law23079-07

=======

art.007/7/007/6/007/5/007/4/007/3/007/2/007/1

=======

ARTICLE 7 AS AMENDED

RELATING TO ECONOMIC DEVELOPMENT

SECTION 1. Sections 5-21-1 and 5-21-2 of the General Laws in Chapter 5-21 entitled

“Second-Hand Dealers” is hereby amended to read as follows:

5-21-1 Local licensing – Fees – Penalty – Record of transaction.

(a) The city or town council of any city or town is authorized to provide by ordinance for

the issuing and revocation at pleasure of licenses to all persons selling, purchasing, bartering, and

dealing in junk, old metals, and any other second-hand metal articles, and to all persons

establishing, operating, or maintaining automobile junkyards, subject to any conditions and

restrictions and for a term not exceeding one year that may be in the like manner prescribed; and

also for charging and collecting fees for those licenses. The fees in the like manner prescribed shall

not exceed the sum of one hundred dollars ($100) for the keeper of a shop an establishment or

storehouse for the reception of any junk, old metals, or second-hand metal articles which is not an

automobile junkyard; the sum of five dollars ($5.00) for any foundry person or other person

receiving the same for the purpose of melting or converting the junk, old metals, or second-hand

metal articles into castings; the sum of five dollars ($5.00) for any gatherer of these items in any

bag, wagon, or cart; or the sum of one hundred dollars ($100) for any person establishing, operating,

or maintaining an automobile junkyard; and also to fix a penalty for carrying on that business

without a license, or in violation of any ordinance or regulation made as authorized in this chapter,

not exceeding for any one offense a fine of five hundred dollars ($500) or imprisonment not

exceeding six (6) months.

(b) The ordinance shall provide that each person purchasing or receiving old or used metals

other than junked automobiles or automobile parts shall maintain a record of each purchase or

receipt. The record shall include the date of the transaction, the name, address, telephone number,

and signature of the person from whom the old or used metals are purchased or received; a

description of the old or used metals; and the price paid for the old or used metals. The records so

kept shall be produced at the request of law enforcement officials.

defined below in this subsection, are exempt from any licensing requirements imposed under this

section: (1) second Second-hand consignment goods; (2) resale Resale goods; (3) thrift Thrift

goods; and (4) antiques Antiques. “Second-hand consignment goods” means used items, including,

but not limited to, artwork, furniture, clothing, accessories, and books that are sold by a third party,

which that receives a percentage of the revenue from the sale. “Resale goods” means goods,

including, but not limited to, artwork, furniture, clothing, accessories, and books, that are purchased

from the original owner and resold. “Thrift goods” means used items, including, but not limited to,

artwork, furniture, clothing, accessories, and books, that are sold by or on behalf of a charity or

non-profit nonprofit organization. “Antiques” means items made in an earlier period that are

collected and considered to have value because they are beautiful, rare, old, or of high quality.

5-21-2 Hearing and objections by neighboring landowners.

(a) The local licensing authority of a city or town, before granting a license under this

chapter to keep a shop an establishment or storehouse for the reception of any junk, old metals, or

other second-hand metal articles or to establish, operate, or maintain an automobile junkyard, in

any location not lawfully occupied for that purpose at the time of the application for that license,

shall hold a public hearing, notice of which shall be posted at least seven (7) days but not more than

fourteen (14) days prior to the hearing in not less than two (2) public places in that city or town and

in a newspaper of general circulation in that city or town where the shop establishment, storehouse,

or junkyard is to be established, operated, or maintained. Before the local licensing authority posts

or publishes a notice of a hearing, the local licensing authority shall collect from the applicant for

the license a fee of ten dollars ($10.00), plus the cost of posting and publishing the notice.

(b) No license shall be granted under this chapter to the keeper of any shop establishment

or storehouse for the reception of any junk, old metals, or other second-hand metal articles or to a

person establishing, operating, or maintaining an automobile junkyard, in any location not lawfully

occupied for that purpose at the time of the application for the license, where the owners or

occupants of the greater part of the land within two hundred (200) feet (200’) of that building or

place file with the board, city, or town council, respectively, having jurisdiction to grant licenses,

their objection to the granting of the license. This subsection does not apply to any applicant who

is the keeper of a shop an establishment or storehouse, or automobile junkyard, that is being

acquired under eminent domain proceedings, who is applying for licensing within § 5-21-1 within

the same city or town in which he or she was formerly licensed.

SECTION 2. Title 23 of the General Laws entitled "HEALTH AND SAFETY" is hereby

amended by adding thereto the following chapter:

CHAPTER 99

THE RHODE ISLAND LIFE SCIENCE HUB ACT

23-99-1. Short title.

This act shall be known and may be cited as the "Rhode Island Life Science Hub Act".

23-99-2. Legislative purpose.

The purpose of this chapter shall be to create and lawfully manage the Rhode Island Life

Science Hub life science hub, a public corporation. The Rhode Island Life Science Hub life science

hub shall be the central entity and coordinating organization of life science initiatives on behalf of

the state and shall:

(1) Facilitate the development of medical advances and scientific breakthroughs with

companies who that specialize in the fields of: medical devices, biomedical technology, medical

therapeutic therapies, biogenetics, biomedical engineering, biopharmaceuticals, genomics, and life

sciences; and,

(2) Through targeted investment of grants, tax credits, and incentives, fund and incubate

Rhode Island-based life science companies that will promote economic and workforce development

within the state and that shall allow the state to successfully compete in the national and

international life science industries.

23-99-3. Definitions.

As used in this chapter, the following words shall have the following meanings:

(1) “Affiliate” means any person or company who or that directly or indirectly controls or

is controlled by or is under direct or indirect common control of another company or person

including, but not limited to, any company that is merged or consolidated, or which that purchases

all or substantially all of the assets of another company.

(2) “Board” means the board of directors of the Hub hub.

