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title-35•Title 35 — Public Finance
No department or agency of the state shall enter into an agreement with a federal agency involving state funds without the approval of the director of the office of management and budget or his or her duly authorized agents.
History of Section. P.L. 1939, ch. 660, § 73; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-1-1; P.L. 2012, ch. 241, art. 4, § 6.
[Repealed]
History of Section. P.L. 1939, ch. 660, § 75; P.L. 1947, ch. 1876, § 2; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-1-2; Repealed by P.L. 2006, ch. 246, art. 38, § 5, effective July 1, 2006.
Wherever, in any general law, public law, or resolution of the general assembly, or in any document, record, instrument, or proceeding authorized by any law or resolution, the words “state auditor” or any reference to “state auditor” appears, or the words “deputy state auditor” appear, or the words “state commissioner of finance” and “state comptroller” appear, the words or reference shall be construed to mean the director of administration, unless the context or subject matter otherwise requires.
History of Section. G.L. 1923, ch. 45, § 1; P.L. 1929, ch. 1318, § 1; P.L. 1935, ch. 2187, § 12; G.L. 1938, ch. 7, § 42; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-1-3.
The term “department and agency”, as used in this title, shall be deemed to include and be interpreted to mean any department, division, board, commission, commissioner, committee, agent, officer, person, or institution for whom an appropriation is made, or who is authorized to expend or to collect money for the state.
History of Section. P.L. 1927, ch. 981, § 11; P.L. 1935, ch. 2187, § 4; G.L. 1938, ch. 7, § 43; G.L. 1956, § 35-1-4.
The director of administration shall direct the state controller to prepare and report quarterly financial statements regarding the financial condition of the state, including actual revenue collections compared to the estimates upon which the budget was based, and actual departmental expenditures and encumbrances compared to appropriations. Furthermore, the director shall direct the state budget officer to project on a quarterly basis the anticipated year end balance assuming current trends continue and that typical cyclical expenditure patterns prevail over the course of the year. A consolidated quarterly report incorporating the current status and projection shall be released to the public, with copies provided to the chairperson of the House Finance Committee, chairperson of the senate finance committee, house fiscal advisor, and senate fiscal advisor, within forty-five (45) calendar days of the end of each quarter.
History of Section. P.L. 1990, ch. 65, art. 77, § 1; P.L. 1996, ch. 100, art. 1, § 17.
The purpose of this chapter is to establish a comprehensive public finance and management system for the State of Rhode Island that manages a data-driven budget process; monitors state departments’ and agencies’ performance; improves the regulatory climate; and ensures accountability and transparency regarding the use of public funds and regulatory impact.
History of Section. P.L. 2012, ch. 241, art. 4, § 5; P.L. 2019, ch. 88, art. 4, § 9.
There is hereby established within the department of administration an office of management and budget. This office shall serve as the principal agency of the executive branch of state government for managing budgetary functions, regulatory review, performance management, internal audit, and federal grants management. In this capacity, the office shall:
(1) Establish an in-depth form of data analysis within and between departments and agencies, creating a more informed process for resource allocation to best meet the needs of Rhode Island citizens;
(2) [Deleted by P.L. 2019, ch. 88, art. 4, § 9.]
(3) Analyze the impact of proposed regulations on the public and state as required by chapters 64.13 and 35 of title 42;
(4) Analyze federal budgetary issues and report on potential impacts to the state;
(5) Coordinate the budget functions of the state with performance management objectives;
(6) Maximize efficiencies in departments, agencies, advisory councils, and instrumentalities of the state by improving processes and prioritizing programs;
(7) Be responsible for the internal audit function of state government and conduct audits of any state department, state agency, or private entity that is a recipient of state funding or state grants; provide management advisory and consulting services; or conduct investigations relative to the financial affairs or the efficiency of management, or both, of any state department or agency.
History of Section. P.L. 2012, ch. 241, art. 4, § 5; P.L. 2016, ch. 142, art. 4, § 7; P.L. 2019, ch. 88, art. 4, § 9.
(a) Within the department of administration there shall be a director of management and budget who shall be appointed by the director of administration with the approval of the governor. The director shall be responsible to the governor and director of administration for supervising the office of management and budget and for managing and providing strategic leadership and direction to the budget officer, the performance management office, and the federal grants management office.
(b) The director of management and budget shall be responsible to:
(1) Oversee, coordinate, and manage the functions of the budget officer as set forth by chapter 3 of this title; program performance management as set forth by § 35-3-24.1; approval of agreements with federal agencies defined by § 35-3-25; and budgeting, appropriation, and receipt of federal monies as set forth by chapter 41 of title 42;
(2) [Deleted by P.L. 2019, ch. 88, art. 4, § 9.]
(3) Oversee the director of regulatory reform as set forth by § 42-64.13-6;
(4) Maximize the indirect cost recoveries by state agencies set forth by § 35-4-23.1;
(5) Undertake a comprehensive review and inventory of all reports filed by the executive office and agencies of the state with the general assembly. The inventory should include, but not be limited to: the type, title, and summary of reports; the author(s) of the reports; the specific audience of the reports; and a schedule of the reports’ release. The inventory shall be presented to the general assembly as part of the budget submission on a yearly basis. The office of management and budget shall also make recommendations to consolidate, modernize the reports, and to make recommendations for elimination or expansion of each report; and
(6) Conduct, with all necessary cooperation from executive branch agencies, reviews, evaluations, and assessments on process efficiency, operational effectiveness, budget and policy objectives, and general program performance.
History of Section. P.L. 2012, ch. 241, art. 4, § 5; P.L. 2013, ch. 155, § 1; P.L. 2013, ch. 209, § 1; P.L. 2014, ch. 528, § 54; P.L. 2019, ch. 88, art. 4, § 9; P.L. 2023, ch. 79, art. 3, § 5, effective June 16, 2023.
(a) The offices assigned to the office of management and budget include the budget office, the office of regulatory reform, the performance management office, and the office of internal audit and program integrity.
(b) The offices assigned to the office of management and budget shall:
(1) Exercise their respective powers and duties in accordance with their statutory authority and the general policy established by the governor or by the director acting on behalf of the governor or in accordance with the powers and authorities conferred upon the director by this chapter;
(2) Provide such assistance or resources as may be requested or required by the governor and/or the director;
(3) Provide such records and information as may be requested or required by the governor and/or the director, to the extent allowed under the provisions of any applicable general or public law, regulation, or agreement relating to the confidentiality, privacy, or disclosure of such records or information; and
(c) Except as provided herein, no provision of this chapter or application thereof shall be construed to limit or otherwise restrict the budget officer from fulfilling any statutory requirement or complying with any valid rule or regulation.
(d) The office of management and budget shall monitor the status of federal grants and identify any impacts of federal funding rescission. In the event of federal funding termination, agencies must provide the reported reason for termination, the types of activities funded by the awards, and the number of full-time equivalent positions assigned to the awards to the office.
(1) The office of management and budget may coordinate with the governor’s office, the department of administration’s division of purchases, the division of human resources, and the office of accounts and control, to develop options for administrative action or general assembly consideration that may be needed to address any federal funding changes.
(2) As soon as practicable after enactment of the federal budget for fiscal year 2026, but no later than October 31, 2025, the office shall forward a report to the governor, speaker of the house, and president of the senate containing the findings, recommendations, and options to become compliant with federal changes prior to the governor’s budget submission pursuant to § 35-3-7.
History of Section. P.L. 2012, ch. 241, art. 4, § 5; P.L. 2016, ch. 142, art. 4, § 7; P.L. 2019, ch. 88, art. 4, § 9; P.L. 2025, ch. 278, art. 3, § 7, effective June 29, 2025.
(a) The controller shall be responsible for managing federal grant applications; providing administrative assistance to agencies regarding reporting requirements; providing technical assistance; and approving agreements with federal agencies pursuant to § 35-1-1. The controller shall:
(1) Establish state goals and objectives for maximizing the utilization of federal aid programs;
(2) Ensure that the state establishes and maintains statewide federally mandated grants management processes and procedures as mandated by the federal Office of Management and Budget;
(3) Promulgate procedures and guidelines for all state departments, agencies, advisory councils, instrumentalities of the state, and public higher education institutions covering applications for federal grants;
(4) Require, upon request, any state department, agency, advisory council, instrumentality of the state, or public higher education institution receiving a grant of money from the federal government to submit a report to the controller of expenditures and program measures for the fiscal period in question;
(5) Ensure state departments and agencies adhere to the requirements of § 42-41-5 regarding legislative appropriation authority and delegation thereof;
(6) Manage and oversee the disbursements of federal funds in accordance with § 35-6-42;
(7) Prepare the statewide cost allocation plan and serve as the monitoring agency to ensure that state departments and agencies are working within the guidelines contained in the plan; and
(8) Provide technical assistance to agencies to ensure resolution and closure of all single state audit findings and recommendations made by the auditor general related to federal funding.
(b) The division of accounts and control shall serve as the state clearinghouse for purposes of coordinating federal grants, aid, and assistance applied for and/or received by any state department, agency, advisory council, or instrumentality of the state. Any state department, agency, advisory council, or instrumentality of the state applying for federal funds, aids, loans, or grants shall file a summary notification of the intended application with the controller.
(1) When as a condition to receiving federal funds, the state is required to match the federal funds, a statement shall be filed with the notice of intent or summary of the application stating:
(i) The amount and source of state funds needed for matching purposes;
(ii) The length of time the matching funds shall be required;
(iii) The growth of the program;
(iv) How the program will be evaluated;
(v) What action will be necessary should the federal funds be canceled, curtailed, or restricted; and
(vi) Any other financial and program management data required by the office or by law.
(2) Except as otherwise required, any application submitted by an executive agency for federal funds, aids, loans, or grants which will require state matching or replacement funds at the time of application or at any time in the future, must be approved by the director of the office of management and budget, or his or her designated agents, prior to its filing with the appropriate federal agency. Any application submitted by an executive agency for federal funds, aids, loans, or grants which will require state matching or replacement funds at the time of application or at any time in the future, when funds have not been appropriated for that express purpose, must be approved by the general assembly in accordance with § 42-41-5. When the general assembly is not in session, the application shall be reported to and reviewed by the director pursuant to rules and regulations promulgated by the director.
(3) When any federal funds, aids, loans, or grants are received by any state department, agency, advisory council, or instrumentality of the state, a report of the amount of funds received shall be filed with the office; and this report shall specify the amount of funds that would reimburse an agency for indirect costs, as provided for under federal requirements.
(4) The controller may refuse to issue approval for the disbursement of any state or federal funds from the state treasury as the result of any application that is not approved as provided by this section, or in regard to which the statement or reports required by this section were not filed.
(5) The controller shall be responsible for the orderly administration of this section and for issuing the appropriate guidelines and regulations from each source of funds used.
(c) There is hereby created in the general fund and housed within the budget of the department of administration a restricted receipt account entitled “Grants Management Administration.” This account shall be used to fund centralized services relating to managing federal grant applications; providing administrative assistance to agencies regarding reporting requirements; providing technical assistance; approving agreements with federal agencies pursuant to § 35-1-1; and, may include costs associated with the development, implementation, and ongoing operation of a grants management information technology system. Every state department and agency, as defined in § 35-1-4, that receives federal assistance funds, excluding awards made directly to Rhode Island College, the Community College of Rhode Island, and the University of Rhode Island, shall set aside an amount of the funds received equal to a percentage as determined annually by the state controller multiplied by federal funds received. The state controller shall determine this rate annually in proportion with budgeted expenditures for uses consistent with the purpose of this subsection within the department of administration.
For federal awards in response to the COVID-19 pandemic and subsequent stimulus awards, there is hereby authorized an additional assessment that shall be deposited into the restricted receipt account established by this subsection and shall be equal to a uniform percentage of the amount of stimulus and other awards received, excluding Medicaid and all awards made directly to Rhode Island College, the Community College of Rhode Island, and the University of Rhode Island, associated with the COVID-19 pandemic and subsequent stimulus acts. The state controller shall calculate the rate of this additional assessment, not to exceed one percent (1%) of the total awards received during a fiscal year, in proportion with budgeted expenditures necessary to finance the planning, oversight, compliance, and reporting functions within the department of administration related to federal awards issued in response to the pandemic and subsequent stimulus awards in addition to the costs of planning, development, and implementation of a grants management information technology system. The Grants Management Administration account shall not include an allocation of the State Fiscal Recovery Fund or the Coronavirus Capital Projects Fund. For the additional assessment related to federal awards issued in response to the pandemic and subsequent stimulus awards no funds shall be deposited into the restricted receipt account after December 31, 2026, the federally determined end of performance period. All funds set aside and designated to be used for grants management shall be deposited into the restricted receipt account established in this subsection.
Prior to any deposits being made into the restricted receipt account established by this subsection and thereafter prior to the commencement of each fiscal year, the state controller shall provide a report to the director of administration and the chairpersons of the house and senate finance committees that includes the rate and calculation thereof for the following fiscal year.
History of Section. P.L. 2012, ch. 241, art. 4, § 5; P.L. 2019, ch. 88, art. 4, § 9; P.L. 2021, ch. 162, art. 2, § 3, effective July 6, 2021; P.L. 2022, ch. 231, art. 2, § 4, effective July 1, 2022.
(a) There is created a restricted receipt account for the office of management and budget to be known as OMB administrative expense account. Payments from the account shall be limited to expenses for administrative oversight and management of federal and state funds received by the state agencies.
(b) All amounts deposited in the office of management and budget accounts shall be exempt from the indirect cost recovery provisions of § 35-4-27.
(c) The office of management and budget is authorized to receive indirect costs on federal funds to cover oversight expenses.
History of Section. P.L. 2012, ch. 241, art. 4, § 5.
The director of administration, subject to the provisions of applicable state law, shall be the appointing authority for all employees of the office of management and budget. The director of administration may delegate this function to such subordinate officers and employees of the office as may to him or her seem feasible or desirable.
History of Section. P.L. 2012, ch. 241, art. 4, § 5.
The general assembly shall annually appropriate such sums as it may deem necessary for the purpose of carrying out the provisions of this chapter. The state controller is hereby authorized and directed to draw his or her orders upon the general treasurer for the payment of such sum or sums, or so much thereof as may from time to time be required, upon receipt by him or her of proper vouchers approved by the director of the office of management and budget, or his or her designee.
History of Section. P.L. 2012, ch. 241, art. 4, § 5.
(a) The departments and other agencies of the state of the executive branch that have not been assigned to the executive office of management and budget under this chapter shall assist and cooperate with the executive office as may be required by the governor and/or requested by the director of management and budget. This assistance may include, but not be limited to, providing analyses and related backup documentation and information, organizational charts and/or process maps, contractual deliverables, and utilizing staff resources from other departments or agencies for special projects within a defined period of time to improve processes or performance within agencies and/or lead to cost savings.
(b) Within thirty (30) days following the date of the issuance of a final audit report completed pursuant to § 35-1.1-2(7), the head of the department, agency, or private entity audited shall respond in writing to each recommendation made in the final audit report. This response shall address the department’s, agency’s, or private entity’s plan of implementation for each specific audit recommendation and, if applicable, the reasons for disagreement with any recommendation proposed in the audit report. Within one year following the date on which the audit report was issued, the office may perform a follow-up audit for the purpose of determining whether the department, agency, or private entity has implemented, in an efficient and effective manner, its plan of action for the recommendations proposed in the audit report.
History of Section. P.L. 2012, ch. 241, art. 4, § 5; P.L. 2023, ch. 79, art. 3, § 5, effective June 16, 2023.
(a) The director of the office of management and budget is hereby directed to conduct research and analysis to study the programs of the department of transportation and other quasi-transportation related agencies not limited to bridge, vehicle and winter maintenance efficiencies and effectiveness. The director of the office of management and budget is authorized to consult with the appropriate federal agencies and departments that provide funds to, or delegate authority to, the state department of transportation and other quasi-transportation related agencies.
(b) This plan shall address the goal of improving efficiency of transportation programs; identifying similar programs that are being performed.
(c) The office of management and budget is directed to report findings, recommendations, and alternative designs to the governor and general assembly no later than November 1, 2012, with copies to the governor, speaker of the house, senate president, chairs of the house and senate finance committees and their respective fiscal advisors.
(d) The report shall include a strategic plan that outlines the mission, goals, the estimated cost and timelines to implement said recommendations, and the federal and state mandates associated with the current programs. The report shall provide a clear definition of roles and responsibilities, including those responsible for implementing the proposed recommendations. The analysis shall develop outcome measures and an appropriate timeline to measure implementation progress. It shall also include:
(1) An examination of the various organizational structures in other states, evaluating their strengths and weaknesses, and how they may or may not be applicable in Rhode Island. This should include an evaluation of the best practices regarding efficiencies.
(2) An analysis of what programs and responsibilities could be more efficiently implemented and managed. This should include, but not be limited to, strategies to reorganize and or centralize transportation programs.
(3) An evaluation of the federal, state and other revenues that support these programs, and the impacts on revenues and expenses associated with the alternatives and recommendations.
(e) The department of transportation and other quasi-transportation related agencies shall furnish such advice and information, documentary or otherwise, to the director of the office of management and budget as is deemed necessary or desirable to facilitate the purposes of the study.
History of Section. P.L. 2012, ch. 241, art. 4, § 5.
The office of management and budget shall be deemed an agency for purposes of § 42-35-1 et seq. The director shall make and promulgate such rules and regulations, and establish fee schedules not inconsistent with state law and fiscal policies and procedures as he or she deems necessary for the proper administration of this chapter and to carry out the policy and purposes thereof.
History of Section. P.L. 2012, ch. 241, art. 4, § 5.
If any provision of this chapter or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the chapter, which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are declared to be severable.
History of Section. P.L. 2012, ch. 241, art. 4, § 5.
The fiscal year shall be deemed to include the twelve (12) calendar months from July to June, both inclusive.
History of Section. G.L. 1896, ch. 35, § 1; G.L. 1909, ch. 45, § 1; P.L. 1922, ch. 2200, § 1; G.L. 1923, ch. 46, § 1; P.L. 1929, ch. 1349, § 1; G.L. 1938, ch. 27, § 1; G.L. 1956, § 35-2-1.
The electors in a financial town meeting of any town qualified to vote on any proposition to impose a tax or for the expenditure of money, or the city council of any city, not having a fiscal year beginning July 1, may vote at any financial town or city council meeting, provided, that the fiscal year in the town or city in which a vote is passed shall thereafter begin with July 1 of each calendar year and end with June 30 of the following calendar year.
History of Section. P.L. 1961, ch. 34, § 1.
(a) Notwithstanding the provisions of § 35-2-2, the budget commission of the town of North Providence, by vote at a meeting of the commission, is authorized to modify the fiscal year for a town over a four-year period, as follows:
(1) Establishing a fiscal year from March 1 to March 31 of the following calendar year;
(2) The succeeding fiscal year to be from April 1 to April 30 of the following calendar year;
(3) The succeeding fiscal year to be May 1 to May 31 of the following calendar year;
(4) The succeeding fiscal year to be from June 1 to June 30 of the following calendar year;
(5) Thereafter the fiscal years to be July 1 to June 30 of the following calendar years.
(b) In the event that the budget commission of the town of North Providence votes to modify the fiscal year as provided in this section, the commission shall ordain the dates upon which taxes shall be due and payable. The commission shall also determine by resolution the installments in which taxes may be paid, the dates on which penalties for nonpayment shall apply, and the rate of the penalties.
History of Section. P.L. 1970, ch. 122, § 1.
(a) Within the office of management and budget there shall be a budget officer who shall be appointed by the director of administration with the approval of the governor. The budget officer shall be required to:
(1) Exercise budgetary control over all state departments and agencies and perform management analyses;
(2) Operate an appropriation allotment system;
(3) Prepare the annual budget of the receipts and expenditures of the state;
(4) Develop long term activity and financial programs, particularly capital improvement programs;
(5) Approve or disapprove all requests for new personnel and to investigate periodically the need of all existing positions in the state service and report thereon to the director of administration; and
(6) Prepare a five (5) year financial projection of anticipated general revenue receipts and expenditures, including detail of principal revenue sources and expenditures by major program areas, which projection shall be included in the budget submitted to the general assembly pursuant to § 35-3-7.
(b) The budget officer may approve or disapprove requisitions for equipment, materials, and supplies.
(c) The budget officer’s duties and powers relating to budgetary controls and personnel requests of the legislative and judicial departments shall be purely ministerial, concerned only with the availability of the funds, and in no event shall the budget officer interpose his or her judgment regarding the wisdom or expediency of items of expenditure.
History of Section. P.L. 1939, ch. 660, § 62; P.L. 1956, ch. 3696, § 1; G.L. 1956, § 35-3-1; P.L. 1968, ch. 99, § 3; P.L. 1980, ch. 146, art. xvi, § 1; P.L. 1983, ch. 167, art. 20, § 1; P.L. 1986, ch. 287, art. 23, § 2; P.L. 1991, ch. 44, art. 27, § 1; P.L. 1996, ch. 100, art. 11, § 1; P.L. 2004, ch. 595, art. 45, § 2; P.L. 2012, ch. 241, art. 4, § 7.
The general assembly shall annually appropriate such sums as it may deem necessary to pay the administrative and other expenses of the state government.
History of Section. P.L. 1935, ch. 2250, § 149; G.L. 1938, ch. 632, § 2; G.L. 1956, § 35-3-2.
The budget officer shall, under the supervision of the governor, prepare the annual state budget, assembling, correlating, and revising the estimates of revenues and requests for appropriations of the various departments of the state government.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; P.L. 1940, ch. 881, § 1; P.L. 1947, ch. 1922, § 1; G.L. 1956, § 35-3-3.
On or before December 1 of each year, the budget officer shall review the annual budget submitted by the resource recovery corporation, making such recommendations as he or she may deem proper to the director of administration.
History of Section. P.L. 1988, ch. 523, § 1.
(a) On dates determined by the budget officer, but not later than the first day of October in each year, each head of a department of the state government, not including the general assembly or the judiciary, shall assemble, correlate, and revise, with power to increase or decrease, the estimates for expenditures and requests for appropriations for the next ensuing fiscal year of each of the divisions, boards, commissions, officers, bureaus, institutions, or agencies of the state included within his or her department, and, after this revision, shall prepare an itemized departmental estimate of the appropriations necessary to meet the financial needs of the department, including a statement in detail of all moneys for which any general or special appropriation is desired at the ensuing session of the general assembly. The estimate shall be in such form, and in such number of copies, and with such explanation as the budget officer may require, and, on dates determined by the budget officer, but not later than the first day of October in each year, shall be submitted to the governor through the budget officer and to the fiscal advisors of the house and senate.
(b) The estimates shall also include a supplemental presentation of estimates of expenditures for information resources and information technologies as defined in § 29-8-2 [repealed], regardless of source of financing. The estimate shall include a detailed listing and explanation of expenses and the source of funds and shall be in such form, and in such number of copies, and with such explanation as the budget officer may require. Copies shall be provided directly to the house fiscal advisor, the senate fiscal advisor, and the Rhode Island information resources management board.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; P.L. 1940, ch. 881, § 1; P.L. 1947, ch. 1922, § 1; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-3-4; P.L. 1991, ch. 44, art. 45, § 1; P.L. 1997, ch. 30, art. 1, § 14; P.L. 2004, ch. 595, art. 24, § 1; P.L. 2016, ch. 142, art. 12, § 2.
In submitting the estimates for expenditures and requests for appropriations, the director of the department of transportation shall provide an estimate of the funds necessary for paying tort claims made pursuant to § 24-8-35.
History of Section. P.L. 1994, ch. 380, § 1.
(a) The chairperson of the house finance committee and/or the chairperson of the senate finance committee may, from time to time, designate one or more departments to submit zero base budgets. The committee(s) shall consider the objectives, operations, measures of performance, and costs of all activities of each department; explore alternative means of conducting the activities of each department; and evaluate alternative budget amounts for various levels of effort for each activity of each department.
(b) The committee(s) shall begin zero base budget reviews at the beginning of the fiscal year, and shall complete analysis prior to the governor’s submission of the budget as required in § 35-3-7. Prior to August 1, the chairperson(s) shall communicate to the departments so designated the form and number of copies, and with such explanation as the committee(s) may require.
History of Section. P.L. 2002, ch. 65, art. 38, § 1.
Itemized estimates of the financial needs of the legislature and of the judiciary shall be submitted, without revision, by the budget officer to the governor on or before the first day of October for inclusion in the budget. The Governor shall submit the financial needs as requested by the legislature and judiciary without revision for inclusion in the budget recommendation to the general assembly. The budget officer shall provide copies to the House Fiscal Advisor and the Senate Fiscal Advisor.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; P.L. 1940, ch. 881, § 1; P.L. 1947, ch. 1922, § 1; G.L. 1956, § 35-3-5; P.L. 1998, ch. 424, § 1; P.L. 2004, ch. 595, art. 45, § 3.
Whenever the budget officer shall deem it advisable or necessary to require the attendance of any person other than the director of a department or a person employed by the state in the classified service, to aid and assist him or her in the preparation of the annual budget, the budget officer may compensate the person for his or her attendance and other necessary expenses.
History of Section. G.L. 1938, ch. 7, § 4; P.L. 1947, ch. 1922, § 1; G.L. 1956, § 35-3-6.
(a) On or before the third Thursday in January in each year of each January session of the general assembly, the governor shall submit to the general assembly a budget containing a complete plan of estimated revenues and proposed expenditures, with a personnel supplement detailing the number and titles of positions of each agency and the estimates of personnel costs for the next fiscal year, and with the inventory required by § 35-1.1-3(b)(5). Provided, however, in those years that a new governor is inaugurated, the new governor shall submit the budget on or before the first Thursday in February. In the budget the governor may set forth in summary and detail:
(1) Estimates of the receipts of the state during the ensuing fiscal year under laws existing at the time the budget is transmitted and also under the revenue proposals, if any, contained in the budget, and comparisons with the estimated receipts of the state during the current fiscal year, as well as actual receipts of the state for the last two (2) completed fiscal years.
(2) Estimates of the expenditures and appropriations necessary in the governor’s judgment for the support of the state government for the ensuing fiscal year, and comparisons with appropriations for expenditures during the current fiscal year, as well as actual expenditures of the state for the last two (2) complete fiscal years; provided, further, in the event the budget submission includes any transfers of resources from public corporations to the general fund, the budget submission shall also include alternatives to said transfers.
(3) Financial statements of the:
(i) Condition of the treasury at the end of the last completed fiscal year;
(ii) Estimated condition of the treasury at the end of the current fiscal year; and
(iii) Estimated condition of the treasury at the end of the ensuing fiscal year if the financial proposals contained in the budget are adopted.
(4) All essential facts regarding the bonded and other indebtedness of the state.
(5) A report indicating those program revenues and expenditures whose funding source is proposed to be changed from state appropriations to restricted receipts, or from restricted receipts to other funding sources.
(6) Such other financial statements and data as in the governor’s opinion are necessary or desirable.
(b) Any other provision of the general laws to the contrary notwithstanding, the proposed appropriations submitted by the governor to the general assembly for the next ensuing fiscal year should not be more than five and one-half percent (5.5%) in excess of total state appropriations, excluding any estimated supplemental appropriations, enacted by the general assembly for the fiscal year previous to that for which the proposed appropriations are being submitted; provided that the increased state-share provisions required to achieve fifty percent (50%) state financing of local school operations as provided for in P.L. 1985, ch. 182, shall be excluded from the definition of total appropriations.
(c) Notwithstanding the provisions of subsection (a) of this section, the governor shall submit to the general assembly a budget for the fiscal year ending June 30, 2006, not later than the fourth (4th) Thursday in January 2005.
(d) Notwithstanding the provisions of subsection (a) of this section, the governor shall submit to the general assembly a supplemental budget for the fiscal year ending June 30, 2006, and/or a budget for the fiscal year ending June 30, 2007, not later than Thursday, January 26, 2006.
(e) Notwithstanding the provisions of subsection (a) of this section, the governor shall submit to the general assembly a supplemental budget for the fiscal year ending June 30, 2007, and/or a budget for the fiscal year ending June 30, 2008, not later than Wednesday, January 31, 2007.
(f) Notwithstanding the provisions of subsection (a) of this section, the governor shall submit to the general assembly a budget for the fiscal year ending June 30, 2012, not later than Thursday, March 10, 2011.
(g) Notwithstanding the provisions of subsection (a) of this section, the governor shall submit to the general assembly a budget for the fiscal year ending June 30, 2013, not later than Tuesday, January 31, 2012.
(h) Notwithstanding the provisions of subsection (a) of this section, the governor shall submit to the general assembly a budget for the fiscal year ending June 30, 2016, not later than Thursday, March 12, 2015.
(i) Notwithstanding the provisions of subsection (a) of this section, the governor shall submit to the general assembly a budget for the fiscal year ending June 30, 2022, not later than Thursday, March 11, 2021.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; P.L. 1940, ch. 881, § 1; P.L. 1947, ch. 1922, § 1; G.L. 1956, § 35-3-7; P.L. 1977, ch. 200, art. 6, § 1; P.L. 1979, ch. 174, art. 13, § 1; P.L. 1980, ch. 146, § 1; P.L. 1981, ch. 291, art. 5, § 1; P.L. 1983, ch. 167, art. 5, § 1; P.L. 1984, ch. 245, art. VI, § 1; P.L. 1984 (s.s.), ch. 450, § 5; P.L. 1985, ch. 181, art. 4, § 1; P.L. 1987, ch. 8, § 1; P.L. 1987, ch. 118, art. 13, § 2; P.L. 1993, ch. 7, § 1; P.L. 1994, ch. 70, art. 5, § 1; P.L. 2004, ch. 5, § 1; P.L. 2004, ch. 595, art. 24, § 1; P.L. 2005, ch. 1, § 1; P.L. 2006, ch. 4, § 1; P.L. 2007, ch. 1, § 1; P.L. 2011, ch. 3, § 1; P.L. 2012, ch. 5, § 1; P.L. 2013, ch. 155, § 2; P.L. 2013, ch. 209, § 2; P.L. 2014, ch. 528, § 55; P.L. 2015, ch. 2, § 1; P.L. 2017, ch. 302, art. 7, § 9; P.L. 2020, ch. 80, art. 1, § 36.
(a) Biennially, for presentation to the voters at the next general election, a comprehensive plan detailing the capital goods and services required in the upcoming two (2) year period will be presented.
(b) The plan shall also include consideration of the current capital indebtedness and the proposed capital requirements for all independent authorities created under and by the laws of this state.
(c) All capital referenda will be presented to the voters at a general election, except, upon a finding of compelling need for the public health, safety, or welfare, the general assembly may present the capital program at a time other than the general election.
History of Section. P.L. 1990, ch. 65, art. 12, § 1.
The budget officer shall be a capital development program officer who shall be responsible for:
(1) The review of all capital development requests submitted by the various state departments, as set forth in chapter 6 of title 42, which shall include all independent boards and commissions and the capital development plans of the Narragansett Bay Commission, Rhode Island infrastructure bank, the Lottery Commission, and all other public corporations, as defined in chapter 18 of this title which plans would be subject to the provisions of § 35-18-3; provided, that, except as provided for in this section, nothing in this section shall be construed to limit the powers of the council on postsecondary education as outlined in chapter 59 of title 16. Capital development requests and plans shall be submitted in such form, with such explanation, in such number of copies, and by such date as the budget officer may require. Copies shall also be provided directly to the house fiscal advisor and the senate fiscal advisor.
(2) Preparation of a capital budget which shall specify which capital items are proposed for presentation to the electorate at the next general election.
(3) The activities which will promote capital development planning and develop criteria which can be used to determine appropriate levels of bonded indebtedness.
(4) Acting as chairperson of the capital development planning and oversight commission which is to be appointed by the governor. The commission, in addition to recommending to the governor the biennial capital budget, shall implement a long-range capital development planning process and shall be responsible for the development of an inventory of state assets to determine the need and prioritization of capital improvements.
(5) Working with the council on postsecondary education in the development by the council of that portion of the council’s capital development program involving annual general revenues.
History of Section. P.L. 1990, ch. 65, art. 12, § 1; P.L. 1992, ch. 133, art. 49, § 1; P.L. 1998, ch. 31, art. 5, § 14; P.L. 1999, ch. 31, art. 21, § 2; P.L. 2015, ch. 141, art. 14, § 3.
(a) The budget shall also contain the recommendations of the governor to the general assembly for new taxes, loans, or other appropriate actions to meet any estimated deficiency for the ensuing fiscal year. It shall also be accompanied by a bill or bills for all proposed appropriations.
(b) In the event that any departments of state government are expected to incur a deficiency within the current fiscal year, the governor shall, on or before the third Thursday in January each year, submit a request for supplemental appropriations on their behalf. Provided, however, in those years that a new governor is inaugurated, the new governor shall submit the request on or before the first Thursday in February. In the event that, prior to or subsequent to the request, the governor determines that additional deficiencies are expected to be incurred, the governor shall submit requests for additional appropriations upon notice of these deficiencies.
(c) The request presented to the general assembly shall identify the proposed increases and decreases to the original amounts provided in the annual appropriation act provided, that no action shall be taken that will cause an excess of appropriations for revenue expenditures over expected revenue receipts.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; G.L. 1956, § 35-3-8; P.L. 1984, ch. 245, art. XIV, § 1; P.L. 1996, ch. 100, art. 11, § 1; P.L. 2004, ch. 595, art. 24, § 1; P.L. 2019, ch. 88, art. 2, § 5.
The budget plan and bill or bills for proposed appropriations, when sent by the governor to the general assembly, shall be referred as soon as practicable to an appropriate committee of the house of representatives, and the committee shall forthwith proceed to the consideration of the bill. The committee shall hear the budget officer upon the bill as a whole or upon any item thereof or any proposed amendment thereto as each may elect, and the committee may summon the budget officer to appear before it and to furnish such information relative to the bill or any item therein, or any proposed amendment thereto, as it may require, and the committee may in its discretion hear the proper person representing any department or agency desiring to be heard with respect to any item or amendment in the bill relating to the department or agency; provided, that nothing contained in this section shall be construed to limit the right of the committee to hold public hearings upon the bill as a whole or upon any item therein, or to summon any person for examination regarding any item contained therein, or for the purpose of obtaining information necessary for a full and proper consideration of the bill. The committee, after the consideration of the bill, shall report the bill with its recommendation endorsed thereon to the house of representatives.
History of Section. P.L. 1935, ch. 2187, § 5; G.L. 1938, ch. 7, § 4; impl. am. P.L. 1939, ch. 660, § 62; G.L. 1956, § 35-3-9.
The bill, after passage by the house of representatives in its original form as transmitted by the governor, or as amended by the house, shall be transmitted to and received by the senate in the same manner as other bills are transmitted and received, and, upon receipt thereof by the senate, it shall forthwith be referred to an appropriate committee, which shall proceed to the consideration of the bill in the manner as provided in § 35-3-9 for the consideration of the bill by the committee of the house of representatives.
History of Section. P.L. 1935, ch. 2187, § 5; G.L. 1938, ch. 7, § 4; G.L. 1956, § 35-3-10.
The bill, with the endorsement of the committee of the senate thereon, shall be considered by the senate in accordance with the joint rules and orders and rules of the senate, and may be amended in such manner as the senate may determine.
History of Section. P.L. 1935, ch. 2187, § 5; G.L. 1938, ch. 7, § 4; G.L. 1956, § 35-3-11.
The governor, before final action by the general assembly, may offer a supplement to the budget and submit amendments in conformity therewith to the accompanying appropriation bill or bills.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; G.L. 1956, § 35-3-12.
The governor shall submit the budget and the appropriation bill or bills for the fiscal year to the general assembly, which may increase, decrease, alter, or strike out the items contained therein; provided, that no action on its part shall be taken which will cause an excess of appropriations for revenue expenditures over expected revenue receipts. If additional appropriations are deemed necessary by the general assembly, it shall not make the appropriations unless it shall provide the necessary additional revenue therefor.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; G.L. 1956, § 35-3-13.
(a) Except as otherwise provided, all revenues of the state, with the exception of funds either exempted in the constitution or held in trust, shall be credited to the general fund, subject to appropriations for all operating expenditures of the state.
(b) The governor and the director of administration, upon the petition of the public works division of the department of transportation, may credit the appropriation accounts of the division, under the proper code designations, with the portions of specific receipts of the division deposited by it with the general treasurer; being sums of money derived from the sale of materials or sums of money received from the various cities and towns for highway work or sums of money received from private sources for highway work, as in the judgment of the director of administration are necessary to prevent a depletion of the specific appropriation account under the code designation.
(c) The state controller may credit the appropriation accounts of the general fund or any special funds of the state with the receipts from the sale of salvage or surplus items of value when the receipts are the direct result of the activity for which the account or fund is established, unless disposition of the receipts is otherwise provided for by law.
(d) Where the director of administration determines that he or she shall engage attorneys to collect delinquent taxes for the tax administrator, authorization to so engage being confirmed hereby, and enters into a written agreement with the attorneys to compensate them on a fee basis for services which they render in effecting the collections, the director is further authorized to permit the attorneys to first deduct the agreed amount of the fee or fees from the amount of collections effected by them, which amount, less the agreed amount of the fee or fees, shall be remitted by the attorneys to the tax administrator within thirty (30) days, and after the deductions, all the remittances shall be credited to the general fund.
History of Section. P.L. 1935, ch. 2250, § 12; P.L. 1937, ch. 2512, § 1; G.L. 1938, ch. 7, § 4; P.L. 1954, ch. 3375, § 1; G.L. 1956, § 35-3-14; P.L. 1964, ch. 58, § 1.
(a) All unexpended or unencumbered balances of general revenue appropriations, whether regular or special appropriations, at the end of any fiscal year, shall revert to the surplus account in the general fund, and may be reappropriated by the governor to the ensuing fiscal year and made immediately available for the same purposes as the former appropriations; provided, that the disposition of unexpended or unencumbered appropriations for the general assembly and legislative agencies shall be determined by the joint committee on legislative affairs, and written notification given thereof to the state controller within twenty (20) days after the end of the fiscal year; and furthermore that the disposition of unexpended or unencumbered appropriations for the judiciary shall be determined by the state court administrator, and written notification given thereof to the state controller within twenty (20) days after the end of the fiscal year.
(b) The governor shall submit a report of such reappropriations to the chairperson of the house finance committee and the chairperson of the senate finance committee of each reappropriation stating the general revenue appropriation, the unexpended or unencumbered balance, the amount reappropriated, and an explanation of the reappropriation and the reason for the reappropriation by August 20 of each year.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; G.L. 1956, § 35-3-15; P.L. 1968, ch. 99, § 4; P.L. 1990, ch. 65, art. 79, § 1; P.L. 1997, ch. 16, § 11; P.L. 2003, ch. 376, art. 43, § 1; P.L. 2018, ch. 47, art. 2, § 2.
[Repealed]
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; impl. am. P.L. 1939, ch. 660, § 62; G.L. 1956, § 35-3-16; P.L. 1968, ch. 99, § 5; P.L. 1981, ch. 427, § 1; P.L. 1982, ch. 344, art. 15, § 1; P.L. 1990, ch. 65, art. 41, § 1; Repealed by P.L. 1997, ch. 30, art. 1, § 10, effective July 1, 1997.
After the annual appropriation bill or bills have been passed by the general assembly and signed by the governor, the budget officer shall determine by quarterly or monthly allotments, in accordance with seasonal requirements, the division of amounts to be expended under each appropriation. The budget officer shall make this initial determination within forty-five (45) calendar days of the signing of the annual appropriations bill by the governor. A copy of the initial determination shall be forwarded to the chairperson of the house finance committee and the chairperson of the senate finance committee. Copies of subsequent determinations shall be forwarded in like manner when made.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; impl. am. P.L. 1939, ch. 660, § 62; G.L. 1956, § 35-3-17; P.L. 1990, ch. 65, art. 41, § 1.
The several state departments, agencies, and public authorities and corporations shall submit to the fiscal advisors of the house and senate, statements of financial conditions and operations within thirty (30) days of the close of each of the first three (3) fiscal quarters of each year. The statements shall include, at a minimum:
(1) Account numbers;
(2) Allotments;
(3) Expenditures to-date;
(4) Estimated expenditures to complete the fiscal year;
(5) Surplus or deficiency projections; and
(6) Progress on any corrective action plans per the most recent annual findings of the auditor general.
History of Section. P.L. 1994, ch. 70, art. 37, § 1; P.L. 2023, ch. 79, art. 3, § 6, effective June 16, 2023.
[Repealed]
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; impl. am. P.L. 1939, ch. 660, § 62; P.L. 1968, ch. 99, § 6; P.L. 1990, ch. 65, art. 41, § 1; Repealed by P.L. 1996, ch. 100, art. 1, § 4.
In an emergency caused by a failure of the general assembly to pass the annual appropriation bill, the same amounts appropriated in the previous fiscal year shall be available for each department and division thereof, subject to monthly or quarterly allotments, in accordance with seasonal requirements, as determined by the budget officer; provided, that expenditures for payment of bonded indebtedness of the state and interest thereon shall be in such amounts as may be required, regardless of whether or not an annual appropriation bill is passed by the general assembly.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 4; impl. am. P.L. 1939, ch. 660, § 62; G.L. 1956, § 35-3-19.
(a) There is hereby created within the general fund a state budget reserve and cash stabilization account, which shall be administered by the state controller and which shall be used solely for the purpose of providing such sums as may be appropriated to fund any unanticipated general revenue deficit caused by a general revenue shortfall.
(b) In carrying out the provisions of § 35-3-20.1, the state controller shall, based on that fiscal year’s estimate, transfer the amounts needed to fund cash requirements during the fiscal year; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of § 35-3-20.1. To the extent that funds so transferred are not needed by the Rhode Island Capital Plan fund the funds may be loaned back to the general fund.
(c) For the fiscal year ending June 30, 2009, whenever the aggregate of the monies and securities held for the credit of the state budget reserve and cash stabilization account exceeds three and four tenths of one percent (3.4%) of total fiscal year resources, consisting of the aggregate of (1) actual revenues from taxes and other departmental general revenue sources; and (2) the general revenue balance available for appropriations at the beginning of the fiscal year; the excess shall be transferred to the Rhode Island Capital Plan fund, to be used solely for capital projects. Provided further, the applicable percentage shall increase by four-tenths of one percent (.4%) for the succeeding four (4) fiscal years as follows:
Fiscal year ending June 30, 2010 3.8%
Fiscal year ending June 30, 2011 4.2%
Fiscal year ending June 30, 2012 4.6%
Fiscal years ending June 30, 2013, and thereafter 5.0%
(d) At any time after the third quarter of a fiscal year, that it is indicated that total resources which are defined to be the aggregate of estimated general revenue, general revenue receivables, and available free surplus in the general fund will be less than the estimates upon which current appropriations were based, the general assembly may make appropriations from the state budget reserve and cash stabilization account for the difference between the estimated total resources and the original estimates upon which enacted appropriations were based, but only in the amount of the difference based upon the revenues projected at the latest state revenue estimating conference pursuant to chapter 16 of this title as reported by the chairperson of that conference.
(e) Whenever a transfer has been made pursuant to subsection (d), that transfer shall be considered as estimated general revenues for the purposes of determining the amount to be transferred to the Rhode Island Capital Plan fund for the purposes of § 35-3-20.1(b).
(f) Whenever a transfer has been made pursuant to subsection (d), the amount of the transfer shall be transferred to the Rhode Island Capital Plan fund from funds payable into the general revenue fund pursuant to § 35-3-20.1 in the fiscal year following the fiscal year in which the transfer was made, except that in fiscal year 2010 there shall be no repayment of the amount transferred, and the repayment shall be made in fiscal year 2011.
History of Section. P.L. 1991, ch. 44, art. 26, § 3; P.L. 1992, ch. 133, art. 58, § 1; P.L. 1997, ch. 16, § 11; P.L. 2007, ch. 73, art. 8, § 1; P.L. 2009, ch. 68, art. 13, § 1; P.L. 2010, ch. 23, art. 4, § 1; P.L. 2020, ch. 80, art. 1, § 18; P.L. 2021, ch. 162, art. 2, § 4, effective July 6, 2021.
