Title 42
State Affairs and Government

Chapter 64.19
Executive Office of Commerce

§ 42-64.19-3. Executive office of commerce.

(a) There is hereby established within the executive branch of state government an executive office of commerce effective February 1, 2015, to serve as the principal agency of the executive branch of state government for managing the promotion of commerce and the economy within the state and shall have the following powers and duties in accordance with the following schedule:

(1) On or about February 1, 2015, to operate functions from the department of business regulation;

(2) On or about April 1, 2015, to operate various divisions and functions from the department of administration;

(3) On or before September 1, 2015, to provide to the Senate and the House of Representatives a comprehensive study and review of the roles, functions, and programs of the department of administration and the department of labor and training to devise recommendations and a business plan for the integration of these entities with the office of the secretary of commerce. The governor may include such recommendations in the Fiscal Year 2017 budget proposal; and

(4) On or before July 1, 2021, to provide for the hiring of a deputy secretary of commerce and housing who shall report directly to the secretary of commerce. On July 1, 2022, the deputy secretary of commerce and housing shall succeed to the position of secretary of housing, and the position of deputy secretary of commerce and housing shall cease to exist under this chapter. All references in the general laws to the deputy secretary of commerce and housing shall be construed to mean the secretary of housing. The secretary of housing shall be appointed by and report directly to the governor and shall assume all powers, duties, and responsibilities formerly held by the deputy secretary of commerce and housing. Until the formation of the new department of housing pursuant to chapter 64.34 of this title, the secretary of housing shall reside within the executive office of commerce for administrative purposes only. The secretary of housing shall:

(i) Prior to hiring, have completed and earned a minimum of a master’s graduate degree in the field of urban planning, economics, or a related field of study or possess a juris doctor law degree. Preference shall be provided to candidates having earned an advanced degree consisting of an L.L.M. law degree or Ph.D. in urban planning or economics. Qualified candidates must have documented five (5) years’ full-time experience employed in the administration of housing policy and/or development;

(ii) Be responsible for overseeing all housing initiatives in the state of Rhode Island and developing a housing plan, including, but not limited to, the development of affordable housing opportunities to assist in building strong community efforts and revitalizing neighborhoods;

(iii) Coordinate with all agencies directly related to any housing initiatives and participate in the promulgation of any regulation having an impact on housing including, but not limited to, the Rhode Island housing and mortgage finance corporation, the coastal resources management council (CRMC), and state departments including, but not limited to: the department of environmental management (DEM), the department of business regulation (DBR), the department of transportation (DOT) and statewide planning, and the Rhode Island housing resources commission;

(iv) Coordinate with the housing resources commission to formulate an integrated housing report to include findings and recommendations to the governor, speaker of the house, senate president, each chamber’s finance committee, and any committee whose purview is reasonably related to, including, but not limited to, issues of housing, municipal government, and health on or before December 31, 2021, and annually thereafter which report shall include, but not be limited to, the following:

(A) The total number of housing units in the state with per community counts, including the number of Americans with Disabilities Act compliant special needs units;

(B) The occupancy and vacancy rate of the units referenced in subsection (a)(4)(iv)(A);

(C) The change in the number of units referenced in subsection (a)(4)(iv)(A), for each of the prior three (3) years in figures and as a percentage;

(D) The number of net new units in development and number of units completed since the prior report;

(E) For each municipality the number of single-family, two-family (2), and three-family (3) units, and multi-unit housing delineated sufficiently to provide the lay reader a useful description of current conditions, including a statewide sum of each unit type;

(F) The total number of units by income type;

(G) A projection of the number of status quo units;

(H) A projection of the number of units required to meet housing formation trends;

(I) A comparison of regional and other similarly situated state funding sources that support housing development including a percentage of private, federal, and public support;

(J) A reporting of unit types by number of bedrooms for rental properties including an accounting of all:

(I) Single-family units;

(II) Accessory dwelling units;

(III) Two-family (2) units;

(IV) Three-family (3) units;

(V) Multi-unit sufficiently delineated units;