(3) “Certification proposal” means a written proposal submitted by a life science company

for approval as a certified life sciences company.

(4) “Certified life sciences company” means a company that has been certified by the board

as being eligible to receive grants and incentives from the investment fund.

(5) “Commerce corporation” means the Rhode Island Commerce Corporation commerce

corporation, established pursuant to R.I. Gen. Laws § 42-64-1, et seq.

(6) “Company” means a business corporation, partnership, firm, unincorporated

association, or other entity engaged or proposing to engage in economic activity within the state,

and any affiliate thereof.

(7) “Hub” means the Rhode Island life science hub established by § 23-99-4.

(8) “Investment fund” means the hub investment fund established by § 23-99-6.

(9) “Life science” means and shall include, but not be limited to, the science of: medical

devices, biomedical technology, medical therapeutic therapies, biogenetics, biomedical

engineering, biopharmaceuticals, genomics, biomanufacturing, diagnostics, digital health, and

related fields.

(10) “Life science company” means a company engaged in life science research,

development, manufacturing, incubation, or commercialization in Rhode Island, and any affiliate

thereof.

(11) “Life sciences industry” means the fields of medical devices, biomedical technology,

medical therapeutic therapies, biogenetics, biomedical engineering, biopharmaceuticals, genomics,

biomanufacturing, diagnostics, digital health, and related fields.

(12) “Person” means a natural person, company, or other legal entity.

(13) “State” means the State state of Rhode Island.

(14) "Venture" means, without limitation, any contractual arrangement with any person

whereby the corporation obtains rights from or in an invention or product or proceeds therefrom,

or rights to obtain from any person any and all forms of equity instruments including, but not limited

to, common and preferred stock, warrants, options, convertible debentures, and similar types of

instruments exercisable or convertible into capital stock, in exchange for the granting of financial

aid to such person.

23-99-4. Rhode Island life science hub established.

(a) There is hereby constituted as an independent public a public corporation for the

purposes set forth in this chapter with a separate legal existence from the state to be known as the

Rhode Island life science hub hereinafter to be referred to as the “hub”. The exercise by the hub of

the powers conferred by this chapter shall be considered to be the performance of an essential

governmental function.

(b) The hub shall be governed and its corporate powers exercised by a board of directors

consisting of fifteen (15) directors: seven (7) of whom shall be appointed by the governor, one of

whom shall be a senior executive with extensive background in the banking, grant making, and

fundraising fields, one of whom shall be a member of a life science trade association, or his or her

designee, one of whom shall be the president or a senior executive of a Rhode Island based life

science company, or his or her designee, two (2) of whom shall be senior executives of Rhode

Island based life science companies specializing in biomanufacturing, or his or her designees, one

of whom shall be a representative of organized labor, or his or her designee, and one of whom shall

be a member of the public who shall be a certified public accountant and a member of the Rhode

Island society of certified public accountants; one of whom shall be the secretary of commerce;

three (3) of whom shall be the president of Rhode Island college, or his or her designee, the

president of the university of Rhode Island, or his or her designee, and the president of Brown

university, or his or her designee; one of whom shall be the dean of the Warren Alpert Medical

School of Brown university, or his or her designee; one of whom shall be the president and chief

executive officer of the Lifespan Corporation, or his or her designee; one of whom shall be the

president and chief executive officer of Care New England Health System, or his or her designee;

and one of whom shall be an ex officio director who shall also be the director of economic

development for the city of Providence, or his or her designee.

of the senate, and shall be an individual who served in the capacity as a senior executive with

extensive background in the banking, grant making, and fundraising fields. The vice-chair of the

board shall be the secretary of commerce. Eight (8) directors shall constitute a quorum, and any

action to be taken by the board under the provisions of this chapter may be authorized by resolution

approved by a majority of the directors present and entitled to vote at any regular or special meeting

at which a quorum is present. No votes on the certification of any life science company nor on the

allocation or award of any fund resources to any certified life science company shall be taken unless

the chair is present and voting. A vacancy in the membership of the board of directors shall not

impair the right of a quorum to exercise all of the rights and perform all of the duties of the board.

Pursuant to § 42-46-5(b)(6), board directors are authorized to participate remotely using

videoconferencing technology in open public meetings of the board; provided, however, that:

(1) The remote director(s) and all persons present at the meeting location are clearly audible

and visible to each other;

(2) A quorum of the body is participating, either in person or by the use of remote

videoconferencing technology;

(3) A member of the board who participates in a meeting of the board remotely shall be

considered present for purposes of a quorum and voting;

(4) If videoconferencing is used to conduct a meeting, the public notice for the meeting

shall inform the public that videoconferencing will be used and include instructions on how the

public can access the virtual meeting; and

(5) The board shall adopt rules defining the requirements of remote participation including

its use for executive session, and the conditions by which a director is authorized to participate

remotely.

(d) Each board member shall serve a term of four (4) years. In the event that the chair of

the board position becomes vacant for any reason, or the chair is not able to perform the duties of

that position for any reason, the vice chair shall serve as the interim chair until the chair is able to

resume his or her the chair’s duties; provided, however, in the event that the chair is not able to

resume his or her the chair’s duties in that position, the governor shall appoint a new chair and, in

making this appointment, the governor shall give due consideration to appointing an individual

from a list of six (6) candidates, three (3) of whom shall be provided to the governor by the speaker

of the house and three (3) of whom shall be provided to the governor by the president of the senate.

Any person appointed to fill a vacancy in the office of an appointed director of the board shall be

appointed in a like manner and shall serve for the unexpired term of such director. Any director

shall be eligible for reappointment.

(e) The director of the board who is a member of the public and who is a certified public

accountant and a member of the Rhode Island society of certified public accountants shall serve as

treasurer and shall be charged with keeping the funds, books of account, and accounting records of

the hub. No grants, tax credits, or incentives shall be issued by the hub to any certified life science

company without the approval of the board and the signature of the treasurer. The board shall

annually elect a secretary who shall keep a record of the proceedings of the board and shall be

custodian of all books, documents, and papers.

