The bill amends Section 45-13-5.1 of the General Laws in Chapter 45-13 entitled "State Aid" to adjust the provisions regarding state appropriations in lieu of property taxes for certain exempt private and state properties. The amendment includes language that extends the annual payment of twenty-seven percent (27%) of what would have been collected in property taxes to real estate owned by the state within the town of Exeter, which was previously restricted. Additionally, the bill specifies that the town of Exeter has no obligation to provide public safety or other ordinary services to state properties unless it establishes a municipal police department. The bill also stipulates that initial payments made in lieu of taxes should be used to create a municipal police department or to offset costs paid to the state for state police coverage, and thereafter, payments may be reduced proportionally if the municipality or local districts suspend or reduce essential services to eligible facilities.

The bill further clarifies the definitions of "private nonprofit institution of higher education" and "nonprofit hospital facility," and outlines the procedures for the distribution of appropriations, including the requirement for the state budget office to include the appropriation amount in the state budget. It also addresses the consequences of insufficient funds for the appropriations and the timing of the distribution of funds to municipalities. The bill would take effect upon passage, and it also includes a provision that any state payments made in lieu of taxes be applied to establish a police department or defray expenses paid to the state for state police presence in the town of Exeter.

Statutes affected:
2341: 45-13-5.1