(VI) Mixed use sufficiently delineated units; and

(VII) Occupancy and vacancy rates for the prior three (3) years;

(K) A reporting of unit types by ownership including an accounting of all:

(I) Single-family units;

(II) Accessory dwelling units;

(III) Two-family (2) units;

(IV) Three-family (3) units;

(V) Multi-unit sufficiently delineated units;

(VI) Mixed use sufficiently delineated units; and

(VII) Occupancy and vacancy rates for the prior three (3) years;

(L) A reporting of the number of applications submitted or filed for each community according to unit type and an accounting of action taken with respect to each application to include, approved, denied, appealed, approved upon appeal, and if approved, the justification for each approval;

(M) A reporting of permits for each community according to affordability level that were sought, approved, denied, appealed, approved upon appeal, and if approved, the justification for each approval;

(N) A reporting of affordability by municipality that shall include the following:

(I) The percent and number of units of extremely low-, very low-, low-, moderate-, fair-market rate, and above-market-rate units; including the average and median costs of those units;

(II) The percent and number of units of extremely low-, very low-, low-, and moderate-income housing units required to satisfy the ten percent (10%) requirement pursuant to chapter 24 of title 45; including the average and median costs of those units;

(III) The percent and number of units for the affordability levels above moderate-income housing, including a comparison to fair-market rent and fair-market homeownership; including the average and median costs of those units;

(IV) The percentage of cost burden by municipality with population equivalent;

(V) The percentage and number of home financing sources, including all private, federal, state, or other public support; and

(VI) The cost growth for each of the previous five (5) years by unit type at each affordability level, by unit type;

(O) A reporting of municipal healthy housing stock by unit type and number of bedrooms and providing an assessment of the state’s existing housing stock and enumerating any risks to the public health from that housing stock, including, but not limited to: the presence of lead, mold, safe drinking water, disease vectors (insects and vermin), and other conditions that are an identifiable health detriment. Additionally, the report shall provide the percentage of the prevalence of health risks by age of the stock for each community by unit type and number of bedrooms; and

(P) A recommendation shall be included with the report required under this section that shall provide consideration to any and all populations, ethnicities, income levels, and other relevant demographic criteria determined by the secretary, and with regard to any and all of the criteria enumerated elsewhere in the report separately or in combination, provide recommendations to resolve any issues that provide an impediment to the development of housing, including specific data and evidence in support of the recommendation. All data and methodologies used to present evidence are subject to review and approval of the chief of revenue analysis, and that approval shall include an attestation of approval by the chief to be included in the report;

(v) Have direct oversight over the office of housing and community development (OHCD) and shall be responsible for coordinating with the secretary of commerce a shared staffing arrangement until June 30, 2023, to carry out the provisions of this chapter;

(vi) On or before November 1, 2022, develop a housing organizational plan to be provided to the general assembly that includes a review, analysis, and assessment of functions related to housing of all state departments, quasi-public agencies, boards, and commissions. Provided, further, the secretary, with the input from each department, agency, board, and commission, shall include in the plan comprehensive options, including the advantages and disadvantages of each option and recommendations relating to the functions and structure of the new department of housing.

(b) In this capacity, the office shall:

(1) Lead or assist state departments and coordinate business permitting processes in order to:

(i) Improve the economy, efficiency, coordination, and quality of the business climate in the state;

(ii) Design strategies and implement best practices that foster economic development and growth of the state’s economy;

(iii) Maximize and leverage funds from all available public and private sources, including federal financial participation, grants, and awards;

(iv) Increase public confidence by conducting customer centric operations whereby commercial enterprises are supported and provided programs and services that will grow and nurture the Rhode Island economy; and

(v) Be the state’s lead agency for economic development.

(2)  [Deleted by P.L. 2022, ch. 388, § 1 and P.L. 2022, ch. 442, § 1.]

(c) The office shall include the office of regulatory reform and other administration functions that promote, enhance, or regulate various service and functions in order to promote the reform and improvement of the regulatory function of the state.