§ 29-6-6 - Construction and capital improvements.
SECTION 29-6-6
§ 29-6-6 Construction and capitalimprovements. – The department of state library services may cause to be paid to a city or towntreasurer, or to any free public library in the state, such a grant-in-aid forthe construction and capital improvement of any free public library as thedirector of state library services may determine is necessary and desirable toprovide better free library services to the public, which shall be paid inaccordance with the following provisions:
(1) No grant-in-aid shall be made unless the city or townreceiving the grant-in-aid shall cause to be appropriated for the same purposean amount from its own funds and not from any federal grant or other federalfinancial assistance equal to or more than the state grant-in-aid, or unlessfunds from private sources are dedicated for the same purpose in an amountequal to or more than the state grant-in-aid, or unless the total of the cityor town appropriation and the funds from private sources for the same purposeis equal to or more than the state grant-in-aid.
(2) The state grant-in-aid may be paid in installments over aperiod of years up to a maximum of twenty (20) years, beginning in the fiscalyear during which the project is accepted by the department of state libraryservices. Whenever a grant-in-aid is paid on the installment basis permittedherein, there shall be included in the state grant-in-aid the interest costactually incurred by the city or town, or any free public library, as a resultof its having to borrow the state's portion of the total cost of the libraryproject. The amount of this interest cost shall be computed on the actualinterest cost paid by the city or town, or free public library, less anyapplicable accrued interest, premiums, and profits from investments, over theperiod of time elapsing between the date borrowed funds are made available andthe date of the last installment payment of the state grant-in-aid. Interestcost incurred by the city or town, or any free public library, as a result ofhaving to borrow its portion of the total cost of the library project shall notbe considered a part of the total cost of the project for the purposes ofmatching provided for in paragraph (1) of this section. Nothing containedherein shall prohibit the department of state library services fromaccelerating the schedule of annual installments, or from paying the balancedue of the state's grant-in-aid in a lump sum; provided, however, that thestate grant-in-aid in any fiscal year shall include no less than one-twentieth( 1/20) of the state's total reimbursable principal obligations.