2023 -- H 6487

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LC003132

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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 TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES

     Introduced By: Representatives Casey, Phillips, and J. Brien

     Date Introduced: June 06, 2023

     Referred To: House Municipal Government & Housing

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 44-5-11.6 of the General Laws in Chapter 44-5 entitled "Levy and

Assessment of Local Taxes" is hereby amended to read as follows:

     44-5-11.6. Assessment of valuations — Apportionment of levies.

     (a) Notwithstanding the provisions of § 44-5-11 [repealed], beginning on December 31,

2000, the assessors in the several towns and cities shall conduct an update as defined in this section

or shall assess all valuations and apportion the levy of all taxes legally ordered under the rules and

regulations, not repugnant to law, as the town meetings and city councils, respectively, shall, from

time to time, prescribe; provided, that the update or valuation is performed in accordance with the

following schedules:

     (1)(i) For a transition period, for cities and towns that conducted or implemented a

revaluation as of 1993 or in years later:

       Update Revaluation

     Lincoln 2000 2003

     South Kingstown 2000 2003

     Smithfield 2000 2003

     West Warwick 2000 2003

     Johnston 2000 2003

     Burrillville 2000 2003

     North Smithfield 2000 2003

     Central Falls 2000 2003

     North Kingstown 2000 2003

     Jamestown 2000 2003

     North Providence 2001 2004

     Cumberland 2001 2004

     Bristol 2004 2001

     Charlestown 2001 2004

     East Greenwich 2002 2005

     Cranston 2002 2005

     Barrington 2002 2005

     Warwick 2003 2006

     Warren 2003 2006

     East Providence 2003 2006

     (ii) Provided that the reevaluation period for the town of New Shoreham shall be extended

to 2003 and the update for the town of Hopkinton may be extended to 2007 with no additional

reimbursements by the state relating to the delay.

     (iii) The implementation date for this schedule is December 31, of the stated year.

     (iv) Those cities and towns not listed in this schedule shall continue the revaluation

schedule pursuant to § 44-5-11 [repealed].

     (2)(i) For the post-transition period and in years thereafter:

       Update #1 Update #2 Revaluation

     Woonsocket 2002 2005 2008

     Pawtucket 2002 2005 2008

     Portsmouth 2001 2004 2007

     Coventry 2001 2004 2007

     Providence 2003 2006 2009

     Foster 2002 2005 2008

     Middletown 2002 2005 2008

     Little Compton 2003 2006 2009

     Scituate 2003 2006 2009

     Westerly 2003 2006 2009

     West Greenwich 2004 2007 2010

     Glocester 2004 2007 2010

     Richmond 2004 2007 2010

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     Bristol 2004 2007 2010

     Tiverton 2005 2008 2011

     Newport 2005 2008 2011

     New Shoreham 2006 2009 2012

     Narragansett 2005 2008 2011

     Exeter 2005 2008 2011

     Hopkinton 2007 2010 2013

     Lincoln 2006 2009 2012

     South Kingstown 2006 2009 2012

     Smithfield 2006 2009 2012

     West Warwick 2006 2009 2012

     Johnston 2006 2009 2012

     Burrillville 2006 2009 2012

     North Smithfield 2006 2009 2012

     Central Falls 2006 2009 2012

     North Kingstown 2006 2009 2012

     Jamestown 2006 2009 2012

     North Providence 2007 2010 2013

     Cumberland 2007 2010 2013

     Charlestown 2007 2010 2013

     East Greenwich 2008 2011 2014

     Cranston 2008 2011 2014

     Barrington 2008 2010 2014

     Warwick 2009 2012 2015

     Warren 2009 2012 2016

     East Providence 2009 2012 2015

     (ii) The implementation date for the schedule is December 31 of the stated year. Upon the

completion of the update and revaluation according to this schedule, each city and town shall

conduct a revaluation within nine (9) years of the date of the prior revaluation and shall conduct an

update of real property every three (3) years from the last revaluation. Provided, that for the town

of Bristol, the time for the first statistical update following the 2010 revaluation shall be extended

from 2013 to 2014 and said statistical update shall be based on valuations as of December 31, 2014,

and the first revaluation following the December 31, 2014, and 2015 statistical revaluation shall be

extended from 2016 to 2019 and said revaluation shall be based on valuations as of December 31,

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2018; and, that for the city of Woonsocket, the time of the first statistical update following the 2017

revaluation shall be extended from 2020 to 2021, and the statistical update shall be based on the

valuations as of December 31, 2021; and, that for the city of Warwick, the time for the second

statistical update following the 2015 revaluation shall be extended from 2021 to 2022 and said

statistical update shall be based on valuations as of December 31, 2022; and, that for the town of