(a) For the fiscal year ending June 30, 2009, no appropriation, supplemental appropriation, or budget act shall cause the aggregate state general revenue appropriations enacted for the fiscal year to exceed ninety-seven and eight tenths of one percent (97.8%) of the estimated state general revenues for the fiscal year from all sources, including estimated unencumbered general revenues not continued or reappropriated to the new fiscal year remaining at the end of the previous fiscal year. Estimated unencumbered general revenues are calculated by taking the estimated general revenue cash balance at the end of the fiscal year less estimated revenue anticipation bonds or notes, estimated general revenue encumbrances, estimated continuing general revenue appropriations, and the amount of the budget reserve and cash stabilization account at the end of the fiscal year. The amount of the general revenue estimate and estimated unencumbered general revenue remaining shall be determined by the state controller and approved by the auditor general in conformance with accounting procedures currently in use. The excess of any unencumbered general revenue shall be determined by subtracting from the actual unencumbered general revenues at the end of any fiscal year an amount which together with the latest estimated general revenues is necessary to fund the ensuing fiscal year’s general revenue budget, including the required estimated general revenue supplemental and annual appropriations. Provided further, the applicable percentage shall decrease by two-tenths of one percent (.2%) for the succeeding four (4) fiscal years as follows:
Fiscal year ending June 30, 2010 97.6%
Fiscal year ending June 30, 2011 97.4%
Fiscal year ending June 30, 2012 97.2%
Fiscal years ending June 30, 2013 and thereafter 97.0%
(b) The amount between the applicable percentage in subsection (a) and one hundred percent (100%) of the estimated state general fund revenue for any fiscal year as estimated in accordance with subsection (a) shall be appropriated in any given fiscal year into the budget reserve and cash stabilization account; provided, that for the fiscal year ending June 30, 2009, no payment will be made which would increase the total of the budget reserve and cash stabilization account to more than three and four-tenths of one percent (3.4%) of only the estimated state general fund revenues as set by subsection (a). In the event that the payment to be made into the budget reserve and cash stabilization account would increase the amount in the account to more than three and four-tenths of one percent (3.4%) of estimated state general revenues, the amount shall be transferred to the Rhode Island Capital Plan fund, to be used solely for capital projects. Provided further the applicable percentage shall increase by four-tenths of one percent (.4%) for the four (4) succeeding fiscal years as follows:
Fiscal year ending June 30, 2010 3.8%
Fiscal year ending June 30, 2011 4.2%
Fiscal year ending June 30, 2012 4.6%
Fiscal years ending June 30, 2013 and thereafter 5.0%
However, there shall be no expenditures of money under this section without passage of a specific appropriation by the general assembly.
(c) Within forty-five (45) days after the close of any fiscal year, all unencumbered general revenue in the year end surplus account from the fiscal year shall be transferred to the general fund.
History of Section. P.L. 1990, ch. 65, art. 83, § 1; P.L. 1990, ch. 255, § 1; P.L. 1991, ch. 44, art. 26, § 4; P.L. 1992, ch. 133, art. 58, § 1; P.L. 1997, ch. 30, art. 1, § 17; P.L. 2007, ch. 73, art. 8, § 1.
(a) There is hereby created within the general fund a supplemental state budget reserve account, which shall be administered by the state controller and which shall be used solely for the purpose of providing such sums as may be appropriated to fund any unanticipated general revenue deficit caused by a general revenue shortfall.
(b) At any time after the third quarter of a fiscal year that it is indicated that total resources which are defined to be the aggregate of estimated general revenue, general revenue receivables, and available free surplus in the general fund will be less than the estimates upon which current appropriations were based, the general assembly may make appropriations from the supplemental state budget reserve account for the difference between the estimated total resources and the original estimates upon which enacted appropriations were based, but only in the amount of the difference based upon the revenues projected at the latest state revenue estimating conference pursuant to chapter 16 of this title as reported by the chairperson of that conference.
(c) Whenever a transfer has been made pursuant to subsection (b), that transfer shall be considered as estimated general revenues for the purposes of determining the amount to be transferred to the Rhode Island capital plan fund for the purposes of § 35-3-20.1(b).
(d) The supplemental state budget reserve account shall consist of: (1) Such sums as the state may from time to time directly transfer to the account as authorized in law; and (2) Any amounts transferred pursuant to § 35-6-1(e).
History of Section. P.L. 2023, ch. 79, art. 2, § 2, effective June 16, 2023.
[Repealed]
History of Section. P.L. 1986, ch. 287, art. 5, § 1; P.L. 1987, ch. 596, § 6; P.L. 1989, ch. 126, art. 12, § 1; P.L. 1990, ch. 65, art. 76, § 1; Repealed by P.L. 1999, ch. 31, art. 21, § 3, effective July 1, 1999.
(a) There is hereby created within the general fund an affordable housing rental subsidy account, which shall be administered by the state controller and which shall be used solely for the purpose of providing such sums as may be required to fund the affordable housing rental subsidy in accordance with chapter 11.2 of title 42.
(b)(1) At the end of each fiscal year following the completion of the post audit of the financial transactions of the state by the state auditor general but prior to the issuance of his or her final audit report as set forth in § 22-13-4, the state controller shall transfer to the affordable housing rental subsidy account twenty percent (20%) of the amount payable into the general revenue fund pursuant to § 42-61-15 for each fiscal year.
(2) In carrying out the provisions of subsection (b), the state controller shall initially, at the fiscal year opening, transfer the amount identified as that fiscal year’s projected estimate; the transfer shall be adjusted at the end of the fiscal year in order to conform to the requirements of subsection (b).
(c) Notwithstanding any provision of the general laws to the contrary, for the period beginning July 1, 1994, and ending June 30, 1997, the Rhode Island housing and mortgage finance corporation shall annually allocate funds sufficient to carry out the provisions of chapter 11.2 of title 42.
History of Section. P.L. 1988, ch. 579, § 5; P.L. 1989, ch. 126, art. 12, § 1; P.L. 1990, ch. 65, art. 69, § 1; P.L. 1990, ch. 65, art. 76, § 1; P.L. 1994, ch. 143, § 1.
(a) The governor may make an interfund transfer. Prior to making an interfund transfer the governor shall give five (5) days written notification of the proposed interfund transfer to the speaker of the house, the president of the senate, the chairperson of the house finance committee, the chairperson of the senate finance committee, the minority leader of the senate, and the minority leader of the house.
(b) An interfund transfer must comply with this section. An interfund transfer can be made under the following circumstances and on the following conditions:
(1) The governor must make the findings that:
(i) All cash in the general fund, including the payroll clearing account, has been or is about to be exhausted;
(ii) The anticipated cash expenditures exceed the anticipated cash available.
(2) The governor may make an interfund transfer to the general fund from the:
(i) Temporary disability fund created in § 28-39-4;
(ii) Intermodal surface transportation fund created in § 35-4-11; and/or
(iii) Tobacco settlement financing trust fund created in § 42-133-9.
(3) Once in each fiscal quarter from each fund the governor may make an interfund transfer. The fund(s) from which money is transferred must be made whole by June 30th in the same fiscal year as the transfer is made.
(4) The interfund transfer may be made notwithstanding the provisions of §§ 28-37-3 and 28-39-4.
History of Section. P.L. 1991, ch. 1, § 1; P.L. 1993, ch. 138, art. 12, § 1; P.L. 2001, ch. 180, § 70; P.L. 2002, ch. 65, art. 8, § 2; P.L. 2009, ch. 5, art. 2, § 1; P.L. 2009, ch. 68, art. 2, § 2; P.L. 2011, ch. 363, § 21.
(a) All department and agency heads and their employees are responsible for ensuring that financial obligations and expenditures for which they have responsibility do not exceed amounts appropriated and are spent in accordance with state laws.
(b) Persons with the authority to obligate the state contractually for goods and services shall be designated in writing by department and agency heads.
(c) In the event of an obligation, encumbrance, or expenditure in excess of amounts appropriated, the department or agency head with oversight responsibility shall make a written determination of the amount and the cause of the overobligation or overexpenditure, the person(s) responsible, and corrective actions taken to prevent reoccurrence. The plan of corrective actions contained within the report shall detail an appropriate plan to include, but not limited to, such issues as the implementation of waiting lists, pro-rata reduction in payments and changes in eligibility criteria as methods to address the shortfall. The report will be filed within thirty (30) days of the discovery of the overobligation or overexpenditure with the budget officer, the controller, the auditor general, and the chairpersons of the house and senate finance committees.
(d) In the event a quarterly report demonstrates an obligation, encumbrance, or expenditure in excess of amounts appropriated, the department or agency head with oversight responsibility shall file monthly budget reports with the chairpersons of the house and senate finance committees for the remainder of the fiscal year. The monthly budget reports shall detail steps taken towards corrective actions and other measures to bring spending in line with appropriations. In addition, the budget officer and controller shall ensure that the department’s or agency’s obligations, encumbrances, and expenditures for the remainder of the fiscal year result in the department or agency ending the fiscal year within amounts appropriated.
(e) The controller shall not authorize payments for additional staff, contracts, or purchases for any department or agency not projected to end a fiscal year within amounts appropriated unless necessitated by immediate health and safety reasons, which shall be documented upon discovery and reported, along with anticipated or actual expenditures, to the chairpersons of the house and senate finance committees within fifteen (15) days.
(f) A state employee who has knowingly and willingly encumbered, obligated, or authorized the expenditure of state funds in excess of amounts appropriated for those purposes or entered into contracts without proper authorization may be placed on disciplinary suspension without pay for up to thirty (30) days in accordance with § 36-4-36.
(g) A state employee who knowingly, willfully, and repeatedly authorizes actions resulting in encumbrances or spending of state funds in excess of amounts appropriated may be fined up to one thousand dollars ($1,000) and/or terminated from employment.
(h) Upon receipt of any budgetary information indicating an obligation, encumbrance, or expenditure in excess of the amounts appropriated, the chairperson of the house or senate finance committee may request a written report to be submitted by the director of administration within ten (10) calendar days. The report shall indicate if the obligation, encumbrance, or expenditure in excess of the amounts appropriated resulted in any disciplinary action or other penalty in accordance with subsection (f) or (g) of this section. If not, the report shall explain why no disciplinary action or other penalty was imposed in accordance with subsection (f) or (g).
History of Section. P.L. 1991, ch. 6, art. 6, § 1; P.L. 2001, ch. 77, art. 19, § 1; P.L. 2019, ch. 88, art. 2, § 5.
(a) Beginning with the fiscal year ending June 30, 1997, the governor shall submit, as part of each budget submitted to the general assembly pursuant to § 35-3-7, performance objectives for each program in the budget for the ensuing fiscal year, estimated performance data for the fiscal year in which the budget is submitted, and actual performance data for the preceding two (2) completed fiscal years. Performance data shall include efforts at achieving equal opportunity hiring goals as defined in the department’s annual affirmative action plan. The governor shall, in addition, recommend appropriate standards against which to measure program performance. Performance in prior years may be used as a standard where appropriate. These performance standards shall be stated in terms of results obtained.
(b) The governor may submit, in lieu of any part of the information required to be submitted pursuant to subsection (a), an explanation of why the information cannot as a practical matter be submitted.
(c)(1) The office of management and budget shall be responsible for managing and collecting program performance measures on behalf of the governor. The office is authorized to conduct performance reviews and audits of agencies to determine the manner and extent to which executive branch agencies achieve intended objectives and outcomes.
(2) In order to collect performance measures from agencies, review performance, and provide recommendations, the office of budget and management is authorized to coordinate with the office of internal audit and program integrity regarding the findings and recommendations that result from audits conducted by the office.
(3) In order to facilitate the office of management and budget’s performance reviews, agencies must generate and provide timely access to records, reports, analyses, audits, reviews, documents, papers, recommendations, contractual deliverables, or other materials available relating to agency programs and operations.
(4) In order to ensure alignment of executive branch agency operations with the state’s priorities, the office of management and budget may produce, with all necessary cooperation from executive branch agencies, analyses and recommendations to improve program performance, conduct evidence-based budgeting, and respond to sudden shifts in policy environments.
(5) In order to gain insight into performance or outcomes and inform policymaking and program evaluation, the office of management and budget may lead, manage, and/or coordinate interagency and cross-system collaboration or integration initiatives.
History of Section. P.L. 1993, ch. 138, art. 80, § 1; P.L. 1996, ch. 100, art. 1, § 16; P.L. 2012, ch. 241, art. 4, § 7; P.L. 2023, ch. 79, art. 3, § 6, effective June 16, 2023; P.L. 2025, ch. 278, art. 3, § 8, effective June 29, 2025.
The appropriations section in each budget bill for any fiscal year shall enumerate for each program and department all restricted receipt account appropriations, all general revenue appropriations, and all federal receipt appropriations, such that total general fund expenditures are listed for each program or agency or department except debt service charges. For this purpose, all debt service charges shall be enumerated as a program within the department of administration.
History of Section. P.L. 1992, ch. 133, art. 105, § 1; P.L. 1998, ch. 31, art. 26, § 1.
All expenditures for information resources and information technologies defined in § 29-8-2 [repealed], regardless of source of financing, shall be in conformance with a plan of expenditures approved by the legislature as part of its annual budget review process.
History of Section. P.L. 1997, ch. 30, art. 1, § 23.
(a) The Rhode Island airport corporation shall pay to the State of Rhode Island the amount of debt service which would otherwise have been paid if the state had not refunded bonds or defeased with the proceeds from the tobacco securitization executed in June 2002 the general obligation bonds issued for airport purposes.
(b) The Narragansett bay water quality management district commission shall pay to the State of Rhode Island the amount of debt service which would otherwise have been paid if the state had not defeased with the proceeds from the tobacco securitization executed in June 2002 the user fee funded guaranteed general obligation bonds.
History of Section. P.L. 2003, ch. 103, art. 5, § 1.
All receipts and revenue of the state shall be credited by the general treasurer to the general fund of the state with the exception of receipts or revenue pertaining to the following funds:
(1) Permanent school fund;
(2) Touro Jewish synagogue fund;
(3) Land-grant fund of 1862;
(4) Veterans’ home fund;
(5) United States cooperative vocational education fund;
(6) United States industrial rehabilitation fund;
(7) Forestry cooperative fund;
(8) State sinking fund;
(9) Fire insurance fund;
(10) Fund for relief of firemen;
(11) Fund for relief of policemen;
(12) Coastal Resources Management Council Dredge Fund;
(13) Funds received from the federal government in accordance with the provisions of parts 1 and 2 of title V of the Social Security Act, 42 U.S.C. § 501 et seq.;
(14) Any other funds that may by federal law or regulation, or by enactment of the general assembly, be allocated to a specific fund, provided, that nothing contained in this section shall amend or modify: § 19-3.1-9, which pertains to securities deposited by trust companies and national banks having trust departments; § 19-5-15, which pertains to credit unions; nor § 27-1-5, which pertains to deposits of securities by insurance companies with the general treasurer; and
(15) Funds received until June 30, 2002, from the northeast dairy compact commission, which was enacted into law in Rhode Island by P.L. 1993, ch. 106, § 2-24-1 et seq. These funds are to be passed from the northeast dairy compact commission through the department of elementary and secondary education to reimburse school districts for school milk that is exempted from the federal over-order price regulation obligation at 7 CFR 1301. These funds are to be placed in a restricted receipt account established within the department of elementary and secondary education separate from all other accounts within the department of elementary and secondary education. All funds deposited in the restricted receipt account established in this section shall be disbursed prior to June 30, 2002.
History of Section. P.L. 1939, ch. 660, § 51; impl. am. P.L. 1949, ch. 2166, § 1; G.L. 1956, § 35-4-1; P.L. 1985, ch. 402, § 4; P.L. 1986, ch. 287, art. 28, § 3; P.L. 2000, ch. 344, § 1; P.L. 2000, ch. 469, § 1; P.L. 2006, ch. 246, art. 36, § 2.
All revenue of the state of whatever character shall be paid into the hands of the general treasurer and credited to the general funds of the state, except in such cases as the general assembly may by law specifically allocate to a special fund; provided, that any moneys appropriated by law for the establishment of a permanent fund for the support of the public schools, in accordance with the provisions of R.I. Const., Art. XII, shall remain a special fund for that purpose.
History of Section. P.L. 1939, ch. 660, § 52; G.L. 1956, § 35-4-2.
[Repealed]
History of Section. P.L. 1939, ch. 660, § 53; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; Repealed by P.L. 1991, ch. 44, art. 28, § 1, effective June 7, 1991.
All moneys due to the state shall be paid to the general treasurer, who shall be responsible for the safekeeping and proper disbursement thereof according to law.
History of Section. G.L. 1896, ch. 33, § 4; G.L. 1909, ch. 43, § 4; G.L. 1923, ch. 44, § 4; G.L. 1938, ch. 24, § 4; G.L. 1956, § 35-4-4.
Sections 35-4-4.1 — 35-4-4.6 shall be known as the “State Linked Deposit Policy”, as it will link the deposit of state funds with bank performance as determined by the rating system utilized by federal regulatory authorities in compliance with the provisions of the federal Community Reinvestment Act (CRA), 12 U.S.C. § 2901 et seq., and the federal Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), 12 U.S.C. § 3331 et seq.
History of Section. P.L. 1992, ch. 175, § 1.
The purpose of §§ 35-4-4.1 — 35-4-4.6 is to increase the availability of capital and banking services in low and moderate income neighborhoods of Rhode Island by using state deposits as an incentive. Sections 35-4-4.1 — 35-4-4.6 uses the federal evaluation of CRA performance in helping the state decide where to deposit its funds.
History of Section. P.L. 1992, ch. 175, § 1.
The state, and its agencies and quasi-public authorities, shall invest or hold funds on deposit, whether temporarily or permanently, only at federally insured and regulated banks that are deemed to be financially sound or in money funds offered by banks directly or through their affiliates or subsidiaries, according to state investment commission rules, regulations, and guidelines and also in full compliance with the federal Community Reinvestment Act (CRA), 12 U.S.C. § 2901 et seq. Initially, full compliance shall mean that the bank has been reviewed at least once by the appropriate federal regulatory authority and has achieved the “outstanding” or “satisfactory” rating for compliance at the time of its latest review. Should a bank’s rating fall below “satisfactory”, the state shall have a reasonable amount of time to withdraw its funds. Preference will be given in the placement of state funds to those banks which have achieved a CRA rating of “outstanding”. A system for determining this preference will be established in writing by the general treasurer after consultation with the state investment commission.
History of Section. P.L. 1992, ch. 175, § 1; P.L. 1993, ch. 416, § 1; P.L. 1994, ch. 207, § 1.
(a) Nothing in §§ 35-4-4.1 — 35-4-4.6 shall be construed as to require the state, or its agencies and instrumentalities, to liquidate existing funds on deposit prior to their maturity date(s) in order to comply with §§ 35-4-4.1 — 35-4-4.6.
(b) Sections 35-4-4.1 — 35-4-4.6 are not applicable with respect to funds on deposit that were received from the proceeds of either bond or note offerings that have received ratings from at least one national credit rating service of at least A-1 or MIG 1 with respect to short-term borrowings or A with respect to long-term borrowings. In determining which financial institutions shall hold these investments, preference shall be given to those financial institutions that have achieved an “outstanding” CRA rating.
History of Section. P.L. 1992, ch. 175, § 1.
The general treasurer shall have the responsibility for monitoring and enforcing the provisions of §§ 35-4-4.1 — 35-4-4.6. Each institution shall be required to file its latest public disclosure of its CRA performance evaluation with the general treasurer by November 30 of each year.
History of Section. P.L. 1992, ch. 175, § 1; P.L. 1993, ch. 416, § 1.
(a) As used in §§ 35-4-4.1 — 35-4-4.6, the following terms shall have the following meanings:
(1) “Community Reinvestment Act (CRA)” shall mean the Community Reinvestment Act as enacted by the federal government as title VIII of the Housing and Community Development Act of 1977, 12 U.S.C. § 2901 et seq., and all subsequent amendments and regulations.
(2) “Banks” shall mean those federally insured and regulated depository institutions which are the recipients or potential recipients of state deposits. State or federally chartered credit unions are not “banks” under §§ 35-4-4.1 — 35-4-4.6.
(3) “Federal regulatory agencies” shall mean the federal reserve board, federal deposit insurance corporation (FDIC), comptroller of the currency, and the office of thrift supervision (OTS).
(4) “Funds on deposit” shall mean those monies which are designated for general operating purposes, including all revenues from taxes, fees and fines, and federal aid; and also, all special purpose funds, restricted receipt accounts, and trust accounts.
(b) Any investments of the state and municipal employees retirement systems shall be exempt from the provisions of §§ 35-4-4.1 — 35-4-4.6.
History of Section. P.L. 1992, ch. 175, § 1; P.L. 1993, ch. 416, § 1.
(a) Any bank otherwise eligible for deposits or investments under this chapter shall make available for public inspection, upon request, the following:
(1) The latest CRA statement;
(2) The most recent CRA public disclosure report by the appropriate regulatory organization(s);
(3) The most recent report under the federal Home Mortgage Disclosure Act, 12 U.S.C. § 2801 et seq.; and
(4) Any documents relating to fair lending audits.
(b) Nothing in this section shall be construed to require a bank to make public any document not otherwise deemed public by applicable state or federal law.
History of Section. P.L. 1993, ch. 416, § 2.
(a) The general treasurer shall deposit or place, subject to his or her order, for the use of the state, all of the funds of the state received by him or her, in such a safe and responsible bank or banks, or trust company or trust companies, within this state having a paid-in capital of not less than one hundred thousand dollars ($100,000), or with any safe and responsible institution within this state whose accounts are insured by any instrumentality of the United States government, as will give the greatest rate of interest therefor, and may, subject to the approval of the state investment commission as provided in chapter 10 of title 35, purchase from time to time, for the investment of surplus funds, state bonds and United States government securities, and with state approval, dispose of bonds and securities when the funds are needed for the general purposes of the state, and all state bonds so purchased shall not become subject to the provisions of § 35-8-2.
(b) The state controller is hereby authorized and directed to draw his or her orders upon the general treasurer for such sums as may from time to time be required for the purchase of bonds and securities upon receipt by him or her of proper vouchers approved by the state investment commission.
History of Section. G.L. 1896, ch. 33, § 5; G.L. 1909, ch. 43, § 5; G.L. 1923, ch. 44, § 5; P.L. 1929, ch. 1409, § 1; P.L. 1938, ch. 2591, § 1; G.L. 1938, ch. 24, § 5; P.L. 1939, ch. 687, § 1; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; P.L. 1951, ch. 2730, § 1; G.L. 1956, § 35-4-5; impl. am. P.L. 1958, ch. 164.
The general treasurer is authorized and empowered, with the approval of the director of administration, to accept on behalf of the state any gift or bequest of personal property, money, securities, or other similar gift or bequest, given to the state absolutely by any state employee, person, or organization; provided, that no acceptance by the state shall make the state in any manner legally or equitably liable to any state employee, person, or organization relative to the care, preservation, or use of the gift, bequest, or property; provided further, that the right shall be reserved by the general treasurer, and/or the director of administration, to refuse any gift or bequest so offered to the state; and provided further, that to the extent any gift or bequest is placed in a restricted receipt account, the gift and any identifiable earnings thereon shall remain in that account in the event any existing and/or future funds in the account are diverted or otherwise transferred or withdrawn to the general fund or used for any other use whatsoever.
History of Section. G.L. 1938, ch. 24, § 5; P.L. 1939, ch. 687, § 1; G.L. 1956, § 35-4-6; P.L. 1989, ch. 126, art. 22, § 1; P.L. 1995, ch. 370, art. 40, § 109; P.L. 1995, ch. 370, art. 44, § 1.
Whenever a gift or bequest is in the form of personal property, securities, or a similar gift or bequest, the general treasurer is authorized and empowered in his or her discretion to sell at public sale that gift or bequest, and the receipts from the sale or sales and all other moneys accepted by the state as a gift or bequest to the state shall be deposited by the general treasurer in the general treasury in the general fund for the use of the state.
History of Section. G.L. 1938, ch. 24, § 5; P.L. 1939, ch. 687, § 1; G.L. 1956, § 35-4-7.
All payments from the state treasury shall be made by checks issued by the general treasurer, and each check shall bear an identification number or letter, or a combination of numbers or letters, and the general treasurer shall keep as a part of the records of his or her office the date of the issuance of each check drawn, the identification number or letter, the amount of the check, the payee to whom it is issued, and the appropriation to which the amount of the check is charged.
History of Section. G.L. 1896, ch. 33, § 9; G.L. 1909, ch. 43, § 9; P.L. 1921, ch. 2038, § 1; G.L. 1923, ch. 44, § 9; P.L. 1928, ch. 1139, § 1; G.L. 1938, ch. 24, § 9; P.L. 1954, ch. 3288, § 1; G.L. 1956, § 35-4-8.
At least once a month the general treasurer shall obtain from each of the several depositories holding funds of the state, an account of the funds carried by him or her with the depository, shall compare the account with the records of his or her office, and shall list all outstanding checks issued by him or her and not returned by a depository as paid. Once annually, on June 30, the general treasurer shall notify all depositories holding funds of the state to stop payment on all checks listed as unpaid during the previous calendar year, and the amount shall be recovered into the general treasury as a miscellaneous receipt.
History of Section. G.L. 1896, ch. 33, § 9; G.L. 1909, ch. 43, § 9; P.L. 1921, ch. 2038, § 1; G.L. 1923, ch. 44, § 9; P.L. 1928, ch. 1139, § 1; G.L. 1938, ch. 24, § 9; P.L. 1954, ch. 3288, § 1; G.L. 1956, § 35-4-9; P.L. 1985, ch. 469, § 1.
Nothing in this title or in any general or public law shall be construed to allow or permit any officer of the state to require any veteran of any war in which the United States was engaged to surrender to the state the whole or any part of his or her service connected disability compensation, nor shall this compensation be deducted from the salary or wages of the veteran.
History of Section. G.L. 1938, ch. 24, § 5; P.L. 1939, ch. 685, § 1; G.L. 1956, § 35-4-10.
State funds, whether appropriations or bond funds, allotted for department of transportation purposes, upon initiation by the budget officer and approved by the director of administration, may be transferred to a special fund called the intermodal surface transportation fund and shall be expended for the specific purposes for which they were made available. All sums received from the federal government for expenditure by the state for highway purposes shall be turned over to the general treasurer and placed in the fund for the specific purpose designated by the United States government. The fund shall be administered by the director of transportation, subject to the same state laws and fiscal procedures as the general funds of the state; and the state controller is hereby authorized and directed to draw his or her orders upon the general treasurer for the payment out of the fund of such sums as may be required, from time to time, upon receipt by him or her of duly authenticated vouchers.
History of Section. P.L. 1968, ch. 263, art. 4, § 1; P.L. 1982, ch. 312, § 1; P.L. 1988, ch. 129, art. 9, § 2; P.L. 1993, ch. 138, art. 30, § 2; P.L. 1995, ch. 370, art. 7, § 2.
(a) There is hereby created a federal reduction relief fund in order to maintain essential state services that would otherwise be diminished or eliminated by reductions in federal funding for these services for any federal fiscal year.
(b) The federal reduction relief fund shall be used for the purposes set forth in §§ 35-4-13 — 35-4-13.4.
(c) In the event that at the close of a fiscal year the balance in the fund is less than ten thousand dollars ($10,000), the balance shall lapse to general fund surplus and shall be made available for future appropriation by the general assembly.
History of Section. P.L. 1985, ch. 181, art. 36, § 1; P.L. 1987, ch. 118, art. 17, § 1; P.L. 1988, ch. 579, § 2; P.L. 1989, ch. 126, art. 23, § 1.
An amount not to exceed seven million dollars ($7,000,000) shall be used to fund state appropriations in order to maintain essential state services that would otherwise be diminished or eliminated by reductions in federal funding for these services for any federal fiscal year.
History of Section. P.L. 1985, ch. 181, art. 36, § 1.
The general assembly may from time to time appropriate monies to the elementary and secondary education excellence fund as set forth in § 16-5-32.
History of Section. P.L. 1987, ch. 118, art. 17, § 2.
The general assembly may from time to time appropriate monies from the fund to the textbook modernization and improvement fund as established in chapter 23 of title 16.
History of Section. P.L. 1987, ch. 118, art. 17, § 2.
The general assembly may from time to time appropriate monies from the fund to the economic development corporation for the expansion of job development activities.
History of Section. P.L. 1987, ch. 118, art. 17, § 2; P.L. 1995, ch. 370, art. 12, § 13.
The general assembly may from time to time appropriate monies from the fund to the office of intergovernmental relations in the executive department for the purpose of establishing housing programs for low or moderate income persons or families.
History of Section. P.L. 1988, ch. 579, § 3.
Monies accruing due to the investment of the federal reduction relief fund shall remain unencumbered and a part of the fund.
History of Section. P.L. 1985, ch. 181, art. 36, § 1.
The general assembly may from time to time appropriate monies to replenish the federal reduction relief fund.
History of Section. P.L. 1985, ch. 181, art. 36, § 1.
If any provision of §§ 35-4-12 — 35-4-16, or the application thereof, shall for any reason be judged invalid, that judgment shall not affect, impair, or invalidate the remainder of the law, but shall be confined in its effect to the provision or application directly involved in the controversy giving rise to the judgment.
History of Section. P.L. 1985, ch. 181, art. 36, § 1.
There is hereby created and established in the state treasury a fund to be known as the “central cancer registry and prevention fund”, to which shall be deposited the revenues derived from the tax imposed in former § 44-20-13.1, repealed in 1986. All money now or hereafter in the central cancer registry and prevention fund are hereby dedicated for the purpose of the establishment of a continuous cancer registry and prevention program. The department of health is charged with the administration of this fund for the purposes specified in this section. The amount of money credited to the central cancer registry and prevention fund shall not exceed four hundred thousand dollars ($400,000) per fiscal year, and any moneys in excess thereof derived from this tax shall be credited to the general fund. All claims against the fund shall be examined, audited, and allowed in the manner now or hereafter provided by law for claims against the state.
History of Section. P.L. 1985, ch. 402, § 5.
There is hereby created and established a program to be known as the “health education, alcohol, and substance abuse prevention program”, which shall be funded annually by the general assembly. All moneys now or hereafter in the health education, alcohol, and substance abuse prevention program are hereby appropriated for the purpose of establishing continuous health education programs dealing primarily in the areas of alcohol and substance abuse for students in grades kindergarten (K) through twelve (12). The department of behavioral healthcare, developmental disabilities and hospitals and the department of elementary and secondary education are charged with administration of the program for the purposes specified in this section. Independent evaluation of the programs in grades kindergarten (K) through twelve (12) shall be made annually. Funds for evaluation shall emanate from the health education, alcohol, and substance abuse appropriations. Claims against the funds shall be examined, audited, and allowed in the manner now or hereafter provided by law.
History of Section. P.L. 1986, ch. 412, § 1; P.L. 1992, ch. 418, § 6; P.L. 1995, ch. 370, art. 14, § 6; P.L. 1995, ch. 370, art. 40, § 178; P.L. 2011, ch. 363, § 22.
[Repealed]
History of Section. P.L. 1989, ch. 126, art. 37, § 1; Repealed by P.L. 1993, ch. 138, art. 5, § 1 effective July 1, 1993.
A contribution of money based upon the annual statewide cost allocation plan, representing the estimated pro rata share of statewide indirect costs paid from the general fund, shall be made from the water development account fund.
History of Section. P.L. 1990, ch. 65, art. 10, § 1; P.L. 1996, ch. 397, § 2.
The enumeration of the money or trust funds set forth in § 35-4-20 shall not prohibit the applicability thereto of § 35-4-20.3 should the director of administration determine that for the reasons mentioned in § 35-4-20.2 the money or trust funds should be exempt, as it is the purpose of this chapter to exempt all trust funds from force and effect of § 35-4-20 where, by the operation of this chapter, federal matching funds or contributions to any trust fund would be lost by the state when contribution is to be made. The deduction hereby required shall be paid into the general fund by the state treasurer semiannually in July and January of each year and when so paid into the general fund shall thereupon become a part of that fund to be accounted for and disbursed as provided by law with respect to the general fund.
History of Section. P.L. 1990, ch. 65, art. 10, § 1.
(a) Should any state fund be the recipient of contributions, either by the matching of state funds or by a general donation to state funds, and the payment of money into the general fund should cause the fund to lose federal assistance, the governor shall certify to the state treasurer that the fund is for that reason exempt from the force and effect of §§ 35-4-20 — 35-4-20.3.
(b) Should it be determined by the director of administration that, by reason of payments already made into the general fund by any fund under this chapter, the fund is subject to the loss of federal assistance, then the governor shall certify to the state treasurer that the fund is exempt from the provisions of §§ 35-4-20 — 35-4-20.3, and the state treasurer shall thereupon refund and pay over to the fund any amount or amounts previously paid into the general fund by that fund.
History of Section. P.L. 1990, ch. 65, art. 10, § 1.
Application for refunds as provided by this section shall be filed with the controller, except as otherwise provided in this section, within three (3) years after the right to a refund shall have accrued, else the right shall be barred. The controller may delegate the authority to accept an application for refund to any state agency vested by law with the responsibility for the collection of any tax, license, or account due. An application for refund shall be on a form approved by the controller and shall be supplemented with any additional proof as the controller deems necessary to establish the claim; provided, that the claim is not otherwise barred under the laws of this state. Upon receipt of an application for refund, the state agency to which the funds were paid shall make a determination of the amount due. If an application for refund is denied, in whole or in part, the state agency shall so notify the applicant, stating the reasons therefor.
History of Section. P.L. 1990, ch. 65, art. 10, § 1.
There is hereby established in the general fund a separate account to be known as the “basic health plan trust account”, to which shall be deposited any surplus revenues which are approved by the governor and general assembly for this purpose. All moneys now or hereafter in the basic health plan trust account are hereby dedicated for the purpose of providing health insurance to the uninsured in this state. The department of health is charged with the administration of this fund to subsidize the purchase of basic health care benefits for low income Rhode Islanders. The amount of money credited to the basic health plan trust account shall not exceed three million dollars ($3,000,000) per fiscal year. All claims against the fund shall be examined, audited, and allowed in the manner now or hereafter provided by law for claims against the state.
History of Section. P.L. 1990, ch. 271, § 2.
(a) There is hereby established a medical debt relief program to be administered by the general treasurer who has the authority to enter into a contract for the purchase, cancellation, and forgiveness of medical debts upon the following conditions:
(1) That the debt was incurred in order to obtain medical services, products, and/or devices;
(2) That the debts are in collection or have been sold or assigned by the original provider; and
(3) That the debt is owed by a citizen of the state whose federal adjusted gross income is four hundred percent (400%) or less than the federal poverty line or whose debt is more than five percent (5%) of the citizen’s adjusted gross income as measured by the prior tax return or the estimated return in the current year.
(b) Any citizen of this state whose debt is discharged, cancelled, or forgiven under this section shall be provided notice of the cancellation of the debt, but shall not have the amount cancelled included in the computation of taxable income for the purpose of state income taxes.
(c) For the purposes of this section, the definition of medical debts shall be liberally construed so as to not reduce the types of debt that may be subject to cancellation so long as they arise from medical transport, evaluation, diagnosis, treatment, and/or rehabilitation.
(d) The general treasurer shall provide quarterly updates on the program to the chairpersons of the house and senate committees on finance beginning January 1, 2025.
(e) The general treasurer may promulgate regulations as necessary to effectuate the provisions of this section.
History of Section. P.L. 2024, ch. 117, art. 2, § 1, effective July 1, 2024.
Pursuant to § 35-3-7, the budget officer shall include all restricted and dedicated revenues received or anticipated by state agencies as a part of the budget request, showing for each budgetary category the amount of nongeneral revenue monies requested or anticipated, and the total anticipated expenditure from all sources for the respective category.
History of Section. P.L. 1991, ch. 44, art. 76, § 3.
(a) No agency shall establish new programs, or expand existing programs, including any program involving nonstate monies, beyond the scope of those already established, recognized, and appropriated for by the general assembly until the program and the availability of money is submitted by the agency to the budget officer for recommendation to the general assembly.
(b) No state agency may make expenditures of any restricted or special revenue funds, whether these monies are received prior to expenditure or as reimbursement, unless these expenditures are made pursuant to specific appropriations of the general assembly.
(c) To the extent permitted by federal law, any federal funds or assistance appropriated, authorized, allocated, or apportioned to the state of Rhode Island shall be subject to appropriation by the general assembly except where otherwise provided in this chapter or chapter 41 of title 42.
History of Section. P.L. 1991, ch. 44, art. 76, § 3; P.L. 2001, ch. 77, art. 19, § 2; P.L. 2021, ch. 162, art. 2, § 5, effective July 6, 2021.
(a) Any restricted or special revenue funds that are received by a state agency that is not otherwise appropriated to that state agency by the annual appropriation acts of the regular session of the general assembly are hereby appropriated for that state agency for the purpose set forth, except that no expenditure shall be made from and no obligation shall be incurred against any restricted receipts or special revenue fund that has not been previously appropriated or reappropriated or approved by the governor, the speaker of the house, and the president of the senate, until that authorization has been transmitted to the state agency to make expenditure therefrom.
(b) State agencies desiring the governor’s approval to expend or obligate receipts not appropriated or reappropriated by the general assembly in the annual appropriation act or supplemental appropriation act shall forward a request to the state budget officer, who shall forward a copy to the speaker of the house and the president of the senate.
(c) Notwithstanding any law to the contrary, the budget officer is hereby authorized to create restricted receipt accounts within the budget of any state agency to account for the receipt and expenditure of a multistate settlement administered by the office of the attorney general. Expenditures from these accounts shall remain subject to the provisions of §§ 35-4-22, 35-4-22.1, 35-4-22.2, and 35-4-27.
(d) Upon the directive of the controller, with the consent of the auditor general, the budget officer is hereby authorized to convert any escrow liability accounts that were established before July 1, 2021, to a restricted receipt account.
History of Section. P.L. 1991, ch. 44, art. 76, § 3; P.L. 2001, ch. 180, § 71; P.L. 2021, ch. 162, art. 2, § 5, effective July 6, 2021.
(a) Dedicated receipts and special revenue funds received by “self supporting” or “proprietary” state agencies that derive all their financing from sources other than the general fund are exempt from the provisions of §§ 35-4-22.1 and 35-4-22.2. Colleges and universities under the control of the board of governors for higher education are also exempt from these provisions.
(b) Whenever in carrying out any specific project or service the cost of which is to be paid by restricted or dedicated revenues, it is necessary for the state to make payment in the first instance subject to reimbursement in full by the monies to be received, the state controller and the general treasurer are hereby authorized to make payments upon the receipt of duly authenticated vouchers, provided payments are authorized by the appropriation, reappropriation, or approvals specified in § 35-4-22.2 by the governor, speaker of the house, and president of the senate.
History of Section. P.L. 1991, ch. 44, art. 76, § 3; P.L. 2001, ch. 180, § 71.
From the proceeds of any receipts transferred pursuant to the provisions of the Rhode Island Constitution, the state controller is authorized to create an account or accounts within the bond capital fund. These accounts shall be used to record expenditures from these receipts, which are authorized to be spent with the approval of the governor. Certain of these funds may be allocated to agencies for the purpose of completing preliminary planning studies for proposed projects. In the event the project is completed with funds appropriated from another source, the preliminary planning funds shall be returned to the bond capital fund and shall be placed in a revolving account for future reallocation. The intended use of the Rhode Island capital plan funds shall be determined through the annual capital and operating budget process.
History of Section. P.L. 1993, ch. 138, art. 2, § 6; P.L. 1994, ch. 70, art. 2, § 7; P.L. 1999, ch. 31, art. 21, § 1.
All state agencies shall apply for recovery of indirect costs when recovery is permissible under federal statute and grant regulations. All funds received for indirect costs recovery shall be turned over to the general treasurer and shall be placed in a restricted account in each agency for the specific purposes designated through the annual budget process. The agency shall, through the annual budget process, report to the general assembly the estimated amount of federal indirect cost recoveries for the next fiscal year, together with the intended use of the funds. Nothing contained in this section, however, shall conflict with the powers and duties granted the council on postsecondary education and the council on elementary and secondary education in chapters 59 and 60 of title 16, and the board of trustees for the university of Rhode Island as provided in chapter 32 of title 16.
History of Section. P.L. 1993, ch. 138, art. 5, § 2; P.L. 2019, ch. 88, art. 9, § 11.
(a) State agencies which receive funds from wards of the state for the purposes of maintaining these funds in trust while the person is in the care of the state shall deposit these funds in the general fund.
(b) All funds received from patients, wards, inmates, or residents on a custodial or trust basis shall be turned over to the general treasurer and shall be placed in a custodial account within the general fund. The general treasurer will provide the agency with an estimate of earnings on these funds while held in the general fund, and the state controller shall transfer these earnings to the trust account. It will be the responsibility of the agency to determine the allocation of these earnings. The state controller, upon receipt by him or her of properly authenticated vouchers, is authorized to draw from time to time his or her orders upon the general treasurer for payment from these custodial accounts and the general treasurer is authorized and directed to make payments from these accounts upon receipt of the orders.
History of Section. P.L. 1993, ch. 138, art. 5, § 2.
State agencies which operate business-like enterprises at the state institutions shall maintain the funds attributable to these operations in accounts within the general fund. All funds received by the department of corrections, the department of behavioral healthcare, developmental disabilities and hospitals, and the department of children, youth, and families from these operations shall be deposited as general revenues. The agency shall, through the annual budget process, report to the general assembly the estimated amount for the next fiscal year, together with the intended use of the funds. Nothing contained in this section, however, shall conflict with the powers and duties granted the board of governors for higher education and the board of regents for elementary and secondary education in chapters 59 and 60 of title 16.
History of Section. P.L. 1993, ch. 138, art. 5, § 2; P.L. 1995, ch. 370, art. 40, § 109; P.L. 2011, ch. 363, § 22.
All funds received from store or vending machine profits, private donations which are not directed to other accounts, and investment earnings, excluding those earned in resident trust accounts, shall be deposited as general revenues. The agency shall, through the annual budget process, report to the general assembly the estimated amount for the next fiscal year, together with the intended use of the funds.
History of Section. P.L. 1993, ch. 138, art. 5, § 2; P.L. 1995, ch. 370, art. 40, § 109.
