2025 -- S 0584 ======== LC001875 ======== S T A T E O F R H O D E I S L A N D IN GENERAL ASSEMBLY JANUARY SESSION, A.D. 2025 ____________ A N A C T RELATING TO FOOD AND DRUGS -- SANITATION IN FOOD ESTABLISHMENTS Introduced By: Senators Gallo, LaMountain, Patalano, Tikoian, Valverde, and Gu Date Introduced: February 26, 2025 Referred To: Senate Labor & Gaming It is enacted by the General Assembly as follows: SECTION 1. Section 21-27-10 of the General Laws in Chapter 21-27 entitled "Sanitation 1 in Food Establishments" is hereby amended to read as follows: 2 21-27-10. Registration of food businesses. 3 (a) No person shall operate a food business as defined in § 21-27-1 unless he or she 4 annually registers the business with the state director of health; provided, that food businesses 5 conducted by nonprofit organizations, hospitals, public institutions, farmers markets, roadside farm 6 stands, or any municipality shall be exempt from payment of any required fee. Additionally, no 7 license fee shall be required for an establishment that: 8 (1) Holds a Class C liquor license pursuant to § 3-7-8; and 9 (2) Complies with the license limits set forth in § 3-7-8(b). 10 (b) In order to set the registration renewal dates so that all activities for each establishment 11 can be combined on one registration instead of on several registrations, the registration renewal 12 date shall be set by the department of health. The registration period shall be for twelve (12) months 13 commencing on the registration renewal date. Any renewal registration fee shall be at the full, 14 annual rate regardless of the date of renewal. Any fee for a first-time application shall have the 15 registration fee pro-rated based upon the date of issuance of registration. If the registration renewal 16 date is changed, the department may make an adjustment to the fees of registered establishments, 17 not to exceed the annual registration fee, in order to implement the changes in registration renewal 18 date. Registrations issued under this chapter may be suspended or revoked for cause. Any 19 LC001875 - Page 2 of 7 registration or license shall be posted in a place accessible and prominently visible to an agent of 1 the director. 2 (c) Registration with the director of health shall be based upon satisfactory compliance 3 with all laws and regulations of the director applicable to the food business for which registration 4 is required. 5 (d) The director of health is authorized to adopt regulations necessary for the 6 implementation of this chapter. 7 (e) Classification for registration shall be as follows: 8 (1) In-state and out-of-state food processors that sell food in Rhode Island (Wholesale) 9 (2) Food processors (Retail) 10 (3) Food service establishments: 11 (i) 50 seats or less 12 (ii) More than 50 seats 13 (iii) Mobile food service units 14 (iv) Industrial caterer or food vending machine commissary 15 (v) Cultural heritage educational facility 16 (4) Vending machine sites or location: 17 (i) Three (3) or less machines 18 (ii) Four (4) to ten (10) machines 19 (iii) Eleven (11) or more machines 20 (5) Retail markets: 21 (i) 1 to 2 cash registers 22 (ii) 3 to 5 cash registers 23 (iii) 6 or more cash registers 24 (6) Retail food peddler (meat, seafood, dairy, and frozen dessert products) 25 (7) Food warehouses 26 (f) In no instance, where an individual food business has more than one activity eligible 27 under this chapter for state registration within a single location, shall the business be required to 28 pay more than a single fee for the one highest classified activity listed in subsection (e) of this 29 section; provided, that, where several separate but identically classified activities are located within 30 the same building and under the management and jurisdiction of one person, one fee shall be 31 required. In each of the instances in this subsection, each activity shall be separately registered. 32 (g) Fees for registration of the above classifications shall be as set forth in § 23-1-54. 33 (h) The department shall also annually charge food service establishments an additional 34 LC001875 - Page 3 of 7 fee of fifty dollars ($50.00) per year, which shall be transferred to the department of labor and 1 training and shall be deposited into the hospitality training restricted receipt account, which shall 2 be exempt from the indirect cost recovery provisions of § 35-4-27. Subject to appropriation by the 3 general assembly, these funds shall be used to provide hospitality industry workforce training 4 grants including, but not limited to, certified food and alcohol safety training programs offered in 5 multiple languages. 6 SECTION 2. Section 35-4-27 of the General Laws in Chapter 35-4 entitled "State Funds" 7 is hereby amended to read as follows: 8 35-4-27. Indirect cost recoveries on restricted receipt accounts. [Effective January 1, 9 2025.] 