Chapter 073

2007 -- H 5300 SUBSTITUTE A AS AMENDED

Enacted 06/21/07

 

A N A C T

MAKING APPROPRIATIONS FOR THE SUPPORT OF THE STATE FOR THE FISCAL YEAR ENDING JUNE 30, 2008

          

     Introduced By: Representatives Watson, Gorham, McManus, Story, and Ehrhardt

     Date Introduced: February 01, 2007

 

  It is enacted by the General Assembly as follows:

 

     ARTICLE 1 RELATING TO MAKING APPROPRIATIONS IN SUPPORT OF FY 2008

     ARTICLE 2 RELATING TO BORROWING IN ANTICIPATION OF RECEIPTS FROM TAXES

     ARTICLE 3 RELATING TO GOVERNMENT REORGANIZATION

     ARTICLE 4 RELATING TO E-911 EMERGENCY TELEPHONE SYSTEM

     ARTICLE 5 RELATING TO DEBT MANAGEMENT ACT JOINT RESOLUTIONS

     ARTICLE 6 RELATING TO MAKING REVISED APPROPRIATIONS IN SUPPORT OF FY 2007

     ARTICLE 7 RELATING TO TAXATION

     ARTICLE 8 RELATING TO PUBLIC FINANCE – STATE BUDGET

     ARTICLE 9 RELATING TO EDUCATION BENEFITS FOR NATIONAL GUARD MEMBERS

     ARTICLE 10 RELATING TO RESTRICTED RECEIPT ACCOUNTS

     ARTICLE 11 RELATING TO HOSPITAL AND OTHER MEDICAL FACILITIES AND SERVICES

     ARTICLE 12 RELATING TO NURSING FACILITIES

     ARTICLE 13 RELATING TO HOSPITAL PAYMENTS

     ARTICLE 14 RELATING TO MEDICAL ASSISTANCE – LONG-TERM CARE SERVICE AND FINANCE   

          REFORM

     ARTICLE 15 RELATING TO CHILD CARE – STATE SUBSIDIES

     ARTICLE 16 RELATING TO FINANCIAL INSTITUTIONS – LICENSED ACTIVITIES

     ARTICLE 17 RELATING TO HUMAN SERVICES - PHARMACEUTICALS

     ARTICLE 18 RELATING TO PROGRAM INTEGRITY

     ARTICLE 19 RELATING TO HOSPITAL UNCOMPENSATED CARE

     ARTICLE 20 RELATING TO CHILD CARE ELIGIBILITY

     ARTICLE 21 RELATING TO EDUCATION AID

     ARTICLE 22 RELATING TO DELINQUENT AND DEPENDENT CHILDREN

     ARTICLE 23 RELATING TO GENERAL PUBLIC ASSISTANCE -- HARDSHIP

     ARTICLE 24 RELATING TO LICENSING OF ADULT DAY PROGRAMS

     ARTICLE 25 RELATING TO STATE AID

     ARTICLE 26 RELATING TO MOTOR AND OTHER VEHICLES

     ARTICLE 27 RELATING TO SALES TAX EXEMPTION

     ARTICLE 28 RELATING TO EXCESS INSURER PROFITS AND ADMINISTRATIVE

          COSTS

     ARTICLE 29 RELATING TO MOTOR AND OTHER VEHICLES

     ARTICLE 30 RELATING TO BAYS, RIVERS, AND WATERSHED COORDINATION

          TEAM

     ARTICLE 31 RELATING TO MUNICIPAL TIPPING FEES

     ARTICLE 32 RELATING TO CONTRACTOR’S REGISTRATION FEES

     ARTICLE 33 RELATING TO FIRE SAFETY FEES

     ARTICLE 34 RELATING TO MOTOR VEHICLE EMISSIONS INSPECTION PROGRAM

     ARTICLE 35 RELATING TO ADJUDICATION OF TRAFFIC OFFENSES

     ARTICLE 36 RELATING TO HISTORICAL RECORDS TRUST FEES

     ARTICLE 37 RELATING TO UNCLAIMED PROPERTY

     ARTICLE 38 RELATING TO PESTICIDE REGISTRATION SURCHARGE FEES

     ARTICLE 39 RELATING TO DEPARTMENT OF HEALTH FEES

     ARTICLE 40 RELATING TO TOBACCO SETTLEMENT FINANCING CORPORATION

     ARTICLE 41 RELATING TO MUTUEL BETTING AND LICENSE FEES

     ARTICLE 42 RELATING TO PRIVATIZATION OF STATE SERVICES

     ARTICLE 43 RELATING TO FARM TO SCHOOL INCOME TAX CREDIT

     ARTICLE 44 RELATING TO EFFECTIVE DATE

     

ARTICLE 1 SUBSTITUTE A AS AMENDED

RELATING TO MAKING APPROPRIATIONS IN SUPPORT OF FY 2008

 

SECTION 1. Subject to the conditions, limitations and restrictions hereinafter contained in this act, the following general revenue amounts are hereby appropriated out of any money in the treasury not otherwise appropriated to be expended during the fiscal year ending June 30, 2008.  The amounts identified for federal funds and restricted receipts shall be made available pursuant to section 35-4-22 and Chapter 41 of Title 42 of the Rhode Island General Laws.  For the purposes and functions hereinafter mentioned, the state controller is hereby authorized and directed to draw his or her orders upon the general treasurer for the payment of such sums or such portions thereof as may be required from time to time upon receipt by him or her of properly authenticated vouchers.

 

Administration

Central Management                                                                                                                            

             General Revenues                                                                                                       1,549,780

             Federal Funds                                                                                                               238,173

                           Total - Central Management                                                                          1,787,953

Legal Services

             General Revenues                                                                                                       1,836,817

             Legal Support/DOT                                                                                                      122,057

                           Total – Legal Services                                                                                   1,958,874

Accounts and Control General Revenues                                                                                3,252,968

Budgeting General Revenues                                                                                                   2,090,800

Purchasing General Revenues                                                                                                 2,398,789

Auditing General Revenues                                                                                                     1,792,239

Human Resources

             General Revenues                                                                                                     10,067,133

              Federal Funds                                                                                                           2,065,791

             Restricted Receipts                                                                                                        577,637

             Other Funds                                                                                                                  793,282

                           Total - Human Resources                                                                            13,503,843

Personnel Appeal Board General Revenues                                                                                 96,793

Facilities Management

             General Revenues                                                                                                     36,055,887

             Federal Funds                                                                                                            7,214,065

             Restricted Receipts                                                                                                     1,137,677

             State Fleet Replacement Restricted Receipts                                                               6,350,000

             The State Fleet Replacement restricted receipt account is hereby established, notwithstanding the provisions of Section 34-4-27 of the General Laws, for the purposes of purchasing vehicles for state agencies. The Department of Administration shall adopt rules and regulations for the use of these funds and submit them to the Assembly no later than November 1, 2007.

             Other Funds                                                                                                                  555,116

                           Total – Facilities Management                                                                     51,312,745

Capital Projects and Property Management General Revenues                                            3,748,880

Information Technology

             General Revenues                                                                                                     17,650,147

             Federal Funds                                                                                                            7,389,800

             Restricted Receipts                                                                                                     1,422,572

             Other Funds                                                                                                               1,403,499

                           Total – Information Technology                                                                   27,866,018

Library and Information Services

             General Revenues                                                                                                       1,100,791

             Federal Funds                                                                                                            1,084,437

             Restricted Receipts                                                                                                            2,000

                           Total – Library and Information Services                                                       2,187,228

Planning

             General Revenues                                                                                                       3,792,553

             Federal Funds                                                                                                            9,330,126

             Intermodal Surface Transportation Funds

                           Federal Highway - PL Systems Planning                                                        1,689,264

                           Air Quality Modeling                                                                                          20,800

                           Total - Planning                                                                                           14,832,743

Security Services General Revenues                                                                                      19,932,620

General

             General Revenues

                           Miscellaneous Grants                                                                                       660,912

                           Torts – Court                                                                                                   400,000

                           Convention Center                                                                                      12,500,000

             Provided that the funds shall be provided to the Rhode Island Convention Center Authority at the times and in the amounts determined to be necessary by the State Budget Officer; and provided further, that $500,000 is reserved to fund expenses related to the relocation of the Providence War Memorial to LaSalle Square, or in the alternative, the Dunkin Donuts Center. Any funds remaining from this relocation project may be used to complete the renovation of the Dunkin Donuts Center, if needed.

                           Teachers Retiree Health Subsidy                                                                   1,442,024

                           Economic Development Corporation Grant                                                    7,694,121

                           EDC – RI Airport Corporation Impact                                                          1,004,520

                           Economic Policy Council                                                                                  300,000

                           Slater Centers of Excellence                                                                          3,000,000

                           EDC EPScore                                                                                              1,500,000

                           Police/Fire Incentive Pay                                                                                  675,000

                           Motor Vehicle Excise Tax Payment                                                           135,500,042

                           Property Valuation                                                                                        1,100,000

                           General Revenue Sharing Program                                                               65,111,876

                          Payment in Lieu of Tax Exempt Properties                                                   27,766,967

                           Distressed Communities Relief Program                                                       10,384,458

                           Resource Sharing and State Library Aid                                                        8,773,398

                           Library Construction Aid                                                                               2,813,141

             Restricted Receipts                                                                                                     1,295,997

             Rhode Island Capital Plan Funds

                           Statehouse Renovations                                                                                 4,000,000

                           Lead Mitigation Group Homes                                                                         300,000

                           Computer Center                                                                                          8,975,000

                           Cranston Street Armory                                                                                1,300,000

                           Cannon Building                                                                                               200,000

                           Pastore Center Master Plan                                                                              600,000

                           Zambarano Building Rehabilitation                                                                    600,000

                           Pastore Center Rehabilitation                                                                            530,000

                           Old State House                                                                                              500,000

                           State Office Building                                                                                         950,000

                           Old Colony House                                                                                           135,000

                           William Powers Building                                                                                   750,000

                           McCoy Stadium                                                                                               557,500

                           Fire Code Compliance State Buildings                                                              500,000

                           Pastore Center Fire Code Compliance                                                             750,000

                           Pastore Center Water Tanks                                                                            480,000

                           Ladd Center Water System                                                                                50,000

                           Pastore Center Environmental Management                                                      250,000

                           Pastore Center Power Plant                                                                          2,000,000

                           Replacement of Fueling Tanks                                                                          600,000

                           Neighborhood Opportunities Program                                                           7,500,000

                           Environmental Compliance                                                                               275,000

                           Total - General                                                                                          313,724,956

Debt Service Payments

             General Revenues                                                                                                   126,160,050

             Federal Funds                                                                                                            1,177,854

             Restricted Receipts                                                                                                     1,542,173

             Intermodal Surface Transportation Funds

                           RIPTA Debt Service                                                                                        681,005

                           Transportation Debt Service                                                                        35,442,466

             Temporary Disability Insurance Fund

                           RIRBA - DLT – Temporary Disability Insurance                                                45,586

                           COPS - DLT Building – TDI                                                                           358,825

             Reed Act Funds

                           COPS – DLT Building                                                                                       26,320

                           Total - Debt Service Payments                                                                  165,434,279

Energy Resources

             General Revenues                                                                                                       2,236,989

             Federal Funds                                                                                                          19,688,355

             Restricted Receipts                                                                                                        200,000

                           Total – Energy Resources                                                                            22,125,344

Undistributed Personnel Savings

             General Revenues                                                                                                    (9,105,434)

             Federal Funds                                                                                                          (2,606,705)

             Restricted Receipts                                                                                                     (418,650)            

             Other Funds                                                                                                            (2,714,920)

                           Total – Undistributed Personnel Savings                                                    (14,845,709)

                           Grand Total - Administration                                                                     633,201,363

Business Regulation

Central Management General Revenues                                                                                 1,283,012

Banking and Securities Regulation General Revenues                                                            3,083,499

             Restricted Receipts                                                                                                        145,000

             Total Banking and Securities Regulation                                                                      3,228,499            

Commercial Licensing, Racing  and Athletics

             General Revenues                                                                                                       1,362,961            

             Restricted Receipts                                                                                                        606,836            

                           Total - Commercial Licensing, Racing and Athletics                                       1,969,797

Insurance Regulation

             General Revenues                                                                                                       5,184,809

             Federal Funds                                                                                                                 51,742

             Restricted Receipts                                                                                                        856,129

                           Total - Insurance Regulation                                                                          6,092,680

Board of Accountancy General Revenues                                                                                  155,449

Board for Design Professionals General Revenues                                                                    406,186

                           Grand Total - Business Regulation                                                               13,135,623

Labor and Training

Central Management

             General Revenues                                                                                                          195,297

             Restricted Receipts                                                                                                        483,507

                           Total - Central Management                                                                             678,804

Workforce Development Services

             General Revenues                                                                                                              2,500

             Federal Funds                                                                                                          13,368,113

             Restricted Receipts                                                                                                   14,952,134

             Reed Act Funds

                           Rapid Job Entry                                                                                               798,997

                           Workforce Development                                                                               5,200,000

             Of the $6.0 million appropriated from Reed Act funds, $798,997 may be used solely for the Rapid Job Entry Program to engage welfare recipients in employment preparation and placement through employment assessment workshop and job club/job search workshop activities; and $5.2 million may be for the administration of this state’s employment compensation law and public employment service offices.

                           Total – Workforce Development Services                                                   34,321,744

Workforce Regulation and Safety General Revenues                                                              2,736,797

Income Support

             General Revenues                                                                                                       3,175,354

             Federal Funds                                                                                                          14,756,732

             Restricted Receipts                                                                                                     1,760,639

             Temporary Disability Insurance Fund                                                                      177,634,956

             Employment Security Fund                                                                                     212,759,436

                           Total - Income Support                                                                             410,087,117

Injured Workers Services Restricted Receipts                                                                      11,087,418

Labor Relations Board General Revenues                                                                                  473,214

                           Grand Total - Labor and Training                                                              459,385,094

Department of Revenue

Director of Revenue Office General Revenues                                                                           751,500

Office of Revenue Analysis General Revenues                                                                           750,003

Lottery Division Lottery Funds                                                                                           214,697,422

 Property Valuation General Revenues                                                                                      849,819

Taxation

             General Revenues                                                                                                     17,820,994

             Federal Funds                                                                                                            1,235,454

             Restricted Receipts                                                                                                        830,406

             Temporary Disability Insurance                                                                                      910,131

                           Total - Taxation                                                                                          20,796,985

Registry of Motor Vehicles

             General Revenues                                                                                                     18,403,641

             Federal Funds                                                                                                                 99,691

             Restricted Receipts                                                                                                          15,100

                           Total – Registry of Motor Vehicles                                                              18,518,432

                           Grand Total – Revenue                                                                             256,364,161

Legislature

             General Revenues                                                                                                     34,440,361

             Restricted Receipts                                                                                                     1,523,721

                           Grand Total - Legislature                                                                             35,964,082

Lieutenant Governor General Revenues                                                                                   925,112

Secretary of State

Administration General Revenues                                                                                          1,685,414

Corporations General Revenues                                                                                             1,798,880

State Archives

             General Revenues                                                                                                            88,909

             Federal Funds                                                                                                                 40,121

             Restricted Receipts                                                                                                        443,476

                           Total - State Archives                                                                                      572,506

Elections

             General Revenues                                                                                                          583,210

             Federal Funds                                                                                                               546,623

                           Total - Elections                                                                                            1,129,833

State Library General Revenues                                                                                                 689,592

Office of Civics and Public Information  General Revenues                                                     190,131

                           Grand Total - State                                                                                       6,066,356

General Treasurer

Treasury

             General Revenues                                                                                                       2,589,641

             Federal Funds                                                                                                               291,066

             Restricted Receipts                                                                                                          10,000

             Temporary Disability Insurance Fund                                                                             293,140

                           Total – Treasury                                                                                            3,183,847

State Retirement System

             Restricted Receipts

                           Administrative Expenses - State Retirement System                                       6,131,739

                           Retirement - Treasury Investment Operations                                                    877,497

                           Total - State Retirement System                                                                    7,009,236

Unclaimed Property Restricted Receipts                                                                              23,095,200

RI Refunding Bond Authority General Revenues                                                                          40,349

Crime Victim Compensation Program

             General Revenues                                                                                                          278,560

             Federal Funds                                                                                                            1,625,080

             Restricted Receipts                                                                                                     1,657,851

                           Total - Crime Victim Compensation Program                                                 3,561,491

                           Grand Total - General Treasurer                                                                  36,890,123

Board of Elections

             General Revenues                                                                                                       1,437,214

             Federal Funds                                                                                                               586,894

                           Grand Total - Board of Elections                                                                   2,024,108

Rhode Island Ethics Commission General Revenues                                                            1,410,451

Office of Governor General Revenues                                                                                   4,921,696

             From the appropriation for contingency shall be paid such sums as may be required at the discretion of the Governor to fund expenses for which appropriations may not exist. Such contingency funds may also be used for expenditures in departments and agencies where appropriations are insufficient, or where such requirements are due to unforeseen conditions or are non-recurring items of an unusual nature. Said appropriations may also be used for the payment of bills incurred due to emergencies or to any offense against public peace and property, in accordance with the provisions of Titles 11 and 45 of the General Laws of 1956, as amended. All expenditures and transfers from this account shall be approved by the Governor.

Public Utilities Commission

             General Revenues                                                                                                          661,246

             Federal Funds                                                                                                               100,124

             Restricted Receipts                                                                                                     6,334,717

                           Grand Total - Public Utilities Commission                                                      7,096,087

Rhode Island Commission on Women General Revenues                                                        108,203

Commission for Human Rights

             General Revenues                                                                                                          984,197

             Federal Funds                                                                                                               404,743

                           Grand Total - Commission for Human Rights                                                 1,388,940

Office of Health and Human Services

             General Revenues                                                                                                          307,152

             Federal Funds                                                                                                            5,826,265

             Restricted Receipts                                                                                                        445,548

                           Total – Health and Human Services                                                               6,578,965

Children, Youth, and Families

Central Management

             General Revenues                                                                                                       5,903,045

             Federal Funds                                                                                                            3,359,730

                           Total - Central Management                                                                          9,262,775

Children's Behavioral Health Services

             General Revenues                                                                                                     18,805,572

             Federal Funds                                                                                                          13,268,634

                           Total - Children's Behavioral Health Services                                               32,074,206

Juvenile Correctional Services

             General Revenues                                                                                                     29,680,225

             Federal Funds                                                                                                               610,837

             Restricted Receipts                                                                                                            6,000

             Rhode Island Capital Plan Funds - Girls Facility – Training School                                  700,000

                           Total - Juvenile Correctional Services                                                          30,997,062

Child Welfare

             General Revenues                                                                                                     88,661,014

             Federal Funds                                                                                                          58,426,893

             18 to 21 Year Olds

             General Revenues                                                                                                       6,000,000

             Federal Funds                                                                                                            4,545,000

             The General Assembly shall appropriate quarterly allotments to the Department of Children, Youth, and Families for child welfare for FY 2008. The state controller shall not allow the department to spend any more than $23.7 million from general revenues and $15.7 million from federal funds by September 30, 2007, no more than $47.4 million from general revenues and $31.4 million from federal funds by December 31, 2007, and no more than $71.1 million from general revenues and $47.1 million from federal funds by March 31, 2008.

             Restricted Receipts                                                                                                     1,747,941

             Rhode Island Capital Plan Funds

                           Camp E-Hun-Tee                                                                                              85,000

                           Fire Code Upgrades                                                                                        750,000

                           Total - Child Welfare                                                                                160,215,848

Higher Education Incentive Grants General Revenues                                                             200,000

                           Grand Total - Children, Youth, and Families                                              232,749,891

Elderly Affairs

             General Revenues

                           General Revenues                                                                                       16,521,951

                           RIPAE                                                                                                          2,081,654

                           Safety and Care of the Elderly                                                                                 600

             Federal Funds                                                                                                          13,056,931

             Restricted Receipts                                                                                                        690,000

             Intermodal Surface Transportation Funds                                                                    4,685,000

                           Grand Total - Elderly Affairs                                                                       37,036,136

Health

Central Management

             General Revenues                                                                                                       4,901,329

             Federal Funds                                                                                                            4,856,361

             Restricted Receipts                                                                                                     3,716,866

                           Total - Central Management                                                                        13,474,556

State Medical Examiner

             General Revenues                                                                                                       2,156,986

             Federal Funds                                                                                                               141,556

                           Total - State Medical Examiner                                                                     2,298,542

Family Health

             General Revenues                                                                                                       2,588,535

             Federal Funds                                                                                                          29,851,256

             Restricted Receipts                                                                                                   18,186,461

                           Total - Family Health                                                                                   50,626,252

Health Services Regulation

             General Revenues                                                                                                       6,522,612

             Federal Funds                                                                                                            4,913,651

             Restricted Receipts                                                                                                        436,904

                           Total - Health Services Regulation                                                               11,873,167

Environmental Health

             General Revenues                                                                                                       3,999,516

             Federal Funds                                                                                                            6,124,861

             Restricted Receipts                                                                                                     3,062,911

                           Total - Environmental Health                                                                       13,187,288

Health Laboratories

             General Revenues                                                                                                       8,170,513

             Federal Funds                                                                                                            2,063,939

                           Total - Health Laboratories                                                                         10,234,452

Disease Prevention and Control

                           General Revenues                                                                                         6,147,635

             Federal Funds                                                                                                          17,353,763

             National Highway Traffic Safety Funds Walkable Communities Initiative                           28,676

                           Total - Disease Prevention and Control                                                        23,530,074

                           Grand Total - Health                                                                                 125,224,331

Human Services

Central Management

             General Revenues                                                                                                       9,113,855

             Federal Funds                                                                                                            4,251,568

             Restricted Receipts                                                                                                     1,746,265

                           Total - Central Management                                                                        15,111,688

Child Support Enforcement

             General Revenues                                                                                                       3,830,853

             Federal Funds                                                                                                            7,569,577

             Restricted Receipts                                                                                                          50,000

                           Total – Child Support Enforcement                                                              11,450,430

Individual and Family Support

             General Revenues                                                                                                     24,754,511

             Federal Funds                                                                                                          52,883,675

             Restricted Receipts                                                                                                        134,150

             Rhode Island Capital Plan Funds

                           Blind Vending Facilities                                                                                    100,000

                           Forand Building Exterior                                                                                1,200,000

                           Total - Individual and Family Support                                                          79,072,336

Veterans' Affairs

             General Revenues                                                                                                     17,109,472

             Federal Funds                                                                                                            6,384,850

             Restricted Receipts                                                                                                     1,516,550

                           Total - Veterans' Affairs                                                                              25,010,872

Health Care Quality, Financing and Purchasing

             General Revenues                                                                                                     23,023,393

             Federal Funds                                                                                                          43,746,840

             Restricted Receipts                                                                                                        186,714

                           Total - Health Care Quality, Financing & Purchasing                                    66,956,947

Medical Benefits

             General Revenues

                           Hospitals                                                                                                   127,761,587

                           Long Term Care                                                                                       171,867,087

             Provided that $154,280,987 is for long term care for nursing homes and hospice care and $17,586,100 is for long term care for home and community based services.

                           Managed Care                                                                                          259,157,517

                           Pharmacy                                                                                                    63,239,985

                           Other                                                                                                          55,380,738

             Federal Funds

                           Hospitals                                                                                                   115,822,763

                           Long Term Care                                                                                       189,938,417

             Provided that $170,524,517 is for long term care for nursing homes and hospice care and $19,413,900 is for long term care for home and community based services.

                           Managed Care                                                                                          293,562,936

                           Special Education                                                                                        20,733,240

                           Pharmacy                                                                                                    23,999,516

                           Other                                                                                                          60,550,556

             Restricted Receipts                                                                                                     5,590,042

                           Total - Medical Benefits                                                                         1,387,604,384

Supplemental Security Income Program General Revenues                                                 28,455,740

Family Independence Program

             General Revenues

                           Child Care                                                                                                    7,442,414

                           TANF/Family Independence Program                                                         15,957,990

             Federal Funds                                                                                                          84,438,119

                           Total - Family Independence Program                                                       107,838,523

State Funded Programs

             General Revenues General Public Assistance                                                               4,090,076

             Federal Funds                                                                                                          85,553,476

                           Total - State Funded Programs                                                                    89,643,552

                           Grand Total - Human Services                                                               1,811,144,472

Mental Health, Retardation, and Hospitals

Central Management

             General Revenues                                                                                                          740,606

             Federal Funds                                                                                                                 67,080

                           Total - Central Management                                                                             807,686

Hospital and Community System Support

             General Revenues                                                                                                       4,238,069

             Federal Funds                                                                                                               373,404

             Rhode Island Capital Plan Funds

                           Medical Center Rehabilitation                                                                           290,000

                           Community Facilities Fire Code                                                                     1,250,000

                           DD Private Waiver Community Facility/Fire Code                                            337,500

                           Total - Hospital and Community System Support                                           6,488,973

Services for the Developmentally Disabled

             General Revenues                                                                                                   120,497,502

             Federal Funds                                                                                                        136,746,550

             Rhode Island Capital Plan Funds

                           Regional Center Repair/Rehabilitation                                                               300,000

                           MR Community Facilities/Access to Independence                                           500,000

                           Developmental Disability Group Homes                                                         2,050,000

                           Total - Services for the Developmentally Disabled                                      260,094,052

Integrated Mental Health Services

             General Revenues                                                                                                     43,958,899

             Federal Funds                                                                                                          38,244,839

             Rhode Island Capital Plan Funds

                           MH Community Facilities Repairs                                                                     250,000

                           MH Housing Development-Thresholds                                                             400,000

                           Total - Integrated Mental Health Services                                                    82,853,738

Hospital and Community Rehabilitation Services

             General Revenues                                                                                                     57,019,642

             Federal Funds                                                                                                          56,699,247

             Restricted Receipts                                                                                                     2,950,000

             Rhode Island Capital Plan Funds

                           Zambarano Buildings and Utilities                                                                     590,000

                           Hospital Consolidation                                                                                  2,250,000

                           Total - Hospital and Community Rehabilitation Services                             119,508,889

Substance Abuse

             General Revenues                                                                                                     17,004,511

             Federal Funds                                                                                                          11,839,894

             Restricted Receipts                                                                                                          90,000

             Rhode Island Capital Plan Funds

                          Asset Protection                                                                                               200,000

                           Total - Substance Abuse                                                                             29,134,405

                           Grand Total - Mental Health, Retardation, and Hospitals                            498,887,743

Office of the Child Advocate

                           General Revenues                                                                                            520,757

                           Federal Funds                                                                                                    40,000

                            Grand Total – Office of the Child Advocate                                                     560,757

Commission on the Deaf and Hard of Hearing

                           General Revenues                                                                                            370,154

                           Federal Funds                                                                                                    17,500

                           Grand Total - Commission on the Deaf and Hard of Hearing                             387,654

RI Developmental Disabilities Council Federal Funds                                                           461,111

Governor's Commission on Disabilities

             General Revenues                                                                                                          535,775

             Federal Funds                                                                                                               181,692

             Restricted Receipts                                                                                                          50,612

             Rhode Island Capital Plan Funds

                           Facility Renovation – Handicapped Accessibility                                               200,000

                           Grand Total - Governor's Commission on Disabilities                                        968,079

Mental Health Advocate General Revenues                                                                             424,343

Elementary and Secondary Education

Administration of the Comprehensive Education Strategy

             General Revenues                                                                                                     21,316,614

             Statewide – Uniform Chart of Accounts                                                                      1,100,000

             Federal Funds                                                                                                        175,671,609

             HRIC Adult Education Grants                                                                                    4,500,000

             Restricted Receipts                                                                                                     1,189,897

             Rhode Island Capital Plan Funds

                           Shepard Building Air Quality                                                                            286,500

                           Total – Administration of the Comprehensive

                           Education Strategy                                                                                    204,064,620

Davies Career and Technical School

             General Revenues                                                                                                     14,571,572

             Federal Funds                                                                                                            1,237,336

             Rhode Island Capital Plan Funds

                           Davies HVAC                                                                                                 364,985

                           Davies Asset Protection                                                                                     82,400

                           Davies Roof Repair                                                                                          507,000

                           Total - Davies Career and Technical School                                                16,763,293

RI School for the Deaf

             General Revenues                                                                                                       6,807,792

             Federal Funds                                                                                                               367,923

                           Total - RI School for the Deaf                                                                       7,175,715

Metropolitan Career and Technical School General Revenues                                            11,487,734

Education Aid

             General Revenues                                                                                                   679,417,316

             Federal Funds                                                                                                            1,119,042

             Restricted Receipt                                                                                                      1,459,996

                           Total – Education Aid                                                                               681,996,354

Central Falls School District General Revenues                                                                   43,795,411

Housing Aid General Revenues                                                                                             52,861,510

Teachers’ Retirement General Revenues                                                                               78,071,710

                           Grand Total - Elementary and Secondary Education                               1,096,216,347

Public Higher Education

Board of Governors/Office of Higher Education

             General Revenues                                                                                                       8,135,640

             Federal Fund                                                                                                              3,526,446

             Restricted Receipts                                                                                                        200,000

                           Total – Board of Governors/Off. of Higher Education                                  11,862,086

University of Rhode Island

             General Revenues                                                                                                                      

                           General Revenues                                                                                       77,035,968

                           Debt Service                                                                                               11,203,337

             University and College Funds

                           University and College Funds                                                                    401,968,441

                           Debt - Dining Services                                                                                  1,115,771

                           Debt - Educational and General                                                                     2,556,727

                           Debt - Health Services                                                                                     130,758

                           Debt - Housing Loan Funds                                                                          5,550,920

                           Debt - Memorial Union                                                                                    101,165

                           Debt - Ryan Center                                                                                          388,558

                           Debt - Alton Jones Services                                                                             148,728

                           Debt - Boss Arena                                                                                             71,913

                           Debt - Parking Authority                                                                                  757,871

                           Debt – Sponsored Research                                                                             101,425

             Rhode Island Capital Plan Funds

                            Asset Protection                                                                                           4,189,500

                           Superfund                                                                                                        954,000

                           Lippitt Hall                                                                                                    4,605,000

                           Total – University of Rhode Island                                                             510,880,082

             Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or unencumbered balances as of June 30, 2008 relating to the University of Rhode Island are hereby reappropriated to fiscal year 2009.

Rhode Island College

             General Revenues

                           General Revenues                                                                                       45,750,547

                           Debt Service                                                                                                 2,944,957

                           RIRBA – Rhode Island College                                                                        336,386

             University and College Funds

                           University and College Funds                                                                      82,943,953

                           Debt - Education and General                                                                          295,152

                           Debt - Housing                                                                                                494,417

                           Debt - Student Center and Dining                                                                     172,061

                           Debt - Student Union                                                                                       172,194

             Rhode Island Capital Plan Funds

                           Asset Protection                                                                                            1,819,125

                           Total – Rhode Island College                                                                    134,928,792

             Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or unencumbered balances as of June 30, 2008 relating to the Rhode Island College are hereby reappropriated to fiscal year 2009.

Community College of Rhode Island

             General Revenues

                           General Revenues                                                                                       49,254,318

                           Debt Service                                                                                                 1,406,894

             Restricted Receipts                                                                                                        693,520

             University and College Funds

                           University and College Funds                                                                      58,716,203

                           Debt – Bookstore                                                                                            176,504

             Rhode Island Capital Plan Funds

                           Knight Campus Nursing Program                                                                       60,000

                           Fire Code and HVAC                                                                                   1,700,000

                           Asset Protection                                                                                            1,157,625

                           Total – Community College of Rhode Island                                              113,165,064

             Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or unencumbered balances as of June 30, 2008 relating to the Community College of Rhode Island are hereby reappropriated to fiscal year 2009.

                           Grand Total – Public Higher Education                                                      770,836,024

RI State Council on the Arts

             General Revenues

                           Operating Support                                                                                           757,476

                           Grants                                                                                                           2,020,168

             Federal Funds                                                                                                               706,453

             Arts for Public Facilities                                                                                              3,000,000

                           Grand Total - RI State Council on the Arts                                                    6,484,097

RI Atomic Energy Commission

             General Revenues                                                                                                          819,869

             Federal Funds                                                                                                               420,940

             University and College Funds URI Sponsored Research                                                 190,654

             Rhode Island Capital Plan Funds

                           Asset Protection                                                                                                 50,000

                           Grand Total - RI Atomic Energy Commission                                                1,481,463

RI Higher Education Assistance Authority

             General Revenues

                           Needs Based Grants and Work Opportunities                                             10,000,000

                           Authority Operations and Other Grants                                                          1,019,684

             Federal Funds                                                                                                          12,612,204

             Tuition Savings Program - Administration                                                                    5,718,516

                           Grand Total – RI Higher Education Assistance Authority                              29,350,404

RI Historical Preservation and Heritage Commission

             General Revenues                                                                                                       1,577,792

             Federal Funds                                                                                                               529,078

             Restricted Receipts                                                                                                        496,294

                           Grand Total - RI Historical Pres. and Heritage Comm.                                   2,603,164

RI Public Telecommunications Authority

             General Revenues                                                                                                       1,363,654

             Corporation for Public Broadcasting                                                                              799,656

                           Grand Total – RI Public Telecommunications Authority                                  2,163,310

Attorney General

Criminal

             General Revenues                                                                                                     12,988,267

             Federal Funds                                                                                                            1,322,964

             Restricted Receipts                                                                                                        339,183

                           Total - Criminal                                                                                           14,650,414

Civil

             General Revenues                                                                                                       4,897,204

             Restricted Receipts                                                                                                        634,364

                           Total - Civil                                                                                                   5,531,568

Bureau of Criminal Identification

             General Revenues                                                                                                       1,017,634

             Federal Funds                                                                                                                 56,500

                           Total Bureau of Criminal Identification                                                           1,074,134

General

             General Revenues                                                                                                       2,432,200

             Rhode Island Capital Plan Funds

                           Building Renovations and Repairs                                                                     215,000

                           Total - General                                                                                              2,647,200

                           Grand Total - Attorney General                                                                   23,903,316

Corrections

Central Management

             General Revenues                                                                                                     10,466,116

             Federal Funds                                                                                                               359,452

                           Total - Central Management                                                                        10,825,568

Parole Board

             General Revenues                                                                                                       1,259,056

             Federal Funds                                                                                                                 33,002

                           Total - Parole Board                                                                                     1,292,058

Institutional Corrections

             General Revenues                                                                                                   160,571,643

             Federal Funds                                                                                                            2,034,829

             Rhode Island Capital Plan Funds

                           Reintegration Center State Match                                                                  1,195,123

                           General Renovations – Maximum                                                                     400,000

                           General Renovations - Women                                                                      1,000,000

                           Women’s Bathroom Renovations                                                                     856,000

                           Work Release Roof                                                                                         497,000

                           Asset Protection                                                                                            2,500,000

                           Total - Institutional Corrections                                                                  169,054,595

Community Corrections

             General Revenues                                                                                                     15,657,717

             Federal Funds                                                                                                               380,217

                           Total – Community Corrections                                                                   16,037,934

                           Grand Total - Corrections                                                                         197,210,155

Judiciary

Supreme Court

             General Revenues

                           General Revenues                                                                                       25,903,138

                           Defense of Indigents                                                                                      3,065,689

                           Judicial Tenure and Discipline                                                                           119,705

             Federal Funds                                                                                                               121,590

             Restricted Receipts                                                                                                     1,131,337

             Rhode Island Capital Plan Funds

                           Judicial HVAC                                                                                                 400,000

                           Garrahy Lighting and Ceiling                                                                             600,000

                           Asset Protection                                                                                               450,000

                           Total - Supreme Court                                                                                31,791,459

Superior Court

             General Revenues                                                                                                     20,417,996

             Federal Funds                                                                                                               535,427

             Total  - Superior Court                                                                                             20,953,423

Family Court

             General Revenues                                                                                                     17,793,670

             Federal Funds                                                                                                            1,407,102

             Total – Family Court                                                                                                19,200,772

District Court General Revenues                                                                                          10,505,649

Traffic Tribunal General Revenues                                                                                         7,159,070

Workers' Compensation Court Restricted Receipts                                                                7,387,455

                           Grand Total - Judiciary                                                                                96,997,828

Military Staff

National Guard

             General Revenues                                                                                                       1,761,132

             Federal Funds                                                                                                            9,288,875

             Restricted Funds                                                                                                           145,000

             Rhode Island Capital Plan Funds

                           Federal Armories Fire Code Comp.                                                                 118,750

                           AMC Roof Replacement                                                                                  644,000

                           State Armories Fire Code Comp.                                                                     250,000

                           Asset Protection                                                                                               210,000

                           Logistics/Maint. Facilities Fire Code Comp.                                                      100,000

                           Woonsocket Building Demolition                                                                        71,250

                           Total - National Guard                                                                                12,589,007

Emergency Management

             General Revenues                                                                                                          802,732

             Federal Funds                                                                                                          11,305,824

             Restricted Receipts                                                                                                        262,532

                           Total - Emergency Management                                                                  12,371,088

                           Grand Total - Military Staff                                                                         24,960,095

E-911 Emergency Telephone System

                           General Revenues                                                                                         4,733,109

                           Restricted Receipts                                                                                       1,296,943

                           Grand Total – E-911 Emergency Telephone System                                      6,030,052                          

Fire Safety Code Board of Appeal and Review General Revenues                                         303,435

State Fire Marshal

             General Revenues                                                                                                       2,671,285

             Federal Funds                                                                                                               227,972

                           Grand Total - State Fire Marshal                                                                   2,899,257

Rhode Island Justice Commission

             General Revenues                                                                                                          160,815

             Federal Funds                                                                                                            4,151,511

             Restricted Receipts                                                                                                          30,000

                           Grand Total - Rhode Island Justice Commission                                            4,342,326

Municipal Police Training Academy

             General Revenues                                                                                                          429,252

             Federal Funds                                                                                                                 50,000

                           Grand Total - Municipal Police Training Academy                                            479,252

State Police

             General Revenues                                                                                                     52,058,385

             Federal Funds                                                                                                            1,091,916

             Restricted Receipts                                                                                                        312,100

             Traffic Enforcement - Municipal Training                                                                        378,924

             Rhode Island Capital Plan Funds

                           Barracks and Training                                                                                      150,000

                           State Police Training Academy                                                                      5,000,000

                           Lottery Commission Assistance                                                                        142,099

             Airport Corporation                                                                                                      143,923

             Road Construction Reimbursement                                                                             2,366,598

                           Grand Total - State Police                                                                           61,643,945

Office of Public Defender

             General Revenues                                                                                                       9,324,951

             Federal Funds                                                                                                               421,833

                           Grand Total - Office of Public Defender                                                        9,746,784

Environmental Management

Office of the Director

             General Revenues                                                                                                       6,043,464

             Federal Funds                                                                                                               556,097

             Restricted Receipts                                                                                                     2,504,573

                           Total – Office of the Director                                                                         9,104,134

Natural Resources

             General Revenues                                                                                                     18,318,004

             Federal Funds                                                                                                          17,159,404

             Restricted Receipts                                                                                                     3,829,816

             DOT Recreational Projects                                                                                            117,996

             Blackstone Bikepath Design                                                                                          787,890

             Rhode Island Capital Plan Funds

                           Dam Repair                                                                                                     300,000

                           Recreational Facilities Improvements                                                             1,000,000

                           Fort Adams Rehabilitation                                                                                250,000

                           Jamestown Fishing Pier                                                                                    100,000

                           Galilee Piers Upgrade                                                                                       400,000

                           Newport Piers                                                                                                 950,000

                           Total - Natural Resources                                                                           43,213,110

Environmental Protection

             General Revenues                                                                                                     12,051,532

             Federal Funds                                                                                                          10,438,032

             Restricted Receipts                                                                                                   10,611,052

                           Total - Environmental Protection                                                                  33,100,616

                           Grand Total - Environmental Management                                                   85,417,860

Coastal Resources Management Council

             General Revenues                                                                                                       1,879,559

             Federal Funds                                                                                                            1,607,000

             Restricted Receipts                                                                                                     1,022,100

                           Grand Total - Coastal Resources Management Council                                  4,508,659

State Water Resources Board

             General Revenues                                                                                                       1,893,081

             Restricted Receipts                                                                                                        400,000

             Rhode Island Capital Plan Funds

                           Big River Management Area                                                                               92,000

                           Grand Total - State Water Resources Board                                                 2,385,081

Transportation

Central Management

             Federal Funds                                                                                                          17,166,840

             Gas Tax 3,711,727

                           Total - Central Management                                                                        20,878,567

Management and Budget Gasoline Tax                                                                                  3,010,397

Infrastructure – Engineering – Garvee/Motor Fuel Tax Bonds

             Federal Funds                                                                                                        257,540,116

             Restricted Receipts                                                                                                        661,834

             Gasoline Tax                                                                                                            46,094,158

             Land Sale Revenue                                                                                                     2,000,000

             Rhode Island Capital Plan Funds

                           Cherry Hill/Lincoln Facility                                                                               625,000

                           Land and Buildings                                                                                        2,305,486

                           Pawtucket/Central Falls Train Station                                                                 40,000

             State Infrastructure Bank                                                                                            1,000,000

                           Total - Infrastructure – Engineering – Garvee/Motor

                           Fuel Tax Bonds                                                                                         310,266,594

Infrastructure Maintenance

             Gasoline Tax                                                                                                            39,478,984

             Non-land Surplus Property                                                                                            287,523

             Outdoor Advertising                                                                                                        18,809

             Rhode Island Capital Plan Funds

             Maintenance Facilities                                                                                                    200,000

                           Total - Infrastructure Maintenance                                                               39,985,316

                           Grand Total - Transportation                                                                     374,140,874

Statewide Totals                                                                                                                                  

             General Revenues                                                                                                3,403,638,116

             Federal Funds                                                                                                     2,010,642,340

             Restricted Receipts                                                                                                 162,635,736

             Other Funds                                                                                                        1,400,492,417

                           Statewide Grand Total                                                                           6,977,408,609

 

SECTION 2.  Each line appearing in Section 1 of this Article shall constitute an appropriation.

 

SECTION 3. Upon the transfer of any function of a department or agency to another department or agency, the Governor is hereby authorized by means of executive order to transfer or reallocate, in whole or in part, the appropriations and the full-time equivalent limits affected thereby.

 

SECTION 4.  Notwithstanding any provisions of Rhode Island General Laws, the Quonset Development Corporation shall transfer the sum of three million four hundred eighty-six thousand eight hundred seventy four dollars ($3,486,874) to the State Controller by June 30, 2008.

 

SECTION 5.  The general assembly authorizes the state controller to establish the internal service accounts shown below, and no other, to finance and account for the operations of state agencies that provide services to other agencies, institutions and other governmental units on a cost reimbursed basis.  The purpose of these accounts is to ensure that certain activities are managed in a businesslike manner, promote efficient use of services by making agencies pay the full costs associated with providing the services, and allocate the costs of central administrative services across all fund types, so that federal and other non-general fund programs share in the costs of general government support.   The controller is authorized to reimburse these accounts for the cost of work or services performed for any other department or agency subject to the following expenditure limitations:    

 

Account                                                                                                      Expenditure Limit            

State Assessed Fringe Benefit Internal Service Fund                                                  29,966,436

Administration Central Utilities Internal Service Fund                                                 19,490,769

State Central Mail Internal Service Fund                                                                     5,683,450

State Telecommunications Internal Service Fund                                                         3,020,022

State Automotive Fleet Internal Service Fund                                                            14,649,606

State Surplus Property Internal Service Fund                                                                   15,715

Capital Police Internal Service Fund                                                                               580,935            

 Health Insurance Internal Service Fund                                                                  258,553,614

MHRH Central Pharmacy Internal Service Fund                                                       10,274,366

MHRH Laundry Services Internal Service Fund                                                          1,266,493

Corrections General Services & Warehouse Internal Service Fund                              6,054,815            

Correctional Industries Internal Service Fund                                                              7,455,680

Secretary of State Record Center Internal Service Fund                                              1,177,788

 

SECTION 6.  The General Assembly may provide a written "statement of legislative intent" signed by the chairperson of the House Finance Committee and by the chairperson of the Senate Finance Committee to show the intended purpose of the appropriations contained in Section 1 of this Article.  The statement of legislative intent shall be kept on file in the House Finance Committee and in the Senate Finance Committee.

At least twenty (20) days prior to the issuance of a grant or the release of funds, which grant or funds are listed on the legislative letter of intent, all department, agency and corporation directors, shall notify in writing the chairperson of the House Finance Committee and the chairperson of the Senate Finance Committee of the approximate date when the funds are to be released or granted.

 

SECTION 7. Appropriation of Temporary Disability Insurance Funds -- There is hereby appropriated pursuant to sections 28-39-5 and 28-39-8 of the Rhode Island General Laws all funds required to be disbursed for the benefit payments from the Temporary Disability Insurance Fund and Temporary Disability Insurance Reserve Fund for the fiscal year ending June 30, 2008.

 

SECTION 8. Appropriation of Employment Security Funds -- There is hereby appropriated pursuant to section 28-42-19 of the Rhode Island General Laws all funds required to be disbursed for benefit payments from the Employment Security Fund for the fiscal year ending June 30, 2008.

 

SECTION 9. Department of Health Regulatory and Licensing Activities Restricted Receipt Account. There is created within the general fund a restricted receipt account to be known as "regulatory and licensing activities restricted receipt account". All money in the account shall be utilized by the department of health to effectuate provisions of chapter 23-1.3 that relate to radiation control; provisions of chapter 23-16.3 that relate to clinical laboratory specialists, provisions of chapter 21-23 that relate to nonalcoholic bottled beverages, drinks and juices, provisions of chapter 23-22 that relate to licensing of swimming pools; provisions of chapter 5-60 that relate to athletic trainers, provisions of chapter 5-32 that relate to electrolysis, provisions of  chapter 5-49 that relate to hearing aid dealers and fitters and provisions of chapter 23-68 that relate to the tanning facilities safety standard act. All money received pursuant to sections 5-60-1, 5-32-6, 5-49-6, 21-23-2, 23-1.3-5, 23-16.3, 23-22-6, 23-68-6 of the Rhode Island General Laws shall be deposited into the regulatory and licensing restricted receipt account.

 

SECTION 10.  Appropriation of Lottery Division Funds – There is hereby appropriated to the Lottery Division any funds required to be disbursed by the Lottery Division for the purposes of paying commissions or transfers to the prize fund for the fiscal year ending June 30, 2008.

 

SECTION 11. Departments and agencies listed below may not exceed the number of full-time equivalent (FTE) positions shown below plus the number of contract employees as of June 8, 2007 as certified by the Budget Officer in any pay period. Full-time equivalent positions do not include seasonal or intermittent positions whose scheduled period of employment does not exceed twenty-six consecutive weeks or whose scheduled hours do not exceed nine hundred and twenty-five (925) hours, excluding overtime, in a one year period. Nor do they include individuals engaged in training, the completion of which is a prerequisite of employment.

Contract positions are those where the contracted employees or employee services where the contracted employees would work under state employee supervisors. The Budget Officer shall certify the total number to the Governor, Speaker of the House and President of the Senate, with copies to the chairman of the House Finance Committee, Senate Finance Committee, the House Fiscal Advisor and the Senate Fiscal Advisor within ten days of passage of the budget act.

No agency or department may employ contracted employees or employee services where the contracted employees would work under state employee supervisors after October 1, 2007 without determination of need by the Director of Administration acting upon the positive recommendations of the Budget Officer and the Personnel Administrator and 15 days after a public hearing.

Nor may any agency or department contract for services replacing work done by state employees at that time without determination of need by the Director of Administration acting upon the positive recommendations of the Budget Officer and the Personnel Administrator and 30 days after a public hearing.

State employees whose funding is from non-state general revenue funds that are time limited shall receive limited term appointment with the term limited to the availability of the non-state general revenue funding source.

The Governor or designee, Speaker of the House of Representatives or designee, and the President of the Senate or designee may authorize an adjustment to the overall limitation. Prior to the authorization, the State Budget Officer shall make a detailed written recommendation to the Governor, the Speaker of the House, and the President of the Senate. A copy of the recommendation  and authorization to adjust shall be transmitted to the chairman of the House Finance Committee, Senate Finance Committee, the House Fiscal Advisor and the Senate Fiscal Advisor.

 

             FTE POSITION AUTHORIZATION

 

Departments and Agencies                               Full-Time Equivalent

Administration                                                              1,032.9

Business Regulation                                                         105.0

Labor and Training                                                          454.9

Revenue                                                                          475.0

Legislature                                                                       298.2

Office of the Lieutenant Governor                                        9.5

Office of the Secretary of State                                          58.0

Office of the General Treasurer                                          88.0

Board of Elections                                                             14.0

Rhode Island Ethics Commission                                       12.0

Office of the Governor                                                       44.0

Public Utilities Commission                                                45.7

Rhode Island Commission on Women                                  1.0

Health and Human Services                                                 5.0

Children, Youth, and Families                                          805.0

Elderly Affairs                                                                   46.0

Health                                                                             459.0

Human Services                                                           1,109.0

Mental Health, Retardation, and Hospitals                     1,761.0

Office of the Child Advocate                                               5.8

Commission on the Deaf and Hard of Hearing                      3.0

RI Developmental Disabilities Council                                  2.0

Governor's Commission on Disabilities                                 5.6

Commission for Human Rights                                           14.5

Office of the Mental Health Advocate                                  3.7

Elementary and Secondary Education                              134.2

Davies                                                                             133.0

School for the Deaf                                                           68.0

Office of Higher Education                                                 22.0

Provided that 1.0 of the total authorization would be available only for a position that is supported by third-party funds.

University of Rhode Island                                            2,532.1

Provided that 602.0 of the total authorization would be available only for positions that are supported by third-party funds.

Rhode Island College                                                      932.5

Provided that 82.0 of the total authorization would be available only for positions that are supported by third-party funds.

Community College of Rhode Island                                848.2

Provided that 100.0 of the total authorization would be available only for positions that are supported by third-party funds.

Rhode Island State Council on the Arts                                8.6

RI Atomic Energy Commission                                            8.6

Higher Education Assistance Authority                               46.0

Historical Preservation and Heritage Commission               17.6

Public Telecommunications Authority                                 20.0

Office of the Attorney General                                         234.8

Corrections                                                                  1,508.6

Judiciary                                                                          732.5

Military Staff                                                                   110.0

E-911 Emergency Telephone System                                 53.6

Fire Safety Code Bd. of Appeal and Review                        3.0

RI State Fire Marshal                                                        35.0

Rhode Island Justice Commission                                        7.6

Municipal Police Training Academy                                     4.0

State Police                                                                     272.0

Office of the Public Defender                                             93.5

Environmental Management                                             491.4

Coastal Resources Management Council                            30.0

State Water Resources Board                                             9.0

Transportation                                                                 773.7

Total                                                                         15,770.0

 

SECTION 12. The amounts reflected in this Article include the appropriation of Rhode Island Capital Plan funds for fiscal year 2008 and supersede appropriations provided for FY 2008 within Section 8 of Article 1 of Chapter 246 of the P.L. of 2006.

The following amounts are hereby appropriated out of any money in the State’s Rhode Island Capital Plan Fund not otherwise appropriated to be expended during the fiscal years ending June 30, 2009, June 30, 2010, and June 30, 2011.  These amounts supersede appropriations provided within Section 8 of Article 1 of Chapter 246 of the P.L. of 2006.  For the purposes and functions hereinafter mentioned, the State Controller is hereby authorized and directed to draw his or her orders upon the General Treasurer for the payment of such sums and such portions thereof as may be required by him or her upon receipt of properly authenticated vouchers.

 

                                                                Fiscal Year Ending  Fiscal Year Ending Fiscal Year Ending

     Project                                                       June 30, 2009     June 30, 2010    June 30, 2011

 

RICAP – DOA – McCoy Stadium Repairs              432,500              152,500              372,500

RICAP – DOA – Pastore Utilities Upgrade           3,000,000           3,500,000           4,000,000

RICAP – DOA – Statehouse Renovations             2,000,000           2,000,000           6,000,000

RICAP – DCYF –Fire Code Upgrades

             Group Homes                                          1,000,000           1,210,000           1,210,000

RICAP – Higher Ed-URI Chemistry Bldg.                300,000                         -                         -

RICAP – Higher Ed-URI Nursing

             Program Building                                                    -              500,000                         -

RICAP – Higher Ed-CCRI Fire Code

             and HVAC                                              1,700,000                         -                         -

RICAP – Mil. Staff-AMC Roof/HVAC                1,100,000              950,000                         -

RICAP – State Police Headquarters                    10,000,000                         -                         -

 

SECTION 13.  Reappropriation of Funding for Rhode Island Capital Plan Fund Projects. - Any unexpended and unencumbered funds from Rhode Island Capital Plan Fund project appropriations shall be reappropriated in the ensuing fiscal year and made available for the same purpose. Any unexpended funds of less than five hundred dollars ($500) shall be reappropriated at the discretion of the State Budget Officer.

 

SECTION 14.  This article shall take effect as of July 1, 2007.

 

ARTICLE 2 SUBSTITUTE A

 

RELATING TO BORROWING IN ANTICIPATION OF RECEIPTS FROM TAXES

 

SECTION 1.   (a) The State of Rhode Island is hereby authorized to borrow during its fiscal year ending June 30, 2008, in anticipation of receipts from taxes such sum or sums, at such time or times and upon such terms and conditions not inconsistent with the provisions and limitations of Section 17 of Article VI of the constitution of Rhode Island, as the general treasurer, with the advise of the Governor, shall deem for the best interests of the state, provided that the amounts so borrowed shall not exceed two hundred and seventy million dollars ($270,000,000), at any time outstanding.   The state is hereby further authorized to give its promissory note or notes signed by the general treasurer and counter-signed by the secretary of state for the payment of any sum so borrowed.  Any such proceeds shall be invested by the general treasurer until such time as they are needed.  The interest income earned from such investments shall be used to pay the interest on the promissory note or notes, or other forms of obligations, and any expense of issuing the promissory note or notes, or other forms of obligations, with the balance remaining at the end of said fiscal year, if any, shall be used toward the payment of long-term debt service of the state, unless prohibited by federal law or regulation.

(b) Notwithstanding any other authority to the contrary, duly authorized bonds or notes of the state issued during the fiscal year ending June 30, 2008 may be issued in the form of commercial paper, so-called.  In connection herewith, the state, acting through the general treasurer, may enter into agreements with banks, trust companies or other financial institutions within or outside the state, whether in the form of letters or lines of credit, liquidity facilities, insurance or other support arrangements.  Any notes issued as commercial paper shall be in such amounts and bear such terms as the general treasurer, with the advice of the governor, shall determine, which may include provisions for prepayment at any time with or without premium at the option of the state.  Such notes may be sold at a premium or discount, and may bear interest or not and, if interest bearing, may bear interest at such rate or rates variable from time to time as determined by the Federal Reserve Bank Composite Index of Commercial Paper, or the Municipal Market Data General Market Index or other similar commercial paper offerings, or other method specified in any agreement with brokers for the placement or marketing of any such notes issued as commercial paper, or other like agreements.  Any such agreement may also include such other covenants and provisions for protecting the rights, security and remedies of the lenders as may, in the discretion of the general treasurer, be reasonable, legal and proper.  The general treasurer may also enter into agreements with brokers for the placement or marketing of any such notes of the state issued as commercial paper.  Any notes to the state issued as commercial paper in anticipation of receipts from taxes in any fiscal year must also be issued in accordance with the provisions of Section 17 of Article VI of the constitution of Rhode Island and within the limitations set forth in Subsection (a) of Section 1 of this Article.

(c) Notwithstanding any other authority to the contrary, other forms of obligations of the state not to exceed twenty million dollars ($20,000,000) of the two hundred seventy million dollar ($270,000,000) amount authorized in Section 1 may be issued during the fiscal year ending June 30, 2008 in the form of a commercial or business credit account, at any time outstanding, with banks, trust companies or other financial institutions within or outside the state in order to finance a payables incentive program for the state with its vendors. Any such forms of obligations entered into pursuant to this subsection shall be in such amounts and bear such terms as the general treasurer, with the advice of the governor, shall determine, which may include provisions for prepayment at any time with or without premium at the option of the state. Any such forms of obligations entered into pursuant to this subsection may also include such other covenants and provisions for protecting the rights, security and remedies of the lenders as may, in the discretion of the general treasurer, be reasonable, legal and proper. Any such forms of obligations entered into pursuant to this subsection must also be issued in accordance with the provisions of Section 17 of Article VI of the Constitution of Rhode Island and within the limitations set forth in Subsection (a) of Section 1 of this Article.

 

SECTION 2.  This article shall take effect upon passage.

 


ARTICLE 3 SUBSTITUTE A AS AMENDED

 

RELATING TO GOVERNMENT REORGANIZATION

 

SECTION 1. Sections 42-7.2-2, 42-7.2-4, 42-7.2-5 and 42-7.2-6 of the General Laws in Chapter 42-7.2 entitled "Office of Health and Human Services" are hereby amended to read as follows:

 

42-7.2-2. Executive office of health and human services. -- There is hereby established within the executive branch of state government an executive office of health and human services. to serve as the principal agency of the executive branch of state government for managing the departments of children, youth and families, elderly affairs, health, human services, and mental health, retardation and hospitals.  In this capacity, This the office shall: lead

(a) Lead the state's five health and human services departments in order to:

 (a) (1) Improve the economy, efficiency, coordination, and quality of health and human services policy and planning, budgeting and financing.

 (b) (2) Design strategies and implement best practices that foster service access, consumer safety and positive outcomes.

 (c) (3) Maximize and leverage funds from all available public and private sources, including federal financial participation, grants and awards.

 (d) (4) Increase public confidence by conducting independent reviews of health and human services issues in order to promote accountability and coordination across departments.

 (e) (5) Ensure that state health and human services policies and programs are responsive to changing consumer needs and to the network of community providers that deliver assistive services and supports on their behalf.

(b) Supervise the administrations of federal and state medical assistance programs by acting as the single state agency authorized under title XIX of the U.S. Social Security act, 42 U.S.C. Section 1396a et seq., notwithstanding any general or public law or regulation to the contrary, and exercising such single state agency authority for such other federal and state programs as may be designated by the governor.  Nothing in this chapter shall be construed as transferring to the secretary: (1) The powers, duties or functions conferred upon the departments by Rhode Island general laws for the administration of the foregoing federal and state programs; or (2) The administrative responsibility for the preparation and submission of any state plans, state plan amendments, or federal waiver applications, as may be approved from time to time by the secretary with respect to the foregoing federal and state programs.

 

42-7.2-4. Responsibilities of the secretary. -- (a) The secretary shall be responsible to the governor for supervising the executive office of health and human services and for managing and providing strategic leadership and direction to the five departments.

 (b) Notwithstanding the provisions set forth in this chapter, the governor shall appoint the directors of the departments within the executive office of health and human services. Directors appointed to those departments shall continue to be subject to the advice and consent of the senate and shall continue to hold office as set forth in sections 42-6-1 et seq. and 42-72-1(c).

 

42-7.2-5. Duties of the secretary. -- The secretary shall be subject to the direction and supervision of the governor for the oversight, coordination and cohesive direction of state administered health and human services and in ensuring the laws are faithfully executed, not withstanding any law to the contrary. In this capacity, the Secretary of Health and Human Services  shall be authorized to:

 (a) Coordinate the administration and financing of health care benefits, human services and programs including those authorized by the Medicaid State Plan under Title XIX of the US Social Security Act. However, nothing in this section shall be construed as transferring to the secretary the powers, duties or functions conferred upon the departments by Rhode Island public and general laws for the administration of federal/state programs financed in whole or in part with Medicaid funds or the administrative responsibility for the preparation and submission of any state plans, state plan amendments, or authorized federal waiver applications.

 (b) Serve as the governor's chief advisor and liaison to federal policymakers on Medicaid reform issues as well as the principal point of contact in the state on any such related matters.

 (c) Review and ensure the coordination of any new departmental waiver requests and renewals as well as any initiatives and proposals requiring amendments to the Medicaid state plan with the potential to affect the scope, amount or duration of publicly-funded health care services, provider payments or reimbursements, or access to or the availability of benefits and services as provided by Rhode Island general and public laws. The secretary shall consider whether any such waivers or amendments are legally and fiscally sound and consistent with the state's policy and budget priorities. The secretary shall also assess whether a proposed waiver or amendment is capable of obtaining the necessary approvals from federal officials and achieving the expected positive consumer outcomes. Department directors shall, within the timelines specified, provide any information and resources the secretary deems necessary in order to perform the reviews authorized in this section;

 (d) Beginning in 2006, prepare and submit to the governor, the chairpersons of the house and senate finance committees, the caseload estimating conference, and to the joint legislative committee for health care oversight, by no later than December February 1 of each year, a comprehensive overview of all Medicaid expenditures included in the annual budgets developed by the departments.. outcomes, and utilization rates.  The overview shall include, but not be limited to, the following information:

 (1)Expenditures under titles xix and xxi of the social security act, as amended;

(2) Expenditures, outcomes and utilization rates by population and sub-population served (e.g. families with children, children with disabilities, children in foster care, children receiving adoption assistance, adults with disabilities, and the elderly);

(3) Expenditures, outcomes and utilization rates by each state department or other municipal or public entity receiving federal reimbursement under titles xix and xxi of the social security act, as amended; and

(4) Expenditures, outcomes and utilization rates by type of service and/or service provider.

The directors of the departments, as well as local governments and school departments, shall assist and cooperate with the secretary in fulfilling this responsibility by providing whatever resources, information and support shall be necessary.

 (e) Resolve administrative, jurisdictional, operational, program, or policy conflicts among departments and their executive staffs and make necessary recommendations to the governor.

 (f) Assure continued progress toward improving the quality, the economy, the accountability and the efficiency of state-administered health and human services. In this capacity, the secretary shall:

 (1) Oversee Direct implementation of reforms in the human resources practices of the departments that streamline and upgrade services, achieve greater economies of scale and establish the coordinated system of the staff education, cross- training, and career development services necessary to recruit and retain a highly-skilled, responsive, and engaged health and human services workforce;

 (2) Encourage the departments to utilize consumer-centered approaches to service design and delivery that expand their capacity to respond efficiently and responsibly to the diverse and changing needs of the people and communities they serve;

 (3) Develop all opportunities to maximize resources by leveraging the state's purchasing power, centralizing fiscal service functions related to budget, finance, and procurement, centralizing communication, policy analysis and planning, and information systems and data management and standardizing contractual services, pursuing alternative funding sources through grants, awards and partnerships and securing all available federal financial participation for programs and services provided through the departments; and

(4) Improve the coordination and efficiency of health and human services legal functions by centralizing adjudicative and legal services and overseeing their timely and judicious administration.

 (g) Ensure preparation of a coordinated Prepare and integrate comprehensive budgets for the health and human services departments; and any other functions and duties assigned to the office.  The budgets shall be submitted to the state budget office by the secretary, for consideration by the governor, on behalf of the state’s health and human services in accordance with the provisions set forth in section 35-3-4 of the Rhode Island general laws.

 (h) Improve the ability of departments to utilize Utilize objective data to evaluate health and human services policy goals, resource use and outcome evaluation and to perform short and long-term policy planning and development.

 (i) Foster the establishment Establishment of an integrated approach to interdepartmental information and data management that will facilitate the transition to consumer-centered system of state administered health and human services.

 (j) At the direction of the governor or the general assembly, conduct independent reviews of state-administered health and human services programs, policies and related agency actions and activities and assist the department directors in identifying strategies to address any issues or areas of concern that may emerge thereof. The department directors shall provide any information and assistance deemed necessary by the secretary when undertaking such independent reviews.

 (k) Provide regular and timely reports to the governor and make recommendations with respect to the state's health and human services agenda.

 (l) Employ such personnel and contract for such consulting services as may be required to perform the powers and duties lawfully conferred upon the secretary.

 (m) Implement the provisions of any general or public law or regulation related to the disclosure, confidentiality and privacy of any information or records, in the possession or under the control of the executive office or the departments assigned to the executive office, that may be developed or acquired for purposes directly connected with the secretary's duties set forth herein.

(n) Hold the director of each health and human services department accountable for their administrative, fiscal and program actions in the conduct of the respective powers and duties of their agencies.

 

42-7.2-6. Departments assigned to the executive office -- Powers and duties. -- (a) The departments assigned to the secretary shall:

 (1) Exercise their respective powers and duties in accordance with their statutory authority and the general policy established by the governor or by the secretary acting on behalf of the governor or in accordance with the powers and authorities conferred upon the secretary by this chapter;

 (2) Provide such assistance or resources as may be requested or required by the governor and/or the secretary; and

 (3) Provide such records and information as may be requested or required by the governor and/or the secretary to the extent allowed under the provisions of any applicable general or public law, regulation, or agreement relating to the confidentiality, privacy or disclosure of such records or information.

(4) Forward to the secretary copies of all reports to the governor.

 (b) Except as provided herein, no provision of this chapter or application thereof shall be construed to limit or otherwise restrict the department of children, youth and families, the department of elderly affairs, the department of health, the department of human services, and the department of mental health, retardation and hospitals from fulfilling any statutory requirement or complying with any valid rule or regulation.

 

SECTION 2. Chapter 42-7.2 of the General Laws entitled "Office of Health and Human Services" is hereby amended by adding thereto the following section:

 

42-7.2-6.1. Transfer of powers and functions.. – (a) There are hereby transferred to the executive office of health and human services the powers and functions of the departments with respect to the following:

(1) By July 1, 2007, fiscal services including budget preparation and review, financial management, purchasing and accounting and any related functions and duties deemed necessary by the secretary;

(2) By  July 1, 2007, legal services including applying and interpreting the law, oversight to the rule-making process, and administrative adjudication duties and any related functions and duties deemed necessary by the secretary;

(3) By September 1, 2007, communications including those functions and services related to government relations, public education and outreach and media relations and any related functions and duties deemed necessary by the secretary;

(4) By March 1, 2008, policy analysis and planning including those functions and services related to the policy development, planning and evaluation and any related functions and duties deemed necessary by the secretary; and

(5) By June 30, 2008, information systems and data management including the financing, development and maintenance of all data-bases and information systems and platforms as well as any related operations deemed necessary by the secretary;

(b) The secretary shall determine in collaboration with the department directors whether the officers, employees, agencies, advisory councils, committees, commissions, and task forces of the departments who were performing such functions shall be transferred to the office.  Duties that are incidental to the performance of the functions transferred to the office in subpart (a) shall remain with the departments providing that the employees responsible thereof are performing functions that have not been transferred.

(c) In the transference of such functions, the secretary shall be responsible for ensuring:

(1) Minimal disruption of services to consumers;

(2) Elimination of duplication of functions and operations;

(3) Services are coordinated and functions are consolidated where appropriate;

(4) Clear lines of authority are delineated and followed;

(5) Cost-savings are achieved whenever feasible;

(6) Program application and eligibility determination processes are coordinated and, where feasible, integrated; and

(7) State and federal funds available to the office and the entities therein are alllocated and utilized for service delivery to the fullest extent possible.

Except as provided herein, no provision of this chapter or application thereof shall be construed to limit or otherwise restrict the departments of children, youth and families, human services, elderly affairs, health, and mental health, retardation, and hospitals from fulfilling any statutory requirement or complying with any regulation deemed otherwise valid.

 

SECTION 3. Section 42-12-27 of the General Laws in Chapter 42-12 entitled "Department of Human Services" is hereby amended to read as follows repealed in its entirety:

 

42-12-27. Annual report of statewide Medicaid expenditures -- Health and social outcomes. -- (a) The governor and the general assembly hereby find and declare that statewide Medicaid program expenditures were approximately $1.037 billion dollars during state fiscal year 1998, and accounted for nearly twenty-eight percent (28%) of state's total annual expenditures of $3.725 billion in fiscal year 1998, and are projected to continue to be a significant percentage of the total annual state budget; that those expenditures have a significant impact on the health, educational and social fabric of the state; that although the department of human services has been designated as the single state agency responsible to the federal government and the state for the effective and efficient administration and supervision of the state's Medicaid program, as well as to provide assurances of statewide accessibility to a comprehensive system of high-quality health care services, only two-thirds (2/3) of total Medicaid expenditures is appropriated to and directly administered by the department of human services, while the remaining one-third (1/3) is appropriated to other departments within state government. The governor and the general assembly further recognize that policy makers may not have the benefit of a comprehensive and consolidated depiction of the total impact of the Medicaid program on Rhode Island children and families, adults with disabilities and the elderly; and, that policy makers should require a higher level of assurance that the funds are used to enhance health service accessibility, delivery and outcomes, as well as to improve the fiscal integrity and accountability for Medicaid expenditures.

 (b) The governor and the general assembly further find and declare that a well-coordinated comprehensive financing and service delivery system that specifically addresses the interfaces between other health, social, and educational programs, including those administered at the municipal and community level, is essential.

 (c) Wherefore, the governor and general assembly direct the director of the department of human services, as the administrator of the single state agency for the Medicaid program in Rhode Island, to issue a report to the governor, to the general assembly and to the caseload estimating conference established under section 15-17-1, no later than March 31, 2000, and by March 31st of each year thereafter, of expenditures and outcomes over time for the Medicaid program as a whole, including but not limited to the following information:

 (1) expenditures under Titles XIX and XXI of the Social Security Act, as amended;

 (2) expenditures and outcomes by population and sub-population served (e.g. families with children, children with disabilities, children in foster care, children receiving adoption assistance, adults with disabilities, and the elderly);

 (3) expenditures and outcomes by each state department or other municipal or public entity receiving federal reimbursement under Titles XIX and XXI, and

 (4) expenditures and outcomes by type of service and/or service provider.

 

SECTION 4. It is the intent of the general assembly to reform and make uniform the process of the selection of magistrates and the terms and conditions under which they shall serve. The provisions in this act which establish a ten (10) year term, shall apply to any vacancy which occurs after the date of passage and shall also apply to any magistrate position which completes its statutory term after the date of passage of this act. Any magistrate in service as of the effective date of this act who was appointed to his or her position with life tenure or for a term of years shall continue to serve in accordance with the terms of that appointment. It is the intent of the general assembly that this act shall determine the rights and duties of court magistrates superseding any act or rule in conflict with the provisions of this act.

 

SECTION 5. Section 8-2-11.1 of the General Laws in Chapter 8-2 entitled "Superior Court" is hereby amended to read as follows:

 

8-2-11.1. Administrator/magistrate. -- (a) Any person holding the position of administrative clerk in the superior court who is a member of the bar of Rhode Island may be appointed administrator/magistrate for a term of ten (10) years and until a successor is appointed and qualified, by the presiding justice, with the advice and consent of the senate, in his or her capacity as administrative judge. Nothing herein shall be construed to prohibit the assignment of an administrator/magistrate to more than one such term, subject to the advice and consent of the senate.

 (b) (1) The administrator/magistrate shall have the power to hear and determine such matters as may be assigned to the administrator/magistrate by the presiding justice all to the same effect as if done by a justice of the superior court.

 (2) Without limiting the generality of the foregoing powers and authority, the administrator/magistrate is authorized and empowered to hear and determine motions in civil and criminal proceedings, formal and special causes, to conduct arraignments, to grant or deny bail, to accept pleas of not guilty, guilty, or nolo contendere, and to impose sentence on a plea of guilty or nolo contendere, all to the same effect as if done by a justice of the superior court.

 (c) The administrator/magistrate may be authorized:

 (1) To regulate all proceedings before him or her;

 (2) To do all acts and take all measures necessary or proper for the efficient performance of his or her duties;

 (3) To require the production before him or her of books, papers, vouchers, documents, and writings;

 (4) To rule upon the admissibility of evidence;

 (5) To issue subpoenas for the appearance of witnesses, to put witnesses on oath, to examine them, and to call parties to the proceeding and examine them upon oath;

 (6) To adjudicate a person in contempt and to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a justice of the court, for failure to appear in response to a summons or for refusal to answer questions or produce evidence or for behavior disrupting a proceeding;

 (7) To adjudicate a party in contempt and to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a justice of the court, for failure to comply with a pending order to provide payment or to perform any other act; and

 (8) To issue a capias and/or body attachment upon the failure of a party or witness to appear after having been properly served and, should the court not be in session, the person apprehended may be detained at the adult correctional institution, if an adult, or at the Rhode Island training school for youth, if a child, until the next session of the court.

 (d) A party aggrieved by an order entered by the administrator/magistrate shall be entitled to a review of the order by a justice of the superior court. Unless otherwise provided in the rules of procedure of the court, the review shall be on the record and appellate in nature. The court shall, by rules of procedure, establish procedures for review of orders entered by the administrator/magistrate, and for enforcement of contempt adjudications of the administrator/magistrate.

 (e) Final orders of the superior court entered in a proceeding to review an order of the administrator/magistrate may be appealed to the supreme court.

 (f) The administrator/magistrate shall be:

 (1) Governed by the commission on judicial tenure and discipline, chapter 16, of this title, in the same manner as justices and judges;

 (2) Subject to all provisions of the canons of judicial ethics;

 (3) Subject to all criminal laws relative to judges by virtue of sections 11-7-1 and 11-7-2.

 

SECTION 6. Sections 8-2-39, 8-2-39.1 and 8-2-39.2 of the General Laws in Chapter 8-2 entitled "Superior Court" are hereby amended to read as follows:

 

8-2-39. General magistrate -- Appointment, duties and powers. -- (a) There is hereby created within the superior court the position of general magistrate who shall be appointed by the chief presiding justice of the supreme superior court, with the advice and consent of the senate, for a term of ten (10) years and until a successor is appointed and qualified. Nothing herein shall be construed to prohibit the assignment of the general magistrate to more than one such term, subject to the advice and consent of the senate. The person appointed to serve as general magistrate shall be a member of the bar of Rhode Island. The powers and duties of the general  magistrate shall be prescribed in the order appointing him or her.

 (b) (1) The general magistrate shall assist the court in:

 (i) The determination of, monitoring, collection, and payment of restitution and court ordered fines, fees, and costs or the ordering of community service in lieu of or in addition to the payment of restitution, fines, fees, and costs, consistent with other provisions of the general laws;

 (ii) The determination and payment of claims under the violent crimes indemnity fund for the Criminal Injuries Compensation Act of 1972, chapter 25 of title 12;

 (iii) The determination and payment of claims from the Criminal Royalties Distribution Act of 1983, chapter 25.1 of title 12; and

 (iv) Such other matters as the chief presiding justice of the supreme superior court in consultation with the presiding justice and, if applicable, the chief justice of the receiving court determines are necessary.

 (2) The chief justice of the supreme court, with the consent of the presiding justice and, if applicable, the chief judge of a particular court, may assign the general magistrate to serve as a magistrate in any court of the unified system. When the general magistrate is so assigned he or she shall be vested, authorized, and empowered with all the powers belonging to the justices or judges magistrate position to which he or she is specially assigned.

 (c) The general magistrate will be empowered to hear all motions, pretrial conferences, arraignments, probable cause hearings, bail hearings, bail and probation revocation hearings, and to review all such matters including, but not limited to the above, and to modify the terms and conditions of probation and other court-ordered monetary payments including, but not limited to, the extension of time for probation and court-ordered monetary payments as provided by law. The general magistrate shall have the power to take testimony in connection with all matters set forth herein.

 (d) The general magistrate may be authorized:

 (1) To regulate all proceedings before him or her;

 (2) To do all acts and take all measures necessary or proper for the efficient performance of his or her duties;

 (3) To require the production before him or her of books, papers, vouchers, documents, and writings;

 (4) To rule upon the admissibility of evidence;

 (5) To issue subpoenas for the appearance of witnesses, to put witnesses on oath, to examine them, and to call parties to the proceeding and examine them upon oath;

 (6) To adjudicate a person in contempt and to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a justice of the relevant court, for failure to appear in response to a summons or for refusal to answer questions or produce evidence or for behavior disrupting a proceeding;

 (7) To adjudicate a party in contempt and to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a justice of the relevant court, for failure to comply with a pending order to provide payment or to perform any other act; and

 (8) To issue a capias and/or body attachment upon the failure of a party or witness to appear after having been properly served and, should the court not be in session, the person apprehended may be detained at the adult correctional institutions, if an adult, or at the Rhode Island training school for youth, if a child, until the next session of the court.

 (e) A party aggrieved by an order entered by the general magistrate shall be entitled to a review of the order by a justice of the relevant court. Unless otherwise provided in the rules of procedure of the court, such review shall be on the record and appellate in nature. The court shall, by rules of procedure, establish procedures for review of orders entered by a general magistrate, and for enforcement of contempt adjudications of a general magistrate.

 (f) Final orders of the superior or family court entered in a proceeding to review an order of a general magistrate may be appealed to the supreme court. Final orders of the district court entered in a proceeding to review an order of the general magistrate may be appealed to the superior court.

 (g) The general magistrate shall:

 (1) Receive all credits and retirement allowances as afforded justices under chapter 3 of this title and any other applicable law, including without limitation, section 8-3-16;

 (2) Receive a salary equivalent to that of a district court judge and be subject to the unclassified pay plan board;

 (3) Hold office for life during good behavior; (Repealed)

 (4) Be governed by the commission on judicial tenure and discipline, chapter 16, of this title, in the same manner as justices and judges;

 (5) Be subject to all provisions of the canons of judicial ethics or code of judicial conduct;

 (6) Be subject to all criminal laws relative to judges by virtue of sections 11-7-1 and 11-7-2.

 (h) The provisions of this section shall be afforded liberal construction.

 (i) The chief presiding justice of the supreme superior court shall initially appoint such support staff as may be necessary, relating to preparation, investigation, and implementation of the  general magistrate's  functions. Effective November 15, 1993, the support staff shall be placed under the supervision and management of the superior court, and new appointments or personnel changes in the support staff shall be subject to the directions and approval of the superior court, consistent with any applicable collective bargaining agreements. The general magistrate shall have the power and authority to issue subpoenas and to compel the attendance of witnesses at any place within the state, to administer oaths and to require testimony under oath. The general magistrate, or his or her designee, may serve his or her process or notices in a manner provided for the service of process and notice in civil or criminal actions in accordance with the rules of court.

 

8-2-39.1. Special magistrate. -- There is hereby created within the superior court the position of special magistrate, who shall be appointed by the presiding justice of the superior court, with the advice and consent of the senate, for a period of ten (10) years, and until a successor is appointed and qualified. Nothing contained herein shall be construed to prohibit the reappointment of a special magistrate for one or more additional ten (10) year terms, subject to the advice and consent of the senate. The person appointed to serve as special magistrate shall be a member of the bar of the state of Rhode Island. The special magistrate shall have the duties, responsibilities, powers and benefits as authorized in section8-2-39.

 

8-2-39.2. Drug court magistrate -- Appointment, duties and powers. -- (a) There is hereby created within the superior court the position of Drug Court Magistrate who shall be appointed by the presiding justice of the superior court, with the advice and consent of the senate. The person persons appointed to serve as Drug Court Magistrate Magistrates shall be a member members of the bar of Rhode Island. The powers and duties of the Drug Court Magistrate shall be prescribed in the order appointing him or her in addition to those described herein.

 The Drug Court Magistrate's term shall be ten (10) not exceed three (3) years and until a successor is appointed and qualified. His or her salary shall be paid not out of state funds, but rather from those funds made available from the federal government. If federal funds become available after the expiration of three (3) years, nothing Nothing in this article shall prohibit the a Drug Court Magistrate from being reappointed for additional three (3) ten (10) year terms by the presiding justice of the superior court with the advice and consent of the senate. He or she shall receive a salary equivalent to that received by the special magistrate assigned to the superior court.

 (b) The Drug Court Magistrate shall be empowered to hear and decide as a superior court justice all matters relating to those adult offenders who come before the jurisdiction of the superior court on any offense relating to the offender's participation in the Adult Drug Court. In addition, the Drug Court Magistrate shall have the power to impose a period of incarceration upon a plea of guilty or nolo contendere, and also have the power to confine any person who has been found to be in violation of any conditions previously imposed by the superior court.

 (c) The Drug Court Magistrate shall be empowered to hear and decide as a superior court justice all matters that may come before the superior court pursuant to chapter 37.1 of title 11 "Sexual Offender Registration and Community Notification."

 (d) The Drug Court Magistrate and/or the presiding justice of the superior court may fix the venue of any person who is before the superior court as a participant in the Adult Drug Court or who is alleged to be a sexual predator, and who has filed an objection to community notification.

 (e) The Drug Court Magistrate shall be governed by the commission on judicial tenure and discipline, chapter 16 of title 8 in the same manner as justices and judges; shall be subject to all provisions of the canons of judicial ethics or code of judicial conduct; and shall be subject to all criminal laws relative to judges by virtue of sections 11-7-1 and 11-7-2.

(f)  A party aggrieved by an order entered by the Drug Court Magistrate shall be entitled to a review of the order by a justice of the Superior Court. Unless otherwise provided in the rules of procedure of the court, such review shall be on the record and appellate in nature. The Superior Court shall, by rules of procedure, establish procedures for reviews of orders entered by a Drug Court Magistrate, and for enforcement of contempt adjudications of a Drug Court Magistrate.

 

SECTION 7. Sections 8-8-8.1 and 8-8-16.2 of the General Laws in Chapter 8-8 entitled "District Court" are hereby amended to read as follows:

 

8-8-8.1. Administrator/clerk -- Magistrate. -- (a) Administrator/clerk. - There shall be a district court administrator/clerk who shall be appointed by the chief judge in his or her capacity as administrative head of the court, and who shall hold office at the pleasure of the administrative judge. The administrator/clerk shall perform such duties and attend to such matters as may be assigned to the administrator/clerk by the administrative judge, other than those duties assigned to the chief clerk in section8-8-19. Said duties may be assigned by the chief judge. both as to the district court established by this chapter and as to the traffic tribunal established by chapter 8.2 of this title.

 (b) Magistrate. - Any person holding the position of district court administrator/clerk who is a member of the bar of Rhode Island may be appointed district court magistrate by the chief judge in his or her capacity as administrative head of the court, subject to the advice and consent of the senate. The district court magistrate shall hold said office for a term of twelve (12) ten (10) years and until a successor is appointed and qualified; and the magistrate shall retain whatever right he or she may have to the position of district court administrator/clerk pursuant to this section. Nothing herein shall be construed to prohibit the appointment of the magistrate for more than one term, subject to the advice and consent of the senate. Any person holding office of district court magistrate on July 1, 1999 may continue in full authority in said position until such time as an appointment is made and the nominee qualified pursuant to this subsection.

 (c) The district court magistrate shall have the power to hear and determine such matters as may be assigned to the district court magistrate by the chief judge all to the same effect as if done by a judge of the district court, including but not limited to:

 (1) Matters relating to the determination of, monitoring, collection, and payment of restitution and court ordered fines, fees, and costs or the ordering of community service in lieu of or in addition to the payment of restitution, fines, fees, and costs, consistent with other provisions of the general laws;

 (2) Arraignments and pretrial motions in misdemeanor, petty misdemeanor, violation, and ordinance cases and initial appearances and probable cause hearings in felony cases;

 (3) Bail hearings pursuant to R.I. Const., Art. I, Sec. IX and all other bail matters pursuant to chapter 13 of title 12 and the rules of criminal procedure, including but not limited to motions to modify bail, bail revocation hearings, bail forfeiture hearings, and bail source hearings;

 (4) All matters relating to fugitives from justice pursuant to chapter 9 of title 12;

 (5) Probation revocation hearings;

 (6) All matters relating to small claims and consumer claims pursuant to chapter 16 of title 10, including any pretrial motions including motions relating to the special service of process, the entry of defaults and default judgments, the trial of such cases and the entry of judgment after such trials, and all matters relating to the enforcement of such judgments, including but not limited to the ordering of installment payments and trustee process; and

 (7) Complaints for judicial review of the decision of an administrative agency pursuant to chapter 35 of title 42 by making proposed findings of fact and recommendations for the disposition of the complaints to a judge of the court. Any party may object to any portion of the magistrate's proposed findings and recommendations within ten (10) days after receipt of a copy thereof. That party shall file with the clerk of the sixth division of the district court and serve on all parties written objections which shall specifically identify the portions of the proposed findings and recommendations to which objection is made and the basis for the objection. A judge shall make a de novo determination of those portions to which objection is made and may accept, reject, or modify, in whole or in part, the findings or recommendations made by the magistrate. Absent a timely objection filed in accordance with this subdivision, the proposed prevailing party shall, upon expiration of the ten (10) days following the service of the magistrate's proposed findings and recommendations, submit a proposed order for signature of the judge to whom the case has been assigned.

 (8) All matters heard pursuant to chapter 8.2 of this title, in the traffic tribunal.

 (d) The magistrate may be authorized:

 (1) To regulate all proceedings before him or her;

 (2) To do all acts necessary or proper for the efficient performance of his or her duties;

 (3) To require the production before him or her of books, papers, vouchers, documents, and writings;

 (4) To rule upon the admissibility of evidence;

 (5) To issue subpoenas for the appearance of witnesses, to put witnesses on oath, to examine them, and to call parties to the proceeding and examine them upon oath;

 (6) To adjudicate a person in contempt and to order him or her fined or to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a judge of the court, for failure to appear in response to a summons or for refusal to answer questions or produce evidence or for behavior disrupting a proceeding or other contempt of his or her authority;

 (7) To adjudicate a person in contempt and to order him or her fined or to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a judge of the court, for failure to comply with a pending order to provide payment or to perform any other act;

 (8) To issue a capias and/or body attachment for the failure of a party or witness to appear after having been properly served or given notice by the court and, should the court not be in session, the person apprehended may be detained at the adult correctional institution, if an adult, or at the Rhode Island training school for youth, if a child, until the next session of the court;

 (9) To issue writs of habeas corpus to bring before him or her or a judge of the court any person in jail or in prison to be examined as a witness in a suit or proceeding, civil or criminal, pending before the court, or whose presence is necessary as a party or otherwise necessary so that the ends of justice may be attained, and for no other purpose; and

 (10) To issue warrants of arrest and search warrants to the same extent as an associate judge of the court.

 (e) Except as otherwise indicated, a party aggrieved by an order entered by the district court magistrate shall be entitled to a review of the order, whether by appeal or otherwise, in the same manner as if taken from an order issued by a judge of the court; except, that any person aggrieved by an adjudication of contempt by the magistrate shall be entitled to a review by a judge of the court within seventy-two (72) hours. The court shall, by rules of procedure, establish procedures for review of contempt and adjudications of the magistrate.

 (f) The magistrate shall be:

 (1) Governed by the commission on judicial tenure and discipline, chapter 16 of this title, in the same manner as justices and judges;

 (2) Subject to all provisions of the canons of judicial ethics;

 (3) Subject to all criminal laws relative to judges by virtue of sections 11-7-1 and 11-7-2.

 (g) The provisions of this section shall be afforded liberal construction.

 

8-8-16.2. District court clerk/magistrate. -- (a) Any person who is a member of the bar of Rhode Island may be appointed district court clerk/magistrate by the chief judge in his or her capacity as administrative head of the court, subject to the advice and consent of the senate. The district court clerk/magistrate shall hold that office for a term of ten (10) years and until a successor is appointed and qualified. Nothing herein shall be construed to prohibit the assignment of the district court clerk/magistrate to more than one such term, subject to the advice and consent of the senate. The district court clerk/magistrate shall have the power to hear and determine any matters that may be assigned to the district court clerk/magistrate by the chief judge all to the same effect as if done by a judge of the district court, including, but not limited to, matters relating to the determination of, monitoring, collection and payment of restitution and court ordered fines, fees and costs or the ordering of community service in lieu of or in addition to the payment of restitution, fines, fees and costs, consistent with other provisions of the general laws. The clerk/magistrate may be assigned to hear and decide cases within the traffic tribunal.

 (b) The clerk/magistrate may be authorized:

 (1) To regulate all proceedings before him or her;

 (2) To do all acts necessary or proper for the efficient performance of his or her duties;

 (3) To require the production before him or her of books, papers, vouchers, documents and writings;

 (4) To rule upon the admissibility of evidence;

 (5) To issue subpoenas for the appearance of witnesses, to put witnesses on oath, to examine them and to call parties to the proceeding and examine them upon oath;

 (6) To adjudicate a person in contempt and to order him or her fined or to order him or her imprisoned for not more than seventy-two (72) hours, for failure to appear in response to a summons or for refusal to answer questions or produce evidence or for behavior disrupting a proceeding or other contempt of his or her authority; provided; however, that no such imprisonment shall occur prior to review by a judge of the court.

 (7) To adjudicate a person in contempt and to order him or her fined or to order him or her imprisoned for not more than seventy-two (72) hours, for failure to comply with a pending order to provide payment or to perform any other act; provided, however, that no such imprisonment shall occur prior to review by a judge of the court.

 (8) To issue a capias and/or body attachment for the failure of a party or witness to appear after having been properly served or given notice by the court and, should the court not be in session, the person apprehended may be detained at the adult correctional institutions, if an adult, or at the Rhode Island training school for youth, if a child, until the next session of the court;

 (9) To issue writs of habeas corpus to bring before him or her or a judge of the court any person in jail or in prison to be examined as a witness in a suit or proceeding, civil or criminal, pending before the court, or whose presence is necessary as a party or otherwise necessary so that the ends of justice may be attained, and for no other purpose; and

 (10) To issue warrants of arrest and search warrants to the same extent as an associate judge of the court.

 (c) Except as otherwise indicated, a party aggrieved by an order entered by the district court clerk/magistrate shall be entitled to a review of the order, whether by appeal or otherwise, in the same manner as if taken from an order issued by a judge of the court; except, that any person aggrieved by an adjudication of contempt by the district court clerk/magistrate shall be entitled to a review by a judge of the court within seventy-two (72) hours. The court shall, by rules of procedure, establish procedures for review of contempt and adjudications of the clerk/magistrate.

 (d) The district court clerk/magistrate shall:

 (1) Be governed by the commission on judicial tenure and discipline, pursuant to chapter 16 of this title, in the same manner as justices and judges;

 (2) Be subject to all provisions of the canons of judicial ethics;

 (3) Be subject to all criminal laws relative to judges by virtue of sections 11-7-1 and 11-7-2.

 (4) Receive any salary that may be established by the unclassified pay board, that may be established by the state court administrator pursuant to section 8-15-4. The provisions of this section shall be afforded liberal construction.

 

SECTION 8. Sections 8-8.2-1, 8-8.2-2, 8-8.2-3, 8-8.2-4, 8-8.2-5, 8-8.2-6, 8-8.2-9, 8-8.2-10 and 8-8.2-17 of the General Laws in Chapter 8-8.2 entitled "Traffic tribunal" are hereby amended to read as follows:

 

8-8.2-1. Establishment -- Rule-making authority -- Adjudication of violations. -- (a) There is hereby established a traffic tribunal which shall be charged with the administration and adjudication of traffic violations within its jurisdiction. The traffic tribunal shall be under the supervision of the chief judge of the district court magistrate of the traffic tribunal, who shall be the administrative head of the traffic tribunal and shall have the power to make rules for regulating practice, procedure and business within the traffic tribunal. Pursuant to section 8-6-2, said rules shall be subject to the approval of the supreme court. Such rules, when effective, shall supersede any statutory regulation in conflict therewith. Any person who has been a member of the bar of Rhode Island may be appointed chief magistrate of the traffic tribunal. The chief magistrate of the traffic tribunal shall be appointed by the chief justice of the supreme court, with the advice and consent of the senate, for a period of ten (10) years and until a successor is appointed and qualified. Nothing contained herein shall be construed to prohibit the reappointment of the chief magistrate for one or more ten (10) year terms subject to the advice and consent of the senate. Compensation for the chief magistrate shall be equal to that of an associate judge of the district court.

 (b) The judges and magistrates of the traffic tribunal shall hear and determine cases as provided by law. No district court judge appointed pursuant to chapter 8 of this title shall be assigned to perform duties of a judge or magistrate of the traffic tribunal under this chapter. The chief judge of the district court shall serve as the chief judge of the traffic tribunal. The chief judge magistrate of the district court traffic tribunal may appoint a judge or magistrate who is authorized to hear and decide cases in the traffic tribunal to serve as administrative judge or magistrate of the traffic tribunal and the administrative or judge magistrate shall perform such administrative duties as may be delegated to him or her by the chief judge magistrate.

 (c)(i) Those judges of the administrative adjudication court in active service on July 1, 1999 shall serve within the traffic tribunal. Whenever the total number of judges and magistrates in the traffic tribunal shall be less than seven (7), the chief judge magistrate of the district court traffic tribunal, with the advice and consent of the senate, may, as needed, assign a duly qualified member of the bar of this state to act as a magistrate to fill such vacancy and shall submit his or her name to the senate for confirmation; provided,  however, that in the event of a vacancy in the position of chief magistrate, the chief justice of the supreme court shall appoint a successor in accordance with subsection 8-8.2-1(a). Any magistrate assigned under this section shall serve a term of eight (8) ten (10) years and until a successor is appointed and qualified, and shall be in the unclassified service of the state. Nothing herein shall be construed to prohibit the assignment of a magistrate to more than one such term, subject to the advice and consent of the senate. Compensation for any such magistrate shall be determined by the unclassified pay plan board determined by the chief magistrate of the traffic tribunal subject to appropriation by the general assembly but in no event shall the compensation be equal to or more than that of an associate judge of the district court. Magistrates of the traffic tribunal shall participate in the state retirement system in the same manner as all members of the unclassified service.

(ii) If any judge of the traffic tribunal shall retire, or a vacancy becomes available through death, disability or any other reason, the position shall be filled by a magistrate consistent with the provisions of this section.

 (d) Each judge and magistrate of the traffic tribunal shall devote full time to his or her judicial duties, except as may be otherwise provided by law. He or she shall not practice law while holding office, nor shall he or she be a partner or associate of any person in the practice of law.

 (e) Judges and magistrates of the traffic tribunal shall be subject to the provisions of R.I. Const. Art. XI; to the code of judicial conduct or successor code promulgated by the supreme court of this state, to the jurisdiction of the Commission on Judicial Tenure and Discipline in accordance with chapter 16 of this title; and to the administrative authority and control of the chief justice of the supreme court in accordance with chapter 15 of this title, except that section 8-15-3 and 8-15-3.1 shall not apply to judges and/or magistrates of the traffic tribunal.

 (f) The traffic tribunal shall be a tribunal of record and shall have a seal with such words and devices as it shall adopt.

 (g) Judges and magistrates of the traffic tribunal shall have the power to administer oaths and affirmations.

 (h) Administrative/supervisory officials. - (1) There shall be an assistant to the administrative judge or magistrate of the traffic tribunal who shall be appointed by and serve at the pleasure of the chief judge magistrate and who shall perform such clerical and administrative duties as may be assigned to him or her by the chief judge of the district court magistrate of the traffic tribunal and the administrative judge or magistrate of the traffic tribunal. The assistant to the administrative judge or magistrate shall have the power to administer oaths and affirmations within the state.