Indirect cost recoveries of fifteen percent (15%) of cash receipts shall be transferred from all restricted receipt accounts, to be recorded as general revenues in the general fund. However, there shall be no transfer from cash receipts with restrictions received exclusively: (1) From contributions from nonprofit charitable organizations; (2) From the assessment of indirect cost-recovery rates on federal grant funds; or (3) Through transfers from state agencies to the department of administration for the payment of debt service. These indirect cost recoveries shall be applied to all accounts, unless prohibited by federal law or regulation, court order, or court settlement. The following restricted receipt accounts shall not be subject to the provisions of this section:
Executive Office of Health and Human Services
HIV Care Grant Drug Rebates
Health System Transformation Project
Rhode Island Statewide Opioid Abatement Account
HCBS Support-ARPA
HCBS Admin Support-ARPA
Department of Human Services
Organ Transplant Fund
Veterans’ home — Restricted account
Veterans’ home — Resident benefits
Pharmaceutical Rebates Account
Demand Side Management Grants
Veteran’s Cemetery Memorial Fund
Donations — New Veterans’ Home Construction
Commodity Supplemental Food Program-Claims
Department of Health
Pandemic medications and equipment account
Miscellaneous Donations/Grants from Non-Profits
State Loan Repayment Match
Healthcare Information Technology
Department of Behavioral Healthcare, Developmental Disabilities and Hospitals
Eleanor Slater non-Medicaid third-party payor account
Hospital Medicare Part D Receipts
RICLAS Group Home Operations
Group Home Facility Improvement Fund
Commission on the Deaf and Hard of Hearing
Emergency and public communication access account
Department of Environmental Management
National heritage revolving fund
Environmental response fund II
Underground storage tanks registration fees
De Coppet Estate Fund
Rhode Island Historical Preservation and Heritage Commission
Historic preservation revolving loan fund
Historic Preservation loan fund — Interest revenue
Department of Public Safety
E-911 Uniform Emergency Telephone System
Forfeited property — Retained
Forfeitures — Federal
Forfeited property — Gambling
Donation — Polygraph and Law Enforcement Training
Rhode Island State Firefighter’s League Training Account
Fire Academy Training Fees Account
Attorney General
Forfeiture of property
Federal forfeitures
Attorney General multi-state account
Forfeited property — Gambling
Department of Administration
Health Insurance Market Integrity Fund
RI Health Benefits Exchange
Information Technology restricted receipt account
Restore and replacement — Insurance coverage
Convention Center Authority rental payments
Investment Receipts — TANS
OPEB System Restricted Receipt Account
Grants Management Administration
Office of Energy Resources
OER Reconciliation Funding
RGGI Executive Climate Change Coordinating Council Projects
Electric Vehicle Charging Stations Operating and Maintenance Account
Clean Transportation Programs
Department of Housing
Housing Resources and Homelessness Restricted Receipt Account
Housing Production Fund
Low-Income Housing Tax Credit Fund
Department of Revenue
Car Rental Tax/Surcharge-Warwick Share
DMV Modernization Project
Jobs Tax Credit Redemption Fund
Legislature
Audit of federal assisted programs
Department of Children, Youth and Families
Children’s Trust Accounts — SSI
Military Staff
RI Military Family Relief Fund
RI National Guard Counterdrug Program
Treasury
Admin. Expenses — State Retirement System
Retirement — Treasury Investment Options
Defined Contribution — Administration - RR
Violent Crimes Compensation — Refunds
Treasury Research Fellowship
Business Regulation
Banking Division Reimbursement Account
Office of the Health Insurance Commissioner Reimbursement Account
Securities Division Reimbursement Account
Commercial Licensing and Racing and Athletics Division Reimbursement Account
Insurance Division Reimbursement Account
Historic Preservation Tax Credit Account
Rhode Island Cannabis Control Commission
Marijuana Trust Fund
Social Equity Assistance Fund
Judiciary
Arbitration Fund Restricted Receipt Account
Third-Party Grants
RI Judiciary Technology Surcharge Account
Department of Elementary and Secondary Education
Statewide Student Transportation Services Account
School for the Deaf Fee-for-Service Account
School for the Deaf — School Breakfast and Lunch Program
Davies Career and Technical School Local Education Aid Account
Davies — National School Breakfast & Lunch Program
School Construction Services
Office of the Postsecondary Commissioner
Tuition Savings Program Fund
Higher Education and Industry Center
IGT STEM Scholarships
Department of Labor and Training
Job Development Fund
Contractor Training Restricted Receipt Account
Workers’ Compensation Administrative Account
Rhode Island Council on the Arts
Governors’ Portrait Donation Fund
Statewide records management system account
History of Section. P.L. 1993, ch. 138, art. 69, § 1; P.L. 1994, ch. 433, § 1; P.L. 1997, ch. 30, art. 1, § 20; P.L. 2003, ch. 376, art. 39, § 2; P.L. 2005, ch. 117, art. 22, § 2; P.L. 2006, ch. 236, § 3; P.L. 2006, ch. 237, § 3; P.L. 2006, ch. 246, art. 11, § 1; P.L. 2007, ch. 73, art. 10, § 6; P.L. 2008, ch. 100, art. 28, § 3; P.L. 2009, ch. 68, art. 10, § 2; P.L. 2010, ch. 23, art. 8, § 1; P.L. 2011, ch. 151, art. 10, § 7; P.L. 2012, ch. 241, art. 14, § 1; P.L. 2013, ch. 144, art. 16, § 1; P.L. 2014, ch. 145, art. 3, § 1; P.L. 2014, ch. 177, § 1; P.L. 2014, ch. 191, § 1; P.L. 2015, ch. 141, art. 13, § 1; P.L. 2016, ch. 142, art. 12, § 3; P.L. 2017, ch. 302, art. 7, § 2; P.L. 2018, ch. 47, art. 2, § 3; P.L. 2019, ch. 88, art. 2, § 6; P.L. 2021, ch. 162, art. 2, § 5, effective July 6, 2021; P.L. 2021, ch. 304, § 2, effective July 9, 2021; P.L. 2021, ch. 305, § 2, effective July 9, 2021; P.L. 2022, ch. 231, art. 2, § 5, effective July 1, 2022; P.L. 2023, ch. 79, art. 2, § 3, effective June 16, 2023; P.L. 2024, ch. 117, art. 2, § 2, effective July 1, 2024; P.L. 2024, ch. 290, § 3, effective January 1, 2025; P.L. 2024, ch. 291, § 3, effective January 1, 2025; P.L. 2025, ch. 278, art. 2, § 4, effective June 29, 2025.
Notwithstanding any law to the contrary, in each fiscal year, the following restricted receipt accounts will be converted to general revenue accounts:
(1) Alcohol — Highway safety;
(2) Highway safety program;
(3) Court improvement project fund;
(4) Criminal justice information system;
(5) Court improvement fund — ACIS;
(6) Appeal fee administrative adj;
(7) Ct improv proj fund electronic data storage;
(8) Admin adjudication court — DWI;
(9) Substance abuse — Prevention — AAC admin;
(10) DWI retraining; and
(11) Collection agency AAC.
History of Section. P.L. 1994, ch. 70, art. 35, § 1.
The director of administration may establish in any state department or agency a system of rotary or rotating funds for petty cash payments and for the purpose of paying such accounts as may in the judgment of the director be desirable. The director may make rules and regulations, not inconsistent with law, to more effectually provide for the operation of rotary or rotating funds, and may change any rules and regulations from time to time when in the opinion of the director it is necessary or advisable.
History of Section. P.L. 1927, ch. 981, § 1; G.L. 1938, ch. 7, § 45; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-5-1; P.L. 1988, ch. 129, art. 9, § 3.
Any state department or agency, with the approval of the director, may appoint one or more disbursing officers who shall have the custody and full charge of, and be responsible for the proper disposition of, funds. Every disbursing officer so appointed shall furnish bonds running to the state for such a sum and with such sureties as may be approved by the general treasurer, and all bonds shall be deposited with the general treasurer.
History of Section. P.L. 1927, ch. 981, § 2; G.L. 1938, ch. 7, § 46; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-5-2.
For the purpose of providing from time to time moneys for the establishment of rotary funds, a sum sufficient is hereby appropriated out of any money in the treasury not otherwise appropriated, and the proper officer of any state department or agency may present a voucher to the director of administration payable to the disbursing officer for such sum as may be necessary, and, when approved by the director, the state controller shall draw his or her order upon the general treasurer for the payment of such sums as may be from time to time required, and the sums shall be charged to the state department or agency presenting the voucher.
History of Section. P.L. 1927, ch. 981, § 3; G.L. 1938, ch. 7, § 47; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-5-3.
All moneys deposited in any bank or trust company as rotary or rotating funds by any disbursing officer shall be held as the property of the state subject to the order of the disbursing officer depositing the money, and shall also be subject to the order of and shall be withdrawn by the general treasurer at any time upon request of the director of administration; and when so withdrawn the moneys shall be credited to the appropriation to which the moneys were originally charged.
History of Section. P.L. 1927, ch. 981, § 4; G.L. 1938, ch. 7, § 48; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-5-4.
Every disbursing officer shall at the end of each month render to the state controller a statement, in the form prescribed by the controller, together with duly authenticated vouchers, covering expenditures from the funds for each month, and when approved by the state controller, the disbursing officer shall draw his or her orders upon the general treasurer for the amount necessary to reimburse each fund.
History of Section. P.L. 1927, ch. 981, § 5; G.L. 1938, ch. 7, § 49; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-5-5.
When authorized by any state department or agency approved by the director of administration, any disbursing officer shall also have charge of the payment of salaries and wages of officers and employees of the department or agency, and the state controller is authorized and directed to draw his or her orders upon the general treasurer for the payment of such sums as may from time to time be required, within the amounts appropriated therefor, upon receipt by him or her of payrolls properly attested, accompanied by orders approved in a manner satisfactory to the controller.
History of Section. P.L. 1927, ch. 981, § 6; G.L. 1938, ch. 7, § 50; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-5-6.
Whenever the director of administration shall so request in writing, any disbursing officer shall turn over to the general treasurer any balance remaining in his or her custody or subject to his or her order, accounting at the same time to the controller for the full amount of the rotary fund given originally into his or her custody, and the general treasurer shall credit the balances, when so turned over, to the appropriation to which the rotary fund was originally charged.
History of Section. P.L. 1927, ch. 981, § 7; G.L. 1938, ch. 7, § 51; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-5-7.
Notwithstanding the provisions of § 35-5-5, any rotary or rotating fund established for the general store at the state institutions at Cranston, under the control of the department of corrections, shall consist of, in addition to such sums as may be provided by appropriation for that purpose, the receipts and reimbursements accruing to the fund, and the inventory value at cost of goods, wares, and merchandise on hand in the general store. Any state department or agency receiving or drawing goods, wares, or merchandise from the general store, or receiving benefits therefrom, shall reimburse the rotary fund for the cost. The reimbursement of the rotary fund shall be made by each department or agency at the close of each calendar month by approving and forwarding to the state controller in the manner provided by law vouchers payable to the order of the general store rotary fund. The state controller shall charge the vouchers to the proper appropriation for the operation and maintenance of the department or agency.
History of Section. P.L. 1927, ch. 981, § 8; G.L. 1938, ch. 7, § 52; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-5-8.
The term “general store”, as used in this chapter, shall be deemed to include the general store, drug store, and bakery at the state institutions in Cranston under the control of the department of corrections.
History of Section. P.L. 1927, ch. 981, § 11; G.L. 1938, ch. 7, § 54; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-5-9.
Notwithstanding the provisions of § 35-5-5, any rotary or rotating fund established for centralized services under the control of the department of administration, including information technology, capital asset management and maintenance and human resources, shall consist of, in addition to such sums as may be provided by appropriation for that purpose, the receipts and reimbursements accruing to the fund. Any state department or agency receiving or drawing services, goods, wares, or merchandise from these programs, or receiving benefits therefrom, shall reimburse the rotary fund for the cost. The reimbursement of the rotary fund shall be made by each department or agency at the close of each calendar month through a process established by the state controller to the order of the respective rotary fund. The state controller shall charge payments to the proper appropriation for the operation and maintenance of the benefitting department or agency. On or before October 15, 2017, and quarterly thereafter, the director of the department of administration shall provide a report to the speaker of the house and senate president, with copies to the chairpersons of the house and senate finance committees, detailing the fund activity for the previous quarter, including a breakdown of the fund activity of each department or agency.
History of Section. P.L. 2017, ch. 302, art. 7, § 10.
(a) Within the department of administration there shall be a controller who shall be appointed by the director of administration pursuant to chapter 4 of title 36. The controller shall be responsible for accounting and expenditure control and shall be required to:
(1) Administer a comprehensive accounting and recording system that will classify the transactions of the state departments and agencies in accordance with the budget plan;
(2) Maintain control accounts for all supplies, materials, and equipment for all departments and agencies except as otherwise provided by law;
(3) Prescribe a financial, accounting, and cost accounting system for state departments and agencies;
(4) Identify federal grant-funding opportunities to support the governor’s and general assembly’s major policy initiatives and provide technical assistance with the application process and post-award grants management;
(5) Manage federal fiscal proposals and guidelines and serve as the state clearinghouse for the application of federal grants;
(6) Pre-audit all state receipts and expenditures;
(7) Prepare financial statements required by the several departments and agencies, by the governor, or by the general assembly;
(8) Approve the orders drawn on the general treasurer; provided, that the pre-audit of all expenditures under authority of the legislative department and the judicial department by the state controller shall be purely ministerial, concerned only with the legality of the expenditure and availability of the funds, and in no event shall the state controller interpose his or her judgment regarding the wisdom or expediency of any item or items of expenditure;
(9) Prepare and timely file, on behalf of the state, any and all reports required by the United States, including, but not limited to, the Internal Revenue Service, or required by any department or agency of the state, with respect to the state payroll; and
(10) Prepare a preliminary closing statement for each fiscal year. The controller shall forward the statement to the chairpersons of the house finance committee and the senate finance committee, with copies to the house fiscal advisor and the senate fiscal and policy advisor, by September 1 following the fiscal year ending the prior June 30 or thirty (30) days after enactment of the appropriations act, whichever is later. The report shall include but is not limited to:
(i) A report of all revenues received by the state in the completed fiscal year, together with the estimates adopted for that year as contained in the final enacted budget, and together with all deviations between estimated revenues and actual collections. The report shall also include cash collections and accrual adjustments;
(ii) A comparison of actual expenditures with each of the actual appropriations, including supplemental appropriations and other adjustments provided for in the Rhode Island general laws;
(iii) A statement of the opening and closing surplus in the general revenue account; and
(iv) A statement of the opening surplus, activity, and closing surplus in the state budget reserve and cash stabilization account and the state bond capital fund.
(b) The controller shall provide supporting information on revenues, expenditures, capital projects, and debt service upon request of the house finance committee chairperson, senate finance committee chairperson, house fiscal advisor, or senate fiscal and policy advisor.
(c) Upon issuance of the audited annual financial statement, the controller shall provide a report of the differences between the preliminary financial report and the final report as contained in the audited annual financial statement.
(d) The controller shall create a special fund not part of the general fund and shall deposit amounts equivalent to all deferred contributions under this act into that fund. Any amounts remaining in the fund on June 15, 2010, shall be transferred to the general treasurer who shall transfer such amounts into the retirement system as appropriate.
(e) Upon issuance of the audited financial statement, the controller shall transfer fifty percent (50%) of all general revenues received in the completed fiscal year net of transfer to the state budget reserve and cash stabilization account as required by § 35-3-20 in excess of those estimates adopted for that year as contained in the final enacted budget to the employees’ retirement system of the state of Rhode Island as defined in § 36-8-2 and fifty percent (50%) to the supplemental state budget reserve account as defined in § 35-3-20.2, except that excess revenues from fiscal years 2023 and 2024 shall not be transferred to the supplemental state budget reserve account.
(f) The controller shall implement a direct deposit payroll system for state employees.
(1) There shall be no service charge of any type paid by the state employee at any time which shall decrease the net amount of the employee’s salary deposited to the financial institution of the personal choice of the employee as a result of the use of direct deposit.
(2) Employees hired after September 30, 2014, shall participate in the direct deposit system. At the time the employee is hired, the employee shall identify a financial institution that will serve as a personal depository agent for the employee.
(3) No later than June 30, 2016, each employee hired before September 30, 2014, who is not a participant in the direct deposit system, shall identify a financial institution that will serve as a personal depository agent for the employee.
(4) The controller shall promulgate rules and regulations as necessary for implementation and administration of the direct deposit system, which shall include limited exceptions to required participation.
(g) The controller shall oversee the office of risk management (§ 37-11-1 et seq.)
History of Section. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; impl. am. P.L. 1952, ch. 2975, § 14; G.L. 1956, § 35-6-1; P.L. 1968, ch. 99, § 2; P.L. 1986, ch. 287, art. 23, § 1; P.L. 1990, ch. 247, § 1; P.L. 1996, ch. 100, art. 10, § 6; P.L. 2004, ch. 595, art. 45, § 6; P.L. 2007, ch. 73, art. 8, § 2; P.L. 2009, ch. 5, art. 10, § 6; P.L. 2009, ch. 68, art. 7, § 12; P.L. 2010, ch. 9, § 5; P.L. 2010, ch. 10, § 5; P.L. 2014, ch. 145, art. 9, § 1; P.L. 2015, ch. 141, art. 13, § 2; P.L. 2019, ch. 88, art. 4, § 10; P.L. 2023, ch. 79, art. 2, § 4, effective June 16, 2023; P.L. 2024, ch. 158, § 3, effective June 24, 2024; P.L. 2024, ch. 159, § 3, effective June 24, 2024; P.L. 2025, ch. 278, art. 2, § 5, effective June 29, 2025.
The department of administration is authorized and directed to establish a uniform system of accounting for all state departments and agencies and to require all accounts of the departments and agencies to be kept in accordance therewith; provided, that in any case in which the uniform system of accounting is not practicable, the controller shall determine the manner in which the accounts shall be kept.
History of Section. P.L. 1935, ch. 2187, § 4; G.L. 1938, ch. 7, § 37; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-2.
For the purpose of securing uniform accounting the department of administration shall make such a survey of the operation of any department as the controller shall deem necessary and report thereon to the governor with his or her recommendations.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 37; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-3.
(a) If any state department or agency fails to install and maintain the uniform system of accounting, or to keep its accounts and interdepartmental records, or refuses or neglects to make the reports and to furnish the information in accordance with the method prescribed by the department of administration, or hinders or prevents the examination of accounts and financial records, or hinders or prevents the visits and inspections provided for in this chapter, the department may make a report to the governor in writing, specifying the nature and extent of the failure, refusal, neglect, hindrance, or prevention, and the governor is hereby authorized and directed to review the matter so reported. If the governor shall find that failure, refusal, neglect, hindrance, or prevention exists and that the state department or agency should properly comply in the matter so reported, the governor shall direct the state department or agency, in writing, to so comply. If the failure, refusal, neglect, hindrance, or prevention shall continue for a period of ten (10) days following the written direction, the governor shall notify the controller that he or she shall not, and the controller shall not, draw any order upon the general treasurer for the payment of the salary of any executive officer of the state department or agency until the prohibition is removed.
(b) Upon compliance with the provisions of this section by any state department or agency which has failed, refused, neglected, hindered, or prevented compliance, the department of administration shall forthwith notify the governor of compliance and the governor shall notify the controller that the prohibition of the payment of salary is removed, and the controller shall thereupon proceed to draw his or her orders on the general treasurer for the salary of the officer in accordance with law.
History of Section. P.L. 1935, ch. 2187, § 10; G.L. 1938, ch. 7, § 37; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-4.
The state controller shall install and maintain a modern accounting system, concentrating in his or her office all major accounting and statistical information in connection therewith. At the end of each month, his or her division shall prepare detailed statements of receipts and disbursements in comparison with monthly estimates and allotments of appropriations, furnishing each department with copies of statements covering its operations for the preceding month, as well as estimates and allotments for the ensuing period.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 37; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-5.
The department of administration shall furnish the clerk of the supreme court and the several clerks of the superior court, and of the district courts, and other officers required by this chapter to account to it, with such forms of accounts and returns as it shall think proper and convenient; and the clerks, justices, and other officers shall make return to the department according to law, agreeably on forms prescribed by it.
History of Section. G.L. 1896, ch. 34, § 35; C.P.A. 1905, § 1096; G.L. 1909, ch. 44, § 36; G.L. 1923, ch. 45, § 36; G.L. 1938, ch. 7, § 38; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-6.
Every clerk, officer, or other person who shall neglect or refuse to account to the department of administration as required by § 35-6-6, or shall neglect or refuse to pay into the state treasury any money belonging to the state, at the time when the money ought to be paid, shall forfeit thrice the amount of the money so withheld or not paid, to be recovered in an action of debt, in the name of the general treasurer, for the use of the state.
History of Section. G.L. 1896, ch. 34, § 36; G.L. 1909, ch. 44, § 37; G.L. 1923, ch. 45, § 37; G.L. 1938, ch. 7, § 39; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-7.
All orders for the payment of money out of the general treasury shall be drawn by the state controller. All officers authorized to draw orders upon the general treasurer shall present the orders, together with vouchers supporting the orders, to the state controller, who shall retain the orders, so drawn, as permanent records of his or her office.
History of Section. G.L. 1896, ch. 34, § 12; G.L. 1909, ch. 44, § 13; G.L. 1923, ch. 45, § 13; G.L. 1923, ch. 45, § 3; P.L. 1930, ch. 1519, § 2; G.L. 1938, ch. 7, § 5; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-8.
The state controller is authorized and empowered to draw orders upon the general treasurer upon the receipt of duly authenticated vouchers covering all expenditures of the state government. The state controller shall audit all vouchers before payment, shall audit all official accounts, and shall audit the accrual and collection of all revenues and receipts, and prescribe such methods of accounting as are necessary for the performance of these duties. The state controller shall establish methods of approving vouchers so that the vouchers shall be duly authenticated.
History of Section. P.L. 1935, ch. 2250, § 12; G.L. 1938, ch. 7, § 6; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-9.
The controller shall open an account with each appropriation made by the general assembly, in which he or she shall credit the object for which the appropriation shall be made with the amount appropriated, and shall charge the several orders drawn against the same.
History of Section. G.L. 1896, ch. 34, § 4; G.L. 1909, ch. 44, § 4; G.L. 1923, ch. 45, § 4; G.L. 1938, ch. 7, § 7; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-10.
The controller shall examine, adjust, and determine all accounts and claims against the state, for the payment of which provision shall have been made by law, and by appropriations made therefor, and shall certify to the general treasurer the amount due and allowed by him or her on every account or claim, the head of expenditures to which the same is to be charged, and the law authorizing the payment thereof, and the law making appropriation therefor; and all accounts so certified shall, for each year, be regularly recorded by the state controller.
History of Section. G.L. 1896, ch. 34, § 5; G.L. 1909, ch. 44, § 5; G.L. 1923, ch. 45, § 5; G.L. 1938, ch. 7, § 8; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-11.
Whenever any claim or account shall be disallowed by the state controller, he or she shall state upon or annex to the account or claim his or her reasons for disallowing the claim or account, and shall also keep a record thereof, or at least of the date, the amount, the name of the person presenting it, the nature or purport of the claim or account, and his or her reasons for disallowing it.
History of Section. G.L. 1896, ch. 34, § 6; G.L. 1909, ch. 44, § 6; G.L. 1923, ch. 45, § 6; G.L. 1938, ch. 7, § 9; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-12.
Every account allowed by the supreme court, superior court, family court, workers’ compensation court, district court, or traffic tribunal, and every certificate allowed for any attendance in these courts in cases provided by law, and every account or bill of costs, with the items thereof, allowed by these courts, shall, be transmitted daily by the clerks of the courts, respectively, to the supreme court director of finance in accordance with § 8-15-9; and the account, certificate, or bill of costs shall state the name of the person to whom the allowances have been made, the amount thereof, and for what the allowance has been allowed.
History of Section. G.L. 1896, ch. 34, § 7; C.P.A. 1905, § 1090; G.L. 1909, ch. 44, § 7; G.L. 1923, ch. 45, § 7; G.L. 1938, ch. 7, § 10; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-13; P.L. 2015, ch. 254, § 1; P.L. 2015, ch. 269, § 1.
The state controller, based upon a statement exhibited to him or her by the jury commissioner to the supreme court director of finance, may draw an order on the general treasurer in favor of the jury commissioner for a sum certain to pay the jurors for their travel and attendance at any session thereof in any of the state courts that may require juries, which sum shall be accounted for by the jury commissioner at the time of transmitting to the supreme court director of finance the accounts named in § 35-6-13.
History of Section. G.L. 1896, ch. 34, § 8; C.P.A. 1905, § 1216; G.L. 1909, ch. 44, § 8; G.L. 1923, ch. 45, § 8; G.L. 1938, ch. 7, § 11; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-14; P.L. 1982, ch. 131, § 1; P.L. 2015, ch. 254, § 1; P.L. 2015, ch. 269, § 1.
The secretary of state and the clerks of the house of representatives shall, every thirty (30) days during each session of the general assembly and at the close of each session of the general assembly, severally prepare statements of the amounts to which the members of their respective houses are entitled for their pay and mileage, and shall transmit the statements to the state controller, who shall draw orders on the general treasurer for the payment thereof, in favor of each member.
History of Section. G.L. 1896, ch. 34, § 9; G.L. 1909, ch. 44, § 9; P.L. 1914, ch. 1019, § 1; G.L. 1923, ch. 45, § 9; G.L. 1938, ch. 7, § 12; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-15.
Whenever the general assembly shall make any appropriation for the erection or repair of any public building, or any armory of any military company, or any appropriation for any specified work to be done and performed, the state controller shall require satisfactory proof that the work specified in the appropriation has been faithfully done, according to the terms of the appropriation, before the money appropriated for the purpose shall be drawn from the state treasury; or, if the appropriation contemplates that portions of the money appropriated shall be drawn as the work progresses, the money shall be drawn only in proportion to the amount of the work done, or advanced upon such security as the state controller may require shall be applied to the work.
History of Section. G.L. 1896, ch. 34, § 10; G.L. 1909, ch. 44, § 10; G.L. 1923, ch. 45, § 10; G.L. 1938, ch. 7, § 13; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-16.
All appropriations of a private nature made by the general assembly shall be payable on the check of the general treasurer, out of any funds in the treasury not otherwise appropriated, on the order of the state controller, and be charged to the account or accounts allowed by the general assembly.
History of Section. G.L. 1896, ch. 34, § 11; G.L. 1909, ch. 44, § 11; G.L. 1923, ch. 45, § 11; G.L. 1938, ch. 7, § 14; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-17.
The state controller is authorized and empowered to make and keep, upon a book prepared for that purpose, a detailed statement or record of all checks signed by the general treasurer of the state, which may be payable on account of any appropriation made by the general assembly, which have for any reason remained unpaid for one year or more from the date that the checks were signed; and the state controller is further authorized and empowered, at the close of each fiscal year, after having made this record, to stamp all the checks in the behalf of the state, as uncalled for, and certify them to the general treasurer, who shall transfer the amount of the checks from the account of the appropriations to the general fund of the state.
History of Section. P.L. 1898, ch. 537 § 1; G.L. 1909, ch. 44, § 12; G.L. 1923, ch. 45, § 12; G.L. 1938, ch. 7, § 15; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-18.
The state controller shall keep a record of all orders drawn by him or her for the payment of money out of the state treasury, which record shall show, as to each order, the date issued, the identification number thereof, the name of the person in whose favor drawn, the amount, and the appropriation chargeable with the same. The state controller shall keep, as part of the records of his or her office, a numerical file, in order of payment, and by years, of all vouchers received by him or her, in support of payments required to be made from the state treasury, and shall retain the same for a period of ten (10) years from the date of payment. The state controller is authorized and empowered to destroy all vouchers that have been retained for a period of ten (10) years or more, by burning them, provided that he or she shall first permit the state librarian to remove any vouchers having historical value for preservation in the state archives.
History of Section. G.L. 1896, ch. 34 § 3; G.L. 1909, ch. 44, § 3; G.L. 1923, ch. 45, § 3; G.L. 1923, ch. 45, § 13; P.L. 1930, ch. 1519, § 2; G.L. 1938, ch. 7, § 16; impl. am. P.L. 1939, ch. 660, § 16; G.L. 1956, § 35-6-19.
The department of administration shall examine and audit all accounts between the state and clerks of courts, sheriffs, jailers, town councils, town treasurers, and licensed persons from whom an account is by law required, and all other persons indebted to the state, or who may receive money belonging to the state; and, for the purpose of making the audits, it may require the production of such documentary and other evidence by the accounting party as it shall think proper.
History of Section. G.L. 1896, ch. 34, §§ 13, 14; G.L. 1909, ch. 44, §§ 14, 15; G.L. 1923, ch. 45, §§ 14, 15; G.L. 1938, ch. 7, § 17; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-20.
[Repealed]
[Repealed]
History of Section. G.L. 1896, ch. 34, § 16; C.P.A. 1905, § 1092; G.L. 1909, ch. 44, § 17; G.L. 1923, ch. 45, § 17; G.L. 1938, ch. 7, § 19; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956; § 35-6-22; P.L. 2012, ch. 324, § 70; Repealed by P.L. 2015, ch. 254, § 2, effective July 15, 2015; P.L. 2015, ch. 269, § 2, effective July 15, 2015.
Whenever any witness shall have been discharged from further attendance at the superior court at a session in any case, in pursuance of any summons issued in behalf of the state, the deputy sheriff shall forthwith obtain the proper certificate of the travel and attendance of the witness in one of the books, shall pay him or her the amount so certified to be due, from the funds provided for, shall cause the witness to receipt therefor in the book, all under the proper title of the case in which the witness shall be summoned, and, under a division of the certificates, shall indicate whether the witness was summoned before a grand jury or a petit jury. The deputy sheriff shall likewise pay all fees due officers, other than him or herself, for serving criminal process issued by the court in behalf of the state at a session, and, after obtaining proper certificates and receipts therefor, record in a book, under the proper title of the case and division thereof to which the fees apply, the items of the fees and the amount received.
History of Section. G.L. 1896, ch. 34, § 17; G.L. 1909, ch. 44, § 18; G.L. 1923, ch. 45, § 18; G.L. 1938, ch. 7, § 20; G.L. 1956, § 35-6-23; P.L. 2012, ch. 324, § 70.
The deputy sheriff shall certify in one of the books, under the proper title of the case and the division thereof to which his or her fees apply, the amount of his or her fees for summoning each witness in behalf of the state, the number of miles he or she has traveled in making service, and the amount due him or her therefor, together with the amount and items of all other fees due him or her for serving other criminal process in behalf of the state, which amount he or she may receive for the use of the state, after receipting therefor in the book, under the proper title of the case on account of which the fees are due.
History of Section. G.L. 1896, ch. 34, § 18; G.L. 1909, ch. 44, § 19; G.L. 1923, ch. 45, § 19; G.L. 1938, ch. 7, § 21; G.L. 1956, § 35-6-24; P.L. 2012, ch. 324, § 70.
At or before the summoning in of any grand jury in any county, and from time to time during any session thereof, the deputy sheriff may estimate the amount of money requisite for the payment of the witnesses, for the officers’ fees for summoning the witnesses, and for service of other criminal process in behalf of the state at any session, and until a grand jury shall again be summoned in, and, on the approval of an estimate by the attorney general, the state controller may, at any time not more than three (3) days before the summoning in of the grand jury, draw his or her order on the general treasurer in favor of the deputy sheriff for the amount of the estimated fees, and the general treasurer shall pay the order and charge fees to the account of the judicial expenses of the state.
History of Section. G.L. 1896, ch. 34, § 19; C.P.A. 1905, § 1093; G.L. 1909, ch. 44, § 20; G.L. 1923, ch. 45, § 20; G.L. 1938, ch. 7, § 22; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-25; P.L. 2012, ch. 324, § 70.
Every officer receiving any money from the treasury for disbursement as provided in §§ 35-6-22 — 35-6-25 shall, within ten (10) days after the disposition of the criminal trials before juries for the session, or portion of the session, as the case may be, for which the money is obtained, record daily his or her disbursements of money and shall pay over any balance in his or her hands to the supreme court director of finance or receive any balance due him or her from the state.
History of Section. G.L. 1896, ch. 34, § 20; G.L. 1909, ch. 44, § 21; G.L. 1923, ch. 45, § 21; G.L. 1938, ch. 7, § 23; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-26; P.L. 2015, ch. 254, § 1; P.L. 2015, ch. 269, § 1.
[Repealed]
History of Section. G.L. 1896, ch. 34, § 21; C.P.A. 1905, § 1094; G.L. 1909, ch. 44, § 22; G.L. 1923, ch. 45, § 22; G.L. 1938, ch. 7, § 24; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-27; Repealed by P.L. 2015, ch. 254, § 2, effective July 15, 2015; P.L. 2015, ch. 269, § 2, effective July 15, 2015.
Every clerk shall record daily all receipts and disbursements with the supreme court director of finance in accordance with § 8-15-9.
History of Section. G.L. 1896, ch. 34, § 22; C.P.A. 1905, § 1095; G.L. 1909, ch. 44, § 23; G.L. 1923, ch. 45, § 23; G.L. 1938, ch. 7, § 25; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-28; P.L. 2015, ch. 254, § 1; P.L. 2015, ch. 269, § 1.
The state controller may deliver to the clerk of each district court, to wardens, and to the clerks of the superior court, except the clerk of the superior court in the county of Providence, orders for fees of officers and witnesses in criminal prosecutions allowed by the courts, and by the controller found to be due to the officers and witnesses from the state; and the justices, wardens, and clerks, upon application therefor, shall deliver the orders to the officers and witnesses entitled to them.
History of Section. G.L. 1896, ch. 34, § 23; C.P.A. 1905, § 1216; G.L. 1909, ch. 44, § 24; G.L. 1923, ch. 45, § 24; G.L. 1938, ch. 7, § 26; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-29.
The secretary of state shall annually, on or before the first Monday in December in each year, report to the state controller the number of commissions to officers issued by him or her, upon which a tax is imposed, and shall report and account to the state controller for the amount of taxes thereon received by him or her; and all sheriffs and other officers receiving these commissions and the taxes thereon shall account with the state controller therefor.
History of Section. G.L. 1896, ch. 34, § 24; G.L. 1909, ch. 44, § 25; G.L. 1923, ch. 45, § 25; G.L. 1938, ch. 7, § 27; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-30.
Deputy sheriffs, jailers, and other persons, including clerks of courts, receiving fines, penalties, and forfeitures accruing, imposed by the court or belonging to the state, or costs due or payable to the court and/or into the state treasury, shall account daily, with the supreme court director of finance, in accordance with § 8-15-9, for the fines, penalties, forfeitures, and costs.
History of Section. G.L. 1896, ch. 34, § 25; G.L. 1909, ch. 44, § 26; G.L. 1923, ch. 45, § 26; G.L. 1938, ch. 7, § 28; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-31; P.L. 2012, ch. 324, § 70; P.L. 2015, ch. 254, § 1; P.L. 2015, ch. 269, § 1.
Every clerk of a court shall, in accordance with § 8-15-9, make a daily return in writing to the supreme court director of finance of all fines collected by him or her due the state, and the amount and circumstances of the fines, if any, collected by the clerk; and shall also make a return of all penalties and costs in any civil or criminal suit or process due the state, which shall have come to or been in his or her hands since the preceding return, and the amount and circumstances of the penalties and costs.
History of Section. G.L. 1896, ch. 34, § 26; G.L. 1909, ch. 44, § 27; G.L. 1923, ch. 45, § 27; G.L. 1938, ch. 7, § 29; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-32; P.L. 2015, ch. 254, § 1; P.L. 2015, ch. 269, § 1.
(a) The state court administrator is authorized on behalf of the state to enter into a written agreement in accordance with the judiciary’s purchasing rules and regulations with one or more qualified collection agencies to attempt to collect all fees, fines, court costs, assessment charges and/or other monetary obligations imposed by any state court and/or the traffic tribunal which are due and owing to the state and which are not the subject of a court-ordered payment plan in good standing, or are not the subject of an appeal.
(b) Amounts recovered by a collection agency pursuant to an agreement with the state, shall be remitted to the state court director of finance and deposited in the general fund of the state or as otherwise provided by law; provided, however, a collection agency shall be permitted to retain a percentage of the amounts collected as provided in the agreement with the state court administrator.
History of Section. P.L. 2005, ch. 117, art. 25, § 5; P.L. 2007, ch. 154, § 3; P.L. 2007, ch. 160, § 3.
All costs received by the clerk of any court, or other officer or person, which shall be paid by defendants or others in criminal prosecutions, shall be processed by the clerk, officer, or person through the supreme court director of finance in accordance with § 8-15-9; and all sums so received and paid by the officials or persons shall be accounted for with the supreme court director of finance.
History of Section. G.L. 1896, ch. 34, § 27; G.L. 1909, ch. 44, § 28; G.L. 1923, ch. 45, § 28; G.L. 1938, ch. 7, § 30; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-33; P.L. 2015, ch. 254, § 1; P.L. 2015, ch. 269, § 1.
All officers and persons required by the provisions of this chapter to account with the department of administration shall pay over the amounts due the state to the general treasurer within seven (7) days of receipt of any funds.
History of Section. G.L. 1896, ch. 34, § 28; G.L. 1909, ch. 44, § 29; G.L. 1923, ch. 45, § 29; G.L. 1938, ch. 7, § 31; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-34; P.L. 1989, ch. 42, § 1.
Whenever any account shall be presented to the department of administration for audit, it may require the person presenting the account, and any other person, to be sworn before the state controller touching the account, and, when so sworn, to answer orally or in writing as to any facts relating to the truth and justness of the account.
History of Section. G.L. 1896, ch. 34, § 29; G.L. 1909, ch. 44, § 30; G.L. 1923, ch. 45, § 30; G.L. 1938, ch. 7, § 32; impl. am. P.L. 1939, ch. 660, § 65; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-35.
The department of administration shall supervise the accounts of all state departments and agencies, and the department shall at all times and without notice, for the purpose of examination, have access to the books of accounts and all records relating to the receipts, disbursements, and financial management of all state departments and agencies.
History of Section. P.L. 1935, ch. 2187, § 4; G.L. 1938, ch. 7, § 33; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-36.
The department of administration, from time to time, as it deems expedient or necessary, may require statements of financial condition and operations from the several state departments, agencies, and public authorities or corporations in such form and in such detail as it shall prescribe. The several state departments, agencies, and public authorities and corporations shall submit, as required by the state controller, a copy of audited financial statements for the most recent completed fiscal year to the state controller no later than ninety (90) days after the close of the state’s fiscal year (June 30th). A waiver from this year-end schedule may be granted upon approval by the director of administration and the auditor general.
History of Section. P.L. 1935, ch. 2187, § 4; G.L. 1938, ch. 7, § 34; impl. am. P.L. 1951, ch. 2727, art. 1, § 2; G.L. 1956, § 35-6-37; P.L. 1989, ch. 88, § 1.
The state controller shall keep fair, clear, and distinct accounts, under appropriate heads, of the expenditures and disbursements made in pursuance of the provisions of this chapter.
History of Section. G.L. 1896, ch. 34, § 31; G.L. 1909, ch. 44, § 32; G.L. 1923, ch. 45, § 32; G.L. 1938, ch. 7, § 35; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-38.
The state controller shall keep an account with the general treasurer, and credit him or her with all the amounts paid on the orders drawn by the state controller, so that the books and accounts of the state controller shall show all the expenditures and disbursements of moneys appropriated by the general assembly.
History of Section. G.L. 1896, ch. 34, § 32; G.L. 1909, ch. 44, § 33; G.L. 1923, ch. 45, § 33; G.L. 1938, ch. 7, § 36; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-39.
Whenever any person has sustained injury to his or her person or damage to his or her property by reason of the negligent operation by any officer or employee of the state of a motor vehicle or other motorized equipment owned by the state, the person may file a claim for the injury or damage with the director of the department in which the state officer or employee is employed. If the director, after proper investigation of the facts, shall determine that the claim is proper, he or she may, with the approval of the attorney general and the director of administration, allow the claim, in whole or in part, but in no case in excess of one hundred dollars ($100), and the controller, upon receiving notice of the allowance, shall draw his or her order upon the general treasurer for the payment of such a sum as shall be allowed to the persons entitled thereto.
History of Section. P.L. 1941, ch. 1071, § 1; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-6-40.
Whenever an erroneous payment or any payment in excess of the correct amount has been made to the state, the general treasurer shall refund the erroneous payment or overpayment; and the state controller, upon receipt by him or her of proper vouchers is authorized and directed to draw his or her orders upon the general treasurer for the refund of any erroneous payment or overpayment.
History of Section. P.L. 1943, ch. 1310, § 1; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-6-41; P.L. 1999, ch. 173, § 1.
(a) Pending the receipt by the state of any approved grant or reimbursement due from the federal government in connection with any undertaking of the state, the state controller, upon receipt by him or her of properly authenticated vouchers, for the purpose of meeting the obligations of the state in connection with the undertaking, is authorized and directed to draw from time to time his or her orders upon the general treasurer payable out of any funds of the state not specifically held for any particular purpose; and the general treasurer is authorized and directed to make the payments upon receipt of the orders; provided, that upon receipt of a grant or reimbursement from the federal government, the grant or reimbursement shall be placed in the funds out of which the payments have been made. The state controller to make suitable rules and regulations governing the reimbursements.
(b) If the state disburses its own funds for ongoing program purposes in accordance with federal law, regulation, or federal-state agreement, the state may be entitled to interest from the time when state funds are used to redeem checks or warrants, or to render payments, until federal funds are deposited into the state’s account. The federal government may be required by law, regulation, or agreement to pay interest to the state. Likewise, the state may be required to pay interest to the federal government from the time federal funds are deposited into the state’s account, until these funds are paid out in order to redeem checks or warrants, or to render payments. The amounts for transfer shall be determined by the state controller. In determining the amount to be paid by the state to the federal government, indirect costs incurred by the state may be considered. When permitted by applicable federal laws or administrative regulations, the state controller shall first offset and reduce the amount to be transferred by any and all amounts of interest payments calculated to be received by the state from the federal government, where the payments are due to the state because the state was required to disburse its own funds for federal program purposes prior to the receipt of funds. Should the interest payments calculated to be made by the federal government to the state exceed the transfer of interest transferred from the state to the federal government, the state controller shall then notify the federal government of the net amount of interest due to the state and shall record the net interest, upon its receipt, as interest revenue earned by the general fund, or any other appropriate fund within the state fund structure.
(c) In the event that the amount available in the appropriate fund within the state fund structure is not sufficient to pay reciprocal interest, a sum sufficient is hereby appropriated out of any money in the treasury not otherwise appropriated for the payment of these amounts.
History of Section. P.L. 1936, ch. 2376, § 1; G.L. 1938, ch. 7, § 44; impl. am. P.L. 1939, ch. 660, § 65; G.L. 1956, § 35-6-42; P.L. 1989, ch. 90, § 1.
The provisions of this chapter shall be liberally interpreted and construed, in order to accomplish the purposes hereof as declared herein, and in order to accomplish the purposes of relevant provisions of title 42.
History of Section. P.L. 1935, ch. 2187, § 14; G.L. 1938, ch. 7, § 56; G.L. 1956, § 35-6-43.
Each section of this chapter and every part of each section are hereby declared to be independent sections, and the holding of any section or sections or parts thereof to be void, ineffective, or unconstitutional for any cause shall not be deemed to affect any other section or part thereof.
History of Section. P.L. 1935, ch. 2187, § 14; P.L. 1935, ch. 2250, § 138; G.L. 1938, ch. 7, § 57; G.L. 1956, § 35-6-44.
[Repealed]
History of Section. P.L. 1935, ch. 2250, § 13; G.L. 1938, ch. 7, § 55; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-1; Repealed by P.L. 2016, ch. 142, art. 4, § 8, effective June 24, 2016. For comparable provisions, see § 35-7.1-1 et seq.
[Repealed]
History of Section. P.L. 1935, ch. 2250, § 13; P.L. 1936, ch. 2335, § 1; G.L. 1938, ch. 7, § 55; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-2; Repealed by P.L. 2009, ch. 294, § 1, effective November 13, 2009.
[Repealed]
History of Section. P.L. 1935, ch. 2187, § 8; G.L. 1938, ch. 7, § 55; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-3; P.L. 1979, ch. 274, § 1; P.L. 1989, ch. 46, § 1; P.L. 2009, ch. 294, § 2; Repealed by P.L. 2016, ch. 142, art. 4, § 8, effective June 24, 2016. For comparable provisions, see § 35-7.1-1 et seq.
[Repealed]
History of Section. P.L. 2009, ch. 294, § 3; Repealed by P.L. 2016, ch. 142, art. 4, § 8, effective June 24, 2016. For comparable provisions, see § 35-7.1-2.
[Repealed]
History of Section. P.L. 1935, ch. 2187, § 4; G.L. 1938, ch. 7, § 55; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-4; P.L. 1979, ch. 274, § 1; P.L. 1996, ch. 100, art. 4, § 1; Repealed by P.L. 2009, ch. 294, § 1, effective November 13, 2009.
[Repealed]
History of Section. P.L. 1935, ch. 2187, § 6; G.L. 1938, ch. 7, § 55; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-5; P.L. 2009, ch. 294, § 2; Repealed by P.L. 2016, ch. 142, art. 4, § 8, effective June 24, 2016. For comparable provisions, see § 35-7.1-3.
[Repealed]
History of Section. P.L. 2009, ch. 294, § 3; Repealed by P.L. 2016, ch. 142, art. 4, § 8, effective June 24, 2016. For comparable provisions, see § 35-7.1-4.
[Repealed]
History of Section. G.L. 1896, ch. 34, § 34; P.L. 1901, ch. 809, § 7; G.L. 1909, ch. 44, § 35; P.L. 1922, ch. 2200, § 4; G.L. 1923, ch. 45, § 35; P.L. 1923, ch. 468, § 1; P.L. 1929, ch. 1349, § 3; G.L. 1938, ch. 7, § 55; G.L. 1956, § 35-7-6; Repealed by P.L. 1979, ch. 274, § 1.
[Repealed]
History of Section. P.L. 1935, ch. 2250, § 13; G.L. 1938, ch. 7, § 55; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-7; Repealed by P.L. 2016, ch. 142, art. 4, § 8, effective June 24, 2016. For comparable provisions, see § 35-7.1-1 et seq.
