2023 -- H 6081

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LC002127

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2023

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A N   A C T

RELATING TO TOWNS AND CITIES -- LOW AND MODERATE INCOME HOUSING

     Introduced By: Representatives Shekarchi, Speakman, Knight, Donovan, Tanzi, Cruz,
Cortvriend, Casey, and Potter

     Date Introduced: March 03, 2023

     Referred To: House Municipal Government & Housing

     It is enacted by the General Assembly as follows:

     SECTION 1. Sections 45-53-3 and 45-53-4 of the General Laws in Chapter 45-53 entitled

"Low and Moderate Income Housing" are hereby amended to read as follows:

     45-53-3. Definitions Definitions -- Effective January 1, 2024.

     The following words, wherever used in this chapter, unless a different meaning clearly

appears from the context, have the following meanings:

     (1) "Adjustment(s)" means a request, or requests by the applicant to seek relief from the

literal use and dimensional requirements of the municipal zoning ordinance and/or the design

standards or requirements of the municipal land development and subdivision regulations. The

standard for the local review board’s consideration of adjustments is set forth in § 45-53-

4(C)(2)(iii)(E)(II).

     (1)(2) “Affordable housing plan” means a component of a housing element, as defined in

§ 45-22.2-4(1), to meet that complies with housing needs in a city or town that is prepared in

accordance with guidelines adopted by the state planning council, and/or to meet the provisions of

§ 45-53-4(b)(1) and (c).

     (2)(3) “Approved affordable housing plan” means an affordable housing plan that has been

approved by the director of administration as meeting the guidelines for the local comprehensive

plan as promulgated by the state planning council; provided, however, that state review and

approval, for plans submitted by December 31, 2004, shall not be contingent on the city or town

having completed, adopted, or amended its comprehensive plan as provided for in § 45-22.2-8, §

45-22.2-9, or § 45-22.2-9.

     (3)(4) “Comprehensive plan” means a comprehensive plan adopted and approved by a city

or town pursuant to chapters 22.2 and 22.3 of this title.

     (4)(5) “Consistent with local needs” means reasonable in view of the state need for low-

and moderate-income housing, considered with the number of low-income persons in the city or

town affected and the need to protect the health and safety of the occupants of the proposed housing

or of the residents of the city or town, to promote better site and building design in relation to the

surroundings, or to preserve open spaces, and if the local zoning or land use ordinances,

requirements, and regulations are applied as equally as possible to both subsidized and

unsubsidized housing. Local zoning and land use ordinances, requirements, or regulations are

consistent with local needs when imposed by a city or town council after a comprehensive hearing

in a city or town where:

     (i) Low- or moderate-income housing exists which is: (A) In the case of an urban city or

town which has at least 5,000 occupied year-round rental units and the units, as reported in the

latest decennial census of the city or town, comprise twenty-five percent (25%) or more of the year-

round housing units, and is in excess of fifteen percent (15%) of the total occupied year-round

rental units; or (B) In the case of all other cities or towns, is in excess of ten percent (10%) of the

year-round housing units reported in the census.

     (ii) The city or town has promulgated zoning or land use ordinances, requirements, and

regulations to implement a comprehensive plan that has been adopted and approved pursuant to

chapters 22.2 and 22.3 of this title, and the housing element of the comprehensive plan provides

for low- and moderate-income housing in excess of either ten percent (10%) of the year-round

housing units or fifteen percent (15%) of the occupied year-round rental housing units as provided

in subdivision (4)(i).

     (iii) Multi-family rental units built under a comprehensive permit may be calculated

towards meeting the requirements of a municipality’s low- or moderate-income housing inventory,

as long as the units meet and are in compliance with the provisions of § 45-53-3.1.

     (5)(6) “Infeasible” means any condition brought about by any single factor or combination

of factors, as a result of limitations imposed on the development by conditions attached to the

approval of the comprehensive permit, to the extent that it makes it impossible for a public agency,

nonprofit organization, or limited equity housing cooperative financially or logistically impractical

for any applicant to proceed in building or operating low- or moderate-income housing without

financial loss, within the limitations set by the subsidizing agency of government or local review

board, on the size or character of the development, on the amount or nature of the subsidy, or on

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the tenants, rentals, and income permissible, and without substantially changing the rent levels and

unit sizes proposed by the public agency, nonprofit organization, or limited equity housing

cooperative applicant.

