2023 -- S 0317

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LC001544

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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: Senators Felag, DiPalma, F. Lombardi, and Sosnowski

     Date Introduced: February 16, 2023

     Referred To: Senate Housing & Municipal Government

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 45-53-3 of the General Laws in Chapter 45-53 entitled "Low and

Moderate Income Housing" is hereby amended to read as follows:

     45-53-3. Definitions.

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

appears from the context, have the following meanings:

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

45-22.2-4(1), to meet 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) “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) “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) “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) “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 to proceed in building or operating low- or

moderate-income housing without financial loss, within the limitations set by the subsidizing

agency of government, on the size or character of the development, on the amount or nature of the

subsidy, or on 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.

     (6) “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) “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,

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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) “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) “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 low- or moderate-

income households, as defined in the applicable federal or state statute, or local ordinance 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. Low- or moderate-income housing also includes rental property located within a

municipality that is secured with a federal government voucher or subsidy.

     (10) “Meeting housing needs” means 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.

     (11) “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) “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 §

42-128-8.1(d)(1); such assistance may include, 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, and any combination of forms of assistance.

     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 -- LOW AND MODERATE INCOME HOUSING

***

     This act would amend the definition of "low- and moderate-income housing" to include

housing secured by a federal government voucher or subsidy.

     This act would take effect upon passage.

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