2021 -- H 5588

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LC001631

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2021

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A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- NEW SHOREHAM

AFFORDABLE HOUSING ELIGIBILITY

     

     Introduced By: Representative Blake Anthony Filippi

     Date Introduced: February 12, 2021

     Referred To: House Municipal Government & Housing

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 42-128-8.1 of the General Laws in Chapter 42-128 entitled "Rhode

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Island Housing Resources Act of 1998" is hereby amended to read as follows:

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     42-128-8.1. Housing production and rehabilitation.

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     (a) Short title. This section shall be known and may be cited as the "Comprehensive

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Housing Production and Rehabilitation Act of 2004."

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     (b) Findings. The general assembly finds and declares that:

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     (1) The state must maintain a comprehensive housing strategy applicable to all cities and

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towns that addresses the housing needs of different populations including, but not limited to,

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workers and their families who earn less than one hundred twenty percent (120%) of median

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income, older citizens, students attending institutions of higher education, low and very low income

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individuals and families, and vulnerable populations including, but not limited to, persons with

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disabilities, homeless individuals and families, and individuals released from correctional

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institutions.

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     (2) Efforts and programs to increase the production of housing must be sensitive to the

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distinctive characteristics of cities and towns, neighborhoods and areas and the need to manage

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growth and to pace and phase development, especially in high growth areas.

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     (3) The state in partnership with local communities must remove barriers to housing

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development and update and maintain zoning and building regulations to facilitate the construction,

 

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rehabilitation of properties and retrofitting of buildings for use as safe affordable housing.

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     (4) Creative funding mechanisms are needed at the local and state levels that provide

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additional resources for housing development, because there is an inadequate amount of federal

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and state subsidies to support the affordable housing needs of Rhode Island's current and projected

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population.

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     (5) Innovative community planning tools, including, but not limited to, density bonuses

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and permitted accessory dwelling units, are needed to offset escalating land costs and project

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financing costs that contribute to the overall cost of housing and tend to restrict the development

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and preservation of housing affordable to very low income, low income and moderate income

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persons.

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     (6) The gap between the annual increase in personal income and the annual increase in the

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median sales price of a single-family home is growing, therefore, the construction, rehabilitation

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and maintenance of affordable, multi-family housing needs to increase to provide more rental

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housing options to individuals and families, especially those who are unable to afford

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homeownership of a single-family home.

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     (7) The state needs to foster the formation of cooperative partnerships between

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communities and institutions of higher education to significantly increase the amount of residential

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housing options for students.

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     (8) The production of housing for older citizens as well as urban populations must keep

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pace with the next twenty-year projected increases in those populations of the state.

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     (9) Efforts must be made to balance the needs of Rhode Island residents with the ability of

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the residents of surrounding states to enter into Rhode Island's housing market with much higher

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annual incomes at their disposal.

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     (c) Strategic plan. The commission, in conjunction with the statewide planning program,

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shall develop by July 1, 2006, a five (5) year strategic plan for housing, which plan shall be adopted

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as an element of the state guide plan, and which shall include quantified goals, measurable

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intermediate steps toward the accomplishment of the goals, implementation activities, and

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standards for the production and/or rehabilitation of year-round housing to meet the housing needs

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including, but not limited to, the following:

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     (1) Older Rhode Islanders, including senior citizens, appropriate, affordable housing

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options;

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     (2) Workers, housing affordable at their income level;

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     (3) Students, dormitory, student housing and other residential options;

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     (4) Low income and very low income households, rental housing;

 

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     (5) Persons with disabilities, appropriate housing; and

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     (6) Vulnerable individuals and families, permanent housing, single room occupancy units,

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transitional housing and shelters.

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     (d) As used in this section and for the purposes of the preparation of affordable housing

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plans as specified in chapter 45-22.2, words and terms shall have the meaning set forth in chapter

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45-22.2, chapter 45-53, and/or § 42-11-10, unless this section provides a different meaning or

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unless the context indicates a different meaning or intent.