For the purpose of making any investigation authorized by §§ 35-7-1 — 35-7-9, the director of administration or his or her duly authorized agent may enter upon any state property at any reasonable time. The director, upon request by the proper person, shall assist, so far as practicable, any state department or agency in the keeping of its accounts and financial records and the drawing of contracts and agreements, and may generally advise that person concerning the financial affairs and management of the department or agency.
History of Section. P.L. 1935, ch. 2187, § 7; G.L. 1938, ch. 7, § 55; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-8.
[Repealed]
History of Section. P.L. 1935, ch. 2250, § 13; G.L. 1938, ch. 7, § 55; G.L. 1956, § 35-7-9; Repealed by P.L. 1985, ch. 181, art. 31, § 1, effective July 1, 1985.
It shall be the duty of the finance committee of the house of representatives to provide annually for a complete post audit of the financial transactions and accounts of the state. The finance committee of the house of representatives shall be required to utilize the services of the auditor general to perform the post audit. The post audit shall commence as soon as possible after the close of each fiscal year and shall include the examination of all accounts from the date of the last post audit.
History of Section. P.L. 1939, ch. 660, § 74; P.L. 1952, ch. 2974, § 1; G.L. 1956, § 35-7-10; P.L. 1975, ch. 179, § 1.
The director of administration and the general treasurer shall assist the finance committee of the house of representatives in determining the post audit specifications prior to the employment of the certified public accountant or accountants. Upon completion of the post audit the certified public accountant or accountants shall submit copies of the report to the members of the finance committee of the house of representatives, the governor, the director of administration, the general treasurer, and the legislative council. The report shall also be made available for public inspection.
History of Section. P.L. 1939, ch. 660, § 74; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-7-11.
[Repealed]
History of Section. G.L. 1956, § 35-7-12; P.L. 1960, ch. 149, § 1; P.L. 1979, ch. 274, § 1; Repealed by P.L. 1985, ch. 181, art. 31, § 1, effective July 1, 1985.
All quasi-public agencies including corporations, authorities, commissions, and boards created by the authority of the general assembly, executive order, or state law, excluding cities and their subdivisions, towns and their subdivisions, regional school districts and school committees, water districts, fire districts, and any other municipal corporations and their agencies, subject to post audit, are hereby required to obtain the approval of the director of administration and the auditor general prior to the employment of private auditors. Audit workpapers of the private auditors shall be made available upon request, at the completion of the audit, to the auditor general and/or the director of administration for their review. The audit report shall be furnished to the auditor general and the director of administration.
History of Section. P.L. 1985, ch. 181, art. 27, § 1.
Quasi-public agencies, as set forth in § 35-7-13, shall prepare and maintain documentation for all travel and entertainment expenses in sufficient detail to allow for post audit.
History of Section. P.L. 1985, ch. 181, art. 27, § 1.
(a) The general assembly recognizes that the security of government computer systems is essential to ensuring the stability and integrity of vital information gathered and stored by the government for the benefit of the citizenry and the breach of security over computer systems presents a risk to the health, safety, and welfare of the public. It is the intent of the legislature to ensure that government computer systems and information residing on these systems are protected from unauthorized access, compromise, sabotage, hacking, viruses, destruction, illegal use, cyber attack, or any other act that might jeopardize or harm the computer systems and the information stored on them.
(b) In conjunction with the powers and duties outlined in this chapter, the office of internal audit and program integrity may conduct reviews and assessments of the various government computer systems and the security systems established to safeguard these computer systems. Computer systems subject to this section shall include systems that pertain to federal, state, or local programs, and quasi-governmental bodies, and the computer systems of any entity or program that is subject to audit by the office of internal audit and program integrity. The office of internal audit and program integrity’s review may include an assessment of system vulnerability, network penetration, potential security breaches, and susceptibility to cyber attack and cyber fraud.
(c) The office of internal audit and program integrity’s findings shall be deemed public records and available for public inspection; provided, however, in the event the review indicates a computer system is vulnerable, or security over the system is otherwise deficient, reasonably segregable portions of the findings shall be subject to public inspection after the redaction of any information, the disclosure of which, would endanger the security of the system or reveal the specific nature of the vulnerabilities found. Notwithstanding any other provision of law to the contrary, the work papers developed in connection with the review of computer systems and the security over those systems authorized by this section shall not be deemed public records and are not subject to disclosure.
(d) In order to maintain the integrity of the computer system, the office of internal audit and program integrity may procure the services of specialists in information security systems or other contractors deemed necessary in conducting reviews under this section, and in procuring those services shall be exempt from the requirements of the state purchasing law or regulation.
(e) Any outside contractor or vendor hired to provide services in the review of the security of a computer system shall be bound by the confidentiality provisions of this section.
History of Section. P.L. 2014, ch. 259, § 1; P.L. 2014, ch. 317, § 1; P.L. 2016, ch. 142, art. 4, § 9; P.L. 2025, ch. 278, art. 3, § 9, effective June 29, 2025.
(a) There is hereby established within the office of management and budget an office of internal audit and program integrity. Within the office of internal audit and program integrity, there shall be a chief, appointed by the director of administration, who shall be the administrative head of the office. The person so selected to be the chief shall be selected without regard to political affiliation and with a demonstrated ability in the following areas: accounting, auditing, financial analysis, investigation, management analysis, and public administration. The office of internal audit and program integrity will report to the office of management and budget director. Any reference in general law to the “bureau of audits” or “office of internal audit” shall mean the office of internal audit and program integrity.
(b) The purpose of the office is to prevent and detect fraud, waste, abuse, and mismanagement in the expenditure of public funds including:
(1) All state programs and operations;
(2) The procurement of any supplies, services, or construction by state agencies, bureaus, divisions, sections, departments, offices, commissions, institutions, and activities of the state; and
(3) The procurement or expenditure of public funds by organizations or individuals.
(c) The chief of the office of internal audit and program integrity shall not hold, or be a candidate for, any elective or any other appointed public office while a chief. No current chief shall hold a position in any political party or political committee, or, aside from voting, actively engage in the political campaign of any candidate for public office that may cause a real or perceived conflict of interest, or participate as a board member of any entity that receives state or federal funding.
(d) No employee of the office of internal audit and program integrity shall hold, or be a candidate for, any elective public office while an employee, nor shall they hold a position in any political party or political committee or, aside from voting, actively engage in a political campaign of any candidate for public office that may cause a real or perceived conflict of interest, or participate as a board member of any not for profit entity that receives state or federal funding.
(e) The office of internal audit and program integrity is authorized to conduct audits of any state department, state agency, or private entity that is a recipient of state funding or state grants. In addition, the office of internal audit and program integrity is authorized, but not limited to, evaluating the efficiency of operations and internal controls, preventing and detecting fraud, waste, abuse, or mismanagement in the expenditure of public funds, whether federal, state, or local, that are related to any and all state programs and operations as well as the procurement of any goods, services, or construction, by public bodies. As deemed necessary or expedient by the office of internal audit and program integrity, audits may be made relative to the financial affairs or the economy and efficiency of management of each department, agency, or public body. The office of internal audit and program integrity shall determine which such audits shall be performed in accordance with a risk-based evaluation.
(f) “Public body” or “public bodies” under this chapter shall mean state agencies, bureaus, divisions, departments, offices, commissions, boards, institutions, including the public institutions of higher education, districts, authorities, quasi-agencies, or political subdivisions created by the general assembly, or the governor. “Public body” shall also include any city and town within the state of Rhode Island but municipal audits under this chapter shall only cover the expenditure of state or federal funds distributed by the state. Audits and investigations of public bodies may include the expenditures by nongovernmental agencies of federal, state, and local public funds.
History of Section. P.L. 2016, ch. 142, art. 4, § 10; P.L. 2025, ch. 278, art. 3, § 11, effective June 29, 2025.
(a) The chief of internal audit and program integrity shall supervise, coordinate, and/or conduct audits, civil and administrative investigations, and inspections or oversight reviews, when necessary, relating to expenditure of state or federal funds, or to any and all state programs and operations, as well as the procurement of any supplies, services, or construction, by public bodies. In the course of an audit or investigation, the office of internal audit and program integrity shall review statutes and regulations of the public body and shall determine if such a public body is in compliance and shall make recommendations concerning the efficiency of operations, and the effect of such statutes or regulations on internal controls and the prevention and detection of fraud, waste, and abuse. The chief of internal audit and program integrity may recommend policies or procedures that may strengthen internal controls, or assist in the prevention or detection of fraud, waste, and abuse or mismanagement.
(b) The person, or persons, with legal authority for any public body may request the assistance of the office of internal audit and program integrity. Any such request must include the scope of services requested and the work to be performed. In such events, the chief, with the approval of the director of management and budget, may assign personnel to conduct, supervise, or coordinate such activity as deemed necessary and appropriate to perform their duties in a diligent and prudent manner. The expenses for any such assistance requested by the public body shall be reimbursed by the public body to the office of internal audit and program integrity. The chief may recommend policies for the conduct, supervision, or coordination of the relationship, between state and other state, local governmental agencies as well as federal governmental agencies and nongovernmental entities with respect to all matters relating to the prevention and detection of fraud, waste, abuse, or mismanagement in or relating to any and all programs and activities of the state of Rhode Island.
(c) When it is determined by the office of internal audit and program integrity that an audit is necessary because there is sufficient evidence to believe that there may have been fiscal impropriety, wrongdoing, or fiscal mismanagement by any agent, employee, board member, or commissioner of any public body, the office of internal audit and program integrity may conduct a forensic examination of such entity. All costs associated with the forensic examination shall be paid, as deemed appropriate, either by the examined entity or by an appropriation by the general assembly. Such costs shall include, but not be limited to, the following expenses:
(1) One hundred percent (100%) of the total salaries and benefits paid to the examining personnel of the office of internal audit and program integrity engaged in those examinations;
(2) All costs associated with the procurement of a forensic consultant;
(3) All costs associated with a consultant that provides expertise pertinent to the examinee’s operations;
(4) All reasonable administrative and technology costs related to the forensic examination process. Technology costs shall include the actual cost of software and hardware utilized in the examination process and the cost of training examination personnel in the proper use of the software and hardware.
(d) The chief of internal audit and program integrity, or their designee, may investigate reports of any person who, either prior to, or at the time of, or subsequent to the application for public assistance:
(1) Willfully makes a false statement or misrepresentation;
(2) Impersonates someone else;
(3) Willfully fails to disclose a material fact regarding eligibility or other fraudulent means; or
(4) Secures, aids, or abets, or attempts to secure, aid, or abet, others in securing public assistance (including Supplemental Nutrition Assistance Program (SNAP) or Medicaid) through fraudulent actions.
(e) The chief of internal audit and program integrity, or their designee, is authorized to:
(1) Coordinate, conduct, and/or support investigations aimed at preventing and detecting, fraud, waste, abuse, and mismanagement in public assistance programs;
(2) Coordinate and support state and local efforts to investigate and eliminate fraud in public assistance programs;
(3) Work to recover both state and federal funds related to fraudulent activities.
(f) In the course of these investigations, the office of internal audit and program integrity shall collaborate with local law enforcement agencies, the Rhode Island department of human services, the Rhode Island state police, the Rhode Island attorney general, or other local, state, and federal entities as needed to complete the investigations.
(g) The office shall identify methods to implement innovative technology and data sharing in order to detect, analyze, and prevent fraud, waste, and abuse.
History of Section. P.L. 2016, ch. 142, art. 4, § 10; P.L. 2025, ch. 278, art. 3, § 11, effective June 29, 2025.
The office of internal audit and program integrity may, upon the written request of the governor or of the general assembly, conduct audits, provide management advisory and consulting services, or conduct investigations relative to the financial affairs or the economy and efficiency of management, or both, of any public bodies as defined in § 35-7.1-1(f). The office of internal audit and program integrity may, from time to time, make such investigations and additional reports to the governor, the director of the department of administration, the director of the office of management and budget, and the general assembly as deemed necessary or advisable.
History of Section. P.L. 2016, ch. 142, art. 4, § 10; P.L. 2025, ch. 278, art. 3, § 11, effective June 29, 2025.
When requested in writing by a public body to the chief, the office of internal audit and program integrity may provide management advisory or consulting services to the public body. Any such request must include the scope of services requested and a schedule for the work to be performed.
History of Section. P.L. 2016, ch. 142, art. 4, § 10; P.L. 2025, ch. 278, art. 3, § 11, effective June 29, 2025.
Any qualified person duly authorized by the director of management and budget to act as auditor may examine the books, papers, and documents of any public body having control of state or federal funds, and if the audit discloses any irregularities or improper handling of records or funds, the auditor shall report the same to the chief who shall, in turn, report such findings and recommendations to the director of management and budget, who shall further report to the director of administration.
History of Section. P.L. 2016, ch. 142, art. 4, § 10.
(a) The chief, in carrying out the duties outlined in this chapter, shall have access to all records, reports, audits, reviews, papers, books, documents, recommendations, correspondence, including information relative to the purchase of goods or services or anticipated purchase of goods or services, from any agent, contractor, or vendor by any public body, as defined in § 35-7.1-1(f), and any other data and material that is maintained by or available to any public body regardless of the media in which it is maintained which is in any way related to the programs and operations with respect to public bodies.
(b) The chief may request information and records, cooperation, and assistance from any state or local governmental agency as may be necessary for carrying out the chief’s duties and responsibilities. Upon receipt of such request, each person in charge of the public body shall furnish to the chief, or the chief’s authorized agent or representative, such information and records, cooperation and assistance, including information relative to the purchase of goods or services or anticipated purchase of goods or services from any contractor or vendor by any public body, within ten (10) business days of receipt of the chief’s request. If the public body is unable to comply with the request for records and/or information within (10) business days, the public body must notify the chief, prior to the expiration of the ten (10) business days, in writing as to the reason, or reasons, why the request cannot be fulfilled within this time and whether additional time is necessary.
(c) The chief may initiate and conduct audits, investigations, and compliance reviews and shall prepare detailed findings, conclusions, and recommendations concerning the administration of programs or operations, and internal controls over processes of public bodies.
(d) The chief shall have direct and prompt access to any public body, its agents, officers, and employees when necessary for any purpose pertaining to the performance of the chief’s duties and responsibilities under this chapter.
(e) In furtherance of carrying out any of the duties of this chapter, the chief may request, with the written approval of the director of the department of administration and through an administrative subpoena, the attendance and testimony of witnesses and the production of books, records, and other evidence relevant to an active fraud investigation as described in this chapter. The subpoena shall specify the time, date, and place where the witness is to respond. Within twenty (20) days after the service of the subpoena or at any time before the return date specified in the subpoena, whichever period is shorter, the person served may file in a state superior court and serve upon the unit and the attorney general a civil petition for an order of the court modifying or setting aside the subpoena. The petition shall specify each ground upon which the petitioner is seeking relief. If a person neglects or refuses to comply with any request to provide testimony or produce books, records, and other evidence relevant to an investigation, the office of internal audit and program integrity or the attorney general may petition the superior court for an order compelling the person to answer the request. Books, records, and other evidence obtained through an administrative subpoena that are not used in a court proceeding shall be destroyed as soon as practicable.
History of Section. P.L. 2016, ch. 142, art. 4, § 10; P.L. 2025, ch. 278, art. 3, § 11, effective June 29, 2025.
(a) The chief shall accept and may investigate or audit complaints or information from any identified individual concerning the possible existence of any activity constituting fraud, waste, abuse, or mismanagement relating to programs and operations of public bodies.
(b) The chief shall not, after receipt of a complaint or information from an employee, contractor, or private citizen who requests confidentiality, disclose the identity of that individual, without the written consent of said individual, unless the chief determines such disclosure is necessary and unavoidable during the course of an investigation. In such event, the individual filing the complaint shall be notified, if possible, immediately of such disclosure.
(c) Employees are protected under the chapter 50 of title 28 “Rhode Island Whistleblowers’ Protection Act.”
History of Section. P.L. 2016, ch. 142, art. 4, § 10.
In carrying out the chief’s duties and responsibilities, the chief shall report to the Rhode Island state police whenever the chief has reasonable grounds to believe there has been a violation of federal or state criminal law. The chief shall also refer findings to the state ethics commission, or to any other federal, state, or local agency with an interest in said findings, in the discretion of the chief. Any referrals made under this section shall not be made public by the office of internal audit and program integrity.
History of Section. P.L. 2016, ch. 142, art. 4, § 10; P.L. 2025, ch. 278, art. 3, § 11, effective June 29, 2025.
The chief may coordinate with other state agencies that are responsible for investigating, auditing, reviewing, or evaluating the management of public bodies for the purpose of sharing information and avoiding duplication of effort.
History of Section. P.L. 2016, ch. 142, art. 4, § 10.
(a) The office of internal audit and program integrity shall prepare an annual report summarizing the activities of the office of internal audit and program integrity for the prior fiscal year. The office of internal audit and program integrity may also prepare interim performance reports. These reports shall be presented to the director of management and budget. The annual reports shall be posted on the office’s website.
(b) The annual report shall include, but not be limited to: a general description of significant problems in the areas of efficiencies, internal controls, fraud, waste, and abuse within programs and operations within the jurisdiction of the office; a general description of the recommendations for corrective actions made by the office during the reporting period with respect to significant deficiencies in the areas of efficiencies, internal controls, fraud, waste, and abuse; the identification of each significant recommendation described in previous annual reports on which corrective action has not been completed; a summary of matters referred to prosecuting authorities; a summary of any matters concerning the recovery of monies as a result of an audit finding or civil suit or a referral to another agency for the purposes of such suit; a list of all audit reports completed by the office during the reporting period; and a statement of recommendations of amendment to this chapter or the rules, regulations, or procedures governing the office of internal audit and program integrity that would improve the effectiveness or the operations of the office.
(c) The annual report of the office of internal audit and program integrity shall be made public on the day of filing.
(d) At the conclusion of each formal audit, the office of internal audit and program integrity shall produce an audit report which contains, but is not limited to, the scope of the audit, findings, and recommendations. Within twenty (20) calendar days following the date of the issuance of the management-response copy of the draft audit report, the head of the department, agency, public body, or private entity audited shall respond, in writing, to each recommendation made in the audit report. This response shall address the department’s, agency’s, or public body’s or private entity’s plan of corrective action, the party responsible to implement the corrective action plan, and the anticipated date to complete the implementation of the corrective action; and, if applicable, the reasons for disagreement with any recommendation proposed in the audit report and justification of management’s acceptance of risk. The office of internal audit and program integrity may perform follow-up procedures for the purpose of determining whether the department, agency, public body, or private entity has implemented, in an efficient and effective manner, its plan of correction action for the recommendations proposed in the audit report or addressed the risk discussed in the audit report.
(e) Copies of each audit report, inclusive of management’s responses noted in subsection (d) shall be submitted to the chairpersons of the house finance committee, and the senate finance committee and posted on the office’s website.
History of Section. P.L. 2016, ch. 142, art. 4, § 10; P.L. 2025, ch. 278, art. 3, § 11, effective June 29, 2025.
The chief of the office of internal audit and program integrity shall have the authority to initiate civil recovery actions. In any case where the office of internal audit and program integrity has discovered fraudulent acts and believes that civil recovery proceedings may be appropriate, the chief may authorize the initiation of appropriate civil proceedings or refer the case to the appropriate state agency for civil recovery.
History of Section. P.L. 2025, ch. 278, art. 3, § 12, effective June 29, 2025.
(a) Whenever the holder of any coupon bond of this state shall surrender the bond, with the unpaid coupons belonging thereto, to the general treasurer, and shall request that he or she issue a certificate of that surrender, the general treasurer shall make an entry of the surrender in a book, to be by him or her kept for that purpose, and he or she shall issue a certificate thereof to the person surrendering the bond, countersigned by the secretary of state, who shall affix thereto the seal of the state, which certificate shall be duly recorded, and shall entitle the person receiving the certificate to receive the amount mentioned in the surrendered bond, and the interest thereon, at the times and places in the surrendered bond set forth.
(b) The certificate shall not be transferable except by order of the holder thereof, or of his or her personal representative, made thereon, with notice to the general treasurer of the assignment. Upon the receipt of notice of the assignment, the general treasurer shall enter a memorandum thereof upon the record of the certificate. Whenever a certificate of indebtedness issued in accordance with these provisions is transferred, the general treasurer shall, on application of the person to whom the certificate is so transferred, cancel the certificate, and thereupon issue to the person a new certificate, countersigned and sealed, for the amount of principal then due on the certificate so cancelled.
History of Section. G.L. 1896, ch. 32, § 2; G.L. 1909, ch. 42, § 2; G.L. 1923, ch. 43, § 2; G.L. 1938, ch. 107, § 2; G.L. 1956, § 35-8-1.
(a) All bonds, coupons, and certificates of indebtedness which have or shall become the property of the state, except those held by the sinking fund commission, and all bonds, coupons, and certificates of indebtedness which have been issued by the state but which have not been sold during a period of five (5) years after the issuance of the bonds, coupons, and certificates of indebtedness, shall, within a reasonable time after the five-year period, be destroyed by the general treasurer by burning the bonds and certificates, in the presence of the secretary of state, the director of administration, and the attorney general, who shall make, sign, and deliver to the general treasurer a certificate containing the number, date of issue, and denomination of each bond, and of each coupon and certificate of indebtedness so destroyed, and of the time when destroyed, which certificate shall be, by the general treasurer, with his or her next report, transmitted to the general assembly.
(b) At his or her discretion, the general treasurer may authorize the banks acting as fiscal agents of the state for these bonds and certificates of indebtedness to destroy the bonds, coupons, and certificates of indebtedness paid by them and submit to the general treasurer a notarized certificate of destruction in place of the paid bonds, coupons, and certificate of indebtedness, listing in numerical order the bond issue, bond and/or coupon number, date of issue, and denominations of each bond and of each coupon and certificate of indebtedness so destroyed and the time when destroyed. The destruction certificate, to be provided by the general treasurer, shall be submitted by the fiscal agents in regular intervals each month, together with a certification of the balance of the funds remaining in each bond account for the indebtedness matured and not presented for payment. The general treasurer and the state shall not be held liable for any bond, coupon, or certificate of indebtedness certified as reported destroyed by any bank acting as fiscal agents of the state.
History of Section. G.L. 1896, ch. 32, § 3; G.L. 1909, ch. 42, § 3; G.L. 1923, ch. 43, § 3; G.L. 1938, ch. 107, § 3; P.L. 1939, ch. 686, § 1; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-8-2; P.L. 1975, ch. 38, § 1; P.L. 1997, ch. 326, § 102.
(a) There is hereby authorized, created and established in the department of the general treasurer a sinking fund commission which shall perform the duties formerly performed by the board of commissioners of sinking funds as prescribed by this chapter, which board of commissioners is hereby abolished. The sinking fund commission shall consist of the governor or his or her designee who shall be a subordinate within the governor’s office, the general treasurer or his or her designee who shall be a subordinate within the general treasurer’s office, the director of administration or his or her designee who shall be a subordinate within the department of administration, two (2) members of the general public shall be appointed by the governor, one of whom shall serve an initial term of three (3) years and one of whom shall serve an initial term of two (2) years; and four (4) members of the general public shall be appointed by the general treasurer, one of whom shall serve an initial term of four (4) years and one of whom shall serve an initial term of three (3) years, one of whom shall serve an initial term of two (2) years; and one of whom shall serve an initial term of one year. Thereafter, all general public member appointments shall serve for a term of four (4) years and until his or her successor is appointed and qualified. All general public member appointments shall be with the advice and consent of the senate. The appointed members shall be qualified by training or experience in the fields of investment or finance. No one shall be eligible for appointment unless he or she is a resident of this state. Public members of the commission shall be removable by the chair for cause only, and removal solely for partisan or personal reasons unrelated to capacity or fitness for the office shall be unlawful.
Newly appointed and qualified public members shall, within six (6) months of their appointment, attend a training course that shall be developed and provided by the office of the general treasurer and shall include instruction in the following areas: the provisions of chapters 35-8, 42-46, 36-14 and 38-2 of the Rhode Island general laws; and the board’s rules and regulations. The director of the department of administration shall, within ninety (90) days of the effective date of this act, prepare and disseminate training materials relating to the provisions of chapters 42-46, 36-14 and 38-2.
A majority of all the members of the commission is necessary to constitute a quorum.
(b) Within ninety (90) days after the end of each fiscal year during which the commission has conducted business, the commission shall submit an annual report to the governor, the speaker of the house of representatives, the president of the senate, and the secretary of state of its activities during that fiscal year. The report shall provide: an operating statement summarizing meetings or hearings held, meeting minutes if requested, subjects addressed, decisions rendered, rules or regulations promulgated, studies conducted, policies and plans developed, approved, or modified, and programs administered or initiated; a consolidated financial statement of all the funds received and expended including the source of funds, a listing of any staff supported by these funds, and a summary of any clerical, administrative or technical support received; a summary of performance during the previous fiscal year including accomplishments, shortcomings and remedies; a synopsis of hearings, complaints, suspensions, or other legal matters related to the authority of the board; a summary of any training courses held pursuant to § 35-8-3; a briefing on anticipated activities in the upcoming fiscal year; and findings and recommendations for improvements. The report shall be posted electronically on the general assembly and the secretary of state’s website as prescribed in § 42-20-8.2 of the Rhode Island general laws. The director of the department of administration shall be responsible for the enforcement of this provision.
History of Section. P.L. 1939, ch. 660, § 200; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-8-3; P.L. 1998, ch. 31, art. 26, § 2; P.L. 2000, ch. 55, art. 3, § 1; P.L. 2000, ch. 319, § 1; P.L. 2000, ch. 472, § 1; P.L. 2001, ch. 180, § 72; P.L. 2006, ch. 319, § 1; P.L. 2006, ch. 444, § 1.
The sinking fund commission shall perform the duties prescribed by this chapter. Wherever in any general law, public law, or resolution of the general assembly, or in any document, record, instrument, or proceeding authorized by law or resolution, unless the context or subject matter otherwise requires, the words “board of commissioners of sinking funds” or any reference to that board of commissioners appears, the words or reference shall be construed to mean the “sinking fund commission” created by this chapter, and wherever the words “state budget director and comptroller” appear, they shall be construed to mean “director of administration”.
History of Section. P.L. 1939, ch. 660, § 200; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-8-4.
The governor shall be the chairperson, the general treasurer shall be the vice-chairperson, and the director of administration shall be the secretary of the sinking fund commission, and the general treasurer shall keep the accounts of the commission. In the event of the governor’s absence, the general treasurer shall be the chairperson. A designee of any member shall not serve as chairperson. The commission shall elect from among its own members such officers as they deem necessary.
History of Section. G.L. 1896, ch. 32, § 10; G.L. 1909, ch. 42, § 10; G.L. 1923, ch. 43, § 10; G.L. 1938, ch. 107, § 10; impl. am. P.L. 1939, ch. 660, § 200; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-8-5; P.L. 2000, ch. 55, art. 3, § 1; P.L. 2000, ch. 319, § 1; P.L. 2000, ch. 472, § 2; P.L. 2006, ch. 319, § 1; P.L. 2006, ch. 444, § 1.
The sinking fund commission shall have the control and management of all sinking funds established for the redemption of any bonds or certificates of indebtedness issued by the state, except for investments which are made by the state investment commission under the provisions of chapter 10 of this title. Any and all bonds or certificates of indebtedness of the state purchased as an investment for the sinking fund for the redemption of bonds of the same issue shall be held in the sinking fund subject to the order of the commission or until the bonds shall by their terms become due and payable. For the purposes of this section, refunding escrows established by the state in connection with the refinancing of any bonds, notes or certificates of indebtedness including, without limitation, refunding escrows established in connection with the refinancing of any certificates of participation issued by or at the direction of the state, shall not constitute sinking funds established for the redemption of any bonds or certificates of indebtedness issued by the state.
History of Section. G.L. 1896, ch. 32, § 5; G.L. 1909, ch. 42, § 5; G.L. 1923, ch. 43, § 5; P.L. 1925, ch. 612, § 1; G.L. 1938, ch. 107, § 5; P.L. 1940, ch. 882, § 1; P.L. 1942, ch. 1217, § 1; G.L. 1956, § 35-8-6; impl. am. P.L. 1958, ch. 164; P.L. 1998, ch. 31, art. 26, § 2.
Notwithstanding any general law or special law to the contrary, the sinking fund commission shall have no authority to take or cause to be taken any action or actions that would adversely affect the exclusion from income taxation of interest on any bonds, notes or certificates of indebtedness, including without limitation the interest portion of any certificates of participation issued by or at the direction of the state.
History of Section. P.L. 1998, ch. 31, art. 26, § 3.
(a) Prior to the issuance of previously authorized general obligation debt contained in the capital improvement plan, the sinking fund commission may cause a savings analysis to be performed to determine if the estimated savings resulting from the defeasance of the general obligation debt recommended for defeasance by the sinking fund is more or less than the savings which would be achieved if the previously authorized general obligation debt were not issued. In the event that the sinking fund commission makes a finding that the savings would be greater from not issuing the previously authorized general obligation debt, then the sinking fund commission may use sinking funds to replace, in whole or in part, the same debt authorization.
(b) Upon the sinking fund commission’s determination to use sinking funds to replace, in whole or in part, authorized but unissued general obligation debt authorization, the amount designated by the sinking fund commission is hereby appropriated for that purpose.
History of Section. P.L. 2000, ch. 55, art. 3, § 2.
The sinking fund commission shall make provision for the safekeeping of its securities, and it may hire and pay for a place of security. The records and books of account of the commission shall be deposited in the vault in the office of the general treasurer.
History of Section. G.L. 1896, ch. 32, § 7; G.L. 1909, ch. 42, § 7; G.L. 1923, ch. 43, § 7; G.L. 1938, ch. 107, § 7; impl. am. P.L. 1939, ch. 660, § 200; G.L. 1956, § 35-8-8.
The sinking fund commission shall keep a full record of its meetings and proceedings. The commission shall make a full report in writing to the general assembly on or before the tenth day of January in each year, showing respectively the conditions and manner of the investments of the sinking fund or sinking funds on the thirtieth day of June preceding, the estimated savings from the commission’s refinancing of debt in the prior fiscal year, the estimated total debt service payments of the debt retired by the commission in the prior fiscal year, and shall in the report certify that the various investment securities in the sinking funds have been examined by the director of administration.
History of Section. G.L. 1896, ch. 32, § 8; P.L. 1901, ch. 809, § 4; G.L. 1909, ch. 42, § 8; G.L. 1923, ch. 43, § 8; P.L. 1931, ch. 1787, § 1; G.L. 1938, ch. 107, § 8; P.L. 1942, ch. 1216, § 1; impl. am. P.L. 1951, ch. 2727, art. 1, § 3; G.L. 1956, § 35-8-9; P.L. 1998, ch. 31, art. 26, § 2.
The actual expenses of the members of the sinking fund commission, when certified by the secretary and approved by the governor, shall be paid from the state treasury.
History of Section. G.L. 1896, ch. 32, § 9; G.L. 1909, ch. 42, § 9; G.L. 1923, ch. 43, § 9; G.L. 1938, ch. 107, § 9; impl. am. P.L. 1939, ch. 660, § 200; G.L. 1956, § 35-8-10.
The commission may incur reasonable expenses in the fulfillment of its duties, including but not limited to bond counsel and financial advisement. These expenses shall be paid out of the commission’s annual appropriation.
History of Section. P.L. 1998, ch. 31, art. 26, § 3.
Beginning with fiscal year 2005, the sinking fund shall receive such sums as may be appropriated by the General Assembly.
History of Section. G.L. 1896, ch. 32, § 11; G.L. 1909, ch. 42, § 11; G.L. 1923, ch. 43, § 11; P.L. 1931, ch. 1696, § 1; G.L. 1938, ch. 107, § 11; P.L. 1940, ch. 882, § 1; G.L. 1956, § 35-8-11; P.L. 1998, ch. 31, art. 26, § 2; P.L. 2000, ch. 55, art. 3, § 1; P.L. 2001, ch. 77, art. 3, § 1; P.L. 2002, ch. 65, art. 17, § 1; P.L. 2003, ch. 376, art. 4, § 1; P.L. 2004, ch. 595, art. 6, § 1.
Annually, within five (5) days after the fifteenth of June in each fiscal year, the sinking fund commission shall certify in writing to the controller the sum necessary to offset any deficit then existing in the sinking fund and thereupon, on or before the last business day of the fiscal year, it shall be the duty of the controller to draw his or her order upon the general treasurer, directing the treasurer to transfer that sum from the general fund to the sinking fund.
History of Section. G.L. 1938, ch. 107, § 11; P.L. 1940, ch. 882, § 1; G.L. 1956, § 35-8-12.
All sums of money remaining in the hands of the sinking fund commission, after the redemption of any bonds, shall, if not otherwise directed by the general assembly, be added by them to the sinking fund for the bonds yet to mature.
History of Section. G.L. 1896, ch. 32, § 12; G.L. 1909, ch. 42, § 12; G.L. 1923, ch. 43, § 12; G.L. 1938, ch. 107, § 12; impl. am. P.L. 1939, ch. 660, § 200; G.L. 1956, § 35-8-13.
The general treasurer is authorized and directed to establish a general sinking fund for the purpose of providing funds for the payment of all state bonds at maturity, including all bonds authorized and issued according to law, and to transfer all the existing sinking funds to the general sinking fund. Wherever in any general law, public law, act, or resolution of the general assembly provision is made for the establishment of a sinking fund to extinguish a state debt at its maturity, that provision shall be construed to mean an addition to the general sinking fund for the redemption of state bonds at their maturity in conformity with this section.
History of Section. G.L. 1923, ch. 43, § 13; P.L. 1931, ch. 1696, § 2; G.L. 1938, ch. 107, § 13; G.L. 1956, § 35-8-14.
Subject to the provisions of § 35-8-8, and to the orders of the sinking fund commission or the state investment commission, the general treasurer shall have the custody of all securities in the general sinking fund established under the provisions of this chapter.
History of Section. G.L. 1923, ch. 43, § 14; P.L. 1931, ch. 1696, § 2; G.L. 1938, ch. 107, § 14; impl. am. P.L. 1939, ch. 660, § 200; G.L. 1956, § 35-8-15; impl. am. P.L. 1958, ch. 164.
The attorney general, the secretary of state, and the general treasurer are hereby constituted a board, hereinafter referred to in §§ 35-8-17 — 35-8-18 as “the board”, to carry out the provisions of those sections.
History of Section. G.L. 1938, ch. 107, § 15; P.L. 1939, ch. 668, § 1; G.L. 1956, § 35-8-16.
Whenever the board is satisfied that any instrument or printed or written paper presented to it is in fact a valid bond or note of the state but it is so damaged that its condition is such as to hinder or prevent the owner or holder thereof from making good delivery of the bond or note, the board may, upon payment to it by the owner or holder thereof of such a sum as it deems necessary to cover the actual expense involved, cause the damage to be repaired or remedied by requiring the proper officers of the state to sign the bond or note in place of their damaged or destroyed signatures or those of their predecessors in office, to issue a duplicate bond or note, or to do whatever else the board may require of them to repair or remedy the damage. But no duplicate bond or note shall be so issued except upon the surrender of the original bond or note, which shall thereupon be cancelled forthwith, and the repaired or duplicate bond or note shall be treated in all respects as a valid obligation of the state. On every repaired or duplicate bond or note the general treasurer shall certify on the back thereof that the bond or note has been repaired or issued under the provisions of this section and the certification shall be conclusive proof that the bond or note has been repaired or issued in accordance with the requirements of the board and that it is a valid obligation of the state in accordance with its terms.
History of Section. G.L. 1938, ch. 107, § 15; P.L. 1939, ch. 668, § 1; G.L. 1956, § 35-8-17.
Whenever the board is satisfied that any bond or note of the state has been lost or destroyed, the board may, upon payment to it by the owner or holder thereof of such a sum as it deems necessary to cover the actual expense involved and under such regulations and with such restrictions as it may prescribe, order the general treasurer and/or such other officers of the state as the board may designate to issue a duplicate of the bond or note, payable at the same time, bearing the same rate of interest as the bond or note so lost or destroyed, and so marked as to show the number if known and date of the original bond or note. No duplicate shall be issued until the owner of the lost or destroyed bond or note shall give to the general treasurer a bond in double the amount of the lost or destroyed bond or note and of the interest which would accrue until the principal is due and payable, with two (2) sufficient sureties both residents of the state, or with a surety company authorized to do business in this state, approved by the board, conditioned to indemnify and save harmless the state from any claim or demand on account of the lost or destroyed bond or note.
History of Section. G.L. 1938, ch. 107, § 15; P.L. 1939, ch. 668, § 1; G.L. 1956, § 35-8-18.
Whenever the holder of any registered or coupon bond of this state which is now or shall hereafter be issued or outstanding shall desire to substitute the registered bond for a coupon bond, or the coupon bond for a registered bond, he or she shall present the coupon bond to the general treasurer with a request in writing for the substitution for the bond of one or more other bonds. The general treasurer, upon payment to him or her for the use of the state of such a sum as he or she deems necessary to cover the actual expense involved and under such regulations and restrictions as he or she may prescribe, is authorized and empowered to accept the bond so presented and to issue and deliver in substitution thereof one or more new bonds of denominations of one thousand dollars ($1,000), five thousand dollars ($5,000), ten thousand dollars ($10,000), or fifty thousand dollars ($50,000); provided, that the aggregate face value of the new bonds shall not exceed the face value of the bond so presented; provided, further, that if the new bonds bear coupons, the coupons shall cover only future interest payments. The new bonds shall in all substantial respect (except the denomination thereof) be similar to the bond so presented as to the date of maturity, interest rate, and dates of interest payments; and every new bond so issued in substitution shall be as valid for all purposes as the bond so presented for substitution, notwithstanding the fact that the number thereof or the signatures thereon or the denomination thereof may be different from the bond so presented for substitution. In every case the general treasurer shall mutilate the bond so presented for substitution and shall make a record of the date, number, and amount thereof, and of the date, number, and amount of every new bond issued in substitution. Thereafter the mutilated bond shall be kept in the files of the general treasurer or may be destroyed in the same manner as provided in § 35-8-2. Every new bond issued in substitution shall be signed by the general treasurer and by the secretary of state.
History of Section. G.L. 1938, ch. 107, § 15; P.L. 1940, ch. 883, § 1; P.L. 1944, ch. 1521, § 1; G.L. 1956, § 35-8-19.
Notwithstanding any provision of general or public law to the contrary, whenever the general treasurer is authorized by any general or public law to issue and sell bonds of the state, he or she may determine, with the approval of the governor, to issue and sell all or a portion of the bonds in denominations of one hundred dollars ($100), five hundred dollars ($500), one thousand dollars ($1,000), or any multiple of one thousand dollars ($1,000). Bonds issued in denominations of one hundred dollars ($100), five hundred dollars ($500), or one thousand dollars ($1,000) are hereinafter called “minibonds”. The general treasurer may issue and sell minibonds at public or private sale at par or at a discount, maturing in such amounts and upon such dates, bearing interest at such rate or rates, payable as to both principal and interest at such time or times and in such manner, in bearer or registered form, and upon such other terms and conditions, all as the general treasurer, with the approval of the governor, shall determine to be in the best interest of the state. Each minibond may, at the determination of the general treasurer, also provide that it shall be redeemed by the state at the option of the holder or registered owner upon due presentment on any business day at least one month from its date at such price and on such terms as the general treasurer shall fix, with the approval of the governor, at the time of issue of the minibonds; provided, that if so determined and provided:
(1) Not more than ten percent (10%) of the face amount originally authorized shall be sold by the general treasurer in any one fiscal year;
(2) No minibond shall mature more than five (5) years after its date; and
(3) No one sale to a single purchaser of minibonds shall be in an aggregate face amount greater than five thousand dollars ($5,000).
History of Section. P.L. 1979, ch. 281, § 1; P.L. 1987, ch. 177, § 1.
Bonds or notes issued pursuant to two (2) or more bond or note authorization acts may be consolidated for the purpose of sale and issued, sold, printed, and delivered as a single bond or note issue despite the requirement of any bond or note authorization act requiring or designating a particular total for bonds or notes issued pursuant to that act. Notwithstanding any requirement of the authorization act that bonds or notes issued thereunder shall bear any particular designation, bonds or notes consolidated pursuant to this section shall be designated on their face “Consolidated Capital Development Loan of”, followed by the year of issue and the series thereof in that year, or shall bear such other designation on their face as the general treasurer shall deem appropriate. Notwithstanding the provisions of this section, the general treasurer shall separately account for the bonds or notes issued under the proceeds received from bond or note sales under the particular authorizing act.
History of Section. P.L. 1985, ch. 302, § 1.
Notwithstanding any contrary provision of general or special law, the state and its agencies may rebate to the United States treasury any income from investments (including gains from the disposition of investments) of proceeds of bonds or notes to the extent deemed necessary to exempt (in whole or in part) the interest paid on the bonds or notes from federal income taxation.
History of Section. P.L. 1986, ch. 110, § 5.
[Repealed]
History of Section. P.L. 1986, ch. 110, § 5; Repealed by P.L. 1990, ch. 492, § 8, effective July 12, 1990.
Unless otherwise provided therein, public laws which authorize the state to issue its general obligation bonds are “general obligation bond acts” as that term is defined in § 35-15-2(2).
History of Section. P.L. 1988, ch. 426, § 5; P.L. 1990, ch. 54, § 3.
(a) Any special act of the state which:
(1) Authorizes the issuance of general obligation bonds or notes of the state;
(2) Has a balance which remains unissued; and
(3) Is seven (7) years or older;
shall become invalid, but only as to that portion which remains unissued. The seven (7) year period shall be measured form the date the debt authorization was approved by the vote of the people.
(b) Notwithstanding subsection (a) of this section, the general assembly by special act may extend any authorization for a period of one to five (5) years, upon a petition of the department of administration. The extension may be granted one or more times.
(c) Upon certification by the general treasurer to the governor, debt authorizations described in subsection (a) of this section and not extended under the provisions of subsection (b) of this section shall no longer be deemed or be counted toward the authorized but unissued debt of the state. No petition under subsection (b) of this section may be made with respect to any authorization the expiration of which has been so certified.
(d) Upon the disbursement of sinking funds to replace the unissued general obligation debt authorization, the replaced unissued general obligation debt authorization shall be extinguished in the amount equal to the disbursement from the sinking fund.
History of Section. P.L. 1988, ch. 438, § 1; P.L. 2000, ch. 55, art. 3, § 1.
(a) When bonds or notes have been issued as provided in this chapter, the general treasurer shall be authorized and empowered hereby, with the approval of the governor and in accordance with this chapter, to issue, from time to time, refunding bonds or notes of the state to refund any of such outstanding bonds or notes as may be specified from time to time by the governor provided that the outstanding amount of debt on account of any project shall not be increased thereby to an amount in excess of the amount approved for such project by the people.
(b) If the people shall have approved the issuance of refunding bonds or notes, at the election at which the incurring of debt for the respective project or projects was approved or as a separate approval at another time, the proceeds of the refunding bonds or notes, exclusive of any premium or accrued interest thereon, shall upon receipt be applied to retire the bonds or notes being refunded or shall be deposited by the general treasurer with an escrow agent, which may be the paying agent for the bonds being refunded, in trust for application to payment of such bonds or notes at maturity or upon earlier call. Such escrowed amounts shall be invested for the benefit of the owners of the refunded bonds or notes and shall be invested only in direct or guaranteed obligations of the United States of America or the state of Rhode Island. Money held in escrow, together with the earnings thereon, shall be applied to any principal, interest and early redemption premiums, if any, to the owners of the refunded bonds or notes, in accordance with the instructions of the general treasurer included in the terms of the escrow. An amount of bonds or notes being refunded, which is the largest amount of such bonds or notes for which the escrowed deposit will provide sufficient funds to pay all principal, interest and early redemption premiums, if any, when due, will be considered no longer outstanding and not debts of the state for the purpose of determining the amount of debt outstanding for the respective project or projects from and after the deposit of funds into escrow.
