28.6 whose
29	license permits it to engage in or conduct activities in connection with the adult use marijuana
30	industry or medical marijuana program and includes but is not limited to a licensed adult use
31	marijuana retailer, marijuana testing facility, adult use marijuana cultivator, hybrid marijuana retailer,
32	hybrid marijuana cultivator, compassion center, medical marijuana cultivator or any other license issued by
33	the office of cannabis regulation under this chapter or chapter 28.6 of title 21 and/or as specified and defined
34	in regulations promulgated by the office of cannabis regulation.
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1	(9) "Marijuana paraphernalia" means equipment, products, and materials which are used
2	or intended for use in planting, propagating, cultivating, growing, harvesting, manufacturing,
3	compounding, converting, producing, processing, preparing, testing, analyzing, packaging,
4	repackaging, storing, containing, concealing, ingesting, or inhaling marijuana, or otherwise
5	introducing marijuana into the human body.
6	(10) "Marijuana products" means any form of marijuana, including concentrated marijuana
7	and products that are comprised of marijuana and other ingredients that are intended for use or
8	consumption, such as, but not limited to, extracts, infusions, edible products, ointments, and tinctures,
9	as further defined in regulations promulgated by the office of cannabis regulation.
10	(11) "Marijuana testing facility" or “cannabis testing laboratory” means a third-party analytical
11	testing laboratory licensed by the departments of health and office of cannabis regulation to collect
12	and test samples of cannabis pursuant to regulations promulgated by the departments.
13	(12) "Smoke" or "smoking" means heating to at least the point of combustion, causing plant
14	material to burn, inhaling, exhaling, burning, or carrying any lighted or heated cigarette, pipe, weed, plant,
15	other marijuana product in any manner or in any form intended for inhalation in any manner or form and
16	includes but is not limited to the use of electronic cigarettes, electronic pipes, electronic marijuana delivery
17	system products, or other similar products that rely on vaporization or aerosolization.
18	(13) "State prosecution” means prosecution initiated or maintained by the state of Rhode Island
19	or an agency or political subdivision of the state of Rhode Island.
20	(14) “Vaporize” or “vape” means heating below the point of combustion and resulting in a
21	vapor or mist.
22	21-28.12-3. Office of Cannabis Regulation.
23	(a) The office of cannabis regulation within the department of business regulation shall
24	oversee the regulation, licensing and control of cannabis, including marijuana, medical marijuana
25	and industrial hemp, and such other matters within the jurisdiction of the department as determined
26	by the director. The head of the office shall serve as the chief of the office of cannabis regulation.
27	The chief shall be the executive and administrative head of the office and shall be responsible for
28	administering and enforcing the laws and regulations relating to cannabis in the state of Rhode
29	Island.
30	(b) Whenever in chapter 26 of title 2, and chapters 28.6, 28.11, and 28.12 of title 21 and
31	chapter 49.1 of title 44 of the general laws the words “department of business regulation” shall
32	appear, the words shall be deemed to mean the office of cannabis regulation within the department
33	of business regulation. Whenever in chapter 26 of title 2, and chapters 28.6, 28.11, and 28.12 of
34	title 21 and chapter 49.1 of title 44 of the general laws the words “office of cannabis regulation”
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1	shall appear, the words shall be deemed to mean the office of cannabis regulation within the
2	department of business regulation.
3	(c) The office of cannabis regulation shall coordinate the executive branch response to the
4	regulation and control of cannabis including, but not limited to, strategic planning, coordination
5	and approval of regulations, educational content, planning and implementation, community
6	engagement, budget coordination, data collection and analysis functions, and any other duties
7	deemed necessary and appropriate by the office of cannabis regulation to carry out the provisions
8	of this chapter.
9	(d) In furtherance of coordinating the oversight of cannabis, including marijuana, medical
10	marijuana and industrial hemp, across state agencies, the office of cannabis regulation shall:
11	(1) Coordinate with the staff designated by the respective directors of each state agency
12	regarding the agency's promulgation and implementation of rules and regulations regarding adult use of
13	marijuana, medical marijuana and industrial hemp with the objective of producing positive economic,
14	public safety, and health outcomes for the state and its citizens;
15	(2) Offer guidance to and communicate with municipal officials regarding the implementation
16	and enforcement of this chapter and chapters 28.6 and 28.11;
17	(3) Align all policy objectives and the promulgation of rules and regulations across state
18	agencies to increase efficiency and eliminate unintended negative impacts on the state and its citizens;
19	(4) Communicate with regulatory officials from other states that allow marijuana for adult use,
20	medical marijuana use and industrial hemp production to learn from the experiences of those states;
21	(5) Anticipate, prioritize, and respond to emerging issues with the regulation of marijuana;
22	(6) Coordinate the collection of data on adult use of marijuana and medical marijuana use from
23	state agencies and report to the governor and legislature no later than April 1, 2023, and every year
24	thereafter. The report shall include, but is not limited to:
25	(i) The number and geographic distribution of all licensed marijuana establishments;
26	(ii) Data on the total amount of sales of marijuana and the total amount of revenue raised from
27	taxes and fees levied on marijuana;
28	(iii) Projected estimate of the total marijuana revenue that will be raised in the proceeding year;
29	(iv) The distribution of funds to programs and agencies from revenue raised from fees and
30	taxes levied on marijuana; and
31	(v) Any findings from the departments of health and public safety related to changes in
32	marijuana use rates and the impact, if any, of marijuana use on public health and public safety.
33	21-28.12-4. Governor’s Cannabis Reinvestment Task Force.
34	(a) There is hereby created the Governor’s Cannabis Reinvestment Task Force, members
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1	of which shall be appointed by and serve at the pleasure of the Governor. There shall be fifteen
2	(15) members, with eight (8) members constituting a quorum. The members shall serve for an initial
3	term of one (1) year and may be reappointed for an additional period of one (1) year. The members
4	shall serve on the task force without compensation.
5	(b) The task force shall be co-chaired by the Director of the Department of Business
6	Regulation or her or his designee and the Secretary of the Executive Office of Health and Human
7	Services or her or his designee and shall also include the Directors of the Departments of Health,
8	Labor and Training, Public Safety, and the President of the Rhode Island Commerce Corporation,
9	or their designees.
10	(c) The task force shall further consist of, but not be limited to, representatives of municipal
11	government, faith-based organizations, Rhode Island-based community development corporations
12	(CDCs), industry associations, small business owners, and at least two (2) members of the Rhode
13	Island cannabis industry, including at least one (1) representative of a licensed compassion center
14	and one (1) representative of a licensed cultivator. No later than July 1, 2023, the task force shall
15	present recommendations to the office of cannabis regulation and the office of management and
16	budget specifically relating to the long-term reinvestment of adult use cannabis revenues in existing
17	or new programs or initiatives which shall include, but not be limited to: job training, small business
18	access to capital, affordable housing, health equity, and neighborhood and community
19	development. These recommendations shall contemplate an overall proportion of cannabis
20	revenues to be reinvested in these targeted areas, and shall be made with a specific focus on racial
21	equity, worker and family economic empowerment, the disproportionate impact of cannabis-related
22	law enforcement policies and procedures, and structural barriers to participation in Rhode Island’s
23	cannabis industry.
24	(d) All meetings of the task force shall be open meetings and all records of the task force
25	shall be public records. The office of cannabis regulation, the office of management and budget,
26	and the executive office of health and human services shall provide administrative support to the
27	task force as needed.
28	21-28.12-5. Licensed retailers.
29	(a) The department of business regulations shall accept applications for adult use marijuana
30	retailer licenses on an annual basis according to the following methodology:
31	(1) During the 12-month period beginning July 1, 2022, the department of business
32	regulation shall establish and open a first application period, the duration of which shall be
33	determined by the department, during which the department will accept applications for twenty-
34	five (25) adult use marijuana retailer licenses;
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1	(2) During the 12-month period beginning July 1, 2023, the department of business
2	regulation shall establish and open a second application period, the duration of which shall be
3	determined by the department, during which the department will accept applications for an
4	additional twenty-five (25) adult use marijuana retailer licenses;
5	(3) During the 12-month period beginning July 1, 2024, the department of business
6	regulation shall establish and open a third application period, the duration of which shall be
7	determined by the department, during which the department will accept applications for an
8	additional twenty-five (25) adult use marijuana retail licenses; such that by June 30, 2025 the
9	department will have awarded or issued preliminary approval for no more than seventy-five (75)
10	adult use retail licenses;
11	(b) Beginning July 1, 2025 and for the years that follow, the department may make
12	additional retail adult use cannabis licenses available based on market factors including, but not
13	limited to, the findings of a market demand study conducted pursuant to § 21-28.12-18, and taking
14	into consideration the impact of said additional licenses on public health and safety.
15	(c) Excluding applications for hybrid marijuana retailer licenses as described in subsection
16	(f), to the extent that the total number of qualifying applications for retail licenses received during
17	any application period exceeds the number of licenses made available by the department pursuant
18	to this section, the department shall award the licenses to qualifying applicants selected by way of
19	a randomized lottery in accordance with rules and regulations promulgated by the department,
20	provided in no case shall the number of licenses awarded to qualifying minority business
21	enterprises, as defined in chapter 14.1 of title 37 and regulations promulgated thereunder, be fewer
22	than five (5) or twenty percent (20%) of the total number of licenses awarded on an annual basis,
23	whichever is greater.
24	(d) By January 1, 2024, the department of business regulation shall conduct a disparity
25	study examining the extent to which minority-owned businesses have been able to participate in
26	the adult use cannabis market in Rhode Island, and may recommend revisions to the ratio set forth
27	in subsection (c) as needed based on the findings of this study.
28	(e) The departments of administration and business regulation are hereby authorized to
29	jointly promulgate additional rules and regulations as needed to clarify and implement the process
30	of certification as a minority business enterprise for the purposes of this section.
31	(f) In addition to the adult use marijuana retailer licenses issued pursuant to subsection (a),
32	any person or entity to whom the department of business regulation has issued a compassion center
33	license or conditional compassion center application approval as of the date the department’s
34	opening of the application period, and who is in good standing with the department pursuant to
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1	chapter 28.6 of title 21 may apply for and shall be issued a hybrid marijuana retailer license during
2	the first application period, provided that any such applicant is in compliance with all applicable
3	regulations and demonstrates to the satisfaction of the department in accordance with regulations
4	promulgated hereunder that the applicant’s proposed adult use licensure will have no adverse effect
5	on the medical marijuana program market and patient need. The department may deny an
6	application that fails to make this demonstration and/or may impose restrictions and conditions to
7	licensure as it deems appropriate to ensure no adverse effect on the medical marijuana program
8	market and patient needs. A hybrid marijuana retailer licensee must maintain its compassion center
9	license in good standing as a condition to licensure for its hybrid marijuana retailer license.
10	(g) An adult use marijuana retailer licensed under this section may acquire marijuana and
11	marijuana products from licensed hybrid marijuana cultivators and other licensed marijuana
12	establishments in accordance with regulations promulgated by department of business regulation,
13	and possess, deliver, transfer, transport, supply and sell at retail marijuana, marijuana products and
14	marijuana paraphernalia to persons who are twenty-one (21) years of age or older in accordance
15	with the provisions of chapters 28.11 and 28.12 of title 21 and the regulations promulgated by the
16	department of business regulation. A licensed adult use marijuana retailer shall not be a primary
17	caregiver cardholder and shall not hold a cooperative cultivation license. A licensed adult use
18	marijuana retailer shall not hold an adult use marijuana cultivator license and shall not grow or
19	cultivate marijuana except to the extent the adult use marijuana retailer is licensed as a hybrid
20	marijuana retailer issued to a compassion center that has been approved for cultivation of marijuana
21	pursuant to such compassion center license. The department of business regulation may restrict the
22	number, types, and classes of adult use marijuana licenses an applicant may be issued through
23	regulations promulgated by the department.
24	(h) The department of business regulation may promulgate regulations governing the
25	manner in which it shall consider applications for the licensing of adult use marijuana retailers and
26	registration of all of its owners, officers, directors, managers, members, partners, employees, and
27	agents, including but not limited to regulations governing:
28	(1) The form and content of licensing and renewal applications, including, without
29	limitation, required submission materials upon which the department shall determine suitability of
30	an applicant;
31	(2) Minimum oversight requirements for licensed adult use marijuana retailers;
32	(3) Minimum record-keeping requirements for adult use marijuana retailers;
33	(4) Minimum insurance requirements for adult use marijuana retailers;
34	(5) Minimum security requirements for adult use marijuana retailers;
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1	(6) Procedures for suspending, revoking, or terminating the license of adult use marijuana
2	retailers that violate any provisions of this chapter or the regulations promulgated hereunder; and
3	(7) Applicable application and license fees.
4	(i) The license issued by the department of business regulation to an adult use marijuana
5	retailer and the registration issued to each of its owners, officers, directors, managers, members,
6	partners, employees and agents shall expire one (1) year after it was issued and the licensee may
7	apply for renewal with the department in accordance with its regulations pertaining to licensed
8	adult use marijuana retailers.
9	(j) The department of business regulation may promulgate regulations that govern how
10	much marijuana a licensed adult use marijuana retailer may possess. All marijuana acquired,
11	possessed and sold by a licensed adult use marijuana retailer must be catalogued in a seed to sale
12	inventory tracking system in accordance with regulations promulgated by the department of
13	business regulation.
14	(k) Adult use marijuana retailers shall only sell marijuana, marijuana products and
15	marijuana paraphernalia at retail to persons twenty-one (21) years of age or older in accordance
16	with chapters 28.11 and 28.12 of title 21 and the regulations promulgated by the department of
17	business regulation thereunder. Adult use marijuana retailers shall not sell any other products
18	except as otherwise permitted in regulations promulgated by the department of business regulation.
19	The department may suspend and/or revoke the adult use marijuana retailer's license and the
20	registration of any owner, officer, director, manager, member, partner, employee, or agent of such
21	adult use marijuana retailer and/or impose an administrative penalty in accordance with such
22	regulations promulgated by the department for any violation of chapters 28.11 or 28.12 of title 21
23	or the regulations promulgated thereunder. In addition, any violation of chapters 28.11 or 28.12 of
24	title 21 or the regulations promulgated pursuant to this subsection and subsection (h) shall cause a
25	licensed adult use marijuana retailer to lose the protections described in § 21-28.11-4(2) and may
26	subject the licensed adult use marijuana retailer and its owners, officers, directors, managers,
27	members, partners, employees, and agents to arrest and prosecution under Chapter 28 of title 21
28	(the Rhode Island Controlled Substances Act).
29	(l) Adult use marijuana retailers shall be subject to any regulations promulgated by the
30	department of health or department of business regulation that specify how marijuana must be
31	tested for items, including, but not limited to, potency, cannabinoid profile, and contaminants;
32	(m) Adult use marijuana retailers shall be subject to any product labeling requirements
33	promulgated by the department of business regulation and the department of health;
34	(n) Adult use marijuana retailers shall only be licensed to possess and sell marijuana,
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1	marijuana products and marijuana paraphernalia at the location(s) set forth in its adult use
2	marijuana retailer license and registered with the department of business regulation and the
3	department of public safety. The department of business regulation may promulgate regulations
4	governing the department’s approval of locations where adult use marijuana retailers are allowed
5	to operate. Adult use marijuana retailers must abide by all local ordinances, including zoning
6	ordinances.
7	(o) Adult use marijuana retailers shall be subject to inspection and audit by the department
8	of business regulation or the department of health for the purposes of enforcing regulations
9	promulgated pursuant to this chapter and all applicable Rhode Island general laws.
10	(p) An adult use marijuana retailer applicant, unless they are an employee with no equity,
11	ownership, financial interest, or managing control, shall apply to the bureau of criminal
12	identification of the department of attorney general, department of public safety division of state
13	police, or local police department for a national criminal records check that shall include
14	fingerprints submitted to the Federal Bureau of Investigation. Upon the discovery of any
15	disqualifying information as defined in subdivision (p)(2), and in accordance with the rules
16	promulgated by the director of the department of business regulation, the bureau of criminal
17	identification of the department of attorney general, department of public safety division of state
18	police, or the local police department shall inform the applicant, in writing, of the nature of the
19	disqualifying information; and, without disclosing the nature of the disqualifying information, shall
20	notify the department of business regulation, in writing, that disqualifying information has been
21	discovered.
22	(1) In those situations in which no disqualifying information has been found, the bureau of
23	criminal identification of the department of attorney general, department of public safety division
24	of state police, or the local police department shall inform the applicant and the department of
25	business regulation, in writing, of this fact.
26	(2) Information produced by a national criminal records check pertaining to a conviction
27	for a felony drug offense or a plea of nolo contendere for a felony drug offense and received a
28	sentence of probation shall result in a letter to the applicant and the department of business
29	regulation disqualifying the applicant.
30	(3) The adult use marijuana retailer applicant shall be responsible for any expense
31	associated with the national criminal records check.
32	(q) Persons issued adult use marijuana retailer licenses or registration cards shall be subject
33	to the following:
34	(1) A licensed adult use marijuana retailer cardholder shall notify and request approval
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1	from the department of business regulation of any change in his or her name or address within ten
2	(10) days of such change. An adult use marijuana retailer cardholder who fails to notify the
3	department of business regulation of any of these changes is responsible for a civil infraction,
4	punishable by a fine of no more than one hundred fifty dollars ($150).
5	(2) When a licensed adult use marijuana retailer cardholder notifies the department of
6	business regulation of any changes listed in this subsection, the department of business regulation
7	shall issue the adult use marijuana retailer cardholder a new license or registry identification card
8	after the department approves the changes and receives from the licensee payment of a fee specified
9	in regulation.
10	(3) If a licensed adult use marijuana retailer cardholder loses his or her registry
11	identification card, he or she shall notify the department of business regulation and submit a fee
12	specified in regulation within ten (10) days of losing the registry identification card. The department
13	of business regulation shall issue a new registry identification card with a new random
14	identification number.
15	(4) A licensed adult use marijuana retailer cardholder shall notify the department of
16	business regulation of any disqualifying criminal convictions as defined in subsection (p)(2). The
17	department of business regulation may choose to suspend and/or revoke his or her card after such
18	notification.
19	(5) If a licensed adult use marijuana retailer or adult use marijuana retailer cardholder
20	violates any provision of this chapter or regulations promulgated hereunder as determined by the
21	department of business regulation, his or her card or the issued license may be suspended and/or
22	revoked.
23	(r) No person or entity shall engage in activities described in this § 21-28.12-5 without an
24	adult use marijuana retailer license issued by the department of business regulation in accordance
25	with chapters 28.11 and 28.12 of title 21 and regulations promulgated thereunder by the department
26	of business regulation.
27	21-28.12-6 Licensed cultivators.
28	(a) On or after July 1, 2022, the department of business regulation shall establish and open
29	an application period during which it will accept applications for adult use marijuana cultivator
30	licenses. The duration of the application period, the number and class of adult use marijuana
31	licenses and the method of selection shall be determined in accordance with regulations
32	promulgated by the department of business regulation taking into consideration market demand
33	and the impact of said additional licenses on public health and safety.
34	(b) A medical marijuana cultivator licensed and in good standing with the department of
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1	business regulation as of the opening of the application period may apply for and shall be issued a
2	hybrid marijuana cultivator license under this section, provided that a medical marijuana cultivator
3	licensee who applies for a hybrid marijuana cultivator license will be required to demonstrate to
4	the satisfaction of the department of business regulation in accordance with regulations
5	promulgated hereunder that the applicant’s proposed adult use licensure will have no adverse effect
6	on the medical marijuana program market and patient need. The department of business regulation
7	may deny an application that fails to make this demonstration and/or may impose restrictions and
8	conditions to licensure as it deems appropriate to ensure no adverse effect on the medical marijuana
9	program market and patient needs. A licensed hybrid marijuana cultivator must maintain its
10	medical marijuana cultivator license in good standing as a condition to licensure for its hybrid
11	marijuana cultivator license.
12	(c) An adult use marijuana cultivator licensed pursuant to this section shall be authorized
13	to acquire, possess, cultivate, package, process, manufacture and transfer marijuana and marijuana
14	products, in accordance with chapters 28.11 and 28.12 of title 21 and regulations promulgated by
15	the department of business regulation, and may sell, deliver, or transfer marijuana and marijuana
16	products to adult use marijuana retailers, a cannabis testing laboratory, or another marijuana
17	establishment licensee in accordance with regulations promulgated by the department of business
18	regulation. A licensed cultivator shall not be a primary caregiver cardholder and shall not hold a
19	cooperative cultivation license. A licensed adult use marijuana cultivator shall not sell, deliver, or
20	transfer marijuana or marijuana products to a compassion center licensed under chapter 28.6 of title
21	21 except to the extent that the adult use marijuana cultivator is licensed as a hybrid cultivator
22	issued to a medical marijuana cultivator licensed and in good standing with the department of
23	business regulation and in accordance with the applicable regulations. A licensed adult use
24	marijuana cultivator shall not sell marijuana or marijuana products at retail or otherwise to the
25	general public. The department of business regulation may restrict the number, types, and classes
26	of adult use marijuana establishment licenses an applicant may be issued through regulations
27	promulgated by the department.
28	(d) The department of business regulation may promulgate regulations governing the
29	manner in which it shall consider applications for the licensing of adult use marijuana cultivators,
30	including but not limited to regulations governing:
31	(1) The form and content of licensing and renewal applications;
32	(2) Minimum oversight requirements for licensed adult use marijuana cultivators;
33	(3) Minimum record-keeping requirements for adult use marijuana cultivators;
34	(4) Minimum insurance requirements for adult use marijuana cultivators;
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1	(5) Minimum security requirements for adult use marijuana cultivators;
2	(6) Procedures for suspending, revoking, or terminating the license of adult use marijuana
3	cultivators that violate any provisions of this chapter or the regulations promulgated hereunder and
4	(7) Applicable application and license fees.
5	(e) An adult use marijuana cultivator license issued by the department of business
6	regulation shall expire one (1) years after it was issued and the licensed hybrid marijuana cultivator
7	may apply for renewal with the department in accordance with its regulations pertaining to licensed
8	adult use marijuana cultivators.
9	(f) The department of business regulation may promulgate regulations that govern how
10	much marijuana a licensed adult use marijuana cultivator may cultivate and possess. All marijuana
11	possessed by a licensed adult use marijuana cultivator must be catalogued in a seed to sale inventory
12	tracking system in accordance with regulations promulgated by the department of business
13	regulation.
14	(g) Adult use marijuana cultivators shall only sell marijuana and marijuana products to
15	adult use marijuana retailers or another licensed marijuana establishment licensee in accordance
16	with regulations promulgated by the department of business regulation. The department may
17	suspend and/or revoke the adult use marijuana cultivator’s license and the registration of any owner,
18	officer, director, manager, member, partner, employee, or agent of such adult use marijuana
19	cultivator and/or impose an administrative penalty in accordance with such regulations
20	promulgated by the department for any violation of this section or the regulations. In addition, any
21	violation of this section or the regulations promulgated pursuant to this subsection and subsection
22	(f) shall cause a licensed adult use marijuana cultivator to lose the protections described in § 21-
23	28.11-4(3) and may subject the licensed adult use marijuana cultivator and its owners, officers,
24	directors, managers, members, partners, employees, or agents to arrest and prosecution under
25	chapter 28 of title 21 (the Rhode Island Controlled Substances Act).
26	(h) Adult use marijuana cultivators shall be subject to any regulations promulgated by the
27	department of health or department of business regulation for marijuana testing, including, but not
28	limited to, potency, cannabinoid profile, and contaminants;
29	(i) Adult use marijuana cultivators shall be subject to any product packaging and labeling
30	requirements promulgated by the department of business regulation and the department of health;
31	(j) Adult use marijuana cultivators shall only be licensed to cultivate and process marijuana
32	at a single location, registered with the department of business regulation and the department of
33	public safety provided that a hybrid marijuana cultivator licensee whose hybrid license and medical
34	marijuana cultivator license under chapter 28.6 of title 21 is in good standing may cultivate and
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1	process adult use marijuana at an additional location that is separate from its original licensed
2	premises if approved in accordance with regulations adopted by the department of business
3	regulation. Adult use marijuana cultivators must abide by all local ordinances, including zoning
4	ordinances.
5	(k) Adult use marijuana cultivators shall be subject to reasonable inspection by the
6	department of business regulation and the department of health for the purposes of enforcing
7	regulations promulgated pursuant to this chapter and all applicable Rhode Island general laws.
8	(l) An adult use marijuana cultivator applicant, unless they are an employee with no equity,
9	ownership, financial interest, or managing control, shall apply to the bureau of criminal
10	identification of the department of attorney general, department of public safety division of state
11	police, or local police department for a national criminal records check that shall include
12	fingerprints submitted to the Federal Bureau of Investigation. Upon the discovery of any
13	disqualifying information as defined in subdivision (l)(2), and in accordance with the rules
14	promulgated by the director of the department of business regulation, the bureau of criminal
15	identification of the department of attorney general, department of public safety division of state
16	police, or the local police department shall inform the applicant, in writing, of the nature of the
17	disqualifying information; and, without disclosing the nature of the disqualifying information, shall
18	notify the department of business regulation, in writing, that disqualifying information has been
19	discovered.
20	(1) Where no disqualifying information has been found, the bureau of criminal
21	identification of the department of attorney general, department of public safety division of state
22	police, or the local police department shall inform the applicant and the department of business
23	regulation, in writing, of this fact.
24	(2) Information produced by a national criminal records check pertaining to a conviction
25	for a felony drug offense or a plea of nolo contendere for a felony drug offense and received a
26	sentence of probation shall result in a letter to the applicant and the department of business
27	regulation disqualifying the applicant.
28	(3) An adult use marijuana cultivator applicant shall be responsible for any expense
29	associated with the national criminal records check.
30	(m) Persons issued adult use marijuana cultivator licenses or registration cards shall be
31	subject to the following:
32	(1) A licensed hybrid marijuana cultivator cardholder shall notify and request approval
33	from the department of business regulation of any change in his or her name or address within ten
34	(10) days of such change. An adult use marijuana cultivator cardholder who fails to notify the
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1	department of business regulation of any of these changes is responsible for a civil infraction,
2	punishable by a fine of no more than one hundred fifty dollars ($150).
3	(2) When a licensed adult use marijuana cultivator cardholder notifies the department of
4	business regulation of any changes listed in this subsection, the department of business regulation
5	shall issue the adult use marijuana cultivator cardholder a new license or registry identification card
6	after the department approves the changes and receives from the licensee payment of a fee specified
7	in regulation.
8	(3) If a licensed adult use marijuana cultivator cardholder loses his or her registry
9	identification card, he or she shall notify the department of business regulation and submit a fee
10	specified in regulation within ten (10) days of losing the registry identification cared. The
11	department of business regulation shall issue a new registry identification card with a new random
12	identification number.
13	(4) A licensed adult use marijuana cultivator cardholder shall notify the department of
14	business regulation of any disqualifying criminal convictions as defined in subdivision (l)(2). The
15	department of business regulation may choose to suspend and/or revoke his or her card after such
16	notification.
17	(5) If a licensed adult use marijuana cultivator or hybrid marijuana cultivator cardholder
18	violates any provision of this chapter or regulations promulgated hereunder as determined by the
19	department of business regulation, his or her card or the issued license may be suspended and/or
20	revoked.
21	(n) No person or entity shall engage in activities described in this § 21-28.12-6 without an
22	adult use marijuana cultivator license issued by the department of business regulation.
23	21-28.12-7. Other supporting marijuana establishment licenses.
