It is enacted by the General Assembly as follows:

SECTION 1. The title of Chapter 44-5.1 entitled "Real Estate Nonutilization Tax of the City of Providence" is hereby amended to read as follows:

SECTION 2. Sections 44-5.1-1 and 44-5.1-3 of the General Laws in Chapter 44-5.1 entitled "Real Estate Nonutilization Tax of the City of Providence" are hereby amended to read as follows:

44-5.1-1. Purpose. -- (a) There are numerous vacant and abandoned properties throughout the {DEL city DEL} {ADD cities ADD} of Providence {ADD and Pawtucket ADD} .

(b) The existence of vacant and abandoned properties within the city contributes to the deterioration of its viable real estate.

(c) Vacant and abandoned properties sometimes place a greater demand on essential city services such as police and fire protection than do occupied properties comparably assessed for real estate tax purposes.

(d) The owners of vacant and abandoned properties do not always contribute a fair share of the costs of providing the foregoing essential city services financed in part by real estate tax revenues, which revenues are solely based on the assessed value of properties.

(e) Some properties are deliberately left vacant by their owners in the hope that real estate values will increase, thereby enabling the owners to sell these properties at a substantial profit without making any of the required repairs or improvements to the property.

(f) The nonutilization of property whether for profit speculation, tax benefit, or any other purposes is the making use of that property and as such, is a privilege incident to the ownership of the property.

(g) Owners of vacant properties must be encouraged to use the properties in a positive manner to stop the spread of deterioration and to increase the stock of viable real estate within the city.

(h) Owners of vacant and abandoned properties must be required, through the city's power to tax, to pay a fair share of the cost of providing certain essential city service.

44-5.1-3. Imposition of tax. -- {ADD (a) ADD} The city of Providence is hereby empowered to impose a tax upon the privilege of utilizing property as vacant and abandoned property within the city during any privilege year commencing with the privilege year beginning January 1,1984, and every privilege year thereafter. The tax shall be in addition to any other taxes authorized by the general or public laws.

{ADD (b) The city of Pawtucket is hereby empowered to impose a tax upon the privilege of utilizing property as vacant and abandoned property within the city during any privilege year commencing with the privilege year beginning January 1, 1997, and every privilege year thereafter. The tax shall be in addition to any other taxes authorized by the general or public laws. ADD}

SECTION 3. This act shall take effect upon passage.