2026 -- S 2041

========

LC003740

========

     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2026

____________

A N   A C T

RELATING TO TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES

     Introduced By: Senator Louis P. DiPalma

     Date Introduced: January 09, 2026

     Referred To: Senate Housing & Municipal Government

     It is enacted by the General Assembly as follows:

     SECTION 1. Chapter 44-5 of the General Laws entitled "Levy and Assessment of Local

Taxes" is hereby amended by adding thereto the following section:

     44-5-79.1. Little Compton -- Homestead exemption.

     (a) The town council, upon approval by the financial town meeting, is authorized to

annually fix the amount of a homestead exemption with respect to the assessed value from local

taxation on taxable real property used for residential purposes in the town of Little Compton and

to grant homestead exemptions to the owner(s) of those residential dwellings in percentage amounts

as follows:

     (1) In the first year the exemption will be ten percent (10%) of the mean assessed value of

all taxable real properties in the town of Little Compton.

     (2) In each subsequent fiscal year, the financial town meeting may, by majority vote, amend

the percentage described in subsection (a)(1) of this section, within a range of not less than five

percent (5%) or more than fifteen percent (15%) of the mean assessed value of all taxable real

properties in the town of Little Compton.

     (b) All residents who own the residential dwelling in which they reside and are registered

to vote in the town of Little Compton shall automatically qualify for the homestead exemption and

shall not be required to file an application for the homestead exemption.

     (c) Non-registered voters who are residents of the town of Little Compton and who own

the residential dwelling in which they reside may apply for the homestead exemption on forms

supplied by the Little Compton tax assessor and by demonstrating residency in Little Compton with

a Rhode Island driver’s license or other official identification and a utility bill showing the name

and address of the resident.

     (d) Residents of Little Compton who own more than one residential dwelling located in

Little Compton may also apply for a homestead exemption on a second residential dwelling using

the process set forth in subsections (b) and (c) of this section.

     (e) A residential dwelling leased for at least twelve (12) months to a full-time resident may

also be eligible for a homestead exemption so long as the rental payments remain at the same

amount at the start of the next twelve (12) month lease cycle following the approval of the

exemption. The Little Compton tax assessor shall supply application forms for rental property

homestead exemptions, to be filed along with the lease agreement, and additional identifying

information for the tenant(s) as determined by the tax assessor.

     (f) For the purposes of this section, the term "resident" means an individual whose principal

place of residence is located within the town of Little Compton and who occupies such dwelling

for more than six (6) months of the calendar year.

     SECTION 2. This act shall take effect upon passage.

========

LC003740

========

LC003740 - Page 2 of 3

EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TAXATION -- LEVY AND ASSESSMENT OF LOCAL TAXES

***

     This act would authorize the town council of Little Compton to establish a homestead

exemption for residential dwellings.

     This act would take effect upon passage.

========

LC003740

========

LC003740 - Page 3 of 3