24	(a) The office of cannabis regulation shall have the authority to promulgate regulations to
25	establish and implement additional types and classes of commercial marijuana establishment
26	licenses, including but not limited to, craft cultivators, marijuana processors and licenses for
27	businesses to engage in marijuana, destruction, delivery, disposal, research and development,
28	transportation, social use licenses, or any other commercial activity needed to support licensed
29	hybrid marijuana cultivators, licensed adult use marijuana retailers, and licensed cannabis testing
30	facilities, provided no such license created by the department shall allow for the retail sale of
31	marijuana.
32	(b) The office of cannabis regulation shall promulgate regulations governing the manner
33	in which it shall accept applications and issue licenses for such additional types and classes of
34	marijuana establishment licenses, in accordance with this section provided that any regulations
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1	establishing a new license type shall include a mechanism to issue not less than 50% of such license
2	type to minority business enterprises (MBEs), as defined in chapter 14.1 of title 37 and regulations
3	promulgated thereunder, during the first application period, provided that this ratio shall be subject
4	to annual review and revision according to rules and regulations promulgated by the department
5	pursuant to this section and the disparity study conducted pursuant to § 21-28.12-5(d).
6	(c) The office of cannabis regulation shall promulgate regulations governing the manner in
7	which it shall consider applications for the licensing and renewal of each type of additional
8	marijuana establishment license necessary and proper to enforce the provisions of and carry out the
9	duties assigned to it under this chapter and chapter 28.11, including but not limited to regulations
10	governing:
11	(1) The form and content of licensing and renewal applications;
12	(2) Application and licensing fees for marijuana establishment licensees;
13	(3) Procedures for the approval or denial of a license, and procedures for suspension or
14	revocation of the license of any marijuana establishment licensee that violates the provisions of this
15	chapter, chapter 28.11 or the regulations promulgated thereunder in accordance with the provisions
16	of chapter 35 of title 42 of the general laws;
17	(4) Minimum oversight requirements for marijuana establishment licensees;
18	(5) The allowable size, scope and permitted activities of marijuana establishment licensees
19	and facilities and the number and type of licenses that a marijuana establishment licensee may be
20	issued;
21	(6) Minimum record-keeping requirements for marijuana establishment licensees;
22	(7) Minimum security requirements for additional adult use marijuana establishment
23	licensees; and
24	(8) Compliance with municipal zoning restrictions, if any, which comply with § 21-28.12-
25	12 of this chapter.
26	(d) The department of health, in coordination with the office of cannabis regulation, shall
27	have authority to promulgate regulations to create and implement all licenses involving cannabis
28	reference testing requirements including approval, laboratory proficiency programs and proficiency
29	sample providers, quality assurance sample providers, round robin testing and regulations
30	establishing quality control and test standardization, and create and implement additional types and
31	classes of licensed cannabis testing facilities in accordance with regulations promulgated
32	hereunder.
33	(e) The department of health or the office of cannabis regulation, as applicable, shall issue
34	each principal officer, board member, agent, volunteer, and employee of a marijuana establishment
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1	license a registry identification card or renewal card after receipt of the person's name, address,
2	date of birth; a fee in an amount established by the department of health or the office of cannabis
3	regulation; and, when the applicant holds an ownership, equity, controlling, or managing stake in
4	the marijuana establishment license as defined in regulations promulgated by the office of cannabis
5	regulation, notification to the department of health or the office of cannabis regulation by the
6	department of public safety division of state police, attorney general’s office, or local law
7	enforcement that the registry identification card applicant has not been convicted of a felony drug
8	offense or has not entered a plea of nolo contendere for a felony drug offense and received a
9	sentence of probation. Each card shall specify that the cardholder is a principal officer, board
10	member, agent, volunteer, employee, or other designation required by the departments of marijuana
11	establishment license and shall contain the following:
12	(i) The name, address, and date of birth of card applicant;
13	(ii) The legal name of the marijuana establishment licensee to which the applicant is
14	affiliated;
15	(iii) A random identification number that is unique to the cardholder;
16	(iv) The date of issuance and expiration date of the registry identification card;
17	(v) A photograph, if the department of health or the office of cannabis regulation decides
18	to require one; and
19	(vi) Any other information or card classification that the office of cannabis regulation or
20	department of health requires.
21	(f) Except as provided in subsection (e), neither the department of health nor the office of
22	cannabis regulation shall issue a registry identification card to any card applicant who holds an
23	ownership, equity, controlling, or managing stake in the marijuana establishment license as defined
24	in regulations promulgated by the office of cannabis regulation, who has been convicted of a felony
25	drug offense or has entered a plea of nolo contendere for a felony drug offense and received a
26	sentence of probation or who the department has otherwise deemed unsuitable. If a registry
27	identification card is denied, the applicant will be notified in writing of the purpose for denying the
28	registry identification card.
29	(g)(i) All registry identification card applicants who hold an ownership, equity, controlling,
30	or managing stake in the marijuana establishment license as defined in regulations promulgated by
31	the office of cannabis regulation shall apply to the department of public safety division of state
32	police, the attorney general’s office, or local law enforcement for a national criminal identification
33	records check that shall include fingerprints submitted to the federal bureau of investigation. Upon
34	the discovery of a felony drug offense conviction or a plea of nolo contendere for a felony drug
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1	offense with a sentence of probation, and in accordance with the rules promulgated by the
2	department of health and the office of cannabis regulation, the department of public safety division
3	of state police, the attorney general’s office, or local law enforcement shall inform the applicant, in
4	writing, of the nature of the felony and the department of public safety division of state police shall
5	notify the department of health or the office of cannabis regulation, in writing, without disclosing
6	the nature of the felony, that a felony drug offense conviction or a plea of nolo contendere for a
7	felony drug offense with probation has been found.
8	(ii) In those situations in which no felony drug offense conviction or plea of nolo
9	contendere for a felony drug offense with probation has been found, the department of public safety
10	division of state police, the attorney general’s office, or local law enforcement shall inform the
11	applicant and the department of health or the office of cannabis regulation, in writing, of this fact.
12	(iii) All registry identification card applicants shall be responsible for any expense
13	associated with the criminal background check with fingerprints.
14	(h) A registry identification card of a principal officer, board member, agent, volunteer, or
15	employee, or any other designation required by the office of cannabis regulation shall expire one
16	year after its issuance, or upon the termination of the principal officer, board member, agent,
17	volunteer or employee's relationship with the marijuana establishment licensee, or upon the
18	termination or revocation of the affiliated marijuana establishment’s license, whichever occurs first.
19	(i) A registration identification card holder shall notify and request approval from the office
20	of cannabis regulation or department of health of any change in his or her name or address within
21	ten (10) days of such change. A cardholder who fails to notify the office of cannabis regulation or
22	health of any of these changes is responsible for a civil infraction, punishable by a fine of no more
23	than one hundred fifty dollars ($150).
24	(j) When a cardholder notifies the department of health or the office of cannabis regulation
25	of any changes listed in this subsection, the department shall issue the cardholder a new registry
26	identification after receiving the updated information and a ten dollar ($10.00) fee.
27	(k) If a cardholder loses his or her registry identification card, he or she shall notify the
28	department of health or the office of cannabis regulation and submit a ten dollar ($10.00) fee within
29	ten (10) days of losing the card and the department shall issue a new card.
30	(l) Registry identification cardholders shall notify the office of cannabis regulation or
31	health of any disqualifying criminal convictions as defined in subdivision (g)(i). The applicable
32	department may choose to suspend and/or revoke his or her registry identification card after such
33	notification.
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1	(m) If a registry identification cardholder violates any provision of this chapter or
2	regulations promulgated hereunder as determined by the departments of health and office of
3	cannabis regulation, his or her registry identification card may be suspended and/or revoked.
4	(n) The office of cannabis regulation may limit or prohibit a medical marijuana
5	establishment’s operation under an adult use marijuana establishment license if the office of
6	cannabis regulation determines that failure to do so would threaten medical marijuana patients’
7	access to marijuana products needed to treat qualifying conditions.
8	(o) Licensees may hold a medical marijuana establishment license and an adult use
9	marijuana establishment license in accordance with regulations promulgated by the office of
10	cannabis regulation.
11	21-28.12-8. Ineligibility for license.
12	A marijuana establishment may not operate, and a prospective marijuana establishment
13	may not apply for a license, if any of the following are true:
14	(1) The person or entity is applying for a license to operate as a marijuana establishment
15	and the establishment would operate in a location that is within one thousand (1,000) feet of the
16	property line of a preexisting public or private school; or
17	(2) The establishment would be located at a site where the use is not permitted by applicable
18	zoning classification or by special use permit or other zoning approval, or if the proposed location
19	would otherwise violate a municipality's zoning ordinance; or
20	(3) The establishment would be located in a municipality in which the kind of marijuana
21	establishment being proposed is not permitted pursuant to a referendum approved in accordance
22	with § 21-28.12-12. For purpose of illustration but not limitation, an adult use marijuana retailer
23	may not operate in a municipality in which residents have approved by a simple majority
24	referendum a ban on marijuana retailers.
25	(4) If any marijuana establishment licensee including an adult use marijuana retailer applicant is
26	deemed unsuitable or denied a license or any of its owners, officers, directors, managers, members,
27	partners or agents is denied a registry identification card by the office of cannabis regulation.
28	21-28.12-9. License Required.
29	No person or entity shall engage in any activities in which a licensed marijuana
30	establishment licensee may engage pursuant to chapters 28.6, 28.11 or 28.12 of title 21 and the
31	regulations promulgated thereunder, without the license that is required in order to engage in such
32	activities issued by the office of cannabis regulation and compliance with all provisions of such
33	chapters 28.6, 28.11 and 28.12 of title 21 and the regulations promulgated thereunder.
34	21.28.12-10. Enforcement.
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1	(a)(1) Notwithstanding any other provision of this chapter, if the director of the department
2	of business regulation or his or her designee has cause to believe that a violation of any provision
3	of chapters 21-28.6, 21-28.11 or 28.12 or any regulations promulgated thereunder has occurred by
4	a licensee that is under the department’s jurisdiction pursuant to chapters 21-28.6, 21-28.11 or
5	28.12, or that any person or entity is conducting any activities requiring licensure or registration by
6	the office of cannabis regulation under chapters 21-28.6, 21-28.11 or 28.12 or the regulations
7	promulgated thereunder without such licensure or registration, the director or his or her designee
8	may, in accordance with the requirements of the administrative procedures act, chapter 35 of title
9	42:
10	(i) With the exception of patients and authorized purchasers, revoke or suspend a license
11	or registration;
12	(ii) Levy an administrative penalty in an amount established pursuant to regulations
13	promulgated by the office of cannabis regulation;
14	(iii) Order the violator to cease and desist such actions;
15	(iv) Require a licensee or registrant or person or entity conducting any activities requiring
16	licensure or registration under chapters 21-28.6, 21-28.11 or 28.12 to take such actions as are
17	necessary to comply with such chapter and the regulations promulgated thereunder; or
18	(v) Any combination of the above penalties.
19	(2) If the director of the department of business regulation finds that public health, safety,
20	or welfare imperatively requires emergency action, and incorporates a finding to that effect in his
21	or her order, summary suspension of license or registration and/or cease and desist may be ordered
22	pending proceedings for revocation or other action. These proceedings shall be promptly instituted
23	and determined.
24	(b) If a person exceeds the possession limits set forth in chapters 21-28.6, 21-28.11 or 21-
25	28.12, or is in violation of any other section of chapters 21-28.6, 21-28.11 or 28.12 or the
26	regulations promulgated thereunder, he or she may also be subject to arrest and prosecution under
27	chapter 28 of title 21 of the general laws.
28	(c) All marijuana establishment licensees are subject to inspection by the office of cannabis
29	regulation including but not limited to, the licensed premises, all marijuana and marijuana products
30	located on the licensed premises, personnel files, training materials, security footage, all business
31	records and business documents including but not limited to purchase orders, transactions, sales,
32	and any other financial records or financial statements whether located on the licensed premises or
33	not.
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1	(d) All marijuana products that are held within the borders of this state in violation of the
2	provisions of chapters 28.6, 28.11 or 28.12 of title 21 or the regulations promulgated thereunder
3	are declared to be contraband goods and may be seized by the office of cannabis regulation, the tax
4	administrator or his or her agents, or employees, or by any sheriff, or his or her deputy, or any
5	police or other law enforcement officer when requested by the tax administrator or office of
6	cannabis regulation to do so, without a warrant. All contraband goods seized by the state under this
7	chapter may be destroyed.
8	(e) Notwithstanding any other provision of law, the office of cannabis regulation may make
9	available to law enforcement and public safety personnel, any information that the department’s
10	director or his or her designee may consider proper contained in licensing records, inspection
11	reports and other reports and records maintained by the office of cannabis regulation, as necessary
12	or appropriate for purposes of ensuring compliance with state laws and regulations. Nothing in this
13	act shall be construed to prohibit law enforcement, public safety, fire, or building officials from
14	investigating violations of, or enforcing state law.
15	21-28.12-11. Rulemaking authority.
16	(a) The department of business regulation may adopt all rules and regulations necessary and
17	convenient to carry out and administer the provisions in this chapter and chapter 28.11 including
18	operational requirements applicable to licensees and regulations as are necessary and proper to
19	enforce the provisions of and carry out the duties assigned to it under this chapter and chapter 28.11,
20	including but not limited to regulations governing:
21	(1) Record-keeping requirements for marijuana establishment licensees;
22	(2) Security requirements for marijuana establishment licensees including but not limited
23	to the use of:
24	(i) An alarm system, with a backup power source, that alerts security personnel and local
25	law enforcement officials of any unauthorized breach;
26	(ii) Perpetual video surveillance system, with a backup power source, that records video
27	surveillance must be stored for at least two (2) months and be accessible to the office of cannabis
28	regulation via remote access and to law enforcement officials upon request;
29	(iii) Protocols that ensure the secure transport, delivery, and storage of cannabis and
30	cannabis products;
31	(iv) Additional security measures to protect against diversion or theft of cannabis from
32	cannabis cultivation facilities that cultivate cannabis outdoors; and
33	(v) any additional requirements deemed necessary by the office of cannabis regulation;
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1	(3) Requirements for inventory tracking and the use of seed to sale monitoring system(s)
2	approved by the state which tracks all cannabis from its origin up to and including the point of sale;
3	(4) Permitted forms of advertising and advertising content.
4	(5) Permitted forms of marijuana products including, but not limited to, regulations which:
5	(i) prohibit any form of marijuana product which is in the shape or form of an animal,
6	human, vehicle, or other shape or form which may be attractive to children;
7	(ii) prohibit any marijuana “additives” which could be added, mixed, sprayed on, or applied
8	to an existing food product without a person’s knowledge; and
9	(iii) include any other requirements deemed necessary by the office of cannabis regulation;
10	and
11	(6) Limits for marijuana product serving sizes, doses, and potency including but not limited
12	to regulations which:
13	(i) limit all servings of edible forms of marijuana to no more than five milligrams (5 mg)
14	of THC per serving;
15	(ii) limit the total maximum amount of THC per edible product package to one hundred
16	milligrams (100 mg) of THC;
17	(iii) limit the THC potency of any product;
18	(iv) may establish product or package limits based on the total milligrams of THC; and
19	(v) include any additional requirements or limitations deemed necessary by the office of
20	cannabis regulation in consultation with the department of health.
21	(7) Product restrictions including but not limited to regulations which:
22	(i) establish a review process for the office of cannabis regulation to approve or deny forms
23	of marijuana products which may require marijuana establishment licensees to submit a proposal,
24	which includes photographs of the proposed product properly packaged and labeled and any other
25	materials deemed necessary by the office of cannabis regulation, to the office of cannabis regulation
26	for each line of cannabis products;
27	(ii) place additional restrictions on marijuana products to safeguard public health and
28	safety, as determined by the office of cannabis regulation in consultation with the executive branch
29	state agencies;
30	(iii) require all servings of edible products to be marked, imprinted, molded, or otherwise
31	display a symbol chosen by the department to alert consumers that the product contains marijuana;
32	(iv) standards to prohibit cannabis products that pose public health risks, that are easily
33	confused with existing non-cannabis products, or that are especially attractive to youth; and
34	(v) any other requirements deemed suitable by the department.
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1	(8) Limits and restrictions for marijuana transactions and sales including but not limited to
2	regulations which:
3	(i) establish processes and procedures to ensure all transactions and sales are properly
4	tracked through the use of a seed to sale inventory tracking and monitoring system;
5	(ii) establish rules and procedures for customer age verification;
6	(iii) establish rules and procedures to ensure retailers to no dispense, and customers to not
7	purchase amounts of marijuana in excess of the one ounce (1 oz) marijuana or equivalent amount
8	per transaction and/or per day;
9	(iv) establish rules and procedures to ensure no marijuana is dispensed to anyone under the
10	age of twenty-one (21); and
11	(v) include any additional requirements deemed necessary by the office of cannabis regulation.
12	(9) The testing and safety of marijuana and marijuana products including but not limited
13	to regulations promulgated by the office of cannabis regulation or department of health, as
14	applicable which:
15	(i) license and regulate the operation of cannabis testing facilities, including requirements
16	for equipment, training, and qualifications for personnel;
17	(ii) set forth procedures that require random sample testing to ensure quality control,
18	including, but not limited to, ensuring that cannabis and cannabis products are accurately labeled
19	for tetrahydrocannabinol (THC) content and any other product profile;
20	(iii) testing for residual solvents or toxins; harmful chemicals; dangerous molds or mildew;
21	filth; and harmful microbials such as E. coli or salmonella and pesticides, and any other compounds,
22	elements, or contaminants;
23	(iv) require all cannabis and cannabis products must undergo random sample testing at a
24	licensed cannabis testing facility or other laboratory equipped to test cannabis and cannabis products
25	that has been approved by the office of cannabis regulation;
26	(v) require any products which fail testing be quarantined and/or recalled and destroyed in
27	accordance with regulations;
28	(vi) allow for the establishment of other quality assurance mechanisms which may include
29	but not be limited to the designation or creation of a reference laboratory, creation of a secret
30	shopper program, round robin testing, or any other mechanism to ensure the accuracy of product
31	testing and labeling;
32	(vii) require marijuana establishment licensees and marijuana products to comply with any
33	applicable food safety requirements determined by the office of cannabis regulation and/or the
34	department of health;
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1	(viii) include any additional requirements deemed necessary by the office of cannabis
2	regulation and the department of health; and
3	(ix) allow the office of cannabis regulation, in coordination with the department of health, at
4	their discretion, to temporarily remove, or phase in, any requirement for laboratory testing if it finds
5	that there is not sufficient laboratory capacity for the market.
6	(10) Online sales;
7	(11) Transport and delivery;
8	(12) Marijuana and marijuana product packaging and labeling including but not limited to
9	requirements that packaging be:
10	(i) opaque;
11	(ii) constructed to be significantly difficult for children under five (5) years of age to open
12	and not difficult for normal adults to use properly as defined by 16 C.F.R. 1700.20 (1995) or another
13	approval standard or process approved by the office of cannabis regulation;
14	(iii) designed in a way that is not deemed as especially appealing to children; and
15	(iv) any other regulations required by the office of cannabis regulation.
16	(13) Regulations for the quarantine and/or destruction of unauthorized materials;
17	(14) Industry and licensee production limitations;
18	(15) Procedures for the approval or denial of a license, and procedures for suspension or
19	revocation of the license of any marijuana establishment licensee that violates the provisions of this
20	chapter, chapter 28.11 or the regulations promulgated thereunder in accordance with the provisions
21	of chapter 35 of title 42 of the general laws;
22	(16) Compliance with municipal zoning restrictions, if any, which comply with § 21-28.12-
23	12 of this chapter;
24	(17) Standards and restrictions for marijuana manufacturing and processing which shall
25	include but not be limited to requirements that marijuana processors;
26	(i) comply with all applicable building and fire codes;
27	(ii) receive approval from the state fire marshal’s office for all forms of manufacturing that
28	use a heat source or flammable solvent;
29	(iii) require any marijuana processor that manufactures edibles of marijuana infused food
30	products to comply with all applicable requirements and regulations issued by the department of
31	health’s office of food safety; and
32	(iv) comply with any other requirements deemed suitable by the office of cannabis
33	regulation.
34	(18) Standards for employee and workplace safety and sanitation;
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1	(19) Standards for employee training including but not limited to:
2	(i) requirements that all employees of cannabis establishments must participate in a
3	comprehensive training on standard operating procedures, security protocols, health and sanitation
4	standards, workplace safety, and the provisions of this chapter prior to working at the establishment.
5	Employees must be retrained on an annual basis or if state officials discover a cannabis
6	establishment in violation of any rule, regulation, or guideline in the course of regular inspections
7	or audits; and
8	(ii) any other requirements deemed appropriate by the office of cannabis regulation; and
9	(20) Mandatory labeling that must be affixed to all packages containing cannabis or
10	cannabis products including but not limited to requirements that the label display:
11	(i) the name of the establishment that cultivated the cannabis or produced the cannabis
12	product;
13	(ii) the tetrahydrocannabinol (THC) content of the product;
14	(iii) a "produced on" date;
15	(iv) warnings that state: "Consumption of cannabis impairs your ability to drive a car or
16	operate machinery” and "Keep away from children” and, unless federal law has changed to
17	accommodate cannabis possession, "Possession of cannabis is illegal under federal law and in many
18	states outside of Rhode Island";
19	(v) a symbol that reflects these products are not safe for children which contains poison
20	control contact information; and
21	(vi) any other information required by the office of cannabis regulation.
22	(21) Standards for the use of pesticides;
23	(22) General operating requirements, minimum oversight, and any other activities,
24	functions, or aspects of a marijuana establishment licensee in furtherance of creating a stable,
25	regulated cannabis industry and mitigating its impact on public health and safety; and
26	(23) Rules and regulations based on federal law provided those rules and regulations are
27	designed to comply with federal guidance and mitigate federal enforcement against the marijuana
28	establishments and adult use state stores authorized, licensed and operated pursuant to this chapter.
29	21-28.12-12. Municipal authority.
30	(a) Municipalities shall:
31	(i) Have the authority to enact local zoning and use ordinances not in conflict with this chapter
32	or with rules and regulations adopted by the office of cannabis regulation regulating the time, place, and
33	manner of marijuana establishments' operations, provided that no local authority may prohibit any type
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1	of marijuana establishment operations altogether, either expressly or through the enactment of
2	ordinances or regulations which make any type of marijuana establishments' operation impracticable.
3	(b) Zoning ordinances enacted by a local authority shall not require a marijuana establishment
4	licensee or marijuana establishment applicant to enter into a community host agreement or pay any
5	consideration to the municipality other than reasonable zoning and permitting fees as determined by the
6	office of cannabis regulation. The office of cannabis regulation is the sole licensing authority for
7	marijuana establishment licensees. A municipality shall not enact any local zoning ordinances or
8	permitting requirements that establishes a de facto local license or licensing process unless explicitly
9	enabled by this chapter or ensuing regulations promulgated by the office of cannabis regulation.
10	(c) Notwithstanding subsection (a) of this section:
11	(i) Municipalities may enact local zoning and use ordinances which prohibit specific classes of
12	marijuana establishment licenses, or all classes of marijuana establishment licenses from being issued
13	within their jurisdiction and which may remain in effect until November 8, 2022. A local zoning and use
14	ordinance which prohibits specific classes of marijuana establishment licenses, or all classes of marijuana
15	establishment licenses from being issued within a city or town’s jurisdiction may only remain in effect past
16	November 8, 2021, if the residents of the municipality have approved, by a simple majority of the electors
17	voting, a referendum to ban adult use marijuana cultivator facilities, adult use state stores, adult use
18	marijuana processors or cannabis testing facilities, provided such referendum must be conducted on or
19	before November 8, 2022, and any ordinances related thereto must be adopted before April 1, 2023;
20	(ii) Municipalities must put forth a separate referendum question to ban each class of
21	marijuana establishment. A single question to ban all classes of marijuana establishments shall not be
22	permitted; and
23	(iii) Municipalities which ban the licensure of marijuana establishments located within their
24	jurisdiction pursuant to subsection (c)(i), and/or adopt local zoning and other ordinances, in accordance
25	with this section, may hold future referenda to prohibit previously allowed licenses, or allow previously
26	prohibited licenses, provided those subsequent referenda are held on the first Tuesday after the first
27	Monday in the month of November.
28	(d) Notwithstanding subsections (a), (b) or (c) of this section, a municipality may not
29	prohibit a medical marijuana establishment licensee from continuing to operate under a marijuana
30	establishment license issued by the office of cannabis regulation or previously issued by the
31	department of business regulation if that marijuana establishment licensee was approved or licensed
32	prior to the passage of this chapter.
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1	(e) Notwithstanding any other provision of this chapter, no municipality or local authority
2	shall restrict the transport or delivery of marijuana through their jurisdiction, or to local residents,
3	provided all transport and/or delivery is in accordance with this chapter.
4	(f) Municipalities may impose civil and criminal penalties for the violation of ordinances
5	enacted pursuant to and in accordance with this section.
6	(g) Notwithstanding subsection (b) of this section, a city or town may receive a municipal
7	impact fee from a newly licensed and operating marijuana establishment located within their
8	jurisdiction provided:
9	(i) the municipal impact fee must offset or reimburse actual costs and expenses incurred by
10	the city or town during the first three (3) months that the licensee is licensed and/or operational;
11	(ii) the municipal impact fee must offset or reimburse reasonable and appropriate expenses
12	incurred by the municipality, which are directly attributed to, or are a direct result of, the licensed
13	operations of the marijuana establishment which may include but not be limited to, increased traffic or
14	police details needed to address new traffic patterns, increased parking needs, or pedestrian foot traffic
15	by consumers;
16	(iii) the municipality is responsible for estimating or calculating projected impact fees and
17	must follow the same methodology if providing a fee estimate or projection for multiple marijuana
18	establishment locations or applicants;
19	(iv) marijuana establishment licensees or applicants may not offer competing impact fees or
20	pay a fee that is more than the actual and reasonable costs and expenses incurred by the municipality;
21	and
22	(v) the office of cannabis regulation may suspend, revoke or refuse to issue a license to an
23	applicant or for a proposed establishment within a municipality if the municipality and/or marijuana
24	establishment local impact fee violates the requirements of this section.
25	21-28.12-13. Transportation of marijuana.
26	The office of cannabis regulation shall promulgate regulations regarding secure transportation
27	of marijuana for eligible adult use marijuana retailers delivering products to purchasers in accordance
28	with this chapter and shipments of marijuana or marijuana products between marijuana establishment
29	licensees.
30	21-28.12-14. No minors on the premises of marijuana establishments.
31	A marijuana establishment shall not allow any person who is under twenty-one (21) years of
32	age to be present inside any room where marijuana or marijuana products are stored, produced, or sold
33	by the marijuana establishment unless the person who is under twenty-one (21) years of age is:
34	(1) A government employee performing their official duties; or
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1	(2) If the marijuana establishment is a hybrid marijuana retailer that also holds a compassion
2	center license pursuant § 21-28.6-12 for the same licensed premises and the individual under twenty-
3	one (21) years of age is a qualifying patient registered under chapter 28.6 of title 21 and the retail
4	establishment complies with applicable regulations promulgated by the department of business
5	regulation.
6	21-28.12-15. Contracts enforceable.
7	It is the public policy of the state that contracts related to the operation of a marijuana
8	establishment or a licensee under chapter 26 of title 2 or chapters 28.6 and 28.12 of title 21 in
9	accordance with Rhode Island law shall be enforceable. It is the public policy of the state that no
10	contract entered into by a licensed marijuana establishment or other licensee under chapter 26 of title
11	2 or chapters 28.6 and 28.12 of title 21 of the general laws or its employees or agents as permitted
12	pursuant to a valid license issued by the office of cannabis regulation, or by those who allow property
13	to be used by an establishment, its employees, or its agents as permitted pursuant to a valid license, shall
14	be unenforceable solely on the basis that cultivating, obtaining, manufacturing, distributing, dispensing,
15	transporting, selling, possessing, testing or using marijuana or hemp is prohibited by federal law.