 (2) There shall be a clerk of the traffic tribunal who shall be appointed by and serve at the pleasure of the chief judge of the district court magistrate of the traffic tribunal; provided, however, that, effective July 1, 1999, the first clerk of the traffic tribunal shall be that person holding the position of administrator/clerk of the administrative adjudication court as of May 1, 1998, and that person shall hold office for the balance of a term of twelve (12) years which began on September 1, 1992, without the necessity of appointment by the governor or advice and consent of the senate. The clerk of the traffic tribunal shall exercise his or her functions under the direction and control of the chief judge magistrate of the district court traffic tribunal and the administrative judge or magistrate or of the traffic tribunal. The clerk of the traffic tribunal shall have the power to administer oaths and affirmations within the state.

 (i) Clerical Personnel/Court Recorders. - (1) The chief judge of the district court magistrate of the traffic tribunal shall appoint deputy clerks and assistance clerks for the traffic tribunal to serve at his or her pleasure. All such clerks may administer oaths and affirmations within the state.

 (2) The chief judge of the district court magistrate of the traffic tribunal shall appoint sufficient court recorders to enable all proceedings to be recorded by electronic means and who shall assist in such other clerical duties as may be prescribed from time to time by the chief judge of the district court  magistrate of the traffic tribunal.

 (3) The chief judge of the district court magistrate of the traffic tribunal shall employ such clerical assistants in addition to deputy clerks as may be required in the traffic tribunal to perform clerical duties.

 

8-8.2-2. Jurisdiction. -- (a) Notwithstanding any inconsistent provision of law, all probationary license hearings as provided in section 31-10-26, all violations of the department of transportation, department of environmental management or board of governors for higher education regulations regarding parking, standing, or stopping in areas under the jurisdiction of said agencies, all violations of state statutes relating to motor vehicles, littering and traffic offenses, except those traffic offenses committed in places within the exclusive jurisdiction of the United States, and except driving so as to endanger resulting in death, driving so as to endanger resulting in personal injury, driving while under the influence of liquor or drugs, driving while under the influence of liquor or drugs resulting in death, driving while under the influence of liquor or drugs resulting in serious bodily injury, reckless driving and other offenses against public safety as provided in section 31-27-4, eluding a law enforcement officer with a motor vehicle in a high speed pursuit, driving after denial, suspension or revocation of license, and leaving the scene of an accident in violation of section 31-26-1 and section 31-26-2, and driving without the consent of the owner and possession of a stolen motor vehicle in violation of section 31-9-1 and section 31-9-2, shall be heard and determined by the traffic tribunal pursuant to the regulations promulgated by the chief judge of the district court magistrate of the traffic tribunal; provided, however, the traffic tribunal shall not hear any parking, standing or stopping violations which occur in any city or town which has established its own municipal court and has jurisdiction over such violations. Nothing contained herein shall abrogate the powers of the Rhode Island family court under the provisions of chapter 1 of title 14.

 (b) Notwithstanding any inconsistent provision of law, the traffic tribunal shall have concurrent jurisdiction to hear and determine, pursuant to rules and regulations promulgated by the chief judge of the district court magistrate of the traffic tribunal, all violations of any ordinances, rules and regulations governing the public waters and the speed, management and control of all vessels and the size, type and location and use of all anchorages and moorings within the jurisdiction of the towns of North Kingstown, South Kingstown, Portsmouth, Middletown, Narragansett and Tiverton enforced and supervised by the harbormaster and referred to the traffic tribunal, and the terms "traffic violations" and "traffic infraction" when used in this chapter shall include the aforesaid violations and such violations shall be adjudicated in accordance with the provisions of this chapter. Nothing contained herein shall abrogate the powers of the Rhode Island coastal management council under the provisions of chapter 23 of title 46.

 

8-8.2-3. Collection authority -- Contempt. -- (a) A judge or magistrate shall have the authority to enforce the judgments of the tribunal as authorized by law. The procedure for the collection of costs and fines shall generally follow the course of the collection of civil judgments pursuant to chapters 17 and 28 of title 9 to the extent applicable. A judge or magistrate shall not issue a body attachment for any judgment entered prior to the effective date of this section. All peace officers authorized by the law shall exercise the powers of a constable for purposes of making service of any writ or notice issued by the traffic tribunal pursuant to this collection procedure, including the execution of a body attachment. In the event that a body attachment is executed, the detainee must be brought before a judge or magistrate, or if the traffic tribunal is not in session before a justice of the peace authorized pursuant to section 12-10-2 immediately upon detention or as soon thereafter as is reasonably practicable. The amount of fees and fines due to the traffic tribunal shall be noted on a body attachment issued pursuant to this procedure, and a justice of the peace shall accept said monies and order the release of the detainee if the amount due is tendered. If the detainee claims an inability to pay the full amount due, the justice of the peace shall order the release of the detainee pursuant to reasonable bail. The chief judge of the district court magistrate of the traffic tribunal shall issue rules and regulations for the collection process consistent with this section.

 (b) A judge or magistrate of the traffic tribunal may adjudicate a person in willful contempt and order him or her fined up to a maximum of five hundred dollars ($500) for each separate offense. Provided further that, if the judge or magistrate determines that the person is unable to pay the fine or judgment, he or she may order partial payments or establish a payment schedule for the payment of the fine or judgment.

 

8-8.2-4. Subpoena. -- (a) The traffic tribunal through its judges, magistrates and clerks is hereby authorized and empowered to summon defendants and issue subpoenas to the same extent as they may be issued by the district court in civil cases in such forms as may be prescribed by rules promulgated by the chief judge of the district magistrate of the traffic tribunal pursuant to section 8-6-2.

 (b) Notaries public and justices of the peace may issue subpoenas returnable before the traffic tribunal to the same extent that they are authorized to do so in civil cases pending before the district court.

 

8-8.2-5. Security officers -- Powers. -- (a) All full time security officers employed by the traffic tribunal shall have the same immunities and may exercise all powers of sheriffs, city and town police officers, and constables when the security officers are enforcing the laws of this state, and all rules and regulations of the traffic tribunal upon the lands and buildings owned or occupied by the traffic tribunal upon streets and highways immediately adjacent to those lands or when in attendance with a judge or magistrate.

 (b) All security officers shall be required to attend the Rhode Island municipal police academy for a period of forty (40) hours for the purpose of training in law enforcement.

 (c) When any person is suspected of having committed a felony the superintendent of state police shall be notified following the suspected felon's arrest.

 (d) When acting as a constable with the authorization of the Chief Judge Magistrate, he or she may exercise all powers under Rhode Island sections 8-8-12(10) and 8-8-23.

 

8-8.2-6. Retirement of judges on reduced pay. -- (a) Whenever any person engaged as a judge on or before July 2, 1997, has served as a judge of the administrative adjudication court or as a judge of the administrative adjudication court who is reassigned by this chapter to the traffic tribunal for twenty (20) years, or has so served for ten (10) years and has reached the age of sixty five (65) years, the judge may retire from active service and, thereafter, the judge shall receive annually during life a sum equal to three fourths (3/4) of the annual salary that the judge was receiving at the time of retirement; provided, however, any person who has served for twenty (20) years and has reached the age of sixty five (65) years, or has so served for fifteen (15) years and reached the age of seventy (70) years, may retired from active service and, thereafter, the judge shall receive annually during his or her life a sum equal to the annual salary he or she was receiving at the time of his or her retirement. In determining eligibility under this section, any judge who has served within the judiciary or as a hearing officer or administrative law judge, may include such service as if the service had been on the administrative adjudication court and shall be included under the provisions of section 36-9-5.

 (b) Any judge who shall retire in accordance with the provisions of this section may at his or her request, and at the direction of the chief justice of the supreme court subject to the retiree's physical and mental competence, be assigned to perform such services as a judge or magistrate in the traffic tribunal as the chief judge of the district court magistrate of the traffic tribunal or the chief justice shall prescribe. When so assigned and performing that service, he or she shall have all the powers and authority of a judge or magistrate. A retired judge shall not be counted in the number of magistrates provided by law for the traffic tribunal nor shall he or she receive any further emolument other than his or her retirement pay for the performance of the aforesaid services.

 

8-8.2-9. Retirement of judges on reduced pay. -- (a) Whenever any person first engaged as a judge subsequent to July 2, 1997, has served as a judge of the administrative adjudication court or as a judge of the administrative adjudication court who is reassigned by this chapter to the traffic tribunal for twenty (20) years, or has so served for ten (10) years and has reached the age of sixty five (65) years, the judge may retire from active service and, thereafter, the judge shall receive annually during life a sum equal to three fourths (3/4) of his or her average highest three (3) consecutive years of compensation; provided, however any such person who has served twenty (20) years and has reached the age sixty five (65) or has served fifteen (15) years and has reached the age of seventy (70) years, may retire from active service and, thereafter, the judge shall receive annually during life a sum equal to his or her average highest three (3) consecutive years of compensation. In determining eligibility under this section, any judge who has served within the judiciary or as a hearing officer or administrative law judge, may include such service as if the service had been on the administrative adjudication court and shall be included under the provision of section 36-9-5.

 (b) Any judge who shall retire in accordance with the provisions of this section may at his or her own request, and at the direction of the chief justice of the supreme court subject to the retiree's physical and mental competence, be assigned to perform such services as a magistrate in the traffic tribunal as the chief judge magistrate or chief justice shall prescribe. When so assigned and performing that service, he or she shall have all the powers and authority of a magistrate. A retired judge shall not be counted in the number of magistrates provided by law for the division of traffic adjudication nor shall he or she receive any further emolument other than his or her retirement pay for the performance of the aforesaid services.

 

8-8.2-10. No incremental retirement benefit for temporary service as chief justice, presiding justice or chief judge. – No incremental retirement benefit for temporary service as chief justice, presiding justice or chief judge or chief magistrate. --  No increment in salary resulting from the application of personnel rule 4.0217 or any other or successor rule or regulation providing for an increment in salary for temporary service as chief justice, presiding justice or chief judge magistrate shall be construed to add to the annual salary of a judicial officer for purposes of retirement under section 8-8.2-6 or section 8-8.2-9.

 

8-8.2-17. Continued service. -- Any person appointed as magistrate of the traffic tribunal pursuant to the provisions of P.L. 1998. ch. 91, article 2, shall continue to serve in such capacity in the traffic tribunal for a term of eight (8) years from the date of his or her appointment and shall be governed by the provisions of section 8-8.2-1, as enumerated in article 4 of this act and as amended.

 

SECTION 9. Sections 8-10-3, 8-10-3.1 and 8-10-3.2 of the General Laws in Chapter 8-10 entitled "Family Court" are hereby amended to read as follows:

 

8-10-3. Establishment of court -- Jurisdiction -- Seal -- Oaths -- Masters. – Establishment of court – Jurisdiction – Seal – Oaths. -- (a) There is hereby established a family court, consisting of a chief judge and eleven (11) associate justices, to hear and determine all petitions for divorce from the bond of marriage and from bed and board; all motions for allowance, alimony, support and custody of children, allowance of counsel and witness fees, and other matters arising out of petitions and motions relative to real and personal property in aid thereof, including, but not limited to, partitions, accountings, receiverships, sequestration of assets, resulting and constructive trust, impressions of trust, and such other equitable matters arising out of the family relationship, wherein jurisdiction is acquired by the court by the filing of petitions for divorce, bed and board and separate maintenance; all motions for allowance for support and educational costs of children attending high school at the time of their eighteenth (18th) birthday and up to ninety (90) days after high school graduation, but in no case beyond their nineteenth (19th) birthday; enforcement of any order or decree granting alimony and/or child support, and/or custody and/or visitation of any court of competent jurisdiction of another state; modification of any order or decree granting alimony and/or custody and/or visitation of any court of competent jurisdiction of another state on the ground that there has been a change of circumstances; modification of any order or decree granting child support of any court of competent jurisdiction of another state provided: (1) the order has been registered in Rhode Island for the purposes of modification pursuant to section 15-23.1-611, or (2) Rhode Island issued the order and has continuing exclusive jurisdiction over the parties; antenuptial agreements, property settlement agreements and all other contracts between persons, who at the time of execution of the contracts, were husband and wife or planned to enter into that relationship; complaints for support of parents and children; those matters relating to delinquent, wayward, dependent, neglected, or children with disabilities who by reason of any disability requires special education or treatment and other related services; to hear and determine all petitions for guardianship of any child who has been placed in the care, custody, and control of the department for children, youth, and families pursuant to the provisions of chapter 1 of title 14 and chapter 11 of title 40; adoption of children under eighteen (18) years of age; change of names of children under the age of eighteen (18) years; paternity of children born out of wedlock and provision for the support and disposition of such children or their mothers; child marriages; those matters referred to the court in accordance with the provisions of section 14-1-28; those matters relating to adults who shall be involved with paternity of children born out of wedlock; responsibility for or contributing to the delinquency, waywardness, or neglect of children under sixteen (16) years of age; desertion, abandonment, or failure to provide subsistence for any children dependent upon such adults for support; neglect to send any child to school as required by law; bastardy proceedings and custody to children in proceedings, whether or not supported by petitions for divorce or separate maintenance or for relief without commencement of divorce proceedings; and appeals of administrative decisions concerning setoff of income tax refunds for past due child support in accordance with sections 44-30.1-5 and 40-6-21. The holding of real estate as tenants by the entirety shall not in and of itself preclude the family court from partitioning real estate so held for a period of six (6) months after the entry of final decree of divorce.

 (b) The family court shall be a court of record and shall have a seal which shall contain such words and devices as the court shall adopt.

 (c) The judges and clerk of the family court shall have power to administer oaths and affirmations.

 (d) The chief judge of the family court is hereby empowered to appoint experienced members of the Rhode Island bar as masters for the purpose of assisting the family court in matters pertaining to delinquent support payments and the taking of testimony in conducting all hearings relative to responsible persons who are not living up to their support obligations. The chief judge of the family court is also authorized to appoint masters in related matters pertaining to the collection of delinquent support payments from these responsible persons.

(e) (d) The family court shall have exclusive initial jurisdiction of all appeals from any administrative agency or board affecting or concerning children under the age of eighteen (18) years and appeals of administrative decisions concerning setoff of income tax refunds, lottery set offs, insurance intercept, and lien enforcement provisions for past due child support, in accordance with sections 44-30.1-5 and 40-6-21, and appeals of administrative agency orders of the department of human services to withhold income under chapter 16 of title 15.

 (f) (e) The family court shall have jurisdiction over those civil matters relating to the enforcement of laws regulating child care providers and child placing agencies.

 (g) (f) The family court shall have exclusive jurisdiction of matters relating to the revocation or nonrenewal of a license of an obligor due to noncompliance with a court order of support, in accordance with chapter 11.1 of title 15.

 [See section 12-1-15 of the General Laws.]

 

8-10-3.1. Magistrates -- Appointment, duties, and powers. -- (a) The chief judge of the family court may appoint magistrates, with the advice and consent of the senate, to assist the court in the conduct of its business. A person appointed to serve as a magistrate shall be a member of the bar of Rhode Island. The powers and duties of magistrates shall be prescribed in the order appointing them.

 (b) In addition, the chief judge of the family court may appoint magistrates to assist the court in the enforcement and implementation of chapter 23.1 of title 15, and to assist the family court in matters pertaining to hearings in accordance with section8-10-4, chapter 1 of title 14, chapter 8 of title 15, chapter 11 of title 40, and chapter 5 of title 40.1. The magistrate will be empowered to hear all motions, pretrial conferences, arraignments of juvenile offenders, probable cause hearings, and review of all such matters, including but not limited to, the temporary placement, custody, disposition and adoption of children, and the taking of testimony in conducting all hearings relative thereto.

 (c) The magistrates shall serve at the pleasure of the chief judge a term of ten (10) years and until a successor is appointed and qualified and his or her powers and duties shall be prescribed in the order appointing him or her or in the rules of procedure of the family court. Nothing herein shall be construed to prohibit the assignment of a magistrate to more than one such term, subject to the advice and consent of the senate. The special magistrates may be authorized:

 (1) To regulate all proceedings before him or her;

 (2) To do all acts and take all measures necessary or proper for the efficient performance of his or her duties;

 (3) To require the production before him or her of books, papers, vouchers, documents, and writings;

 (4) To rule upon the admissibility of evidence;

 (5) To issue subpoenas for the appearance of witnesses, to put witnesses on oath, to examine them, and to call parties to the proceeding and examine them upon oath;

 (6) To adjudicate a person in contempt and to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a justice of the court, for failure to appear in response to a summons or for refusal to answer questions or produce evidence or for behavior disrupting a proceeding;

 (7) To adjudicate a party in contempt and to order him or her imprisoned for not more than seventy-two (72) hours, pending review by a justice of the court, for failure to comply with a pending order to provide support or to perform any other act; and

 (8) To issue a capias and/or body attachment upon the failure of a party or witness to appear after having been properly served and, should the family court not be in session, the person apprehended may be detained at the adult correctional institution, if an adult, or at the Rhode Island training school for youth, if a child, until the next session of the family court.

 (d) A party aggrieved by an order entered by a magistrate shall be entitled to a review of the order by a justice of the family court. Unless otherwise provided in the rules of procedure of the family court, such review shall be on the record and appellate in nature. The family court shall by rules of procedure establish procedures for review of orders entered by a magistrate, and for enforcement of contempt adjudications of a magistrate.

 (e) Final orders of the family court entered in a proceeding to review an order of a magistrate may be appealed to the supreme court.

 (f) The magistrates shall be empowered to hear de novo all applications for income withholding pursuant to chapter 16 of title 15 and appeals of administrative agency orders of the department of human services to withhold income under chapter 16 of title 15.

 (g) The magistrates shall be empowered to hear all matters relating to the revocation or nonrenewal of a license of an obligor due to non-compliance with a court order of support, in accordance with chapter 11.1 of title 15.

 (h) The magistrates may be authorized by the chief judge to hear those matters on the domestic abuse prevention calendar and the nominal calendar.

 [See section12-1-15 of the General Laws.]

 

8-10-3.2. General magistrate of the family court. -- (a) There is hereby created within the family court the position of general magistrate of the family court who shall be appointed by the governor chief judge of the family court with the advice and consent of the senate for a life term of ten (10) years and until a successor is appointed and qualified. Nothing herein shall be construed to prohibit the assignment of the general magistrate to more than one such term, subject to the advice and consent of the senate.

 (b) The general magistrate shall be an attorney at law and a member in good standing of the Rhode Island bar. with a minimum of ten (10) years experience as a general magistrate in the Rhode Island family court.

 (c) The primary function of the general magistrate shall be the enforcement of child support decrees, orders, and law relative to child support. The general magistrate shall have all the authority and powers vested in magistrates by virtue of sections 8-10-3, 8-10-3.1, 9-15-19, 9-15-21, 9-14-26, 9-18-8, 9-18-9, and 36-2-3, and any other authority conferred upon magistrates by any general or public law or by any rule of procedure or practice of any court within the state.

 (d) The chief justice of the supreme court with the agreement of the chief judge of the family court may specially assign the general magistrate to perform judicial duties within any court of the unified judicial system in the same manner as a judge may be assigned pursuant to chapter 15 of this title; provided, however, that the general magistrate may be assigned to the superior court subject to the prior approval of the presiding justice of the superior court. When the general magistrate is so assigned he or she shall be vested, authorized, and empowered with all the powers belonging to the justices magistrates of the court to which he or she is specially assigned.

 (e) The general magistrate shall:

 (1) Receive all credits and retirement allowances as afforded justices under chapter 3 of this title and any other applicable law;

 (2) Be governed by the commission on judicial tenure and discipline, chapter 16 of this title, in the same manner as justices and workers' compensation judges;

 (3) Be entitled to a special license plate under section 31-3-47;

 (4) Receive a salary equivalent to that of a district court judge and shall be subject to the unclassified pay plan board;

 (5) Be subject to all the provisions of the canons of judicial ethics; and

 (6) Be subject to all criminal laws relative to judges by virtue of sections 11-7-1 and 11-7-2.

 (f) The provisions of this section shall be afforded liberal construction.

 

SECTION 10. Section 8-15-3.1 of the General Laws in Chapter 8-15 entitled "Court Administration" is hereby amended to read as follows:

 

8-15-3.1. Chief justice -- Power to assign judges. – Chief justice – Power to assign magistrates. -- The Chief justice of the supreme court has the power to assign any magistrate of the superior court, family court, and/or district court to any court of the unified judicial system with the consent of the presiding justice and/or chief judge of the relevant courts. in the same manner as a judge may be assigned pursuant to chapter 15 of this title. When a magistrate is so assigned, he or she shall be vested, authorized, and empowered with all the powers belonging to the justices and/or magistrates of the court to which he or she is specially assigned.

 

SECTION 11. The general assembly hereby requires the governor to submit, as part of his FY 2009 budget, necessary legislation to create a department of advocacy, with an effective date of no sooner than July 1, 2008, and no later than January 1, 2009.

The governor shall consult with the child advocate, mental health advocate, commission on deaf and hard of hearing, development disabilities council, and the commission on disabilities in developing the department.

The department shall include the child advocate, mental health advocate, commission on deaf and hard of hearing, developmental disabilities council, and the commission on disabilities.

The governor with advice and consent of the senate shall appoint the child advocate and the mental health advocate, as detailed in existing statutes. All agencies combined into this new department shall maintain existing duties as set forth in current law.

The department shall consolidate communications, and overhead expenditures.

 

SECTION 12.  Public Law 1997, Chapter 30, Article 25, Section 1 is hereby deleted in its entirety.

 

SECTION 1. There is hereby created a Program to be known as the Boards for Design Professionals, hereafter referred to as the "Program".

(a) The Program shall consist of the board of registration for professional engineers, board of registration for professional land surveyors, board of examination and registration of architects, and board of examiners of landscape architects.

(b) The purpose of the Program is to combine the resources of the four (4) boards within the Program in a cooperative venture to provide for more efficient operations.

(c) The boards shall retain their respective statutory authority pursuant to sections 5-1-5, 5-51-2, 5-8-8, and 5-8.1-4 of the general laws and any other applicable legal authority, notwithstanding their inclusion in the Program created by this article.

 

SECTION 13. (a) There shall be created within the department of business regulation, no later than January 1, 2008, a division to be known as the division of design professionals.

(1) The division shall consist of the membership of the board of registration for professional engineers, board of professional land surveyors, board of examination and registration of architects, and the board of examiners of landscape architects.

(2) The purpose of the division is to combine the four (4) boards into a single division to provide for more efficient operation.

(3) The boards shall retain their respective statutory authority pursuant to sections 5-1-5, 5-8-8, 5-8.1-4 and 5-51-2 of the general laws and any other applicable legal authority notwithstanding their inclusion in the division created by this article.

(4) The department of business regulation shall provide suitable and adequate space for the division.

(5) The division shall consist of members of each board as presently constituted; provided, however, that each board shall be entitled to cast two (2) votes regardless of the number of members of each board. The governor shall appoint a chairman of the division from a member of one of the boards for a period of five (5) years. The governor's choice of chairman for each five (5) year successive period shall rotate among the members of the remaining boards so that a member of each board shall serve as chairman once every fourth successive period. There shall be no compensation for the members and the chairman of the division.

(6) There shall be no new appointments to any of the boards until such time as it is necessary to maintain the membership of each board at two (2) members.

 

SECTION 14. The general assembly hereby requires the governor to submit as part of his FY 2009 budget necessary recommended legislation to create a department of public safety, with an effective date no sooner than July 1, 2008 and no later than January 1, 2009. The director of the department shall be the superintendent of the state police who shall be appointed by the governor with the advice and consent of the senate.

The department shall include the state police, E-911 emergency telephone system division, the state fire marshal who shall be appointed by the governor with the advice and consent of the senate, fire safety code board of appeal and review, justice commission, municipal police training academy, sheriffs and capital police.

The department shall consolidate communications, training facilities and training among the divisions.

 

SECTION 15.  Sections 11-47-17 and 11-47-17.1 of the General Laws in Chapter 11-47 entitled “Weapons” are hereby amended to read as follows:

 

11-47-17. Qualifications required of law enforcement officers appointed after June 17, 1959. – Except as provided in § 11-47-15.3, all law enforcement officers of this state and its political subdivisions whose permanent appointment shall take place after June 17, 1959, will be required to qualify with the pistol or revolver with which they are armed prior to their permanent appointment, that qualification to be the same as that required in § 11-47-15. Constables, special officers, and all law enforcement officers who by law are authorized to carry side-arms and whose appointments are made on a recurring basis will be required to qualify not later than one year following the date of enactment of this section, and their commissions or warrants will be plainly marked or stamped "QUALIFIED WITH PISTOL OR REVOLVER" and will be signed and dated by the certifying authority attesting to that fact. The failure of any law enforcement officer to qualify under the provisions of this section revokes his or her privilege of carrying a pistol or revolver, whether concealed or not, on or about his or her person. All law enforcement officers of this state and its political subdivisions will repeat this qualification at periods of not more than one year, except for correctional officers who must repeat this qualification every two (2) years.

 

11-47-17.1. Mandatory or discretionary nature of § 11-47-15.1 requirements – Qualification reports to be filed. – (a) All law enforcement officers of this state and its political subdivisions, whose permanent appointment shall take place later than June 6, 1970, shall be required to qualify with the pistol or revolver with which they are armed prior to their permanent appointment, that qualification to be as required in §§ 11-47-15.1 and 11-47-15.3. All permanent appointed law enforcement officers of this state and its political subdivisions who are required to qualify under § 11-47-17 may, at the discretion of the officer, qualify under either § 11-47-15, 11-47-15.1 or 11-47-15.3. The failure of any law enforcement officer to qualify under the provisions of this section revokes his or her privilege of carrying a pistol or revolver, whether concealed or not, on or about his or her person. Qualification under this section will be required at periods of not more than one year, except for correctional officers who must repeat this qualification every two (2) years.

(b) Copies of all of the qualification reports shall be filed with the office of the attorney general.

 

SECTION 16. Section 8 of this article shall take effect August 1, 2007. The remainder of this article shall take effect upon passage.

 

ARTICLE 4 SUBSTITUTE A AS AMENDED

 

RELATING TO E-911 EMERGENCY TELEPHONE SYSTEM

 

SECTION 1.  Section 39-1-62 of the General Laws in Chapter 39-1 entitled “Public Utilities Commission” is hereby amended to read as follows:

 

 39-1-62. E-911 Geographic Information System (GIS) and Technology Fund. [Repealed effective June 30, 2007.]. – (a) Preamble. To allow the Rhode Island E-911 Emergency Telephone System agency to associate latitude and longitude coordinates provided by wireless carriers with physical locations throughout the state, the agency must establish and maintain a GIS database of street addresses and landmarks. The database will allow local emergency response personnel to dispatch police, fire and rescue personnel to a specific address or landmark of a cellular caller in the event the caller is unaware of his or her location, or is physically unable to communicate it. Because more than half of the 530,000 9-1-1 phone calls received in 2003 came from cellular phones, it is critical that the GIS database be developed and maintained in order to improve caller location identification and reduce emergency personnel response times.

   (b) Definitions. As used in this section, the following terms have the following meanings:

   (1) "System" means Emergency 911 Uniform Telephone System.

   (2) "Agency" means Rhode Island 911 Emergency Telephone System.

   (3) "Division" means the Division of Public Utilities and Carriers.

   (4) "GIS and Technology Fund" means the programs and funding made available to the Emergency 911 Uniform Telephone System to assist in paying the costs of the GIS database development project and GIS systems maintenance, which will enable the system to locate cellular phone callers by geocoding all addresses and landmarks in cities and towns throughout the state. It GIS and Technology Fund also includes programs and funding to create system redundancy, fund the construction of a new E-911 facility, and operate and maintain other state-of-the-art equipment technology in public safety agencies.

   (c) Purpose. The purpose of the GIS and Technology Fund shall be to:

   (1) Implement and maintain a geographic information system database to assist in locating wireless phone callers for emergency purposes in a manner consistent and in coordination with the Rhode Island geographic information system administered by the Division of Planning as provided for in § 42-11-10(g)(3); and

(2) Create system redundancy to ensure the reliability of 9-1-1 service to the public; and

(3) Operate and Mmaintain other state-of-the-art equipment technology in public safety agencies; and.

(4) Fund the construction of a new E-911 facility. 

(d) Authority. The agency shall establish, by rule or regulation, an appropriate funding mechanism to recover from the general body of ratepayers the costs of funding GIS and technology projects.

(1) The general assembly shall determine the amount of a monthly surcharge to be levied upon each wireless instrument, device or means including prepaid, cellular, telephony, Internet, Voice Over Internet Protocol (VoIP), satellite, computer, radio, communication, data, or any other wireless instrument, device or means that has access to, connects with, interfaces with or is capable of delivering two-way interactive communications services to the Rhode Island E-911 Uniform Emergency Telephone System. The agency will provide the general assembly with information and recommendations regarding the necessary level of funding to effectuate the purposes of this article. The surcharge shall be billed monthly by each wireless telecommunications services provider as defined in § 39-21.1-3 and shall be payable to the wireless telecommunications services provider by the subscriber or prepaid service customer of the telecommunications services. Each telecommunication services provider shall establish a special (escrow) account to which it shall deposit on a monthly basis the amounts collected as a surcharge under this section. The money collected by each wireless telecommunication services provider shall be transferred within sixty (60) days after its inception of wireless, prepaid, cellular, telephony, Voice Over Internet Protocol (VoIP), satellite, computer, Internet, or communications, information or data services in this state and every month thereafter. Any money not transferred in accordance with this paragraph shall be assessed interest at eight percent (8%) per annum at the rate set forth in section 44-1-7 from the date the money should have been transferred. State, local and quasi-governmental agencies shall be exempt from the surcharge. The surcharge shall be deposited in a restricted receipt account, hereby created within the agency and known as the GIS and Technology Fund, to pay any and all costs associated with the provisions of subsection (c). Beginning July 1, 2007, the surcharge shall be deposited in the general fund as general revenues to pay any and all costs associated with the provisions of subsection (c). The GIS and Technology Fund restricted receipt account shall be terminated June 30, 2008. The amount of the surcharge under this section shall not exceed thirty-five cents ($.35) per wireless phone.

(2) The surcharge is hereby determined to be twenty-six cents ($.26) per wireless phone, prepaid, cellular, telephony, Voice Over Internet Protocol (VoIP), satellite, computer, data or data only wireless lines or Internet communication or data instrument, device or means which has access to, connects with, activates or interfaces with or any combination of the above with the Rhode Island E-911 Uniform Emergency Telephone System per month and shall be in addition to the wireless surcharge charged under § 39-21.1-14. The twenty-six cents ($.26) is to be billed to all wireless telecommunication service providers, subscribers or prepaid service customers upon the inception of services.

(3) The amount of the surcharge shall not be subject to the sales and use tax imposed under chapter 18 of title 44 nor be included within the gross earnings of the telecommunications corporation providing telecommunications service for the purpose of computing the tax under chapter 13 of title 44.

   (4) With respect to prepaid wireless telecommunication service providers and customers, and notwithstanding anything to the contrary contained in this section, the surcharge shall be collected and remitted to the division of taxation by the prepaid wireless telecommunication service provider under one of three (3) methods:

 (i) The prepaid wireless telecommunication service provider shall collect the surcharge, on a monthly basis, from each active prepaid wireless telecommunication service customer whose account balance is equal to or greater than the amount of the service charge; or

 (ii) The prepaid wireless telecommunication service provider shall collect the surcharge, on a monthly basis, at the point of sale; or

   (iii) The prepaid wireless telecommunication service provider shall divide the total earned prepaid wireless telephone revenue received by the prepaid wireless telecommunication service provider within the monthly reporting period by fifty dollars ($50.00), and multiply the quotient by the amount of the surcharge.

   The surcharge amount or an equivalent number of air-time minutes may be reduced from a prepaid wireless telecommunication service customer's account when direct billing is not possible.

   (e) Administration. The division of taxation shall collect monthly from the wireless telecommunications service providers as defined in § 39-21.1-3 the amounts of the surcharge collected from their subscribers or prepaid customers. The division of taxation shall deposit such collections in an account maintained and administered by the Rhode Island 911 Emergency Telephone System in the general fund as general revenues for use in developing and maintaining the geographic information system database, creating system redundancy, funding the construction of a new E-911 facility and improving operating and maintaining other state-of-the-art equipment technology for public safety agencies. The agency is further authorized and encouraged to seek matching funds from all local, state, and federal public or private entities and shall coordinate its activities and share all information with the state Division of Planning.

(f) Effective date. The effective date of assessment for the GIS and Technology Fund shall be July 1, 2004.

(g) Nothing in this section shall be construed to constitute rate regulation of wireless communications services carriers, nor shall this section be construed to prohibit wireless communications services carriers from charging subscribers for any wireless service or feature.

(h) Except as otherwise provided by law, the agency shall not use, disclose or otherwise make available call location information for any purpose other than as specified in subsection (c).

(i) The attorney general shall, at the request of the E-911 uniform emergency telephone system division, or any other agency that may replace it, or on its own initiative, commence judicial proceedings in the superior court against any telecommunication services provider as defined in § 39-21.1-3(11) providing communication services to enforce the provisions of this chapter.

 

SECTION 2. Sections 39-21.1-14 of the General Laws in Chapter 39-21.1 entitled "911 Emergency Telephone Number Act" are hereby amended to read as follows:

 

39-21.1-14. Funding. -- (a) A monthly surcharge of one dollar ($1.00) is hereby levied upon each residence and business telephone line or trunk or path and data, telephony, Internet, Voice Over Internet Protocol (VoIP) wireline, line, trunk or path in the state including PBX trunks and centrex equivalent trunks and each line or trunk serving, and upon each user interface number or extension number or similarly identifiable line, trunk, or path to or from a digital network (such as, but not exclusive of, integrated services digital network (ISDN), Flexpath or comparable digital private branch exchange, or connecting to or from a customer-based or dedicated telephone switch site (such as, but not exclusive of, a private branch exchange (PBX)), or connecting to or from a customer-based or dedicated central office (such as, but not exclusive of, a centrex system but exclusive of trunks and lines provided to wireless communication companies) that can access to, connect with or interface with the Rhode Island E-911 Uniform Emergency Telephone System (RI E-911). The surcharge shall be billed by each telecommunication services provider at the inception of services and shall be payable to the telecommunication services provider by the subscriber of the services. A monthly surcharge of one dollar ($1.00) is hereby levied effective July 1, 2002, on each wireless instrument, device or means including prepaid, cellular, telephony, Internet, Voice Over Internet Protocol (VoIP), satellite, computer, radio, communication, data or data only wireless lines or any other wireless instrument, device or means which has access to, connects with, or activates or interfaces or any combination thereof with the E 9-1-1 Uniform Emergency Telephone System. The surcharge shall be in addition to the surcharge collected under section 39-1-62 and shall be billed by each telecommunication services provider and shall be payable to the telecommunication services provider by the subscriber or prepaid services customer. The E-911 Uniform Emergency Telephone System shall establish, by rule or regulation an appropriate funding mechanism to recover from the general body of ratepayers this surcharge.

 (b) The amount of the surcharge shall not be subject to the tax imposed under chapter 18 of title 44 nor be included within the telephone common carrier's gross earnings for the purpose of computing the tax under chapter 13 of title 44.

 (c) Each telephone common carrier and each telecommunication services provider shall establish a special account to which it shall deposit on a monthly basis the amounts collected as a surcharge under this section.

 (d) The money collected by each telecommunication services provider shall be transferred within sixty (60) days after its inception of wireline, wireless, prepaid, cellular, telephony, Voice Over Internet Protocol (VoIP), satellite, computer, Internet, or communications services in this state and every month thereafter, to the division of taxation, together with the accrued interest and shall be deposited in the general fund as general revenue.  Any money not transferred in accordance with this paragraph shall be assessed interest at eight percent (8%) per annum at the rate set forth in section 44-1-7 from the date the money should have been transferred.

 (e) Every billed subscriber-user shall be liable for any surcharge imposed under this section until it has been paid to the telephone common carrier or telecommunication services provider. Any surcharge shall be added to and may be stated separately in the billing by the telephone common carrier or telecommunication services provider and shall be collected by the telephone common carrier or telecommunication services provider.

 (f) Each telephone common carrier and telecommunication services provider shall annually provide the E 9-1-1 uniform emergency telephone system division or any other agency that may replace it, with a list of amounts uncollected together with the names and addresses of its subscriber-users who can be determined by the telephone common carrier or telecommunication services provider to have not paid the surcharge.

 (g) Included within, but not limited to, the purposes for which the money collected may be used are rent, lease, purchase, improve, construct, maintenance, repair, and utilities for the equipment and site or sites occupied by the E 9-1-1 uniform emergency telephone system; salaries, benefits, and other associated personnel costs; acquisition, upgrade or modification of PSAP equipment to be capable of receiving E 9-1-1 information, including necessary computer hardware, software, and data base provisioning, addressing, and non-recurring costs of establishing emergency services; network development, operation and maintenance; data-base development, operation, and maintenance; on-premise equipment maintenance and operation; training emergency service personnel regarding use of E 9-1-1; educating consumers regarding the operations, limitations, role and responsible use of E 9-1-1; reimbursement to telephone common carriers or telecommunication services providers of rates or recurring costs associated with any services, operation, administration or maintenance of E 9-1-1 services as approved by the division; reimbursement to telecommunication services providers or telephone common carriers of other costs associated with providing E 9-1-1 services, including the cost of the design, development, and implementation of equipment or software necessary to provide E 9-1-1 service information to PSAP's, as approved by the division.

 (h) [Deleted by P.L. 2000, ch. 55, art. 28, section 1.]

 (i) Nothing in this section shall be construed to constitute rate regulation of wireless communication services carriers, nor shall this section be construed to prohibit wireless communication services carriers from charging subscribers for any wireless service or feature.

 (j) [Deleted by P.L. 2006, ch. 246, art. 4, section 1_.

 

SECTION 3. Sections 44-1-2, 44-1-2, 44-1-7, 44-1-7, 44-1-7.1, 44-1-29, 44-1-31 and 44-1-32 of the General Laws in Chapter 44-1 entitled "State Tax Officials" are hereby amended to read as follows:

 

44-1-2. Powers and duties of tax administrator. -- The tax administrator is required:

 (1) To assess and collect all taxes previously assessed by the division of state taxation in the department of revenue and regulation, including the franchise tax on domestic corporations, corporate excess tax, tax upon gross earnings of public service corporations, tax upon interest bearing deposits in national banks, the inheritance tax, tax on gasoline and motor fuels, and tax on the manufacture of alcoholic beverages;

 (2) To assess and collect the taxes upon banks and insurance companies previously administered by the division of banking and insurance in the department of revenue and regulation, including the tax on foreign and domestic insurance companies, tax on foreign building and loan associations, deposit tax on savings banks, and deposit tax on trust companies;

 (3) To assess and collect the tax on pari-mutuel or auction mutuel betting, previously administered by the division of horse racing in the department of revenue and regulation.

 (4) [Deleted by P.L. 2006, ch. 246, art. 38, section 10].

(5) To assess and collect the monthly surcharges that are collected by telecommunication services providers pursuant to section 39-21.1-14 and are remitted to the division of taxation.

(6) To audit, assess and collect all unclaimed intangible and tangible property pursuant to chapter 21.1 of title 33.

 

44-1-7. Interest on delinquent payments. [Effective until August 15, 2010.] -- (a) Whenever the full amount of any state tax or any portion or deficiency, as finally determined by the tax administrator, or any surcharge that is required to be remitted to the tax division pursuant to section 39-21.1-14, has not been paid on the date when it is due and payable, whether the time has been extended or not, there shall be added as part of the tax or portion or deficiency, or surcharge as referenced in this provision,  interest at the rate as determined in accordance with subsection (b) of this section, notwithstanding any general or specific statute to the contrary; provided, however, no interest or penalties shall be added to any deficiency resulting from imputed income from domestic partner healthcare benefits for tax years 2002 through 2004 provided the taxpayer files amended returns by August 15, 2006.

 (b) Each January 1 the tax administrator shall compute the rate of interest to be in effect for that calendar year by adding two percent (2%) to the prime rate, which was in effect on October 1 of the preceding year. In no event shall the rate of interest exceed twenty-one percent (21%) per annum nor be less than eighteen percent (18%) per annum.

 (c) "Prime rate" as used in subsection (b) of this section means the predominant prime rate quoted by commercial banks to large businesses as determined by the board of governors of the Federal Reserve System.

 

44-1-7.1. Interest on overpayments. -- (a) Notwithstanding any general or specific statute to the contrary, overpayments of state taxes or surcharges that are remitted to the tax division in accordance with section 39-21.1-14, shall bear interest at the rate provided in section 44-1-7 from the date the tax was paid, or from the date including any extensions of the date the tax became due, whichever of the dates occurs later.

 (b) Notwithstanding any general or specific statute to the contrary, overpayments of state taxes or surcharges that are remitted to the tax division pursuant to section 39-21.1-14, shall bear interest at the prime rate as defined in section 44-1-7.1(a) from the date the tax or the surcharge that is referenced in this provision was paid, or from the date including any extensions of the date the tax became due, whichever of the dates occurs later.

 (c) If any overpayment of state tax is refunded within ninety (90) days after the last date prescribed (or permitted by extension of time) for filing the return of the tax, or within ninety (90) days after the return is in fact filed, no interest shall be allowed under this section on the overpayment.

 (d) For the purposes of this section, if any overpayment of state tax results from a carry-back of a net operating loss, the overpayment is deemed not to have been made prior to the close of the taxable year in which the net operating loss arises.

(e) If any overpayment of a surcharge referenced in subsection (b) of this section is refunded within ninety (90) days after notification of overpayment of the surcharge, no interest shall be allowed under this section on the overpayment.

 

44-1-29. Collection by writ of execution. -- (a) Whenever the full amount of any state tax or any portion or deficiency, as finally determined by the tax administrator, or any surcharge that is required to be remitted to the tax division pursuant to section 39-21.1-14 is paid within thirty (30) days after the tax or penalty becomes due and payable, the tax administrator, in addition to any other powers provided by law, may petition the sixth division of the district court for a writ of execution, setting forth the nonpayment of the tax, surcharge  or penalty; and the court shall immediately appoint a time for a hearing and cause a reasonable notice of the meeting to be given to the adverse party, and at the time and place of the return of the notice shall proceed summarily to hear the parties.

 (b) If upon the hearing it appears that the tax or, penalty, or surcharge that is required to be remitted to the tax division pursuant to section 39-21.1-14  is unpaid, the court shall immediately issue an execution for the collection of the tax or, penalty or surcharge, which shall run to the sheriffs, or their deputies, of the several counties of this state, and in which the officer making service of the execution shall be commanded to levy upon the property of the party as may be taken on execution, and the officer charged with the service of the execution shall serve the execution as commanded, and shall sell the property seized as property is sold when taken on execution in actions at law, or the court shall take other action as it may deem proper to enforce the payment of the tax by the appointment of the receiver of the property of the party or otherwise. A party aggrieved by a final order of the court may seek review of the order in the Supreme Court by writ of certiorari in accordance with the procedures contained in section 42-35-16.

 

44-1-31. Taxes and child support to be paid by electronic funds transfer. -- (a) The tax administrator is authorized to provide by rule for the payment of any tax, including employer taxes, by electronic funds transfer where the tax required to be paid in connection with the filing of any return, report or other document with the division of taxation exceeds ten thousand dollars ($10,000). Provided, in all instances where a taxpayer is required to pay employment taxes to the Internal Revenue Service by electronic funds transfer, the taxpayer shall pay Rhode Island income tax withheld by electronic funds transfer.

 (b) The tax administrator is authorized to provide by rule for the payment of child support and/or medical support received from any in-state, or interstate employers, making income withholdings, and from collections received from other state collection and disbursement units and foreign jurisdictions, by electronic funds transfer (EFT) when the child support and/or medical support is required to be paid in connection with a court or administrative order for support to the state's central collection and disbursement.

 (c) The tax administrator shall adopt rules and regulations necessary to implement this section including, but not limited to, rules and regulations:

 (1) Coordinating the filing of tax returns with the payment of taxes by electronic funds transfer; and the payment of child support,

 (2) Specifying the form, frequency, and content of electronic funds transfer messages and electronic date information in order to insure the proper receipt and crediting of the tax or child support payment.

 (d) Payment of personal income taxes by individuals is not subject to the provisions of subsection (a) of this section; provided, that employers' withholding of taxes is subject to the provisions of subsection (a) of this section.

(e) The tax administrator is authorized to provide by rule for payment of any surcharge that is required to be remitted to the tax division pursuant to section 39-21.1-14.

 

44-1-32. Hearing on application by taxpayer. -- Any taxpayer aggrieved by the action of the tax administrator in determining the amount of any tax, any surcharge that is required to be remitted to the tax division pursuant to section 39-21.1-14 or penalty for which a hearing is not provided may apply to the tax administrator, in writing, within thirty (30) days after notice of the assessment is mailed to the taxpayer, for a hearing relative to the tax or penalty. The tax administrator shall, as soon as practicable, fix a time and place for the hearing and shall, after the hearing, determine the correct amount of the tax, interest, and penalty.

 

SECTION 4. Section 44-53-1 of the General Laws in Chapter 44-53 entitled "Levy and Distraint" is hereby amended to read as follows:

 

44-53-1. Levy upon property. -- If any person liable to pay any tax or surcharge that is required to be remitted to the tax division pursuant to section 39-21.1-14 neglects or refuses to pay the tax within ten (10) days after demand, it shall be lawful for the tax administrator to collect the tax, and any further sum that is sufficient to cover the expenses of the levy, by levy upon all property and rights to property belonging to the person or on which there is a lien provided in this title or for the payment of the tax. If the tax administrator makes a finding that the collection of the tax is in jeopardy, notice and demand for immediate payment of the tax may be made by the tax administrator and, upon failure or refusal to pay the tax, collection of the tax by levy shall be lawful without regard to the ten (10) day period provided in this section.

 

SECTION 5.  This article shall take effect as of July 1, 2007.

 


ARTICLE 5 SUBSTITUTE A AS AMENDED

 

RELATING TO DEBT MANAGEMENT ACT JOINT RESOLUTIONS

 

SECTION 1.      This article consists of Joint Resolutions that are submitted pursuant to Rhode Island General Laws §§ 35-18-1, et seq.

SECTION 2. Information Technology Improvements – Innovative Education.

WHEREAS, under Section 4 of Article 7 of the FY 2007 Appropriations Act the General Assembly approved the issuance of $49.9 million for Innovative Technology projects and,

WHEREAS, the language allocating funding for innovative education projects appears to allocate all $15,195,154 to the comprehensive education information system in the department of elementary and secondary education, when the intent of the issuance was to fund several innovative education projects in addition to this project, now, therefore be it

RESOLVED, that the General Assembly hereby approves the allocation of funds authorized in Section 4 of Article 7 of the FY 2007 Appropriations Act for innovative education as follows: $3,000,000 for the comprehensive education information system in the department of elementary and secondary education, $11,750,000 for the creative use of technology in higher education, and $445,154 for other innovative education projects

SECTION 3. Division of Motor Vehicles Computer System. Section 4 of  Article 7 of Chapter 246 of the 2006 Public Laws is hereby amended to read as follows:

WHEREAS, The computer systems that currently support the Division of Motor Vehicles are outdated and put the operations of driver licenses and registrations systems at risk of operation; and

WHEREAS, The enterprise infrastructure of the state's wide and local area networks need upgrades to protect them from cyber security attack; and

WHEREAS, An integrated professional licensing software platform would increase the regulatory compliance of licenses and increase access and convenience to the public of licensing rules, regulations, and application processing; and

WHEREAS, Public education would benefit from outfitting teachers with skills in the use of information systems; and

WHEREAS, The state would benefit from a taxation database to enhance tax policy analysis, audits and tax collections; and

WHEREAS, The court system requires timely and integrated data systems capable of interacting with other state systems; and

WHEREAS, The project costs associated with the Innovative Technology Initiative is $49.3 million. The total financing obligation of the State of Rhode Island would be approximately $46.9 million, with $49.3 million deposited in the construction fund, and $0.6 million available to pay the associated costs of financing. Total payments on the State's obligation over ten (10) years on the $49.3 million issuance are projected to be $63.1 million, assuming an average effective interest rate of 4.5%. The payments would be financed within the Department of Administration from general revenue appropriations and Division of Motor Vehicles transaction fees; now, therefore be it

RESOLVED, That this General Assembly hereby approves financing in an amount not to exceed $37.0 million for the provision of funds for Innovative Technology including $0.5 million to pay costs of financing; provided, that $3,900,000 be made available from the construction fund for the enterprise infrastructure of the state's wide and local area network; and provided, further, that $1,010,234 be made available from the construction fund for an integrated professional licensing software platform; and provided, further, that $15,195,154 be made available from the construction fund for comprehensive education information systems in the department of elementary and secondary education; and provided, further, that $2,500,000 be available from the construction fund to develop a taxation data base; and provided, further, that $13,900,000 be available from the construction fund to develop integrated data systems for the judiciary; and be it further

RESOLVED, That the General Assembly hereby approves financing in an amount not to exceed $13,000,000 to develop computer systems to support the division of motor vehicles, including $12,795,000 for the project and $205,000 for associated cost of financing; provided that costs of financing would be borne by a surcharge on all transactions over the ten year period; and provided further that the department of administration shall develop and adopt by rule and regulation pursuant to this section that surcharge and structure not to exceed seven (7) years and that all revenues from that surcharge be used exclusively for the payment of the principal, interest, and issuance costs associated with the $13,000,000 cost of the system; and be it further

There is hereby established a restricted receipt account within the Department of Administration to be called the Division of Motor Vehicles Registry Technology account to be used exclusively for debt service payments for the registry computer system. Notwithstanding the provision of Rhode Island General Law 35-4-27 indirect cost recoveries on restricted receipt accounts, no transfer or expenditure may be made for any purpose other than debt service.

RESOLVED, That the General Assembly hereby authorizes financing in an amount not to exceed $13,000,000 to develop computer systems to support the division of motor vehicles, including $12,795,000 for the project and $205,000 for associated cost of financing; provided that costs of financing would be borne by a surcharge on all transactions over the ten year period; which shall be deposited into the Division of Motor Vehicles Registry Technology account; and provided further that the department of administration shall develop and adopt by rule and regulation pursuant to this section that surcharge and structure not to exceed seven 97) years and that all revenues from that surcharge be used exclusively for the payment of the principal, interest, and issuance costs associated with the $13,000,000 cost of the system.

SECTION 4  Garrahy Courthouse Parking Project.

WHEREAS, given the current real estate marketplace, there is significant interest in mixed use developments within the City of Providence; and

WHEREAS, the Route I-195 relocation project is expected to cause significant disruption to the parking surrounding the Garrahy Courthouse, which is currently available for customers utilizing this facility and other buildings in the area; and

WHEREAS, the State needs to address the upcoming parking situation and can capture the significant increased value of the land caused by the current market demand for developable land in the City; and

WHEREAS, the State is prepared to entertain bids for a public private partnership to develop the land at the Garrahy Courthouse; and

WHEREAS, the intent is to partner with Rhode Island Housing and Mortgage Finance Corporation or another agency, if preferable, to establish a request for proposals (RFP) for a mixed use project consisting of parking, housing and retail; and 

WHEREAS, the State would sell the property next to the courthouse (currently a parking lot) to the quasi-public agency who would then issue an RFP for prospective developers.  The State would partner with the quasi-public agency to enter into a long term financial structure that would provide initial financial benefits for the State from the land sale and additional parking, and include provisions for long term revenues based on the upside potential of the project; now, therefore, be it

RESOLVED, That the State is authorized to enter into a long-term parking lease for court employees and other state employees, and develop a financing structure that would provide additional payments or other economic benefits or concessions to the State from the winning developer over a 20 to 30 year period; and be it further

RESOLVED, That this Joint Resolution shall take effect immediately upon its passage by this General Assembly.

SECTION 5.  Rhode Island Airport Corporation Revenue Bonds.

WHEREAS, the Rhode Island Economic Development Corporation is a public instrumentality of the State of Rhode Island (the "State"), created by the General Assembly pursuant to Rhode Island General Laws §§ 42-64-1 et seq. (as enacted, reenacted and amended, the "Act"); and

WHEREAS, the Act declares, in part, that new industrial, manufacturing, recreational, and commercial facilities are required to attract and house new industries and thereby reduce the hazards of unemployment; and that unaided efforts of private enterprises have not met and cannot meet the needs of providing those facilities due to problems encountered in assembling suitable building sites, lack of adequate public service, unavailability of private capital for development, and the inability of private enterprise alone to plan, finance, and coordinate industrial, recreational, and commercial development; and

WHEREAS, the Act further declares it to be the public policy of the state to furnish proper and adequate airport facilities within the state and to encourage the integration of these facilities so far as practicable; and

WHEREAS, in furtherance of these goals, it is the policy of the state to retain existing industries and to induce, encourage and attract new industries through the acquisition, construction, reconstruction and rehabilitation of industrial, manufacturing, recreational, and commercial facilities, as well as transportation, residential, environmental, utility, public service, institutional and civic and community facilities, and to develop sites for such facilities; and

WHEREAS, the Act has empowered the Rhode Island Economic Development Corporation to establish subsidiary corporations to exercise its powers and functions, or any of them, and, pursuant to such power, the Rhode Island Economic Development Corporation has established the Rhode Island Airport Corporation to plan, develop, construct, finance, manage, and operate airport facilities in the state; and

WHEREAS, the Act provides that the Rhode Island Airport Corporation shall have the power to purchase, take, receive, lease or otherwise acquire, own, hold, improve, use and otherwise deal in and with, real or personal property, or any interest therein, wherever situated; and

WHEREAS, the Act also provides that the Rhode Island Airport Corporation shall have the power to sell, mortgage, lease, exchange, transfer or otherwise dispose of or encumber any project, (or in the case of a sale, to accept a purchase money mortgage in connection therewith) or to grant options for any such purposes with respect to any real or personal property or interest therein, all of the foregoing for such consideration as the Rhode Island Airport Corporation shall determine.  Any lease by the Rhode Island Airport Corporation to another party may be for such part of the Rhode Island Airport Corporation's property, real or personal, for such period, upon such terms or conditions, with or without an option on the part of the lessee to purchase any or all of the leased property for such consideration, at or after the retirement of all indebtedness incurred by the Rhode Island Airport Corporation on account thereof, as the Rhode Island Airport Corporation shall determine; and

WHEREAS the Act authorizes the Rhode Island Economic Development Corporation to borrow money and issue bonds for any of its corporate purposes; and

WHEREAS, pursuant to Rhode Island General Laws Sections 35-18-3 and 35-18-4, the Rhode Island Economic Development Corporation has requested the approval of the General Assembly of the Rhode Island Economic Development Corporation's issuance of airport revenue bonds (the "Bonds") for the purpose of providing funds to the Rhode Island Airport Corporation for financing the various capital projects including but not limited to glycol facilities, runway and taxiway improvements, but not runway lengthening, obstruction removal, land acquisition, facility development and costs associated with environmental impact statements (the "2007 Airport Project") funding, capitalized interest, costs of issuing the Bonds and related costs, and the establishment of reserves for the project and the Bonds, including a debt service reserve fund; and

WHEREAS, the financing of the 2007 Airport Project will be accomplished through one or more loan agreements having the Rhode Island Airport Corporation as borrower, such agreement or agreements to require that the Rhode Island Airport Corporation make loan payments in an amount equal to the debt service on the Bonds.

RESOLVED, The General Assembly hereby approves the Rhode Island Economic Development Corporation's issuance of the Bonds.  The Bonds will be special obligations of the Rhode Island Economic Development Corporation payable exclusively from loan repayments under a loan agreement with the Rhode Island Airport Corporation and from Bond proceeds, funds, accounts, and properties and the proceeds thereof pledged therefor, and thus the Rhode Island Economic Development Corporation's maximum liability will be limited to loan repayments received under the loan agreement and the aggregate amount of such other funds, accounts, properties, and proceeds.

RESOLVED, that the total amount of debt approved to be issued in the aggregate shall be limited to not more than $93,440,000; provided that none of the funds are used to lengthen the runway.  Total debt service on the Bonds is not expected to exceed $7,076,500 annually and $207,795,000 in the aggregate based on an average interest rate of 6.00% and a 30-year maturity.

RESOLVED, The General Assembly hereby approves the Rhode Island Airport Corporation's entering into the loan agreements described above.  Payments under the loan agreements shall be derived exclusively from project revenues and such other proceeds, funds, accounts, projects and the proceeds thereof as the Rhode Island Airport Corporation may pledge therefor.

RESOLVED, None of the Bonds or the loan agreements shall constitute indebtedness of the State or a debt for which the full faith and credit of the State is pledged or a moral obligation thereof.

RESOLVED, That this resolution shall apply to Bonds issued within one (1) year of the date of passage of this resolution.

SECTION 6.  Economic Development Corporation—Purchase of Historic Tax Credits.

WHEREAS, the General Assembly finds that the State of Rhode Island tax credits earned pursuant to R.I.G.L. Chapter 44-33.2  (“Historic Tax Credits”) have had and continue to have the desired effect of stimulating, promoting and encouraging the redevelopment and reuse of historic structures in the State of Rhode Island for the general purpose of improving and enhancing the economic well being of the citizens of Rhode Island; and

WHEREAS, it is common practice for Historic Tax Credits to be sold to ultimate end users of such credits for an amount that is less than the face amount of the credits, after which the State of Rhode Island is still obligated to honor the Historic Tax Credits at their full face amount and to allow the ultimate end users to reduce their tax liabilities to the State of Rhode Island by such amount; and

WHEREAS, it is estimated that approximately $100,000,000 of Historic Tax Credits will be issued in fiscal year 2008; and

WHEREAS, the Rhode Island Economic Development Corporation (the “Corporation”) intends to acquire $60,000,000 in face amount of Historic Tax Credits in fiscal year 2008 for an expenditure of not more than $50,000,000, thereby resulting in a $10,000,000 savings to the State of Rhode Island in fiscal year 2008; and

WHEREAS, to continue the economic benefit of the Historic Tax Credits to the State of Rhode Island, but to reduce the cost to the State of the ultimate end use of the credits, the Corporation hereby requests the approval of the General Assembly for the Corporation to expend $50,000,000 to purchase Historic Tax Credits qualifying under R.I.G.L. sections 44-33.2-3(a) and (b) at a price not to exceed 83.33 cents for every dollar of such credits; now, therefore, be it

RESOLVED, that the Corporation is hereby authorized to conduct auctions, negotiate or otherwise determine the price of Historic Tax Credits qualifying under R.I.G.L. subsections 44-33.2-3(a) and 44-33.2-3(b) and is hereby authorized to purchase an amount not to exceed $50,000,000 at a price not to exceed 83.33 cents for each dollar of Historic Tax Credits purchased by the Corporation; provided however, that such purchases in the aggregate result in the purchase of at least $60,000,000 in face amount of Historic Tax Credits; and be it further

RESOLVED, that the Corporation must complete such auctions or negotiations by September 1, 2007 in order to communicate the results of this program to the participants in the Revenue Estimating Conference in November 2007; and be it further

 RESOLVED, that the Corporation is hereby authorized to enter into such agreements, contracts and other documents in furtherance of the aforesaid resolution, subject to the limitations set forth therein and upon such other terms and conditions as the Corporation shall deem in the best interests of the State of Rhode Island.

SECTION 7. Blackstone Valley Court House

WHEREAS, A need exists to provide better judicial service to northern Rhode Island residents; and

WHEREAS, Superior, Family and District Court cases held in satellite locations in  the Blackstone Valley were consolidated approximately fifteen years ago to the Garrahy Judicial Complex in downtown Providence due to a lack of staff and judicial resources; and

WHEREAS, The citizens and the Rhode Island Bar both opposed the consolidation of cases from the Blackstone Valley locations to Providence; and

WHEREAS, In calendar year 2006, the total filings/hearings that can be attributed to the Blackstone Valley range from 51,354 to 56,748 for an increase of twelve percent over seven years.  During this time period, Superior Court misdemeanors increased by twenty-nine percent and felonies by sixteen percent.  In District Court, misdemeanors increased by fourteen percent and felonies by thirty-six percent; and

WHEREAS, A significant number of businesses and industries either have relocated to the northern part of the state or expanded their facilities there, thus creating a greater demand for court services; and

WHEREAS, Bryant University, a growing community in northern Rhode Island, enrolls approximately 3,500 students, of which 2,200 live on campus.  The traffic, activity, and concentration of students have an impact particularly on local law enforcement; and

WHEREAS, Garrahy Judicial Complex was constructed with a projected daily occupancy of 1,500.  In recent years, the daily traffic has increased to around 3,000, almost twice the number the building was constructed to handle.  While the Judiciary has taken a number of steps to ameliorate the overcrowded conditions in this building by moving some of the functions to the new Kent County Courthouse, there are limitations to what can be done.  The construction of another courthouse in Providence County would significantly reduce the overcrowding in Garrahy; and

WHEREAS, The construction of a new Blackstone Valley Courthouse is critical to the state to ensure the continuing ability of the Judiciary to conduct and perform its operations in a functional and cost-efficient manner; and

WHEREAS, A site in the Town of Lincoln has been selected for the construction of a new Blackstone Valley Courthouse located on Route 246 at the intersection of Route 123, Jenkes Hill Road, just off Route 146.  The location is more specifically described as the northeast corner of Lot # 17 on Map #43 (a portion of the foregoing being utilized by the Community College of Rhode Island, Flanagan Campus) and a minor portion of the westerly side of the northwest corner of Lot #16 on Map #43 (a portion of the foregoing being utilized by the William M. Davies, Jr. Career & Technical High School); and

WHEREAS, A new Blackstone Valley Courthouse will contain at least twelve courtrooms and provide surface parking for 500 vehicles with an additional eighteen secured spaces allocated within the courthouse for judges and magistrates; and

WHEREAS, The Rhode Island Public Corporation Debt Management Act (G.L. 1956 section 35-18-1, et seq.) requires that the General Assembly provide its consent to the issuance of certain obligations; and

WHEREAS, The design, construction, and equipping of these improvements will be financed thorough Certificates of Participation, with an expected payback period of twenty years.  Financing the operation and maintenance of the new Blackstone Valley Courthouse will be included in the annual operating budget of the Rhode Island Judiciary; and

WHEREAS, The capital costs associated with the project are estimated to be $69,781,351.  The total issuance would be approximately $71 million with $69,781,351 deposited in the construction fund, and $1 million available to pay the associated costs of issuance.  Total lease payments over twenty years on the $71 million issuance are projected to be $113.94  million.  This assumes an average coupon of five percent.  The lease payments would be financed within the Department of Administration from general revenue appropriation and any other sources available to the agencies occupying the courthouse; now, therefore be it

RESOLVED, That this General Assembly of the State of Rhode Island and Providence Plantation hereby recognizes that the construction of a new Blackstone Valley Courthouse is critical to ensure that justice is administered in a safe and efficient manner; and be it further

RESOLVED, That this General Assembly hereby approves financing in an amount not to exceed $71 million for the provisions of a new Blackstone Valley Courthouse at the aforementioned site; and be it further

RESOLVED, That this Joint Resolution shall take effect immediately upon its passage by this General Assembly with funding to be included in the Governor's submission of the fiscal year 2009 Appropriations Act; and be it further

RESOLVED, That the Secretary of State be and he hereby is authorized and directed to transmit a duly certified copy of this resolution to the Governor.

SECTION 8.  This article shall take effect upon passage.

 

 


ARTICLE 6 SUBSTITUTE A AS AMENDED

 

RELATING TO MAKING REVISED APPROPRIATIONS IN SUPPORT OF FY 2007

 

             SECTION 1.  Subject to the conditions, limitations and restrictions hereinafter contained in this article, the following general revenue amounts are hereby appropriated out of any money in the treasury not otherwise appropriated to be expended during the fiscal year ending June 30, 2007.  The amounts identified for federal funds and restricted receipts shall be made available pursuant to Section 35-4-22 and Chapter 42-41 of the Rhode Island General Laws.  For the purposes and functions hereinafter mentioned, the state controller is hereby authorized and directed to draw his or her orders upon the general treasurer for the payment of such sums or such portions thereof as may be required from time to time upon receipt by him or her of properly authenticated vouchers.

                                                                                FY 2007             FY 2007             FY 2007

                                                                                Enacted             Change              Final

Administration

Central Management

             General Revenues                                       1,545,276           (141,231)           1,404,045

             Federal Funds                                             346,196              (67,995)             278,201

             Restricted Receipts                                     70,029                54,863                124,892

                           Total - Central Management          1,961,501           (154,363)           1,807,138

Legal Services

             General Revenues                                       2,562,185           85,692                2,647,877

             Legal Support/DOT                                    108,503              6,001                  114,504

                           Total - Legal Services                    2,670,688           91,693                2,762,381

Accounts and Control  General Revenues               3,428,790           (38,084)             3,390,706

Budgeting General Revenues                                   2,456,351           (206,563)           2,249,788

Purchasing General Revenues                                 2,416,614           (97,977)             2,318,637

Auditing General Revenues                                      2,057,592           (322,439)           1,735,153

Human Resources

             General Revenues                                       12,314,199         (2,378,875)        9,935,324

             Federal Funds                                             815,083              1,145,830           1,960,913

             Restricted Receipts                                     647,390              (99,440)             547,950

             Other Funds                                               1,120,457           (357,281)           763,176

                           Total - Human Resources              14,897,129         (1,689,766)        13,207,363

Personnel Appeal Board General Revenues            102,849              7,770                  110,619

Facilities Management

             General Revenues                                       41,144,019         (1,978,829)        39,165,190

             Federal Funds                                             21,551,019         8,558,546           30,109,565

             Restricted Receipts                                     1,373,570           (88,231)             1,285,339

             Other Funds                                               1,541,649           (1,031,226)        510,423

                           Total – Facilities Management        65,610,257         5,460,260           71,070,517

Capital Projects and Property Management

             General Revenues                                       3,316,132           (224,378)           3,091,754

Information Technology

             General Revenues                                       17,584,582         3,304,850           20,889,432

             Federal Funds                                             7,076,403           412,242              7,488,645

             Restricted Receipts                                     1,440,855           20,271                1,461,126

             Other Funds                                               1,242,376           29,757                1,272,133

                           Total – Information Technology 27,344,216             3,767,120           31,111,336

 Library and Information Services

             General Revenues                                       1,077,872           17,854                1,095,726

             Federal Funds                                             1,355,677           (274,076)           1,081,601

             Restricted Receipts                                     1,500                  3,000                  4,500

             Total - Library and Information Services      2,435,049           (253,222)           2,181,827

Planning

             General Revenues                                       5,306,430           (695,814)           4,610,616

             Federal Funds                                             8,107,037           2,095,659           10,202,696

             Intermodal Surface  Transportation Funds

                           Federal Highway - PL Systems Planning      1,453,222   354,554        1,807,776

                           Air Quality Modeling                     20,800                         -                 20,800

                           Total - Planning                             14,887,489         1,754,399           16,641,888

Security Services General Revenues                        19,854,805         (169,238)           19,685,567

General

             General Revenues

                           Domestic Partners                                       -            20,000                20,000

                           Miscellaneous Grants                     626,750              -                         626,750

                           Torts – Courts                               400,000              118,000              518,000

                           Contingency Fund                          1,050,000           273,708              1,323,708

                           State Employees/Teachers Retiree Health

                                                                                9,475,125           (9,475,125)                     -

                           EDC – Urban Revitalization Fund Capital

                            Reserve                                        50,000                             -            50,000

                           Economic Development Corporation                                     -

                                                                                8,184,274           (200,000)           7,984,274

                           EDC – RI Airport Corporation Impact

                                                                                1,025,000           (20,480)             1,004,520

                           Economic Policy Council               300,000                           -            300,000

                           Centers of Excellence                    3,000,000                        -            3,000,000

                           EDC EPScore                               1,500,000                        -            1,500,000

                           Police/Fire Incentive Pay                -                          675,000             675,000

                           Motor Vehicle Excise Tax Payment136,004,939      224,504              136,229,443

                           Property Valuation                         1,500,000           500,000              2,000,000

                           General Revenue Sharing Program

                                                                                65,159,670         (47,794)             65,111,876

                           Payment in Lieu of Tax Exempt Properties

                                                                                27,766,967                      -            27,766,967

                           Distressed Communities Relief Program      

                                                                                10,921,335         (767,149)           10,154,186

                           Resource Sharing and State Library Aid

                                                                                8,712,871                        -            8,712,871

                           Library Construction Aid               2,705,348           144,099              2,849,447

             Federal Funds                                             34,869                -                         34,869

             Restricted Receipts                                     1,283,347           212,650              1,495,997

             Rhode Island Capital Plan Funds

                           State House Renovations               830,000              118,928              948,928

                           State House Terrace Walls/South Stairs      -            24,081                24,081

                           Lead Mitigation                             200,000              (200,000)               -

                           Pastore Center Sewer Improvements          -           43,843 43,483   43,843 43,483

                            Elderly Affairs One Stop Elder Care 200,000          (200,000)           -

                          Chapin Health Laboratory              100,000              (99,864)             136

                            Cranston Street Armory                -                         781,453              781,453

                            Cannon Building                           150,000              29,381                179,381

                            Zambarano Building                      -                         151,333              151,333

                          Old State House                            100,000              (61,030)             38,970

                          State Office Building                      -                         417,138              417,138

                           Veterans Auditorium                      -                         794,143              794,143

                           Old Colony House                         -                         98,908                98,908

                           Washington County Government Center      -            239,317              239,317

                          William Powers Administration Building  500,000     142,401              642,401

                            Eisenhower House Repairs           -                         16,554                16,554

                           McCoy Stadium                      1,280,000                    -                      1,280,000

                           Varley Building                        100,000                    (100,000)           -

                           Fire Code Compliance – State Buildings

                                                                                500,000              (262,732)           237,268

                           Environmental Compliance             250,000              (7,946)               242,054

                          Fox Point Hurricane Barrier           50,000                (50,000)             -

                           Bio-Tech Training Lab Planning     -                         86,197                86,197

                           Total – General                             283,960,495       (6,380,842)        277,579,653

Debt Service Payments  

             General Revenues                                       89,129,461         (2,528,730)        86,600,731

             Federal Funds                                             1,177,854           -                         1,177,854

             Restricted Receipts                                     1,027,956           1,049,823           2,077,779

             Rhode Island Capital Plan Funds

                           MHRH Community Services Program        

                                                                                5,374,946                        -            5,374,946

                             MHRH Community Mental Health Program

                                                                                1,827,046           35,569                1,862,615

                             DEM  – Narragansett Bay Commission

                                                                                1,527,738                        -            1,527,738

                             Debt Service – CWFA                3,254,086           97,196                3,351,282

                             DEM Debt Service – Recreation

                                                                                8,340,854           (2,313,549)        6,027,305

                           DEM – Wastewater Treatment

                                                                                4,203,348           52,705                4,256,053

                           DEM – Hazardous Waste              2,340,378                        -            2,340,378

                           Water Resources Board                2,220,215           26,939                2,247,154

                           DOA – Third Rail Project – Quonset Point

                                                                                2,463,980           (398,859)           2,065,121

                           Airport Debt Service                     -                         2,500,000           2,500,000

             Intermodal Surface Transportation Funds

                           Transportation Debt Service          36,695,660         (788,847)           35,906,813

                           RIPTA Debt Service                     703,466              (19,313)             684,153

             Temporary Disability Insurance Fund

                          RIRBA - DLT – Temporary Disability Insurance

                                                                                45,586                             -            45,586

                           COPS - DLT Building – TDI         382,138                           -            382,138

                           Total - Debt Service Payments       160,714,712       (2,287,066)        158,427,646

Personnel Reform

             General Revenues Medical Insurance          (3,709,901)        3,709,901           -

             Federal Funds     Medical Insurance            (1,298,060)        1,298,060           -

             Restricted Receipts Medical Insurance        (264,858)           264,858                           -

Other Funds Medical Insurance                                (1,512,997)        1,512,997                         -

                           Total – Personnel Reform              (6,758,816)        (6,785,816)        -

State Employee Turnover 5.2%                              (36,491,395)      36,491,395               -                                         Grand Total – Administration                                   564,837,458       42,534,515         607,371,973

Business Regulation

Central Management General Revenues                 1,456,314           (231,514)           1,224,800

Banking and Securities Regulation

                           General Revenues                          2,822,483           (47,080)             2,775,403

Commercial Licensing and Racing & Athletics

             General Revenues                                        1,814,637           (261,888)           1,552,749

             Restricted Receipts                                     100,000              -                         100,000

                                        Total - Commercial Licensing and Racing and Athletics         

                                                                                1,914,637           (261,888)           1,652,749

Insurance Regulation

             General Revenues                                       4,684,990           348,414              5,033,404

             Federal Funds                                             -                         43,291                43,291

             Restricted Receipts                                     704,408              124,044              828,452

                           Total - Insurance Regulation           5,389,398           515,749              5,905,147

Board of Accountancy General Revenues               156,280              (10,072)             146,208                                           Grand Total - Business Regulation               11,739,112         (34,805)             11,704,307

Labor and Training

Central Management

             General Revenues                                       143,250              2,438                  145,688

             Restricted Receipts                                     385,212              143,151              528,363

                           Total - Central Management          528,462              145,589              674,051

Workforce Development Services

             General Revenues                                       258,600              (222,901)           35,669 35,699

             Federal Funds                                            15,789,182         2,128,172           17, 917,354

             Restricted Receipts                                     10,379,076         (3,748,569)        6,630,507

             Reed Act Funds

                             Rapid Job Entry                           931,277              19,085                950,362

                             Woonsocket NetworkRI Office

                                                                                55,000                89,607                144,607

                           Workforce Development               6,202,864           (1,672,090)        4,530,774

             Of the $5.6 million appropriated from Other Reed Act funds, $950,362 may be used solely for the Rapid Job Entry Program to engage welfare recipients in employment preparation and placement through employment assessment workshop and job club/job search workshop activities; $144,607 may be used solely for netWORKri office renovations; and $4.5 million may be used solely for the administration of this state’s employment compensation law and public employment offices.

                           Total - Workforce Development Services

                                                                                33,615,999         (3,406,696)        30,209,303

Workforce Regulation and Safety

             General Revenues                                       2,860,748           521,475              3,382,223

Income Support

             General Revenues                                       3,137,593           121,355              3,258,948

             Federal Funds                                             12,820,503         3,685,543           16,506,046

             Restricted Receipts                                     1,616,416           144,381              1,760,797

             Temporary Disability Insurance Fund

                                                                                176,891,254       (3,580,306)        173,310,948

             Employment Security Fund                          213,398,437       (6,312,020)        207,086,417

                                        Total - Income Support    407,864,203       (5,941,047)        401,923,156

Injured Workers Services Restricted Receipts         10,508,769         654,541              11,163,310

Labor Relations Board    General Revenues             441,659              (87,404)             354,255

             Grand Total - Labor and Training                455,819,840       (8,113,542)        447,706,298

Department of Revenue

Director of RevenueGeneral Revenues                    488,750              (237,964)           250,786

Office of Revenue Analysis General Revenues         388,424              (388,424)           -

Lottery Division

             Lottery Funds                                             214,740,880       (7,208,108)        207,532,772

Property Valuation General Revenues                    669,726              (17,693)             652,033

Taxation

             General Revenues                                       18,374,247         (1,185,397)        17,188,850

             Federal Funds                                             1,188,260           (30,903)             1,157,357

             Restricted Receipts                                     813,368              (37,630)             775,738

             Motor Fuel Evasion Program                      42,732                41,829                84,561

             Temporary Disability Insurance                   875,361              (22,767)             852,594

                           Total – Taxation                            21,293,968         (1,234,868)        20,059,100

Registry of Motor Vehicles

             General Revenues                                       17,536,892         (513,648)           17,023,244

             Federal Funds                                             395,638              579,530              975,168

             Restricted Receipts                                     16,083                17                       16,100

             Total – Registry of Motor Vehicles              17,948,613         65,899                18,014,512

             Grand Total – Revenue                               255,530,361       (9,021,158)        246,509,203

Legislature

             General Revenues                                       32,219,892         1,253,005           33,472,897

             Restricted Receipts                                     1,451,733           (42,881)             1,408,852

                           Grand Total – Legislature              33,671,625         1,210,124           34,881,749

Lieutenant Governor General Revenues               963,012              (81,596)             881,416

State

Administration General Revenues                           1,741,391           (80,420)             1,660,971

Corporations General Revenues                              1,801,627           37,047                1,838,674

State Archives

             General Revenues                                       104,891              102,429              207,320

             Federal Funds                                             85,000                -                         85,000

             Restricted Receipts                                     486,355              (269,835)           216,520

                           Total - State Archives                    676,246              (167,406)           508,840

Elections

             General Revenues                                       1,278,170           292,326              1,570,496

             Federal Funds                                             1,931,890           (1,074,203)        857,687

                           Total – Elections                             3,210,060          (781,877)           2,428,183

State Library General Revenues                               700,499             (2,220)               698,279

Office of Civics and Public Information

             General Revenue                                         314,339              (110,533)           203,806

             Grand Total – State                                    8,444,162           (1,105,409)        7,338,753

General Treasurer

Treasury

             General Revenues                                       2,685,728           (260,943)           2,424,785

             Federal Funds                                             290,975              14,295                305,270

             Restricted Receipts                                     10,000                -                         10,000

              Temporary Disability Insurance Fund          303,834              9,641                  313,475

                           Total – Treasury                            3,290,537           (237,007)           3,053,530

State Retirement System

             State Employees' Retirement

                           Admin Expenses - State Retirement System

                                                                                5,660,755           730,465              6,391,220

                           Retirement - Treasury Investment Operations

772,474              160,283              932,757                                      Total - State Retirement System                  6,433,229           890,748              7,323,977

Unclaimed Property Restricted Receipts              16,657,676          2,815,727           19,473,403

RI Refunding Bond Authority General Revenues    55,770                 (15,150)             40,620

Crime Victim Compensation Program

             General Revenues                                       211,502              (14,106)             197,396

             Federal Funds                                             731,314              923,008              1,654,322

             Restricted Receipts                                     1,715,930           (88,963)             1,626,967

                           Total - Crime Victim Compensation Program           

                                                                                2,658,746           819,939              3,478,685

                           Grand Total – General Treasurer   29,095,958         4,274,257           33,370,215

Boards for Design Professionals

             General Revenues                                       390,153              (15,913)             374,240

Board of Elections

             General Revenues                                       2,516,239           1,168,753           3,684,992

             Federal Funds                                             818,900              3,104                 822,004

                           Grand Total - Board of Elections   3,335,139           1,171,857           4,506,996

Rhode Island Ethics Commission

             General Revenues                                       1,297,421           (69,190)             1,228,231

Office of Governor

             General Revenues                                       4,952,015           (270,414)           4,681,601

             Intermodal Surface Transportation Funds    92,129                (3,333)               88,796

                           Grand Total - Office of Governor 5,044,144            (273,747)           4,770,397

Public Utilities Commission

             General Revenues                                       743,985              (235,174)           508,811

             Federal Funds                                             88,567                11,286                99,853

             Restricted Receipts                                     6,080,429           128,274              6,208,703

                           Grand Total - Public Utilities Commission

                                                                                6,912,981           (95,614)             6,817,367

Rhode Island Commission on Women

                           General Revenues                          99,715                (692)                  99,023

Office of Health and Human Services

             General Revenues                                       313,160                           (16,142)             297,018

             Federal Funds                                             245,357                           2,345,432           2,590,789

             Restricted Receipts                                     211,603                           204,246              415,849

                                        Grand Total – Office of Health and Human Services

                                                                                770,120                           2,533,536           3,303,656

Children, Youth, and Families

Central Management

             General Revenues                                       6,860,904           264,888              7,125,792

             Federal Funds                                             3,477,254           (342,681)           3,134,573

                           Total - Central Management          10,338,158         (77,793)             10,260,365

Children's Behavioral Health Services

             General Revenues                                       36,982,288         2,883,080           39,865,368

             Federal Funds                                             37,112,018         1,772,162           38,884,180

             Rhode Island Capital Plan Funds

                                         Groden Center – Mt. Hope          -            63,215                63,215

                                        Total - Children's Behavioral Health Services

                                                                                74,094,306         4,718,457           78,812,763

Juvenile Correctional Services

             General Revenues                                       32,579,007         (953,234)           31,625,773

             Federal Funds                                             3,379,260           (319,687)           3,059,573

             Restricted Receipts                                     6,000                  497,702              503,702

             Rhode Island Capital Plan Funds

                           Girl’s Facility – Training School

                                                                                800,000              (699,890)           100,110

                           Community Facilities

                            – Training Schools                        500,000              (500,000)           -

                           Total - Juvenile Correctional Services         

                                                                                37,264,267         (1,975,109)        35,289,158

Child Welfare

             General Revenues                                       96,569,239         11,198,582         107,767,821

             Federal Funds                                             72,495,979         6,861,034           79,357,013

             Restricted Receipts                                     1,655,094           59,985                1,715,079

             Rhode Island Capital Plan Funds

                              Fire Code Upgrades                   500,000              (400,000)           100,000

                           Total - Child Welfare                     171,220,312       17,719,601         188,939,913

Higher Education Incentive Grants

             General Revenues                                       200,000                           -            200,000

                           Grand Total - Children, Youth, and Families

                                                                                293,117,043       20,385,156         313,502,199

Elderly Affairs

             General Revenues

                           General Revenues                          16,683,105         734,659              17,417,764

                           RIPAE                                          3,412,000           (1,946,793)        1,465,207

                           Safety and Care of the Elderly                  600                        -                      600

             Federal Funds                                             12,623,605         2,153,883           14,777,488

             Restricted Receipts                                     1,250,000           (49,611)             1,200,389

             Intermodal Surface Transportation Fund

                                                                                4,800,000           (115,000)           4,685,000

                           Grand Total - Elderly Affairs          38,769,310         777,138              39,546,448

Health

Central Management

             General Revenues                                       4,814,505           153,928              4,968,433

             Federal Funds                                             4,849,996           417,950              5,267,946

             Restricted Receipts                                     1,850,664           1,702,581           3,553,245

             Trauma Registry                                          -                        8,000                  8,000

                           Total - Central Management          11,515,165         2,282,459           13,797,624

State Medical Examiner

             General Revenues                                       1,964,801           193,326              2,158,127

             Federal Funds                                             140,543              9,921                  150,464

                           Total - State Medical Examiner      2,105,344           203,247              2,308,591

Family Health

             General Revenues                                       3,039,370           (105,745)           2,933,625

             Federal Funds                                             28,929,522         1,643,300           30,572,822

             Restricted Receipts                                     6,875,852           5,923,985           12,799,837

                           Total - Family Health                     38,844,744         7,461,540           46,306,284

Health Services Regulation

             General Revenues                                       5,085,025           888,562              5,973,587

             Federal Funds                                             5,350,171           532,166              5,882,337

             Restricted Receipts                                     400,319              3,312                  403,631

                           Total - Health Services Regulation10,835,515          1,424,040           12,259,555

Environmental Health

             General Revenues                                       4,616,661           (315,991)           4,300,670

             Federal Funds                                             4,815,388           1,213,906           6,029,294

             Restricted Receipts                                     1,553,683           915,646              2,469,329

                           Total - Environmental Health          10,985,732         1,813,561           12,799,293

Health Laboratories

             General Revenues                                        6,366,122           208,983              6,575,105

             Federal Funds                                             2,184,707           386,891              2,571,598

                           Total - Health Laboratories            8,550,829           595,874              9,146,703

Disease Prevention and Control

             General Revenues

                           General Revenues                          7,416,725           (1,165,693)        6,251,032

                           Federal Funds                               19,893,007         (1,817,104)        18,075,903

                           National Highway Traffic Safety Funds

                           Walkable Communities Initiative     29,960               (2,507)               27,453

                                        Total - Disease Prevention and Control

                                                                                27,339,692         (2,985,304)        24,354,388

                                        Grand Total – Health        110,177,021       10,795,417         120,972,438

Human Services

Central Management

             General Revenues                                       8,778,008           2,563,938           11,341,946

             Federal Funds                                             6,665,999           (71,012)             6,594,987

             Restricted Receipts                                     2,240,382           (541,685)           1,698,697

                           Total - Central Management          17,684,389         1,951,241           19,635,630

Child Support Enforcement

             General Revenues                                       3,649,018           6,603                  3,655,621

             Federal Funds                                             7,400,423           (214,828)           7,185,595

             Restricted Receipts                                     -                         50,000                50,000

             Total – Child Support Enforcement             11,049,441         (158,225)           10,891,216

Individual and Family Support

             General Revenues                                       25,166,091         (2,025,823)        23,140,268

             Federal Funds                                             54,777,883         (1,718,295)        53,059,588

             Restricted Receipts                                     91,944                42,206                134,150

                           Total - Individual and Family Support         

                                                                                80,035,918         (3,701,912)        76,334,006

Veterans' Affairs

             General Revenues                                       17,300,207         (456,136)           16,844,071

             Federal Funds                                             7,588,106           (971,794)           6,616,312

             Restricted Receipts                                     1,219,365           1,584,234           2,803,599

                           Total - Veterans' Affairs                 26,107,678         156,304              26,263,982

Health Care Quality, Financing and Purchasing

             General Revenues                                       21,178,701         260,140              21,438,841

             Federal Funds                                             45,340,602         (385,643)           44,954,959

             Restricted Receipts                                     566,815              (280,305)           286,510

                           Total - Health Care Quality, Financing & Purchasing

                                                                                67,086,118         (405,808)           66,680,310

Medical Benefits

             General Revenues

                           Hospitals                                       77,228,648         (7,017,539)        70,211,109

                           Long-Term Care                           146,058,329       18,754,935         164,813,264

                           Managed Care                              209,075,483       (3,428,780)        205,646,703

                           Pharmacy                                      65,484,895         (4,307,289)        61,177,606

                           Other                                            71,478,576         (21,223,142)      50,255,434

             Federal Funds

                           Hospitals                                       82,338,822         (12,111,866)      70,226,956

                           Long-Term Care                           163,774,830       21,389,146         185,163,976

                           Managed Care                              246,229,008       (6,875,711)        239,353,297

                           Special Education                          20,733,240                      -            20,733,240

                           Pharmacy                                      25,887,480         (1,454,362)        24,433,118

                           Other                                            80,233,863         (23,736,191)      56,497,672

             Restricted Receipts                                     4,490,042           (590,042)           3,900,000

                           Total - Medical Benefits                 1,193,013,216    (40,600,841)      1,152,412,375

Supplemental Security Income Program

             General Revenues                                       28,201,184         (542,250)           27,658,934

Family Independence Program

             General Revenues

                           Child Care                                     39,870,805         (10,965,424)      28,905,381

             TANF/Family Independence Program         7,724,147           8,400,853           16,125,000

             Federal Funds                                             84,438,119         2,175,000           86,613,119

                           Total - Family Independence Program

                                                                                132,033,071       (389,571)           131,643,500

State Funded Programs

             General Revenues

                           General Public Assistance              3,860,294           37,946                3,898,240

             Federal Funds                                             83,690,512         (357,492)           83,333,020

                           Total - State Funded Programs      87,550,806         (319,546)           87,231,260

                           Grand Total - Human Services       1,642,761,821    (44,010,608)      1,598,751,213

Mental Health, Retardation, and Hospitals

Central Management

             General Revenues                                       2,251,063           (103,089)           2,147,974

             Federal Funds                                             -                         130,507              130,507

                           Total - Central Management          2,251,063           27,418                2,278,481

Hospital and Community System Support

             General Revenues                                       4,574,961           (1,012,940)        3,562,021

             Federal Funds                                             229,166              (142,166)           87,000

             Rhode Island Capital Plan Funds

                           Utilities Upgrade                            500,000              123,487              623,487

                           Medical Center Rehabilitation        400,000              (284,526)          115,474

                           Utility Systems - Water Tanks and Pipes

                                                                                250,000              272,425              522,425

                           Central Power Plant Rehabilitation

                                                                                400,000              (283,015)           116,985

                           Community Facilities Fire Code    

                                                                                500,000              44,065                544,065

                           Pastore Center Fire Code Compliance       

                                                                                250,000              (116,910)           133,090

                           DD Private Waiver Com Facilities-Fire Code

                                                                                187,500              (116,591)           70,909

                           Total - Hospital and Community System Support

                                                                                7,291,627           (1,516,171)        5,775,456

Services for the Developmentally Disabled

             General Revenues                                       119,315,406       (1,308,026)        118,007,380

             Federal Funds                                             135,138,112       1,869,629           137,007,741

             Rhode Island Capital Plan Funds

                             DD Regional Center Repair/Rehabilitation

                                                                                200,000              (40,408)             159,592

                             Developmental Disability –Group Homes

                                                                                1,000,000           (40,863)             959,137

                           Total - Services for the Developmentally Disabled

                                                                                255,653,518       480,332              256,133,850

Integrated Mental Health Services

             General Revenues                                       43,579,541         (126,062)           43,453,479

             Federal Funds                                             37,670,463         (143,703)           37,526,760

                           Total - Integrated Mental Health Services

                                                                                81,250,004         (269,765)           80,980,239

Hospital and Community Rehabilitation Services

             General Revenues                                       52,576,725         5,733,920           58,310,645

             Federal Funds                                             56,766,343         5,105,797           61,872,140

             Rhode Island Capital Plan Funds

                             Zambarano Buildings and Utilities

                                                                                200,000              (120,885)           79,115

                           Hospital Consolidation                  -                         150,000              150,000

                           Total - Hospital and Community

                           Rehab. Services                             109,543,068       10,868,832         120,411,900

Substance Abuse

             General Revenues                                       16,157,873         (683,574)           15,474,299

             Federal Funds                                             14,848,644         (29,615)             14,819,029

             Restricted Receipts                                     90,000                100,000              190,000

             Rhode Island Capital Plan Funds

                           Asset Protection                             100,000             98,828                198,828

                           Eastman House                                   -                    200,000              200,000

                           Total - Substance Abuse                31,196,517         (314,361)           30,882,156

                           Grand Total - Mental Health, Retardation, and Hospitals

                                                                                487,185,797       9,276,285           496,462,082

Office of the Child Advocate

             General Revenues                                       558,096              (37,422)             520,674

             Federal Funds                                             40,000                (2,000)               38,000

                           Grand Total – Office of the Child Advocate

                                                                                598,096              (39,422)             558,674

Commission on the Deaf and Hard of Hearing

             General Revenues                                       355,329              (45,805)             309,524

             Federal Funds                                             15,000                2,500                  17,500

                           Grand Total - Commission on the Deaf and

                           Hard of Hearing                            370,329              (43,305)             327,024

RI Developmental Disabilities Council

             Federal Funds                                             461,393                   -                    461,393

Governor's Commission on Disabilities

             General Revenues                                       602,202              (49,530)             552,672

             Federal Funds                                             195,681              (20,077)             175,604

             Restricted Receipts                                     25,444                1,020                  26,464

             Rhode Island Capital  Plan Funds

                           Facility Renovation - Handicapped Accessibility

                                                                                200,000              -                         200,000

                           Grand Total - Governor's Commission on Disabilities

                                                                                1,023,327           (68,587)             954,740

Commission for Human Rights

             General Revenues                                       1,075,216           (85,586)             989,630

             Federal Funds                                             323,478              201                     323,679

                           Grand Total - Commission for Human Rights

                                                                                1,398,694           (85,385)             1,313,309

Mental Health Advocate General Revenues          409,492              (24,079)             385,413

Elementary and Secondary Education

Administration

             General Revenues                                       21,103,006         (816,275)           20,286,731

             Federal Funds                                             178,926,175       (536,930)           178,389,245

             Restricted Receipts                                      2,792,518           986,548              3,779,066

             Rhode Island Capital Plan Funds

                           Chariho Well Water                                    -            45,886                45,886

                           Total – Administration                   202,821,699       (320,771)           202,500,928

Davies Career and Technical School

             General Revenues                                       13,753,144         (131,958)           13,621,186

             Federal Funds                                             1,200,244           135,147              1,335,391

             Restricted Receipts                                                  -            1,500                  1,500

             Rhode Island Capital Plan Funds

                             Davies HVAC                                          -            124,255              124,255

                             Davies Elevators                          51,939                (51,939)                          -

                             Total - Davies Career and Technical School

                                                                                15,005,327         77,005                15,082,332

RI School for the Deaf

             General Revenues                                       6,476,348           (35,147)             6,441,201

             Federal Funds                                             375,864              26,605                402,469

                           Total - RI School for the Deaf        6,852,212           (8,542)               6,843,670

Metropolitan Career and Technical School

             General Revenues                                       10,406,956                      -            10,406,956

Education Aid

             General Revenues                                       675,530,203       1,354,678           676,884,881

             Federal Funds                                             2,221,786           (1,102,744)        1,119,042

             Restricted Receipts                                     1,734,549           (280,251)           1,454,298

                           Total – Education Aid                    679,486,538       (28,317)             679,458,221

Central Falls School District General Revenues     43,234,574         560,837              43,795,411

Housing Aid General Revenues                                49,672,045         (2,857,063)        46,814,982

Teacher’s Retirement General Revenues                 69,200,130         (1,940,220)        67,259,910

                           Grand Total - Elementary and Secondary Education

                                                                                1,076,679,481    (4,517,071)        1,072,162,410

Public Higher Education

Board of Governors/Office of Higher Education

             General Revenues                                       7,858,537           (124,456)           7,734,081

             Federal Funds                                             3,146,976                        -            3,146,976

             Restricted Receipts                                     540,000              151,376              691,376

                           Total - Board of Governors/Office of

                            Higher Education                          11,545,513         26,920                11,572,433

University of Rhode Island

             General Revenues                                       86,073,717         (3,602,540)        82,471,177

             Debt Service                                               2,618,293           811,296              3,429,589

             University and College Funds

                           University and College Funds         379,614,507       1,748,704           381,363,211

                           Debt – Dining Services                  1,078,794                        -            1,078,794

                           Debt – Education and General       1,994,229           50,267                2,044,496

                           Debt – Health Services                  127,938              2,830                  130,768

                           Debt – Housing Loan Funds          4,208,297           (2,367,561)        1,840,736

                           Debt – Memorial Union                 99,615                2,655                  102,270

                           Debt – Ryan Center                       1,515,473           (1,515,473)        -

                           Debt – Alton Jones Services          113,289              32,307                145,596

                           Debt – Boss Arena                        295,207              (295,207)                        -

                           Debt Parking Authority                  649,353                           -            649,353

                           Debt – Sponsored Research          99,970                             -            99,970

             Rhode Island Capital Plan Funds

                           Debt Service                                 5,101,021           -                         5,101,021

                           Asset Protection/Roofs                 3,990,000           916,073              4,906,073

                             Independence Hall                       1,200,000           -                         1,200,000

                             URI Chafee Hall PCB Abatement             -            3,851                  3,851

                             Biological Science Center                          -            1,964                  1,964

                             Superfund                                                 -            187,469              187,469

             Total – University of Rhode Island              488,779,703       (4,023,365)        484,756,338

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or unencumbered balances as of June 30, 2007 relating to the University of Rhode Island are hereby reappropriated to fiscal year 2008.

