Rhode Island 2025 Regular Session

Rhode Island House Bill H5306 Compare Versions

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

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5	5	2025 -- H 5306
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7	7	LC000967
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9	9	S T A T E O F R H O D E I S L A N D
10	10	IN GENERAL ASSEMBLY
11	11	JANUARY SESSION, A.D. 2025
12	12	____________
13	13
14	14	A N A C T
15	15	RELATING TO SPECIAL DEVELOPMENT DISTRICT COMMISSION -- CAPITAL
16	16	CENTER COMMISSION
17	17	Introduced By: Representatives DeSimone, Biah, Diaz, Slater, and Hull
18	18	Date Introduced: February 05, 2025
19	19	Referred To: House Municipal Government & Housing
20	20	(City of Providence)
21	21
22	22	It is enacted by the General Assembly as follows:
23	23	SECTION 1. Section 2 of Chapter 332 of the Public Laws of 1981, entitled "Capital Center 1
24	24	Commission" as amended by Article XXV of Chapter 167 of the Public Laws of 1983 and Chapter 2
25	25	19 of the Public Laws of 1994, is hereby repealed: 3
26	26	Sec. 2. "Capital Center Commission", is hereby created as a public corporation with the 4
27	27	following purposes and powers: 5
28	28	(1) Capital Center Commission Constituted Public Corporation and Agency of the State. -6
29	29	- The capital center commission (hereinafter sometimes referred to as the "Commission"), 7
30	30	heretofore created as a nonbusiness corporation under and pursuant to sections 7-6-1 to 7-6-18 of 8
31	31	the general laws, as amended, is hereby constituted and established as a public corporation and 9
32	32	instrumentality of the state of Rhode Island, with such powers as are set forth in this act and is 10
33	33	authorized, upon being duly designated therefor by a city council pursuant to section 45-24.4-6 of 11
34	34	the general laws, as amended, to adopt, implement and administer a plan of development for a 12
35	35	special development district, as provided for by the Rhode Island Special Development District 13
36	36	Act. The exercise by the commission of the powers conferred by this act will be deemed and held 14
37	37	to be the performance of an essential governmental function. 15
38	38	(2) Purposes. -- The commission is constituted and established for the purpose of accepting 16
39	39	the designation of a city council pursuant to section 45-24.4-6 of the general laws, as amended, as 17
40	40	a special development district commission with the power to adopt, implement and administer a 18
41	41
42	42
43	43	LC000967 - Page 2 of 8
44	44	plan of development for a special development district, as provided for by the Rhode Island Special 1
45	45	Development District Act. 2
46	46	(3) Powers. -- Except to the extent inconsistent with any specific provision of this act, the 3
47	47	commission shall have the power: 4
48	48	(a) To sue and be sued, complain and defend, in its corporate name. 5
49	49	(b) To have a seal which may be altered at pleasure and to use the same by causing it, or a 6
50	50	facsimile thereof, to be impressed or affixed or in any other manner reproduced. 7
51	51	(c) To purchase, take, receive, lease, or otherwise acquire, own, hold, improve, use and 8
52	52	otherwise deal in and with, real or personal property, or any interest therein, wherever situated. 9
53	53	(d) To sell, convey, mortgage, pledge, lease, exchange, transfer and otherwise dispose of 10
54	54	all or any part of its property and assets for such consideration and upon such terms and conditions 11
55	55	as the commission shall determine. 12
56	56	(e) To make contracts and guarantees and incur liabilities, and to borrow money at such 13
57	57	rates of interest as the commission may determine. 14
58	58	(f) To make and execute agreements of lease, conditional sales contracts, installment sales 15
59	59	contracts, loan agreements, mortgages, construction contracts, operation contracts, and other 16
60	60	contracts and instruments necessary or convenient in the exercise of the powers and functions of 17
61	61	the commission granted by this act. 18
62	62	(g) To lend money for its purposes, invest and reinvest its funds, and at its option to take 19
63	63	and hold real and personal property as security for the payment of funds so loaned and invested. 20
64	64	(h) To acquire or contract to acquire, from any person, firm, corporation, municipality, the 21
65	65	federal government or the state, or any agency of either the federal government or state, by grant, 22
66	66	purchase, lease, gift, or otherwise, or to obtain options for the acquisition of any property, real or 23
67	67	personal, improved or unimproved, and interests in land less than the fee thereof; and to own, hold, 24
68	68	clear, improve, develop and rehabilitate, and to sell, assign, exchange, transfer, convey, lease, 25
69	69	mortgage, or otherwise dispose of or encumber the same for the purposes of carrying out the 26
70	70	provisions and intent of this chapter, for such consideration as the commission shall determine. 27
71	71	(i) To conduct its activities, carry on its operations, and have offices and exercise the 28
72	72	powers granted by this act. 29
73	73	(j) To elect or appoint officers and agents of the commission and define their duties and fix 30
