Chapter 475
2006 -- H 7932
Enacted 07/06/06
A N A C T
PERMITTING
THE TOWN OF SOUTH KINGSTOWN TO EXEMPT CERTAIN
PROPERTIES
FROM TAXATION
Introduced
By: Representatives Shanley, D Caprio, Lally, and McHugh
Date
Introduced: March 23, 2006
It is enacted by the General Assembly as
follows:
SECTION 1. Chapter
44-3 of the General Laws entitled "Property Subject to Taxation"
is hereby amended by adding thereto the
following section:
44-3-9.7. South
Kingstown -- Exemption or stabilization of tax on qualified property
used for manufacturing or commercial purposes in
the town of South Kingstown. – (a)
Except as provided in this section, the town
council of the town of South Kingstown may vote to
authorize, for a period not exceeding ten (10)
years, and subject to the conditions provided in this
section, to exempt from payment, in whole or
part, real and personal property used for
manufacturing or commercial purposes, or to
determine a stabilized amount of taxes to be paid on
account of the property, notwithstanding the
valuation of the property or the rate of tax; provided,
that after public hearings, at least ten (10)
days' notice of which shall be given in a newspaper of
general circulation in the town, the town
council determines that:
(1) Granting of
the exemption or stabilization of taxes will inure to the benefit of the
town by reason of:
(i) The
willingness of the manufacturing or commercial concern to locate in the town;
or
(ii) The
willingness of a manufacturing firm to expand facilities with an increase in
employment or the willingness of a commercial or
manufacturing concern to retain or expand its
facility in the town and not reduce its work
force in the town; or
(iii) An
improvement of the physical plant of the town that will result in long-term
economic benefits to the town and the state.
(2) Granting of
the exemption or stabilization of taxes will inure to the benefit of the
town by reason of the willingness of a
manufacturing or commercial firm or concern to replace,
reconstruct, expand or remodel existing
buildings, facilities, fixtures, machinery, or equipment
with modern buildings, facilities, fixtures,
machinery, or equipment, resulting in an increase in,
plant or commercial building investment by the
firm or concern in the town.
(b) Should the
town council make the determination in paragraphs (a)(1)(i) through
paragraphs (a)(1)(iii), or subdivision (a)(2) of
this section, an exemption or stabilization may be
granted for existing buildings, property,
machinery, or facilities owned by businesses already
located in the town of South Kingstown on
January 1, 2006.
(c) For the
purposes of this section, "real property used for manufacturing or
commercial
purposes" includes any building or
structure used for offices or commercial enterprises including
without limitation any building or structure
used for wholesale, warehouse, distribution, and/or
storage business, used for service industries,
or used for any other commercial business and the
land on which the building or structure is
situated and not used for residential purposes.
(d) For
purposes of this section, "personal property used for manufacturing or
commercial purposes" means any personal
property owned by a firm or concern occupying a
building, structure, and/or land used for
commercial purposes and used by such firm or concern in
its commercial enterprise including, without
limitation, furniture, fixtures, equipment, machinery,
stock in trade, and inventory.
(e) Except as
provided in this section, property for which taxes have been exempted in
whole or part, or stabilized pursuant to this
section, shall not, during the period for which taxes
have been exempted or stabilized, be further
liable to taxation by the town so long as the property
is used for the manufacturing or commercial
purpose for which the exemption or stabilization was
granted.
(f)
Notwithstanding any vote of, or findings by the town council, the property
shall be
assessed for, and shall pay, that portion of the
tax, if any, assessed by the town for the purpose of
paying the indebtedness of the town and the
indebtedness of the state or any political subdivision
of the state, to the extent assessed upon or
apportioned to the town, and the interest on the
indebtedness, and for appropriation to any
sinking fund of the town, which portion of the tax shall
be paid in full, and the taxes so assessed and
collected shall be kept in a separate account and
used only for that purpose.
(g) Any
application for tax exemption or stabilization submitted pursuant to this
section
shall be submitted before an application for
development plan review is submitted to the South
Kingstown planning board, as applicable, or for
other such permits and/or approvals that may be
required from any other town board or
commission.
(h) Any tax
exemption or stabilization granted by the town council pursuant to this
section shall be applicable for a period
beginning on the first day of the fiscal year in which the
exemption or stabilization is granted.
(i) If a
property owner whose property tax has been exempted or stabilized pursuant to
this section becomes delinquent in the payment of
its property taxes, or transfers ownership of its
business, the town council shall have the
authority to review and terminate the tax exemption or
stabilization agreement.
SECTION 2. This
act shall take effect upon passage.
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LC02836
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