Rhode Island College

             General Revenues

                           General Revenues                          47,354,405         (2,330,209)        45,024,196

                           Debt Service                                 1,590,682           429,741              2,020,423

                           RIRBA – Rhode Island College     293,470                           -            293,470

             University and College Funds

                           University and College Funds         74,882,408         (169,797)           74,712,611

                           Debt – Education and General       295,152                           -            295,152

                           Debt – Housing                             494,417                           -            494,417

                           Debt – Student Center and Dining172,061                            -            172,061

                           Debt – Student Union                    172,194                           -            172,194

             Rhode Island Capital Plan Funds

                           Asset Protection /Roofs                 1,732,500           980,877              2,713,377

                           Total – Rhode Island College         126,987,289       (1,089,388)        125,897,901

Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or unencumbered balances as of June 30, 2007 relating to Rhode Island College are hereby reappropriated to fiscal year 2008.

Community College of Rhode Island

             General Revenues

                           General Revenues                          49,537,170         (2,423,680)        47,113,490

                           Debt Service                                 1,405,076                        -            1,405,076

                          Restricted Receipts                        639,479              54,041                693,520

             University and College Funds

                           University and College Funds         59,569,735         (3,628,752)        55,940,983

                           Debt – Bookstore                          176,504                           -            176,504

             Rhode Island Capital Plan Funds

                           Knight Campus Nursing Program

                                                                                65,000                (65,000)                          -

                           Asset Protection                            1,102,500           772,695              1,875,195

                           Total – Community College of RI

                                                                                112,495,464       (5,290,696)        107,204,768

             Notwithstanding the provisions of section 35-3-15 of the general laws, all unexpended or unencumbered balances as of June 30, 2007 relating to the Community College of Rhode Island are hereby reappropriated to fiscal year 2008.

                           Grand Total – Public Higher Education

                                                                                739,807,969       (10,376,529)      729,431,440

RI State Council on the Arts

             General Revenues

                           Operating Support                         795,942              (87,277)             708,665

                           Grants                                           2,045,524           2,776                  2,048,300

             Federal Funds                                             731,500              (36,164)             695,336

             Restricted Receipts                                     1,008,195           (1,008,195)        -

             Arts for Public Facilities                               -                        800,000              800,000

                           Grand Total - RI State Council on the Arts

                                                                               4,581,161           (328,860)           4,252,301

RI Atomic Energy Commission

             General Revenues                                       836,702              (8,171)               828,531

             Federal Funds                                             375,000              (34,295)             340,705

             University and College Funds

                           URI Sponsored Research              171,206              2,994                  174,200

                           Grand Total - RI Atomic Energy Commission

                                                                                1,382,908           (39,472)             1,343,436

RI Higher Education Assistance Authority

             General Revenues

                           Needs Based Grants and Work Opportunities

                                                                                5,730,027                 -                   5,730,027

                           Authority Operations and Other Grants

                                                                               1,017,375           (38,907)             978,468

             Federal Funds                                             12,852,312         (1,251,741)        11,600,571

             Tuition Savings Program – Administration

                                                                                10,058,298         (521,794)           9,536,504

                           Grand Total - Higher Education Assistance Authority

                                                                                29,658,012         (1,812,442)        27,845,570

RI Historical Preservation and Heritage Commission

             General Revenues                                       1,705,676           (47,752)             1,657,924

             Federal Funds                                             487,267              117,919              605,186

             Restricted Receipts                                     266,820              224,327              491,147

                                        Grand Total – RI Historical Preservation and Heritage Commission

                                                                                2,459,763           294,494              2,754,257

RI Public Telecommunications Authority

             General Revenues                                       1,388,669           (70,883)             1,317,786

             Corporation for Public Broadcasting            828,498              (89,989)             738,509

             Rhode Island Capital Plan Funds

               Digital TV Conversion                                            -            384,160              384,160

                           Grand Total – RI Public Telecommunications Authority

                                                                                2,217,167           223,288              2,440,455

Attorney General

Criminal

             General Revenues                                       13,077,675         (591,752)           12,485,923

             Federal Funds                                             1,055,397           190,752              1,246,149

             Restricted Receipts                                     520,527              (165,309)          355,218

                           Total – Criminal                             14,653,599         (566,309)           14,087,290

Civil

             General Revenues                                       4,524,821           (305,671)           4,219,150

             Restricted Receipts                                     552,539              32,541                585,080

                           Total – Civil                                   5,077,360           (273,130)           4,804,230

Bureau of Criminal Identification

             General Revenues                                       991,634              (42,681)             948,953

             Federal Funds                                             -                         63,705                63,705

                           Total - Bureau of Criminal Identification

                                                                                991,634              21,024                1,012,658

General

             General Revenues                                       2,249,571           9,934                  2,259,505

             Rhode Island Capital Plan Funds

                             Building Renovations and Repairs

                                                                                165,000              186,767              351,767

                           Total – General                              2,414,571           196,701              2,611,272

                           Grand Total - Attorney General     23,137,164         (621,714)           22,515,450

Corrections

Central Management

             General Revenues                                        8,557,219           564,061              9,121,280

             Federal Funds                                             260,032              135,270              395,302

                           Total - Central Management          8,817,251           699,331              9,516,582

Parole Board

             General Revenues                                       1,247,742           (16,815)             1,230,927

             Federal Funds                                             33,002                             -            33,002

                           Total - Parole Board                     1,280,744           (16,815)             1,263,929

Institutional Corrections

             General Revenues                                       139,084,180       (4,720,842)        134,363,338

             Federal Funds                                             7,224,911           2,411,602           9,636,513

             Rhode Island Capital Plan Funds

                           Reintegration Center State Match

                                                                                3,247,123           540,000              3,787,123

                           General Renovations - Maximum  

                                                                                250,000              (240,895)           9,105

                            General Renovations – Women’s

                                                                                700,000              376,807              1,076,807

             Women’s Bath Room Renovations              506,000              (506,000)                        -

             Bernadette Guay Bldg. Roof                       623,000              55,640                678,640

              MIS/Admin. Units Relocation                     151,017              (151,017)           -

             Asset Protection                                          2,154,000          (277,924)           1,876,076

                           Total - Institutional Custody           153,940,231       (2,512,629)        151,427,602

Community Corrections

             General Revenues                                       13,553,170         (1,182,385)        12,370,785

             Federal Funds                                             820,175              555,173              1,375,348

                           Total – Community Corrections     14,373,345         (627,212)           13,746,133

                           Grand Total – Corrections             178,411,571       (2,457,325)        175,954,246

Judiciary

Supreme Court

             General Revenues

                           General Revenues                          25,833,914         782,294              26,616,208

                           Defense of Indigents                      2,967,659           -                         2,967,659

             Federal Funds                                             122,000              168,330              290,330

             Restricted Receipts                                     1,042,001           164,147              1,206,148

             Rhode Island Capital Plan Funds

                           Blackstone Valley Courthouse Study

                                                                                145,000              1,428                  146,428

                           Judicial HVAC                              500,000              90,078                590,078

                            McGrath Int/Ext.                          200,000              101,974              301,974

                            Asset Protection                           100,000              -                         100,000

                           Total - Supreme Court                   30,910,574         1.308,251           32,218,825

Superior Court

             General Revenues

                           General Revenues                          20,593,206         (1,296,620)        19,296,586

                           Superior Curt Adult Drug Court     66,000                             -            66,000

             Federal Funds                                             465,292              177,913              643,205

                           Total - Superior Court                   21,124,498         (1,118,707)        20,005,791

Family Court

             General Revenues

                           General Revenues                          16,451,290         202,960              16,654,250

                           Family Court Juvenile Drug Court   819,885             (426,532)           393,353

             Federal Funds

                           Federal Funds                               1,336,037           309,257              1,645,294

                           Family Court Drug Court – Family Treatment

                                                                                272,492              78,288                350,780

             Total - Family Court                                   18,879,704         163,973              19,043,677

District Court General Revenues                             9,923,880           82,144                10,006,024

Traffic Tribunal General Revenues                          7,318,155           (244,926)           7,073,229

Workers' Compensation Court   

             Restricted Receipts                                     7,285,626           (145,190)           7,140,436

                           Grand Total – Judiciary                  95,442,437         45,545                95,487,982

Military Staff

National Guard

             General Revenues                                       2,335,467           (282,681)           2,052,786

             Federal Funds                                             8,954,804           (347,587)           8,607,217

             Restricted Receipts                                     145,000                           -            145,000

             Rhode Island Capital Plan Funds

                             Benefit Street Arsenal Rehabilitation

                                                                                200,000              (200,000)                   -

                             Schofield Armory Rehabilitation  

                                                                                140,000              175,937              315,937

                             AMC – Roof Replacement          200,000              (200,000)                   -

                             State Armories Fire Code Comp

                                                                                150,000              (150,000)                   -

                             Federal Armories Fire Code Comp          

                                                                                118,750              (118,750)                   -

                             Logistics/Maint Facilities Fire Code Comp

                                                                                100,010              (100,010)                   -

                             Quonset Hangar/Armory              -                         3,025,000           3,025,000

                           Asset Protection                           200,000                           -            200,000

                           Total - National Guard                   12,544,031         1,801,909           14,345,940

Emergency Management

             General Revenues                                       829,452              (96,125)             733,327

             Federal Funds                                             23,694,978         7,077,667           30,772,645

             Restricted Receipts                                     285,385              (66,561)             218,824

                           Total - Emergency Management     24,809,815         6,914,981           31,724,796

                           Grand Total - Military Staff            37,353,846         8,716,890           46,070,736

E-911 Emergency Telephone System

             General Revenues                                       4,485,669           (387,308)           4,098,361

             Federal Funds                                             70,936                99,832                170,768

             Restricted Receipts                                     2,312,113           (1,052,684)        1,259,429

                                        Grand Total - E-911 Emergency Telephone System

                                                                                6,868,718           (1,340,160)        5,528,558

Fire Safety Code Board of Appeal and Review

             General Revenues                                       289,299              (3,931)               285,368

State Fire Marshal

             General Revenue                                         2,838,049           (481,224)           2,356,825

             Federal Funds                                             191,000              283,565              474,565

             DEA Forfeiture Funds                                 -                         12,599                12,599

             Grand Total - State Fire Marshal                 3,029,049           (185,060)           2,843,989

Commission on Judicial Tenure and Discipline

             General Revenues                                       114,772              (20,556)             94,216

Rhode Island Justice Commission

             General Revenues                                       163,972              39,331                203,303

             Federal Funds                                             4,707,722           (439,037)           4,268,685

             Restricted Receipts                                     30,000                             -            30,000

                           Grand Total - Rhode Island Justice Commission

                                                                                4,901,694           (399,706)           4,501,988

Municipal Police Training Academy

             General Revenues                                       425,710              (31,090)             394,620

             Federal Funds                                             45,000                35,000                80,000

                                        Grand Total - Municipal Police Training Academy

                                                                                470,710              3,910                  474,620

State Police

             General Revenues                                       49,047,151         4,822,985           53,870,136

             Federal Funds                                             1,743,907           333,876              2,077,783

             Restricted Receipts                                     235,411              378,922              614,333

             Traffic Enforcement - Municipal Training

                                                                                454,596              211,379              665,975

             Rhode Island Capital Plan Funds

             Headquarters Repairs/Renovations

                                                                                340,000              2,474                  342,474

             Lottery Commission Assistance                   155,127              (15,725)             139,402

             Airport Corporation                                                 -            137,380              137,380

             Road Construction Reimbursement              2,366,598           248,777              2,615,375

                           Grand Total - State Police             54,342,790         6,120,068           60,462,858

Office of Public Defender

             General Revenues                                       9,326,545           (777,991)           8,548,554

             Federal Funds                                             135,701              125,543              261,244

                           Grand Total - Office of Public Defender

                                                                                9,462,246           (652,448)           8,809,798

Environmental Management

Office of the Director

             General Revenues                                       6,475,699           (115,182)           6,360,517

             Federal Funds                                             1,495,287           91,542                1,586,829

             Restricted Receipts                                     1,895,300           (14,322)             1,880,978

                           Total – Office of the Director         9,866,286           (37,962)             9,828,324

Natural Resources

             General Revenues                                       18,708,114         (301,526)           18,406,588

             Federal Funds                                             19,130,040         698,285              19,828,325

             Restricted Receipts                                     4,154,765           219,901              4,374,666

             Rhode Island Capital Plan Funds

                           Dam Repair                                   300,000              (273,840)           26,160

                           Recreational Facilities

                                                     Improvement       500,000              (59,000)             441,000

                           Fort Adams Rehabilitation              250,000              -                         250,000

                           Jamestown Fishing Pier                  100,000              (100,000)           -

                            Wickford Marine Facility              223,310              510,000              733,310

                            Galilee Piers Upgrade                   200,000              (125,000)           75,000

                            Newport Piers                              150,000              (150,000)                        -

DOT Recreational Projects                         73,417                51,148                124,565                            Blackstone Bikepath Design                        1,284,821           (1,279)               1,283,542

                           Total - Natural Resources              45,074,467         468,689              45,543,156

Environmental Protection

             General Revenues                                       12,346,683         (551,352)           11,795,331

             Federal Funds                                             13,161,108         4,942,118           18,103,226

             Restricted Receipts                                     11,502,175         1,134,897           12,637,072

             Total - Environmental Protection                 37,009,966         5,525,663           42,535,629

                           Grand Total - Environmental Management

                                                                                91,950,719         5,956,390           97,907,109

Coastal Resources Management Council

             General Revenues                                       2,112,667           18,057                2,130,724

             Federal Funds                                             1,599,392           460,353              2,059,745

             Restricted Receipts                                     3,195,000           (2,206,039)        988,961

             Rhode Island Capital Plan Funds

                             Allin’s Cove                                              -            5,500                  5,500

                             Grand Total - Coastal Resources Mgmt. Council

                                                                                6,907,059           (1,722,129)        5,184,930

State Water Resources Board

             General Revenues                                       1,937,302           (200,630)           1,736,672

             Federal Funds                                             -                         64,122                64,122

             Restricted Receipts                                     400,000              (354,203)           45,797

             Rhode Island Capital Plan Funds

             Big River Management Area                       80,600                9,835                  90,435

                           Grand Total - State Water Resources Board

                                                                                2,417,902           (480,876)           1,937,026

Transportation

Central Management

Federal Funds                                             5,161,535           11,986,445         17,147,980                           Gasoline Tax                                               3,098,421          373,978              3,472,399

             Total - Central Management                        8,259,956           12,360,423         20,620,379

Management and Budget

             Gasoline Tax                                               1,709,378           2,818,974           4,528,352

Infrastructure Engineering – GARVEE/Motor Fuel Tax Bond

             Federal Funds                                             232,584,994       22,926,546         255,511,540

             Restricted Receipts                                     3,066,699           (2,422,139)        644,560

             Gasoline Tax                                               49,053,371         (1,541,084)        47,512,287

             Land Sale Revenue                                     2,000,000           7,186,273           9,186,273

             RICAP - RIPTA - Land and Buildings                     -            100,830              100,830

             State Infrastructure Bank                            1,000,000           343,714              1,343,714

RICAP - Pawtucket – Central Falls Train Station     25,000                35,000                60,000

             Total - Infrastructure – Engineering              287,730,064       26,629,140         314,359,204

Infrastructure Maintenance

             Gasoline Tax                                               40,815,043         (4,024,296)        36,790,747

             Non-Land Surplus Property                        -                         372,523              372,523

             Outdoor Advertising                                   75,000                128,423              203,423

             Resurfacing Design                                      250,000              (250,000)                        -

             Total - Infrastructure Maintenance               41,140,043         (3,773,350)        37,366,693

             Grand Total – Transportation                      338,839,441       38,035,187         376,874,628

Statewide Totals           

             General Revenues                                       3,221,527,107    3,193,958           3,224,721,065

             Federal Funds                                             1,948,173,147    66,492,944         2,014,666,091

             Restricted Receipt Funds                            129,069,782       7,387,380           136,457,162

             Other Funds                                               1,366,179,366    (12,761,556)      1,353,417,810

                           Statewide Grand Total                   6,664,949,402    64,312,726         6,729,262,128

 

             SECTION 2.  Each line appearing in Section 1 of this Article shall constitute an appropriation.

 

             SECTION 3. Notwithstanding any provisions of Chapter 1-42 in Title 39 of the Rhode Island General Laws, the Public Utilities Commission shall transfer from the Dual Party Phone Relay Fund to the General Fund the sum of four hundred fifty thousand dollars ($450,000) prior to June 30, 2007. 

 

             SECTION 4.  Section 8 of Article 1 of Chapter 246 of the Public Laws of 2006 authorizes the reappropriation of any unexpended funds from the Rhode Island Capital Plan Fund for the purposes for which they were originally appropriated.  The following is a listing of those projects completed in FY 2006 for which reappropriated funds are no longer required.  The amounts listed are hereby withdrawn and the State Controller is authorized to return these funds to the Rhode Island Capital Plan Fund.

                                                                                FY 2007             FY 2007                     FY 2007

             RICAP Project                                         Enacted             Balance Forward            Final

Mil Staff-Emergency Operations Center                   0                         1,023                               0

Corrections-Heating and Temperature Control          0                         259,888                           0

Corrections-High Security Infrastructure                   0                         161,449                           0

Judicial-Licht Foundation Integrity                            0                         2,797                               0

Judicial-Fogarty Judicial Complex                             0                         1,835                               0

Judicial-Licht Window Restoration                           0                         10,996                             0

 

             SECTION 5. Extension of previous authorizations. -- The general assembly, pursuant to the provisions of section 35-8-25 of the general laws, hereby extends to the termination dates contained herein, the authority to issue the following general obligation bond authorizations in the amounts stated.  The original authorizations enacted by public law and approved by the people, that remain unissued as of January 1, 2007, are as follows:

                                                                                                                                                                                                                                                                                                     Unissued

                                                                                                          Amount To         Termination

         Purpose                                             Statutory Reference          Be Extended            Date

Clean Water Act Environmental                  Ch. 289-P.L. of 1986       $1,764,627         June 30, 2010

   Trust

Elementary and Secondary Educ.                Ch. 70-P.L. of 1994         $420,000            June 30, 2009

             The general assembly hereby extends for an additional year the authorization granted to the Rhode Island Industrial Recreational Building Authority provided by Chapter 91 of the Public Laws of 1958, and Chapter 537, Section 3, of the Public Laws of 1987.

 

             SECTION 6.  (a) The general assembly authorizes the state controller to establish the internal service accounts shown below, and no other, to finance and account for the operations of state agencies that provide services to other agencies, institutions and other governmental units on a cost reimbursed basis.  The purpose of these accounts is to ensure that certain activities are managed in a businesslike manner, promote efficient use of services by making agencies pay the full costs associated with providing the services, and allocate the costs of central administrative services across all fund types, so that federal and other non-general fund programs share in the costs of general government support.  The controller is authorized to reimburse these accounts for the cost of work or services performed for any other department or agency subject to the following expenditure limitations:    

                                                                                FY 2007             FY 2007             FY 2007

             Account                                                     Enacted             Change              Final

State Assessed Fringe Benefit Internal Service Account

                                                                                30,515,107         217,922              30,733,029

Administration Central Utilities Internal Service Account        

                                                                                18,797,979         6,069,589           24,867,568

State Central Mail Internal Service Account              5,268,011           448,616              5,716,627

State Telecommunications Internal Service Account  2,232,829           769,883              3,002,712

State Automotive Fleet Internal Service Account       14,656,702         (50,131)             14,606,571

State Surplus Property Internal Service Account       17,715                0                         17,715

Capital Police Internal Service Account                    559,158              (17,115)             542,043

Health Insurance Internal Service Fund                     244,184,576       (7,138,187)        237,046,389

MHRH Central Pharmacy Internal Service Account 10,332,218         (88,131)             10,244,087

MHRH Laundry Services Internal Service Account  1,407,510           (208,178)           1,199,332

Corrections General Services & Warehouse Internal Service Account

                                                                                6,126,014           1,180,933           7,306,947

Corrections Howard Center Telephone Operations Internal Service Acct.

                                                                                707,955              (707,955)           0

Correctional Industries Internal Service Account       6,945,525           2,255,052           9,200,577

Secretary of State Record Center Internal Service

                                                             Account      1,156,600           19,131                1,175,731

 

             SECTION 7.  Appropriation of Lottery Division Funds – There is hereby appropriated to the Lottery Division any funds required to be disbursed by the Lottery Division for the purposes of paying commissions or transfers to prize funds for the fiscal year ending June 30, 2007.

 

             SECTION 8.  Departments and agencies listed below may not exceed the number of full-time equivalent (FTE) positions shown below in any pay period.  Full-time equivalent positions do not include seasonal or intermittent positions whose scheduled period of employment does not exceed twenty-six consecutive weeks or whose scheduled hours do not exceed nine hundred and twenty-five (925) hours, excluding overtime, in a one-year period.  Nor do they include individuals engaged in training, the completion of which is a prerequisite of employment.  Provided, however, that the Governor or designee, Speaker of the House of Representatives or designee, and President of the Senate or designee may authorize an adjustment to any limitation.  Prior to the authorization, the State Budget Officer shall make a detailed written recommendation to the Governor, the Speaker of the House, and the President of the Senate.  A copy of the recommendation and authorization to adjust shall be transmitted to the chairman of the House Finance Committee, the chairman of the Senate Finance Committee, the House Fiscal Advisor and the Senate Fiscal Advisor.

             FTE POSITION AUTHORIZATION

Departments and Agencies                                       Full-Time Equivalent

Administration                                                          1,077.3 1,065.2

Business Regulation                                                  102.7 103.0

Labor and Training                                                   467.9

Revenue                                                                   472.1 473.0

Legislature                                                               275.2 294.0

Lieutenant Governor General                                    9.5

Secretary of State                                                    55.9 56.0

General Treasurer                                                    86.2 86.5

Boards for Design Professionals                               3.8 4.0

Board of Elections                                                    14.3 14.0

Rhode Island Ethics Commission                              11.4 12.0

Office of the Governor                                             46.0

Public Utilities Commission                                       45.7

Rhode Island Commission on Women                      0.9 1.0

Health and Human Services                                      5.0

Children, Youth, and Families                                   789.8 789.0

Elderly Affairs                                                          50.5 48.0

Health                                                                      465.6

Human Services                                                       1,111.0

Mental Health, Retardation, and Hospitals                1,817.3 1,824.3

Office of the Child Advocate                                    5.8

Commission on the Deaf and Hard of Hearing           2.8 3.0

RI Developmental Disabilities Council                       2.0

Governor's Commission on Disabilities                      6.3 6.6

Commission for Human Rights                                  14.4 14.5

Office of the Mental Health Advocate                       3.5 3.7

Elementary and Secondary Education                       325.5 131.2

Davies                                                                     133.0

School for the Deaf                                                  68.0

Office of Higher Education                                       21.0

             Provided that 1.0 of the total authorization would be available only for a position that is supported by third- party funds.

University of Rhode Island                                        1,940.1

             Provided that 602.0 of the total authorization would be available only for positions that are supported by third-party funds.

Rhode Island College                                               843.5

             Provided that 82.0 of the total authorization would be available only for positions that are supported by third-party funds.

Community College of Rhode Island                         750.2

             Provided that 100.0 of the total authorization would be available only for positions that are supported by third-party funds.

Rhode Island Council on the Arts                             8.6

RI Atomic Energy Commission                                8.2 8.6

Higher Education Assistance Authority                      45.6 46.0

Historical Preservation and Heritage Commission      17.0 17.6

Public Telecommunications Authority                        21.4 20.0

Office of the Attorney General                                  221.9 234.8

Corrections                                                              1,498.6

Judicial                                                                     723.4 732.5

Military Staff                                                            103.1 109.0

E-911 Emergency Telephone System                       49.9 53.6

Fire Safety Code Bd. of Appeal and Review            2.8 3.0

RI State Fire Marshal                                               36.1 36.0

Commission on Judicial Tenure and Discipline           .09 1.0

Rhode Island Justice Commission                             6.4  7.6

Municipal Police Training Academy                          3.7 4.0

State Police                                                              268.5 273.0

Office of the Public Defender                                    93.5

Environmental Management                                      503.5 505.3

Coastal Resources Management Council                  28.5 30.0

Water Resources Board                                           8.5 9.0

Transportation                                                          779.7  786.7

Total                                            15,253.0             16,106.7

 

             SECTION 9.  This article shall take effect upon passage.

 

 


ARTICLE 7 SUBSTITUTE A AS AMENDED

 

RELATING TO TAXATION

 

SECTION 1.  Sections 44-62-4 and 44-62-6 of the General Laws in Chapter 44-62 entitled “Tax Credits for Contributions to Scholarship Organizations” are hereby amended to read as follows:

 

44-62-4. Calculation of tax credit and issuance of tax credit certificate. – (a) When the contribution has been made as set forth in section 3 above, the business entity shall apply to the division of taxation for a tax credit certificate. The application will include such information, documentation, and certification as the tax administrator deems proper for the administration of this chapter including, but not limited to a certification by an independent Rhode Island certified public accountant that the cash contribution has actually been made to the qualified scholarship organization. For purposes of the proper administration of this section, an independent Rhode Island certified public accountant shall be licensed in accordance with RIGL 5-3.1 and means a person, partnership, corporation, limited liability corporation that is not affiliated with or an employee of said business entity or its affiliates and is not affiliated in any manner whatsoever with a qualified scholarship organization or scholarship program as defined in § 42-62-2 (a) – (j).

(b) The division of taxation will review the documentation submitted; calculate the tax credit pertaining to the contribution, and prepare and mail a certificate for amount of credit to be granted.

(c) Unless a two year contribution plan is in place, the credit, is computed at seventy-five percent (75%) of the total voluntary cash contribution made by the business entity.

(d) The credit is available against taxes otherwise due under provisions of chapters 11, 13, 14, 15 or 17 of this title.  This credit is available against taxes otherwise due under provisions of chapters 11, 13, 14, 15, 17 or 30 of title 44.

(e) A two year contribution plan is based on the written commitment of the business entity to provide the scholarship organization with the same amount of contribution for two (2) consecutive tax years. The business entity must provide in writing a commitment to this extended contribution to the scholarship organization and the division of taxation at the time of application.

(2) In the event that a two year contribution plan is in place, the calculation of credit for each year shall be ninety percent (90%) of the total voluntary contribution made by a business entity.

(3) In the event that, in the second year of the plan, a business entity's contribution falls below the contribution amount made in the first year but the second year's contribution is eighty percent (80%) or greater than the first year's contribution, the business entity shall receive a credit for both the first and second year contributions equal to ninety percent (90%) of each year's contribution.

(4) If the amount of the second year contribution is less than eighty percent (80%) of the first year contribution, then the credit for both the first and second year contributions shall be equal to seventy-five percent (75%) of each year's contribution. In such case, the tax administrator shall prepare the tax credit certificate for the second year at seventy-five percent (75%). The difference in credit allowable for the first year [90% – 75% = 15% x first year contribution] shall be recaptured by adding it to the taxpayer's tax in that year.

 

44-62-6. Definitions. – The following words and phrases used in this chapter shall have the meanings given to them in this section unless the context clearly indicates otherwise:

   (1) "Business entity" means an entity authorized to do business in this state and subject to taxes imposed under chapters 44-11, 44-13, 44-14, 44-15 and 44-17 of the general laws.  Business entities also include Subchapter S Corporations, Limited Liability Partnerships, and Limited Liability Corporations.

(2) "Division of taxation" means the Rhode Island division of taxation.

 

SECTION 2. Section 44-11-11 of the General Laws in Chapter 44-11 entitled "Business Corporation Tax" is hereby amended to read as follows:

 

44-11-11. "Net income" defined. -- (a) (1) "Net income" means for any taxable year and for any corporate taxpayer, the taxable income of the taxpayer for that taxable year under the laws of the United States, plus (i) any interest not included in the taxable income, (ii) any specific exemptions, and (iii) the tax imposed by this chapter, and (iv) any deductions required to be added back to net income under the provisions of paragraph (f) of this section, and minus (iv)(v) interest on obligations of the United States or its possessions, and other interest exempt from taxation by this state, and (v)(vi) the federal net operating loss deduction.

 (2) All binding federal elections made by or on behalf of the taxpayer applicable either directly or indirectly to the determination of taxable income shall be binding on the taxpayer except where this chapter or its attendant regulations specifically modify or provide otherwise. However, Rhode Island taxable income shall not include the "grossup of dividends" required by the federal Internal Revenue Code to be taken into taxable income in connection with the taxpayer's election of the foreign tax credit.

 (b) A net operating loss deduction shall be allowed which shall be the same as the net operating loss deduction allowed under 26 U.S.C. section 172, except that: (1) any net operating loss included in determining the deduction shall be adjusted to reflect the inclusions and exclusions from entire net income required by subsection (a) and section 44-11-11.1, (2) the deduction shall not include any net operating loss sustained during any taxable year in which the taxpayer was not subject to the tax imposed by this chapter, and (3) the deduction shall not exceed the deduction for the taxable year allowable under 26 U.S.C. section 172; provided, that the deduction for a taxable year may not be carried back to any other taxable year for Rhode Island purposes but shall only be allowable on a carry forward basis for the five (5) succeeding taxable years.

 (c) Domestic international sales corporations, referred to as DISCs, for the purposes of this chapter, will be treated as they are under federal income tax law and shall not pay the amount of the tax computed under section 44-11-2(a). Any income to shareholders of DISCs is to be treated in the same manner as it is treated under federal income tax law as it exists on December 31, 1984.

 (d) A corporation which qualifies as a foreign sales corporation (FSC) under the provisions of subchapter N, 26 U.S.C. section 861 et seq., and which has in effect for the entire taxable year a valid election under federal law to be treated as a FSC, shall not pay the amount of the tax computed under section 44-11-2(a). Any income to shareholders of FSCs is to be treated in the same manner as it is treated under federal income tax law as it exists on January 1, 1985.

(e) As used in this section:

(1) “Affiliated group” has the same meaning as in section 1504 of the Internal Revenue Code.

(2) “Intangible expenses and costs” includes: (A) expenses, losses and costs for, related to, or in connection directly or indirectly with the direct or indirect acquisition, use, maintenance or management, ownership, sale, exchange, or any other disposition of intangible property to the extent such amounts are allowed as deductions or costs in determining taxable income before operating loss deduction and special deductions for the taxable year under the Internal Revenue Code; (B) losses related to or incurred in connection directly or indirectly with factoring transactions or discounting transactions; (C) royalty, patent, technical and copyright fees; (D) licensing fees; and (E) other similar expenses and costs.

(3) “Intangible property” means patents, patent applications, trade names, trademarks, service marks, copyrights and similar types of intangible assets.

(4) “Interest expenses and costs” means amounts directly or indirectly allowed as deductions under section 163 of the Internal Revenue Code for purposes of determining taxable income under the Internal Revenue Code to the extent such expenses and costs are directly or indirectly for, related to, or in connection with the direct or indirect acquisition, maintenance, management, ownership, sale, exchange or disposition of intangible property.

(5) “Related member” means a person that, with respect to the taxpayer during all or any portion of the taxable year, is a related entity, as defined in this subsection, a component member as defined in section 1563(b) of the Internal Revenue Code, or is a person to or from whom there is attribution of stock ownership in accordance with section 1563(e) of the Internal Revenue Code.   

(6) “Related entity” means: (A) a stockholder who is an individual, or a member of the stockholder’s family enumerated in section 318 of the Internal Revenue Code, if the stockholder and the members of the stockholder’s family own directly, indirectly, beneficially or constructively, in the aggregate, at least fifty percent (50%) of the value of the taxpayer’s outstanding stock; (B) a stockholder, or a stockholder’s partnership, limited liability company, estate, trust or corporation, if the stockholder and the stockholder’s partnership, limited liability companies, estates, trusts and corporations own directly, indirectly, beneficially or constructively, in the aggregate, at least fifty percent (50%) of the value of the taxpayer’s outstanding stock; or (C) a corporation, or a party related to the corporation in a manner that would require an attribution of stock from the corporation to the party or from the party to the corporation under the attribution rules of section 318 of the Internal Revenue Code, if the taxpayer owns, directly, indirectly, beneficially or constructively, at least fifty percent (50%) of the value of the corporation’s outstanding stock. The attribution rules on section 318 of the Internal Revenue Code shall apply for purposes of determining whether the ownership requirements of this subdivision have been met.

(f) For purposes of computing its net income under this section, a corporation shall add back otherwise deductible interest expenses and costs and intangible expenses and costs directly or indirectly paid, accrued or incurred to, or in connection directly or indirectly with one or more direct or indirect transactions with, one or more related members.

(1) The adjustments required in subsection (f) of this section shall not apply if the corporation establishes by clear and convincing evidence that the adjustments are unreasonable, as determined by the tax administrator or the corporation and the tax administrator agree in writing to the application or use of an alternative method of apportionment under section 44-11-15. Nothing in this subsection shall be construed to the limit or negate the tax administrator’s authority to otherwise enter into agreements and compromises otherwise allowed by law.

(2) The adjustments required in subsection (f) of this section shall not apply to such portion of interest expenses and costs and intangible expenses and costs that the corporation can establish by the preponderance of the evidence meets both of the following: (A) the related member during the same income year directly or indirectly paid, accrued or incurred such portion to a person who is not a related member; and (B) the transaction giving rise to the interest expenses and costs or the intangible expenses and costs between the corporation and the related member did not have as a significant purpose the avoidance of any portion of the tax due under chapter 44-11.

(3) The adjustments required in subsection (f) shall not apply if the corporation establishes by clear and convincing evidence, as determined by the tax administrator, that: (i) a principal purpose of the transaction giving rise to the payment of interest was not to avoid payment of taxes due under this chapter; (ii) the interest is paid pursuant to a contract that reflects an arm's length rate of interest and terms; and (iii)(A) the related member was subject to tax on its net income in this state or another state or possession of the United States or a foreign nation; (B) a measure of said tax included the interest received from the taxpayer; and (C) the effective rate of tax applied to the interest received by the related member is no less than the  effective rate of tax applied to the taxpayer under this chapter minus 3 percentage points.

(4) Partial Adjustments – The add back required in subsection (f) shall not be required in part if a portion of the add back would be unreasonable. A portion of the add back will be  considered unreasonable to the extent that the taxpayer establishes to the tax administrator by clear and convincing evidence that interest or intangible expense was paid, accrued or incurred to a related member that is taxed on the corresponding income by a state, U.S. possession or foreign jurisdiction. An adjustment to the add back will be allowed based on a factor determined by the apportioned tax rate of the related member in the other jurisdiction compared to the apportioned tax rate of the taxpayer in this state. A taxpayer that seeks to claim this adjustment must file a schedule that sets forth the information required by the tax administrator. 

 (g) Nothing in this section shall require a corporation to add to its net income more than once any amount of interest expenses and costs or intangible expenses and costs that the corporation pays, accrues or incurs to a related member described in subsection (b) of this section.

(h) Any taxpayer required to make an adjustment required in subsection (f) for tax years beginning on or after January 1, 2008, is additionally required to report to the tax administrator, on forms required by him, the amount of any adjustments that would have been required if the law applied to tax years beginning on or after January 1, 2007.

(i) Nothing in this section shall be construed to limit or negate the tax administrator authority to make adjustments under section 44-11-15.

 

SECTION 3. Section 44-26-2.1 of the General Laws in Chapter 44-26 entitled "Declaration of Estimated Tax by Corporations" is hereby amended to read as follows:

 

44-26-2.1. Declaration -- Due date -- Payment -- Interest. -- (a) Notwithstanding any general or specific statute to the contrary, every corporation having a taxable year ending December 31, 1990, or thereafter, shall file a declaration of its estimated tax for the taxable year ending December 31, 1990, or thereafter, if its estimated tax can reasonably be expected to exceed five hundred dollars ($500). The declaration, sworn to by the officer of the corporation who is required to sign its return under any of the chapters and section mentioned in section 44-26-1 shall contain the pertinent information and be in the form that the tax administrator may prescribe. The entire amount of the estimated tax shall constitute the amount of the advance required to be paid.  (b) (1) Except as provided in subdivision (2) of this subsection, the declaration of estimated tax required of corporations by subsection (a) of this section shall be filed as follows:

If the requirements of The declaration shall subsection (a) of this section are be filed on or before: first met: before the first day of the third month of the taxable year the fifteenth day of the third month of the taxable year; after the first day of the third month and before the first day of the sixth month of the taxable year the fifteenth day of the sixth month of the taxable year.

 (2) The declaration of estimated tax required of corporations subject to section 27-3-38 relating to surplus line brokers premium tax or under any special act or acts in lieu of the provisions of that section or in amendment of or in addition to that section shall be filed as follows:

If the requirements of The declaration shall subsection (a) of this section are be filed on or before: first met: Before the first day of the fourth month of the taxable year the thirtieth day of the fourth month of the taxable year After the first day of the fourth month and before the first day of the sixth month of the taxable year the thirtieth day of the sixth month of the taxable year After the first day of the sixth month and before the first day of the tenth month of the taxable year the thirtieth day of the tenth month of the taxable year After the first day of the tenth month and before the first day of the twelfth month of the taxable year the thirty-first day of the twelfth month of the taxable year

 (c) An amendment of a declaration may be filed in any interval between installment dates prescribed for the taxable year, but only one amendment may be filed in each interval.  (d) The tax administrator may grant a reasonable extension of time, not to exceed thirty (30) days, for filing a declaration.  (e) (1) The amount of the advance based on the estimated tax declared under subsection (a) of this section by corporations described in subdivision (b)(1) of this section shall be paid as follows:  (i) If the declaration is filed on or before the fifteenth (15th) day of the third (3rd) month of the taxable year, the advance shall be paid in two (2) installments. The first installment in the amount of forty percent (40%) of the estimated tax shall be paid at the time of the filing of the declaration. The second and last installment in the amount of sixty percent (60%) of the estimated tax shall be paid on or before the fifteenth (15th) day of the sixth (6th) month of the taxable year.  (ii) If the declaration is filed after the fifteenth (15th) day of the third (3rd) month of the taxable year and is not required by subsection (b) of this section to be filed on or before the fifteenth (15th) day of the third (3rd) month of the taxable year, but is required to be filed on or before the fifteenth (15th) day of the sixth (6th) month, the advance shall be paid in full at the time of filing.  (2) The amount of the advance based in the estimated tax declared under subsection (a) of this section by corporations listed in subdivision (b)(2) of this section shall be paid as follows:  (i) If the declaration is filed on or before the thirtieth (30th) day of the fourth (4th) month of the taxable year, the advance shall be paid in four (4) equal installments. The first installment shall be paid on or before the thirtieth (30th) day of the fourth (4th) month of the taxable year, and the second (2nd), third (3rd), and fourth (4th) installments shall be paid on or before the thirtieth (30th) day of the sixth (6th) month, the thirtieth (30th) day of the tenth (10th) month, and the thirty-first (31st) day of the twelfth (12th) month of the taxable year, respectively.  (ii) If the declaration is filed before the thirtieth (30th) day of the sixth (6th) month of the taxable year, the advance shall be paid in three (3) equal installments. The first installment shall be paid on or before the thirtieth (30th) day of the sixth (6th) month of the taxable year and the second (2nd) and third (3rd) installments shall be paid on or before the thirtieth (30th) day of the tenth (10th) month and the thirty-first (31st) day of the twelfth (12th) month of the taxable year respectively.  (iii) If the declaration is filed on or before the thirtieth (30th) day of the tenth (10th) month of the taxable year, the advance shall be paid in two (2) equal installments. The first installment shall be paid on or before the thirtieth (30th) day of the tenth (10th) month of the taxable year and the second installment shall be paid on or before the thirty-first (31st) day of the twelfth (12th) month of the taxable year.  (iv) If the declaration is filed after the time prescribed in subdivision (b)(2) of this section, including cases in which an extension of time for filing the declaration has been granted, there shall be paid at the time of the filing all installments of the advance which would have been payable on or before that time if the declaration had been filed within the time prescribed in subdivision (b)(2) of this section.  (f) If the declaration is filed after the time prescribed in subsection (b) of this section including cases in which an extension of time for filing the declaration has been granted, paragraph (e)(1)(ii) of this section does not apply, and there shall be paid at the time of the filing all installments of the advance which would have been payable on or before that time if the declaration had been filed within the time prescribed in subsection (b).  (g) If any amendment of a declaration is filed, the installment payable on or before the fifteenth (15th) day of the sixth (6th) month, if any, or in the case of corporations licensed as surplus line brokers under section 27-3-38, the installments payable on or before the thirtieth (30th) days of the sixth (6th) or tenth (10th) month and thirty-first (31st) day of the twelfth (12th) month are ratably increased or decreased, as the case may be, to reflect the increase or decrease, as the case may be, in the estimated tax by reason of the amendment.  (h) At the election of the corporation, any installment of the advance may be paid prior to the date prescribed for payment.  (i) In the case of any underpayment of the advance by a corporation, except as provided in this section, there is added to the tax due under chapters 11 -- 15 and 17 of this title, or section 27-3-38, for the taxable year an amount determined at the rate described in section 44-1-7 upon the amount of the underpayment for the period of the underpayment. For the purpose of this subsection, the "amount of the underpayment" is the excess of the amount of the installment or installments which would be required to be paid if the advance payments were equal to eighty percent (80%) of the tax shown on the return for the taxable year. For the purposes of this subsection, the "period of the underpayment" is the period from the date the installment was required to be paid to the date prescribed under any of the chapters previously mentioned in this section for the payment of the tax for the taxable year or, with respect to any portion of the underpayment, the date on which the portion is paid, whichever date is the earlier. A payment of the advance on the fifteenth (15th) day of the sixth (6th) month, or for section 27-3-38 on the thirtieth (30th) day of the sixth (6th) month, of the taxable year is considered a payment of any previous underpayment only to the extent that the payment exceeds the amount of the installment due on the fifteenth (15th) day of the sixth (6th) month, or for section 27-3-38 on the thirtieth (30th) day of the sixth (6th) month, of the taxable year.  (j) Notwithstanding the provisions of this section, the addition to the tax with respect to any underpayment of any installment is not imposed if the total amount of all payments of the advance made on or before the last date prescribed for payment of the installment equals or exceeds the amount which would have been required to be paid on or before that date if the amount of the advance was an amount equal to one hundred percent (100%) of the tax computed at the rates applicable to the taxable year but otherwise on the basis of the fact shown on the return of the corporation for and the law applicable to the preceding taxable year.  (k) This section is effective for estimated payments being made by corporations for taxable years ending on or after December 31, 1990.

(l) Notwithstanding any other provisions of this section any taxpayer required to make an adjustment in accordance with section 44-11-11(f) in a tax year beginning in calendar year 2008 shall compute estimated payments for that tax year as follows:

(1) The installments must equal 100% of the tax due for the prior year plus any additional tax due for the current year adjustment under section 44-11-11(f), or

(2) That installments must equal 100% of the current year tax liability.

 

SECTION 4. Section 44-11-14 of the General Laws in Chapter 44-11 entitled "Business Corporation Tax" is hereby amended to read as follows:

 

44-11-14. Allocation of income from business partially within state. -- (a) In the case of a taxpayer deriving its income from sources both within and outside of this state or engaging in any activities or transactions both within and outside of this state for the purpose of profit or gain, its net income shall be apportioned to this state by means of an allocation fraction to be computed as a simple arithmetical mean of three (3) fractions:

 (1) The first of these fractions shall represent that part held or owned within this state of the average net book value of the total tangible property (real estate and tangible personal property) held or owned by the taxpayer during the taxable year, without deduction on account of any encumbrance thereon;

 (2) The second fraction shall represent that part of the taxpayer's total receipts from sales or other sources during the taxable year which is attributable to the taxpayer's activities or transactions within this state during the taxable year; meaning and including within that part, as being thus attributable, receipts from:

 (i) Gross sales of its tangible personal property (inventory sold in the ordinary course of business) where : (A) shipments are made to points within this state; or

(B) shipments are made from an office, store, warehouse, factory or other place of storage in this state and the taxpayer is not taxable in the state of the purchase and the taxpayer is not taxable in the state of the purchase.

(ii) Gross income from services performed within the state;

 (iii) Gross income from rentals from property situated within the state;

 (iv) Net income from the sale of real and personal property, other than inventory sold in the ordinary course of business as described in paragraph (i) of this subdivision, or other capital assets located in the state;

 (v) Net income from the sale or other disposition of securities or financial obligations; and

 (vi) Gross income from all other receipts within the state;

 (3) The third fraction shall represent that part of the total wages, salaries, and other compensation to officers, employees, and agents paid or incurred by the taxpayer during the taxable year which is attributable to services performed in connection with the taxpayer's activities or transactions within this state during the taxable year.

 (b) Notwithstanding any of the provisions of this section, revenue and expenses subject to the gross earnings tax pursuant to chapter 13 of this title shall not be included in the calculation described in this section.   

 

SECTION 5. Sections 44-30-2.6 and 44-30-2.7 of the General Laws in Chapter 44-30 entitled "Personal Income Tax" are hereby amended to read as follows:

 

44-30-2.6. Rhode Island taxable income -- Rate of tax. -- (a) "Rhode Island taxable income" means federal taxable income as determined under the Internal Revenue Code, 26 U.S.C. section 1 et seq., not including the increase in the basic standard deduction amount for married couples filing joint returns as provided in the Jobs and Growth Tax Relief Reconciliation Act of 2003 and the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA), and as modified by the modifications in section 44-30-12.

 (b) Notwithstanding the provisions of sections 44-30-1 and 44-30-2, for tax years beginning on or after January 1, 2001, a Rhode Island personal income tax is imposed upon the Rhode Island taxable income of residents and nonresidents, including estates and trusts, at the rate of twenty-five and one-half percent (25.5%) for tax year 2001, and twenty-five percent (25%) for tax year 2002 and thereafter of the federal income tax rates, including capital gains rates and any other special rates for other types of income, except as provided in section 44-30-2.7, which were in effect immediately prior to enactment of the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA); provided, rate schedules shall be adjusted for inflation by the tax administrator beginning in taxable year 2002 and thereafter in the manner prescribed for adjustment by the commissioner of Internal Revenue in 26 U.S.C. section 1(f). However, for tax years beginning on or after January 1, 2006, a taxpayer may elect to use the alternative flat tax rate provided in section 44-30-2.10 to calculate his or her personal income tax liability.

 (c) For tax years beginning on or after January 1, 2001, if a taxpayer has an alternative minimum tax for federal tax purposes, the taxpayer shall determine if he or she has a Rhode Island alternative minimum tax. The Rhode Island alternative minimum tax shall be computed by multiplying the federal tentative minimum tax without allowing for the increased exemptions under the Jobs and Growth Tax Relief Reconciliation Act of 2003 (as redetermined on federal form 6251 Alternative Minimum Tax-Individuals) by twenty-five and one-half percent (25.5%) for tax year 2001, and twenty-five percent (25%) for tax year 2002 and thereafter, and comparing the product to the Rhode Island tax as computed otherwise under this section. The excess shall be the taxpayer's Rhode Island alternative minimum tax.

 (1) For tax years beginning on or after January 1, 2005 and thereafter the exemption amount for alternative minimum tax, for Rhode Island purposes, shall be adjusted for inflation by the tax administrator in the manner prescribed for adjustment by the commissioner of Internal Revenue in 26 U.S.C. section 1(f).

(2) For the period January 1, 2007 through December 31, 2007, and thereafter, Rhode Island taxable income shall be determined by deducting from federal adjusted gross income as defined in 26 U.S.C. section 62 as modified by the modifications in section 44-30-12 the Rhode Island itemized deduction amount and the Rhode Island exemption amount as determined in this section.

(A) Tax imposed.

(1) There is hereby imposed on the taxable income of married individuals filing joint returns and surviving spouses a tax determined in accordance with the following table:

If taxable income is:                                     The tax is:

Not over $53,150                                       3.75% of taxable income

Over $53,150 but not over $128,500         $1,993.13 plus 7.00% of the excess over $53,150

Over $128,500 but not over $195,850       $7,267.63 plus 7.75% of the excess over $128,500

Over $195,850 but not over $349,700       $12,487.25 plus 9.00% of the excess over $195,850

Over $349,700                                           $26,333.75 plus 9.90% of the excess over $349,700

(2) There is hereby imposed on the taxable income of every head of household a tax determined in accordance with the following table:

If taxable income is:                                     The tax is:

Not over $42,650                                       3.75% of taxable income

Over $42,650 but not over $110,100         $1,599.38 plus 7.00% of the excess over $42,650

Over $110,100 but not over $178,350       $6,320.88 plus 7.75% of the excess over $110,100

Over $178,350 but not over $349,700       $11,610.25 plus 9.00% of the excess over $178,350

Over $349,700                                           $27,031.75 plus 9.90% of the excess over $349,700

(3) There is hereby imposed on the taxable income of unmarried individuals (other than surviving spouses and heads of households) a tax determined in accordance with the following table:

If taxable income is:                                     The tax is:

Not over $31,850                                       3.75% of taxable income

Over $31,850 but not over $77,100           $1,194.38 plus 7.00% of the excess over $31,850

Over $77,100 but not over $160,850         $4,361.88 plus 7.75% of the excess over $77,100

Over $160,850 but not over $349,700       $10,852.50 plus 9.00% of the excess over $160,850

Over $349,700                                           $27,849.00 plus 9.90% of the excess over $349,700

(4) There is hereby imposed on the taxable income of married individuals filing separate returns and bankruptcy estates a tax determined in accordance with the following table:

If taxable income is:                                     The tax is:

Not over $26,575                                       3.75% of taxable income

Over $26,575 but not over $64,250           $996.56 plus 7.00% of the excess over $26,575

Over $64,250 but not over $97,925           $3,633.81 plus 7.75% of the excess over $64,250

Over $97,925 but not over $174,850         $6,243.63 plus 9.00% of the excess over $97,925

Over $174,850                                          $13,166.88 plus 9.90% of the excess over $174,850

(5)There is hereby imposed a taxable income of an estate or trust a tax determined in accordance with the following table:

If taxable income is:                                     The tax is:

Not over $2,150                                         3.75% of taxable income

Over $2,150 but not over $5,000               $80.63 plus 7.00% of the excess over $2,150

Over $5,000 but not over $7,650               $280.13 plus 7.75% of the excess over $5,000

Over $7,650 but not over $10,450             $485.50 plus 9.00% of the excess over $7,650

Over $10,450                                             $737.50 plus 9.90% of the excess over $10,450

(6) Adjustments for inflation.

The dollars amount contained in paragraph (A) shall be increased by an amount equal to:

(a) such dollar amount contained in paragraph (A) in the year 1993, multiplied by;

(b) the cost-of-living adjustment determined under section (J) with a base year of 1993;

(c) the cost-of-living adjustment referred to in subparagraph (a) and (b) used in making adjustments to the nine percent (9%) and nine and nine tenths percent (9.9%) dollar amounts shall be determined under section (J) by substituting "1994" for "1993."

(B) Maximum capital gains rates

(1) In general

If a taxpayer has a net capital gain for any taxable year, the tax imposed by this section for such taxable year shall not exceed the sum of:

(a) 2.5 % of the net capital gain as reported for federal income tax purposes under section 26 U.S.C. 1(h)(1)(a) and 26 U.S.C. 1(h)(1)(b).

(b) 5% of the net capital gain as reported for federal income tax purposes under 26 U.S.C. 1(h)(1)(c).

(c) 6.25% of the net capital gain as reported for federal income tax purposes under 26 U.S.C. 1(h)(1)(d).

(d) 7% of the net capital gain as reported for federal income tax purposes under 26 U.S.C. 1(h)(1)(e).

(C) Itemized deductions.

(1) In general

For the purposes of section (2) "itemized deductions" means the amount of federal itemized deductions as modified by the modifications in section 44-30-12.

(2) Individuals who do not itemize their deductions

In the case of an individual who does not elect to itemize his deductions for the taxable year, they may elect to take a standard deduction.

(3) Basic standard deduction.

The Rhode Island standard deduction shall be allowed in accordance with the following table:

Filing status                                                                           Amount

Single                                                                                    $5,350

Married filing jointly or qualifying widow(er)                           $8,900

Married filing separately                                                        $4,450

Head of Household                                                               $7,850

(4) Additional standard deduction for the aged and blind.

An additional standard deduction shall be allowed for individuals age sixty-five (65) or older or blind in the amount of $1,300 for individuals who are not married and $1,050 for individuals who are married.

(5) Limitation on basic standard deduction in the case of certain dependents.

In the case of an individual to whom a deduction under section (E) is allowable to another taxpayer, the basic standard deduction applicable to such individual shall not exceed the greater of:

(a) $850;

(b) the sum of $300 and such individual's earned income;

(6) Certain individuals not eligible for standard deduction.

In the case of:

(a) a married individual filing a separate return where either spouse itemizes deductions;

(b) nonresident alien individual;

(c) an estate or trust;

The standard deduction shall be zero.

(7) Adjustments for inflation.

Each dollars amount contained in paragraphs (3), (4) and (5) shall be increased by an amount equal to:

(a) such dollar amount contained in paragraphs (3), (4) and (5) in the year 1988, multiplied by

(b) the cost-of-living adjustment determined under section (J) with a base year of 1988.

(D) Overall Limitation on Itemized Deductions

(1) General rule.

In the case of an individual whose adjusted gross income as modified by section 44-30-12 exceeds the applicable amount, the amount of the itemized deductions otherwise allowable for the taxable year shall be reduced by the lesser of:

(a) Three percent (3%) of the excess of adjusted gross income as modified by section 44-30-12 over the applicable amount; or

(b) Eighty percent (80%) of the amount of the itemized deductions otherwise allowable for such taxable year.

(2) Applicable amount.

(a) In general.

For purposes of this section, the term "applicable amount" means $156,400 ($78,200 in the case of a separate return by a married individual)

(b) Adjustments for inflation.

Each dollar amount contained in paragraph (a) shall be increased by an amount equal to:

(i) such dollar amount contained in paragraph (a)  in the year 1991, multiplied by

(ii) the cost-of-living adjustment determined under section (J) with a base year of 1991.

(3) Phase-out of Limitation.

(a) In general.

In the case of taxable year beginning after December 31, 2005, and before January 1, 2010, the reduction under section (1) shall be equal to the applicable fraction of the amount which would be the amount of such reduction.

(b) Applicable fraction.

For purposes of paragraph (a), the applicable fraction shall be determined in accordance with the following table:

For taxable years beginning in calendar year                           The applicable fraction is

2006 and 2007                                                                                   2/3

2008 and 2009                                                                                   1/3

(E) Exemption Amount

(1) In general.

Except as otherwise provided in this subsection, the term "exemption amount" mean $3,400.

(2) Exemption amount disallowed in case of certain dependents.

In the case of an individual with respect to whom a deduction under this section is allowable to another taxpayer for the same taxable year, the exemption amount applicable to such individual for such individual's taxable year shall be zero.

(3) Adjustments for inflation.

The dollar amount contained in paragraph (1) shall be increased by an amount equal to:

(a) such dollar amount contained in paragraph (1) in the year 1989, multiplied by

(b) the cost-of-living adjustment determined under section (J) with a base year of 1989.

(4) Limitation.

(a) In general.

In the case of any taxpayer whose adjusted gross income as modified for the taxable year exceeds the threshold amount shall be reduced by the applicable percentage.

(b) Applicable percentage.

In the case of any taxpayer whose adjusted gross income for the taxable year exceeds the threshold amount, the exemption amount shall be reduced by two (2) percentage points for each $2,500 (or fraction thereof) by which the taxpayer's adjusted gross income for the taxable year exceeds the threshold amount.  In the case of a married individual filing a separate return, the preceding sentence shall be applied by substituting "$1,250"  for "$2,500." In no event shall the applicable percentage exceed one hundred percent (100%).

(c) Threshold Amount.

For the purposes of this paragraph, the term "threshold amount" shall be determined with the following table:

Filing status                                                                           Amount

Single                                                                                    $156,400

Married filing jointly of qualifying widow(er)                           $234,600

Married filing separately                                                        $117,300

Head of Household                                                               $195,500

(d) Adjustments for inflation.

Each dollars amount contain in paragraph (b) shall be increased by an amount equal to:

(i) such dollar amount contained in paragraph (b) in the year 1991, multiplied by

(ii) the cost-of-living adjustment determined under section (J) with a base year of 1991.

(5) Phase-out of Limitation.

(a) In general.

In the case of taxable years beginning after December 31, 2005, and before January 1, 2010, the reduction under section 4 shall be equal to the applicable fraction of the amount which would be the amount of such reduction.

(b) Applicable fraction.

For the purposes of paragraph (a), the applicable fraction shall be determined in accordance with the following table:

For taxable years beginning in calendar year                           The applicable fraction is

2006 and 2007                                                                                   2/3

2008 and 2009                                                                                   1/3

(F) Alternative Minimum Tax

(1) General rule – There is hereby imposed (in addition to any other tax imposed by this subtitle) a tax equal to the excess (if any) of:

(a) the tentative minimum tax for the taxable year, over

(b) the regular tax for the taxable year.

(2) The tentative minimum tax for the taxable year is the sum of:

(a) 6.5 percent of so much of the taxable excess as does not exceed $175,000, plus

(b) 7.0 percent of so much of the taxable excess above $175,000.

(3) The amount determined under the preceding sentence shall be reduced by the alternative minimum tax foreign tax credit for the taxable year.

(4) Taxable excess – For the purposes of this subsection the term "taxable excess" means so much of the federal alternative minimum taxable income as modified by the modifications in section 44-30-12 as exceeds the exemption amount.

(5) In the case of a married individual filing a separate return, subparagraph (2) shall be applied by substituting "$87,500" for $175,000 each place it appears.

(6) Exemption amount.

For purposes of this section "exemption amount" means:

Filing status                                                                           Amount

Single                                                                                    $39,150

Married filing jointly or qualifying widow(er)                           $53,700

Married filing separately                                                        $26,850

Head of Household                                                               $39,150

Estate or trust                                                                        $24,650

(7) Treatment of unearned income of minor children

(a) In general.

In the case of a minor child, the exemption amount for purposes of section (6) shall not exceed the sum of:

(i) such child's earned income, plus

(ii) $6,000.

(8) Adjustments for inflation.

The dollar amount contained in paragraphs (6) and (7) shall be increased by an amount equal to:

(a) such dollar amount contained in paragraphs (6) and (7) in the year 2004, multiplied by

(b) the cost-of-living adjustment determined under section (J) with a base year of 2004.

(9) Phase-out.

(a) In general.

The exemption amount of any taxpayer shall be reduced (but not below zero) by an amount equal to twenty-five percent (25%) of the amount by which alternative minimum taxable income of the taxpayer exceeds the threshold amount.

(b) Threshold amount.

For purposes of this paragraph, the term "threshold amount" shall be determined with the following table:

Filing status                                                                           Amount

Single                                                                                    $123,250

Married filing jointly or qualifying widow(er)                           $164,350

Married filing separately                                                        $82,175

Head of Household                                                               $123,250

Estate or Trust                                                                       $82,150

(c) Adjustments for inflation

Each dollar amount contained in paragraph (9) shall be increased by an amount equal to:

(i) such dollar amount contained in paragraph (9) in the year 2004, multiplied by

(ii) the cost-of-living adjustment determined under section (J) with a base year of 2004.

(G) Other Rhode Island Taxes

(1) General rule – There is hereby imposed (in addition to any other tax imposed by this subtitle) a tax equal to twenty-five percent (25%) of':

(a) The Federal income tax on lump-sum distributions.

(b) The Federal income tax on parents' election to report child's interest and dividends.

(c) The recapture of Federal tax credits that were previously claimed on Rhode Island return.

(H) Tax for children under 18 with investment income

(1) General rule – There is hereby imposed a tax equal to twenty-five percent (25%) of:

(a) The Federal tax for children under the age of 18 with investment income.

(I) Averaging of farm income

(1) General Rule – At the election of an individual engaged in a farming business or fishing business, the tax imposed in section 2 shall be equal to twenty-five percent (25%) of:

(a) The Federal averaging of farm income as determined in IRC section 1301.

(J) Cost-of-Living Adjustment

(1) In general.

The cost-of-living adjustment for any calendar year is the percentage (if any) by which:

(a) the CPI for the preceding calendar year exceeds

(b) the CPI for the base year.

(2) CPI for any calendar year.

For purposes of paragraph (1), the CPI for any calendar year is the average of the Consumer Price Index as of the close of the twelve (12) month period ending on August 31 of such calendar year.

(3) Consumer Price Index

For purposes of paragraph (2), the term "consumer price index" means the last consumer price index for all urban consumers published by the department of labor.  For purposes of the preceding sentence, the revision of the consumer price index which is most consistent with the consumer price index for calendar year 1986 shall be used.

(4) Rounding.

(a) In general.

If any increase determined under paragraph (1) is not a multiple of $50, such increase shall be rounded to the next lowest multiple of $50.

(b) In the case of a married individual filing a separate return, subparagraph (a) shall be applied by substituting "$25" for $50 each place it appears.

 (d) (K) Credits against tax. - For tax years beginning on or after January 1, 2001, a taxpayer entitled to any of the following federal credits enacted prior to January 1, 1996 shall be entitled to a credit against the Rhode Island tax imposed under this section:

 (1) Earned income credit;

 (2) Child and dependent care credit;

 (3) General business credits;

 (4) Foreign tax credit;

 (5) Credit for elderly or the disabled;

 (6) Credit for prior year minimum tax;

 (7) Mortgage interest credit;

 (8) Empowerment zone employment credit;

 (9) Qualified electric vehicle credit.

 (e) (L) Credit Against Tax for Adoption. - For tax years beginning on or after January 1, 2006, a taxpayer entitled to the federal adoption credit shall be entitled to a credit against the Rhode Island tax imposed under this section if the adopted child was under the care, custody, or supervision of the Rhode Island department of children, youth and families prior to the adoption.

 (f) (M) The credit shall be twenty-five percent (25%) of the aforementioned federal credits provided there shall be no deduction based on any federal credits enacted after January 1, 1996, including the rate reduction credit provided by the federal Economic Growth and Tax Reconciliation Act of 2001 (EGTRRA). In no event shall the tax imposed under this section be reduced to less than zero. A taxpayer required to recapture any of the above credits for federal tax purposes shall determine the Rhode Island amount to be recaptured in the same manner as prescribed in this subsection.

(N) Rhode Island Earned Income Credit

(1) In general.

A taxpayer entitled to a federal earned income credit shall be allowed a Rhode Island earned income credit equal to twenty-five percent (25%) of the federal earned income credit.  Such credit shall not exceed the amount of the Rhode Island income tax.

(2) Refundable portion.

In the event the Rhode Island earned income credit allowed under section (J) exceeds the amount of Rhode Island income tax, a refundable earned income credit shall be allowed.

(a) For purposes of paragraph (2) refundable earned income credit means fifteen percent (15%) of the amount by which the Rhode Island earned income credit exceeds the Rhode Island income tax.

(O) The tax administrator shall recalculate and submit necessary revisions to paragraphs (A) through (J) to the general assembly no later than February 1, 2010 and every three (3) years thereafter for inclusion in the statute.

 

44-30-2.7. Capital gains rates for assets held more than five (5) years. – (a) All capital assets purchased prior to January 1, 2002 and sold on or after January 1, 2007, shall be deemed to have a holding period beginning January 1, 2002. For tax years beginning in 2007, the capital gains rate for assets held more than five (5) years shall be eight and one-third percent (8.33%) of the federal capital gains rate(s) which were in effect prior to the enactment of the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA). as follows:

(i) 0.83% of the net capital gain as reported for federal income tax purposes under 26 U.S.C. section 1(h)(1)(a) and 26 U.S.C. section 1(h)(1)(b).

(ii) 1.67% of the net capital gain as reported for federal income tax purposes under 26 U.S.C. section 1(h)(1)(c).

(iii) 2.08% of the net capital gain as reported for federal income tax purposes under 26 U.S.C. section 1(h)(1)(d).

(iv) 2.33% of the net capital gain as reported for federal income tax purposes under 26 U.S.C. section 1(h)(1)(e).

Beginning in tax year 2008 and thereafter, the capital gains rate for assets held more than five (5) years shall be zero percent (0%).

 

SECTION 6. Section 44-30-98 of the General Laws in Chapter 44-30 entitled "Personal Income Tax" is hereby repealed.

 

44-30-98. Refundable earned income credit. -- A taxpayer shall be allowed a credit as provided in section 44-30-2.6(d); provided, however, fifteen percent (15%) of the excess Rhode Island earned income credit will be refunded for the 2006 taxable year and each taxable year thereafter.

 

SECTION 7.  Section 42-141-5 of the General Laws in Chapter 42-141 entitled “Affordable Energy” is hereby amended to read as follows:

 

42-141-5. Affordable energy fund. – (1) A special account is hereby established in the state treasury to be called the "affordable energy fund."

(2) Money remaining in the fund at the end of a fiscal year shall remain available for expenditure in successive fiscal years.

(3) The fund shall be used for only those purposes enumerated in subsection (d).

(b) Financing of the fund. The fund shall consist of the following sources:

(1) Sums the legislature may appropriate;

(2) Moneys received from federal, state, private donor or other sources for the purpose of energy affordability by low income households;

(3) Fees required pursuant to subsection (c); and

(4) Any interest earned on the moneys in the fund.

(1) [Effective July 1, 2007]. An affordable energy fee in an amount set forth in this subsection shall be imposed on gross receipts of electricity and gas companies and gross receipts on the sale of heating fuels not used for residential heating. The fee shall be remitted to the division of taxation according to the applicable schedule for the remission of the gross receipts tax as provided for in chapter 44-13 or the sales and use as provided for in chapter 44-18. The fees shall be as follows:

(i) Gas. Effective January 1, 2009, one-quarter of one percent (0.25%) of the gross receipts tax of gas companies subject to the provisions of chapter 44-13 “Public Service Corporation Tax”. Effective January 1, 2010, one-half of one percent (0.50%) of the gross receipts of gas companies subject to the provisions of chapter 44-13 “Public Service Corporation Tax”. Effective January 1, 2011 three-quarters of  one percent (0.75%) of the gross receipts of gas companies subject to the provisions of chapter 44-13 “Public Service Corporation Tax”. Effective January 1, 2012 and each January 1 thereafter Oone percent (1%) of the gross receipts of gas companies subject to the provisions of chapter 44-13, "Public Service Corporation Tax".

(ii) Electricity. Effective January 1, 2009, one-quarter of one percent (0.25%) of the gross receipts tax of electric companies subject to the provisions of chapter 44-13 “Public Service Corporation Tax”. Effective January 1, 2010, one-half of one percent (0.50%) of the gross receipts of electric companies subject to the provisions of chapter 44-13 “Public Service Corporation Tax”. Effective January 1, 2011, three-quarters of one percent (0.75%) of the gross receipts of electric companies subject to the provisions of chapter 44-13 “Public Service Corporation Tax”. Effective January 1, 2012 and each January 1 thereafter,  Oone percent (1%) of the gross receipts of electric companies subject to the provisions of chapter 44-13, "Public Service Corporation Tax".

(iii) Heating fuel other than natural gas and electricity. Effective January 1, 2009, one-half percent (.50%) of gross receipts from the sales and use of heating fuel subject to the provisions of chapter 44-18 “Sales and Use Taxes – Liability and Computation”. Effective January 1, 2010, one percent (1.0%) of gross receipts from the sales and use of heating fuel subject to the provisions of chapter 44-18 “Sales and Use Taxes – Liability and Computation”.  Effective January 1, 2011, one and one-half percent (1.5%) of gross receipts from the sales and use of heating fuel subject to the provisions of chapter 44-18. Effective January 1, 2012 and each January 1 thereafter Ttwo percent (2%) of gross receipts from the sales and use of heating fuel subject to the provisions of chapter 44-18. "Sales and Use Taxes – Liability and Computation".

(2) Every person from whom an affordable energy fee is due shall be liable for the fee until it has been paid to the state.

(1) The commissioner may use money from the fund to:

(i) Support weatherization and energy conservation educational programs and weatherization and energy conservation services for low-income and very low income households;

(ii) Compensate electric and gas distribution companies for revenues lost due to the reductions in distribution and customer charges, in accordance with a plan approved by the commission, to very low income households, and if feasible to low income households, which shall, as a first priority, be used to provide up to a fifty percent (50%) reduction in the distribution and customer charges for a reasonable and prudent use by very low-income households of gas and electricity that does not exceed average use for comparable dwelling units.

(iii) Defray the cost of heating fuel delivered to very low income households by an amount not to exceed twenty-five percent (25%) of the allowable cost of heating fuel and a total usage by the household, supported assistance from all sources overseen by the commissioner, that is reasonable and prudent and does not exceed average use for comparable dwelling units.

(iv) It is not the purpose of the fund to reduce the amount of assistance a household would otherwise receive from LIHEAP and other sources in the absence of the fund or to subsidize utility rates in effect as of July 1, 2006, and provided for by law.

(2) If the commissioner determines it is in the public interest to allocate funds for the purposes set forth in subparagraph (1)(ii) above, the commissioner shall notify the commission of the amount of funds to be allocated for a specified period. The commission shall then direct the electric and/or gas distribution companies to file amendments to the appropriate tariffs to implement rate reductions designed to provide the rate reduction consistent with the amount allocated for the period designated, which amendments are subject to the review and approval of the commission. Once approval is given, the allocated funds shall be transferred to the gas and/or electric distribution company. Any funds held after transfer shall accumulate interest at the customer deposit rate ("interest"). If, at the end of the rate reduction period, there are any unused dollars from the fund, such dollars shall be returned to the affordable energy fund with interest. Likewise, if at the end of the rate reduction period, there were not enough funds allocated to cover the rate reduction as designed, the shortfall will be reimbursed from the affordable energy fund with interest; provided, however, if there are no additional funds available from the fund, such shortfall or uncovered balance of such shortfall will be recovered with interest from all customers in a manner and over the period approved by the commission.

(1) The commissioner shall administer the fund in accordance with this chapter.

(2) The commissioner in consultation with the department shall adopt procedures governing the expenditure of, and accounting for, money expended from the fund.

(3) The commissioner is responsible for insuring that there are adequate moneys available in the fund to carry out the purposes of this section.

(4) The commissioner shall maintain accounting records showing the income and expenses of the fund.

(f) Expenditure of fund money. Disbursements may be made from the fund for the following purposes:

(1) Necessary administrative expenses, personnel expenses and equipment costs of the office related to this section which shall not exceed ten percent (10%) of the revenue of the fund;

(2) All costs to effectuate the purposes of the fund as set forth in subsection (d).

(g) Report to the legislature. The commissioner shall submit a report to the legislature not later than the tenth (10th) day following the convening of each regular session of the legislature. The report may include information considered significant by the commissioner but must include:

(1) The amount of money expended under § 42-141-5 during the preceding fiscal year;

(2) The amount and source of money received during the preceding fiscal year;

(3) A detailed summary of activities funded by the fund during the preceding fiscal year;

(4) The projected cost to the fund for affordable energy programs in the next fiscal year.

 

SECTION 8.   Section 44-13-4 of the General Laws in Chapter 44-13 entitled “Public Service Corporation Tax” is hereby amended to read as follows:

 

44-13-4. Rate of taxation. – The tax imposed will be at the following rates:

(1) In the case of every corporation whose principal business is a steamboat or ferryboat business as a common carrier, every common carrier steam or electric railroad corporation, every street railway corporation, every common carrier dining, sleeping, chair, or parlor car corporation, every corporation whose principal business is selling and distributing water to the public, and every toll bridge corporation, one and one-fourth percent (1.25%) of its gross earnings;

(2) In the case of every corporation whose principal business is manufacturing, selling, distributing and/or transmitting currents of electricity to be used for light, heat, or motive power, four percent (4%) of its gross earnings, but deductions shall be made of gross earnings from the transmission or sale of electricity to other public utility corporations, non-regulated power producers, or municipal utilities for resale, whether within or outside of this state; provided, that the tax measured by the portion of the utility's gross earnings as is derived from the manufacture and sale of illuminating and heating gas and its by-products and the merchandising of gas appliances shall be computed at the rate of three percent (3%); provided, however, that effective July 1, 2007 January 1, 2009, the amount of the tax herein established shall be reduced by the fee due and paid to the affordable energy fund established by § 42-141-5;

(3) In the case of every express corporation carrying on its business on steamboats, steam or electric railroads, or street railways and of every public service corporation whose principal business is that of a telegraph corporation, four percent (4%) of its gross earnings;

(4) In the case of every telecommunications corporation providing telecommunications service, ten percent (10%) of its gross earnings; provided, that the rate shall be nine percent (9%) effective July 1, 1985, eight percent (8%) effective July 1, 1986, seven percent (7%) effective July 1, 1987, six percent (6%) effective July 1, 1988, and five percent (5%) effective July 1, 1997. For purposes of this chapter, "telecommunications service" means the transmission of any interactive two-way electromagnetic communications including voice, image, data, and other information, by means of wire, cable, including fiber optical cable, microwave, and radio wave, or any combinations of these media. This definition does not include value added non-voice services in which computer processing applications are used to act on the form, content, code, and protocol of the information to be transmitted;

(5) In the case of every public service cable corporation, eight percent (8%) of its gross earnings;

(6) In the case of every corporation whose principal business is manufacturing, selling and/or distributing to the public illuminating or heating gas, three percent (3%) of its gross earnings.

 

SECTION 9.  Section 44-18-30.D of the General Laws in Chapter 44-18 entitled “Sales and Use Taxes – Liability and Computation” is hereby amended to read as follows:

 

44-18-30.D. Credit for fees to the affordable energy fund. – Effective July 1, 2007 January 1, 2009, there shall be a credit, of the amount of the fee due and paid to the affordable energy fund established by § 42-141-5, against the gross receipts tax for the sales and use of heating fuel not exempted from taxation pursuant to subsection 44-18-30(20).

 

  SECTION 10. Section 31-6-1 of the General Laws in Chapter 31-6 entitled “Registration Fees” is hereby amended to read as follows:

 

31-6-1. Amount of registration and miscellaneous fees. – (a) The following registration fees shall be paid to the division of motor vehicles for the registration of motor vehicles, trailers, semi-trailers, and school buses subject to registration for each year of registration:

(1) For the registration of every automobile, when equipped with pneumatic tires, the gross weight of which is not more than four thousand pounds (4,000 lbs.): thirty dollars ($30.00).  

(2) For the registration of every motor truck or tractor when equipped with pneumatic tires, for the gross weight of which is not more than four thousand pounds (4,000 lbs.):

(i) Not more than four thousand pounds (4,000 lbs.): thirty-four dollars ($34.00);.

(3) For the registration of every automobile, motor truck or tractor, when equipped with pneumatic tires, the gross weight of which is:

(ii)(i) More than four thousand pounds (4,000 lbs.), but not more than five thousand pounds (5,000 lbs.): forty dollars ($40.00);

(iii)(ii) More than five thousand pounds (5,000 lbs.), but not more than six thousand pounds (6,000 lbs.): forty-eight dollars ($48.00);

 (iv) (iii) More than six thousand pounds (6,000 lbs.), but not more than seven thousand pounds (7,000 lbs.): fifty-six dollars ($56.00);

(v) (iv) More than seven thousand pounds (7,000 lbs.), but not more than eight thousand pounds (8,000 lbs.): sixty-four dollars ($64.00);

(vi) (v) More than eight thousand pounds (8,000 lbs.), but not more than nine thousand pounds (9,000 lbs.): seventy dollars ($70.00);

(vii) (vi) More than nine thousand pounds (9,000 lbs.), but not more than ten thousand pounds (10,000 lbs.): seventy-eight dollars ($78.00);

(viii) (vii) More than ten thousand pounds (10,000 lbs.), but not more than twelve thousand pounds (12,000 lbs.): one hundred six dollars ($106);

(ix) (viii) More than twelve thousand pounds (12,000 lbs.), but not more than fourteen thousand pounds (14,000 lbs.): one hundred twenty-four dollars ($124);

(x) (ix) More than fourteen thousand pounds (14,000 lbs.), but not more than sixteen thousand pounds (16,000 lbs.): one hundred forty dollars ($140);

(xi) (x) More than sixteen thousand pounds (16,000 lbs.), but not more than eighteen thousand pounds (18,000 lbs.): one hundred fifty-eight dollars ($158);

(xii) (xi) More than eighteen thousand pounds (18,000 lbs.), but not more than twenty thousand pounds (20,000 lbs.): one hundred seventy-six dollars ($176);

(xiii) (xii) More than twenty thousand pounds (20,000 lbs.), but not more than twenty-two thousand pounds (22,000 lbs.): one hundred ninety-four dollars ($194);

(xiv) (xiii) More than twenty-two thousand pounds (22,000 lbs.), but not more than twenty-four thousand pounds (24,000 lbs.): two hundred ten dollars ($210);

(xv) (xiv) More than twenty-four thousand pounds (24,000 lbs.), but not more than twenty-six thousand pounds (26,000 lbs.): two hundred thirty dollars ($230);

(xvi) (xv) More than twenty-six thousand pounds (26,000 lbs.), but not more than twenty-eight thousand pounds (28,000 lbs.): two hundred ninety-six dollars ($296);

(xvii) (xvi) More than twenty-eight thousand pounds (28,000 lbs.), but not more than thirty thousand pounds (30,000 lbs.): three hundred sixteen dollars ($316);

(xviii) (xvii) More than thirty thousand pounds (30,000 lbs.), but not more than thirty-two thousand pounds (32,000 lbs.): four hundred and twenty-two dollars ($422);

(xix) (xviii) More than thirty-two thousand pounds (32,000 lbs.), but not more than thirty-four thousand pounds (34,000 lbs.): four hundred and forty-eight dollars ($448);

(xx) (xix) More than thirty-four thousand pounds (34,000 lbs.), but not more than thirty-six thousand pounds (36,000 lbs.): four hundred and seventy-six dollars ($476);

(xxi) (xx) More than thirty-six thousand pounds (36,000 lbs.), but not more than thirty-eight thousand pounds (38,000 lbs.): five hundred and two dollars ($502);

(xxii) (xxi) More than thirty-eight thousand pounds (38,000 lbs.), but not more than forty thousand pounds (40,000 lbs.): five hundred and twenty-eight dollars ($528);

(xxiii) (xxii) More than forty thousand pounds (40,000 lbs.), but not more than forty-two thousand pounds (42,000 lbs.): five hundred and fifty-four dollars ($554);

(xxiv) (xxiii) More than forty-two thousand pounds (42,000 lbs.), but not more than forty-six thousand pounds (46,000 lbs.): six hundred and eight dollars ($608);

(xxv) (xxiv) More than forty-six thousand pounds (46,000 lbs.), but not more than fifty thousand pounds (50,000 lbs.): six hundred and sixty dollars ($660);

(xxvi) (xxv) More than fifty thousand pounds (50,000 lbs.), but not more than fifty-four thousand pounds (54,000 lbs.): seven hundred and twelve dollars ($712);

(xxvii) (xxvi) More than fifty-four thousand pounds (54,000 lbs.), but not more than fifty-eight thousand pounds (58,000 lbs.): seven hundred and sixty-eight dollars ($768);

(xxviii) (xxvii) More than fifty-eight thousand pounds (58,000 lbs.), but not more than sixty-two thousand pounds (62,000 lbs.): eight hundred and sixteen dollars ($816);

(xxix) (xxviii) More than sixty-two thousand pounds (62,000 lbs.), but not more than sixty-six thousand pounds (66,000 lbs.): eight hundred and seventy-six dollars ($876);

(xxx) (xxix)More than sixty-six thousand pounds (66,000 lbs.), but not more than seventy thousand pounds (70,000 lbs.): nine hundred and twenty-four dollars ($924);

(xxxi) (xxx) More than seventy thousand pounds (70,000 lbs.), but not more than seventy-four thousand pounds (74,000 lbs.): nine hundred and seventy-two dollars ($972);

(xxxii) (xxxi) Over seventy-four thousand pounds (74,000 lbs.): nine hundred and seventy-two dollars ($972), plus twenty-four dollars ($24.00) per two thousand pounds (2,000 lbs.) gross weight.

(3) (4) For the registration of every semi-trailer to be used with a truck-tractor as defined in § 31-1-4(a) shall be as follows : annual fee of twelve dollars ($12.00) for a one year registration, for multi-year registrations the fee of fifty dollars ($50.00) for a five (5) year registration and eighty dollars ($80.00) for an eight (8) year registration. However, when in use the weight of the resulting semi-trailer unit and its maximum carrying capacity shall not exceed the gross weight of the original semi-trailer unit from which the gross weight of the tractor was determined. A registration certificate and registration plate shall be issued for each semi-trailer so registered. There shall be no refund of payment of such fee, except that when a plate is returned prior to ninety (90) days before the effective date of that year's registration, the pro rate amount, based on the unused portion of the multi-year registration plate period at time of surrender, shall be refunded. A multi-year semi-trailer registration may be transferred to another semi-trailer subject to the provisions and fee set forth in § 31-6-11. Thirty percent (30%) of the semi-trailer registration fee shall be retained by the division of motor vehicles to defray the costs of implementation of the international registration plan (IRP) and fleet registration section.

(4) (5) For the registration of every automobile, motor truck, or tractor, when equipped with other than pneumatic tires, there shall be added to the above gross weight fees a charge of ten cents (10’) for each one hundred (100) pounds of gross weight.

(5) (6) For the registration of every public bus, the rates provided for motor vehicles for hire plus two dollars ($2.00) for each passenger which that bus is rated to carry, the rating to be determined by the administrator of the division of motor vehicles.

(6) (7) For the registration of every motorcycle, or motor-driven cycle, thirteen dollars ($13.00). Three dollars ($3.00) from that sum shall be turned over to the department of education to assist in the payment of the cost of the motorcycle driver's education program as enumerated in § 31-10.1-1.1.

(7) (8) For the registration of every trailer not including semi-trailers used with a truck-tractor as defined in § 31-1-4(a), with a gross weight of three thousand pounds (3,000 lbs.) or less, five dollars ($5.00). Trailers with a gross weight of more than three thousand pounds (3,000 lbs.) shall be assessed a registration fee of one dollar and fifty cents ($1.50) per thousand pounds (1,000 lbs.).

(8) (9) The annual registration fee for a motor vehicle, commonly described as a boxcar and/or locomotive, and used only by la societe des 40 hommes et 8 chevaux for civic demonstration, parades, convention purposes or social welfare work, shall be two dollars ($2.00).

(9) (10) For the registration of every motor vehicle, trailer, or semi-trailer owned by any department or agency of any city or town or district, provided the name of the city or town or district or state department or agency owning the same shall be plainly printed on two (2) sides of the vehicle, two dollars ($2.00).

(10) (11) For the registration of motor vehicles used for racing, fifteen dollars ($15.00).

(11) (12) For every duplicate registration certificate, seventeen dollars ($17.00).

(12) (13) For every certified copy of a registration certificate or application, ten dollars ($10.00).

(13) (14) For every certificate assigning a special identification number or mark as provided in § 31-3-37, one dollar ($1.00).

(14) (15) For every replacement of number plates or additional pair of number plates, without changing the number, thirty dollars ($30.00).

(15) (16) For the registration of every farm vehicle, used in farming as provided in § 31-3-31, ten dollars ($10.00).

(16) (17) For the registration of antique motor vehicles, five dollars ($5.00).

(17) (18) For the registration of a suburban vehicle, when used as a pleasure vehicle and the gross weight of which is not more than four thousand pounds (4,000 lbs.), the same rates as charged in subdivision (1) of this subsection shall be applicable and when used as a commercial vehicle and the gross weight of which is not more than four thousand pounds (4,000 lbs.), the same rates as provided in subdivision (2) of this subsection shall be applicable.  The rates in subdivision (3) of this subsection shall be applicable when the suburban vehicle has a gross weight of more than four thousand pounds (4,000 lbs.), regardless of the use of the vehicle.  

(18) (19) For the registration of every motor bus which is used exclusively under contract with a political subdivision or school district of the state for the transportation of school children, three dollars ($3.00) provided that the motor bus may also be used for the transportation of persons to and from church and Sunday school services, and for the transportation of children to and from educational or recreational projects sponsored by a city or town or by any association or organization supported wholly or in part by public or private donations for charitable purposes, without the payment of additional registration fee.

(19) (20) For the registration of every motorized bicycle, ten dollars ($10.00).

(20) (21) For the registration of every motorized tricycle, ten dollars ($10.00).

(21) (22) For the replacement of number plates with a number change, twenty dollars ($20.00).

(22) (23) For the initial issuance and each reissuance of fully reflective plates as required by §§ 31-3-10 and 31-3-32, an additional six dollars ($6.00).

(23) (24) For the issuance of a trip permit under the International Registration Plan, twenty-five dollars ($25.00) per vehicle. The division of motor vehicles is authorized to issue seventy-two (72) hour trip permits for vehicles required to be registered in the International Registration Plan that have not been apportioned with the state of Rhode Island.

(24) (25) For the issuance of a hunter's permit under the International Registration Plan, twenty-five dollars ($25.00) per vehicle. The division of motor vehicles is authorized to issue hunter's permits for motor vehicles based in the state of Rhode Island and otherwise required to be registered in the International Registration Plan. These permits are valid for thirty (30) days.

(25) (26) For the registration of a specially adapted motor vehicle necessary to transport a family member with a disability for personal, noncommercial use, a fee of thirty dollars ($30.00) assessed.

(b) In the event that the registrant voluntarily cancels his registration within the period of registration, the division of motor vehicles shall refund only that portion of the fee paid which represents full-year segments of the registration fee paid.

 

SECTION 11 Section 31-3-17.1 of the General Laws in Chapter 31-3 entitled "Registration of Vehicles" is hereby amended to read as follows:

 

31-3-17.1. Courtesy plates. -- The administrator of the division of motor vehicles shall design and issue under regulations that he or she deems appropriate, special courtesy automobile, motorcycle, and commercial registration plates to be used on passenger motor vehicles, motorcycles, and all commercial vehicles whose gross weight is not more than nine thousand pounds (9,000 lbs.) in lieu of other number plates. Special plates shall be of such design and shall bear such letters or combinations of letters and numbers as the administrator of the division of motor vehicles shall prescribe, and shall be made of light-reflecting sheeting applied on a metal base, provided that no automobile set of plates shall contain more than six (6) letters and numbers in a combination of letters and numbers, or less than two (2) letters, and that no motorcycle plate shall contain more than five (5) letters or more than five (5) letters and numbers in a combination or less than two (2) letters, and that a commercial courtesy plate shall be marked "commercial," and shall contain no more than five (5) letters or more than five (5) letters and numbers in a combination or less than two (2) letters, and provided further, that there shall be no duplication of identification and the administrator of the division of motor vehicles shall in his or her discretion refuse to issue any letter or combination of letters and numbers which might carry connotations offensive to good taste and decency. A special automobile or commercial courtesy plate shall be issued upon application using forms furnished by the administrator of the division of motor vehicles, and upon payment, in addition to the regular prescribed motor vehicle registration fee, a service charge of thirty dollars ($30.00) sixty dollars ($60.00) for each issue and for each registration renewal. For motorcycles, a special courtesy plate shall be issued upon application using forms furnished by the division of motor vehicles, and upon payment, in addition to the regular prescribed motor vehicle registration fee, a service charge of seventeen dollars ($17.00) thirty-four dollars ($34.00) for each issue and for each registration renewal. The service charge shall be paid to the administrator of the division of motor vehicles prior to the administrator's acceptance of the application. The Rhode Island state lottery commission shall not be required to pay the service charge for any special courtesy plate issued pursuant to this section for motor vehicles owned or used by the lottery commission, and may utilize the special courtesy plates on all types of vehicles owned or operated by the lottery commission.

 

SECTION 12. Business Income Taxes Combined Reporting:  The Division of Taxation with the assistance of the Office of Revenue Analysis shall prepare and submit to the General Assembly by December 1, 2008, a report concerning the policy and fiscal ramifications of changing the corporation tax and other business income taxes to a combined method of reporting. The report and legislation shall be transmitted to the Chairperson of the House Finance Committee and the Chairperson of the Senate Finance Committee with copies to the House and Senate Fiscal Advisors.

 

SECTION 13. Section 3-4-1 of the General Laws in Chapter 3-4 entitled "Transportation of Beverages" is hereby amended to read as follows:

 

3-4-1. Importation orders. – (a) Except as otherwise provided, it is unlawful to import beverages into this state. A person desiring to import beverages into this state may place with the division of taxation an order directed to a dealer for the beverage he or she desires to import and shall satisfy the division of taxation of his or her intention to pay for the merchandise. The division of taxation shall execute these orders unless doing so would involve some illegal act or the doing of an act which would be cause for the forfeiture of any license issued under this title.

(b) All sellers, dealers, merchants, wholesalers and retailers of beverages who advertise in the state of Rhode Island, or whose advertisements are reasonably anticipated to circulate in this state shall prominently and conspicuously include within the advertisement a notice printed using a font size equal to but not larger than the font size of the largest price designation featured in the advertisement stating that the importation of beverages into the state, after purchase outside of the state, are subject to Rhode Island sales tax, and the failure to pay such tax may result in the seizure of such beverages upon entry into the state.

(c) Any entity accepting commercial advertisements from any seller, dealer, merchant, wholesaler or retailer of beverages shall not publish such advertisement for the sale of such beverages unless the advertisement includes the notice set forth in this section.

 

SECTION 14. Sections 44-11-1, 44-11-2 and 44-11-11 of the General Laws in Chapter 44-11 entitled "Business Corporation Tax" are hereby amended to read as follows:

 

44-11-1. Definitions. -- For the purpose of this chapter:

(1)(a) "Captive REIT" means a corporation, trust or association:

(i) that is considered a real estate investment trust for the taxable year under section 856 of the Internal Revenue Code;

(ii) that is not regularly traded on an established securities market; and

(iii) more than fifty percent (50%) of the voting power or value of the beneficial interests or shares of which at any time during the last half of the taxable year, is owned or controlled, directly or indirectly, by a single entity that is subject to the provisions of Subchapter C of Chapter 1 of the Internal Revenue Code; and

(b) "Captive REIT" does not include:

(i) a corporation, trust or association more than fifty percent (50%) of the voting power or value of the beneficial interests or shares of which, at any time during which the corporation, trust or association satisfies item (1)(iii) of this subsection, is owned or controlled, directly or indirectly, by:

(A) a real estate investment trust other than a real estate investment trust described in item (i) of this subsection; or

             (B) a person exempt from taxation under section 501(a) of the Internal Revenue Code; or

             (C) a listed Australian Property Trust; and.

(ii) subject to regulations that the tax administrator adopts, a real estate investment trust that is intended to become regularly traded on an established securities market and that satisfies the requirements of section 865(A)(5) and (6) of the Internal Revenue Code by reason of section 856(h)(2) of the Internal Revenue Code; and

(c) For purposes of this section, the constructive ownership rules prescribed under section 318(a) of the Internal Revenue Code, as modified by section 856(d)(5) of the Internal Revenue Code, shall apply in determining the ownership of stock, assets or net profits of any person.

 (1) (2) "Corporation" means every corporation, joint-stock company, or association, wherever incorporated, a real estate investment trust, a regulated investment company, a personal holding company registered under the Federal Investment Company Act of 1940, 15 U.S.C. section 80a-1 et seq., and also a trustee or trustees conducting a business where interest or ownership is evidenced by certificates or other written instruments, deriving any income from sources within this state or engaging in any activities or transactions within this state for the purpose of profit or gain, whether or not an office or place of business is maintained in this state, or whether or not the income, activities, or transactions are connected with intrastate, interstate, or foreign commerce, except:

 (i) State banks, mutual savings banks, federal savings banks, trust companies, national banking associations, building and loan associations, credit unions, and loan and investment companies;

 (ii) Public service corporations included in chapter 13 of this title, except as otherwise provided in section 44-13-2.2;

 (iii) Insurance and surety companies;

 (iv) Corporations specified in section 7-6-4, incorporated hospitals, schools, colleges, and other institutions of learning not organized for business purposes and not doing business for profit and no part of the net earnings of which inures to the benefit of any private stockholder or individual, whether incorporated under any general law of this state or by any special act of the general assembly of this state;

 (v) Fraternal beneficiary societies as set forth in section 27-25-1;

 (vi) Any corporation expressly exempt from taxation by charter;

 (vii) Corporations which together with all corporations under direct or indirect common ownership that satisfies the other requirements of this paragraph employ not less than five (5) full-time equivalent employees in the state; which maintain an office in the state; and activities within the state which are confined to the maintenance and management of their intangible investments or of the intangible investments of corporations or business trusts registered as investment companies under the Investment Company Act of 1940, 15 U.S.C. section 80a-1 et seq., and the collection and distribution of the income from those investments or from tangible property physically located outside the state. For purposes of this paragraph, "intangible investments" includes, without limitation, investments in stocks, bonds, notes, and other debt obligations, including debt obligations of affiliated corporations, patents, patent applications, trademarks, trade names, copyrights, and similar types of intangible assets.

 (2) (3) "Fiscal year" means an accounting period of twelve (12) months ending on the last day of any month other than December.

 (3) (4) "Place of business" means a regular place of business, which, in turn, means any bona fide office, other than a statutory office, factory, warehouse, or other space which is regularly used by the taxpayer in carrying on its business. Where, as a regular course of business, property of the taxpayer is stored by it in a public warehouse until it is shipped to customers, the warehouse is considered a regular place of business of the taxpayer and, where as a regular course of business, raw material or partially furnished goods of a taxpayer are delivered to an independent contractor to be converted, processed, finished, or improved and the finished goods remain in the possession of the independent contractor until shipped to customers, the plant of the independent contractor is considered a regular place of business of the taxpayer. The mere consignment of goods by the taxpayer to an independent factor outside this state for sale at the consignee's discretion does not constitute the taxpayer as having a regular place of business outside this state.

 (4) (5) "Taxable year" means the calendar year or the fiscal year ending during the calendar year upon the basis of which the net income is computed under this chapter. "Taxable year" means, in the case of a return made for a fractional part of a year under the provisions of this chapter or under regulations prescribed by the tax administrator, the period for which the return is made.

 (5) (6) "Taxpayer" means and includes any corporation subject to the provisions of this chapter.

 

44-11-2. Imposition of tax. -- (a) Each corporation shall annually pay to the state a tax equal to nine percent (9%) of net income, as defined in section 44-11-11, qualified in section 44-11-12, and apportioned to this state as provided in sections 44-11-13 -- 44-11-15, for the taxable year.

 (b) A corporation shall pay the amount of any tax as computed in accordance with subsection (a) of this section after deducting from "net income," as used in this section, fifty percent (50%) of the excess of capital gains over capital losses realized during the taxable year, if for the taxable year:

 (1) The corporation is engaged in buying, selling, dealing in, or holding securities on its own behalf and not as a broker, underwriter, or distributor;

 (2) Its gross receipts derived from these activities during the taxable year amounted to at least ninety percent (90%) of its total gross receipts derived from all of its activities during the year. "Gross receipts" means all receipts, whether in the form of money, credits, or other valuable consideration, received during the taxable year in connection with the conduct of the taxpayer's activities.

 (c) A corporation shall not pay the amount of the tax computed on the basis of its net income under subsection (a) of this section, but shall annually pay to the state a tax equal to ten cents ($.10) for each one hundred dollars ($100) of gross income for the taxable year or a tax of one hundred dollars ($100), whichever tax shall be the greater, if for the taxable year the corporation is either a "personal holding company" registered under the federal Investment Company Act of 1940, 15 U.S.C. section 80a-1 et seq., "regulated investment company", or a "real estate investment trust" as defined in the federal income tax law applicable to the taxable year. "Gross income" means gross income as defined in the federal income tax law applicable to the taxable year, plus:

 (1) Any interest not included in the federal gross income; minus

 (2) Interest on obligations of the United States or its possessions, and other interest exempt from taxation by this state; and minus

 (3) Fifty percent (50%) of the excess of capital gains over capital losses realized during the taxable year.