     (6)(7) “Letter of eligibility” means a letter issued by the Rhode Island housing and

mortgage finance corporation in accordance with § 42-55-5.3(a).

     (7)(8) “Local board” means any town or city official, zoning board of review, planning

board or commission, board of appeal or zoning enforcement officer, local conservation

commission, historic district commission, or other municipal board having supervision of the

construction of buildings or the power of enforcing land use regulations, such as subdivision, or

zoning laws.

     (8)(9) “Local review board” means the planning board as defined by § 45-22.2-4(20), or if

designated by ordinance as the board to act on comprehensive permits for the town, the zoning

board of review established pursuant to § 45-24-56.

     (9)(10) “Low- or moderate-income housing” means any housing whether built or operated

by any public agency or any nonprofit organization or by any limited equity housing cooperative

or any private developer, that is subsidized by a federal, state, or municipal government subsidy

under any program to assist the construction or rehabilitation of housing affordable to housing for

low- or moderate-income households, as defined in the applicable federal or state statute, or local

ordinance § 42-128-8.1 and that will remain affordable through a land lease and/or deed restriction

for ninety-nine (99) years or such other period that is either agreed to by the applicant and town or

prescribed by the federal, state, or municipal government subsidy program but that is not less than

thirty (30) years from initial occupancy.

     (10)(11) “Meeting local housing needs” means as a result of the adoption of the

implementation program of an approved affordable housing plan and , the absence of unreasonable

denial of applications that are made pursuant to an approved affordable housing plan in order to

accomplish the purposes and expectations of the approved affordable housing plan, and a showing

that at least twenty percent (20%) of the total residential units approved by a local review board or

any other municipal board in a calendar year are for low- and moderate-income housing as defined

in § 42-128-8.1.

     (11)(12) “Monitoring agents” means those monitoring agents appointed by the Rhode

Island housing resources commission pursuant to § 45-53-3.2 and to provide the monitoring and

oversight set forth in this chapter, including, but not limited to, §§ 45-53-3.2 and 45-53-4.

     (12)(13) “Municipal government subsidy” means assistance that is made available through

a city or town program sufficient to make housing affordable, as affordable housing is defined in §

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42-128-8.1(d)(1); such assistance may shall include a combination of, but is not limited to, direct

financial support, abatement of taxes, waiver of fees and charges, and approval of density bonuses

and/or internal subsidies, zoning incentives, and adjustments as defined in this section and any

combination of forms of assistance.

     45-53-4. Procedure for approval of construction of low- or moderate-income housing

Procedure for approval of construction of low- or moderate-income housing -- Effective

January 1, 2024.

     (a) Any applicant proposing to build low- or moderate-income housing may submit to the

local review board a single application for a comprehensive permit to build that housing in lieu of

separate applications to the applicable local boards. This procedure is only available for proposals

in which at least twenty-five percent (25%) of the housing is low- or moderate-income housing.

     (b) Municipal government subsidies, adjustments and zoning incentives are to be made

available to applications under this chapter, which shall include, but not be limited to:

     (1) A municipality shall provide an applicant with more dwelling units than allowed by

right under its zoning ordinance in the form of a density bonus of at least a thirty percent (30%)

increase in the allowed dwelling units per acre (DU/A), as well as other incentives and municipal

government subsidies as defined in § 45-53-3. Such zoning incentives, adjustment and municipal

government subsidies shall be established by the municipality and shall apply to offset differential

costs of below-market units. The allowed dwelling units per acre (DU/A) shall be calculated based

upon the total lot area of the property and the minimum lot size requirements of the underlying

zoning district in which the property is located;

     (2) A larger density bonus shall be approved by a municipality for projects containing

greater than the threshold of twenty-five percent (25%) of low- and moderate-income housing

required under this chapter. A density bonus shall be calculated based upon the total lot area of the

property and the minimum lot size requirements of the underlying zoning district in which the

property is located;

     (3) A municipality shall not require more than one off-street parking space per dwelling

unit in applications submitted under this chapter;

     (4) A municipality shall not limit the number of bedrooms for applications submitted under

this chapter to anything less than three (3) bedrooms per dwelling unit;

     (5) A municipality shall not utilize floor area requirements to limit any application, except

as provided by § 45-24.3-11;

     (6) A municipality shall not restrict comprehensive permit applications and permits by any

locally adopted ordinance or policy that places a limit or moratorium on the development of

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residential units.

