2022 -- H 8122

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LC005731

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2022

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A N   A C T

RELATING TO TOWNS AND CITIES -- GENERAL POWERS -- TOWN OF

NARRAGANSETT-- LANDING FEE

     Introduced By: Representatives Tanzi, and McEntee

     Date Introduced: April 08, 2022

     Referred To: House Municipal Government & Housing

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 45-2-35.2 of the General Laws in Chapter 45-2 entitled "General

Powers" is hereby amended to read as follows:

     45-2-35.2. Town of Narragansett -- Landing fee.

     (a) The town of Narragansett is hereby authorized to charge, assess, or otherwise collect a

thirty-five cents ($.35) seventy-five cents ($.75) landing fee on each passenger over the age of

twelve (12) arriving in the Port of Galilee, Narragansett, Rhode Island, by public or private boat;

provided, however, that this provision shall not apply to vessels when they are engaged in

commercial fishing. All fees collected, less expenses of collection, if any, shall be utilized by the

town of Narragansett to protect the health, safety, and welfare of all passengers, including, but not

limited to, emergency medical services, acquisition of both personal and real property to provide

support to the ferry passengers, and to establish a fund to assist the town of Narragansett in

resolving problems which arise due to the impact of vessels landing passengers in the town of

Narragansett. The town of Narragansett may enter into agreements with any common carriers by

water operating in the town of Narragansett and any operator of a marina in the town of

Narragansett authorizing the common carrier or marina operator to collect the landing fee on behalf

of the town of Narragansett. The agreement shall provide for the payment of a reasonable fee, (not

to exceed fifteen percent) (15%) of the landing fee, by the town to the common water carrier or

marina operator and indemnification of the water carrier or marina operator from and against any

liability to, or claim of liability by third parties, arising from the collection of the boarding fee. All

such common carriers shall collect the landing fee on behalf of the town of Narragansett, by

including the amount of the fee in its rate and charge to adult passengers without the necessity of

approval of the landing fee from the public utilities commission ("PUC") or the division of public

utilities and carriers ("DPUC") under Title 39. The landing fee authorized by this chapter does not

apply to any persons receiving free transportation from the public utility under § 39-2-5. The town

council of the town of Narragansett shall promulgate rules and regulations to implement the

provisions of this section. The town of Narragansett may seek no fees from the common carriers

other than those set forth in this section; provided, however, that this sentence shall not preclude

the taxation of property, but not the vessels, of the common carriers pursuant to Title 44.

     (b) The rate relief previously authorized by the PUC for Interstate Navigation Company in

1997 (PUC Docket No. 2484) which authorized the increase of Interstate Navigation Company's

rates (except the Block Island Passenger Commuter Rate) by one and four-tenths percent (1.4%) in

order to pay for property taxes assessed against Interstate Navigation Company's vessels by the

town of Narragansett shall continue in full force and effect until June 1, 2002. Notwithstanding the

restriction placed by the PUC on the money collected by Interstate Navigation Company pursuant

to this rate relief, the money shall be disposed of as follows: (1) from the monies collected as of

June 30, 2001, Interstate Navigation Company shall make a one time payment to the town of

Narragansett of eighty-five thousand dollars ($85,000) and the town of Narragansett shall be

authorized to retain the fifteen thousand dollars ($15,000) previously paid to it by Interstate

Navigation Company; (2) the balance of the funds collected as of June 30, 2001, are to be invested

in equipment and facilities to serve the rate payers of Interstate Navigation Company subject to

DPUC subsequent verification of that investment. If a dispute arises regarding the disposition of

the funds as set forth in this section, then the DPUC or Interstate Navigation Company may petition

the PUC for review, and the decision of the PUC shall be final and binding and not appealable. For

purposes of this section, the use of such funds by Interstate Navigation Company for: (1) the repair

and/or replacement of the bulkhead and related facilities at Interstate's Block Island facility; or (2)

Interstate's expenses related to the construction of its new terminal facility in Galilee, including the

construction of facilities for the connector road lots; and/or (3) the pre-payment of principal and

related pre-payment fees on the loan outstanding for the M/V Block Island, shall be deemed to be

equipment and facilities that serve the rate payers of Interstate Navigation and shall not be subject

to any prior review or approval by the DPUC and/or PUC; provided that subsequent verification

and approval shall remain within the purview of the DPUC and PUC for rate making purposes.

Any expenditures out of the funds collected as of June 30, 2001, for any other purposes shall require

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the prior approval of the DPUC to assure that the proposed expenditures are in the best interest of

the rate payers. If a dispute arises between Interstate Navigation Company and the DPUC as to

such proposed expenditures, then the DPUC or Interstate Navigation Company may petition the

PUC for review.

     (c) From the funds collected between July 1, 2001 and May 31, 2002, one-third (⅓) of the

total shall be paid to the town of Narragansett in June, 2002, and the balance shall be retained by

Interstate Navigation Company to be invested in equipment and facilities to serve the rate payers

of Interstate Navigation Company. Interstate Navigation Company shall be required to obtain the

prior approval of the DPUC in order to expend these funds. If a dispute arises regarding the

disposition of these funds as set forth in this section, the DPUC or Interstate Navigation Company

may petition the PUC for review.

     (d) As to property over which the town of Narragansett has regulatory control, the town of

Narragansett may not prohibit overnight parking on private property and currently existing parking

lots in Galilee, and there will be no mandatory offsite parking for cars in Galilee.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TOWNS AND CITIES -- GENERAL POWERS -- TOWN OF

NARRAGANSETT-- LANDING FEE

***

     This act would increase the landing fee at the Port of Galilee in the town of Narragansett

from thirty-five cents ($.35) to seventy-five cents ($.75).

     This act would take effect upon passage.

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