16	21-28.12-16. Establishment of marijuana trust fund.
17	(a) There is created with the general fund a restricted receipt accounts collectively known
18	as the “marijuana trust fund”, otherwise known as the “adult use marijuana licensing” or “adult use
19	marijuana program licensing” accounts. Taxes collected pursuant to chapter 49.1 of title 44,
20	including sales and use tax attributable to marijuana products, and fees collected pursuant to chapter
21	28.12 of title 21 shall be deposited into this account. The state share of trust fund revenue will be
22	used to fund programs and activities related to program administration; revenue collection and
23	enforcement; substance use disorder prevention for adults and youth; education and public
24	awareness campaigns; treatment and recovery support services; public health monitoring, research,
25	data collection, and surveillance; law enforcement training and technology improvements including
26	grants to local law enforcement; and such other related uses that may be deemed necessary by the
27	office of management and budget. The restricted receipt account will be housed within the budgets
28	of the departments of attorney general, behavioral healthcare, developmental disabilities, and
29	hospitals; business regulation; health; judiciary; revenue and public safety, and the executive office
30	of health and human services. All amounts deposited into the marijuana trust fund shall be exempt
31	from the indirect cost recovery provisions of § 35-4-27. The allocation of the marijuana trust fund
32	shall be:
33	(1) Twenty-five percent (25%) of trust fund revenue to the departments of business
34	regulation, health, revenue and public safety, and the executive office of health and human services,
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1	except that in fiscal year 2022 the office of management and budget may allocate up to an additional
2	five million three hundred thousand dollars ($5,300,000) from trust fund revenues to these
3	agencies;
4	(2) Fifteen percent (15%) of trust fund revenue to cities and towns; and
5	(3) Sixty percent (60%) of trust fund revenue to the general fund.
6	(b) All revenue allocated to cities and towns under subsection (a)(2) shall be distributed at
7	least quarterly by the division of taxation and department of business regulation, credited and paid
8	by the state treasurer to the city or town based on the following allocation:
9	(1) One-quarter based in an equal distribution to each city or town in the state;
10	(2) One-quarter based on the share of total licensed marijuana cultivators, licensed
11	marijuana processors, and licensed marijuana retailers found in each city or town at the end of the
12	quarter that corresponds to the distribution, with licensed marijuana retailers assigned a weight
13	twice that of the other license types; and
14	(3) One-half based on the volume of sales of adult use marijuana products that occurred in
15	each city or town in the quarter of the distribution.
16	(c) The division of taxation and the department of business regulation shall jointly
17	promulgate regulations to effectuate the distribution under subsection (a)(2).
18	21-28.12-17. Transfer of revenue to the marijuana trust fund.
19	The department of business regulation shall transfer all revenue collected pursuant to this
20	chapter, including penalties or forfeitures, interest, costs of suit and fines, to the marijuana trust
21	fund established by § 21-28.12-16.
22	21-28.12-18. Market demand study to determine viability of a cap on retail licenses.
23	(a) No later than January 1, 2025, the department of business regulation shall conduct a
24	market demand study to determine the effect of the phased implementation of adult use marijuana
25	retail licenses on the Rhode Island market. This study shall include, but not be limited to, an analysis
26	of price changes, product availability, geographic dispersion, and downstream effects on
27	cultivators, manufacturers, and other market participants licensed under chapter 28.12 of title 21.
28	(b) The study may further contemplate, based on this analysis, a recommendation for an
29	overall cap on retail licenses in Rhode Island. The study shall be made public by the department
30	and delivered to the Governor, the Speaker of the House of Representatives, and the President of
31	the Senate.
32	21-28.12-19. Severability.
33	If any provision of this chapter or its application thereof to any person or circumstance is
34	held invalid, such invalidity shall not affect other provisions or applications of this chapter, which
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1	can be given effect without the invalid provision or application, and to this end the provisions of
2	this chapter are declared to be severable.
3	SECTION 7. Sections 31-27-2, 31-27-2.1 and 31-27-2.9 of the General Laws in Chapter
4	31-27 entitled “Motor Vehicles Offenses” are hereby amended to read as follows:
5	31-27-2. Driving under influence of liquor or drugs.
6	(a) Whoever drives or otherwise operates any vehicle in the state while under the influence
7	of any intoxicating liquor, drugs, toluene, or any controlled substance as defined in chapter 28 of
8	title 21, or any combination of these, shall be guilty of a misdemeanor, except as provided in
9	subsection (d)(3), and shall be punished as provided in subsection (d).
10	(b)(1) Any person charged under subsection (a), whose blood alcohol concentration is eight
11	one-hundredths of one percent (.08%) or more by weight, as shown by a chemical analysis of a
12	blood, breath, or urine sample, shall be guilty of violating subsection (a). This provision shall not
13	preclude a conviction based on other admissible evidence, including the testimony of a drug
14	recognition expert or evaluator, certified pursuant to training approved by the Rhode Island
15	Department of Transportation Office on Highway Safety. Proof of guilt under this section may also
16	be based on evidence that the person charged was under the influence of intoxicating liquor, drugs,
17	toluene, or any controlled substance defined in chapter 28 of title 21, or any combination of these,
18	to a degree that rendered the person incapable of safely operating a vehicle. The fact that any person
19	charged with violating this section is, or has been, legally entitled to use alcohol or a drug shall not
20	constitute a defense against any charge of violating this section.
21	(2) [Deleted by P.L. 2021, ch. 170, § 1 and P.L. 2021, ch. 171, § 1.]
22	(c) In any criminal prosecution for a violation of subsection (a), evidence as to the amount
23	of intoxicating liquor, toluene, or any controlled substance as defined in chapter 28 of title 21, or
24	any combination of these, in the defendant's blood at the time alleged as shown by a chemical
25	analysis of the defendant's breath, blood, saliva or urine or other bodily substance, shall be
26	admissible and competent, provided that evidence is presented that the following conditions have
27	been complied with:
28	(1) The defendant has consented to the taking of the test upon which the analysis is made.
29	Evidence that the defendant had refused to submit to the test shall not be admissible unless the
30	defendant elects to testify.
31	(2) A true copy of the report of the test result was hand delivered at the location of the test
32	or mailed within seventy-two (72) hours of the taking of the test to the person submitting to a breath
33	test.
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1	(3) Any person submitting to a chemical test of blood, urine, saliva or other body fluids
2	shall have a true copy of the report of the test result mailed to him or her within thirty (30) days
3	following the taking of the test.
4	(4) The test was performed according to methods and with equipment approved by the
5	director of the department of health of the state of Rhode Island and by an authorized individual.
6	(5) Equipment used for the conduct of the tests by means of breath analysis had been tested
7	for accuracy within thirty (30) days preceding the test by personnel qualified as hereinbefore
8	provided, and breathalyzer operators shall be qualified and certified by the department of health
9	within three hundred sixty-five (365) days of the test.
10	(6) The person arrested and charged with operating a motor vehicle while under the
11	influence of intoxicating liquor, toluene, or any controlled substance as defined in chapter 28 of
12	title 21 or any combination of these in violation of subsection (a), was afforded the opportunity to
13	have an additional chemical test. The officer arresting or so charging the person shall have informed
14	the person of this right and afforded him or her a reasonable opportunity to exercise this right, and
15	a notation to this effect is made in the official records of the case in the police department. Refusal
16	to permit an additional chemical test shall render incompetent and inadmissible in evidence the
17	original report.
18	(d)(1)(i) Every person found to have violated subsection (b)(1) shall be sentenced as
19	follows: for a first violation whose blood alcohol concentration is eight one-hundredths of one
20	percent (.08%), but less than one-tenth of one percent (.1%), by weight, or who has a blood presence
21	of any scheduled controlled substance as defined in chapter 28 of title 21, shall be subject to a fine
22	of not less than one hundred dollars ($100), nor more than three hundred dollars ($300); shall be
23	required to perform ten (10) to sixty (60) hours of public community restitution, and/or shall be
24	imprisoned for up to one year. The sentence may be served in any unit of the adult correctional
25	institutions in the discretion of the sentencing judge and/or shall be required to attend a special
26	course on driving while intoxicated or under the influence of a controlled substance; provided,
27	however, that the court may permit a servicemember or veteran to complete any court-approved
28	counseling program administered or approved by the Veterans' Administration, and his or her
29	driver's license shall be suspended for thirty (30) days up to one hundred eighty (180) days. The
30	sentencing judge or magistrate may prohibit that person from operating a motor vehicle, pursuant
31	to subsection (d)(9) or (d)(10) of this section, that is not equipped with an ignition interlock system
32	and/or blood and urine testing as provided in § 31-27-2.8.
33	(ii) Every person convicted of a first violation whose blood alcohol concentration is one-
34	tenth of one percent (.1%) by weight or above, but less than fifteen hundredths of one percent
	LC004149 - Page 250 of 319
1	(.15%), or whose blood alcohol concentration is unknown, shall be subject to a fine of not less than
2	one hundred ($100) dollars, nor more than four hundred dollars ($400), and shall be required to
3	perform ten (10) to sixty (60) hours of public community restitution and/or shall be imprisoned for
4	up to one year. The sentence may be served in any unit of the adult correctional institutions in the
5	discretion of the sentencing judge. The person's driving license shall be suspended for a period of
6	three (3) months to twelve (12) months. The sentencing judge shall require attendance at a special
7	course on driving while intoxicated or under the influence of a controlled substance and/or
8	alcoholic or drug treatment for the individual; provided, however, that the court may permit a
9	servicemember or veteran to complete any court-approved counseling program administered or
10	approved by the Veterans' Administration. The sentencing judge or magistrate may prohibit that
11	person from operating a motor vehicle that is not equipped with an ignition interlock system as
12	provided in § 31-27-2.8.
13	(iii) Every person convicted of a first offense whose blood alcohol concentration is fifteen
14	hundredths of one percent (.15%) or above, or who is under the influence of a drug, toluene, or any
15	controlled substance as defined in subsection (b)(1), shall be subject to a fine of five hundred dollars
16	($500) and shall be required to perform twenty (20) to sixty (60) hours of public community
17	restitution and/or shall be imprisoned for up to one year. The sentence may be served in any unit
18	of the adult correctional institutions in the discretion of the sentencing judge. The person's driving
19	license shall be suspended for a period of three (3) months to eighteen (18) months. The sentencing
20	judge shall require attendance at a special course on driving while intoxicated or under the influence
21	of a controlled substance and/or alcohol or drug treatment for the individual; provided, however,
22	that the court may permit a servicemember or veteran to complete any court-approved counseling
23	program administered or approved by the Veterans' Administration. The sentencing judge or
24	magistrate shall prohibit that person from operating a motor vehicle, pursuant to subsection (d)(9)
25	or (d)(10) of this section, that is not equipped with an ignition interlock system and/or blood and
26	urine testing as provided in § 31-27-2.8.
27	(2)(i) Every person convicted of a second violation within a five-year (5) period with a
28	blood alcohol concentration of eight one-hundredths of one percent (.08%) or above, but less than
29	fifteen hundredths of one percent (.15%), or whose blood alcohol concentration is unknown, or
30	who has a blood presence of any controlled substance as defined in chapter 28 of title 21, and every
31	person convicted of a second violation within a five-year (5) period, regardless of whether the prior
32	violation and subsequent conviction was a violation and subsequent conviction under this statute
33	or under the driving under the influence of liquor or drugs statute of any other state, shall be subject
34	to a mandatory fine of four hundred dollars ($400). The person's driving license shall be suspended
	LC004149 - Page 251 of 319
1	for a period of one year to two (2) years, and the individual shall be sentenced to not less than ten
2	(10) days, nor more than one year, in jail. The sentence may be served in any unit of the adult
3	correctional institutions in the discretion of the sentencing judge; however, not less than forty-eight
4	(48) hours of imprisonment shall be served consecutively. The sentencing judge shall require
5	alcohol or drug treatment for the individual; provided, however, that the court may permit a
6	servicemember or veteran to complete any court-approved counseling program administered or
7	approved by the Veterans' Administration and shall prohibit that person from operating a motor
8	vehicle, pursuant to subsection (d)(9) or (d)(10) of this section, that is not equipped with an ignition
9	interlock system and/or blood and urine testing as provided in § 31-27-2.8.
10	(ii) Every person convicted of a second violation within a five-year (5) period whose blood
11	alcohol concentration is fifteen hundredths of one percent (.15%) or above, by weight as shown by
12	a chemical analysis of a blood, breath, or urine sample, or who is under the influence of a drug,
13	toluene, or any controlled substance as defined in subsection (b)(1), shall be subject to mandatory
14	imprisonment of not less than six (6) months, nor more than one year; a mandatory fine of not less
15	than one thousand dollars ($1,000); and a mandatory license suspension for a period of two (2)
16	years from the date of completion of the sentence imposed under this subsection. The sentencing
17	judge shall require alcohol or drug treatment for the individual; provided, however, that the court
18	may permit a servicemember or veteran to complete any court approved counseling program
19	administered or approved by the Veterans' Administration. The sentencing judge or magistrate shall
20	prohibit that person from operating a motor vehicle, pursuant to subsection (d)(9) or (d)(10) of this
21	section, that is not equipped with an ignition interlock system and/or blood and urine testing as
22	provided in § 31-27-2.8.
23	(3)(i) Every person convicted of a third or subsequent violation within a five-year (5)
24	period with a blood alcohol concentration of eight one-hundredths of one percent (.08%) or above,
25	but less than fifteen hundredths of one percent (.15%), or whose blood alcohol concentration is
26	unknown or who has a blood presence of any scheduled controlled substance as defined in chapter
27	28 of title 21, regardless of whether any prior violation and subsequent conviction was a violation
28	and subsequent conviction under this statute or under the driving under the influence of liquor or
29	drugs statute of any other state, shall be guilty of a felony and be subject to a mandatory fine of
30	four hundred ($400) dollars. The person's driving license shall be suspended for a period of two (2)
31	years to three (3) years, and the individual shall be sentenced to not less than one year and not more
32	than three (3) years in jail. The sentence may be served in any unit of the adult correctional
33	institutions in the discretion of the sentencing judge; however, not less than forty-eight (48) hours
34	of imprisonment shall be served consecutively. The sentencing judge shall require alcohol or drug
	LC004149 - Page 252 of 319
1	treatment for the individual; provided, however, that the court may permit a servicemember or
2	veteran to complete any court-approved counseling program administered or approved by the
3	Veterans' Administration, and shall prohibit that person from operating a motor vehicle, pursuant
4	to subsection (d)(9) or (d)(10) of this section, that is not equipped with an ignition interlock system
5	and/or blood and urine testing as provided in § 31-27-2.8.
6	(ii) Every person convicted of a third or subsequent violation within a ten-year (10) period
7	whose blood alcohol concentration is fifteen hundredths of one percent (.15%) above by weight as
8	shown by a chemical analysis of a blood, breath, or urine sample, or who is under the influence of
9	a drug, toluene, or any controlled substance as defined in subsection (b)(1), shall be subject to
10	mandatory imprisonment of not less than three (3) years, nor more than five (5) years; a mandatory
11	fine of not less than one thousand dollars ($1,000), nor more than five thousand dollars ($5,000);
12	and a mandatory license suspension for a period of three (3) years from the date of completion of
13	the sentence imposed under this subsection. The sentencing judge shall require alcohol or drug
14	treatment for the individual. The sentencing judge or magistrate shall prohibit that person from
15	operating a motor vehicle, pursuant to subsection (d)(9) or (d)(10) of this section, that is not
16	equipped with an ignition interlock system and/or blood and urine testing as provided in § 31-27-
17	2.8.
18	(iii) In addition to the foregoing penalties, every person convicted of a third or subsequent
19	violation within a five-year (5) period, regardless of whether any prior violation and subsequent
20	conviction was a violation and subsequent conviction under this statute or under the driving under
21	the influence of liquor or drugs statute of any other state, shall be subject, in the discretion of the
22	sentencing judge, to having the vehicle owned and operated by the violator seized and sold by the
23	state of Rhode Island, with all funds obtained by the sale to be transferred to the general fund.
24	(4) Whoever drives or otherwise operates any vehicle in the state while under the influence
25	of any intoxicating liquor, drugs, toluene, or any controlled substance as defined in chapter 28 of
26	title 21, or any combination of these, when his or her license to operate is suspended, revoked, or
27	cancelled for operating under the influence of a narcotic drug or intoxicating liquor, shall be guilty
28	of a felony punishable by imprisonment for not more than three (3) years and by a fine of not more
29	than three thousand dollars ($3,000). The court shall require alcohol and/or drug treatment for the
30	individual; provided, the penalties provided for in this subsection (d)(4) shall not apply to an
31	individual who has surrendered his or her license and served the court-ordered period of suspension,
32	but who, for any reason, has not had his or her license reinstated after the period of suspension,
33	revocation, or suspension has expired; provided, further, the individual shall be subject to the
	LC004149 - Page 253 of 319
1	provisions of subsection (d)(2)(i), (d)(2)(ii), (d)(3)(i), (d)(3)(ii), or (d)(3)(iii) regarding subsequent
2	offenses, and any other applicable provision of this section.
3	(5)(i) For purposes of determining the period of license suspension, a prior violation shall
4	constitute any charge brought and sustained under the provisions of this section or § 31-27-2.1.
5	(ii) Any person over the age of eighteen (18) who is convicted under this section for
6	operating a motor vehicle while under the influence of alcohol, other drugs, or a combination of
7	these, while a child under the age of thirteen (13) years was present as a passenger in the motor
8	vehicle when the offense was committed shall be subject to immediate license suspension pending
9	prosecution. Any person convicted of violating this section shall be guilty of a misdemeanor for a
10	first offense and may be sentenced to a term of imprisonment of not more than one year and a fine
11	not to exceed one thousand dollars ($1,000). Any person convicted of a second or subsequent
12	offense shall be guilty of a felony offense and may be sentenced to a term of imprisonment of not
13	more than five (5) years and a fine not to exceed five thousand dollars ($5,000). The sentencing
14	judge shall also order a license suspension of up to two (2) years, require attendance at a special
15	course on driving while intoxicated or under the influence of a controlled substance, and alcohol
16	or drug education and/or treatment. The individual may also be required to pay a highway
17	assessment fee of no more than five hundred dollars ($500) and the assessment shall be deposited
18	in the general fund.
19	(6)(i) Any person convicted of a violation under this section shall pay a highway
20	assessment fine of five hundred dollars ($500) that shall be deposited into the general fund. The
21	assessment provided for by this subsection shall be collected from a violator before any other fines
22	authorized by this section.
23	(ii) Any person convicted of a violation under this section shall be assessed a fee of eighty-
24	six dollars ($86).
25	(7)(i) If the person convicted of violating this section is under the age of eighteen (18)
26	years, for the first violation he or she shall be required to perform ten (10) to sixty (60) hours of
27	public community restitution and the juvenile's driving license shall be suspended for a period of
28	six (6) months, and may be suspended for a period up to eighteen (18) months. The sentencing
29	judge shall also require attendance at a special course on driving while intoxicated or under the
30	influence of a controlled substance and alcohol or drug education and/or treatment for the juvenile.
31	The juvenile may also be required to pay a highway assessment fine of no more than five hundred
32	dollars ($500) and the assessment imposed shall be deposited into the general fund.
33	(ii) If the person convicted of violating this section is under the age of eighteen (18) years,
34	for a second or subsequent violation regardless of whether any prior violation and subsequent
	LC004149 - Page 254 of 319
1	conviction was a violation and subsequent under this statute or under the driving under the influence
2	of liquor or drugs statute of any other state, he or she shall be subject to a mandatory suspension of
3	his or her driving license until such time as he or she is twenty-one (21) years of age and may, in
4	the discretion of the sentencing judge, also be sentenced to the Rhode Island training school for a
5	period of not more than one year and/or a fine of not more than five hundred dollars ($500).
6	(8) Any person convicted of a violation under this section may undergo a clinical
7	assessment at the community college of Rhode Island's center for workforce and community
8	education. Should this clinical assessment determine problems of alcohol, drug abuse, or
9	psychological problems associated with alcoholic or drug abuse, this person shall be referred to an
10	appropriate facility, licensed or approved by the department of behavioral healthcare,
11	developmental disabilities and hospitals, for treatment placement, case management, and
12	monitoring. In the case of a servicemember or veteran, the court may order that the person be
13	evaluated through the Veterans' Administration. Should the clinical assessment determine problems
14	of alcohol, drug abuse, or psychological problems associated with alcohol or drug abuse, the person
15	may have their treatment, case management, and monitoring administered or approved by the
16	Veterans' Administration.
17	(9) Notwithstanding any other sentencing and disposition provisions contained in this
18	chapter, if the judge or magistrate makes a finding beyond a reasonable doubt that a motorist was
19	operating a vehicle in the state while under the influence of drugs, toluene, or any controlled
20	substance as evidenced by the presence of controlled substances on or about the person or vehicle,
21	or other reliable indicia or articulable conditions thereof, but not intoxicating liquor based on a
22	preliminary breath test, results from a breathalyzer that indicates no blood alcohol concentration,
23	or both, the judge or magistrate may exercise his or her discretion and eliminate the requirement of
24	an ignition interlock system; provided, that blood and/or urine testing is mandated as a condition
25	to operating a motor vehicle as provided in § 31-27-2.8.
26	(10) Notwithstanding any other sentencing and disposition provisions contained in this
27	chapter, if the judge or magistrate makes a finding beyond a reasonable doubt that a motorist was
28	operating a vehicle in the state while under the influence of drugs, toluene, or any controlled
29	substance as evidenced by the presence of controlled substances on or about the person or vehicle,
30	or other reliable indicia or articulable conditions thereof and intoxicating liquor based on a
31	preliminary breath test, results from a breathalyzer that indicates blood alcohol concentration, or
32	both, the judge or magistrate may require an ignition interlock system in addition to blood and/or
33	urine testing as a condition to operating a motor vehicle as provided in § 31-27-2.8.
	LC004149 - Page 255 of 319
1	(e) Percent by weight of alcohol in the blood shall be based upon milligrams of alcohol per
2	one hundred cubic centimeters (100 cc) of blood.
3	(f)(1) There is established an alcohol and drug safety unit within the division of motor
4	vehicles to administer an alcohol safety action program. The program shall provide for placement
5	and follow-up for persons who are required to pay the highway safety assessment. The alcohol and
6	drug safety action program will be administered in conjunction with alcohol and drug programs
7	licensed by the department of behavioral healthcare, developmental disabilities and hospitals.
8	(2) Persons convicted under the provisions of this chapter shall be required to attend a
9	special course on driving while intoxicated or under the influence of a controlled substance, and/or
10	participate in an alcohol or drug treatment program, which course and programs must meet the
11	standards established by the Rhode Island department of behavioral healthcare, developmental
12	disabilities and hospitals; provided, however, that the court may permit a servicemember or veteran
13	to complete any court-approved counseling program administered or approved by the Veterans'
14	Administration. The course shall take into consideration any language barrier that may exist as to
15	any person ordered to attend, and shall provide for instruction reasonably calculated to
16	communicate the purposes of the course in accordance with the requirements of the subsection.
17	Any costs reasonably incurred in connection with the provision of this accommodation shall be
18	borne by the person being retrained. A copy of any violation under this section shall be forwarded
19	by the court to the alcohol and drug safety unit. In the event that persons convicted under the
20	provisions of this chapter fail to attend and complete the above course or treatment program, as
21	ordered by the judge, then the person may be brought before the court, and after a hearing as to
22	why the order of the court was not followed, may be sentenced to jail for a period not exceeding
23	one year.
24	(3) The alcohol and drug safety action program within the division of motor vehicles shall
25	be funded by general revenue appropriations.
26	(g) The director of the health department of the state of Rhode Island is empowered to
27	make and file with the secretary of state regulations that prescribe the techniques and methods of
28	chemical analysis of the person's body fluids or breath and the qualifications and certification of
29	individuals authorized to administer this testing and analysis.
30	(h) Jurisdiction for misdemeanor violations of this section shall be with the district court
31	for persons eighteen (18) years of age or older and to the family court for persons under the age of
32	eighteen (18) years. The courts shall have full authority to impose any sentence authorized and to
33	order the suspension of any license for violations of this section. Trials in superior court are not
34	required to be scheduled within thirty (30) days of the arraignment date.
	LC004149 - Page 256 of 319
1	(i) No fines, suspensions, assessments, alcohol or drug treatment programs, course on
2	driving while intoxicated or under the influence of a controlled substance, public community
3	restitution, or jail provided for under this section can be suspended.
4	(j) An order to attend a special course on driving while intoxicated that shall be
5	administered in cooperation with a college or university accredited by the state, shall include a
6	provision to pay a reasonable tuition for the course in an amount not less than twenty-five dollars
7	($25.00), and a fee of one hundred seventy-five dollars ($175), which fee shall be deposited into
8	the general fund.
9	(k) For the purposes of this section, any test of a sample of blood, breath, or urine for the
10	presence of alcohol that relies in whole or in part upon the principle of infrared light absorption is
11	considered a chemical test.
12	(l) If any provision of this section, or the application of any provision, shall for any reason
13	be judged invalid, such a judgment shall not affect, impair, or invalidate the remainder of the
14	section, but shall be confined in this effect to the provision or application directly involved in the
15	controversy giving rise to the judgment.
16	(m) For the purposes of this section, "servicemember" means a person who is presently
17	serving in the armed forces of the United States, including the Coast Guard, a reserve component
18	thereof, or the National Guard. "Veteran" means a person who has served in the armed forces,
19	including the Coast Guard of the United States, a reserve component thereof, or the National Guard,
20	and has been discharged under other than dishonorable conditions.
21	31-27-2.1. Refusal to submit to chemical test.
22	(a) Any person who operates a motor vehicle within this state shall be deemed to have
23	given his or her consent to chemical tests of his or her breath, blood, saliva and/or urine for the
24	purpose of determining the chemical content of his or her body fluids or breath. No more than two
25	(2) complete tests, one for the presence of intoxicating liquor and one for the presence of toluene
26	or any controlled substance, as defined in § 21-28-1.02, shall be administered at the direction of a
27	law enforcement officer having reasonable grounds to believe the person to have been driving a
28	motor vehicle within this state while under the influence of intoxicating liquor, toluene, or any
29	controlled substance, as defined in chapter 28 of title 21, or any combination of these. The director
30	of the department of health is empowered to make and file, with the secretary of state, regulations
31	that prescribe the techniques and methods of chemical analysis of the person's body fluids or breath
32	and the qualifications and certification of individuals authorized to administer the testing and
33	analysis.
	LC004149 - Page 257 of 319
1	(b) If a person, for religious or medical reasons, cannot be subjected to blood tests, the
2	person may file an affidavit with the division of motor vehicles stating the reasons why he or she
3	cannot be required to take blood tests and a notation to this effect shall be made on his or her
4	license. If that person is asked to submit to chemical tests as provided under this chapter, the person
5	shall only be required to submit to chemical tests of his or her breath, saliva or urine. When a person
6	is requested to submit to blood tests, only a physician or registered nurse, or a medical technician
7	certified under regulations promulgated by the director of the department of health, may withdraw
8	blood for the purpose of determining the alcoholic content in it. This limitation shall not apply to
9	the taking of breath, saliva or urine specimens. The person tested shall be permitted to have a
10	physician of his or her own choosing, and at his or her own expense, administer chemical tests of
11	his or her breath, blood, saliva and/or urine in addition to the tests administered at the direction of
12	a law enforcement officer. If a person, having been placed under arrest, refuses upon the request of
13	a law enforcement officer to submit to the tests, as provided in § 31-27-2, none shall be given.