 (d) (1) A small business corporation having an election in effect under subchapter S, 26 U.S.C. section 1361 et seq., shall not be subject to the Rhode Island income tax on corporations, except that the corporation shall be subject to the provisions of subsection (a), to the extent of the income that is subjected to federal tax under subchapter S.

 (2) The shareholders of the corporation who are residents of Rhode Island shall include in their income their proportionate share of the corporation's federal taxable income.

 (3) [Deleted by P.L. 2004, ch. 595. art. 29, section 1.]

 (4) [Deleted by P.L. 2004, ch. 595, art. 29, section 1.]

 (e) Minimum tax. The tax imposed upon any corporation under this section shall not be less than five hundred dollars ($500).

 

44-11-11. "Net income" defined. -- (a) (1) "Net income" means, for any taxable year and for any corporate taxpayer, the taxable income of the taxpayer for that taxable year under the laws of the United States, plus:

 (i) Any interest not included in the taxable income;

 (ii) Any specific exemptions; and

(iii) For a captive REIT, an amount equal to the amount of the dividends paid deduction allowed under the Internal Revenue Code for the taxable year; and

(iii)(iv) The tax imposed by this chapter; and minus

 (iv)(v) Interest on obligations of the United States or its possessions, and other interest exempt from taxation by this state; and

 (v)(vi) The federal net operating loss deduction.

  (2) All binding federal elections made by or on behalf of the taxpayer applicable either directly or indirectly to the determination of taxable income shall be binding on the taxpayer except where this chapter or its attendant regulations specifically modify or provide otherwise. Rhode Island taxable income shall not include the "gross-up of dividends" required by the federal Internal Revenue Code to be taken into taxable income in connection with the taxpayer's election of the foreign tax credit.

 (b) A net operating loss deduction shall be allowed which shall be the same as the net operating loss deduction allowed under 26 U.S.C. section 172, except that:

 (1) Any net operating loss included in determining the deduction shall be adjusted to reflect the inclusions and exclusions from entire net income required by subsection (a) of this section and section 44-11-11.1;

 (2) The deduction shall not include any net operating loss sustained during any taxable year in which the taxpayer was not subject to the tax imposed by this chapter; and

 (3) The deduction shall not exceed the deduction for the taxable year allowable under 26 U.S.C. section 172; provided, that the deduction for a taxable year may not be carried back to any other taxable year for Rhode Island purposes but shall only be allowable on a carry forward basis for the five (5) succeeding taxable years.

 (c) "Domestic international sales corporations" (referred to as DISCs), for the purposes of this chapter, will be treated as they are under federal income tax law and shall not pay the amount of the tax computed under section 44-11-2(a). Any income to shareholders of DISCs is to be treated in the same manner as it is treated under federal income tax law as it exists on December 31, 1984.

 (d) A corporation which qualifies as a "foreign sales corporation" (FSC) under the provisions of subchapter N, 26 U.S.C. section 861 et seq., and which has in effect for the entire taxable year a valid election under federal law to be treated as a FSC, shall not pay the amount of the tax computed under section 44-11-2(a). Any income to shareholders of FSCs is to be treated in the same manner as it is treated under federal income tax law as it exists on January 1, 1985.

 

SECTION 15.  Sections 10 and 11 of this article shall take effect as of July 1, 2007. Sections 2 and 3 shall take effect upon passage and apply for tax years beginning on or after January 1, 2008. The remainder of this article shall take effect upon passage.

 


ARTICLE 8 SUBSTITUTE A

 

Relating To PUBLIC FINANCE – sTATE bUDGET

 

SECTION 1. Sections 35-3-20 and 35-3-20.1 of the General Laws in Chapter 35-3 entitled "State Budget" are hereby amended to read as follows:

 

        35-3-20. State budget reserve and cash stabilization account. [Effective until July 1, 2007.] -- (a) There is hereby created within the general fund a state budget reserve and cash stabilization account, which shall be administered by the state controller and which shall be used solely for the purpose of providing such sums as may be required to fund any unanticipated general revenue deficit caused by a general revenue shortfall as identified by the state controller at the close of any fiscal year as provided in subsection (d).

 (b) In carrying out the provisions of section 35-3-20.1, the state controller shall initially, at fiscal year opening, transfer the amount identified as that fiscal year's projected estimate; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of section 35-3-20.1.

In carrying out the provisions of section 35-3-20.1, the state controller shall, based on that fiscal years estimate, transfer the amounts needed to fund cash requirements during the fiscal year; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of section 35-3-20.1. To the extent that funds so transferred are not needed by the state bond capital fund the funds may be loaned back to the general fund.

 (c) Whenever the aggregate of the monies and securities held for the credit of the state budget reserve and cash stabilization account exceeds three percent (3%) of total fiscal year resources, consisting of the aggregate of (1) actual revenues from taxes and other departmental general revenue sources; and (2) the general revenue balance available for appropriations at the beginning of the fiscal year; the excess shall be transferred to the state's bond capital fund, to be used solely for the purposes of reduction of state indebtedness, payment of debt service, and/or funding of capital projects.

 (d) (1) At any time prior to June 1 after the third quarter of a fiscal year, upon notification by the budget officer that it is indicated that total resources which are defined to be the aggregate of estimated general revenue, general revenue receivables, other financing sources and available free surplus in the general fund will be less than the original estimates upon which current appropriations were based, the governor may submit to the general assembly a resolution for proposed may make appropriations from the state budget reserve and cash stabilization account for the difference between the estimated total resources and the original estimates upon which enacted appropriations were based, but only in the amount of the difference. The budget officer's notification shall be based upon the revenues projected at latest state revenue estimating conference pursuant to chapter 16 of title 35 as reported by the chairperson of that conference. The general assembly shall adopt a resolution stating the amount of the total resources upon which the enacted appropriations were based in order to authorize the controller to make the transfer from the state budget reserve and cash stabilization account to achieve those total resources. The resolution shall be referred in the manner prescribed in section 35-3-9.

 (2) After Once the general assembly has taken final action by the general assembly defining the total resources to be achieved through amounts to be withdrawn from the state budget reserve and cash stabilization account, the state controller shall transfer to the state's general fund balance available the exact amount necessary to achieve the total resources specified in the enacted resolution from the state budget reserve and cash stabilization account based upon the actual difference between the total resources and the original estimates upon which enacted appropriations were based.

(e) Whenever a transfer has been made pursuant to subsection (d), that transfer shall be considered as estimated general revenues for the purposes of determining the amount to be transferred to the Rhode Island Capital Plan fund for the purposes of subsection 35-3-20.1(b).

 (e)(f) Whenever a transfer has been made pursuant to subsection (d), the amount of the transfer shall be returned transferred to the Rhode Island Capital Plan fund budget reserve and cash stabilization account from funds payable into the general revenue fund pursuant to section 35-3-20.1 in the second fiscal year following the fiscal year in which the transfer was made., and, if necessary, in subsequent fiscal years.

 

        35-3-20. State budget reserve and cash stabilization account. [Effective July 1, 2007; effective until July 1, 2008.] -- (a) There is hereby created within the general fund a state budget reserve and cash stabilization account, which shall be administered by the state controller and which shall be used solely for the purpose of providing such sums as may be required to fund any unanticipated general revenue deficit caused by a general revenue shortfall as identified by the state controller at the close of any fiscal year as provided in subsection (d).

 (b) In carrying out the provisions of section 35-3-20.1, the state controller shall initially, at fiscal year opening, transfer the amount identified as that fiscal year's projected estimate; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of section 35-3-20.1.

In carrying out the provisions of section 35-3-20.1, the state controller shall, based on that fiscal years estimate, transfer the amounts needed to fund cash requirements during the fiscal year; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of section 35-3-20.1. To the extent that funds so transferred are not needed by the Rhode Island Capital Plan fund the funds may be loaned back to the general fund.

 (c) Whenever the aggregate of the monies and securities held for the credit of the state budget reserve and cash stabilization account exceeds three percent (3%) of total fiscal year resources, consisting of the aggregate of (1) actual revenues from taxes and other departmental general revenue sources; and (2) the general revenue balance available for appropriations at the beginning of the fiscal year; the excess shall be transferred to the state's bond capital Rhode Island Capital Plan fund, to be used solely for the purposes of reduction of state indebtedness, payment of debt service, and/or funding of capital projects.

(d) (1) At any time prior to June 1 after the third quarter of a fiscal year, upon notification by the budget officer that it is indicated that total resources which are defined to be the aggregate of estimated general revenue, general revenue receivables, other financing sources and available free surplus in the general fund will be less than the original estimates upon which current appropriations were based, the governor may submit to the general assembly a resolution for proposed may make appropriations from the state budget reserve and cash stabilization account for the difference between the estimated total resources and the original estimates upon which enacted appropriations were based, but only in the amount of the difference. The budget officer's notification shall be based upon the revenues projected at latest state revenue estimating conference pursuant to chapter 16 of title 35 as reported by the chairperson of that conference. The general assembly shall adopt a resolution stating the amount of the total resources upon which the enacted appropriations were based in order to authorize the controller to make the transfer from the state budget reserve and cash stabilization account to achieve those total resources. The resolution shall be referred in the manner prescribed in section 35-3-9.

 (2) After Once the general assembly has taken final action by the general assembly defining the total resources to be achieved through amounts to be withdrawn from the state budget reserve and cash stabilization account, the state controller shall transfer to the state's general fund balance available the exact amount necessary to achieve the total resources specified in the enacted resolution from the state budget reserve and cash stabilization account based upon the actual difference between the total resources and the original estimates upon which enacted appropriations were based.

(e) Whenever a transfer has been made pursuant to subsection (d), that transfer shall be considered as estimated general revenues for the purposes of determining the amount to be transferred to the Rhode Island Capital Plan fund for the purposes of subsection 35-3-20.1(b).

 (e)(f) Whenever a transfer has been made pursuant to subsection (d), the amount of the transfer shall be returned transferred to the Rhode Island Capital Plan fund budget reserve and cash stabilization account from funds payable into the general revenue fund pursuant to section 35-3-20.1 in the second fiscal year following the fiscal year in which the transfer was made., and, if necessary, in subsequent fiscal years.

 

        35-3-20. State budget reserve and cash stabilization account. [Effective July 1, 2008.] -- (a) There is hereby created within the general fund a state budget reserve and cash stabilization account, which shall be administered by the state controller and which shall be used solely for the purpose of providing such sums as may be required to fund any unanticipated general revenue deficit caused by a general revenue shortfall as identified by the state controller at the close of any fiscal year as provided in subsection (d).

 (b) In carrying out the provisions of section 35-3-20.1, the state controller shall initially, at fiscal year opening, transfer the amount identified as that fiscal year's projected estimate; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of section 35-3-20.1.

In carrying out the provisions of section 35-3-20.1, the state controller shall, based on that fiscal years estimate, transfer the amounts needed to fund cash requirements during the fiscal year; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of section 35-3-20.1. To the extent that funds so transferred are not needed by the Rhode Island Capital Plan fund the funds may be loaned back to the general fund.

 (c) For the fiscal year ending June 30, 2009, Wwhenever the aggregate of the monies and securities held for the credit of the state budget reserve and cash stabilization account exceeds three percent (3%) three and four tenths of one percent (3.4%) of total fiscal year resources, consisting of the aggregate of (1) actual revenues from taxes and other departmental general revenue sources; and (2) the general revenue balance available for appropriations at the beginning of the fiscal year; the excess shall be transferred to the state's bond capital Rhode Island Capital Plan fund, to be used solely for the purposes of reduction of state indebtedness, payment of debt service, and/or funding of capital projects. Provided further, the applicable percentage shall increase by four-tenths of one percent (.4%) for the succeeding four (4) fiscal years as follows:

Fiscal year ending June 30, 2010                                           3.8%

Fiscal year ending June 30, 2011                                           4.2%

Fiscal year ending June 30, 2012                                           4.6%

Fiscal years ending June 30, 2013 and thereafter                    5.0%

  (d) (1) At any time prior to June 1 after the third quarter of a fiscal year, upon notification by the budget officer that it is indicated that total resources which are defined to be the aggregate of estimated general revenue, general revenue receivables, other financing sources and available free surplus in the general fund will be less than the original estimates upon which current appropriations were based, the governor may submit to the general assembly a resolution for proposed may make appropriations from the state budget reserve and cash stabilization account for the difference between the estimated total resources and the original estimates upon which enacted appropriations were based, but only in the amount of the difference. The budget officer's notification shall be based upon the revenues projected at latest state revenue estimating conference pursuant to chapter 16 of title 35 as reported by the chairperson of that conference. The general assembly shall adopt a resolution stating the amount of the total resources upon which the enacted appropriations were based in order to authorize the controller to make the transfer from the state budget reserve and cash stabilization account to achieve those total resources. The resolution shall be referred in the manner prescribed in section 35-3-9.

 (2) After Once the general assembly has taken final action by the general assembly defining the total resources to be achieved through amounts to be withdrawn from the state budget reserve and cash stabilization account, the state controller shall transfer to the state's general fund balance available the exact amount necessary to achieve the total resources specified in the enacted resolution from the state budget reserve and cash stabilization account based upon the actual difference between the total resources and the original estimates upon which enacted appropriations were based.

(e) Whenever a transfer has been made pursuant to subsection (d), that transfer shall be considered as estimated general revenues for the purposes of determining the amount to be transferred to the Rhode Island Capital Plan fund for the purposes of subsection 35-3-20.1(b).

 (e)(f) Whenever a transfer has been made pursuant to subsection (d), the amount of the transfer shall be returned transferred to the Rhode Island Capital Plan fund budget reserve and cash stabilization account from funds payable into the general revenue fund pursuant to section 35-3-20.1 in the second fiscal year following the fiscal year in which the transfer was made., and, if necessary, in subsequent fiscal years.

 

        35-3-20.1. Limitation on state spending. – [Effective until July 1, 2007.] (a) No appropriation, supplemental appropriation, or budget act shall cause the aggregate state general revenue appropriations enacted for the fiscal year to exceed ninety-eight percent (98%) of the estimated state general revenues for the fiscal year from all sources, including estimated unencumbered general revenues not continued or reappropriated to the new fiscal year remaining at the end of the previous fiscal year. Estimated unencumbered general revenues are calculated by taking the estimated general revenue cash balance at the end of the fiscal year less estimated revenue anticipation bonds or notes, estimated general revenue encumbrances, estimated continuing general revenue appropriations, and the amount of the budget reserve and cash stabilization account at the end of the fiscal year. The amount of the general revenue estimate and estimated unencumbered general revenue remaining shall be determined by the state controller and approved by the auditor general in conformance with accounting procedures currently in use. The excess of any unencumbered general revenue shall be determined by subtracting from the actual unencumbered general revenues at the end of any fiscal year an amount which together with the latest estimated general revenues is necessary to fund the ensuing fiscal year's general revenue budget, including the required estimated general revenue supplemental and annual appropriations.

 (b) The amount between the applicable percentage in subsection (a) and one hundred percent (100%) of the estimated state general fund revenue for any fiscal year as estimated in accordance with subsection (a) shall be appropriated in any given fiscal year into the budget reserve and cash stabilization account; provided, that no payment will be made which would increase the total of the budget reserve and cash stabilization account to more than three percent (3%) of only the estimated state general fund revenues as set by subsection (a). In the event that the payment to be made into the budget reserve and cash stabilization account would increase the amount in the account to more than three percent (3%) of estimated state general revenues, the amount shall be transferred to the state bond capital fund, to be used solely for the purposes of reduction of state indebtedness, payment of debt service, and/or funding of capital projects. However, there shall be no expenditures of money under this section without passage of a specific appropriation by the general assembly.

 (c) Within forty-five (45) days after the close of any fiscal year, all unencumbered general revenue in the year end surplus account from the fiscal year shall be transferred to the general fund.

 

        35-3-20.1. Limitation on state spending. – [Effective July 1, 2007; effective until July 1, 2008.] (a) No appropriation, supplemental appropriation, or budget act shall cause the aggregate state general revenue appropriations enacted for the fiscal year to exceed ninety-eight percent (98%) of the estimated state general revenues for the fiscal year from all sources, including estimated unencumbered general revenues not continued or reappropriated to the new fiscal year remaining at the end of the previous fiscal year. Estimated unencumbered general revenues are calculated by taking the estimated general revenue cash balance at the end of the fiscal year less estimated revenue anticipation bonds or notes, estimated general revenue encumbrances, estimated continuing general revenue appropriations, and the amount of the budget reserve and cash stabilization account at the end of the fiscal year. The amount of the general revenue estimate and estimated unencumbered general revenue remaining shall be determined by the state controller and approved by the auditor general in conformance with accounting procedures currently in use. The excess of any unencumbered general revenue shall be determined by subtracting from the actual unencumbered general revenues at the end of any fiscal year an amount which together with the latest estimated general revenues is necessary to fund the ensuing fiscal year's general revenue budget, including the required estimated general revenue supplemental and annual appropriations.

 (b) The amount between the applicable percentage in subsection (a) and one hundred percent (100%) of the estimated state general fund revenue for any fiscal year as estimated in accordance with subsection (a) shall be appropriated in any given fiscal year into the budget reserve and cash stabilization account; provided, that no payment will be made which would increase the total of the budget reserve and cash stabilization account to more than three percent (3%) of only the estimated state general fund revenues as set by subsection (a). In the event that the payment to be made into the budget reserve and cash stabilization account would increase the amount in the account to more than three percent (3%) of estimated state general revenues, the amount shall be transferred to the state bond capital Rhode Island Capital Plan fund, to be used solely for the purposes of reduction of state indebtedness, payment of debt service, and/or funding of capital projects. However, there shall be no expenditures of money under this section without passage of a specific appropriation by the general assembly.

 (c) Within forty-five (45) days after the close of any fiscal year, all unencumbered general revenue in the year end surplus account from the fiscal year shall be transferred to the general fund.

 

        35-3-20.1. Limitation on state spending. – [Effective July 1, 2008.] (a) No For the fiscal year ending June 30, 2009,  no appropriation, supplemental appropriation, or budget act shall cause the aggregate state general revenue appropriations enacted for the fiscal year to exceed ninety-eight percent (98%) ninety-seven and eight tenths of one percent (97.8%) of the estimated state general revenues for the fiscal year from all sources, including estimated unencumbered general revenues not continued or reappropriated to the new fiscal year remaining at the end of the previous fiscal year. Estimated unencumbered general revenues are calculated by taking the estimated general revenue cash balance at the end of the fiscal year less estimated revenue anticipation bonds or notes, estimated general revenue encumbrances, estimated continuing general revenue appropriations, and the amount of the budget reserve and cash stabilization account at the end of the fiscal year. The amount of the general revenue estimate and estimated unencumbered general revenue remaining shall be determined by the state controller and approved by the auditor general in conformance with accounting procedures currently in use. The excess of any unencumbered general revenue shall be determined by subtracting from the actual unencumbered general revenues at the end of any fiscal year an amount which together with the latest estimated general revenues is necessary to fund the ensuing fiscal year's general revenue budget, including the required estimated general revenue supplemental and annual appropriations. Provided further, the applicable percentage shall decrease by two-tenths of one percent (.2%) for the succeeding four (4) fiscal years as follows:

Fiscal year ending June 30, 2010                              97.6%

Fiscal year ending June 30, 2011                              97.4%

Fiscal year ending June 30, 2012                              97.2%

Fiscal years ending June 30, 2013 and thereafter       97.0%

 (b) The amount between the applicable percentage in subsection (a) and one hundred percent (100%) of the estimated state general fund revenue for any fiscal year as estimated in accordance with subsection (a) shall be appropriated in any given fiscal year into the budget reserve and cash stabilization account; provided, that for the fiscal year ending June 30, 2009, no payment will be made which would increase the total of the budget reserve and cash stabilization account to more than three percent (3%) three and four-tenths of one percent (3.4%) of only the estimated state general fund revenues as set by subsection (a). In the event that the payment to be made into the budget reserve and cash stabilization account would increase the amount in the account to more than three percent (3%) three and four-tenths of one percent (3.4%) of estimated state general revenues, the amount shall be transferred to the state bond capital Rhode Island Capital Plan fund, to be used solely for the purposes of reduction of state indebtedness, payment of debt service, and/or funding of capital projects. Provided further the applicable percentage shall increase by four-tenths of one percent (.4%) for the four (4) succeeding fiscal years as follows:

Fiscal year ending June 30, 2010                              3.8%

Fiscal year ending June 30, 2011                              4.2%

Fiscal year ending June 30, 2012                              4.6%

Fiscal years ending June 30, 2013 and thereafter       5.0%

 However, there shall be no expenditures of money under this section without passage of a specific appropriation by the general assembly.

 (c) Within forty-five (45) days after the close of any fiscal year, all unencumbered general revenue in the year end surplus account from the fiscal year shall be transferred to the general fund.

 

SECTION 2. Section 35-6-1 of the General Laws in Chapter 35-6 entitled "Accounts and Control" is hereby amended to read as follows:

 

        35-6-1. Controller -- Duties in general. -- (a) Within the department of administration there shall be a controller who shall be appointed by the director of administration pursuant to chapter 4 of title 36. The controller shall be responsible for accounting and expenditure control and shall be required to:

 (1) Administer a comprehensive accounting and recording system which will classify the transactions of the state departments and agencies in accordance with the budget plan;

 (2) Maintain control accounts for all supplies, materials, and equipment for all departments and agencies except as otherwise provided by law;

 (3) Prescribe a financial, accounting, and cost accounting system for state departments and agencies;

 (4) Preaudit all state receipts and expenditures;

 (5) Prepare financial statements required by the several departments and agencies, by the governor, or by the general assembly;

 (6) Approve the orders drawn on the general treasurer; provided, that the preaudit of all expenditures under authority of the legislative department and the judicial department by the state controller shall be purely ministerial, concerned only with the legality of the expenditure and availability of the funds, and in no event shall the state controller interpose his or her judgment regarding the wisdom or expediency of any item or items of expenditure;

 (7) Prepare and timely file, on behalf of the state, any and all reports required by the United States, including, but not limited to, the internal revenue service, or required by any department or agency of the state, with respect to the state payroll; and

 (8) Prepare a preliminary closing statement for each fiscal year. The controller shall forward the statement to the chairpersons of the house finance committee and the senate finance committee, with copies to the house fiscal advisor and the senate fiscal and policy advisor, by September 1 following the fiscal year ending the prior June 30 or thirty (30) days after enactment of the appropriations act, whichever is later. The report shall include but is not limited to:

 (i) A report of all revenues received by the state in the completed fiscal year, together with the estimates adopted for that year as contained in the final enacted budget, and together with all deviations between estimated revenues and actual collections. The report shall also include cash collections and accrual adjustments;

 (ii) A comparison of actual expenditures with each of the actual appropriations, including supplemental appropriations and other adjustments provided for in the Rhode Island General Laws;

 (iii) A statement of the opening and closing surplus in the general revenue account; and

 (iv) A statement of the opening surplus, activity, and closing surplus in the state budget reserve and cash stabilization account and the state bond capital fund.

 (b) The controller shall provide supporting information on revenues, expenditures, capital projects, and debt service upon request of the house finance committee chairperson, senate finance committee chairperson, house fiscal advisor, or senate fiscal and policy advisor.

 (c) Upon issuance of the audited annual financial statement, the controller shall provide a report of the differences between the preliminary financial report and the final report as contained in the audited annual financial statement.

 (d) Upon issuance of the audited financial statement, the controller shall transfer all general revenues received in the completed fiscal year net of transfer to the state budget reserve and cash stabilization account as required by section 35-3-20 in excess of those estimates adopted for that year as contained in the final enacted budget to the employees' retirement system of the state of Rhode Island as defined in section 36-8-2.

 

SECTION 3. This article shall take effect upon passage.

 

 


ARTICLE 9 SUBSTITUTE A

 

Relating To Education Benefits for National Guard Members

 

SECTION 1.  Section 30-3-40.3 of the General Laws in Chapter 30-3 entitled “National Guard” is hereby amended to read as follows:   

 

 30-3-40.3.  Educational benefits for National Guard members. – (a) Any person who is an active member in good standing of the Rhode Island National Guard, and who is eligible to attend at any state college or university in Rhode Island, will be eligible for a tuition assistance educational benefit amounting to five (5) courses per semester at any Rhode Island state college or university. Basic tuition or general fee charges to be waived for said five (5) courses. Each of the state colleges or universities shall receive an equal share of the educational account funding for Rhode Island National Guard members, the account to be administered by the office of the adjutant general. The exact amount for each institution shall be determined by the board of governors.  The total amount of funds in the education account shall not exceed one hundred thousand dollars ($100,000) in any fiscal year. 

(b) In order to be eligible for tuition waivers a person must remain a member in good standing in the Rhode Island National Guard and a student in good standing at any state college or university. A member in good standing is defined as any soldier or airperson of the Rhode Island National Guard who is currently satisfactorily participating in all unit training assemblies and annual training periods, as so certified by the adjutant general.

(c) Those guard members wishing to participate in this program must enter into a contractual enlistment commitment which provides for one year of obligated service in the Rhode Island National Guard for each twelve (12) course credits or four (4) three (3) credit courses where the soldiers' or airpersons' tuition will be waived. Such assistance shall be available for courses creditable to associate, bachelor's, or master's degrees. Failure to satisfactorily fulfill the service obligation incurred in return for tuition assistance will require the participant to repay a pro-rata share of said assistance. This obligation shall be considered to be a debt owed to the state and may be satisfied by offset against any state transfer payments or state income tax refunds. The participating member shall reimburse the Rhode Island National Guard when any of the following occur: the soldier fails to participate satisfactorily as a member of the Rhode Island National Guard; the soldier withdraws from or fails to complete a course for personal reasons; the soldier fails to make up an incomplete grade within time limits stipulated by the institution or one hundred twenty (120) days after the completion of the class, whichever occurs first, or the soldier fails to provide the adjutant general a copy of the grade report within thirty (30) days of course completion and may be subject to punishment under the Rhode Island Military Code.

 

SECTION 2.      This article shall take effect as of July 1, 2007.




ARTICLE 10 SUBSTITUTE A AS AMENDED

 

RELATING TO RESTRICTED RECEIPT ACCOUNTS

 

SECTION 1. Section 42-14-9 of the General Laws in Chapter 42-14 entitled "Department of Business Regulation" is hereby amended to read as follows:

 

        42-14-9. Payment of expenses -- Fees. – (a) The general assembly shall annually appropriate such sum as it may deem necessary for the payment of the salary of the administrator of banking and insurance, for the payment of the salaries of his or her deputies and for the payment of the clerical and other assistance, office and traveling expenses of the administrator of banking and insurance, his or her deputies and assistants, and the state controller is hereby authorized and directed to draw his or her orders for the payment of those sums, or so much of them as may from time to time be required, upon receipt by him or her of proper vouchers, approved by the director of business regulation. All fees, charges for examinations and other collections received by him or her as administrator of banking, insurance, and securities shall be paid to the general treasurer for the use of the state.

      (b) Reimbursements. – (1) Certain operational costs of the department of business regulation are eligible for reimbursement from third parties, including, but not limited to, costs of licensing, and shall also include the following expenses:

      (i) All reasonable technology costs related to the examination and licensing process. Technology costs shall include the actual cost of software and hardware utilized in the licensing process and the cost of training personnel in the proper use of the software or hardware.

      (ii) All necessary and reasonable education and training costs incurred by the state to maintain the proficiency and competence of the examining and licensing personnel. All these costs shall be incurred in accordance with appropriate state of Rhode Island regulations, guidelines and procedures.

      (iii) All revenues collected pursuant to this section shall be deposited as restricted receipts.

(2) There is created within the general fund a restricted receipt account to be known as the "banking division reimbursement account". All funds in the account shall be utilized by the department of business regulation to effectuate the provisions  of section 42-14-9(b). All funds received for the securities division pursuant to section 42-14-9(b) shall be deposited in the securities division reimbursement account. The general treasurer is authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of business regulation.

(3) There is created within the general fund a restricted receipt account to be known as the "banking division reimbursement account". All funds in the account shall be utilized by the department of business regulation to effectuate the provisions of section 42-14-9(b) that relate to reimbursements. All funds received for the banking division pursuant to section 42-14-9(b) shall be deposited in the banking division reimbursement account. The general treasurer is authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of business regulation.

(4) There is created within the general fund a restricted receipt account to be known as the "securities division reimbursement account". All funds in the account shall be utilized by the department of business regulation to effectuate the provisions of section 42-14-9(b) that relate to reimbursements. All funds received for the securities division pursuant to section 42-14-9(b) shall be deposited in the securities division reimbursement account. The general treasurer is authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of business regulation.

(5) There is created within the general fund a restricted receipt account to be known as the "commercial licensing and racing and athletics division reimbursement account". All funds in the account shall be utilized by the department of business regulation to effectuate the provisions of section 42-14-9(b) that relate to reimbursements. All funds received for the commercial licensing and racing and athletics division pursuant to section 42-14-9(b) shall be deposited in the commercial licensing and racing and athletics division reimbursement account. The general treasurer is authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of business regulation.

(6) There is created within the general fund a restricted receipt account to be known as the "insurance division reimbursement account". All funds in the account shall be utilized by the department of business regulation to effectuate the provisions of section 42-14-9(b) that relate to reimbursements. All funds received for the insurance division pursuant to section 42-14-9(b) shall be deposited in the insurance division reimbursement account. The general treasurer is authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of business regulation.

 

SECTION 2. Sections 42-14.5-3 and 42-14.5-3 of the General Laws in Chapter 42-14.5 entitled "The Rhode Island Health Care Reform Act of 2004 - Health Insurance Oversight" are hereby amended to read as follows:

 

        42-14.5-3. Powers and duties. [Effective until July 1, 2007.] [Contingent effective date; see notes under section 42-14.5-1.] -- The health insurance commissioner shall have the following powers and duties:

 (a) To conduct an annual public meeting or meetings, separate and distinct from rate hearings pursuant to section 42-62-13, regarding the rates, services and operations of insurers licensed to provide health insurance in the state the effects of such rates, services and operations on consumers, medical care providers and patients, and the market environment in which such insurers operate. Notice of not less than ten (10) days of said hearing(s) shall go to the general assembly, the governor, the Rhode Island medical society, the Hospital Association of Rhode Island, the director of health, and the attorney general. Public notice shall be posted on the department's web site and given in the newspaper of general circulation, and to any entity in writing requesting notice.

 (b) To make recommendations to the governor and the joint legislative committee on health care oversight regarding health care insurance and the regulations, rates, services, administrative expenses, reserve requirements, and operations of insurers providing health insurance in the state, and to prepare or comment on, upon the request of the co-chairs of the joint committee on health care oversight or upon the request of the governor, draft legislation to improve the regulation of health insurance. In making such recommendations, the commissioner shall recognize that it is the intent of the legislature that the maximum disclosure be provided regarding the reasonableness of individual administrative expenditures as well as total administrative costs. The commissioner shall also make recommendations on the levels of reserves including consideration of: targeted reserve levels; trends in the increase or decrease of reserve levels; and insurer plans for distributing excess reserves.

 (c) To establish a consumer/business/labor/medical advisory council to obtain information and present concerns of consumers, business and medical providers affected by health insurance decisions. The council shall be involved in the planning and conduct of the public meeting in accordance with subsection (a) above. The advisory council shall assist in the design of an insurance complaint process to ensure that small businesses whom experience extraordinary rate increases in a given year could request and receive a formal review by the department. The advisory council shall assess views of the health provider community relative to insurance rates of reimbursement, billing and reimbursement procedures, and the insurers' role in promoting efficient and high quality health care. The advisory council shall issue an annual report of findings and recommendations to the governor and the joint legislative committee on health care oversight. The advisory council is to be diverse in interests and shall include representatives of community consumer organizations; small businesses, other than those involved in the sale of insurance products; and hospital, medical, and other health provider organizations. Such representatives shall be nominated by their respective organizations. The advisory council shall be co-chaired by the health insurance commissioner and a community consumer organization or small business member to be elected by the full advisory council.

 (d) To establish and provide guidance and assistance to a subcommittee ("The Professional Provider-Health Plan Work Group") of the advisory council created pursuant to subsection (c) above, composed of health care providers and Rhode Island licensed health plans. This subcommittee shall develop a plan to implement the following activities:

 (i) By January 1, 2006, a method whereby health plans shall disclose to contracted providers the fee schedules used to provide payment to those providers for services rendered to covered patients;

 (ii) By April 1, 2006, a standardized provider application and credentials verification process, for the purpose of verifying professional qualifications of participating health care providers;

 (iii) By September 1, 2006, a uniform health plan claim form to be utilized by participating providers;

 (iv) By March 15, 2007, a report to the legislature on proposed methods for health maintenance organizations as defined by section 27-41-1, and nonprofit hospital or medical service corporations as defined by chapters 27-19 and 27-20, to make facility-specific data and other medical service-specific data available in reasonably consistent formats to patients regarding quality and costs. This information would help consumers make informed choices regarding the facilities and/or clinicians or physician practices at which to seek care. Among the items considered would be the unique health services and other public goods provided by facilities and/or clinicians or physician practices in establishing the most appropriate cost comparisons.

 (v) By December 1, 2006, contractual disclosure to participating providers of the mechanisms for resolving health plan/provider disputes; and

 (vi) By February 1, 2007, a uniform process for confirming in real time patient insurance enrollment status, benefits coverage, including co-pays and deductibles.

 A report on the work of the subcommittee shall be submitted by the health insurance commissioner to the joint legislative committee on health care oversight on March 1, 2006 and March 1, 2007.

 (e) To enforce the provisions of Title 27 and Title 42 as set forth in section 42-14-5(d).

 (f) There is hereby established the Rhode Island Affordable Health Plan Reinsurance Fund. The fund shall be used to effectuate the provisions of sections 27-18.5-8 and 27-50-17.

 

SECTION 3. Sections 23-1-45 and 23-1-46 of the General Laws in Chapter 23-1 entitled "Department of Health" are hereby amended to read as follows:

 

        23-1-45. Immunization account. – (a) There is created within the general fund a restricted receipt account to be known as the "childhood immunization account". All money in the account shall be utilized by the department of health to effectuate the provisions of section 23-1-44 that relate to the childhood immunization program. All money received pursuant to sections 23-1-46 and 23-1-47 for the childhood immunization program shall be deposited in the childhood immunization account. There shall be an expenditure in FY 2007 not to exceed one million dollars ($1,000,000) for pandemic influenza medications and equipment as directed by the director of health. Funding dedicated exclusively to effectuate the provisions of section 23-1-44 and this subsection received by the department of health from sources other than those identified in sections 23-1-46 and 23-1-47 may also be deposited in the childhood immunization account. The general treasurer is authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of health.

(b) There is created within the general fund a restricted receipt account to be known as the "pandemic medications and equipment account" for the purposes of funding pandemic medications and equipment. There shall be an expenditure in FY 2007 not to exceed one million dollars ($1,000,000) for pandemic influenza medications and equipment. Funding dedicated exclusively to effectuate the provisions of this subsection and received by the department of health from sources other than those identified in sections 23-1-45, 23-1-46 and 23-1-47 may also be deposited in the pandemic medications and equipment account. The general treasurer is authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of health.

(c) There is created within the general fund a restricted receipt account to be known as the "adult immunization account". All funds in the account shall be utilized by the department of health to effectuate the provisions of section 23-1-44 that relate to the adult immunization program. All funds received for adult immunization programs pursuant to sections 23-1-46 and 23-1-47 shall be deposited in the adult immunization account. Funding dedicated exclusively to effectuate the provisions of this subsection and received by the department of health from sources other than those identified in sections 23-1-46 and 23-1-47 may also be deposited in the adult immunization account. The general treasurer is  authorized and directed to draw his or her orders on the account upon receipt of properly authenticated vouchers from the department of health.

 

        23-1-46. Insurers. -- (a) Beginning in the fiscal year 2007, each insurer licensed or regulated pursuant to the provisions of chapters 18, 19, 20, and 41 of title 27 shall be assessed a child immunization assessment and an adult immunization assessment for the purposes set forth in this section. The department of health shall make available to each insurer, upon its request, information regarding the department of health's immunization programs and the costs related to the program. Further, the department of health shall submit to the general assembly an annual report on the immunization programs and cost related to the programs, on or before February 1 of each year. Annual assessments shall be based on direct premiums written in the year prior to the assessment and for the child immunization program shall not include any Medicare Supplement Policy (as defined in section 27-18-2.1(g)), Medicaid or Medicare premiums. Adult influenza immunization program annual assessments shall include contributions related to the program costs from Medicare, Medicaid and Medicare Managed Care. As to accident and sickness insurance, the direct premium written shall include, but is not limited to, group, blanket, and individual policies. Those insurers assessed greater than ten thousand dollars ($10,000) for the year shall be assessed four (4) quarterly payments of twenty-five percent (25%) of their total assessment. Beginning July 1, 2001, the annual rate of assessment shall be determined by the Director of Health in concurrence with the Primary Payors, those being insurers assessed at greater than ten thousand dollars ($10,000) for the previous year. This rate shall be calculated by the projected costs for advisory committee on immunization practices (ACIP) recommended and state mandated vaccines after the federal share has been determined by the centers for disease control and prevention. The primary payors shall be informed of any recommended change in rates at least six (6) months in advance, and rates shall be adjusted no more frequently than one time annually. For the childhood vaccine program the The director of the department of health shall deposit these amounts in the "childhood immunization account". These assessments shall be used solely for the purposes of the "childhood immunization programs" and no other. For the adult immunization program the The director of the department of health shall deposit these amounts in the "adult immunization account".

 (b) Any funds collected in excess of funds needed to carry-out ACIP recommendations shall be deducted from the subsequent year's assessments.

 

SECTION 4. Chapter 42-28 of the General Laws entitled  "State Police" is hereby amended by adding thereto the following section:

 

        42-28-49. Acceptance of gifts and bequests. – The general treasurer is authorized and empowered, with the approval of the director of administration, to accept on behalf of the state police any gift or bequest of personal property, funds, securities, or other similar gift or bequest, given to the state police absolutely by any person or organization; provided, that no acceptance by the state shall make the state in any manner legally or equitably liable to any person, or organization relative to the care, preservation, or use of the gift, bequest, or property; provided further, that the right shall be reserved by the general treasurer, and/or the director of administration, to refuse any gift or bequest so offered to the state; and provided further, that to the extent any such gift or bequest is placed in a restricted receipt account, the  gift and any identifiable earnings thereon shall remain in that account in the event that any existing and/or future funds in the account are diverted or otherwise transferred or withdrawn to the general fund or used for any other use whatsoever.

 

SECTION 5. Section 40.1-1-13 of the General Laws in Chapter 40.1-1 entitled "Department of Mental Health, Retardation, and Hospitals" is hereby amended to read as follows:

 

        40.1-1-13. Powers and duties of the office. -- Notwithstanding any provision of the Rhode Island general laws to the contrary, the department of mental health, retardation, and hospitals shall have the following powers and duties:

 (1) To establish and promulgate the overall plans, policies, objectives, and priorities for state substance abuse education, prevention and treatment; provided, however, that the director shall obtain and consider input from all interested state departments and agencies prior to the promulgation of any such plans or policies;

 (2) Evaluate and monitor all state grants and contracts to local substance abuse service providers;

 (3) Develop, provide for, and coordinate the implementation of a comprehensive state plan for substance abuse education, prevention and treatment;

 (4) Ensure the collection, analysis, and dissemination of information for planning and evaluation of substance abuse services;

 (5) Provide support, guidance, and technical assistance to individuals, local governments, community service providers, public and private organizations in their substance abuse education, prevention and treatment activities;

 (6) Confer with all interested department directors to coordinate the administration of state programs and policies that directly affect substance abuse treatment and prevention;

 (7) Seek and receive funds from the federal government and private sources in order to further the purposes of this chapter;

 (8) Act in the capacity of "state substance abuse authority" as that term has meaning for coordination of state substance abuse planning and policy and as it relates to requirements set forth in pertinent federal substance abuse laws and regulations;

 (9) Propose, review and/or approve, as appropriate, proposals, policies or plans involving insurance and managed care systems for substance abuse services in Rhode Island;

 (10) To enter into, in compliance with the provisions of title 37, chapter 2, contractual relationships and memoranda of agreement as necessary for the purposes of this chapter;

 (11) To license facilities and programs for the care and treatment of substance abusers, and for the prevention of substance abuse;

 (12) To promulgate rules and regulations necessary to carry out the requirements of this chapter;

 (13) Perform other acts and exercise any other powers necessary or convenient to carry out the intent and purposes of this chapter; and

 (14) To exercise the authority and responsibilities relating to education, prevention and treatment of substance abuse, as contained in, but not limited to, the following chapters: chapter 1.10 of title 23; chapter 10.1 of title 23; chapter 28.2 of title 23; chapter 21.2 of title 16; chapter 21.3 of title 16; chapter 50.1 of title 42; chapter 109 of title 42; chapter 69 of title 5 and section 35-4-18.

(15) To establish a Medicare Part D restricted receipt account in the Hospitals and Community Rehabilitation Services program to receive and expend Medicare Part D reimbursements from pharmacy benefit providers consistent with the purposes of this chapter.

 

SECTION 6. Section 35-4-27 of the General Laws in Chapter 35-4 entitled "State Funds" is hereby amended to read as follows:

 

        35-4-27. Indirect cost recoveries on restricted receipt accounts. -- Indirect cost recoveries of ten percent (10%) of cash receipts shall be transferred from all restricted receipt accounts, to be recorded as general revenues in the general fund. However, there shall be no transfer from cash receipts with restrictions received exclusively: (1) from contributions from non-profit charitable organizations; (2) from the assessment of indirect cost recovery rates on federal grant funds; or (3) through transfers from state agencies to the department of administration for the payment of debt service. These indirect cost recoveries shall be applied to all accounts, unless prohibited by federal law or regulation, court order, or court settlement. The following restricted receipt accounts shall not be subject to the provisions of this section:

 Department of Human Services

              Veterans' home -- Restricted account

              Veterans' home -- Resident benefits

              Organ transplant fund

             Veteran's Cemetery Memorial Fund

Department of Health

             Pandemic medications and equipment account

Department of Mental Health, Retardation and Hospitals

             Hospital Medicare Part D Receipts

 Department of Environmental Management

             National heritage revolving fund

             Environmental response fund II

             Underground storage tanks

 Rhode Island Council on the Arts

              Art for public facilities fund

 Rhode Island Historical Preservation and Heritage Commission

              Historic preservation revolving loan fund

              Historic Preservation loan fund -- Interest revenue

 State Police

             Forfeited property -- Retained

              Forfeitures -- Federal

              Forfeited property – Gambling

             Donation – Polygraph and Law Enforcement Training

 Attorney General

             Forfeiture of property

             Federal forfeitures

             Attorney General multi-state account

 Department of Administration

              Restore and replacement -- Insurance coverage

             Convention Center Authority rental payments

              Investment Receipts -- TANS

             Car Rental Tax/Surcharge-Warwick Share

 Legislature

             Audit of federal assisted programs

 Department of Elderly Affairs

             Pharmaceutical Rebates Account

             Affordable Energy fund

 Department of Children Youth and Families

              Children's Trust Accounts -- SSI

 Military Staff

              RI Military Family Relief Fund

 Treasury

             Admin. Expenses -- State Retirement System

             Retirement -- Treasury Investment Options

Business Regulation

             Banking Division Reimbursement Account

             Securities Division Reimbursement Account

             Commercial Licensing and Racing and Athletics Division  Reimbursement

             Account

             Insurance Division Reimbursement Account

 

SECTION 7 This article shall take effect as of July 1, 2007.

 

 

ARTICLE 11 SUBSTITUTE A AS AMENDED

 

RELATING TO HOSPITAL FACILITIES and other medical facilities and services

 

SECTION 1.  Section 23-17-38.1 of the General Laws in Chapter 23-17 entitled “Licensing of Health Care Facilities” is hereby amended as follows:

 

  23-17-38.1. Hospitals – Licensing fee. -- (a) There is imposed a hospital licensing fee at the rate of three and fifty-six hundredths percent (3.56%) upon the net patient services revenue of every hospital for the hospital's first fiscal year ending on or after January 1, 2004. This licensing fee shall be administered and collected by the tax administrator, division of taxation within the department of administration, and all the administration, collection and other provisions of chapter 50 and 51 of title 44 shall apply. Every hospital shall pay the licensing fee to the tax administrator on or before July 16, 2007  and payments shall be made by electronic transfer of monies to the general treasurer and deposited to the general fund in accordance with § 44-50-11. Every hospital shall, on or before June 15, 2007, make a return to the tax administrator containing the correct computation of net patient services revenue for the hospital fiscal year ending September 30, 2004, and the licensing fee due upon that amount. All returns shall be signed by the hospital's authorized representative, subject to the pains and penalties of perjury.

(b) There is imposed a hospital licensing fee at the rate of three and forty-eight hundredths percent (3.48%) upon the net patient services revenue of every hospital for the hospital's first fiscal year ending on or after January 1, 2006. This licensing fee shall be administered and collected by the tax administrator, division of taxation within the department of administration, and all the administration, collection and other provisions of chapter 50 and 51 of title 14 shall apply. Every hospital shall pay the licensing fee to the tax administrator on or before July 14, 2008 and payments shall be made by electronic transfer of monies to the general treasurer and deposited to the general fund in accordance with section 44-50-11. Every hospital shall, on or before June 16, 2008, make a return to the tax administrator containing the correct computation of net patient services revenue for the hospital fiscal year ending September 30, 2006, and the licensing fee due upon that amount. All returns shall be signed by the hospital's authorized representative, subject to the pains and penalties of perjury.

(b) (c) For purposes of this section the following words and phrases have the following meanings:

   (1) "Hospital" means a person or governmental unit duly licensed in accordance with this chapter to establish, maintain, and operate a hospital, except a hospital whose primary service and primary bed inventory are psychiatric.

   (2) "Gross patient services revenue" means the gross revenue related to patient care services.

(3) "Net patient services revenue" means the charges related to patient care services less (i) charges attributable to charity care, (ii) bad debt expenses, and (iii) contractual allowances.

(c) (d) The tax administrator shall make and promulgate any rules, regulations, and procedures not inconsistent with state law and fiscal procedures that he or she deems necessary for the proper administration of this section and to carry out the provisions, policy and purposes of this section.

(d) (e) The licensing fee imposed by this section shall be in addition to the inspection fee imposed by § 23-17-38 and to any licensing fees previously imposed in accordance with § 23-17-38.1.

 

SECTION 2. Title 44 of the General Laws entitled “Taxation” is hereby amended by adding thereto the following chapter:

 

CHAPTER 64

THE OUTPATIENT HEALTH CARE

FACILITY SURCHARGE

 

44-64-1. Short title. -- This chapter shall be known as "The Outpatient Health Care Facility Surcharge Act."

 

44-64-2. Definitions. -- The following words and phrases as used in this chapter have the following meaning:

(1) "Administrator" means the tax administrator within the department of revenue.

(2) "Gross patient revenue" means the gross amount received on a cash basis by the provider from all patient care and other gross operating income. However, charitable contributions, fund raising proceeds, and endowment support shall not be considered “gross patient revenue."

(3) "Net patient services revenue" means the charges related to patient care services less (i) charges attributable to charity care, (ii) bad debt expenses, and (iii) contractual allowances.

(4) "Person" means any individual, corporation, company, association, partnership, joint stock association, and the legal successor thereof.

(5) "Provider" means a licensed facility or operator, including a government facility or operator, subject to a surcharge under this chapter.

(6) "Surcharge" means the assessment that is imposed upon net patient revenue pursuant to this chapter.

 

44-64-3. Imposition of surcharge – Outpatient health care facility. -- (a) For the purposes of this section, an "outpatient health care facility" means a person or governmental unit that is licensed to establish, maintain, and operate a free-standing ambulatory surgery center or a physician ambulatory surgery center or a podiatry ambulatory surgery center, in accordance with chapter 17 of title 23.

(b) A surcharge at a rate of two percent (2.0%) shall be imposed upon the net patient services revenue received each month by every outpatient health care facility.  Every provider shall pay the monthly surcharge no later than the twenty-fifth (25th) day of the month following the month that the gross patient revenue is received. This surcharge shall be in addition to any other authorized fees that have been assessed upon outpatient facilities. 

 

44-64-4. Returns. -- (a) Every provider shall, on or before the twenty-fifth (25th) day of the month following the month that the gross patient revenue is received, make a return to the tax administrator.

(b) The tax administrator is authorized to adopt rules relative to the form of the return and the data it must contain for the correct computation of gross patient revenue and the surcharge.  All returns shall be signed by the provider or its authorized representative, subject to the  penalties of perjury. If a return shows an overpayment of the surcharge due, the tax administrator shall refund or credit the overpayment to the provider.

(c) The tax administrator, for good cause shown, may extend the time within which a provider is required to file a return. If the return is filed during the period of extension, no penalty or late filing charge may be imposed for failure to file the return at the time required by this chapter, but the provider shall be liable for any interest as prescribed in this chapter. Failure to file the return during the period for the extension shall make the extension null and void. 

 

44-64-5. Set-off for delinquent payment of surcharge. -- If a provider shall fail to pay a surcharge within thirty (30) days of its due date, the tax administrator may request any agency of state government to set off the amount of the delinquency against any payment they might be due the provider from the agency and to remit any such payment to the tax administrator. Upon receipt of a request for set-off from the tax administrator, any agency of state government is authorized and empowered to set off the amount of any delinquency against any payment that is due the provider. The amount of set-off shall be credited against the surcharge due from the provider.

 

44-64-6. Surcharge on available information. – Interest on delinquencies – Penalties – Collection powers. --  If any provider shall fail, within the time required by this chapter, to file a return, or shall file an insufficient or incorrect return, or shall not pay the surcharge imposed by this chapter when it is due, the tax administrator shall make an assessment based upon information that may be available, which assessment shall be payable upon demand and shall bear interest from the date when the surcharge should have been paid at the annual rate set forth in section 44-1-7 of the Rhode Island general laws, as amended. If any part of the surcharge is caused by the negligence or intentional disregard of the provisions of this chapter, a penalty of ten percent (10%) of the amount of the determination shall be added to the surcharge. The tax administrator shall collect the surcharge with interest in the same manner and with the same powers as are prescribed for collection of taxes in this title.

 

44-64-7. Claims for refund – Hearing upon denial. --  (a) Any provider, subject to the provisions of this chapter, may file a claim for refund with the tax administrator at any time within two (2) years after the surcharge has been paid. If the tax administrator shall determine that the surcharge has been overpaid, the tax administrator shall make a refund with interest from the date of overpayment.

(b) Any provider aggrieved by an  action of the tax administrator in determining the amount of any surcharge or penalty imposed under the provisions of this chapter may, within thirty (30) days after the notice of the action was mailed, apply to the tax administrator, for a hearing relative to the surcharge or penalty. The tax administrator shall fix a time and place for the hearing and shall so notify the provider.

 

44-64-8. Hearing by tax administrator on application. -- Following hearing, if the tax administrator upholds the assessment of the surcharge, the amount owed shall be assessed together with any penalty or interest thereon.

 

44-64-9. Appeals. -- Appeals from administrative orders or decisions made pursuant to any provisions of this chapter shall be to the sixth division district court pursuant to chapter 8 of title 8 of the Rhode Island general laws, as amended. The provider's right to appeal under this section shall be expressly made conditional upon prepayment of all surcharges, interest, and penalties, unless the provider moves for and is granted an exemption from the prepayment requirement,  pursuant to section 8-8-26 of the Rhode Island general laws, as amended. Following the appeal, if the court determines that the provider is entitled to a refund, the provider shall also be paid interest on the refund at the rate provided in section 44-1-7.1 of the Rhode Island general laws, as amended.

 

44-64-10. Provider records. -- Every provider shall:

(1) keep records as may be necessary to determine the amount of its liability under this chapter;

(2) preserve those records for the period of three (3) years following the date of filing of any return required by this chapter, or until any litigation or prosecution under this chapter has been completed; and 

(3) make those records available for inspection upon demand by the tax administrator or his authorized agents at reasonable times during regular business hours.

 

44-64-11. Method of payment and deposit of surcharge. --  (a) Payments required by this chapter may be made by electronic transfer of monies to the general treasurer for deposit in  the general fund.

(b) The general treasurer is authorized to establish necessary accounts and to take all steps necessary to facilitate the electronic transfer of monies. The general treasurer shall provide the tax administrator a record of any such monies transferred and deposited.

 

44-64-12. Rules and regulations. -- The tax administrator is authorized to promulgate all necessary rules, regulations, and procedures, not inconsistent with state law and fiscal procedures,  for the proper administration of this chapter and in order to carry out the provisions, policy, and purposes of this chapter.

 

44-64-13. Severability. -- If any provision of this chapter or the application of this chapter to any person or circumstances is held invalid, that invalidity shall not affect other provisions or applications of the chapter that can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable.

 

SECTION 3. Title 44 of the General Laws entitled "TAXATION" is hereby amended by adding thereto the following chapter:

 

CHAPTER 65
IMAGING SERVICES SURCHARGE

 

44-65-1. Short title. -- This chapter shall be known as "The Imaging Services Surcharge Act."

 

44-65-2. Definitions. -- The following words and phrases as used in this chapter have the following meaning:

(1) "Administrator" means the tax administrator within the department of administration.

(2) "Gross patient revenue" means the gross amount received on a cash basis by a provider from all income derived from the provision of imaging services to patients. Charitable contributions, fundraising proceeds, and endowment support shall not be considered as "gross patient revenue."

(3) "Net patient services revenue" means the charges related to patient care services less (i) charges attributable to charity care, (ii) bad debt expenses, and (iii) contractual allowances.

(4) "Imaging services" means and includes all the professional and technical components of x-ray, ultrasound (including echocardiography), computed tomography (CT), magnetic resonance imaging (MRI), positron emission tomography (PET), positron emission tomography/computed tomography (PET/CT), general nuclear medicine, and bone densitometry procedures.

(5) "Person" means any individual, corporation, company, association, partnership, joint stock association, and the legal successor thereof.

(6) "Provider" means any person who furnishes imaging services for the purposes of patient diagnosis, assessment or treatment, excluding any person licensed as a hospital or a rehabilitation hospital center or a not-for-profit organization ambulatory care facility, pursuant to the provisions of chapter 17 of title 23 of the Rhode Island general laws, as amended or not performing more than two hundred (200) radiological procedures per month. Further, the term "provider" shall not apply to any person subject to the provisions of chapter 64 of title 44 or to any person licensed in the state of Rhode Island as a dentist or a podiatrist or a veterinarian.

(7) "Surcharge" means the assessment imposed upon net patient revenue pursuant to this chapter.

 

44-65-3. Imposition of surcharge. -- A surcharge shall be imposed upon the net patient revenue received by every provider in each month at a rate of two percent (2.0%). Every provider shall pay the monthly surcharge no later than the twenty-fifty (25th) day of each month following the month of receipt of net patient services revenue. This surcharge shall be in addition to any other fees or assessments upon the provider allowable by law.

 

44-65-4. Returns. -- (a) Every provider shall on or before the twenty-fifty (25th) day of the month following the month of receipt of gross patient revenue make a return to the tax administrator.

(b) The tax administrator is authorized to adopt rules, pursuant to this chapter, relative to the form of the return and the data that it must contain for the correct computation of gross patient revenue and the surcharge upon the amount. All returns shall be signed by the provider or by its authorized representative, subject to the pains and penalties of perjury. If a return shows an overpayment of the surcharge due, the tax administrator shall refund or credit the overpayment to the provider.

(c) The tax administrator, for good cause shown, may extend the time within which a provider is required to file a return, and if the return is filed during the period of extension no penalty or late filing charge may be imposed for failure to file the return at the time required by this chapter, but the provider shall be liable for interest as prescribed in this chapter. Failure to file the return during the period for the extension shall void the extension.

 

44-65-5. Set-off for delinquent payment of surcharge. -- If a provider shall fail to pay a surcharge within thirty (30) days of its due date, the tax administrator may request any agency of state government making payments to the provider to set-off the amount of the delinquency against any payment due the provider from the agency of state government and remit the sum to the tax administrator. Upon receipt of the set-off request from the tax administrator, any agency of state government is authorized and empowered to set-off the amount of the delinquency against any payment or amounts due the provider. The amount of set-off shall be credited against the surcharge due from the provider.

 

44-65-6. Surcharge on available information -- Interest on delinquencies -- Penalties -- Collection powers. -- If any provider shall fail to file a return within the time required by this chapter, or shall file an insufficient or incorrect return, or shall not pay the surcharge imposed by this chapter when it is due, the tax administrator shall assess upon the information as may be available, which shall be payable upon demand and shall bear interest at the annual rate provided by section 44-1-7 of the Rhode Island general laws, as amended, from the date when the surcharge should have been paid. If any part of the surcharge made is due to negligence or intentional disregard of the provisions of this chapter, a penalty of ten percent (10%) of the amount of the determination shall be added to the tax. The tax administrator shall collect the surcharge with interest in the same manner and with the same powers as are prescribed for collection of taxes in this title.

 

44-65-7. Claims for refund -- Hearing upon denial. -- (a) Any provider, subject to the provisions of this chapter, may file a claim for refund with the tax administrator at any time within two (2) years after the surcharge has been paid. If the tax administrator shall determine that the surcharge has been overpaid, he or she shall make a refund with interest from the date of overpayment.

(b) Any provider whose claim for refund has been denied may, within thirty (30) days from the date of the mailing by the administrator of the notice of the decision, request a hearing and the administrator shall, as soon as practicable, set a time and place for the hearing and shall notify the provider.

 

44-65-8. Hearing by tax administrator on application. -- Any provider aggrieved by the action of the tax administrator in determining the amount of any surcharge or penalty imposed under the provisions of this chapter may apply to the tax administrator, within thirty (30) days after the notice of the action is mailed to it, for a hearing relative to the surcharge or penalty. The tax administrator shall fix a time and place for the hearing and shall so notify the provider. Upon the hearing the tax administrator shall correct manifest errors, if any, disclosed at the hearing and thereupon assess and collect the amount lawfully due together with any penalty or interest thereon.

 

44-65-9. Appeals. -- Appeals from administrative orders or decisions made pursuant to any provisions of this chapter shall be to the sixth division district court pursuant to chapter 8 of title 8 of the Rhode Island general laws, as amended. The provider's right to appeal under this section shall be expressly made conditional upon prepayment of all surcharges, interest, and penalties unless the provider moves for and is granted an exemption from the prepayment requirement pursuant to section 8-8-26 of the Rhode Island general laws, as amended. If the court, after appeal, holds that the provider is entitled to a refund, the provider shall also be paid interest on the amount at the rate provided in section 44-1-7.1 of the Rhode Island general laws, as amended.

 

44-65-10. Provider records. -- Every provider shall:

(1) Keep records as may be necessary to determine the amount of its liability under this chapter.

(2) Preserve those records for the period of three (3) years following the date of filing of any return required by this chapter, or until any litigation or prosecution under this chapter is finally determined.

(3) Make those records available for inspection by the administrator or his/her authorized agents, upon demand, at reasonable times during regular business hours.

 

44-65-11. Method of payment and deposit of surcharge. -- (a) The payments required by this chapter may be made by electronic transfer of monies to the general treasurer and deposited to the general fund.

(b) The general treasurer is authorized to establish an account or accounts and to take all steps necessary to facilitate the electronic transfer of monies. The general treasurer shall provide the tax administrator a record of any monies transferred and deposited.

 

44-65-12. Rules and regulations. -- The tax administrator is authorized to make and promulgate rules, regulations, and procedures not inconsistent with state law and fiscal procedures as he or she deems necessary for the proper administration of this chapter and to carry out the provisions, policies, and purposes of this chapter.

 

44-65-13. Severability. -- If any provision of this chapter or the application of this chapter to any person or circumstances is held invalid, that invalidity shall not affect other provisions or applications of the chapter that can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable.

 

SECTION 4.  Section 1 shall take effect on July 1, 2007 and shall apply to hospitals, as defined in Section 1, which are duly licensed on July 1, 2007. The licensing fee imposed by Section 1 shall be in addition to the inspection fee imposed by § 23-17-38 and to any licensing  fees previously imposed in accordance with § 23-17-38.1. The remainder of the article shall take effect upon passage.




ARTICLE 12 SUBSTITUTE A AS AMENDED

 

RELATING TO HOSPITAL FACILITIES and other medical facilities and services

 

SECTION 1.  Section 23-17-38.1 of the General Laws in Chapter 23-17 entitled “Licensing of Health Care Facilities” is hereby amended as follows:

 

  23-17-38.1. Hospitals – Licensing fee. -- (a) There is imposed a hospital licensing fee at the rate of three and fifty-six hundredths percent (3.56%) upon the net patient services revenue of every hospital for the hospital's first fiscal year ending on or after January 1, 2004. This licensing fee shall be administered and collected by the tax administrator, division of taxation within the department of administration, and all the administration, collection and other provisions of chapter 50 and 51 of title 44 shall apply. Every hospital shall pay the licensing fee to the tax administrator on or before July 16, 2007  and payments shall be made by electronic transfer of monies to the general treasurer and deposited to the general fund in accordance with § 44-50-11. Every hospital shall, on or before June 15, 2007, make a return to the tax administrator containing the correct computation of net patient services revenue for the hospital fiscal year ending September 30, 2004, and the licensing fee due upon that amount. All returns shall be signed by the hospital's authorized representative, subject to the pains and penalties of perjury.

(b) There is imposed a hospital licensing fee at the rate of three and forty-eight hundredths percent (3.48%) upon the net patient services revenue of every hospital for the hospital's first fiscal year ending on or after January 1, 2006. This licensing fee shall be administered and collected by the tax administrator, division of taxation within the department of administration, and all the administration, collection and other provisions of chapter 50 and 51 of title 14 shall apply. Every hospital shall pay the licensing fee to the tax administrator on or before July 14, 2008 and payments shall be made by electronic transfer of monies to the general treasurer and deposited to the general fund in accordance with section 44-50-11. Every hospital shall, on or before June 16, 2008, make a return to the tax administrator containing the correct computation of net patient services revenue for the hospital fiscal year ending September 30, 2006, and the licensing fee due upon that amount. All returns shall be signed by the hospital's authorized representative, subject to the pains and penalties of perjury.

(b) (c) For purposes of this section the following words and phrases have the following meanings:

   (1) "Hospital" means a person or governmental unit duly licensed in accordance with this chapter to establish, maintain, and operate a hospital, except a hospital whose primary service and primary bed inventory are psychiatric.

   (2) "Gross patient services revenue" means the gross revenue related to patient care services.

(3) "Net patient services revenue" means the charges related to patient care services less (i) charges attributable to charity care, (ii) bad debt expenses, and (iii) contractual allowances.

(c) (d) The tax administrator shall make and promulgate any rules, regulations, and procedures not inconsistent with state law and fiscal procedures that he or she deems necessary for the proper administration of this section and to carry out the provisions, policy and purposes of this section.

(d) (e) The licensing fee imposed by this section shall be in addition to the inspection fee imposed by § 23-17-38 and to any licensing fees previously imposed in accordance with § 23-17-38.1.

 

SECTION 2. Title 44 of the General Laws entitled “Taxation” is hereby amended by adding thereto the following chapter:

 

CHAPTER 64

THE OUTPATIENT HEALTH CARE

FACILITY SURCHARGE

 

44-64-1. Short title. -- This chapter shall be known as "The Outpatient Health Care Facility Surcharge Act."

 

44-64-2. Definitions. -- The following words and phrases as used in this chapter have the following meaning:

(1) "Administrator" means the tax administrator within the department of revenue.

(2) "Gross patient revenue" means the gross amount received on a cash basis by the provider from all patient care and other gross operating income. However, charitable contributions, fund raising proceeds, and endowment support shall not be considered “gross patient revenue."

(3) "Net patient services revenue" means the charges related to patient care services less (i) charges attributable to charity care, (ii) bad debt expenses, and (iii) contractual allowances.

(4) "Person" means any individual, corporation, company, association, partnership, joint stock association, and the legal successor thereof.

(5) "Provider" means a licensed facility or operator, including a government facility or operator, subject to a surcharge under this chapter.

(6) "Surcharge" means the assessment that is imposed upon net patient revenue pursuant to this chapter.

 

44-64-3. Imposition of surcharge – Outpatient health care facility. -- (a) For the purposes of this section, an "outpatient health care facility" means a person or governmental unit that is licensed to establish, maintain, and operate a free-standing ambulatory surgery center or a physician ambulatory surgery center or a podiatry ambulatory surgery center, in accordance with chapter 17 of title 23.

(b) A surcharge at a rate of two percent (2.0%) shall be imposed upon the net patient services revenue received each month by every outpatient health care facility.  Every provider shall pay the monthly surcharge no later than the twenty-fifth (25th) day of the month following the month that the gross patient revenue is received. This surcharge shall be in addition to any other authorized fees that have been assessed upon outpatient facilities. 

 

44-64-4. Returns. -- (a) Every provider shall, on or before the twenty-fifth (25th) day of the month following the month that the gross patient revenue is received, make a return to the tax administrator.

(b) The tax administrator is authorized to adopt rules relative to the form of the return and the data it must contain for the correct computation of gross patient revenue and the surcharge.  All returns shall be signed by the provider or its authorized representative, subject to the  penalties of perjury. If a return shows an overpayment of the surcharge due, the tax administrator shall refund or credit the overpayment to the provider.

(c) The tax administrator, for good cause shown, may extend the time within which a provider is required to file a return. If the return is filed during the period of extension, no penalty or late filing charge may be imposed for failure to file the return at the time required by this chapter, but the provider shall be liable for any interest as prescribed in this chapter. Failure to file the return during the period for the extension shall make the extension null and void. 

 

44-64-5. Set-off for delinquent payment of surcharge. -- If a provider shall fail to pay a surcharge within thirty (30) days of its due date, the tax administrator may request any agency of state government to set off the amount of the delinquency against any payment they might be due the provider from the agency and to remit any such payment to the tax administrator. Upon receipt of a request for set-off from the tax administrator, any agency of state government is authorized and empowered to set off the amount of any delinquency against any payment that is due the provider. The amount of set-off shall be credited against the surcharge due from the provider.

 

44-64-6. Surcharge on available information. – Interest on delinquencies – Penalties – Collection powers. --  If any provider shall fail, within the time required by this chapter, to file a return, or shall file an insufficient or incorrect return, or shall not pay the surcharge imposed by this chapter when it is due, the tax administrator shall make an assessment based upon information that may be available, which assessment shall be payable upon demand and shall bear interest from the date when the surcharge should have been paid at the annual rate set forth in section 44-1-7 of the Rhode Island general laws, as amended. If any part of the surcharge is caused by the negligence or intentional disregard of the provisions of this chapter, a penalty of ten percent (10%) of the amount of the determination shall be added to the surcharge. The tax administrator shall collect the surcharge with interest in the same manner and with the same powers as are prescribed for collection of taxes in this title.

 

44-64-7. Claims for refund – Hearing upon denial. --  (a) Any provider, subject to the provisions of this chapter, may file a claim for refund with the tax administrator at any time within two (2) years after the surcharge has been paid. If the tax administrator shall determine that the surcharge has been overpaid, the tax administrator shall make a refund with interest from the date of overpayment.

(b) Any provider aggrieved by an  action of the tax administrator in determining the amount of any surcharge or penalty imposed under the provisions of this chapter may, within thirty (30) days after the notice of the action was mailed, apply to the tax administrator, for a hearing relative to the surcharge or penalty. The tax administrator shall fix a time and place for the hearing and shall so notify the provider.

 

44-64-8. Hearing by tax administrator on application. -- Following hearing, if the tax administrator upholds the assessment of the surcharge, the amount owed shall be assessed together with any penalty or interest thereon.

 

44-64-9. Appeals. -- Appeals from administrative orders or decisions made pursuant to any provisions of this chapter shall be to the sixth division district court pursuant to chapter 8 of title 8 of the Rhode Island general laws, as amended. The provider's right to appeal under this section shall be expressly made conditional upon prepayment of all surcharges, interest, and penalties, unless the provider moves for and is granted an exemption from the prepayment requirement,  pursuant to section 8-8-26 of the Rhode Island general laws, as amended. Following the appeal, if the court determines that the provider is entitled to a refund, the provider shall also be paid interest on the refund at the rate provided in section 44-1-7.1 of the Rhode Island general laws, as amended.

 

44-64-10. Provider records. -- Every provider shall:

(1) keep records as may be necessary to determine the amount of its liability under this chapter;

(2) preserve those records for the period of three (3) years following the date of filing of any return required by this chapter, or until any litigation or prosecution under this chapter has been completed; and 

(3) make those records available for inspection upon demand by the tax administrator or his authorized agents at reasonable times during regular business hours.

 

44-64-11. Method of payment and deposit of surcharge. --  (a) Payments required by this chapter may be made by electronic transfer of monies to the general treasurer for deposit in  the general fund.

(b) The general treasurer is authorized to establish necessary accounts and to take all steps necessary to facilitate the electronic transfer of monies. The general treasurer shall provide the tax administrator a record of any such monies transferred and deposited.

 

44-64-12. Rules and regulations. -- The tax administrator is authorized to promulgate all necessary rules, regulations, and procedures, not inconsistent with state law and fiscal procedures,  for the proper administration of this chapter and in order to carry out the provisions, policy, and purposes of this chapter.

 

44-64-13. Severability. -- If any provision of this chapter or the application of this chapter to any person or circumstances is held invalid, that invalidity shall not affect other provisions or applications of the chapter that can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable.

 

SECTION 3. Title 44 of the General Laws entitled "TAXATION" is hereby amended by adding thereto the following chapter:

 

CHAPTER 65
IMAGING SERVICES SURCHARGE

 

44-65-1. Short title. -- This chapter shall be known as "The Imaging Services Surcharge Act."

 

44-65-2. Definitions. -- The following words and phrases as used in this chapter have the following meaning:

(1) "Administrator" means the tax administrator within the department of administration.

(2) "Gross patient revenue" means the gross amount received on a cash basis by a provider from all income derived from the provision of imaging services to patients. Charitable contributions, fundraising proceeds, and endowment support shall not be considered as "gross patient revenue."

(3) "Net patient services revenue" means the charges related to patient care services less (i) charges attributable to charity care, (ii) bad debt expenses, and (iii) contractual allowances.

(4) "Imaging services" means and includes all the professional and technical components of x-ray, ultrasound (including echocardiography), computed tomography (CT), magnetic resonance imaging (MRI), positron emission tomography (PET), positron emission tomography/computed tomography (PET/CT), general nuclear medicine, and bone densitometry procedures.

(5) "Person" means any individual, corporation, company, association, partnership, joint stock association, and the legal successor thereof.

(6) "Provider" means any person who furnishes imaging services for the purposes of patient diagnosis, assessment or treatment, excluding any person licensed as a hospital or a rehabilitation hospital center or a not-for-profit organization ambulatory care facility, pursuant to the provisions of chapter 17 of title 23 of the Rhode Island general laws, as amended or not performing more than two hundred (200) radiological procedures per month. Further, the term "provider" shall not apply to any person subject to the provisions of chapter 64 of title 44 or to any person licensed in the state of Rhode Island as a dentist or a podiatrist or a veterinarian.

(7) "Surcharge" means the assessment imposed upon net patient revenue pursuant to this chapter.

 

44-65-3. Imposition of surcharge. -- A surcharge shall be imposed upon the net patient revenue received by every provider in each month at a rate of two percent (2.0%). Every provider shall pay the monthly surcharge no later than the twenty-fifty (25th) day of each month following the month of receipt of net patient services revenue. This surcharge shall be in addition to any other fees or assessments upon the provider allowable by law.

 

44-65-4. Returns. -- (a) Every provider shall on or before the twenty-fifty (25th) day of the month following the month of receipt of gross patient revenue make a return to the tax administrator.

(b) The tax administrator is authorized to adopt rules, pursuant to this chapter, relative to the form of the return and the data that it must contain for the correct computation of gross patient revenue and the surcharge upon the amount. All returns shall be signed by the provider or by its authorized representative, subject to the pains and penalties of perjury. If a return shows an overpayment of the surcharge due, the tax administrator shall refund or credit the overpayment to the provider.

(c) The tax administrator, for good cause shown, may extend the time within which a provider is required to file a return, and if the return is filed during the period of extension no penalty or late filing charge may be imposed for failure to file the return at the time required by this chapter, but the provider shall be liable for interest as prescribed in this chapter. Failure to file the return during the period for the extension shall void the extension.

 

44-65-5. Set-off for delinquent payment of surcharge. -- If a provider shall fail to pay a surcharge within thirty (30) days of its due date, the tax administrator may request any agency of state government making payments to the provider to set-off the amount of the delinquency against any payment due the provider from the agency of state government and remit the sum to the tax administrator. Upon receipt of the set-off request from the tax administrator, any agency of state government is authorized and empowered to set-off the amount of the delinquency against any payment or amounts due the provider. The amount of set-off shall be credited against the surcharge due from the provider.

 

44-65-6. Surcharge on available information -- Interest on delinquencies -- Penalties -- Collection powers. -- If any provider shall fail to file a return within the time required by this chapter, or shall file an insufficient or incorrect return, or shall not pay the surcharge imposed by this chapter when it is due, the tax administrator shall assess upon the information as may be available, which shall be payable upon demand and shall bear interest at the annual rate provided by section 44-1-7 of the Rhode Island general laws, as amended, from the date when the surcharge should have been paid. If any part of the surcharge made is due to negligence or intentional disregard of the provisions of this chapter, a penalty of ten percent (10%) of the amount of the determination shall be added to the tax. The tax administrator shall collect the surcharge with interest in the same manner and with the same powers as are prescribed for collection of taxes in this title.

 

44-65-7. Claims for refund -- Hearing upon denial. -- (a) Any provider, subject to the provisions of this chapter, may file a claim for refund with the tax administrator at any time within two (2) years after the surcharge has been paid. If the tax administrator shall determine that the surcharge has been overpaid, he or she shall make a refund with interest from the date of overpayment.

(b) Any provider whose claim for refund has been denied may, within thirty (30) days from the date of the mailing by the administrator of the notice of the decision, request a hearing and the administrator shall, as soon as practicable, set a time and place for the hearing and shall notify the provider.

 

44-65-8. Hearing by tax administrator on application. -- Any provider aggrieved by the action of the tax administrator in determining the amount of any surcharge or penalty imposed under the provisions of this chapter may apply to the tax administrator, within thirty (30) days after the notice of the action is mailed to it, for a hearing relative to the surcharge or penalty. The tax administrator shall fix a time and place for the hearing and shall so notify the provider. Upon the hearing the tax administrator shall correct manifest errors, if any, disclosed at the hearing and thereupon assess and collect the amount lawfully due together with any penalty or interest thereon.

 

44-65-9. Appeals. -- Appeals from administrative orders or decisions made pursuant to any provisions of this chapter shall be to the sixth division district court pursuant to chapter 8 of title 8 of the Rhode Island general laws, as amended. The provider's right to appeal under this section shall be expressly made conditional upon prepayment of all surcharges, interest, and penalties unless the provider moves for and is granted an exemption from the prepayment requirement pursuant to section 8-8-26 of the Rhode Island general laws, as amended. If the court, after appeal, holds that the provider is entitled to a refund, the provider shall also be paid interest on the amount at the rate provided in section 44-1-7.1 of the Rhode Island general laws, as amended.

 

44-65-10. Provider records. -- Every provider shall:

(1) Keep records as may be necessary to determine the amount of its liability under this chapter.

(2) Preserve those records for the period of three (3) years following the date of filing of any return required by this chapter, or until any litigation or prosecution under this chapter is finally determined.

(3) Make those records available for inspection by the administrator or his/her authorized agents, upon demand, at reasonable times during regular business hours.

 

44-65-11. Method of payment and deposit of surcharge. -- (a) The payments required by this chapter may be made by electronic transfer of monies to the general treasurer and deposited to the general fund.

(b) The general treasurer is authorized to establish an account or accounts and to take all steps necessary to facilitate the electronic transfer of monies. The general treasurer shall provide the tax administrator a record of any monies transferred and deposited.

 

44-65-12. Rules and regulations. -- The tax administrator is authorized to make and promulgate rules, regulations, and procedures not inconsistent with state law and fiscal procedures as he or she deems necessary for the proper administration of this chapter and to carry out the provisions, policies, and purposes of this chapter.

 

44-65-13. Severability. -- If any provision of this chapter or the application of this chapter to any person or circumstances is held invalid, that invalidity shall not affect other provisions or applications of the chapter that can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable.

 

SECTION 4.  Section 1 shall take effect on July 1, 2007 and shall apply to hospitals, as defined in Section 1, which are duly licensed on July 1, 2007. The licensing fee imposed by Section 1 shall be in addition to the inspection fee imposed by § 23-17-38 and to any licensing  fees previously imposed in accordance with § 23-17-38.1. The remainder of the article shall take effect upon passage.




 

RELATING TO NURSING FACILITIES

 

SECTION 1. Section 40-8-19 and 40-8-20.1 of the General Laws in Chapter 40-8 entitled “Medical  Assistance” are hereby amended to read as follows:

 

40-8-19. Rates of payment to nursing facilities. – (a) Rate reform. The rates to be paid by the state to nursing facilities licensed pursuant to chapter 17 of title 23, and certified to participate in the Title XIX Medicaid program for services rendered to Medicaid-eligible residents, shall be reasonable and adequate to meet the costs which must be incurred by efficiently and economically operated facilities in accordance with 42 U.S.C. § 1396a(a)(13). The department of human services shall promulgate or modify the principles of reimbursement for nursing facilities currently in effect on July 1, 2003 to be consistent with the provisions of this section and Title XIX, 42 U.S.C. § 1396 et seq., of the Social Security Act.

(b) Rate reform. Subject to the phase-in provisions in subsections (c) and (d), the department shall, on or before October 1, 2005, modify the principles of reimbursement for nursing facilities to include the following elements:

(1) Annual base years;

(2) Four (4) cost centers: direct labor, property, other operating, and pass through items;

(3) Re-array of costs of all facilities in the labor and other operating cost centers every three (3) years beginning with calendar year 2002;

(4) A ceiling maximum for allowable costs in the direct labor cost center to be established by the department between one hundred ten percent (110%) and one hundred twenty-five percent (125%) of the median for all facilities for the most recent array year.

(5) A ceiling maximum for allowable costs in the other operating cost center to be established by the department between ninety percent (90%) and one hundred fifteen percent (115%) of the median for all facilities for the most recent array year;

(6) Adjustment of costs and ceiling maximums by the increase in the National Nursing Home Price Index ("NNHPI") for the direct labor cost center and the other operating cost center for year between array years; such adjustments to be applied on October 1st of each year beginning October 1, 2003 for the direct labor cost center and October 1, 2005 for the other operating cost center, except for the fiscal year beginning July 1, 2006 for which the price index shall be applied on February 1, 2007 and for the fiscal year beginning October 1, 2007 for which the adjustment of costs and ceiling maximums shall be 1.1 percent.

(7) Application of a fair rental value system to be developed by the department for calculating allowable reimbursement for the property cost center;

(8) Such quality of care and cost containment incentives as may be established by departmental regulations.

(c) Phase I Implementation. The department shall file a state plan amendment with the U.S. Department of Health and Human Services on or before August 1, 2003 to modify the principles of reimbursement for nursing facilities, to be effective on October 1, 2003, or as soon thereafter as is authorized by an approved state plan amendment, to establish the direct labor cost center and the pass through items cost center utilizing calendar year 2002 cost data, and to apply the ceiling maximums in subsections (b)(4) and (b)(5). Nursing facilities whose allowable 2002 direct labor costs are below the median in the direct labor cost center may make application to the department for a direct labor cost interim payment adjustment equal to twenty-five percent (25%) of the amount such allowable 2002 direct labor costs are below the median in the direct labor cost center, provided that the interim payment adjustment granted by the department on or after October 1, 2003 must be expended by the facility on expenses allowable within the direct labor cost center, and any portion of the interim payment not expended on allowable direct labor cost center expenses shall be subject to retroactive adjustment and recoupment by the department upon the department's determination of a final direct labor payment adjustment after review of the facility's actual direct labor expenditures. The final direct labor payment adjustment will be included in the facility's October 1, 2004 rate until the facility's next base year.

(d) Phase II Implementation. The department shall file a state plan amendment with the U.S. Department of Health and Human Services to modify the principles of reimbursement for nursing facilities, to be effective on September 1, 2004, or as soon thereafter as is authorized by an approved state plan amendment, to establish a fair rental value system for calculating allowable reimbursement for the property cost center in accordance with subsection (b)(7); provided, however, that no facility shall receive a payment as of September 1, 2004 for property-related expenses pursuant to the fair rental value system that is less than the property-related payment they would have received for the other property-related ("OPR") cost center system in effect as of June 30, 2004.

 

40-8-20.1. Prospective rate increments. -- The department may consider the granting of a prospective rate that reflects demonstrated cost increases in excess of the rate that has been established by the application of the percentage increase. In order to qualify for the rate increment, demonstrated increased costs must be the result of:

 (a) Demonstrated errors made during the rate determination process;

 (b) Significant increases in operating costs resulting from the implementation of new or additional programs, services or staff specifically mandated by the Rhode Island department of health;

 (c) Significant increases in operating costs resulting from capital renovations, expansion, or replacement required for compliance with fire safety codes and/or certification requirements of the Rhode Island department of health, as well as increased energy costs which the facility can demonstrate are a result of the facility having expended funds for heating, lighting, hot water, and similar costs associated with the consumption of energy provided by public utilities;

 (d) Significant increases in workers' compensation and/or health insurance premiums which cannot be accommodated within the nursing facility's assigned aggregate per diem rate, if cost justified; provided, that assigned per diem rate in the labor and payroll related expenses cost center does not exceed two percent (2%) of the cost center ceiling; or

 (e) Extraordinary circumstances, including, but not limited to, acts of God, and inordinate increases in energy costs (e.g. federal BTU tax, regional or national energy crisis). Inordinate increases in energy costs will be immediately reflected in increased rates above the energy cost center ceiling maximum. Provided, however, that such increases will be rescinded immediately upon cessation of the extraordinary circumstance. All requests for rate increments shall be limited to one request per nursing facility for the factors set forth in subsections (b) and (c); provided, additional requests involving a per diem increase in excess of one percent of the nursing facility's previously assigned aggregate per diem rate shall also be reviewed. Before a nursing facility shall be permitted to file for a rate increment, increases in operating costs set forth in subsections (b) and (c) must have been incurred for a period of not less than three (3) months in order to establish proof of the increase. Rate adjustments granted as a result of a request filed within one hundred twenty (120) days after the costs were first incurred shall be made effective retroactively to the date the costs were actually incurred; provided, further, any adjustments granted as a result of requests filed more than one hundred twenty (120) days after the costs were first incurred will be effective on the first day of the month following the filing of the request.

 

SECTION 2. Chapter 40-8 of the General Laws entitled "Medical Assistance" is hereby amended by adding thereto the following section:

 

40-8-20.2. Best energy practices for licensed nursing facilities - Energy conservation retention credit. – (a) In order to reduce overall energy consumption and to slow the rate of the growth in state Medicaid expenditures, the state of Rhode Island shall adopt an energy conservation retention credit for licensed nursing facilities that meet the criteria set forth herein. Every licensed nursing facility participating in the Medicaid medical assistance program that: (1) expends funds for energy conservation measures and the use of renewable fuels, energy sources, and so-called "green" sources of energy that result in a reduction of energy consumption; and (2) which methods the facility can demonstrate, to the satisfaction of the department, result in the facility's "pass through" per diem cost being reduced in the next base year in comparison to the immediately preceding base year, shall be permitted to retain the difference in the previous per diem and the new per diem for a period of up to twenty-four (24) months. Provided, that such retained funds shall be utilized by the nursing facility solely for either: (1) costs directly associated with employing labor at the facility; or (2) to pay down any debt of said nursing facility incurred directly through the purchases of energy saving, conservation and renewable energy or so-called "green" devices.

(b) The department of human services shall convene a working group of interested parties, including, but not limited to, public utilities, provider trades associations, labor unions representing nursing home employees, and environmental advocates, to establish best energy practices for this industry.  

 

SECTION 3. This article shall take effect upon passage.

 

ARTICLE 13 SUBSTITUTE A AS AMENDED

 

RELATING TO HOSPITAL PAYMENTS

 

SECTION 1. Effective July 1, 2007, the department of human services is hereby authorized and directed to amend its regulations and the Rhode Island State Plan for Medical Assistance pursuant to Title XIX of the Social Security Act for reimbursement to hospitals for outpatient services as follows:

Hospitals – Outpatient adjustment payments. – (a) Each hospital in the state of Rhode Island, as defined in section 23-17-38.1(b)(1), shall receive a quarterly adjustment payment during state fiscal year 2008 of an amount determined as follows:

(1) Determine the percent of the state's total Medicaid outpatient and emergency department services (exclusive of physician services) provided by each hospital during the hospital's fiscal year ending during 2006;

(2) Determine the sum of all Medicaid payments to hospitals made for outpatient and emergency department services (exclusive of physician services) provided during each hospital's fiscal year ending during 2006 not including any recoupments or settlements;

(3) Multiply the sum of all Medicaid payments as determined in (2) by 30.2 percent and then multiply that result by each hospital's percentage of the state's total Medicaid outpatient and emergency department services as determined in (1) to obtain the total outpatient adjustment for each hospital to be paid in SFY 2008;

(4) Pay each hospital on or about July 20, 2007, October 20, 2007, January 20, 2008, and April 20, 2008 one-quarter of its total outpatient adjustment as determined in (3) above.

(b) The amounts determined in subsection (a) are in addition to Medicaid outpatient payments and emergency services payments (exclusive of physician services) paid to hospitals in accordance with current state regulation and the Rhode Island Plan for Medicaid Assistance pursuant to Title XIX of the Social Security Act and are not subject to recoupment or settlement.

(c) The payments are expressly conditioned upon approval by the secretary of the United States Department of Health and Human Services, or his or her authorized representative, of any Medicaid state plan amendment necessary to secure for the state the benefit of federal financial participation in federal fiscal year 2008 for such payments, such amendment to be filed not later than July 9, 2007.

 

SECTION 2. Section 40-8-13.2 of the General Laws in Chapter 40-8 entitled “Medical Assistance” is hereby amended to read as follows:

 

40-8-13.2.  Prospective rate methodology for in-state hospital services. – As a condition of participation in the established prospective rate methodology for reimbursement of in-state hospital services, every hospital shall submit year-end settlement reports to the department within two (2) one (1) years from the close of a hospital's fiscal year. In the event that a participating hospital fails to timely submit a year-end settlement report as required, the department shall withhold financial cycle payments due by any state agency with respect to this hospital by not more than ten percent (10%) until the report is received.

 

SECTION 3.  This article shall take effect upon passage.

 

ARTICLE 14 SUBSTITUTE A AS AMENDED

 

Relating To Medical Assistance -- Long-Term Care Service and Finance Reform

 

SECTION 1. Sections 40-8.9-3, 40-8.9-4 and  40-8.9-5 of the General Laws in Chapter 40-8.9 entitled "Medical Assistance - Long-Term Care Service and Finance Reform" are hereby amended to read as follows:

 

40-8.9-3. Least restrictive setting requirement. -- Beginning on July 1, 2006 2007, the department of human services is directed and authorized to recommend the allocate allocation of existing Medicaid resources as needed to ensure that those in need of long-term care and support services receive them in the least restrictive setting appropriate to their needs and preferences. The department is hereby authorized to utilize screening criteria, to avoid unnecessary institutionalization of persons during the full eligibility determination process for Medicaid community based care.

 

40-8.9-4. Unified long-term care budget. -- Beginning on July 1, 2007, a unified long-term care budget shall combine in a single line-item appropriation within the department of human services budget, annual department of human services Medicaid appropriations for nursing facility and community-based long-term care services for elderly sixty-five (65) and older (including adult day care, home health, and personal care in assisted living settings). Beginning on July 1, 2007, the total system savings attributable to the value of the reduction in nursing home days including hospice care paid for by Medicaid shall be allocated in the budget enacted by the general assembly for the ensuing fiscal year for the express purpose of promoting and strengthening community-based alternatives.

The caseload estimating conference pursuant to section 35-17-1 shall determine the amount of general revenues to be added to the current service estimate of community based long-term care services for elderly sixty-five (65) and older for the ensuing budget year by multiplying the combined cost per day of nursing home and hospice days estimated at the caseload conference for that year by the reduction in nursing home and hospice days from those in the second fiscal year prior to the current fiscal year to those in the first fiscal year prior to the current fiscal year.

 

40-8.9-5. Administration and regulations. -- As the The single state agency designated to administer the Rhode Island Medicaid program, the department is hereby directed and authorized to develop and submit any requests for waivers, demonstration projects, grants and state plan amendments or regulations that may be considered necessary and appropriate to support the general purposes of this statute. Such requests shall be made in consultation with any affected departments and, to the extent feasible, any consumer group, advisory body, or other entity designated for such purposes.

 

SECTION 2. This article shall take effect upon passage.

 

 


ARTICLE 15 SUBSTITUTE A

 

RELATING TO CHILD CARE  -- STATE SUBSIDIES

 

SECTION 1. Section 40-6.2-1.1 of the General Laws in Chapter 40-6.2 entitled “Child Care – State Subsidies” is hereby amended to read as follows:

 

40-6.2-1.1. Rates Established. – (a) Subject to the payment limitations in section (b), the maximum reimbursement rates to be paid by the departments of human services and children, youth and families for licensed child care centers and certified family-child care providers shall be based on the following schedule of the 75th percentile of weekly market rates:

LICENSED                                  75th  PERCENTILE            

CHILD CARE                               OF WEEKLY                    

CENTERS                                    MARKET   RATE                                      

INFANT                                       $182.00

PRESCHOOL                              $150.00

SCHOOL-AGE                            $135.00 

CERTIFIED                                  75th                        

FAMILY                                       PERCENTILE  

CHILD CARE                               OF WEEKLY  

PROVIDERS                                MARKET  RATE      

INFANT                                       $150.00

PRESCHOOL                              $150.00

SCHOOL-AGE                            $135.00

(b) The department shall pay child care providers based on the lesser of the applicable rate specified in subsection (a), or the lowest rate actually charged by the provider to any of its public or private child care customers with respect to each of the rate categories, infant, preschool and school-age.

(c) By June 30, 2004 and biennially thereafter, the department of labor and training shall conduct an independent survey or certify an independent survey of the then current weekly market rates for child care in Rhode Island and shall forward such weekly market rate survey to the department of human services. The departments of human services and labor and training will jointly determine the survey criteria including, but not limited to, rate categories and sub-categories. The 75th percentile of weekly market rates in the table in subsection (a) shall be adjusted by the surveys conducted under this subsection, beginning January 1, 2006 and biennially thereafter; provided, however, that the weekly market rates in the table in subsection (a) shall be adjusted by the 2006 market rate survey beginning July 1, 20078.  For the purposes of this section, and until adjusted in accordance with this subsection, the 75th percentile of weekly market rate shall mean the 2002 department of human services child care market survey.

(d) The department of human services is authorized and directed to establish rates of reimbursement for appropriate child care provided to children older than twelve (12) years of age, so as to implement the provisions of § 40-5.1-17(b).

(e) (d) In order to expand the accessibility and availability of quality child care, the department of human services is authorized to establish by regulation alternative or incentive rates of reimbursement for quality enhancements, innovative or specialized child care and alternative methodologies of child care delivery, including non-traditional delivery systems and collaborations.

(f)(e) On or before January 1, 2007, all child care providers have the option to be paid every two (2) weeks and have the option of automatic direct deposit and/or electronic funds transfer of reimbursement payments.

(g)(f) Beginning on September 1, 2006, the department of human services shall report monthly to the chairpersons of the house and senate finance committees on the implementation of this subsection.

 

SECTION 2. This article shall take effect as of July 1, 2007




ARTICLE 16 SUBSTITUTE A

 

RELATING TO FINANCIAL INSTITUTIONS - LICENSED ACTIVITIES

 

SECTION 1. Sections 19-14-1, 19-14-2, 19-14-3, 19-14-4, 19-14-6, 19-14-7, 19-14-9, 19-14-23 and 19-14-30 of the General Laws in Chapter 19-14 entitled "Licensed Activities" are hereby amended to read as follows:

 

19-14-1. Definitions. [Effective March 31, 2007.] -- For purposes of this chapter and chapters 14.1, 14.2, 14.3, 14.4, 14.6 and 14.7 of this title:

 (1) "Check" means any check, draft, money order, personal money order, or other instrument for the transmission or payment of money. For the purposes of check cashing, travelers checks or foreign denomination instruments shall not be considered checks. "Check cashing" means providing currency for checks;

 (2) "Deliver" means to deliver a check to the first person who in payment for the check makes or purports to make a remittance of or against the face amount of the check, whether or not the deliverer also charges a fee in addition to the face amount, and whether or not the deliverer signs the check;

 (3) "Electronic money transfer" means receiving money for transmission within the United States or to locations abroad by any means including, but not limited to, wire, facsimile or other electronic transfer system;

 (4) (i) "Lender" means any person who makes or funds a loan within this state with the person's own funds, regardless of whether the person is the nominal mortgagee or creditor on the instrument evidencing the loan;

 (ii) A loan is made or funded within this state if any of the following conditions exist:

 (A) The loan is secured by real property located in this state;

 (B) An application for a loan is taken by an employee, agent, or representative of the lender within this state;

 (C) The loan closes within this state; or

 (D) The loan solicitation is done by an individual with a physical presence in this state.; or

(E) The lender maintains an office in this state.

 (iii) The term "lender" shall also include any person engaged in a transaction whereby the person makes or funds a loan within this state using the proceeds of an advance under a line of credit over which proceeds the person has dominion and control and for the repayment of which the person is unconditionally liable. This transaction is not a table funding transaction. A person is deemed to have dominion and control over the proceeds of an advance under a line of credit used to fund a loan regardless of whether:

 (A) The person may, contemporaneously with or shortly following the funding of the loan, assign or deliver to the line of credit lender one or more loans funded by the proceeds of an advance to the person under the line of credit;

 (B) The proceeds of an advance are delivered directly to the settlement agent by the line of credit lender, unless the settlement agent is the agent of the line of credit lender;

 (C) One or more loans funded by the proceeds of an advance under the line of credit is purchased by the line of credit lender; or

 (D) Under the circumstances as set forth in regulations adopted by the director or the director's designee pursuant to this chapter;

 (5) "Licensee" means an entity licensed under this chapter;

 (6) "Loan" means any advance of money or credit including, but not limited to:

 (i) Loans secured by mortgages;

 (ii) Insurance premium finance agreements;

 (iii) The purchase or acquisition of retail installment contracts or advances to the holders of those contracts;

 (iv) Educational loans;

 (v) Any other advance of money; or

 (vi) Any transaction such as those commonly known as "pay day loans," "pay day advances," or "deferred presentment loans," in which a cash advance is made to a customer in exchange for the customer's personal check, or in exchange for the customer's authorization to debit the customer's deposit account, and where the parties agree either that the check will not be cashed or deposited, or that customer's deposit account will not be debited, until a designated future date.