(c) If the people have not approved the issuance of refunding bonds or notes as aforesaid, the general treasurer may nevertheless issue refunding bonds or notes as provided herein for the purpose of paying or refunding all or any portion of an issue of bonds or notes then outstanding, including the amount of any redemption premium and costs of issuance related thereto; provided, however, that no such refunding bonds shall be payable over a period longer than the period during which the original bonds or notes so refunded must be paid pursuant to law, and provided further that the present value of the principal and interest payments due on refunding bonds issued under this section shall not exceed the present value of the principal and interest payments to be paid by the state on account of bonds or notes to be refunded.
History of Section. P.L. 1997, ch. 23, § 1; P.L. 2011, ch. 363, § 23.
(a) In connection with the issuance of duly authorized bonds or notes of the state, notwithstanding any other authority to the contrary, such bonds or notes may be issued in the form of variable rate obligations, so-called. In connection therewith, the state, acting through the general treasurer, may enter into agreements with banks, trust companies or other financial institutions within or without the state, whether in the form of letters or lines of credit, liquidity facilities, insurance or other support arrangements. Any debt issued as variable rate obligations shall bear such terms as the general treasurer shall determine, including provisions for prepayment at any time with or without premium at the option of the state, may be sold at a premium or discount, and may bear interest or not and if interest bearing, may bear interest at such rate or rates variable from time to time as determined by such index, banking loan rate or other method specified in any such agreement. Any such agreement may also include such other covenants and provisions for protecting the rights, security and remedy of the lenders as may, in the discretion of the general treasurer, be reasonable and proper and not in violation of law. The general treasurer may also enter into agreements with brokers for the placement or marketing of any such debt or notes of the state issued as variable rate obligations.
(b) In addition, the general treasurer, with the approval of the governor, may from time to time, enter into and amend interest rate exchange agreements including, but not limited to, interest rate “caps”, “floors”, “collars”, or “swaps” that the general treasurer determines to be necessary or desirable for the purpose of generating savings, managing an interest rate, or similar risk that arises in connection with, or subsequent to or is incidental to the issuance, carrying or securing of variable rate obligations, fixed rate bonds or fixed rate obligations. Such interest rate exchange agreements entered into by the state shall contain such provisions, including payment, term, security, default and remedy provisions, and shall be with such parties, as the general treasurer shall determine to be necessary or desirable after due consideration to the creditworthiness of those parties.
History of Section. P.L. 1997, ch. 23, § 1; P.L. 2001, ch. 162, § 1; P.L. 2011, ch. 363, § 23.
Notwithstanding any general or public law or rule to the contrary, income from investments in the capital development fund may be applied to capital purposes and shall not become part of the general fund of the state to the extent necessary to exempt (in whole or in part) the interest paid on such bonds or notes from federal taxation, to preserve and maintain any federal tax credits associated with such bonds or notes, or to preserve or maintain any refundable tax credits paid or to be paid to the state with regard to such bonds or notes.
History of Section. P.L. 2010, ch. 7, § 1.
This chapter shall be known as and may be cited as the “Rhode Island Refunding Bond Authority Act”.
History of Section. P.L. 1987, ch. 12, § 1.
The general assembly hereby finds, declares, and observes that the:
(1) State issued its general obligation bonds dated May 1, 1984, in the aggregate principal amount of thirty million dollars ($30,000,000) pursuant to statutory authorities approved by the electorate of the state, and the state issued its general obligation bonds dated June 28, 1985, in the aggregate principal amount of ninety million dollars ($90,000,000) pursuant to statutory authorities approved by the electorate of the state;
(2) 1984 and 1985 bonds bear interest at a rate in excess of current interest rates and the general assembly has determined that it would be in the best interests of the people of the state to obtain funds to pay, redeem, or retire the 1984 and 1985 bonds with bonds bearing a lower rate of interest;
(3) Statutory authorities previously approved do not provide authorization for the issuance of general obligation refunding bonds of the state; and
(4) General assembly desires to create an authority with the power to issue bonds to provide funds to loan to the state so that the state can pay, redeem, or retire the 1984 and 1985 bonds.
(5) Furthermore, the general assembly desires to consolidate debt issuing authorities and create administrative savings as a result of such consolidations. To accomplish this desire, on July 1, 1997, the public building authority shall be eliminated as an entity and its functions, powers, rights, duties and liabilities shall be transferred to the authority pursuant to the provisions of this chapter.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 1994, ch. 70, art. 16, § 1; P.L. 1994, ch. 410, § 1; P.L. 1997, ch. 30, art. 2, § 4.
Unless otherwise indicated by the context, the following definitions shall apply for purposes of this chapter:
(1) “Authority” shall mean this refunding bond authority created by § 35-8.1-4;
(2) “Board” means the board of directors of the authority as constituted by § 35-8.1-5;
(3) “Bond” or “bonds” shall include any bond or note and other instrument or form of indebtedness, whether or not certificated, that may lawfully be issued by the authority;
(4) “Revenues” shall include all loan payments, charges, fees, moneys, profits, gifts, grants, contributions, appropriations, and all other income derived or to be derived by the authority under this chapter;
(5) “State” shall mean the state of Rhode Island;
(6) “1984 bonds” shall mean the state’s thirty million dollar ($30,000,000) general obligation bonds dated May 1, 1984; and
(7) “1985 bonds” shall mean the state’s ninety million dollar ($90,000,000) general obligation bonds dated June 28, 1985.
(8) The word “project” shall mean any public facility or public equipment which the authority is authorized to construct, improve, equip, furnish, maintain, acquire, install, or operate under the provisions of this chapter, to provide for the conduct of the executive, legislative, and judicial functions of government, and its various branches, departments, and agencies, at all levels including federal, state and municipal. The projects may include but need not be limited to judicial, administrative, educational, residential, rehabilitative, medical, correctional, recreational, transportation, public water supply system, and such other projects as the authority shall be requested to initiate to provide effective governmental, health, safety, and welfare services in the state, or by the federal government, or by any municipality or joint or regional agencies of the state or any combination thereof.
(9) The word “person” shall mean and include natural persons, firms, associations, corporations, business trusts, partnerships, and public bodies.
(10) The term “federal agency” shall mean and include the United States of America, and any department of, or corporation, agency, or instrumentality heretofore or hereafter created, designated or established by the United States of America.
(11) The word “construction” shall mean and include acquisition and construction, and the term “to construct” shall mean and include to acquire and to construct, all in such manner as may be deemed desirable.
(12) The term “improvement” shall mean and include extension, enlargement, and improvement, and the term “to improve” shall mean and include to extend, to enlarge, and to improve all in such manner as may be deemed desirable.
(13) The term “public equipment” shall mean and include all tangible personal property, new or used, including without limiting the generality of the foregoing, all machinery, equipment, transportation equipment, maintenance equipment, construction equipment, sanitation equipment, and all other things and rights usually included within the term, including any and all interests in the property which are less than full title, such as leasehold interests, security interests, and every other interest or right, legal, or equitable.
(14) The word “cost” as applied to any project to be constructed or acquired by the authority shall include the cost of acquisition or construction, and, if the project consists of public facilities, the cost of the acquisition of all land, rights of way, property, rights, easements, and interests acquired by the authority for the construction, the cost of demolishing or removing any buildings or structures on land so acquired, including the cost of acquiring any lands to which the buildings or structures may be moved, the cost of all machinery and equipment, financing charges, interest prior to and during construction, and for one year after completion of construction, cost of estimates and of planning, engineering, and legal services, plans, specifications, surveys, estimates of cost and of revenues, other expenses necessary or incident to determining the feasibility or practicability of the construction, administrative expenses and such other expenses as may be necessary or incident to the construction, the financing of the construction and the placing of the project in operation. The word “cost” as applied to any project which the authority may be authorized to acquire shall mean the amount of the purchase price of any public equipment, or if the project consists of public facilities, the amount of any condemnation award in connection with the acquisition of the project, and shall include the cost of acquiring all of the capital stock of the corporation owning the project, if such be the case, and the amount to be paid to discharge all of the obligations of the corporation in order to vest title to the project which may be determined by the authority to be necessary prior to the financing thereof, interest during the period of construction of the improvements and for one year thereafter, the cost of all lands, properties, rights, easements, franchises, and permits acquired, the cost of planning, engineering, and legal services, plans, specifications, surveys, estimates of cost and of revenues, other expenses necessary or incident to determining the feasibility or practicability of the acquisition or improvement, administrative expenses, and such other expense as may be necessary or incident to the financing of the acquisition or improvement, and the placing of the project in operation by the authority. The word “cost” shall include the cost of purchase and installation of solar, wind, and renewable energy systems, which include solar thermal, solar electric, and wind energy systems that provide heating, cooling, hot water, or electricity to a building together with equipment for collection, storage, distribution, and control, including structural components of a building specifically designed to retain heat derived from solar energy.
(15) The word “owner” shall mean and include all individuals, incorporated companies, copartnerships, societies, or associations and also municipalities, political subdivisions and all public agencies and instrumentalities having any title or interest in any property, rights, easements, or franchises authorized to be acquired under the provisions of this chapter.
(16) The words “public facilities” shall mean and include any real property, lands, structures, buildings, facilities, or improvements, new or existing, and shall include all structures, parking facilities, landscaping and other appurtenances and facilities, including fixtures, furnishings, personalty, and equipment, incidental to the use of any building, the site thereof, and any easements, rights-of-way or other property rights appurtenant thereto or necessary or convenient in connection therewith.
(17) The word “municipality” shall mean and include any city or town within the state now existing or hereafter created or any joint, mutual or regional entities, authorizing venture or undertaking involving two (2) or more such cities or towns.
(18) The word “state” shall mean and include the state of Rhode Island, any office, department, board, commission, bureau, division, authority, public corporation, agency, or instrumentality thereof.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 1997, ch. 30, art. 2, § 4.
There is hereby created and established a public corporation to be administered by the office of the general treasurer, having a distinct legal existence from the state and not constituting a department of state government, to be known as the “Rhode Island refunding bond authority”. The authority is constituted as a public instrumentality to exercise public and essential governmental functions.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 2006, ch. 319, § 2; P.L. 2006, ch. 444, § 2.
(a) The authority shall be governed by a board which shall have seven (7) members, consisting of:
(1) The general treasurer or his or her designee who shall be a subordinate within the general treasurer’s office, who shall serve as chairperson;
(2) The director of administration or his or her designee who shall be a subordinate within the department of administration;
(3) A representative of the budget office or his or her designee from within the budget office, who shall be appointed by the director of administration;
(4) Two (2) public members appointed by the governor with the advice and consent of the senate, one of whom shall serve an initial term of three (3) years; and one of whom shall serve an initial term of four (4) years. Thereafter, the members appointed pursuant to this subsection shall serve for a term of four (4) years and until his or her successor is appointed and qualified;
(5) Two (2) public members appointed by the general treasurer, with the advice and consent of the senate: one of whom shall serve an initial term of two (2) years; and one of whom shall serve an initial term of one year. Thereafter, the members appointed pursuant to this subsection shall serve for a term of four (4) years and until his or her successor is appointed and qualified; and
(6) The gubernatorial and general treasurer appointees shall be persons qualified by training and experience in the fields of finance or banking. No one shall be eligible for appointment unless he or she is a resident of this state. Any member of the general public that was appointed by the governor prior to the effective date of this act [July 4, 2006] shall continue to serve until such time as a successor is appointed and qualified.
Public members of the authority shall be removable by the chair for cause only, and removal solely for partisan or personal reasons unrelated to capacity or fitness for the office shall be unlawful.
Newly appointed and qualified public members shall, within six (6) months of their appointment, attend a training course that shall be developed and provided by the office of the general treasurer and shall include instruction in the following areas: the provisions of chapters 35-8.1, 42-46, 36-14 and 38-2 of the Rhode Island general laws; and the authority’s rules and regulations. The director of the department of administration shall, within ninety (90) days of the effective date of this act [July 4, 2006], prepare and disseminate training materials relating to the provisions of chapters 42-46, 36-14 and 38-2.
(b) In the event of vacancy occurring in the public membership, the appointing authority shall appoint a public member for the unexpired term. Any public member of the board shall be eligible for reappointment. No one shall be eligible for appointment unless he or she is a resident of this state.
(c) Each member of the board, before entering upon any duties, shall swear or solemnly affirm to administer the duties of office faithfully and impartially, and that oath or affirmation shall be filed in the office of the secretary of state.
(d) The board shall elect one of their number to serve as both secretary and treasurer. Four (4) members of the board shall constitute a quorum and the affirmative vote of four (4) members shall be necessary for any action taken by the authority. No vacancy in the membership of the board shall impair the right of a quorum to exercise all the rights and perform all the duties of the board.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 2006, ch. 319, § 2; P.L. 2006, ch. 444, § 2.
The members of the authority shall serve without compensation, but the authority shall reimburse them for actual expenses necessarily incurred in the discharge of their duties. Notwithstanding any other law, an officer or employee of the state shall not be deemed to have forfeited or shall forfeit his or her office or employment or any benefits thereof by reason of acceptance of the office of member of the authority.
History of Section. P.L. 1987, ch. 12, § 1.
The authority shall be staffed by the office of the general treasurer. The authority may employ such consultants, as it, in its discretion, deems necessary. For purposes of this chapter only, the authority may adopt rules pursuant to chapter 35 of title 42 upon less than twenty (20) days’ notice and it may proceed upon any abbreviated notice and hearing to adopt an emergency rule if it finds an economic benefit to the state. The rules shall become effective immediately upon filing with the secretary of state.
History of Section. P.L. 1987, ch. 12, § 1.
To carry out the purposes of this chapter, the authority has the power to:
(1) Sue and be sued;
(2) Adopt and have an official seal and alter the seal at its pleasure;
(3) Make and alter bylaws, rules, and regulations for the conduct of its affairs and business;
(4) Maintain an office at such place or places within the state as it may determine;
(5) Acquire, hold, use, and dispose of its revenue income, funds, and moneys;
(6) Acquire, purchase, hold, and use any property, real, personal or mixed, tangible or intangible, or any interest therein necessary or desirable for carrying out the purposes of the authority, and to mortgage, lease, or sell any of the property; and (without limitation of the foregoing) to lease as lessee, any property, real, personal, or mixed, or any interest therein to lease as lessor to the federal government, the state, and any municipality any project of the authority, and to sell, transfer, and convey to any lessee or to any other person upon such terms and conditions and for such considerations as the authority shall determine.
(7) Borrow money, issue its bonds, provide for and secure the payment thereof, and provide for the rights of the holders thereof, and purchase, hold, and dispose of any of its bonds;
(8) Lend money for its purposes, invest and reinvest its funds, and, at its option, take and hold property, real or personal, as security for the payment of funds so loaned and invested, except that at no time will the authority take and hold property of the state as security for the payment of funds so loaned;
(9) Accept, in furtherance of its purposes, appropriations, gifts, or grants of property, funds, money, materials, labor, supplies, or services from the United States of America or the state or any other state or agencies or departments thereof, or from any governmental unit or any person, firm, or corporation, and to carry out the terms or provisions or make agreements with respect to those appropriations, gifts, or grants, and to do any and all things necessary, useful, desirable, or convenient in connection with the procurement, acceptance, or disposition of those appropriations, gifts, or grants;
(10) Do and perform any acts and things authorized by this chapter under, through, or by means of its officers or consultants or by contracts with any person, firm, or corporation;
(11) Make, enter into, and enforce all contracts or agreements necessary, convenient, or desirable for the purposes of the authority or pertaining to any loan to the state or to the performance of its duties and execution or carrying out of any of its powers under this chapter;
(12) Purchase any bond or interest rate insurance and establish such credit or liquidity enhancement arrangements with financial institutions as the authority shall deem advisable;
(13) Invest any funds or moneys of the authority in the same manner as permitted for investment of funds belonging to the state or held in the state treasury; and
(14) Do all acts and things necessary, convenient, or desirable to carry out the powers expressly granted or necessarily implied in this chapter;
(15) Acquire by purchase, lease, or otherwise, and to construct, improve, equip, furnish, maintain, repair, and operate projects, and to establish rules and regulations for the use of any project;
(16) Rent such space in such public facilities as from time to time may not be needed by any governmental entity to any person for such other purposes as the authority may determine and upon such terms and in such manner as the authority may determine;
(17) Employ, in its discretion, planning, architectural, or engineering consultants, attorneys, accountants, construction, and financial experts, superintendents, managers, and such other officers, employees and agents as may be necessary in its judgment, and to fix their compensation;
(18) Fix and revise from time to time, subject to the provisions of this chapter, and to charge and collect fees, rentals, and other charges for the use of the facilities of, or for the services rendered by, the authority or projects thereof, at rates to be determined by the authority, for the purpose of providing for the payment of the expenses of the authority, the acquisition, construction, improvement, repair, equipping, furnishing, maintenance, and operation of its facilities and properties, the payment of the principal of and interest on its obligations, and to fulfill the terms and provisions of any agreements made with the purchasers or holders of any obligations;
(19) Without limitation of the foregoing, to borrow money from, to receive, and accept grants for or in aid of construction or acquisition of projects authorized under this chapter from, and to enter into contracts, leases, or other transactions with, any federal agency; and to receive and accept from the state or any municipality, and from any other source, aid or contributions of either money, property, labor, or other things of value, to be held, used, and applied only for the purposes for which the grants and contributions may be made;
(20) Combine for financing purposes any two (2) or more projects authorized to be acquired or constructed under the provisions of this chapter;
(21) Be a promoter, partner, member, owner, associate, or manager of any partnership, condominium, or other enterprise or venture;
(22) Acquire in the name of the authority by purchase or otherwise, on such terms and conditions and in such manner as it may deem proper, or by the exercise of the rights of condemnation in the manner hereinafter provided, such public or private lands, including public parks, playgrounds, or reservations, or parts thereof or rights therein, rights of way, property, rights, easements, and interests as it may deem necessary for carrying out the provisions of this chapter; provided, however, that all public property damaged in carrying out the powers granted by this chapter shall be restored or repaired and placed in its original condition as nearly as practicable.
(23)(i) Issue bonds and notes of the type and for those projects and for those purposes specified in any Joint Resolution of the general assembly enacted by the Rhode Island house of representatives and the Rhode Island senate pursuant to section 18 of title 35 of the general laws entitled “Rhode Island Public Corporation Debt Management Act,” which project and purposes specified in such Joint Resolution shall constitute a “project” within the meaning of this chapter; and
(ii) To enter into such agreements, to deliver such instruments, and to take such other actions as it shall deem necessary or desirable to effectuate the financing of such project.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 1997, ch. 30, art. 2, § 4; P.L. 2014, ch. 145, art. 4, § 5.
Upon the passage of this article there are hereby transferred to the authority all the functions, powers, rights, duties, liabilities, property and resources of the public buildings authority.
History of Section. P.L. 1997, ch. 30, art. 2, § 5.
(a) In order to benefit the people of the state and to provide for their general health and welfare and to maintain the high standards of public facilities and public equipment within the state the authority is hereby authorized and empowered to acquire and construct public facilities and to acquire public equipment; to maintain, repair and operate the same; and with the consent of both the governor and the general assembly to issue revenue bonds of the authority, payable solely from revenues derived from leasing of the projects, to finance the same. Development of the projects may be initiated by the authority only upon request of the proper agency of the federal government, or of the legislative body of the municipality seeking the project, or of both the general assembly and the governor in the case of the state, the director of administration with the approval of the governor being hereby authorized to enter into a contract of lease with the authority for the leasing of such projects upon such terms and conditions as shall be agreed to by the director of administration and the authority; and, in the case of public facilities (except those public facilities to be used in connection with projects to provide judicial complexes, administrative offices, educational facilities and warehouse facilities), shall require, prior to the issuance of such revenue bonds, approval by resolution of the legislative body of the municipality in which they are proposed to be located.
(b) Without limiting the generality of the foregoing the authority is expressly empowered to lease or sell a project or any part thereof to the state or to any municipality. Any such lease by the authority to the state or any municipality may be for such period, upon such terms and conditions, with or without an option to purchase, as the authority may determine.
(c) The provisions of any other laws or ordinances, general, special or local, or of any rule or regulation of the state or any municipality, restricting or regulating in any manner the power of the state or any municipality to lease (as lessee or lessor) or sell property, real, personal or mixed, shall not apply to leases and sales made with the authority pursuant to this chapter.
(d) The state and any municipality, notwithstanding any contrary provision of law, are hereby authorized and empowered to lease, lend, grant or convey to the authority, at its request upon such terms and conditions as the proper authorities of the state and any such municipality may deem reasonable and fair and without the necessity for any advertisement, order of court or other action or formality, other than the regular and formal action of the authorities concerned, any real property or personal property which may be necessary or convenient to the effectuation of the authorized purpose of the authority, including public roads and other real property already devoted to public use; and subject to the aforesaid, the state hereby consents to the use of all lands owned by it, including lands lying under water, which are deemed by the authority to be necessary for the construction or operation of any project.
(e) The authority is hereby authorized and empowered to contract for the acquisition of any of its projects or portions thereof by the federal government; and to contract with any state, federal, or municipal agencies for the performance of any services essential or convenient to its purposes under this chapter.
(f) Any request by the legislative body of a municipality seeking a project shall be in the form of a resolution adopted by a unanimous vote of such body, or, in the case of projects requested by the legislative bodies of two or more cities or towns comprising a joint or regional undertaking, by a unanimous vote of the legislative body of each such city or town participating in such undertaking.
History of Section. P.L. 1997, ch. 30, art. 2, § 5.
The authority shall have the right to acquire any land, or any interest therein, by the exercise of the power of eminent domain, whenever it shall be determined by the authority that the acquisition of the land, or interest, is necessary for the construction or the operation of any project.
(1) The necessity for an acquisition shall be conclusively presumed upon the adoption by the authority of a resolution declaring that the acquisition of the land, or interest therein, described in the resolution is necessary for the construction or operation. Within six (6) months thereafter the authority shall cause to be filed in the land evidence records of the city or town in which the land is located, a copy of the resolution of the authority, together with a plat of the land, or interest therein described, and a statement, signed by the chairperson of the authority, that the lands, or interest therein, are taken pursuant to the provisions of this chapter. Thereupon the authority shall file in the superior court in and for the county in which the land, or interest therein lies, a statement of the sum of money estimated by the authority to be just compensation for the land taken.
(2) Upon the filing of the copy of the resolution, plat, and statement in the land evidence records of the city or town, the filing in the superior court, of the statement, and the depositing in the superior court, to the use of the persons entitled thereto, of such sum as the court shall determine to be amply sufficient to satisfy the claims of all persons interested in the land (and the court may, in its discretion, take evidence on the question to determine the sum to be deposited), title to the land, or interest therein, shall vest in the authority in fee simple absolute and the authority thereupon may take possession of the land, or interest therein.
(3) No sum so paid into the court shall be charged with clerk’s fees of any nature. After the filing of the copy, plat, and statement, notice of the taking of the land, or interest therein, shall be served upon the owners of and persons having an estate in and interested in the land by the sheriff or his or her deputies of the county in which the land, or interest therein, lies, leaving a true and attested copy of the description and statement with each of the persons personally, or at their last and usual place of abode in this state with some person living there, and in the case any of the persons are absent from this state and have no last and usual place of abode therein occupied by any person, the copy shall be left with the persons, if any, in charge of or having possession of the land, or interest therein, taken of the absent persons if the same are known to the officer; and after the filing of the resolution, plat, and statement, the secretary of the authority shall cause a copy of the resolution and statement to be published in some newspaper published or having general circulation in the county where the land, or interest therein, may be located, at least once a week for three (3) successive weeks. If any person shall agree with the authority for the price of the land, or interest therein, so taken, the court upon the application of the parties in interest, may order that the sum agreed upon be paid forthwith from the money deposited, as the just compensation to be awarded in the proceeding.
(4) Any owner of or persons entitled to any estate in or interested in any part of the land, or interest therein, so taken, who cannot agree with the authority for the price of the land, or interest therein, so taken in which he or she is interested as aforesaid, may, within three (3) months after personal notice of the taking, or, if he or she have no personal notice, may within one year from the first publication of the copy of the resolution and statement, apply by petition to the superior court in and for the county in which the land, or interest therein, lies, setting forth the taking of his or her land or interest therein, and praying for an assessment of damages by a jury. Upon the filing of the petition the court shall cause twenty (20) days notice of the pendency thereof to be given to the authority by serving the chairperson or vice chairperson of the authority with a certified copy thereof, and may proceed after notice to the trial thereof; and the trial shall determine all questions of fact relating to the value of the land, or interest therein, and the amount thereof, and judgment shall be entered upon the verdict of the jury and execution shall be issued therefor against the money so deposited in court and in default thereof against any other property of the authority. In case two (2) or more conflicting petitioners make claim to the same land, or to any interests therein, or to different interests in the same parcel of land, the court upon motion shall consolidate their several petitions for trial at the same time by the same jury, and may frame all necessary issues for the trial thereof; and all proceedings taken pursuant to the provisions of this chapter shall take precedence over all other civil matters then pending before the court, or if the superior court in and for the county in which the land, or interest therein, lies, be not in session in the county, then the trial may be heard in the superior court for the counties of Providence and Bristol.
(5) If any lands, or interests therein, in which any minor or other person not capable in law to act in his or her own behalf is interested, are taken by the authority under the provisions of this chapter, the superior court, upon the filing therein of any petition by or in behalf of the minor or other person, may appoint a guardian ad litem for the minor or other person, and the guardian may appear and be heard in behalf of the minor or other person; and the guardian may also, with the advice and consent of the superior court and upon the terms as said superior court may prescribe, release to the authority all claims for damages for the lands of the minor or other person or for any interests therein. Any lawfully appointed, qualified, and acting guardian or other fiduciary of the estate of any minor or other person, with the approval of the court of probate within this state having jurisdiction to authorize the sale of lands and properties within this state of any minor or other person, may, before the filing of any petition, agree with the authority upon the amount of damages suffered by the minor or other person by any taking of his or her lands or of his or her interests in any lands, and may, upon receiving the amount, release to the authority all claims of damages of the minor or other person for such taking.
(6) Whenever, from time to time the authority has satisfied the court that the amount deposited with the court is greater than is amply sufficient to satisfy the claims of all persons interested in the land, the court may order that the amount of any excess including any interest or increment on any sums so deposited shall be repaid to the authority. Whenever the authority has satisfied the court that the claims of all persons interested in the land taken have been satisfied, the unexpended balance, including any interest of increment on any sums so deposited, shall be paid forthwith to the authority.
(7) In any proceedings for the assessment of compensation and damages for land or interest therein taken or to be taken by eminent domain by the authority the following provisions shall be applicable:
(i) At any time during the pendency of the action or proceeding, the authority or an owner may apply to the court for an order directing an owner or the authority, as the case may be, to show cause why further proceedings should not be expedited, and the court may upon an application make an order requiring that the hearings proceed and that any other steps be taken with all possible expedition.
(ii) If any of the land, or interest therein, is devoted to a public use, it may, nevertheless, be acquired, and the taking shall be effective provided that no land, or interest therein, belonging to a public utility corporation may be acquired without the approval of the public utilities administrator or other officer or tribunal having regulatory power over the corporation. Any land, or interest therein, already acquired by the authority may, nevertheless be included within the taking for the purpose of acquiring any outstanding interests in the land.
History of Section. P.L. 1997, ch. 30, art. 2, § 5; P.L. 2011, ch. 363, § 24.
In addition to all of the proceedings and requirements under § 35-8.1-8.3, the authority shall further be required to follow the same statutory proceedings for the taking of land as required of state agencies when the agencies take land under the authority granted by chapter 6 of title 37.
History of Section. P.L. 1997, ch. 30, art. 2, § 5.
The use of the facilities of the authority and the operation of its business shall be subject to the rules and regulations from time to time adopted by the authority; provided, however, that the authority shall not be authorized to do anything which will impair the security of the holders of the obligations of the authority or violate any agreements with them or for their benefit.
History of Section. P.L. 1997, ch. 30, art. 2, § 5.
When all bonds issued under the provisions of the chapter for each specific project and the interest thereon shall have been paid or a sufficient amount for the payment of all the bonds and the interest thereon to the maturity thereof shall have been set aside in trust for the benefit of the bondholders, that specific project financed under the provisions of this chapter may be transferred to the governmental body leasing the project on such terms and conditions and for such consideration as the authority shall determine. If the authority shall be dissolved all funds of the authority not required for the payment of bonds shall be paid to the general treasurer for the use of the state and all property belonging to the authority shall be vested in the state and delivered to it.
History of Section. P.L. 1997, ch. 30, art. 2, § 5.
In addition to any other powers granted in this chapter, the authority has the power to:
(1) Conduct examinations and hearings and hear testimony and take proof, under oath or affirmation, at public or private hearings, on any matter material for its information and necessary to carry out the terms of this chapter;
(2) Issue subpoenas, necessary to carry out the terms of this chapter, requiring the attendance of witnesses and the production of books and papers pertinent to any hearing before the authority, or before one or more of the members of the authority appointed by it to conduct the hearing; and
(3) Apply to any court, having territorial jurisdiction of the offense, to have punished for contempt any witness who refuses to obey a subpoena, or who refuses to be sworn or affirmed to testify, or who is guilty of any contempt after summons to appear.
History of Section. P.L. 1987, ch. 12, § 1.
In the month of January, the authority shall make an annual report of its activities for the preceding fiscal year to the governor, the speaker of the house of representatives, the president of the senate and the secretary of state. The report shall set forth a complete operating and financial statement covering its operations during the year, a summary of meetings or hearings held, meeting minutes if requested, subjects addressed, decisions rendered, rules or regulations promulgated, studies conducted, policies and plans developed, approved, or modified, and programs administered or initiated; a summary of performance during the previous fiscal year including accomplishments, shortcomings and remedies; a synopsis of hearings, complaints, suspensions, or other legal matters related to the authority of the board; a summary of any training courses held pursuant to subsection 35-8.1-5(a); a briefing on anticipated activities in the upcoming fiscal year; and findings and recommendations for improvements. The report shall be posted electronically on the general assembly and the secretary of state’s website as prescribed in § 42-20-8.2 of the Rhode Island general laws. The director of the department of administration shall be responsible for the enforcement of this provision.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 2006, ch. 319, § 2; P.L. 2006, ch. 444, § 2.
The authority may lend money to the state, upon the request of the governor, by entering into a loan and trust agreement. The governor is authorized to enter into a loan and trust agreement with the authority for the loaning of money to the state upon such terms and conditions as shall be agreed upon by the governor and the authority. Upon the loaning and delivery of money to the state, the state shall be deemed to have agreed to make certain loan payments in order to provide revenues to the authority. Notwithstanding anything in this chapter or any loan and trust agreement to the contrary, the amounts required to be paid by the state shall be subject to and dependent upon appropriations being made from time to time by the general assembly for that purpose.
History of Section. P.L. 1987, ch. 12, § 1.
(a) Other than as provided in subsection (b), the proceeds of a loan to the state shall, upon their receipt, be paid by the general treasurer immediately to the paying agent or other suitable trustee for the 1984 and 1985 bonds and the paying agent or trustee shall hold the proceeds in trust until they are applied to pay the 1984 and 1985 bonds. Neither the governor nor the general treasurer or any other official of the state or trustee for the 1984 and 1985 bonds shall make or permit to be made any expenditures for new capital improvements from the proceeds of the loan. While the proceeds are held in trust, they may be invested in obligations of the United States or the state or any other state.
(b) The proceeds generated for refinancing the pension obligation shall be paid to the general treasurer on behalf of the state, who shall then immediately remit the proceeds to the state retirement system. Neither the governor nor the general treasurer or any other official of the state shall make any expenditures for new capital improvements from the proceeds. While the proceeds are held by the state retirement system they shall be invested pursuant to the investment statutes and policies of the state investment commission.
(c) The board, with the approval of the governor, shall have the authority to appoint a paying agent or other suitable trustee for the 1984-1985 bonds and the governor is authorized to execute any documents or agreements on behalf of the state necessary to carry out the purposes of this section.
(d) Any proceeds issued pursuant to § 35-8.1-13(d), can be used in accordance within the terms of any trust or agreement entered into by the authority in connection with such bonds.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 1994, ch. 70, art. 16, § 1; P.L. 1997, ch. 30, art. 2, § 4.
(a) The authority shall have the power and is authorized to provide by resolution for the issuance of bonds upon the request of the governor and a finding of a financial benefit to the state, in such principal amounts as it shall deem necessary to provide funds for the purposes of:
(1) Loaning money to the state to provide funds to pay, redeem, or retire:
(i) All or a part of the 1984 and 1985 bonds; or
(ii) A portion of the unfunded liability of the state retirement system not to exceed three hundred million dollars ($300,000,000); provided, that the authority conferred hereby, as it relates to the refunded liability of the state retirement system, shall expire on June 30, 1995;
(2) Funding or refunding the principal of, or interest or redemption premium on, any bonds issued by it, whether the bonds or interest to be paid, funded, or refunded have or have not become due or are subject to redemption prior to maturity in accordance with their terms;
(3) Establishing or increasing reserves to secure or to pay such bonds or interest thereon as are reasonably required and permitted by law; and
(4) Paying all other costs or expenses of the authority incident to and necessary or convenient to carry out its purposes and powers.
(b) In the event that the authority issues refunding bonds pursuant to subsection (a)(2), the proceeds of the refunding bonds may be applied, in the discretion of the authority, to the purchase, retirement at maturity, or redemption of the outstanding bonds either at their earliest or a subsequent redemption date, and may, pending that application, be placed in escrow with a suitable trustee. While the proceeds are held in trust, they may be invested in obligations of the United States or the state or any other state.
(c) If the authority shall deposit the proceeds of refunding bonds with a suitable trustee in such an amount that, when invested in and combined with income expected to be derived from obligations of the United States or the state or any other state, are sufficient to pay all principal, interest, and premium, if any, on any of its outstanding bonds, then, until the outstanding bonds are called for prepayment or otherwise paid, the outstanding bonds shall not be considered debts of the authority, for any purpose, from the date of deposit of the moneys with the trustee.
(d) Notwithstanding the provisions of subsections (a) — (c) above, (1) with the consent of both the governor and the general assembly the authority is hereby authorized to provide by resolution for the issuance, at one time or from time to time, of revenue bonds of the authority for the purpose of paying all or a part of the cost of any one or more projects, the construction or acquisition of which is authorized by this chapter. The principal of and the interest on the bonds shall be payable solely from the funds herein provided for the payment. The bonds of each issue pursuant to this subsection shall be dated, shall bear interest at such rate or rates as the authority shall determine, payable semi-annually, shall mature at such time or times not exceeding forty (40) years from their date or dates, as may be determined by the authority, and may be made redeemable before maturity, at the option of the authority, at such price or prices and under such terms and conditions as may be fixed by the authority prior to the issuance of the bonds. The authority shall determine the form of the bonds, including any interest coupons to be attached thereto, and shall fix the denomination or denominations of the bonds and the place or places of payment of the principal and interest, which may be at any bank or trust company within or without the state. The bonds shall be signed by the chairperson of the authority or shall bear his or her facsimile signature, and the official seal of the authority or a facsimile thereof shall be impressed or imprinted thereon and attested by the secretary of the authority, and any coupons attached to the bonds shall bear the facsimile signature of the chairperson of the authority. In case any officer whose signature or facsimile of whose signature shall appear on any bonds or coupons shall cease to be an officer before the delivery of the bonds, the signature or the facsimile shall nevertheless be valid and, sufficient for all purposes, the same as if he or she had remained in office until the delivery. The bonds may be issued in coupon or in registered form, or both, as the authority may determine, and provision may be made for the registration of any coupon bonds as to principal alone and also as to both principal and interest, for the reconversion into coupon bonds of any bonds registered as to both principal and interest and for the interchange of registered and coupon bonds. The authority may sell such bonds in such manner, either at public or private sale, and for such price, as it may determine will best effect the purposes of this chapter.
(2) The proceeds of the bonds issued pursuant to subsection (d) shall be used solely for the payment of the cost of the project or projects for which the bonds shall have been issued, and shall be disbursed in such manner and under such restrictions, if any, as the authority may provide in the resolution authorizing the issuance of the bonds or in the trust agreement hereinafter mentioned securing the same. If the proceeds of the bonds of any issue shall exceed the cost, the surplus shall be deposited to the credit of the sinking fund for the bonds or may be applied to the payment of the cost of any project thereafter financed under the provisions of subsection (d).
(3) Prior to the preparation of definitive bonds, the authority may, under like restrictions, issue interim receipts or temporary bonds, with or without coupons, exchangeable for definitive bonds when the bonds shall have been executed and are available for delivery. The authority may also provide for the replacement of any bonds which shall become mutilated or shall be destroyed or lost. Bonds may be issued under the provisions of this subsection without obtaining the consent of any department, division, commission, board, bureau, or agency of the state, and without any other proceedings or the happening of any other conditions or things than those proceedings, conditions or things which are specifically required by this chapter.
(4) In the discretion of the authority, any bonds issued under the provisions of this chapter may be secured by a trust agreement by and between the authority and a corporate trustee, which may be any trust company or bank having the powers of a trust company within or without the state. The trust agreement or the resolution providing for the issuance of the bonds may pledge or assign the revenues to be received and may convey or mortgage any project or any part thereof or any combination of projects or parts hereof. The trust agreement or resolution providing for the issuance of the bonds may contain such provisions for protecting and enforcing the rights and remedies of the bondholders or noteholders as may be reasonable and proper and not in violation of the law, including covenants setting forth the duties of the authority in relation to the acquisition of property and the construction, improvement, maintenance, repair, operation, and insurance of the project or projects in connection with which the bonds shall have been authorized, the custody, safeguarding, and application of all moneys, and conditions or limitations with respect to the issuance of additional bonds. It shall be lawful for any bank or trust company incorporated under the laws of the state which may act as depository of the proceeds of bonds or of revenues to furnish such indemnifying bonds or to pledge such securities as may be required by the authority. The trust agreement may set forth the rights and remedies of the bondholders and of the trustee, and may restrict the individual right of action by bondholders. In addition to the foregoing, the trust agreement or resolution may contain such other provisions as the authority may deem reasonable and proper for the security of the bondholders. All expenses incurred in carrying out the provisions of the trust agreement or resolution may be treated as a part of the authority’s cost of operation and maintenance.
(5) The authority is hereby authorized to provide for the issuance of refunding bonds of the authority for the purpose of refunding any bonds then outstanding which shall have been issued under the provisions of this subsection, including the payment of any redemption premium thereon or any interest accrued or to accrue to the earliest or subsequent date of redemption purchase or maturity of the bonds. The proceeds of bonds or notes issued for the purpose of refunding outstanding bonds or notes may be applied, in the discretion of the authority, to the purchase, retirement at maturity, or redemption of the outstanding bonds or notes either on their earliest or a subsequent redemption date, and may, pending the application, be placed in escrow. Any escrowed proceeds may be invested and reinvested in obligations of or guaranteed by the United States of America, or in certificates of deposit, time deposits, or repurchase agreements fully secured or guaranteed by the state or the United States, or an instrumentality of either, maturing at such time or times as shall be appropriate to assure the prompt payment, as to principal, interest, and redemption premium, if any, of the outstanding bonds and notes to be so refunded. The interest, income and profits, if any, earned or realized on any investment may also be applied to the payment of the outstanding bonds or notes to be so refunded. After the terms of the escrow have been fully satisfied and carried out, any balance of the proceeds and interest, income and profits, if any, earned or realized on the investments thereof may be returned to the authority for use by it in furtherance of its purposes. The issuance of the bonds, the maturities and other details thereof, the rights of the holders thereof, and the rights, duties, and obligations of the authority in respect of the same shall be governed by the provisions of this chapter insofar as the same may be applicable.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 1994, ch. 70, art. 16, § 1; P.L. 1994, ch. 410, § 1; P.L. 1997, ch. 30, art. 2, § 4.
Notwithstanding any law to the contrary, bonds issued under this chapter are fully negotiable for all purposes.
History of Section. P.L. 1987, ch. 12, § 1.
(a) Bonds shall be authorized by resolution of the authority and may be issued in one or more series and shall bear such date or dates, mature at such time or times, be in such denomination or denominations, be in such form, carry such conversion or registration privileges, have such rank or priority, be executed in such manner, be payable from such sources, in such medium of payment, at such place or places within or without the state, and be subject to such terms of redemption, with or without premium, as the authority shall determine. The rate or rates of interest on the bonds may be fixed or variable. Variable rates shall be determined in the manner and in accordance with the procedures established by the authority prior to the issuance of the bonds. Bonds bearing a variable rate of interest may be converted to bonds bearing a fixed rate of interest to the extent and in the manner determined by the authority prior to the issuance of the bonds. The interest on bonds may be payable semiannually or annually or at any other interval as may be provided by the authority prior to the issuance of the bonds, or the interest may be compounded and paid at maturity or at any other times as may be specified by the authority prior to the issuance of the bonds.
(b) In case any person whose signature or facsimile of whose signature shall appear on any bonds shall cease to be an officer before the delivery of the bonds, the signature or the facsimile shall nevertheless be valid and sufficient for all purposes the same as if he or she had remained in office until delivery. The bonds may be issued in coupon form or in any form permitted by chapter 13 of this title, or both, as the authority may determine, and provision may be made for the registration of any coupon form bonds as to principal alone and also as to both principal and interest, for the reconversion into coupon form bonds of any bonds registered as to both principal and interest, and for the interchange of registered and coupon form bonds. The authority may sell these bonds in such manner, either at public or private sale, and for such price as it may determine will best effect the purposes of this chapter.
(c) The authority may, if it deems it desirable to do so, cause the bonds to conform to any requirements imposed to exempt the interest paid on the bonds from federal income taxation.
(d) The proceeds of the bonds shall be loaned to the state and shall be disbursed in such manner and under such restrictions, if any, as the authority may provide in the resolution authorizing the issuance of the bonds or in the loan and trust agreement mentioned in § 35-8.1-16 securing the bonds. Any surplus proceeds may be used to repurchase bonds of the authority, may be deposited to the credit of any reserve fund for the bonds, or may be used for any other purpose of the authority consistent herewith.
(e) Bonds may be issued under the provisions of this chapter without obtaining the consent of any department, division, commission, board, bureau, or agency of the state, and without any other proceedings or the happening of any other conditions or things than those proceedings, conditions, or things which are specifically required by this chapter. Notwithstanding the foregoing, the authority shall be subject to chapter 10.1 of title 42 (Public Finance Management Board).
History of Section. P.L. 1987, ch. 12, § 1.
In the discretion of the authority, any bonds issued under the provisions of this chapter may be secured by a loan and trust agreement by and between the (1) authority, the state, and a corporate trustee, which may be any trust company or bank having the powers of a trust company within or without the state; or (2) the authority, the state and the state retirement system. The loan and trust agreement, or the resolution providing for the issuance of the bonds, may pledge or assign the revenues of the authority and may contain such provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law. It shall be lawful for any bank or trust company incorporated under the laws of the state which may act as depository of the proceeds of bonds or of revenues of the authority to furnish such indemnifying bonds or to pledge such securities as may be required by the authority. The loan and trust agreement may set forth the rights and remedies of the bondholders and of the trustee, if applicable, and may restrict the individual right of action by bondholders.
History of Section. P.L. 1987, ch. 12, § 1; P.L. 1994, ch. 70, art. 16, § 1.
(a) Bonds issued under this chapter shall not be deemed to constitute a debt of the state or any other political subdivision thereof or a pledge of the faith and credit of the state or any other political subdivision thereof, but shall be payable solely from the funds provided therefrom from revenues. Each bond must contain on its face a statement to the effect that the authority is obligated to pay the principal thereof and the interest thereon only from revenues or funds of the authority and that neither the faith and credit nor the taxing power of the state is pledged to the payment of the principal or the interest on the bonds.
(b) Except as may be otherwise expressly provided in this chapter or by the authority, every issue of bonds of the authority shall be general obligations of the authority payable out of any revenues or funds of the authority. Bonds may additionally be secured by a pledge of any grants, subsidies, contributions, funds, or moneys from the United States or the state or any governmental unit or any person, firm, or corporation, or a pledge of any income or revenues, funds, or money of the authority from any source whatsoever.
History of Section. P.L. 1987, ch. 12, § 1.