     (c) The application and review process for a comprehensive permit shall be as follows:

     (1) Submission requirements. Applications for a comprehensive permit shall include:

     (i) A letter of eligibility issued by the Rhode Island housing and mortgage finance

corporation, or in the case of projects primarily funded by the U.S. Department of Housing and

Urban Development or other state or federal agencies, an award letter indicating the subsidy, or

application in such form as may be prescribed for a municipal government subsidy; and

     (ii) A written request to the local review board to submit a single application to build or

rehabilitate low- or moderate-income housing in lieu of separate applications to the applicable local

boards. The written request shall identify the specific sections and provisions of applicable local

ordinances and regulations from which the applicant is seeking relief; and

     (iii) A proposed timetable for the commencement of construction and completion of the

project; and

     (iv) A sample land lease or deed restriction with affordability liens that will restrict use as

low- and moderate-income housing in conformance with the guidelines of the agency providing

the subsidy for the low- and moderate-income housing, but for a period of not less than thirty (30)

years; and

     (v) Identification of an approved entity that will monitor the long-term affordability of the

low- and moderate-income units; provided, that, on and after July 1, 2022, this entity shall include

the Rhode Island housing resources commission established pursuant to chapter 128 of title 42 and

acting through its monitoring agents, and these agents shall monitor the long-term affordability of

the low- and moderate-income units pursuant to § 45-53-3.2; and

     (vi) A financial pro-forma for the proposed development; and

     (vii) For comprehensive permit applications: (A) Not involving major land developments

or major subdivisions including, but not limited to, applications seeking relief from specific

provisions of a local zoning ordinance, or involving administrative subdivisions, minor land

developments or minor subdivisions, or other local ordinances and regulations: those items required

by local regulations promulgated pursuant to applicable state law, with the exception of evidence

of state or federal permits; and for comprehensive permit applications; and (B) Involving major

land developments and major subdivisions, unless otherwise agreed to by the applicant and the

town; those items included in the checklist for the master plan in the local regulations promulgated

pursuant to § 45-23-40. Subsequent to master plan approval, the applicant must submit those items

included in the checklist for a preliminary plan for a major land development or major subdivision

project in the local regulations promulgated pursuant to § 45-23-41, with the exception of evidence

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of state or federal permits. All required state and federal permits must be obtained prior to the final

plan approval or the issuance of a building permit; and

     (viii) Municipalities may impose fees on comprehensive permit applications that are

consistent with but do not exceed fees that would otherwise be assessed for a project of the same

scope and type but not proceeding under this chapter, provided, however, that the imposition of

such fees shall not preclude a showing by a nonprofit applicant that the fees make the project

financially infeasible; and

     (xi) Notwithstanding the submission requirements set forth above, the local review board

may request additional, reasonable documentation throughout the public hearing, including, but not

limited to, opinions of experts, credible evidence of application for necessary federal and/or state

permits, statements and advice from other local boards and officials.

     (2) Certification of completeness. The application must be certified complete or incomplete

by the administrative officer according to the provisions of § 45-23-36; provided, however, that for

a major land development or major subdivision, the certificate for a master plan shall be granted

within twenty-five (25) days and for a preliminary plan shall be granted within twenty-five (25)

days. The running of the time period set forth herein will be deemed stopped upon the issuance of

a certificate of incompleteness of the application by the administrative officer and will recommence

upon the resubmission of a corrected application by the applicant. However, in no event will the

administrative officer be required to certify a corrected submission as complete or incomplete less

than ten (10) days after its resubmission. If the administrative officer certifies the application as

incomplete, the officer shall set forth in writing with specificity the missing or incomplete items.

