Chapter 545

2004 -- S 3012

Enacted 07/09/04

A N A C T

RELATING TO THE DOWNCITY SECTION OF PROVIDENCE

Introduced By: Senators Ruggerio, Paiva-Weed, Goodwin, and DaPonte

Date Introduced: April 01, 2004

It is enacted by the General Assembly as follows:

     SECTION 1. Section 2 of chapter 302 of the 2000 public laws entitled "An Act Relating

to the Downcity Section of Providence" is hereby amended to read as follows:

     SECTION 2. The Providence City Council may by ordinance create a Downcity Tax

District, and provide special tax considerations for designated properties within the district.

     Upon enactment, property taxes levied on eligible properties as of December 31, 2000

shall reflect the adopted tax considerations. Owners of eligible properties are required to begin

renovations by December 31, 2003 2004 in order to qualify for continued tax considerations.

Properties that fail to meet this deadline will be required retroactively to pay the difference

between their actual tax payments and what they would have paid if ineligible for the specified

tax considerations.

     Eligible properties shall be taxable properties located within the area bounded by

Dorrance, Pine, Empire and Sabin Streets within the City of Providence; and shall have been

more than fifty percent (50%) vacant as of December 31, 1999 or, although more than fifty

percent (50%) occupied, shall be eligible if certified by the city Building Inspector as in need of

substantial rehabilitation.

Buildings demolished after December 31, 1999 shall be ineligible. Properties already

vacant as of this date December 31, 1999 shall be eligible if the owners construct new structures,

including parking garages. Tax benefits for eligible properties shall be transferable to new

owners or tenants, but the life of the tax considerations shall not be extended.

     Substantial rehabilitation shall mean rehabilitation that adheres to the applicable building

and fire codes, extends to all occupiable floors of the building, and equals at least fifty percent

(50%) of the current replacement value of the structure, as certified by the city Building

Inspector.

     This statute shall not diminish the authority of any body to review and approve the

construction plans for overall appearance or historical preservation standards.

     The City of Providence shall have the authority to provide tax considerations for a period

beginning with the assessments of December 31, 2000 up to and including December 31, 2010.

During this period, eligible properties shall pay annual taxes on land and buildings in an amount

equal to the tax assessed as of December 31, 1998. This tax shall be fixed regardless of changes

in the tax rate, or of changes in valuation resulting from periodic revaluation. During this period

of eligibility, the tax shall be fixed regardless of increased property value resulting from

substantial rehabilitation.

     During the period of eligibility, Providence shall also be authorized to use special

considerations in taxing tangible property located in businesses in eligible properties. For the ten

year period, the rate of thirty-three dollars and forty-four cents ($33.44) shall be applied annually

to tangible property value as it is determined and may change from year to year. This

consideration shall apply to all taxable businesses occupying eligible properties during the period

of eligibility, regardless of when they first occupied the property.

     SECTION 2. This act shall take effect upon passage.

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LC03123

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