The proposed bill, known as the "Equity Impact Assessment and Budget Equity Impact Act," aims to require the Rhode Island General Assembly to consider equity in its legislation and the impact that legislation will have on the state's diverse communities. The act mandates the use of equity impact assessment statements, which will evaluate the potential effects of proposed legislation on disparities related to race, color, ethnicity, religion, sex, sexual orientation, gender identity or expression, disability, age, and country of ancestral origin.

The bill outlines the authority to request these assessments, allowing the Speaker of the House, the President of the Senate, and the Rhode Island Black, Latino, Indigenous, Asian-American, and Pacific Islander Caucus to request equity impact assessment statements for a total of up to twenty pieces of proposed legislation each year, starting in January 2026. The fiscal office of the respective chamber will be responsible for coordinating the completion of these assessments, which must be made available to the public when bills are posted for committee hearings.

The content of the equity impact assessment statements will include information to help legislators evaluate whether proposed legislation is likely to increase, decrease, or have no effect on equity, as well as data on historical and existing disparities and their potential demographic impacts.

Additionally, the bill amends existing laws to require the state budget officer to include in the annual state budget an explanation of how budget provisions further efforts to ensure equity. This includes identifying and remedying patterns of discrimination and ensuring that future policies do not perpetuate disparities.

The act is set to take effect on July 1, 2025.