     (3)(1) Pre-application conference. Where the comprehensive permit application proposal

is a major land development project or a major subdivision pursuant to chapter 23 of this title for a

project in excess of twenty (20) units and/or for property in excess of five (5) acres, a municipality

may require an applicant proposing a project under this chapter to first schedule a pre-application

conference with the local review board, the technical review committee established pursuant to §

45-23-56, or with the administrative officer for the local review board and other local officials, as

appropriate. To request a pre-application conference, the applicant shall submit only a short

description of the project in writing including the number of units, type of housing, as well as a

location map, and conceptual site plan. The purpose of the pre-application conference shall be to

review a concept plan of the proposed development and to elicit feedback from the reviewing

person or board. Upon receipt of a request by an applicant for a pre-application conference, the

municipality has shall have thirty (30) days to schedule and hold the pre-application conference. If

thirty (30) days has elapsed from the filing of the pre-application submission and no pre-application

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conference has taken place, nothing shall be deemed to preclude an applicant from thereafter filing

and proceeding with an application for preliminary plan review for a comprehensive permit.

     (4) Review of applications. An application filed in accordance with this chapter shall be

reviewed by the local review board at a public hearing in accordance with the following provisions:

     (i) Notification. Upon issuance of a certificate of completeness for a comprehensive permit,

the local review board shall immediately notify each local board, as applicable, of the filing of the

application, by sending a copy to the local boards and to other parties entitled to notice of hearings

on applications under the zoning ordinance and/or land development and subdivision regulations

as applicable.

     (ii) Public notice. Public notice for all public hearings will be the same notice required

under local regulations for a public hearing for a preliminary plan promulgated in accordance with

§ 45-23-42. The cost of notice shall be paid by the applicant.

     (iii) Review of minor projects. The review of a comprehensive permit application involving

only minor land developments or minor subdivisions or requesting zoning ordinance relief or relief

from other local regulations or ordinances not otherwise addressed in this subsection, shall be

conducted following the procedures in the applicable local regulations, with the exception that all

minor land developments or minor subdivisions under this section are required to hold a public

hearing on the application, and within ninety-five (95) days of issuance of the certificate of

completeness, or within such further time as is agreed to by the applicant and the local review

board, render a decision.

     (iv) Review of major projects. In the review of a comprehensive permit application

involving a major land development and/or major subdivision, the local review board shall hold a

public hearing on the master plan and shall, within ninety (90) days of issuance of the certification

of completeness, or within such further amount of time as may be agreed to by the local review

board and the applicant, render a decision. Preliminary and final plan review shall be conducted

according to local regulations promulgated pursuant to chapter 23 of this title except as otherwise

specified in this section.

     (2) Preliminary plan review.

     (i) Submission requirements.-- Applications for preliminary plan review under this chapter

shall include:

     (A) A letter of eligibility issued by the Rhode Island housing and mortgage finance

corporation, or in the case of projects primarily funded by the U.S. Department of Housing and

Urban Development or other state or federal agencies, an award letter indicating the subsidy, or

application in such form as may be prescribed for a municipal government subsidy; and

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     (B) A letter signed by the authorized representative of the applicant, setting forth the

specific sections and provisions of applicable local ordinances and regulations from which the

applicant is seeking adjustments; and

     (C) A proposed timetable for the commencement of construction and completion of the

project; and

     (D) Those items required by local regulations promulgated pursuant to applicable state law,

with the exception of evidence of state or federal permits; and for comprehensive permit

applications included in the checklist for the preliminary plan review in the local regulations

promulgated pursuant to chapter 23 of title 45; and

     (E) Notwithstanding the submission requirements set forth above, the local review board

may request additional, reasonable documentation throughout the public hearing, including, but not

limited to, opinions of experts, credible evidence of application for necessary federal and/or state

permits, statements and advice from other local boards and officials.

