The bill amends Section 44-3-3 of the General Laws, introducing changes to property tax exemptions in Rhode Island, effective January 1, 2024. It expands exemptions for properties owned by religious organizations, including convents, nunneries, or retreat centers, and alters the tax treatment of property owned by private nonprofit colleges or universities, specifically mentioning Smithfield. The requirement for such institutions to reach an agreement with the town for billing actual costs for services is removed, and if no agreement is reached, they will be taxed like other businesses. The bill maintains exemptions for property owned by the state, the U.S., military organizations, public schools, charitable institutions, and others, and includes provisions for exemptions based on infirmity, poverty, household items, and nuclear fallout protection improvements.

The bill also defines manufacturers and their equipment for tax purposes, excluding certain operations from the definition of manufacturing. It details what constitutes manufacturing machinery and equipment, exempting them from taxation if used exclusively for manufacturing, research and development, or quality assurance, with prorated assessments for partial use. City or town councils may exempt such machinery and equipment from taxation. The bill specifies exemptions for hydroelectric power-generation equipment, property owned by organizations conserving open space, personal property used for recycling or hazardous waste treatment, motorboats, property of various nonprofit corporations, renewable energy resources, and efforts to promote business growth in Charlestown. It also exempts property of the New England Wireless and Steam Museum, Inc., and Mount Saint Charles Academy, among others. There are no marked insertions or deletions from current law.

Statutes affected:
8191: 44-3-3