Budget & Taxes

SB 2040 authorizes the town of Bristol to apply the owner-occupied tax rate to mixed-use properties (such as homes with small businesses) when the residential portion is owner-occupied, instead of the higher commercial rate. This directly affects Bristol property owners who live in homes that also include commercial space, allowing them to pay the lower residential tax rate on the entire property. The bill amends tax classification rules to explicitly permit Bristol to include these properties in the owner-occupied residential class (Class 1). This policy change simplifies tax treatment and reduces the tax burden for qualifying property owners in Bristol.

SB 2037 authorizes the town of Barrington to provide a property tax credit of up to $16,000 for legally blind residents through a local ordinance. It directly affects legally blind individuals who are legal residents of Barrington and own property there. The bill specifies that this credit applies to real property and requires residents to provide certified proof of blindness and residency to claim the exemption. This change would allow Barrington to offer a specific tax reduction for eligible residents, consistent with similar provisions for other towns in the state.

HB 7408 authorizes Rhode Island to set aside up to $18 million in a debt service reserve fund to support financing for the sale of Roger Williams Medical Center and Our Lady of Fatima Hospital to CharterCARE Health of Rhode Island, Inc. The bill creates a financial backup fund to enhance the creditworthiness of bonds used to purchase the hospitals, ensuring the sale process can proceed without state debt obligations. This funding mechanism directly supports the transfer of ownership to CharterCARE while preserving hospital services and approximately 2,700 jobs. The state’s contribution is limited to the reserve fund, with no obligation to replenish it, and any remaining funds would revert to the state budget. The bill focuses on enabling the hospital sale through bond financing, not altering hospital operations or patient care.