     (ii) Certification of completeness. The preliminary plan application must be certified

complete or incomplete by the administrative officer according to the provisions of § 45-23-36;

provided, however, that the certificate shall be granted within twenty-five (25) days of submission

of the application. The running of the time period set forth herein will be deemed stopped upon the

issuance of a written certificate of incompleteness of the application by the administrative officer

and will recommence upon the resubmission of a corrected application by the applicant. However,

in no event will the administrative officer be required to certify a corrected submission as complete

or incomplete less than ten (10) days after its resubmission. If the administrative officer certifies

the application as incomplete, the officer shall set forth in writing with specificity the missing or

incomplete items.

     (iii) Review of applications. An application filed in accordance with this chapter shall be

reviewed in accordance with the following provisions:

     (A) Public hearing. A public hearing shall be noticed and held within thirty (30) days of

the issuance of a certificate of completeness.

     (B) Notice. Public notice for the public hearing will be the same notice required under local

regulations for a public hearing for a preliminary plan promulgated in accordance with § 45-23-42.

The cost of notice shall be paid by the applicant.

     (C) Timeframe for review. The local review board shall render a decision on the

preliminary plan application within ninety (90) days of the date the application is certified

complete, or within a further amount of time that may be consented to by the applicant through the

submission of a written consent.

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     (D) Failure to act. Failure of the local review board to act within the prescribed period

constitutes approval of the preliminary plan and a certificate of the administrative officer as to the

failure of the local review board to act within the required time and the resulting approval shall be

issued on request of the applicant. Further, if the public hearing is not convened or a decision is not

rendered within the time allowed in subsections (c)(2)(iii)(A) and (c)(2)(iii)(C) of this section, the

application is deemed to have been allowed and the preliminary plan approval shall be issued

immediately.

     (v)(E) Required findings for approval. In approving an application, the local review board

shall make positive findings, supported by legally competent evidence on the record that discloses

the nature and character of the observations upon which the fact finders acted, on each of the

following standard provisions, where applicable:

     (A)(I) The proposed development is consistent with local needs as identified in the local

comprehensive community plan with particular emphasis on the community’s affordable housing

plan and/or has satisfactorily addressed the issues where there may be inconsistencies.

     (B)(II) The proposed development is in compliance with the standards and provisions of

the municipality’s zoning ordinance and subdivision regulations, and/or where expressly varied or

waived adjustments are requested by the applicant that local concerns that have been affected by

the relief granted do not outweigh the state and local need for low- and moderate-income housing.

     (C)(III) All low- and moderate-income housing units proposed are integrated throughout

the development; are compatible in scale and architectural style to the market rate units within the

project; and will be built and occupied prior to, or simultaneous with the construction and

occupancy of any market rate units.

     (D) There will be no significant negative environmental impacts from the proposed

development as shown on the final plan, with all required conditions for approval.

     (E)(IV) There will be no significant negative impacts on the health and safety of current or

future residents of the community, in areas including, but not limited to, safe circulation of

pedestrian and vehicular traffic, provision of emergency services, sewerage disposal, availability

of potable water, adequate surface water run-off, and the preservation of natural, historical, or

cultural features that contribute to the attractiveness of the community.

     (F)(V) All proposed land developments and all subdivisions lots will have adequate and

permanent physical access to a public street in accordance with the requirements of § 45-23-60(5).

     (G)(VI) The proposed development will not result in the creation of individual lots with

any physical constraints to development that building on those lots according to pertinent

regulations and building standards would be impracticable, unless created only as permanent open

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space or permanently reserved for a public purpose on the approved, recorded plans.

     (vi) The local review board has the same power to issue permits or approvals that any local

board or official who would otherwise act with respect to the application, including, but not limited

to, the power to attach to the permit or approval, conditions, and requirements with respect to

height, site plan, size or shape, or building materials, as are consistent with the terms of this section.