 (7) "Loan broker" means any person who, for compensation or gain, or in the expectation of compensation or gain, either directly or indirectly, solicits, processes, negotiates, places or sells a loan within this state for others in the primary market, or offers to do so. A loan broker shall also mean any person who is the nominal mortgagee or creditor in a table funding transaction. A loan is brokered within this state if any of the following conditions exist:

 (i) The loan is secured by real property located in this state;

 (ii) An application for a loan is taken or received by an employee, agent or representative of the loan broker within this state;

 (iii) The loan closes within this state; or

 (iv) The loan solicitation is done by an individual with a physical presence in this state.; or

(v) The loan broker maintains an office in this state.

 (8) "Personal money order" means any instrument for the transmission or payment of money in relation to which the purchaser or remitter appoints or purports to appoint the seller as his or her agent for the receipt, transmission, or handling of money, whether the instrument is signed by the seller or by the purchaser or remitter or some other person;

 (9) "Primary market" means the market in which loans are made to borrowers by lenders, whether or not through a loan broker or other conduit;

 (10) "Principal owner" means any person who owns, controls, votes or has a beneficial interest in, directly or indirectly, ten percent (10%) or more of the outstanding capital stock and/or equity interest of a licensee;

 (11) "Sell" means to sell, to issue, or to deliver a check;

 (12) "Small loan" means a loan of less than five thousand dollars ($5,000), not secured by real estate, made pursuant to the provisions of chapter 14.2 of this title;

 (13) "Small loan lender" means a lender engaged in the business of making small loans within this state;

 (14) "Table funding transaction" means a transaction in which there is a contemporaneous advance of funds by a lender and an assignment by the mortgagee or creditor of the loan to the lender;

 (15) "Check casher" means a person or entity that, for compensation, engages, in whole or in part, in the business of cashing checks;

 (16) "Deferred deposit transaction" means any transaction such as those commonly known as "pay-day loans," "pay-day advances," or "deferred presentment loans" in which a cash advance is made to a customer in exchange for the customer's personal check or in exchange for the customer's authorization to debit the customer's deposit account and where the parties agree either that the check will not be cashed or deposited, or that the customer's deposit account will not be debited until a designated future date;

 (17) "Insurance premium finance agreement" means an agreement by which an insured, or prospective insured, promises to pay to an insurance premium finance company the amount advanced or to be advanced, under the agreement to an insurer or to an insurance producer, in payment of a premium or premiums on an insurance contract or contracts, together with interest and a service charge, as authorized and limited by this title;

 (18) "Insurance premium finance company" means a person engaged in the business of making insurance premium finance agreements or acquiring insurance premium finance agreements from other insurance premium finance companies;

 (19) "Simple interest" means interest computed on the principal balance outstanding immediately prior to a payment for the actual number of days between payments made on a loan over the life of a loan;

 (20) "Nonprofit organization" means a corporation qualifying as a 26 U.S.C. section 501(c)(3) nonprofit organization, in the operation of which no member, director, officer, partner, employee, agent, or other affiliated person profits financially other than receiving reasonable salaries if applicable.;

(21) "Mortgage loan originator" means a natural person employee of a lender or loan broker that is required to be licensed under Rhode Island general laws section 19-14-1 et seq., or a provisional employee as defined herein, and who for or with the expectation of a fee, commission or other valuable consideration (i) advises an applicant about different loan products and their terms and conditions in order to permit the applicant to select and apply for a particular loan product, or (ii) advises persons in completing loan applications by informing the applicant regarding the benefits, terms and/or conditions of a loan product or service, or (iii) negotiates or offers to negotiate the making of a loan with an applicant. A person whose activities are ministerial and clerical is not acting as a mortgage loan originator;

 (22) "Mortgage loan" means a loan secured in whole or in part by real property located in this state;

(23) "Loan solicitation" shall mean  an effectuation, procurement, delivery and offer, and advertisement of a loan. Loan solicitation also includes providing or accepting loan applications and assisting persons in completing loan applications and/or advising, conferring, or informing anyone regarding the benefits, terms and/or conditions of a loan product or service. Loan solicitation does not include loan processing or loan underwriting as defined in this section. Loan solicitation does not include telemarketing which is defined for purposes of this section to mean contacting a person by telephone with the intention of collecting such person's name, address and telephone number for the sole purpose of allowing a mortgage loan originator to fulfill a loan inquiry;

(24) "Loan processing" shall mean any of a series of acts or functions including the preparation of a loan application and supporting documents performed by a person which leads to or results in the acceptance, approval, denial, and/or withdrawal of a loan application, including, without limitation, the rendering of services including loan underwriting, taking or receiving loan applications, obtaining verifications, credit reports or appraisals, communicating with the applicant and/or the lender or loan broker, and/or other loan processing and origination services for consideration by a lender or loan broker. Loan processing does not include the following:

(A) The providing of title services, including title searches, title examinations, abstract preparation, insurability determinations, and the issuance of title commitments and title insurance policies, loan closings, preparation of loan closing documents when performed by or under the supervision of a licensed attorney, licensed title agency or licensed title insurance company;

(B) Rendering of credit reports by an authorized credit reporting agency; and

(C) Rendering of appraisal services.

(25) "Loan underwriting" shall mean a loan process that involves the analysis of risk with respect to the decision whether to make a loan to a loan applicant based on credit, employment, assets, and other factors including evaluating a loan applicant against a lender's various lending criteria for creditworthiness, making a determination for the lender as to whether the applicant meets the lender's pre-established credit standards and/or making a recommendation regarding loan approval;

(26) "Negotiate a loan" shall mean to confer directly with or offer advice directly to a loan applicant or prospective loan applicant for a loan product or service concerning any of the substantive benefits, terms, or conditions of the loan product or service;

(27) "Natural person employee" shall mean any natural person performing services as a bona-fide employee for a person licensed under the provisions of Rhode Island general laws section 19-14-1, et. seq., in return for a salary, wage, or other consideration, where such salary, wage, or consideration is reported by the licensee on a federal form W-2 payroll record. The term does not include any natural person or business entity performing services for a person licensed under the provisions of Rhode Island general laws in return for a salary, wage, or other consideration, where such salary, wage, or consideration is reported by the licensee on a federal form 1099;

(28) "Bona-fide employee" shall mean an employee of a licensee who works under the oversight and supervision of the licensee;

(29) "Oversight and supervision of the licensee" shall mean that the licensee provides training to the employee, sets the employee's hours of work, and provides the employee with the equipment and physical premises required to perform the employee's duties;

(30) "Operating subsidiary" shall mean a majority-owned subsidiary of a financial institution or banking institution that engages only in activities permitted by the parent financial institution or banking institution;

(31) "Provisional Employee" means a natural person who, pursuant to a written agreement between the natural person and a wholly owned subsidiary of a financial holding company, as defined in The Bank Holding Company Act of 1956, as amended, a bank holding company, savings bank holding company, or thrift holding company, is an exclusive agent for the subsidiary with respect to mortgage loan originations, and the subsidiary: (a) holds a valid loan broker's license and (b) enters into a written agreement with the director or the director's designee to include:

(i) an "undertaking of accountability" in a form prescribed by the director or the director's designee, for all of the subsidiary's exclusive agents to include full and direct financial and regulatory responsibility for the mortgage loan originator activities of each exclusive agent as if said exclusive agent was an employee of the subsidiary;

(ii) a business plan to be approved by the director or the director's designee, for the education of the exclusive agents, the handling of consumer complaints related to the exclusive agents, and the supervision of the mortgage loan origination activities of the exclusive agents; and

(iii) a restriction of the exclusive agents' mortgage loan originators' activities to loans to be made only by the subsidiary's affiliated bank.

 

19-14-2. Licenses required. [Effective March 31, 2007.] – (a) No person shall engage within this state in the business of: (1) making or funding loans or acting as a lender or small loan lender; (2) brokering loans or acting as a loan broker; (3) selling checks for a fee or other consideration; (4) cashing checks for a fee or other consideration which includes any premium charged for the sale of goods in excess of the cash price of the goods; (5) providing electronic money transfers for a fee or other consideration; or (6) providing debt-management services; or (7) performing the duties of a mortgage loan originator without first obtaining a license or registration from the director or the director's designee. The licensing requirement for any person providing debt management plans shall apply to all persons, without regard for state of incorporation or a physical presence in this state, who initiate or service debt management plans for residents of this state. Special exemptions from licensing for each activity are contained in other chapters in this title.

(b) No lender or loan broker licensee shall permit an employee to act as a mortgage loan originator without first verifying that such originator is licensed under this chapter. No individual may act as a mortgage loan originator without being licensed, or act as a mortgage loan originator for more than one person. The license of a mortgage loan originator is not effective during any period when such mortgage loan originator is not associated with a lender or loan broker licensee.

(c) Each loan negotiated, solicited, placed, found or made without a license as required in subsection (a) of this section shall constitute a separate violation for purposes of this chapter.

(d) No person engaged in the business of making or brokering loans in this state, whether licensed in accordance with the provisions of this chapter, or exempt from licensing, shall accept applications or referral of applicants from, or pay a fee to, any lender, loan broker or mortgage loan originator who is required to be licensed or registered under said sections but is not licensed to act as such by the director or the director's designee.

 

 19-14-3. Application for license. [Effective March 31, 2007.] -- (a) Application for a license shall be made in writing under oath in a form to be provided by the director or the director's designee. The applicant at the time of making application shall pay to the director or the director's designee the sum of one half (1/2) of the annual license fee as a fee for investigating the application. If the application for license is approved, the applicant shall pay a fee equal to the annual license fee as provided in this chapter. The license shall be continuous and the license fee shall cover the period through March 31 of each year. Any application approved after January 1 of any given year shall pay one half (1/2) of the annual license fee for the period ending March 31 of that year.

 (b) [Reserved].

 (c) [Reserved].

 (d) Any license issued under the provisions of former section 5-66-2 shall remain in full force and effect until its expiration and shall be subject to the provisions of this chapter.

(e)  An applicant for issuance of a mortgage loan originator license shall file with the director or the director's designee evidence acceptable to the director or the director's designee that said applicant has:

(1) Successfully completed, during the two (2) years immediately preceding the date of application, an entry level training course relative to state and federal statutes, rules and regulations applicable to loans, mortgages, real property, deeds and contracts consisting of a minimum of twenty-four (24) hours with an approved nationally recognized training facility or other facility including in-house programs, as determined by the director or the director's designee; or

(2) If the applicant has been employed as a mortgage loan originator for five (5) or more years as of January 1, 2009 in this state, the applicant must file with the director or the director's designee that applicant has completed a minimum of twelve (12) hours of education relative to state and federal statutes, rules and regulations applicable to loans, mortgages, real property, deeds and contracts during the two (2) years immediately preceding January 1, 2009, by an approved nationally recognized training facility or other facility including in-house programs, as determined by the director or the director's designee; or

(3) If the applicant has been employed as a loan officer of a financial institution, credit union, bank organized under the laws of another state or bank organized under the laws of the United States for between one and five (5) years immediately preceding applicant's employment as a mortgage loan originator, applicant shall file an application for a mortgage loan originator license on or before his or her date of employment as a mortgage loan originator and shall file evidence acceptable to the director or the director's designee that applicant has completed a minimum of twenty-four (24) hours of education relative to state and federal statutes, rules and regulations applicable to loans, mortgages, real property, deeds and contracts within one hundred twenty (120) days of his or her employment as a mortgage loan originator by an approved nationally recognized training facility or other facility including in-house programs, as determined by the director or the director's designee; or

(4) If the applicant has been employed as a loan officer of a financial institution, credit union, bank organized under the laws of another state or bank organized under the laws of the United States for five (5) years immediately preceding applicant's employment as a mortgage loan originator, applicant shall file an application for a mortgage loan originator license on or before his or her date of employment as a mortgage loan originator and shall file evidence acceptable to the director or the director's designee that applicant has completed a minimum of twelve (12) hours of education relative to state and federal statues, rules and regulations applicable to loans, mortgages, real property, deeds and contracts within twelve (12) months  of his or her employment as a mortgage loan originator by an approved nationally recognized training facility  or other facility including in-house programs, as determined by the director or the director's designee; or

(5)  The requirements that mortgage loan originators obtain licenses as set forth by section 19-14-2 shall be effective January 1, 2009 however, all mortgage loan originators shall register with the department by March 31, 2008 on a form to be prescribed by the director or the director's designee along with a registration fee of the same amount as provided for in section 19-14-4 (8).

 (f) The application for a lender, or loan broker license shall include an application for a license for each mortgage loan originator of the applicant.

 

19-14-4. Annual fee. [Effective March 31, 2007.] -- (a) Each licensee shall pay an annual license fee as follows:

 (1) Each small loan lender license and each branch certificate, the sum of five hundred fifty dollars ($550);

 (2) Each loan broker license and each branch certificate, the sum of five hundred fifty dollars ($550);

 (3) Each lender license and each branch certificate, the sum of one thousand one hundred dollars ($1,100);

 (4) Each sale of checks license, the sum of three hundred dollars ($300);

 (5) Each check cashing license, the sum of three hundred dollars ($300);

 (6) Each electronic money transfer license, the sum of three hundred dollars ($300); and

 (7) Each registration to provide debt-management services, the sum of two hundred dollars ($200).; and

 (8) Each mortgage loan originator license, the sum of one hundred dollars ($100).

 (b) Any licensee who shall not pay the annual fee by March 31 of each year shall be subject to a daily penalty of twenty-five dollars ($25) per day, subject to a maximum of seven hundred fifty dollars ($750). The penalty shall be paid to the director to and for the use of the state. The penalty may be waived for good cause by the director or the director's designee, upon written request.

 

19-14-6. Bond of applicant. [Effective March 31, 2007.] -- (a) An applicant for any license shall file with the director or the director's designee a bond to be approved by him or her in which the applicant shall be the obligor.

 (b) The amount of the bond shall be as follows:

 (1) Small loan lenders, the sum of ten thousand dollars ($10,000);

 (2) Loan brokers, the sum of ten thousand dollars ($10,000)  twenty thousand dollars ($20,000);

 (3) Lenders, the sum of twenty-five thousand dollars ($25,000)  fifty thousand dollars ($50,000);

 (4) Sale of checks and electronic money transfer licensees, the sum of fifty thousand dollars ($50,000) subject to a maximum of one hundred and fifty thousand dollars ($150,000) when aggregated with agent locations;

 (5) Check cashing licensees who accept checks for collection with deferred payment, the sum of fifty thousand dollars ($50,000) subject to a maximum of one hundred and fifty thousand dollars ($150,000) when aggregated with agent locations;

 (6) Foreign exchange licensees, the sum of ten thousand dollars ($10,000);

 (7) Each branch or agent location of a licensee, the sum of five thousand dollars ($5,000); or

 (8) Each debt-management services registrant, the amount provided in section 19-14.8-13.

 (c) The bond shall run to the state for the use of the state and of any person who may have cause of action against the obligor of the bond under the provisions of this title. The bond shall be conditioned upon the obligor faithfully conforming to and abiding by the provisions of this title and of all rules and regulations lawfully made, and the obligor will pay to the state and to any person any and all money that may become due or owing to the state or to the person from the obligor under and by virtue of the provisions of this title.

 (d) The provisions of subsection (b)(6) of this section shall not apply to any foreign exchange business holding a valid electronic money transfer license issued pursuant to section 19-14-1 et seq., that has filed with the division of banking the bond required by subsections (b)(4) and (b)(7) of this section.

 (e) The bond shall remain in force and effect until the surety is released from liability by the director or the director's designee or until the bond is cancelled by the surety. The surety may cancel the bond and be released from further liability under the bond upon receipt by the director or the director's designee of written notice of the cancellation of the bond at least thirty (30) days in advance of the cancellation of the bond. The cancellation shall not affect any liability incurred or accrued under the bond before the termination of the thirty (30) day period. Upon receipt of any notice of cancellation, the director shall provide written notice to the licensee.

 

19-14-7. Issuance or denial of license. -- (a) Upon the filing of a completed application, the payment of fees and the approval of the bond, the director or the director's designee shall commence an investigation of the applicant. The director or the director's designee shall issue and deliver the license applied for in accordance with the provisions of this chapter at the location specified in the application if he or she shall find:

 (1) That the financial responsibility, experience, character, and general fitness of the applicant, and of the applicant's members and of the applicant's officers, including the designated manager of record of a licensed location, if the applicant is a partnership, limited liability company or association, or of the officers including the designated manager of record of a licensed location, and directors and the principal owner or owners of the issued and outstanding capital stock, if the applicant is a corporation, are such as to command the confidence of the community and to warrant belief that the business will be operated honestly, fairly, and efficiently within the purposes of this title; and

 (2) That allowing the applicant to engage in business will promote the convenience and advantage of the community in which the business of the applicant is to be conducted.

 (b) A license provided pursuant to this title shall remain in full force and effect until it is surrendered by the licensee or revoked or suspended as provided by law.

 (c) If the director or the director's designee rejects an application for a license, he or she shall notify the applicant, by certified mail, of the denial, the reason(s) supporting the denial and shall afford the applicant the opportunity for a hearing within a reasonable time period to show cause why the license should not be denied. When an application for a license is denied, the director or the director's designee shall return to the applicant the bond, but shall retain the investigation fee to cover the costs of investigating the application. The director or the director's designee shall approve or deny every application for license under this section within sixty (60) days from the date the application is deemed by the director or the director's designee to be completed.

 (d) Any applicant or licensee aggrieved by the action of the director or the director's designee in denying a completed application for a license shall have the right to appeal the action, order, or decision pursuant to chapter 35 of title 42.

 

19-14-9. Contents of license -- Posting. -- The license or branch certificate shall contain any information that the director or the director's designee shall require, including the type of activity authorized. The license or branch certificate shall be kept conspicuously posted in the place of business of the licensee. The mortgage loan originator license must be carried by each mortgage loan originator and presented, upon request to each applicant or potential applicant with whom the mortgage loan originator transacts business in an in-person meeting. When dealing with an applicant or potential applicant other than in an in-person meeting, the mortgage loan originator shall disclose the mortgage loan originator's license number, upon request to the applicant and the fact that the loan originator is licensed by this state. Any licensee who shall lose, misplace or mutilate the license or branch certificate shall pay a replacement fee of one hundred dollars ($100) to the director for the use of the state.

 

19-14-22. Reporting requirements. -- (a) Each licensee shall annually on or before March 31 file a report with the director or the director's designee giving any relevant information that the director or the director's designee may reasonably require concerning the business and operations during the preceding calendar year of each licensed place of business conducted by the licensee within the state. The report shall be made under oath and shall be in a form prescribed by the director or the director's designee. At the time of filing each report, the sum of fifty-five dollars ($55.00) per license and fifty-five dollars ($55.00) per branch certificate shall be paid by the licensee to the director for the use of the state. Any licensee who shall delay transmission of any report required by the provisions of this title beyond the limit, unless additional time is granted, in writing, for good cause, by the director or the director's designee, shall pay a penalty of twenty-five dollars ($25) for each day of the delay.

 (b) Any licensee shall, within twenty-four (24) hours after actual knowledge, notify the director or the director's designee, in writing, of the occurrence of any of the following events: the institution of bankruptcy, receivership, reorganization or insolvency proceedings regarding a licensee, the institution of any adverse government action against a licensee, or any felony indictment or conviction of any licensee or any officers, directors, owners, employees, members or partners thereof, as the case may be.

(c) Each mortgage loan originator licensee shall, on or before March 31, 2010 and every March 31st thereafter, file with the director or the director's designee evidence acceptable to the director or the director's designee that said loan originator licensee has successfully completed, during the twelve (12) months immediately preceding March 31, a minimum of eight (8) hours of continuing education relative to state and federal statutes, rules and regulations applicable to loans, mortgages, real property, deeds and contracts provided by an approved nationally recognized training facility or other facility including in-house programs, as determined by the director or the director's designee.

(d) Both the mortgage loan originator and the licensee shall promptly notify the director or the director's designee, in writing, within fifteen (15) business days of the termination of employment or services of a mortgage loan originator.

 

19-14-23. Examinations and investigations. -- (a) For the purpose of discovering violations of this title or securing information lawfully required, the director or the director's designee(s) may at any time investigate the loans and business and examine the books, accounts, records and files used therein, of every licensee and person who shall be engaged in the business, whether the person shall act or claim to act as principal or agent, or under or without the authority of this title. For that purpose the director or the director's designee(s) shall have free access to the offices and places of business, books, accounts, paper, records, files, and safes, of all such persons. The director or the director's designee(s) shall have authority to require the attendance of and to examine under oath any person whose testimony may be required relative to the loans or the business or to the subject matter of any examination, investigation, or hearing.

 (b) The director or the director's designee shall make an examination of the affairs, business, office, and records of each licensee and branch location at least once every eighteen (18) months. The total cost of an examination made pursuant to this section shall be paid by the licensee or person being examined, and shall include the following expenses:

 (1) One hundred fifty percent (150%) of the total salaries and benefits plus one hundred percent (100%) for the travel and transportation expenses for the examining personnel engaged in the examinations. The fees shall be paid to the director to and for the use of the state. The examination fees shall be in addition to any taxes and fees otherwise payable to the state;

 (2) All reasonable technology costs related to the examination process. Technology costs shall include the actual cost of software and hardware utilized in the examination process and the cost of training examination personnel in the proper use of the software or hardware; and

 (3) All necessary and reasonable education and training costs incurred by the state to maintain the proficiency and competence of the examination personnel. All such costs shall be incurred in accordance with appropriate state of Rhode Island regulations, guidelines and procedures.

 (c) All expenses incurred pursuant to subsections (b)(2) and (b)(3) of this section shall be allocated equally to each licensee no more frequently than annually and shall not exceed an annual average assessment of fifty dollars ($50.00) per company for an any given three (3) calendar year period. All revenues collected pursuant to this section shall be deposited as general revenues. That assessment shall be in addition to any taxes and fees otherwise payable to the state.

 (d) The provisions of section 19-4-3 shall apply to records of examinations or investigations of licensees; however, the director or the director's designee is authorized to make public the number of valid consumer complaints as determined by the director or the director's designee filed against the licensee for a twelve (12) month period immediately preceding the request for the information.

 (e) If the director or his or her designee has reason to believe that any person required to be licensed under this chapter is conducting a business without having first obtained a license under this chapter, or who after the denial, suspension, or revocation of a license is conducting that business, the director or his or her designee may issue an order to that person commanding him or her to cease and desist from conducting that business. The order shall provide an opportunity to request a hearing to be held not sooner than three (3) days after issuance of that order to show cause why the order should not become final. Any order issued pursuant to this section shall become final if no request for a hearing is received by the director or his or her designee within thirty (30) days of the issuance of the order. The order may be served on any person by mailing a copy of the order, certified mail, return receipt requested, and first class mail to that person at any address at which that person has done business or at which that person lives. Any hearing held pursuant to this section shall be governed in accordance with chapter 35 of title 42. If that person fails to comply with an order of the director or his or her designee after being afforded an opportunity for a hearing, the superior court for Providence County has jurisdiction upon complaint of the department to restrain and enjoin that person from violating this chapter.

 (f) The director may impose an administrative assessment, as well as the penalties provided for under section 19-14-26, against any person named in an order issued under subsection (e) or, in accordance with the rules and regulations promulgated pursuant to section 19-14-30,  against any person who violates or participates in the violation of any of the applicable provisions of this title, or any regulation promulgated pursuant to any provisions of this title. The amount of the administrative assessment may not exceed one thousand dollars ($1,000) for each violation of this chapter or each act or omission that constitutes a basis for issuing the order. Any person aggrieved by an administrative assessment shall have the opportunity to request a hearing to be held in accordance with chapter 35 of title 42 within thirty (30) days of the imposition of such administrative assessment.

 

19-14-30. Rules and regulations. -- The director or the director's designee may adopt reasonable rules and regulations for the implementation and administration of the provisions of this chapter. The director or the director's designee shall adopt and amend reasonable rules and regulations, not later than March 31, 2008, as may be necessary to effectuate and implement the provisions of sections 19-14-1, 19-14-2, 19-14-3, 19-14-4, 19-14-6, 19-14-7, 19-14-9, 19-14-22, 19-14-23 and 19-14-33 pertaining to mortgage loan originators in order that those provisions pertaining to mortgage loan originators are in effect and force on January 1, 2009.

 

SECTION 2. Chapter 19-14 of the General Laws entitled  "Licensed Activities" is hereby amended by adding thereto the following section:

 

19-14-33. Compliance with federal law governing licensed activities. – (a) Each licensee shall comply with all applicable federal laws, rules and regulations, as amended governing activities conducted under its license.

(b) Each licensee shall exercise due diligence in accordance with the rules and regulations promulgated pursuant to section 19-14-30 in confirming its compliance with applicable state/federal statutes and/or regulations at all phases of activities conducted under the license.

 

SECTION 3. Section 19-14.1-10 of the General Laws in Chapter 19-14.1 entitled "Lenders and Loan Brokers" is hereby amended to read as follows:

 

19-14.1-10. Special exemptions. -- (a) The licensing provisions of chapter 14 of this title shall not apply to:

 (1) Nonprofit charitable, educational, or religious corporations or associations;

 (2) Any person who makes less than six (6) loans in this state in any consecutive twelve (12) month period; there is no similar exemption from licensing for loan brokers for brokering loans or acting as a loan broker;

 (3) Person(s) acting as an agent for a licensee for the purpose of conducting closings at a location other than that stipulated in the license;

 (4) Regulated institutions and banks or credit unions organized under the laws of the United States, or subject to written notice with a designated Rhode Island agent for service of process in the form prescribed by the director or the director's designee, of any other state within the United States if the laws of the other state in which such bank or credit union is organized authorizes under conditions not substantially more restrictive than those imposed by the laws of this state, as determined by the director or the director's designee, a financial institution or credit union to engage in the business of originating or brokering loans in the other state; no bank or credit union duly organized under the laws of any other state within the United States may receive deposits, pay checks or lend money from any location within this state unless such bank or credit union has received approval from the director or the director's designee for the establishment of an interstate branch office pursuant to chapter 7 of title 19 of the general laws; or

 (5) Any natural person employee who is employed by a licensee when acting on the licensee's behalf; provided that this exemption shall not apply to a mortgage loan originator required to be licensed under section 19-14-2.

(6) A loan originator employed by an operating subsidiary of a financial institution or banking institution organized under the laws of this state or any state within the United States; provided, however, that any such operating subsidiary shall provide an educational program or course that is relevant to the products and services offered by its employees who solicit loans on behalf of such operating subsidiary.

 (b) The provisions of this chapter and chapter 14 of this title shall not apply to:

 (1) Loans to corporations, joint ventures, partnerships, limited liability companies or other business entities;

 (2) Loans over twenty-five thousand dollars ($25,000) in amount to individuals for business or commercial, as opposed to personal, family or household purposes;

 (3) Loans principally secured by accounts receivable and/or business inventory;

 (4) Loans made by a life insurance company wholly secured by the cash surrender value of a life insurance policy;

 (5) Education-purpose loans made by the Rhode Island health and educational building corporation as vested in chapter 38.1 of title 45 of the Rhode Island student loan authority as vested in chapter 62 of title 16;

 (6) The acquisition of retail or loan installment contracts by an entity whose sole business in this state is acquiring them from federal banks receivers or liquidators;

 (7) Notes evidencing the indebtedness of a retail buyer to a retail seller of goods, services or insurance for a part or all of the purchase price; or

 (8) Any state or federal agency which makes, brokers, or funds loans or acts as a lender or a loan broker. This exemption includes exclusive agents or exclusive contractors of the agency specifically designated by the agency to perform those functions on behalf of the agency and which has notified the director, in writing, of the exclusive agency or contract.

 (c) No license to make or fund loans, or to act as a lender or small loan lender shall be required of any person who engages in deferred deposit transactions (commonly known as "pay-day advance") while holding a valid license to cash checks pursuant to chapter 14 of this title.

 

SECTION 4. This article shall take effect upon passage.

 

 


ARTICLE 17 SUBSTITUTE A

 

RELATING TO HUMAN SERVICES – PHARMACEUTICALS

 

SECTION 1.  Section 40-8-4 of the General Laws in Chapter 40-8 entitled “Medical Assistance” is hereby amended to read as follows:

 

40-8-4. Direct vendor payment plan. – (a) The department shall furnish medical care benefits to eligible beneficiaries through a direct vendor payment plan. The plan shall include, but need not be limited to, any or all of the following benefits, which benefits shall be contracted for by the director:

   (1) Inpatient hospital services, other than services in a hospital, institution, or facility for tuberculosis or mental diseases;

  (2) Nursing services for such period of time as the director shall authorize;

  (3) Visiting nurse service;

  (4) Drugs for consumption either by inpatients or by other persons for whom they are prescribed by a licensed physician;

  (5) Dental services; and

  (6) Hospice care up to a maximum of 210 days as a lifetime benefit.

  (b) For purposes of this chapter, the payment of federal Medicare premiums or other health insurance premiums by the department on behalf of eligible beneficiaries in accordance with the provisions of title XIX of the federal Social Security Act, 42 U.S.C. § 1396 et seq., shall be deemed to be a direct vendor payment.

  (c) With respect to medical care benefits furnished to eligible individuals under this chapter or Title XIX of the federal Social Security Act, the department is authorized and directed  to impose:

(i) nominal co-payments or similar charges upon eligible individuals for non-emergency services provided in a hospital emergency room; and

 (ii) co-payments for prescription drugs in the amount of $1.00 for generic drug prescriptions and $3.00 for brand name drug prescriptions in accordance with the provisions of 42 U.S.C. 1396, et. seq. , and the

(d) The department is authorized and directed to promulgate rules and regulations to impose such co-payments or charges and to provide that, with respect to (ii) above, those regulations shall be effective upon filing.

 

SECTION 2.      This article shall take effect upon passage.




ARTICLE 18 SUBSTITUTE A AS AMENDED

 

RELATING TO PROGRAM INTEGRITY

 

SECTION 1. Title 9 of the Rhode Island general laws entitled “Courts and Civil Procedure – Procedure Generally” is hereby amended by adding thereto the following chapter:

 

CHAPTER 1.1

THE STATE FALSE CLAIM ACT

 

 9-1.1-1. Name of act. -- This chapter may be cited as the state false claims act.

 

 9-1.1-2. Definitions. -- As used in this chapter:    

(a) “State” means the state of Rhode Island; any agency of state government; and any political subdivision meaning any city, town, county or other governmental entity authorized or created by state law, including public corporations and authorities.     

(b) “Guard” means the Rhode Island National Guard.    

(c) “Investigation” means any inquiry conducted by any investigator for the purpose of ascertaining whether any person is or has been engaged in any violation of this chapter.    

(d) “Investigator” means a person who is charged by the Rhode Island attorney general, or his or her designee with the duty of conducting any investigation under this act, or any officer or employee of the state acting under the direction and supervision of the department of attorney General.     

(e) “Documentary material” includes the original or any copy of any book, record, report, memorandum, paper, communication, tabulation, chart, or other document, or data compilations stored in or accessible through computer or other information retrieval systems, together with instructions and all other materials necessary to use or interpret such data compilations, and any product of discovery.    

(f) “Custodian” means the custodian, or any deputy custodian, designated by the attorney general under section 9-1.1-6 of the Rhode Island general laws.    

(g) “Product of discovery” includes:    

(1) the original or duplicate of any deposition, interrogatory, document, thing, result of the inspection of land or other property, examination, or admission, which is obtained by any method of discovery in any judicial or administrative proceeding of an adversarial nature;

(2) any digest, analysis, selection, compilation, or derivation of any item listed in paragraph (1); and   

(3) any index or other manner of access to any item listed in paragraph (1). 

 

9-1.1-3. Liability for certain acts. -- (a) Any person who:

(1) knowingly presents, or causes to be presented, to an officer or employee of the state or a member of the guard a false or fraudulent claim for payment or approval;

(2) knowingly makes, uses, or causes to be made or used, a false record or statement to get a false or fraudulent claim paid or approved by the state;

(3) conspires to defraud the state by getting a false or fraudulent claim allowed or paid;                (4) has possession, custody, or control of property or money used, or to be used, by the   state and, intending to defraud the state or willfully to conceal the property, delivers, or causes to be delivered, less property than the amount for which the person receives a certificate or receipt;

 (5) authorized to make or deliver a document certifying receipt of property used, or to be used, by the State and, intending to defraud the State, makes or delivers the receipt without completely knowing that the information on the receipt is true;

(6) knowingly buys, or receives as a pledge of an obligation or debt, public property from an officer or employee of the state, or a member of the guard, who lawfully may not sell or pledge the property; or

(7) knowingly makes, uses, or causes to be made or used, a false record or statement to conceal, avoid or decrease an obligation to pay or transmit money or property to the state, is liable to the state for a civil penalty of not less than five thousand dollars ($5,000) and not more than ten thousand dollars ($10,000), unless such a penalty has been or will be imposed for that claim or violation under the federal false claims act (31 U.S.C. section 3729 et seq.) in the same or prior action, plus three (3) times the amount of damages which the state sustains because of the act of that person except that if the court finds that:

(a) The person committing the violation of this subsection furnished officials of the state responsible for investigating false claims violations with all information known to such person about the violation within thirty (30) days after the date on which the defendant first obtained the information;

(b) Such person fully cooperated with any state investigation of such violation; and

(c) At the time such person furnished the state with the information about the violation, no criminal prosecution, civil action, or administrative action had commenced under this title with respect to such violation, and the person did not have actual knowledge of the existence of an investigation into such violation; the court may assess not less than two (2) times the amount of damages which the state sustains because of the act of the person. A person violating this subsection (a) shall also be liable to the state for the costs of a civil action brought to recover any such penalty or damages.

(b) Knowing and knowingly defined. As used in this section, the terms “knowing” and “knowingly” mean that a person, with respect to information:

(1) has actual knowledge of the information;

(2) acts in deliberate ignorance of the truth or falsity of the information; or

(3) acts in reckless disregard of the truth or falsity of the information, and no proof of specific intent to defraud is required.

(c) Claim defined. As used in this Section, “claim” includes any request or demand, whether under a contract or otherwise, for money or property which is made to a contractor, grantee, or other recipient if the State provides any portion of the money or property which is requested or demanded, or if the State will reimburse such contractor, grantee, or other recipient for any portion of the money or property which is requested or demanded.

(d) Exclusion. This section does not apply to claims, records, or statements made under the Rhode Island Personal Income Tax Law contained in RIGL Chapter 44-30.

 

 9-1.1-4. Civil actions for false claims. -- (a) Responsibilities of the Attorney General. The Attorney General diligently shall investigate a violation under section 9-1.1-3 of this section. If under this section the Attorney General finds that a person has violated or is violating section 9-1.1-3 the Attorney General may bring a civil action under this section against the person.

(b) Actions by private persons. (1) A person may bring a civil action for a violation of section 9-1.1-3 for the person and for the State. The action shall be brought in the name of the state. The action may be dismissed only if the court and the Attorney General give written consent to the dismissal and their reasons for consenting.

(2) A copy of the complaint and written disclosure of substantially all material evidence and information the person possesses shall be served on the state upon the Attorney General. The complaint shall be filed in camera, shall remain under seal for at least sixty (60) days, and shall not be served on the defendant until the court so orders. The state may elect to intervene and proceed with the action within sixty (60) days after it receives both the complaint and the material evidence and information.

(3) The state may, for good cause shown, move the court for extensions of the time during which the complaint remains under seal under paragraph (2). Any such motions may be supported by affidavits or other submissions in camera. The defendant shall not be required to respond to any complaint filed under this section until twenty (20) days after the complaint is unsealed and served upon the defendant.

 (4) Before the expiration of the sixty (60) day period or any extensions obtained under paragraph (3), the state shall:

(A) proceed with the action, in which case the action shall be conducted by the state; or

(B) notify the court that it declines to take over the action, in which case the person bringing the action shall have the right to conduct the action.

(5) When a person brings an action under this subsection (b), no person other than the state may intervene or bring a related action based on the facts underlying the pending action.

(c) Rights of the parties to Qui Tam actions.

(1) If the state proceeds with the action, it shall have the primary responsibility for prosecuting the action, and shall not be bound by an act of the person bringing the action. Such person shall have the right to continue as a party to the action, subject to the limitations set forth in paragraph (2).

(2)(A) The state may dismiss the action notwithstanding the objections of the person initiating the action if the person has been notified by the state of the filing of the motion and the court has provided the person with an opportunity for a hearing on the motion.

(B) The state may settle the action with the defendant notwithstanding the objections of the person initiating the action if the court determines, after a hearing, that the proposed settlement is fair, adequate, and reasonable under all the circumstances. Upon a showing of good cause, such hearing may be held in camera.

(C) Upon a showing by the state that unrestricted participation during the course of the litigation by the person initiating the action would interfere with or unduly delay the state’s prosecution of the case, or would be repetitious, irrelevant, or for purposes of harassment, the court may, in its discretion, impose limitations on the person’s participation, such as:

(i) limiting the number of witnesses the person may call:

(ii) limiting the length of the testimony of such witnesses;

(iii) limiting the person’s cross-examination of witnesses; or

(iv) otherwise limiting the participation by the person in the litigation.

(D) Upon a showing by the defendant that unrestricted participation during the course of the litigation by the person initiating the action would be for purposes of harassment or would cause the defendant undue burden or unnecessary expense, the court may limit the participation by the person in the litigation.

(3) If the state elects not to proceed with the action, the person who initiated the action shall have the right to conduct the action. If the state so requests, it shall be served with copies of all pleadings filed in the action and shall be supplied with copies of all deposition transcripts (at the state’s expense). When a person proceeds with the action, the court, without limiting the status and rights of the person initiating the action, may nevertheless permit the State to intervene at a later date upon a showing of good cause.    

(4) Whether or not the state proceeds with the action, upon a showing by the state that certain actions of discovery by the person initiating the action would interfere with the state’s investigation or prosecution of a criminal or civil matter arising out of the same facts, the court may stay such discovery for a period of not more than sixty (60) days. Such a showing shall be conducted in camera. The court may extend the sixty (60) day period upon a further showing in camera that the state has pursued the criminal or civil investigation or proceedings with reasonable diligence and any proposed discovery in the civil action will interfere with the ongoing criminal or civil investigation or proceedings.    

(5) Notwithstanding subsection (b), the state may elect to pursue its claim through any alternate remedy available to the state, including any administrative proceeding to determine a civil money penalty. If any such alternate remedy is pursued in another proceeding, the person initiating the action shall have the same rights in such proceeding as such person would have had if the action had continued under this section. Any finding of fact or conclusion of law made in such other proceeding that has become final shall be conclusive on all parties to an action under this section. For purposes of the preceding sentence, a finding or conclusion is final if it has been finally determined on appeal to the appropriate court, if all time for filing such an appeal with respect to the finding or conclusion has expired, or if the finding or conclusion is not subject to judicial review.

(d) Award to Qui Tam plaintiff.     

(1) If the State proceeds with an action brought by a person under subsection 9-1.1-4(b), such person shall, subject to the second sentence of this paragraph, receive at least fifteen percent (15%) but not more than twenty-five (25%) of the proceeds of the action or settlement of the claim, depending upon the extent to which the person substantially contributed to the prosecution of the action. Where the action is one which the court finds to be based primarily on disclosures of specific information (other than information provided by the person bringing the action) relating to allegations or transactions in a criminal, civil, or administrative hearing, in a legislative, administrative, or Auditor General’s report, hearing, audit, or investigation, or from the news media, the court may award such sums as it considers appropriate, but in no case more than ten percent (10%) of the proceeds, taking into account the significance of the information and the role of the person bringing the action in advancing the case to litigation. Any payment to a person under the first or second sentence of this paragraph (1) shall be made from the proceeds. Any such person shall also receive an amount for reasonable expenses which the court finds to have been necessarily incurred, plus reasonable attorneys’ fees and costs. All such expenses, fees, and costs shall be awarded against the defendant.    

(2) If the state does not proceed with an action under this section, the person bringing the action or settling the claim shall receive an amount which the court decides is reasonable for collecting the civil penalty and damages. The amount shall be not less than twenty-five percent (25%) and not more than thirty percent (30%) of the proceeds of the action or settlement and shall be paid out of such proceeds. Such person shall also receive an amount for reasonable expenses which the court finds to have been necessarily incurred, plus reasonable attorneys’ fees and costs. All such expenses, fees, and costs shall be awarded against the defendant.    

(3) Whether or not the state proceeds with the action, if the court finds that the action was brought by a person who planned, initiated, or participated in the violation of section 9-1.1-3 upon which the action was brought, then the court may, to the extent the court considers appropriate, reduce the share of the proceeds of the action which the person would otherwise receive under paragraph (1) or (2) of this subsection (d) to no more than ten percent (10%), taking into account the role of that person in advancing the case to litigation and any relevant circumstances pertaining to the violation. If the person bringing the action is convicted of criminal conduct arising from his or her role in the violation of section 9-1.1-3, that person shall be dismissed from the civil action and shall not receive any share of the proceeds of the action. Such dismissal shall not prejudice the right of the state to continue the action.    

(4) If the state does not proceed with the action and the person bringing the action conducts the action, the court may award to the defendant its reasonable attorneys’ fees and expenses if the defendant prevails in the action and the court finds that the claim of the person bringing the action was clearly frivolous, clearly vexatious, or brought primarily for purposes of harassment.    

(e) Certain actions barred.     

(1) No court shall have jurisdiction over an action brought by a former or present member of the Guard under section 9-1.1-4(b) (Actions by private persons) against a member of the Guard arising out of such person’s service in the Guard.    

(2) No court shall have jurisdiction over an action brought pursuant to subsection 9-1.1-4(b).

(Actions by private persons) against the Governor, Lieutenant Governor, the Attorney General, members of the General Assembly, a member of the Judiciary, the Treasurer, Secretary of State, the Auditor General, any director of a state agency, and any other individual appointed to office by the Governor if the action is based on evidence or information known to the state when the action was brought.    

(3) In no event may a person bring an action under subsection 9-1.1-4(b) which is based upon allegations or transactions which are the subject of a civil suit or an administrative civil money penalty proceeding in which the State is already a party.    

(4)(A) No court shall have jurisdiction over an action under this Section based upon the public disclosure of allegations or transactions in a criminal, civil, or administrative hearing, in a legislative, administrative, or Auditor General’s report, hearing, audit, or investigation, or from the news media, unless the action is brought by the Attorney General or the person bringing the action is an original source of the information.    

(B) For purposes of this exclusion, “original source” means an individual who has direct and independent knowledge of the information on which the allegations are based and has voluntarily provided the information to the state before filing an action under this section which is based on the information.

(5) In no event may a person bring an action under subsection 9-1.1-4(b) that is based on allegations or transactions that the person knew or had reason to know were known to the attorney general or the state's other law enforcement officials prior to that person filing the action or serving the disclosure of material evidence.

(6) If: (a) an action brought under subsection 9-1.1-4(b) is based upon allegations or transactions of which the person bringing the action became aware while employed by, or under contract to, or serving as an agent for a defendant; and (b) the person bringing the action failed to make an effective disclosure of those allegations or transactions under that defendant's corporate compliance plan, the court shall reduce the share of the proceeds of the action which the person would otherwise receive to no more than ten percent (10%) of the proceeds of the action.

(f) State not liable for certain expenses. The state is not liable for expenses which a person incurs in bringing an action under this section.    

(g) Any employee who is discharged, demoted, suspended, threatened, harassed, or in any other manner discriminated against in the terms and conditions of employment by his or her employer because of lawful acts done by the employee on behalf of the employee or others in furtherance of an action under this section, including investigation for, initiation of, testimony for, or assistance in an action filed or to be filed under this section, shall be entitled to all relief necessary to make the employee whole. Such relief shall include reinstatement with the seniority status such employee would have had but for the discrimination, two (2) times the amount of back pay, interest on the back pay, and compensation for any special damages sustained as a result of the discrimination, including litigation costs and reasonable attorneys’ fees. An employee may bring an action in the appropriate Superior Court for the relief provided in this § 9-1.1-4(g).

 

9-1.1-5. False claims procedure. -- (a) A subpoena requiring the attendance of a witness at a trial or hearing conducted under section 9-1.1-4, may be served at any place in the State. 

(b) A civil action under section 9-1.1-4 may not be brought:    

(1) more than 6 years after the date on which the violation of section 9-1.1-3 is committed, or

(2) more than three (3) years after the date when facts material to the right of action are known or reasonably should have been known by the official of the state charged with responsibility to act in the circumstances, but in no event more than ten (10) years after the date on which the violation is committed, whichever occurs last.

(c) In any action brought under section 9-1.1-4, the state shall be required to prove all essential elements of the cause of action, including damages, by a preponderance of the evidence.    

(d) Notwithstanding any other provision of law, a final judgment rendered in favor of the state in any criminal proceeding charging fraud or false statements, whether upon a verdict after trial or upon a plea of guilty, shall estop the defendant from denying the essential elements of the offense in any action which involves the same transaction as in the criminal proceeding and which is brought under subsections 9-1.1-4(a) or 9-1.1-4(b).    

 

9-1.1-6. Subpoenas. -- (a) In general.    

(1) Issuance and service. Whenever the attorney general has reason to believe that any person may be in possession, custody, or control of any documentary material or information relevant to an investigation, the attorney general may, before commencing a civil proceeding under this act, issue in writing and cause to be served upon such person, a subpoena requiring such person:    

(A) to produce such documentary material for inspection and copying.    

(B) to answer, in writing, written interrogatories with respect to such documentary material or information.    

(C) to give oral testimony concerning such documentary material or information; or         (D) to furnish any combination of such material, answers, or testimony.

The attorney general may delegate the authority to issue subpoenas under this subsection (a) to the state police subject to conditions as the attorney general deems appropriate. Whenever a subpoena is an express demand for any product of discovery, the attorney general or his or her delegate shall cause to be served, in any manner authorized by this section, a copy of such demand upon the person from whom the discovery was obtained and shall notify the person to whom such demand is issued of the date on which such copy was served.    

(2) Where a subpoena requires the production of documentary material, the respondent shall produce the original of the documentary material, provided, however, that the attorney general may agree that copies may be substituted for the originals. All documentary material kept or stored in electronic form, including electronic mail, shall be produced in hard copy, unless the attorney general agrees that electronic versions may be substituted for the hard copy. The production of documentary material shall be made at the respondent’s expense.    

(3) Contents and deadlines. Each subpoena issued under paragraph (1):    

(A) Shall state the nature of the conduct constituting an alleged violation that is under investigation and the applicable provision of law alleged to be violated.    

(B) Shall identify the individual causing the subpoena to be served and to whom communications regarding the subpoena should be directed.    

(C) Shall state the date, place, and time at which the person is required to appear, produce written answers to interrogatories, produce documentary material or give oral testimony. The date shall not be less than ten (10) days from the date of service of the subpoena. Compliance with the subpoena shall be at the office of the attorney general.    

(D) If the subpoena is for documentary material or interrogatories, shall describe the documents or information requested with specificity.    

(E) Shall notify the person of the right to be assisted by counsel.    

(F) Shall advise that the person has twenty (20) days from the date of service or up until the return date specified in the demand, whichever date is earlier, to move, modify, or set aside the subpoena pursuant to subparagraph (j)(2)(A) of this section.    

(b) Protected material or information.    

(1) In general. A subpoena issued under subsection (a) may not require the production of any documentary material, the submission of any answers to written interrogatories, or the giving of any oral testimony if such material, answers, or testimony would be protected from disclosure under:    

(A) the standards applicable to subpoenas or subpoenas duces tecum issued by a court of this state to aid in a grand jury investigation; or    

(B) the standards applicable to discovery requests under the Rhode Island superior court rules of civil procedure, to the extent that the application of such standards to any such subpoena is appropriate and consistent with the provisions and purposes of this section.     

(2) Effect on other orders, rules, and laws. Any such subpoena which is an express demand for any product of discovery supersedes any inconsistent order, rule, or provision of law (other than this section) preventing or restraining disclosure of such product of discovery to any person. Disclosure of any product of discovery pursuant to any such subpoena does not constitute a waiver of any right or privilege which the person making such disclosure may be entitled to invoke to resist discovery of trial preparation materials.    

(c) Service in general. Any subpoena issued under subsection (a) may be served by any person so authorized by the Attorney General or by any person authorized to serve process on individuals within Rhode Island, through any method prescribed in the Rhode Island superior curt rules of civil procedure or as otherwise set forth in this chapter.   

(d) Service upon legal entities and natural persons.    

(1) Legal entities. Service of any subpoena issued under subsection (a) or of any petition filed under subsection (j) may be made upon a partnership, corporation, association, or other legal entity by:    

(A) delivering an executed copy of such subpoena or petition to any partner, executive officer, managing agent, general agent, or registered agent of the partnership, corporation, association or entity;    

(B) delivering an executed copy of such subpoena or petition to the principal office or place of business of the partnership, corporation, association, or entity; or    

(C) depositing an executed copy of such subpoena or petition in the United States mails by registered or certified mail, with a return receipt requested, addressed to such partnership, corporation, association, or entity as its principal office or place of business.    

(2) Natural person. Service of any such subpoena or petition may be made upon any natural person by:    

(A) delivering an executed copy of such subpoena or petition to the person; or   

(B) depositing an executed copy of such subpoena or petition in the United States mails by registered or certified mail, with a return receipt requested, addressed to the person at the person’s residence or principal office or place of business.    

(e) Proof of service. A verified return by the individual serving any subpoena issued under subsection (a) or any petition filed under subsection (j) setting forth the manner of such service shall be proof of such service. In the case of service by registered or certified mail, such return shall be accompanied by the return post office receipt of delivery of such subpoena.    

(f) Documentary material.    

(1) Sworn certificates. The production of documentary material in response to a subpoena served under this Section shall be made under a sworn certificate, in such form as the subpoena designates, by:    

(A) in the case of a natural person, the person to whom the subpoena is directed, or    

(B) in the case of a person other than a natural person, a person having knowledge of the facts and circumstances relating to such production and authorized to act on behalf of such person. The certificate shall state that all of the documentary material required by the demand and in the possession, custody, or control of the person to whom the subpoena is directed has been produced and made available to the attorney general.    

(2) Production of materials. Any person upon whom any subpoena for the production of documentary material has been served under this section shall make such material available for inspection and copying to the attorney general at the place designated in the subpoena, or at such other place as the attorney general and the person thereafter may agree and prescribe in writing, or as the court may direct under subsection (j)(1). Such material shall be made so available on the return date specified in such subpoena, or on such later date as the attorney general may prescribe in writing. Such person may, upon written agreement between the person and the attorney general, substitute copies for originals of all or any part of such material.    

(g) Interrogatories. Each interrogatory in a subpoena served under this section shall be answered separately and fully in writing under oath and shall be submitted under a sworn certificate, in such form as the subpoena designates by:    

(1) in the case of a natural person, the person to whom the subpoena is directed, or    

(2) in the case of a person other than a natural person, the person or persons responsible for answering each interrogatory. If any interrogatory is objected to, the reasons for the objection shall be stated in the certificate instead of an answer. The certificate shall state that all information required by the subpoena and in the possession, custody, control, or knowledge of the person to whom the demand is directed has been submitted. To the extent that any information is not furnished, the information shall be identified and reasons set forth with particularity regarding the reasons why the information was not furnished.    

(h) Oral examinations.    

(1) Procedures. The examination of any person pursuant to a subpoena for oral testimony served under this section shall be taken before an officer authorized to administer oaths and affirmations by the laws of this state or of the place where the examination is held. The officer before whom the testimony is to be taken shall put the witness on oath or affirmation and shall, personally or by someone acting under the direction of the officer and in the officer’s presence, record the testimony of the witness. The testimony shall be taken stenographically and shall be transcribed. When the testimony is fully transcribed, the officer before whom the testimony is taken shall promptly transmit a certified copy of the transcript of the testimony in accordance with the instructions of the attorney general. This subsection shall not preclude the taking of testimony by any means authorized by, and in a manner consistent with, the Rhode Island superior court rules of civil procedure.    

(2) Persons present. The investigator conducting the examination shall exclude from the place where the examination is held all persons except the person giving the testimony, the attorney for and any other representative of the person giving the testimony, the attorney for the state, any person who may be agreed upon by the attorney for the state and the person giving the testimony, the officer before whom the testimony is to be taken, and any stenographer taking such testimony.    

(3) Where testimony taken. The oral testimony of any person taken pursuant to a subpoena served under this section shall be taken in the county within which such person resides, is found, or transacts business, or in such other place as may be agreed upon by the attorney general and such person.    

(4) Transcript of testimony. When the testimony is fully transcribed, the attorney general or the officer before whom the testimony is taken shall afford the witness, who may be accompanied by counsel, a reasonable opportunity to review and correct the transcript, in accordance with the rules applicable to deposition witnesses in civil cases. Upon payment of reasonable charges, the attorney general shall furnish a copy of the transcript to the witness, except that the attorney general may, for good cause, limit the witness to inspection of the official transcript of the witness’ testimony.    

(5) Conduct of oral testimony.    

(A) Any person compelled to appear for oral testimony under a subpoena issued under subsection (a) may be accompanied, represented, and advised by counsel, who may raise objections based on matters of privilege in accordance with the rules applicable to depositions in civil cases. If such person refuses to answer any question, a petition may be filed in superior court under subsection (j)(1) for an order compelling such person to answer such question.   

(B) If such person refuses any question on the grounds of the privilege against self-incrimination, the testimony of such person may be compelled in accordance with rules of criminal procedure.    

(6) Witness fees and allowances. Any person appearing for oral testimony under a subpoena issued under subsection 9-1.1-6(a) shall be entitled to the same fees and allowances which are paid to witnesses in the superior court.    

(7) Custodians of documents, answers, and transcripts.    

(A) Designation. The attorney general or his or her delegate shall serve as custodian of documentary material, answers to interrogatories, and transcripts of oral testimony received under this section.    

(B) Except as otherwise provided in this section, no documentary material, answers to interrogatories, or transcripts of oral testimony, or copies thereof, while in the possession of the custodian, shall be available for examination by any individual, except as determined necessary by the attorney general and subject to the conditions imposed by him or her for effective enforcement of the laws of this state, or as otherwise provided by court order.    

(C) Conditions for return of material. If any documentary material has been produced by any person in the course of any investigation pursuant to a subpoena under this section and:    

(i) any case or proceeding before the court or grand jury arising out of such investigation, or any proceeding before any state agency involving such material, has been completed, or   

 (ii) no case or proceeding in which such material may be used has been commenced within a reasonable time after completion of the examination and analysis of all documentary material and other information assembled in the course of such investigation, the custodian shall, upon written request of the person who produced such material, return to such person any such material which has not passed into the control of any court, grand jury, or agency through introduction into the record of such case or proceeding.    

(j) Judicial proceedings.     

(1) Petition for enforcement. Whenever any person fails to comply with any subpoena issued under subsection (a), or whenever satisfactory copying or reproduction of any material requested in such demand cannot be done and such person refuses to surrender such material, the attorney general may file, in the superior court of the county in which such person resides, is found, or transacts business, or the superior court in the he county in which an action filed pursuant to section 9-1.1-4 is pending if the action relates to the subject matter of the subpoena and serve upon such person a petition for an order of such court for the enforcement of the subpoena.                

(2) Petition to modify or set aside subpoena.(A) Any person who has received a subpoena issued under subsection (a) may file, in the superior court of any county within which such person resides, is found, or transacts business, and serve upon the attorney general a petition for an order of the court to modify or set aside such subpoena. In the case of a petition addressed to an express demand for any product of discovery, a petition to modify or set aside such demand may be brought only in the superior court of the county in which the proceeding in which such discovery was obtained is or was last pending. Any petition under this subparagraph (A) must be filed:    

(i) within twenty (20) days after the date of service of the subpoena, or at any time before the return date specified in the subpoena, whichever date is earlier, or    

(ii) within such longer period as may be prescribed in writing by the attorney general.     (B) The petition shall specify each ground upon which the petitioner relies in seeking relief under subparagraph (A), and may be based upon any failure of the subpoena to comply with the provisions of this section or upon any constitutional or other legal right or privilege of such person. During the pendency of the petition in the court, the court may stay, as it deems proper, the running of the time allowed for compliance with the subpoena, in whole or in part, except that the person filing the petition shall comply with any portion of the subpoena not sought to be modified or set aside.    

(3) Petition to modify or set aside demand for product of discovery. In the case of any subpoena issued under subsection (a) which is an express demand for any product of discovery, the person from whom such discovery was obtained may file, in the superior court of the county in which the proceeding in which such discovery was obtained is or was last pending, a petition for an order of such court to modify or set aside those portions of the subpoena requiring production of any such product of discovery, subject to the same terms, conditions, and limitations set forth in subparagraph (j)(2) of this section.

(4) Petition to require performance by custodian of duties. At any time during which any custodian is in custody or control of any documentary material or answers to interrogatories produced, or transcripts of oral testimony given, by any person in compliance with any civil investigative demand issued under subsection (a), such person, and in the case of an express demand for any product of discovery, the person from whom such discovery was obtained, may file in the superior court of the county in which the office of such custodian is situated, and serve upon such custodian, a petition for an order of such court to require the performance by the custodian of any duty imposed upon the custodian by this section.  

(5) Jurisdiction. Whenever any petition is filed in any superior court under this subsection (j), such court shall have jurisdiction to hear and determine the matter so presented, and to enter such orders as may be required to carry out the provisions of this section. Any final order so entered shall be subject to appeal in the same manner as appeals of other final orders in civil matters. Any disobedience of any final order entered under this section by any court shall be punished as a contempt of the court.    

(k) Disclosure exemption. Any documentary material, answers to written interrogatories, or oral testimony provided under any subpoena issued under subsection (a) shall be exempt from disclosure under the Rhode Island access to public records law, section 38-2-2.

 

 9-1.1-7. Procedure. -- The Rhode Island superior court rules of civil procedure shall apply to all proceedings under this chapter, except when those rules are inconsistent with this chapter.

 

 9-1.1-8. Funds. -- There is hereby created a separate fund entitled the false claims Act Fund. All proceeds of an action or settlement of a claim brought under this chapter shall be deposited in the Fund.

 

SECTION 2.  Title 9 of the Rhode Island General Laws entitled “Courts and Civil Procedure – Procedure Generally” is hereby amended by adding thereto the following chapter:        

 

CHAPTER 1.1

THE STATE FALSE CLAIM ACT

 

9-1.1-1. Name of act. -- This chapter may be cited as the state false claims act.

 

9-1.1-2. Definitions. --   As used in this chapter:

(a) "State" means the state of Rhode Island; any agency of state government; and any political subdivision meaning any city, town, county or other governmental entity authorized or created by state law, including public corporations and authorities.

(b) "Guard" means the Rhode Island National Guard.

(c) "Investigation" means any inquiry conducted by any investigator for the purpose of ascertaining whether any person is or has been engaged in any violation of this chapter.

(d) "Investigator" means a person who is charged by the Rhode Island attorney general, or his or her designee with the duty of conducting any investigation under this act, or any officer or employee of the State acting under the direction and supervision of the department of attorney general.

(e) "Documentary material" includes the original or any copy of any book, record, report, memorandum, paper, communication, tabulation, chart, or other document, or data compilations stored in or accessible through computer or other information retrieval systems, together with instructions and all other materials necessary to use or interpret such data compilations, and any product of discovery.

(f) "Custodian" means the custodian, or any deputy custodian, designated by the attorney general under section 9-1.1-6 of the Rhode Island general laws.

(g) "Product of discovery" includes:

(1) the original or duplicate of any deposition, interrogatory, document, thing, result of the inspection of land or other property, examination, or admission, which is obtained by any method of discovery in any judicial or administrative proceeding of an adversarial nature;

(2) any digest, analysis, selection, compilation, or derivation of any item listed in paragraph (1); and

(3) any index or other manner of access to any item listed in paragraph (1).

 

9-1.1-3. Liability for certain acts. -- (a) Any person who:

(1) knowingly presents, or causes to be presented, to an officer or employee of the state or a member of the guard a false or fraudulent claim for payment or approval;

(2) knowingly makes, uses, or causes to be made or used, a false record or statement to get a false or fraudulent claim paid or approved by the state;

(3) conspires to defraud the state by getting a false or fraudulent claim allowed or paid;

(4) has possession, custody, or control of property or money used, or to be used, by the state and, intending to defraud the state or willfully to conceal the property, delivers, or causes to be delivered, less property than the amount for which the person receives a certificate or receipt;

(5) authorized to make or deliver a document certifying receipt of property used, or to be used, by the state and, intending to defraud the state, makes or delivers the receipt without completely knowing that the information on the receipt is true;

(6) knowingly buys, or receives as a pledge of an obligation or debt, public property from an officer or employee of the state, or a member of the guard, who lawfully may not sell or pledge the property; or

(7) knowingly makes, uses, or causes to be made or used, a false record or statement to conceal, avoid or decrease an obligation to pay or transmit money or property to the state, is liable to the state for a civil penalty of not less than five thousand dollars ($5,000) and not more than ten thousand dollars ($10,000), plus three (3) times the amount of damages which the state sustains because of the act of that person. A person violating this subsection (a) shall also be liable to the state for the costs of a civil action brought to recover any such penalty or damages.

(b) Knowing and knowingly defined. As used in this section, the terms "knowing" and "knowingly" mean that a person, with respect to information:

(1) has actual knowledge of the information;

(2) acts in deliberate ignorance of the truth or falsity of the information; or

(3) acts in reckless disregard of the truth or falsity of the information, and no proof of specific intent to defraud is required.

(c) Claim defined. As used in this section, "claim" includes any request or demand, whether under a contract or otherwise, for money or property which is made to a contractor, grantee, or other recipient if the state provides any portion of the money or property which is requested or demanded, or if the state will reimburse such contractor, grantee, or other recipient for any portion of the money or property which is requested or demanded.

(d) Exclusion. This section does not apply to claims, records, or statements made under the Rhode Island personal income tax law contained in Rhode Island general laws chapter 44-30.

 

9-1.1-4. Civil actions for false claims. -- (a) Responsibilities of the attorney general. The attorney general diligently shall investigate a violation under section 9-1.1-3 of this section. If under this section the attorney general finds that a person has violated or is violating section 9-1.1-3 the attorney general may bring a civil action under this section against the person.

(b) Actions by private persons. (1) A person may bring a civil action for a violation of section 9-1.1-3 for the person and for the state. The action shall be brought in the name of the state. The action may be dismissed only if the court and the attorney general give written consent to the dismissal and their reasons for consenting.

(2) A copy of the complaint and written disclosure of substantially all material evidence and information the person possesses shall be served on the state upon the attorney general. The complaint shall be filed in camera, shall remain under seal for at least sixty (60) days, and shall not be served on the defendant until the court so orders. The state may elect to intervene and proceed with the action within sixty (60) days after it receives both the complaint and the material evidence and information.

(3) The state may, for good cause shown, move the court for extensions of the time during which the complaint remains under seal under paragraph (2). Any such motions may be supported by affidavits or other submissions in camera. The defendant shall not be required to respond to any complaint filed under this section until twenty (20) days after the complaint is unsealed and served upon the defendant.

(4) Before the expiration of the sixty (60) day period or any extensions obtained under paragraph (3), the state shall:

(A) proceed with the action, in which case the action shall be conducted by the state; or

(B) notify the court that it declines to take over the action, in which case the person bringing the action shall have the right to conduct the action.

(5) When a person brings an action under this subsection (b), no person other than the state may intervene or bring a related action based on the facts underlying the pending action.

(c) Rights of the parties to Qui Tam actions.

(1) If the state proceeds with the action, it shall have the primary responsibility for prosecuting the action, and shall not be bound by an act of the person bringing the action. Such person shall have the right to continue as a party to the action, subject to the limitations set forth in paragraph (2).

(2)(A) The state may dismiss the action notwithstanding the objections of the person initiating the action if the person has been notified by the state of the filing of the motion and the court has provided the person with an opportunity for a hearing on the motion.

(B) The state may settle the action with the defendant notwithstanding the objections of the person initiating the action if the court determines, after a hearing, that the proposed settlement is fair, adequate, and reasonable under all the circumstances. Upon a showing of good cause, such hearing may be held in camera.

(C) Upon a showing by the state that unrestricted participation during the course of the litigation by the person initiating the action would interfere with or unduly delay the state's prosecution of the case, or would be repetitious, irrelevant, or for purposes of harassment, the court may, in its discretion, impose limitations on the person's participation, such as:

(i) limiting the number of witnesses the person may call:

(ii) limiting the length of the testimony of such witnesses;

(iii) limiting the person's cross-examination of witnesses; or

(iv) otherwise limiting the participation by the person in the litigation.

(D) Upon a showing by the defendant that unrestricted participation during the course of the litigation by the person initiating the action would be for purposes of harassment or would cause the defendant undue burden or unnecessary expense, the court may limit the participation by the person in the litigation.

(3) If the state elects not to proceed with the action, the person who initiated the action shall have the right to conduct the action. If the state so requests, it shall be served with copies of all pleadings filed in the action and shall be supplied with copies of all deposition transcripts (at the state's expense). When a person proceeds with the action, the court, without limiting the status and rights of the person initiating the action, may nevertheless permit the State to intervene at a later date upon a showing of good cause.

(4) Whether or not the state proceeds with the action, upon a showing by the state that certain actions of discovery by the person initiating the action would interfere with the state's investigation or prosecution of a criminal or civil matter arising out of the same facts, the court may stay such discovery for a period of not more than sixty (60) days. Such a showing shall be conducted in camera. The court may extend the sixty (60) day period upon a further showing in camera that the state has pursued the criminal or civil investigation or proceedings with reasonable diligence and any proposed discovery in the civil action will interfere with the ongoing criminal or civil investigation or proceedings.

(5) Notwithstanding subsection (b), the state may elect to pursue its claim through any alternate remedy available to the state, including any administrative proceeding to determine a civil money penalty. If any such alternate remedy is pursued in another proceeding, the person initiating the action shall have the same rights in such proceeding as such person would have had if the action had continued under this section. Any finding of fact or conclusion of law made in such other proceeding that has become final shall be conclusive on all parties to an action under this section. For purposes of the preceding sentence, a finding or conclusion is final if it has been finally determined on appeal to the appropriate court, if all time for filing such an appeal with respect to the finding or conclusion has expired, or if the finding or conclusion is not subject to judicial review.

(d) Award to Qui Tam plaintiff.

(1) If the State proceeds with an action brought by a person under subsection 9-1.1-4(b), such person shall, subject to the second sentence of this paragraph, receive at least fifteen percent (15%) but not more than twenty-five percent (25%) of the proceeds of the action or settlement of the claim, depending upon the extent to which the person substantially contributed to the prosecution of the action. Where the action is one which the court finds to be based primarily on disclosures of specific information (other than information provided by the person bringing the action) relating to allegations or transactions in a criminal, civil, or administrative hearing, in a legislative, administrative, or Auditor General's report, hearing, audit, or investigation, or from the news media, the court may award such sums as it considers appropriate, but in no case more than ten percent (10%) of the proceeds, taking into account the significance of the information and the role of the person bringing the action in advancing the case to litigation. Any payment to a person under the first or second sentence of this paragraph (1) shall be made from the proceeds. Any such person shall also receive an amount for reasonable expenses which the court finds to have been necessarily incurred, plus reasonable attorneys' fees and costs. The state shall also receive an amount for reasonable expenses which the court finds to have been necessarily incurred by the attorney general, including reasonable attorneys' fees and costs, and the amount received shall be deposited in the false claims act fund created under this chapter. All such expenses, fees, and costs shall be awarded against the defendant.

(2) If the state does not proceed with an action under this section, the person bringing the action or settling the claim shall receive an amount which the court decides is reasonable for collecting the civil penalty and damages. The amount shall be not less than twenty-five percent (25%) and not more than thirty percent (30%) of the proceeds of the action or settlement and shall be paid out of such proceeds. Such person shall also receive an amount for reasonable expenses which the court finds to have been necessarily incurred, plus reasonable attorneys' fees and costs. All such expenses, fees, and costs shall be awarded against the defendant.

(3) Whether or not the state proceeds with the action, if the court finds that the action was brought by a person who planned and initiated the violation of section 9-1.1-3 upon which the action was brought, then the court may, to the extent the court considers appropriate, reduce the share of the proceeds of the action which the person would otherwise receive under paragraph (1) or (2) of this subsection (d), taking into account the role of that person in advancing the case to litigation and any relevant circumstances pertaining to the violation. If the person bringing the action is convicted of criminal conduct arising from his or her role in the violation of section 9-1.1-3, that person shall be dismissed from the civil action and shall not receive any share of the proceeds of the action. Such dismissal shall not prejudice the right of the state to continue the action.

(4) If the state does not proceed with the action and the person bringing the action conducts the action, the court may award to the defendant its reasonable attorneys' fees and expenses if the defendant prevails in the action and the court finds that the claim of the person bringing the action was clearly frivolous, clearly vexatious, or brought primarily for purposes of harassment.

(e) Certain actions barred.

(1) No court shall have jurisdiction over an action brought by a former or present member of the guard under subsection 9-1.1-4(b) (actions by private persons) against a member of the guard arising out of such person's service in the guard.

(2) No court shall have jurisdiction over an action brought pursuant to subsection 9-1.1-4(b) (actions by private persons) against the governor, lieutenant governor, the attorney general, members of the general assembly, a member of the judiciary, the treasurer, secretary of state, the auditor general, any director of a state agency, and any other individual appointed to office by the governor if the action is based on evidence or information known to the state when the action was brought.

(3) In no event may a person bring an action under subsection 9-1.1-4(b) which is based upon allegations or transactions which are the subject of a civil suit or an administrative civil money penalty proceeding in which the state is already a party.

(4)(A) No court shall have jurisdiction over an action under this section based upon the public disclosure of allegations or transactions in a criminal, civil, or administrative hearing, in a legislative, administrative, or auditor general's report, hearing, audit, or investigation, or from the news media, unless the action is brought by the attorney general or the person bringing the action is an original source of the information.

(B) For purposes of this exclusion, "original source" means an individual who has direct and independent knowledge of the information on which the allegations are based and has voluntarily provided the information to the state before filing an action under this section which is based on the information.

(f) State not liable for certain expenses. The state is not liable for expenses which a person incurs in bringing an action under this section.

(g) Any employee who is discharged, demoted, suspended, threatened, harassed, or in any other manner discriminated against in the terms and conditions of employment by his or her employer because of lawful acts done by the employee on behalf of the employee or others in furtherance of an action under this section, including investigation for, initiation of, testimony for, or assistance in an action filed or to be filed under this section, shall be entitled to all relief necessary to make the employee whole. Such relief shall include reinstatement with the seniority status such employee would have had but for the discrimination, two (2) times the amount of back pay, interest on the back pay, and compensation for any special damages sustained as a result of the discrimination, including litigation costs and reasonable attorneys' fees. An employee may bring an action in the appropriate superior court for the relief provided in this subsection 9-1.1-4(g).

 

9-1.1-5. False claims procedure. --  (a) A subpoena requiring the attendance of a witness at a trial or hearing conducted under section 9-1.1-4, may be served at any place in the state.

(b) A civil action under section 9-1.1-4 may not be brought:

(1) more than 6 years after the date on which the violation of section 9-1.1-3 is committed, or

(2) more than three (3) years after the date when facts material to the right of action are known or reasonably should have been known by the official of the state charged with responsibility to act in the circumstances, but in no event more than ten (10) years after the date on which the violation is committed, whichever occurs last.

(c) In any action brought under section 9-1.1-4, the state shall be required to prove all essential elements of the cause of action, including damages, by a preponderance of the evidence.

(d) Notwithstanding any other provision of law, a final judgment rendered in favor of the state in any criminal proceeding charging fraud or false statements, whether upon a verdict after trial or upon a plea of guilty, shall estop the defendant from denying the essential elements of the offense in any action which involves the same transaction as in the criminal proceeding and which is brought under subsections 9-1.1-4(a) or 9-1.1-4(b).

 

9-1.1-6. Subpoenas. -- (a) In general:

(1) Issuance and service. Whenever the attorney general has reason to believe that any person may be in possession, custody, or control of any documentary material or information relevant to an investigation, the attorney general may, before commencing a civil proceeding under this act, issue in writing and cause to be served upon such person, a subpoena requiring such person:

(A) to produce such documentary material for inspection and copying,

(B) to answer, in writing, written interrogatories with respect to such documentary material or information,

(C) to give oral testimony concerning such documentary material or information, or

(D) to furnish any combination of such material, answers, or testimony.

The attorney general may delegate the authority to issue subpoenas under this subsection (a) to the sate police subject to conditions as the attorney general deems appropriate. Whenever a subpoena is an express demand for any product of discovery, the attorney general or his or her delegate shall cause to be served, in any manner authorized by this section, a copy of such demand upon the person from whom the discovery was obtained and shall notify the person to whom such demand is issued of the date on which such copy was served.

(2) Where a subpoena requires the production of documentary material, the respondent shall produce the original of the documentary material, provided, however, that the attorney general may agree that copies may be substituted for the originals. All documentary material kept or stored in electronic form, including electronic mail, shall be produced in hard copy, unless the attorney general agrees that electronic versions may be substituted for the hard copy. The production of documentary material shall be made at the respondent's expense.

(3) Contents and deadlines. Each subpoena issued under paragraph (1):

(A) Shall state the nature of the conduct constituting an alleged violation that is under investigation and the applicable provision of law alleged to be violated.

(B) Shall identify the individual causing the subpoena to be served and to whom communications regarding the subpoena should be directed.

(C) Shall state the date, place, and time at which the person is required to appear, produce written answers to interrogatories, produce documentary material or give oral testimony. The date shall not be less than ten (10) days from the date of service of the subpoena. Compliance with the subpoena shall be at the office of the attorney general.

(D) If the subpoena is for documentary material or interrogatories, shall describe the documents or information requested with specificity.

(E) Shall notify the person of the right to be assisted by counsel.

(F) Shall advise that the person has twenty (20) days from the date of service or up until the return date specified in the demand, whichever date is earlier, to move, modify, or set aside the subpoena pursuant to subparagraph (j)(2)(A) of this section.

(b) Protected material or information.

(1) In general. A subpoena issued under subsection (a) may not require the production of any documentary material, the submission of any answers to written interrogatories, or the giving of any oral testimony if such material, answers, or testimony would be protected from disclosure under:

(A) the standards applicable to subpoenas or subpoenas duces tecum issued by a court of this state to aid in a grand jury investigation; or

(B) the standards applicable to discovery requests under the Rhode Island superior court rules of civil procedure, to the extent that the application of such standards to any such subpoena is appropriate and consistent with the provisions and purposes of this section.

(2) Effect on other orders, rules, and laws. Any such subpoena which is an express demand for any product of discovery supersedes any inconsistent order, rule, or provision of law (other than this section) preventing or restraining disclosure of such product of discovery to any person. Disclosure of any product of discovery pursuant to any such subpoena does not constitute a waiver of any right or privilege which the person making such disclosure may be entitled to invoke to resist discovery of trial preparation materials.

(c) Service in general. Any subpoena issued under subsection (a) may be served by any person so authorized by the attorney general or by any person authorized to serve process on individuals within Rhode Island, through any method prescribed in the Rhode Island superior court rules of civil procedure or as otherwise set forth in this chapter.

(d) Service upon legal entities and natural persons.

(1) Legal entities. Service of any subpoena issued under subsection (a) or of any petition filed under subsection (j) may be made upon a partnership, corporation, association, or other legal entity by:

(A) delivering an executed copy of such subpoena or petition to any partner, executive officer, managing agent, general agent, or registered agent of the partnership, corporation, association or entity;

(B) delivering an executed copy of such subpoena or petition to the principal office or place of business of the partnership, corporation, association, or entity; or

(C) depositing an executed copy of such subpoena or petition in the United States mails by registered or certified mail, with a return receipt requested, addressed to such partnership, corporation, association, or entity as its principal office or place of business.

(2) Natural person. Service of any such subpoena or petition may be made upon any natural person by:

(A) delivering an executed copy of such subpoena or petition to the person; or

(B) depositing an executed copy of such subpoena or petition in the United States mails by registered or certified mail, with a return receipt requested, addressed to the person at the person's residence or principal office or place of business.

(e) Proof of service. A verified return by the individual serving any subpoena issued under subsection (a) or any petition filed under subsection (j) setting forth the manner of such service shall be proof of such service. In the case of service by registered or certified mail, such return shall be accompanied by the return post office receipt of delivery of such subpoena.

(f) Documentary material.

(1) Sworn certificates. The production of documentary material in response to a subpoena served under this Section shall be made under a sworn certificate, in such form as the subpoena designates, by:

(A) in the case of a natural person, the person to whom the subpoena is directed, or

(B) in the case of a person other than a natural person, a person having knowledge of the facts and circumstances relating to such production and authorized to act on behalf of such person.  The certificate shall state that all of the documentary material required by the demand and in the possession, custody, or control of the person to whom the subpoena is directed has been produced and made available to the attorney general.

(2) Production of materials. Any person upon whom any subpoena for the production of documentary material has been served under this section shall make such material available for inspection and copying to the attorney general at the place designated in the subpoena, or at such other place as the attorney general and the person thereafter may agree and prescribe in writing, or as the court may direct under subsection (j)(1). Such material shall be made so available on the return date specified in such subpoena, or on such later date as the attorney general may prescribe in writing. Such person may, upon written agreement between the person and the attorney general, substitute copies for originals of all or any part of such material.

(g) Interrogatories. Each interrogatory in a subpoena served under this section shall be answered separately and fully in writing under oath and shall be submitted under a sworn certificate, in such form as the subpoena designates by:

(1) in the case of a natural person, the person to whom the subpoena is directed, or

(2) in the case of a person other than a natural person, the person or persons responsible for answering each interrogatory. If any interrogatory is objected to, the reasons for the objection shall be stated in the certificate instead of an answer. The certificate shall state that all information required by the subpoena and in the possession, custody, control, or knowledge of the person to whom the demand is directed has been submitted. To the extent that any information is not furnished, the information shall be identified and reasons set forth with particularity regarding the reasons why the information was not furnished.

(h) Oral examinations.

(1) Procedures. The examination of any person pursuant to a subpoena for oral testimony served under this section shall be taken before an officer authorized to administer oaths and affirmations by the laws of this state or of the place where the examination is held. The officer before whom the testimony is to be taken shall put the witness on oath or affirmation and shall, personally or by someone acting under the direction of the officer and in the officer's presence, record the testimony of the witness. The testimony shall be taken stenographically and shall be transcribed. When the testimony is fully transcribed, the officer before whom the testimony is taken shall promptly transmit a certified copy of the transcript of the testimony in accordance with the instructions of the attorney general. This subsection shall not preclude the taking of testimony by any means authorized by, and in a manner consistent with, the Rhode Island superior court rules of civil procedure.

(2) Persons present. The investigator conducting the examination shall exclude from the place where the examination is held all persons except the person giving the testimony, the attorney for and any other representative of the person giving the testimony, the attorney for the state, any person who may be agreed upon by the attorney for the state and the person giving the testimony, the officer before whom the testimony is to be taken, and any stenographer taking such testimony.

(3) Where testimony taken. The oral testimony of any person taken pursuant to a subpoena served under this section shall be taken in the county within which such person resides, is found, or transacts business, or in such other place as may be agreed upon by the attorney general and such person.

(4) Transcript of testimony. When the testimony is fully transcribed, the attorney general or the officer before whom the testimony is taken shall afford the witness, who may be accompanied by counsel, a reasonable opportunity to review and correct the transcript, in accordance with the rules applicable to deposition witnesses in civil cases. Upon payment of reasonable charges, the attorney general shall furnish a copy of the transcript to the witness, except that the attorney general may, for good cause, limit the witness to inspection of the official transcript of the witness' testimony.

(5) Conduct of oral testimony.

(A) Any person compelled to appear for oral testimony under a subpoena issued under subsection (a) may be accompanied, represented, and advised by counsel, who may raise objections based on matters of privilege in accordance with the rules applicable to depositions in civil cases. If such person refuses to answer any question, a petition may be filed in superior court under subsection (j)(1) for an order compelling such person to answer such question.

(B) If such person refuses any question on the grounds of the privilege against self-incrimination, the testimony of such person may be compelled in accordance with rules of criminal procedure.

(6) Witness fees and allowances. Any person appearing for oral testimony under a subpoena issued under subsection 9-1.1-6(a) shall be entitled to the same fees and allowances which are paid to witnesses in the superior court.

(7) Custodians of documents, answers, and transcripts.

(A) Designation. The attorney general or his or her delegate shall serve as custodian of documentary material, answers to interrogatories, and transcripts of oral testimony received under this section.

(B) Except as otherwise provided in this section, no documentary material, answers to interrogatories, or transcripts of oral testimony, or copies thereof, while in the possession of the custodian, shall be available for examination by any individual, except as determined necessary by the attorney general and subject to the conditions imposed by him or her for effective enforcement of the laws of this state, or as otherwise provided by court order.

(C) Conditions for return of material. If any documentary material has been produced by any person in the course of any investigation pursuant to a subpoena under this section and:

(i) any case or proceeding before the court or grand jury arising out of such investigation, or any proceeding before any state agency involving such material, has been completed, or

(ii) no case or proceeding in which such material may be used has been commenced within a reasonable time after completion of the examination and analysis of all documentary material and other information assembled in the course of such investigation,  the custodian shall, upon written request of the person who produced such material, return to such person any such material which has not passed into the control of any court, grand jury, or agency through introduction into the record of such case or proceeding.

(j) Judicial proceedings.

(1) Petition for enforcement. Whenever any person fails to comply with any subpoena issued under subsection (a), or whenever satisfactory copying or reproduction of any material requested in such demand cannot be done and such person refuses to surrender such material, the attorney general may file, in the superior court of the county in which such person resides, is found, or transacts business, or the superior court in the he county in which an action filed pursuant to section 9-1.1-4 is pending if the action relates to the subject matter of the subpoena and serve upon such person a petition for an order of such court for the enforcement of the subpoena.

(2) Petition to modify or set aside subpoena.(A) Any person who has received a subpoena issued under subsection (a) may file, in the superior court of any county within which such person resides, is found, or transacts business, and serve upon the attorney general a petition for an order of the court to modify or set aside such subpoena. In the case of a petition addressed to an express demand for any product of discovery, a petition to modify or set aside such demand may be brought only in the superior court of the county in which the proceeding in which such discovery was obtained is or was last pending. Any petition under this subparagraph (a) must be filed:

(i) within twenty (20) days after the date of service of the subpoena, or at any time before the return date specified in the subpoena, whichever date is earlier, or

(ii) within such longer period as may be prescribed in writing by the attorney general.

(B) The petition shall specify each ground upon which the petitioner relies in seeking relief under subparagraph (a), and may be based upon any failure of the subpoena to comply with the provisions of this section or upon any constitutional or other legal right or privilege of such person. During the pendency of the petition in the court, the court may stay, as it deems proper, the running of the time allowed for compliance with the subpoena, in whole or in part, except that the person filing the petition shall comply with any portion of the subpoena not sought to be modified or set aside.

(3) Petition to modify or set aside demand for product of discovery. In the case of any subpoena issued under subsection (a) which is an express demand for any product of discovery, the person from whom such discovery was obtained may file, in the superior court of the county in which the proceeding in which such discovery was obtained is or was last pending, a petition for an order of such court to modify or set aside those portions of the subpoena requiring production of any such product of discovery, subject to the same terms, conditions, and limitations set forth in subparagraph (j)(2) of this section.

(4) Jurisdiction. Whenever any petition is filed in any superior court under this subsection (j), such court shall have jurisdiction to hear and determine the matter so presented, and to enter such orders as may be required to carry out the provisions of this section. Any final order so entered shall be subject to appeal in the same manner as appeals of other final orders in civil matters. Any disobedience of any final order entered under this section by any court shall be punished as a contempt of the court.

(k) Disclosure exemption.  Any documentary material, answers to written interrogatories, or oral testimony provided under any subpoena issued under subsection (a) shall be exempt from disclosure under the Rhode Island access to public records law, section 38-2-2.

 

9-1.1-7. Procedure. -- The Rhode Island superior court rules of civil procedure shall apply to all proceedings under this chapter, except when those rules are inconsistent with this Chapter. 

 

9-1.1-8. Funds. -- There is hereby created a separate fund entitled the false claims act fund. All proceeds of an action or settlement of a claim brought under this chapter shall be deposited in the Fund.

 

SECTION 3.  Section 38-2-2 of the General Laws in Chapter 38-2 entitled “Access to Public Records” is hereby amended to read as follows:

 

38-2-2. Definitions. -- As used in this chapter:

(1) "Agency" or "public body" shall mean any executive, legislative, judicial, regulatory, or administrative body of the state, or any political subdivision thereof; including, but not limited to, any department, division, agency, commission, board, office, bureau, authority, any school, fire, or water district, or other agency of Rhode Island state or local government which exercises governmental functions, any authority as defined in § 42-35-1(b), or any other public or private agency, person, partnership, corporation, or business entity acting on behalf of and/or in place of any public agency.

(2) "Chief administrative officer" means the highest authority of the public body as defined in subsection (a) of this section.

(3) "Public business" means any matter over which the public body has supervision, control, jurisdiction, or advisory power.

(4) "Public record" or "public records" shall mean all documents, papers, letters, maps, books, tapes, photographs, films, sound recordings, magnetic or other tapes, electronic data processing records, computer stored data (including electronic mail messages, except specifically for any electronic mail messages of or to elected officials with or relating to those they represent and correspondence of or to elected officials in their official capacities) or other material regardless of physical form or characteristics made or received pursuant to law or ordinance or in connection with the transaction of official business by any agency. For the purposes of this chapter, the following records shall not be deemed public:

(A) All records which are identifiable to an individual applicant for benefits, client, patient, student, or employee, including, but not limited to, personnel, medical treatment, welfare, employment security, pupil records, all records relating to a client/attorney relationship and to a doctor/patient relationship, and all personal or medical information relating to an individual in any files, including information relating to medical or psychological facts, personal finances, welfare, employment security, student performance, or information in personnel files maintained to hire, evaluate, promote, or discipline any employee of a public body; provided, however, with respect to employees, the name, gross salary, salary range, total cost of paid fringe benefits, gross amount received in overtime, and other remuneration in addition to salary, job title, job description, dates of employment and positions held with the state or municipality, work location, business telephone number, the city or town of residence, and date of termination shall be public.

(II) Notwithstanding the provisions of this section, or any other provision of the general laws to the contrary, the pension records of all persons who are either current or retired members of the retirement systems established by the general laws as well as all persons who become members of those retirement systems after June 17, 1991 shall be open for public inspection. "Pension records" as used in this section shall include all records containing information concerning pension and retirement benefits of current and retired members of the retirement systems established in title 8, title 36, title 42, and title 45 and future members of said systems, including all records concerning retirement credits purchased and the ability of any member of the retirement system to purchase retirement credits, but excluding all information regarding the medical condition of any person and all information identifying the member's designated beneficiary or beneficiaries.

(B) Trade secrets and commercial or financial information obtained from a person, firm, or corporation which is of a privileged or confidential nature.

(C) Child custody and adoption records, records of illegitimate births, and records of juvenile proceedings before the family court.

(D) All records maintained by law enforcement agencies for criminal law enforcement and all records relating to the detection and investigation of crime, including those maintained on any individual or compiled in the course of a criminal investigation by any law enforcement agency. Provided, however, such records shall not be deemed public only to the extent that the disclosure of the records or information (a) could reasonably be expected to interfere with investigations of criminal activity or with enforcement proceedings, (b) would deprive a person of a right to a fair trial or an impartial adjudication, (c) could reasonably be expected to constitute an unwarranted invasion of personal privacy, (d) could reasonably be expected to disclose the identity of a confidential source, including a state, local, or foreign agency or authority, or any private institution which furnished information on a confidential basis, or the information furnished by a confidential source, (e) would disclose techniques and procedures for law enforcement investigations or prosecutions, or would disclose guidelines for law enforcement investigations or prosecutions or (f) could reasonably be expected to endanger the life or physical safety of any individual. Records relating to management and direction of a law enforcement agency and records or reports reflecting the initial arrest of an adult and the charge or charges brought against an adult shall be public.

(E) Any records which would not be available by law or rule of court to an opposing party in litigation.

(F) Scientific and technological secrets and the security plans of military and law enforcement agencies, the disclosure of which would endanger the public welfare and security.

(G) Any records which disclose the identity of the contributor of a bona fide and lawful charitable contribution to the public body whenever public anonymity has been requested of the public body with respect to the contribution by the contributor.

(H) Reports and statements of strategy or negotiation involving labor negotiations or collective bargaining.

(I) Reports and statements of strategy or negotiation with respect to the investment or borrowing of public funds, until such time as those transactions are entered into.

(J) Any minutes of a meeting of a public body which are not required to be disclosed pursuant to chapter 46 of title 42.

(K) Preliminary drafts, notes, impressions, memoranda, working papers, and work products; provided, however, any documents submitted at a public meeting of a public body shall be deemed public.

(L) Test questions, scoring keys, and other examination data used to administer a licensing examination, examination for employment or promotion, or academic examinations; provided, however, that a person shall have the right to review the results of his or her examination.

(M) Correspondence of or to elected officials with or relating to those they represent and correspondence of or to elected officials in their official capacities.

(N) The contents of real estate appraisals, engineering, or feasibility estimates and evaluations made for or by an agency relative to the acquisition of property or to prospective public supply and construction contracts, until such time as all of the property has been acquired or all proceedings or transactions have been terminated or abandoned; provided the law of eminent domain shall not be affected by this provision.

(O) All tax returns.

(P) All investigatory records of public bodies, with the exception of law enforcement agencies, pertaining to possible violations of statute, rule, or regulation other than records of final actions taken provided that all records prior to formal notification of violations or noncompliance shall not be deemed to be public.

(Q) Records of individual test scores on professional certification and licensing examinations; provided, however, that a person shall have the right to review the results of his or her examination.

(R) Requests for advisory opinions until such time as the public body issues its opinion.

(S) Records, reports, opinions, information, and statements required to be kept confidential by federal law or regulation or state law, or rule of court.

(T) Judicial bodies are included in the definition only in respect to their administrative function provided that records kept pursuant to the provisions of chapter 16 of title 8 are exempt from the operation of this chapter.

(U) Library records which by themselves or when examined with other public records, would reveal the identity of the library user requesting, checking out, or using any library materials.

(V) Printouts from TELE – TEXT devices used by people who are deaf or hard of hearing or speech impaired.

(W) All records received by the insurance division of the department of business regulation from other states, either directly or through the National Association of Insurance Commissioners, if those records are accorded confidential treatment in that state. Nothing contained in this title or any other provision of law shall prevent or be construed as prohibiting the commissioner of insurance from disclosing otherwise confidential information to the insurance department of this or any other state or country, at any time, so long as the agency or office receiving the records agrees in writing to hold it confidential in a manner consistent with the laws of this state.

(X) Credit card account numbers in the possession of state or local government are confidential and shall not be deemed public records.

(Y) Any documentary material, answers to written interrogatories, or oral testimony provided under any subpoena issued under Rhode Island general law section 9-1.1-6.

(ii) However, any reasonably segregable portion of a public record excluded by this section shall be available for public inspections after the deletion of the information which is the basis of the exclusion, if disclosure of the segregable portion does not violate the intent of this section.

(5) "Supervisor of the regulatory body" means the chief or head of a section having enforcement responsibility for a particular statute or set of rules and regulations within a regulatory agency.

(6) "Prevailing plaintiff" means and shall include those persons and entities deemed prevailing parties pursuant to 42 U.S.C. § 1988.

 

SECTION 4.  Section 40-6-9.1 of the General Laws in Chapter 40-6 entitled “Public Assistance Act” is hereby amended to read as follows: 

 

40-6-9.1. Data matching -- Health care coverages. -- (a) For purposes of this section, the term "medical assistance program" shall mean medical assistance provided in whole or in part by the department of human services pursuant to chapters 5.1, 8, 8.4 of title 40, 12.3 of title 42 and/or title XIX or XXI of the federal Social Security Act, as amended, 42 U.S.C. § 1396 et seq. and 42 U.S.C. § 1397aa et seq., respectively.  Any references to the department shall be to the department of human services.

(b)  In furtherance of the assignment of rights to medical support to the department of human services under § 40-6-9 (b), (c), (d), and (e) and in order to determine the availability of other sources of health care insurance or coverage for beneficiaries of the medical assistance program, and to determine potential third party liability for medical assistance paid out by the department, all health insurers, health maintenance organizations, including managed care organizations, and third party administrators, self insured plans, pharmacy benefit managers (PBM), and other parties that are by statute, contract, or agreement, legally responsible for payment of a claim for a health care item of service doing business in the state of Rhode Island shall permit and participate in data matching with the department of human services, as provided in this section, to assist the Department to identify medical assistance program applicants, beneficiaries and/or persons responsible for providing medical support for such applicants and beneficiaries who may also have health care insurance or coverage in addition to that provided or to be provided by the medical assistance program and to determine any third party liability in accordance with this section.

The  department shall take all reasonable measures to determine the legal liability of all third parties (including health insurers, self-insured plans, group health plans (as defined in section 607(1) of the Employee Retirement Income Security Act of 1974 [29 USCS section 1167(1)]), service benefit plans, health maintenance organizations, managed care organizations, pharmacy benefit managers, or other parties that are, by statute, contract, or agreement, legally responsible for payment of a claim for a health care item or service), to pay for care and services on behalf of a medical assistance recipient, including collecting sufficient information to enable the department to pursue claims against such third parties.     

  In any case where such a legal liability is found to exist and medical assistance has been made available on behalf of the individual (beneficiary), the department shall seek reimbursement for such assistance to the extent of such legal liability and in accordance with the assignment described in section 40-6-9.

 To the extent that payment has been made by the department for medical assistance to a beneficiary  in any case where a third party has a legal liability to make payment for such assistance, and  to the extent that payment has been made by the department for medical assistance for health care items or services furnished to an individual, the department (state) is considered to have acquired the rights of such individual to payment by any other party for such health care items or services in accordance with section 40-6-9.

Any health insurer (including a group health plan, as defined in section 607(1) of the employee retirement income security act of 1974 [29 USCS section 1167(1)], a self-insured plan, a service benefit plan, a managed care organization, a pharmacy benefit manager, or other party that is, by statute, contract, or agreement, legally responsible for payment of a claim for a health care item or service), in enrolling an individual or in making any payments for benefits to the individual or on the individual's behalf, is prohibited from taking into account that the individual is eligible for or is provided medical assistance under a plan under 42 USCS section 1396 et seq. for such state, or any other state.

