The bill amends Section 45-13-5.1 of the General Laws in Chapter 45-13, which pertains to state aid in lieu of property tax for certain exempt private and state properties. The key changes include increasing the percentage of state aid appropriated to municipalities from twenty-seven percent (27%) to thirty percent (30%) of the property taxes that would have been collected if the properties were taxable. This adjustment applies to real property owned by private nonprofit institutions of higher education, nonprofit hospital facilities, and state-owned hospitals or facilities with more than one hundred residents.

The bill also removes language regarding the adjustment of the percentage and the requirement for the state budget offices to include the amount of the annual appropriation in the state budget for the fiscal year commencing July 1, 1988, and each fiscal year thereafter. Additionally, it clarifies that municipalities cannot record both taxes or payments from for-profit hospital facilities and distributions from appropriations under this section for the same fiscal year. The state is required to distribute appropriations by July 31 each year or after receiving verified assessment data from municipalities. The act is designed to enhance financial support for local governments by increasing state aid for properties that are exempt from property taxes. The bill will take effect upon passage.

Statutes affected:
7468: 45-13-5.1