     (vii)(F) Required findings for denial. In reviewing the comprehensive permit request, the

local review board may deny the request for any of the following reasons: (A)(I) If the city or town

has an approved affordable housing plan and is meeting housing needs, and the proposal is

inconsistent with the affordable housing plan; provided that, the local review board also finds that

the municipality has made significant progress in implementing that housing plan; (B)(II) The

proposal is not consistent with local needs, including, but not limited to, the needs identified in an

approved comprehensive plan, and/or local zoning ordinances and procedures promulgated in

conformance with the comprehensive plan; (C)(III) The proposal is not in conformance with the

comprehensive plan; (D)(IV) The community has met or has plans to meet the goal of ten percent

(10%) of the year-round units or, in the case of an urban town or city, fifteen percent (15%) of the

occupied rental housing units as defined in § 45-53-3(4)(i) being low- and moderate-income

housing; provided that, the local review board also finds that the community has achieved or has

made significant progress towards meeting the goals required by this section; or (E)(V) Concerns

for the environment and the health and safety of current residents have not been adequately

addressed.

     (iv) Vesting. The approved preliminary plan is vested for a period of two (2) years with the

right to extend for two (2), one-year extensions upon written request by the applicant, who must

appear before the planning board for each annual review and provide proof of valid state or federal

permits as applicable. Thereafter, vesting may be extended for a longer period, for good cause

shown, if requested, in writing by the applicant, and approved by the local review board. The

vesting for the preliminary plan approval includes all ordinance provisions and regulations at the

time of the approval, general and specific conditions shown on the approved preliminary plan

drawings and supporting material.

     (3) Final plan review. The second and final stage of review for the comprehensive permit

project shall be done administratively, unless an applicant has requested and been granted any

waivers from the submission of checklist items for preliminary plan review, and then, at the local

review board's discretion, it may vote to require the applicant to return for final plan review and

approval.

     (i) Submission requirements. -- Applications for final plan review under this chapter shall

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include:

     (A) All required state and federal permits must be obtained prior to the final plan approval

or the issuance of a building permit; and

     (B) A draft monitoring agreement which identifies an approved entity that will monitor the

long-term affordability of the low- and moderate-income units pursuant to § 45-53-3.2; and

     (C) A sample land lease or deed restriction with affordability liens that will restrict use as

low- and moderate-income housing in conformance with the guidelines of the agency providing

the subsidy for the low- and moderate-income housing, but for a period of not less than thirty (30)

years; and

     (D) Those items required by local regulations promulgated pursuant to applicable state law

included in the checklist for final plan review in the local regulations promulgated pursuant to

chapter 23 of title 45, including, but not limited to:

     (I) Arrangements for completion of the required public improvements, including

construction schedule and/or financial guarantees; and

     (II) Certification by the tax collector that all property taxes are current; and

     (III) For phased projects, the final plan for phases following the first phase, shall be

accompanied by copies of as-built drawings not previously submitted of all existing public

improvements for prior phases.

     (ii) Certification of completeness. The final plan application must be certified complete or

incomplete by the administrative officer according to the provisions of § 45-23-36; provided

however, that, the certificate shall be granted within fourteen (14) days of submission of the

application. The running of the time period set forth herein will be deemed stopped upon the

issuance of a written certificate of incompleteness of the application by the administrative officer

and will recommence upon the resubmission of a corrected application by the applicant. However,

in no event will the administrative officer be required to certify a corrected submission as complete

or incomplete less than ten (10) days after its resubmission. If the administrative officer certifies

the application as incomplete, the officer shall set forth in writing with specificity the missing or

incomplete items.

     (iii) Review of applications.

     (A) Timeframe for review. The reviewing authority shall render a decision on the final plan

application within forty-five (45) days of the date the application is certified complete.

     (B) Modifications and changes to plans:

     (I) Minor changes, as defined in the local regulations, to the plans approved at preliminary

plan may be approved administratively, by the administrative officer, whereupon final plan

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approval may be issued. The changes may be authorized without additional public hearings, at the

discretion of the administrative officer. All changes shall be made part of the permanent record of

the project application. This provision does not prohibit the administrative officer from requesting

a recommendation from either the technical review committee or the local review board. Denial of

the proposed change(s) shall be referred to the local review board for review as a major change.

     (II) Major changes, as defined in the local regulations, to the plans approved at preliminary

plan may be approved only by the local review board and must follow the same review and public

hearing process required for approval of preliminary plans as described in subsection (c)(2)(iii) of

this section.

