The bill amends Section 45-24-46.1 of the General Laws regarding zoning ordinances to enhance the requirements for inclusionary zoning, effective January 1, 2025. It mandates that any zoning ordinance requiring affordable housing as part of a development must ensure that such housing is comparable in size and quality to market-rate units and constitutes at least 15% of the total units. The bill specifies that when the size of a development triggers a requirement for one or more affordable housing units, those units must be created. Payment of a fee-in-lieu of construction or provision of affordable housing units is permissible only for fractions of units required beyond full units.

The bill modifies provisions related to fee-in-lieu options, stating that the per-unit fee shall be the difference between the maximum affordable sales price for a family of four earning eighty percent of the area median income, as determined annually by the U.S. Department of Housing and Urban Development, and the average cost of developing a single unit of affordable housing. The average cost of developing a single unit of affordable housing shall be determined annually based on the average, per-unit development cost of affordable homes financed by Rhode Island housing over the previous three years, excluding units that received preservation financing.

The legislation does not include a minimum fee requirement for affordable single-family homes and condominium units. Overall, the bill aims to strengthen the framework for affordable housing development in Rhode Island.

Statutes affected:
6175: 45-24-46.1