74	74	their compensation. 31
75	75	(k) To make and alter by-laws, not inconsistent with this act, for the administration and 32
76	76	regulation of the affairs of the commission. Such by-laws may contain provisions indemnifying 33
77	77	any person who is or was a director, officer, employee or agent of the commission, or is or was 34
78	78
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81	81	serving at the request of the commission, as a director, officer, employee or agent of another 1
82	82	corporation, partnership, joint venture, trust or other enterprise, in the manner and to the extent 2
83	83	provided in section 7-1.1-4.1 of the Rhode Island business corporation act. 3
84	84	(l) To be a promoter, partner, member, associate, or manager of any partnership, enterprise 4
85	85	or venture. 5
86	86	(m) To levy, collect and administer the funds derived from special assessments upon the 6
87	87	owners of real property within the special development district, which assessments may be used to 7
88	88	provide supplemental services, such as sanitation and maintenance, within the district, or to plan, 8
89	89	establish, acquire, construct, contract for, subsidize, operate, or otherwise develop parking 9
90	90	facilities, special transportation systems, special lighting, special street or sidewalk design, 10
91	91	landscaping, pedestrian malls, cultural activities, and such other improvements, systems, services, 11
92	92	or activities within the bounds of the special development district that may beneficially affect such 12
93	93	district, provided, however, that such special assessments may be levied, collected, and 13
94	94	administered only in the following manner: 14
95	95	(i) Special assessments may be levied from time to time only upon the written request of 15
96	96	the owners of a majority in fair market value of the real property and any improvements thereon 16
97	97	located in the district, may not exceed an amount approved in writing from time to time by the 17
98	98	owners of a majority in fair market value of the real property and any improvements thereon located 18
99	99	in the district, and may be used only for such purposes as are approved in writing by the owners of 19
100	100	a majority in fair market value of the real property and any improvements thereon located in the 20
101	101	district. 21
102	102	(ii) Any part of a special assessment collected but not expended during one fiscal year may 22
103	103	be expended for the purposes hereinabove set forth during the ensuing fiscal year. 23
104	104	(iii) Special assessments shall be levied on all owners of real property within the district in 24
105	105	proportion to the fair market value of the real property including any improvements thereon, that 25
106	106	they own within the district. 26
107	107	For the purposes of this section, the fair market value of all real property and any 27
108	108	improvements thereon within the district shall be the full and fair cash value that reflects a 28
109	109	hypothetical bargain between a willing seller and a willing buyer. The fair market value shall be 29
110	110	determined by the commission through appraisal or other appropriate procedures not less than once 30
111	111	every five years as of the thirty-first day of December in any year at twelve o'clock midnight. The 31
112	112	fair market value of any property upon which improvements have been constructed after the date 32
113	113	of any given valuation by the commission shall be determined by the commission by projecting 33
114	114	what the fair market value of the improvements would have been had they been constructed to that 34
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118	118	degree on the date of the last valuation. The commission shall arrive at this projected fair market 1
119	119	value on the basis of a ratio derived by comparing the most recent sales of comparable property 2
120	120	within the district to the fair market value of those pieces of property as of the last valuation by the 3
121	121	commission. 4
122	122	(n) To have and exercise all powers necessary or convenient to effect its purposes. 5
123	123	(4) Commissioners; Term of Office; Officers. -- (a) The powers of the commission will be 6
124	124	vested in the board of commissioners duly appointed pursuant to the provisions of this paragraph. 7
125	125	Successors to the commissioners, currently serving, will be appointed as follows: 8
126	126	(1) On or after June 30, 1993, the board of commissioners shall consist of thirteen (13) 9
127	127	appointed commissioners twelve (12) of whom have been appointed in the following manner: four 10
128	128	(4) appointed by the governor of the state of Rhode Island; four (4) appointed by the mayor of the 11
129	129	city of Providence; four (4) appointed by the chairperson of the Providence Foundation, a Rhode 12
130	130	Island non-business corporation formed for certain charitable purposes; and one (1) (who is the 13
131	131	chairperson of the commission) appointed by majority vote of the governor, the mayor, and the 14
132	132	chairperson of the Providence Foundation. (The said governor, the mayor, and the chairperson of 15
133	133	the Providence Foundation are hereinafter sometimes referred to as the "appointing authorities"). 16