(f) Board Directors directors shall serve without compensation, but each director shall be

entitled to reimbursement for actual, reasonable, and necessary expenses while engaged in the

performance of official duties. Board directors, officers, and employees shall not be liable to the

state, the hub, or to any other person as a result of their activities except for malfeasance in office

or intentional violations of law.

(g) The board shall establish an application review committee consisting of not less than

three (3) directors of the board, which shall review certification proposals submitted by life sciences

companies that shall be supported by independently verifiable information, and the board shall

make a record of findings based on the certification proposal, documents submitted therewith, and

any additional evidence that the life science company meets all criteria that the hub may prescribe.

(h) Certified life science companies shall be eligible to receive funding from the hub, upon

a majority vote of the board, for the following benefits which shall be awarded by the board on a

competitive basis:

(1) Grants, loans, or other investments;

(2) Assistance from the hub in obtaining federal, state, and nonprofit monies; or

(3) Assistance from the hub in facilitating clinical trials.

(i) Notwithstanding any other provisions of law in relation to their tenure of office, the

governor may remove any board director for the neglect of any duty required by law, incompetence,

unprofessional conduct, or willful misconduct.

(j) Each director shall make full disclosure, in accordance with §§ 36-14-1 through 36-14-

7, of any financial interest, if any, in any matter before the board. Such interest must be disclosed

in advance to the directors of the board, recorded in the minutes of the board, and the director

having such an interest shall recuse themselves and shall not participate in any decision of the board

relating to such interest.

(k) With the advice and consent of the senate, the board shall have the power to hire a

president, who shall also serve as the chief executive officer of the hub. The board also shall have

the power to establish compensation and conditions of employment for the president and chief

executive officer; provided, further, the board shall have the power to hire other employees and

establish compensation and conditions of employment for such employees.

(l) The commerce corporation shall provide operating quarters for the hub for, at a

minimum, the first year of the hub’s operation.

23-99-5. Hub powers.

(a) The hub shall have the following powers and all powers necessary to carry out and

effectuate its purposes, including, without limitation, all powers necessary for the performance of

the following:

(1) To have perpetual succession as a public corporate body and agency of the state and to

adopt bylaws, rules, regulations, and procedures for its governance and conduct of its business;

(2) To act as the central entity and coordinating organization of life sciences initiatives on

behalf of the state and to work in collaboration with governmental entities, bodies, centers, hubs,

and facilities to promote life sciences;

(3) To engage accountants, architects, attorneys, engineers, planners, real estate experts,

and other consultants as may be necessary in its judgment to carry out the purposes of this chapter;

(4) To obtain insurance for board directors, officers, and employees in order to indemnify

said persons against the claims of others;

(5) To administer the investment fund, for the purposes of making appropriations,

allocations, grants, or loans;

(6) To apply for and accept contributions of any source of money, property, labor, or any

other things of value and to invest, disburse, appropriate, grant, loan, or allocate any funds for the

purpose of investing in any life science initiative;

(7) To create access to capital, funding, and business support programs;

(8) To enter into venture agreements with persons, upon such terms and on such conditions

as are consistent with the purposes of this chapter, for the advancement of financial aid to such

persons for the research, development, and application of specific technologies, products,

procedures, services, and techniques, to be developed and produced in this state, and to condition

such agreements upon contractual assurances that the benefits of increasing or maintaining

employment and tax revenues shall remain in this state and shall accrue to it;

(9) To enter into contracts and agreements to further scientific research in the state, aid in

the promotion of the health of residents, foster jobs in the life sciences, and promote overall

economic growth in the life sciences industry; and

(10) To issue bonds, notes, and any other obligations of the hub, subject to the provisions

of chapter 18 of title 35 ("Rhode Island public corporation debt management").

23-99-6. Hub investment fund.

(a) There shall be established and placed within the hub, a fund or funds to be known as

the Rhode Island life science investment fund, hereinafter referred to as the "fund", to be held by

the hub to finance the operations and initiatives of the hub. The fund shall be credited any

appropriations, bond proceeds, federal grants, or loans, or other such additional funds as are subject

to the direction and control of the hub, which may properly be applied in furtherance of the

objectives of the hub.

(b) The fund shall be held and applied by the hub to make qualified investments, grants,

research, and other funding, and loans designed to advance public purposes for the life science

industry in the state and shall use the fund for such purposes.

or notes of the hub, or for the performance of any pledge, mortgage, obligation, or agreement of

any kind whatsoever which that may be undertaken by the hub, and none of the bonds or notes of

the hub nor any of its agreements or obligations shall be construed to constitute an indebtedness of

the state. Payments related to any transaction involving, or investment by, the hub shall be payable

solely from the fund.

(d) The board shall promulgate rules, regulations, or guidelines necessary to carry out the

provisions of this section.

23-99-7. Annual reports.

(a) The hub shall submit a report, beginning on or before October 1, 2024, and on October

1 annually thereafter, to the governor, the speaker of the house, and the president of the senate. This

report shall include:

(1) The hub’s receipts and expenditures during such fiscal year;

(2) The hub’s assets and liabilities at the end of its fiscal year;

(3) A list of all certified life sciences companies;

(4) A complete list of grants awarded by the hub and any other funding activities;

(5) Reports of patents or products resulting from funded activities;

(6) The status of construction of any real estate project resulting from certification,

including whether construction is on-time and on-budget;

(7) Any federal initiatives that have an impact on life science companies doing business in

the state; and

(8) Any concerns surrounding pending or threatened litigation, pending legislation both

state and federal, or any other known material risks.

23-99-8. Accountability and audit.