14	(1) At the initial traffic tribunal appearance, the magistrate shall review the incident, action,
15	and/or arrest reports submitted by the law enforcement officer to determine if there exists
16	reasonable grounds to believe that the person had been driving a motor vehicle while under the
17	influence of intoxicating liquor, toluene, or any controlled substance as defined in chapter 28 of
18	title 21, or any combination thereof. The magistrate shall also determine if the person had been
19	informed of the penalties incurred as a result of failing to submit to a chemical test as provided in
20	this section and that the person had been informed of the implied consent notice contained in
21	subsection (c)(10) of this section. For the purpose of this subsection only, "driving a motor vehicle
22	while under the influence of any controlled substance as defined in chapter 28 of title 21" shall be
23	indicated by the presence or aroma of a controlled substance on or about the person or vehicle of
24	the individual refusing the chemical test or other reliable indicia or articulable conditions that the
25	person was impaired due to their intake of a controlled substance.
26	(2) If the magistrate determines that subsection (b)(1) of this section has been satisfied they
27	shall promptly order that the person's operator's license or privilege to operate a motor vehicle in
28	this state be immediately suspended. Said suspension shall be subject to the hardship provisions
29	enumerated in § 31-27-2.8.
30	(c) A traffic tribunal judge or magistrate, or a district court judge or magistrate, pursuant
31	to the terms of subsection (d) of this section, shall order as follows:
32	(1) Impose, for the first violation, a fine in the amount of two hundred dollars ($200) to
33	five hundred dollars ($500) and shall order the person to perform ten (10) to sixty (60) hours of
34	public community restitution. The person's driving license in this state shall be suspended for a
	LC004149 - Page 258 of 319
1	period of six (6) months to one year. The traffic tribunal judge or magistrate shall require attendance
2	at a special course on driving while intoxicated or under the influence of a controlled substance
3	and/or alcohol or drug treatment for the individual. The traffic tribunal judge or magistrate may
4	prohibit that person from operating a motor vehicle that is not equipped with an ignition interlock
5	system and/or blood or urine testing as provided in § 31-27-2.8.
6	(2) Every person convicted of a second violation within a five-year (5) period, except with
7	respect to cases of refusal to submit to a blood test, shall be guilty of a misdemeanor; shall be
8	imprisoned for not more than six (6) months; shall pay a fine in the amount of six hundred dollars
9	($600) to one thousand dollars ($1,000); perform sixty (60) to one hundred (100) hours of public
10	community restitution; and the person's driving license in this state shall be suspended for a period
11	of one year to two (2) years. The judge or magistrate shall require alcohol and/or drug treatment
12	for the individual. The sentencing judge or magistrate shall prohibit that person from operating a
13	motor vehicle that is not equipped with an ignition interlock system and/or blood or urine testing
14	as provided in § 31-27-2.8.
15	(3) Every person convicted for a third or subsequent violation within a five-year (5) period,
16	except with respect to cases of refusal to submit to a blood test, shall be guilty of a misdemeanor;
17	and shall be imprisoned for not more than one year; fined eight hundred dollars ($800) to one
18	thousand dollars ($1,000); shall perform not less than one hundred (100) hours of public community
19	restitution; and the person's operator's license in this state shall be suspended for a period of two
20	(2) years to five (5) years. The sentencing judge or magistrate shall prohibit that person from
21	operating a motor vehicle that is not equipped with an ignition interlock system and/or blood or
22	urine testing as provided in § 31-27-2.8. The judge or magistrate shall require alcohol or drug
23	treatment for the individual. Provided, that prior to the reinstatement of a license to a person charged
24	with a third or subsequent violation within a three-year (3) period, a hearing shall be held before a
25	judge or magistrate. At the hearing, the judge or magistrate shall review the person's driving record,
26	his or her employment history, family background, and any other pertinent factors that would
27	indicate that the person has demonstrated behavior that warrants the reinstatement of his or her
28	license.
29	(4) For a second violation within a five-year (5) period with respect to a case of a refusal
30	to submit to a blood test, a fine in the amount of six hundred dollars ($600) to one thousand dollars
31	($1,000); the person shall perform sixty (60) to one hundred (100) hours of public community
32	restitution; and the person's driving license in this state shall be suspended for a period of two (2)
33	years. The judicial officer shall require alcohol and/or drug treatment for the individual. The
34	sentencing judicial officer shall prohibit that person from operating a motor vehicle that is not
	LC004149 - Page 259 of 319
1	equipped with an ignition interlock system as provided in § 31-27-2.8. Such a violation with respect
2	to refusal to submit to a chemical blood test shall be a civil offense.
3	(5) For a third or subsequent violation within a five-year (5) period with respect to a case
4	of a refusal to submit to a blood test, a fine in the amount of eight hundred dollars ($800) to one
5	thousand dollars ($1,000); the person shall perform not less than one hundred (100) hours of public
6	community restitution; and the person's driving license in this state shall be suspended for a period
7	of two (2) to five (5) years. The sentencing judicial officer shall prohibit that person from operating
8	a motor vehicle that is not equipped with an ignition interlock system as provided in § 31-27-2.8.
9	The judicial officer shall require alcohol and/or drug treatment for the individual. Such a violation
10	with respect to refusal to submit to a chemical test of blood shall be a civil offense. Provided, that
11	prior to the reinstatement of a license to a person charged with a third or subsequent violation within
12	a three-year (3) period, a hearing shall be held before a judicial officer. At the hearing, the judicial
13	officer shall review the person's driving record, his or her employment history, family background,
14	and any other pertinent factors that would indicate that the person has demonstrated behavior that
15	warrants the reinstatement of their license.
16	(6) For purposes of determining the period of license suspension, a prior violation shall
17	constitute any charge brought and sustained under the provisions of this section or § 31-27-2.
18	(7) In addition to any other fines, a highway safety assessment of five hundred dollars
19	($500) shall be paid by any person found in violation of this section, the assessment to be deposited
20	into the general fund. The assessment provided for by this subsection shall be collected from a
21	violator before any other fines authorized by this section.
22	(8) In addition to any other fines and highway safety assessments, a two-hundred-dollar
23	($200) assessment shall be paid by any person found in violation of this section to support the
24	department of health's chemical testing programs outlined in §§ 31-27-2(f) and 31-27-2(g), that
25	shall be deposited as general revenues, not restricted receipts.
26	(9) No fines, suspensions, assessments, alcohol or drug treatment programs, course on
27	driving while intoxicated or under the influence of a controlled substance, or public community
28	restitution provided for under this section can be suspended.
29	(10) Implied consent notice for persons eighteen (18) years of age or older: "Rhode Island
30	law requires you to submit to a chemical test of your blood, breath, or urine for the purpose of
31	determining the chemical content of your body fluids or breath. If you refuse this testing, certain
32	penalties can be imposed and include the following: for a first offense, your Rhode Island driver's
33	license or privilege to operate a motor vehicle in this state can be suspended for six (6) months to
34	one year or modified to permit operation in connection with an ignition interlock device for a period
	LC004149 - Page 260 of 319
1	specified by law; a fine from two hundred dollars ($200) to five hundred dollars ($500) can be
2	imposed; and you can be ordered to perform ten (10) to sixty (60) hours of community service and
3	attend a special course on driving while intoxicated or under the influence of a controlled substance
4	and/or alcohol or drug treatment. If you have had one or more previous offenses within the past
5	five (5) years, your refusal to submit to a chemical test of breath or urine at this time can have
6	criminal penalties, including incarceration up to six (6) months for a second offense and up to one
7	year for a third or subsequent offense, and can carry increased license suspension or ignition
8	interlock period, fines, and community service. All violators shall pay a five hundred dollar ($500)
9	highway safety assessment fee, a two hundred dollar ($200) department of health chemical testing
10	programs assessment fee, and a license reinstatement fee. Refusal to submit to a chemical test of
11	blood shall not subject you to criminal penalties for the refusal itself, but if you have one or more
12	previous offenses other civil penalties may increase. You have the right to be examined at your
13	own expense by a physician selected by you. If you submit to a chemical test at this time, you have
14	the right to have an additional chemical test performed at your own expense. You will be afforded
15	a reasonable opportunity to exercise these rights. Access to a telephone will be made available for
16	you to make those arrangements. You may now use a telephone."
17	Use of this implied consent notice shall serve as evidence that a person's consent to a chemical test
18	is valid in a prosecution involving driving under the influence of liquor, controlled substances,
19	and/or drugs.
20	(d) Upon suspending or refusing to issue a license or permit as provided in subsection (a),
21	the traffic tribunal or district court shall immediately notify the person involved in writing, and
22	upon his or her request, within fifteen (15) days, afford the person an opportunity for a hearing as
23	early as practical upon receipt of a request in writing. Upon a hearing, the judge may administer
24	oaths and may issue subpoenas for the attendance of witnesses and the production of relevant books
25	and papers. If the judge finds after the hearing that:
26	(1) The law enforcement officer making the sworn report had reasonable grounds to believe
27	that the arrested person had been driving a motor vehicle within this state while under the influence
28	of intoxicating liquor, toluene, or any controlled substance, as defined in chapter 28 of title 21, or
29	any combination of these;
30	(2) The person, while under arrest, refused to submit to the tests upon the request of a law
31	enforcement officer;
32	(3) The person had been informed of his or her rights in accordance with § 31-27-3; and
33	(4) The person had been informed of the penalties incurred as a result of noncompliance
34	with this section, the judge shall sustain the violation. The judge shall then impose the penalties set
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1	forth in subsection (c) of this section. Action by the judge must be taken within seven (7) days after
2	the hearing or it shall be presumed that the judge has refused to issue his or her order of suspension.
3	(e) For the purposes of this section, any test of a sample of blood, breath, or urine for the
4	presence of alcohol that relies, in whole or in part, upon the principle of infrared light absorption is
5	considered a chemical test.
6	(f) If any provision of this section, or the application of any provision, shall, for any reason,
7	be judged invalid, the judgment shall not affect, impair, or invalidate the remainder of the section,
8	but shall be confined in this effect to the provisions or application directly involved in the
9	controversy giving rise to the judgment.
10	31-27-2.9. Administration of chemical test.
11	(a) Notwithstanding any provision of § 31-27-2.1, if an individual refuses to consent to a
12	chemical test as provided in § 31-27-2.1, and a peace officer, as defined in § 12-7-21, has probable
13	cause to believe that the individual has violated one or more of the following sections: 31-27-1, 31-
14	27-1.1, 31-27-2.2, or 31-27-2.6 and that the individual was operating a motor vehicle under the
15	influence of any intoxicating liquor, toluene or any controlled substance as defined in chapter 21-
16	28, or any combination thereof, a chemical test may be administered without the consent of that
17	individual provided that the peace officer first obtains a search warrant authorizing administration
18	of the chemical test. The chemical test shall determine the amount of the alcohol or the presence of
19	a controlled substance in that person's blood, saliva or breath.
20	(b) The chemical test shall be administered in accordance with the methods approved by
21	the director of the department of health as provided for in subdivision 31-27-2(c)(4). The individual
22	shall be afforded the opportunity to have an additional chemical test as established in subdivision
23	31-27-2(c)(6).
24	(c) Notwithstanding any other law to the contrary, including, but not limited to, chapter 5-
25	37.3, any health care provider who, as authorized by the search warrant in subsection (a):
26	(i) Takes a blood, saliva or breath sample from an individual; or
27	(ii) Performs the chemical test; or
28	(iii) Provides information to a peace officer pursuant to subsection (a) above and who uses
29	reasonable care and accepted medical practices shall not be liable in any civil or criminal
30	proceeding arising from the taking of the sample, from the performance of the chemical test or from
31	the disclosure or release of the test results.
32	(d) The results of a chemical test performed pursuant to this section shall be admissible as
33	competent evidence in any civil or criminal prosecution provided that evidence is presented in
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1	compliance with the conditions set forth in subdivisions 31-27-2(c)(3), 31-27-2(c)(4) and 31-27-
2	2(c)(6).
3	(e) All chemical tests administered pursuant to this section shall be audio and video
4	recorded by the law enforcement agency which applied for and was granted the search warrant
5	authorizing the administration of the chemical test.
6	SECTION 8. Sections 44-49-1, 44-49-2, 44-49-4, 44-49-5, 44-49-7, 44-49-8, 44-49-9, 44-
7	49-9.1, 44-49-10, 44-49-11, and 44-49-12 of the General Laws in Chapter 44-49 entitled “Taxation
8	of Marijuana and Controlled Substances” are hereby amended to read as follows:
9	44-49-1. Short title.
10	This chapter shall be known as the "Marijuana and Controlled Substances Taxation Act".
11	44-49-2. Definitions.
12	(a) "Controlled substance" means any drug or substance, whether real or counterfeit, as
13	defined in § 21-28-1.02(8), that is held, possessed, transported, transferred, sold, or offered to be
14	sold in violation of Rhode Island laws. "Controlled substance" does not include marijuana.
15	(b) "Dealer" means a person who in violation of Rhode Island law manufactures, produces,
16	ships, transports, or imports into Rhode Island or in any manner acquires or possesses more than
17	forty-two and one half (42.5) grams of marijuana, or seven (7) or more grams of any controlled
18	substance, or ten (10) or more dosage units of any controlled substance which is not sold by weight.
19	A quantity of marijuana or a controlled substance is measured by the weight of the substance
20	whether pure or impure or dilute, or by dosage units when the substance is not sold by weight, in
21	the dealer's possession. A quantity of a controlled substance is dilute if it consists of a detectable
22	quantity of pure controlled substance and any excipients or fillers.
23	(c) "Marijuana" means any marijuana, whether real or counterfeit, as defined in § 21-28-
24	1.02(30), that is held, possessed, transported, transferred, sold, or offered to be sold in violation of
25	Rhode Island laws.
26	44-49-4. Rules.
27	The tax administrator may adopt rules necessary to enforce this chapter. The tax
28	administrator shall adopt a uniform system of providing, affixing, and displaying official stamps,
29	official labels, or other official indicia for marijuana and controlled substances on which a tax is
30	imposed.
31	44-49-5. Tax payment required for possession.
32	No dealer may possess any marijuana or controlled substance upon which a tax is imposed
33	under this chapter unless the tax has been paid on the marijuana or a controlled substance as
34	evidenced by a stamp or other official indicia.
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1	44-49-7. Pharmaceuticals.
2	Nothing in this chapter shall require persons lawfully in possession of marijuana or a
3	controlled substance to pay the tax required under this chapter.
4	44-49-8. Measurement.
5	For the purpose of calculating this tax, a quantity of marijuana or a controlled substance is
6	measured by the weight of the substance whether pure or impure or dilute, or by dosage units when
7	the substance is not sold by weight, in the dealer's possession. A quantity of a controlled substance
8	is dilute if it consists of a detectable quantity of pure controlled substance and any excipients or
9	fillers.
10	44-49-9. Tax rate.
11	A tax is imposed on marijuana and controlled substances as defined in § 44-49-2 at the
12	following rates:
13	(1) On each gram of marijuana, or each portion of a gram, three dollars and fifty cents
14	($3.50); and
15	(2)(1) On each gram of controlled substance, or portion of a gram, two hundred dollars
16	($200); or
17	(3)(2) On each ten (10) dosage units of a controlled substance that is not sold by weight,
18	or portion of the dosage units, four hundred dollars ($400).
19	44-49-9.1. Imposition of tax, interest and liens.
20	(a) Any law enforcement agency seizing marijuana and/or controlled substances as defined
21	in § 44-49-2 in the quantities set forth in that section shall report to the division of taxation no later
22	than the twenty-fifth (25th) of each month, the amount of all marijuana and controlled substances
23	seized during the previous month and the name and address of each dealer from whom the
24	marijuana and controlled substances were seized.
25	(b) The tax administrator shall assess the dealer for any tax due at the rate provided by §
26	44-49-9. The tax shall be payable within fifteen (15) days after its assessment and, if not paid when
27	due, shall bear interest from the date of its assessment at the rate provided in § 44-1-7 until paid.
28	(c) The tax administrator may file a notice of tax lien upon the real property of the dealer
29	located in this state immediately upon mailing a notice of assessment to the dealer at the address
30	listed in the report of the law enforcement agency. The tax administrator may discharge the lien
31	imposed upon the filing of a bond satisfactory to the tax administrator in an amount equal to the
32	tax, interest and penalty imposed under this chapter.
33	44-49-10. Penalties – Criminal provisions.
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1	(a) Penalties. Any dealer violating this chapter is subject to a penalty of one hundred
2	percent (100%) of the tax in addition to the tax imposed by § 44-49-9. The penalty will be collected
3	as part of the tax.
4	(b) Criminal penalty; sale without affixed stamps. In addition to the tax penalty imposed,
5	a dealer distributing or possessing marijuana or controlled substances without affixing the
6	appropriate stamps, labels, or other indicia is guilty of a crime and, upon conviction, may be
7	sentenced to imprisonment for not more than five (5) years, or to payment of a fine of not more
8	than ten thousand dollars ($10,000), or both.
9	(c) Statute of limitations. An indictment may be found and filed, or a complaint filed,
10	upon any criminal offense specified in this section, in the proper court within six (6) years after the
11	commission of this offense.
12	44-49-11. Stamp price.
13	Official stamps, labels, or other indicia to be affixed to all marijuana or controlled
14	substances shall be purchased from the tax administrator. The purchaser shall pay one hundred
15	percent (100%) of face value for each stamp, label, or other indicia at the time of the purchase.
16	44-49-12. Payment due.
17	(a) Stamps affixed. When a dealer purchases, acquires, transports, or imports into this state
18	marijuana or controlled substances on which a tax is imposed by § 44-49-9, and if the indicia
19	evidencing the payment of the tax have not already been affixed, the dealer shall have them
20	permanently affixed on the marijuana or controlled substance immediately after receiving the
21	substance. Each stamp or other official indicia may be used only once.
22	(b) Payable on possession. Taxes imposed upon marijuana or controlled substances by this
23	chapter are due and payable immediately upon acquisition or possession in this state by a dealer.
24	SECTION 9. Title 44 of the General Laws entitled “Taxation” is hereby amended by
25	adding thereto the following chapter:
26	CHAPTER 49.1
27	THE CANNABIS TAXATION ACT
28	44-49.1-1. Short title.
29	This chapter shall be known as the "Cannabis Taxation Act.”
30	44-49.1-2. Definitions.
31	As used in this chapter, unless the context clearly indicates otherwise, the following words
32	and phrases shall have the following meanings:
33	(1) “Adult use marijuana retailer” has the meaning given that term in § 21-28.11-3.
34	(2) “Cannabis” has the meaning given that term in § 21-28.11-3.
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1	(3) “Department of business regulation” means the office of cannabis regulation with the
2	department of business regulation or its successor agency.
3	(4) “Licensee” has the same meaning as "marijuana establishment licensee" in § 21-28.11-
4	3.
5	(5) “Marijuana” has the meaning given that term in § 21-28-1.02.
6	(6) Marijuana cash use surcharge account means the restricted receipt account established
7	in the department of revenue to collect penalties on tax payments related to marijuana that are paid
8	in cash.
9	(7) “Marijuana cultivator” means a licensed medical marijuana cultivator as defined in § 21-
10	28.6-3, an adult use marijuana cultivator as defined in § 21-28.11-3, or any other person licensed by
11	the department of business regulation to cultivate marijuana in the state. A marijuana cultivator does
12	not include a primary caregiver or qualifying patients, as defined in 21-28.6-3, who are growing
13	marijuana pursuant to § 21-28.6-4 and in accordance with chapter 28.6 of title 21 and the
14	regulations promulgated thereunder.
15	(8) “Marijuana flower” means the flower or bud from a marijuana plant.
16	(9) “Marijuana products” has the meaning given that term in § 21-28.11-3.
17	(10) “Marijuana trim” means any part of the marijuana plant other than marijuana flower.
18	(11) "Person" means any individual, including an employee or agent, firm, fiduciary,
19	partnership, corporation, trust, or association, however formed.
20	(12) "Tax administrator" means the tax administrator within the division of taxation of the
21	department of revenue as defined in § 44-1-1.
22	44-49.1-3. Adult use cultivator, retailer licenses required.
23	Each person engaging in the business of cultivating adult use marijuana or selling adult use
24	marijuana products, shall secure a license from the department of business regulation before
25	engaging in that business, or continuing to engage in it. A separate application and license is
26	required for each place of business operated by the retailer. A licensee shall notify the department
27	of business regulation and tax administrator simultaneously within thirty (30) days in the event that
28	it changes its principal place of business. A separate license is required for each type of business if
29	the applicant is engaged in more than one of the activities required to be licensed by this section.
30	44-49.1-4. Marijuana cultivator excise tax.
31	(a) An excise tax is imposed on all marijuana cultivated by marijuana cultivators. The rate
32	of taxation is as follows:
33	(1) Three dollars ($3.00) for every dried ounce of marijuana trim and a proportionate tax
34	at the like rate on all fractional parts of an ounce thereof, and
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1	(2) Ten dollars ($10.00) for every dried ounce of marijuana flower and a proportionate tax
2	at the like rate on all fractional parts of an ounce thereof.
3	(b) Marijuana trim and marijuana flower that has not reached a dried state will be taxed
4	using equivalent amounts as established by regulations promulgated by the department of taxation
5	and the department of business regulation.
6	(c) The excise tax is assessed and levied upon the sale or transfer of marijuana by a
7	marijuana cultivator to any party or upon the designation of the product for retail sale by the
8	cultivator, whichever occurs earlier.
9	(d) The tax bears interest at the annual rate provided by § 44-1-7 from the twentieth (20th)
10	day after the close of the month for which the amount, or any portion of it, should have been paid
11	until the date of payment.
12	(e) This section is effective as of January 1, 2023.
13	44-49.1-5. Adult use marijuana retail excise tax.
14	(a) An excise tax is imposed on all marijuana sold by adult use marijuana retailers pursuant
15	to chapter 28.12 of title 21 at a rate of ten percent (10%) of the gross sales of marijuana products.
16	This excise tax is in addition to all other taxes imposed by title 44. The burden of proving the tax
17	was collected is upon the person who makes the sale and the purchaser, unless the person who
18	makes the sales takes from the purchaser a certificate to the effect that the purchase was for resale.
19	The certificate shall contain any information and be in the form that the tax administrator may
20	require.
21	(b) Any adult use marijuana retailer shall collect the taxes imposed by this section from
22	any purchaser to whom the sale of marijuana products is made and shall remit to the state the tax
23	levied by this section. The retail sale of marijuana products shall not be bundled with any other
24	non-marijuana tangible personal property or taxable services set forth in R.I. Gen. Laws § 44-18-
25	7.3.
26	(c) The adult use marijuana retailer shall add the tax imposed by this chapter to the sale
27	price or charge, and when added the tax constitutes a part of the price or charge, is a debt from the
28	consumer or user to the retailer, and is recoverable at law in the same manner as other debts;
29	provided, that the amount of tax that the retailer collects from the consumer or user is as follows:
30	Amount of Fair Market Value, as Tax
31	$0.01 to $ .09 inclusive No Tax
32	.10 to .19 inclusive .01
33	.20 to .29 inclusive .02
34	.30 to .39 inclusive .03
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1	.40 to .49 inclusive .04
2	.50 to .59 inclusive .05
3	.60 to .69 inclusive .06
4	.70 to .79 inclusive .07
5	.80 to .89 inclusive .08
6	.90 to .99 inclusive .09
7	.100 to .109 inclusive .10
8	and where the amount of the sale is more than one dollar and nine cents ($1.09) the amount
9	of the tax is computed at the rate of ten percent (10%)
10	(d) It shall be deemed a violation of this section for an adult use marijuana retailer to fail
11	to separately state the tax imposed in this section and instead include it in the sale price of marijuana
12	products. The tax levied in this article shall be imposed is in addition to all other taxes imposed by
13	the state, or any municipal corporation or political subdivision of any of the foregoing.
14	(e) The tax bears interest at the annual rate provided by § 44-1-7 from the twentieth (20th)
15	day after the close of the month for which the amount, or any portion of it, should have been paid
16	until the date of payment.
17	44-49.1-6. Returns.
18	(a) Every marijuana cultivator shall, on or before the twentieth (20th) day of the month
19	following the sale or transfer of marijuana, make a return to the tax administrator for taxes due
20	under § 44-49.1-4. Marijuana cultivators shall file their returns on a form as prescribed by the tax
21	administrator.
22	(b) Every licensed adult use marijuana retailer shall, on or before the twentieth (20th) day
23	of the month following the sale of marijuana products, make a return to the tax administrator for
24	taxes due under § 44-49.1-5. Adult use marijuana retailers shall file their returns on a form as
25	prescribed by the tax administrator.
26	(c) If for any reason an adult use marijuana retailer fails to collect the tax imposed § 44-
27	49.1-5 from the purchaser, the purchaser shall file a return and pay the tax directly to the state, on
28	or before the date required by subsection (b) of this section.
29	(d) There is created with the general fund a restricted receipt account to be known as the
30	“marijuana cash use surcharge” account. Surcharge collected pursuant to subsection (e) shall be
31	deposited into this account and be used to finance costs associated with processing and handling
32	cash payments and other enforcement related to taxes mandated to be paid under this chapter. The
33	restricted receipt account will be housed within the budget of the department of revenue. All
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1	amounts deposited into the marijuana cash use surcharge account shall be exempt from the indirect
2	cost recovery provisions of § 35-4-27.
3	(e) Any licensee who makes a payment in cash for taxes due under this chapter, or taxes
4	due under chapters 18 or 67 of this title, shall pay a ten percent (10%) penalty on the amount of
5	that payment to the division of taxation. Payment of a tax return with less than one thousand dollars
6	($1,000) in taxes due per month, on average, shall not be subject to the penalty.
7	(f) Notwithstanding any other provision of law, the department of business regulation and
8	tax administrator may, on a periodic basis, prepare and publish for public distribution a list of
9	entities and their active licenses administered under this chapter. Each list may contain the license
10	type, name of the licensee, and the amount of tax paid under this chapter.
11	44-49.1-7. Sale of contraband products prohibited.
12	(a) No person shall sell, offer for sale, display for sale, or possess with intent to sell any
13	contraband marijuana, marijuana products.
14	(b) Any marijuana or marijuana products exchanged in which one of the two entities does
15	not have a license or exchanged between a non-licensed entity and a consumer shall be considered
16	contraband.
17	(c) Any marijuana or marijuana products for which applicable taxes have not been paid as
18	specified in title 44 shall be considered contraband.
19	(d) Failure to comply with the provisions of this chapter may result in the imposition of the
20	applicable civil penalties in Section 44-49.1-12 below; however, the possession of marijuana or
21	marijuana products as described in this chapter do not constitute contraband for purposes of
22	imposing a criminal penalty under chapter 28 of title 21.
23	44-49.1-8. Recordkeeping.
24	(a) Each licensee shall maintain copies of invoices or equivalent documentation for, or
25	itemized for, each of its facilities for each involving the sale or transfer of marijuana or marijuana
26	products. All records and invoices required under this section must be safely preserved for three
27	(3) years in a manner to insure permanency and accessibility for inspection by the administrator or
28	his or her authorized agents.
29	(b) Records required under this section shall be preserved on the premises described in the
30	relevant license in such a manner as to ensure permanency and accessibility for inspection at
31	reasonable hours by authorized personnel of the administrator. With the tax administrator's
32	permission, persons with multiple places of business may retain centralized records but shall
33	transmit duplicates of the invoices or the equivalent documentation to each place of business within
34	twenty-four (24) hours upon the request of the administrator or his or her designee.