(c) Notwithstanding the provisions of any general, public or special law, or rule or regulation to the contrary, aAll health insurers, including, but not limited to, health maintenance organizations, third party administrators, nonprofit medical service corporations ,nonprofit hospital service corporations, subject to the provisions of chapters 18, 19, 20 and 41 of title 27, as well as,  self-insured plans, group health plans (as defined in section 607(1) of the Employee Retirement Income Security Act of 1974 [29 USCS section 1167(1)]), service benefit plans, managed care organizations, pharmacy benefit managers, or other parties that are, by statute, contract, or agreement, legally responsible for payment of a claim for a health care item or service) doing business in this state shall:

(i) provide or shall make other arrangements to provide, information to the department to enable the medical assistance program, mutually satisfactory to both parties,: (1) to identify medical assistance program recipients, applicants and/or persons  responsible for providing medical support for those recipients and applicants who are or could be enrollees or beneficiaries under any individual or group health insurance contract, plan or policy available or in force and effect in the state; and (2) to determine the scope and terms of this insurance.

     (ii) with respect to individuals who are eligible for, or are provided, medical assistance by the department, upon the request of the department, provide information to determine during what period the individual or their spouses or their dependents may be (or may have been) covered by a health insurer and the nature of the coverage that is or was provided by the health insurer (including the name, address, and identifying number of the plan);

(iii) accept the state's right of recovery and the assignment to the state of any right of an individual or other entity to payment from the party for an item or service for which payment has been made by the department;

(iv) respond to any inquiry by the department regarding a claim for payment for any health care item or service that is submitted not later than three (3) years after the date of the provision of such health care item or service; and

(v) agree not to deny a claim submitted by the state based solely on procedural reasons such as on the basis of the date of submission of the claim, the type or format of the claim form, or a failure to present proper documentation at the point-of-sale that is the basis of the claim, if--

(I) the claim is submitted by the state within the three (3) year period beginning on the date on which the item or service was furnished; and

(II) any action by the state to enforce its rights with respect to such claim is commenced within six (6) years of the state's submission of such claim.

(d) This information shall be made available by these insurers and health maintenance organizations and used by the department of human services only for the purposes of and to the extent necessary for identifying these persons and determining the scope and terms of coverage, and ascertaining third party liability.  The department of human services shall provide information to the health plan insurers as defined in § 27-18.4-1, only to the extent sufficient to clarify discrepancies resulting from the data matching process in the identification of an individual health insurers, including health insurers, self-insured plans, group health plans (as defined in section 607(1) of the employee retirement income security act of 1974 [29 USCS section 1167(1)]), service benefit plans, managed care organizations, pharmacy benefit managers, or other parties that are, by statute, contract, or agreement, legally responsible for payment of a claim for a health care item or service) only for the purposes described herein.

(e) No health insurer, health maintenance organization, or third party administrator which provides or makes arrangements to provide information pursuant to this section shall be liable in any civil or criminal action or proceeding brought by beneficiaries or members on account of this action for the purposes of violating confidentiality obligations under the law.

(f) Upon completion of data matching, the department of human services shall reimburse such health insurers for the reasonable documented costs of conducting the matches

(f) The department shall submit any appropriate  and necessary state plan provisions.

(g) The department of human services is authorized and directed to promulgate regulations necessary to ensure the effectiveness of this section.

 

SECTION 5.  Section 27-18.4-1 of the General Laws in Chapter 27-18.4 entitled “Health Insurance-Coordination with Federal Medicaid Program” is hereby amended to read as follows:  

 

27-18.4-1. Definitions. – (a) "Insurer" means any health insurer (including a group health plan, as defined in § 607(1) of the Employee Retirement Income Security Act of 1974, 29 U.S.C. § 1167(1)), a health maintenance organization as defined in § 27-41-2, a qualified health maintenance organization as referred to in § 42-62-9, a non-profit hospital service corporation as defined in § 27-19-1, a non-profit medical service corporation as defined in § 27-20-1, a non-profit dental service corporation as defined in § 27-20.1-1, a non-profit optometric service corporation as defined in § 27-20.2-1, self insured plans, pharmacy benefit managers (PBM), and other parties that are by statute, contract, or agreement, legally responsible for payment of a claim for a health care item of service doing business in the state,  a domestic insurance company subject to chapter 1 of this title, and a foreign insurance company subject to chapter 2 of this title.             (b) "Medical assistance" and "Medicaid" mean medical assistance provided in whole or in part by the department of human services pursuant to chapter 40-5.1, 40-8, 40-8.4 or 42-12.3 of the general laws and/or title XIX or XXI of the federal Social Security Act, as amended, 42 U.S.C. § 1396 et seq. and 42 U.S.C. § 1397aa et seq., respectively.

 

SECTION 6.  Section 40-5.1-19 of the General Laws in Chapter 40-5.1 entitled “Family Independence Act” is hereby amended to read as follows:

 

40-5.1-19. Eligibility for medical benefits. -- (a) Every member of any family eligible for cash assistance under this chapter shall be categorically eligible for medical assistance through the RIte Care or RIte Share programs, as determined by the department, subject to the provisions of § 40-8-1(d) and provided, further, that such medical assistance, must qualify for federal financial participation pursuant to the provisions of Title XIX of the federal social security act, 42 U.S.C. section 1396 et seq.

 (b) If a family becomes ineligible for cash assistance payments under this chapter on account of excess earnings from employment, the family shall continue to be eligible for medical assistance through the RIte Care or RIte Share program for a period of twelve (12) months or until employer paid family health care coverage begins subject to the provisions of section 40-8-1(d) and provided, further, that medical assistance, must qualify for federal financial participation pursuant to the provisions of title XIX of the federal social security Act, 42 U.S.C. section 1396 et seq.

(c) A parent who becomes ineligible for RIte Care under this section and who is not eligible for employer paid medical coverage due to a prior existing condition, or is otherwise uninsurable as determined by the department, shall be entitled to purchase RIte Care coverage in accordance with contribution rates to be established by the department.   

 

SECTION 7.  Section 40-8-1 of the General Laws in Chapter 40-8 entitled “Medical Assistance” is hereby amended to read as follows:

 

40-8-1. Declaration of policy. --  (a) Whereas, in the state of Rhode Island there are many persons who do not have sufficient income and resources to meet the cost of medical care and who, except for income and resource requirements, would be eligible for aid or assistance under § 40-5.1-9 or § 40-6-27; and

(b) Whereas, it is in the best interest of all the citizens of this state to promote the welfare of persons with the characteristics of persons eligible to receive public assistance and ensure that they will receive adequate medical care and treatment in time of need;

(c) Now, therefore, it is declared to be the policy of this state to provide medical assistance for those persons in this state who possess the characteristics of persons receiving public assistance under the provisions of § 40-5.1-9 or § 40-6-27, and who do not have the income and resources to provide it for themselves or who can do so only at great financial sacrifice. Provided, further, that such medical assistance, except as provided in subsection (d), must qualify for federal financial participation pursuant to the provisions of Title XIX of the federal Social Security Act, 42 U.S.C. § 1396 et seq. as such provisions apply to medically needy only applicants and recipients.

(d) Medical assistance shall be provided under this chapter without regard to the availability of federal financial participation: (1) to a person who does not meet the citizenship or alienage criteria under Title XIX of the Social Security Act, 42 U.S.C. § 1396 et seq., and who was lawfully residing in the United states before August 22, 1996 and who was a resident of this state prior to July 1, 1997; and (2) to a non-citizen child who was lawfully admitted for permanent residence on or after August 22, 1996 or who first becomes otherwise entitled to reside in the United States on or after August 22, 1996 and is receiving medical assistance in Rhode Island on or before December 31, 2006; and provided, however, that such person meets all other eligibility requirements under this chapter or under Title XIX of the Social Security Act.

 

SECTION 8.  Section 1 shall take effect upon passage and shall remain in effect until either rejection of the State False Claims Act by the Office of Inspector General or February 15, 2008 in the event of non-acceptance by the Office of Inspector General by February 15, 2008, whichever occurs first. Section 2 shall become effective upon the rejection of the State False Claims Act by the Office of Inspector General or February 15, 2008 in the event of non-acceptance by the Office of Inspector General by February 15, 2008, whichever occurs first. The remainder of the article shall take effect upon passage.




ARTICLE 19 SUBSTITUTE A

 

RELATING TO HOSPITAL UNCOMPENSATED CARE

 

SECTION 1.  Sections 40-8.3-2 and 40-8.3-3 of the General Laws in Chapter 40-8.3 entitled “Uncompensated Care” are hereby amended to read as follows:

 

40-8.3-2. Definitions. – As used in this chapter:

 (1) "Base year" means for the purpose of calculating a disproportionate share payment for any fiscal year ending after September 30, 2005, the period from October 1, 2003 through September 30, 2004 and for any fiscal year ending after September 30, 2007, the period from October 1, 2005 through September 30, 2006.

 (2) "Medical assistance inpatient utilization rate for a hospital" means a fraction (expressed as a percentage) the numerator of which is the hospital's number of inpatient days during the base year attributable to patients who were eligible for medical assistance during the base year and the denominator of which is the total number of the hospital's inpatient days in the base year.

 (3) "Participating hospital" means any nongovernment and nonpsychiatric hospital that: (i) was licensed as a hospital in accordance with chapter 17 of title 23 during the base year, (ii) achieved a medical assistance inpatient utilization rate of at least one percent (1%) during the base year, and (iii) continues to be licensed as a hospital in accordance with chapter 17 of title 23 during the payment year.

 (4) "Uncompensated care costs" means, as to any hospital, the sum of: (i) the cost incurred by such hospital during the base year for inpatient or outpatient services attributable to charity care (free care and bad debts) for which the patient has no health insurance or other third-party coverage less payments, if any, received directly from such patients and (ii) the cost incurred by such hospital during the base year for inpatient or out-patient services attributable to medicaid beneficiaries less any medicaid reimbursement received therefor; multiplied by the uncompensated care index.

 (5) "Uncompensated care index" means the annual percentage increase for hospitals established pursuant to § 27-19-14 for each year after the base year, up to and including the payment year, provided, however, that the uncompensated care index for the payment year ending September 30, 2005 shall be deemed to be five and eighty-five hundredths percent (5.85%), and that the uncompensated care index for the payment year ending September 30, 2006 shall be deemed to be five and fifty hundredths percent (5.50%), and that the uncompensated care index for the payment year ending September 30, 2007 shall be deemed to be five and forty-seven hundredths percent (5.47%), and that the uncompensated care index for the payment year ending September 30, 2008 shall be deemed to be five and forty seven hundredths percent (5.47%).

 

 40-8.3-3. Implementation. – (a) For the fiscal year commencing on October 1, 2006 and ending September 30, 2007, the department of human services shall submit to the Secretary of the U.S. Department of Health and Human Services a state plan amendment to the Rhode Island Medicaid state plan for disproportionate share hospital payments (DSH Plan) to provide:

(1) Disproportionate share hospital payments to all participating hospitals not to exceed an aggregate limit of $97.8 million, to be allocated by the department to the Pool A, Pool C and Pool D components of the DSH Plan;

(2) That the Pool D allotment shall be distributed among the participating hospitals in direct proportion to the individual participating hospitals uncompensated care costs for the base year inflated by the uncompensated care index to the total uncompensated care costs for the base year inflated by uncompensated care index for all participating hospitals. The disproportionate share payments shall be made on or before July 16, 2007 and are expressly conditioned upon approval on or before July 9, 2007 the Secretary of the U.S. Department of Health and Human Services, or his or her authorized representative, of all Medicaid state plan amendments necessary to secure for the state the benefit of federal financial participation in federal fiscal year 2007 8 for the disproportionate share payments.

(b) For the fiscal year commencing on October 1, 2007 and ending September 30, 2008, the department of human services shall submit to the Secretary of the U.S. Department of Health and Human Services a state plan amendment to the Rhode Island Medicaid state plan for disproportionate share hospital payments (DSH Plan) to provide:

(1) Disproportionate share hospital payments to all participating hospitals not to exceed an aggregate limit of $99.5 million, to be allocated by the department to the Pool A, Pool C and Pool D components of the DSH Plan;

(2) That the Pool D allotment shall be distributed among the participating hospitals in direct proportion to the individual participating hospitals uncompensated care costs for the base year inflated by the uncompensated care index to the total uncompensated care costs for the base year inflated by uncompensated care index for all participating hospitals. The disproportionate share payments shall be made on or before July 14, 2008 and are expressly conditioned upon approval on or before July 7, 2008 the Secretary of the U.S. Department of Health and Human Services, or his or her authorized representative, of all Medicaid state plan amendments necessary to secure for the state the benefit of federal financial participation in federal fiscal year 2008 for the disproportionate share payments.

 (b) (c) No provision is made pursuant to this chapter for disproportionate share hospital payments to participating hospitals for uncompensated care costs related to graduate medical education programs.

 

SECTION 2.  This article shall take effect upon passage.




ARTICLE 20 SUBSTITUTE A

 

RELATING TO CHILD CARE ELIGIBILITY

 

SECTION 1. Section 40-5.1-17 of the General Laws in Chapter 40-5.1 entitled “Family Independence Act” is hereby amended to read as follows:

 

40-5.1-17. Families eligible for child care assistance. – (a)(1) The department shall provide appropriate childcare to every parent who requires childcare in order to meet the work requirements in § 40-5.1-9 and to all other families with incomes at or below one hundred eighty-five percent (185%) one hundred eighty percent (180%) of the federal poverty line, if and to the extent such other families require childcare in order to work at paid employment; provided, however, that effective January 1, 1999, the department shall provide appropriate childcare to such other families whose incomes are at or below two hundred percent (200%) of the federal poverty line; effective July 1, 1999, the department shall provide appropriate childcare to such other families whose incomes are at or below two hundred twenty-five percent (225%) of the federal poverty line.

   (2) No family shall be eligible for child care assistance under this chapter if the combined value of its liquid resources exceeds ten thousand dollars ($10,000). Liquid resources are defined as any interest(s) in property in the form of cash or other financial instruments or accounts which are readily convertible to cash or cash equivalents. These include, but are not limited to, cash, bank, credit union, or other financial institution savings, checking and money market accounts, certificates of deposit or other time deposits, stocks, bonds, mutual funds, and other similar financial instruments or accounts. These do not include educational savings accounts, plans, or programs; retirement accounts, plans, or programs; or accounts held jointly with another adult, not including a spouse, living outside the same household but only to the extent the applicant/recipient family documents the funds are from sources owned by the other adult living outside the household, plus the proportionate share of any interest, dividend or capital gains thereon. The department is authorized to promulgate rules and regulations to determine the ownership and source of the funds in the joint account.

   (3) As a condition of eligibility for child care assistance under this chapter, the parent or caretaker relative of the family must consent to and must cooperate with the department in establishing paternity, and in establishing and/or enforcing child support and medical support orders for all children in the family in accordance with title 15 of the general laws, as amended, unless the parent or caretaker relative is found to have good cause for refusing to comply with the requirements of this subsection.

 (b) For purposes of this section "appropriate childcare" means childcare, including infant/toddler, pre-school, nursery school, school-age, and youth care, which is provided by a person or organization qualified, approved, and authorized to provide such care by the department of children, youth, and families, or by the department of elementary and secondary education, or such other lawful providers as determined by the department of human services, in cooperation with the department of children, youth and families and the department of elementary and secondary education for a child below the age of sixteen (16) thirteen (13).

 (c) The department of human services shall determine rates of reimbursement for childcare services for children over the age of twelve (12) in accordance with the provisions of § 40-6.2-1.1(d).

   For purposes of this section "appropriate childcare" is defined in § 40-5.1-9(d).

 (d) Families with incomes below one hundred percent (100%) of the applicable federal poverty guidelines shall be provided with free childcare. Families with incomes equal to or greater than one hundred percent (100%) of the applicable federal poverty guideline shall be required to pay for some portion of the childcare they receive, according to a sliding fee scale adopted by the department.

 (e) In determining the type of childcare to be provided to a family, the department shall take into account the cost of available childcare options and the suitability of the type of care available for the child and the parent's preference as to the type of childcare.

  (f) For purposes of this section "income" for families receiving cash assistance under § 40-5.1-9 means gross earned income and unearned income, subject to the income exclusions in § 40-5.1-10(b) and § 40-5.1-10(c); and income for other families shall mean gross earned and unearned income as determined by departmental regulations.

 (g) The entitlement provided for in subsection (a) shall be an entitlement to payment of a subsidy for childcare to an appropriate childcare provider as defined in subsection (b). The caseload estimating conference established by chapter 17 of title 35 shall forecast the expenditures for childcare in accordance with the provisions of § 35-17-1.

 (h) In determining eligibility for child care assistance program for children of members of reserve components called to active duty during a time of conflict, the department shall freeze the family composition and the family income of the reserve component member as it was in the month prior to the month of leaving for active duty. This shall continue until the individual is officially discharged from active duty.

 

SECTION 2.  This article shall take effect as of July 1, 2007.




ARTICLE 21 SUBSTITUTE A AS AMENDED

 

EDUCATION AID

 

SECTION 1.  Sections 16-7-23 and 16-7-29 of the General Laws in Chapter 16-7 entitled “Foundation Level School Support” are hereby amended to read as follows:

 

16-7-23. Community requirements – Adequate minimum budget provision. – (a) The school committee's budget provisions of each community for current expenditures in each budget year shall provide for an amount from all sources sufficient to support the basic program and all other approved programs shared by the state. Each community shall contribute local funds to its school committee in an amount not less than its local contribution for schools in the previous fiscal year. Calculation of the annual local contribution shall not include Medicaid revenues received by the municipality or district pursuant to chapter 8 of title 40. A community which has a decrease in enrollment may compute maintenance of effort on a per pupil rather than on an aggregate basis when determining its local contribution; furthermore, a community which experiences a nonrecurring expenditure for its schools may deduct the nonrecurring expenditure in computing its maintenance of effort. The deduction of nonrecurring expenditures shall be with the approval of the commissioner. The courts of this state shall enforce this section by writ of mandamus.

(b) Whenever any state funds are appropriated for educational purposes, the funds shall be used for educational purposes only and all state funds appropriated for educational purposes must be used to supplement any and all money allocated by a city or town for educational purposes and, in no event, shall state funds be used to supplant, directly or indirectly, any money allocated by a city or town for educational purposes. All state funds shall be appropriated by the municipality to the school committee for educational purposes in the same fiscal year in which they are appropriated at the state level even if the municipality has already adopted a school budget. All state and local funds unexpended by the end of the fiscal year of appropriation shall remain a surplus of the school committee and shall not revert to the municipality. Any surplus of state or local funds appropriated for educational purposes shall not in any respect affect the requirement that each community contribute local funds in an amount not less than its local contribution for schools in the previous fiscal year, subject to subsection (a) of this section, and shall not in any event be deducted from the amount of the local appropriation required to meet the maintenance of effort provision in any given year.   

 

16-7-29. Minimum salary schedule established by community. – (a) Every community shall establish and put into full effect by appropriate action of its school committee a salary schedule recognizing years of service, experience, and training for all certified personnel regularly employed in the public schools and having no more than twelve (12) annual steps. provided, however, that any salary supplement required under § 16-25.3-2 shall not be considered a step for the purposes of this section. The term "school year" as applied to the salary schedule means the ten (10) calendar months beginning in September and ending the following June.

(b) Nothing in this section shall prohibit a freeze or reduction of the monetary value of the steps in the salary schedule through the collective bargaining process.

 

SECTION 2.  Section 16-17.1-16 of the General Laws in Chapter 16-7.1 entitled “The Rhode Island Student Investment Initiative” is hereby amended to read as follows:

 

16-7.1-15. The Rhode Island student investment initiative. – (a) Each locally or regionally operated school district shall receive as a base the same amount of school aid as each district received in fiscal year 1997-1998, adjusted to reflect the increases or decreases in aid enacted to meet the minimum and maximum funding levels established for FY 2000 through FY 2006 FY 2007. Each school district shall also receive school aid through each investment fund for which that district qualifies pursuant to §§ 16-7.1-8, 16-7.1-9, 16-7.1-10, 16-7.1-11, 16-7.1-12, 16-7.1-16 and 16-7.1-19. These sums shall be in addition to the base amount described in this section.  For FY 2007 FY 2008, the reference year for the data used in the calculation of aid pursuant to §16-7.1-8, §16-7.1-9, §16-7.1-10, §16-7.1-11, section 16-7.1-11.1, §16-7.1-12, and §16-7.1-16, sections 16-7.1-19 and 16-77.1-2(b) shall be FY 2004. Calculation and distribution of education aid under §§ 16-5-31, 16-5-32, 16-7-20, 16-7-20.5, 16-7-34.2, 16-7-34.3, 16-24-6, 16-54-4, and 16-67-4 is hereby suspended. The funding of the purposes and activities of chapter 67 of this title, the Rhode Island Literacy and Dropout Prevention Act of 1967, shall be the same amount of the base amount of each district funded for that purpose in fiscal year 1997-1998. In addition each district shall expend three percent (3%) of its student equity and early childhood funds under the provisions of chapter 67 of this title.

(b) Funding for full day kindergarten programs in accordance with § 16-7.1-11.1 shall be in addition to funding received under this section.

(c) Funding distributed under §§ 16-77.1-2(b) and 16-64-1.1 shall be in addition to funding distributed under this section.

(d) There shall be an appropriation to ensure that total aid distributed to communities in FY 2007 FY 2008 under this section and §§ 16-7.1-11.1, 16-64-1.1 and 16-77.1-2(b) shall be as follows:

Barrington                    2,599,526           2,599,526

Burrillville                   13,779,743         13,854,743

Charlestown                 2,002,838           2,002,832

Coventry                    20,075,081         20,075,081

Cranston                     35,580,911         35,580,911

Cumberland                 13,257,009         13,257,009

East Greenwich            1,949,761           1,949,761

East Providence          26,762,254         26,888,254

Foster                           1,416,463           1,416,463

Glocester                       3,213,847           3,213,847

Hopkinton                     6,241,352           6,241,352

Jamestown                       531,908              531,908

Johnston                      10,915,364         10,915,364

Lincoln                          7,403,268           7,403,268

Little Compton                 368,810              368,810

Middletown                 10,497,116         10,497,116

Narragansett                  1,897,159           1,897,159

Newport                     11,796,080         11,871,080

New Shoreham                106,345              106,345

North Kingstown         11,986,005         11,986,005

North Providence        13,232,872         13,262,872

North Smithfield            4,834,237           4,834,237

Pawtucket                   66,858,559         67,023,559

Portsmouth                    6,250,042           6,700,042

Providence                193,974,756       194,109,756

Richmond                      6,188,615           6,188,615

Scituate                         3,407,183           3,407,183

Smithfield                      5,668,568           5,743,568

South Kingstown         10,428,698         10,548,698

Tiverton                         5,932,058           5,932,058

Warwick                     37,626,000         37,626,000

Westerly                        6,843,077           6,843,077

West Warwick            20,440,547         20,440,547

Woonsocket                47,616,613         47,616,613

Bristol-Warren            20,498,190         20,498,190

Exeter-West Greenwich 7,661,019          7,661,019

Chariho                            398,334              398,334

Foster-Glocester           5,729,861           5,729,861

Central Falls                43,313,036         43,873,873

    This special provision shall not limit entitlements as determined by application of other formula provisions in this section.

(e) Children with disabilities. (1) Based on its review of special education within the context of Rhode Island school reform, the general assembly recommends addressing the needs of all children and preventing disability through scientific research based, as described in the No Child Left Behind Act of 2001, Title 1, Part B, Section 1208 [20 U.S.C. § 6368], reading instruction and the development of Personal Literacy Programs for students in the early grades performing below grade level in reading and implement a system of student accountability that will enable the state to track individual students over time. Additionally, the department of elementary and secondary education must provide districts with rigorous criteria and procedures for identifying students with learning disabilities and speech/language impairments. Additional study is required of factors that influence programming for students with low incidence disabilities; those with disabilities that severely compromise life functions; and programming for students with disabilities through urban special education. Alternatives for funding special education require examination.

(2) All departments and agencies of the state shall furnish any advice and information, documentary and otherwise, to the general assembly and its agents that is deemed necessary or desirable by the study to facilitate the purposes of this section.

 

SECTION 3.  Section 16-25.3-2 of the General Laws in Chapter 16-25.3 entitled “School Speech and Language Pathologists” is hereby amended to read as follows:

 

16-25.3-2.  Employment of speech language pathologists. – (a) Each school district is encouraged by the general assembly to employ one full time certified speech language pathologist for every forty (40) students who receive speech language services within the age range of three (3) to twenty-one (21). In cases where the number of students receiving speech language services is above forty (40), the school district is encouraged to employ a speech language pathologist on a part time pro-rata basis.

   (b) When a speech and language evaluation or the provision of speech language services are being considered or are part of the student's program the speech language pathologist shall be a member of the multidisciplinary team.

   (c) In the event an individual seeks emergency certification from the department of elementary and secondary education in the area of speech language pathology, the individual must meet the following minimum requirements before the granting of emergency certification by the department of elementary and secondary education:

   (1) Hold a bachelor's degree in communicative disorders from an accredited college or university;

   (2) Have successfully completed no less than eighteen (18) hours of graduate credit in the area of speech language pathology.

   (d) Individuals under emergency certification to conduct the business of a speech language pathologist shall be under the direct supervision of a certified speech language pathologist. At no time shall a certified speech language pathologist supervise more than one emergency certified speech language pathologist.

  (e) Any licensed speech language pathologist who has met the requirements and acquired a Certificate of Clinical Competence from the American Speech-Language-Hearing Association, and who is employed full-time as a speech language pathologist by a school district, shall be entitled to receive an annual salary supplement of one thousand seven hundred fifty dollars ($1,750) for school year 2007 only, in addition to any other compensation to which the employee may be entitled.

Any licensed speech language pathologist who has met the requirements and acquired a Certificate of Clinical Competence from the American Speech-Language-Hearing Association and is employed full-time by a school district shall submit documentation to the department of elementary and secondary education, and to the local school district by December 1, in order to be eligible to receive the salary supplement in the next immediate school year, except for the school year 2007, in which documentation shall be submitted to the department of elementary and secondary education and the local school district by October 1 in order to be eligible to receive the salary supplement in that school year. The department of elementary and secondary education shall, within thirty (30) days, notify the school district if the documentation provided by the employee is inadequate to show proof of certification, thereby rendering the employee ineligible for the salary supplement in the next immediate school year; provided, however, that if the employee provides additional information, with fifteen (15) days of notification of ineligibility, verifying certification, that employee shall be entitled to receive the salary supplement in the next immediate school year.

(f) Local school districts shall be reimbursed by the state for costs attributable to the salary supplements provided for in this act.

 

SECTION 4. Section 16-25.3-2 of the General Laws in Chapter 16-25.3 entitled "School Speech and Language Pathologists" is hereby amended to read as follows:

 

16-25.3-2. Employment of speech language pathologists. -- (a) Each school district is encouraged by the general assembly to employ one full time certified speech language pathologist for every forty (40) students who receive speech language services within the age range of three (3) to twenty-one (21). In cases where the number of students receiving speech language services is above forty (40), the school district is encouraged to employ a speech language pathologist on a part time pro-rata basis.

 (b) When a speech and language evaluation or the provision of speech language services are being considered or are part of the student's program the speech language pathologist shall be a member of the multidisciplinary team.

 (c) In the event an individual seeks emergency certification from the department of elementary and secondary education in the area of speech language pathology, the individual must meet the following minimum requirements before the granting of emergency certification by the department of elementary and secondary education:

 (1) Hold a bachelor's degree in communicative disorders from an accredited college or university;

 (2) Have successfully completed no less than eighteen (18) hours of graduate credit in the area of speech language pathology.

 (d) Individuals under emergency certification to conduct the business of a speech language pathologist shall be under the direct supervision of a certified speech language pathologist. At no time shall a certified speech language pathologist supervise more than one emergency certified speech language pathologist.

 (e) Any licensed speech language pathologist who has met the requirements and acquired a Certificate of Clinical Competence from the American Speech-Language-Hearing Association, and who is employed by a school district, shall be entitled to receive an annual salary supplement of one thousand seven hundred fifty dollars ($1,750), in addition to any other compensation to which the employee may be entitled.

 Any licensed speech language pathologist who has met the requirements and acquired a Certificate of Clinical Competence from the American Speech-Language-Hearing Association shall submit documentation to the department of elementary and secondary education, and to the local school district by December 1, in order to be eligible to receive the salary supplement in the next immediate school year, except for the school year 2007, in which documentation shall be submitted to the department of elementary and secondary education and the local school district by October 1 in order to be eligible to receive the salary supplement in that school year.  The department of elementary and secondary education shall, within thirty (30) days, notify the school district if the documentation provided by the employee is inadequate to show proof of certification, thereby rendering the employee ineligible for the salary supplement in the next immediate school year; provided, however, that if the employee provides additional information, with fifteen (15) days of notification of ineligibility, verifying certification, that employee shall be entitled to receive the salary supplement in the next immediate school year.

 (f) Local school districts shall be reimbursed by the state for costs attributable to the salary supplements provided for in this act.

 

SECTION 5.  Chapter 16-47 of the General Laws entitled “Compact for Education” is hereby repealed in its entirety:

 

16-47-1. Compact. – The interstate compact for education is enacted into law and entered into by this state with all states legally joining in the compact in the form substantially as follows:

 

ARTICLE I

Purpose and Policy

 

A. It is the purpose of this compact to:

1. Establish and maintain close cooperation and understanding among executive, legislative, professional educational and lay leadership on a nationwide basis at the state and local levels.

2. Provide a forum for the discussion, development, crystalization and recommendation of public policy alternatives in the field of education.

3. Provide a clearing house of information on matters relating to educational problems and how they are being met in different places throughout the nation, so that the executive and legislative branches of state government and of local communities may have ready access to the experience and record of the entire country, and so that both lay and professional groups in the field of education may have additional avenues for the sharing of experience and the interchange of ideas in the formation of public policy in education.

4. Facilitate the improvement of state and local educational systems so that all of them will be able to meet adequate and desirable goals in a society which requires continuous qualitative and quantitative advance in educational opportunities, methods and facilities.

B. It is the policy of this compact to encourage and promote local and state initiative in the development, maintenance, improvement and administration of educational systems and institutions in a manner which will accord with the needs and advantages of diversity among localities and states.

C. The party states recognize that each of them has an interest in the quality and quantity of education furnished in each of the other states, as well as in the excellence of its own educational systems and institutions, because of the highly mobile character of individuals within the nation, and because the products and services contributing to the health, welfare and economic advancement of each state are supplied in significant part by persons educated in other states.

 

ARTICLE II

State Defined

 

As used in the compact, "State" means state, territory, or possession of the United States, the District of Columbia, or the Commonwealth of Puerto Rico.

 

ARTICLE III

The Commission

 

A. The educational commission of the states, hereinafter called "The commission", is hereby established. The commission shall consist of seven (7) members representing each party state. One of such members shall be the governor; two (2) shall be members of the state legislature selected by its respective houses and serving in such manner as the legislature may determine; and four (4) shall be appointed by and serve at the pleasure of the governor, unless the laws of the state otherwise provide. If the laws of a state prevent legislators from serving on the commission, six (6) members shall be appointed by and serve at the pleasure of the governor, unless the laws of the state otherwise provide. In addition to any other principles or requirements which a state may establish for the appointment and service of its members of the commission, the guiding principle for the composition of the membership on the commission from each party state shall be that the members representing such state shall, by virtue of their training, experience, knowledge or affiliations be in a position collectively to reflect broadly the interests of the state government, higher education, the state education system, local education, lay and professional, public and non-public educational leadership. Of those appointees, one shall be the head of a state agency or institution, designated by the governor, having responsibility for one or more programs of public education. In addition to the members of the commission representing the party states, there may be not to exceed ten (10) non-voting commissioners selected by the steering committee for terms of one year. Such commissioners shall represent leading national organizations of professional educators or persons concerned with educational administration.

B. The members of the commission shall be entitled to one vote each on the commission. No action of the commission shall be binding unless taken at a meeting at which a majority of the total number of votes on the commission are cast in favor thereof. Action of the commission shall be only at a meeting at which a majority of the commissioners are present. The commission shall meet at least once a year. In its by-laws, and subject to such directions and limitations as may be contained therein, the commission may delegate the exercise of any of its powers to the steering committee or the executive director, except for the power to approve budgets or requests for appropriations, the power to make policy recommendations pursuant to article IV and adoption of the annual report pursuant to article III (J).

C. The commission shall have a seal.

D. The commission shall elect annually, from among its members, a chairperson, who shall be a governor, a vice chairperson and a treasurer. The commission shall provide for the appointment of an executive director. Such executive director shall serve at the pleasure of the commission, and together with the treasurer and such other personnel as the commission may deem appropriate shall be bonded in such amount as the commission shall determine. The executive director shall be secretary.

E. Irrespective of the civil service, personnel or other merit system laws of any of the party states, the executive director subject to the approval of the steering committee shall appoint, remove or discharge such personnel as may be necessary for the performance of the functions of the commission, and shall fix the duties and compensation of such personnel. The commission in its bylaws shall provide for the personnel policies and programs of the commission.

F. The commission may borrow, accept or contract for the services of personnel from any party jurisdiction, the United States, or any subdivision or agency of the aforementioned governments, or from any agency of two (2) or more of the party jurisdictions or their subdivisions.

G. The commission may accept for any of its purposes and functions under this compact any and all donations, and grants of money, equipment, supplies, materials and services, conditional or otherwise, from any state, the United States, or any other governmental agency, or from any person, firm, association, foundation, or corporation, and may receive, utilize and dispose of the same. Any donation or grant accepted by the commission pursuant to this paragraph or services borrowed pursuant to paragraph (F) of this article shall be reported in the annual report of the commission. Such report shall include the nature, amount and conditions, if any, of the donation, grant, or services borrowed, and the identity of the donor or lender.

H. The commission may establish and maintain such facilities as may be necessary for the transacting of its business. The commission may acquire, hold, and convey real and personal property and any interest therein.

I. The commission shall adopt bylaws for the conduct of its business and shall have the power to amend and rescind these bylaws. The commission shall publish its bylaws in convenient form and shall file a copy thereof and a copy of any amendments thereto, with the appropriate agency or officer in each of the party states.

J. The commission annually shall make to the governor and legislature of each party state a report covering the activities of the commission for the preceding year. The commission may make such additional reports as it may deem desirable.

 

ARTICLE IV

Powers

 

In addition to authority conferred on the commission by other provisions of the compact, the commission shall have authority to:

1. Collect, correlate, analyze and interpret information and data concerning educational needs and resources.

2. Encourage and foster research in all aspects of education, but with special reference to the desirable scope of instruction, organization, administration, and instructional methods and standards employed or suitable for employment in public educational systems.

3. Develop proposals for adequate financing of education as a whole and at each of its many levels.

4. Conduct or participate in research of the types referred to in this article in any instance where the commission finds that such research is necessary for the advancement of the purposes and policies of this compact, utilizing fully the resources of national associations, regional compact organizations for higher education, and other agencies and institutions, both public and private.

5. Formulate suggested policies and plans for the improvement of public education as a whole, or for any segment thereof, and make recommendations with respect thereto available to the appropriate governmental units, agencies and public officials.

6. Do such other things as may be necessary or incidental to the administration of any of its authority or functions pursuant to this compact.

 

ARTICLE V

Cooperation with Federal Government

 

A. If the laws of the United States specifically so provide, or if administrative provision is made therefore within the federal government, the United States may be represented on the commission by not to exceed ten (10) representatives. Any such representative or representatives of the United States shall be appointed and serve in such manner as may be provided by or pursuant to federal law, and may be drawn from any one or more branches of the federal government, but no such representative shall have a vote on the commission.

B. The commission may provide information and make recommendations to any executive or legislative agency or officer of the federal government concerning the common educational policies of the states, and may advise with any such agencies or officers concerning any matter of mutual interest.

 

ARTICLE VI

Committees

 

A. To assist in the expeditious conduct of its business when the full commission is not meeting, the commission shall elect a steering committee of thirty (30) members which, subject to the provisions of this compact and consistent with the policies of the commission, shall be constituted and function as provided in the by-laws of the commission. One-third (1/3) of the voting membership of the steering committee shall consist of governors, and the remainder shall consist of other members of the commission. A federal representative on the commission may serve with the steering committee, but without vote. The voting members of the steering committee shall serve for terms of two (2) years, except that members elected to the first steering committee of the commission shall be elected as follows: fifteen (15) for one year and fifteen (15) for two (2) years. The chairperson, vice chairperson, and treasurer of the commission shall be members of the steering committee and, anything in this paragraph to the contrary notwithstanding, shall serve during their continuance in these offices. Vacancies in the steering committee shall not affect its authority to act, but the commission at its next regularly ensuing meeting following the occurrence of any vacancy shall fill it for the unexpired term. No person shall serve more than two (2) terms as a member of the steering committee: provided that service for a partial term of one year or less shall not be counted toward the two (2) term limitation.

B. The commission may establish advisory and technical committees composed of state, local, and federal officials, and private persons to advise it with respect to any one or more of its functions. Any advisory or technical committee may, on request of the states concerned, be established to consider any matter of special concern to two (2) or more of the party states.

C. The commission may establish such additional committees as its by-laws may provide.

 

ARTICLE VII

Finance

 

A. The commission shall advise the governor or designated officer or officers of each party state of its budget and estimated expenditures for such period as may be required by the laws of that party state. Each of the commission's budgets of estimated expenditures shall contain specific recommendations of the amount or amounts to be appropriated by each of the party states.

B. The total amount of appropriation requests under any budget shall be apportioned among the party states. In making such apportionment, the commission shall devise and employ a formula which takes equitable account of the populations and per capita income levels of the party states.

C. The commission shall not pledge the credit of any party states. The commission may meet any of its obligations in whole or in part with funds available to it pursuant to article III(G) of this compact, provided that the commission takes specific action setting aside such funds prior to incurring an obligation to be met in whole or in part in such manner. Except where the commission makes use of funds available to it pursuant to article III(G) thereof, the commission shall not incur any obligation prior to the allotment of funds by the party states adequate to meet the same.

D. The commission shall keep accurate accounts of all receipts and disbursements. The receipts and disbursements of the commission shall be subject to the audit and accounting procedures established by its bylaws. However, all receipts and disbursements of funds handled by the commission shall be audited yearly by a qualified public accountant, and the report of the audit shall be included in and become part of the annual reports of the commission.

E. The accounts of the commission shall be open at any reasonable time for inspection by duly constituted officers of the party states and by any persons authorized by the commission.

F. Nothing contained herein shall be construed to prevent commission compliance with laws relating to audit or inspection of accounts by or on behalf of any government contributing to the support of the commission.

 

ARTICLE VIII

Eligible Parties; Entry into and Withdrawal

 

A. This compact shall have as eligible parties all states, territories, and possessions of the United States, the District of Columbia, and the Commonwealth of Puerto Rico. In respect of any such jurisdiction not having a governor, the term "governor", as used in this compact, shall mean the closest equivalent official of such jurisdiction.

B. Any state or other eligible jurisdiction may enter into this compact and it shall become binding thereon when it has adopted the same: provided that in order to enter into initial effect, adoption by at least ten (10) eligible party jurisdictions shall be required.

C. Adoption of the compact may be either by enactment thereof or by adherence thereto by the governor; provided that in the absence of enactment, adherence by the governor shall be sufficient to make his state a party only until December 31, 1967. During any period when a state is participating in this compact through gubernatorial action, the governor shall appoint those persons who, in addition to himself or herself, shall serve as the members of the commission from his or her state, and shall provide to the commission an equitable share of the financial support of the commission from any source available to him or her.

D. Except for a withdrawal effective on December 31, 1967, in accordance with paragraph C of this article, any party state may withdraw from this compact by enacting a statute repealing the same, but no such withdrawal shall take effect until one year after the governor of the withdrawing state has given notice in writing of the withdrawal to the governors of all other party states. No withdrawal shall affect any liability already incurred by or chargeable to a party state prior to the time of such withdrawal.

 

ARTICLE IX

Construction and Severability

 

This compact shall be liberally construed so as to effectuate the purposes thereof. The provisions of this compact shall be severable and if any phrase, clause, sentence or provision of this compact is declared to be contrary to the constitution of any state or of the United States, or the applicability thereof to any government, agency, person or circumstance is held invalid, the validity of the remainder of this compact and the applicability thereof to any government, agency, person or circumstance shall not be affected thereby. If this compact shall be held contrary to the constitution of any state participating therein, the compact shall remain in full force and effect as to the state affected as to all severable matters.

 

SECTION 6. Section 16-64-1.1 of the General Laws in Chapter 16-64 entitled "Residence of Children for School Purposes" is hereby amended to read as follows:

 

16-64-1.1. Payment and reimbursement for educational costs of children placed in foster care, group homes, or other residential facility by a Rhode Island state agency. -- (a) Children placed in foster care by a Rhode Island licensed child placing agency or a Rhode Island governmental agency shall be entitled to the same free appropriate public education provided to all other residents of the city or town where the child is placed. The city or town shall pay the cost of the education of the child during the time the child is in foster care in the city or town.

 (b) Children placed by DCYF in a group home or other residential facility that does not include the delivery of educational services are to be educated by the community in which the group home or other residential facility is located, and those children shall be entitled to the same free appropriate public education provided to all other residents of the city or town where the child is placed. For purposes of payment and reimbursement for educational costs under this chapter, the term "group home or other residential facility" shall not include independent living programs. Each city and town that contains one or more group homes or other residential facilities that do not include delivery of educational services will receive funds as part of state aid to education in accordance with the following provisions:

 (1) On June 30 December 31 of each year the DCYF shall provide the department of elementary and secondary education with a precise count of how many group home or other residential facility "beds" exist in each Rhode Island city or town, counting only those "beds" in facilities that do not include the delivery of educational services. The number of "beds" in each group home or other residential facility shall be equal to the maximum number of children that may be placed in that group home or other residential facility on any given night according to the applicable licensure standards of the DCYF. This notification shall also include an estimate of the number of group home beds by city or town that are projected to be licensed by DCYF between July 1 and December 31 of each year.

(2) On June 30 of each year the DCYF shall provide the department of elementary and secondary education with a precise count of the total number of students aged three (3) to twenty-one (21) in DCYF care on that date who reside in group homes in the state of Rhode Island, as well as an accurate accounting of the percentage of those children that are eligible for special education and related services pursuant to the Individuals with Disabilities Education Act [20 U.S.C. section 1400 et seq.]as of that date;

(2) For the fiscal year beginning July 1, 2007, if the number of beds certified by the Department of Children, Youth and Families for a school district by December 31, 2007 is greater than the number certified March 14, 2007 upon which the education aid for FY 2008 was appropriated, the education aid for that district will be increased by the number of increased beds multiplied by fifteen thousand dollars ($15,000). Notwithstanding the provisions of this section or any law to the contrary, the education aid for all group home or other residential facility "beds" located or associated with the Children's Residential and Family Treatment (CRAFT) program located on the East Providence campus of Bradley Hospital shall be twenty-two thousand dollars ($22,000) per bed. The Department of Elementary and Secondary Education shall include the additional aid in equal payments in March, April, May and June, and the Governor's budget recommendations pursuant to section 35-3-8 shall include the amounts required to provide the increased aid.

For all fiscal years beginning after June 30, 2008, education aid for each school district shall include fifteen thousand dollars ($15,000) for each bed certified by the Department of Children, Youth and Families by the preceding December 31. Notwithstanding the provisions of this section or any law to the contrary, the education aid for all group home or other residential facility "beds" located or associated with the Children's Residential and Family Treatment (CRAFT) program located on the East Providence campus of Bradley Hospital shall be twenty-two thousand dollars ($22,000) per bed. For all fiscal years beginning after June 30, 2008, whenever the number of beds certified by the Department of Children, Youth and Families for a school district by December 31 is greater than the number certified the prior December 31 upon which the education aid for that fiscal year was appropriated, the education aid for that district as enacted by the assembly during the prior legislative session for that fiscal year will be increased by the number of increased beds multiplied by the amount per bed authorized for that fiscal year. The Department of Elementary and Secondary Education shall include the additional aid in equal payments in March, April, May and June, and the Governor's budget recommendations pursuant to section 35-3-8 shall include the amounts required to provide the increased aid.

 (3) Each city or town shall receive state education aid in an amount equal to the number of group home or other residential facility "beds" in that community multiplied by a per pupil rate., subject to appropriation, intended to reflect the average cost per pupil based on the blend of regular education and special education students in group homes as derived from figures supplied on June 30 of the reference year as defined in section 16-7-16(11). Each city or town shall receive an additional per pupil rate for beds certified by DCYF as licensed between July 1 and December 31 of each year. Any city or town may petition the commissioner of elementary and secondary education for additional state education aid pursuant to this section in any year in which the total number of group home or other residential facility "beds" is increased by more than five (5) in any annual cycle.

(4) The general assembly shall annually appropriate a sum sufficient to distribute to each city or town the aid required by this subsection based upon the DCYF count provided on June 30 of the reference year as defined in section 16-7-16(11) and that aid shall be distributed by the department of elementary and secondary education. For an appropriation to be made for payments to be made for the 2001-2002 school year the DCYF shall establish a count as required in this subsection upon passage of this legislation [July 5, 2001] This count shall be determined based on the group home and other residential facility "beds" in existence in each community as of December 31 of the preceding year.

 (5) For fiscal year 2007, aid received pursuant to this section shall be equal to aid received in the fiscal year 2006 enacted budget. However, notwithstanding the language in subsection 3 limiting requests for additional aid to the year in which facility "beds" have increased by more than five (5) in that annual cycle, communities may, pursuant to subsection 3, petition in the fiscal year 2007 for additional aid based upon an increase of more than five (5) "beds" subsequent to the passage of the fiscal year 2006 budget enacted by the 2005 General Assembly.

 (c) Children placed by DCYF in a residential treatment program, group home, or other residential facility, whether or not located in the state of Rhode Island, which includes the delivery of educational services, provided by that facility (excluding facilities where students are taught on grounds for periods of time by teaching staff provided by the school district in which the facility is located), shall have the cost of their education paid for as provided for in subsection (d) of this section and section 16-64-1.2. The city or town determined to be responsible to DYCF for a per-pupil special education cost pursuant to section 16-64-1.2 shall pay its share of the cost of educational services to DCYF or to the facility providing educational services.

 (d) Children placed by DCYF in group homes, child caring facilities, community residences, or other residential facilities shall have the entire cost of their education paid for by DCYF if:

 (1) The facility is operated by the state of Rhode Island or the facility has a contract with DCYF to fund a pre-determined number of placements or part of the facility's program;

 (2) The facility is state-licensed; and

 (3) The facility operates an approved on-grounds educational program, whether or not the child attends the on-grounds program.

 

SECTION 7.  Sections 3 and 5 of this article shall take effect as of July 1, 2006; the remainder of this article shall take effect on July 1, 2007.

 

 


ARTICLE 22 SUBSTITUTE A AS AMENDED

 

RELATING TO DELINQUENT AND DEPENDENT CHILDREN

 

Section 1.  Sections 14-1-6, 14-1-7.3, 14-1-27, 14-1-32, 14-1-34, and 14-1-36 of Chapter 14-1 entitled “Proceedings in Family Court” are hereby amended to read as follows:

 

             14-1-6.  Retention of jurisdiction. -- (a) When the court shall have obtained jurisdiction over any child prior to the child ’s eighteenth having attained the age of seventeen years birthday by the filing of a petition alleging that the child is wayward or delinquent comes within the jurisdiction of the court pursuant to § 14-1-5, the child shall, except as specifically provided in this chapter, continue under the jurisdiction of the court until he or she becomes twenty-one (21) nineteen (19) years of age, unless discharged prior to turning nineteen (19).  When the court shall have obtained jurisdiction over any child prior to the child’s eighteenth birthday by the filing of a petition alleging that the child is dependent, neglected and abused pursuant to § 14-1-5 and 40-11-7, the child shall, except as specifically provided in this chapter, continue under the jurisdiction of the court until he or she becomes eighteen (18) years of age; provided, that prior to an order of discharge or emancipation being entered, the court shall require the department of children, youth, and families to provide a description of the transition services afforded the child in placement or a detailed explanation as to the reason those services were not offered; provided further that any youth who comes within the jurisdiction of the court by the filing of a wayward or delinquent petition based upon an offense which was committed prior to July 1,2007, including youth who are adjudicated and committed to the Rhode Island Training School and who are placed in a temporary community placement as authorized by the family court,  may continue under the jurisdiction of the court until he or she turns twenty one (21) years of age.

(b) In any case where the court shall not have acquired jurisdiction over any person prior to the person's eighteenth birthday by the filing of a petition alleging that the person had committed an offense, but a petition alleging that the person had committed an offense which would be punishable as a felony if committed by an adult has been filed before that person attains the age of twenty-one (21) years of age, that person shall, except as specifically provided in this chapter, be subject to the jurisdiction of the court until he or she becomes twenty-one (21) years of age, unless discharged prior to turning twenty-one (21).

 (c) (b) In any case where the court shall not have acquired jurisdiction over any person prior to the person's attaining the age of seventeen years twenty-first birthday by the filing of a petition alleging that the person had committed an offense prior to the person's eighteenth attaining the age of seventeen years birthday which would be punishable as a felony if committed by an adult, that person shall be referred to the court which would have had jurisdiction over the offense if it had been committed by an adult. The court shall have jurisdiction to try that person for the offense committed prior to the person attaining the age of seventeen years his or her eighteenth birthday and, upon conviction, may impose a sentence not exceeding the maximum penalty provided for the conviction of that offense.

(c) Any person who has attained the age of seventeen years or older who commits an offense which would constitute a felony or a misdemeanor if committed by an adult prior to his or her eighteenth birthday, that person shall be referred to the court which would have had jurisdiction over the offense if it had been committed by an adult. The court shall have jurisdiction to try that person for the offense committed prior to his or her eighteenth birthday and, upon conviction, may impose a sentence not exceeding the maximum penalty provided for the conviction of that offense.

             (d) In any case where the court has certified and adjudicated a child in accordance with the provisions of §§ 14-1-7.2 and 14-1-7.3, the jurisdiction of the court shall encompass the power and authority to sentence the child to a period in excess of the age of nineteen (19) twenty-one (21) years. However, in no case shall the sentence be in excess of the maximum penalty provided by statute for the conviction of the offense.

             (e) Nothing in this section shall be construed to affect the jurisdiction of other courts over offenses committed by any person after he or she reaches the age of nineteen (19) years.

 

   14-1-7.3.  Certification – Effect. -- (a) Upon a finding by the court that the child is subject to certification pursuant to § 14-1-7.2, the court shall afford the child a right to a jury trial, and upon conviction for the offense charged, the court shall sentence the child in accordance with one of the following alternatives:

  (1) Impose a sentence upon the child to the training school for youth until the time that the child attains the age of twenty-one (21) nineteen (19) years;

 (2) Impose a sentence upon the child for a period in excess of the child's twenty-first nineteenth birthday to the adult correctional institutions, with the period of the child's minority to be served in the training school for youth in a facility to be designated by the court.  However, the sentence shall not exceed the maximum sentence provided for by statute for conviction of the offense.

 (b) Any child who is certified shall not be eligible for release from the training school for youth unless, after hearing, the certifying judge, or the chief judge in his or her absence, or his or her designee, determines by clear and convincing evidence that the child will not pose a threat to the public during the term of the release.

(c) In the event that the court has modified the order of certification pursuant to § 14-1-42 by suspending the balance of the sentence imposed, any violation of the terms of the suspended sentence shall be referred to the appropriate adult court to be treated in accordance with the regular procedure of the court, unless the person is under the age of eighteen (18) years at the time of the violation, in which case, jurisdiction over the sentence shall continue in the family court.

(d) In the event that the court, after a hearing on modification of the order of certification pursuant to § 14-1-42, has determined that it has not been demonstrated by clear and convincing evidence that the person has been sufficiently rehabilitated and could be released in the community without posing a danger to the public should the order of certification be modified, the court shall deny the modification of the order of certification and direct the person to serve the balance of his or her sentence under the jurisdiction of the department of corrections in a facility under the control of the department. The sentence, including any term served in the training school for youth, shall be subject to the regulations and statutes governing the parole board.

 (e) Any person who commits an offense which would be punishable as a felony if committed by an adult, after having been certified and adjudicated by the family court pursuant to § 14-1-7.2, may, after a hearing by a justice of the family court to determine that probable cause exists to believe that the child has committed the offense, have the jurisdiction over his or her sentence transferred to the department of corrections to be served in facilities under the control of the department.

  (f) A finding that the child is subject to certification shall constitute presumptive evidence of the non-amenability of the person to further treatment in facilities available to the family court and the court shall transfer the jurisdiction over his or her sentence to the department of corrections to be served in facilities under the control of the department, unless the presumption is rebutted by clear and convincing evidence which demonstrates that the person is amenable to treatment in family court facilities.

 (g) A finding that the child is subject to certification shall also constitute presumptive evidence of the non-amenability of the person to further treatment in facilities available to the family court and the court shall waive jurisdiction over that offense and all subsequent offenses and the child shall be prosecuted for the offense by the court which would have jurisdiction if committed by an adult, unless the presumption is rebutted by clear and convincing evidence which demonstrates that the person is amenable to treatment in family court facilities.

 (2) A waiver of jurisdiction over a child pursuant to subdivision (1) of this subsection shall constitute a waiver of jurisdiction over that child for that offense and for all subsequent offenses of whatever nature, and the child shall be referred to the court which would have had jurisdiction if the offense had been committed by an adult.

 (h) The name of any person waived or certified and convicted shall be available to the general public.

 

 14-1-34.  Placement of dependent and neglected children – Criminal records of foster parents made available. -- (a) If, after a hearing on any petition, a child shall be found to be dependent or neglected within the meaning of this chapter, the court shall by decree assign the custody of the child to the director of children, youth and families, for any period that shall seem fit to the court; and the director of children, youth, and families shall become entitled to the custody of the child to the exclusion of any other person. The court may at any time, for good cause shown, modify or revoke the decree.

(b) For any individual eighteen (18) years of age or older, the family court may order that the case management services be provided by the licensed agency, society, or institution in which the individual is placed; provided, that the department monitors the individual's case on a quarterly basis.

(c)  (b) The department for children, youth and families shall apply to the bureau of criminal identification of the state police or the local police department for a nationwide criminal records check of prospective foster parents. The check will conform to the applicable federal standards including the taking of fingerprints to identify the applicant. The department of children, youth, and families shall request the attorney general, through the division of criminal identification, to make available any criminal record of present and prospective foster parents. The attorney general shall immediately comply with that request, and the department of children, youth, and families, shall examine these records in determining the suitability of these persons to be foster parents. The criminal record check shall be conducted without charge to the foster parents. At the conclusion of the background check required in this section, the state police, attorney general or the local police department shall promptly destroy the fingerprint record of the applicant obtained pursuant to this chapter.

 

14-1-36.  Commitment of delinquent and wayward children. – (a) In all proceedings under this chapter, when the court may orders a delinquent or wayward child to be committed to an institution, the institution shall be the training school for youth for a sentence no longer than the youth’s nineteenth birthday. However, nothing contained in this section shall be construed to prohibit the placing of any child in the custody of the department of children, youth and families or any other agency, society, or institution, pursuant to § 14-1-32. The commitment of delinquent or wayward children shall be by an order and all assignments of the custody of dependent, neglected, delinquent, or wayward children to the state training school for youth or to the custody of the department of children, youth and families or to any of the private institutions, agencies, or societies mentioned in this chapter shall be by a decree signed by the justice of the court by whom the order or decree is issued, and that order or decree shall be directed to any person that the court may designate, and shall require that person to take the child and deliver him or her to the officer in charge of the training school for youth or to the custody of the director of children, youth and families or of the public or private institution, agency, or society, and the order or decree shall constitute the person charged with it, while he or she has the order in his or her possession for service, an officer for all purposes under this chapter, in any county of the state in which it may be necessary for him or her to go. The person charged with carrying out the order or decree shall also deliver to the officer of the public or private institution, agency, or society or to the training school for youth or the director of children, youth and families a copy of the order or the decree signed by the justice of the court issuing it, and subject to the provisions of this chapter, the officer and other authorities in charge of the training school for youth or the director of children, youth and families or any public or private institution, agency, or society shall hold the child according to the terms of any other order or decree that may from time to time thereafter be issued by the court in relation to the child.

(b) Whenever the court shall commit a child to the training school for youth or to the director of children, youth and families or any other institution or agency, it shall transmit with the order of commitment a summary of its information concerning the child.

 

SECTION 2. Section 42-72-3 of Chapter 42-72 entitled “Department of Children, Youth and Families” is hereby amended as follows:

 

42-72-3.  Definitions. – For the purposes of this chapter:

   (1) "Advocate" means the child advocate or any of his or her agents, servants or employees as established pursuant to this title.

  (2) "Child" or "children" means any person under the age of eighteen (18); provided that children over the age of eighteen (18) and who continue to receive services from the department who are nevertheless subject to the continuing jurisdiction of the family court pursuant to chapter 1 of title 14 and/or who are defined as emotionally disturbed and/or as children with functional developmental disabilities as referenced in this section according to chapter 7 of title 40.1 shall be considered "children" for all the purposes of this chapter.

  (3) "Child abuse and neglect" is that term as defined in chapter 11 of title 40.

  (4) "Department" means the department of children, youth, and families.

   (5) "Director" means the director of children, youth, and families, or his or her designee.

   (6) "Regional service center" means the respective local or regional units established by the director.

   (7) "Near fatality" means an act that, as certified by a physician, placed the child in serious or critical condition.

   (8) "Infant" means any person under the age of twenty-four (24) months.

 

SECTION 3:   Section 42-72-5 of Chapter 42-72 entitled “Department of Children, Youth and Families” is hereby amended as follows:

 

   42-72-5.  Powers and scope of activities. – (a) The department is the principal agency of the state to mobilize the human, physical and financial resources available to plan, develop, and evaluate a comprehensive and integrated statewide program of services designed to ensure the opportunity for children to reach their full potential. The services include prevention, early intervention, out-reach, placement, care and treatment, and after-care programs; provided, however, that the department notifies the state police and cooperates with local police departments when it receives and/or investigates a complaint of sexual assault on a minor and concludes that probable cause exists to support the allegations(s). The department also serves as an advocate for the needs of children.

  (b) To accomplish the purposes and duties, as set forth in this chapter, the director is authorized and empowered:

   (1) To establish those administrative and operational divisions of the department that the director determines is in the best interests of fulfilling the purposes and duties of this chapter;

   (2) To assign different tasks to staff members that the director determines best suit the purposes of this chapter;

   (3) To establish plans and facilities for emergency treatment, relocation and physical custody of abused or neglected children which may include, but are not limited to, homemaker/educator child case aides, specialized foster family programs, day care facilities, crisis teams, emergency parents, group homes for teenage parents, family centers within existing community agencies, and counseling services;

  (4) To establish, monitor, and evaluate protective services for children including, but not limited to, purchase of services from private agencies and establishment of a policy and procedure manual to standardize protective services;

   (5) To plan and initiate primary and secondary treatment programs for abused and neglected children;

   (6) To evaluate the services of the department and to conduct periodic comprehensive needs assessment;

   (7) To license, approve, monitor, and evaluate all residential and non-residential child care institutions, group homes, foster homes, and programs;

   (8) To recruit and coordinate community resources, public and private;

  (9) To promulgate rules and regulations concerning the confidentiality, disclosure and expungement of case records pertaining to matters under the jurisdiction of the department;

   (10) To establish a minimum mandatory level of twenty (20) hours of training per year and provide ongoing staff development for all staff; provided, however, all social workers hired after June 15, 1991, within the department shall have a minimum of a bachelor's degree in social work or a closely related field, and must be appointed from a valid civil service list;

   (11) To establish procedures for reporting suspected child abuse and neglect pursuant to chapter 11 of title 40;

   (12) To promulgate all rules and regulations necessary for the execution of departmental powers pursuant to the Administrative Procedures Act, chapter 35 of title 42;

   (13) To provide and act as a clearinghouse for information, data and other materials relative to children;

  (14) To initiate and carry out studies and analysis which will aid in solving local, regional and statewide problems concerning children;

   (15) To represent and act on behalf of the state in connection with federal grant programs applicable to programs for children in the functional areas described in this chapter;

   (16) To seek, accept, and otherwise take advantage of all federal aid available to the department, and to assist other agencies of the state, local agencies, and community groups in taking advantage of all federal grants and subventions available for children;

   (17) To review and coordinate those activities of agencies of the state and of any political subdivision of the state which affect the full and fair utilization of community resources for programs for children, and initiate programs that will help assure utilization;

   (18) To administer the pilot juvenile restitution program, including the overseeing and coordinating of all local community based restitution programs, and the establishment of procedures for the processing of payments to children performing community service; and

   (19) To adopt rules and regulations which:

   (i) For the twelve (12) month period beginning on October 1, 1983, and for each subsequent twelve (12) month period, establish specific goals as to the maximum number of children who will remain in foster care for a period in excess of two (2) years; and

   (ii) Are reasonably necessary to implement the child welfare services and foster care programs;

  (20) May establish and conduct seminars for the purpose of educating children regarding sexual abuse;

   (21) To establish fee schedules by regulations for the processing of requests from adoption placement agencies for adoption studies, adoption study updates, and supervision related to interstate and international adoptions. The fee shall equal the actual cost of the service(s) rendered, but in no event shall the fee exceed two thousand dollars ($2,000);

   (22) To be responsible for the education of all children who are placed, assigned, or otherwise accommodated for residence by the department in a state operated or supported community residence licensed by a Rhode Island state agency. In fulfilling this responsibility the department is authorized to enroll and pay for the education of students in the public schools or, when necessary and appropriate, to itself provide education in accordance with the regulations of the board of regents for elementary and secondary education either directly or through contract;

   (23) To develop multidisciplinary service plans, in conjunction with the department of health, at hospitals prior to the discharge of any drug-exposed babies. The plan requires the development of a plan using all health care professionals.

   (24) To be responsible for the delivery of appropriate mental health services to seriously emotionally disturbed children and children with functional developmental disabilities. Appropriate mental health services may include hospitalization, placement in a residential treatment facility, or treatment in a community based setting. The department is charged with the responsibility for developing the public policy and programs related to the needs of seriously emotionally disturbed children and children with functional developmental disabilities.

   In fulfilling its responsibilities the department shall:

   (i) Plan a diversified and comprehensive network of programs and services to meet the needs of seriously emotionally disturbed children and children with functional developmental disabilities;

   (ii) Provide the overall management and supervision of the state program for seriously emotionally disturbed children and children with functional developmental disabilities;

  (iii) Promote the development of programs for preventing and controlling emotional or behavioral disorders in children;

   (iv) Coordinate the efforts of several state departments and agencies to meet the needs of seriously emotionally disturbed children and children with functional developmental disabilities and to work with private agencies serving those children;

   (v) Promote the development of new resources for program implementation in providing services to seriously emotionally disturbed children and children with functional developmental disabilities.

   The department shall adopt rules and regulations, which are reasonably necessary to implement a program of mental health services for seriously emotionally disturbed children.

   Each community, as defined in chapter 7 of title 16, shall contribute to the department, at least in accordance with rules and regulations to be adopted by the department, at least its average per pupil cost for special education for the year in which placement commences, as its share of the cost of educational services furnished to a seriously emotionally disturbed child pursuant to this section in a residential treatment program which includes the delivery of educational services.

   "Seriously emotionally disturbed child" means any person under the age of eighteen (18) years or any person under the age of twenty-one (21) years who began to receive services from the department prior to attaining eighteen (18) years of age and has continuously received those services thereafter who has been diagnosed as having an emotional, behavioral or mental disorder under the current edition of the Diagnostic and Statistical Manual and that disability has been on-going for one year or more or has the potential of being ongoing for one year or more, and the child is in need of multi-agency intervention, and the child is in an out-of-home placement or is at risk of placement because of the disability.

A child with a “functional developmental disability” means any person under the age of eighteen (18) years or any person under the age of twenty-one (21) years who began to receive services from the department prior to attaining eighteen (18) years of age and has continuously received those services thereafter . 

The term “functional developmental disability” includes autism spectrum disorders and means a severe, chronic disability of a person which:

(a)  Is attributable to a mental or physical impairment or combination of mental physical impairments;

(b)  Is manifested before the person attains age eighteen (18);

(c)Is likely to continue indefinitely;

(d) Results in age- appropriate substantial functional limitations in three (3) or more of the following areas of major life activity.

(i) Self-care;

(ii) Receptive and expressive language;

(iii)Learning;

(iv) Mobility;

(v) Self-direction;

(vi) Capacity for Independent Living; and

(vii) Economic self-sufficiency; and

(e)Reflects the person’s need for a combination and sequence of special, interdisciplinary, or generic care, treatment, or other services which are of life-long or extended duration and are individually planned and coordinated. 

(25) To provide access to services to any person under the age of eighteen (18) years or any person under the age of twenty-one (21) years who began to receive child welfare services from the department prior to attaining eighteen (18) years of age, has continuously received those services thereafter and elects to continue to receive such services after attaining the age of eighteen (18) years.

(25)(26)To develop and maintain, in collaboration with other state and private agencies, a comprehensive continuum of care in this state for children in the care and custody of the department or at risk of being in state care. This continuum of care should be family-centered and community-based with the focus of maintaining children safely within their families or, when a child cannot live at home, within as close proximity to home as possible based on the needs of the child and resource availability. The continuum should include community-based prevention, family support and crisis intervention services as well as a full array of foster care and residential services, including residential services designed to meet the needs of children who are seriously emotionally disturbed, children who have a functional developmental disability and youth who have juvenile justice issues. The director shall make reasonable efforts to provide a comprehensive continuum of care for children in the care and custody of the DCYF, taking into account the availability of public and private resources and financial appropriations and the director shall submit an annual report to the general assembly as to the status of his or her efforts in accordance with the provisions of subsection 42-72-4(b)(13).

  (c) In order to assist in the discharge of his or her duties, the director may request from any agency of the state information pertinent to the affairs and problems of children.

(d)  Funding for these clients shall include funds that are transferred to the Department of Human Services as part of the Managed Health Care program transfer. However, the expenditures relating to these clients shall not be part of the Department of Human Services' Caseload estimated for the semi-annual Caseload Estimating Conference. The expenditures shall be accounted for separately.

(e) The assembly has included funding in the FY 2008 Department of Children, Youth and Families budget in the amount of $10.5 million from all sources of funds and $6.0 million from general revenues to provide a managed system to care for children serviced between 18 to 21 years of age. The department shall manage this caseload to this level of funding.

 (27) To administer funds under the John H. Chafee Foster Care Independence and Educational And Training Voucher (ETV) Programs of Title IV-E of the Social Security Act, and the DCYF Higher Education Opportunity Grant Program as outlined in RIGL §42-72.8, in accordance with rules and regulations as promulgated by the director of the department.

 

SECTION 4.  Section 42-72.8 of the General Laws in Title 42 entitled State Affairs and Government is hereby amended to read as follows: 

 

 42-72.8-2.  Administration of program. – (a) Each year the department shall identify and recommend from among youth children in its legal custody, or who were in the Department’s legal custody on their eighteenth (18th) birthday, those students who may be eligible to apply for a Higher Education Opportunity Incentive Grant. The department of elementary and secondary education shall afford all appropriate assistance to the department in the identification of youth children who may be eligible for such grants. Each selected applicant will receive grants to supplement federal, state and institutional scholarships and grants awarded to the applicant in an amount not to exceed the full cost of tuition, fees and room and board charges:

  (b) A grant period shall be limited to two (2) years of full-time study at the Community College of Rhode Island, four (4) years of full-time study at Rhode Island College, and the University of Rhode Island, and in no instance shall the grant period exceed a period of four (4) years. Grant recipients shall be enrolled full-time and shall continue to make satisfactory progress toward an academic certificate or degree;

             (c) The department shall make recommendations for grant awards from among those youth children who:

             (1)  Have not yet reached the age of eighteen (18) on the day of recommendation, are in the legal custody of the department on the day of recommendation and have remained in such custody for at least twenty-four (24) months prior to the day of recommendation; or, for former foster care, have reached the age of eighteen (18) prior to the date of recommendation, have not yet reached the age of twenty-one (21) and were in the custody of the department from their sixteenth (16th) to their eighteenth (18th) birthdays; and

   (2) Have graduated from high school or received the equivalent of a high school diploma not more than one year prior to the date of recommendation; and

   (3) Has not reached his/her twenty-first (21st) birthday. Grant recipients shall continue to be eligible for services from the department including, but not limited to, foster care during college breaks or for commuting students.

 

SECTION 5. This article shall take effect upon passage.




ARTICLE 23 SUBSTITUTE A

 

RELATING TO GENERAL PUBLIC ASSISTANCE – HARDSHIP

 

SECTION 1. Hardship Contingency Fund – FY 2008 – Out of the general revenue sum appropriated to the department of human services in Article 1 for general public assistance, the sum of eight hundred seventy three thousand nine hundred forty dollars ($873,940) may be used as a hardship contingency fund for the purposes and subject to the limitations hereinafter provided.  The state controller is hereby authorized and directed to draw his or her order upon the general treasurer for the payment of such sums or such portions thereof as may be required from time to time upon receipt by him or her of duly authenticated vouchers.  From the aforesaid appropriation for hardship contingency, the director of the department of human services, in his or her sole discretion, may authorize payments of cash assistance benefits up to two hundred dollars ($200) per month upon a showing of hardship by an individual who is eligible for general public assistance medical benefits under §40-6-3.1; provided, however, that individuals who are determined eligible for medical assistance (“Medicaid”) under Title XIX of the Social Security Act, 42 U.S.C. §1396 et seq., or who are determined eligible to receive an interim cash assistance payment for the disabled pursuant to §40-6-28, shall not be eligible for assistance under this section.  The director shall not be required to promulgate any new, additional or separate rules or regulations in connection with his or her disbursement of the contingency fund created hereby.

 

SECTION 2.  This article shall take effect as of July 1, 2007.

 


ARTICLE 24 SUBSTITUTE A

 

Relating To Licensing of Adult Day Programs

 

SECTION 1.  Section 42-66-4 of the General Laws in Chapter 42-66 entitled “Elderly Affairs Department” is hereby amended to read as follows:

 

42-66-4. Duties of the department. – (a) The department shall be the principal agency of the state to mobilize the human, physical, and financial resources available to plan, develop, and implement innovative programs to insure the dignity and independence of elderly persons, including the planning, development, and implementation of a home and long-term care program for the elderly in the communities of the state.

(b) The department shall serve as an advocate for the needs of the adult with a disability as these needs and services overlap the needs and services of elderly persons.

(2) The department shall serve as the state's central agency for the administration and coordination of a long term care entry system, using community-based access points, that will provide the following services related to long term care: information and referral, initial screening for service and benefits eligibility, and a uniform assessment program for state supported long term care.

(3) The department shall investigate reports of elder abuse and neglect and shall provide and/or coordinate protective services.

(c) To accomplish these objectives, the director is authorized:

(1) To provide assistance to communities in solving local problems with regard to elderly persons including, but not limited to, problems in identifying and coordinating local resources to serve the needs of elderly persons;

(2) To facilitate communications and the free flow of information between communities and the offices, agencies and employees of the state;

(3) To encourage and assist communities, agencies, and state departments to plan, develop, and implement home and long-term care programs;

(4) To provide and act as a clearinghouse for information, data, and other materials relative to elderly persons;

(5) To initiate and carry out studies and analyses which will aid in solving local, regional, and statewide problems concerning elderly persons;

(6) To coordinate those programs of other state agencies designed to assist in the solution of local, regional, and statewide problems concerning elderly persons;

(7) To advise and inform the governor on the affairs and problems of elderly persons in the state;

(8) To exercise the powers and discharge the duties assigned to the director in the fields of health care, nutrition, homemaker services, geriatric day care, economic opportunity, local and regional planning, transportation, and education and pre-retirement programs;

(9) To further the cooperation of local, state, federal and private agencies and institutions providing for services or having responsibility for elderly persons;

(10) To represent and act on behalf of the state in connection with federal grant programs applicable to programs for elderly persons in the functional areas described in this chapter;

(11) To seek, accept, and otherwise take advantage of all federal aid available to the department, and to assist other agencies of the state, local agencies, and community groups in taking advantage of all federal grants and subventions available for elderly persons and to accept other sources of funds with the approval of the director of administration which shall be deposited as general revenues;

(12) To render advice and assistance to communities and other groups in the preparation and submission of grant applications to state and federal agencies relative to programs for elderly persons;

(13) To review and coordinate those activities of agencies of the state and of any political subdivision of the state at the request of the subdivision, which affect the full and fair utilization of community resources for programs for elderly persons, and initiate programs that will help assure such utilization;

(14) To encourage the formation of councils on aging and to assist local communities in the development of the councils;

(15) To promote, license, and coordinate day care facilities for the frail elderly who are in need of supportive care and supervision during the daytime;

(16) To provide and coordinate the delivery of in-home services to the elderly, as defined under the rules and regulations proposed by the in-home services commission and adopted by the department of elderly affairs;

(17) To advise and inform the public of the risks of accidental hypothermia;

(18) To establish a clearinghouse for information and education of the elderly citizens of the state;

(19) To establish and operate in collaboration with community and aging service agencies a statewide family-caregiver resource network to provide and coordinate family-caregiver training and support services to include counseling and respite services;

(20) To provide and coordinate the "elderly/disabled transportation" program; and

(21) To supervise the citizens' commission for the safety and care of the elderly created pursuant to the provisions of chapter 1.4 of title 12.

(d) In order to assist in the discharge of the duties of the department, the director may request from any agency of the state information pertinent to the affairs and problems of elderly persons.

 

SECTION 2. Chapter 23-1 of the General Laws entitled “Department of Health” is hereby amended by adding thereto the following section:

 

23-1-52. Adult day care program licensure.  – The director is authorized and directed to establish a program for the licensure of adult day care programs. “Adult day care program” shall mean a comprehensive, nonresidential program designed to address the biological, psychological, and social needs of adults through individual plans of care that incorporate, as needed, a variety of health, social and related support services in a protective setting. The director is further authorized to promulgate regulations as he or she deems necessary to implement these provisions.

 

SECTION 3. This article shall take effect as of 1 January  2008.

 

ARTICLE 25  SUBSTITUTE A AS AMENDED

 

RELATING TO STATE AID

 

SECTION 1.      Sections 45-13-1, 45-13-5.1 and 45-13-12 of the General Laws in Chapter 45-13 entitled “State Aid” are hereby amended to read as follows:

 

45-13-1.  Apportionment of annual appropriation for state aid. – (a) As used in this chapter, the following words and terms have the following meanings:

(1) "Population" means the most recent estimates of population for each city and town as reported by the United States department of commerce, bureau of the census.

(2) "Income" means the most recent estimate of per-capita income for a city, town or county as reported by the United States department of commerce, bureau of the census.

(3) "Tax effort" means the total taxes imposed by a city or town for public purposes or the totals of those taxes for the cities or towns within a county (except employee and employer assessments and contributions to finance retirement and social insurance systems and other special assessments for capital outlay) determined by the United States secretary of commerce for general statistical purposes and adjusted to exclude amounts properly allocated to education expenses.

(4) "Reference year" means the second fiscal year preceding the beginning of the fiscal year in which the distribution of state aid to cities and towns is made provided however that the reference year for distributions made in fiscal year 2007-2008 shall be the third fiscal year preceding the beginning of the fiscal year  2007-2008.

(b) Aid to cities and towns shall be apportioned as follows: For each county, city or town, let R be the tax effort divided by the square of per capita income, i.e., R = (tax effort)/(income x income).

The amount to be allocated to the counties shall be apportioned in the ratio of the value of R for each county divided by the sum of the values of R for all five (5) counties.

The amount to be allocated for all cities and for all towns within a county shall be the allocation for that county apportioned proportionally to the total tax effort of the towns and cities in that county.

The amount to be allocated to any city or town is the amount allocated to all cities or all towns within the county apportioned in the ratio of the value of R for that city (or town) divided by the sum of the values of R for all cities (or all towns) in that county; provided, further, that no city or town shall receive an entitlement in excess of one hundred forty-five percent (145%) of that city or town's population multiplied by the average per capita statewide amount of the annual appropriation for state aid to cities and towns. Any excess entitlement shall be allocated to the remainder of the cities and towns in the respective county in accordance with the provisions of this section.

For fiscal year 2004, notwithstanding the provisions of subsection (a), aid calculations shall be based on a blended rate of ninety percent (90%) of the data from the 1990 census and ten percent (10%) of the data from the 2000 census. In each of the succeeding nine (9) fiscal years, the calculations shall be based on a blended rate that increases the percentage of data utilized from the 2000 census by ten percent (10%) from the previous year and decreases the percentage of the data utilized from the 1990 census by ten percent (10%) from the previous year.

(c) The total amount of aid to be apportioned pursuant to subsection (b) above shall be specified in the annual appropriation act of the state and shall be equal to the following:

(1) For fiscal years ending June 30, 1994 through June 30, 1998, the total amount of aid shall be based upon one percent (1%) of total state tax revenues in the reference year.

(2) For the fiscal year ending June 30, 1999, the total amount of aid shall be based upon one and three-tenths percent (1.3%) of total state tax revenues in the reference year.

(3) For the fiscal year ending June 30, 2000, the total amount of aid shall be based upon one and seven-tenths percent (1.7%) of total state tax revenues in the reference year.

(4) For the fiscal year ending June 30, 2001, the total amount of aid shall be based upon two percent (2.0%) of total state tax revenues in the reference year.

(5) For the fiscal year ending June 30, 2002, the total amount of aid shall be based upon two and four-tenths percent (2.4%) of total state tax revenues in the reference year.

(6) For the fiscal year ending June 30, 2003, the total amount of aid shall be based upon two and four-tenths percent (2.4%) of total state tax revenues in the reference year.

(7) For the fiscal year ending June 30, 2004, the total amount of aid shall be based upon two and seven-tenths percent (2.7%) of total state tax revenues in the reference year.

(8) For the fiscal year ending June 30, 2005, the total amount of aid shall be fifty-two million four hundred thirty-eight thousand five hundred thirty-two dollars ($52,438,532).

(9) For the fiscal year ending June 30, 2006, the total amount of aid shall be based upon three percent (3.0%) of total state tax revenues in the reference year.

(10) For the fiscal year ending June 30, 2007 the total amount of aid shall be sixty-four million six hundred ninety-nine thousand three dollars ($64,699,003).

(11) For the fiscal year ending June 30, 2008, the total amount of aid shall be based upon three and seven-tenths percent (3.7%) of total state tax revenues in the reference year. sixty-four million six hundred ninety-nine thousand three dollars ($64,699,003).

(12) For the fiscal year ending June 30, 2009 and each year thereafter, the total amount of aid shall be based upon four and one-tenths percent (4.1%) three percent (3.0%) of total state tax revenues in the reference year.

(13) For the fiscal year ending June 30, 2010, the total amount of aid shall be based upon four and four-tenths percent (4.4%) of total state tax revenues in the reference year.

(14) For the fiscal year ending June 30, 2011, the total amount of aid shall be based upon four and seven-tenths percent (4.7%) of total state tax revenues in the reference year.

(d) The assent of two-thirds ( 2/3) of the members elected to each house of the general assembly shall be required to repeal or amend this section.

 

45-13-5.1. General assembly appropriations in lieu of property tax from certain exempt private and state properties. – (a) In lieu of the amount of local real property tax on real property owned by any private nonprofit institution of higher education, or any nonprofit hospital facility, or any state owned and operated hospital, veterans' residential facility, or correctional facility occupied by more than 100 residents which may have been or will be exempted from taxation by applicable state law, exclusive of any facility operated by the federal government, the state of Rhode Island, or any of its subdivisions, the general assembly shall annually appropriate for payment to the several cities and towns in which the property lies a sum equal to twenty-seven percent (27%) of all tax that would have been collected had the property been taxable.

(b) As used in this section, "private nonprofit institution of higher education" means any institution engaged primarily in education beyond the high school level, the property of which is exempt from property tax under any of the subdivisions, and "nonprofit hospital facility" means any nonprofit hospital licensed by the state and which is used for the purpose of general medical, surgical, or psychiatric care and treatment.

(c) The grant payable to any municipality under the provision of this section shall be equal to twenty-seven percent (27%) of the property taxes which, except for any exemption to any institution of higher education or general hospital facility, would have been paid with respect to that exempt real property on the assessment list in the municipality for the assessment date of December 31, 1986 and with respect to such exempt real property appearing on an assessment list in the municipality on succeeding assessment dates. Provided however that the grant paid for the fiscal year ending June 30, 2008 shall be based upon the assessment list in the municipality as of December 31, 2004.

(d) The state budget offices shall include the amount of the annual grant in the state budget for the fiscal year commencing July 1, 1988 and each fiscal year thereafter. The amount of the annual grant payable to each municipality in any year in accordance with this section shall be reduced proportionately in the event that the total of the annual grants in any year exceeds the amount appropriated that year for the purposes of this section.

(e) Distribution of appropriations shall be made by the state on or before July 31 of 1988 and each July 31 thereafter, and the payments may be counted as a receivable by any city or town for a fiscal year ending the preceding June 30.

(f) Any act or omission by the state with respect to this chapter shall in no way diminish the duty of any town or municipality to provide public safety or other ordinary services to the properties or facilities of the type listed in subsection (a).

(g) Provided, that payments authorized pursuant to this section shall be reduced pro rata, for that period of time that the municipality suspends or reduces essential services to eligible facilities. For the purposes of this section "essential services" include, but are not to be limited to, police, fire and rescue.

 

45-13-12. Distressed communities relief fund. – (a) There is established a fund to provide state assistance to those Rhode Island cities and towns which have the highest property tax burdens relative to the wealth of taxpayers.

(b) Establishment of indices. Four (4) indices of distress shall be established to determine eligibility for the program. Each community shall be ranked by each distress index and any community which falls into the lowest twenty percent (20%) of at least three (3) of the four (4) indices shall be eligible to receive assistance. The four (4) indices are established as follows:

(1) Percent of tax levy to full value of property. This shall be computed by dividing the tax levy of each municipality by the full value of property for each municipality. For the 1990-91 fiscal year, tax levy and full value shall be as of the assessment date December 31, 1986.

(2) Per capita income. This shall be the most recent estimate reported by the U.S. department of commerce, bureau of the census.

(3) Percent of personal income to full value of property. This shall be computed by multiplying the per capita income above by the most recent population estimate as reported by the U.S. department of commerce, bureau of the census, and dividing the result by the full value of property.

(4) Per capita full value of property. This shall be the full value of property divided by the most recent estimate of population by the U.S. department of commerce, bureau of the census.

(c) Distribution of funds. Funds shall be distributed to each eligible community on the basis of the community's tax levy relative to the total tax levy of all eligible communities. For the fiscal year 1990-91, the reference year for the tax levy shall be the assessment date of December 31, 1988. For each fiscal year thereafter except for fiscal year 2007-2008, the reference year and the fiscal year shall bear the same relationship. For the fiscal year 2007-2008 the reference year shall be the same as for the distributions made in fiscal year 2006-2007.

Any newly qualifying community shall be paid fifty percent (50%) of current law requirements the first year it qualifies. The remaining fifty percent (50%) shall be distributed to the other distressed communities proportionately. When any community falls out of the distressed community program, it shall receive a one-time payment of fifty percent (50%) of the prior year requirement exclusive of any reduction for first year qualification. The community shall be considered a distressed community in the fall-out year.

(d) Appropriation of funds. The state of Rhode Island shall appropriate to eligible communities the sum of five million dollars ($5,000,000) plus the collections from the real estate conveyance tax pursuant to § 44-25-1(c) which have been deposited as general revenues. Provided, however, in fiscal years 2004 and 2005 the State of Rhode Island shall distribute to eligible communities the funds appropriated to the distressed communities relief program in the annual appropriation act, including collections from the video lottery terminal revenue pursuant to § 42-61.2-7(b).  appropriate funds in the annual appropriations act to support this program.

(e) Payments. Payments shall be made to eligible communities each March from amounts collected pursuant to § 44-25-1(c) during the period July 1 to December 31 and in August from collections during the period January 1 to June 30. Provided, however, in fiscal years 2004 and 2005 payments shall be made to eligible communities as follows: fifty percent (50%) in August of each fiscal year and fifty percent (50%) in the following March of each fiscal year. equal to one half of the appropriated amount and each August equal to one half of the appropriated amount.

 

 SECTION 2. Section 29-6-2 of the General Laws in Chapter 29-6 entitled “State Aid to Libraries” is hereby amended to read as follows:

 

29-6-2. Public library services. – (a) For each city or town, the state's share to support local public library services shall be equal to at least twenty-five percent (25%) of both the amount appropriated and expended in the second preceding fiscal year by the city or town from local tax revenues and funds from the public library's private endowment that supplement the municipal appropriation; provided, however, the state in any year shall not be obligated to match any amount from the endowment that exceeds six percent (6%) of the three (3) year average market value, calculated at the end of the calendar year, of the investments in the endowment. The amount of the grant payable to each municipality in any year in accordance with this section shall be reduced proportionately in the event that the total of those grants in any year exceeds the amount appropriated that year for the purposes of this section. Provided further, however, that the reference year for the state’s share of support to be paid in the year ending June 30, 2008 shall be the third preceding year.

(b) Those public libraries that do not qualify for aid pursuant to the provisions of subsection (a) of this section may apply for resource sharing grants, to be used exclusively for the purpose of payment of the cooperating libraries automated network (CLAN) annual assessment charges. Eligible public libraries shall apply directly to the office of library and information services for these resource sharing grants, and the grants shall be awarded to the libraries individually, rather than to the city or town. Eligible libraries must be or become members of the CLAN upon receipt of the grant, serve municipalities that meet minimum standards for Rhode Island public libraries, and meet standards for member libraries of the library of Rhode Island (LORI) network.

(c) Provided, that notwithstanding any other provisions of this chapter to the contrary, the state's share to support local public library services shall also include funding to the Pontiac Free Library in the city of Warwick for said library's participation in the cooperating libraries automated network (CLAN). Such funding shall be provided regardless of whether the city of Warwick appropriates funds from local tax revenues to said library. The amount of said state support shall be equal to the average of the amount appropriated by the city of Warwick to each library in said municipality for participation in the CLAN program, in accordance with the provisions of and formulas set forth in subsection (a) herein. Provided, further, that in the event the city of Warwick appropriates funds from local tax revenues for the Pontiac Free Library, then the amount of the state's share to said library shall be calculated in accordance with the provisions of subsection (a) herein for any year in which such calculation is applicable.

 

SECTION 3.  Section 42-61.2-7 of the General Laws in Chapter 42-61.2 entitled “Video Lottery Terminal” is hereby amended to read as follows:

 

42-61.2-7.  Division of revenue. – (a) Notwithstanding the provisions of § 42-61-15, the allocation of net terminal income derived from video lottery games is as follows:    

(1) For deposit in the general fund and to the state lottery division fund for administrative purposes: Net terminal income not otherwise disbursed in accordance with subdivisions (a)(1) (2)– (a)(6) herein;

(i) Except for the fiscal year ending June 30, 2008, nineteen one hundredths of one percent (0.19%) up to a maximum of twenty million dollars ($20,000,000) shall be equally allocated to the distressed communities as defined in § 45-13-12 provided that no eligible community shall receive more than twenty-five percent (25%) of that community's currently enacted municipal budget as its share under this specific subsection. Distributions made under this specific subsection are supplemental to all other distributions made under any portion of general laws § 45-13-12. For the fiscal year ending June 30, 2008 distributions by community shall be identical to the distributions made in the fiscal year ending June 30, 2007 and shall be made from general appropriations.

 (ii) Five one hundredths of one percent (0.05%) up to a maximum of five million dollars ($5,000,000) shall be appropriated to property tax relief to fully fund the provisions of § 44-33-2.1. The maximum credit defined in subdivision 44-33-9(2) shall increase to the maximum amount to the nearest five dollar ($5.00) increment within the allocation until a maximum credit of five hundred dollars ($500) is obtained. In no event shall the exemption in any fiscal year be less than the prior fiscal year.

 (iii) One and twenty-two one hundredths of one percent (1.22%) to fund § 44-34.1-1, entitled "Motor Vehicle and Trailer Excise Tax Elimination Act of 1998", to the maximum amount to the nearest two hundred fifty dollar ($250) increment within the allocation. In no event shall the exemption in any fiscal year be less than the prior fiscal year.

(iv) Except for the fiscal year ending June 30, 2008, ten one hundredths of one percent (0.10%) to a maximum of ten million dollars ($10,000,000) for supplemental distribution to communities not included in paragraph (a)(1)(i) above distributed proportionately on the basis of general revenue sharing distributed for that fiscal year. For the fiscal year ending June 30, 2008 distributions by community shall be identical to the distributions made in the fiscal year ending June 30, 2007 and shall be made from general appropriations.

(2) To the licensed video lottery retailer:

(a) Prior to the effective date of the NGJA Master Contract, Newport Jai Ali twenty-six percent (26%) minus three hundred eighty four thousand nine hundred ninety-six dollars ($384,996);

(ii) On and after the effective date of the NGJA Master Contract, to the licensed video lottery retailer who is a party to the NGJA Master Contract, all sums due and payable under said Master Contract minus three hundred eighty four thousand nine hundred ninety-six dollars ($384,996).

(b) Prior to the effective date of the UTGR Master Contract, to the present licensed video lottery retailer at Lincoln Park which is not a party to the UTGR Master Contract, twenty-eight and eighty-five one hundredths percent (28.85%) minus seven hundred sixty-seven thousand six hundred eighty-seven dollars ($767,687);

(ii) On and after the effective date of the UTGR Master Contract, to the licensed video lottery retailer who is a party to the UTGR Master Contract, all sums due and payable under said Master Contract minus seven hundred sixty-seven thousand six hundred eighty-seven dollars ($767,687).

(3) To the technology providers who are not a party to the GTECH Master Contract as set forth and referenced in Public Law 2003, Chapter 32, seven percent (7%) of the net terminal income of the provider's terminals;

(ii) To contractors who are a party to the Master Contract as set forth and referenced in Public Law 2003, Chapter 32, all sums due and payable under said Master Contract;

(iii) Notwithstanding paragraphs (i) and (ii) above, there shall be subtracted proportionately from the payments to technology providers the sum of six hundred twenty-eight thousand seven hundred thirty-seven dollars ($628,737);

(4) To the city of Newport one and one hundreth percent (1.01%) of net terminal income of authorized machines at Newport Grand and to the town of Lincoln one and twenty-six hundreths (1.26%) of net terminal income of authorized machines at Lincoln Park; and

(5) To the Narragansett Indian Tribe, seventeen hundredths of one percent (0.17%) of net terminal income of authorized machines at Lincoln Park up to a maximum of ten million dollars ($10,000,000) per year, which shall be paid to the Narragansett Indian Tribe for the account of a Tribal Development Fund to be used for the purpose of encouraging and promoting: home ownership and improvement, elderly housing, adult vocational training; health and social services; childcare; natural resource protection; and economic development consistent with state law. Provided, however, such distribution shall terminate upon the opening of any gaming facility in which the Narragansett Indians are entitled to any payments or other incentives; and provided further, any monies distributed hereunder shall not be used for, or spent on previously contracted debts.

(6) Unclaimed prizes and credits shall remit to the general fund of the state;

(7) Payments into the state's general fund specified in subdivisions (a)(1) and (a)(6) shall be made on an estimated monthly basis. Payment shall be made on the tenth day following the close of the month except for the last month when payment shall be on the last business day.

 

             SECTION 4.  This article shall take effect as of July 1, 2007.

 


ARTICLE 26 SUBSTITUTE A

 

RELATING TO MOTOR AND OTHER VEHICLES

 

SECTION 1. Section 31-41.1-4 of the General Laws in Chapter 31-41.1 entitled "Adjudication of Traffic Offenses" is hereby amended to read as follows:

 

31-41.1-4. Schedule of violations. -- (a) The penalties for violations of the enumerated sections, listed in numerical order, correspond to the fines described. However, those offenses for which punishments which may vary according to the severity of the offense, or punishment which require the violator to perform a service, shall be heard and decided by the traffic tribunal or municipal court. The following violations may be handled administratively through the method prescribed in this chapter. This list is not exclusive and jurisdiction may be conferred on the traffic tribunal with regard to other violations. 