The authority has the power to fix and collect from time to time, subject to the provisions of this chapter, schedules for the repayment of any loan to the state in order to generate revenues. The schedules for repayment shall not be subject to supervision or regulation by any commission, board, bureau, or agency of the state or of any municipality or other political subdivision of the state. The revenues derived from loan repayments may be pledged as provided in any loan and trust agreement or resolution of the authority. The pledge shall be valid and binding from the time when the pledge is made. The revenues so pledged and thereafter received by the authority shall immediately be subject to the lien of the pledge without physical delivery thereof or further act, and the lien of the pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the authority, irrespective of whether the parties have notice thereof. Neither the resolution nor any loan and trust agreement by which a pledge is created need be filed or recorded except in the records of the authority. The use and disposition of revenues shall be subject to the provisions of the resolution authorizing the issuance of the bonds or the loan and trust agreement.
History of Section. P.L. 1987, ch. 12, § 1.
All moneys received pursuant to the provisions of this chapter, whether as proceeds from the sale of bonds or as revenues, shall be deemed to be trust funds to be held and applied as may be provided in the resolution authorizing the issuance of the bonds or the loan and trust agreement securing the bonds. The authority shall, in the resolution authorizing the bonds or in the loan and trust agreement securing the bonds, provide for the payment of proceeds of the sale of the bonds and the revenues to be received to a trustee, which shall be any trust company or bank having the powers of a trust company within or without the state, which shall act as trustee of the funds, and which shall hold and apply the funds to the purposes of this chapter, subject to such regulations as this chapter and the resolution or loan and trust agreement may provide.
History of Section. P.L. 1987, ch. 12, § 1.
Any holder of bonds issued under the provisions of this chapter or any coupons appertaining thereto and the trustee under the loan and trust agreement or the resolution, except to the extent the rights given in this chapter may be restricted by the loan and trust agreement or the resolution, may, by civil action, mandamus, or other proceeding, protect and enforce any and all rights under the laws of the state or granted under this chapter or under the loan and trust agreement or the resolution authorizing the issuance of the bonds, and may enforce and compel the performance of all duties required by this chapter or by the loan and trust agreement or resolution to be performed by the authority or by any officer thereof, including the fixing, charging, and collection of revenues.
History of Section. P.L. 1987, ch. 12, § 1.
The exercise of the powers granted by this chapter will be in all respects for the benefit of the people of the state and for the facilitation of the conduct of their public business, and will constitute the performance of essential governmental functions. Therefore, the authority shall not be required to pay any taxes or assessments upon any property acquired or used by the authority under the provisions of this chapter or upon any income it may receive, and the bonds issued under the provisions of this chapter, their transfer and the income therefrom (including any profit made on the sale thereof), shall at all times be free from taxation by the state or any political subdivision or other instrumentality of the state, excepting estate taxes.
History of Section. P.L. 1987, ch. 12, § 1.
Bonds issued by the authority under the provisions of this chapter are securities in which all public officers and public bodies of the state and its political subdivisions, insurance companies, trust companies, banking associations, investment companies, credit unions, building and loan associations, executors, administrators, trustees, and other fiduciaries may properly and legally invest funds, including capital in their control or belonging to them. The bonds are securities which may properly and legally be deposited with and received by any state or municipal officer or any agency or political subdivision of the state for any purpose for which the deposit of bonds or obligations is authorized by law.
History of Section. P.L. 1987, ch. 12, § 1.
The state pledges to and agrees with any person, firm, or corporation, or federal agency subscribing to or acquiring the bonds to be issued by the authority that the state will not limit or alter the rights vested in the authority until all bonds at any time issued, together with the interest thereon, are fully met and discharged. The state further pledges to and agrees with the United States and any other federal agency that, in the event that any federal agency shall contribute any funds to the authority, the state will not alter or limit the rights and powers of the authority in any manner which would be inconsistent with the due performance of any agreements between the authority and the federal agency and the authority shall continue to have and may exercise all powers granted in this chapter, so long as these powers shall be necessary or desirable for the carrying out of the purpose of this chapter.
History of Section. P.L. 1987, ch. 12, § 1.
Neither the members of the board nor any person executing bonds issued under this chapter are liable personally on the bonds.
History of Section. P.L. 1987, ch. 12, § 1.
If the authority shall be dissolved, all funds of the authority, not required for the payment of bonds or other debts of the authority, the disposition of which is not otherwise governed by contracts to which the authority may be party, shall be paid to the general treasurer for the use of the state, and, except as provided in this chapter, all property belonging to the authority shall be vested in the state and delivered to it.
History of Section. P.L. 1987, ch. 12, § 1.
Insofar as the provisions of this chapter are inconsistent with the provisions of any other law or ordinance, general, special, or local, or of any rule or regulation of the state or municipality, the provisions of this chapter shall be controlling.
History of Section. P.L. 1987, ch. 12, § 1.
This chapter shall be construed to provide a complete additional and alternative method for doing the things authorized hereby and shall be regarded as supplemental and in addition to the powers conferred by other laws. The issuance of all bonds of the authority under the provisions of this chapter need not comply with the requirements of any other statute applicable to the issuance of bonds. No proceedings or notice of approval shall be required for the issuance by the authority of any bonds.
History of Section. P.L. 1987, ch. 12, § 1.
This chapter, being necessary for the welfare of the state and its inhabitants, shall be liberally construed so as to effectuate its purposes.
History of Section. P.L. 1987, ch. 12, § 1.
The provisions of this chapter are severable, and if any of its provisions shall be held unconstitutional by any court of competent jurisdiction, the decision of that court shall not affect or impair any of the remaining provisions.
History of Section. P.L. 1987, ch. 12, § 1.
The following act as passed by the general assembly in June, 1823, and amended in June, 1827, and June, 1834, and subsequently amended, shall continue in force:
“Whereas, it has been made to appear to this general assembly, upon the representation of Titus Weeks, Esq., executor of the last will and testament of Abraham Touro, Esq., of the city of Boston, in the state of Massachusetts, that the said Abraham by his last will bequeathed a legacy in the following words, viz.: ‘Item. — I give ten thousand dollars ($10,000) to the legislature of the state of Rhode Island for the purpose of supporting the Jewish synagogue in that state; in special trust to be appropriated to that object in such manner as the said legislature, together with the municipal authority of the town of Newport, may from time to time direct and appoint’:
“Therefore,
Ҥ 1. Be it enacted by the general assembly, and by the authority thereof it is enacted, That said legacy and trust be and hereby are accepted by the general assembly; and the general treasurer is authorized and directed to apply for and receive from said executor the said legacy or donation of ten thousand dollars ($10,000), to give all proper receipts and acquittances therefor upon receipt thereof, and as soon as possible to vest the same entire in the stocks of some substantial bank or banks, or in some of the United States stocks; and thereafter cause the same to be invested by the state investment commission in accordance with the prudent investor rule and the certificates or evidences of such stock shall be carefully kept by said general treasurer in his or her office or by a custodian. It shall be the duty of said general treasurer once in every year to report to the general assembly the state of said fund.
“§ 2. And be it further enacted, that the city council of Newport may, and it shall be their duty to cause all repairs to be made, which in their opinions shall be necessary and proper, upon said Jewish synagogue, upon the walls enclosing the Jewish burying ground in Newport appertaining to the synagogue, and thereafter, so far as funds may be available, to apply the same toward the maintenance of that part of the synagogue premises known as the community building and to pay such other expenses as said city council may deem necessary and proper, the total expenditures herein authorized, however, not to exceed in any twelve (12) month period, four and one-half percent (4½%) of the value of the Abraham Touro fund as measured on March 31 of each such period; provided, that all said expenditures shall be first approved by the president or vice president and by the secretary or treasurer of the board of officers of the Congregation Jeshuat Israel, worshiping in said synagogue, and by any one (1) of the trustees selected by said congregation under the provisions of § 7 of this act; and whenever there shall be no person of the Jewish persuasion residing in Newport and qualified and authorized to have the care and superintendence of said synagogue, said council shall appoint some suitable person or persons for that purpose, with such compensation as said council with the approbation of the general assembly, shall think reasonable; and provided, further, that nothing in this act shall be construed to authorize said city council or any other person whatever in any manner to interfere with or restrain the full and free exercise of the Jewish religion in said synagogue by any individual of that faith residing in Newport, or to interrupt the possession, control and management with which the proprietors of said synagogue and premises, or any other persons according to the laws and customs of the Jews, may be vested.
Ҥ 3. And be it further enacted, that it shall be the duty of said city council, from time to time as occasion shall present, to recommend to the general assembly such measures and provisions as in their opinion shall be best calculated to promote and fulfill the object and intention of the donor, the said Touro, as expressed in his said will, in supporting and advancing said Jewish institution.
“§ 4. And be it further enacted that the city council of Newport be, and they are hereby authorized from time to time, as occasion may require, to draw on the general treasurer in each twelve (12) month period, an amount not to exceed in any such period four and one half percent (4½%) of the value of the Abraham Touro fund as measured on March 31 of each such period, to pay for the expenditures authorized under § 2 hereof, and that said council shall make detailed report of their expenditures to the general assembly annually at the January session.
“§ 5. The state investment commission shall have the care and management of this fund, with full power to regulate the custody and safekeeping of all moneys and evidences of property belonging thereto; it shall invest, subject to its order, to the use of this fund, all dividends, interest, or income arising therefrom in accordance with the prudent investor rule, and it may sell and dispose of any or all of such investments so made, when necessary to meet the draft of the city council of Newport as provided in § 4 of this act.
Ҥ 6. The general treasurer is authorized and directed to expend the sum of five thousand dollars ($5,000) out of the Abraham Touro fund towards the purchase of a parcel of land in the city of Newport and the construction of a building and other improvements thereon to be used in connection with the Jewish synagogue in said city.
Ҥ 7. The title to the said premises and the improvements thereon shall be vested in five (5) trustees, consisting of the general treasurer of the state of Rhode Island, the mayor of the city of Newport, and three (3) other persons to be selected by the Congregation Jeshuat Israel, a religious and educational corporation created under the laws of the state of Rhode Island, and now worshiping in said synagogue.
“§ 8. The selection of the trustees set forth in § 7 shall be subject to the approval of the superior court of the state of Rhode Island, and they shall hold the said premises for all time hereafter in accordance with the provisions, objects and purposes expressed in the said last will and testament of said Abraham Touro, deceased.
“§ 9. The trustees selected from time to time as set forth in § 7 and approved by the superior court of the state of Rhode Island, as provided for in § 8, shall have power at any and all times, for the purpose of obtaining money with which to pay for the construction of a building and other improvements provided for in § 6, to mortgage the parcel of land purchased under the provisions of said section together with any building or buildings and other improvements that may be constructed thereon and to sign all deeds, notes or other instruments which may be necessary to effect the mortgage of the same.
“§ 10. Notwithstanding any provision of chapter 9 of title 35 to the contrary, on or after July 1, 1995, the president or vice president and the secretary or the treasurer of the board of officers of the Congregation Jeshuat Israel worshipping in said synagogue are hereby authorized from time to time, as occasion may require, to draw on the general treasurer in each twelve (12) month period, an amount not to exceed in any such period four and one-half percent (4½%) of the value of the Abraham Touro fund as measured on March 31 of each such period to pay for expenditures authorized by said Congregation in conformance with its charter and bylaws, without the necessity of first obtaining the approval of the city council of Newport. The aforementioned officers of the Congregation shall annually make a detailed report of said expenditures to the city council of Newport.”
History of Section. G.L. 1896, ch. 83, § 1; P.L. 1901, ch. 809, § 15; P.L. 1908, ch. 1537, §§ 1-3; G.L. 1909, ch. 98, § 1; P.L. 1914, ch. 1066, §§ 1-3; P.L. 1914, ch. 1066, § 5; P.L. 1921, ch. 2078, § 1; G.L. 1923, ch. 110, § 1; P.L. 1928, ch. 1149, § 1; P.L. 1929, ch. 1410, § 1; G.L. 1938, ch. 647, § 1; G.L. 1956, § 35-9-1; P.L. 1971, ch. 292, § 1; P.L. 1995, ch. 204, § 1.
The following act as passed by the general assembly in March, 1879, shall continue in force:
“Whereas, it has been made to appear to this general assembly that Judah Touro, formerly of New Orleans, deceased, made in his will the following bequest: ‘I give and bequeath ten thousand dollars ($10,000) for the purpose of paying the salary of a reader or minister to officiate in the Jewish synagogue of Newport, Rhode Island, and to endow the ministry of the same, as well as to keep in repair and embellish the Jewish cemetery in Newport aforesaid, the said amount to be appropriated and paid or invested for that purpose in such manner as my executors may determine concurrently with the corporation of Newport aforesaid, if necessary; and it is my wish and desire that David J. Gould and Nathan H. Gould, sons of my esteemed friend, the late Isaac Gould, Esq., of Newport aforesaid, should continue to oversee the improvements in said cemetery and direct the same,’ and that said city of Newport accepted said bequest and that the said money was paid by the said executors to the persons authorized by said city to receive it, and the same, with accumulations, now stands invested in the name or in the hands of certain trustees of the Judah Touro ministerial fund, appointed by said city. And whereas it is desired that said city shall be expressly authorized to hold said trust property and perform the trusts thereof: Therefore,
“It is enacted by the general assembly as follows:
“§ 1. The said city of Newport, by its city council, is hereby empowered to demand, recover and receipt for and take and hold the property aforesaid, and to invest and keep invested the same in its name upon the trusts aforesaid, and to use and apply the same to and for the said trusts, with power to appoint and employ such officers and agents as may be needful or desirable for the care of said property and the proper performance of said trusts.”
History of Section. G.L. 1896, ch. 84, § 1; G.L. 1909, ch. 99, § 1; G.L. 1923, ch. 111, § 1; G.L. 1938, ch. 648, § 1; G.L. 1956, § 35-9-2.
(a) There is hereby authorized, created and established in the office of the general treasurer a state investment commission, the membership of which shall consist of the general treasurer, ex officio, or a deputy general treasurer as his or her designee, who shall act as chairperson, the director of administration, ex officio, or any assistant director of administration as his or her designee, who shall act as secretary, an active or retired teacher, state, or municipal employee member of the retirement system or official from the teacher, state, or municipal employee unions to be appointed by the general treasurer for a term of three (3) years, the executive director of the state retirement board, who shall be a nonvoting member, three (3) members of the general public to be appointed by the general treasurer, one of whom shall serve for an initial term of one year, and one of whom shall serve for an initial term of two (2) years and until his or her successor is appointed and qualified and three (3) members of the general public to be appointed by the governor, one of whom shall serve for an initial term of three (3) years, one of whom shall serve for an initial term of two (2) years, and one of whom shall serve for an initial term of one year and until his or her successor is appointed and qualified. Thereafter, the general public members shall serve for three (3) year terms and until his or her successor is appointed and qualified. The members of the general public appointed by the governor and the general treasurer shall be qualified by training or experience in the field of investment or finance.
The commission may elect from among its own members such other officers as they deem necessary. All general treasurer and gubernatorial appointments made under this section after the effective date of this act [July 4, 2006] shall be subject to the advice and consent of the senate. No one shall be eligible for appointment unless he or she is a resident of this state.
Public members of the board shall be removable by the chair for cause only, and removal solely for partisan or personal reasons unrelated to capacity or fitness for the office shall be unlawful.
Newly appointed and qualified public members shall, within six (6) months of their appointment, attend a training course that shall be developed and provided by the office of the general treasurer and shall include instruction in the following areas: the provisions of chapter 10 of title 35, chapter 46 of title 42, chapter 14 of title 36 and chapter 2 of title 38 of the Rhode Island general laws; and the board’s rules and regulations. The director of the department of administration shall, within ninety (90) days of the effective date of this act [July 4, 2006], prepare and disseminate training materials relating to the provisions of chapter 46 of title 42, chapter 14 of title 36 and chapter 2 of title 38.
Any member of the general public who was appointed by the governor or general treasurer prior to the effective date of this act [July 4, 2006] shall continue to serve until such time as a successor is appointed and qualified.
(b) A member shall be eligible to succeed himself or herself. In the event of a vacancy in the office of an appointive member, the vacancy shall be filled by the appointing authority for the unexpired term.
(c) A majority of all the members of the commission shall be necessary to constitute a quorum thereof. The approval of a majority of the commission shall be required prior to the purchase or sale of any investment, excepting those investments made by investment managers engaged by the commission and invested in accordance with the commission’s statement of investment objectives and policies, day to day cash investments by the general treasurer, and, because of the importance of speedy action, investments in obligations of the United States government or certificates of deposit maturing within one year. These investments may be made within the framework of a policy established by the commission without prior approval of each transaction. The commission shall be empowered to engage one or more fund managers and to delegate to the manager or managers the authority to carry out the investment of the funds within the commission’s control, or any portion thereof, in accordance with the objectives of the commission as set forth in its statement of investment objectives and policies.
(d) The day-to-day administration of the commission, including the voting of proxies and the execution of investment acquisitions and dispositions of the commission’s assets, shall be carried out by the office of the general treasurer; provided, that the costs and expenses incurred in the management of the funds within the commission’s control shall remain the obligation of those funds and not that of the general treasurer.
(e) Within ninety (90) days after the end of each fiscal year during which the board has conducted business, the commission shall submit an annual report to the governor, the speaker of the house of representatives, the president of the senate, and the secretary of state of its activities during that fiscal year. The report shall provide: an operating statement summarizing meetings or hearings held, meeting minutes if requested, subjects addressed, decisions rendered, rules or regulations promulgated, studies conducted, policies and plans developed, approved, or modified, and programs administered or initiated; a consolidated financial statement of all the funds received and expended including the source of funds, a listing of any staff supported by these funds, and a summary of any clerical, administrative or technical support received; a summary of performance during the previous fiscal year including accomplishments, shortcomings and remedies; a synopsis of hearings, complaints, suspensions, or other legal matters related to the authority of the board; a summary of any training courses held pursuant to § 35-10-1; a briefing on anticipated activities in the upcoming fiscal year; and findings and recommendations for improvements. The report shall be posted electronically on the general assembly and the secretary of state’s website as prescribed in § 42-20-8.2. The director of the department of administration shall be responsible for the enforcement of this provision.
History of Section. P.L. 1958, ch. 164, § 1; P.L. 1975, ch. 5, § 1; P.L. 1980, ch. 88, § 1; P.L. 1987, ch. 60, art. 1, § 6; P.L. 1990, ch. 372, § 1; P.L. 1991, ch. 44, art. 75, § 2; P.L. 1999, ch. 411, § 1; P.L. 1999, ch. 432, § 1; P.L. 2006, ch. 319, § 3; P.L. 2006, ch. 444, § 3; P.L. 2015, ch. 141, art. 7, § 14.
The commission shall in its absolute discretion determine which money of the state fund structure are not immediately required for expenditure and shall invest the money of the state from the general fund, rotary funds, sinking funds, special revenue funds, trust and agency funds, including the veterans’ home fund, permanent school fund, employees’ retirement fund, Touro Jewish synagogue fund, Rhode Island temporary disability insurance reserve fund, and from such other funds as are established or which may be established in the custody of the state.
History of Section. P.L. 1958, ch. 164, § 2.
The commission shall invest the proceeds of all bond issues not immediately required.
History of Section. P.L. 1958, ch. 164, § 3.
The commission shall not invest money in funds which are subject to the control of the council on postsecondary education; provided, however, that the commission shall not be prohibited from investing moneys in the college savings program created by § 16-57-6.1.
History of Section. P.L. 1958, ch. 164, § 4; P.L. 1997, ch. 81, § 3; P.L. 1997, ch. 91, § 3; P.L. 2015, ch. 141, art. 7, § 14.
Notwithstanding the provisions of this chapter, any sinking fund money shall be invested in bonds or certificates of indebtedness of the state, or in bonds of the United States or of any state of the United States, or, in the commission’s discretion, in the interest bearing notes or bonds of any city, town, or fire district in the state, or of any county, city, or town in any state of the United States.
History of Section. P.L. 1958, ch. 164, § 5.
(a) Except as otherwise provided in this chapter, any money not immediately required shall be invested for the benefit of the several funds in any security or investment in which deposits of savings banks and participation deposits in banks and trust companies may be legally invested; provided, that investments shall be made in securities as would be acquired by prudent persons of discretion and intelligence in these matters, who are seeking a reasonable income and the preservation of their capital.
(b) Notwithstanding subsection (a), the commission is authorized and empowered to execute the disposition and investment of the funds which are within its control in accordance with the prudent person standard as defined in this subsection. The commission shall adopt a statement of investment objectives and policies consistent with the prudent person standard. Management and professional expenses incurred by the commission in the furtherance of this section shall be paid from the funds in an amount required for these expenses. For purposes of this subsection, the prudent person standard shall be that standard of care employed solely in the interest of the participants and beneficiaries of the funds and:
(1) For the exclusive purpose of:
(i) Providing benefits to participants and their beneficiaries; and
(ii) Defraying reasonable expenses of administering the funds;
(2) With the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with these matters would use in the conduct of an enterprise of a like character and with like aims; and
(3) By diversifying the investments of the fund so as to minimize the risk of large losses, unless under the circumstances it is clearly prudent not to do so.
(c) The state controller is authorized and directed to draw his or her orders upon the general treasurer for the purchase of investments, upon receipt by him or her of properly authenticated vouchers signed by the chairperson, or a deputy treasurer in the event of the chairperson’s absence or illness, and by the secretary of the commission. The proceeds from the sale of investments shall be paid to the general treasurer for the benefit of the several funds on the forms prescribed and duly signed by the chairperson and secretary of the commission.
History of Section. P.L. 1958, ch. 164, § 6; P.L. 1987, ch. 60, art. 1, § 6; P.L. 1987, ch. 557, § 1.
(a) Members of the commission shall serve without compensation but shall be reimbursed for any necessary expenses.
(b) No member or employee of the commission shall profit directly or indirectly from any investment transaction made by the commission. This provision is not intended to limit in any way the right of any member or employee of the commission to own shares of stock or bonds of any corporation or other entity in which money of the several funds are or may be invested.
History of Section. P.L. 1958, ch. 164, § 7; P.L. 1963, ch. 171, § 1; P.L. 1968, ch. 9, § 1; P.L. 2005, ch. 117, art. 21, § 28; P.L. 2006, ch. 319, § 3; P.L. 2006, ch. 444, § 3.
The commission is authorized and empowered to adopt and prescribe rules of procedure and regulations, and from time to time amend, change, and eliminate such rules and regulations as it may deem necessary to the proper administration of this chapter and the performance of its duties, by filing written notice thereof in the office of the secretary of state; and may in any particular case prescribe a variation in the procedure or regulation when it shall deem it necessary, in view of the exigencies of the case and the importance of speedy action, in order to carry out the intent and purpose of this chapter, by filing written notice thereof in the office of the secretary of state. All these filings shall be available for public inspection.
History of Section. P.L. 1958, ch. 164, § 8.
All authority for investment placed with the governor, the general treasurer, the retirement board, the sinking fund commission, the director of employment security, or any other state officer, is herewith repealed.
History of Section. P.L. 1958, ch. 164, § 9.
[Repealed]
History of Section. P.L. 1963, ch. 171, § 2; Repealed by P.L. 1994, ch. 70, art. 9, § 1, effective July 1, 1994.
The state, any state agency, any city or town, and any municipal agency which has, or has control of, any funds not immediately required for other purposes may, in addition to other investments in which it may be authorized to invest by law, and notwithstanding any provisions of any special law or municipal charter to the contrary, invest these funds, either individually or with each other, in:
(1) Deposits in banks, savings banks, national banks or trust companies, loan and investment companies, credit unions; and in shares of building-loan associations; the principal office of which institution or institutions is located in this state or which has a deposit-taking facility within this state; provided, that the investments shall be made as would be done by prudent persons of discretion and intelligence in these matters who are seeking a reasonable income and preservation of their capital;
(2) Shares or units of beneficial interest of any open end investment company or association or investment trust which is registered under the federal Investment Company Act of 1940, 15 U.S.C. § 80a-1 et seq.; provided, that the company, association, or trust shall:
(i) Limit the issuance, distribution, and ownership of its shares or units solely to this state, state agencies, cities and towns of this state, and municipal agencies thereof, other than shares or units issued in connection with the initial capital required by the federal Investment Company Act of 1940;
(ii) Invest solely in securities and investments which are lawful for investments of savings deposits as set forth and defined in chapter 3 of title 19, without regard to the provisions of this chapter as to percentage of deposits which may be so invested, or are lawful for investment of reserve funds by cities and towns under § 45-11-1, but subject to the restrictions that:
(A) No investment shall be made in any security or investment authorized under chapter 3 of title 19, unless, after giving effect to the investment, no more than ten percent (10%) of the total assets of the company, association, or trust shall be invested in securities or investments of a class or type authorized solely under this chapter;
(B) No investment shall be made in any security or investment authorized under chapter 3 of title 19, unless, after giving effect to the investments, no more than five percent (5%) of the total assets shall be invested in the securities or investments authorized solely under this chapter of any one issuer or obligor; and
(C) If the lawful investments constitute collateral for any repurchase agreement, the company, association, or trust shall take delivery of the collateral either directly or through an authorized custodian; and
(iii) Invest solely in such of the investments as would be done by prudent persons of discretion and intelligence in these matters who are seeking a reasonable income and preservation of their capital; and
(3) Notwithstanding the provisions of paragraphs (1), (2)(ii)(A), and (2)(ii)(B), in:
(i) Obligations issued or guaranteed by the United States government or any agency or instrumentality thereof and repurchase agreements fully collateralized thereby, or in securities of any open end investment company or association or investment trust, custodial arrangement, or pool which is registered under or exempt from the federal Investment Company Act of 1940, provided, that the portfolio of the company, association, trust, custodial arrangement, or pool is limited to obligations issued or guaranteed by the United States government or any agency or instrumentality thereof and repurchase agreements fully collateralized thereby and that the company, association, trust, custodial arrangement, or pool takes delivery of the collateral either directly or through an authorized custodian, agent, or depository; and
(ii) Any security of a state or political subdivision thereof, or in securities of any open end investment company or association or investment trust, custodial arrangement, or pool which is registered under or exempt from the federal Investment Company Act of 1940, provided, that
(A) The portfolio of the company, association, trust, custodial arrangement, or pool is limited to state or political subdivision securities and repurchase agreements fully collateralized thereby;
(B) The company, association, trust, custodial arrangement, or pool takes delivery of the collateral either directly or through an authorized custodian or depository;
(C) The interest on the securities is exempt from federal income taxation;
(D) At the time of the investment, the security (in the case of a security issued by or on behalf of a state or political subdivision thereof) has a rating as determined by a national rating agency of municipal obligations equal or superior to the last rating by the agency applicable to general obligations of the state or (in the case of a fund) the fund invests solely in securities having these ratings;
(E) In connection with the investments, the state, state agency, city, town, or municipal agency may enter into contracts to purchase and resell the investments at specified or determinable prices.
(4) Notwithstanding the provisions of subdivision (1), in certificates of deposit obtained in accordance with the following conditions:
(i) The funds are initially invested through a financial institution as defined in subdivision 19-1-1(7) or chapter 19-1, selected by the investing governmental entity;
(ii) The selected financial institution arranges for the deposit of the funds in certificates of deposit in one or more federally insured banks or savings and loan associations, for the account of the governmental entity;
(iii) The full amount of the principal and accrued interest of each certificate of deposit is insured by the Federal Deposit Insurance Corporation;
(iv) The selected financial institution acts as custodian for the governmental entity with respect to the certificates of deposit issued for the governmental entity’s account; and
(v) At the same time that the governmental entity’s funds are deposited and the certificates of deposit are issued, the selected financial institution receives an amount of deposits from customers of other banks and savings and loan associations, wherever located, equal to the amount of funds initially invested by the governmental entity through the selected financial institution.
(5) Public deposits placed in accordance with the conditions prescribed in this subsection shall not be required to be secured by eligible collateral as set forth in chapter 35-10.1.
History of Section. P.L. 1965, ch. 222, § 1; P.L. 1981, ch. 255, § 1; P.L. 1984, ch. 154, § 1; P.L. 1986, ch. 110, § 4; P.L. 1987, ch. 340, § 1; P.L. 1989, ch. 98, § 1; P.L. 1993, ch. 387, § 1; P.L. 1995, ch. 269, § 1; P.L. 2009, ch. 105, § 1; P.L. 2009, ch. 108, § 1.
(a) It is hereby found by the general assembly that:
(1) The African national congress (ANC), led by Nelson Mandela, has called upon the international community to lift all sanctions previously imposed to censure South Africa for its apartheid policies and to apply economic pressure to leverage political and humanitarian change in that country; and
(2) South Africa has held elections in April, 1994, allowing black South Africans their first opportunity to vote in national elections.
(b) Following democratically-held elections in the Republic of South Africa, the commission and all quasi-public agencies shall be free to hold the stocks, bonds, and other forms of financial investments of any banks or publicly-traded corporations which operate in South Africa, hereby lifting the sanctions previously imposed on these investments.
(c) The commission shall encourage, through the voting of proxies with other institutional investors, United States corporations operating in the Republic of South Africa to endorse and comply with the responsible reinvestment standard set forth by the South African council of churches (SACC), known as the “Code of Conduct for Businesses Operating in South Africa”, which is designed to promote equal opportunity, workers’ rights, environmental protection, and community economic development benefitting all South Africans.
History of Section. P.L. 1985, ch. 336, § 1; P.L. 1988, ch. 419, § 1; P.L. 1994, ch. 138, § 1.
Consistent with the investment criteria set forth in §§ 35-10-6, 35-10-11, and 35-10-12, the commission is specifically authorized to invest state funds or pension funds in investments which are intended to retain or create jobs in the New England region, but with priority given among the investments to the retention and creation of jobs in the state of Rhode Island. Notwithstanding the investment limitations set forth in §§ 35-10-6 and 35-10-11, the commission may in any particular case prescribe the following variations in these investment limitations when it shall deem it appropriate in view of the exigencies of the case and in order to carry out the intent and purpose of this section: (1) direct or indirect mortgage or collateral loans for projects or businesses; or (2) direct or equity interests in real estate, projects, or businesses; provided, that the total amount of all these loans or investments do not exceed at the time of making the loan and/or investment five percent (5%) of the total funds which are under the jurisdiction of the commission and which are subject to its statement of investment objectives and guidelines; and further provided, that investments made under this section shall be made in accordance with the prudent person standard set forth in this chapter.
History of Section. P.L. 1985, ch. 336, § 1; P.L. 1990, ch. 244, § 1.
(a) Notwithstanding any general or special law or regulation to the contrary, the general treasurer, acting as the treasurer/custodian of the state employees’ retirement system and the teachers’ retirement system, and as the chairperson of the state investment commission, is authorized and directed to monitor, by reference to reports of the investor responsibility research center or such other sources as he or she may deem useful and appropriate, the extent to which corporations organized under the laws of the United States or the several states and operating in Northern Ireland, in which the assets of the retirement systems or of the pension reserves investment trust fund are invested, adhere to principals of nondiscrimination in employment and freedom of workplace opportunity. In conducting the survey, the general treasurer may utilize any information presently available relative to similar pension plans. In making this determination, the general treasurer shall consider, without limitation, the following standards for corporate activity:
(1) Equal access to employment, promotion, and job-preservation without regard to religious affiliation or other minority status;
(2) The promotion of religious tolerance within the workplace, and the eradication of any manifestations of religious and other illegal discrimination;
(3) Adherence to other legal and regulatory guidelines for nondiscrimination and equality of opportunity existing in Northern Ireland; and
(4) Adherence to the MacBride Principles for Northern Ireland, so-called.
(b) The general treasurer shall set forth the results of the investigation by filing a report with the clerks of the house of representatives and of the senate not later than December 31 of each year. The report shall include, but not be limited to, the names and addresses of all United States corporations operating in Northern Ireland in which the assets of the retirement systems or trust fund are invested, and the findings of the general treasurer relative to these corporations’ adherence to the standards for corporate activity as set forth in subsection (a). The general treasurer shall also report his or her recommendations, if any, consistent with prudent fiduciary practice, based upon the findings of the investigation. The report shall be available for public inspection in the offices of the clerks of the house of representatives and of the senate, and in the office of the general treasurer.
(c) The general treasurer, subject to the approval of the commission, shall, where necessary, appropriate, and consistent with prudent standards for fiduciary practice, support shareholder petitions or initiatives requiring corporate action in compliance with the standards for nondiscrimination set forth in this section.
(d) It is not the intent of this section to diminish the present portfolio and it is not the intent of this section to injure the fragile economy of Northern Ireland. The general treasurer, in accordance with sound investment criteria, is encouraged to make future pension fund investments in United States firms which conduct business in Northern Ireland and which abide by the MacBride Principles of fair employment. Should all or any of the United States firms in which Rhode Island state pension funds are invested refuse to comply with the MacBride Principles, the general treasurer, in accordance with sound investment criteria, does have the option and is encouraged to remove these funds and invest them in United States firms which conduct business in Northern Ireland and which abide by the MacBride Principles of fair employment.
History of Section. P.L. 1987, ch. 518, § 1; P.L. 1990, ch. 513, § 1.
(a) In 2015, the office of general treasurer launched the “Transparent Treasury Initiative” in order to assist the public in accessing information regarding how the state’s pension investments are managed and invested; how such investments are performing; and to provide an overview of the state’s pension investment strategies. The purpose of this section is to provide a statutory requirement for the continuance of several aspects of this initiative.
(b) The state investment commission shall, on a best-effort basis, compile and disclose in a manner readily accessible to the public the following information:
(1) On a quarterly basis, as to each investment vehicle and as to all vehicles in the aggregate, the current values of the investment, and the annualized performance of the investment, net of fees and expenses;
(2) On an annual basis, as to each vehicle and as to all vehicles in the aggregate, the dollar amount of fees and expenses paid to each manager including, if applicable, management fees, performance fees, and fund expenses.
(c) Disclosure of expenses in subsection (b)(2) of this section shall only be required for investments initiated by the retirement system on or after June 30, 2017.
(d) The general treasurer shall use best efforts to calculate and verify the relevant information necessary for the state investment commission to comply with these disclosure requirements.
(e) For purposes of this section:
(1) “Investment” means an investment in a mutual fund, index fund, private equity fund, a venture capital fund, a hedge fund, a real estate fund, infrastructure fund, or any other investment vehicle in which retirement system assets are invested.
(2) “Investment vehicle” means the mutual fund, index fund, limited partnership, limited-liability company or similar legal structure through which the retirement system makes an investment.
(3) “Retirement system” means the employees’ retirement system of the state established by § 36-8-2.
History of Section. P.L. 2017, ch. 399, § 1; P.L. 2017, ch. 427, § 1.
This chapter shall be known as and may be cited as the “Rhode Island Collateralization of Public Deposits Act”.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
The following definitions shall apply for the purposes of this chapter:
(1) “Commission” shall mean the state investment commission established pursuant to chapter 10 of this title.
(2) “Depository institution” shall mean any state chartered bank or trust company, state chartered loan and investment company or building loan company, national banking association, state chartered savings bank, or federally chartered savings bank insured by the federal deposit insurance corporation or a federally or state chartered credit union insured by the national credit union administration.
(3) “Eligible collateral” shall mean assets owned by a depository institution free and clear of any right, title, or interest of any other party (other than a public depositor that acquires a security interest in the collateral) pursuant to this chapter and consisting of:
(i) Obligations of the United States government or any of its agencies or instrumentalities;
(ii) Obligations of the state or any of its political subdivisions, or of any of the agencies, boards, or commissions of the state or political subdivision;
(iii) Obligations of any state other than Rhode Island or any of that other state’s political subdivisions, or any of the agencies, boards, or commissions of that state or political subdivision, provided that these obligations are rated not less than “A” by standard & poor’s corporation or moody’s investors service;
(iv) One to four (4) family residential mortgage loans; provided, that the value of the collateral is not less than one hundred fifty percent (150%) of the public deposit secured thereby; and provided, further, that the original loan to value ratio on the individual mortgage loans pledged as collateral shall not have exceeded eighty percent (80%) unless private mortgage insurance was obtained with respect to any excess; however, collateral of this type shall not exceed twenty-five percent (25%) of total collateral pledged by a depository institution; or
(v) Other marketable securities and debt instruments determined by the commission to be satisfactory for purposes of providing liquid assets in the event of the default or insolvency of a qualified depository institution; provided, that the commission gives prompt public notice of any determination it makes under this paragraph; and provided, further, that all depository institutions are permitted to use any category of eligible collateral approved under this section; however, collateral of this type shall not exceed ten percent (10%) of total collateral pledged by a depository institution.
(4) “Public deposit” shall mean funds deposited in a demand account or time deposit account at any depository institution by the state or any of its agencies, boards, or commissions, or by any governmental subdivision of the state or any of the subdivision’s agencies, boards, commissions, or districts.
(5) “Public depositor” shall mean the entity in the name of which a public deposit is maintained.
(6) “Qualified depository institution” shall mean a depository institution that has satisfied all of the requirements of this chapter with respect to insuring or securing public deposits held by that institution.
(7) “State” shall mean the state of Rhode Island.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
(a) Every qualified public depository shall, at a minimum insure or pledge eligible collateral equal to one hundred percent (100%) of public deposits which are time deposits with maturities greater than sixty (60) days, and which were maintained with that depository institution as of October 1, 1991; provided, that any qualified depository institution which does not meet its minimum capital standard as prescribed by its federal regulator shall insure or pledge eligible collateral equal to one hundred percent (100%) of all public deposits maintained with that depository institution as of October 1, 1991. The amount of eligible collateral required shall be determined when funds are deposited for time deposits, and at the end of each month for demand deposits. The amount of required insurance shall be determined in accordance with § 35-10.1-8.
(b) All eligible collateral shall be designated as security for public deposits under this chapter and shall be segregated from the depository institution’s other assets, by:
(1) Depositing the collateral in a custodial account at the federal reserve bank or federal home loan bank for the district in which the qualified depository institution is located;
(2) Depositing the collateral in a custodial account in the qualified depository institution’s trust department or in the trust department of another qualified depository institution; provided, that the terms under which the collateral is to be held are set forth in a written custodial agreement; and provided, further, that no creditor of the depository institution that pledged the collateral may have or obtain rights in the collateral that are superior to the rights of the public depositor; or
(3) When the collateral is held in book entry form, notifying the custodian of the collateral that it has been pledged as collateral for a public deposit.
(c) If eligible collateral has been designated and segregated as provided in this section, the public depositor shall be deemed to have a perfected security interest therein.
(d) The qualified depository institution shall deliver to the general treasurer, municipal finance officer, or chief financial officer a power of attorney authorizing the general treasurer, municipal finance officer, or chief financial officer to transfer or liquidate these securities in the event of default, financial failure, or insolvency of a depository institution.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
A qualified depository institution may substitute insurance or different forms of collateral from time to time without notice to the public depositor or the commission; provided, that any substitute collateral constitutes eligible collateral; and provided, further, that no substitution of insurance or collateral shall cause the depository institution to cease being a qualified depository institution.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
The valuation of collateral shall be established initially at the time the collateral is pledged and shall be adjusted thereafter as of the last day of each month. For the purpose of this chapter, the value of collateral shall be its market value.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
The income from assets that constitute segregated collateral shall belong without restriction to the depository institution that pledged the collateral unless and until the assets are transferred to the public depositor or its designee as the result of a default or insolvency of the depository institution.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
(a) Except with respect to those public deposits which are fully insured by federal deposit insurance, each qualified depository institution holding public deposits shall file a report as required by this section within forty-five (45) days following the end of each of the institution’s fiscal quarters.
(b) Reports required to be filed under subsection (a) shall be certified as accurate by the chief financial officer of the reporting institution.
(c) Reports required to be filed under subsection (a) shall be filed with the commission and with each public depositor that maintains a public deposit with the reporting institution.
(d) Each quarterly report shall contain:
(1) The name of the reporting institution and the name, title, address, and telephone number of an officer to whom questions regarding the report should be addressed;
(2) The institution’s total capital as of the last day of the fiscal quarter most recently ended;
(3) The institution’s risk based capital to risk weighted assets ratio as of the last day of the fiscal quarter most recently ended, computed in accordance with federal regulations applicable to the institution;
(4) A statement whether or not the institution’s net income for the fiscal quarter most recently ended, as reported in a quarterly financial report certified by the institution’s chief financial officer, exceeded zero;
(5) The aggregate dollar amount of public deposits held by the institution for each public depositor as of the last day of the fiscal quarter most recently ended;
(6) The minimum dollar value of eligible collateral the institution is required to pledge in order to be a qualified depository institution in accordance with this chapter;
(7) The value of all eligible collateral pledged by the institution, determined in accordance with this chapter; and
(8) The amount of any private deposit insurance purchased by the institution with respect to its public deposits pursuant to § 35-10.1-8.
History of Section. P.L. 1991, ch. 44, art. 74, § 1; P.L. 1994, ch. 213, § 1.
At its option, a depository institution may elect to purchase insurance for one hundred percent (100%) of any public deposit not covered by federal deposit insurance or secured pursuant to this chapter; provided, that this insurance is provided by an insurer rated “AAA” by standard & poor’s corporation, moody’s investors service, or both. This insurance may be provided in lieu of, but shall not be required in addition to, collateral otherwise required pursuant to this chapter.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
Public deposits which are fully insured by federal deposit insurance, subject to deposit insurance limitations, shall not be required to be secured by eligible collateral as provided by this chapter.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
An annual report shall be made sixty (60) days after the end of each calendar year by the general treasurer to the general assembly on the effectiveness of this chapter.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
This chapter shall take effect June 7, 1991, and shall be applicable only to those deposits made subsequent to October 1, 1991.
History of Section. P.L. 1991, ch. 44, art. 74, § 1.
This chapter shall be known and may be cited as the “Rhode Island Local Government Investment Pool Act”.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
The purpose of this chapter is to enable eligible governmental entities to participate with the state in providing maximum opportunities for the investment of public funds consistent with safety and protection of such funds. It is the intention of the general assembly in enabling the general treasurer with the approval of the state investment commission to establish the said investment pools, that the general treasurer and state investment commission consider the importance of retaining deposits with the banks located and operating within the state, that further consideration be given to a bank’s commitment to the various communities within the state, the bank’s role as an employer within the state, as well as the bank’s commitment to the growth of economic development within the state.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
As used in this chapter, the following terms, unless the context requires a different interpretation, have the following meanings:
(1) “Commission” means the state investment commission;
(2) “Participation Unit” means the equal proportionate share into which the beneficial interest in the trust is divided and includes a fraction of a unit as well as whole units.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
Notwithstanding and general or special law or regulation to the contrary, the general treasurer may establish, subject to the approval of the commission, one or more investment pool trust funds containing certain monies in accordance with § 35-10.2-5.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
Each investment pool trust fund may contain any or a combination of any of the following:
(1) Monies of the several funds of the state according to § 35-10-2;
(2) The proceeds of all bond issues not immediately required; or
(3) The funds under the custody of agencies, authorities, commissions, boards, municipalities, political subdivisions and other public units of the state.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
The general treasurer shall serve as trustee for each established investment pool trust fund in accordance with this chapter.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
The general treasurer shall invest each investment pool trust fund in instruments prescribed, and in amounts approved, by the commission in accordance with § 35-10-6.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
The general treasurer is authorized to sell to all agencies, authorities, commissions, boards, municipalities, political subdivisions, and other public units of the state, participation units in any such combined investment trust fund. Such participation units are made legal investments for all the funds under the custody of such agencies, authorities, commissions, boards, municipalities, political subdivisions, and other public units of the state.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
(a) The general treasurer shall keep a separate account of each participant having funds in the investment pool. Each separate account shall record the individual amounts deposited in the investment pool, the date of withdrawals, and the earnings credited or paid. The general treasurer shall report monthly the status of the respective account to each participant having funds in the pool during the previous month.
(b) At the end of each fiscal year, the general treasurer shall submit to the governor and the state auditor a summary of the activity of the investment pool. The summary shall indicate the quantity of funds deposited; the earnings of the pool; the investments purchased, sold, or exchanged; the administrative expenses of the investment pool; and such other information as the state treasurer deems relevant.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
The general treasurer, subject to the approval of the commission, shall by rule prescribe the time periods for investments in the investment pool and the procedure for withdrawal of funds from the investment pool. The state treasurer shall promulgate such other rules as are deemed necessary for the efficient operation of the investment pool.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
The holding of any section or sections or parts thereof to be void, ineffective, or unconstitutional for any cause shall not be deemed to affect any other section or part thereof.
History of Section. P.L. 2011, ch. 284, § 1; P.L. 2011, ch. 307, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
History of Section. P.L. 2013, ch. 173, § 1; P.L. 2013, ch. 225, § 1.