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1	(c) Any person who fails to submit the reports required in this chapter or by the tax
2	administrator under this chapter, or who makes any incomplete, false, or fraudulent report, or who
3	refuses to permit the tax administrator or his or her authorized agent to examine any books, records,
4	papers, or stocks of marijuana or marijuana products as provided in this chapter, or who refuses to
5	supply the tax administrator with any other information which the tax administrator requests for
6	the reasonable and proper enforcement of the provisions of this chapter, shall be guilty of a
7	misdemeanor punishable by imprisonment up to one (1) year, or a fine of not more than five
8	thousand dollars ($5,000), or both, for the first offense, and for each subsequent offense, shall be
9	fined not more than ten thousand dollars ($10,000), or be imprisoned not more than five (5) years,
10	or both.
11	44-49.1-9. Inspections and investigations.
12	(a) The tax administrator or his or her duly authorized agent shall have authority to enter
13	and inspect, without a warrant during normal business hours, and with a warrant during nonbusiness
14	hours, the facilities and records of any licensee.
15	(b) In any case where the administrator or his or her duly authorized agent, or any police
16	officer of this state, has knowledge or reasonable grounds to believe that any vehicle is transporting
17	marijuana or marijuana products in violation of this chapter, the administrator, such agent, or such
18	police officer, is authorized to stop such vehicle and to inspect the same for contraband marijuana
19	or marijuana products.
20	(c) For the purpose of determining the correctness of any return, determining the amount
21	of tax that should have been paid, determining whether or not the licensee should have made a
22	return or paid taxes, or collecting any taxes under this chapter, the tax administrator may examine,
23	or cause to be examined, any books, papers, records, or memoranda, that may be relevant to making
24	those determinations, whether the books, papers, records, or memoranda, are the property of or in
25	the possession of the licensee or another person. The tax administrator may require the attendance
26	of any person having knowledge or information that may be relevant, compel the production of
27	books, papers, records, or memoranda by persons required to attend, take testimony on matters
28	material to the determination, and administer oaths or affirmations. Upon demand of the tax
29	administrator or any examiner or investigator, the court administrator of any court shall issue a
30	subpoena for the attendance of a witness or the production of books, papers, records, and
31	memoranda. The tax administrator may also issue subpoenas. Disobedience of subpoenas issued
32	under this chapter is punishable by the superior court of the district in which the subpoena is issued,
33	or, if the subpoena is issued by the tax administrator, by the superior court of the county in which
34	the party served with the subpoena is located, in the same manner as contempt of superior court.
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1	44-49.1-10. Suspension or revocation of license.
2	The tax administrator may instruct the department of business regulation to, and upon such
3	instruction the department shall be authorized to suspend or revoke any license under this chapter
4	for failure of the licensee to comply with any provision of this chapter or with any provision of any
5	other law or ordinance relative to the sale or transfer of marijuana or marijuana products.
6	44-49.1-11. Seizure and destruction.
7	Any marijuana or marijuana products found in violation of this chapter shall be declared
8	to be contraband goods and may be seized by the tax administrator, his or her agents, or employees,
9	or by any deputy sheriff, or police officer when directed by the tax administrator to do so, without
10	a warrant. For the purposes of seizing and destroying contraband marijuana, employees of the
11	department of business regulation may act as agents of the tax administrator. The seizure and/or
12	destruction of any marijuana or marijuana products under the provisions of this section does not
13	relieve any person from a fine or other penalty for violation of this chapter. The department of
14	business regulation, in conjunction with the tax administrator and the department of public safety,
15	may promulgate rules and regulations for the destruction of contraband goods pursuant to this
16	section.
17	44-49.1-12. Penalties.
18	(a) Failure to file tax returns or to pay tax. In the case of failure:
19	(1) To file. The tax return on or before the prescribed date, unless it is shown that the failure
20	is due to reasonable cause and not due to willful neglect, an addition to tax shall be made equal to
21	ten percent (10%) of the tax required to be reported. For this purpose, the amount of tax required
22	to be reported shall be reduced by an amount of the tax paid on or before the date prescribed for
23	payment and by the amount of any credit against the tax which may properly be claimed upon the
24	return.
25	(2) To pay. The amount shown as tax on the return on or before the prescribed date for
26	payment of the tax unless it is shown that the failure is due to reasonable cause and not due to
27	willful neglect, there shall be added to the amount shown as tax on the return ten percent (10%) of
28	the amount of the tax.
29	(b) Negligence. If any part of a deficiency is due to negligence or intentional disregard of
30	the Rhode Island General Laws or rules or regulations under this chapter (but without intent to
31	defraud), five percent (5%) of that part of the deficiency shall be added to the tax.
32	(c) Fraud. If any part of a deficiency is due to fraud, fifty percent (50%) of that part of the
33	deficiency shall be added to the tax. This amount shall be in lieu of any other additional amounts
34	imposed by subsections (a) and (b) of this section.
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1	(d) Failure to collect and pay over tax. Any person required to collect, truthfully account
2	for, and pay over any tax under this title who willfully fails to collect the tax or truthfully account
3	for and pay over the tax or willfully attempts in any manner to evade or defeat the tax or the payment
4	thereof, shall, in addition to other penalties provided by law, be liable to a civil penalty equal to the
5	total amount of the tax evaded, or not collected, or not accounted for and paid over.
6	(e) Additions and penalties treated as tax. The additions to the tax and civil penalties
7	provided by this section shall be paid upon notice and demand and shall be assessed, collected, and
8	paid in the same manner as taxes.
9	(f) Bad checks. If any check or money order in payment of any amount receivable under
10	this title is not duly paid, in addition to any other penalties provided by law, there shall be paid as
11	a penalty by the person who tendered the check, upon notice and demand by the tax administrator
12	or his or her delegate, in the same manner as tax, an amount equal to one percent (1%) of the amount
13	of the check, except that if the amount of the check is less than five hundred dollars ($500), the
14	penalty under this section shall be five dollars ($5.00). This subsection shall not apply if the person
15	tendered the check in good faith and with reasonable cause to believe that it would be duly paid.
16	(g) Misuse of Trust Funds. Any retailer and any officer, agent, servant, or employee of any
17	corporate retailer responsible for either the collection or payment of the tax, who appropriates or
18	converts the tax collected to his or her own use or to any use other than the payment of the tax to
19	the extent that the money required to be collected is not available for payment on the due date as
20	prescribed in this chapter, shall upon conviction for each offense be fined not more than ten
21	thousand dollars ($10,000), or be imprisoned for one year, or by both fine and imprisonment, both
22	fine and imprisonment to be in addition to any other penalty provided by this chapter.
23	(h) Whoever fails to pay any tax imposed by § 44-49.1-4 or § 44-49.1-5 at the time
24	prescribed by law or regulations, shall, in addition to any other penalty provided in this chapter, be
25	liable for a penalty of one thousand dollars ($1,000) or not more than five (5) times the tax due but
26	unpaid, whichever is greater.
27	(i) When determining the amount of a penalty sought or imposed under this section,
28	evidence of mitigating or aggravating factors, including history, severity, and intent, shall be
29	considered.
30	44-49.1-13. Claim for refund.
31	Whenever the tax administrator determines that any person is entitled to a refund of any
32	moneys paid by a person under the provisions of this chapter, or whenever a court of competent
33	jurisdiction orders a refund of any moneys paid, the general treasurer shall, upon certification by
34	the tax administrator and with the approval of the director of revenue, pay the refund from any
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1	moneys in the treasury not appropriated without any further act or resolution making appropriation
2	for the refund. No refund is allowed unless a claim is filed with the tax administrator within three
3	(3) years from the fifteenth (15th) day after the close of the month for which the overpayment was
4	made.
5	44-49.1-14. Hearings and appeals.
6	(a) Any person aggrieved by any action under this chapter of the tax administrator or his
7	or her authorized agent for which a hearing is not elsewhere provided may apply to the tax
8	administrator, in writing, within thirty (30) days of the action for a hearing, stating the reasons why
9	the hearing should be granted and the manner of relief sought. The tax administrator shall notify
10	the applicant of the time and place fixed for the hearing. After the hearing, the tax administrator
11	may make the order in the premises as may appear to the tax administrator just and lawful and shall
12	furnish a copy of the order to the applicant. The tax administrator may, by notice in writing, at any
13	time, order a hearing on his or her own initiative and require the licensee or any other individual
14	whom the tax administrator believes to be in possession of information concerning any growing,
15	processing, distribution, sales, or transfer of cannabis products to appear before the tax
16	administrator or his or her authorized agent with any specific books of account, papers, or other
17	documents, for examination relative to the hearing.
18	(b) Appeals from administrative orders or decisions made pursuant to any provisions of
19	this chapter shall be to the sixth division district court pursuant to chapter 8 of title 8. The taxpayer's
20	right to appeal under this section shall be expressly made conditional upon prepayment of all taxes,
21	interest, and penalties, unless the taxpayer moves for and is granted an exemption from the
22	prepayment requirement pursuant to § 8-8-26.
23	44-49.1-15. Disclosure of information to the office of cannabis regulation.
24	Notwithstanding any other provision of law, the tax administrator may make available to
25	an officer or employee of the office of cannabis regulation of the Rhode Island department of
26	business regulation, any information that the administrator may consider proper contained in tax
27	reports or returns or any audit or the report of any investigation made with respect to them, filed
28	pursuant to the tax laws of this state, to whom disclosure is necessary for the purpose of ensuring
29	compliance with state law and regulations.
30	44-49.1-16. Transfer of revenue to the marijuana trust fund.
31	(a) The division of taxation shall transfer all collections from marijuana cultivator excise
32	tax and the adult use marijuana retail excise tax, including penalties or forfeitures, interest, costs of
33	suit and fines, to the marijuana trust fund established by § 21-28.12-16.
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1	(b) The division of taxation shall transfer all collections remitted by adult use marijuana
2	retailers pursuant to § 44-18-18 due to the net revenue of marijuana products. The tax administrator
3	may base this transfer on an estimate of the net revenue of marijuana products derived from any
4	other tax data collected under title 44 or data shared by the department of business regulation.
5	44-49.1-17. Rules and regulations.
6	The tax administrator is authorized to promulgate rules and regulations to carry out the
7	provisions, policies, and purposes of this chapter. The provisions of this chapter shall be liberally
8	construed to foster the enforcement of and compliance with all provisions herein related to taxation.
9	44-49.1-18. Severability.
10	If any provision of this chapter or the application of this chapter to any person or
11	circumstances is held invalid, that invalidity shall not affect other provisions or applications of the
12	chapter that can be given effect without the invalid provision or application, and to this end the
13	provisions of this chapter are declared to be severable.
14	SECTION 10. This Article shall take effect upon passage.
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1	ARTICLE 12
2	RELATING TO MEDICAL ASSISTANCE
3	SECTION 1. Sections 12-1.6-1 and 12-1.6-2 of the General Laws in Chapter 12-1.6 entitled
4	“National Criminal Records Check System” are hereby amended to read as follows:
5	12-1.6-1. Automated fingerprint identification system database.
6	The department of attorney general may establish and maintain an automated fingerprint
7	identification system database that would allow the department to store and maintain all fingerprints
8	submitted in accordance with the national criminal records check system. The automated
9	fingerprint identification system database would provide for an automatic notification if, and when,
10	a subsequent criminal arrest fingerprint card is submitted to the system that matches a set of
11	fingerprints previously submitted in accordance with a national criminal records check. If the
12	aforementioned arrest results in a conviction, the department shall immediately notify those
13	individuals and entities with which that individual is associated and who are required to be notified
14	of disqualifying information concerning national criminal records checks as provided in chapters
15	17, 17.4, 17.7.1 of title 23 or § 23-1-52 and 42-7.2 of title 42 or §§ 42-7.2-18.2 and 42-7.2-18.4.
16	The information in the database established under this section is confidential and not subject to
17	disclosure under chapter 38-2.
18	12-1.6-2. Long-term healthcare workers., high-risk medicaid providers, and personal
19	care attendants.
20	The department of attorney general shall maintain an electronic, web-based system to assist
21	facilities, licensed under chapters 17, 17.4, 17.7.1 of title 23 or § 23-1-52, and the executive office
22	of health and human services under §§ 42-7.2-18.1 and 42-7.2-18.3, required to check relevant
23	registries and conduct national criminal records checks of routine contact patient employees.,
24	personal care attendants and high-risk providers. The department of attorney general shall provide
25	for an automated notice, as authorized in § 12-1.6-1, to those facilities or to the executive office of
26	health and human services if a routine-contact patient employee, personal care attendant or high-
27	risk provider is subsequently convicted of a disqualifying offense, as described in the relevant
28	licensing statute or in §§ 42-7.2-18.2 and 42-7.2-18.4. The department of attorney general may
29	charge a facility a one-time, set-up fee of up to one hundred dollars ($100) for access to the
30	electronic web-based system under this section.
31	SECTION 2. Section 42-7.2-18 of Chapter 42-7.2 the General Laws entitled “Office of
32	Health and Human Services” is hereby amended by adding thereto the following sections:
33	42-7.2-18.1. Professional responsibility – Criminal records check for high- risk
34	providers.
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1	(a) As a condition of enrollment and/or continued participation as a Medicaid provider,
2	applicants to become and/or remain a provider shall be required to undergo criminal records checks
3	including a national criminal records check supported by fingerprints by the level of screening
4	based on risk of fraud, waste or abuse as determined by the executive office of health and human
5	services for that category of Medicaid provider.
6	(b) Establishment of Risk Categories – The executive office of health and human services
7	in consultation with the department of attorney general, shall establish through regulation, risk
8	categories for Medicaid providers and provider categories who pose an increased financial risk of
9	fraud, waste or abuse to the Medicaid/CHIP program, in accordance with § 42 CFR §§ 455.434 and
10	455.450.
11	(c) High risk categories, as determined by the executive office health and human services
12	may include:
13	(1) Newly enrolled home health agencies that have not been medicare certified;
14	(2) Newly enrolled durable medical equipment providers;
15	(3) New or revalidating providers that have been categorized by the executive office of
16	health and human services as high risk;
17	(4) New or revalidating providers with payment suspension histories;
18	(5) New or revalidating providers with office of inspector general exclusion histories;
19	(6) New or revalidating providers with qualified overpayment histories; and,
20	(7) New or revalidating providers applying for enrollment post debarment or moratorium
21	(Federal or State-based)
22	(d) Upon the state Medicaid agency determination that a provider or an applicant to become
23	a provider, or a person with a five percent (5%) or more direct or indirect ownership interest in the
24	provider, meets the executive office of health and human services’ criteria for criminal records
25	checks as a “high” risk to the Medicaid program, the executive office of health and human services
26	shall require that each such provider or applicant to become a provider undergo a national criminal
27	records check supported by fingerprints.
28	(e) The executive office of health and human services shall require such a “high risk”
29	Medicaid provider or applicant to become a provider, or any person with a five percent (5%) or
30	more direct or indirect ownership interest in the provider, to submit to a national criminal records
31	check supported by fingerprints within thirty (30) days upon request from the Centers for Medicare
32	and Medicaid or the executive office of health and human services.
33	(f) The Medicaid providers requiring the national criminal records check shall apply to the
34	department of attorney general, bureau of criminal dentification (BCI) to be fingerprinted. The
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1	fingerprints will subsequently be transmitted to the federal bureau of investigation for a national
2	criminal records check. The results of the national criminal records check shall be made available
3	to the applicant undergoing a record check and submitting fingerprints.
4	(g) Upon the discovery of any disqualifying information, as defined in § 42-7.2-18.2 and
5	as in accordance with the regulations promulgated by the executive office of health and human
6	services, the bureau of criminal identification of the department of the attorney general will inform
7	the applicant, in writing, of the nature of the disqualifying information; and, without disclosing the
8	nature of the disqualifying information, will notify the executive office of health and human
9	services, in writing, that disqualifying information has been discovered.
10	(h) In those situations, in which no disqualifying information has been found, the bureau
11	of criminal identification of the department of the attorney general shall inform the applicant and
12	the executive office of health and human services, in writing, of this fact.
13	(i) The applicant shall be responsible for the cost of conducting the national criminal
14	records check through the bureau of criminal identification of the department of attorney general.
15	42-7.2-18.2. Professional responsibility – Criminal records check disqualifying
16	information for high-risk providers.
17	(a) Information produced by a national criminal records check pertaining to conviction, for
18	the following crimes will result in a letter to the executive office of health and human services ,
19	disqualifying the applicant from being a medicaid provider: murder, voluntary manslaughter,
20	involuntary manslaughter, first degree sexual assault, second degree sexual assault, third degree
21	sexual assault, assault on persons sixty (60) years of age or older, assault with intent to commit
22	specified felonies (murder, robbery, rape, burglary, or the abominable and detestable crime against
23	nature) felony assault, patient abuse, neglect or mistreatment of patients, burglary, first degree
24	arson, robbery, felony drug offenses, felony larceny, or felony banking law violations, felony
25	obtaining money under false pretenses, felony embezzlement, abuse, neglect and/or exploitation of
26	adults with severe impairments, exploitation of elders, or a crime under section 1128 (a) of the
27	Social Security Act (42 U.S.C. 1320a-7(a)). An applicant against whom disqualifying information
28	has been found, for purposes of appeal, may provide a copy of the national criminal records check
29	to the executive office of health and human services, who shall make a judgment regarding the
30	approval of or the continued status of that person as a provider.
31	(b) For purposes of this section, “conviction” means, in addition to judgments of conviction
32	entered by a court subsequent to a finding of guilty or a plea of guilty, those instances where the
33	defendant has entered a plea of nolo contendere and has received a sentence of probation and those
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1	instances where a defendant has entered into a deferred sentence agreement with the attorney
2	general.
3	42-7.2-18.3. Professional responsibility – Criminal records check for personal care
4	aides.
5	(a) Any person seeking employment to provide care to elderly or individuals with
6	disabilities who is, or may be required to be, licensed, registered, trained or certified with
7	the office of medicaid if that employment involves routine contact with elderly or
8	individuals with disabilities without the presence of other employees, shall undergo a
9	national criminal records check supported by fingerprints. The applicant will report to the
10	office of attorney general, bureau of criminal identification to submit their fingerprints.
11	The fingerprints will subsequently be submitted to the federal bureau of investigation (FBI)
12	by the bureau of criminal identification of the office of attorney general. The national
13	criminal records check shall be initiated prior to, or within one week of, employment.
14	(b) The director of the office of medicaid may, by rule, identify those positions
15	requiring criminal records checks. The identified employee, through the executive office
16	of health and human services, shall apply to the bureau of criminal identification of the
17	department of attorney general for a national criminal records check. Upon the discovery
18	of any disqualifying information, as defined in § 42-7.2-18.4 and in accordance with the
19	rule promulgated by the secretary of the executive office of health and human services, the
20	bureau of criminal identification of the department of the attorney general will inform the
21	applicant, in writing, of the nature of the disqualifying information; and, without disclosing
22	the nature of the disqualifying information, will notify the executive office of health and
23	human services executive office of health and human services in writing, that disqualifying
24	information has been discovered.
25	(c) An applicant against whom disqualifying information has been found, for purposes of
26	appeal, may provide a copy of the national criminal history check to the executive office of health
27	and human services, who shall make a judgment regarding the approval of the applicant.
28	(d) In those situations, in which no disqualifying information has been found, the bureau
29	of criminal identification of the department of the attorney general shall inform the applicant and
30	the executive office health and human services, in writing, of this fact.
31	(e) The executive office of health and human services shall maintain on file
32	evidence that criminal records checks have been initiated on all applicants subsequent to
33	July 1, 2022.
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1	(f) The applicant shall be responsible for the cost of conducting the national
2	criminal records check through the bureau of criminal identification of the department of
3	the attorney general.
4	42-7.2-18.4. Professional responsibility – Criminal records check disqualifying
5	information for personal care aides.
6	(a) Information produced by a national criminal records check pertaining to conviction, for
7	the following crimes will result in a letter to the applicant and the executive office of health and
8	human services , disqualifying the applicant: murder, voluntary manslaughter, involuntary
9	manslaughter, first degree sexual assault, second degree sexual assault, third degree sexual assault,
10	assault on persons sixty (60) years of age or older, assault with intent to commit specified felonies
11	(murder, robbery, rape, burglary, or the abominable and detestable crime against nature) felony
12	assault, patient abuse, neglect or mistreatment of patients, burglary, first degree arson, robbery,
13	felony drug offenses, felony larceny, or felony banking law violations, felony obtaining money
14	under false pretenses, felony embezzlement, abuse, neglect and/or exploitation of adults with severe
15	impairments, exploitation of elders, or a crime under section 1128(a) of the Social Security Act (42
16	U.S.C. 1320a-7(a)).
17	(b) For purposes of this section, “conviction” means, in addition to judgments of conviction
18	entered by a court subsequent to a finding of guilty or a plea of guilty, those instances where the
19	defendant has entered a plea of nolo contendere and has received a sentence of probation and those
20	instances where a defendant has entered into a deferred sentence agreement with the attorney
21	general.
22	SECTION 3. Section 23-17-38.1 of the General Laws in Chapter 23-17 entitled “Licensing
23	of Health Care Facilities” is hereby amended to read as follows:
24	23-17-38.1. Hospitals — Licensing fee. (a) There is imposed a hospital licensing fee at
25	the rate of six percent (6%) upon the net patient-services revenue of every hospital for the hospital's
26	first fiscal year ending on or after January 1, 2018, except that the license fee for all hospitals
27	located in Washington County, Rhode Island shall be discounted by thirty-seven percent (37%).
28	The discount for Washington County hospitals is subject to approval by the Secretary of the U.S.
29	Department of Health and Human Services of a state plan amendment submitted by the executive
30	office of health and human services for the purpose of pursuing a waiver of the uniformity
31	requirement for the hospital license fee. This licensing fee shall be administered and collected by
32	the tax administrator, division of taxation within the department of revenue, and all the
33	administration, collection, and other provisions of Chapter 51 of title 44 shall apply. Every hospital
34	shall pay the licensing fee to the tax administrator on or before July 13, 2020, and payments shall
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1	be made by electronic transfer of monies to the general treasurer and deposited to the general fund.
2	Every hospital shall, on or before June 15, 2020, make a return to the tax administrator containing
3	the correct computation of net patient-services revenue for the hospital fiscal year ending
4	September 30, 2018, and the licensing fee due upon that amount. All returns shall be signed by the
5	hospital's authorized representative, subject to the pains and penalties of perjury.
6	(b) (a) There is also imposed a hospital licensing fee for state fiscal year 2021 against each
7	hospital in the state. The hospital licensing fee is equal to five percent (5.0%) of the net patient-
8	services revenue of every hospital for the hospital's first fiscal year ending on or after January 1,
9	2019, except that the license fee for all hospitals located in Washington County, Rhode Island shall
10	be discounted by thirty-seven percent (37%). The discount for Washington County hospitals is
11	subject to approval by the Secretary of the U.S. Department of Health and Human Services of a
12	state plan amendment submitted by the executive office of health and human services for the
13	purpose of pursuing a waiver of the uniformity requirement for the hospital license fee. This
14	licensing fee shall be administered and collected by the tax administrator, division of taxation
15	within the department of revenue, and all the administration, collection, and other provisions of
16	Chapter 51 of title 44 shall apply. Every hospital shall pay the licensing fee to the tax administrator
17	on or before July 13, 2021, and payments shall be made by electronic transfer of monies to the
18	general treasurer and deposited to the general fund. Every hospital shall, on or before June 15,
19	2020, make a return to the tax administrator containing the correct computation of net patient-
20	services revenue for the hospital fiscal year ending September 30, 2019, and the licensing fee due
21	upon that amount. All returns shall be signed by the hospital's authorized representative, subject to
22	the pains and penalties of perjury.
23	(c) (b) There is also imposed a hospital licensing fee for state fiscal year 2022 against each
24	hospital in the state. The hospital licensing fee is equal to five and seven hundred twenty-five
25	thousandths percent (5.725%) of the net patient-services revenue of every hospital for the hospital's
26	first fiscal year ending on or after January 1, 2020, except that the license fee for all hospitals
27	located in Washington County, Rhode Island shall be discounted by thirty-seven percent (37%).
28	The discount for Washington County hospitals is subject to approval by the Secretary of the U.S.
29	Department of Health and Human Services of a state plan amendment submitted by the executive
30	office of health and human services for the purpose of pursuing a waiver of the uniformity
31	requirement for the hospital license fee. This licensing fee shall be administered and collected by
32	the tax administrator, division of taxation within the department of revenue, and all the
33	administration, collection, and other provisions of Chapter 51 of title 44 shall apply. Every hospital
34	shall pay the licensing fee to the tax administrator on or before July 13, 2022, and payments shall
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1	be made by electronic transfer of monies to the general treasurer and deposited to the general fund.
2	Every hospital shall, on or before June 15, 2022, make a return to the tax administrator containing
3	the correct computation of net patient-services revenue for the hospital fiscal year ending
4	September 30, 2020, and the licensing fee due upon that amount. All returns shall be signed by the
5	hospital's authorized representative, subject to the pains and penalties of perjury.
6	(c) There is also imposed a hospital licensing fee for state fiscal year 2023 against each
7	hospital in the state. The hospital licensing fee is equal to five and seven hundred twenty-five
8	thousandths percent (5.725%) of the net patient-services revenue of every hospital for the hospital's
9	first fiscal year ending on or after January 1, 2020, except that the license fee for all hospitals
10	located in Washington County, Rhode Island shall be discounted by thirty-seven percent (37%).
11	The discount for Washington County hospitals is subject to approval by the Secretary of the U.S.
12	Department of Health and Human Services of a state plan amendment submitted by the executive
13	office of health and human services for the purpose of pursuing a waiver of the uniformity
14	requirement for the hospital license fee. This licensing fee shall be administered and collected by
15	the tax administrator, division of taxation within the department of revenue, and all the
16	administration, collection, and other provisions of Chapter 51 of title 44 shall apply. Every hospital
17	shall pay the licensing fee to the tax administrator on or before July 13, 2023, and payments shall
18	be made by electronic transfer of monies to the general treasurer and deposited to the general fund.
19	Every hospital shall, on or before June 15, 2023, make a return to the tax administrator containing
20	the correct computation of net patient-services revenue for the hospital fiscal year ending
21	September 30, 2020, and the licensing fee due upon that amount. All returns shall be signed by the
22	hospital's authorized representative, subject to the pains and penalties of perjury.
23	(d) For purposes of this section the following words and phrases have the following
24	meanings:
25	(1) "Hospital" means the actual facilities and buildings in existence in Rhode Island,
26	licensed pursuant to § 23-17-1 et seq. on June 30, 2010, and thereafter any premises included on
27	that license, regardless of changes in licensure status pursuant to chapter 17.14 of title 23 (hospital
28	conversions) and § 23-17-6(b) (change in effective control), that provides short-term acute inpatient
29	and/or outpatient care to persons who require definitive diagnosis and treatment for injury, illness,
30	disabilities, or pregnancy. Notwithstanding the preceding language, the negotiated Medicaid
31	managed care payment rates for a court-approved purchaser that acquires a hospital through
32	receivership, special mastership, or other similar state insolvency proceedings (which court-
33	approved purchaser is issued a hospital license after January 1, 2013) shall be based upon the newly
34	negotiated rates between the court-approved purchaser and the health plan, and such rates shall be
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1	effective as of the date that the court-approved purchaser and the health plan execute the initial
2	agreement containing the newly negotiated rate. The rate-setting methodology for inpatient hospital
3	payments and outpatient hospital payments set forth in §§ 40-8-13.4(b) and 40-8-13.4(b)(2),
4	respectively, shall thereafter apply to negotiated increases for each annual twelve-month (12)
5	period as of July 1 following the completion of the first full year of the court-approved purchaser's
6	initial Medicaid managed care contract.
7	(2) "Gross patient-services revenue" means the gross revenue related to patient care
8	services.
