| Chapter 043 |
| 2019 -- S 0253 SUBSTITUTE A Enacted 06/28/2019 |
| A N A C T |
| RELATING TO LABOR AND LABOR RELATIONS -- LOCAL OWNERSHIP OPPORTUNITY ACT |
| Introduced By: Senators Cano, Goldin, Goodwin, Miller, and Gallo |
| Date Introduced: February 13, 2019 |
| It is enacted by the General Assembly as follows: |
| SECTION 1. Title 28 of the General Laws entitled "LABOR AND LABOR |
| RELATIONS" is hereby amended by adding thereto the following chapter: |
| CHAPTER 58 |
| LOCAL OWNERSHIP OPPORTUNITY ACT |
| 28-58-1. Short title. |
| This chapter shall be known and may be cited as the "Local Ownership Opportunity Act." |
| 28-58-2. Legislative purpose. |
| The purpose of this legislation is to preserve jobs and create new opportunities for |
| economic growth and entrepreneurship in Rhode Island by providing opportunities for employees |
| to purchase a business, otherwise at risk of closure. |
| 28-58-3. Definitions. |
| (a) "Employer," "plant closing," "mass layoff," "representative," "employment loss," |
| "unit of local government," and "part-time employee" means those terms as defined in 29 U.S.C. |
| 2101(a). |
| (b) "Employing business" means the business enterprise or entity for which the affected |
| employees worked or were suffered or permitted to work at the time the notice defined in § 28- |
| 58-4 was issued. |
| 28-58-4. Notification to affected employees. |
| (a) Whenever an employer is required by the Worker Adjustment and Retraining |
| Notification Act (WARN Act), 29 U.S.C. Chapter 23, to provide advance notice of a plant closing |
| or mass layoff, the director of the department of labor and training, or any designee thereof, shall |
| provide to the affected employees or the representatives of the affected employees written notice |
| consisting of, but not limited to, the following: |
| (1) Notice of the affected employees' right to furnish a bid to purchase the employing |
| business; and |
| (2) Information regarding the formation of a workers' cooperative under chapter 6.2 of |
| title 7. |
| (b) The department of labor and training, or any designee thereof, shall make available to |
| employees information, materials, and resources on the creation of worker's workers’ |
| cooperatives as defined in chapter 6.2 of title 7. |
| (c) The department of labor and training shall provide access for business owners to |
| information, and materials on the creation of worker's workers’ cooperatives under chapter 6.2 of |
| title 7, and the conversion of a traditionally owned business to worker ownership. |
| 28-58-5. Sale not compelled. |
| Nothing in this chapter shall be construed as compelling or preventing a sale by the |
| employing business. |
| 28-58-6. Regulations. |
| The department of labor and training shall coordinate implementation and enforcement of |
| this chapter and may promulgate appropriate guidelines or regulations for such purposes. |
| 28-58-7. Severability. |
| If any provision of this chapter or any rule or regulation created under this chapter, or the |
| application of any provision of this chapter to any person or circumstance shall be held invalid in |
| any court of competent jurisdiction, the remainder of the chapter, rule, or regulation and the |
| application of such provision to other persons or circumstances shall not be affected thereby. The |
| invalidity of any section or sections or parts of any section of this chapter shall not affect the |
| validity of the remainder of this chapter and to this end the provisions of the chapter are declared |
| to be severable. |
| SECTION 2. This act shall take effect on September 1, 2019. |
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| LC001349/SUB A |
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