2025 -- S 0723
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LC001985
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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
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A N A C T
RELATING TO TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES
Introduced By: Senators Thompson, Murray, Tikoian, Appollonio, and Pearson
Date Introduced: March 07, 2025
Referred To: Senate Housing & Municipal Government
It is enacted by the General Assembly as follows:
SECTION 1. Section 44-5-13.11 of the General Laws in Chapter 44-5 entitled "Levy and 1
Assessment of Local Taxes" is hereby amended to read as follows: 2
44-5-13.11. Qualifying low-income housing — Assessment and taxation. 3
(a) Any residential property that has been issued an occupancy permit on or after January 4
1, 1995, after substantial rehabilitation as defined by the U.S. Department of Housing and Urban 5
Development and is encumbered by a covenant recorded in the land records in favor of a 6
governmental unit or Rhode Island housing and mortgage finance corporation restricting either or 7
both the rents that may be charged to tenants of the property or the incomes of the occupants of the 8
property, is subject to a tax that equals eight percent (8%) of the property’s previous years’ gross 9
scheduled rental income or a lesser percentage as determined by each municipality. 10
(b) Any city or town whose low- or moderate-income housing units exceeds the ten percent 11
(10%) threshold outlined under chapter 53 of title 45 ("low and moderate income housing") shall 12
be exempt from the provisions of subsection (a) of this section for any and all properties that have 13
been issued an occupancy permit after December 31, 2024; provided, further, that any local city or 14
town council may, by passage of a resolution, elect not to be exempted under the provisions of 15
subsection (a) of this section. 16
LC001985 - Page 2 of 3
SECTION 2. This act shall take effect upon passage. 1
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LC001985 - Page 3 of 3
EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES
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This act would exempt certain cities and towns whose communities exceed the low-and 1
moderate-income housing threshold from the tax of the previous year's gross scheduled rental 2
income. 3
This act would take effect upon passage. 4
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