The bill establishes a new chapter, Chapter 55.2, within Title 42 of the General Laws, creating a "Housing Land Bank Program" operated by the Rhode Island Housing and Mortgage Finance Corporation. This program aims to facilitate the acquisition and development of affordable housing by allowing the corporation to buy, receive, and hold real property. The properties can be donated or sold to qualified affordable housing developers, including public housing authorities and certain nonprofit organizations. If no eligible entity is found to redevelop a property, the corporation can sell it without restrictions, provided that the net proceeds are reinvested into the land bank.

The bill also designates that the corporation shall hold title to real estate assets for disposal according to the purposes described in the new chapter. It allows the corporation to acquire real property or interests in real property through various means, including gift, transfer, exchange, foreclosure, and purchase. Municipalities are permitted to transfer real property to the land bank under terms determined jointly with the corporation.

Furthermore, the corporation is required to maintain a public inventory of all property received for deposit into the land bank, including details such as location, purchase price, and transferor identity. The corporation has the authority to reject proposed transfers of property for any reason, including concerns about pollution or contamination.

The bill amends Section 37-7-6 to allow the transfer of state-owned land to the Rhode Island Housing and Mortgage Finance Corporation or its subsidiaries for the purpose of developing affordable or mixed-income housing. The corporation is required to offer reasonable compensation for the transfer of state-owned group homes.

The act is set to take effect upon passage, promoting the development of affordable housing in Rhode Island through the establishment of this new program and the facilitation of property transfers.

Statutes affected:
5955  SUB A: 37-7-6