Johnston, the time of the revaluation following the 2012 revaluation shall be extended from 2022

to 2023, and the statistical update shall be based on the valuations as of December 31, 2022; and,

that for the town of West Greenwich, the time for a first statistical update following the 2019

revaluation shall be extended from 2022 to 2023 and said statistical update shall be based on

valuations as of December 31, 2023; and, that for the town of New Shoreham, the full evaluation

nine (9) years following the 2012 revaluation based on the valuations of December 31, 2021, shall

be extended to December 31, 2022, and be based on valuations as of December 31, 2022. Provided

that for the city of East Providence, the revaluation period as of the December 31, 2021, assessment

date shall be extended to the December 31, 2022, assessment date, with no additional

reimbursements by the state relating to the delay. Provided, that for the city of Woonsocket, the

time of the second statistical update following the 2017 revaluation shall be extended from 2023 to

2024, and the statistical update shall be based on the valuations as of December 31, 2024; and

provided, further, that for the city of Woonsocket, the full revaluation nine (9) years following the

2017 revaluation based on the valuations of December 31, 2026, shall be extended to December

31, 2027, and be based on valuations as of December 31, 2027, and the first statistical update shall

be based upon the valuations as of December 31, 2030, and the second statistical update shall be

based upon the valuations as of December 31, 2033.

     (iii) Cities and towns shall not change the assessment of any property based on the purchase

price of the property after a transfer occurs except in accordance with a townwide or citywide

revaluation or update schedule; provided that, this prohibition shall not apply to completed new

real estate construction.

     (b) No later than February 1, 1998, the director of the department of revenue shall

promulgate rules and regulations consistent with the provisions of this section to define the

requirements for the updates that shall include, but not be limited to:

     (1) An analysis of sales;

     (2) A rebuilding of land value tables;

     (3) A rebuilding of cost tables of all improvement items; and

     (4) A rebuilding of depreciation schedules. Upon completion of an update, each city or

town shall provide for a hearing and/or appeal process for any aggrieved person to address any

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issue that arose during the update.

     (c) The costs incurred by the towns and cities for the first update shall be borne by the state

in an amount not to exceed twenty dollars ($20.00) per parcel. The costs incurred by the towns and

cities for the second update shall be borne eighty percent (80%) by the state (in an amount not to

exceed sixteen dollars ($16.00) per parcel) and twenty percent (20%) by the town or city, and in

the third update and thereafter, the state shall pay sixty percent (60%) of the update (not to exceed

twelve dollars ($12.00) per parcel) and the town or city shall pay forty percent (40%); provided,

that for the second update and in all updates thereafter, that the costs incurred by any city or town

that is determined to be a distressed community pursuant to § 45-13-12 shall be borne eighty percent

(80%) by the state and twenty percent (20%) by the city or town for all updates required by this

section.

     (d) The office of municipal affairs, after consultation with the League of Cities and Towns

and the Rhode Island Assessors’ Association, shall recommend adjustments to the costs formula

described in subsection (c) of this section based upon existing market conditions.

     (e) Any property that is either exempt from the local property tax pursuant to § 44-3-3 or

pays a city or town an amount in lieu of taxes is not required to have its values updated pursuant to

this section and the property is not eligible for the reimbursement provisions of subsection (c) of

this section. However, those properties that are exempt from taxation and are eligible for state

appropriations in lieu of property tax under the provisions of § 45-13-5.1 are eligible for state

reimbursement pursuant to subsection (c) of this section, provided, that these properties were

revalued as part of that city or town’s most recent property revaluation.

     (f) No city or town is required to conduct an update pursuant to this section unless the state

has appropriated sufficient funds to cover the state’s costs as identified in subsection (c) of this

section.

     (g) Any city or town that fails to conduct an update or revaluation as required by this

section, or requests and receives an extension of the dates specified in this section, shall receive the

same amount of state aid under §§ 45-13-1, 45-13-5.1, and 45-13-12 in the budget year for which

the new values were to apply as the city or town received in state aid in the previous budget year;

provided, however, if the new year’s entitlement is lower than the prior year’s entitlement, the

lower amount applies, except for the town of New Shoreham for the fiscal year 2003.

     (h) Any bill or resolution to extend the dates for a city or town to conduct an update or

revaluation must be approved by a two-thirds (⅔) majority of both houses of the general assembly.

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     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 TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES

***

     This act would extend the time for the second statistical update following the 2017

revaluation for the city of Woonsocket from 2023 to 2024, with the statistical update based on the

valuations as of December 31, 2024. The full revaluation nine (9) years following the 2017

revaluation based on the valuations of December 31, 2026, would be extended to December 31,

2027, based on valuations as of December 31, 2027, with first and second statistical updates

thereafter, based on the valuations as of December 31, 2030 and as of December 31, 2033.

     This act would take effect upon passage.

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