Rhode Island 2023 Regular Session

Rhode Island House Bill H6387 Compare Versions

Only one version of the bill is available at this time.

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5	5	2023 -- H 6387
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7	7	LC002954
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9	9	S TATE OF RHODE IS LAND
10	10	IN GENERAL ASSEMBLY
11	11	JANUARY SESSION, A.D. 2023
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14	14	A N A C T
15	15	RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND
16	16	COMPUTATION
17	17	Introduced By: Representatives Vella-Wilkinson, Batista, Casimiro, Perez, McEntee,
18	18	Diaz, and Noret
19	19	Date Introduced: May 10, 2023
20	20	Referred To: House Finance
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23	23	It is enacted by the General Assembly as follows:
24	24	SECTION 1. Chapter 44-18 of the General Laws entitled "Sales and Use Taxes — Liability 1
25	25	and Computation" is hereby amended by adding thereto the following section: 2
26	26	44-18-18.2. Alcohol Tax. 3
27	27	(a) This section shall be known and may be cited as "The Alcohol Treatment Support Act". 4
28	28	(b) The purpose of this section is to establish a tax on alcohol to fund drug and alcohol 5
29	29	treatment centers in the State of Rhode Island and to provide financial support for individua ls 6
30	30	seeking treatment for drug and alcohol addiction. 7
31	31	(c) There is hereby imposed a sales tax on all alcohol sold within the State of Rhode Island 8
32	32	at the rate of one percent. 9
33	33	(d) The tax imposed under subsection (c) of this section shall be paid by the distributor or 10
34	34	seller of the alcohol, and shall be collected at the time of sale. 11
35	35	(e) The tax imposed under subsection (c) of this section shall be in addition to any other 12
36	36	taxes imposed on the sale of all alcohol. 13
37	37	(f)(1) The proceeds of the alcohol tax imposed under subsection (c) of this section shall be 14
38	38	deposited into the drug and alcohol treatment support fund, established as a special fund to provide 15
39	39	financial support for individuals seeking treatment for drug and alcohol addiction. 16
40	40	(2) The funds deposited into the drug and alcohol treatment support fund shall be allocated 17
41	41	to drug and alcohol treatment centers in this state. 18
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45	45	(g)(1) The State of Rhode Island shall establish a seven (7) member board of Rhode Island 1
46	46	citizens who are not state employees nor state office holders to administer the fund. 2
47	47	(2) The citizen board shall serve as a dedicated and responsible steward of the treatment 3
48	48	fund, ensuring that it is being used to provide high-quality and effective drug and alcohol treatment 4
49	49	services to individuals in need. 5
50	50	(3) The citizen board shall oversee the allocation of funds from the treatment fund to 6
51	51	various treatment centers and organizations that provide drug and alcohol treatment services to 7
52	52	individuals in need. 8
53	53	(4) The citizen board shall regularly evaluate the performance and effectiveness of the 9
54	54	treatment centers that receive funding from the treatment fund. This evaluation may include 10
55	55	monitoring the quality of care provided, patient satisfaction rates, and treatment outcomes. 11
56	56	(5) The citizen board shall establish eligibility criteria for individuals seeking financial 12
57	57	assistance from the treatment fund. These criteria may include criteria related to income, residency, 13
58	58	and severity of drug and alcohol addiction. 14
59	59	(6) The citizen board shall review and either approve or deny applications from treatment 15
60	60	centers seeking financial assistance from the treatment fund. This review may involve verifying 16
61	61	eligibility criteria, evaluating the proposed treatment plan, and determining the amount of financial 17
62	62	assistance to be provided. 18
63	63	(h) The citizen board shall ensure that the treatment fund is being managed in a responsible 19
64	64	and transparent manner. This oversight may involve reviewing financial statements, monitoring 20
65	65	expenses, and ensuring that funds are being used for their intended purposes. 21
66	66	(i) The citizen board shall engage in public outreach and education efforts to raise 22
67	67	awareness about the treatment fund and its availability to individuals in need of drug and alcohol 23
68	68	treatment. This outreach may include developing informational materials, hosting community 24
69	69	events, and collaborating with local organizations to reach underserved populations. 25
70	70	(j) The citizen board shall provide regular reports to all relevant government agencies 26
71	71	regarding the status of the treatment fund, including the allocation of funds, treatment outcomes, 27
72	72	and any challenges faced by the board in fulfilling its duties. 28
73	73	(k)(1) To be eligible for financial support from the drug and alcohol treatment support fund, 29
74	74	an individual must be seeking treatment for drug or alcohol addiction at a treatment center that 30
75	75	receives funds from the support fund. 31
76	76	(2) The financial support provided by the drug and alcohol treatment support fund shall be 32
77	77	used to cover the cost of treatment, including, but not limited to, medication, therapy and other 33
78	78	related services. 34
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82	82	(l)(1) The drug and alcohol treatment centers shall be operated by qualified nonprofit or 1
83	83	for-profit organizations that specialize in drug and alcohol treatment. 2
84	84	(2) The drug and alcohol treatment centers shall provide treatment services to individua ls 3
85	85	who are seeking treatment for drug or alcohol addiction. 4
86	86	(3) The department of health shall establish minimum standards, rules and regulations for 5
87	87	the operation of the drug and alcohol treatment centers. 6
88	88	(m)(1) The distributor or seller of alcohol shall report and remit the tax imposed under 7
89	89	subsection (c) of this section to the department of revenue on a monthly basis. 8
90	90	(2) The department of revenue shall audit the distributor or seller of alcohol to ensure 9
91	91	compliance with this chapter at least once per calendar year. 10
92	92	(n) Severability. If any provision of this section or the application thereof to any person or 11
93	93	circumstances is held invalid, the invalidity shall not affect other provisions or applications of this 12
94	94	section which can be given effect without the invalid provision or application, and to this end, the 13
95	95	provisions of this section are severable. 14
96	96	SECTION 2. This act shall take effect on January 1, 2024. 15
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103	103	EXPLANATION
104	104	BY THE LEGISLATIVE COUNCIL
105	105	OF
106	106	A N A C T
107	107	RELATING TO TAXATION -- SALES AND USE TAXES -- LIABILITY AND
108	108	COMPUTATION
109	109	***
110	110	This act would establish the drug and alcohol treatment support fund and provide funding 1
111	111	by imposing a one percent sales tax on all alcohol sold in Rhode Island by a distributor or seller. 2
112	112	The fund would be administered with funds disbursed by a seven (7) member citizens board to drug 3
113	113	and alcohol treatment centers providing treatment to individuals in need. 4
114	114	This act would take effect on January 1, 2024. 5
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