As used in this chapter:
(1) “Authorized officer” means any official of this state or any of its departments, agencies, or other instrumentalities or any of its political subdivisions whose signature on a public security or instrument of payment is required or permitted.
(2) “Facsimile signature” means a reproduction, by engraving, imprinting, stamping, or other means, of the manual signature of the authorized officer.
(3) “Instrument of payment” means a check, draft, warrant, or order for the payment, delivery, or transfer of funds.
(4) “Public security” means a bond, note, certificate of indebtedness, or other obligation for the payment of money, issued by this state or by any of its departments, agencies, or other instrumentalities or by any of its political subdivisions.
History of Section. P.L. 1967, ch. 122, § 1.
(a) Any authorized officer may execute or cause to be executed with a facsimile signature in lieu of his or her manual signature any:
(1) Public security; provided, that at least one signature required or permitted to be placed thereon, which may be the signature of an authorized signer of a bank, trust company or other banking or financial institution action as trustee, authenticating agent, transfer agent, or similar agent, shall be manually subscribed; and
(2) Instrument of payment.
(b) The facsimile signature of an authorized officer has the same legal effect as his or her manual signature.
History of Section. P.L. 1967, ch. 122, § 1; P.L. 1983, ch. 103, § 2.
When the seal of this state or any of its departments, agencies, or other instrumentalities or of any of its political subdivisions is required in the execution of a public security or instrument of payment, an authorized officer may cause the seal to be printed, engraved, stamped, or otherwise placed in facsimile thereon. The facsimile seal has the same legal effect as the impression of the seal.
History of Section. P.L. 1967, ch. 122, § 1.
Any person who with intent to defraud uses on a public security or an instrument of payment: (1) a facsimile signature, or any reproduction of it, of any authorized officer; or (2) any facsimile seal, or any reproduction of it, of this state or any of its departments, agencies, or other instrumentalities or of any of its political subdivisions; is guilty of a felony and shall be punished by a fine of not more than one thousand dollars ($1,000) or imprisoned not more than five (5) years, or both.
History of Section. P.L. 1967, ch. 122, § 1.
This chapter shall be so construed as to effectuate its general purpose to make uniform the law of those states which enact it.
History of Section. P.L. 1967, ch. 122, § 1.
This chapter may be cited as the “Uniform Facsimile Signatures of Public Officials Act”.
History of Section. P.L. 1967, ch. 122, § 1.
If any provision of this chapter or the application thereof to any person or circumstance is held invalid, the invalidity shall not affect other provisions or applications of the chapter which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are severable.
History of Section. P.L. 1967, ch. 122, § 1.
This chapter shall be known as the “University of Rhode Island Research Corporation Act.”
History of Section. P.L. 1982, ch. 324, § 1.
The purpose of this chapter is to authorize and implement a system of financial planning which would allow the university of Rhode Island (the “university”) to more accurately match revenues and expenditures for externally funded research programs for each fiscal year. The general assembly has found and hereby declares that it is in the public interest to encourage independent research activity at the university and further that it is essential to the financial well being of the state and the university that revenues from externally funded research programs be allocated to the fiscal years in which they accrue and be matched to the expenditures for the programs that are incurred for that fiscal year. The general assembly has further found that under the present system revenues are often received after the close of the fiscal year although the expenditures to which they are matched were incurred prior to the close of the fiscal year, and that, in fact, under certain programs, funds must be expended and then reimbursement sought from the contracting agency at a later date, often after the close of the fiscal year.
History of Section. P.L. 1982, ch. 324, § 1.
As used in this chapter, the following words and terms shall have the following meanings unless the context shall indicate another or different meaning or intent:
(1) “Accounts” means accounts receivable, representing amounts due or owing to the university from contracts with the federal government or other independent entities for research activities undertaken by the university, the obligation for the payment of which accounts has arisen.
(2) “Corporation” means the governmental agency and public instrumentality authorized, created, and established pursuant to § 35-12-4.
(3) “Notes” means the notes, securities, or other obligations or evidences of indebtedness issued by the corporation pursuant to this chapter, all of which shall be issued under the name of or known as obligations of the “university of Rhode Island research corporation”.
(4) “State” means the state of Rhode Island.
(5) “University” means the university of Rhode Island.
History of Section. P.L. 1982, ch. 324, § 1.
(a) There is hereby authorized, created, and established a public corporation of the state having a legal existence distinct from the state and not constituting a department of state government, to be known as the university of Rhode Island research corporation, with such powers as are set forth in this chapter, for the purposes of purchasing, taking, or acquiring accounts of the university, selling these accounts, and borrowing funds secured by these accounts.
(b) It is the intent of the general assembly by the passage of this chapter to vest in the corporation all powers, authority, rights, privileges, and titles which may be necessary to enable it to accomplish the purposes set forth in this chapter, and this chapter and the powers granted hereby shall be liberally construed in conformity with these purposes.
(c) The corporation and its corporate existence shall continue until terminated by law or until the corporation shall cease entirely and continuously to conduct or be involved in any business whatsoever in furtherance of its purposes; provided, that no termination shall take effect so long as the corporation shall have notes or other obligations outstanding, unless adequate provision shall have been made for the payment thereof pursuant to the documents securing the obligations or to that law. Upon termination of the existence of the corporation, all its rights and properties shall pass to and be vested in the university. At no time shall the assets or other property of the corporation inure to the benefit of any person or other corporation or entity.
History of Section. P.L. 1982, ch. 324, § 1.
The corporation shall have all the powers necessary and convenient to carry out and effectuate the purposes and provisions of this chapter, including, but not limited to, the power to:
(1) Sue and be sued, complain and defend, in its corporate name;
(2) Have a seal which may be altered at pleasure, and use the seal by causing it, or a facsimile thereof, to be impressed or affixed or in any other manner reproduced;
(3) Purchase, take, receive, or otherwise acquire, own, hold, use, and otherwise deal in and with, intangible personal property, or any interest therein;
(4) Sell, convey, pledge, exchange, transfer, and otherwise dispose of all or any part of accounts for such consideration and upon such terms and conditions as the corporation shall determine;
(5) Make contracts and incur liabilities, and borrow money at such rates of interest as the corporation may determine;
(6) Make and execute all contracts, agreements, and instruments necessary or convenient in the exercise of the powers and functions of the corporation granted by this chapter;
(7) Invest and reinvest its funds;
(8) Conduct its activities, carry on its operations, and have offices and exercise the powers granted by this chapter;
(9) Make and alter by-laws, not inconsistent with this chapter, for the administration and regulation of the affairs of the corporation, and the by-laws may contain provisions indemnifying any person who is or was a director, officer, employee, or agent of the corporation, in the manner and to the extent provided in § 7-1.2-814; and
(10) Have and exercise all powers necessary or convenient to effect its purposes.
History of Section. P.L. 1982, ch. 324, § 1; P.L. 2005, ch. 36, § 23; P.L. 2005, ch. 72, § 23.
In addition to the powers enumerated in § 35-12-5, the corporation shall have power to:
(1) Purchase accounts from the university for such consideration and upon such terms and conditions as the corporation shall determine;
(2) Pledge purchased accounts as security for any borrowings undertaken by the corporation or sell the accounts for such consideration and on such terms and conditions as the corporation shall determine;
(3) Borrow money and issue notes and provide for the rights of the holders thereof, and secure the notes by assignment, pledge, or granting of a security interest in accounts, including, without limitation, all or a part of its interest in accounts for the purpose of providing funds to effectuate its purposes under this chapter; and
(4) Create and establish such other fund or funds as may be necessary or desirable for its corporate purposes.
History of Section. P.L. 1982, ch. 324, § 1.
(a) The powers of the corporation shall be vested in a board of directors consisting of the following seven (7) members:
(1) Chairperson of the board of governors for higher education;
(2) Commissioner of higher education;
(3) State budget officer;
(4) President of the university;
(5) Vice president for business and finance of the university;
(6) Controller of the university; and
(7) Vice president for academic affairs of the university.
(b) The directors shall receive no compensation for the performance of their duties.
(c) The board of directors shall elect one of its members to serve as chairperson. Four (4) directors shall constitute a quorum and any action to be taken by the corporation under the provisions of this chapter may be authorized by resolution approved by at least four (4) of the directors present and voting at any regular or special meeting at which a quorum is present.
(d) In addition to electing a chairperson, the board of directors shall appoint a secretary and such additional officers as they shall deem appropriate.
(e) Any action taken by the corporation under the provisions of this chapter may be authorized by vote at any regular or special meeting, and the vote shall take effect immediately.
(f) Any action required by this chapter to be taken at a meeting of the board of directors, or any action which may be taken at a meeting of the board of directors, or committee thereof, may be taken without a meeting if a consent in writing, setting forth the action so to be taken, shall be signed before or after that action by all of the directors, or all of the members of the committee, as the case may be.
History of Section. P.L. 1982, ch. 324, § 1.
(a) The corporation shall have the power and is authorized to issue from time to time negotiable notes in one or more series, in such principal amounts as in the opinion of the corporation shall be necessary to provide sufficient funds for achieving its purposes, including:
(1) Payment of interest on notes of the corporation;
(2) Establishment of reserves to secure these notes; and
(3) Making of all other expenditures of the corporation incident to and necessary or convenient to carrying out its corporate purposes and powers.
(b) All notes issued by the corporation may be secured by the full faith and credit of the corporation, or may be payable solely out of revenues and receipts derived from the pledge or assignment of, grant of security interest in, or sale of, accounts owned by it or any part thereof, or upon investment earnings of any of these revenues, receipts, proceeds, or payments, or upon any other form of security available to the corporation for that purpose, all as may be designated in the proceedings of the corporation under which the notes shall be authorized to be issued. The notes may be executed and delivered by the corporation at any time or from time to time, may be in such form and denominations and of such tenor and maturities, and may be in bearer form or in registered form, as to principal and interest or as to principal alone, all as the corporation may determine.
(c) Notes and any renewals thereof may be payable in such installments and at such times, not exceeding six (6) months from the date of the original issue of the notes, as shall be determined by the corporation.
(d) Notes may be payable at such places, whether within or without the state, may bear interest at such rate or rates payable at such time or times and at such place or places and evidenced in such manner, and may contain such provisions not inconsistent herewith, all as shall be provided in the proceedings of the corporation under which they shall be authorized to be issued.
(e) There may be retained by provisions made in the proceedings under which any notes of the corporation are authorized to be issued an option to redeem all or any part thereof, at the prices and upon such notice, and on such further terms and conditions, as shall be set forth on the record of the proceedings and on the face of the notes.
(f) Moneys of the corporation, including without limitation revenues, receipts, proceeds, payments, or earnings listed in subsection (b), may be invested and reinvested in such obligations, securities, and other investments consistent with the purposes of this chapter as shall be specified in the resolutions under which the notes are authorized.
(g) Issuance by the corporation of one or more series of notes for one or more purposes shall not preclude it from issuing other notes for the same purpose or purposes, but the proceedings whereunder any subsequent notes may be issued shall recognize and protect a prior pledge made for a prior issue of notes unless in the proceedings authorizing the prior issue the right is reserved to issue subsequent notes on a parity with the prior issue.
(h) The members of the corporation shall not be subject to personal liability or accountability by reason of the issue of notes under this chapter.
(i) Notes may be issued under the provisions of this chapter without obtaining the consent of any department, division, commission, board, body, bureau, or agency of the state, and without any other proceedings, conditions, or things other than those proceedings, conditions, or things which are specifically required by this chapter and by the provisions of the resolution authorizing the issuance of the notes or the trust agreement securing the same.
(j) Whether or not the notes are of such form and character as to be negotiable instruments under the terms of the Uniform Commercial Code, title 6A, the notes are hereby made negotiable instruments within the meaning of and for all the purposes of the Uniform Commercial Code, subject only to the provisions of the notes for registration.
(k) If a member of the corporation whose signature appears on the notes or coupons shall cease to be a member before the delivery of the notes, the member’s signature shall, nevertheless, be valid and sufficient for all purposes, as if the member had remained in office until the delivery.
History of Section. P.L. 1982, ch. 324, § 1.
(a) The principal of and interest on any notes issued by the corporation may be secured by a pledge or assignment of any revenues and receipts of the corporation and may be secured by a security interest or other instrument covering all or any part of one or more accounts acquired by the corporation pursuant to the provisions of this chapter.
(b) The resolution under which the notes are authorized to be issued and the security interest or other instrument may contain agreements and provisions respecting the servicing of the loans covered thereby, the fixing and collection of payments or repayments or other revenues therefrom, the creation and maintenance of special funds from these revenues, and the rights and remedies available in the event of default, all as the corporation shall deem advisable.
(c) Each pledge, assignment, agreement, security interest, or other instrument made for the benefit or security of any of the notes of the corporation shall continue in effect until the principal of and interest on the notes for the benefit of which the notes was made shall have been fully paid, or until provision shall have been made for payment in the manner provided in the resolution under which the notes were authorized.
(d) Any pledge made by the corporation shall be valid and binding from the time it is made. The money, accounts, or property pledged and thereafter received by the corporation shall immediately be subject to the lien of the pledge without physical delivery or further act. The lien of the pledge shall be valid and binding against all parties having a claim in tort, contract, or otherwise against the corporation, irrespective of whether the parties have notice of the claim. Neither the resolution nor any instrument by which a pledge is created need be recorded.
(e) Any resolution under which notes of the corporation are authorized to be issued (and any trust indenture established thereby) may contain provisions for vesting in a trustee or trustees such properties, rights, powers, and duties in trust as the corporation may determine.
History of Section. P.L. 1982, ch. 324, § 1.
All moneys received pursuant to the authority of this chapter, whether as proceeds from the sale of notes or as revenues, receipts, or income, shall be trust funds to be held and applied solely as provided in the proceedings under which the notes are authorized. Any officer with whom, or any bank or trust company with which, these money shall be deposited as trustee thereof shall hold and apply the money for the purposes thereof, subject to the applicable provisions of this chapter, the proceedings authorizing the notes, and the trust agreement securing the notes, if any.
History of Section. P.L. 1982, ch. 324, § 1.
The corporation shall not be required to pay state taxes of any kind, and the corporation, and its property and money, shall at all times be free from taxation of every kind by the state.
History of Section. P.L. 1982, ch. 324, § 1.
The notes of the corporation are hereby made securities in which all public officers and bodies of this state and municipalities and municipal subdivisions, all companies and associations and other persons carrying on an insurance business, all banks, bankers, trust companies, savings banks, and savings associations, including savings and loan associations, building and loan associations, investment companies, and other persons carrying on a banking business, all administrators, guardians, executors, trustees, and other fiduciaries, and all other persons whatsoever who are authorized to invest in bonds or other obligations of the state may properly and legally invest funds, including capital, in their control or belonging to them.
History of Section. P.L. 1982, ch. 324, § 1.
The state does hereby pledge to and agree with the holders of any notes issued under this chapter, that the state will not limit or alter the rights vested in the corporation to fulfill the terms of any agreements made with the holders until these notes, together with the interest thereon, with interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceeding by or on behalf of holders, are fully met and discharged. The corporation is authorized to include this pledge and agreement of the state in any agreement with the holders of notes.
History of Section. P.L. 1982, ch. 324, § 1.
Obligations issued under the provisions of this chapter shall not constitute a debt, liability, or obligation of the state or of any political subdivision thereof other than the corporation, or a pledge of the faith and credit of the state or any political subdivision other than the corporation, but shall be payable solely from the revenues or assets of the corporation. Each obligation issued under this chapter shall contain on the face thereof a statement to the effect that the corporation shall not be obligated to pay the obligation or interest thereon except from revenues or assets pledged therefor, and that neither the faith and credit nor the taxing power of the state or any political subdivision thereof other than the corporation is pledged to the payment of the principal of or the interest on the obligation.
History of Section. P.L. 1982, ch. 324, § 1.
Notwithstanding the provisions of any other statute to the contrary, the president of the university is authorized and empowered to sell accounts to the corporation for such consideration and upon such terms and conditions as the president shall approve.
History of Section. P.L. 1982, ch. 324, § 1.
The corporation shall submit to the board of governors for higher education, within four (4) months after the close of its fiscal year, a report of its activities for the preceding fiscal year. The report shall set forth a complete operating and financial statement covering the corporation’s operations during the preceding fiscal year. The corporation shall cause an independent audit of its books and accounts to be made at least once each fiscal year.
History of Section. P.L. 1982, ch. 324, § 1.
Insofar as the provisions of this chapter are inconsistent with the provisions of any other law or ordinance, general, special or local, the provisions of this chapter shall be controlling.
History of Section. P.L. 1982, ch. 324, § 1.
Nothing in this chapter shall restrict or limit the powers of the corporation arising under any laws of this state. This chapter shall be construed to provide a complete additional and alternative method for doing the things authorized by this chapter and shall be regarded as supplemental and in addition to the powers conferred by other laws. The issuance of all notes and other obligations of the corporation under the provisions of this chapter need not comply with the requirements of any other statute applicable to the issuance of obligations. No proceedings or notice of approval shall be required for the issuance of any notes and other obligations or any instruments of security therefor except as provided in this chapter.
History of Section. P.L. 1982, ch. 324, § 1.
This chapter, being necessary for the welfare of the state and its inhabitants, shall be liberally construed so as to effectuate its purposes.
History of Section. P.L. 1982, ch. 324, § 1.
If any clause, sentence, paragraph, section, or part of this chapter shall be adjudged by any court of competent jurisdiction to be invalid, that judgment shall not affect, impair, or invalidate the remainder of this chapter, but shall be confined in its operation to the clause, sentence, paragraph, section, or part directly involved in the controversy in which that judgment shall have been rendered.
History of Section. P.L. 1982, ch. 324, § 1.
This chapter may be cited as the “Registered Public Obligations Act.”
History of Section. P.L. 1983, ch. 267, § 1.
As used in this chapter, the following terms have the following meanings, unless the context otherwise requires:
(1) “Authorized officer” means any individual required or permitted, alone or with others, by any provision of law, or by the issuing public entity, to execute on behalf of the public entity a certificated registered public obligation or a writing relating to an uncertificated registered public obligation.
(2) “Certificated registered public obligation” means a registered public obligation which is represented by an instrument.
(3) “Code” means the federal Internal Revenue Code of 1986, 26 U.S.C. § 1 et seq.
(4) “Facsimile seal” means the reproduction by engraving, imprinting, stamping, or other means of the seal of the issuer, official, or official body.
(5) “Facsimile signature” means the reproduction by engraving, imprinting, stamping, or other means of a manual signature.
(6) “Financial intermediary” means a bank, broker, clearing corporation, or other person, or the nominee of any of them, which in the ordinary course of its business maintains registered public obligation accounts for its customers, when so acting.
(7) “Issuer” means a public entity which issues an obligation.
(8) “Obligation” means an agreement of a public entity to pay principal and any interest thereon, whether in the form of a contract to repay borrowed money, a lease, an installment purchase agreement, or otherwise, and includes a share, participation, or other interest in that agreement.
(9) “Official actions” means the actions by statute, order, ordinance, resolution, contract, or other authorized means by which the issuer provides for issuance of a registered public obligation.
(10) “Official or official body” means:
(i) The officer or board that is empowered under the laws of one or more states, including this state, to provide for original issuance of an obligation of the issuer, by defining the obligation and its terms, conditions, and other incidents;
(ii) The successor or successors of the official or official body; and
(iii) Such other person or group of persons as shall be assigned duties of the official or official body with respect to a registered public obligation under applicable law from time to time.
(11) “Public entity” means any entity, department, or agency which is empowered under the laws of one or more states, territories, possessions of the United States, or the District of Columbia, including this state, to issue obligations, any interest with respect to which may, under any provision of law, be provided an exemption from the income tax referred to in the code. The term “public entity” may thus include, without limitation, this state, an entity deriving powers from and acting pursuant to the state constitution or a special legislative act, a political subdivision, a municipal corporation, a state university or college, a school or other special district, a joint agreement entity, a public authority, a public trust, a nonprofit corporation, and other organizations.
(12) “Registered public obligations” means an obligation issued by a public entity pursuant to a system of registration.
(13) “System of registration” and its variants means a plan that provides:
(i) With respect to a certificated registered publication, that:
(A) The certificated registered public obligation specify a person entitled to the registered public obligation and the rights it represents; and
(B) Transfer of the certificated registered public obligation and the rights it represents may be registered upon books maintained for that purpose by or on behalf of the issuer; and
(ii) With respect to an uncertificated registered public obligation, that:
(A) Books maintained by or on behalf of the issuer for the purpose of registration of the transfer of a registered public obligation specify a person entitled to the registered public obligation and the rights evidenced thereby; and
(B) Transfer of the uncertificated registered public obligation and the rights evidenced thereby be registered upon the books.
(14) “Uncertificated registered public obligation” means a registered public obligation which is not represented by an instrument.
History of Section. P.L. 1983, ch. 267, § 1.
(a) The code provides that interest with respect to certain obligations may not be exempt from federal income taxation unless they are in registered form. It is therefore a matter of state concern that public entities be authorized to provide for the issuance of obligations in registered form. It is a purpose of this chapter to empower all public entities to establish and maintain a system pursuant to which obligations may be issued in registered form within the meaning of the applicable provisions of the code.
(b) Obligations have traditionally been issued in bearer rather than in registered form, and a change from bearer to registered form may affect the relationships, rights, and duties of issuers of and the persons that deal with obligations, and by this effect, the costs. These effects will impact the various issuers and varieties of obligations differently depending on their legal and financial characteristics, their markets, and their adaptability to recent and prospective technological and organizational developments. It is therefore a matter of state concern that public entities be provided flexibility in the development of systems of registration and control over system incidents, so as to accommodate these differing impacts. It is a purpose of this chapter to empower the establishment and maintenance, and amendment from time to time, of differing systems of registration of obligations, including system incidents, so as to accommodate the differing impacts upon issuers and varieties of obligations. It is further a purpose of this chapter to authorize systems that will facilitate the prompt and accurate transfer of registered public obligations and the developing of practices with regard to the registration and transfer of registered public obligations.
History of Section. P.L. 1983, ch. 267, § 1.
(a) Each issuer is authorized to establish and maintain a system of registration with respect to each obligation which it issues. The system may be a system pursuant to which (1) only certificated registered public obligations are issued; (2) only uncertificated registered public obligations are issued; or (3) both certificated and uncertificated registered public obligations are issued. The issuer may amend, discontinue, and reinstitute any system, from time to time, subject to covenants.
(b) The system shall be established, amended, discontinued, or reinstituted for the issuer and shall be maintained for the issuer as provided by the official or official body.
(c) The system shall be described in the registered public obligation or in the official actions which provide for original issuance of the registered public obligation, and in subsequent official actions providing for amendments and other matters from time to time. The description may be by reference to a program of the issuer which is established by the official or official body.
(d) The system shall define the method or methods by which transfer of the registered public obligation shall be effective with respect to the issuer, and by which payment of principal and any interest shall be made. The system may permit the issuance of registered public obligations in any denomination to represent several registered public obligations of smaller denominations. The system may also provide for the form of any certificated registered public obligation or of any writing relating to an uncertificated registered public obligation, for identifying numbers or other designations, for a sufficient supply of certificates for subsequent transfers, for record and payment dates, for varying denominations, for communications to holders or owners of obligations, and for accounting, cancelled certificate destruction registration, and releases of security interests and for other incidental matters. Unless the issuer otherwise provides, the record date for interest payable on the first or fifteenth day of a month shall be the fifteenth day or the last business day of the preceding month, respectively, and for interest payable on other than the first or fifteenth day of a month shall be the fifteenth calendar day before the interest payment date.
(e) Under a system pursuant to which both certificated and uncertificated registered public obligations are issued, both types of registered public obligations may be regularly issued, or one type may be regularly issued and the other type issued only under described circumstances or to particular described categories of owners, and provision may be made for registration and release of security interests in registered public obligations.
(f) The system may include covenants of the issuer as to amendments, discontinuances, and reinstitutions of the system and the effect of these on the exemption of interest from the income tax provided for by the code.
(g) Whenever an issuer shall issue an uncertificated registered public obligation, the system of registration may provide that a true copy of the official actions of the issuer relating to the uncertificated registered public obligation be maintained by the issuer or by the person, if any, maintaining the system on behalf of the issuer, so long as the uncertificated registered public obligation remains outstanding and unpaid. A copy of the official actions, verified to be a copy by an authorized officer, shall be admissible before any court of record, administrative body, or arbitration panel without further authentication.
(h) Nothing in this chapter shall preclude a conversion from one of the forms of registered public obligations provided for by this chapter to a form of obligation not provided for by this chapter if interest on the obligation so converted will continue to be exempt from the income tax provided for by the code.
(i) The rights provided by other laws with respect to obligations in forms not provided for by this chapter shall, to the extent not inconsistent with this chapter, apply with respect to registered public obligations issued in forms authorized by this chapter.
History of Section. P.L. 1983, ch. 267, § 1.
(a) A certificated registered public obligation shall be executed by the issuer, by the manual or facsimile signature or signatures of authorized officers. Any signature of an authorized officer may be attested by the manual or facsimile signature of another authorized officer.
(b) In addition to the signatures referred to in subsection (a), any certificated registered public obligation or any writing relating to an uncertificated registered public obligation may include a certificate or certificates signed by the manual or facsimile signature of an authenticating agent, registrar, transfer agent, or the like.
(c) At least one signature of an authorized officer or other person required or permitted to be placed on a certificated registered public obligation shall be a manual signature.
History of Section. P.L. 1983, ch. 267, § 1.
(a) Any certificated registered public obligation signed by the authorized officers at the time of the signing thereof shall remain valid and binding, notwithstanding that before the issuance thereof any or all of the officers shall have ceased to fill their respective offices.
(b) Any authorized officer empowered to sign any certificated registered public obligation may adopt as and for the signature of the officer the signature of a predecessor in office in the event that the predecessor’s signature appears on the certificated registered public obligation. An authorized officer incurs no liability by the adopting of a predecessor’s signature that would not be incurred by the authorized officer if the signature were that of the authorized officer.
History of Section. P.L. 1983, ch. 267, § 1.
When a seal is required or permitted in the execution of any certificated registered public obligation, an authorized officer may cause the seal to be printed, engraved, stamped, or otherwise placed in facsimile on the obligation. The facsimile seal has the same legal effect as the impression of the seal.
History of Section. P.L. 1983, ch. 267, § 1.
(a) An issuer may appoint for such term as may be agreed, including for so long as a registered public obligation may be outstanding, corporate or other authenticating agents, transfer agents, registrars, or paying or other agents and specify the terms of their appointment, including their rights, compensation and duties, limits upon their liabilities, and provision for their payment of liquidated damages in the event of breach of certain of the duties imposed, which liquidated damages may be made payable to the issuer, the owner, or a financial intermediary. None of these agents need have an office or do business within this state.
(b) An issuer may agree with custodian banks and financial intermediaries, and nominees of any of them, in connection with the establishment and maintenance by others of a central depository system for the transfer or pledge of registered public obligations. The custodian banks and financial intermediaries, and nominees, may, if qualified and acting as fiduciaries, also serve as authenticating agents, transfer agents, registrars, or paying or other agents of the issuer with respect to the same issue of registered public obligations.
(c) Nothing shall preclude the issuer from itself performing, either alone or jointly with other issuers, any transfer, registration, authentication, payment, or other function described in this section.
History of Section. P.L. 1983, ch. 267, § 1.
(a) An issuer, prior to or at original issuance of registered public obligations, may provide as a part of a system of registration that the transferor or transferee of the registered public obligations pay all or a designated part of the costs of the system as a condition precedent to transfer, that costs be paid out of proceeds of the registered public obligations, or that both methods be used. The portion of the costs of the system not provided to be paid for by the transferor or transferee or out of proceeds shall be the liability of the issuer.
(b) The issuer may as a part of a system of registration provide for reimbursement or for satisfaction of its liability by payment by others. The issuer may enter into agreements with others respecting reimbursement or payment, may establish fees and charges pursuant to these agreements or otherwise, and may provide that the amount or estimated amount of the fees and charges shall be reimbursed or paid from the same sources and by means of the same collection and enforcement procedures and with the same priority and effect as with respect to the obligations.
History of Section. P.L. 1983, ch. 267, § 1.
Obligations issued by public entities under the laws of one or more states, territories, possessions, or the District of Columbia, which are in registered form, whether or not represented by an instrument, and which, except for their form, satisfy the requirements with regard to security for deposits of moneys of public agencies prescribed pursuant to any law of this state, shall be deemed to satisfy all the requirements even though they are in registered form if a security interest in the obligations is perfected on behalf of the public agencies whose moneys are so deposited.
History of Section. P.L. 1983, ch. 267, § 1.
(a) Records, with regard to the ownership of or security interests in registered public obligations, are not subject to inspection or copying under any law of this state relating to the right of the public to inspect or copy public records, notwithstanding any law to the contrary.
(b) Registration records of the issuer may be maintained at such locations within or without this state as the issuer shall determine.
History of Section. P.L. 1983, ch. 267, § 1.
(a) Unless at any time prior to or at original issuance of a registered public obligation the official or official body of the issuer determines otherwise, this chapter shall be applicable to that registered public obligation notwithstanding any provision of law to the contrary. When this chapter is applicable, no contrary provision shall apply.
(b) Nothing in this chapter limits or prevents the issuance of obligations in any other form or manner authorized by law.
(c) Unless determined otherwise pursuant to subsection (a), the provisions of this chapter shall be applicable with respect to obligations which have, prior to May 18, 1983, been approved by vote, referendum, or hearing, authorizing or permitting the authorization of obligations in bearer and registered form, or in bearer form only, and these obligations need not be resubmitted for a further vote, referendum, or hearing, for the purpose of authorizing or permitting the authorization of registered public obligations pursuant to this chapter.
History of Section. P.L. 1983, ch. 267, § 1.
This chapter shall be construed in conjunction with the Uniform Commercial Code, title 6A, and the principles of contract law relative to the registration and transfer of obligations.
History of Section. P.L. 1983, ch. 267, § 1.
The state hereby covenants with the owners of any registered public obligations that it will not amend or repeal this chapter if the effect may be to impair the exemption from income taxation of interest on registered public obligations.
History of Section. P.L. 1983, ch. 267, § 1.
If any provision or the application of any provision of this chapter shall be invalid, this shall not affect the validity of other provisions or other applications, it hereby being declared that the provisions or the applications of this chapter are separable and this chapter would have been enacted with the invalid provision omitted or without the invalid application in any event.
History of Section. P.L. 1983, ch. 267, § 1.
This chapter shall be known and may be cited as the “Financial Integrity and Accountability Act of 1986.”
History of Section. P.L. 1986, ch. 287, § 1.
(a) The legislature hereby finds that:
(1) Fraud and errors in state programs are more likely to occur from a lack of sufficient internal control structures at state agencies;
(2) Effective internal control structures provide the basic foundation upon which public accountability must be built;
(3) An entity’s system of internal control structures consists of policies and procedures designed to provide management with reasonable assurance that the agency achieves its objectives and goals including:
(i) Reliability of financial reporting;
(ii) Compliance with applicable laws and regulations; and
(iii) Effectiveness and efficiency of operations.
(4) Internal control structures are necessarily dynamic and must be continuously evaluated and, where necessary, improved; and
(5) Reports addressing the adequacy of the internal control structure of each state agency are necessary to enable the executive branch, the legislature, and the public to evaluate the agency’s performance of its public responsibilities and accountability.
(b) The legislature declares that:
(1) The management of each state agency is responsible for establishing and maintaining an adequate internal control structure and policies and procedures for financial reporting;
(2) Each state agency shall perform an assessment and produce a report on the effectiveness of the internal control structure and procedures for financial reporting and, when detected, weaknesses must be promptly corrected; and
(3) All levels of management of the state agencies must be involved in assessing and strengthening the systems of internal control structures to minimize fraud, errors, abuse, and waste of government funds.
History of Section. P.L. 1986, ch. 287, § 1; P.L. 2015, ch. 165, § 1; P.L. 2015, ch. 196, § 1.
State agency heads are responsible for the establishment and maintenance of a system or systems of internal accounting and administrative control within their agencies. This responsibility includes:
(1) Documenting the system;
(2) Communicating system requirements to employees; and
(3) Assuring that the system is functioning as prescribed and is modified, as appropriate, for changes in conditions.
History of Section. P.L. 1986, ch. 287, § 1.
(a) Internal accounting and administrative controls are the methods through which reasonable assurances can be given that measures adopted by state agency heads to safeguard assets, check the accuracy and reliability of accounting data, promote operational efficiency, and encourage adherence to prescribed managerial policies are being followed. The elements of a satisfactory system of internal accounting and administrative control shall include, but are not limited to, the following:
(1) A plan of organization that provides segregation of duties appropriate for proper safeguarding of state agency assets;
(2) A plan that limits access to state agency assets to authorized personnel who require these assets in the performance of their assigned duties;
(3) A system of authorization and recordkeeping procedures adequate to provide effective accounting control over assets, liabilities, revenues, and expenditures;
(4) An established system of practices to be followed in performance of duties and functions in each of the state agencies;
(5) Personnel of a quality commensurate with their responsibilities; and
(6) An effective system of internal review.
(b) State agency heads shall follow these standards of internal accounting and administrative control in carrying out the requirements of this chapter.
History of Section. P.L. 1986, ch. 287, § 1.
As used in this chapter:
(1) “Controller” means the state controller.
(2) “Director” means the director of administration.
(3) “Governor” means the governor of Rhode Island.
History of Section. P.L. 1986, ch. 287, § 1.
(a) To ensure that the requirements of this chapter are fully complied with, the head of each agency shall prepare and submit a report on the adequacy of the agency’s systems of internal accounting and administrative control by December 31 of each year.
(b) The report, including the state agency’s response to report recommendations, shall be signed by the head of the agency and addressed to the governor. Copies of the reports shall be forwarded to the legislature, the auditor general, and the director. Copies of these reports shall also be forwarded to the state library, where they shall be available for public inspection.
(c) By January 1, 1987, the director, in consultation with the auditor general and the controller, shall establish a system of reporting and a general framework to guide the agencies in performing evaluations on their systems of internal accounting and administrative control. The director, in consultation with the auditor general and the controller, may modify the format for the report or the framework for conducting the evaluations from time to time as deemed necessary.
(d) Any material inadequacy or material weakness in an agency’s systems of internal accounting and administrative control which prevents the head of the agency from stating that the agency’s systems of internal accounting and administrative control provided reasonable assurances that each of the objectives specified in § 35-14-4 was achieved shall be identified and the plans and schedule for correcting the inadequacy described in detail.
History of Section. P.L. 1986, ch. 287, § 1.
It is declared that, for the benefit of the people of the state, the conduct and increase of their commerce, the protection and enhancement of their welfare, the development of continued prosperity, and the improvement of their health and living conditions, it is essential that this and future generations be given the fullest opportunity to learn and to develop their intellectual skills and be given the fullest access to affordable housing. In order to achieve these ends it is important that Rhode Island citizens be provided with an investment opportunity to enhance their financial access to institutions of higher education and access to housing within this state. It is the intent of the general assembly to provide the people of the state with an alternative method of saving for the purpose of encouraging enrollment in institutions of higher education and for the purpose of encouraging the purchase of residential dwellings within the state.
History of Section. P.L. 1988, ch. 426, § 1; P.L. 1990, ch. 54, § 1.
As used in this chapter:
(1) “College and university savings bond program” shall mean the program of encouraging enrollment in institutions of higher education by providing for a method of investment.
(2) “General obligation bond acts” shall mean:
(i) Any future public law which authorizes the state to issue its general obligation bonds, except those acts that expressly provide that this chapter shall not apply thereto; and
(ii) The following authorized but unissued bond authorizations of the state:
(A) Ten million dollars ($10,000,000) for land acquisition-industrial development under P.L. 1979, ch. 157;
(B) Sixty-four million, seven hundred thousand, dollars ($64,700,000) for the Narragansett Bay water quality management district commission under P.L. 1980, ch. 342;
(C) One million dollars ($1,000,000) for the purpose of state water supplies under P.L. 1980, ch. 163;
(D) Four thousand, six hundred, dollars ($4,600) for behavioral healthcare, developmental disabilities and hospitals under P.L. 1980, ch. 163;
(E) One million, three hundred ninety thousand, dollars ($1,390,000) for transportation under P.L. 1982, ch. 344, as amended by P.L. 1982, ch. 455;
(F) Two million, one hundred ten thousand, dollars ($2,110,000) for children, youth and families under P.L. 1982, ch. 344;
(G) Seven million dollars ($7,000,000) for transportation under P.L. 1983, ch. 332;
(H) Seven million, four hundred thousand, dollars ($7,400,000) for a water facilities assistance program under P.L. 1983, ch. 332;
(I) Three million, four hundred forty thousand, dollars ($3,440,000) for behavioral healthcare, developmental disabilities and hospitals under P.L. 1984, ch. 156;
(J) Five million dollars ($5,000,000) for environmental response fund-hazardous waste under P.L. 1984, ch. 403;
(K) Two million, two hundred thousand, dollars ($2,200,000) for higher education under P.L. 1984, ch. 156;
(L) Two million, twenty thousand, dollars ($2,020,000) for elementary and secondary education under P.L. 1984, ch. 156;
(M) Four million, five hundred fifty-five thousand, dollars ($4,555,000) for sewerage and water supply failure fund under P.L. 1984, ch. 420;
(N) Five million dollars ($5,000,000) for the emergency telephone system under P.L. 1984, ch. 144;
(O) Five million, five hundred thousand, dollars ($5,500,000) for state house renovations under P.L. 1985, ch. 367;
(P) Five million dollars ($5,000,000) for handicapped accessibility improvements under P.L. 1985, ch. 367;
(Q) Sixteen million dollars ($16,000,000) for transportation under P.L. 1985, ch. 367;
(R) One million, eight hundred fifteen thousand, dollars ($1,815,000) for agricultural land preservation under P.L. 1985, ch. 367;
(S) Nine million, six hundred eighty thousand, dollars ($9,680,000) for behavioral healthcare, developmental disabilities and hospitals under P.L. 1985, ch. 367;
(T) Sixteen million dollars ($16,000,000) for asbestos abatement under P.L. 1985, ch. 366;
(U) Seven million, eight hundred twenty thousand, dollars ($7,820,000) for heritage preservation under P.L. 1985, ch. 369;
(V) One million, five hundred thousand, dollars ($1,500,000) for underground storage tank replacement under P.L. 1985, ch. 486;
(W) Thirty-five million dollars ($35,000,000) for the Clean Water Act environmental trust fund under P.L. 1986, ch. 289;
(X) Eleven million, six hundred ninety thousand, dollars ($11,690,000) for behavioral healthcare, developmental disabilities and hospitals under P.L. 1986, ch. 419;
(Y) Fifty-five million, four hundred ninety thousand, dollars ($55,490,000) for transportation under P.L. 1986, ch. 419;
(Z) Thirteen million, six hundred thousand, dollars ($13,600,000) for water resources under P.L. 1986, ch. 419;
(AA) Fifteen million, twenty-five thousand, dollars ($15,025,000) for environmental management under P.L. 1986, ch. 419;
(BB) One million, five hundred eighty thousand, dollars ($1,580,000) for human services under P.L. 1986, ch. 419;
(CC) Six million, five hundred thousand, dollars ($6,500,000) for children, youth and families under P.L. 1986, ch. 419;
(DD) Two million dollars ($2,000,000) for hazardous waste under P.L. 1986, ch. 419;
(EE) Eight million, seven hundred thousand, dollars ($8,700,000) for higher education facilities under P.L. 1986, ch. 419;
(FF) Sixty-five million, two hundred thousand, dollars ($65,200,000) for open space and recreational areas under P.L. 1987, ch. 425; and
(GG) Twelve million, twenty-five thousand, dollars ($12,025,000) for Blackstone Valley district commission P.L. 1986, ch. 289;
(3) “Housing assistance downpayment savings bond program” shall mean the program of enhancing the ability of residents of the state to purchase residential dwellings within the state by providing for a method of savings and investment.
(4) “Institution of higher education” shall mean an educational institution situated within or without this state which by virtue of law or charter is a public or other nonprofit educational institution empowered to provide a program of education beyond the high school level and which is accredited by a nationally recognized educational accrediting agency or association and awards an associate’s, bachelor’s, or advance degree or provides a program of not less than two (2) years’ duration which is acceptable for full credit toward a bachelor’s degree.
(5) “Rhode Island savings bonds” shall mean general obligation bonds of the state which are:
(i) Designated as general obligation savings bonds by the governor and the general treasurer; and
(ii) Are issued under the provisions of the “general obligation and bonds acts”, as that term is defined in paragraph (2).
(6) “State” shall mean the state of Rhode Island.
(7) “State of Rhode Island savings plan advisory board” or “advisory board” shall mean the board created and established in § 35-15-3.
History of Section. P.L. 1988, ch. 426, § 1; P.L. 1990, ch. 54, § 1.
(a) The state of Rhode Island savings bond advisory board is hereby created and established to perform the duties and exercise the powers listed in this section. Pursuant to the powers delegated to the department of the treasury, the department shall have the responsibility for supervising, organizing, and evaluating the advisory board and the savings bond program. The advisory board shall consist of the general treasurer, the commissioner of higher education, the director of administration, and the executive director of the Rhode Island housing and mortgage finance corporation or their respective designees, and four (4) additional members to be appointed as follows: the governor, the lieutenant governor, the president of the senate, and the speaker of the house of representatives shall each appoint one member. The governor, the lieutenant governor, president of the senate, and the speaker of the house of representatives shall select members on the basis of their knowledge, skill, and experience in the fields of business, education, housing, or finance. The general treasurer shall serve as chairperson of the advisory board, and the advisory board shall elect one of its members as vice-chairperson and another as secretary-treasurer. The appointed members of the advisory board first appointed shall serve for terms expiring on June 30, 1991, or until their successors have been appointed and have qualified. Following this determination, each member shall swear or solemnly affirm to administer the duties of office faithfully and impartially, indicating by date when the term of the member shall expire. Upon the expiration of the term of any appointed member, the successor member shall be appointed for a term of three (3) years or until a successor has been appointed and has qualified. Any vacancy shall be filled in the manner of the original appointment for the remainder of the unexpired term. The members shall receive no compensation for the performance of their duties, but each member shall be reimbursed for reasonable expenses incurred in carrying out and performing their duties under this chapter.
(b) The advisory board shall have the following responsibilities and duties:
(1) To implement the Rhode Island savings bond program;
(2) To the extent permitted by federal and state laws, to develop and conduct marketing and advertising campaigns for the savings bonds and other instruments;
(3) To make recommendations to the governor, the general treasurer, and the budget office regarding the terms and conditions of the offering of savings bonds, including methods by which the offering may be conducted;
(4) To advise the governor, the general treasurer, and the department of administration regarding minimum denominations, maturity dates, and increments of the savings bonds; and
(5) To make reports to the general assembly annually.
History of Section. P.L. 1988, ch. 426, § 1; P.L. 1990, ch. 54, § 1; P.L. 2001, ch. 180, § 73.
In order to provide the people of the state: (1) with access to institutions of higher education; and (2) the financial means to purchase residential housing; there shall be issued with all bonds of the state, authorized by the provisions of the general obligation bond acts, savings bonds in such amounts as determined by the general treasurer with the approval of the governor. Bonds to be issued and sold as savings bonds shall be designated by the governor and the general treasurer as “general obligation savings bonds” in the proceedings authorizing the issuance of the bonds, and shall be subject to all of the terms and provisions of the general obligation bond acts, except as provided in §§ 35-15-5 and 35-15-6 and except that savings bonds may bear interest payable at such time or times, and may be sold in such a manner, and as may be determined by the governor and the general treasurer. Savings bonds may be sold at a negotiated sale if the governor and general treasurer determine that a negotiated sale will result in either a more efficient and economic sale of the savings bonds or greater access to the savings bonds by residents in the state. If any savings bonds are sold at a negotiated sale, the underwriter or underwriters to which the bonds are sold shall, in the judgment of the general treasurer, have sufficient capability to make a broad distribution of the bonds to investors resident in the state. The aggregate original principal amount of the bonds will be the sole and exclusive test for determining whether general obligation bonds have been issued in the amounts approved by the vote of the people in the general obligation bond acts. In making these determinations, the interest component of the savings bonds shall be disregarded.
