Chapter 254
2021 -- H 6299
Enacted 07/14/2021

A N   A C T
RELATING TO TAXATION -- PROPERTY SUBJECT TO TAXATION -- SMITHFIELD

Introduced By: Representatives Costantino, and Hawkins

Date Introduced: May 05, 2021

It is enacted by the General Assembly as follows:
     SECTION 1. Chapter 44-3 of the General Laws entitled "Property Subject to Taxation" is
hereby amended by adding thereto the following section:
     44-3-9.11. Smithfield - Exemption or stabilizing of taxes on qualifying property used
for manufacturing or commercial purposes.
     (a) Except as provided in this section, the town council of the town of Smithfield may vote
to authorize, for a period not to exceed ten (10) years, and subject to the conditions provided in this
section, to exempt from payment, in whole or in part, real and/or personal property used for
manufacturing or commercial purposes, or to determine a stabilized amount of taxes to be paid on
account of the property, notwithstanding the valuation of the property or the rate of tax; provided,
that after public hearings, at least ten (10) days' notice of which shall be given in a newspaper
having a general circulation in the town, the town council determines that:
     (1) Granting of the exemption or stabilization of taxes will inure to the benefit of the town
by reason of:
     (i) The willingness of the manufacturing or commercial firm or concern to locate in the
town; or
     (ii) The willingness of a manufacturing or commercial firm or concern to expand facilities
with an increase in employment; or
     (2) Granting of the exemption or stabilization of taxes will inure to the benefit of the town
by reason of the willingness of a manufacturing or commercial firm or concern to replace,
reconstruct, expand, or remodel existing buildings, facilities, fixtures, machinery, or equipment
with modern buildings, facilities, fixtures, machinery, or equipment resulting in an increase in plant
or commercial building investment by the firm or concern in the town.
     (b) For purposes of this section, "real property used for commercial purposes" includes any
building or structure used for offices or commercial enterprises including, without limitation, any
building or structure used for wholesale, warehouse, distribution, and/or storage businesses, used
for service industries, or used for any other commercial business, and the land on which the building
or structure is situated and not used for residential purposes.
     (c) For purposes of this section, "personal property used for commercial purposes" means
any personal property owned by a firm or concern in its commercial enterprise including, without
limitation, furniture, fixtures, equipment, machinery, stock in trade, and inventory.
     (d) Except as provided in this section, property, the payment of taxes or on which is subject
to the payment of a stabilized amount of taxes, shall not, during the period for which the exemption
or stabilization of the amount of taxes is granted, be further liable to taxation by the town in which
the property is located so long as the property is used for the manufacturing or commercial purposes
for which the exemption or stabilized amount of taxes was made.
     (e) Notwithstanding any vote and findings by the town council, the property shall be
assessed for and shall pay that portion of the tax, if any, assessed by the town of Smithfield for the
purpose of paying the indebtedness of the town and the indebtedness of the state or any political
subdivision of the state to the extent assessed upon or apportioned to the town, and the interest on
the indebtedness, and for appropriation to any sinking fund of the town, which portion of the tax
shall be paid in full, and the taxes so assessed and collected shall be kept in a separate account and
used only for that purpose.
     SECTION 2. This act shall take effect upon passage.
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LC002801
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