10 Indirect cost recoveries of ten percent (10%) of cash receipts shall be transferred from all 11 restricted receipt accounts, to be recorded as general revenues in the general fund. However, there 12 shall be no transfer from cash receipts with restrictions received exclusively: (1) From contributions 13 from nonprofit charitable organizations; (2) From the assessment of indirect cost-recovery rates on 14 federal grant funds; or (3) Through transfers from state agencies to the department of administration 15 for the payment of debt service. These indirect cost recoveries shall be applied to all accounts, 16 unless prohibited by federal law or regulation, court order, or court settlement. The following 17 restricted receipt accounts shall not be subject to the provisions of this section: 18 Executive Office of Health and Human Services 19 Organ Transplant Fund 20 HIV Care Grant Drug Rebates 21 Health System Transformation Project 22 Rhode Island Statewide Opioid Abatement Account 23 HCBS Support-ARPA 24 HCBS Admin Support-ARPA 25 Department of Human Services 26 Veterans’ home — Restricted account 27 Veterans’ home — Resident benefits 28 Pharmaceutical Rebates Account 29 Demand Side Management Grants 30 Veteran’s Cemetery Memorial Fund 31 Donations — New Veterans’ Home Construction 32 Commodity Supplemental Food Program-Claims 33 Department of Health 34 LC001875 - Page 4 of 7 Pandemic medications and equipment account 1 Miscellaneous Donations/Grants from Non-Profits 2 State Loan Repayment Match 3 Healthcare Information Technology 4 Department of Behavioral Healthcare, Developmental Disabilities and Hospitals 5 Eleanor Slater non-Medicaid third-party payor account 6 Hospital Medicare Part D Receipts 7 RICLAS Group Home Operations 8 Group Home Facility Improvement Fund 9 Commission on the Deaf and Hard of Hearing 10 Emergency and public communication access account 11 Department of Environmental Management 12 National heritage revolving fund 13 Environmental response fund II 14 Underground storage tanks registration fees 15 De Coppet Estate Fund 16 Rhode Island Historical Preservation and Heritage Commission 17 Historic preservation revolving loan fund 18 Historic Preservation loan fund — Interest revenue 19 Department of Public Safety 20 E-911 Uniform Emergency Telephone System 21 Forfeited property — Retained 22 Forfeitures — Federal 23 Forfeited property — Gambling 24 Donation — Polygraph and Law Enforcement Training 25 Rhode Island State Firefighter’s League Training Account 26 Fire Academy Training Fees Account 27 Attorney General 28 Forfeiture of property 29 Federal forfeitures 30 Attorney General multi-state account 31 Forfeited property — Gambling 32 Department of Administration 33 OER Reconciliation Funding 34 LC001875 - Page 5 of 7 Health Insurance Market Integrity Fund 1 RI Health Benefits Exchange 2 Information Technology restricted receipt account 3 Restore and replacement — Insurance coverage 4 Convention Center Authority rental payments 5 Investment Receipts — TANS 6 OPEB System Restricted Receipt Account 7 Car Rental Tax/Surcharge-Warwick Share 8 Grants Management Administration 9 RGGI-Executive Climate Change Coordinating Council Projects 10 Electric Vehicle Charging Stations Operating and Maintenance Account 11 Department of Housing 12 Housing Resources and Homelessness Restricted Receipt Account 13 Housing Production Fund 14 Low-Income Housing Tax Credit Fund 15 Department of Revenue 16 DMV Modernization Project 17 Jobs Tax Credit Redemption Fund 18 Legislature 19 Audit of federal assisted programs 20 Department of Children, Youth and Families 21 Children’s Trust Accounts — SSI 22 Military Staff 23 RI Military Family Relief Fund 24 RI National Guard Counterdrug Program 25 Treasury 26 Admin. Expenses — State Retirement System 27 Retirement — Treasury Investment Options 28 Defined Contribution — Administration - RR 29 Violent Crimes Compensation — Refunds 30 Treasury Research Fellowship 31 Business Regulation 32 Banking Division Reimbursement Account 33 Office of the Health Insurance Commissioner Reimbursement Account 34 LC001875 - Page 6 of 7 Securities Division Reimbursement Account 1 Commercial Licensing and Racing and Athletics Division Reimbursement Account 2 Insurance Division Reimbursement Account 3 Historic Preservation Tax Credit Account 4 Marijuana Trust Fund 5 Social Equity Assistance Fund 6 Judiciary 7 Arbitration Fund Restricted Receipt Account 8 Third-Party Grants 9 RI Judiciary Technology Surcharge Account 10 Department of Elementary and Secondary Education 11 Statewide Student Transportation Services Account 12 School for the Deaf Fee-for-Service Account 13 School for the Deaf — School Breakfast and Lunch Program 14 Davies Career and Technical School Local Education Aid Account 15 Davies — National School Breakfast & Lunch Program 16 School Construction Services 17 Office of the Postsecondary Commissioner 18 Higher Education and Industry Center 19 IGT STEM Scholarships 20 Department of Labor and Training 21 Job Development Fund 22 Contractor Training Restricted Receipt Account 23 Hospitality Training Restricted Receipt Account 24 Rhode Island Council on the Arts 25 Governors’ Portrait Donation Fund 26 Statewide records management system account 27 SECTION 3. This act shall take effect on January 1, 2026. 28 ======== LC001875 ======== LC001875 - Page 7 of 7 EXPLANATION BY THE LEGISLATIVE COUNCIL OF A N A C T RELATING TO FOOD AND DRUGS -- SANITATION IN FOOD ESTABLISHMENTS *** This act would establish a restricted receipt account at the department of labor and training 1 (“DLT”) to be used for hospitality industry workforce training grants, including certified food and 2 alcohol safety training programs offered in multiple languages, funded by an annual fee of fifty 3 ($50.00) dollars charged by the department of health (“DOH”) to food service establishments. 4 This act would take effect on January 1, 2026. 5 ======== LC001875 ========