     (III) The administrative officer shall notify the applicant in writing within fourteen (14)

days of submission of the final plan application if the administrative officer is referring the

application to the local review board under this subsection.

     (C) Decision on final plan. An application filed in accordance with this chapter shall be

approved by the administrative officer unless such application does not satisfy conditions set forth

in the preliminary plan approval decision or such application does not have the requisite state and/or

federal approvals or other required submissions, does not post the required improvement bonds, or

such application is a major modification of the plans approved at preliminary plan.

     (D) Failure to act. Failure of the reviewing authority to act within the prescribed period

constitutes approval of the final plan and a certificate of the administrative officer as to the failure

to act within the required time and the resulting approval shall be issued on request of the applicant.

     (iv) Vesting. The approved final plan is vested for a period of two (2) years with the right

to extend for one one-year extension upon written request by the applicant, who must appear before

the planning board for the extension request. Thereafter, vesting may be extended for a longer

period, for good cause shown, if requested, in writing by the applicant, and approved by the local

review board.

     (4) Fees. Municipalities may impose fees on comprehensive permit applications that are

consistent with but do not exceed fees that would otherwise be assessed for a project of the same

scope and type, but not proceeding under this chapter; provided, however, the imposition of such

fees shall not preclude a showing by an applicant that the fees make the project financially

infeasible; and

     (5) Recording of written decisions. All written decisions on applications under this chapter

shall be recorded in the land evidence records within twenty (20) days after the local review board's

vote or the administrative officer's decision, as applicable. A copy of the recorded decision shall be

mailed within one business day of recording, by any method that provides confirmation of receipt,

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to the applicant and to any objector who has filed a written request for notice with the administrative

officer.

     (6) Local review board powers. The local review board has the same power to issue permits

or approvals that any local board or official who would otherwise act with respect to the application,

including, but not limited to, the power to attach to the permit or approval, conditions, and

requirements with respect to height, site plan, size or shape, or building materials, as are consistent

with the terms of this section.

     (viii)(7) Majority vote required. All local review board decisions on comprehensive

permits shall be by majority vote of the members present at the proceeding; provided that, there is

at least a quorum of the local review board present and voting at the proceeding, and may be

appealed by the applicant to the state housing appeals board.

     (ix) If the public hearing is not convened or a decision is not rendered within the time

allowed in subsections (a)(4)(iii) and (iv), the application is deemed to have been allowed and the

relevant approval shall issue immediately; provided, however, that this provision shall not apply to

any application remanded for hearing in any town where more than one application has been

remanded for hearing provided for in § 45-53-6(f)(2).

     (x) Any person aggrieved by the issuance of an approval may appeal to the superior court

within twenty (20) days of the issuance of approval.

     (xi)(8) Construction timetable. A comprehensive permit shall expire unless construction is

started within twelve (12) months and completed within sixty (60) months of the recording of the

final plan approval unless a longer and/or phased period for development is agreed to by the local

review board and the applicant. Low- and moderate-income housing units shall be built and

occupied prior to, or simultaneous with the construction and occupancy of market rate units.

     (xii)(9) For-profit developers -- Limits. A town with an approved affordable housing plan

and that is meeting local housing needs, as defined in this chapter, may by council action limit the

annual total number of dwelling units in comprehensive permit applications from for-profit

developers to an aggregate of one percent (1%) of the total number of year-round housing units in

the town, as recognized in the affordable housing plan and notwithstanding the timetables set forth

elsewhere in this section, the local review board shall have the authority to consider comprehensive

permit applications from for-profit developers, which are made pursuant to this paragraph,

sequentially in the order in which they are submitted.

     (xiii)(10) Report. The local review board of a town with an approved affordable housing

plan shall report the status of implementation to the housing resources commission, including the

disposition of any applications made under the plan, as of June 30, 2006, by September 1, 2006,

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and for each June 30 thereafter by September 1 through 2010. The housing resources commission

shall prepare by October 15 and adopt by December 31, a report on the status of implementation,

which shall be submitted to the governor, the speaker, and the president of the senate, and the

chairperson of the state housing appeals board, and shall find which towns are not in compliance

with implementation requirements.

