The bill amends Section 44-5-13.11 of the General Laws in Chapter 44-5, which pertains to the assessment and taxation of qualifying low-income housing. It establishes that any residential property issued an occupancy permit after January 1, 1995, and that has undergone substantial rehabilitation, will be taxed at a rate of eight percent (8%) of the previous year's gross scheduled rental income, unless a municipality decides to set a lower percentage. Additionally, the bill introduces a provision that exempts cities or towns with low- or moderate-income housing units exceeding the ten percent (10%) threshold from this tax for properties issued occupancy permits after December 31, 2024. However, local councils have the option to opt-out of this exemption by passing a resolution.

The act aims to provide financial relief to certain municipalities that have met the low- and moderate-income housing criteria, thereby encouraging the development of affordable housing. The changes will take effect upon passage of the bill.

Statutes affected:
5697: 44-5-13.11