The bill amends Chapter 46-12.2 of the General Laws by adding a new section, 46-12.2-4.5, which establishes the rural housing development revolving fund within the Rhode Island Infrastructure Bank. This fund is intended to provide loans to support low- and moderate-income housing development projects in rural areas, defined as any census area with a population of less than 50,000 people. The Rhode Island Infrastructure Bank is responsible for reviewing and approving applications for projects to be financed through this fund and is authorized to promulgate rules and regulations necessary to implement the provisions of this section.

The bill also includes a provision for the State of Rhode Island to appropriate $10 million from the $120 million housing bond to support the implementation of the revolving fund. The Infrastructure Bank is granted the authority to manage the fund, which includes receiving and disbursing funds, entering into binding commitments for financial assistance, levying administrative fees on eligible borrowers, engaging third-party vendors for professional services, and establishing accounts within the fund. The act is set to take effect upon passage.