This bill aims to enhance the funding framework for public library construction and capital improvement projects in Rhode Island by increasing the reimbursement caps established in the state's 2018 Regulations for Library Construction Reimbursement. The proposed changes will apply to eligible project costs incurred between June 30, 2025, and June 30, 2031, or until the Office of Library Information Services issues new regulations that set higher reimbursement caps.

Key provisions of the bill include:

1. A 50% reimbursement for construction costs up to $370.20 per square foot for new construction and $308.50 per square foot for renovations. If actual construction costs exceed these amounts, the state share will be based on the not-to-exceed amounts.
2. Site costs, including demolition, sitework, and acquisition, are reimbursable up to the lesser of $1,234,000 or 10% of the total project cost, excluding site costs.
3. The total amount of reimbursement for any project shall not exceed $12,340,000.
4. Allowable costs include financing leases (not operating leases) for library facilities, and libraries or municipalities financing projects with bonds or other indebtedness will not require pre-approval from the Office of Library Services but must file documentation post-transaction.
5. The increased reimbursement caps will apply retroactively to all eligible project costs incurred on or after July 1, 2025, regardless of when agreements were executed. All reimbursement agreements executed by the Office of Library and Information Services will be deemed amended to incorporate the increased caps, and the office is authorized to adjust reimbursement payments accordingly, subject to available funds.
6. Any maximum dollar amount, percentage, or other cap on state grant-in-aid reimbursement will automatically increase by 3% on July 1 of each year, beginning July 1, 2027.

This act will take effect upon passage.

Statutes affected:
3130: 29-6-6