(a)  Except as provided below, a tax increment shall be included in the calculation of the maximum tax a city or town may levy pursuant to the provisions of § 44-5-2.

Terms Used In Rhode Island General Laws 45-33.2-21

  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • town: may be construed to include city; the words "town council" include city council; the words "town clerk" include city clerk; the words "ward clerk" include clerk of election district; the words "town treasurer" include city treasurer; and the words "town sergeant" include city sergeant. See Rhode Island General Laws 43-3-9

(b)  To the extent that inclusion of a tax increment in a tax levy causes a municipality to exceed the maximum tax a city or town may levy pursuant to the provisions of § 44-5-2, such excess shall be excluded from such calculation for a period not to exceed twenty-five (25) years if such excess tax increment is allocable to: (i) the payment of the principal of or interest on any special obligation bonds issued under the provisions of § 45-33.2-6, to fund a capital project under this chapter; (ii) any requirement to fund any reserve or other account or satisfy any other financial requirement which must be satisfied in connection with the issuance of such bonds or any other indebtedness or obligation incurred in connection with any such capital project or portion of one; or (iii) any payments made to directly fund any capital project.

(c)  The tax assessor in each city and town shall include calculations reflecting any tax increment excluded from the tax cap provisions of § 44-5-2 when submitting the municipality’s adopted tax levy and rate to the division of property valuation in accordance with § 44-5-2.

(d)  [Deleted by P.L. 2018, ch. 156, § 3 and P.L. 2018, ch. 292, § 3].

History of Section.
P.L. 2008, ch. 206, § 1; P.L. 2008, ch. 219, § 1; P.L. 2018, ch. 156, § 3; P.L. 2018, ch. 292, § 3.