(a) The board shall be responsible for establishing accountability standards, reporting

standards, and outcome measurements for all of its expenditures, including all investments and

grants.

(b) The board and the hub shall comply with provisions of chapter 155 of title 42, ("quasi-

public corporations accountability and transparency act").

section and § 42-155-7, the books and records of the hub shall be audited by an outside audit firm

selected and paid for by the Hub hub, in accordance with Rhode Island General Law § 35-7-13 at

least on an annual basis, in accordance with generally accepted accounting principles and generally

accepted government auditing standards.

23-99-9. Severability.

If any section, clause, provision, or portion of this chapter is held to be invalid or

unconstitutional by any court of competent jurisdiction, that holding shall not affect any other

section, clause, or provision of this chapter which is not in and of itself unconstitutional.

SECTION 3. Section 42-46-5 of the General Laws in Chapter 42-46 entitled "Open

Meetings" is hereby amended to read as follows:

42-46-5. Purposes for which meeting may be closed — Use of electronic

communications — Judicial proceedings — Disruptive conduct.

(a) A public body may hold a meeting closed to the public pursuant to § 42-46-4 for one

or more of the following purposes:

(1) Any discussions of the job performance, character, or physical or mental health of a

person or persons provided that the person or persons affected shall have been notified in advance

in writing and advised that they may require that the discussion be held at an open meeting.

Failure to provide notification shall render any action taken against the person or persons

affected null and void. Before going into a closed meeting pursuant to this subsection, the public

body shall state for the record that any persons to be discussed have been so notified and this

statement shall be noted in the minutes of the meeting.

(2) Sessions pertaining to collective bargaining or litigation, or work sessions pertaining to

collective bargaining or litigation.

(3) Discussion regarding the matter of security including, but not limited to, the deployment

of security personnel or devices.

(4) Any investigative proceedings regarding allegations of misconduct, either civil or

criminal.

(5) Any discussions or considerations related to the acquisition or lease of real property for

public purposes, or of the disposition of publicly held property wherein advanced public

information would be detrimental to the interest of the public.

(6) Any discussions related to or concerning a prospective business or industry locating in

the state of Rhode Island when an open meeting would have a detrimental effect on the interest of

the public.

(7) A matter related to the question of the investment of public funds where the premature

disclosure would adversely affect the public interest. Public funds shall include any investment

plan or matter related thereto, including, but not limited to, state lottery plans for new promotions.

(8) Any executive sessions of a local school committee exclusively for the purposes: (i) Of

conducting student disciplinary hearings; or (ii) Of reviewing other matters that relate to the privacy

of students and their records, including all hearings of the various juvenile hearing boards of any

municipality; provided, however, that any affected student shall have been notified in advance in

writing and advised that he or she may require that the discussion be held in an open meeting.

Failure to provide notification shall render any action taken against the student or students

affected null and void. Before going into a closed meeting pursuant to this subsection, the public

body shall state for the record that any students to be discussed have been so notified and this

statement shall be noted in the minutes of the meeting.

(9) Any hearings on, or discussions of, a grievance filed pursuant to a collective bargaining

agreement.

(10) Any discussion of the personal finances of a prospective donor to a library.

(b) No meeting of members of a public body or use of electronic communication, including

telephonic communication and telephone conferencing, shall be used to circumvent the spirit or

requirements of this chapter; provided, however, these meetings and discussions are not prohibited.

(1) Provided, further however, that discussions of a public body via electronic

communication, including telephonic communication and telephone conferencing, shall be

permitted only to schedule a meeting, except as provided in this subsection.

(2) Provided, further however, that a member of a public body may participate by use of

electronic communication or telephone communication while on active duty in the armed services

of the United States.

(3) Provided, further however, that a member of that public body, who has a disability as

defined in chapter 87 of this title and:

(i) Cannot attend meetings of that public body solely by reason of the member’s disability;

and

(ii) Cannot otherwise participate in the meeting without the use of electronic

communication or telephone communication as reasonable accommodation, may participate by use

of electronic communication or telephone communication in accordance with the process below.

(4) The governor’s commission on disabilities is authorized and directed to:

(i) Establish rules and regulations for determining whether a member of a public body is

not otherwise able to participate in meetings of that public body without the use of electronic

communication or telephone communication as a reasonable accommodation due to that member’s

disability;

(ii) Grant a waiver that allows a member to participate by electronic communication or

telephone communication only if the member’s disability would prevent the member from being

physically present at the meeting location, and the use of such communication is the only

reasonable accommodation; and

(iii) Any waiver decisions shall be a matter of public record.

(5) The university of Rhode Island board of trustees members, established pursuant to §

16-32-2, are authorized to participate remotely in open public meetings of the board; provided,

however, that:

(i) The remote members and all persons present at the meeting location are clearly audible

and visible to each other;

(ii) A quorum of the body is participating;

(iii) If videoconferencing is used to conduct a meeting, the public notice for the meeting

shall inform the public that videoconferencing will be used and include instructions on how the

public can access the virtual meeting; and

(iv) The board shall adopt rules defining the requirements of remote participation including

its use for executive session, and the conditions by which a member is authorized to participate

remotely.

(6) The Rhode Island Life Science Hub board of directors, established pursuant to § 23-

99-4, is authorized to participate remotely in open public meetings of the board, in accordance with

the provisions of § 23-99-4(c).

or probate court or municipal court proceedings in any city or town.

(d) This chapter shall not prohibit the removal of any person who willfully disrupts a

meeting to the extent that orderly conduct of the meeting is seriously compromised.

SECTION 4. Sections 42-64.20-5 and 42-64.20-10 of the General Laws in Chapter 42-

64.20 entitled “Rebuild Rhode Island Tax Credit Act” are hereby amended to read as follows:

42-64.20-5. Tax credits. [Effective January 1, 2023]

(a) An applicant meeting the requirements of this chapter may be allowed a credit as set

forth hereinafter against taxes imposed upon such person under applicable provisions of title 44 of

the general laws for a qualified development project.