134	134	(2) On or after June 30, 1993, in addition to the thirteen (13) appointed commissioners, the 17
135	135	following four (4) individuals shall serve as ex officio commissioners: a) the chairperson of the 18
136	136	corporations committee of the house of representatives of the Rhode Island general assembly; b) 19
137	137	the chairperson of the corporations committee of the senate of the Rhode Island general assembly; 20
138	138	c) the chairperson of the finance committee of the Providence city council; d) the chairperson of 21
139	139	the committee on urban redevelopment renewal, and planning of the Providence city council, or 22
140	140	the designee of any of the above-named individuals. 23
141	141	(3) The appointed commissioners presently serving, including the chairperson, shall 24
142	142	continue to serve until the expiration of their present terms except as specifically provided herein. 25
143	143	During the month of June, 1993, the appointing authorities will appoint commissioners (other than 26
144	144	chairperson) as follows: Each of the appointing authorities will appoint one (1) commissioner to 27
145	145	serve a four-year term then expiring; provided, however, if on June 30, 1993, there are two (2) 28
146	146	commissioners appointed by the governor serving a term expiring on June 30, 1996, the governor 29
147	147	shall fill the vacancy created by the expiration of the term of the governor's appointee on June 30, 30
148	148	1993 by extending for one (1) year to June 30, 1997 the term of one (1) of the two (2) commissioners 31
149	149	appointed by the governor whose term would expire June 30, 1996, thereby reducing the number 32
150	150	of commissioners appointed by the governor to four (4). During the month of June of each 33
151	151	succeeding year after 1993, the appointing authorities will appoint commissioners to serve for terms 34
152	152
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155	155	of four (4) years to succeed the members (including the chairperson) whose terms expire on June 1
156	156	30 of each such year. 2
157	157	The term of the commissioner who is a member of the house of representatives appointed 3
158	158	by the speaker shall expire on June 30, 1993; the term of the commissioner who is a member of the 4
159	159	senate appointed by the majority leader shall expire on June 30, 1993; on and after June 30, 1993 5
160	160	the speaker of the house of representatives and the majority leader of the senate shall no longer be 6
161	161	appointing authorities. 7
162	162	(b) Each commissioner will be eligible for reappointment. Each commissioner whose term 8
163	163	of office expires shall continue to hold office until his or her successor is appointed and has 9
164	164	qualified. Each commissioner, before entering upon his or her duties, will take an oath to support 10
165	165	the Constitution and laws of the state, and the Constitution of the United States, and to faithfully 11
166	166	and impartially discharge the duties of his or her office. The commissioners will receive no 12
167	167	compensation for the performance of their duties but may be reimbursed for their reasonable 13
168	168	expenses incurred in carrying out such duties. 14
169	169	(c) The board of commissioners may designate from among its members an executive 15
170	170	committee and one or more other committees each of which, to the extent authorized by the board 16
171	171	of commissioners, will have and may exercise all the authority of the board of commissioners, but 17
172	172	no such committee shall have the authority of the board of commissioners in reference to the 18
173	173	disposition of all or substantially all the property and assets of the commission, or amending the 19
174	174	by-laws of the commission. 20
175	175	(d) Any action required by this act to be taken at a meeting of the board of commissioners 21
176	176	or any action which may be taken at a meeting of the board of commissioners, or committee thereof, 22
177	177	may be taken without a meeting if a consent in writing, setting forth the action so to be taken shall 23
178	178	be signed before or after such action by all of the commissioners, or all of the members of the 24
179	179	committee, as the case may be. 25
180	180	(e) Employees of the commission shall not, by reason of such employment, be deemed to 26
181	181	be employees of the state for any purpose, any other provision of the general laws to the contrary 27
182	182	notwithstanding, including, without limiting the generality of the foregoing, chapters 29, 39, and 28
183	183	42 of title 28 and chapters 4, 8,9 and 10 of title 36." 29
184	184	(5) APPLICATION OF OTHER LAWS. -- The Commission is authorized and empowered 30
185	185	to acquire and dispose of real property without the necessity of obtaining the approval of the State 31
186	186	Properties Committee or otherwise complying with the provisions of Title 37 of the General Laws, 32
187	187	as amended. The Commission will not be subject to the provisions of Sections 42-35-1 to 42-35-33
188	188	18 of the General Laws, as amended. The Commission and the members of the Board of 34
189	189
