The bill amends Section 45-24-46.1 of the General Laws in Chapter 45-24 entitled "Zoning Ordinances" to include new provisions for inclusionary zoning, which mandates the inclusion of affordable housing in new developments. The amendment specifies that affordable housing must be of comparable size and quality to market-rate housing and must make up at least 10% of the total units in a development. These affordable units must remain so for a minimum of 30 years, enforced through land leases or deed restrictions. The bill removes the option for developers to donate land, pay fees in lieu of constructing affordable housing, or use other alternative methods for fulfilling affordable housing requirements, except in the case of fractional units.

The bill also outlines that fees paid in lieu of constructing affordable housing can only be used to pay for fractions of units required by zoning ordinances. It establishes how the per-unit fee is calculated and mandates that municipalities deposit these fees into restricted accounts dedicated to creating affordable housing for individuals or families at or below 80% of the area median income. Municipalities have five years to allocate these funds and must outline the allocation process in their local comprehensive plan. Alternatively, municipalities can transfer the funds to the housing resources commission, the Rhode Island department of housing, or Rhode Island housing for the same purpose. The bill requires Rhode Island housing to report on the collection and allocation of these fees. The act would take effect upon passage.

Statutes affected:
876: 45-24-46.1