(b) To be eligible as a qualified development project entitled to tax credits, an applicant's

chief executive officer or equivalent officer shall demonstrate to the commerce corporation, at the

time of application, that:

(1) The applicant has committed a capital investment or owner equity of not less than

twenty percent (20%) of the total project cost;

(2) There is a project financing gap in which after taking into account all available private

and public funding sources, the project is not likely to be accomplished by private enterprise

without the tax credits described in this chapter; and

(3) The project fulfills the state's policy and planning objectives and priorities in that:

(i) The applicant will, at the discretion of the commerce corporation, obtain a tax

stabilization agreement from the municipality in which the real estate project is located on such

terms as the commerce corporation deems acceptable;

(ii) It (A) Is a commercial development consisting of at least 25,000 square feet occupied

by at least one business employing at least 25 full-time employees after construction or such

additional full-time employees as the commerce corporation may determine; (B) Is a multi-family

residential development in a new, adaptive reuse, certified historic structure, or recognized

historical structure consisting of at least 20,000 square feet and having at least 20 residential units

in a hope community; or (C) Is a mixed-use development in a new, adaptive reuse, certified historic

structure, or recognized historical structure consisting of at least 25,000 square feet occupied by at

least one business, subject to further definition through rules and regulations promulgated by the

commerce corporation; and

(iii) Involves a total project cost of not less than $5,000,000, except for a qualified

development project located in a hope community or redevelopment area designated under § 45-

32-4 in which event the commerce corporation shall have the discretion to modify the minimum

project cost requirement.

for the issuance of rebuild RI tax credits for each of the following:

(1) Qualified development projects that involve certified historic structures;

(2) Qualified development projects that involve recognized historical structures;

(3) Qualified development projects that involve at least one manufacturer; and

(4) Qualified development projects that include affordable housing or workforce housing.

(d) Applications made for a historic structure or recognized historic structure tax credit

under chapter 33.6 of title 44 shall be considered for tax credits under this chapter. The division of

taxation, at the expense of the commerce corporation, shall provide communications from the

commerce corporation to those who have applied for and are in the queue awaiting the offer of tax

credits pursuant to chapter 33.6 of title 44 regarding their potential eligibility for the rebuild RI tax

credit program.

(e) Applicants (1) Who have received the notice referenced in subsection (d) above and

who may be eligible for a tax credit pursuant to chapter 33.6 of title 44,; (2) Whose application

involves a certified historic structure or recognized historical structure,; or (3) Whose project is

occupied by at least one manufacturer shall be exempt from the requirements of subsections

(b)(3)(ii) and (b)(3)(iii). The following procedure shall apply to such applicants:

(i) The division of taxation shall remain responsible for determining the eligibility of an

applicant for tax credits awarded under chapter 33.6 of title 44;

(ii) The commerce corporation shall retain sole authority for determining the eligibility of

an applicant for tax credits awarded under this chapter; and

(iii) The commerce corporation shall not award in excess of fifteen percent (15%) of the

annual amount authorized in any fiscal year to applicants seeking tax credits pursuant to this

subsection (e).

(f) Maximum project credit.

(1) For qualified development projects, the maximum tax credit allowed under this chapter

shall be the lesser of (i) Thirty percent (30%) of the total project cost; or (ii) The amount needed to

close a project financing gap (after taking into account all other private and public funding sources

available to the project), as determined by the commerce corporation.

(2) The credit allowed pursuant to this chapter, inclusive of any sales and use tax

exemptions allowed pursuant to this chapter, shall not exceed fifteen million dollars ($15,000,000)

for any qualified development project under this chapter; except as provided in subsection (f)(3) of

this section; provided however, any qualified development project that exceeds the project cap upon

passage of this act shall be deemed not to exceed the cap, shall not be reduced, nor shall it be further

increased. No building or qualified development project to be completed in phases or in multiple

projects shall exceed the maximum project credit of fifteen million dollars ($15,000,000) for all

phases or projects involved in the rehabilitation of the building. Provided, however, that for

purposes of this subsection and no more than once in a given fiscal year, the commerce corporation

may consider the development of land and buildings by a developer on the "I-195 land" as defined

in § 42-64.24-3(6) as a separate, qualified development project from a qualified development

project by a tenant or owner of a commercial condominium or similar legal interest including

leasehold improvement, fit out, and capital investment. Such qualified development project by a

tenant or owner of a commercial condominium or similar legal interest on the I-195 land may be

exempted from subsection (f)(1)(i) of this section.

(3) The credit allowed pursuant to this chapter, inclusive of any sales and use tax

exemptions allowed pursuant to this chapter, shall not exceed twenty-five million dollars

($25,000,000) for the project for which the I-195 redevelopment district was authorized to enter

into a purchase and sale agreement for parcels 42 and P4 on December 19, 2018, provided that

project is approved for credits pursuant to this chapter by the commerce corporation.

(g) Credits available under this chapter shall not exceed twenty percent (20%) of the project

cost, provided, however, that the applicant shall be eligible for additional tax credits of not more

than ten percent (10%) of the project cost, if the qualified development project meets any of the

following criteria or other additional criteria determined by the commerce corporation from time

to time in response to evolving economic or market conditions:

(1) The project includes adaptive reuse or development of a recognized historical structure;

(2) The project is undertaken by or for a targeted industry;

(3) The project is located in a transit-oriented development area;

(4) The project includes residential development of which at least twenty percent (20%) of

the residential units are designated as affordable housing or workforce housing;

(5) The project includes the adaptive reuse of property subject to the requirements of the

industrial property remediation and reuse act, § 23-19.14-1 et seq.; or

(6) The project includes commercial facilities constructed in accordance with the minimum

environmental and sustainability standards, as certified by the commerce corporation pursuant to

Leadership in Energy and Environmental Design or other equivalent standards.