9	(3) "Net patient-services revenue" means the charges related to patient care services less
10	(i) Charges attributable to charity care; (ii) Bad debt expenses; and (iii) Contractual allowances.
11	(e) The tax administrator shall make and promulgate any rules, regulations, and procedures
12	not inconsistent with state law and fiscal procedures that he or she deems necessary for the proper
13	administration of this section and to carry out the provisions, policy, and purposes of this section.
14	(f) The licensing fee imposed by subsection (b) (a) shall apply to hospitals as defined herein
15	that are duly licensed on July 1, 2020, and shall be in addition to the inspection fee imposed by §
16	23-17-38 and to any licensing fees previously imposed in accordance with this section.
17	(g) The licensing fee imposed by subsection (c) (b) shall apply to hospitals as defined
18	herein that are duly licensed on July 1, 2021, and shall be in addition to the inspection fee imposed
19	by § 23-17-38 and to any licensing fees previously imposed in accordance with this section.
20	(e) The licensing fee imposed by subsection (c) shall apply to hospitals as defined herein
21	that are duly licensed on July 1, 2022, and shall be in addition to the inspection fee imposed by §
22	23-17-38 and to any licensing fees previously imposed in accordance with this section.
23	SECTION 4. Sections 40-8.3-2 and 40-8.3-3 of the General Laws in Chapter 40-8.3 entitled
24	“Uncompensated Care” are hereby amended to read as follows:
25	40-8.3-2. Definitions.
26	As used in this chapter:
27	(1) "Base year" means, for the purpose of calculating a disproportionate share payment for
28	any fiscal year ending after September 30, 2020 2021, the period from October 1, 2018 2019,
29	through September 30, 2019 2020, and for any fiscal year ending after September 30, 2021 2022,
30	the period from October 1, 2019, through September 30, 2020.
31	(2) "Medicaid inpatient utilization rate for a hospital" means a fraction (expressed as a
32	percentage), the numerator of which is the hospital's number of inpatient days during the base year
33	attributable to patients who were eligible for medical assistance during the base year and the
34	denominator of which is the total number of the hospital's inpatient days in the base year.
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1	(3) "Participating hospital" means any nongovernment and nonpsychiatric hospital that:
2	(i) Was licensed as a hospital in accordance with chapter 17 of title 23 during the base year
3	and shall mean the actual facilities and buildings in existence in Rhode Island, licensed pursuant to
4	§ 23-17-1 et seq. on June 30, 2010, and thereafter any premises included on that license, regardless
5	of changes in licensure status pursuant to chapter 17.14 of title 23 (hospital conversions) and § 23-
6	17-6(b) (change in effective control), that provides short-term, acute inpatient and/or outpatient
7	care to persons who require definitive diagnosis and treatment for injury, illness, disabilities, or
8	pregnancy. Notwithstanding the preceding language, the negotiated Medicaid managed care
9	payment rates for a court-approved purchaser that acquires a hospital through receivership, special
10	mastership, or other similar state insolvency proceedings (which court-approved purchaser is issued
11	a hospital license after January 1, 2013), shall be based upon the newly negotiated rates between
12	the court-approved purchaser and the health plan, and the rates shall be effective as of the date that
13	the court-approved purchaser and the health plan execute the initial agreement containing the newly
14	negotiated rate. The rate-setting methodology for inpatient hospital payments and outpatient
15	hospital payments set forth in §§ 40-8-13.4(b)(1)(ii)(C) and 40-8-13.4(b)(2), respectively, shall
16	thereafter apply to negotiated increases for each annual twelve-month (12) period as of July 1
17	following the completion of the first full year of the court-approved purchaser's initial Medicaid
18	managed care contract;
19	(ii) Achieved a medical assistance inpatient utilization rate of at least one percent (1%)
20	during the base year; and
21	(iii) Continues to be licensed as a hospital in accordance with chapter 17 of title 23 during
22	the payment year.
23	(4) "Uncompensated-care costs" means, as to any hospital, the sum of: (i) The cost incurred
24	by the hospital during the base year for inpatient or outpatient services attributable to charity care
25	(free care and bad debts) for which the patient has no health insurance or other third-party coverage
26	less payments, if any, received directly from such patients; and (ii) The cost incurred by the hospital
27	during the base year for inpatient or outpatient services attributable to Medicaid beneficiaries less
28	any Medicaid reimbursement received therefor; multiplied by the uncompensated-care index.
29	(5) "Uncompensated-care index" means the annual percentage increase for hospitals
30	established pursuant to § 27-19-14 [repealed] for each year after the base year, up to and including
31	the payment year; provided, however, that the uncompensated-care index for the payment year
32	ending September 30, 2007, shall be deemed to be five and thirty-eight hundredths percent (5.38%),
33	and that the uncompensated-care index for the payment year ending September 30, 2008, shall be
34	deemed to be five and forty-seven hundredths percent (5.47%), and that the uncompensated-care
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1	index for the payment year ending September 30, 2009, shall be deemed to be five and thirty-eight
2	hundredths percent (5.38%), and that the uncompensated-care index for the payment years ending
3	September 30, 2010, September 30, 2011, September 30, 2012, September 30, 2013, September
4	30, 2014, September 30, 2015, September 30, 2016, September 30, 2017, September 30, 2018,
5	September 30, 2019, September 30, 2020, September 30, 2021, and September 30, 2022, and
6	September 30, 2023 shall be deemed to be five and thirty hundredths percent (5.30%).
7	40-8.3-3. Implementation.
8	(a) For federal fiscal year 2020, commencing on October 1, 2019, and ending September
9	30, 2020, the executive office of health and human services shall submit to the Secretary of the
10	United States Department of Health and Human Services a state plan amendment to the Rhode
11	Island Medicaid DSH Plan to provide:
12	(1) That the DSH Plan to all participating hospitals, not to exceed an aggregate limit of
13	$142.4 million, shall be allocated by the executive office of health and human services to the Pool
14	D component of the DSH Plan; and
15	(2) That the Pool D allotment shall be distributed among the participating hospitals in direct
16	proportion to the individual participating hospital's uncompensated-care costs for the base year,
17	inflated by the uncompensated-care index to the total uncompensated-care costs for the base year
18	inflated by the uncompensated-care index for all participating hospitals. The disproportionate share
19	payments shall be made on or before July 13, 2020, and are expressly conditioned upon approval
20	on or before July 6, 2020, by the Secretary of the United States Department of Health and Human
21	Services, or his or her authorized representative, of all Medicaid state plan amendments necessary
22	to secure for the state the benefit of federal financial participation in federal fiscal year 2020 for
23	the disproportionate share payments.
24	(b) (a) For federal fiscal year 2021, commencing on October 1, 2020, and ending
25	September 30, 2021, the executive office of health and human services shall submit to the Secretary
26	of the United States Department of Health and Human Services a state plan amendment to the
27	Rhode Island Medicaid DSH Plan to provide:
28	(1) That the DSH Plan to all participating hospitals, not to exceed an aggregate limit of
29	$142.5 million, shall be allocated by the executive office of health and human services to the Pool
30	D component of the DSH Plan; and
31	(2) That the Pool D allotment shall be distributed among the participating hospitals in direct
32	proportion to the individual participating hospital's uncompensated-care costs for the base year,
33	inflated by the uncompensated-care index to the total uncompensated-care costs for the base year
34	inflated by the uncompensated-care index for all participating hospitals. The disproportionate share
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1	payments shall be made on or before July 12, 2021, and are expressly conditioned upon approval
2	on or before July 5, 2021, by the Secretary of the United States department of health and human
3	services, or his or her authorized representative, of all Medicaid state plan amendments necessary
4	to secure for the state the benefit of federal financial participation in federal fiscal year 2021 for
5	the disproportionate share payments.
6	(c) (b) For federal fiscal year 2022, commencing on October 1, 2021, and ending
7	September 30, 2022, the executive office of health and human services shall submit to the Secretary
8	of the United States Department of Health and Human Services a state plan amendment to the
9	Rhode Island Medicaid DSH Plan to provide:
10	(1) That the DSH Plan to all participating hospitals, not to exceed an aggregate limit of
11	$143.8 $142.5 million, shall be allocated by the executive office of health and human services to
12	the Pool D component of the DSH Plan; and
13	(2) That the Pool D allotment shall be distributed among the participating hospitals in direct
14	proportion to the individual participating hospital's uncompensated-care costs for the base year,
15	inflated by the uncompensated-care index to the total uncompensated-care costs for the base year
16	inflated by the uncompensated-care index for all participating hospitals. The disproportionate share
17	payments shall be made on or before July 12, 2022, and are expressly conditioned upon approval
18	on or before July 5, 2022, by the Secretary of the United States Department of Health and Human
19	Services, or his or her authorized representative, of all Medicaid state plan amendments necessary
20	to secure for the state the benefit of federal financial participation in federal fiscal year 2022 for
21	the disproportionate share payments.
22	(c) For federal fiscal year 2023, commencing on October 1, 2022, and ending September
23	30, 2023, the executive office of health and human services shall submit to the Secretary of the
24	United States Department of Health and Human Services a state plan amendment to the Rhode
25	Island Medicaid DSH Plan to provide:
26	(1) That the DSH Plan to all participating hospitals, not to exceed an aggregate limit of
27	$142.5 million, shall be allocated by the executive office of health and human services to the Pool
28	D component of the DSH Plan; and
29	(2) That the Pool D allotment shall be distributed among the participating hospitals in direct
30	proportion to the individual participating hospital's uncompensated-care costs for the base year,
31	inflated by the uncompensated-care index to the total uncompensated-care costs for the base year
32	inflated by the uncompensated-care index for all participating hospitals. The disproportionate share
33	payments shall be made on or before July 12, 2023, and are expressly conditioned upon approval
34	on or before July 5, 2023, by the Secretary of the United States Department of Health and Human
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1	Services, or his or her authorized representative, of all Medicaid state plan amendments necessary
2	to secure for the state the benefit of federal financial participation in federal fiscal year 2023 for
3	the disproportionate share payments.
4	(d) No provision is made pursuant to this chapter for disproportionate-share hospital
5	payments to participating hospitals for uncompensated-care costs related to graduate medical
6	education programs.
7	(e) The executive office of health and human services is directed, on at least a monthly
8	basis, to collect patient-level uninsured information, including, but not limited to, demographics,
9	services rendered, and reason for uninsured status from all hospitals licensed in Rhode Island.
10	(f) [Deleted by P.L. 2019, ch. 88, art. 13, § 6.]
11	SECTION 5. Section 40-8.19 of the General Laws in Chapter 40-8 entitled “Medical
12	Assistance” is hereby amended to read as follows:
13	40-8-19. Rates of payment to nursing facilities.
14	(a) Rate reform.
15	(1) The rates to be paid by the state to nursing facilities licensed pursuant to chapter 17 of
16	title 23, and certified to participate in Title XIX of the Social Security Act for services rendered to
17	Medicaid-eligible residents, shall be reasonable and adequate to meet the costs that must be
18	incurred by efficiently and economically operated facilities in accordance with 42 U.S.C. §
19	1396a(a)(13). The executive office of health and human services ("executive office") shall
20	promulgate or modify the principles of reimbursement for nursing facilities in effect as of July 1,
21	2011, to be consistent with the provisions of this section and Title XIX, 42 U.S.C. § 1396 et seq.,
22	of the Social Security Act.
23	(2) The executive office shall review the current methodology for providing Medicaid
24	payments to nursing facilities, including other long-term-care services providers, and is authorized
25	to modify the principles of reimbursement to replace the current cost-based methodology rates with
26	rates based on a price-based methodology to be paid to all facilities with recognition of the acuity
27	of patients and the relative Medicaid occupancy, and to include the following elements to be
28	developed by the executive office:
29	(i) A direct-care rate adjusted for resident acuity;
30	(ii) An indirect-care rate comprised of a base per diem for all facilities;
31	(iii) A rearray of costs for all facilities every three (3) years beginning October, 2015, that
32	may or may not result in automatic per diem revisions;
33	(iv) Application of a fair-rental value system;
34	(v) Application of a pass-through system; and
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1	(vi) Adjustment of rates by the change in a recognized national nursing home inflation
2	index to be applied on October 1 of each year, beginning October 1, 2012. This adjustment will not
3	occur on October 1, 2013, October 1, 2014, or October 1, 2015, but will occur on April 1, 2015.
4	The adjustment of rates will also not occur on October 1, 2017, October 1, 2018, and October 1,
5	2019., and October 2022. Effective July 1, 2018, rates paid to nursing facilities from the rates
6	approved by the Centers for Medicare and Medicaid Services and in effect on October 1, 2017,
7	both fee-for-service and managed care, will be increased by one and one-half percent (1.5%) and
8	further increased by one percent (1%) on October 1, 2018, and further increased by one percent
9	(1%) on October 1, 2019. Effective October 1, 2022, rates paid to nursing facilities from the rates
10	approved by the Centers for Medicare and Medicaid Services and in effect on October 1, 2021,
11	both fee-for-service and managed care, will be increased by three percent (3%). In addition to the
12	annual nursing home inflation index adjustment, there shall be a base rate staffing adjustment of
13	one-half percent (0.5%) on October 1, 2021, one percent (1.0%) on October 1, 2022, and one and
14	one-half percent (1.5%) on October 1, 2023. The inflation index shall be applied without regard for
15	the transition factors in subsections (b)(1) and (b)(2). For purposes of October 1, 2016, adjustment
16	only, any rate increase that results from application of the inflation index to subsections (a)(2)(i)
17	and (a)(2)(ii) shall be dedicated to increase compensation for direct-care workers in the following
18	manner: Not less than 85% of this aggregate amount shall be expended to fund an increase in wages,
19	benefits, or related employer costs of direct-care staff of nursing homes. For purposes of this
20	section, direct-care staff shall include registered nurses (RNs), licensed practical nurses (LPNs),
21	certified nursing assistants (CNAs), certified medical technicians, housekeeping staff, laundry staff,
22	dietary staff, or other similar employees providing direct-care services; provided, however, that this
23	definition of direct-care staff shall not include: (i) RNs and LPNs who are classified as "exempt
24	employees" under the federal Fair Labor Standards Act (29 U.S.C. § 201 et seq.); or (ii) CNAs,
25	certified medical technicians, RNs, or LPNs who are contracted, or subcontracted, through a third-
26	party vendor or staffing agency. By July 31, 2017, nursing facilities shall submit to the secretary,
27	or designee, a certification that they have complied with the provisions of this subsection (a)(2)(vi)
28	with respect to the inflation index applied on October 1, 2016. Any facility that does not comply
29	with terms of such certification shall be subjected to a clawback, paid by the nursing facility to the
30	state, in the amount of increased reimbursement subject to this provision that was not expended in
31	compliance with that certification.
32	(3) Commencing on October 1, 2021, eighty percent (80%) of any rate increase that results
33	from application of the inflation index to subsections (a)(2)(i) and (a)(2)(ii) of this section shall be
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1	dedicated to increase compensation for all eligible direct-care workers in the following manner on
2	October 1, of each year.
3	(i) For purposes of this subsection, compensation increases shall include base salary or
4	hourly wage increases, benefits, other compensation, and associated payroll tax increases for
5	eligible direct-care workers. This application of the inflation index shall apply for Medicaid
6	reimbursement in nursing facilities for both managed care and fee-for-service. For purposes of this
7	subsection, direct-care staff shall include registered nurses (RNs), licensed practical nurses (LPNs),
8	certified nursing assistants (CNAs), certified medication technicians, licensed physical therapists,
9	licensed occupational therapists, licensed speech-language pathologists, mental health workers
10	who are also certified nurse assistants, physical therapist assistants, housekeeping staff, laundry
11	staff, dietary staff or other similar employees providing direct-care services; provided, however
12	that this definition of direct-care staff shall not include:
13	(A) RNs and LPNs who are classified as "exempt employees" under the federal Fair Labor
14	Standards Act (29 U.S.C. § 201 et seq.); or
15	(B) CNAs, certified medication technicians, RNs or LPNs who are contracted or
16	subcontracted through a third-party vendor or staffing agency.
17	(4) (i) By July 31, 2021, and July 31 of each year thereafter, nursing facilities shall submit
18	to the secretary or designee a certification that they have complied with the provisions of subsection
19	(a)(3) of this section with respect to the inflation index applied on October 1. The executive office
20	of health and human services (EOHHS) shall create the certification form nursing facilities must
21	complete with information on how each individual eligible employee's compensation increased,
22	including information regarding hourly wages prior to the increase and after the compensation
23	increase, hours paid after the compensation increase, and associated increased payroll taxes. A
24	collective bargaining agreement can be used in lieu of the certification form for represented
25	employees. All data reported on the compliance form is subject to review and audit by EOHHS.
26	The audits may include field or desk audits, and facilities may be required to provide additional
27	supporting documents including, but not limited to, payroll records.
28	(ii) Any facility that does not comply with the terms of certification shall be subjected to a
29	clawback and twenty-five percent (25%) penalty of the unspent or impermissibly spent funds, paid
30	by the nursing facility to the state, in the amount of increased reimbursement subject to this
31	provision that was not expended in compliance with that certification.
32	(iii) In any calendar year where no inflationary index is applied, eighty percent (80%) of
33	the base rate staffing adjustment in that calendar year pursuant to subsection (a)(2)(vi) of this
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1	section shall be dedicated to increase compensation for all eligible direct-care workers in the
2	manner referenced in subsections (a)(3)(i), (a)(3)(i)(A), and (a)(3)(i)(B) of this section.
3	(b) Transition to full implementation of rate reform. For no less than four (4) years after
4	the initial application of the price-based methodology described in subsection (a)(2) to payment
5	rates, the executive office of health and human services shall implement a transition plan to
6	moderate the impact of the rate reform on individual nursing facilities. The transition shall include
7	the following components:
8	(1) No nursing facility shall receive reimbursement for direct-care costs that is less than
9	the rate of reimbursement for direct-care costs received under the methodology in effect at the time
10	of passage of this act; for the year beginning October 1, 2017, the reimbursement for direct-care
11	costs under this provision will be phased out in twenty-five-percent (25%) increments each year
12	until October 1, 2021, when the reimbursement will no longer be in effect; and
13	(2) No facility shall lose or gain more than five dollars ($5.00) in its total, per diem rate the
14	first year of the transition. An adjustment to the per diem loss or gain may be phased out by twenty-
15	five percent (25%) each year; except, however, for the years beginning October 1, 2015, there shall
16	be no adjustment to the per diem gain or loss, but the phase out shall resume thereafter; and
17	(3) The transition plan and/or period may be modified upon full implementation of facility
18	per diem rate increases for quality of care-related measures. Said modifications shall be submitted
19	in a report to the general assembly at least six (6) months prior to implementation.
20	(4) Notwithstanding any law to the contrary, for the twelve-month (12) period beginning
21	July 1, 2015, Medicaid payment rates for nursing facilities established pursuant to this section shall
22	not exceed ninety-eight percent (98%) of the rates in effect on April 1, 2015. Consistent with the
23	other provisions of this chapter, nothing in this provision shall require the executive office to restore
24	the rates to those in effect on April 1, 2015, at the end of this twelve-month (12) period.
25	SECTION 6. Section 40-8.9-4 of the General Laws in Chapter 40-8.9 entitled “Medical
26	Assistance — Long-Term Care Service and Finance Reform” is hereby amended to read as follows:
27	40-8.9-4. Unified long-term care budget.
28	Beginning on July 1, 2007, but not including state fiscal year 2023, a unified long-term-care
29	budget shall combine in a single, line-item appropriation within the executive office of health and
30	human services (executive office), annual executive office Medicaid appropriations for nursing
31	facility and community-based, long-term-care services for elderly sixty-five (65) years and older
32	and younger persons at risk of nursing home admissions (including adult day care, home health,
33	PACE, and personal care in assisted-living settings). Beginning on July 1, 2007, but not including
34	state fiscal year 2023, the total system savings attributable to the value of the reduction in nursing
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1	home days including hospice nursing home days paid for by Medicaid shall be allocated in the
2	budget enacted by the general assembly for the ensuing fiscal year for the express purpose of
3	promoting and strengthening community-based alternatives; provided, further, beginning July 1,
4	2009, but not including state fiscal year 2023, said savings shall be allocated within the budgets
5	of the executive office and, as appropriate, the department of human services, office of healthy
6	aging. The allocation shall include, but not be limited to, funds to support an ongoing, statewide
7	community education and outreach program to provide the public with information on home and
8	community services and the establishment of presumptive eligibility criteria for the purposes of
9	accessing home and community care. Notwithstanding the foregoing, for state fiscal year 2023,
10	enhanced federal medical assistance percentage funding provided through the American Rescue
11	Plan Act (ARPA) specifically for enhancement and expansion of home and community-based
12	(HCBS) services, may be used to satisfy the total system savings reallocation to strengthening
13	community-based alternatives and funding requirements of this section. The home- and
14	community-care service presumptive eligibility criteria shall be developed through rule or
15	regulation on or before September 30, 2007. The allocation may also be used to fund home and
16	community services provided by the office of healthy aging for persons eligible for Medicaid
17	long-term care, and the co-pay program administered pursuant to chapter 66.3 of title 42. Any
18	monies in the allocation that remain unexpended in a fiscal year shall be carried forward to the
19	next fiscal year for the express purpose of strengthening community-based alternatives.
20	The caseload estimating conference pursuant to § 35-17-1 shall determine the amount of
21	general revenues to be added to the current service estimate of community-based, long-term-care
22	services for elderly sixty-five (65) and older and younger persons at risk of nursing home
23	admissions for the ensuing budget year by multiplying the combined, cost per day of nursing home
24	and hospice nursing home days estimated at the caseload conference for that year by the reduction
25	in nursing home and hospice nursing home days from those in the second fiscal year prior to the
26	current fiscal year to those in the first fiscal year prior to the current fiscal year.
27	SECTION 7. Sections 42-12.3-3, 42-12.3-4 and 42-12.3-15 of the General Laws in Chapter
28	42-12.3 “Health Care for Children and Pregnant Women” are hereby amended to read as follows:
29	42-12.3-3. Medical assistance expansion for pregnant women/RIte Start.
30	(a) The director of the department of human services secretary of the executive office of
31	health and human services is authorized to amend its Title XIX state plan pursuant to Title XIX of
32	the Social Security Act to provide Medicaid coverage and to amend its Title XXI state plan pursuant
33	to Title XXI of the Social Security Act to provide medical assistance coverage through expanded
34	family income disregards for pregnant women whose family income levels are between one
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1	hundred eighty-five percent (185%) and two hundred fifty percent (250%) of the federal poverty
2	level. The department is further authorized to promulgate any regulations necessary and in accord
3	with Title XIX [42 U.S.C. § 1396 et seq.] and Title XXI [ 42 U.S.C. § 1397aa et seq.] of the Social
4	Security Act necessary in order to implement said state plan amendment. The services provided
5	shall be in accord with Title XIX [ 42 U.S.C. § 1396 et seq.] and Title XXI [ 42 U.S.C. § 1397aa
6	et seq.] of the Social Security Act.
7	(b) The director of the department of human services secretary of health and human
8	services is authorized and directed to establish a payor of last resort program to cover prenatal,
9	delivery and postpartum care. The program shall cover the cost of maternity care for any woman
10	who lacks health insurance coverage for maternity care and who is not eligible for medical
11	assistance under Title XIX [42 U.S.C. § 1396 et seq.] and Title XXI [ 42 U.S.C. § 1397aa et seq.]
12	of the Social Security Act including, but not limited to, a noncitizen pregnant woman lawfully
13	admitted for permanent residence on or after August 22, 1996, without regard to the availability of
14	federal financial participation, provided such pregnant woman satisfies all other eligibility
15	requirements. The director secretary shall promulgate regulations to implement this program. Such
16	regulations shall include specific eligibility criteria; the scope of services to be covered; procedures
17	for administration and service delivery; referrals for non-covered services; outreach; and public
18	education. Excluded services under this subsection will include, but not be limited to, induced
19	abortion except in cases of rape or incest or to save the life of the pregnant individual.
20	(c) The department of human services secretary of health and human services may enter
21	into cooperative agreements with the department of health and/or other state agencies to provide
22	services to individuals eligible for services under subsections (a) and (b) above.
23	(d) The following services shall be provided through the program:
24	(1) Ante-partum and postpartum care;
25	(2) Delivery;
26	(3) Cesarean section;
27	(4) Newborn hospital care;
28	(5) Inpatient transportation from one hospital to another when authorized by a medical
29	provider; and
30	(6) Prescription medications and laboratory tests.
31	(e) The department of human services secretary of health and human services shall provide
32	enhanced services, as appropriate, to pregnant women as defined in subsections (a) and (b), as well
33	as to other pregnant women eligible for medical assistance. These services shall include: care
34	coordination, nutrition and social service counseling, high risk obstetrical care, childbirth and
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1	parenting preparation programs, smoking cessation programs, outpatient counseling for drug-
2	alcohol use, interpreter services, mental health services, and home visitation. The provision of
3	enhanced services is subject to available appropriations. In the event that appropriations are not
4	adequate for the provision of these services, the department executive office has the authority to
5	limit the amount, scope and duration of these enhanced services.
6	(f) The department of human services executive office of health and human services shall
7	provide for extended family planning services for up to twenty-four (24) months postpartum. These
8	services shall be available to women who have been determined eligible for RIte Start or for
9	medical assistance under Title XIX [42 U.S.C. § 1396 et seq.] or Title XXI [ 42 U.S.C. § 1397aa
10	et seq.] of the Social Security Act.
11	(g) Effective October 1, 2022, individuals eligible for RIte Start pursuant to this section or
12	for medical assistance under Title XIX or Title XXI of the Social Security Act while pregnant
13	(including during a period of retroactive eligibility), are eligible for full Medicaid benefits through
14	the last day of the month in which their twelve (12) month postpartum period ends. This benefit
15	will be provided to eligible Rhode Island residents without regard to the availability of federal
16	financial participation. The executive office of health and human services is directed to ensure that
17	federal financial participation is used to the maximum extent allowable to provide coverage
18	pursuant to this section, and that state-only funds will be used only if federal financial participation
19	is not available.
20	42-12.3-4. "RIte track" program.
21	(a) There is hereby established a payor of last resort program for comprehensive health
22	care for children until they reach nineteen (19) years of age, to be known as "RIte track." The
23	department of human services executive office of health and human services is hereby authorized
24	to amend its Title XIX state plan pursuant to Title XIX [42 U.S.C. § 1396 et seq.] and Title XXI [
25	42 U.S.C. § 1397aa et seq.] of the Social Security Act as necessary to provide for expanded
26	Medicaid coverage through expanded family income disregards for children, until they reach
27	nineteen (19) years of age, whose family income levels are up to two hundred fifty percent (250%)
28	of the federal poverty level. Provided, however, that healthcare coverage provided under this
29	section shall also be provided without regard to the availability of federal financial participation in
30	accordance to Title XIX of the Social Security Act, 42 U.S.C. § 1396 et seq., to a noncitizen child
31	who is a resident of Rhode Island lawfully residing in the United States, and who is otherwise
32	eligible for such assistance. The department is further authorized to promulgate any regulations
33	necessary, and in accord with Title XIX [42 U.S.C. § 1396 et seq.] and Title XXI [ 42 U.S.C. §
34	1397aa et seq.] of the Social Security Act as necessary in order to implement the state plan
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1	amendment. For those children who lack health insurance, and whose family incomes are in excess
2	of two hundred fifty percent (250%) of the federal poverty level, the department of human services
3	shall promulgate necessary regulations to implement the program. The department of human
4	services is further directed to ascertain and promulgate the scope of services that will be available
5	to those children whose family income exceeds the maximum family income specified in the
6	approved Title XIX [42 U.S.C. § 1396 et seq.] and Title XXI [ 42 U.S.C. § 1397aa et seq.] state
7	plan amendment.