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     (1) "Affordable housing" means residential housing that has a sales price or rental amount

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that is within the means of a household that is moderate income or less. In the case of dwelling

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units for sale, housing that is affordable means housing in which principal, interest, taxes, which

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may be adjusted by state and local programs for property tax relief, and insurance constitute no

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more than thirty percent (30%) of the gross household income for a household with less than one

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hundred and twenty percent (120%) of area median income, adjusted for family size. Provided,

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however, that exclusively for the residents of New Shoreham, their affordable housing eligibility

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standards shall include households whose adjusted gross income is less than one hundred forty

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percent (140%) of their residents' median income, adjusted for family size. In the case of dwelling

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units for rent, housing that is affordable means housing for which the rent, heat, and utilities other

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than telephone constitute no more than thirty percent (30%) of the gross annual household income

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for a household with eighty percent (80%) or less of area median income, adjusted for family size.

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Affordable housing shall include all types of year-round housing, including, but not limited to,

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manufactured housing, housing originally constructed for workers and their families, accessory

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dwelling units, housing accepting rental vouchers and/or tenant-based certificates under Section 8

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of the United States Housing Act of 1937, as amended, and assisted living housing, where the sales

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or rental amount of such housing, adjusted for any federal, state, or municipal government subsidy,

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is less than or equal to thirty percent (30%) of the gross household income of the low and/or

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moderate income occupants of the housing.

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     (2) "Affordable housing plan" means a plan prepared and adopted by a town or city either

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to meet the requirements of chapter 45-53 or to meet the requirements of § 45-22.2-10(f), which

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require that comprehensive plans and the elements thereof be revised to conform with amendments

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to the state guide plan.

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     (3) "Approved affordable housing plan" means an affordable housing plan that has been

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reviewed and approved in accordance with § 45-22.2-9.

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     (4) "Moderate income household" means a single person, family, or unrelated persons

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living together whose adjusted gross income is more than eighty percent (80%) but less than one

 

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hundred twenty percent (120%) of the area median income, adjusted for family size.

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     (5) "Seasonal housing" means housing that is intended to be occupied during limited

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portions of the year.

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     (6) "Year-round housing" means housing that is intended to be occupied by people as their

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usual residence and/or vacant units that are intended by their owner for occupancy at all times of

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the year; occupied rooms or suites of rooms in hotels are year-round housing only when occupied

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by permanent residents as their usual place of residence.

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     (e) The strategic plan shall be updated and/or amended as necessary, but not less than once

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every five (5) years.

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     (f) Upon the adoption of the strategic plan as an element of the state guide plan, towns and

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cities shall bring their comprehensive plans into conformity with its requirements, in accordance

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with the timetable set forth in § 45-22.2-10(f), provided, however, that any town that has adopted

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an affordable housing plan in order to comply with the provisions of chapter 45-53, which has been

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approved for consistency pursuant to § 45-22.2-9, shall be deemed to satisfy the requirements of

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the strategic plan for low and moderate income housing until such time as the town must complete

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its next required comprehensive community plan update.

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     (g) Guidelines. The commission shall advise the state planning council and the state

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planning council shall promulgate and adopt not later than July 1, 2006, guidelines for higher

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density development, including, but not limited to: (A) inclusionary zoning provisions for low and

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moderate income housing with appropriate density bonuses and other subsidies that make the

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development financially feasible; and (B) mixed-use development that includes residential

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development, which guidelines shall take into account infrastructure availability; soil type and land

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capacity; environmental protection; water supply protection; and agricultural, open space, historical

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preservation, and community development pattern constraints.

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     (h) The statewide planning program shall maintain a geographic information system map

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that identifies, to the extent feasible, areas throughout the state suitable for higher density

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residential development consistent with the guidelines adopted pursuant to subsection (g).

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO STATE AFFAIRS AND GOVERNMENT -- NEW SHOREHAM

AFFORDABLE HOUSING ELIGIBILITY

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     This act would increase the percentage of area median income from one hundred twenty

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percent (120%) to one hundred forty percent (140%) only for New Shoreham residents to make

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more households eligible for affordable housing.

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     This act would take effect upon passage.

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