(h) Maximum aggregate credits. The aggregate sum authorized pursuant to this chapter,

inclusive of any sales and use tax exemptions allowed pursuant to this chapter, shall not exceed

two hundred ten million dollars ($210,000,000) two hundred twenty-five million dollars

($225,000,000), excluding any tax credits allowed pursuant to subsection (f)(3) of this section.

(i) Tax credits shall not be allowed under this chapter prior to the taxable year in which the

project is placed in service.

(j) The amount of a tax credit allowed under this chapter shall be allowable to the taxpayer

in up to five, annual increments; no more than thirty percent (30%) and no less than fifteen percent

(15%) of the total credits allowed to a taxpayer under this chapter may be allowable for any taxable

year.

(k) If the portion of the tax credit allowed under this chapter exceeds the taxpayer's total

tax liability for the year in which the relevant portion of the credit is allowed, the amount that

exceeds the taxpayer's tax liability may be carried forward for credit against the taxes imposed for

the succeeding four (4) years, or until the full credit is used, whichever occurs first. Credits allowed

to a partnership, a limited-liability company taxed as a partnership, or multiple owners of property

shall be passed through to the persons designated as partners, members, or owners respectively pro

rata or pursuant to an executed agreement among persons designated as partners, members, or

owners documenting an alternate distribution method without regard to their sharing of other tax

or economic attributes of such entity.

(l) The commerce corporation, in consultation with the division of taxation, shall establish,

by regulation, the process for the assignment, transfer, or conveyance of tax credits.

(m) For purposes of this chapter, any assignment or sales proceeds received by the taxpayer

for its assignment or sale of the tax credits allowed pursuant to this section shall be exempt from

taxation under title 44. If a tax credit is subsequently revoked or adjusted, the seller's tax calculation

for the year of revocation or adjustment shall be increased by the total amount of the sales proceeds,

without proration, as a modification under chapter 30 of title 44. In the event that the seller is not a

natural person, the seller's tax calculation under chapter 11, 13, 14, or 17 of title 44, as applicable,

for the year of revocation, or adjustment, shall be increased by including the total amount of the

sales proceeds without proration.

(n) The tax credit allowed under this chapter may be used as a credit against corporate

income taxes imposed under chapter 11, 13, 14, or 17, of title 44, or may be used as a credit against

personal income taxes imposed under chapter 30 of title 44 for owners of pass-through entities such

as a partnership, a limited-liability company taxed as a partnership, or multiple owners of property.

(o) In the case of a corporation, this credit is only allowed against the tax of a corporation

included in a consolidated return that qualifies for the credit and not against the tax of other

corporations that may join in the filing of a consolidated tax return.

(p) Upon request of a taxpayer and subject to annual appropriation, the state shall redeem

this credit, in whole or in part, for ninety percent (90%) of the value of the tax credit. The division

of taxation, in consultation with the commerce corporation, shall establish by regulation a

redemption process for tax credits.

(q) Projects eligible to receive a tax credit under this chapter may, at the discretion of the

commerce corporation, be exempt from sales and use taxes imposed on the purchase of the

following classes of personal property only to the extent utilized directly and exclusively in the

project: (1) Furniture, fixtures, and equipment, except automobiles, trucks, or other motor vehicles;

or (2) Other materials, including construction materials and supplies, that are depreciable and have

a useful life of one year or more and are essential to the project.

(r) The commerce corporation shall promulgate rules and regulations for the administration

and certification of additional tax credit under subsection (e), including criteria for the eligibility,

evaluation, prioritization, and approval of projects that qualify for such additional tax credit.

(s) The commerce corporation shall not have any obligation to make any award or grant

any benefits under this chapter.

42-64.20-10. Sunset.

No credits shall be authorized to be reserved pursuant to this chapter after December 31,

2023December 31, 2024.

SECTION 5. Section 42-64.21-9 of the General Laws in Chapter 42-64.21 entitled “Rhode

Island Tax Increment Financing” is hereby amended to read as follows:

42-64.21-9. Sunset.

The commerce corporation shall enter into no agreement under this chapter after December

31, 20232024.

SECTION 6. Section 42-64.22-15 of the General Laws in Chapter 42-64.22 entitled “Tax

Stabilization Incentive” is hereby amended to read as follows:

42-64.22-15. Sunset.

The commerce corporation shall enter into no agreement under this chapter after December

31, 2023December 31, 2024.

SECTION 7. Section 42-64.23-8 of the General Laws in Chapter 42-64.23 entitled “First

Wave Closing Fund Act” is hereby amended to read as follows:

42-64.23-8. Sunset.

No financing shall be authorized to be reserved pursuant to this chapter after December 31,

2023December 31, 2024.

SECTION 8. Section 42-64.24-8 of the General Laws in Chapter 42-64.24 entitled “I-195

Redevelopment Project Fund Act” is hereby amended as follows:

42-64.24-8. Sunset.

No funding, credits, or incentives shall be authorized or authorized to be reserved pursuant

to this chapter after December 31, 2023December 31, 2024.

SECTION 9. Section 42-64.25-14 of the General Laws in Chapter 42-64.24 entitled “Small

Business Assistance Program Act” is hereby amended as follows:

42-64.25-14. Sunset.

No grants, funding, or incentives shall be authorized pursuant to this chapter after

December 31, 2023 December 31, 2024.

SECTION 10. Sections 42-64.26-3, 42-64.26-4, 42-64.26-5 and 42-64.26-12 of the

General Laws in Chapter 42-64.26 entitled “Stay Invested in RI Wavemaker Fellowship” are

hereby amended to read as follows:

42-64.26-3. Definitions.

As used in this chapter:

(1) “Applicant” means an eligible graduate who applies for a tax credit for education loan

repayment expenses under this chapter.