8	(b) The executive office of health and human services is directed to ensure that federal
9	financial participation is used to the maximum extent allowable to provide coverage pursuant to
10	this section, and that state-only funds will be used only if federal financial participation is not
11	available.
12	42-12.3-15. Expansion of RIte track program.
13	(a) The Department of Human Services executive office of health and human services is
14	hereby authorized and directed to submit to the United States Department of Health and Human
15	Services an amendment to the "RIte Care" waiver project number 11-W-0004/1-01 to provide for
16	expanded Medicaid coverage for children until they reach eight (8) years of age, whose family
17	income levels are to two hundred fifty percent (250%) of the federal poverty level. Expansion of
18	the RIte track program from the age of six (6) until they reach eighteen (18) years of age in
19	accordance with this chapter shall be subject to the approval of the amended waiver by the United
20	States Department of Health and Human Services. Healthcare coverage under this section shall also
21	be provided to a noncitizen child lawfully residing in the United States who is a resident of Rhode
22	Island, and who is otherwise eligible for such assistance under Title XIX [42 U.S.C. § 1396 et seq.]
23	or Title XXI [ 42 U.S.C. § 1397aa et seq.]
24	(b) The executive office of health and human services is directed to ensure that federal
25	financial participation is used to the maximum extent allowable to provide coverage pursuant to
26	this section, and that state-only funds will be used only if federal financial participation is not
27	available.
28	SECTION 8. Rhode Island Medicaid Reform Act of 2008 Resolution.
29	WHEREAS, the General Assembly enacted Chapter 12.4 of Title 42 entitled “The Rhode
30	Island Medicaid Reform Act of 2008”; and
31	WHEREAS, a legislative enactment is required pursuant to Rhode Island General Laws
32	42-12.4-1, et seq.; and
33	WHEREAS, Rhode Island General Laws section 42-7.2-5(3)(i) provides that the Secretary
34	of the Executive Office of Health and Human Services (“Executive Office”) is responsible for the
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1	review and coordination of any Medicaid section 1115 demonstration waiver requests and renewals
2	as well as any initiatives and proposals requiring amendments to the Medicaid state plan or category
3	II or III changes as described in the demonstration, “with potential to affect the scope, amount, or
4	duration of publicly-funded health care services, provider payments or reimbursements, or access
5	to or the availability of benefits and services provided by Rhode Island general and public laws”;
6	and
7	WHEREAS, in pursuit of a more cost-effective consumer choice system of care that is
8	fiscally sound and sustainable, the Secretary requests legislative approval of the following
9	proposals to amend the demonstration; and
10	WHEREAS, implementation of adjustments may require amendments to the Rhode
11	Island’s Medicaid state plan and/or section 1115 waiver under the terms and conditions of the
12	demonstration. Further, adoption of new or amended rules, regulations and procedures may also
13	be required:
14	(a) Section 1115 Demonstration Waiver – Extension Request. The Executive Office
15	proposes to seek approval from the federal centers for Medicare and Medicaid services (“CMS”)
16	to extend the Medicaid section 1115 demonstration waiver as authorized in Rhode Island General
17	Laws § 42-12.4. In the Medicaid section 1115 demonstration waiver extension request due to CMS
18	by December 31, 2022, in addition to maintaining existing Medicaid section 1115 demonstration
19	waiver authorities, the Executive Office proposes to seek additional federal authorities including
20	but not limited to promoting choice and community integration.
21	(b) Meals on Wheels. The Executive Office proposes an increase to existing fee-for-service
22	and managed care rates to account for growing utilization and rising food and delivery costs.
23	Additionally, the Executive Office of Health and Human Services will offer new Medicaid
24	reimbursement for therapeutic and cultural meals that are specifically tailored to improve health
25	through nutrition, provide post discharge support, and bolster complex care management for those
26	with chronic health conditions. To ensure the continued adequacy of rates, effective July 1, 2022,
27	and annually thereafter, the Executive Office proposes an annual rate increase based on the CPI-U
28	for New England: Food at Home, March release (containing the February data).
29	(c) American Rescue Act. The Executive Office proposes to seek approval from CMS for
30	any necessary amendments to the Rhode Island State Plan or the 1115 Demonstration Waiver to
31	implement the spending plan approved by CMS under section 9817 of the American Rescue Plan
32	Act of 2021.
33	(d) HealthSource RI automatic enrollment: The Executive Office shall work with
34	HealthSource RI to establish a program for automatically enrolling qualified individuals who lose
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1	Medicaid coverage at the end of the COVID-19 Public Health Emergency into Qualified Health
2	Plans (“QHP”). HealthSource RI may use funds available through the American Rescue Plan Act
3	to pay the first month’s premium for individuals who qualify for this program. HealthSource RI
4	may promulgate regulations establishing the scope and parameters of this program.
5	(e) Increase Nursing Facility Rates. The Executive Office proposes to increase rates, both
6	fee-for-service and managed care, paid to nursing facilities by three percent (3.0%) on October 1,
7	2022, in lieu of the adjustment of rates by the change in a recognized national home inflation index
8	as defined in § 40-8-19 (2)(vi) and in addition to the one percent (1.0%) increase required for the
9	minimum wage pass through as defined in § 40-8-19 (2)(vi).
10	(f) Extend Post-Partum Medicaid Coverage. The Executive Office proposes extending the
11	continuous coverage of full benefit medical assistance from sixty (60) days to twelve (12) months
12	postpartum to women who are (1) not eligible for Medicaid under another Medicaid eligibility
13	category, or (2) do not have qualified immigrant status for Medicaid whose births are financed by
14	Medicaid through coverage of the child and currently only receive state-only extended family
15	planning benefits postpartum.
16	(g) Extending Medical Coverage to Children Previously Ineligible. The executive office of
17	health and human services will maximize federal financial participation if and when available,
18	though state-only funds will be used if federal financial participation is not available.
19	(h) Federal Financing Opportunities. The Executive Office proposes to review Medicaid
20	requirements and opportunities under the U.S. Patient Protection and Affordable Care Act of 2010
21	(PPACA) and various other recently enacted federal laws and pursue any changes in the Rhode
22	Island Medicaid program that promote service quality, access and cost-effectiveness that may
23	warrant a Medicaid state plan amendment or amendment under the terms and conditions of Rhode
24	Island’s section 1115 waiver, its successor, or any extension thereof. Any such actions by the
25	Executive Office shall not have an adverse impact on beneficiaries or cause there to be an increase
26	in expenditures beyond the amount appropriated for state fiscal year 2021.
27	Now, therefore, be it:
28	RESOLVED, that the General Assembly hereby approves the proposals stated above in the
29	recitals; and be it further;
30	RESOLVED, that the Secretary of the Executive Office of Health and Human Services is
31	authorized to pursue and implement any waiver amendments, state plan amendments, and/or
32	changes to the applicable department’s rules, regulations and procedures approved herein and as
33	authorized by 42-12.4; and be it further;
34	RESOLVED, that this Joint Resolution shall take effect upon passage.
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1	SECTION 9. Sections 1 – 7 of this Article shall take effect as of July 1, 2022. Section 8
2	shall take effect upon passage.
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1	ARTICLE 13
2	RELATING TO HUMAN SERVICES
3	SECTION 1. Sections 40-5.2-10 and 40-5.2-20 of the General Laws in Chapter 40-5.2
4	entitled “The Rhode Island Works Program” are hereby amended to read as follows:
5	40-5.2-10. Necessary requirements and conditions.
6	The following requirements and conditions shall be necessary to establish eligibility for
7	the program.
8	(a) Citizenship, alienage, and residency requirements.
9	(1) A person shall be a resident of the State of Rhode Island.
10	(2) Effective October 1, 2008, a person shall be a United States citizen, or shall meet the
11	alienage requirements established in § 402(b) of the Personal Responsibility and Work Opportunity
12	Reconciliation Act of 1996, PRWORA, Pub. L. No. 104-193 and as that section may hereafter be
13	amended [8 U.S.C. § 1612]; a person who is not a United States citizen and does not meet the
14	alienage requirements established in PRWORA, as amended, is not eligible for cash assistance in
15	accordance with this chapter.
16	(b) The family/assistance unit must meet any other requirements established by the
17	department of human services by rules and regulations adopted pursuant to the Administrative
18	Procedures Act, as necessary to promote the purpose and goals of this chapter.
19	(c) Receipt of cash assistance is conditional upon compliance with all program
20	requirements.
21	(d) All individuals domiciled in this state shall be exempt from the application of
22	subdivision 115(d)(1)(A) of Pub. L. No. 104-193, the Personal Responsibility and Work
23	Opportunity Reconciliation Act of 1996, PRWORA [21 U.S.C. § 862a], which makes any
24	individual ineligible for certain state and federal assistance if that individual has been convicted
25	under federal or state law of any offense that is classified as a felony by the law of the jurisdiction
26	and that has as an element the possession, use, or distribution of a controlled substance as defined
27	in § 102(6) of the Controlled Substances Act (21 U.S.C. § 802(6)).
28	(e) Individual employment plan as a condition of eligibility.
29	(1) Following receipt of an application, the department of human services shall assess the
30	financial conditions of the family, including the non-parent caretaker relative who is applying for
31	cash assistance for himself or herself as well as for the minor child(ren), in the context of an
32	eligibility determination. If a parent or non-parent caretaker relative is unemployed or under-
33	employed, the department shall conduct an initial assessment, taking into account:
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1	(A) The physical capacity, skills, education, work experience, health, safety, family
2	responsibilities, and place of residence of the individual; and
3	(B) The child care and supportive services required by the applicant to avail himself or
4	herself of employment opportunities and/or work readiness programs.
5	(2) On the basis of this assessment, the department of human services and the department
6	of labor and training, as appropriate, in consultation with the applicant, shall develop an individual
7	employment plan for the family that requires the individual to participate in the intensive
8	employment services. Intensive employment services shall be defined as the work requirement
9	activities in § 40-5.2-12(g) and (i).
10	(3) The director, or his or her designee, may assign a case manager to an
11	applicant/participant, as appropriate.
12	(4) The department of labor and training and the department of human services in
13	conjunction with the participant shall develop a revised individual employment plan that shall
14	identify employment objectives, taking into consideration factors above, and shall include a
15	strategy for immediate employment and for preparing for, finding, and retaining employment
16	consistent, to the extent practicable, with the individual's career objectives.
17	(5) The individual employment plan must include the provision for the participant to
18	engage in work requirements as outlined in § 40-5.2-12.
19	(6)(i) The participant shall attend and participate immediately in intensive assessment and
20	employment services as the first step in the individual employment plan, unless temporarily exempt
21	from this requirement in accordance with this chapter. Intensive assessment and employment
22	services shall be defined as the work requirement activities in § 40-5.2-12(g) and (i).
23	(ii) Parents under age twenty (20) without a high school diploma or general equivalency
24	diploma (GED) shall be referred to special teen-parent programs that will provide intensive services
25	designed to assist teen parents to complete high school education or GED, and to continue approved
26	work plan activities in accord with Rhode Island works program requirements.
27	(7) The applicant shall become a participant in accordance with this chapter at the time the
28	individual employment plan is signed and entered into.
29	(8) Applicants and participants of the Rhode Island works program shall agree to comply
30	with the terms of the individual employment plan, and shall cooperate fully with the steps
31	established in the individual employment plan, including the work requirements.
32	(9) The department of human services has the authority under the chapter to require
33	attendance by the applicant/participant, either at the department of human services or at the
34	department of labor and training, at appointments deemed necessary for the purpose of having the
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1	applicant enter into and become eligible for assistance through the Rhode Island works program.
2	The appointments include, but are not limited to: the initial interview, orientation and assessment;
3	job readiness; and job search. Attendance is required as a condition of eligibility for cash assistance
4	in accordance with rules and regulations established by the department.
5	(10) As a condition of eligibility for assistance pursuant to this chapter, the
6	applicant/participant shall be obligated to keep appointments; attend orientation meetings at the
7	department of human services and/or the Rhode Island department of labor and training; participate
8	in any initial assessments or appraisals; and comply with all the terms of the individual employment
9	plan in accordance with department of human services rules and regulations.
10	(11) A participant, including a parent or non-parent caretaker relative included in the cash
11	assistance payment, shall not voluntarily quit a job or refuse a job unless there is good cause as
12	defined in this chapter or the department's rules and regulations.
13	(12) A participant who voluntarily quits or refuses a job without good cause, as defined in
14	§ 40-5.2-12(l), while receiving cash assistance in accordance with this chapter, shall be sanctioned
15	in accordance with rules and regulations promulgated by the department.
16	(f) Resources.
17	(1) The family or assistance unit's countable resources shall be less than the allowable
18	resource limit established by the department in accordance with this chapter.
19	(2) No family or assistance unit shall be eligible for assistance payments if the combined
20	value of its available resources (reduced by any obligations or debts with respect to such resources)
21	exceeds one five thousand dollars ($1,000) ($5000).
22	(3) For purposes of this subsection, the following shall not be counted as resources of the
23	family/assistance unit in the determination of eligibility for the works program:
24	(i) The home owned and occupied by a child, parent, relative, or other individual;
25	(ii) Real property owned by a husband and wife as tenants by the entirety, if the property
26	is not the home of the family and if the spouse of the applicant refuses to sell his or her interest in
27	the property;
28	(iii) Real property that the family is making a good faith effort to dispose of, however, any
29	cash assistance payable to the family for any such period shall be conditioned upon such disposal
30	of the real property within six (6) months of the date of application and any payments of assistance
31	for that period shall (at the time of disposal) be considered overpayments to the extent that they
32	would not have occurred at the beginning of the period for which the payments were made. All
33	overpayments are debts subject to recovery in accordance with the provisions of the chapter;
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1	(iv) Income-producing property other than real estate including, but not limited to,
2	equipment such as farm tools, carpenter's tools, and vehicles used in the production of goods or
3	services that the department determines are necessary for the family to earn a living;
4	(v) One vehicle for each adult household member, but not to exceed two (2) vehicles per
5	household, and in addition, a vehicle used primarily for income-producing purposes such as, but
6	not limited to, a taxi, truck, or fishing boat; a vehicle used as a family's home; a vehicle that annually
7	produces income consistent with its fair market value, even if only used on a seasonal basis; a
8	vehicle necessary to transport a family member with a disability where the vehicle is specially
9	equipped to meet the specific needs of the person with a disability or if the vehicle is a special type
10	of vehicle that makes it possible to transport the person with a disability;
11	(vi) Household furnishings and appliances, clothing, personal effects, and keepsakes of
12	limited value;
13	(vii) Burial plots (one for each child, relative, and other individual in the assistance unit)
14	and funeral arrangements;
15	(viii) For the month of receipt and the following month, any refund of federal income taxes
16	made to the family by reason of § 32 of the Internal Revenue Code of 1986, 26 U.S.C. § 32 (relating
17	to earned income tax credit), and any payment made to the family by an employer under § 3507 of
18	the Internal Revenue Code of 1986, 26 U.S.C. § 3507 [repealed] (relating to advance payment of
19	such earned income credit);
20	(ix) The resources of any family member receiving supplementary security income
21	assistance under the Social Security Act, 42 U.S.C. § 301 et seq.;
22	(x) Any veteran's disability pension benefits received as a result of any disability sustained
23	by the veteran while in the military service.
24	(g) Income.
25	(1) Except as otherwise provided for herein, in determining eligibility for and the amount
26	of cash assistance to which a family is entitled under this chapter, the income of a family includes
27	all of the money, goods, and services received or actually available to any member of the family.
28	(2) In determining the eligibility for and the amount of cash assistance to which a
29	family/assistance unit is entitled under this chapter, income in any month shall not include the first
30	one three hundred seventy dollars ($170) ($300) of gross earnings plus fifty percent (50%) of the
31	gross earnings of the family in excess of one three hundred seventy dollars ($170) ($300) earned
32	during the month.
33	(3) The income of a family shall not include:
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1	(i) The first fifty dollars ($50.00) in child support received in any month from each
2	noncustodial parent of a child plus any arrearages in child support (to the extent of the first fifty
3	dollars ($50.00) per month multiplied by the number of months in which the support has been in
4	arrears) that are paid in any month by a noncustodial parent of a child;
5	(ii) Earned income of any child;
6	(iii) Income received by a family member who is receiving Supplemental Security Income
7	(SSI) assistance under Title XVI of the Social Security Act, 42 U.S.C. § 1381 et seq.;
8	(iv) The value of assistance provided by state or federal government or private agencies to
9	meet nutritional needs, including: value of USDA-donated foods; value of supplemental food
10	assistance received under the Child Nutrition Act of 1966, as amended, and the special food service
11	program for children under Title VII, nutrition program for the elderly, of the Older Americans Act
12	of 1965 as amended, and the value of food stamps;
13	(v) Value of certain assistance provided to undergraduate students, including any grant or
14	loan for an undergraduate student for educational purposes made or insured under any loan program
15	administered by the United States Commissioner of Education (or the Rhode Island council on
16	postsecondary education or the Rhode Island division of higher education assistance);
17	(vi) Foster care payments;
18	(vii) Home energy assistance funded by state or federal government or by a nonprofit
19	organization;
20	(viii) Payments for supportive services or reimbursement of out-of-pocket expenses made
21	to foster grandparents, senior health aides, or senior companions and to persons serving in SCORE
22	and ACE and any other program under Title II and Title III of the Domestic Volunteer Service Act
23	of 1973, 42 U.S.C. § 5000 et seq.;
24	(ix) Payments to volunteers under AmeriCorps VISTA as defined in the department's rules
25	and regulations;
26	(x) Certain payments to native Americans; payments distributed per capita to, or held in
27	trust for, members of any Indian Tribe under P.L. 92-254, 25 U.S.C. § 1261 et seq., P.L. 93-134,
28	25 U.S.C. § 1401 et seq., or P.L. 94-540; receipts distributed to members of certain Indian tribes
29	which are referred to in § 5 of P.L. 94-114, 25 U.S.C. § 459d, that became effective October 17,
30	1975;
31	(xi) Refund from the federal and state earned income tax credit;
32	(xii) The value of any state, local, or federal government rent or housing subsidy, provided
33	that this exclusion shall not limit the reduction in benefits provided for in the payment standard
34	section of this chapter;
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1	(xiii) The earned income of any adult family member who gains employment while an
2	active RI Works household member. This income is excluded for the first six (6) months of
3	employment in which the income is earned, or until the household's total gross income exceeds one
4	hundred eighty-five percent (185%) of the federal poverty level, unless the household reaches its
5	forty-eight-month (48) time limit first;
6	(xiv) Any veteran's disability pension benefits received as a result of any disability
7	sustained by the veteran while in the military service.
8	(4) The receipt of a lump sum of income shall affect participants for cash assistance in
9	accordance with rules and regulations promulgated by the department.
10	(h) Time limit on the receipt of cash assistance.
11	(1) On or after January 1, 2020, no cash assistance shall be provided, pursuant to this
12	chapter, to a family or assistance unit that includes an adult member who has received cash
13	assistance for a total of forty-eight (48) months (whether or not consecutive), to include any time
14	receiving any type of cash assistance in any other state or territory of the United States of America
15	as defined herein. Provided further, in no circumstances other than provided for in subsection (h)(3)
16	with respect to certain minor children, shall cash assistance be provided pursuant to this chapter to
17	a family or assistance unit that includes an adult member who has received cash assistance for a
18	total of a lifetime limit of forty-eight (48) months.
19	(2) Cash benefits received by a minor dependent child shall not be counted toward their
20	lifetime time limit for receiving benefits under this chapter should that minor child apply for cash
21	benefits as an adult.
22	(3) Certain minor children not subject to time limit. This section regarding the lifetime time
23	limit for the receipt of cash assistance, shall not apply only in the instances of a minor child(ren)
24	living with a parent who receives SSI benefits and a minor child(ren) living with a responsible adult
25	non-parent caretaker relative who is not in the cash assistance payment.
26	(4) Receipt of family cash assistance in any other state or territory of the United States of
27	America shall be determined by the department of human services and shall include family cash
28	assistance funded in whole or in part by Temporary Assistance for Needy Families (TANF) funds
29	[Title IV-A of the federal Social Security Act, 42 U.S.C. § 601 et seq.] and/or family cash
30	assistance provided under a program similar to the Rhode Island families work and opportunity
31	program or the federal TANF program.
32	(5) (i) The department of human services shall mail a notice to each assistance unit when
33	the assistance unit has six (6) months of cash assistance remaining and each month thereafter until
34	the time limit has expired. The notice must be developed by the department of human services and
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1	must contain information about the lifetime time limit, the number of months the participant has
2	remaining, the hardship extension policy, the availability of a post-employment-and-closure bonus;
3	and any other information pertinent to a family or an assistance unit nearing the forty-eight-month
4	(48) lifetime time limit.
5	(ii) For applicants who have less than six (6) months remaining in the forty-eight-month
6	(48) lifetime time limit because the family or assistance unit previously received cash assistance in
7	Rhode Island or in another state, the department shall notify the applicant of the number of months
8	remaining when the application is approved and begin the process required in subsection (h)(5)(i).
9	(6) If a cash assistance recipient family was closed pursuant to Rhode Island's Temporary
10	Assistance for Needy Families Program (federal TANF described in Title IV-A of the Federal
11	Social Security Act, 42 U.S.C. § 601 et seq.), formerly entitled the Rhode Island family
12	independence program, more specifically under § 40-5.1-9(2)(c) [repealed], due to sanction
13	because of failure to comply with the cash assistance program requirements; and that recipient
14	family received forty-eight (48) months of cash benefits in accordance with the family
15	independence program, then that recipient family is not able to receive further cash assistance for
16	his/her family, under this chapter, except under hardship exceptions.
17	(7) The months of state or federally funded cash assistance received by a recipient family
18	since May 1, 1997, under Rhode Island's Temporary Assistance for Needy Families Program
19	(federal TANF described in Title IV-A of the Federal Social Security Act, 42 U.S.C. § 601 et seq.),
20	formerly entitled the Rhode Island family independence program, shall be countable toward the
21	time-limited cash assistance described in this chapter.
22	(i) Time limit on the receipt of cash assistance.
23	(1) No cash assistance shall be provided, pursuant to this chapter, to a family assistance
24	unit in which an adult member has received cash assistance for a total of sixty (60) months (whether
25	or not consecutive) to include any time receiving any type of cash assistance in any other state or
26	territory of the United States as defined herein effective August 1, 2008. Provided further, that no
27	cash assistance shall be provided to a family in which an adult member has received assistance for
28	twenty-four (24) consecutive months unless the adult member has a rehabilitation employment plan
29	as provided in § 40-5.2-12(g)(5).
30	(2) Effective August 1, 2008, no cash assistance shall be provided pursuant to this chapter
31	to a family in which a child has received cash assistance for a total of sixty (60) months (whether
32	or not consecutive) if the parent is ineligible for assistance under this chapter pursuant to subsection
33	(a)(2) to include any time they received any type of cash assistance in any other state or territory
34	of the United States as defined herein.
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1	(j) Hardship exceptions.
2	(1) The department may extend an assistance unit's or family's cash assistance beyond the
3	time limit, by reason of hardship; provided, however, that the number of families to be exempted
4	by the department with respect to their time limit under this subsection shall not exceed twenty
5	percent (20%) of the average monthly number of families to which assistance is provided for under
6	this chapter in a fiscal year; provided, however, that to the extent now or hereafter permitted by
7	federal law, any waiver granted under § 40-5.2-34, for domestic violence, shall not be counted in
8	determining the twenty percent (20%) maximum under this section.
9	(2) Parents who receive extensions to the time limit due to hardship must have and comply
10	with employment plans designed to remove or ameliorate the conditions that warranted the
11	extension.
12	(k) Parents under eighteen (18) years of age.
13	(1) A family consisting of a parent who is under the age of eighteen (18), and who has
14	never been married, and who has a child; or a family consisting of a woman under the age of
15	eighteen (18) who is at least six (6) months pregnant, shall be eligible for cash assistance only if
16	the family resides in the home of an adult parent, legal guardian, or other adult relative. The
17	assistance shall be provided to the adult parent, legal guardian, or other adult relative on behalf of
18	the individual and child unless otherwise authorized by the department.
19	(2) This subsection shall not apply if the minor parent or pregnant minor has no parent,
20	legal guardian, or other adult relative who is living and/or whose whereabouts are unknown; or the
21	department determines that the physical or emotional health or safety of the minor parent, or his or
22	her child, or the pregnant minor, would be jeopardized if he or she was required to live in the same
23	residence as his or her parent, legal guardian, or other adult relative (refusal of a parent, legal
24	guardian, or other adult relative to allow the minor parent or his or her child, or a pregnant minor,
25	to live in his or her home shall constitute a presumption that the health or safety would be so
26	jeopardized); or the minor parent or pregnant minor has lived apart from his or her own parent or
27	legal guardian for a period of at least one year before either the birth of any child to a minor parent
28	or the onset of the pregnant minor's pregnancy; or there is good cause, under departmental
29	regulations, for waiving the subsection; and the individual resides in a supervised supportive-living
30	arrangement to the extent available.
31	(3) For purposes of this section, "supervised supportive-living arrangement" means an
32	arrangement that requires minor parents to enroll and make satisfactory progress in a program
33	leading to a high school diploma or a general education development certificate, and requires minor
34	parents to participate in the adolescent parenting program designated by the department, to the
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1	extent the program is available; and provides rules and regulations that ensure regular adult
2	supervision.
3	(l) Assignment and cooperation. As a condition of eligibility for cash and medical
4	assistance under this chapter, each adult member, parent, or caretaker relative of the
5	family/assistance unit must:
6	(1) Assign to the state any rights to support for children within the family from any person
7	that the family member has at the time the assignment is executed or may have while receiving
8	assistance under this chapter;
9	(2) Consent to and cooperate with the state in establishing the paternity and in establishing
10	and/or enforcing child support and medical support orders for all children in the family or assistance
11	unit in accordance with title 15 of the general laws, as amended, unless the parent or caretaker
12	relative is found to have good cause for refusing to comply with the requirements of this
13	subsection.
14	(3) Absent good cause, as defined by the department of human services through the
15	rulemaking process, for refusing to comply with the requirements of subsections (l)(1) and (l)(2),
16	cash assistance to the family shall be reduced by twenty-five percent (25%) until the adult member
17	of the family who has refused to comply with the requirements of this subsection consents to and
18	cooperates with the state in accordance with the requirements of this subsection.
19	(4) As a condition of eligibility for cash and medical assistance under this chapter, each
20	adult member, parent, or caretaker relative of the family/assistance unit must consent to and
21	cooperate with the state in identifying and providing information to assist the state in pursuing any
22	third party who may be liable to pay for care and services under Title XIX of the Social Security
23	Act, 42 U.S.C. § 1396 et seq.
24	40-5.2-20. Childcare assistance — Families or assistance units eligible.
25	(a) The department shall provide appropriate child care to every participant who is eligible
26	for cash assistance and who requires child care in order to meet the work requirements in
27	accordance with this chapter.