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192	192	Commissioners will be subject to the provisions of Sections 36-14-1 to 36-14-19 and Sections 42-1
193	193	46-1 to 42-46-10 of the General Laws, as amended. 2
194	194	(6) EXEMPTION FROM TAXATION. -- (a) the exercise of the powers granted by this 3
195	195	act will be in all respects for the benefit of the people of this State, the increase of their commerce, 4
196	196	welfare and prosperity and will constitute the performance of an essential governmental function 5
197	197	and the Commission will not be required to pay any state income taxes. 6
198	198	(b) The Commission will not be required to pay state taxes of any kind, and the 7
199	199	Commission, its property and moneys and, except for estate, inheritance and gift taxes any bonds 8
200	200	or notes issued by it and the income (including gain from sale or exchange) therefrom will at all 9
201	201	times be free from taxation of every kind by the State. 10
202	202	(7) Notes and Bonds as Legal Investments. -- The notes and bonds of the commission are 11
203	203	hereby made securities in which all public officers and bodies of this state and all municipalities 12
204	204	and municipal subdivisions, all insurance companies and associations, and other persons carrying 13
205	205	on an insurance business, all banks, bankers, trust comanies, savings banks and saving associations, 14
206	206	including savings and loan associations, building and loan associations, investment companies and 15
207	207	other persons carrying on a banking business, all administrators, guardians, executors, trustees and 16
208	208	other fiduciaries, and all other persons whatsoever who are now or may hereafter be authorized to 17
209	209	invest in bonds or other obligations of the state, may properly and legally invest funds, including 18
210	210	capital, in their control or belonging to them, provided the commission shall not issue notes or 19
211	211	bonds under this section in excess of fifty thousand dollars ($50,000.00) without the express 20
212	212	approval of the general assembly and shall not issue notes or bonds under this section in excess of 21
213	213	two million dollars ($2,000,000.00) without the express approval of the qualified electors of the 22
214	214	state of Rhode Island at a special or general elections. 23
215	215	(8) AGREEMENT OF THE STATE. -- The State does hereby pledge to and agree with the 24
216	216	holders of any bonds or notes issued by the Commission, that the State will not limit or alter the 25
217	217	rights hereby vested in the Commission to fulfill the terms of any agreements made with the holders 26
218	218	until such bonds or notes, together with the interest thereon, with interest on any unpaid installments 27
219	219	of interest, and all costs and expenses in connection with any action or proceeding by or on behalf 28
220	220	of such holders, are fully met and discharged. The Commission is authorized to include this pledge 29
221	221	and agreement of the State in any agreement with the holders of such bonds or notes. 30
222	222	(9) CREDIT OF THE STATE. -- Obligations issued by the Commission will not constitute 31
223	223	a debt, liability or obligation of the State or of any political subdivision thereof other than the 32
224	224	Commission or a pledge of faith and credit of the State or any political subdivision other than the 33
225	225	Commission but shall be payable solely from the revenues or assets of the Commission. 34
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229	229	(10) SEVERABILITY. -- If any one or more sections, clauses, sentences, or parts of this 1
230	230	chapter shall for any reason be adjudged unconstitutional or otherwise invalid in any court, such 2
231	231	judgement shall not affect, impair, or invalidate the remaining provisions thereof but shall be 3
232	232	confined in its operation to the specific provisions so held unconstitutional or invalid, and the 4
233	233	inapplicability or invalidity of any section, clause or provision of said chapter in any one or more 5
234	234	instances or circumstances shall not be taken to affect or prejudice in any way its applicability or 6
235	235	validity in any other instance. 7
236	236	SECTION 2. This act shall take effect upon passage and enactment of an ordinance by the 8
237	237	city of Providence similarly repealing local legislation that established the Capital Center 9
238	238	Commission; provided, however, if that already has occurred, this act shall take effect upon 10
239	239	passage. 11
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246	246	EXPLANATION
247	247	BY THE LEGISLATIVE COUNCIL
248	248	OF
249	249	A N A C T
250	250	RELATING TO SPECIAL DEVELOPMENT DISTRICT COMMISSION -- CAPITAL
251	251	CENTER COMMISSION
252	252	***
253	253	This act would repeal legislation establishing the Capital Center Commission, which is a 1
254	254	special development district commission for downtown Providence. 2
255	255	This act would take effect upon passage and enactment of an ordinance by the city of 3
256	256	Providence similarly repealing local legislation that established the Capital Center Commission; 4
257	257	provided, however, if that already has occurred, this act would take effect upon passage. 5
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