(2) “Award” means a tax credit awarded by the commerce corporation to an applicant as

provided under this chapter.

(3) “Commerce corporation” means the Rhode Island commerce corporation established

pursuant to chapter 64 of this title.

(4) “Eligibility period” means a term of up to four (4) consecutive service periods

beginning with the date that an eligible graduate receives initial notice of award under this chapter

and expiring at the conclusion of the fourth service period after such date specified.

(5) “Eligibility requirements” means the following qualifications or criteria required for an

applicant to claim an award under this chapter:

(i) That the applicant shall have graduated from an accredited two-year (2), four-year (4)

or graduate postsecondary institution of higher learning with an associate’s, bachelor’s, graduate,

or post-graduate degree and at which the applicant incurred education loan repayment expenses;

(ii) That the applicant shall be a full-time employee with a Rhode Island-based employer

located in this state throughout the eligibility period, whose employment is:

(aA) for For work in one or more of the following covered fields: life, natural or

environmental sciences; computer, information or software technology; advanced mathematics or

finance; engineering; industrial design or other commercially related design field; or medicine or

medical device technology;

(bB) as As a teacher; or

(cC) as As a healthcare applicant.

(6) “Eligible expenses” or “education loan repayment expenses” means annual higher

education loan repayment expenses, including, without limitation, principal, interest and fees, as

may be applicable, incurred by an eligible graduate and which the eligible graduate is obligated to

repay for attendance at a postsecondary institution of higher learning.

(7) “Eligible graduate” means an individual who meets the eligibility requirements under

this chapter.

(8) “Full-time employee” means a person who is employed by a business for consideration

for a minimum of at least thirty-five (35) hours per week, or who renders any other standard of

service generally accepted by custom or practice as full-time employment, or who is employed by

a professional employer organization pursuant to an employee leasing agreement between the

business and the professional employer organization for a minimum of thirty-five (35) hours per

week, or who renders any other standard of service generally accepted by custom or practice as

full-time employment, and whose wages are subject to withholding.

(9) “Healthcare applicant” means any applicant who meets the eligibility requirements and

works as a full-time employee as a high-demand healthcare practitioner or mental health

professional, including, but not limited to, clinical social workers and mental health counselors

licensed by the department of health, and as defined in regulations to be promulgated by the

commerce corporation, in consultation with the executive office of health and human services,

pursuant to chapter 35 of this title.

(10) “Healthcare fund” refers to the “Healthcare Stay Invested in RI Wavemaker

Fellowship Fund” established pursuant to § 42-64.26-4(b).

(11)(10) “Rhode Island-based employer” means: (i) An employer having a principal place

of business or at least fifty-one percent (51%) of its employees located in this state; or (ii) An

employer registered to conduct business in this state that reported Rhode Island tax liability in the

previous tax year.

(12)(11) “Service period” means a twelve-month (12) period beginning on the date that an

eligible graduate receives initial notice of award under this chapter.

(13)(12) “STEM/designf Fund” refers to the “Stay Invested in RI Wavemaker Fellowship

Fund” established pursuant to § 42-64.26-4(a).

(14)(13) “Student loan” means a loan to an individual by a public authority or private lender

to assist the individual to pay for tuition, books, and living expenses in order to attend a

postsecondary institution of higher learning.

(15)(14) “Taxpayer” means an applicant who receives a tax credit under this chapter.

(15) “Teacher” shall have the meaning prescribed to it in rules and regulations to be

promulgated by the Commerce Corporation commerce corporation in consultation with the

Rhode Island Department of Elementary and Secondary Education department of elementary and

secondary education.

42-64.26-4. Establishment of funds — Purposes — Composition.

(a) There is hereby established the “Stay Invested in RI Wavemaker Fellowship Fund” to

be administered by the commerce corporation as set forth in this chapter.

(b) There is hereby established the “Healthcare Stay Invested in RI Wavemaker Fellowship

Fund” to be administered by the commerce corporation as set forth in this chapter.

(c)(b) The purpose of the STEM/design fund, and healthcare fund is to expand employment

opportunities in the state and to retain talented individuals in the state by providing tax credits in

relation to education loan repayment expenses to applicants who meet the eligibility requirements

under this chapter.

(d)(c) The STEM/design fund, and healthcare shall consist of:

(1) Money appropriated in the state budget to the fund;

(2) Money made available to the fund through federal programs or private contributions;

and

(3) Any other money made available to the fund.

(e)(d) The STEM/design fund shall be used to pay for the redemption of tax credits or

reimbursement to the state for tax credits applied against the tax liability of any non-healthcare

applicant who received an award. The healthcare fund shall be used to pay for the redemption of

tax credits or reimbursement to the state for tax credits applied against the tax liability of any

healthcare applicant who received an award on or after July 1, 2022. The funds shall be exempt

from attachment, levy, or any other process at law or in equity. The director of the department of

revenue shall make a requisition to the commerce corporation for funding during any fiscal year as

may be necessary to pay for the redemption of tax credits presented for redemption or to reimburse

the state for tax credits applied against a taxpayer’s tax liability. The commerce corporation shall

pay from the funds such amounts as requested by the director of the department of revenue

necessary for redemption or reimbursement in relation to tax credits granted under this chapter.

42-64.26-5. Administration.

(a) Application. An eligible graduate claiming an award under this chapter shall submit to

the commerce corporation an application in the manner that the commerce corporation shall

prescribe.