28	(b) Low-income child care. The department shall provide child care to all other working
29	families with incomes at or below one hundred eighty percent (180%) two hundred percent (200%)
30	of the federal poverty level if, and to the extent, these other families require child care in order to
31	work at paid employment as defined in the department's rules and regulations. Beginning October
32	1, 2013, the The department shall also provide child care to families with incomes below one
33	hundred eighty percent (180%) two hundred percent (200%) of the federal poverty level if, and to
34	the extent, these families require child care to participate on a short-term basis, as defined in the
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1	department's rules and regulations, in training, apprenticeship, internship, on-the-job training, work
2	experience, work immersion, or other job-readiness/job-attachment program sponsored or funded
3	by the human resource investment council (governor's workforce board) or state agencies that are
4	part of the coordinated program system pursuant to § 42-102-11. Effective from January 1, 2021,
5	through June 30, 2022, the department shall also provide childcare assistance to families with
6	incomes below one hundred eighty percent (180%) of the federal poverty level when such
7	assistance is necessary for a member of these families to enroll or maintain enrollment in a Rhode
8	Island public institution of higher education provided that eligibility to receive funding is capped
9	when expenditures reach $200,000 for this provision. Effective July 1, 2022, the department shall
10	also provide childcare assistance to families with incomes below two hundred percent (200%) of
11	the federal poverty level when such assistance is necessary for a member of these families to enroll
12	or maintain enrollment in a Rhode Island public institution of higher education.
13	(c) No family/assistance unit shall be eligible for childcare assistance under this chapter if
14	the combined value of its liquid resources exceeds one million dollars ($1,000,000), which
15	corresponds to the amount permitted by the federal government under the state plan and set forth
16	in the administrative rulemaking process by the department. Liquid resources are defined as any
17	interest(s) in property in the form of cash or other financial instruments or accounts that are readily
18	convertible to cash or cash equivalents. These include, but are not limited to: cash, bank, credit
19	union, or other financial institution savings, checking, and money market accounts; certificates of
20	deposit or other time deposits; stocks; bonds; mutual funds; and other similar financial instruments
21	or accounts. These do not include educational savings accounts, plans, or programs; retirement
22	accounts, plans, or programs; or accounts held jointly with another adult, not including a spouse.
23	The department is authorized to promulgate rules and regulations to determine the ownership and
24	source of the funds in the joint account.
25	(d) As a condition of eligibility for childcare assistance under this chapter, the parent or
26	caretaker relative of the family must consent to, and must cooperate with, the department in
27	establishing paternity, and in establishing and/or enforcing child support and medical support
28	orders for any children in the family receiving appropriate child care under this section in
29	accordance with the applicable sections of title 15, as amended, unless the parent or caretaker
30	relative is found to have good cause for refusing to comply with the requirements of this subsection.
31	(e) For purposes of this section, "appropriate child care" means child care, including infant,
32	toddler, preschool, nursery school, and school-age, that is provided by a person or organization
33	qualified, approved, and authorized to provide the care by the state agency or agencies designated
34	to make the determinations in accordance with the provisions set forth herein.
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1	(f) (1) Families with incomes below one hundred percent (100%) of the applicable federal
2	poverty level guidelines shall be provided with free child care. Families with incomes greater than
3	one hundred percent (100%) and less than one hundred eighty percent (180%) two hundred percent
4	(200%) of the applicable federal poverty guideline shall be required to pay for some portion of the
5	child care they receive, according to a sliding-fee scale adopted by the department in the
6	department's rules, not to exceed seven percent (7%) of income as defined in subsection (h) of this
7	section.
8	(2) Families who are receiving childcare assistance and who become ineligible for
9	childcare assistance as a result of their incomes exceeding one hundred eighty percent (180%) two
10	hundred percent (200%) of the applicable federal poverty guidelines shall continue to be eligible
11	for childcare assistance until their incomes exceed two hundred twenty-five percent (225%) of the
12	applicable federal poverty guidelines. To be eligible, the families must continue to pay for some
13	portion of the child care they receive, as indicated in a sliding-fee scale adopted in the department's
14	rules, not to exceed seven percent (7%) of income as defined in subsection (h) of this section, and
15	in accordance with all other eligibility standards.
16	(g) In determining the type of child care to be provided to a family, the department shall
17	take into account the cost of available childcare options; the suitability of the type of care available
18	for the child; and the parent's preference as to the type of child care.
19	(h) For purposes of this section, "income" for families receiving cash assistance under §
20	40-5.2-11 means gross, earned income and unearned income, subject to the income exclusions in
21	§§ 40-5.2-10(g)(2) and 40-5.2-10(g)(3), and income for other families shall mean gross, earned and
22	unearned income as determined by departmental regulations.
23	(i) The caseload estimating conference established by chapter 17 of title 35 shall forecast
24	the expenditures for child care in accordance with the provisions of § 35-17-1.
25	(j) In determining eligibility for childcare assistance for children of members of reserve
26	components called to active duty during a time of conflict, the department shall freeze the family
27	composition and the family income of the reserve component member as it was in the month prior
28	to the month of leaving for active duty. This shall continue until the individual is officially
29	discharged from active duty.
30	SECTION 2. Section 40-6.2-1.1 of the General Laws in Chapter 40-6.2 entitled
31	“Childcare-State Subsidies” is hereby amended to read as follows:
32	40-6.2-1.1. Rates established.
33	(a) Through June 30, 2015, subject to the payment limitations in subsection (c), the
34	maximum reimbursement rates to be paid by the departments of human services and children, youth
	LC004149 - Page 307 of 319
1	and families for licensed childcare centers and licensed family childcare providers shall be based
2	on the following schedule of the 75th percentile of the 2002 weekly market rates adjusted for the
3	average of the 75th percentile of the 2002 and the 2004 weekly market rates:
4	75th
5	LICENSED PERCENTILE
6	CHILDCARE OF WEEKLY
7	CENTERS MARKET RATE
8	INFANT $182.00
9	PRESCHOOL $150.00
10	SCHOOL-AGE $135.00
11	75th
12	LICENSED FAMILY PERCENTILE
13	CHILDCARE OF WEEKLY
14	PROVIDERS MARKET RATE
15	INFANT $150.00
16	PRESCHOOL $150.00
17	SCHOOL-AGE $135.00
18	Effective July 1, 2015, subject to the payment limitations in subsection (c), the maximum
19	reimbursement rates to be paid by the departments of human services and children, youth and
20	families for licensed childcare centers and licensed family childcare providers shall be based on the
21	above schedule of the 75th percentile of the 2002 weekly market rates adjusted for the average of
22	the 75th percentile of the 2002 and the 2004 weekly market rates. These rates shall be increased by
23	ten dollars ($10.00) per week for infant/toddler care provided by licensed family childcare
24	providers and license-exempt providers and then the rates for all providers for all age groups shall
25	be increased by three percent (3%). For the fiscal year ending June 30, 2018, licensed childcare
26	centers shall be reimbursed a maximum weekly rate of one hundred ninety-three dollars and sixty-
27	four cents ($193.64) for infant/toddler care and one hundred sixty-one dollars and seventy-one
28	cents ($161.71) for preschool-age children.
29	(b) Effective July l, 2018, subject to the payment limitations in subsection (c), the
30	maximum infant/toddler and preschool-age reimbursement rates to be paid by the departments of
31	human services and children, youth and families for licensed childcare centers shall be
32	implemented in a tiered manner, reflective of the quality rating the provider has achieved within
33	the state's quality rating system outlined in § 42-12-23.1.
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1	(1) For infant/toddler child care, tier one shall be reimbursed two and one-half percent
2	(2.5%) above the FY 2018 weekly amount, tier two shall be reimbursed five percent (5%) above
3	the FY 2018 weekly amount, tier three shall be reimbursed thirteen percent (13%) above the FY
4	2018 weekly amount, tier four shall be reimbursed twenty percent (20%) above the FY 2018 weekly
5	amount, and tier five shall be reimbursed thirty-three percent (33%) above the FY 2018 weekly
6	amount.
7	(2) For preschool reimbursement rates, tier one shall be reimbursed two and one-half
8	(2.5%) percent above the FY 2018 weekly amount, tier two shall be reimbursed five percent (5%)
9	above the FY 2018 weekly amount, tier three shall be reimbursed ten percent (10%) above the FY
10	2018 weekly amount, tier four shall be reimbursed thirteen percent (13%) above the FY 2018
11	weekly amount, and tier five shall be reimbursed twenty-one percent (21%) above the FY 2018
12	weekly amount.
13	(c) [Deleted by P.L. 2019, ch. 88, art. 13, § 4.]
14	(d) By June 30, 2004, and biennially through June 30, 2014, the department of labor and
15	training shall conduct an independent survey or certify an independent survey of the then-current
16	weekly market rates for child care in Rhode Island and shall forward the weekly market rate survey
17	to the department of human services. The next survey shall be conducted by June 30, 2016, and
18	triennially thereafter. The departments of human services and labor and training will jointly
19	determine the survey criteria including, but not limited to, rate categories and sub-categories.
20	(e) In order to expand the accessibility and availability of quality child care, the department
21	of human services is authorized to establish, by regulation, alternative or incentive rates of
22	reimbursement for quality enhancements, innovative or specialized child care, and alternative
23	methodologies of childcare delivery, including nontraditional delivery systems and collaborations.
24	(f) Effective January 1, 2007, all childcare providers have the option to be paid every two
25	(2) weeks and have the option of automatic direct deposit and/or electronic funds transfer of
26	reimbursement payments.
27	(g) Effective July 1, 2019, the maximum infant/toddler reimbursement rates to be paid by
28	the departments of human services and children, youth and families for licensed family childcare
29	providers shall be implemented in a tiered manner, reflective of the quality rating the provider has
30	achieved within the state's quality rating system outlined in § 42-12-23.1. Tier one shall be
31	reimbursed two percent (2%) above the prevailing base rate for step 1 and step 2 providers, three
32	percent (3%) above prevailing base rate for step 3 providers, and four percent (4%) above the
33	prevailing base rate for step 4 providers; tier two shall be reimbursed five percent (5%) above the
34	prevailing base rate; tier three shall be reimbursed eleven percent (11%) above the prevailing base
	LC004149 - Page 309 of 319
1	rate; tier four shall be reimbursed fourteen percent (14%) above the prevailing base rate; and tier
2	five shall be reimbursed twenty-three percent (23%) above the prevailing base rate.
3	(h) Through December 31, 2021, the maximum reimbursement rates paid by the
4	departments of human services, and children, youth and families to licensed childcare centers shall
5	be consistent with the enhanced emergency rates provided as of June 1, 2021, as follows:
6	Tier 1 Tier 2 Tier 3 Tier 4
7	Tier 5
8	Infant/Toddler $257.54 $257.54 $257.54 $257.54
9	$273.00
10	Preschool Age $195.67 $195.67 $195.67 $195.67
11	$260.00
12	School Age $200.00 $200.00 $200.00 $200.00
13	$245.00
14	The maximum reimbursement rates paid by the departments of human services, and
15	children, youth and families to licensed family childcare providers shall be consistent with the
16	enhanced emergency rates provided as of June 1, 2021, as follows:
17	Tier 1 Tier 2 Tier 3 Tier 4
18	Tier 5
19	Infant/Toddler $224.43 $224.43 $224.43 $224.43
20	$224.43
21	Preschool Age $171.45 $171.45 $171.45 $171.45
22	$171.45
23	School Age $162.30 $162.30 $162.30 $162.30
24	$162.30
25	(i) Effective January 1, 2022, the maximum reimbursement rates to be paid by the
26	departments of human services and children, youth and families for licensed childcare centers shall
27	be implemented in a tiered manner, reflective of the quality rating the provider has achieved within
28	the state's quality rating system outlined in § 42-12-23.1. Maximum weekly rates shall be
29	reimbursed as follows:
30	LICENSED
31	CHILDCARE
32	CENTERS Tier One Tier Two Tier Three Tier Four Tier
33	Five
	LC004149 - Page 310 of 319
1	Infant/Toddler $236.36 $244.88 $257.15 $268.74
2	$284.39
3	Preschool $207.51 $212.27 $218.45 $223.50
4	$231.39
5	School-Age $180.38 $182.77 $185.17 $187.57
6	$189.97
7	The maximum reimbursement rates for licensed family childcare providers paid by the
8	departments of human services, and children, youth and families is determined through collective
9	bargaining. The maximum reimbursement rates for infant/toddler and preschool age children paid
10	to licensed family childcare providers by both departments is implemented in a tiered manner that
11	reflects the quality rating the provider has achieved in accordance with § 42-12-23.1.
12	(j) Effective July 1, 2022, the maximum reimbursement rates to be paid by the departments
13	of human services and children, youth and families for licensed childcare centers shall be
14	implemented in a tiered manner, reflective of the quality rating the provider has achieved within
15	the state's quality rating system outlined in § 42-12-23.1. Maximum weekly rates shall be
16	reimbursed as follows:
17	LICENSED
18	CHILDCARE
19	CENTERS Tier One Tier Two Tier Three Tier Four Tier
20	Five
21	Infant/Toddler $260 $265 $270 $289 $300
22	Preschool $217 $220 $225 $250 $260
23	School-Age $188 $196 $200 $205 $210
24	The maximum reimbursement rates for licensed family childcare providers paid by the
25	departments of human services, and children, youth and families is determined through collective
26	bargaining. The maximum reimbursement rates for infant/toddler and preschool age children paid
27	to licensed family childcare providers by both departments is implemented in a tiered manner that
28	reflects the quality rating the provider has achieved in accordance with § 42-12-23.1.
29	SECTION 3. This Article shall take effect July 1, 2022.
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1	ARTICLE 14
2	RELATING TO LEASE AGREEMENTS FOR LEASED OFFICE AND OPERATING SPACE
3	SECTION 1. This Article consists of a joint resolution that is submitted pursuant to § 37-
4	6-2 authorizing various lease agreements for office space and operating space.
5	SECTION 2. Executive Office of Commerce
6	WHEREAS, the Executive Office of Commerce currently occupies approximately 2,983
7	square feet at 555 Valley Street (Building 58, Suite 203) in the City of Providence;
8	WHEREAS, the Executive Office of Commerce currently has a current lease agreement,
9	in full force and effect, with Foundry ALCO Members, LLC for approximately 2,983 square feet
10	of office space located at 555 Valley Street (Building 58, Suite 203);
11	WHEREAS, the existing lease expires on June 30, 2022, and the Executive Office of
12	Commerce wishes to exercise its option to renew this lease for an additional five-year term;
13	WHEREAS, the State of Rhode Island, acting by and through the Executive Office of
14	Commerce attests to the fact that there are no clauses in the lease agreement with Foundry ALCO
15	Members, LLC that would interfere with the Executive Office of Commerce lease agreement or
16	use of the facility;
17	WHEREAS, the leased premises provide a critical location for the offices of the Executive
18	Office of Commerce from which the organization can fulfill the mission of the Executive Office of
19	Commerce;
20	WHEREAS, the annual base rent in the agreement in the current fiscal year, ending June
21	30, 2022 is $71,234.04;
22	WHEREAS, the anticipated annual base rent of the agreement in each of the five (5) years
23	of the renewal term will not exceed $76,576.60;
24	WHEREAS, the payment of the annual base rent will be made from funds available to the
25	Executive Office of Commerce for the payments of rental and lease costs based on annual
26	appropriations made by the General Assembly;
27	WHEREAS, the State Properties Committee now respectfully requests the approval of the
28	Rhode Island House of Representatives and the Rhode Island Senate for the lease agreement
29	between the Executive Office of Commerce and Foundry ALCO Members, LLC for leased space
30	located at 555 Valley Street (Building 58, Suite 203), Providence; now therefore be it
31	RESOLVED, that this General Assembly of the State of Rhode Island hereby approves the
32	lease agreement, for a term not to exceed five (5) years and an aggregate base rent not to exceed
33	$382,883; and it be further
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1	RESOLVED, that this Joint Resolution shall take effect upon passage by the General
2	Assembly; and it be further
3	RESOLVED, that the Secretary of State is hereby authorized and directed to transmit duly
4	certified copies of this resolution to the Governor, the Director of the Executive Office of
5	Commerce, the Director of Administration, the State Budget Officer, and the Chair of the State
6	Properties Committee.
7	SECTION 3. Department of Corrections
8	WHEREAS, the Rhode Island Department of Corrections has a current lease agreement,
9	in full force and effect, with WRR Associates, LLC. for approximately 5,086 square feet of office
10	space located at 49 Pavilion Avenue, Providence;
11	WHEREAS, the State of Rhode Island, acting by and through the Department of
12	Corrections attests to the fact that there are no clauses in the lease agreement with the WRR
13	Associates, LLC that would interfere with the Department of Corrections lease agreement or use
14	of the facility;
15	WHEREAS, the existing lease expires on January 31, 2023, and the Department of
16	Corrections wishes to advertise a Request for Proposals seeking approximately 5,000 square feet
17	of office space and relocating to a new office location in Providence;
18	WHEREAS, the annual base rent in the current agreement in the current fiscal year, ending
19	June 30, 2022 and continuing through January 31, 2023 is $108,690;
20	WHEREAS, the annual base rent of the agreement through January 31, 2023 will not
21	exceed $108,690;
22	WHEREAS, it is anticipated that the annual base rent of the new lease agreement in each
23	of the ten years of the term will not exceed $110,000;
24	WHEREAS, the payment of the annual base rent will be made from funds available to the
25	Department of Corrections for the payments of rental and lease costs based on annual
26	appropriations made by the General Assembly;
27	WHEREAS, the proposed new leased premises will provide a critical location for the
28	offices of the Department of Corrections from which the Department can serve the needs of
29	Providence and surrounding communities and otherwise fulfill the mission of the Department of
30	Corrections;
31	WHEREAS, the State Properties Committee now respectfully requests the approval of the
32	Rhode Island House of Representatives and the Rhode Island Senate for the lease agreement
33	between the Department of Corrections and a landlord to be determined, for the office space located
34	at a location to be determined in the City of Providence, Rhode Island; now therefore be it
	LC004149 - Page 313 of 319
1	RESOLVED, that this General Assembly of the State of Rhode Island hereby approves the
2	lease agreement, for a term not to exceed ten (10) years and an aggregate base rent not to exceed
3	$1,100,000; and it be further
4	RESOLVED, that this joint resolution shall take effect upon passage by the General
5	Assembly; and it be further
6	RESOLVED, that the Secretary of State is hereby authorized and directed to transmit duly
7	certified copies of this resolution to the Governor, the Director of the Department of Corrections,
8	the Director of Administration, the State Budget Officer, and the Chair of the State Properties
9	Committee.
10	SECTION 4. Department of Human Services
11	WHEREAS, the Department of Human Services is in the process of consolidating its office
12	and customer facing space in the City of Providence;
13	WHEREAS, the State of Rhode Island, acting by and through the Department of Human
14	Services, attests to the fact that there are no clauses in its various lease agreements that would
15	interfere with the Department of Human Services lease agreements or use of any of the facilities;
16	WHEREAS, as part of its space consolidation plan, the Department of Human Services
17	wishes to advertise a Request for Proposals seeking approximately 7,500 square feet of
18	office/customer facing space in new leased premises located in the City of Providence;
19	WHEREAS, the proposed new leased premises will provide a critical customer facing
20	location for the offices of the Department of Human Services from which the Department can serve
21	the needs of Providence and surrounding communities and otherwise fulfill the mission of the
22	Department of Hunan Services;
23	WHEREAS, it is anticipated that the annual base rent of the new lease agreement in each
24	of the ten years of the term will not exceed $165,000;
25	WHEREAS, the payment of the annual base rent will be made from funds available to the
26	Rhode Island Department of Human Services for the payments of rental and lease costs based on
27	annual appropriations made by the General Assembly;
28	WHEREAS, the State Properties Committee now respectfully requests the approval of the
29	House of Representatives and the Senate for the lease agreement between the Department of
30	Human Services and a landlord to be determined, for office/customer service space at a location to
31	be determined in the City of Providence; now therefore be it
32	RESOLVED, that this General Assembly approves the lease agreement, for a term not to
33	exceed ten (10) years and an aggregate base rent not to exceed $1,650,000; and it be further
	LC004149 - Page 314 of 319
1	RESOLVED, that this Joint Resolution shall take effect upon passage by the General
2	Assembly; and it be further
3	RESOLVED, that the Secretary of State is hereby authorized and directed to transmit duly
4	certified copies of this resolution to the Governor, the Director of the Department of Human
5	Services, the Director of Administration, the State Budget Officer, and the Chair of the State
6	Properties Committee.
7	SECTION 5. University of Rhode Island – Communicative Disorders Program Lease
8	Renewal
9	WHEREAS, the University of Rhode Island (“University”) has academic programs in
10	physical therapy, communicative disorders, and kinesiology with teaching, research, and outreach
11	that benefit Rhode Island adults and children with injuries and disabilities;
12	WHEREAS, the Independence Square Foundation (“Foundation”) is a non-profit
13	corporation that develops and manages community center buildings, leasing space at affordable
14	rates to not-for-profit operations, with a historical emphasis on operations supporting individuals
15	with disabilities;
16	WHEREAS, the Foundation promotes and fosters collaborative relationships between its
17	non-profit tenants in the interest of enhancing the range and quality of services offered to these
18	special populations, recognized at the national level as a unique model to be emulated:
19	WHEREAS, in 1991, the University and the Board of Governors for Higher
20	Education/Council on Postsecondary Education/University of Rhode Island Board of Trustees
21	(“Board”), and the State Properties Committee (“Properties Committee”) approved a lease of land
22	(“Ground Lease”), for ten years, with ten years renewable, for a parcel of land at 25 West
23	Independence Way on the Kingston Campus of the University in Kingston, Rhode Island to the
24	Foundation, enabling Independence Square to build a 40,000 square foot community center
25	building for not-for-profit tenants;
26	WHEREAS, in 2002, the University, the Board and the Properties Committee, approved a
27	space lease executed on May 24, 2002 and terminating, with executed extensions, on January 31,
28	2023, wherein the Foundation leased to University approximately 4,300 rentable square feet of
29	space located Building II for the University’s Communicative Disorders program (“Program”)
30	within the original phase of building at 25 West Independence Way and that Program, associated
31	students and faculty have benefited from the quality, accessible, and well maintained facilities for
32	the duration of that lease;
	LC004149 - Page 315 of 319
1	WHEREAS, in 2007, the University, the Board, and the Properties Committee have
2	approved a 25 year extension to the existing Ground Lease, commencing as of January 1, 2009 and
3	terminating on January 31, 2034;
4	WHEREAS, in 2022, the University and the Board approved a space lease commencing as
5	of the February 1, 2023 and terminating on January 31, 2034 , wherein the Foundation leased to
6	University approximately 4,300 rentable square feet of space located Building II for the
7	University’s Program within the original phase of building at 25 West Independence Way and that
8	Program, associated students and faculty have benefited from the quality, accessible, and well
9	maintained facilities for the duration of that lease;
10	WHEREAS, it is in the best interest of the Program, associated students and faculty to have
11	continued access to the quality, accessible, and well maintained facilities for the duration of the
12	lease;
13	WHEREAS, the renewal of the lease requires the University to pay rent, plus the
14	University’s proportional share of building operating expenses, such as heating, cooling, lighting,
15	and basic electrical service, such rent, for the Lease period, in total, shall be $758,692.00. The
16	proportionate share of building operating expenses are calculated on an annualized basis, this
17	proportionate share of building operating expenses being subject to annual increases in operating
18	expenses in future years; now, therefore be it
19	RESOLVED, that this General Assembly of the State of Rhode Island hereby recognizes
20	that lease payments of rent will not exceed $758,692.00 for the duration of the Communicative
21	Disorders Program Lease Renewal (“Lease Renewal”), plus the proportionate share of building
22	operating expenses; and be it further
23	RESOLVED, that this General Assembly hereby approves this Lease Renewal and its
24	associated rent and proportionate operating cost; and be it further
25	RESOLVED, that this Joint Resolution shall take effect upon passage by this General
26	Assembly; and be it further
27	RESOLVED, that the Secretary of State is hereby authorized and directed to transmit duly
28	certified copies of this resolution to the Governor, the Director of the Department of Human
29	Services, the Director of Administration, the State Budget Officer, and the Chair of the State
30	Properties Committee.
31	SECTION 6. University of Rhode Island – Physical Therapy Program Lease Renewal
32	WHEREAS, the University of Rhode Island (“University”) has academic programs in
33	physical therapy, communicative disorders, and kinesiology with teaching, research, and outreach
34	that benefit Rhode Island adults and children with injuries and disabilities;
	LC004149 - Page 316 of 319
1	WHEREAS, the Independence Square Foundation (“Foundation”) is a non-profit
2	corporation that develops and manages community center buildings, leasing space at affordable
3	rates to not-for-profit operations, with a historical emphasis on operations supporting individuals
4	with disabilities;
5	WHEREAS, the Foundation promotes and fosters collaborative relationships between its
6	non-profit tenants in the interest of enhancing the range and quality of services offered to these
7	special populations, recognized at the national level as a unique model to be emulated:
8	WHEREAS, in 1991, the University and the Board of Governors for Higher
9	Education/Council on Postsecondary Education/University of Rhode Island Board of Trustees
10	(“Board”), and the State Properties Committee (“Properties Committee”) approved a lease of land
11	(“Ground Lease”), for ten years, with ten years renewable, for a parcel of land at 25 West
12	Independence Way on the Kingston Campus of the University in Kingston, Rhode Island to the
13	Foundation, enabling Independence Square to build a 40,000 square foot community center
14	building for not-for-profit tenants;
15	WHEREAS, in 2007, the University, the Board, and the Properties Committee have
16	approved a 25 year extension to the existing Ground Lease, commencing as of January 1, 2009 and
17	terminating on January 31, 2034;
18	WHEREAS, in 2013, the University, the Board and the Properties Committee, approved a
19	space lease commencing as of the February 1, 2014 and terminating on February 28, 2023, wherein
20	the Foundation leased to University approximately 16,400 rentable square feet of space located
21	Building II for the University’s Physical Therapy program (“Program”) within the original phase
22	of building at 25 West Independence Way and that Program, associated students and faculty have
23	benefited from the quality, accessible, and well maintained facilities for the duration of that lease;
24	WHEREAS, in 2022, the University and the Board approved a space lease commencing as
25	of March 1, 2023 and terminating on January 31, 2034 (“Lease”), wherein the Foundation leased
26	to University approximately 16,400 rentable square feet of space located Building II for the
27	University’s Program within the original phase of building at 25 West Independence Way and that
28	Program, associated students and faculty have benefited from the quality, accessible, and well
29	maintained facilities for the duration of that Lease;
30	WHEREAS it is in the best interest of the Program, associated students and faculty to have
31	continued access to the quality, accessible, and well-maintained facilities for the duration of the
32	Lease;
33	WHEREAS, the lease requires the University to pay rent, plus the University’s
34	proportional share of building operating expenses, such as heating, cooling, lighting, and basic
	LC004149 - Page 317 of 319
1	electrical service, such rent, for the Lease period, in total, shall be $2,871,694.67. The proportionate
2	share of building operating expenses are calculated on an annualized basis, this proportionate share
3	of building operating expenses being subject to annual increases in operating expenses in future
4	years; now, therefore be it
5	RESOLVED, that this General Assembly of the State of Rhode Island hereby recognizes
6	that Lease payments of rent will not exceed $2,871,694.67 for the duration of the Lease, plus the
7	proportionate share of building operating expenses; and be it further
8	RESOLVED, that this General Assembly hereby approves this Physical Therapy Program
9	Lease Renewal and its associated rent and proportionate operating costs; and be it further
10	RESOLVED, that this Joint Resolution shall take effect upon passage by this General
11	Assembly; and be it further
12	RESOLVED, that the Secretary of State is hereby authorized and directed to transmit duly
13	certified copies of this resolution to the Governor, the Director of the Department of Human
14	Services, the Director of Administration, the State Budget Officer, and the Chair of the State
15	Properties Committee.
16	SECTION 7. This Article shall take effect upon passage.
	LC004149 - Page 318 of 319
1	ARTICLE 15
2	RELATING TO EFFECTIVE DATE
3	SECTION 1. This act shall take effect as of July 1, 2022, except as otherwise provided
4	herein.
5	SECTION 2. This article shall take effect upon passage.
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