VIOLATIONS SCHEDULE

8-8.2-2               DOT, DEM, or other agency and department                        $75.00

                           violations

24-10-17            Soliciting rides in motor vehicles                                             40.00

24-10-18            Backing up prohibited                                                            75.00

24-10-20            Park and ride lots                                                                  75.00

31-3-12              Visibility of plates                                                                  75.00

31-3-18              Display of plates                                                                    75.00

31-3-32              Driving with expired registration                                             75.00

31-3-34              Failure to notify division of change of address                         75.00

31-3-35              Notice of change of name                                                      75.00

31-3-40              Temporary plates - dealer issued                                           75.00

31-4-3                Temporary registration - twenty (20) day bill of sale               75.00

31-10-10            Rules as to armed forces license                                             75.00

31-10-30            Driving on expired license                                                      75.00

31-10-32            Notice of change of address                                                  75.00

31-10.1-4           No motorcycle helmet (operator)                                           60.00

31-10.1-5           Motorcycle handlebar violation                                              75.00

31-10.1-6           No motorcycle helmet (passenger)                                         75.00

31-10.1-7           Inspection of motorcycle required                                          75.00

31-12-12            Local motor vehicle ordinance                                               75.00

31-13-04            Obedience to devices                                                            75.00

31-13-6(3)(i)      Eluding traffic light                                                                 75.00

31-13-09            Flashing signals                                                                      75.00

31-13-11            Injury to signs or devices                                                       75.00

31-14-1              Reasonable and prudent speed                                              85.00

31-14-03            Condition requiring reduced speed                                         85.00

31-14-09            Below minimum speed                                                           85.00

31-14-12            Speed limit on bridges and structures                                     85.00

31-15-1              Leaving lane of travel                                                             75.00

31-15-2              Slow traffic to right                                                                75.00

31-15-3              Operator left of center                                                           75.00

31-15-4              Overtaking on left                                                                  75.00

31-15-5(a)         Overtaking on right                                                                75.00

31-15-6              Clearance for overtaking                                                        75.00

31-15-7              Places where overtaking prohibited                                        75.00

31-15-8              No passing zone                                                                    75.00

31-15-9              One way highways                                                                75.00

31-15-10            Rotary traffic islands                                                              75.00

31-15-11            Laned roadway violation                                                        75.00

31-15-12            Following too closely                                                             75.00

31-15-12.1         Entering intersection                                                               75.00

31-15-13            Crossing center section of divided highway                             75.00

31-15-14            Entering or leaving limited access roadways                            75.00

31-15-16            Use of emergency break-down lane for travel                        75.00

13-15-17            Crossing bicycle lane                                                             75.00

31-16-1              Care in starting from stop                                                       75.00

31-16-2              Manner of turning at intersection                                            75.00

31-16-4              U turn where prohibited                                                         75.00

31-16-5              Turn signal required                                                               75.00

31-16-6              Time of signaling turn                                                             75.00

31-16-7              Failure to give stop signal                                                       75.00

31-16-8              Method of giving signals                                                         75.00

31-16.1-3           Diesel vehicle idling rules                    first offense not to exceed 100.00                     

                                                                                       second and subsequent offense not

                                                                                                          to exceed 500.00

31-17-1              Failure to yield right of way                                                    75.00

31-17-2              Vehicle turning left                                                                 75.00

31-17-3              Yield right of way (intersection)                                              75.00

31-17-4              Obedience to stop signs                                                         75.00

31-17-5              Entering from private road or driveway                                  75.00

31-17-8              Vehicle within right of way, rotary                                          75.00

31-17-9              Yielding to bicycles on bicycle lane                                        75.00

31-18-3              Right of way in crosswalks                                                     75.00

31-18-5              Crossing other than at crosswalks                                          75.00

31-18-8              Due care by drivers                                                               75.00

31-18-12            Hitchhiking                                                                            75.00

31-18-18            Right of way on sidewalks                                                     75.00

31-19-3              Traffic laws applied to bicycles                                              75.00

31-19-20            Sale of new bicycles                                                              75.00

31-19-21            Sale of used bicycles                                                             75.00

31-19.1-2           Operating motorized bicycle on an interstate                           75.00

                           highway

31-19.2-2           Operating motorized tricycle on an interstate                          75.00

                           highway

31-20-1              Failure to stop at railroad crossing                                          75.00

31-20-2              Driving through railroad gate                                                  75.00

31-20-9              Obedience to stop sign                                                          75.00

31-21-4              Places where parking or stopping prohibited                          75.00

31-21-14            Opening of vehicle doors                                                       45.00

31-22-2              Improper backing up                                                             75.00

31-22-4              Overloading vehicle                                                               75.00

31-22-5              Violation of safety zone                                                          75.00

31-22-6              Coasting                                                                                75.00

31-22-7              Following fire apparatus                                                         75.00

31-22-8              Crossing fire hose                                                                  75.00

31-22-9              Throwing debris on highway - snow removal                          75.00

31-22-11.5         Improper use of school bus –                                                 not to exceed

                                                                                                                        five hundred

                                                                                                                       dollars ($500)

                                                                                                                       for each day of                                           improper use

31-22-22(a)       No child restraint                                                                   75.00

31-22-22(a)       Child restraint/seat belt but not in any rear                              75.00

                           seating position

31-22-22(b), (f) No seat belt - passenger                                                        75.00

31-22-22(g)       No seat belt - operator                                                          75.00

31-22-23            Tow trucks - proper identification                                          275.00

31-22-24            Operation of interior lights                                                      75.00

31-23-1(d)(2)     U.S. department of transportation motor carrier

                           safety rules and regulations                                                     125.00

31-23-4              Brake equipment required                                                      75.00

31-23-8              Horn required                                                                        75.00

31-23-10            Sirens prohibited                                                                   75.00

31-23-13            Muffler required                                                                    75.00

31-23-13.1         Altering height or operating a motor vehicle

                           with an altered height                                                             75.00

31-23-14            Prevention of excessive fumes or smoke                                 75.00

31-23-16            Windshield and window stickers (visibility)                             75.00

31-23-17            Windshield wipers                                                                 75.00

31-23-19            Metal tires prohibited                                                             75.00

31-23-20            Protuberances on tires                                                           75.00

31-23-26            Fenders and wheel flaps required                                           75.00

31-23-27            Rear wheel flaps on buses, trucks and trailers                         75.00

31-23-29            Flares or red flag required over four thousand

                           pounds (4,000 lbs.)                                                               75.00

31-23-40            Approved types of seat belt requirements                               75.00

31-23-42.1         Special mirror - school bus                                                    75.00

31-23-43            Chocks required (1 pair) - over four thousand

                           pounds (4,000 lbs.)                                                               75.00

31-23-45            Tire treads - defective tires                                                    75.00

31-23-47            Slow moving emblem required                                               75.00

31-23-49            Transportation of gasoline - passenger vehicle                        75.00

31-23-51            Operating bike or motor vehicle wearing

                           ear phones (first offense)                                                        60.00

31-24-1              Times when lights required                                                     75.00

through

31-24-53            Safety lights required on food vending vehicles                       75.00

31-24-5              Headlamp required on motorcycle                                         75.00

31-24-31            Flashing lights - permit required                                              75.00

31-24-34            Failure to dim lights                                                                75.00

31-24-45            Red flag required, load projecting four feet                             75.00

                           (4') rear

31-25-03            Maximum width of one hundred and two

                           inches (102") exceeded                                                         75.00

31-25-04            Maximum height of one hundred

                           sixty-two inches (162") exceeded                                          75.00

31-25-06            Maximum number and length of coupled vehicles                    500.00

31-25-07            Load extending three feet (3') front, six feet                            75.00

                           (6') rear exceeded

31-25-9              Leaking load                                                                         75.00

31-25-11            Connections between coupled vehicles                                   75.00

31-25-12            Towing chain, twelve inch (12") square flag                            75.00

                           required

31-25-12.1         Tow truck - use of lanes (first offense)                                   50.00

31-25-14(d)(1)   Maximum weight and tandem axles                                        125.00 

31-25-14(d)(2)   Maximum weight and tandem axles                                        125.00 

31-25-14(d)(3)   Maximum weight and tandem axles                                        125.00

31-25-16(c)(1)   Maximum weight shown in registration                                   65.00

                                                                                                                       per thousand

                                                                                                                       lbs.overweight                                                                                                                                                                    or portion

                                                                                                                       thereof.

31-25-16(c)(2)   Maximum weight shown in registration                                   125.00

                                                                                                                       per thousand                                                                                                                                                                       lbs. overweight                                                                                                                                                                   or portion

                                                                                                                       thereof. 

31-25-16(c)(3) Maximum weight shown in registration                                     1,025.00

                                                                                                                       plus $125.00

                                                                                                                       per thousand                                                                                                                                                                       lbs. overweight                                                                                                                                                                   or portion

                                                                                                                       thereof.

31-25-17            Identification of trucks and truck-tractors                               50.00

                           (first offense)

31-25-24            Carrying and inspection of excess load limit                            175.00

31-27-2.3           Refusal to take preliminary breath test                                    75.00

31-28-7(d)         Wrongful use of handicapped parking placard                        500.00

31-28-7(f)          Handicapped parking space violation:

                           First offense                                                                          100.00

                           Second offense                                                                      175.00

                           Third offense and subsequent offenses                                    325.00

31-28-7.1(e)      Wrongful use of institutional handicapped

                           parking placard                                                                     125.00

31-33-2              Failure to file accident report                                                  45.00

31-36.1-17         No fuel tax stamp (out-of-state)                                             75.00

31-38-3              No inspection sticker                                                             75.00

31-38-4              Violation of inspection laws                                                    75.00

31-47.2-06         Heavy-duty vehicle emission inspections:

                           First offense                                                                          125.00

                           Second offense                                                                      525.00

                           Third and subsequent offenses                                               1,025.00

37-15-7              Littering                                                                                 55.00

39-12-26            Public carriers violation                                                          75.00  300.00

SPEEDING                                                             Fine

(A) One to ten miles per hour (1-10 mph) in excess of

posted speed limit                                                                                            $ 85.00

(B) Eleven miles per hour (11 mph) in excess of posted

speed limit with a fine of ten dollars ($10.00) per mile in excess                         195.00

of speed limit shall be assessed. minimum

 (b) In addition to any other penalties provided by law, a judge may impose the following penalties for speeding:

(1) For speeds up to and including ten miles per hour (10 mph) over the posted speed limit on public highways, a fine as provided for in subsection (a) of this section for the first offense, ten dollars ($10.00) per mile for each mile in excess of the speed limit for the second offense if within twelve (12) months of the first offense, and fifteen dollars ($15.00) per mile for each mile in excess of the speed limit for the third and any subsequent offense if within twelve (12) months of the first offense. In addition, the license may be suspended up to thirty (30) days. 

(2) For speeds in excess of ten miles per hour (10 mph) over the posted speed limit on public highways, a mandatory fine of ten dollars ($10.00) for each mile over the speed limit for the first offense, fifteen dollars ($15.00) per mile for each mile in excess of the speed limit for the second offense if within twelve (12) months of the first offense, and twenty dollars ($20.00) per mile for each mile in excess of the speed limit for the third and subsequent offense if within twelve (12) months of the first offense. In addition, the license may be suspended up to sixty (60) days.

(c) Any person charged with a violation who pays the fine administratively pursuant to chapter 8.2 of title 8 shall not be subject to any additional costs or assessments, including, but not limited to, the hearing fee established in section 8-18-4 or assessment for substance abuse prevention.

 

SECTION 2. Sections 39-12-6, 39-12-20 and 39-12-26 of the General Laws in Chapter 39-12 entitled "Motor Carriers of Property" are hereby amended to read as follows:

 

39-12-6. Requirement of certificate of public convenience and necessity for common carriers -- Application. -- Except as otherwise provided in this chapter, no person shall engage in the business of transporting property for compensation in intrastate commerce over the publicly used highways as a common carrier, unless there shall be in force with respect to the carrier a certificate of public convenience and necessity issued by the administrator authorizing the operations. Every person proposing to operate as a common carrier shall file with the administrator, in the form to be provided by him or her, an application for a certificate, accompanied by a fee of one hundred dollars ($100) two hundred and fifty dollars ($250). All revenues received under this section shall be deposited as general revenues. Each application for a certificate shall be made in writing, shall be verified by oath or written declaration that it is made under penalties of perjury and shall contain such information as the administrator may require. The administrator shall, within a reasonable time, fix the time and place of hearing on every application. Notice of the hearing shall be given by publication or by written notice mailed by the administrator at least ten (10) days before the date fixed thereof to all common carriers, including railroad companies, if any, serving any part of the route or territory proposed to be served by the applicant, to each person filing with the administrator a written request for the notice, and to any other person who may, in the opinion of the administrator, be interested in or affected by the issuance of the certificate. The copy of the notice, including a list of the applications to be heard, shall be publicly posted in the office of the administrator. Any person having an interest in the matter shall have the right, in accordance with rules prescribed therefor by the administrator, to make representations and to introduce evidence in favor of or in opposition to the issuance of the certificate.

 

39-12-20. Transfer of certificates or permits -- Joint control of common carriers. -- Any common carrier certificate or any contract carrier permit may be assigned and transferred, in whole or in part, by the holder thereof, his or her assignee, receiver, trustee, or by the holder's personal representative, or by the surviving partner or partners of the deceased partner to which the rights and privileges under the certificate or permit shall pass at the death of the holder, upon his or her application to the administrator. The transfer and assignment must receive the consent and approval of the administrator, after public notice, in the manner provided in sections 39-12-6 and 39-12-9, and a public hearing, at which the proposed transferee shall have established to the satisfaction of the administrator his or her willingness, fitness, and ability to perform or furnish transportation for compensation under the certificate or permit. No certificate or permit may be transferred in part, unless the rights are clearly severable; and no certificate or permit shall be transferred, in whole or in part, except in connection with the bona fide sale to the transferee of the business of the transferor. The application shall be accompanied by a fee of one hundred dollars ($100) two hundred and fifty dollars ($250). All revenues received under this section shall be deposited as general revenues. It shall be unlawful for any person to accomplish or effectuate or to participate in accomplishing or effectuating the control or management in a common interest of any two (2) or more common carriers, however such a result is attained, whether directly or indirectly, by use of common directors, officers, or stockholders, or in any manner whatsoever. As used in this section, the words "control and management" shall be construed to include the power to exercise control and management. The holder of either a common carrier certificate or a contract carrier permit shall not acquire the operating rights held by another person through a transfer proceeding unless, both operating rights are merged simultaneously and not until the application to transfer is approved by the administrator.

 

39-12-26. Registration and identification of vehicles. -- Every interstate motor carrier engaged in the transportation of property for compensation over the highways of this state, subject to the provisions of this chapter, shall apply to the administrator for the issuance of a vehicle identification device for the registration and identification of vehicles. The application shall be accompanied by a filing fee in the amount of eight dollars ($8.00) for each identification device for which an application is made. All intrastate carriers shall be assessed twenty dollars ($20.00) for each identification device for which an application is made. register and identify all vehicles to be operated in the state in accordance with the provisions contained in and mandated under the federal "Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users" (SAFETEA-LU) (Public Law 109-59, enacted August 10, 2005), the Unified Carrier Registration Act of 2005 (Included within SAFETEA-LU), and the United Carrier Registration Agreement (UCRA) (Sections 4302 through 4308 of SAFETEA-LU), and/or any related successor federal law(s). All intrastate carriers not subject to the provisions of the foregoing federal law, shall apply to the administrator for the issuance of a vehicle identification device for the registration and identification of vehicles and shall be assessed twenty dollars ($20.00) for each identification device for which an application is made. All revenues received shall be deposited as general revenues. The identification device shall be furnished annually to every carrier whose duty it shall be to apply for it. It shall be unlawful for any motor vehicle to be engaged in transporting property for compensation in either intrastate or interstate commerce without the owner of it having applied for and received the required identification device, unless the vehicle is exempted from the provisions of this chapter. Each identification device shall be accompanied by a registration card issued by the administrator which shall be in the possession of the vehicle's driver, when the vehicle is operating. Transfers of the identification device from one vehicle to another are hereby prohibited unless authorized by the administrator. The administrator, in his or her discretion, may refuse to reissue the identification device to the holder of any certificate, permit, or permit of registration, pending any complaint or hearing upon the question of revocation or suspension or in which such question is involved. The administrator shall prescribe reasonable rules and regulations governing the registration and identification of motor vehicles authorized for operation under this chapter. Violations of this section are subject to fines enumerated in section 31-41.1-4.

 

SECTION 3. Section 39-13-4 of the General Laws in Chapter 39-13 entitled "Motor Passenger Carriers" is hereby amended to read as follows:

 

39-13-4. Application for certificate -- Fee -- Domicile of applicant. -- A certificate shall be issued only after written application for a certificate, accompanied by a fee of one hundred dollars ($100) two hundred and fifty dollars ($250), has been made by the owner of the jitney; provided, however, that this fee shall not apply to any city or town, or any agency or department of any city or town of the state, or any nonprofit jitney service utilized for the transportation of senior citizens. All revenues received under this section shall be deposited as general revenues. No certificate shall be issued to any person who is not a citizen resident within this state, nor to any association, unless all members of the association are citizens resident within this state, nor to any corporation, unless either all stockholders thereof are citizens resident within this state or the corporation has been created by a special act of the general assembly, upon petition for the same, the pendency of which petition shall be notified in such manner as the general assembly may by general law or special act prescribe.

 

SECTION 4. Sections 39-13-3 and 39-14-25 of the General Laws in Chapter 39-13 entitled "Motor Passenger Carriers" is hereby amended to read as follows:

 

39-13-3. Certificate requirement for jitney operation. -- No person, association, or corporation shall operate a jitney until the owner thereof shall have obtained a certificate from the division specifying the route over which the jitney may operate, the number of passengers which it may carry at any one time, the service to be furnished, and that public convenience and necessity require operation over the route. Certificates issued under this chapter shall be renewed before the close of business on December 31 of each calendar year. The renewal fee shall be one hundred dollars ($100) two hundred and fifty dollars ($250) and shall be submitted with the renewal form. All revenues received under this section shall be deposited as general revenues; provided, however, that this fee shall not apply to any city or town, or any agency or department of any city or town of the state, or any nonprofit jitney service utilized for the transportation of senior citizens.

 

39-14-25. Transfer of certificate. -- No certificate shall be sold or transferred until the administrator, upon written application setting forth the purposes, terms, and conditions of the sale or transfer, shall, after a hearing, approve the application. The application shall be accompanied by a fee of one hundred dollars ($100) two hundred and fifty dollars ($250). All revenues received under this section shall be deposited as general revenues. A proposed transfer of a certificate shall be approved only if the administrator finds the transferee to be fit, willing, and able, financially and otherwise, to render the service described and authorized in the certificate; further, the administrator shall only reissue and transfer a certificate upon evidence that the transferor of the certificate has, during the six (6) month period immediately prior to receipt of the transfer application, or during the six (6) month period immediately preceding the filing of a petition for bankruptcy, whether voluntary or involuntary, or the institution of a petition for receivership, wherein the certificates are assets of the bankruptcy or receivership, been rendering the service authorized by the certificate.

 

SECTION 5. This article shall take effect upon passage.

 

 


ARTICLE 27 SUBSTITUTE A

 

RELATING TO SALES TAX EXEMPTION

 

WHEREAS, Rhode Island General Laws 42-64-20 authorizes the Rhode Island Economic Development Corporation to engage in projects which are sales tax exempt subject to approval of the General assembly; and

WHEREAS, Rhode Island General Laws 42-64-20.1 establishes the procedure whereby the Rhode Island Economic Development Corporation adopts and submits a request for approval by the General Assembly that includes:

(1) A full description of the project to which the tax exemption is related;

(2) The corporation's findings required by section 42-64-10(a)(1); and

(3) The corporation's analysis of impact required by section 42-64-10(a)(2); and

WHEREAS, The General Assembly, through its finance committees, thoroughly reviews the request for approval submitted by the Economic Development Corporation in order to ensure that the HTP, MED. Inc. project complies with all conditions established by the corporation; and

WHEREAS, The corporation has estimated the number of new full time jobs to be 109, the amount of personal income tax revenue received to be $339,000 over three years, and the estimated loss of sales tax revenue to be $276,500 in FY 2008; and

WHEREAS, The General Assembly must assure that the project is in the best interests of the citizens of Rhode Island prior to approval;

Now, therefore, be it

RESOLVED, Project status is hereby approved for HTP, MED. Inc. subject to the following additional requirements:

The total sales tax exemption benefit identified in the project status request, $276,500, will be implemented through a reimbursement process rather than up-front purchase  exemption;

The sales tax benefits granted pursuant to RIGL 42-64-20(c) shall only apply to materials used in the construction, reconstruction or rehabilitation of the project and to the acquisition of furniture, fixtures and equipment, except automobiles, trucks or other motor vehicles for the project for a period not to exceed six (6) months after receipt of a certificate of occupancy for any given phase of the project for which sales tax benefits are utilized.

The corporation shall send the analysis required by RIGL 42-64-10(a)(2) to the house and senate fiscal committee chairs, the house and senate fiscal advisors, the department of  labor and training and the division of taxation promptly upon completion. Annually thereafter, the department of labor and training shall certify to the house and senate fiscal committee chairs, the house and senate fiscal advisors, the corporation and the division of taxation that the actual number of new full-time jobs with benefits created by the project, not including construction jobs, is on target to meet or exceed the estimated number of new jobs identified in the analysis above, which in the case of HTP, MED. Inc. is 109 jobs. This certification shall no longer be required when the total amount of new income tax revenue received by the state exceeds the amount of the sales tax exemption benefit granted above. For purposes of this section, "full-time jobs with benefits" means jobs that require working a minimum of thirty (30) hours per week within the state, with a medium wage that exceeds by 5.0% the median annual wage for full-time jobs in Rhode Island or within the lessee's industry, with a benefit package that is typical of companies within the lessee's industry.

The department of labor and training shall certify to the house and senate fiscal committee chairs, the house and senate fiscal advisors, and the division of taxation that jobs created by the project are "new jobs" in the state of Rhode Island, meaning that the employees of the project are in addition to, and without a reduction of, those employees of the lessee currently employed in Rhode Island, are not relocated from another facility of the lessee's in Rhode Island or are employees assumed by the lessee as the result of a merger or acquisition of a company already located in Rhode Island. Additionally, the corporation, with the assistance of the lessee, the department of labor and training, the department of human services and the division of taxation shall provide annually an analysis of whether any of the employees of the project qualify for RIte Care or RIte Share benefits and the impact such benefits or assistance may have on the state budget.

Notwithstanding any other provision of law, the division of taxation, the department of labor and training and the department of human services are authorized to present, review and discuss lessee specific tax or employment information or data with the corporation, the house and senate fiscal committee chairs, and/or the house and senate fiscal advisors for the purpose of verification and compliance with this resolution; and

The corporation and the project lessee shall agree that, if at any time prior to pay back of the amount of the sales tax exemption through new income tax collections, not including construction job income taxes, the lessee will be unable to continue the project, or otherwise defaults on its obligations to the corporation, the lessee shall be liable to the state for all the sales tax benefits granted to the project plus interest, as determined in RIGL 44-1-7, calculated from the date the lessee received the sales tax benefits.

 

ARTICLE 28 SUBSTITUTE A AS AMENDED

 

RELATING TO EXCESS INSURER PROFITS AND ADMINISTRATIVE COSTS

 

SECTION 1.  Section 27-19-2 of the General Laws in Chapter 27-19 entitled “Nonprofit Hospital Service Corporations” is hereby amended to read as follows:

 

27-19-2.  Organization as charitable corporation – Insurance laws inapplicable. – Each nonprofit hospital service corporation shall be incorporated as a charitable corporation under the provisions of chapter 6 of title 7, and shall be subject to that chapter and to this chapter. The laws of this state relative to insurance companies or to the business insurance shall not apply to any nonprofit hospital service corporation unless expressly provided in those laws. Each nonprofit hospital service corporation shall be deemed to be an insurer, for the purposes of compliance with chapter 44-17.

 

SECTION 2. Section 27-20-2 of the General Laws in Chapter 27-20 entitled “Nonprofit Medical Service Corporations” is hereby amended to read as follows:

 

27-20-2. Organization as charitable corporation – Insurance laws inapplicable. – Each nonprofit medical service corporation shall be incorporated as a charitable corporation under the provisions of chapter 6 of title 7, and shall be subject to that chapter and to this chapter. The laws of this state relative to insurance companies or to the business of insurance, and acts in amendment or in addition to those laws, shall not apply to any nonprofit medical service corporation unless expressly provided in those laws. Each nonprofit medical service corporation shall be deemed to be an insurer, for the purposes of compliance with chapter 44-17.

 

SECTION 3. Section 27-41-22 of the General Laws in Chapter 27-41 entitled “Health Maintenance Organizations” is hereby amended to read as follows:

 

27-41-22. Statutory construction and relationship to other laws. – (a) Except as otherwise provided in this chapter, provisions of the insurance law and provisions of chapters 19, 20, 20.1, and 20.2 of this title shall not be applicable to any health maintenance organization granted a license under this chapter. This provision shall not apply to an insurer or hospital or medical service corporation licensed and regulated pursuant to the insurance laws or the hospital or medical service corporation laws of this state except with respect to its health maintenance organization activities authorized and regulated pursuant to this chapter.

(b) Solicitation of enrollees by a health maintenance organization granted a license, or its representatives, shall not be construed to violate any provision of law relating to solicitation or advertising by health professionals.

(c) Any health maintenance organization authorized under this chapter shall not be deemed to be practicing a profession, and may employ, or contract with, any licensed health professional to deliver professional services.

(d) No section of chapter 15 of title 23, the Health Care Certificate of Need Act, shall be abridged by this chapter.

(e) All information relating to a subscriber's health care history, diagnosis, condition, treatment, or evaluation shall be considered confidential health care information and shall not be released or transferred except under the safeguards established by chapter 37.3 of title 5, the Confidentiality of Health Care Information Act.

(f) The provisions of chapter 19.1 of this title, relating to extended medical benefits, shall be construed to apply to enrollees of health maintenance organizations.

(g) Any health maintenance organization authorized under this chapter shall be deemed to be an insurer, for the purposes of compliance with chapter 44-17.

 

SECTION 4.  Section 44-17-1 of the General Laws in Chapter 47-17 entitled “Taxation of Insurance Companies” is hereby amended to read as follows:

 

44-17-1.  Companies required to file – Payment of tax – Retaliatory rates. – (a) Every domestic, foreign, or alien insurance company, mutual association, organization, or other insurer, including any health maintenance organization, as defined in  § 27-41-1 and any  nonprofit hospital or medical service corporation, as defined in chapters 27-19 and 27-20, except companies mentioned in section 44-17-6  and organizations defined in section 27-25-1, transacting business in this state, shall, on or before March 1 in each year, file with the tax administrator, in the form that he or she may prescribe, a return under oath or affirmation signed by a duly authorized officer or agent of the company, containing information that may be deemed necessary for the determination of the tax imposed by this chapter, and shall at the same time pay an annual tax to the tax administrator of two percent (2%) of the gross premiums on contracts of insurance, except:

(1) Entities subject to chapters 27-19 and 27-20, shall pay the following: one and one-tenth percent (1.1%) of the gross premiums on contracts of insurance, excluding any business related to the administration of programs under Title XIX of the Social Security Act, 42 U.S.C.; provided, further, notwithstanding any provision of the law to the contrary, installment payments shall equal at least ninety percent (90%) of estimated liability in the first year; or

 (2) health maintenance organizations as defined in § 27-41-1, shall pay the following: one and one-tenth percent (1.1%) of the gross premiums on contracts of insurance, excluding any business related to the administration of programs under Title XIX of the Social Security Act, 42 U.S.C.; provided, further, notwithstanding any provision of the law to the contrary, installment payments shall equal at least ninety percent (90%) of estimated liability in the first year; or

(3) ocean marine insurance, as referred to in § 44-17-6, covering property and risks within the state, written during the calendar year ending December 31st next preceding, but in the case of foreign or alien companies, except as provided in § 27-2-17(d) the tax is not less in amount than is imposed by the laws of the state or country under which the companies are organized upon like companies incorporated in this state or upon its agents, if doing business to the same extent in the state or country.

 

SECTION 5.  Section 44-17-2 of the General Laws in Chapter 44-17 entitled “Taxation of Insurance Companies” is hereby amended to read as follows:

 

44-17-2. Amounts included as gross premiums. – Except where such a charge would be inconsistent with federal law, Gross gross premiums include all premiums and premium deposits and assessments on all policies, certificates, and renewals, written during the year, covering property and risks within the state, policies subsequently cancelled, and reinsurance assumed, whether the premiums and premium deposits and assessments are in the form of money, notes, credits, or other substitute for money, after deducting from the gross premiums the amount of return premiums on the contracts covering property and risks within this state and the amount of premiums for reinsurance assumed, of the property and risks. Mutual companies and companies which transact business on the mutual plan are also allowed to deduct from their premiums and premium deposits and assessments, the so-called dividends or unused or unabsorbed portion of the premiums and premium deposits and assessments applied in part payment of the premiums and premium deposits and assessments or returned to policyholders in cash or credited to policy holders during the year for which the tax is computed. Every domestic company, mutual association, organization, or other insurer, shall include for taxation in like manner and with like deductions premiums and premium deposits and assessments written, procured, or received in this state on business covering property or risks in any other state on which the company has not paid and is not liable to pay a tax to the other state.

 

SECTION  6.  This article shall take effect on January 1, 2008.

 

 


ARTICLE 29 SUBSTITUTE A

 

RELATING TO MOTOR AND OTHER VEHICLES

 

SECTION 1. Section 31-5-19 of the General Laws in Chapter 31-5 entitled "Dealers', Manufacturers', and Rental Licenses" is hereby amended to read as follows:

 

31-5-19. Sunday business prohibited Sunday business permitted. -- (a) No dealer shall have open for the conduct of business any display room or outdoor display lot where motor vehicles are exhibited on the first day of the week, commonly called Sunday.

(a) Motor vehicle dealers shall be permitted to have open for the conduct of business any display room or outdoor display lot where motor vehicles are exhibited on the first day of the week, commonly called Sunday, between the hours of 12:00 p.m. and 6:00 p.m.

 (b) "Business" as used in this section means the sale of or the attempt to sell motor vehicles. The storage alone of motor vehicles in open lots shall not be held to be displaying for sale purposes, or the use of dealer plates for transporting motor vehicles from one point to another shall not be considered to be for display or sale purposes.

 (c) Any person or persons, partnership, firm, or corporation violating any of the provisions of this section shall be guilty of a misdemeanor.

 

SECTION 2. This article shall take effect upon passage.

 

 


ARTICLE 30 SUBSTITUTE A

 

RELATING TO BAYS, RIVERS, AND WATERSHED COORDINATION TEAM

 

SECTION 1.  Title 46 of the General Laws entitled "Waters and Navigation” is hereby amended by adding thereto the following chapter:

 

CHAPTER 12.11

UNIFORM SEPTAGE DISPOSAL FEE

 

46-12.11-1. Legislative findings. – The general assembly hereby finds and declares as follows:

(1) The bays, rivers, and associated watersheds of Rhode Island are unique and unparalleled natural resources that provide significant cultural, ecological, and economic benefit to the state, and it is in the best interest of the state and its citizens to preserve, protect, and restore our bays, rivers, and associated watersheds.

(2) The formation of the Rhode Island Bays, Rivers, and Watersheds Coordination Team, pursuant to chapter 46-31 of the general laws, provides for the coordination of the functions, programs, and regulations that affect the bays, rivers, and watersheds and serves as the most effective way to transcend the limited responsibilities and jurisdictions of each agency, to address complex issues using an ecosystem-based approach, and to provide for continuity over time.

(3) Discharges of wastewater from wastewater treatment facilities, despite the fact that these discharges are carefully regulated and monitored, are known sources of pollution that affect the water quality of the bays, rivers, and associated watersheds of Rhode Island.

(4) Wastewater treatment facilities collect wastewater both from users of sewer systems, who pay fees for the utilization of the systems, and from septage transporters, who collect septage from users of onsite sewage disposal systems.

(5) All persons or entities generating pollutants that affect Rhode Island’s bays, rivers and watersheds, including those who utilize onsite sewage disposal systems, should be required to contribute to the costs of providing effective pollution control, mitigating environmental degradation of ecosystems, restoring impaired ecosystems, and monitoring the environment to characterize the impacts of the pollutant loadings, including changes that may occur as the level of treatment is improved.

46-12.11-2. Definitions – As used in this chapter, unless the context shall clearly indicate otherwise:

(1) “Director” shall mean the director of the department of environmental management.

(2) “Disposal facility” shall mean any wastewater treatment facility, or portion thereof , or any other facility that receives septage from septage transporters, pursuant to authorization by the department of environmental management.

(3) “Disposal facility operator” shall mean the person responsible for operating the disposal facility, who has authority to charge fees for the receipt of septage.

(4) “Person” shall mean an individual, trust, firm, joint stock company, corporation (including a government corporation), partnership, association, the Federal government, or any agency or subdivision thereof, a state, municipality, commission, political subdivision of a state, or any interstate body.

(5) “Septage” shall mean any solid, liquid or semi-solid removed from a septic tank, cesspool, privy, domestic or other wastewater holding tank, or similar onsite sewage disposal system.

(6) “Septage transporter” shall mean any person lawfully authorized to transport septage.

46-12.11-3. Uniform septage disposal fee created. – There is hereby created and established a uniform septage disposal fee.

46-12.11-4. Assessment, collection, and deposit of fee. -- (a) Effective July 1, 2007, a uniform septage disposal fee in the amount of one dollar ($1.00) per every hundred gallons of septage, as defined by the director pursuant to subsection (d) of this section, shall be imposed on the disposal of septage at all disposal facilities in the state.

(b) The fee shall be assessed by the disposal facility operator based on the volume of septage delivered by the septage transporter.  The septage transporter shall be liable for the fee until it has been paid to the state, except that payment to the applicable disposal facility is sufficient to relieve the septage transporter from further liability for the fee.

(c) The fees collected by the disposal facility operator shall be remitted four times per year to the state on a schedule prescribed by the director in regulation.  All fees collected pursuant to this chapter shall be deposited in the Bays, Rivers & Watersheds Fund, established pursuant to section 46-31-12.1 of the general laws, and shall be dispersed according to the purposes of that fund.

(d) The director may adopt all necessary rules and regulations necessary for the administration and enforcement of this chapter, including but not limited to, defining the types of septage, e.g., residential, commercial, and industrial that are subject to the fee.

 

SECTION 2. Chapter 46-31 of the General Laws entitled "The Rhode Island Bays, Rivers, and Watersheds Coordination Team” is hereby amended by adding thereto the following section:

 

46-31-12.1. Bays, Rivers and Watersheds Fund -- (a) There is hereby established a restricted receipt account within the Department of Environmental Management to be called the Bays, Rivers and Watersheds Fund;

(b) The fund shall consist of any funds which the state may from time to time appropriate, as well as money received as gifts, grants, bequests, donations or other funds from any public or private sources, as well as all fees collected pursuant to section 46-23-1(f)(2) for the leasing of submerged lands for transatlantic cables, and all fees collected pursuant to chapter 46-12.11 for the disposal of septage;

(c) All funds, monies, and fees collected pursuant to this section shall be deposited in the Bays, Rivers and Watersheds Fund, and shall be disbursed by the Rhode Island Bays, Rivers, and Watersheds Coordination Team consistent with the purposes and duties of the team as set forth in chapter 46-31.  All expenditures from the fund shall be subject to appropriation by the general assembly.  

 

SECTION 3. Section 46-23-1 of the General Laws in Chapter 46-23 entitled "Coastal Resources Management Council” is hereby amended to read as follows:

 

46-23-1 Legislative findings. – (a)(1) Under Article 1, § 17 of the Rhode Island Constitution, the people shall continue to enjoy and freely exercise all the rights of fishery, and the privileges of the shore, to which they have been heretofore entitled under the charter and usages of this state, including but not limited to fishing from the shore, the gathering of seaweed, leaving the shore to swim in the sea and passage along the shore; and they shall be secure in their rights to use and enjoyment of the natural resources of the state with due regard for the preservation of their values; and it is the duty of the general assembly to provide for the conservation of the air, land, water, plant, animal, mineral and other natural resources of the state, and to adopt all means necessary and proper by law to protect the natural environment of the people of the state by providing adequate resource planning for the control and regulation of the use of the natural resources of the state and for the preservation, regeneration, and restoration of the natural environment of the state.

(2) The general assembly recognizes and declares that the coastal resources of Rhode Island, a rich variety of natural, commercial, industrial, recreational, and aesthetic assets, are of immediate and potential value to the present and future development of this state; that unplanned or poorly planned development of this basic natural environment has already damaged or destroyed, or has the potential of damaging or destroying, the state's coastal resources, and has restricted the most efficient and beneficial utilization of these resources; that it shall be the policy of this state to preserve, protect, develop, and, where possible, restore the coastal resources of the state for this and succeeding generations through comprehensive and coordinated long range planning and management designed to produce the maximum benefit for society from these coastal resources; and that preservation and restoration of ecological systems shall be the primary guiding principle upon which environmental alteration of coastal resources will be measured, judged, and regulated.

(b)(1) That effective implementation of these policies is essential to the social and economic well-being of the people of Rhode Island because the sea and its adjacent lands are major sources of food and public recreation, because these resources are used by and for industry, transportation, waste disposal, and other purposes, and because the demands made on these resources are increasing in number, magnitude, and complexity; and that these policies are necessary to protect the public health, safety, and general welfare. Pursuant to 16 U.S.C. § 1452 ("The Coastal Zone Management Act"), the General Assembly hereby directs the council (referred to as "CRMC") to exercise effectively its responsibilities in the coastal zone through the development and implementation of management programs to achieve wise use of the land and water resources of the coastal zone.

(2) Furthermore, that implementation of these policies is necessary in order to secure the rights of the people of Rhode Island to the use and enjoyment of the natural resources of the state with due regard for the preservation of their values, and in order to allow the general assembly to fulfill its duty to provide for the conservation of the air, land, water, plant, animal, mineral, and other natural resources of the state, and to adopt all means necessary and proper by law to protect the natural environment of the people of the state by providing adequate resource planning for the control and regulation of the use of the natural resources of the state and for the preservation, regeneration, and restoration of the natural environment of the state.

(c) That these policies can best be achieved through the creation of a coastal resources management council as the principal mechanism for management of the state's coastal resources.

(d) The general assembly recognizes and declares that maintenance dredging is required to remove natural silt accumulations; Rhode Island has not had a general maintenance dredging policy and programs for ports, port facilities, channels, harbors, public and private marinas and boating facilities, recreational facilities and habitat areas; other major coastal states have maintenance dredging policies and in-water maintenance dredge disposal sites; as a result of the lack of a general maintenance dredging policy and program and as a result there has been (1) a decrease in the depth of the Providence Channel from forty-four (44) feet in 1971 to twenty-four (24) feet in 1996; (2) navigational restrictions on ocean going vessels through the state's waterways and channels; and (3) a decrease in the number of available slips and moorings at marinas throughout the state; and the lack of a maintenance dredging policy and programs have significant adverse environmental and economic effects on the state and therefore it is in the best interest of the state, the cities and towns of the state, and the citizens thereof for the state to have a general maintenance dredging policy and programs to resolve issues related to dredge maintenance and disposal and avoid future significant direct and indirect adverse impact on the environment and economy of the state.

(e) The coastal resources management council is hereby designated as the lead state agency for purposes of dredging in tidal waters and as such shall have the following duties and responsibilities:

(1) To coordinate the interest of the state with regard to dredging;

(2) To formulate and adopt a state policy with regard to dredging which integrates those interests;

(3) To cooperate with, negotiate, and to enter into agreements on behalf of the state with the federal government and with other public bodies and private parties with regard to dredging;

(4) To act as the initial and primary point of contact for all applications to the state for dredging projects in tidal waters;

(5) To develop, prepare, adopt pursuant to § 46-23-11, implement, and maintain a comprehensive plan for dredge material management; and

(6) To cooperate and coordinate with the departments of environmental management, transportation, administration, and health, and the economic development corporation in the conduct of these duties and responsibilities.

(f)(1) The legislature recognizes that under Article I, § 17, the submerged lands of the state are impressed with a public trust and that the state is responsible for the protection of the public's interest in these lands. The state maintains title in fee to all soil within its boundaries that lies below the high water mark, and it holds that land in trust for the use of the public. In benefiting the public, the state preserves certain public rights which include but are not limited to fishery, commerce, and navigation in these waters and the submerged lands that they cover.

(2) Since its establishment in 1971, the CRMC has had the authority to manage and plan for the preservation of the coastal resources of the state including but not limited to submerged lands. The legislature hereby declares that, in light of the unique size, scope, and overall potential impact upon the environment of large scale filling projects involving twenty-five (25) acres or more, any lease of tidal lands, or any license to use those lands, is subject to approval, disapproval, or conditional approval by the direct enactment of the general assembly by legislative action. CRMC shall review all requests for leases, licenses to use the land, and other authority to use the land made by any applicant prior to presentation of the request to the general assembly, and the CRMC shall make recommendations on the request to the general assembly. With the exception of any and all projects to fill land of twenty-five (25) acres or more, the general assembly hereby recognizes and declares that the CRMC is delegated the sole and exclusive authority for the leasing of submerged and filled lands and giving licenses for the use of that land. Accordingly, the CRMC will develop, coordinate, and adopt a system for the leasing of submerged and filled lands, and licenses for the use of that land, and will ensure that all leases and licenses are consistent with the public trust. Pursuant thereto, the CRMC shall impose a maximum fee of eighty thousand dollars ($80,000) per annum for any transatlantic cable that makes landfall in Rhode Island.  All such fees collected shall be deposited into the Bays, Rivers and Watersheds Fund, established pursuant to § 46-31-12.1, and shall be disbursed according to the purposes of that fund.  Nothing contained in this subsection negates, repeals, or alters the provisions, processes, and requirements for the leasing of submerged land for the conduct of aquaculture as set out under chapter 10 of title 20. Therefore, nothing in this chapter shall be construed to limit or impair the authority of the state, or any duly established agency of the state, to regulate filling or dredging affecting tidal lands owned by the state or any other entity, and nothing in this chapter shall be construed to limit or impair the obligation of the applicant to obtain all applicable regulatory approvals. Specifically, and without limiting the foregoing, nothing in this subsection negates, repeals, or alters the provisions, processes, and requirements for water quality certification contained in chapter 12 of this title.

(3) Definitions.

(i) "Filled land" means portions of tidal lands which have been rendered by the acts of man to be no longer subject to tidal action or beneath tidal waters.

(ii) "Tidal Lands" means those lands that are below the mean high water.

(iii) "Mean high water" means a line of contour representing the 18.6 year average as determined by the metonic cycle and/or its equivalent as evidenced by the records, tidal datum, and methodology of the United States coastal geodetic survey within the national oceanic and atmospheric administration.

 

SECTION 4.   This article shall take effect upon passage.

 

ARTICLE 31 SUBSTITUTE A

 

Relating To Municipal Tipping Fees

 

SECTION 1. Section 39-3-11.2 of the General Laws in Chapter 39-3 entitled "Regulatory Powers of Administration" is hereby amended to read as follows:

 

39-3-11.2. Interim rates. -- Notwithstanding the provisions of titles 23 and 39, the municipal tipping fee charged by the resource recovery corporation shall be thirty-two dollars ($32.00) per ton from July 1, 2006 2007 to June 30, 2007 2008.

 

SECTION 2. This article shall take effect as of July 1, 2007.

 


ARTICLE 32 SUBSTITUTE A

 

RELATING TO CONTRACTOR'S REGISTRATION FEES

 

SECTION 1. Sections 5-65-1, 5-65-3, 5-65-9 and 5-65-24 of the General Laws in Chapter 5-65 entitled "Contractors' Registration" are hereby amended to read as follows:

 

5-65-1. Definitions. -- As used in this chapter:

 (1) "Board" means the contractors' registration board established pursuant to the provisions of Rhode Island general laws section 5-65-14.

 (2) "Commission" means the building code commission supportive of the contractors' registration board.

 (3) (i) "Contractor" means a person who, in the pursuit of an independent business, undertakes or offers to undertake or submits a bid, or for compensation and with or without the intent to sell the structure arranges to construct, alter, repair, improve, move over public highways, roads or streets or demolish a structure or to perform any work in connection with the construction, alteration, repair, improvement, moving over public highways, roads or streets or demolition of a structure, and the appurtenances thereto. "Contractor" includes, but is not limited to, any person who purchases or owns property and constructs or for compensation arranges for the construction of one or more structures.

 (ii) A certificate of registration is necessary for each "business entity" regardless of the fact that each entity may be owned by the same individual.

 (4) "Dwelling unit" means a single unit providing complete independent living facilities for one or more persons, including permanent provisions for living, sleeping, eating, cooking, and sanitation.

 (5) "Hearing officer" means a person designated by the executive director, with the approval of the director of the department of administration to hear contested claims or cases, contested enforcement proceedings, and contested administrative fines, in accordance with the Administrative Procedures Act, chapter 35 of title 42.

 (6) "Staff" means the executive director for the contractors' registration board, and any other staff necessary to carry out the powers, functions and duties of the board including inspectors, hearing officers and other supportive staff.

 (7) "State" means the state of Rhode Island.

 (8) "Structure" means (i) any commercial building or (ii) any building containing one or more residences and their appurtenances. The board's dispute resolution process shall apply only to residential structures containing dwelling units as defined in the state building code or residential portions of other types of buildings without regard to how many units any structure may contain. The board retains jurisdiction and may conduct hearings regarding violations against all contractors required to be registered.

 (9) "Substantially" means any violation, which affects the health, safety, and welfare of the general public.

 

             5-65-3. Registration for work on a structure required of contractor -- Issuance of building permits to unregistered or unlicensed contractors prohibited -- Evidence of activity as a contractor -- Duties of contractors. --    (a) A person shall not undertake, offer to undertake, or submit a bid to do work as a contractor on a structure or arrange to have work done unless that person has a current, valid certificate of registration for all construction work issued by the board. A partnership, corporation, or joint venture may do the work, offer to undertake the work, or submit a bid to do the work only if that partnership, corporation, or joint venture is registered for the work. In the case of registration by a corporation or partnership, an individual shall be designated to be responsible for the corporation's or partnership's work. The corporation or partnership and its designee shall be jointly and severally liable for the payment of the registration fee, as requested in this chapter, and for violations of any provisions of this chapter. Disciplinary action taken on a registration held by a corporation, partnership, or sole proprietor may affect other registrations held by the same corporation, partnership, or sole proprietorship, and may preclude future registration by the principal of that business entity.

              (b) A registered partnership or corporation shall notify the board in writing immediately upon any change in partners or corporate officers.

              (c) A city, town, or the state shall not issue a building permit to anyone required to be registered under this chapter who does not have a current, valid certificate of registration identification card or valid license which shall be presented at the time of issuance of a permit and shall become a condition of a valid permit. Each city, town, or the state which requires the issuance of a permit as a condition precedent to construction, alteration, improvement, demolition, movement or repair of any building or structure or the appurtenance to the structure shall also require that each applicant for the permit file as a condition to issuing the permit a written affidavit subject to the penalties of perjury, subscribed by the applicant, that the applicant is registered under the provisions of this chapter, giving the number of the registration and stating that the registration is in full force and effect, or, if the applicant is exempt from the provisions of this chapter, listing the basis for the exemption. The city, town, or the state shall list the contractor's registration number on the permit obtained by that contractor, and if a homeowner is issued a permit, the building inspector or official must ascertain registration numbers of each contractor on the premises and shall inform the registration board of any non-registered contractors performing work at the site.

 (d) Every city and town which requires the issuance of a business license as a condition precedent to engaging, within the city or town, in a business which is subject to regulation under this chapter, shall require that each licensee and each applicant for issuance or renewal of the license file, or has on file, with the city or town a signed statement that the licensee or applicant is registered under the provisions of this chapter and stating that the registration is in full force and effect.

 (e) It shall be prima facie evidence of doing business as a contractor when a person for that person's own use performs, employs others to perform, or for compensation and with the intent to sell the structure, arranges to have performed any work described in section 5-65-1(3) if within any one twelve (12) month period that person offers for sale one or more structures on which that work was performed.

 (f) Registration under this chapter shall be prima facie evidence that the registrant conducts a separate, independent business.

 (g) The provisions of this chapter shall be exclusive and no city or town shall require or shall issue any registrations or licenses nor charges any fee for the regulatory registration of any contractor registered with the board. Nothing in this subsection shall limit or abridge the authority of any city or town to license and levy and collect a general and nondiscriminatory license fee levied upon all businesses, or to levy a tax based upon business conducted by any firm within the city or town's jurisdiction, if permitted under the laws of the state.

 (h) (1) Every contractor shall maintain a list which shall include the following information about all subcontractors or other contractors performing work on a structure for that contractor:

 (i) Names and addresses.

 (ii) Registration numbers or other license numbers.

 (iii) Contracts entered into must contain notice of right of rescission as stipulated in all pertinent Rhode Island consumer protection laws.

 (iv) The contractor must stipulate whether or not all the proper insurances are in effect for each job contracted.

 (v) (2) The list referred to in subdivision (h) (1)  of this subsection shall be delivered to the board within twenty-four (24) hours after a request is made during reasonable working hours, or a fine of twenty-five dollars ($25.00) may be imposed for each the offense.

 (i) The following subcontractors who are not employees of a registered contractor must obtain a registration certificate prior to conducting any work: (1) carpenters, including finish carpenters and framers; (2) siding installers; (3) roofers; (4) foundation installers, including concrete installers and form installers; (5) drywall installers; (6) plasterers; (7) insulation installers; (8) ceramic tile installers; (9) floor covering installers; (10) swimming pool installers, both above ground and in ground; (11) masons, including chimney installers, fireplace installers, and general masonry erectors. This list is not all inclusive and shall not be limited to the above referenced contractors. No subcontractor licensed by another in-state agency pursuant to section 5-65-2 shall be required to register, provided that said work is performed under the purview of that license.

 (j) A contractor including, but not limited to, a general contractor, shall not hire any subcontractor or other contractor to work on a structure unless the contractor is registered under this chapter or exempt from registration under the provisions of section 5-65-2.

 (k) A summary of this chapter, prepared by the board and provided at cost to all registered contractors, shall be delivered by the contractor to the owner when the contractor begins work on a structure; failure to comply may result in a fine.

 (l) The registration number of each contractor shall appear in any advertising by that contractor. Advertising in any form by an unregistered contractor shall be prohibited, including alphabetical or classified directory listings, vehicles, business cards, and all other forms of advertisements. The violations could result in a penalty being assessed by the board per administrative procedures established.

 (i) The board may publish, revoke or suspend registrations and the date the registration was suspended or revoked on a quarterly basis.

 (ii) Use of the word "license" in any form of advertising when only registered may subject the registrant or those required to be registered to a fine of one hundred dollars ($100) for each offense at the discretion of the board. Provided, however, that fines issued for a violation of this subsection shall only be issued as a secondary offense actionable only in connection with a final order issued by the board for violations of other sections of this chapter.

 (m) The contractor must see that permits required by the state building code are secured on behalf of the owner prior to commencing the work involved. The contractor's registration number must be affixed to the permit as required by the state building code.

 (n) The board may assess an interest penalty when claims have been filed with the board at twelve percent (12%) annually.

 (o) Effective October 1, 2006, all work performed, including labor and materials, in excess of one thousand dollars ($1,000) shall be accompanied by a contract in writing. Contracts required pursuant to this subsection shall include a location on or near the signature line location on or in which the parties to the contract shall initial to evidence the receipt of certain consumer education materials or information approved and provided by the board to the contractor. Said educational materials and/or information shall include, but not be limited to, the following notice and shall be provided by the contractor to the homeowner:    

NOTICE OF POSSIBLE MECHANIC'S LIEN

To: Insert name of owner, lessee or tenant, or owner of less than the simple fee. The undersigned is about to perform work and/or furnish materials for the construction, erection, alterations or repair upon the land at (INSERT ADDRESS) under contract with you. This is a notice that the undersigned and any other persons who provide labor and materials for the improvement under contract with the undersigned may file a mechanic's lien upon the land in the event of nonpayment to them. It is your responsibility to assure yourself that those other persons under contract with the undersigned receive payment for their work performed and materials furnished for the construction, erection, alteration or repair upon the land.

Failure to adhere to the provisions of this subsection may result in a one thousand dollars ($1,000) fine against the contractor.

(END OF FORM NOTICE)

(p) Contracts entered into must contain notice of right of rescission as stipulated in all pertinent Rhode Island consumer protection laws.

(q) The contractor must stipulate whether or not all the proper insurances are in effect for each job contracted.

 

5-65-9. Registration fee. – (a) Each applicant shall pay to the board:

(1) For original registration or renewal of registration, a fee of one hundred twenty dollars ($120) two hundred ($200).

(2) A fee for all changes in the registration, as prescribed by the board, other than those due to clerical errors.

(b) All fees and fines collected by the board shall be deposited as general revenues to support the activities set forth in this chapter.

(c) Each year, the executive director shall prepare a proposed budget to support the programs approved by the board. The proposed budget shall be submitted to the board for its review. A final budget request shall be submitted to the legislature as part of the capital projects and property management annual request.

(d) New or renewal registrations may be filed online or with a third-party approved by the board, with the additional cost incurred to be borne by the registrant.

 

5-65-24. Limited applicability of chapter to non-residential contractors. -- (a) Notwithstanding anything set forth in this chapter to the contrary, the provisions of the following sections of this chapter shall not apply to any contractor who does not regularly in the course of his or her or its business as a contractor engage in construction activities as contemplated under this chapter on residential structures:

 (1) section 5-65-3(p);

 (1) (2) section 5-65-3(k);

 (2) (3) section 5-65-4;

 (3) (4) section 5-65-11;

 (4) (5) section 5-65-12; and

 (5) (6) section 5-65-18.

 (b) Notwithstanding anything set forth in this chapter to the contrary, the provisions of the following sections of this chapter shall have only the limited applicability set forth below respecting any contractor who does not regularly in the course of his or her or its business as a contractor engage in construction activities as contemplated under this chapter on residential structures:

 (1) the provisions of section 5-65-3(a) concerning the joint and several liability of applicable corporations or partnerships and their respective designees for the payment of the registration fee as requested in this chapter and for violations of any provisions of this chapter shall apply; and

 (2) the provisions of section 5-65-10(a)(4) concerning violation of a rule or order of the board shall only apply to the extent that any such rule or order does not relate to or is not derived from one of the inapplicable provisions referenced in this section.

 

SECTION 2.     This article shall take effect upon passage. 

 


ARTICLE 33 SUBSTITUTE A AS AMENDED

 

Relating To Fire Safety Fees

SECTION 1.  Chapter 23-28.2 of the General Laws entitled “Division of Fire Safety” is hereby amended by adding thereto the following section:

 

23-28.2-27.  Inspection Fees.  – (a) The state fire marshal’s office shall assess an inspection fee of one-hundred dollars ($100.00) per inspection for any inspection performed by that office pursuant to chapter 23-28.1 of the Rhode Island General Laws, or any other provisions of the state fire code, including any rule or regulation promulgated by either the fire safety code board of appeal and review or the state fire marshal.  The inspection fee shall be assessed for each required inspection.  Initial inspections and any required subsequent re-inspection shall constitute separate visits for which separate inspection fees will be payable.   

(b) In the case of an inspection involving residential use, the fee shall be paid by the  property owner.

(c) In the case of any inspection involving any assembly, industrial, mercantile, business educational, health care, ambulatory health care, day care or municipal government use, the fee shall be paid by one of the following parties:

(1) The occupant/tenant of the property if the occupant/tenant holds any license issued by the State of Rhode Island that requires fire code compliance; or

(2) The lessee of the property if the lessee is the sole tenant; or

(3) If neither (1) nor (2) apply, the owner of the property will be responsible for     payment of the inspection fee.

(d) The fee shall be waived for a specific inspection in the event that no violation of any provision of the state fire code including any rule or regulation is found.

(e) No inspection fee shall be assessed against any municipality or municipal agency or the State of Rhode Island, or any department, board, or commission thereof.  No inspection fee shall be assessed for any inspection conducted for the purpose of updating the compliance status of a building in preparation for a hearing before the fire safety code board of appeal and review or before any court.

(f) All fees collected pursuant to this section shall be deposited as general revenue.

 

SECTION 2.  Section 23-28.11-3 of the General Laws in Chapter 23-28.11 entitled “Fireworks and Pyrotechnics” is hereby amended to read as follows:

 

23-28.11-3. Permits for storage, handling, transportation and display of fireworks and pyrotechnics. – (a) All storage, handling, transportation and display of fireworks shall be in accordance with the National Fire Protection Association (NFPA) Standard 1123 entitled "Code for Fireworks Display", and NFPA Standard 1124 entitled "Code for the Manufacture, Transportation, Storage, and Retail Sales of Fireworks and Pyrotechnic Articles" 2003 Edition, and the requirements of this chapter.

(b) All storage, handling, transportation and display of pyrotechnics shall be in accordance with the National Fire Protection Association (NFPA) Standard 1126 entitled "Standard for the Use of Pyrotechnics before a Proximate Audience", and NFPA Standard 1124 entitled "Code for the Manufacture, Transportation, Storage, and Retail Sales of Fireworks and Pyrotechnic Articles" 2003 Edition, and the requirements of this chapter.

(c) Permits to possess and display commercial fireworks or pyrotechnics shall be issued by the local fire authority on forms provided by the state fire marshal.  No permit shall be issued until the applicant’s certificate of competency and insurance coverage is verified as being current and the applicant has submitted a fifty dollar ($50.00) fee.  Verification will be determined by the state fire marshal office.

(d) No permit to possess and display fireworks or pyrotechnics shall be issued by the local fire authority until the applicant has first obtained a valid certificate of competency from the state fire marshal. For the purposes of this chapter, "pyrotechnics" means a chemical mixture, including pyrotech-compositions, intended to produce a visible and/or audible effect by combustion, deflagration or detonation before a proximate audience closer than allowed for outdoor fireworks displays as permitted under this chapter. All pyrotechnics shall be in accordance with the requirements of the National Fire Protection Association Standard 1126, entitled "Use of Pyrotechnics Before A Proximate Audience", 1992 Edition, and the requirements of this chapter.

(e) All fees collected pursuant to this section shall be deposited as general revenue.

 

SECTION 3.  Section 23-28.28-10 of the General Laws in Chapter 23-28.28 entitled “Explosives” is hereby amended to read as follows:

 

23-28.28-10. Permit fees. – (a) Each application for a license under this chapter shall be accompanied by the fee prescribed in this section, which fee shall be returned in the event the application is denied. The permit fee shall be as follows:

   Manufacturer's permit                                                         $50.00 $85.00 annually

   Dealer's permit                                                                   $35.00 $50.00 annually

   Possessor's permit                                                              $50.00 annually

   User's permit based on estimated

   job cost                                                                              $25.00

                                                                                             per increment of $1000.00

  Quarry or project permit based on

 estimated cost not more than

$99,000                                                                                $100.00

over $99,000                                                                        $100.00 plus $50.00

                                                                                             per $100,000

                                                                                              or fraction thereof over  

                                                                                             $99,000.

User’s permit based on estimated project costs                      $50.00

                                                                                             per $10,000.00

                                                                                             or fraction thereof.

  (b) All fees collected pursuant to this section shall be deposited as general revenue.

 

SECTION 4.  Chapter 23-28.28 of the General Laws entitled “Explosives” is hereby amended by adding thereto the following section:

 

23-28.28-38.  Transportation of Explosives. – (a) All vehicles and associated equipment used for the transportation of Class A or Class B explosives shall be subject to annual inspection by the state fire marshal’s office and a permit issued stating that the vehicle and associated equipment meets the requirements of N.F.P.A. 495.  There shall be a one hundred dollars ($100) permit fee.

(b) All fees collected pursuant to this section shall be deposited as general revenue.

 

SECTION 5.  This article shall take effect as of July 1, 2007.

 


ARTICLE 34 SUBSTITUTE A

 

Relating To Motor Vehicle Emissions Inspection Program

 

SECTION 1.  Section 31-47.1-11 of the General Laws in Chapter 31-47.1 entitled “Motor Vehicle Emissions Inspection Program” is hereby amended to read as follows:

 

31-47.1-11. Fees. – (a) A fee of forty-seven dollars ($47.00)  thirty-nine dollars ($39.00) is to be charged for each motor vehicle inspected. The amount of fees collected shall provide for the cost of the inspection, the costs of administering the motor vehicle emissions inspection program and other costs provided by law. The fee must be paid for each motor vehicle inspected at an emissions inspection station at the time of the inspection and is payable whether a compliance certificate, waiver certificate, or no certificate is issued. There shall be no fee charged for one reinspection of a vehicle that failed an initial inspection when the reinspection is conducted at the AIRS that conducted the initial inspection.

Of the forty-seven dollar ($47.00) thirty-nine dollar ($39.00) fee, eighteen dollars ($18.00) nineteen dollars ($19.00) shall be retained by the inspection station owner to cover the costs of performing the inspection. The remaining twenty-nine dollars ($29.00) twenty dollars ($20.00) shall be remitted to the program manager. The program manager shall retain no more than ten dollars ($10.00) four dollars ($4.00) of the fee and remit no less than nineteen dollars ($19.00) sixteen dollars ($16.00) for deposit in the state general fund. The general assembly shall annually appropriate such sums as may be required to cover the costs of administering the program by the division of motor vehicles and the department of environmental management.

 (b) The general assembly shall on or before June 30th of each calendar year review the costs and fees associated with the program with the goal of eliminating all fees being directed to the general fund and to eliminate all costs and fees not directly related and necessary to pay the costs of administering the motor vehicle emission inspection program as required under 40 CFR 51.354(a).

 

SECTION 2.  This article shall take effect as of July 1, 2007.




ARTICLE 35 SUBSTITUTE A

 

RELATING TO ADJUDICATION OF TRAFFIC OFFENSES

 

SECTION 1.  Section 31-41.1-7 of the General Laws in Chapter 31-41.1 entitled “Adjudication of Traffic Offenses” is hereby amended to read as follows:

 

31-41.1-7. Application for dismissal based on good driving record. – (a) Any person who has had a motor vehicle operator's license for more than three (3) years, and who has been issued traffic violations which are his or her first violations within the preceding three (3) years, may request a hearing seeking a dismissal of the violations based upon the operator's good driving record.

(b) Upon submission of proper proof that the operator has not been issued any other traffic violation within the past three (3) years, the charge shall, except for good cause shown or as otherwise provided by law, be dismissed based upon a good driving record, provided that the operator pay a twenty-five dollar ($25.00) administrative fee for court costs associated with the dismissal.

(c) The traffic tribunal may not dismiss a charge pursuant to this section after six (6) months from the date of disposition. For purposes of this section, a parking ticket shall not constitute a prior violation.

(d) The following violations shall not be dismissed pursuant to this statute:

(1) Any violation within the original jurisdiction of superior or district court;

(2) A refusal to submit to a chemical test of breath, blood or urine pursuant to § 31-27-2.1;

(3) Any violation involving a school bus;

(4) Any violation involving an accident where there has been property damage or personal injury;

(5) Any speeding violation in excess of fourteen miles per hour (14 m.p.h.) above the posted speed limit;

(6) Any violation involving child restraints in motor vehicles pursuant to § 31-22-22;

(7) Any violation committed by a holder of a commercial license as defined in § 31-10.3-3 or any violation committed in a commercial motor vehicle as defined in § 31-10.3-3 by an operator who does not hold a commercial license.

(e) If the charge is dismissed pursuant to this section, records of the dismissal shall be maintained for a period of three (3) years.

(f) The judge or magistrate shall have the discretion to waive court costs and fees when dismissing a violation pursuant to this section, with the exception of the mandatory twenty-five dollar ($25.00) administrative fee provided for in § 31-41.1-7 (b).

 

SECTION 2.  This article shall take effect upon passage.

 

ARTICLE 36 SUBSTITUTE A

 

RELATING TO HISTORICAL RECORDS TRUST FEES

 

SECTION 1.  Section 42-8.1-20 of the General Laws in Chapter 42-8.1 entitled “State Archives” is hereby amended to read as follows:

 

42-8.1-20 Rhode Island Historical Records Trust established. – (a) There is hereby established a special fund to be known as the Rhode Island Historical Records Trust (hereinafter called Trust).

(b) There is hereby imposed an additional assessment of two dollars ($2.00) three dollars ($3.00) for every instrument filed for recording pursuant to §§ 33-22-21 and 34-13-7.

(c) On the first of every month, the municipal clerk shall transmit to the State Archives one half two dollars ($2.00) of the additional assessment collected under subsection (b) of this section for deposit in the Rhode Island Historical Records Trust. The remaining one half one dollar ($1.00) of each such additional assessment shall remain with the local government and be deposited in a local Historical Records Trust.

(d) All monies retained by a local government shall be placed in a Historical Record Trust Fund maintained by the local government. The expenditure of these monies shall be restricted solely to the preservation of public records of historical value maintained by the municipal clerk or by a municipal archives.

(e) Use of these funds by the State Archives shall be for the development and ongoing maintenance of a full-time local government records management program component and the state archives and records program. Such program shall be responsible for providing aid, advice, and assistance to all local governments of this State concerning the proper management and preservation of the public records in their custody or care, as required by other provisions of statute. Funds shall be expended to support administrative and other costs associated with the provision of consultative and technical services including, but not limited to, educational programming, micrographics services, and ongoing storage and preservation of local government records.

(f) All monies received by the General Treasurer and other moneys appropriated or received for the purposes stated in subsection (b) above shall be deposited in a restricted account which shall be administered by the State Archives.

(g) Each year the State Archives shall review and make recommendations on a proposed operational and expenditure plan for the RI Historical Records Trust.

 

SECTION 2.  This article shall take effect as of July 1, 2007.

 

 


ARTICLE 37 SUBSTITUTE A AS AMENDED

 

RELATING TO UNCLAIMED PROPERTY

 

SECTION 1.  Section 33-21.1-1 of the General Laws in Chapter 33-21.1 entitled “Unclaimed Intangible and Tangible Property” is hereby amended to read as follows:

 

33-21.1-1  Definitions and use of terms. – As used in this chapter, unless the context otherwise requires:

(1) "Administrator" means the general treasurer or his or her designee, including agents hired for the express purpose of auditing, assessing  and collecting unclaimed property.

(2) "Apparent owner" means the person whose name appears on the records of the holder as the person entitled to property held, issued, or owing by the holder.

(3) "Banking organization" means a bank, trust, company, savings bank (industrial bank, land bank, safe deposit company), private banker, or any organization defined by any of the laws of this or any other state as a bank or banking organization.

(4) "Business association" means a public corporation, a non-public corporation, joint stock company, investment company, business trust, partnership, or association for business purposes of two (2) or more individuals, whether or not for profit, including a banking organization, financial organization, insurance company, or utility, but not including hospitals, private, nonprofit institutions of higher education, and other domestic charitable corporations as those terms are defined in this section.

(5) "Domicile" means the state of incorporation of a corporation and the state of the principal place of business of an unincorporated person.

(6) "Financial organization" means a savings and loan association, cooperative bank, building and loan association, or credit union.

(7) "Hospital" means:

(i) Any nonprofit hospital incorporated under the laws of the state, including any nonprofit subsidiary corporations formed by any hospital or formed by the parent corporation of a hospital, or

(ii) Any nonprofit corporation the member or members of which consist solely of one or more hospitals or parent corporations of hospitals, or

(iii) Any other hospital which is licensed as a general hospital or maternity hospital pursuant to chapter 17 of title 23 which is exempt from taxation.

(8) "Holder" means a person, wherever organized or domiciled, who is:

(i) In possession of property belonging to another,

(ii) A trustee, or

(iii) Indebted to another on an obligation.

(9) "Insurance company" means an association, corporation, fraternal or mutual benefit organization, whether or not for profit, which is engaged in providing insurance coverage, including accident, burial, casualty, credit life, contract performance, dental, fidelity, fire, health, hospitalization, illness, life (including endowments and annuities), malpractice, marine, mortgage, surety, and wage protection insurance; but not including a nonprofit corporation organized pursuant to chapters 19, 20, 20.1, 20.2 and 20.3 of title 27.

(10) "Intangible property" includes:

(i) Money, checks, drafts, deposits, interest, dividends, income, and bonds;

(ii) Credit balances, customer overpayments, security deposits, refunds, credit memos, unpaid wages, unused airline tickets, unclaimed pari-mutuel tickets, and unidentified remittances;

(iii) Stocks and other intangible ownership interests in business associations;

(iv) Money deposited to redeem stocks, bonds, coupons, and other securities, or to make distributions;

(v) Amounts due and payable under the terms of insurance policies; and

(vi) Amounts distributable from a trust or custodial fund established under a plan to provide health, welfare, pension, vacation, severance, retirement, death, stock purchase, profit sharing, employee savings, supplemental unemployment insurance, or similar benefits.

(11) "Last known address" means a description of the location of the apparent owner sufficient for the purpose of the delivery of mail.

(12) "Other domestic charitable corporation" means a corporation, except a hospital or private, nonprofit institution of higher education, as those terms are defined herein, organized and existing under chapter 6 of title 7, chapter 19 of title 27, or created by general or special act of the general assembly; provided however that domestic charitable corporations which qualify as charitable corporations under 26 U.S.C. § 501(c)(3) and have one hundred (100) or fewer employees shall be exempt from the provisions of this chapter.

(13) "Owner" means a depositor in the case of a deposit, a beneficiary in the case of a trust other than a deposit in trust, a creditor, claimant, or payee in the case of other intangible property, or a person having a legal or equitable interest in property subject to this chapter or his or her legal representative.

(14) "Person" means an individual, business association, state or other government, governmental subdivision or agency, public corporation, public authority, estate, trust, two (2) or more persons having a joint or common interest, or any other legal or commercial entity.

(15) "Private, nonprofit institution of higher education" means an educational institution situated within this state which by virtue of law or charter is a private, nonprofit educational institution empowered to provide a program of education beyond the high school level and which is accredited by a nationally recognized educational accrediting agency or association and awards a bachelor's or advance degree or provides a program of not less than two (2) years' duration which is accepted for full credit toward a bachelor's degree.

(16) "State" means any state, district, commonwealth, territory, insular possession, or any other area subject to the legislative authority of the United States.

(17) "Tangible property" includes all other property not defined as intangible property and which is not otherwise defined in this section.

(18) "Utility" means a person who owns or operates for public use any plan, equipment, property, franchise, or license for the transmission of communications or the production, storage, transmission, sale, delivery, or furnishing of electricity, water, steam, or gas.

 

SECTION 2. This article shall take effect upon passage.

 

 


ARTICLE 38 SUBSTITUTE A

 

Relating To Pesticide Registration Surcharge Fees

 

SECTION 1. Section 23-25-6.1 of the General Laws in Chapter 23-25 entitled "Pesticide Control” is hereby amended to read as follows:

 

23-25-6.1.  Registration fee – Surcharge. --  In addition to the annual registration fee of fifty dollars ($50.00) as required by § 23-25-6, an additional fifty dollar ($50.00) one hundred fifty dollar ($150.00) registration surcharge fee shall be imposed upon each pesticide to be sold or used within the state.  The registration surcharge fee shall be deposited as general revenues.

 

SECTION 2.   This article shall take effect upon passage.

 

 


ARTICLE 39 SUBSTITUTE A AS AMENDED

 

RELATING TO DEPARTMENT OF HEALTH FEES

 

SECTION 1. Sections 5-10-10, 5-10-11, 5-10-13, and 5-10-15 of the General Laws in Chapter 5-10 entitled “Barbers, Hairdressers, Cosmeticians, Manicurists and Estheticians” are hereby amended to read as follows:

 

5-10-10 . Application form – Fee – Expiration and renewal of licenses – Fees. – (a) Applications for licenses under § 5-10-9 shall be made upon any forms that are prescribed by the division and are accompanied by an examination fee of thirty-one dollars and twenty-five cents ($31.25)   established in regulation. The license of every person licensed under §§ 5-10-8 and 5-10-9 shall expire on the thirtieth (30th) day of October of every other year following the date of license. This is determined on an odd-even basis. On or before the first day of September of every year, the administrator of professional regulation shall mail an application for renewal of license to people scheduled to be licensed that year on an odd or even basis as to the license number. Every person who wishes to renew his or her license must file with the administrator of professional regulation a renewal application duly executed together with the renewal fee of thirty-seven dollars and fifty cents ($37.50) fifty dollars ($50.00). Applications, accompanied by the fee for renewal, shall be filed with the division on or before the fifteenth (15th) day of October in each renewal year. Upon receipt of the application and fee, the administrator of professional regulation shall grant a renewal license effective October 1st and expiring two (2) years later on September 30th.

(b) Every person who fails to renew his or her license on or before September 30th following the date of issuance as provided in subsection (a) of this section may be reinstated by the division upon payment of the current renewal fee of thirty-seven dollars and fifty cents ($37.50) fifty dollars ($50.00) plus an additional fee of eighteen dollars and seventy-five cents ($18.75) thirty dollars ($30.00) for each year the license has lapsed to a maximum of one hundred fifty dollars ($150) two hundred dollars ($200.00).

(c) The license shall be on the person at all times while performing the services for which they are licensed.

 

5-10-11.  Persons licensed in other states. – (a) Any person licensed to practice barbering, hairdressing, and cosmetic therapy and/or manicuring or esthetics in another state where the requirements are the equivalent of those of this state is entitled to a license as a barber, hairdresser, and cosmetician and/or manicurist or esthetician operator upon the acceptance of his or her credentials by the division; provided, that the state in which that person is licensed extends a similar privilege to licensed barbers, hairdressers, and cosmetic therapists and/or manicurists or esthetics of this state. If a person applies for a hairdressing license who was licensed in another state where the requirements are not equivalent to those of this state, the division shall give to that person one hundred (100) hours instructional credit for three (3) months that the person was licensed and in actual practice, up to a limit of five hundred (500) hours, in order for that person to meet the requirements for a hairdressing license in this state as established under the provisions of §§ 5-10-8 and 5-10-9.

(b) If a person applies for a manicurist or esthetician license and is currently licensed in another state, that person may be granted a license if he or she passes the written and practical examinations conducted by the division.

(c) The fee for the examination is twenty-five dollars ($25.00) forty dollars ($ 40.00); provided, that the provisions of this chapter shall not be construed as preventing persons who have been licensed by examination under the laws of other states of the United States or territories and the District of Columbia from practicing barbering, hairdressing, and cosmetic therapy and/or manicuring or esthetics in this state for a period of three (3) months; provided, that they apply for and are licensed in this state within three (3) months from the commencement of their employment. Nor shall it be construed as prohibiting persons who have been licensed under the laws of another country or territory from practicing barbering, hairdressing, and cosmetic therapy and/or manicuring or esthetics in this state; provided, that practice is in conformity with the rules and regulations of the division; and provided, that in no case shall that practice cover a period of more than three (3) months from the commencement of that employment.

 

5-10-13. Demonstrator's permit. – The division may in its discretion issue to any person recognized by the division as an authority on, or an expert in the theory or practice of, barbering, hairdressing, and cosmetic therapy and/or manicuring or esthetics and is the holder of a current esthetician's, manicurist's or a barber's, hairdresser's, and cosmetician's license in this state, another state or the District of Columbia, a demonstrator's permit for not more than six (6) days' duration for educational and instructive demonstrations; provided, that the permit shall not be used in the sense of a license to practice barbering, manicuring, esthetics or hairdressing and cosmetic therapy. The fee for the permit is fifty dollars ($50.00) seventy dollars ($70.00).

 

5-10-15. Licensing of shops. – (a) No shop, place of business or establishment shall be opened or conducted within the state by any person, association, partnership, corporation, or otherwise for the practice of barbering, manicuring and/or hairdressing and cosmetic therapy or esthetics until the time that application for a license to operate that shop, place of business or establishment for the practice of manicuring and/or hairdressing and cosmetic therapy or esthetics is made, to the division, in the manner and on the forms that it prescribes, and a license, under the terms and conditions, not contrary to law, that the division requires shall be granted for it and a license issued.

(1) No licenses shall be granted to any shop, place of business, or establishment for the practice of hairdressing and cosmetic therapy unless the proprietor or a supervising manager in the practice of barbering, hairdressing and cosmetic therapy, of the shop, place of business, or establishment is licensed and has been licensed as a licensed barber or hairdresser and cosmetician for a period of at least one year immediately prior to the filing of the application for the license.

(2) No license shall be granted to any shop, place of business, or establishment for the practice of manicuring or esthetics unless the proprietor or a supervising manager of the proprietor is licensed and has been licensed as a licensed barber, hairdresser and cosmetician, manicurist or esthetician for a period of at least one year immediately prior to the filing of the application for the license.

(3) The supervising manager shall be registered with the division as the manager of a licensed shop and shall only be registered to manage one shop at a time. The proprietor of the licensed shop and the manager shall notify the division, in writing, within ten (10) days upon the termination of employment as the manager of the licensed shop. The license of the shop shall expire forty-five (45) days after the division is notified by the proprietor if no new manager is registered with the division as the supervising manager of the shop.

(b) All licenses issued under this section shall terminate on the first day of July following the date of issue. The fee for the license is ninety-three dollars and seventy-five cents ($93.75)  one hundred and thirty dollars ($130.00) and for each renewal of the license the fee is ninety-three dollars and seventy-five cents ($93.75)  one hundred and thirty dollars ($130.00).

 

SECTION 2. Sections 5-25-10, 5-25-11, and 5-25-12 of the General Laws in Chapter 5-25 entitled “Veterinary Practice” are hereby amended to read as follows:

 

5-25-10. Qualifications for licensure. – Any applicant for licensure shall submit to the department written evidence on forms furnished by the department verified by oath that the applicant meets all of the following requirements:

  (1) Is a graduate of a school or college of veterinary medicine recognized and accredited by the American Veterinary Medical Association and by the department or certification by the Educational Council for Foreign Veterinary Graduates;

  (2) Pays an application fee of twenty-five dollars ($25.00) forty dollars ($40.00) at the time of submitting the application, which, in no case is returned to the applicant;

(3) Is of good moral character, evidenced in the manner prescribed by the department; and

(4) Complies with any other qualifications that the department prescribes by regulation; and

(5) Comply with the continuing education requirements adopted by the department.

 

5-25-11. Licensing of veterinarians. – (a) By Examination. The applicant is required to pass, with a grade determined by the division, an examination approved by the division; upon payment of an examination fee of two hundred fifty dollars ($250) three hundred and thirty dollars ($330.00) every candidate who passes that examination, and in the opinion of the division meets the qualifications of § 5-25-10, shall, upon payment of an initial license fee, which shall be equal to the biennial license renewal fee in effect, be issued a license to practice veterinary medicine. Veterinarians licensed under the provisions of this chapter on August 31, 1985 shall continue to be licensed.

   (b) Without Examination by Endorsement. A license to practice veterinary medicine may be issued without examination to an applicant who has been duly licensed by examination as a veterinarian under the laws of another state or territory or District of Columbia, if, in the opinion of the division, the applicant meets the qualifications required of veterinarians in this state, as further defined in rules and regulations.

 

5-25-12. Expiration and renewal of licenses. – (a) The certificate of every person licensed as a veterinarian under the provisions of this chapter expires on the first day of May of each even numbered year. On or before the first day of March of each two (2) year period, the department shall mail an application for renewal of license to every person to whom a license has been issued or renewed during the current licensure period. Every person so licensed who desires to renew his or her license shall file with the department a renewal application duly executed together with a renewal fee of two hundred fifty dollars ($250) three hundred and thirty dollars ($330.00) on or before the thirty-first day of March of each even numbered year.

(b) Upon receipt of an application, and payment of the renewal fee, the department shall grant a renewal license effective the second day of May, and expiring on the first day of May of the next even numbered year.

(c) Any person who allows his or her license to lapse by failing to renew it on or before the thirty-first day of March of the next even numbered year, as provided in subsection (a), may be reinstated by the department on payment of the current renewal fee plus an additional fee of sixty-two dollars and fifty cents ($62.50)  ninety dollars ($90.00) .

(d) Any person using the title "veterinarian" during the time that his or her license has lapsed is subject to the penalties provided for violations of this chapter.

(e) Every veterinarian licensed to practice veterinary medicine within the state shall, in connection with renewal of licensure, provide satisfactory evidence to the department that in the preceding two-year period the veterinarian has completed a prescribed course of continuing professional education established by an appropriate professional veterinary medicine association and approved by rule or regulation of the department. The department may extend for only one six (6) month period, these education requirements if the department is satisfied that the applicant has suffered hardship which prevented meeting the educational requirement.

 

SECTION 3. Sections 5-29-7, 5-29-11, 5-29-13, and 5-29-14 of the General Laws in Chapter 5-29 entitled “Podiatrists” are hereby amended to read as follows: 

 

5-29-7. Examination of applicants – Fees – Reexamination. – The division of professional regulation board of podiatry examiners is empowered to review applications as defined in this chapter and to require a minimum application fee of three hundred twelve dollars and fifty cents ($312.50) four hundred and ten dollars ($410.00) at the time of application. Application fees are not refundable unless sickness or other good cause appearing to the satisfaction of the division such applicant was prevented from attending and completing the examination. One further or subsequent examination under that application may be given to applicants in the discretion of the division, without payment of an additional fee.

 

5-29-11. Fee. – The biennial renewal fee shall not be less than two hundred dollars ($200) two hundred and sixty dollars ($260.00) nor be more than three hundred seventy-five dollars ($375)  four hundred and ninety dollars ($490.00).

 

5-29-13. Limited registrations. – (a) An applicant for limited registration under this chapter who furnishes the division of professional regulation of the department of health with satisfactory proof that the applicant is eighteen (18) years of age or older and of good moral character, that the applicant has creditably completed not less than two (2) years of study in a legally chartered podiatry school that is accredited by the Council on Podiatric Medical Education of the American Podiatric Medical Association having power to grant degrees in podiatry, and that the applicant has been appointed an intern, resident, fellow, or podiatry officer in a hospital or other institution maintained by the state, or by a city or town, or in a hospital or clinic which is incorporated under the laws of this state or in a clinic which is affiliated with a hospital licensed by the department of health, or in an out-patient clinic operated by the state, may, upon the payment of fifty dollars ($50.00),  seventy dollars ($70.00), be registered by the division as a hospital officer for any time that the division prescribes. The limited registration entitles the applicant to practice podiatry in the hospital or other institution designated on his or her certificate of limited registration, or outside that hospital or other institution for the treatment, under the supervision of one of its medical officers who is a duly licensed physician and/or podiatrist or persons accepted by it as patients, or in any hospital, institution, clinic, or program affiliated for training purposes with the hospital, institution, or clinic designated on the certificate, which affiliation is approved by the division of professional regulation and the Council of Podiatric Medical Education of the American Podiatric Medical Association and in any case under regulations established by such hospital, institution, or clinic. Provided, that each hospital, institution, or clinic shall annually submit to the division of professional regulation a list of affiliated hospitals, institutions, clinics, or programs providing training programs which comply with the terms of this section. Limited registration under this section may be revoked at any time by the division.

(b) The division of professional regulation of the department of health may promulgate any rules and regulations that it deems necessary to effect the provisions of this chapter.

 

5-29-14. Limited registration – Academic faculty. – Notwithstanding any other provisions of this chapter, a podiatrist of noteworthy and recognized professional attainment who is a clearly outstanding podiatrist and who has been offered by the dean of a medical school or podiatry school in this state a full-time academic appointment, is eligible for a limited registration while serving on the academic staff of the medical school or podiatry school. Upon recommendation of the dean of an accredited school of medicine, podiatry in this state, the board in its discretion, after being satisfied that the applicant is a graduate of a foreign podiatry school and a person of professional rank whose knowledge and special training will benefit that medical school, podiatry school may issue to that podiatrist a limited registration to engage in the practice of podiatry to the extent that the practice is incidental to a necessary part of his or her academic appointment and then only in the hospital or hospitals and out-patient clinics connected with the medical school or podiatry school. Except to the extent authorized by this section, the registrant shall not engage in the practice of podiatry or receive compensation for that practice, unless he or she is issued a license to practice podiatry. The registration is valid for a period of not more than one year expiring on the 30th day of June following its initial effective date but may be renewed annually; provided, that such registration automatically expires when the holder's relationship with the medical school or podiatry school is terminated. The application fee for the registration authorized under this section is four hundred thirty-seven dollars and fifty cents ($437.50) five hundred and seventy dollars ($570.00). The application fee for biennial renewal, as promulgated by the director, shall be not less than two hundred fifteen dollars ($215) two hundred and eighty dollars ($280.00) nor more than three hundred seventy-five dollars ($375) four hundred dollars ($400.00).

 

SECTION 4.  Sections 5-30-7, 5-30-8 and 5-30-12 of the General Laws in Chapter 5-30 entitled “Chiropractors” are hereby amended to read as follows: 

 

5-30-7. Certification of chiropractic physicians authorized to practice in other states. – The division of professional regulation of the department of health may, at its discretion, dispense with the examination of any chiropractic physician authorized to practice chiropractic medicine in any other state, and who has been practicing his or her profession in that state for at least five (5) years and desires to reside permanently and practice his or her profession in this state, provided the laws of that state require qualifications of a grade equal to those required in Rhode Island, and provided that equal rights are accorded by that state to chiropractic physicians of Rhode Island. The chiropractic physician shall make an application to the division for exemption from examination and the division may in its discretion exempt him or her. If the division exempts him or her, he or she shall pay a fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) for a certificate of exemption from that examination, and upon receipt of that fee, the division shall recommend him or her to the director of the department of health to receive a certificate of qualification to practice chiropractic medicine.

 

5-30-8. Certification to practice physiotherapy. – (a) Every person desiring to practice physiotherapy in addition to chiropractic medicine and who completed a course of four (4) years, of eight (8) months each, in some school of chiropractic medicine approved by the division of professional regulation of the department of health, completed a course of three (3) years, of nine (9) months each, at some school of chiropractic medicine approved by the division and an additional year, of at least six (6) months, in physiotherapy and all branches of that field, at that school, or has served as an intern for six (6) months in any year at an institution approved by the division, and satisfies the division that he or she is qualified, may take an examination before the state board of chiropractic examiners to determine his or her qualification to practice physiotherapy in addition to chiropractic medicine.

(b) Every applicant for that examination shall pay a fee of forty-three dollars and seventy-five cents ($43.75) sixty dollars ($60.00) for the examination to the division of professional regulation of the department of health, provided that if the examination is taken at the same time as the examination to determine the applicant's fitness to practice chiropractic medicine, but one fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) is charged. Every candidate who passes that examination shall be recommended by the division of professional regulation of the department of health to the director of the department of health to receive a certificate of qualification to practice physiotherapy.

 

5-30-12. Annual registration – Payment of fees. – Annually, during the month of October in each year, every person granted a certificate to practice chiropractic medicine shall register his or her name, address, and place of business with the division of professional regulation of the department of health. The division shall keep a book for that purpose, and each person registering shall pay a fee of one hundred twenty-five dollars ($125)  one hundred and seventy dollars ($170.00) and shall receive a certificate of registration for the next succeeding fiscal year, unless the certificate of practice has been suspended or revoked for cause, as provided in § 5-30-13. All fees for examination, for certificate of exemption from examination, and for annual registration shall be deposited as general revenues.

 

SECTION 5. Sections 5-31.1-6, 5-31.1-21, 5-31.1-22 and 5-31.1-23 of the General Laws in Chapter 5-31.1 entitled “Dentists and Dental Hygienists” are hereby amended to read as follows:

 

5-31.1-6. License to practice – Qualifications of applicants – Fee – Reexamination. – (a) Authority to practice dentistry or dental hygiene under this chapter is by a license, issued by the director of the department of health, to any reputable dentist or dental hygienist who intends to practice dentistry or dental hygiene in this state, and who meets the requirements for licensure prescribed in this chapter and regulations established by the board or the director.

(b) Applicants for licensure as dentists shall:

(1) Present satisfactory evidence of graduation from a school of dentistry accredited by the American Dental Association Commission on Dental Accreditation or its designated agency and approved by the board;

(2) Meet any other requirements that the board or director by regulation establishes; and

(3) Pass in a satisfactory manner any examinations that the board requires.

(c) Applicants for licensure as dental hygienists shall:

(1) Present satisfactory evidence of graduation from a school for dental hygiene accredited by the American Dental Association Commission on Dental Auxiliary Accreditation or its designated agency and approved by the board;

(2) Meet any other requirements that the board or director by regulation establishes; and

(3) Pass in a satisfactory manner any examination that the board requires.

(d) Any dentist applying for licensure shall pay an application fee of four hundred thirty-seven dollars and fifty cents ($437.50) five hundred and seventy dollars ($570.00) and any dental hygienist applying for licensure shall pay an application fee of ninety-three dollars and seventy-five cents ($93.75) one hundred and thirty dollars ($130.00). Application fees shall in no case be returned. Applicants requiring reexamination for dentistry shall submit a fee of four hundred thirty-seven dollars and fifty cents ($437.50) five hundred and seventy dollars ($570.00) for each reexamination. Applicants requiring reexamination for dental hygiene shall submit a fee of ninety-three dollars and seventy-five cents ($93.75) one hundred and thirty dollars ($130.00) for each reexamination.

 

5-31.1-21. Biennial registration. – (a) Effective beginning in the calendar year 2006, on or before the first day of May in each even-numbered year the board shall mail an application for biennial registration to every person to whom a license to practice dentistry or dental hygiene in this state has been granted by the constituted licensing authority in the state. Every licensed person who intends to engage in the practice of his or her profession during the ensuing two (2) years shall register his or her license by filing with the board that application executed together with any registration form and fee that is established by regulation by the director on or before the first day of June in each even-numbered year. Upon receipt of that application and fee, the board shall issue a registration certificate effective July 1 and expiring two (2) years following June 30, and that registration certificate shall render its holder a registered practitioner of dentistry or dental hygiene for that registration period.

(b) The registration certificate of all dentists and dental hygienists whose renewals accompanied by the prescribed fee are not filed on or before the first day of July automatically expire. The board may in its discretion and upon the payment by the dentist or dental hygienist of the current registration fee plus an additional fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) reinstate any certificate expired under the provisions of this section. All unexpended monies in the account of the board of dentistry are transferred to the new board of dentistry as created by this section as of June 2, 1988.

(c) Dentists and dental hygienists not intending to practice in this state may request on a biennial basis to be placed on inactive status. Those requests must be made, in writing, to the dental administrator and must be accompanied by a fee of one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00) for dentists and sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) for dental hygienists. Persons on inactive status may be reinstated by paying the current annual registration fee and must meet any requirements established by this chapter and as are further prescribed by the rules and regulations.

 

5-31.1-22. Limited registrations. – An applicant for limited registration under this chapter who furnishes the board with satisfactory proof that the applicant is eighteen (18) years of age or older and of good moral character, that the applicant has graduated from a dental school accredited by the American Dental Association Commission on Dental Accreditation or its designated agency and approved by the board, and that the applicant has been appointed an intern, resident, fellow, or dental officer in a hospital or other institution maintained by the state, or by a city or town, or in a hospital or clinic which is incorporated under the laws of this state or in a clinic which is affiliated with a hospital licensed by the department of health, or in an out-patient clinic operated by the state, may, upon the payment of thirty-one dollars and twenty-five cents ($31.25) fifty dollars ($50.00), be registered by the board as a hospital dental officer for any time that the board prescribes; but that limited registration entitles the applicant to practice dentistry in the hospital or other institution designated on his or her certificate of limited registration, or outside that hospital or other institution for the treatment, under the supervision of one of its dental officers who is a licensed dentist, in the state of persons accepted by it as patients, or in any hospital, institution, clinic, or program affiliated for training purposes with the hospital, institution, or clinic designated on this certificate, which affiliation is approved by the board, and in any case under regulations established by that hospital, institution, or clinic. Each hospital, institution, or clinic shall annually submit to the board a list of training programs which comply with the terms of this section. Limited registration under this section may be revoked at any time by the board. The board and/or the director may promulgate any rules and regulations that it deems necessary to carry out the provisions of this section.

 

5-31.1-23. Limited registration – Academic faculty – Fees. – (a) Notwithstanding any other provisions of this chapter, a dentist of noteworthy and recognized professional attainment, who is a clearly outstanding dentist and who has been offered by the dean of a medical school, dental school, or school of dental hygiene in this state a full-time academic appointment, is eligible for a limited registration while serving on the academic staff of the medical school, dental school, or school of dental hygiene. Upon recommendation of the dean of an accredited school of medicine, dentistry, or school of dental hygiene in this state, the board in its discretion, after being satisfied that the applicant is a graduate of a foreign dental school and a person of professional rank whose knowledge and special training will benefit that medical school, dental school, or school of dental hygiene may issue to that dentist a limited registration to engage in the practice of dentistry to the extent that the practice is incidental to a necessary part of his or her academic appointment and then only in the hospital or hospitals and out-patient clinics connected with the medical school, dental school, or school of dental hygiene.

(b) Except to the extent authorized by this section, the registrant shall not engage in the practice of dentistry or receive compensation for it, unless he or she is issued a license to practice dentistry in accordance with the provisions of this chapter. The registration is valid for a period of not more than one year expiring on the 30th day of June following its initial effective date but may be renewed annually. The registration shall automatically expire when the holder's relationship with the medical school, dental school, or school of dental hygiene is terminated.

(c) The application fee for the registration authorized under this section is four hundred thirty-seven dollars and fifty cents ($437.50) five hundred and seventy dollars ($570.00). The application fee for initial annual renewal is one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00). Subsequently, fees are as promulgated by the director.

 

SECTION 6. Sections 5-33.2-12, 5-33.2-13.1, 5-33.2-15, and 5-33.2-16 of the General Laws in Chapter 5-33.2 entitled “Funeral Director/Embalmer Funeral Service Establishments” are hereby amended to read as follows:

 

5-33.2-12. Funeral establishment and branch offices licenses. – (a) No person, association, partnership, corporation, limited liability company or otherwise, shall conduct, maintain, manage, or operate a funeral establishment or branch office unless a license for each funeral establishment and branch office has been issued by the department and is conspicuously displayed. In the case of funeral services conducted under the license of a funeral establishment held in any private residence, public building or church, no separate establishment license shall be required. A licensed funeral establishment must be distinct and separate from other non- funeral service related activity for which it is licensed. No license to operate a funeral establishment shall be issued by the department unless the applicant for the funeral establishment license has registered with the department a licensed funeral director/embalmer who shall be in charge as the funeral director of record. The branch office of a funeral establishment must have a separate branch office establishment license but not a separate funeral director of record. One branch office shall be allowed to operate under the funeral establishment license, and this one branch office may be permitted to operate without a preparation room. Applications for the funeral establishment license and branch office shall be made on forms furnished by the division accompanied by the application fee of fifty dollars ($50.00) seventy dollars ($70.00) for the funeral establishment and fifty dollars ($50.00) seventy dollars ($70.00) for each branch office. Upon receipt of a completed application and the recommendation of the board, the division shall issue a license. All funeral establishment and branch office licenses shall expire on the thirty-first day of December of each year, unless sooner suspended or revoked. A license shall be issued to a specific licensee for a specific location and is not transferable. The funeral establishment licensee shall notify the division, in writing, delivered in person or by certified mail, within ten (10) days from the date of termination of employment, for any cause, of the funeral director/embalmer of record with the division for the funeral establishment. The license of the funeral establishment shall expire forty-five (45) days from the date the division was notified by the licensee, if no new funeral director/embalmer is registered with the division. No funeral services shall be conducted at the funeral establishment without a funeral director/embalmer being registered with the division as the funeral director of record for that funeral establishment. Two (2) licensed funeral directors may operate jointly at one location if one of their existing funeral establishments closes its place of business and joins an existing licensed funeral establishment. Each firm will hold its own separate establishment license. One cannot operate a branch office by invoking this section. Human dead remains shall not be held more than forty-eight (48) hours without embalming or without refrigeration for the purpose of maintaining public health. A funeral establishment must at the minimum contain a preparation room equipped with tile, cement, or composition floor, necessary drainage and ventilation, and containing necessary instruments and supplies for the preparation and embalming of dead human remains for burial, transportation, or other disposition.

(b) Any person who inherits any ownership interest to a funeral establishment may continue to conduct the business of that establishment as their ownership interest would allow upon the following:

(1) Filing with the division a statement of change of fact concerning that inheritance.

(2) Conducting the business of the establishment in compliance with all the requirements of this chapter.

 

5-33.2-13.1. Crematories – License and inspection. – No crematory owned or operated by or located on property licensed as a funeral establishment or at another location or by a cemetery shall conduct cremations without first having applied for and obtained a license from the department. Applications for the crematory license shall be made on forms furnished by the division accompanied by the application fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00). Upon receipt of a completed application, the department shall issue a license. A license shall be issued to a specific licensee for a specific location and is not transferable. The facility and licensee shall meet all requirements as prescribed by the rules and regulations established by the department, not inconsistent with this chapter.

 

5-33.2-15. Annual renewal of licenses. – All licenses issued under the provisions of this chapter must be renewed annually by their holders, who shall pay to the division a yearly renewal fee of ninety-three dollars and seventy-five cents ($93.75) one hundred and thirty dollars ($130.00) for the renewal of a funeral director/embalmer's license, sixty-two dollars and fifty cents ($62.50)  ninety dollars ($90.00) for each funeral establishment branch office license and sixty-two dollars and fifty cents ($62.50)  ninety dollars ($90.00) for the crematory license. On or before the fifteenth day of November in each year, the division shall mail to each licensed funeral director/embalmer and to each licensed funeral establishment, funeral establishment branch office and crematory an application for the renewal. Applications, accompanied by the fee for renewal, shall be filed with the division on or before the thirty-first day of December in each year. Applications filed after the thirty-first of December and on or before the fifteenth of January must be accompanied by a fee of fifty dollars ($50.00) seventy dollars ($70.00) for funeral director/embalmers and funeral establishments in addition to the previously established renewal fees. Any funeral director/embalmer who acts or holds himself or herself out as a funeral director/embalmer after his or her certificate has been lapsed shall be punished as provided in this chapter. Any funeral establishment, funeral establishment branch office or crematory who acts or holds itself out as a funeral establishment after its license has lapsed shall be punished as provided in this chapter.       