(b) Upon receipt of a proper application from an applicant who meets all of the eligibility

requirements, the commerce corporation shall select applicants on a competitive basis to receive

credits for up to a maximum amount for each service period of one thousand dollars ($1,000) for

an associate’s degree holder, four thousand dollars ($4,000) for a bachelor’s degree holder, and six

thousand dollars ($6,000) for a graduate or post-graduate degree holder, but not to exceed the

education loan repayment expenses incurred by such taxpayer during each service period

completed, for up to four (4) consecutive service periods provided that the taxpayer continues to

meet the eligibility requirements throughout the eligibility period. The commerce corporation shall

delegate the selection of the applicants that are to receive awards to a fellowship committee to be

convened by the commerce corporation and promulgate the selection procedures the fellowship

committee will use, which procedures shall require that the committee’s consideration of

applications be conducted on a name-blind and employer-blind basis and that the applications and

other supporting documents received or reviewed by the fellowship committee shall be redacted of

the applicant’s name, street address, and other personally-identifying information as well as the

applicant’s employer’s name, street address, and other employer-identifying information. The

commerce corporation shall determine the composition of the fellowship committee and the

selection procedures it will use in consultation with the state’s chambers of commerce.

Notwithstanding the foregoing, the commerce corporation shall create and establish a committee

to evaluate any healthcare applicant for an award in the same manner as prescribed in this

subsection. The executive office of health and human services (“EOHHS”) shall be represented on

the committee and provide consultation to the commerce corporation on selection procedures.

Notwithstanding EOHHS’s consultation and representation in the selection of healthcare

applicants, the commerce corporation shall administer all other aspects of a healthcare applicant’s

application, award, and certification.

the education loan repayment expenses incurred by such taxpayer during each service period

completed for up to four (4) consecutive service periods. Tax credits shall be issued annually to the

taxpayer upon proof that (i) The taxpayer has actually incurred and paid such education loan

repayment expenses; (ii) The taxpayer continues to meet the eligibility requirements throughout

the service period; (iii) The award shall not exceed the original loan amount plus any capitalized

interest less award previously claimed under this section; and (iv) The taxpayer claiming an award

is current on his or her student loan repayment obligations.

(d) The commerce corporation shall not commit to overall STEM/design awards in excess

of the amount contained in the STEM/design fund or to overall healthcare awards in excess of the

amount contained in the healthcare fund.

(e) The commerce corporation shall reserve seventy percent (70%) of the awards issued in

a calendar year to applicants who are permanent residents of the state of Rhode Island or who

attended an institution of higher education located in Rhode Island when they incurred the

education loan expenses to be repaid.

(f) In administering award, the commerce corporation shall:

(1) Require suitable proof that an applicant meets the eligibility requirements for award

under this chapter;

(2) Determine the contents of applications and other materials to be submitted in support

of an application for award under this chapter; and

(3) Collect reports and other information during the eligibility period for each award to

verify that a taxpayer continues to meet the eligibility requirements for an award.

42-64.26-12. Sunset.

No incentives or credits shall be authorized pursuant to this chapter after December 31,

2023December 31, 2024.

SECTION 11. Sections 42-64.27-2 and 42-64.27-6 of the General Laws in Chapter 42-

64.27 entitled “Main Street Rhode Island Streetscape Improvement Fund” are hereby amended as

follows:

42-64.27-2. Fund Established.

The main street RI streetscape improvement fund is hereby created within the Rhode Island

commerce corporation. The commerce corporation is authorized, within available appropriations,

to award loans, matching grants, and other forms of financing to facilitate improvement of

streetscapes such as but not limited to: (1) enhanced Enhanced sidewalks,; (2) new New

wayfinding signage,; (3) upgraded Upgraded building facades,; and (4) improved Improved street

and public space lighting,; and (5) technical Technical assistance, in support of creating an

attractive environment for small business development and commerce. The commerce corporation

shall include maximum amounts for awards for technical assistance in the rules and regulations

promulgated pursuant to § 42-64.27-3. Applications and awards of grants or loans shall be on a

rolling basis. There is established an account in the name of the "main street RI streetscape

improvement fund" under the control of the commerce corporation, and the commerce corporation

shall pay into such account any eligible funds available to the commerce corporation from any

source, including funds appropriated by the state and any grants made available by the United States

or any agency of the United States.

42-64.27-6. Sunset.

No incentives shall be authorized pursuant to this chapter after December 31,

2023December 31, 2024.

SECTION 12. Sections 42-64.28-6 and 42-64.28-10 of the General Laws in Chapter 42-

64.28 entitled “Innovation Initiative” is hereby amended as follows:

42-64.28-6. Voucher amounts and matching fund awards

(a) Voucher award amounts to a selected applicant shall be determined by the corporation,

to be in the minimum amount of five thousand dollars ($5,000) and the maximum amount of fifty

thousand dollars ($50,000) seventy-five thousand dollars ($75,000), subject to appropriations or

other available moneys in the fund.

(b) Matching fund awards shall be awarded to organizations in an amount approved by the

corporation, subject to appropriations or other available moneys in the fund.

42-64.28-10. Sunset.

No vouchers, grants, or incentives shall be authorized pursuant to this chapter after

December 31, 2023December 31, 2024.

SECTION 13. Section 42-64.31-4 of the General Laws in Chapter 42-64.31 entitled “High

School, College, and Employer Partnerships” is hereby amended as follows:

42-64.31-4. Sunset.

No grants shall be authorized pursuant to this chapter after December 31, 2023December

31, 2024.

SECTION 14. Section 42-64.32-6 of the General Laws in Chapter 42-64.32 entitled “Air

Service Development Fund” is hereby amended as follows:

42-64.32-6. Sunset.

No grants, credits, or incentives shall be authorized or authorized to be reserved pursuant

to this chapter after December 31, 2023December 31, 2024.

SECTION 15. Section 44-48.3-14 of the General Laws in Chapter 44-48.3 entitled “Rhode

Island Qualified Jobs Incentive Act of 2015” is hereby amended as follows:

44-48.3-14. Sunset.

No credits shall be authorized to be reserved pursuant to this chapter after December 31,

2023December 31, 2024.

SECTION 16. Sections 2 and 3 shall take effect on September 1, 2023. The remainder of

the article shall take effect upon passage.