     (xiv)(11) Remanded applications. Notwithstanding the provisions of § 45-53-4 in effect on

February 13, 2004, to a local review board shall commence hearings within thirty (30) days of

receiving an application remanded by the state housing appeals board pursuant to § 45-53-6(f)(2)

shall be heard as herein provided; in or superior court, as applicable. In any town with more than

one remanded application, applications may be scheduled for hearing in the order in which they

were received, and may be taken up sequentially, with the thirty-day (30) requirement for the

initiation of hearings, commencing upon the decision of the earlier filed application.

     (b)(d)(1) The general assembly finds and declares that in January 2004 towns throughout

Rhode Island have been confronted by an unprecedented volume and complexity of development

applications as a result of private for-profit developers using the provisions of this chapter and that

in order to protect the public health and welfare in communities and to provide sufficient time to

establish a reasonable and orderly process for the consideration of applications made under the

provisions of this chapter, and to have communities prepare plans to meet low- and moderate-

income housing goals, that it is necessary to impose a moratorium on the use of comprehensive

permit applications as herein provided by private for-profit developers; a moratorium is hereby

imposed on the use of the provisions of this chapter by private for-profit developers, which

moratorium shall be effective on passage and shall expire on January 31, 2005, and may be revisited

prior to expiration and extended to such other date as may be established by law. Notwithstanding

the provisions of subsection (a) of this section, private for-profit developers may not utilize the

procedure of this chapter until the expiration of the moratorium.

     (2) No for-profit developer shall submit a new application for comprehensive permits until

July 1, 2005, except by mutual agreement with the local review board.

     (3) Notwithstanding the provisions of subdivision (b)(2) of this section, a local review

board in a town which has submitted a plan in accordance with subsection (c) of this section, shall

not be required to accept an application for a new comprehensive permit from a for-profit developer

until October 1, 2005.

     (c)(e) Towns and cities that are not in conformity with the provisions of § 45-53-3(4)(i)

shall prepare by December 31, 2004, a comprehensive plan housing element for low- and moderate-

income housing as specified by § 45-53-3(4)(ii), consistent with applicable law and regulation.

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That the secretary of the planning board or commission of each city or town subject to the

requirements of this paragraph shall report in writing the status of the preparation of the housing

element for low- and moderate-income housing on or before June 30, 2004, and on or before

December 31, 2004, to the secretary of the state planning council, to the chair of the house

committee on corporations and to the chair of the senate committee on commerce, housing and

municipal government. The state housing appeals board shall use said plan elements in making

determinations provided for in § 45-53-6(c)(2).

     (d)(f) If any provision of this section or the application thereof shall for any reason be

judged invalid, the judgment shall not affect, impair, or invalidate the remainder of this section or

of any other provision of this chapter, but shall be confined in its effect to the provision or

application directly involved in the controversy giving rise to the judgment, and a moratorium on

the applications of for-profit developers pursuant to this chapter shall remain and continue to be in

effect for the period commencing on the day this section becomes law [February 13, 2004] and

continue until it shall expire on January 31, 2005, or until amended further.

     (e)(g) In planning for, awarding, and otherwise administering programs and funds for

housing and for community development, state departments, agencies, boards and commissions,

and public corporations, as defined in chapter 18 of title 35, shall among the towns subject to the

provision of § 45-53-3(ii), give priority to the maximum extent allowable by law to towns with an

approved affordable housing plan. The director of administration shall adopt not later than January

31, 2005, regulations to implement the provisions of this section.

     (f)(h) Multi-family rental units built under a comprehensive permit may be calculated

towards meeting the requirements of a municipality’s low- or moderate-income housing inventory,

as long as the units meet and are in compliance with the provisions of § 45-53-3.1.

     SECTION 2. This act shall take effect on January 1, 2024.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TOWNS AND CITIES -- LOW AND MODERATE INCOME HOUSING

***

     This act would provide amendments relative to low- and moderate-income housing and

modify and clarify the procedure for review of applications to build such housing.

     This act would take effect on January 1, 2024.

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