§ 44-3-9 - Exemption or stabilizing of taxes on property used for manufacturing, commercial, or residential purposes.
SECTION 44-3-9
§ 44-3-9 Exemption or stabilizing of taxeson property used for manufacturing, commercial, or residential purposes. –(a) Except as provided in this section, the electors of any city or townqualified to vote on a proposition to appropriate money or impose a tax whenlegally assembled, may vote to authorize the city or town council, for a periodnot exceeding twenty (20) years, and subject to the conditions as provided inthis section, to exempt from payment, in whole or in part, real and personalproperty which has undergone environmental remediation, is historicallypreserved, or is used for affordable housing, manufacturing, commercial, orresidential purposes, or to determine a stabilized amount of taxes to be paidon account of the property, notwithstanding the valuation of the property orthe rate of tax; provided, that after public hearings, at least ten (10) days'notice of which shall be given in a newspaper having a general circulation inthe city or town, the city or town council determines that:
(i) Granting of the exemption or stabilization will inure tothe benefit of the city or town by reason of:
(A) The willingness of the manufacturing or commercialconcern to locate in the city or town, or of individuals to reside in such anarea; or
(B) The willingness of a manufacturing firm to expandfacilities with an increase in employment or the willingness of a commercial ormanufacturing concern to retain or expand its facility in the city or town andnot substantially reduce its work force in the city or town; or
(C) An improvement of the physical plant of the city or townwhich will result in a long-term economic benefit to the city or town andstate; or
(D) An improvement which converts or makes available land orfacility that would otherwise be not developable or difficult to developwithout substantial environmental remediation; or
(ii) Granting of the exemption or stabilization of taxes willinure to the benefit of the city or town by reason of the willingness of amanufacturing or commercial or residential firm or property owner to constructnew or to replace, reconstruct, convert, expand, retain or remodel existingbuildings, facilities, machinery, or equipment with modern buildings,facilities, fixtures, machinery, or equipment resulting in an increase ormaintenance in plant, residential housing or commercial building investment bythe firm or property owned in the city or town;
(2) Provided that should the city or town council make thedetermination in subparagraph (1)(i)(B) of this subsection, any exemption orstabilization may be granted as to new buildings, fixtures, machinery, orequipment for new buildings, firms or expansions, and may be granted as toexisting buildings, fixtures, machinery and equipment for existing employers inthe city or town.
(b) Cities shall have the same authority as is granted totowns except that authority granted to the qualified electors of a town and totown councils shall be exercised in the case of a city by the city council.
(c) For purposes of this section, "property used forcommercial purposes" means any building or structures used essentially foroffices or commercial enterprises.
(d) Except as provided in this section, property, the paymentof taxes on which has been so exempted or which is subject to the payment of astabilized amount of taxes, shall not, during the period for which theexemption or stabilization of the amount of taxes is granted, be further liableto taxation by the city or town in which the property is located so long as theproperty is used for the manufacturing or commercial, or residential purposesfor which the exemption or stabilized amount of taxes was made.
(e) Notwithstanding any vote of the qualified electors of atown and findings of a town council or of any vote and findings by a citycouncil, the property shall be assessed for and shall pay that portion of thetax, if any, assessed by the city or town in which the real or personalproperty is located, for the purpose of paying the indebtedness of the city ortown and the indebtedness of the state or any political subdivision of thestate to the extent assessed upon or apportioned to the city or town, and theinterest on the indebtedness, and for appropriation to any sinking fund of thecity or town, which portion of the tax shall be paid in full, and the taxes soassessed and collected shall be kept in a separate account and used only forthat purpose.
(f) Nothing in this section shall be deemed to permit theexemption or stabilization provided in this section for any manufacturing orcommercial concern relocating from one city or town within the state of RhodeIsland to another.