2022 -- S 2596 SUBSTITUTE A

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2022

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A N   A C T

     CAPITAL DEVELOPMENT PROGRAMS FOR EDUCATION -- STATEWIDE

REFERENDUM

     Introduced By: Senators Gallo, Ruggerio, McCaffrey, Goodwin, Pearson, Cano, and Euer

     Date Introduced: March 10, 2022

     Referred To: Senate Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Proposition to be submitted to the people.

     At the general election to be held on the Tuesday next after the first Monday in November

2022, there shall be submitted to the people ("People") of the State of Rhode Island ("State"), for

their approval or rejection, the following proposition:

     "Shall the action of the general assembly, by an act passed at the January 2022 session,

authorizing the issuance of bonds, refunding bonds, and temporary notes of the State of Rhode

Island for the capital projects and in the amount with respect to each such project listed below be

approved, and the issuance of bonds, refunding bonds, and temporary notes authorized in

accordance with the provisions of said act?"

     Project

     (2) Rhode Island School Buildings $250,000,000

     Approval of this question will allow the state of Rhode Island to issue general obligation

bonds, refunding bonds, and/or temporary notes in an amount not to exceed two hundred fifty

million dollars ($250,000,000) to provide direct funding for school construction projects, such as

the construction of new school facilities and the rehabilitation of existing school facilities.

     SECTION 2. Section 16-7-40 of the General Laws in Chapter 16-7 entitled "Foundation

Level School Support [See Title 16 Chapter 97 - The Rhode Island Board of Education Act]" is

hereby amended to read as follows:

     16-7-40. Increased school housing ratio.

     (a)(1) In the case of regional school districts, the school housing aid ratio shall be increased

by two percent (2%) for each grade so consolidated.

     (2) Regional school districts undertaking renovation project(s) shall receive an increased

share ratio of four percent (4%) for those specific project(s) only, in addition to the combined share

ratio calculated in § 16-7-39 and this subsection.

     (b) In the case of projects undertaken by districts specifically for the purposes of school

safety and security, the school housing aid share ratio shall be increased by five percent (5%) for

these specific projects only, in the calculation of school housing aid. The increased share ratio shall

continue to be applied for as long as the project(s) receives state housing aid. In order to qualify for

the increased share ratio, seventy-five percent (75%) of the project costs must be specifically

directed to school safety and security measures. The council on elementary and secondary

education shall promulgate rules and regulations for the administration and operation of this

section.

     (c) For purposes of addressing health and safety deficiencies as defined by the school

building authority, including the remediation of hazardous materials, the school housing aid ratio

shall be increased by five percent (5%) so long as the construction of the project commences by

December 30, 2022 2023, is completed by December 30, 2027 2028, and a two hundred fifty

million dollar ($250,000,000) general obligation bond is approved on the November 2018 ballot.

In order to qualify for the increased share ratio, twenty-five percent (25%) of the project costs or a

minimum of five hundred thousand dollars ($500,000) must be specifically directed to this purpose.

     (d) For purposes of educational enhancement, including projects devoted to the

enhancement of early childhood education and career and technical education, the school housing

aid ratio shall be increased by five percent (5%) so long as construction of the project commences

by December 30, 2022 2023, is completed by December 30, 2027 2028, and a two hundred fifty

million dollar ($250,000,000) general obligation bond is approved on the November 2018 ballot.

In order to qualify for the increased share ratio, twenty-five percent (25%) of the project costs or a

minimum of five hundred thousand dollars ($500,000) must be specifically directed to these

purposes.

     (e) For replacement of a facility that has a facilities condition index of sixty-five percent

(65%) or higher, the school housing ratio shall be increased by five percent (5%) so long as

construction of the project commences by December 30, 2023, is completed by December 30, 2028,

does not receive a bonus pursuant to subsection (f) or subsection (g), and a two hundred fifty million

dollar ($250,000,000) general obligation bond is approved on the November 2018 ballot. In order

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to qualify for the increased share ratio, twenty-five percent (25%) of the project costs or a minimum

of five hundred thousand dollars ($500,000) must be specifically directed to this purpose.

     (f) For any new construction or renovation that increases the functional utilization of any

facility from less than sixty percent (60%) to more than eighty percent (80%), including the

consolidation of school buildings within or across districts, the school housing aid ratio shall be

increased by five percent (5%) so long as construction of the project commences by December 30,

2023, is completed by December 30, 2028, and a two hundred fifty million dollar ($250,000,000)

general obligation bond is approved on the November 2018 ballot. In order to qualify for the

increased share ratio, twenty-five percent (25%) of the project costs or a minimum of five hundred

thousand dollars ($500,000) must be specifically directed to this purpose.

     (g) For any new construction or renovation that decreases the functional utilization of any

facility from more than one hundred twenty percent (120%) to between eighty-five percent (85%)

to one hundred five percent (105%), the school housing ratio shall be increased by five percent

(5%) so long as construction of the project commences by December 30, 2023, is completed by

December 30, 2028, and a two hundred fifty million dollar ($250,000,000) general obligation bond

is approved on the November 2018 ballot. In order to qualify for the increased share ratio, twenty-

five percent (25%) of the project costs or a minimum of five hundred thousand dollars ($500,000)

must be specifically directed to this purpose.

     (h) For consolidation of two (2) or more school buildings, within or across districts into

one school building, the school housing aid ratio shall be increased by five percent (5%) so long as

construction of the project commences by December 30, 2023, is completed by December 30, 2028,

a two hundred fifty million dollar ($250,000,000) general obligation bond is approved on the

November 2018 ballot, and does not receive a bonus pursuant to subsection (f) or subsection (g).

In order to qualify for the increased share ratio, twenty-five percent (25%) of the project costs or a

minimum of five hundred thousand dollars ($500,000) must be specifically directed to this purpose.

     (i) Any regionalized and/or non-regionalized school district receiving an increased share

ratio for a project approved prior to July 1, 2018, shall continue to receive the increased share ratio

for as long as the project receives state housing aid.

     SECTION 3. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

     CAPITAL DEVELOPMENT PROGRAMS FOR EDUCATION -- STATEWIDE

REFERENDUM

***

     This act would provide for a statewide voter referendum seeking approval of capital

development bonds for direct funding for foundational level school housing aid and the school

capital building authority fund in the amount of two hundred fifty million dollars ($250,000,000).

It will also extend some dates in the increased school housing ratio statute.

     This act would take effect upon passage.

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