 

5-33.2-16. Funeral director/Embalmer – Internship. – (a) Nothing in this chapter shall be construed as prohibiting any person from serving as a funeral director/embalmer intern. Before an internship begins the person desiring to become an intern shall register with the division on any forms that it prescribes. No person under the age of eighteen (18) years shall be permitted to register as an intern. The division may make any rules and regulations that it deems advisable for the supervision of interns. All persons registering as an intern shall pay a fee of twenty-five dollars ($25.00) forty dollars ($40.00) at the time of the registration. That intern is not permitted to advertise or hold himself or herself out to the public as a registered funeral director/embalmer. The term of internship shall be not less than one year; provided, that if an intern after having served his or her internship fails to pass the examination for a funeral director/embalmer's license or fails to embalm fifty (50) human remains during their internship, he or she may continue their internship. The total term of internship must be completed within five (5) years from the date of original registration.

(b) The intern must have assisted in embalming at least fifty (50) bodies if the period for registered internship is to be satisfied in one year. If the internship is for more than one year, the applicant must embalm at least twenty-five (25) bodies for each year of their internship. Each licensed funeral establishment embalming up to one hundred fifty (150) human remains per year shall be allowed to register one intern at one time. Each establishment embalming more than one hundred fifty (150) but less than three hundred (300) human remains per year shall be allowed to register two (2) interns at one time. Each establishment embalming three hundred (300) or more human remains per year shall be allowed to register three (3) interns at one time.

 

SECTION 7. Sections 5-34-12, 5-34-16, 5-34-19, 5-34-37, and 5-34-40.3 of the General Laws in Chapter 5-34 entitled “Nurses” are hereby amended to read as follows:

 

5-34-12. Application fee for professional nurses. – The applicant for a license to practice as a professional nurse shall pay a fee of ninety-three dollars and seventy five cents ($93.75) one hundred and thirty dollars ($130.00) .

 

5-34-16.  Application fee for practical nurse licensure. – The applicant for licensure to practice as a licensed practical nurse shall pay a fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00).

 

5-34-19.  Expiration and renewal of licenses. – (a) The license of every person licensed under this chapter shall expire on the first day of March of every other year following the date of license. On or before the first day of January of every year, the director shall mail an application for renewal of license to people scheduled to be licensed that year. Every person who wishes to renew his or her license shall file with the department a duly executed renewal application together with the renewal fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00).

(b) Upon receipt of an application accompanied by payment of fees, the department shall grant a renewal license effective March second and expiring two (2) years later on March first, and that renewal license shall render the holder a legal practitioner of nursing for the period stated on the certificate of renewal. Every person seeking renewal of a license pursuant to this section shall provide satisfactory evidence to the department that in the preceding two (2) years the practitioner has completed the ten (10) required continuing education hours as established by the department through rules and regulations. The department may extend for only one six (6) month period these educational requirements if the department is satisfied that the applicant has suffered hardship, which prevented meeting the educational requirement.

(c) Any person practicing nursing during the time his or her license has lapsed shall be considered an illegal practitioner and is subject to the penalties provided for violation of this chapter.

(d) A licensee whose license has expired by failure to renew may apply for reinstatement according to the rules established by the board. Upon satisfaction of the requirements for reinstatement, the board shall issue a renewal of license.

 

5-34-37. Application fee for certified registered nurse practitioners. – The initial application fee for licensure as a certified registered nurse practitioner shall be ninety-three dollars and seventy-five cents ($93.75) one hundred and thirty dollars ($130.00) . The renewal fee for a certified registered nurse practitioner shall be eighty-seven dollars and fifty cents ($87.50) one hundred and thirty dollars ($130.00)  biennially, sixty-two dollars and fifty cents ($62.50) ninety  dollars ($90.00) for registered nurse fee plus twenty-five dollars ($25.00) forty dollars ($40.00) for the certified registered nurse practitioner. The fee for application for prescriptive privileges shall be thirty-one dollars and twenty-five cents ($31.25) fifty dollars ($50.00).

 

5-34-40.3. Application fee for psychiatric and mental health clinical nurse specialists. – The initial application fee for licensure as a psychiatric and mental health clinical nurse specialist shall be ninety-three dollars and seventy-five cents ($93.75) one hundred and thirty dollars ($130.00). The renewal fee for a psychiatric and mental health clinical nurse specialist shall be eighty-seven dollars and fifty cents ($87.50)  one hundred and thirty dollars ($130.00) biennially; sixty-two dollars and fifty cents ($62.50) ninety  dollars ($90.00) for the registered nurse fee plus twenty-five dollars ($25.00) ) forty dollars ($40.00) for the psychiatric and mental health clinical nurse specialist. The fee for application for prescriptive privileges shall be thirty-one dollars and twenty-five cents ($31.25 fifty dollars ($50.00).

 

SECTION 8.  Section 5-34.2-4 of the General Laws in Chapter 5-34.2 entitled “Nurse Anesthetists” is hereby amended to read as follows:

 

5-34.2-4. Duties of board. – (a) Applications. Applicants for licensure shall submit appropriate certification credentials, as described in § 5-34.2-3, plus an application fee (not refundable) made payable to the general treasurer, state of Rhode Island, for ninety-three dollars and seventy-five cents ($93.75) one hundred and thirty dollars ($130.00).

(b) Renewal. Licensure as a nurse anesthetist shall be renewed during the same period as the professional registered nurses license to practice in Rhode Island. Renewal fee for a nurse anesthetists license shall be ninety-three dollars and seventy-five cents ($93.75)  one hundred and thirty dollars ($130.00), sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00).  of this shall be for the professional registered nurses license and twenty-five dollars ($25.00) forty dollars ($40.00) of this shall be for the nurse anesthetists license.

(c) Revocations, suspension or refusal to renew licensure. The board may revoke, suspend or refuse to renew the licensure of any nurse anesthetist, if the board finds that the person fails to meet the requirements for practice as a nurse anesthetist specified in either this chapter or board regulation.

(d) Announcement of practice. No person may practice or advertise as a nurse anesthetist or use other words, letters, signs, figures or devices to indicate that the person is a certified registered nurse anesthetist, CRNA, until the person has first been licensed by the board.

 

SECTION 9. Sections 5-35-9, 5-35-11, 5-35-13, 5-35-15, and 5-35-25 of General Laws in Chapter 5-35 entitled “Optometrists” are hereby amended to read as follows:

 

5-35-9. Fee for examination and license. – Every applicant shall pay to the division of professional regulation a fee of fifty dollars ($50.00) seventy dollars ($70.00) which shall accompany his or her application for examination including a certificate of license.

 

5-35-11. Conduct of examinations in optometry. – The division of professional regulation shall hold at least two (2) examinations each year. In case of failure in any one subject of the examination, the applicant, after the expiration of six (6) months and within two (2) years, may take an examination in that subject upon payment to the division of an additional fee of fifty dollars ($50.00) seventy dollars ($70.00) for each examination. The results of the examination are to be made known to the applicant within sixty (60) days of the date of those examinations.

 

5-35-13. Registration of optometrists from other states. – Any person who presents evidence to the division of professional regulation that he or she is entitled to practice optometry in another state where requirements for registration are, in the opinion of the division, equivalent to those of this state, may be registered and given a certificate of license in this state without examination upon payment to the division of a fee of sixty-two dollars and fifty cents ($62.50)  ninety dollars ($90.00) ; provided, that the other state accords a similar privilege to holders of certificates of license issued in this state and the applicant has not previously failed to pass the examinations required in this state.

 

5-35-15. Renewal of license to practice optometry. – Every licensed optometrist who desires to continue the practice of optometry shall present satisfactory evidence to the board of examiners for optometry and approved by rule or regulation by the board of examiners for optometry that the practitioner has completed a prescribed course of continuing optometric education or related health fields; and annually, in the month of January, shall pay to the division of professional regulation a renewal fee of one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00) for which he or she shall receive a renewal of his or her certificate of license for one year. In case of neglect or refusal to pay, the division shall revoke or suspend that certificate; provided, that no certificate of license shall be suspended or revoked without first giving sixty (60) days' notice in each case of neglect or refusal, and within that period, any optometrist has the right to receive a renewal of that certificate on payment of the renewal fee, together with an added penalty of fifty dollars ($50.00)  seventy ($70.00) . Retirement from practice in this state for a period not exceeding five (5) years shall not deprive the holder of a certificate of license of the right to renew a certificate upon the payment of all annual renewal fees remaining unpaid, and a further fee of fifty dollars ($50.00)  seventy ($70.00)  as an added penalty. Any person holding a certificate issued by the director of public health prior to May 2, 1936, authorizing that person to practice optometry in this state, shall be entitled, upon application to the division of professional regulation and the payment of the previously prescribed renewal fee, to receive a certificate of license authorizing him or her to practice optometry in this state.

 

5-35-25. Opticians' biennial license fee. – Every registered optician shall, biennially, at any time that is prescribed by the division of professional regulation, pay to the division a license fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) in default of which the division may revoke an individual's certificate and his or her authority to conduct the business of an optician.

 

SECTION 10. Sections 5-37-2, 5-37-10, 5-37-16 and 5-37-16.1 of the General Laws  in Chapter 5-37 entitled “Board of Medical Licensure and Discipline” are hereby amended to read as follows:

 

5-37-2. License to practice – Qualifications of applicants – Fee – Reexamination. – (a) Authority to practice allopathic or osteopathic medicine under this chapter shall be by a license issued by the director of the department of health to any reputable physician who intends to practice allopathic or osteopathic medicine in this state, and who meets the requirements for licensure established in this chapter and regulations established by the board or by the director. Applicants for licensure shall present satisfactory evidence of graduation from a medical school or school of osteopathic medicine approved by the board and in good standing, shall meet post graduate training requirements and any other requirements that the board or director establishes by regulation, and shall pass in a satisfactory manner any examination that the board may require. Any physician applying for licensure shall pay an application fee of four hundred thirty-seven dollars and fifty cents ($437.50) five hundred and seventy dollars ($570.00) and that fee shall in no case be returned. Applicants requiring reexamination shall submit a fee of  four hundred thirty-seven dollars and fifty cents ($437.50) five hundred and seventy dollars ($570.00) for each reexamination.

(2) A license to practice allopathic medicine shall be issued to persons who have graduated from a school of medicine, possess a degree of doctor of medicine (or meet the requirements of subsection (b) of this section), and meet the requirements for licensure.

(3) A license to practice osteopathic medicine shall be issued to persons who have graduated from a school of osteopathic medicine and possess a degree of doctor of osteopathy and otherwise meet the requirements for licensure. A license to practice osteopathic medicine shall confer upon the holder the right to practice osteopathic medicine in all its branches as taught and practiced in accredited colleges of osteopathic medicine. The holder of that license shall be subject to the same duties and liabilities and entitled to the same rights and privileges, which may be imposed by law or governmental regulation, upon physicians of any school of medicine.

(b) Qualification of Certain Other Applicants for License. Notwithstanding any other provisions of this section an individual, who at the time of his or her enrollment in a medical school outside the United States is a citizen of the United States, shall be eligible to apply for a certificate pursuant to this section if he or she has satisfied the following requirements:

(i) Has studied medicine in a medical school located outside the United States, which is recognized by the World Health Organization;

(ii) Has completed all of the formal requirements of the foreign medical school except internship and/or social service;

(iii) Has attained a score satisfactory to a medical school approved by the liaison committee on medical education on a qualifying examination acceptable to the state board for medicine, and has satisfactorily completed one academic year of supervised clinical training under the direction of any United States medical school;

(iv) Has completed the post-graduate hospital training required by the board of applicants for licensure; and

(v) Has passed the examination required by the board of all applicants for licensure.

(2) Satisfaction of the requirements of subdivision (1) of this subsection is in lieu of the completion of any foreign internship and/or social service requirements, and no such requirements are a condition of licensure as a physician in this state.

(3) Satisfaction of the requirements of subdivision (1) of this subsection is in lieu of certification by the educational council for foreign medical graduates, and this certification is not a condition of licensure as a physician in this state.

(4) No hospital licensed by this state, or operated by the state or a political subdivision of the state, or which receives state financial assistance, directly or indirectly, requires an individual, who at the time of his or her enrollment in a medical school outside the United States is a citizen of the United States, to satisfy any requirements other than those contained in paragraphs (1)(i),(ii), and (iii) of this subsection prior to commencing an internship or residency.

(5) A document granted by a medical school located outside the United States which is recognized by the World Health Organization issued after the completion of all the formal requirements of that foreign medical school except internship and/or social service, upon certification by the medical school in which this training was received of satisfactory completion by the person to whom this document was issued of the requirements in paragraph (1)(iii) of this subsection, shall be deemed the equivalent of a degree of doctor of medicine for purposes of licensure and practice as a physician in this state.

(6) No funds appropriated by the general assembly to any school or college of medicine shall be disbursed until the director of the department of health has certified that this school or college has established, and will maintain until December 31, 1989, a clinical training program as contemplated by paragraph (1)(iii) of this subsection, to accommodate residents of this state deemed qualified by that school or college of medicine consistent with that school's or college's educational resources.

 

 5-37-10. Annual registration – Physicians – Hospitals. – (a) Effective beginning in calendar year 2004, on or before the first day of March in each year, the board shall mail an application for biannual registration to every person to whom a license to practice medicine in this state has been granted by the licensing authority in the state. Every licensed person who intends to engage in the practice of his or her profession during the ensuing two (2) year period shall register his or her license by submitting to the board, on or before June 1, the application, executed together with the registration form, and fee as established by regulation by the director of the department of health. Upon receipt of the application and fee the board shall issue a registration certificate effective July 1 and expiring two (2) years following on June 30. The registration certificate renders the holder a registered practitioner of medicine for that registration period. Effective beginning in calendar year 2004, any references in this chapter to annual registration or annual limited registration shall be interpreted to mean biannual registration and biannual limited registration, respectively.

(b) The registration certificate of all physicians whose renewals accompanied by the prescribed fee are not completed and filed on or before the first day of July shall automatically lapse. The board may, in its discretion and upon the payment by the physician of the current registration fee plus an additional fee of one hundred  and thirty dollars ($100) ($130.00), reinstate any certificate lapsed under the provisions of this section.

(c) Hospitals shall, on or before the first day of December of each year, submit an application and annual fee to the board as a condition of rendering hospital services in the state. The form of application and fee shall be as the director, by regulation, establishes; provided, that the ratio of payment between hospital per bed licensing fees and the combined licensing and board of medical licensure and discipline fees paid by physicians remain the same as the ratio that existed as of January 1, 1987. All fees collected pursuant to this section shall be deposited as general revenues.

5-37-16  Limited registrations. – (a) An applicant for limited registration under this chapter who furnishes the board with satisfactory proof that the applicant is eighteen (18) years of age or older and of good moral character, that the applicant has graduated from a legally chartered medical school or school of osteopathic medicine having power to grant degrees in allopathic or osteopathic medicine, and that the applicant has been appointed an intern, resident, fellow or medical officer in a hospital or other institution maintained by the state, or by a city or town, or in a hospital or clinic which is incorporated under the laws of this state, or in a clinic which is affiliated with a hospital licensed by the department of health, or in an out-patient clinic operated by the state, may, upon the payment of twenty-five dollars ($25.00) forty ($40.00), be registered by the board as a hospital medical officer for any time that the board may prescribe. This limited registration shall entitle the applicant to practice medicine in the hospital or other institution designated on his or her certificate of limited registration, or outside this hospital or other institution for the treatment, under the supervision of one of its medical officers who is a licensed physician, of persons accepted by it as patients, or in any hospital, institution, clinic, or program affiliated for training purposes with the hospital, institution, or clinic designated on this certificate, which affiliation is approved by the board, and in any case under regulations established by the hospital, institution, or clinic; provided, that each hospital, institution, or clinic annually submits to the board a list of affiliated hospitals, institutions, clinics, or programs providing training programs which comply with the terms of this section. Limited registration under this section may be revoked at any time by the board.

(b) The director may promulgate any rules and regulations that he or she deems necessary to carry out the provisions of this chapter.

 

5-37-16.1  Limited registration – Academic faculty. – Notwithstanding any other provisions of this chapter, a physician of noteworthy and recognized professional attainment who is a clearly outstanding physician and who has been offered by the dean of a medical school in this state a full-time academic appointment, shall be eligible for a limited registration while serving on the academic staff of the medical school. Upon recommendation of the dean of an accredited school of medicine in this state, the board in its discretion, after being satisfied that the applicant is a graduate of a foreign medical school and a person of professional rank whose knowledge and special training will benefit the medical school in this state, may issue to this physician a limited registration to engage in the practice of medicine to the extent that this practice is incidental to a necessary part of his or her academic appointment and then only in the hospital or hospitals and out-patient clinics connected with the medical school. Except to the extent authorized by this section, the registrant shall not engage in the practice of medicine or receive compensation for his or her limited registration work, unless he or she is issued a license to practice medicine in accordance with the provisions of § 5-37-2. The registration shall be valid for a period of not more than one year expiring on the 30th day of June following its initial effective date but may be renewed annually; provided, that the registration automatically expires when the holder's relationship with the medical school is terminated. The application fee for the initial registration authorized under this section shall be three hundred and fifty dollars ($350)  four hundred and sixty dollars ($460.00); the initial application fee for annual renewal shall be one hundred and thirty dollars ($100)  ($130.00); thereafter the fees shall be as promulgated by regulation of the director.

 

SECTION 11. Sections 5-37.2-10 and 5-37.2-14 of General Laws entitled “The Healing Art of Acupuncture” are hereby amended to read as follows:

 

5-37.2-10  Application for licenses – Fees. – An applicant for examination for a license to practice acupuncture or any branch of acupuncture, shall:

(1) Submit an application to the department on forms provided by the department;

(2) Submit satisfactory evidence that he or she is twenty-one (21) years or older and meets the appropriate education requirements;

(3) Pay a fee of one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170); and

(4) Pay any fees required by the department for an investigation of the applicant or for the services of a translator, if required, to enable the applicant to take the examination.

 

5-37.2-14  Recordation and display of licenses – Annual registration fee – Penalties for failure to pay fee. – (a) Every person holding a license authorizing him or her to practice acupuncture or to serve as an acupuncture assistant in this state shall record his or her license with the city or town hall in the city or town where his or her office and residence are located. Every licensee upon a change of residence or office shall have his or her certificate recorded in the same manner in the municipality to which he or she has changed.

(b) Every license shall be displayed in the office, place of business, or place of employment of the license holder.

 (c) Every person holding a license shall pay to the department on or before February 1 of each year, the annual registration fee required pursuant to subsection (e) of this section. If the holder of a license fails to pay the registration fee his or her license shall be suspended. The license may be reinstated by payment of the required fee within ninety (90) days after February 1.

 (d) A license which is suspended for more than three (3) months under the provisions of subsection (c) of this section may be canceled by the board after thirty (30) days notice to the holder of the license.

(e) The annual registration fees shall be prescribed by the department and shall not exceed the following amounts:

(1) Doctor of acupuncture: six hundred twenty-five dollars ($625).

(2) Licensed acupuncture assistant: three hundred twelve dollars and fifty cents ($312.50).

 

SECTION 12. Section 5-39.1-9 of the General Laws in Chapter 5-39.1 entitled “License Procedure for Social Workers” is hereby amended to read as follows:

 

 5-39.1-9  Fees and renewal. – The initial fee for application for licensure is one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00). Licenses shall be renewed every twenty-four (24) months after initial licensure upon payment of a fee of  one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00)  and in compliance with any additional requirements that the board promulgates.

 

SECTION 13. Sections 5-40-8, 5-40-8.1, and 5-40-10 of the General Laws in Chapter 5-40 entitled “Physical Therapists” are hereby amended to read as follows:

 

 5-40-8  Application fee for physical therapists. – When an application is submitted to the division of professional regulation for a license to practice physical therapy in Rhode Island pursuant to this chapter, either by endorsement or by examination, the applicant shall pay a fee of one hundred twenty-five dollars ($125)  one hundred and seventy dollars ($170.00) to the state department of health.

 

5-40-8.1  Application fee for physical therapist assistants. – When an application is submitted to the department for a license to practice physical therapy in Rhode Island pursuant to this chapter, either by endorsement or by examination, the applicant shall pay a fee of ninety-three dollars and seventy-five cents ($93.75) one hundred and thirty dollars ($130.00) to the general treasurer of the state of Rhode Island.

 

5-40-10  Expiration and renewal of licenses. – (a) The certificate of every person licensed under the provisions of this chapter shall expire on the first day of May of the next even year following the date of original licensure. On or before the first day of March of each year, the administrator of the division of professional regulation shall mail an application for renewal of license to every person to whom a license has been issued or renewed during the current licensure period. Every licensed person who desires to renew his or her license shall file with the division of professional regulation a renewal application executed together with a renewal fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) for physical therapists and fifty dollars ($50.00) seventy dollars ($70.00) for physical therapist assistants on or before the thirty-first day of March of each even year.

(b) Upon receipt of the renewal application, and payment of the renewal fee, the accuracy of the application shall be verified and the administrator of professional regulation shall grant a renewal license effective the second day of May, and expiring on the first day of May of the next even year.

(c) Any person who allows his or her license to lapse by failing to renew it on or before the thirty-first day of March of the next even year, as provided in this section, may be reinstated by the administrator of professional regulation on payment of the current renewal fee plus an additional fee of twenty-five dollars ($25.00) forty dollars ($40.00).   (d) Any person using the title "physical therapist" or "physical therapist assistant" during the time that his or her license has lapsed is subject to the penalties provided for violations in this chapter.

 

SECTION 14. Sections 5-40.1-12 and 5-40.1-13 of the General Laws in Chapter 5-40.1 entitled “Occupational Therapy” are hereby amended to read as follows:

 

5-40.1-12  Renewal of licenses – Inactive status. – (a) Upon the recommendation of the board, the director shall issue to applicants who have satisfactorily met the licensure requirements of this chapter, a license to practice occupational therapy in this state. The license, unless sooner suspended or revoked, shall expire on the thirty-first (31st) day of March, of each even year (biennially).

(1) On or before the first (1st) day of March of each even year, the administrator of the division shall mail an application for renewal of license to every individual to whom a license has been issued or renewed during the current licensure period.

(2) Every licensed individual who desires to renew his or her license shall file with the division a renewal application executed together with the evidence of continuing education requirements as delineated in subdivision (3) of this subsection and the renewal fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) made payable by check to the general treasurer, state of Rhode Island, on or before the thirty-first (31st) day of March of each even year.

(3) On application for renewal of license, occupational therapists and occupational therapy assistants must show proof of participation in twenty (20) hours biennially in presentations, clinical instruction, publications, research, inservice programs, American Occupational Therapy Association-recognized conferences, university course, and/or self-study courses.

(4) Upon receipt of a renewal application and payment of fee, the director shall, upon the recommendation of the board, grant a renewal license effective the thirty-first (31st) day of March for a period of two (2) years, unless sooner suspended or revoked.

(5) Any individual who allows his or her license to lapse by failing to renew it on or before the thirty-first (31st) day of March of the next even year as provided in subdivisions (1), (2) and (3) of this subsection, may be reinstated by the director upon receiving a receipt from the division for payment of the current renewal fee plus an additional twenty-five dollars ($25.00) forty dollars ($40.00) made payable by check to the general treasurer, state of Rhode Island.

(6) An individual using the title "occupational therapist" or "occupational therapy assistant" during the time his or her license has lapsed is subject to the penalties provided for violation of those regulations and this chapter.

(b) An individual licensed as an occupational therapist or occupational therapy assistant in this state who does not intend to engage in the practice of occupational therapy within this state during any year, may upon request to the division, have his or her name transferred to an inactive status and shall not be required to register biennially or pay any fee as long as he or she remains inactive. Any individual whose name has been transferred to an inactive status pursuant to this section, may be restored to active status to practice occupational therapy without a penalty fee, upon the filing of an application for licensure renewal, the licensure renewal fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00)  made payable by check to the general treasurer of the state of Rhode Island, and any other information that may be requested by the division.

 

5-40.1-13  Fees. – When an application is submitted to the division of professional regulation for a license to practice occupational therapy in Rhode Island, the applicant shall pay a non-refundable fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) to the general treasurer. A licensee shall submit a biennial renewal fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) with a renewal application on or before the thirty-first (31st) day of March of each even year pursuant to the requirements of § 5-40.1-12(a)(2), and any person who allows his or her license to lapse by failing to renew it in the prescribed manner shall pay an additional fee of twenty-five dollars ($25.00) forty dollars ($40.00)as referred to in § 5-40.1-12(a)(5).

 

SECTION 15. Sections 5-44-12, 5-44-13, and 5-44-15 of the General Laws  in Chapter 5-44 entitled “Psychologists” are hereby amended to read as follows:

 

5-44-12  Application fee. – The applicant applying for certification as a psychologist shall pay a fee of one hundred eighty-seven dollars and fifty cents ($187.50)    two hundred and fifty dollars ($250.00) to the department of health.

 

5-44-13  Temporary permit. – (a) Pursuant to §§ 5-44-6 and 5-44-23(e) of this chapter and rules and regulations R-5-44-PSY of the department of health, a temporary permit to practice psychology under supervision may be granted to a candidate for licensure who has paid the required fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) and has satisfied the following requirements:

(1) Filed an application for licensure with all required supporting materials;

(2) Met all the requirements for admission to examination, except the requisite number f hours of post-doctoral supervised experience, in a setting and manner satisfactory to the board;

(3) Requested, in writing, the issuance of this temporary permit for the purpose of meeting the supervision requirement;

(4) Refrained from using the title "psychologist" or representing himself or herself as a psychologist other than by using the title "psychology student" or "psychology trainee"; and

(5) Completed the requisite number of hours of post-doctoral experience within three (3) years of the date of the temporary permit.

(b) The temporary permit shall expire upon notice of passing or failing the examination for licensure. If the candidate fails the examination, the permit may be extended under further requirements established by the board.

 

 5-44-15  Expiration and renewal of licenses – Continuing education – Lapsed license. – (a) The license of every person licensed under the provisions of this chapter shall expire on the first day of July next following the date of his or her license.

(b) On or before the first day of May in each year, the administrator shall mail an application for renewal of license to every person to whom a license has been issued or renewed during the current year.

(c) Every licensed person who desires to renew his or her license shall file with the division a renewal application, executed, together with a renewal fee of one hundred twenty-five dollars ($125)   one hundred and seventy dollars ($170.00), on or before the first day of June in each year. Upon receipt of a renewal application and payment of the renewal fee, the accuracy of the application shall be verified and the administrator of professional regulation shall grant a renewal license effective July 1st and expiring the following June 30th.

(d) Every licensed psychologist who desires to continue licensure as a licensed psychologist shall present satisfactory evidence to the board and approved by rule or regulation of the board that the licensed psychologist has completed a prescribed course of continuing licensed psychological education.

(e) Any person who allows his or her license to lapse, by failing to renew it on or before June 1st in each year, as provided in this section, may be reinstated by the administrator of professional regulation on payment of the current renewal fee, plus an additional fee of twenty-five dollars ($25.00) forty dollars ($40.00). Any person using the title "psychologist" or offering services defined as the practice of psychology under this chapter during the time his or her license has lapsed is subject to the penalties provided for violation of this chapter.

 

SECTION 16. Section 5-45-10 of the General Laws in Chapter 5-45 entitled “Nursing Home Administrators” is hereby amended to read as follows:

 

5-45-10  Renewal of licenses – Continuing education. – (a) Every holder of a nursing home administrator's license shall renew it every two (2) years by applying to the department on forms provided by that agency.

(b) Each renewal application shall be accompanied by the fee of one hundred fifty dollars ($150)  two hundred dollars ($200.00) .

(c) Beginning January 1, 1996, proof of satisfactory completion of a minimum of forty (40) clock hours of continuing education every two (2) years must be submitted with the renewal application.

(d) Renewals shall be granted as a matter of course, unless the agency finds the applicant has acted or failed to act in a manner or under circumstances that would constitute grounds for suspension or revocation of a license.

 

SECTION 17. Sections 5-48-1 and 5-48-9 of the General Laws in Chapter 5-48 entitled “Speech Pathology and Audiology” are hereby amended to read as follows:

 

5-48-1  Purpose and legislative intent – Definitions. – (a) It is declared to be a policy of this state that the practice of speech language pathology and audiology is a privilege granted to qualified persons and that, in order to safeguard the public health, safety, and welfare, protect the public from being misled by incompetent, unscrupulous, and unauthorized persons, and protect the public from unprofessional conduct by qualified speech language pathologists and audiologists, it is necessary to provide regulatory authority over persons offering speech language pathology and audiology services to the public.

(b) The following words and terms when used in this chapter have the following meaning unless otherwise indicated within the context:

(1) "Audiologist" means an individual licensed by the board to practice audiology.

(2) "Audiology" means the application of principles, methods, and procedures related to hearing and the disorders of the hearing and balance systems, to related language and speech disorders, and to aberrant behavior related to hearing loss. A hearing disorder in an individual is defined as altered sensitivity, acuity, function, processing, and/or damage to the integrity of the physiological auditory/vestibular systems.

(3) "Audiology support personnel" means individuals who meets minimum qualifications, established by the board, which are less than those established by this chapter as necessary for licensing as an audiologist, who do not act independently, and who work under the direction and supervision of an audiologist licensed under this chapter who has been actively working in the field for twenty-four (24) months after completion of the postgraduate professional experience and who accepts the responsibility for the acts and performances of the audiology assistant while working under this chapter. Audiology support personnel shall be registered with the board within thirty (30) days of beginning work, or the supervising audiologist will be assessed a late filing fee of fifty dollars ($50.00) seventy dollars ($70.00).

(4) "Board" means the state board of examiners for speech language pathology and audiology.

(5) "Clinical fellow" means the person who is practicing speech language pathology or audiology under the supervision of a licensed speech language pathologist or audiologist while completing the postgraduate professional experience as required by this chapter.

(6) "Person" means an individual, partnership, organization, or corporation, except that only individuals can be licensed under this chapter.

(7) "Practice of audiology" means rendering or offering to render any service in audiology, including prevention, screening, and identification, evaluation, habilitation, rehabilitation; participating in environmental and occupational hearing conservation programs, and habilitation and rehabilitation programs including hearing aid and assistive listening device evaluation, prescription, preparation, dispensing, and/or selling and orientation; auditory training and speech reading; conducting and interpreting tests of vestibular function and nystagmus; conducting and interpreting electrophysiological measures of the auditory pathway; cerumen management; evaluating sound environment and equipment; calibrating instruments used in testing and supplementing auditory function; and planning, directing, conducting or supervising programs that render or offer to render any service in audiology.

(ii) The practice of audiology may include speech and/or language screening to a pass or fail determination, for the purpose of initial identification of individuals with other disorders of communication.

(iii) A practice is deemed to be the "practice of audiology" if services are offered under any title incorporating such word as "audiology", "audiologist", "audiometry", "audiometrist", "audiological", "audiometrics", "hearing therapy", "hearing therapist", "hearing clinic", "hearing clinician", "hearing conservation", "hearing conservationist", "hearing center", "hearing aid audiologist", or any similar title or description of services.

(8) "Practice of speech language pathology" means rendering or offering to render any service in speech language pathology including prevention, identification, evaluation, consultation, habilitation, rehabilitation; determining the need for augmentative communication systems, dispensing and selling these systems, and providing training in the use of these systems; and planning, directing, conducting, or supervising programs that render or offer to render any service in speech language pathology.

(ii) The practice of speech language pathology may include nondiagnostic pure tone air conduction screening, screening tympanometry, and acoustic reflex screening, limited to a pass or fail determination, for the purpose of performing a speech and language evaluation or for the initial identification of individuals with other disorders of communication.

(iii) The practice of speech language pathology also may include aural rehabilitation, which is defined as services and procedures for facilitating adequate receptive and expressive communication in individuals with hearing impairment.

(iv) A practice is deemed to be the "practice of speech language pathology" if services are offered under any title incorporating such words as "speech pathology", "speech pathologist", "speech therapy", "speech therapist", "speech correction", "speech correctionist", "speech clinic", "speech clinician", "language pathology", "language pathologist", "voice therapy", "voice therapist", "voice pathology", "voice pathologist", "logopedics", "logopedist", "communicology", "communicologist", "aphasiology", "aphasiologist", "phoniatrist", or any similar title or description of services.

(9) "Speech language pathologist" means an individual who is licensed by the board to practice speech language pathology.

(10) "Speech language pathology" means the application of principles, methods, and procedures for prevention, identification, evaluation, consultation, habilitation, rehabilitation, instruction, and research related to the development and disorders of human communication. Disorders are defined to include any and all conditions, whether of organic or non-organic origin, that impede the normal process of human communication in individuals or groups of individuals who have or are suspected of having these conditions, including, but not limited to, disorders and related disorders of:

(i) Speech: articulation, fluency, voice, (including respiration, phonation and resonance);

(ii) Language (involving the parameters of phonology, morphology, syntax, semantics and pragmatics; and including disorders of receptive and expressive communication in oral, written, graphic, and manual modalities);

(iii) Oral, pharyngeal, laryngeal, cervical esophageal, and related functions (e.g., dysphasia, including disorders of swallowing and oral function for feeding; oro-facial myofunctional disorders);

(iv) Cognitive aspects of communication (including communication disability and other functional disabilities associated with cognitive impairment); and

(v) Social aspects of communication (including challenging behavior, ineffective social skills, lack of communication opportunities).

(11) "Speech language support personnel" means individuals who meet minimum qualifications established by the board, which are less than those established by this chapter as necessary for licensing as a speech language pathologist, who do not act independently, and who work under the direction and supervision of a speech language pathologist licensed under this chapter who has been actively working in the field for twenty-four (24) months after completion of the postgraduate professional experience and who accepts the responsibility for the acts and performances of the speech language pathology assistant while working under this chapter. Speech language support personnel shall be registered with the board within thirty (30) days of beginning work, or the supervising speech language pathologist will be assessed a late filing fee of fifty dollars ($50.00) seventy dollars ($70.00).

 

5-48-9  Fees – Late filing – Inactive status. – (a) The board may charge an application fee of thirty-one dollars and fifty cents ($31.50) fifty dollars ($50.00); a biennial license renewal fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) payable before July 1 of even years (biennially); or a provisional license renewal fee of thirty-one dollars and fifty cents ($31.50) fifty dollars ($50.00) payable annually from the date of issue.

(b) Any person who allows his or her license to lapse by failing to renew it on or before the thirtieth (30th) day of June of even years (biennially), may be reinstated by the board on payment of the current renewal fee plus an additional late filing fee of twenty-five dollars ($25.00 forty dollars ($40.00).

(c) An individual licensed as a speech language pathologist and/or audiologist in this state, not in the active practice of speech-language pathology or audiology within this state during any year, may upon request to the board, have his or her name transferred to an inactive status and shall not be required to register biennially or pay any fee as long as he or she remains inactive. Inactive status may be maintained for no longer than two (2) consecutive licensing periods, after which period licensure shall be terminated and reapplication to the board shall be required to resume practice.

(d) Any individual whose name has been transferred to an inactive status may be restored to active status within two (2) licensing periods without a penalty fee, upon the filing of:

(1) An application for licensure renewal, with a licensure renewal fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) made payable by check to the general treasurer of the state of Rhode Island; and

(2) Any other information that the board may request.

 

SECTION 18. Section 23-19.3-5 of the General Laws in Chapter 23-19.3 entitled "Sanitarians" is hereby amended to read as follows:

 

23-19.3-5. Application for registration -- Examination -- Issuance of certificate. -- (a) A person who desires to be registered as a sanitarian shall file with the division of professional regulation an application upon a form to be prescribed and furnished by the division of professional regulation. He or she shall include in the application, under oath, his or her qualifications as a sanitarian. The application shall be accompanied by a registration fee of one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170).

 (b) If the division of professional regulation deems the education qualifications of the applicant are satisfactory and if he or she passes an examination, both written and oral, satisfactory to the division of professional regulation, the division shall issue him or her a certificate of registration. The certificate of registration shall expire at the end of the calendar year, and may be renewed on or before January fifteenth of the following year. The fee for renewal of a certificate of registration shall be thirty-seven dollars and fifty cents ($37.50) fifty dollars ($50).

 

SECTION 19. Sections 5-54-9 and 5-54-11 of the General Laws in Chapter 5-54 entitled “Physician Assistants” are hereby amended to read as follows:

 

5-54-9  Criteria for licensure as a physician assistant. – The board shall recommend to the director for licensure as a physician assistant an applicant who:

(1) Is of good character and reputation;

(2) Graduated from a physician assistant training program certified by the AMA's Committee on Allied Health, Education, and Accreditation, its successor, the Commission on Accreditation of Allied Health Education Programs (CAAHEP) or its successor.

(3) Passed a certifying examination approved by the National Commission on Certification of Physician Assistants or any other national certifying exam approved by the board.

(4) Submitted a completed application together with the required fee of sixty-two dollars and fifty cents ($62.50)   ninety dollars ($90.00).

 

5-54-11  Issuance and annual renewal of certificates of licensure. – (a) The board shall recommend to the director for registration those individuals who meet the criteria for licensure as stated in this chapter. Upon that recommendation, the director shall issue a certificate of licensure as a physician assistant.

(b) The certificate of licensure shall expire biannually on the thirtieth (30th) day of June. On or before the first day of March in each year, the administrator shall mail an application for a renewal certificate to every person licensed under the provisions of this chapter, and every person who desires his or her certificate to be renewed shall file with the division the renewal application together with a renewal fee of one hundred twenty-five dollars ($125.00) one hundred and seventy dollars ($170.00) on or before the first day of June in every other year. Upon receipt of the renewal application and payment of fee, the accuracy of the application shall be verified and the administrator shall grant a renewal certificate effective July 1st and expiring June 30th two years hence, unless the certificate is sooner suspended for cause as provided in § 5-54-12.

 

SECTION 20. Sections 5-59.1-5 and 5-59.1-12 of the General Laws in Chapter 5-59.1 entitled “Rhode Island Orthotics and Prosthetics Practice” are hereby amended to read as follows:

 

5-59.1-5. Application for orthotic or prosthetic license. -- Any person who desires to be licensed as set forth in section 5-59.1-4 shall in writing submit an application on forms provided by the department for a license accompanied by a fee of two hundred fifty dollars ($250)  three hundred and thirty dollars ($330.00) with all other credentials that the department requires and as required by this chapter. All the proceeds of any fees collected pursuant to the provisions of this chapter shall be deposited as general revenues.

 

5-59.1-12. Relicensing -- Renewal. -- Every holder of a license issued under this chapter shall biannually attest to the department as to current certification issued by the American Board of Certification in Orthotics and Prosthetics or the Board for Orthotists/Prosthetist Certification. All licenses issued under this chapter shall expire biannually on the last day of September of every odd numbered year. A biannual  biennial renewal fee of one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00) shall be required. Every orthotist and prosthetist shall conform to the standards of the American board for certification in orthotics and prosthetics or board for orthotists/prosthetists certification.

 

SECTION 21.  Sections 5-63.2-16, and 5-63.2-17 of the General Laws in Chapter 5-63.2 entitled “Mental Health Counselors and Marriage and Family Therapists” are hereby amended to read as follows:

 

5-63.2-16  Application fee. – The applicant applying for licensure as a clinical mental health counselor or marriage and family therapist shall pay an application fee of three hundred fifty dollars ($350)  four hundred and sixty ($460.00) and the fee shall be in no case returned. Applicants requiring reexamination shall submit a fee of three hundred fifty dollars ($350) four hundred and sixty ($460.00)  for each reexamination.

 

5-63.2-17  Expiration and renewal of license. – (a) Every clinical mental health counselor and marriage and family therapist who desires to continue licensure as a licensed clinical mental health counselor and licensed marriage and family therapist shall present satisfactory evidence to the board and approved by rule or regulation of the board that the licensed clinical mental health counselor and licensed marriage and family therapist has completed a prescribed course of continuing education. The license of every person licensed under the provisions of this chapter shall expire on the first day of July of the next even year following the date of his or her license; provided, that no license shall expire prior to July 1, 1998. On or before the first day of May in each even year, commencing in the year 1998, the administrator shall mail an application for renewal of license to every person to whom a license is issued or renewed during the current year, and every licensed person who desires to renew his or her license files with the division the renewal application executed. This application shall include verification of prescribed continuing education requirements, together with two hundred fifty dollars ($250) three hundred and thirty dollars ($330.00) on or before the first day of June in each even year. Upon receipt of the application and payment of the fee, the accuracy of the application shall be verified and the administrator of professional regulation shall grant a renewal license effective July 1st and expiring twenty-four (24) months later.

(b) Any person who allows his or her license to lapse, by failing to renew it on or before June 1st in each year, as provided in this section, shall be reinstated by the administrator of professional regulation on payment of the current renewal fee plus an additional fee of fifty dollars ($50.00) seventy dollars ($70.00); and verification of prescribed continuing education requirements. Any person using the title "clinical mental health counselor" and/or "marriage and family therapist" during the time his or her license has lapsed shall be subject to the penalties provided for violation of this chapter; provided, that if a person has allowed his or her licensure to lapse for four (4) years or more, he or she shall be reinstated at the discretion of the board.

 

SECTION 22. Sections 5-64-6 and 5-64-8 of the General Laws in Chapter 5-64 entitled “The Licensed Dietician” are hereby amended to read as follows:

 

5-64-6  Applicant qualifications – Permit applications – Fees – Exemptions. – (a) When filing an application for a license the applicant must present evidence of:

(1) Completion of a baccalaureate or post-baccalaureate degree with a program in nutrition or dietetics; and

(2) Completion of a board approved, planned, continuous experience in dietetic practice of not less than nine hundred (900) hours under the supervision of a registered dietitian or dietitian/nutritionist licensed in the state; and

(3) Passing an examination.

(b) Each application shall be accompanied by a fee of sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) .

 

5-64-8  Fees. – Licenses shall be valid for two (2) years and must be renewed biennially; the renewal fee is one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00). Application for renewal of a certificate, which has expired, requires the payment of a re-registration fee of one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00).

 

SECTION 23. Section 5-68-9 of the General Laws in Chapter 5-68 entitled “Board of Radiologic Technology” is hereby amended to read as follows:

 

5-68-9  Fees. – (a) The director shall, in consultation with the board, establish a schedule of fees for licenses and for renewal as licenses for radiologic technologists.

(b) The initial application fee and renewal fee shall not exceed one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00), and shall be prescribed in rules and regulations.

 

SECTION 24.  Sections 5-71-5 and 5-71-8 of the General Laws in Chapter 5-71 entitled “Interpreters for the Deaf” are hereby amended to read as follows:

 

5-71-5  Board of examiners – Duties and powers – Meetings – Compensation of members. – (a) The board shall administer, coordinate and enforce the provisions of this chapter, evaluate the qualifications of applicants, and may issue subpoenas, examine witnesses, and administer oaths, and investigate persons engaging in practices which violate the provisions of this chapter.

(b) The board shall conduct hearings and shall keep records and minutes that are necessary for the orderly dispatch of business.

(c) The board shall hold public hearings regarding rules and regulations.

(d) The board, with the approval of the director of the department of health, in accordance with the rule-making provisions of the Administrative Procedures Act, chapter 35 of title 42, shall adopt responsible rules and regulations, and may amend or repeal those rules and regulations. Following their adoption, the rules and regulations shall govern and control the professional conduct of every person who holds a license to practice interpreting or transliterating for the deaf in the state of Rhode Island. Rules and regulations shall be kept on file within the department of health, division of licensure and regulation, and shall be available for public inspection.

(e) The examination instrument used for testing shall not be available for public inspection and may be changed as the board deems necessary.

(f) Every licensed interpreter for the deaf, upon commencing to practice, shall immediately notify the board of his or her address or addresses. Every licensed interpreter for the deaf practicing as previously stated, before July first, shall annually pay to the department of health a license fee which does not exceed thirty-seven dollars and fifty cents ($37.50)  fifty dollars ($50.00) commencing in January, 1998. Each licensed interpreter for the deaf shall promptly notify the board of any change in his or her office address or addresses, and shall furnish any other information to the board that it may require. The board may suspend the authority of any licensed interpreter for the deaf to practice for failure to comply with any of the above requirements. The board shall make available for public inspection, a complete list of the names of all interpreters for the deaf licensed and practicing in the state, arranged alphabetically by name.

(g) Regular meetings of the board shall be held at the time and places that it prescribes and special meetings may be held upon the call of the chairperson as necessary to deal with such issues as violations of this chapter; provided, that at least one regular meeting is held each calendar year.

(h) The board shall have its first meeting on or before December 31, 1996, and shall have its rules and regulations, and written examination adopted no later than December 31, 1997. Licensure and examinations shall commence after January 1, 1998.

(i) The conferral or enumeration of specific powers in this chapter shall not be construed as a limitation of the general powers conferred by the section. No member of the board shall be liable to civil action for any act performed in good faith in the performance of his or her duties as prescribed by this chapter.

(j) Board members shall serve on an honorable basis without compensation.

(k) The board may request legal advice and assistance from the appropriate legal officer.

 

5-71-8. Qualifications of applicants for licenses. -- To be eligible for licensure by the board as an interpreter or transliterator for the deaf, the applicant must submit written evidence on forms furnished by the department, verified by oath, that the applicant meets all of the following requirements:

 (1) Is of good moral character; and

 (2) Meets the certification or screened requirements as defined in regulations promulgated by the department.; and

(3) Pays the department a license fee, that does not exceed fifty dollars ($50.00).

 

SECTION 25. Section 23-1-39 of the General Laws in Chapter 23-1 entitled “Department of Health” is hereby amended to read as follows:

 

23-1-39  Tattooing and/or body piercing. – (a) The director shall promulgate rules and regulations which provide minimum requirements to be met by any person performing tattooing and/or body piercing upon any individual and for any establishment where tattooing and/or body piercing is performed. These requirements shall include, but not be limited to, general sanitation of premises wherein tattooing and/or body piercing is to be performed and sterilization of instruments. These rules and regulations shall place emphasis on the prevention of disease, specifically including, but not limited to, transmission of hepatitis B and/or human immunodeficiency virus (HIV).

(b) In addition, these rules and regulations shall establish procedures for registration with the department of health of all persons performing tattooing and/or body piercing, for registration of any establishment where tattooing and/or body piercing is performed, for regular inspections of premises where tattooing and/or body piercing is performed, and for revocation of the registration of any person or establishment deemed in violation of the rules and regulations promulgated under this section. An annual registration fee in the amount of sixty-two dollars and fifty cents ($62.50)  ninety dollars ($90.00) shall be paid by any person or establishment registered to perform tattooing and/or body piercing under this section. All fees shall be deposited by the department as general revenues.

(c) Body piercing of a minor is prohibited; provided, however, that body piercing will be allowed if the minor is accompanied by his or her parent or guardian, and the parent or guardian gives consent to the body piercing.

 

SECTION 26. Section 23-3-25 of the General Laws in Chapter 23-3 entitled “Vital Records” is hereby amended to read as follows:

 

23-3-25  Fees for copies and searches. – (a) The state registrar shall charge fees for searches and copies as follows:

(1) For a search of two (2) consecutive calendar years under one name and for issuance of a certified copy of a certificate of birth, fetal death, death, or marriage, or a certification of birth, or a certification that the record cannot be found, the fee is fifteen dollars ($15.00) twenty dollars ($20.00). For each duplicate copy of a certificate or certification issued at the same time, the fee is ten dollars ($10.00) fifteen dollars ($15.00).

(2) For each additional calendar year search, if applied for at the same time or within three (3) months of the original request and if proof of payment for the basic search is submitted, the fee is fifty cents ($.50) two dollars ($2.00).

(3) For providing expedited service, the additional handling fee is five dollars ($5.00) seven dollars ($7.00).

(4) For processing of adoptions, legitimations, or paternity determinations as specified in §§ 23-3-14 and 23-3-15, there shall be a fee of ten dollars ($10.00) fifteen dollars ($15.00).

(5) For making authorized corrections, alterations, and additions, the fee is five dollars ($5.00) ten dollars ($10.00); provided, no fee shall be collected for making authorized corrections or alterations and additions on records filed before one year of the date on which the event recorded has occurred.

(6) For examination of documentary proof and the filing of a delayed record, a fee of fifteen dollars ($15.00) twenty dollars ($20.00); and in addition to that fee, the fee is fifteen dollars ($15.00) twenty dollars ($20.00); for the issuance of a certified copy of a delayed record.

(b) Fees collected under this section by the state registrar shall be deposited in the general fund of this state, according to the procedures established by the state treasurer.

(c) The local registrar shall charge fees for searches and copies of records as follows:

(1) For a search of two (2) consecutive calendar years under one name and for issuance of a certified copy of a certificate of birth, fetal death, death, delayed birth, or marriage, or a certification of birth or a certification that the record cannot be found, the fee is fifteen dollars ($15.00) twenty dollars ($20.00).  For each duplicate copy of a certificate or certification issued at the same time, the fee is ten dollars ($10.00) fifteen dollars ($15.00).

(2) For each additional calendar year search, if applied for at the same time or within three (3) months of the original request and if proof of payment for the basic search is submitted, the fee is fifty cents ($.50) two dollars ($2.00).

(d) Fees collected under this section by the local registrar shall be deposited in the city or town treasury according to the procedures established by the city or town treasurer except that three dollars ($3.00) six dollars ($6.00) of the certified copy fees shall be submitted to the state registrar for deposit in the general fund of this state.

 

SECTION 27. Section 23-4-13 of the General Laws in Chapter 23-4 entitled “Office of the State Medical Examiner” is hereby amended to read as follows:

 

23-4-13  Establishment of fees. – The director of the department of health may shall establish reasonable fees of not less than ten dollars ($10.00) nor more than fifty dollars ($50.00)  a fee of forty dollars ($40.00) for autopsy reports, a fee of thirty dollars ($30.00) for cremation certificates, and statistics, and not less than five hundred dollars ($500) six hundred and fifty dollars ($650.00) per hour nor more than twenty-five hundred dollars ($2,500) thirty two hundred and fifty dollars ($3,250.00) per day to give testimony in civil suits under this chapter.  The director is authorized to establish in regulation reasonable fees for additional documents not otherwise specified in this section. All of these fees shall be collected and deposited as general revenues; provided, however, that no city or town, or any agency or department of a city and town within the state, or the department of human services, shall be required to pay any fees established by the director pursuant to this section. The fee for an autopsy report shall not exceed thirty dollars ($30.00) and the fee for a cremation certificate shall not exceed twenty dollars ($20.00).

 

SECTION 28. Section 23-4.1-10 of the General Laws in Chapter 23-4.1 entitled “Emergency Medical Transportation Services” is hereby amended to read as follows:

 

23-4.1-10  Regulations and fees. – (a) The director shall be guided by the purposes and intent of this chapter in the making of regulations as authorized by this chapter.

(b) The director may issue regulations necessary to bring into effect any of the provisions of this chapter.

(c) The director may charge a license fee of not more than three hundred seventy-five dollars ($375) four hundred and ninety dollars ($490.00) for an annual license for an ambulance service, a license fee of not more than one hundred eighty-seven dollars and fifty cents ($187.50) two hundred and fifty dollars ($250.00) for an annual vehicle license, and a license fee of not more than sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) for an emergency medical technician license.

(2) The director may charge an examination fee of not more than sixty-two dollars and fifty cents ($62.50) ninety dollars ($90.00) for examinations for an emergency medical technician license and may charge an inspection fee of not more than one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00) for inspections for a vehicle license.

(3) The director is also authorized to establish reasonable fees for other administrative actions that the director shall deem necessary to implement this chapter. The fees provided for in this section shall be deposited as general revenues and shall not apply to any city or town employee providing services referenced in this chapter on behalf of the city or town, and shall not apply to any individual providing services referenced in this chapter on behalf of any bona fide volunteer or not for profit organization. Further, the services licensure fees and vehicle inspection fees shall not apply to services and vehicles operated by any city, town, or fire district or to services and vehicles operated by bona fide volunteer or not for profit organizations.

 

SECTION 29. Section 23-16.2-4 of the General Laws in Chapter 23-16.2 entitled “Laboratories” is hereby amended to read as follows:

 

23-16.2-4  License required for clinical laboratories – Term of license – Application – Fee. – (a) It shall be unlawful for any persons, corporation, or other form of business entity to perform clinical or analytical laboratory services on specimens collected in this state or to own or maintain a laboratory or station in this state without having a license issued by the department of health pursuant to this chapter. A license, unless sooner suspended or revoked under the provisions of this chapter, shall expire on the thirtieth (30th) day of December of every other year following the date of license. This will be determined on an odd-even basis with respect to the license number. Each license shall be issued only to conduct the tests approved and for the premises and persons named in the application, and shall not be transferable or assignable. The fee for a clinical laboratory license shall be five hundred dollars ($500) six hundred and fifty dollars ($650.00) for each specialty for which the laboratory is approved. The fee for a station license shall be five hundred dollars ($500) six hundred and fifty dollars ($650.00). The fees shall be made payable to the general treasurer, state of Rhode Island, and submitted with the application to the department of health.

(b) It shall be unlawful for any persons, corporations, or other form of entity to own, operate, maintain, conduct, or sponsor a temporary or ad hoc screening program without having obtained a permit from the director of health. The fee for any permit shall be fifty dollars ($50.00) seventy dollars ($70.00). It is within the director's discretion to waive the fee. All fees shall be made payable to the general treasurer, state of Rhode Island. Nothing contained in this section shall require any licensed persons, corporations, or other entity to pay the permit fee, if the screening program is provided free of charge to the public by the licensed persons, corporation, or entity. 

 

SECTION 30. Section 23-17-38 of the General Laws in Chapter 23-17 entitled “Licensing of Health Care Facilities” is hereby amended to read as follows:

 

23-17-38  Establishment of fees. – The director shall establish fees for licensure application, licensure renewal, inspection, and administrative actions under this chapter. Annual inspection fees for hospitals and rehabilitation hospital centers shall be thirteen thousand dollars ($13,000) sixteen thousand nine hundred dollars ($16,900.00) per facility plus an additional fee of ninety dollars ($90.00) one hundred and twenty dollars ($120.00) per bed. Annual licensure fees for health maintenance organizations and for profit end stage renal dialysis facilities shall be three thousand dollars ($3,000) three thousand nine hundred dollars ($3,900.00) per facility. Annual licensure fees for home nursing care providers and home care providers shall be five hundred dollars ($500) six hundred and fifty dollars ($650.00) per facility; however, no additional license fee shall be charged when a home nursing care provider or home care provider changes location during any calendar year for which an annual license fee has already been paid for that home nursing care provider or home care provider. Annual licensure fees for organized ambulatory care facilities shall be  five hundred dollars ($500) six hundred and fifty dollars ($650.00), provided that not-for-profit entities operating more than one ambulatory care facility shall be subject to a single annual licensure fee for all such licenses; provided, further, that nonprofit charitable community health centers, school based health centers and nonprofit hospice programs with a current home nursing care provider license shall be exempt from the fee. All annual licensure fees not otherwise designated shall be established in regulation and shall be collected and deposited as general revenues of the state.

 

SECTION 31. Section 23-17.4-31 of the General Laws in Chapter 23-17.4 entitled “Assisted Living Residence Licensing act” is hereby amended to read as follows:

 

23-17.4-31  Establishment of fees. – The director may establish reasonable fees for the licensure application, licensure renewal, and administrative actions under this chapter. Annual licensure fees shall be two hundred and fifty dollars ($250)  three hundred and thirty dollars ($330.00) per licensee plus an additional fee of fifty dollars ($50.00) seventy dollars ($70.00) per licensed bed, where applicable.

 

SECTION 32. Section 23-20.8-3 of the General Laws in Chapter 23-20.8 entitled “Licensing of Massage Therapy Establishments” is hereby amended to read as follows:

 

23-20.8-3  Practice of massage – Use of titles limited – Qualifications for licenses – Fees. – (a) Only a person licensed under this chapter shall practice massage.

(b) Only a person licensed under this chapter as a massage therapist may use the title "massage therapist." Only a person licensed under this chapter may use the title "masseur" or "masseuse."

(c) No person, firm, partnership, or corporation shall describe its services under the title "massage" or "massage therapy" unless these services, as defined in § 23-20.8-1, are performed by a person licensed to practice massage under this chapter, and, if described as "massage therapy," by a massage therapist.

(d) Application for licenses as a masseur or masseuse, or as a massage therapist, shall be issued by the department of health. Except for persons licensed as massage therapists, the department shall establish minimum educational and training requirements for the persons to be licensed under this chapter and shall have the authority to take disciplinary action against a licensee for knowingly placing the health of a client at serious risk without maintaining the proper precautions.

(e) The fee for original application for licensure as a massage therapist shall be thirty-one dollars and twenty-five cents ($31.25) fifty dollars ($50.00).The fee for annual license renewal shall be thirty-one dollars and twenty-five cents ($31.25) fifty dollars ($50.00). Fees for all other licenses under this chapter shall be fixed in an amount necessary to cover the cost of administering this chapter.

(f) Any person applying for a license under this chapter shall undergo a criminal background check. Such persons shall apply to the bureau of criminal identification of the state police or local police department for a nationwide criminal records check. Fingerprinting shall be required. Upon the discovery of any disqualifying information as defined in § 23-20.8-5, the bureau of criminal identification of the state police or the local police department shall inform the applicant, in writing, of the nature of the disqualifying information. The applicant shall be responsible for payment of the costs of the criminal records check. 

 

SECTION 33. Sections 23-17.9-3, 23-17.9-5, 23-17.9-6 and 23-17.9-7 of the General Law in Chapter 23-17.9 entitled “Registration of Nursing Assistants” are hereby amended to read as follows:

 

23-17.9-3  Training and competency evaluation program for levels of nursing assistants. – Standards for training and/or competency evaluation programs for nursing assistants and exemptions for applicants from the requirements of training programs shall be consistent with federal statutory and regulatory requirements and shall be defined according to the rules and regulations promulgated by the department of health. The national standards pertaining to nursing assistants, nurse aides-home health aides, and the national home caring council or its succeeding agency, (model curriculum and teaching guide for the instruction of homemaker-home health aide) and any other appropriate standards shall serve as guidelines in the development of regulatory standards for other levels of nursing assistants as determined by the director. The department may require a fee of not more than three hundred twelve dollars and fifty cents ($312.50)  four hundred and ten dollars ($410.00) as an application fee for biennial training and competency evaluation program certification.

 

23-17.9-5  Qualifying examination. – Nursing assistants as defined in § 23-17.9-2 who are employed or have had experience as a nursing assistant prior to the enactment of this chapter, and the effective date of the regulations promulgated in relation to this chapter, shall pass the appropriate level of examination administered by the department approved by the director in lieu of the training program. Exempt from the qualifying examination are home health aides/homemakers who have successfully passed the qualifying examination and/or successfully completed an approved home health aide/homemaker program under the provisions of chapter 17.7 of this title and the regulations promulgated in relation to that chapter. Also exempt from the qualifying examination are classes of individuals, regardless of employment setting, who are exempted from examination by federal statute or regulations and these exemptions shall be defined according to rules and regulations promulgated by the department of health. Successful completion of the qualifying examination and the provisions of this section shall be deemed satisfactory for employment as a nursing assistant. Unless exempted by rules and regulations promulgated by the department of health, each application must be submitted with a processing fee of twenty-five dollars ($25.00) forty dollars ($40.00) to be paid by the employing facility or agency if the applicant has been continuously employed by the facility for six (6) months prior to the application or by another responsible party as defined in rules and regulations promulgated by the department of health consistent with federal statutory and/or regulatory requirements; but, if the applicant is unemployed, to be submitted by the applicant. If the applicant shall be continuously employed by the same facility for six (6) months after the application, then the fee shall be directly refunded to the applicant by the facility or agency. If federal statutory or regulatory requirements mandate that the certifying agency conduct an examination of manual skills proficiency as a component of the examination process to meet minimal federal compliance, a manual skills proficiency examination may be required by rules and regulations promulgated by the department of health for all applicants not otherwise exempted from the examination requirements. If a manual skills proficiency examination is required to be conducted by the certifying agency as a component of the certifying examination, each application shall be accompanied by a fee not to exceed ninety-five dollars ($95.00) one hundred and thirty dollars ($130.00) to be paid by the employing facility or agency if the applicant has been continuously employed by the facility for six (6) months prior to the application or by another responsible party as defined in rules and regulations promulgated by the department of health consistent with federal statutory and/or regulatory requirements; but, if the applicant is unemployed, to be submitted by the applicant. If the applicant shall be continuously employed by the same facility for six (6) months after the application, then the fee shall be directly refunded on a pro rata basis between months six (6) and twelve (12) to the applicant by the facility or agency.

 

23-17.9-6  Registration. – Every nursing assistant being employed as a nursing assistant or offering services as a nursing assistant must obtain a certificate of registration issued by the department. Every nursing assistant, prior to being issued a certificate of registration by the department, shall successfully complete the training program and/or qualifying examination as required by §§ 23-17.9-3 and 23-17.9-5 unless otherwise exempt from the requirements. All applicants not otherwise exempted are required to complete the process of training and examination within a period of one year from the date of initiation of training. Failure to successfully complete this process within one year requires that the applicant repeat the training program and be retested. All nursing assistants shall be registered with and qualified by the department of health. The fee for registration is twenty-four dollars ($24.00) forty dollars ($40.00) . The department shall keep a register in which are entered the names of all persons to whom certificates of registration are issued under this chapter and the register shall be open to public inspection. In addition, if required by federal mandate the department will also keep a separate nurse aide registry.

 

23-17.9-7  Renewal of certificate of registration. – Every holder of a nursing assistant certificate of registration shall register biennially by making application to the department on forms provided by the agency. The renewals shall be granted as a matter of course, upon payment of a fee of twenty-four dollars ($24.00) forty dollars ($40.00)  unless the agency finds that the applicant has acted or failed to act in a manner under the circumstances that would constitute grounds for suspension or revocation of a certificate of registration.

 

SECTION 34. Section 23-39-11 of the General Laws in Chapter 23-39 entitled “Respiratory Care Act” is hereby amended to read as follows:

 

23-39-11  Fees. – (a) The director, in consultation with the board, shall establish a schedule of reasonable fees for licenses, and for renewal of licenses for respiratory care practitioners.

(b) The initial application fee shall be one hundred twenty-five dollars ($125) one hundred and seventy dollars ($170.00).

(c) A biennial license renewal fee shall be established in an amount of one hundred dollars ($100)  one hundred and thirty dollars ($130.00).

 

SECTION 35.  Sections 23-61-4 and 23-61-8 of the General Laws in Chapter 23-61 entitled “Radon Control” are hereby amended to read as follows:

 

23-61-4 Authority of the director. – The director is authorized to:

(1) Designate a unit within the department to administer the provisions of this chapter and provide that unit with the necessary staff, equipment, and operating funds.

(2) Receive and administer funding allocated for radon control programs by the state, agencies of the federal government and other appropriate funding sources.

(3) Require the owner of any public or high priority building to perform such tests for radon as he or she may determine to be necessary to characterize the exposure of occupants to radon/radon progeny in the air of the building and/or in the building water supply.

(4) Conduct a voluntary radon/radon progeny testing program for residents of owner occupied residential dwellings in the state.

(5) Enter any public or high priority building in the state in accordance with §§ 23-61-7(a)(1) and 23-61-7(b)(4) to perform such tests for radon as he or she may determine to be necessary to evaluate the exposure of occupants to radon/radon progeny in the air of the building and/or in the building water supply.

(6) Institute a public information program to include a telephone information service, written materials, and media advertisements with the purpose of informing the public regarding radon/radon progeny health effects, the necessity for testing of homes and other buildings, the recommended practices for reducing elevated levels of radon and related issues.

(7) Develop and forward for adoption by the state building code commission recommendations for standards of new construction designed to prevent or more easily mitigate elevated radon/radon progeny levels.

(8) Issue regulations for the following purposes:

(i) To establish indoor environmental air exposure standards and guidelines for radon and radon progeny;

(ii) To establish a drinking water standard for radon;

(iii) To establish criteria for air and water sampling, and testing for radon and radon progeny;

(iv) To establish criteria for notification of the department of mitigation activities to reduce radon/radon progeny exposures in high priority buildings and public water supplies;

(v) To establish criteria for licensure and certification of persons involved in radon/radon progeny testing and mitigation services;

(vi) To require radon/radon progeny testing by appropriate school officials of each area within public and private schools occupied by children in pre-kindergarten through 12th grade;

(vii) To establish work practices and procedures for mitigation of radon/radon progeny in buildings;

(viii) To establish procedures for notifications required by § 23-61-6;

(ix) To assess fees for activities authorized by this chapter.

(9) In promulgating standards, guidelines and regulations and in setting fees authorized by this chapter, the director shall:

(i) Give due consideration to recommendations, standards, guidelines and definitions of other states and the United States;

(ii) Shall follow the provisions of chapter 35 of title 42.

 

23-61-8  Establishment of fees. – A one-time surcharge shall be assessed on new residential construction, excluding renovations, at the rate of one cent ($0.01) two cents ($0.02) per square foot under roof floor space. This surcharge shall be collected by the local building official at the time an application for a building permit is submitted. The local building official shall collect the surcharge and remit the funds collected to the department on a quarterly calendar basis beginning no later than October 31, 1992 October 31, 2007 for the preceding quarter, and continuing each third month thereafter. The local building official shall also submit, on the same calendar basis, documentation of all building permits for new residential construction issued during the previous calendar quarter. The unit of municipal government issuing the new residential construction building permits may retain five percent (5%) of the surcharge collected to cover costs associated with the collection and remittance of the surcharge. All funds remitted to the department pursuant to this section shall be deposited in the general fund as general revenues.

 

SECTION 36. Section 21-2-7 of the General Laws in Chapter 21-2 entitled "Milk Sanitation Code" is hereby amended to read as follows:

 

21-2-7. Permits. -- (a) It shall be unlawful for any milk producer whose dairy farm is located wholly or partly in this state to sell or to offer to sell milk or milk products or to have milk stored for sale who does not possess at all times a Rhode Island producer's permit from the director.

 (b) It shall be unlawful for any milk hauler to transport any milk or milk products to any milk plant in the state of Rhode Island or to transport any milk in this state destined for sale in this state unless he or she shall at all times possess a Rhode Island milk hauler's permit from the director.

 (c) It shall be unlawful for any person to operate a milk plant in the state of Rhode Island who does not possess a Rhode Island milk plant permit from the director with respect to each plant located in Rhode Island.

 (d) It shall be unlawful for any milk distributor to sell or offer to sell milk or milk products, including raw milk cheese, within the state of Rhode Island unless he or she shall at all times possess a milk distributor's permit from the director.

 (e) It shall be unlawful for any milk hauler to transport any milk or milk products from any point outside the state into the state of Rhode Island for sale or processing in this state or for any milk plant located in Rhode Island to process any milk or milk products which come from any point outside the state of Rhode Island or for any milk distributor to sell any milk or milk products within this state which come from any point outside this state, unless:

 (1) Every producer who produces any part of the milk or milk products shall have been inspected and shall from time to time be inspected with the same minimum frequency, to the same degree, and according to the same requirements as provided in this chapter or any regulations promulgated under this chapter in the case of Rhode Island producers;

 (2) Every vehicle in which the milk is transported to the plant where processed shall from time to time be inspected with the same minimum frequency, to the same degree, and according to the same requirements as provided in this chapter or any regulations promulgated pursuant to this chapter in the case of Rhode Island milk hauler permittees; and

 (3) The operator of each milk plant located outside the state of Rhode Island where any part of the milk is processed at all times possesses an out-of-state milk plant permit from the director.

 (f) It shall be unlawful for any person located in the state of Rhode Island to sell or offer for sale to any milk hauler or milk plant, or for any milk plant to pasteurize any raw milk for pasteurization, any part of which shall be used for grade A pasteurized milk or for any grade A milk product, unless the person at all times is in possession of a Rhode Island grade A producer's permit.

 (g) The fees for the permits referred to in this section shall be as follows:

 (1) in-state milk processors: one hundred twenty dollars ($120);  one hundred sixty dollars ($160);

(2) out-of-state milk processors: one hundred twenty dollars ($120); one hundred sixty dollars ($160);

 (3) milk distributors: one hundred twenty dollars ($120);  one hundred sixty dollars ($160);

(4) milk producers and milk haulers shall be exempt from permit fees.

 

SECTION 37. Section 21-9-3 of the General Laws in Chapter 21-9 entitled "Frozen Desserts" is hereby amended to read as follows:

 

21-9-3. License fee. -- The annual license fee shall be as follows:

 (1) Instate wholesale frozen dessert processors: four hundred and twenty dollars ($420). five hundred and fifty dollars ($550).

 (2) Out of state wholesale frozen dessert processors: one hundred twenty dollars ($120). one hundred sixty dollars ($160).

 (3) Retail frozen dessert processors: one hundred twenty dollars ($120). one hundred sixty dollars ($160).

 

SECTION 38. Section 21-11-4 of the General Laws in Chapter 21-11 entitled "Meats" is hereby amended to read as follows:

 

21-11-4. Issuance and term of licenses -- Suspension or revocation. -- The director of health shall, upon receipt of application for a license to operate an establishment for any or all of the purposes mentioned in section 21-11-3, cause that establishment to be inspected and, if it is found to conform to the provisions of this chapter and the regulations adopted in accordance with this chapter, shall issue a license upon receipt of a fee of one hundred twenty dollars ($120); one hundred sixty dollars ($160); provided, that the license fee shall be twenty four dollars ($24.00) forty dollars ($40.00) for any one establishment where: (1) the meat is sold only at retail, (2) no slaughtering is performed, and (3) no more than one of the activities described in section 21-11-3 for which a license is required is performed. In order to set the license renewal dates so that all activities for each establishment can be combined on one license instead of on several licenses, the department of health shall set the license renewal date. The license period shall be for twelve (12) months, commencing on the license renewal date, and the license fee shall be at the full annual rate regardless of the date of application or the date of issuance of license. If the license renewal date is changed, the department may make an adjustment to the fees of licensed establishments, not to exceed the annual license fee, in order to implement the change in license renewal date. Applications for renewal of licenses, accompanied by the prescribed fee, shall be submitted at least two (2) weeks before the renewal date. Licenses issued or renewed under this section may be suspended or revoked for failure to comply with the provisions of this chapter or the regulations adopted in accordance with this chapter.

 

SECTION 39. Section 21-14-2 of the General Laws in Chapter 21-14 entitled "Shellfish Packing Houses" is hereby amended to read as follows:

 

21-14-2. License for shellfish business. -- No person shall conduct within this state any shellfish business until that person shall have obtained a license from the department. The director shall, upon receipt of application for a license to conduct a shellfish business, cause the applicant's shellfish business facilities to be investigated and, if they are found to comply with the provisions of this chapter and the regulations adopted in accordance with this chapter, shall issue a license upon receipt of a fee of two hundred forty dollars ($240) three hundred twenty dollars ($320) for a shipper/reshipper or a fee of three hundred dollars ($300) three hundred ninety dollars ($390) for a shucker packer/repacker. Any license issued shall apply only to those phases of the shellfish business that appear on the license and are defined by the director in regulations he or she shall adopt in regard to licensing. In order to set the license renewal dates so that all activities for each establishment can be combined on one license instead of on several licenses, the department of health shall set the license renewal date. The license period shall be for twelve (12) months, unless sooner suspended or revoked for cause, commencing on the license renewal date, and the license fee shall be at the full annual rate regardless of the date of application or the date of issuance of license. If the license renewal date is changed, the department may make an adjustment to the fees of licensed establishments, not to exceed the annual license fee, in order to implement the change in license renewal date. Licenses issued pursuant to this section may be suspended or revoked for violation of the provisions of this chapter or the regulations adopted in accordance with this chapter. The director may, after a hearing, refuse to issue any shellfish business license to any person who has been convicted of any violation of this chapter.

 

SECTION 40. Section 21-23-2 of the General Laws in Chapter 21-23 entitled "Nonalcoholic Bottled Beverages,  Drinks and Juices" is hereby amended to read as follows:

 

21-23-2. Issuance and renewal of permits -- Fee -- Posting -- Exempt cider. -- Blank forms of the application for permits shall be furnished by the department without cost. The fee for the permit shall be four hundred and twenty dollars ($420); five hundred and fifty dollars ($550); provided, that the fee for a permit to manufacture or bottle apple cider shall be forty-two dollars ($42.00). sixty dollars ($60.00). In order to set the license renewal dates so that all activities for each establishment can be combined on one license instead of on several licenses, the department of health shall set the license renewal date. The license period shall be for twelve (12) months, commencing on the license renewal date, and the license fee shall be at the full annual rate regardless of the date of application or the date of issuance of license. If the license renewal date is changed, the department may make an adjustment to the fees of licensed establishments, not to exceed the annual license fee, in order to implement the change in license renewal date. Any person applying for a permit to bottle or manufacture apple cider shall certify that he or she does not manufacture or bottle any carbonated or nonalcoholic beverage, soda water, fruit juice, syrup, bottled drinking water, either plain or carbonated, or any other so-called soft drink, other than apple cider. The fee received by the department for "bottlers' permits" shall be turned over to the general treasurer. All permits granted under this chapter shall be posted in a conspicuous place on the premises of the bottler so that they may readily be seen by any person inspecting the premises; provided that the fees so far as they relate to cider, shall not apply to any person who manufactures and bottles during any one calendar year not exceeding five hundred (500) gallons of cider.

 

SECTION 41. Sections 21-27-6.1, 21-27-10 and 21-27-11.2 of the General Laws in Chapter 21-27 entitled "Sanitation in Food Establishments" are hereby amended to read as follows:

 

21-27-6.1. Farm home food manufacture. -- Notwithstanding the other provisions of this chapter, the department of health shall permit farm home food manufacture and the sale of the products of farm home food manufacture at farmers' markets, farmstands, and other markets and stores operated by farmers for the purpose of the retail sale of the products of Rhode Island farms, provided that the requirements of this section are met.

 (1) The farm home food products shall be produced in a kitchen that is on the premises of a farm and meets the standards for kitchens as provided for in minimum housing standards, adopted pursuant to chapter 24.2 of title 45 and the Housing Maintenance and Occupancy Code, adopted pursuant to chapter 24.3 of title 45, and in addition the kitchen shall:

 (i) Be equipped at minimum with either a two (2) compartment sink or a dishwasher that reaches one hundred fifty (150) degrees Fahrenheit after the final rinse and drying cycle and a one compartment sink;

 (ii) Have sufficient area or facilities, such as portable dish tubs and drain boards, for the proper handling of soiled utensils prior to washing and of cleaned utensils after washing so as not to interfere with safe food handling; equipment, utensils, and tableware shall be air dried;

 (iii) Have drain boards and food preparation surfaces that shall be of a nonabsorbent, corrosion resistant material such as stainless steel, formica or other chip resistant, nonpitted surface;

 (iv) Have self-closing doors for bathrooms that open directly into the kitchen;

 (v) If farm is on private water supply it must be tested once per year.

 (2) The farm home food products are prepared and produced ready for sale under the following conditions:

 (i) Pets are kept out of food preparation and food storage areas at all times;

 (ii) Cooking facilities shall not be used for domestic food purposes while farm home food products are being prepared;

 (iii) Garbage is placed and stored in impervious covered receptacles before it is removed from the kitchen, which removal shall be at least once each day that the kitchen is used for farm home food manufacture;

 (iv) Any laundry facilities which may be in the kitchen shall not be used during farm home food manufacture;

 (v) Recipe(s) for each farm home food product with all the ingredients and quantities listed, and processing times and procedures, are maintained in the kitchen for review and inspection;

 (vi) List ingredients on product;

 (vii) Label with farm name, address and telephone number.

 (3) Farm home food manufacture shall be limited to the production of nonpotentially hazardous food and foods that do not require refrigeration, including:

 (i) Jams, jellies, preserves and acid foods, such as vinegars, that are prepared using fruits, vegetables and/or herbs that have been grown locally;

 (ii) Double crust pies that are made with fruit grown locally;

 (iii) Yeast breads;

 (iv) Maple syrup from the sap of trees on the farm or of trees within a twenty (20) mile radius of the farm;

 (v) Candies and fudges;

 (vi) Dried herbs and spices.

 (4) Each farm home kitchen shall be registered with the department of health and shall require a notarized affidavit of compliance, in any form that the department may require, from the owner of the farm that the requirements of this section have been met and the operation of the kitchen shall be in conformity with the requirements of this section. A certificate of registration shall be issued by the department upon the payment of a fifty dollar ($50.00) sixty five dollar ($65.00) fee and the submission of an affidavit of compliance. The certificate of registration shall be valid for one year after the date of issuance; provided, however, that the certificate may be revoked by the director at any time for noncompliance with the requirements of the section. The certificate of registration, with a copy of the affidavit of compliance, shall be kept in the kitchen where the farm home food manufacture takes place. The director of health shall have the authority to develop and issue a standard form for the affidavit of compliance to be used by persons applying for a certificate of registration; the form shall impose no requirements or certifications beyond those set forth in this section and section 21-27-1(6). No certificates of registration shall be issued by the department prior to September 1, 2002.

 (5) Income from farm home food manufacture shall not be included in the calculation of farm income for the purposes of obtaining an exemption from the sales and use tax pursuant to section 44-18-30(32), nor shall any equipment, utensils, or supplies acquired for the purpose of creating or operating farm home food manufacture be exempt from the sales and use tax as provided for in section 44-18-30(32).

 

21-27-10. Registration of food businesses. -- (a) No person shall operate a food business as defined in section 21-27-1(8) unless he or she annually registers the business with the state director of health; provided, that food businesses conducted by nonprofit organizations, hospitals, public institutions, farmers markets, roadside farmstands, or any municipality shall be exempt from payment of any required fee.  (b) In order to set the registration renewal dates so that all activities for each establishment can be combined on one registration instead of on several registrations, the registration renewal date shall be set by the department of health. The registration period shall be for twelve (12) months commencing on the registration renewal date, and the registration fee shall be at the full annual rate regardless of the date of application or the date of issuance of registration. If the registration renewal date is changed, the department may make an adjustment to the fees of registered establishments, not to exceed the annual registration fee, in order to implement the changes in registration renewal date. Registrations issued under this chapter may be suspended or revoked for cause. Any registration or license shall be posted in a place accessible and prominently visible to an agent of the director.  (c) Registration with the director of health shall be based upon satisfactory compliance with all laws and regulations of the director applicable to the food business for which registration is required.  (d) The director of health is authorized to adopt regulations necessary for the implementation of this chapter.  (e) Classification and fees for registration shall be as follows:

(1) Food processors (Wholesale) ...................................... $210.00  $280.00

(2) Food processors (Retail) ...........................................        90.00   120.00

(3) Food service establishments:

(i) 50 seats or less ..................................................              120.00   160.00

(ii) More than 50 seats ...............................................           180.00   240.00

(iii) Mobile food service units ........................................          72.00  100.00

(iv) Industrial caterer or food vending machine commissary ... 210.00  280.00

(v) Vending machine sites or location:

(A) Three (3) or less machines .........................................      36.00  50.00

(B) Four (4) to ten (10) machines ......................................    72.00  100.00

(C) Eleven (11) or more machines .......................................  90.00  120.00

(4) Retail markets:

(i) 1 to 2 cash registers ..............................................           90.00  120.00

(ii) 3 to 5 cash registers ............................................           180.00  240.00

(iii) 6 or more cash registers ........................................         390.00 510.00

(5) Retail food peddler (meat, seafood, dairy, and frozen dessert products) ...72.00  100.00

(6) Food warehouses ..................................................           144.00  190.00

  (f) In no instance where an individual food business has more than one activity eligible under this chapter for state registration within a single location shall the business be required to pay more than a single fee for the one highest classified activity listed in subsection (e) of this section; provided, that where several separate but identically classified activities are located within the same building and under the management and jurisdiction of one person, one fee shall be required. In each of the instances in this subsection, each activity shall be separately registered.

 

21-27-11.2. Application for certification. -- Any person who shall desire to be certified in food safety shall submit in writing, on any forms as provided by the division, an application for certification which shall be accompanied by an application fee of thirty-six dollars ($36.00) fifty dollars ($50.00) together with any other credentials that the rules and regulations and the division may require.

 

SECTION 42. Section 23-21-2 of the General Laws in Chapter 23-21 entitled "Licensing of Recreational Facilities" is hereby amended to read as follows:

 

23-21-2. License required -- Issuance and expiration of license. -- No person shall maintain within this state any recreation facility or use until that person shall have obtained a license for a facility or use from the department. The director, upon receipt of an application for a recreation facility or use shall cause the facility or use to be inspected and, if the facility or use is found to comply with the provisions of this chapter and the regulations adopted in accordance with the provisions of this chapter, shall issue a license upon receipt of a fee of one hundred twenty dollars ($120). one hundred sixty dollars ($160). In order to set the license renewal dates so that all activities for each establishment can be combined on one license instead of on several licenses, the license renewal date shall be set by the department of health. The license period shall be for twelve (12) months, commencing on the license renewal date, unless sooner suspended or revoked for violation of the provisions of this chapter or the regulations adopted in accordance with this chapter, and the license fee shall be at the full annual rate regardless of the date of application or the date of issuance of license. If the license renewal date is changed, the department may make an adjustment to the fees of licensed establishments, not to exceed the annual license fee, in order to implement the change in license renewal date.

 

SECTION 43.  This article shall take effect as of July 1, 2007.

 

 


ARTICLE 40 SUBSTITUTE A AS AMENDED

 

RELATING TO THE SETTLEMENT FINANCING CORPORATION

 

SECTION 1. The Tobacco Settlement Financing Corporation is authorized prior to August 1, 2007 to raise additional money pursuant to the Tobacco Settlement Financing Corporation Act not to exceed one hundred ninety-five million dollars ($195,000,000) of net bond proceeds to be paid to the state of Rhode Island to be applied for various purposes of the state as specified by the general assembly.

SECTION 2. To implement and effectuate the purposes of this act, the Governor, acting by and through state general officers, state departments, agencies and the Tobacco Settlement Financing Corporation ("Corporation"), which was established pursuant to Rhode Island general laws chapter 42-133  ("Tobacco Settlement Financing Corporation Act"), is hereby authorized and empowered to:

(a) assign, or otherwise convey, to the corporation or its designee for the purposes described herein, any and all of the state's residual interest, including residual certificates ("Residuals"), arising out of the previous sale to the corporation of "state's tobacco receipts",  as such term is defined in the Tobacco Settlement Financing Corporation Act, and representing a residual claim against such state's tobacco receipts;

(b) effectuate one securitization transaction prior to August 1, 2007 pursuant to the provisions of the Tobacco Settlement Financing Corporation Act which authorizes and governs the issuance of Bonds, as such term is defined in the Tobacco Settlement Financing Corporation Act, to monetize the residuals and create additional cash proceeds;

(c) distribute the proceeds of the securitization transactions to the state to be used in accordance with the purposes of this act, provided that the allocation of funds shall be made by the general assembly pursuant to the annual appropriation process; and

(d) take such additional action, or enter into such additional agreements, as may be necessary or desirable to effect the purposes of this act.

SECTION 3. The Tobacco Settlement Financing Trust, a fund established pursuant to section 42-133-9 shall receive all proceeds, net of financing costs, due to the state from the securitizations.

SECTION 4. The corporation shall make the following transfers from the Tobacco Settlement Financing Trust:

(a) $42,500,000 to state general revenues prior to June 30, 2007.

(b) $6,350,000 to the Fleet Replacement Restricted Receipt Account prior to August 15, 2007.

(c) $124,000,000 to state general revenues prior to August 15, 2007.

(d) All remaining net bond proceeds to the Rhode Island Capital Plan Fund.

SECTION 5. This article shall take effect upon passage.

 

 


ARTICLE 41 SUBSTITUTE A AS AMENDED

 

RELATING TO MUTUEL BETTING AND LICENSE FEES

 

SECTION 1. Section 41-4-9.1 of the General Laws in Chapter 41-4 entitled "Mutuel Betting and License Fees" is hereby amended to read as follows:

 

41-4-9.1. Licensing of concessioners, vendors, and pari-mutuel totalizator companies. -- (a) All persons, firms, partnerships, associations, or corporations desiring to operate any concession allied to any dog racing track, shall apply for a license to the division of racing and athletics, on such forms and in such a manner as prescribed by regulations of the division. The division by regulations shall establish other occupational licensing for all employees of the concessions, all pari-mutuel employees, and all persons employed in any other capacity by the race track management, and for other persons engaged in racing activities at any dog racing track.

(b) All persons, firms, associations, or corporations employed by the management of a dog racing track in providing pari-mutuel totalizator computer services for pari-mutuel computations, shall apply for a license to the division of racing and athletics upon such forms and in such manner prescribed by regulations of the division. All employees of the pari-mutuel totalizator computer companies shall be licensed by the division on forms prescribed by regulations of the division.

(c) In determining whether to grant a license pursuant to this section the division may require the applicant to submit information as to: financial standing and credit; moral character; criminal record, if any; previous employment; corporate, partnership or association affiliations; ownership of personal assets; and such other information as it deems pertinent to the issuance of the license. The division may reject for good cause an application for a license, and it may suspend or revoke for good cause any license issued by it after a hearing held in accordance with chapter 35 of title 42 and subject to further appeal procedures provided by section 41-2-3.

(d) The issuance of license and the payment of annual fees, except for occupational licenses for owners which shall be payable every three (3) years commencing with the first renewal date subsequent to June 16, 1991, shall be in accordance with the following schedule: The division shall issue a three (3) year license commencing with license year 2007. The division shall implement a graduated system in 2007 where one third of licenses due to expire shall be renewed for one year, a second third of licenses due to expire shall be renewed for two (2) years, and the final third of licenses due to expire shall be renewed for three (3) years, with licensing fees prorated accordingly. As said licenses become due for renewal, licenses shall be renewed for a three (3) year period of time. All licenses issued shall be in accordance with regulations and the following schedule:

(1) For gaming facility employees:

             (A) Key employees                                                                                          $300.00

             (B) Operation employees                                                                                 $150.00

             (C) Service employees                                                                                     $75.00

(2) For gaming facility non-employees:

(1) (A) Concessionaires and vendors:                                                              200.00    $750.00

(2) (B) Occupational licenses:                                                            

Owners                                                                                                           150.00 450.00

Trainers                                                                                                           40.00    150.00

Assumed names                                                                                               50.00     150.00

Lead people                                                                                                    10.00

Kennel people                                                                                                 10.00    75.00

(3) (C) Concessionaire and vendor's employees                                               10.00    75.00

(4) Pari-mutuel employees                                                                                10.00

(5) Employees of race track management                                                         10.00

(6) (D) Pari-mutuel totalizator companies                                                         200.00   750.00

(7) (E) Pari-mutuel totalizator company employees                                           10.00     150.00

(8) Security personnel                                                                                      10.00

(e) All individual applicants for licensing under this section shall be fingerprinted, and, upon obtaining the license, shall wear upon his or her outer apparel a photo identification badge, issued or authorized by the division of racing and athletics under rules and regulations promulgated by the division.

(f) The cost of the licensing pursuant to this section shall be paid by the employer of the licensee, and shall include one hundred and fifty percent (150%) of the total salaries and benefits for the state employees engaged in the licensing at each facility. The fund shall be deposited as restricted receipts for the use of the state and shall be in addition to any taxes and fees otherwise payable to the state.

 

SECTION 2. This article shall take effect upon passage.

 

 


ARTICLE 42 SUBSTITUTE A AS AMENDED

 

RELATING TO PRIVATIZATION OF STATE SERVICES

 

CHAPTER 148


PRIVATIZATION OF STATE SERVICES

 

42-148-1. Statement of intent. – If it is determined that privatization of certain governmental functions may be appropriate, the privatization inquiry process should be well defined with appropriate non-partisan, institutional oversight. The principles that guide a privatization inquiry shall include the following:

(a) To ensure the potential savings are realized and maximized -- build cost controls and containment incentives into contracts to eliminate excessive and unreasonable overhead costs and profits at the expense of  citizens of the state;

(b) To preserve and promote competition – permit in-house program managers and public employees to bid for the contract on a level playing field;

(c) To ensure quality and responsiveness – develop reliable measures of service quality, strengthen in-house monitoring capacity and expertise, and write contracts with periodic performance reporting;

(d) To ensure accountability, control, and avoidance of conflicts of interest with departmental managers – write detailed contract specifications, and require record-keeping and periodic reports;

(e) To address legal and political barriers – involve affected groups in the decision making process; and

(f) To recognize the impact on service recipients, employees, and their families – enable public employees to have an opportunity to bid for their work.

 

42-148-2. Definitions. – When used in this chapter:

(a) "In-house costs" means a detailed budget breakdown of the current costs of providing the service or program proposed for privatization.

(b) "Statement of work and performance standards" means a clear statement of the nature and extent of the work to be performed with measurable performance standards as set forth in section 42-148-3(b)(2) of this chapter.

(c) "In-house bid" shall mean the cost of the proposal proffered by in-house state programs  and employees and their representatives pursuant to section 42-148-3(b)(3) of this chapter.

(d) "Cost comparison" means an analysis of the comparative costs of providing the service in-house or by privatization.

(e) "Conversion differential" means transition costs and costs associated with starting up or closing down during conversion to purchase of service or in the event of the need to bring services back in-house.

(f) "Transition costs" means the cost of contracting including monitoring vendors for accountability, costs associated with unemployment compensation, payment of accrued leave credits, bumping, and retention factors for those with statutory status. Transitional costs shall not include department overhead or other costs that would continue even if the services were privatized.

 

42-148-3. Preclosure analysis. – (a) Prior to the closure, consolidation or privatization of any state facility, function or program, the director of administration or his or her designee, shall conduct a thorough cost comparison analysis and evaluate quality performance concerns before deciding to purchase services from private vendors rather than provide services directly.

(b) The director of administration shall, at least sixty (60) days prior to issuing requests for bids or proposals, complete the following process:

(i) Document the current in-house costs of providing the services with a detailed budget breakdown. The in-house cost shall include any department overhead and other costs that would continue even if the service was contracted out.

(ii) Prepare a statement of work and performance standards which shall form the basis for the requests for proposals and which shall include the following:

(A) A clear statement of work with measurable performance standards including qualitative as well as quantitative standards that bidders must meet or exceed;

(B) Requirements that contractors meet affirmative action, disability and other nondiscriminatory and service standards currently required of state agencies.

(C) A clear format that will enable comparison of competitive bids and in-house bids. The format must require detailed budget breakdowns.

(c) Prior to the issuance of the RFP current public employees and program recipients must be notified of the intent to solicit bid proposals and of the decision timeline.

(d) If the statement of work and performance standards differs from the current in-house program procedures and requirements or if current state program employees and their representatives believe that they could perform the work more efficiently, an in-house state work group shall be afforded an opportunity to present a new cost estimate, reflecting any innovations that they could incorporate into the work performance standards. This new cost estimate shall be deemed an in-house bid, which shall form the basis for the eventual cost comparison. The director shall provide technical and informational assistance to the in-house state work group in its preparation of an in-house bid.

(e) The director may elect to accept the in-house bid or proceed to prepare a request for proposal ("RFP") which must:

(i) incorporate the statement of work and performance standards, and

(ii) require bidders to meet the same statement of work performance standards as required of the final in-house cost estimate; and

(iii) include bid forms requiring a sufficiently detailed breakdown of cost categories to allow accurate and meaningful comparisons.

(f) The in-house bid developed pursuant to subsection (d) of this section shall be kept confidential from bidders.

 

42-148-4. Cost comparison. – The director of administration shall analyze all vendor bids as compared to current delivery of service costs or an in-house bid, whichever is lower, according to the following:

(a) Any cost comparison must include an analysis of:

(i) Comparative benefits for employees to meet the requirements of the statement of work and performance standards; 

(ii) All transition costs as defined in section 42-148-2(f) of this chapter;

(iii) Any conversion costs as defined in section 42-148-2(e) of this chapter; and

(iv) Areas where the bidder's costs appear artificially low, thereby putting the state at risk for further cost overruns.

(b) In the event that the state will incur new program costs related to the statement of work and performance standards, such costs shall be included in the cost comparison.

(c) All cost comparisons must include an analysis of whether the cost savings will result in meeting the performance and qualitative measures set out in the statement of work and performance standards.

 

42-148-5. Award of contract. – After conducting a cost comparison pursuant to section 42-148-4, the director of administration may award the bid to an outside vendor only if the savings to the state is substantial and the quality of performance of service required and specified in statement of work and performance standards will be met or exceeded by the outside vendor.

 

42-148-6. Appeal. – (a) Before any award is final, the affected parties, which shall include program recipients, state employees and their representatives shall have a right to appeal the award decision of the director of the department of administration.

(b) The parties shall have sixty (60) days from the date of the award to file an appeal. No contracts shall be awarded  or services contracted to vendors if an appeal is pending.

(c) All documentation supporting the cost and quality comparison shall be made available to the affected parties upon request after the final decision has been made.

 

(d) All appeals of the final decision of an award shall be filed in superior court in Providence County.

 

42-148-7. Report of general assembly. – (a) The director of the department of administration shall notify the chairpersons of the house and senate finance committees of their intent to request bids or proposals to privatize state services. The notice to the committees   shall be provided thirty (30) days prior to issuing the request.

(b) Upon the final decision of an award the director of the department of administration shall provide a report to the chairpersons of the house and senate finance committees outlining the bid process and analysis conducted in issuing an award.

 

42-148-8. Applicability. – Notwithstanding any general law or special law to the contrary, no award shall be made or privatization contract entered into by the state of Rhode Island unless and until the processes and procedures outlined in sections 42-148-3, 42-148-4 and 42-148-5 have been fully complied with in their entirety. All of the aforementioned sections shall apply to all pending awards and pending privatization contracts.

 

 


ARTICLE 43 SUBSTITUTE A AS AMENDED

 

RELATING TO FARM TO SCHOOL INCOME TAX CREDIT

 

SECTION 1. Chapter 44-30 of the General Laws entitled "Personal Income Tax" is hereby amended by adding thereto the following section:

 

44-30-27. Farm to school income tax credit. -- Upon presentation of written certification by a local education agency, an individual or entity domiciled in the state for the entire tax year, shall be entitled to an income tax credit for the purchase of produce grown in the state which shall be furnished or used in connection with that individual's or entity's agreement to provide food, services or other products to a local education agency. The income tax credit shall be equal to five percent (5%) of the cost of farm products grown or produced in the state. Any amount of income tax credit not deductible in the taxable year of certification may not be carried over to the following year. The credit may not be applied until all other credits available to the taxpayer for that taxable year are applied.

 

SECTION 2. This act shall take effect upon passage.

 

ARTICLE 44 SUBSTITUTE A AS AMENDED

 

RELATING TO EFFECTIVE DATE

 

SECTION 1. This act shall take effect July 1, 2007, except as otherwise provided herein.

In Articles where it is provided that the effective date shall be either "July 1, 2007", or "upon passage", and no provision is made for retroactive or prospective application, the effective date shall be July 1, 2007, and if the article is approved after July 1, 2007, that the article shall be retroactive to July 1, 2007.

In articles where it is provided that the effective date shall be either "July 1, 2007" or "upon passage" and provision is made within the article the retroactive or prospective application, the article shall take effect on July 1, 2007 and its application made retroactive or prospective as set forth in the article.

SECTION 2. This article shall take effect upon passage.

 

 

            

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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