Bill > S0032

This bill amends Rhode Island state law to include municipal detention facility corporations as a type of property exempt from taxation, while ensuring that the municipality where such a facility is located still receives financial compensation. Specifically, the bill requires the state general assembly to annually appropriate an amount equal to 27% of the property taxes that would have been collected if the property were taxable. This means that even though the detention facility corporation would not pay full property taxes, the local municipality will receive a significant portion of what would have been its tax revenue. The bill adds municipal detention facility corporations to an existing list of tax-exempt properties that already includes nonprofit universities, nonprofit hospitals, state-owned hospitals, veterans' residential facilities, and correctional facilities. The purpose appears to be to provide a financial mechanism that supports municipal budgets when certain types of properties are exempt from full taxation, ensuring that local governments do not lose substantial revenue. The bill will take effect immediately upon its passage.

Budget and Finance

https://status.rilegislature.gov/