History of Section. P.L. 1988, ch. 426, § 1; P.L. 1990, ch. 54, § 1; P.L. 1992, ch. 209, § 1.
Any savings bonds issued pursuant to this chapter shall be direct, general obligations of the state and subject to repayment as provided in the general obligation bond acts; provided, that in the proceedings of the governor and the general treasurer authorizing the issuance of the bonds, those officials may covenant on behalf of the state with or for the benefit of the holders of the bonds as to all matters deemed advisable by those officials, including the terms and conditions for creating and maintaining sinking funds, reserve funds, and such other special funds as may be created in those proceedings, separate and apart from all other funds and accounts of the state, and those officials may make such other covenants as may be deemed necessary or desirable to assure the prompt payment of the principal of and interest on those bonds when due.
History of Section. P.L. 1988, ch. 426, § 1; P.L. 1990, ch. 54, § 1.
Notwithstanding any contrary provision of any general obligation bond act, the general treasurer, with the approval of the governor, is authorized and empowered to issue bonds in serial or term form in the name of and on behalf of the state, in amounts that will raise usable bond proceeds in an amount equal to the total amount for the projects authorized by the general obligation bond acts as has been approved by vote of the people.
History of Section. P.L. 1988, ch. 426, § 1.
(a) In order to provide for a more stable and accurate method of financial planning and budgeting and to facilitate the adoption of a balanced budget wherein appropriations and expenditures do not exceed anticipated revenues, as is required by the statutes and constitution of Rhode Island, it is hereby declared the intention of the legislature that there be a procedure for the determination of an official estimate of anticipated state revenues upon which the executive budget shall be based and beyond which appropriations by the legislature and expenditures by the state shall not exceed.
(b) The budget office, the house fiscal advisor, and the senate fiscal advisor shall meet in regularly scheduled consensus revenue estimating conferences (R.E.C.). These conferences shall be open public meetings.
(c) The chairpersonship of each regularly scheduled R.E.C. will rotate among the state budget officer, the house fiscal advisor, and the senate fiscal advisor, hereinafter referred to as principals. The schedule shall be arranged so that no chairperson shall preside over two (2) successive regularly scheduled conferences on the same subject.
(d) Representatives of all state agencies, including by way of illustration, and not by way of limitation, the division of taxation, department of transportation, department of business regulation, department of health, and the office of general treasurer and any other state agency or board responsible for a revenue source under consideration by the R.E.C., are to participate in all conferences for which their input is germane.
History of Section. P.L. 1990, ch. 65, art. 49, § 1; P.L. 1990, ch. 407, § 1; P.L. 1998, ch. 31, art. 19, § 1.
(a) The principals of the R.E.C. shall meet within the first ten (10) days of May and November of each year.
(b) The primary purpose of regularly scheduled conferences is to prepare economic forecasts and forecast revenue estimates and review current revenue collections under current tax law. The conference principals can agree, however, to address special legislation or special topics.
(c) Prior to each R.E.C., the principals will determine the documentation and information necessary to support that conference.
(d) No votes will be taken in the revenue estimating conferences. These are truly consensus conferences and all principals must agree and are bound to the conference recommendations.
History of Section. P.L. 1990, ch. 65, art. 49, § 1; P.L. 1990, ch. 407, § 1; P.L. 1992, ch. 133, art. 60, § 1; P.L. 1995, ch. 370, art. 43, § 1; P.L. 1997, ch. 30, art. 1, § 12; P.L. 1998, ch. 31, art. 19, § 1.
(a) Any time during a fiscal year that any principal feels that the recommendations of the revenue estimating conference are no longer valid, then that principal, with appropriate notice, may convene a revenue estimating conference. The principal requesting the additional conference shall be the chairperson for that conference.
(b) If at any time during a fiscal year any participant feels that the recommendations of the revenue estimating conference are no longer valid with respect to their revenue sources then that participant has a duty to and shall notify each of the principals.
History of Section. P.L. 1990, ch. 65, art. 49, § 1; P.L. 1990, ch. 407, § 1; P.L. 1998, ch. 31, art. 19, § 1.
(a) The revenue estimating conference principals, along with the appropriate participants, will meet from time to time to compare current fiscal statistics with the most recent financial projection as required by § 35-3-1(a)(6). Any principal can call an impact meeting at any time.
(b) Following each legislative session, the principals, along with the appropriate participants, shall meet and review all changes in tax legislation and shall amend the official recommendations of the revenue estimating conference accordingly.
History of Section. P.L. 1990, ch. 65, art. 49, § 1; P.L. 1990, ch. 407, § 1; P.L. 2005, ch. 410, § 18.
(a) The R.E.C. chairperson and his or her staff will be responsible for preparing and distributing work papers before each conference. Each participant and principal will be responsible for providing the chairperson with the appropriate materials for the work papers on a schedule determined by the chairperson. Failure to meet this schedule shall be grounds, at the chairperson’s option, to delay the conference.
(b) Work papers will include a side by side comparison of the revenue scenarios advocated by each of the principals. This analysis and its side by side presentation will be completed in time to distribute to each R.E.C. party at least one full day prior to the scheduled meeting date.
(c) The principals may request each participant to provide the R.E.C. chairperson and the remaining principals an independent revenue estimate and supporting information for each revenue source under the responsibility of the participant’s agency. This information should be provided on a schedule provided by the conference chairperson and will be included in the conference comparison report.
(d) The principals may request that each participant shall notify the R.E.C. chairperson of any prospective administrative changes contemplated by their respective agency which will affect the cash flow of any revenue source under consideration.
(e) For general revenue conferences, the principals shall adopt a consensus economic forecast upon which to base revenue estimates. The principals shall obtain the services of economists and economic forecast services as required for this purpose. The consensus economic forecast shall be available to each principal in a timely fashion for each principal to prepare revenue estimates.
History of Section. P.L. 1990, ch. 65, art. 49, § 1; P.L. 1990, ch. 407, § 1; P.L. 1998, ch. 31, art. 19, § 1.
The chairperson will be the sole source of any public announcement of the results from the conference. The final report will be prepared by the chairperson and distributed to conference participants not later than five (5) working days after adjournment. The reports shall contain the following:
(1) Tables showing the values of all relevant economic and demographic indicators;
(2) A fiscal year breakdown of all general revenue receipts by source; and
(3) A comparison of actual revenue collected with the revenue projections upon which the then current budget was based.
History of Section. P.L. 1990, ch. 65, art. 49, § 1; P.L. 1990, ch. 407, § 1; P.L. 1992, ch. 133, art. 60, § 1.
The budget office, the house fiscal advisor, and the senate fiscal advisor along with the house and senate fiscal staff and legal counsel shall study the feasibility and benefits of adopting a two (2) year budget cycle, and shall report in writing to the governor, the speaker of the house of representatives, and the president of the senate on or before January 2, 1994. The report shall address not only the benefits, if any, but also any disadvantages and/or legal impediments, constitutional and/or statutory, to adopting such a budget cycle.
History of Section. P.L. 1993, ch. 138, art. 86, § 1; P.L. 2001, ch. 180, § 74.
(a) In order to provide for a more stable and accurate method of financial planning and budgeting, it is hereby declared the intention of the legislature that there be a procedure for the determination of official estimates of anticipated medical assistance expenditures and public assistance caseloads, upon which the executive budget shall be based and for which appropriations by the general assembly shall be made.
(b) The state budget officer, the house fiscal advisor, and the senate fiscal advisor shall meet in regularly scheduled caseload estimating conferences (C.E.C.). These conferences shall be open public meetings.
(c) The chairpersonship of each regularly scheduled C.E.C. will rotate among the state budget officer, the house fiscal advisor, and the senate fiscal advisor, hereinafter referred to as principals. The schedule shall be arranged so that no chairperson shall preside over two (2) successive regularly scheduled conferences on the same subject.
(d) Representatives of all state agencies are to participate in all conferences for which their input is germane.
(e) The department of human services shall provide monthly data to the members of the caseload estimating conference by the fifteenth day of the following month. Monthly data shall include, but is not limited to, actual caseloads and expenditures for the following case assistance programs: Rhode Island Works, SSI state program, general public assistance, and child care. For individuals eligible to receive the payment under § 40-6-27(a)(1)(vi) [repealed], the report shall include the number of individuals enrolled in a managed care plan receiving long-term care services and supports and the number receiving fee-for-service benefits. The executive office of health and human services shall report relevant caseload information and expenditures for the following medical assistance categories: hospitals, long-term care, managed care, pharmacy, and other medical services. In the category of managed care, caseload information and expenditures for the following populations shall be separately identified and reported: children with disabilities, children in foster care, and children receiving adoption assistance and RIte Share enrollees under § 40-8.4-12(j). The information shall include the number of Medicaid recipients whose estate may be subject to a recovery and the anticipated amount to be collected from those subject to recovery, the total recoveries collected each month and number of estates attached to the collections and each month, the number of open cases and the number of cases that have been open longer than three months. The executive office will also report separately the amount that the Medicaid expenditures have been reduced by third-party liability payments to providers, supplemental income verification tools, the department of administration’s office of internal audit and program integrity unit, and recoveries from ABLE accounts.
(f) Beginning July 1, 2021, the department of behavioral healthcare, developmental disabilities and hospitals shall provide monthly data to the members of the caseload estimating conference by the twenty-fifth day of the following month. Monthly data shall include, but is not limited to, actual caseloads and expenditures for the private community developmental disabilities services program. Information shall include, but not be limited to: the number of cases and expenditures from the beginning of the fiscal year at the beginning of the prior month; cases added and denied during the prior month; expenditures made; and the number of cases and expenditures at the end of the month. The information concerning cases added and denied shall include summary information and profiles of the service-demand request for eligible adults meeting the state statutory definition for services from the division of developmental disabilities as determined by the division, including age, Medicaid eligibility and agency selection placement with a list of the services provided, and the reasons for the determinations of ineligibility for those cases denied. The department shall also provide, monthly, the number of individuals in a shared-living arrangement and how many may have returned to a twenty-four-hour (24) residential placement in that month. The department shall also report, monthly, any and all information for the consent decree that has been submitted to the federal court as well as the number of unduplicated individuals employed; the place of employment; and the number of hours working. The department shall also provide the amount of funding allocated to individuals above the assigned resource levels; the number of individuals and the assigned resource level; and the reasons for the approved additional resources. The department will also collect and forward to the house fiscal advisor, the senate fiscal advisor, and the state budget officer, by November 1 of each year, the annual cost reports for each community-based provider for the prior fiscal year. The department shall also provide the amount of patient liability to be collected and the amount collected as well as the number of individuals who have a financial obligation. The department will also provide a list of community-based providers awarded an advanced payment for residential and community-based day programs; the address for each property; and the value of the advancement. If the property is sold, the department must report the final sale, including the purchaser, the value of the sale, and the name of the agency that operated the facility. If residential property, the department must provide the number of individuals residing in the home at the time of sale and identify the type of residential placement that the individual(s) will be moving to. The department must report if the property will continue to be licensed as a residential facility. The department will also report any newly licensed twenty-four-hour (24) group home; the provider operating the facility; and the number of individuals residing in the facility. Prior to December 1, 2017, the department will provide the authorizations for community-based and day programs, including the unique number of individuals eligible to receive the services and at the end of each month the unique number of individuals who participated in the programs and claims processed.
(g) The executive office of health and human services shall provide direct assistance to the department of behavioral healthcare, developmental disabilities and hospitals to facilitate compliance with the monthly reporting requirements in addition to preparation for the caseload estimating conferences.
History of Section. P.L. 1991, ch. 44, art. 54, § 1; P.L. 1998, ch. 31, art. 18, § 1; P.L. 2000, ch. 55, art. 23, § 1; P.L. 2004, ch. 168, § 1; P.L. 2004, ch. 247, § 1; P.L. 2010, ch. 23, art. 20, § 4; P.L. 2012, ch. 241, art. 18, § 4; P.L. 2015, ch. 141, art. 5, § 6; P.L. 2019, ch. 88, art. 13, § 1; P.L. 2021, ch. 162, art. 3, § 6, effective July 6, 2021; P.L. 2024, ch. 117, art. 9, § 2, effective June 17, 2024; P.L. 2025, ch. 278, art. 8, § 2, effective June 29, 2025.
(a) The principles of the C.E.C. shall meet within the first ten (10) days of May, and November of each year.
(b) The primary purpose of regularly scheduled conferences is to forecast medical assistance and public assistance caseloads. The conference principals can agree, however, to address special legislation or special topics.
(c) Prior to each caseload estimating conference, the principals will determine the documentation and information necessary to support that conference.
(d) No votes will be taken in the caseload estimating conferences. These are truly consensus conferences and all principals must agree and are bound to the conference recommendations.
History of Section. P.L. 1991, ch. 44, art. 54, § 1; P.L. 1992, ch. 133, art. 59, § 1; P.L. 1996, ch. 100, art. 20, § 1; P.L. 1997, ch. 30, art. 1, § 13.
(a) Any time during a fiscal year that any principal feels that the recommendations of the caseload estimating conference are no longer valid, then that principal, with the appropriate notice, may convene a caseload estimating conference. The principal requesting the additional conference shall be the chairperson for that conference.
(b) If at any time during a fiscal year any participant feels that the recommendations of the caseload estimating conference are no longer valid with respect to their caseload sources then that participant has a duty to and shall notify each of the principals. The secretary of the executive office of health and human services shall review the concerns of each participant and determine whether the problems are sufficient to request an additional conference.
History of Section. P.L. 1991, ch. 44, art. 54, § 1; P.L. 2021, ch. 162, art. 3, § 6, effective July 6, 2021.
(a) The caseload estimating conference principals, along with the appropriate participants, will meet from time to time to compare current caseload data with the most recent financial projections as required by § 35-3-1(6). Any principal can call an impact meeting at any time.
(b) Following each legislative session, the principals, along with the appropriate participants, shall meet and review all changes in legislation affecting caseloads and shall amend the official recommendations of the caseload estimating conference accordingly.
History of Section. P.L. 1991, ch. 44, art. 54, § 1.
The C.E.C. chairperson and his or her staff will be responsible for preparing and distributing work papers before each conference. Each participant and principal will be responsible for providing the chairperson with the appropriate materials for the work papers on a schedule determined by the chairperson. Failure to meet this schedule shall be grounds, at the chairperson’s option, to delay the conference.
History of Section. P.L. 1991, ch. 44, art. 54, § 1.
The chairperson will be the sole source of any public announcement of the results from the conference. The final report will be prepared by the chairperson and distributed to conference participants not later than five (5) working days after adjournment.
History of Section. P.L. 1991, ch. 44, art. 54, § 1; P.L. 1992, ch. 133, art. 59, § 1.
This chapter shall be known as the “Rhode Island Public Corporation Debt Management Act.”
History of Section. P.L. 1994, ch. 148, § 1.
The words defined in this section shall have the meanings set forth below whenever they appear in this chapter, unless the context in which they are used clearly requires a different meaning:
(1) “Bond” and “obligation” mean an agreement by any person to repay borrowed money.
(2) “Economic development project” means any project which the Rhode Island industrial facilities corporation is authorized to undertake, including, without limitation, a project related to financing the acquisition of any land and any building or other improvement which shall be suitable for manufacturing, warehousing, or other industrial or commercial purposes, including research, production, processing, agricultural, and marine commerce; provided, however, that the project may include, in addition, the construction or improvement of access roads and utilities, but only access roads and utilities, and only those which are necessary for the operation of that project.
(3) “Essential public facilities” means roads, bridges, airports, prisons, reservoirs, waste and wastewater treatment facilities, educational facilities, and any other facilities used by any state agency, department, board, or commission, including the board of governors for higher education, to provide services to the public pursuant to the requirements of state or federal law, all fixtures for any of those facilities and facilities financed or refinanced by bonds or other obligations of the water resources board corporate. It does not include any personal property.
(4) “Financing lease” means an agreement in the form of a lease between the state and any person which provides that upon payment by the state as lessee of aggregate rent equal to no less than all of the principal and interest on bonds or other obligations issued by the lessor to finance the acquisition, construction, or improvement of all or any part of an essential public facility, the state shall have the right to possess, use and enjoy that facility pursuant to the lease for a specified period and the option to purchase that facility for a nominal sum at the end of the period.
(5) “Governor” means the governor of the state.
(6) “Guarantee” and “guarantee lease” mean an agreement on the part of the state to guarantee any liability of a public corporation except a liability of the Rhode Island industrial recreational building authority.
(7) “Person” means an individual, partnership, corporation, public corporation, trust, or association.
(8) “Public corporation” means any body corporate and politic created or to be created pursuant to statute, including, without limitation, the Rhode Island industrial recreational building authority, the Rhode Island economic development corporation and any subsidiaries thereof, the Rhode Island industrial facilities corporation, the Rhode Island refunding bond authority, the Rhode Island health and educational building authority, the board of governors for higher education, the Rhode Island housing and mortgage finance corporation, the Rhode Island resource recovery corporation, the Rhode Island public transit authority, the Rhode Island student loan authority, the water resources board corporate, (except as provided below), the Rhode Island health and educational building corporation, the Rhode Island depositors economic protection corporation, the Rhode Island convention center authority, the Rhode Island turnpike and bridge authority, their successors and assigns. Cities, towns, and any corporation created by a city or town pursuant to statute, and fire and water districts, are not public corporations under this chapter. The water resources board corporate is not a public corporation under this chapter to the extent it is financing or refinancing bonds or other obligations on behalf of a city, town, city or town instrumentalities or agencies, or fire or water districts.
(9) “State” means the state of Rhode Island, and any department, office, board, commission, or agency of the state.
History of Section. P.L. 1994, ch. 148, § 1; P.L. 2000, ch. 55, art. 33, § 1; P.L. 2002, ch. 318, § 2; P.L. 2005, ch. 117, art. 6, § 1; P.L. 2011, ch. 363, § 25.
(a) No elected or appointed state official may enter into any financing lease or into any guarantee with any person without the prior approval of the general assembly unless:
(1) The governor certifies that federal funds will be available to make all of the payments which the state is or could be obligated to make under the financing lease or guarantee; or
(2) The general assembly has adjourned for the year with the expectation that it will not meet again until the following year and the governor certifies that action is necessary, because of events occurring after the general assembly has adjourned, to protect the physical integrity of an essential public facility, to ensure the continued delivery of essential public services, or to maintain the credit worthiness of the state in the financial markets.
(b) No bonds may be issued or other obligation incurred by any public corporation to finance, in whole or in part, the construction, acquisition, or improvement of any essential public facility without the prior approval of the general assembly, unless:
(1) The governor certifies that federal funds will be available to make all of the payments required to be made by the public corporation in connection with the bond or obligation. The certification shall be transmitted to the speaker of the house and the president of the senate with copies to the chairpersons of the respective finance committees and fiscal advisors; or
(2) The general assembly has adjourned for the year with the expectation that it will not meet again until the following year and the governor certifies that action is necessary, because of events occurring after the general assembly has adjourned, to protect the physical integrity of an essential public facility, to ensure the continued delivery of essential public services, or to maintain the credit worthiness of the state in the financial markets. The certification shall be transmitted to the speaker of the house and the president of the senate, with copies to the chairpersons of the respective finance committees and fiscal advisors.
(c) In addition to, and not by way of limitation on, the exemptions provided in subsections (a) and (b), prior approval by the general assembly shall not be required under this chapter for bonds or other obligations issued by, or financing leases or guarantee agreements entered into by:
(1) The Rhode Island Industrial Facilities Corporation; provided financing leases, bonds or other obligations are being issued for an economic development project;
(2) The Rhode Island infrastructure bank;
(3) The Rhode Island housing and mortgage finance corporation;
(4) The Rhode Island student loan authority;
(5) Any public corporation to refund any bond or other obligation issued by the public corporation to finance the acquisition, construction, or improvement of an essential public facility provided that the governor certifies to the speaker of the house and the president of the senate, with copies to the chairpersons of the respective finance committees and fiscal advisors that the refunding shall provide a net benefit to the issuer; provided, however, obligations of the Rhode Island resource recovery corporation outstanding on July 31, 1999, may be refunded by the issuance of obligations on or before August 1, 1999;
(6) The Narragansett Bay commission;
(7) The Rhode Island health and educational building corporation, except bonds or other obligations issued in connection with the acquisition, construction, or improvement of any facility used by any state agency, department, board, or commission, including the council on postsecondary education, to provide services to the public pursuant to the requirements of state or federal law, and all fixtures for any of those facilities; and
(8) The state to refund any financing leases entered into with the authorization of the general assembly, provided that the governor certifies to the speaker of the house and the president of the senate, with copies to the chairpersons of the respective finance committees and fiscal advisors, that the refunding shall provide a net benefit to the state.
(d) Nothing contained in this section applies to any loan authorized to be borrowed under Article VI, § 16 or 17 of the Rhode Island Constitution.
(e) Nothing in this section is intended to expand in any way the borrowing authority of any public corporation under its charter.
(f)(1) Any certification made by the governor under subsection (a), (b), or (c) of this section may be relied upon by any person, including without limitation, bond counsel.
(2) The certifications shall be transmitted to the speaker of the house and the president of the senate with copies to the chairpersons of the respective finance committees and fiscal advisors.
(g) Except as provided for in this chapter, the requirements of this chapter supersede any other special or general provision of law, including any provision which purports to exempt sales or leases between the state and a public corporation from the operation of any law.
History of Section. P.L. 1994, ch. 148, § 1; P.L. 1995, ch. 75, § 1; P.L. 1996, ch. 350, § 1; P.L. 1997, ch. 325, § 1; P.L. 1998, ch. 464, § 1; P.L. 1999, ch. 145, § 1; P.L. 2000, ch. 55, art. 33, § 1; P.L. 2001, ch. 180, § 75; P.L. 2005, ch. 117, art. 6, § 1; P.L. 2009, ch. 68, art. 17, § 6; P.L. 2011, ch. 363, § 25; P.L. 2013, ch. 1, § 1; P.L. 2013, ch. 3, § 1; P.L. 2015, ch. 141, art. 14, § 4.
(a) A financing lease, guarantee, bond, or other obligation shall be deemed to have been approved by the general assembly when the general assembly passes a joint resolution of approval regarding the financing lease, guarantee, bond, or other obligation which the governor or a public corporation, as the case may be, requests that the financing lease, guarantee, bond, or other obligation be approved by the general assembly. These requests shall be transmitted to the speaker of the house and the president of the senate with copies to the chairpersons of the respective finance committees and fiscal advisors. The request for approval shall include:
(1) A full description of the essential public facility to which the financing lease, guarantee, bond, or other obligation is related;
(2) An explanation as to why the facility is needed and how it will be paid off; and
(3) The maximum possible obligation of the state or of any public corporation under the financing lease, guarantee, bond, or other obligation.
(b) The governor shall provide the general assembly with a timely explanation of any certification made by the governor pursuant to this chapter in connection with any financing lease, guarantee, bond, or other obligation. These explanations shall be transmitted to the speaker of the house and the president of the senate with copies to the chairpersons of the respective finance committees and fiscal advisors. The explanation shall also include:
(1) A full description of the essential public facility to which the financing lease, guarantee, bond, or other obligation is related;
(2) An explanation as to why the facility is needed and how it will be paid off; and
(3) The maximum possible obligation of the state or of any public corporation under the financing lease, guarantee, bond, or other obligation.
(c) The state shall not enter into any financing lease or guarantee relating to, nor shall any public corporation issue any bond or other obligation in connection with, any essential public facility unless the facility conforms to the description included in the request for approval or in the explanation for certification submitted by the governor in connection with the financing lease, guarantee, bond, or other obligation; nor shall the state’s obligation in connection with the financing lease, guarantee, bond, or other obligation exceed the amount set forth in the request for approval or explanation of certification.
(d) Immediately following the first sale of each issue of bonds in connection with the financing of an economic development project, the governor shall provide the general assembly with copies of any offering statement for those bonds and the governor’s analysis of the benefits and risks to the state of the project. These statements and analyses shall be transmitted to the speaker of the house and the president of the senate, with copies to the chairpersons of the respective finance committees and fiscal advisors.
History of Section. P.L. 1994, ch. 148, § 1; P.L. 2000, ch. 55, art. 33, § 1; P.L. 2001, ch. 180, § 75; P.L. 2005, ch. 117, art. 6, § 1; P.L. 2025, ch. 278, art. 3, § 13, effective June 29, 2025.
Nothing in this chapter is intended to interfere with the obligations of the state or any public corporation under any trust agreement, financing lease, or other agreement in effect on, or with respect to any bonds or other obligations outstanding on, January 1, 1995.
History of Section. P.L. 1994, ch. 148, § 1.
This chapter shall be known and may be cited as the “Public Corporation Financial Integrity and Accountability Act of 1995.”
History of Section. P.L. 1995, ch. 86, § 1.
(a) The legislature hereby finds that:
(1) Fraud and errors in public and quasi-public programs are more likely to occur from a lack of sufficient internal control structures in the state-authorized public corporations.
(2) Effective internal control structures provide the basic foundation upon which public accountability must be built.
(3) An entity’s system of internal control structures consists of policies and procedures designed to provide management with reasonable assurance that the agency achieves its objectives and goals including:
(i) Reliability of financial reporting;
(ii) Compliance with applicable laws and regulations; and
(iii) Effectiveness and efficiency of operations.
(4) Internal control structures are necessarily dynamic and must be continuously evaluated and, where necessary, improved.
(5) Reports addressing the adequacy of the internal control structure of each public corporation are necessary to enable the executive branch, the legislature, and the public to evaluate the corporation’s performance of its public and quasi-public responsibilities and accountability.
(b) The legislature declares that:
(1) The management of each public corporation is responsible for establishing and maintaining an adequate internal control structure and policies and procedures for financial reporting.
(2) Each public corporation shall perform an assessment and produce a report on the effectiveness of the internal control structure and procedures for financial reporting and, when detected, control weaknesses must be promptly corrected.
(3) All levels of management of the public corporation must be involved in assessing and strengthening the systems of internal control structures to minimize fraud, errors, abuse, and waste of public and quasi-public funds.
History of Section. P.L. 1995, ch. 86, § 1; P.L. 2015, ch. 165, § 2; P.L. 2015, ch. 196, § 2.
The chairs and chief executive officers of public corporations are responsible for the establishment and maintenance of a system or systems of internal accounting and administrative control within their respective corporations. This responsibility includes documenting the system, communicating system requirements to employees, and assuring that the system is functioning as prescribed and is modified, as appropriate, for changes in conditions.
History of Section. P.L. 1995, ch. 86, § 1.
(a) Internal accounting and administrative controls are the methods through which reasonable assurances can be given that measures adopted by public corporations to safeguard assets, check the accuracy and reliability of accounting data, promote operational efficiency, and encourage adherence to prescribed managerial policies are being followed. The elements of a satisfactory system of internal accounting and administrative control, shall include, but are not limited to, the following:
(1) A plan of organization that provides segregation of duties appropriate for proper safeguarding of public corporation assets.
(2) A plan that limits access to public corporation assets to authorized personnel who require these assets in the performance of their assigned duties.
(3) A system of authorization and recordkeeping procedures adequate to provide effective accounting control over assets, liabilities, revenues, and expenditures.
(4) An established system of practices to be followed in performance of duties and functions in each of the public corporations.
(5) Personnel of a quality commensurate with their responsibilities.
(6) An effective system of internal review.
(b) Public corporations shall follow these standards of internal accounting and administrative control in carrying out the requirements of this chapter.
History of Section. P.L. 1995, ch. 86, § 1.
As used in this chapter:
(1) “Controller” means the state controller of Rhode Island.
(2) “Director” means the director of administration.
(3) “Governor” means the governor of Rhode Island.
(4) “Public corporation” means any body corporate and politic created or to be created pursuant to statute, including, without limitation, the Rhode Island industrial recreational building authority, the Rhode Island economic development corporation and any subsidiaries thereof, the Rhode Island industrial facilities corporation, the Rhode Island refunding bond authority, the Rhode Island health and educational building authority, the board of governors for higher education, the Rhode Island housing and mortgage finance corporation, the Rhode Island resource recovery corporation, the Rhode Island public transit authority, the Rhode Island student loan authority, the water resources board corporate, the Narragansett Bay water quality management district commission, the Rhode Island health and educational building corporation, the Rhode Island depositors economic protection corporation, the Rhode Island convention center authority, the Rhode Island turnpike and bridge authority, their successors and assigns. Cities, towns, and any corporation created by a city or town pursuant to statute, and fire and water districts, are not public corporations under this chapter.
History of Section. P.L. 1995, ch. 86, § 1.
(a) To ensure that the requirements of this section are fully complied with, each public corporation shall prepare and submit a report on the adequacy of the corporation’s systems of internal accounting and administration control by December 31 of each year.
(b) The report, including the state agency’s response to report recommendations, shall be signed by the chairperson and/or the chief executive officer of the corporation and addressed to the governor. Copies of the reports shall be forwarded to both houses of the legislature, the auditor general, and the director. Copies of these reports shall also be forwarded to the state library where they shall be available for public inspection.
(c) By September 30, 1995, the director, in consultation with the auditor general and the controller, shall establish a system of reporting and a general framework to guide the public corporations in performing evaluations on their systems of internal accounting and administrative control. The director, in consultation with the auditor general and the controller, may modify the format for the report or the framework for conducting the evaluations from time to time as deemed necessary.
(d) Any material inadequacy or material weakness in systems of internal accounting and administrative control which prevents the chair and/or chief executive officer of the corporation from stating that the systems of internal accounting and administrative control provided reasonable assurance that each of the objectives specified above was achieved shall be identified and the plans and schedule for correcting the inadequacy described in detail.
(e) The annual report of each public corporation shall also include financial statements relating to the operation, properties, income, expenditure, assets, and liabilities, including outstanding bonded indebtedness, of the corporation.
History of Section. P.L. 1995, ch. 86, § 1.
(a) Except as expressly authorized by law, no public corporation shall have the right to exercise or perform any of its powers and functions through any subsidiary or any other separate corporation or entity. Except as expressly authorized by law, no public corporation shall direct, require, or permit any of its directors, officers, or employees to create any subsidiary organizations.
(b) In any case in which a public corporation is expressly authorized by law to create or to act through a subsidiary or other separate corporation or entity, no such subsidiary or other separate corporation or entity shall have the power to issue bonds, notes or other securities without the authorization of the legislature. In accordance herewith, university heights housing corporation for the purpose of financing and/or rehabilitating university heights and RIH equity corporation for the purpose of financing investments in low-income housing tax credit eligible properties, which are subsidiaries of Rhode Island housing and mortgage finance corporation are specifically authorized to issue debt for their corporate purposes. Provided, however, that nothing herein shall prohibit a wholly owned subsidiary of a public corporation from issuing notes or other evidences of indebtedness where the only payee or obligee on the instruments is the subsidiary’s parent public corporation; and provided further, however, that nothing herein shall prohibit a wholly owned subsidiary of a public corporation from issuing notes or other evidences of indebtedness in connection with its purchase or lease of business equipment or other personal property used by the subsidiary in the ordinary course of its usual and regular business.
History of Section. P.L. 1995, ch. 86, § 1.
Itemized estimates of the financial needs of each public corporation shall be submitted by each chairperson or chief executive officer of a public corporation to the governor through the budget officer of the department of administration. The budget officer shall also provide copies of the estimates to the house fiscal advisor and the senate fiscal advisor.
History of Section. P.L. 1998, ch. 31, art. 14, § 1.
Itemized estimates of the financial needs of each public corporation shall be submitted by each chairperson or chief executive officer of a public corporation to the governor through the budget officer of the department of administration. The estimate shall be in such form, and in such number of copies, and with such explanation as the budget officer may require. The budget officer shall also provide copies of the estimates to the house fiscal advisor and the senate fiscal advisor.
History of Section. P.L. 1999, ch. 295, § 1.
(a) It is unlawful for any employee of a public corporation, as defined in § 35-20-5(4), or his or her designee, to use or permit others to use corporation issued credit cards for personal use.
(b) For purposes of this section, “Personal use” means any use the purpose of which is for personal enjoyment, private gain or advantage, or an outside endeavor not related to the business of the public corporation.
(c) Any person who violates this section is liable for a civil penalty equal to three times the value of the unlawful use plus an amount not to exceed ten thousand dollars ($10,000). The penalty shall be assessed and recovered in a civil action brought in the name of the people of the state of Rhode Island by the attorney general. If two (2) or more persons are responsible for any violation, they are jointly and severally liable for the penalty. If the action is brought by the attorney general, the moneys recovered shall be paid into the general fund. Nothing in this section prevents the attorney general from pursuing criminal charges against any person who violates this section.
History of Section. P.L. 2000, ch. 312, § 1; P.L. 2000, ch. 313, § 1.
The executive officers of any public corporation shall establish and implement policies and procedures regarding the use of corporation issued credit cards and the payment for food and beverages. The policies and procedures shall be consistent with the provisions of § 35-20-10 and the policies and procedures established by the state director of administration contained in the procedural handbook issued by the department of administration.
History of Section. P.L. 2000, ch. 312, § 1; P.L. 2000, ch. 313, § 1.
(a) Notwithstanding any other provision of general law to the contrary, any department or agency as defined in chapter 1 of this title, or other unit of state or local government delineated in this section, which is required or authorized to receive or collect any payments to state government, may be authorized, but not required, to accept credit card payments of such amounts and in such manner as may be prescribed or limited by this chapter. Any such department, agency or other governmental unit receiving approval from the director of the department of administration pursuant to this chapter shall be known as an “authorized department or agency.”
(b) Subject to the provisions of this chapter, the director of the department of administration shall establish procedures, in consultation with the state controller and general treasurer, by which: (i) a department, agency or other governmental unit may be approved as an authorized department or agency; (ii) specific fees, charges, taxes, tuition or other payments to state or local government may be approved for payment by credit card by an authorized department or agency; and (iii) the manner of acceptance of credit card payments is established. Factors which may be considered in making such determinations or establishing such procedures may include, but are not necessarily limited to, improved governmental cash flow, reduction of governmental overhead costs, improved governmental financial security, the benefit of increased public convenience or a combination of one or more of the foregoing.
(c) For purposes of this section, the term “credit card” shall be deemed to include credit cards, charge cards, debit cards, electronic funds transfers or similar means of automatic transmission of funds.
(d) The state controller and general treasurer are jointly authorized to enter into appropriate agreements with credit card issuers, financial institutions or other appropriate parties as needed to facilitate the acceptance of credit card payments pursuant to this chapter. Without limiting the generality of the foregoing, such agreements may provide for the acceptance of credit card payments at a discount from their face amount or the payment or withholding of administrative fees from the face amount of such payments, provided such payment or discount does not exceed a commercially reasonable percentage of the face amount of such payment as may be determined by the state controller and general treasurer. Any such agreement shall provide that it may be canceled at any time, but the agreement may include provisions for a reasonable brief period of notice for cancellation.
(e) No person making any payment by credit card shall be relieved from liability for the underlying obligation except to the extent that the state realizes final payment of the underlying obligation in cash or the equivalent. If final payment is not made by the credit card issuer or other guarantor of payment in the credit card transaction, then the underlying obligation shall survive and the state shall retain all remedies for enforcement which would have applied if the credit card transaction had not occurred. No contract may modify the provisions of this subsection. This subsection, however, shall not make the underlying obligor liable for any discount or administrative fees paid to the credit card issuer or other party by the state, except with child support payments. Credit cards shall only be accepted for child support payments if a means is established to ensure that the full amount of the child support payment made by credit card is received by the recipient and that state revenue is not used to pay any fee charged by the credit card company for the child support payment.
(f) A state officer or employee who accepts a credit card payment in accordance with this section and any applicable procedures, policies, rules, or regulations of the state shall not thereby incur any personal liability for the final collection of such payments.
(g) This section shall be broadly construed to authorize, but not require, acceptance of credit card payments by authorized departments or agencies. The decision as to whether to utilize credit card payments for any particular type of payment may be made by the authorized department or agency, subject to this chapter.
(h) Credit card account numbers in the possession of a state or local government are confidential and shall not be deemed public records.
History of Section. P.L. 2003, ch. 376, art. 45, § 1.
This act may be cited as the “Private Activity Bond Approval Act.”
History of Section. P.L. 2011, ch. 350, § 1; P.L. 2011, ch. 391, § 1.
It is the policy of the State of Rhode Island (the “State”) that in order to maintain an effective system of monitoring the use of federal subsidies within the state, facilities within the state proposed to be financed with bonds issued by an issuer that does not have jurisdiction over the location of those facilities including, but not limited to, issuers located outside of the state, must receive prior host approval from the governor of the state in accordance with this act.
History of Section. P.L. 2011, ch. 350, § 1; P.L. 2011, ch. 391, § 1.
“Host approval” means an approval by an applicable elected representative of a governmental unit, for purposes of section 147(f)(2)(A)(ii) of the Internal Revenue Code of the United States of America, having jurisdiction over the area in which a facility is located that is to be financed with bonds issued by an issuer that does not have jurisdiction over the location of the facility.
History of Section. P.L. 2011, ch. 350, § 1; P.L. 2011, ch. 391, § 1.
(a) Host approval shall not be granted unless and until the governor has received the items and information listed in subsection (b) of this section and has issued an approval as set forth in subsection (c) of this section.
(b) The following items and information must be received by the governor:
(1) A copy of the notice of public hearing pertaining to the facilities;
(2) Minutes or another official record of the public hearing;
(3) The maximum stated principal amount of the bonds;
(4) A description of the facility, including its location;
(5) A description of the plan of finance;
(6) The name of the issuer of the bonds; and
(7) The name of the initial owner or principal user of the facility.
(c) If, and only if, the governor determines that the facility, its financing in accordance with the plan, and the items and information submitted under subsection (b) of this section are consistent with the laws and public policy of the state and are in the best interest of the state, then the governor shall issue a written approval under this section authorizing the governmental unit to grant its host approval in its discretion.
History of Section. P.L. 2011, ch. 350, § 1; P.L. 2011, ch. 391, § 1.
This chapter shall be known and may be cited as the “Rhode Island Secure Choice Retirement Savings Program Act.”
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
As used in this chapter:
(1) “Eligible employee” means a person age eighteen (18) years or older who is employed by an eligible or optional employer and has been employed for a period of not less than one hundred twenty (120) days. “Eligible employee” does not include:
(i) Any employee covered under the federal Railway Labor Act (45 U.S.C. §§ 151—164 and 45 U.S.C §§ 181—188), or any employee engaged in interstate commerce not subject to the legislative powers of the state, except insofar as application of this chapter is authorized under the United States Constitution or laws of the United States; or
(ii) Any employee on whose behalf an employer makes contributions to a Taft-Hartley pension trust fund.
(2) “Eligible employer” means a person or entity engaged in a business, industry, profession, trade, or other enterprise in the state, whether for-profit or not-for-profit, excluding the federal government, the state, any municipal corporation, or any of the state’s units or instrumentalities, that has five (5) or more employees and that satisfies the requirements to establish or participate in a payroll deposit retirement savings arrangement. “Eligible employer” does not include an employer that provides a tax-qualified retirement savings program as described in § 35-23-9.
(3) “IRA” means an individual retirement account or individual retirement annuity under 26 U.S.C § 408 or § 408A (the federal Internal Revenue Code).
(4) “Optional employer” means a person or entity engaged in a business, industry, profession, trade, or other enterprise in the state, whether for-profit or not-for-profit, excluding the federal government, the state, any municipal corporation, or any of the state’s units or instrumentalities, that has under five (5) employees.
(5) “Participating employer” means an eligible or optional employer that provides a payroll deposit retirement savings arrangement provided for by this chapter for eligible employees.
(6) “Payroll deposit retirement savings arrangement” means an arrangement by which an employer allows employees to remit payroll deduction contributions to the RISavers retirement savings program.
(7) “RISavers retirement savings program” or “program” means a retirement savings program offered by the Rhode Island secure choice retirement savings program.
(8) “State investment commission” or “commission” means the state investment commission established pursuant to the provisions of § 35-10-1.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024; P.L. 2025, ch. 427, art. 2, § 11, effective July 2, 2025.
(a) There is hereby established a retirement savings program known as the Rhode Island secure choice retirement savings program to be administered by the office of the general treasurer for the purpose of promoting greater retirement savings for Rhode Island private sector employees in a convenient, voluntary, low-cost, and portable manner.
(b) The secure choice retirement savings program is a plan in which retirement savings are accumulated in individual accounts for the exclusive benefit of the participants or their beneficiaries. The program shall be functionally implemented upon receipt of funds pursuant to the provisions of this chapter.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) The office of the general treasurer may select an appropriate third-party administrator(s) for the program and shall adopt such plan, trust, and/or custodial documents, with such features and attributes as the office of the general treasurer determines necessary or advisable in its discretion to effectuate the provisions of this chapter in accordance with the following:
(1) The office of the general treasurer may select one or more firm(s) or company(ies) to provide retirement program investments, program administration, and communication services to employees who participate in the retirement savings program. The program shall provide for appropriate long-term retirement-oriented investments and shall include investment options as determined by the state investment commission. In determining the firm(s) or the company(ies) to provide these services, the office of the general treasurer shall consider the following:
(i) The financial stability of the company or firm;
(ii) The cost of the investments, program administration, and services to the members;
(iii) The experience of the company or firm in administering retirement savings plans;
(iv) The experience of the company or firm in providing education, counseling, and advice to participants of retirement savings plans; and
(v) Any criminal convictions, securities or antitrust law violations, material civil or regulatory fines or judgments against the company or firm which the company or firm shall be required to disclose to the office of the general treasurer and the commission as part of the selection process.
(2) The program shall provide education, counseling, and objective employee-specific plan advice to participants.
(3) The program shall include a limited number of investment options that shall include either:
(i) Investment portfolio options that are constructed to reflect different risk profiles such as conservative, moderate, and aggressive; and/or
(ii) Options constructed to reflect different risk profiles that automatically reallocate and rebalance contributions as an employee ages. There shall be investment options that prioritize the securities of companies that demonstrate good governance; efficient use of environmental resources; and thoughtful management of social impact. All investment offerings shall be approved by the state investment commission.
(b) The Rhode Island secure choice retirement savings program is an instrumentality of the state. Any security issued, managed, or invested by the state investment commission within the Rhode Island secure choice retirement savings program on behalf of an individual participating within the RISavers retirement savings program shall be state income tax deferred for investment earnings to include interest, dividends, and capital gains until such time as withdrawal pursuant to the terms of this chapter.
(c) The third-party administrator(s) shall adopt a written statement of investment policy that includes a risk management and oversight program. The state investment commission shall consider the statement of investment policy and any changes in the investment policy at a public meeting.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
The RISavers retirement savings program shall include, as determined by the office of the general treasurer, one or more payroll deduction IRA arrangements.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) The office of the general treasurer shall have the power and authority to do all of the following:
(1) Adopt a seal and change and amend it from time to time;
(2) Make provisions for the payment of costs of administration and operation of the program;
(3) Retain and contract with a Rhode Island public retirement system, consultants, actuaries, counsel, auditors, and other professionals as necessary;
(4) Procure insurance against any loss in connection with the property, assets, or activities of the program;
(5) Set minimum and maximum contribution levels in accordance with contribution limits set for IRAs by the Internal Revenue Code;
(6) Collaborate and cooperate with private financial institutions, service providers, and business, financial, trade, membership, and other organizations to the extent necessary or desirable for the effective and efficient design, implementation, and administration of the program and to maximize outreach to eligible or optional employers and eligible employees;
(7) Collaborate with, and evaluate the role of, licensed insurance agents and financial advisors in assisting and providing guidance for eligible employees;
(8) Cause expenses incurred to initiate, implement, maintain, and administer the program to be paid from contributions to, or investment returns or assets of, the program or arrangements established under the program, to the extent permitted under state and federal law;
(9) Facilitate compliance by the retirement savings program or arrangements established under the program with all applicable requirements for the program under the Internal Revenue Code of 1986, including tax qualification requirements or any other applicable law and accounting requirements, including providing or arranging for assistance to program sponsors and individuals in complying with applicable law and tax qualification requirements in a cost-effective manner;
(10) Carry out the duties and obligations of the Rhode Island secure choice retirement savings program pursuant to this chapter and exercise any and all other powers as appropriate for the effectuation of the purposes, objectives, and provisions of this title pertaining to the program;
(11) Enter into intergovernmental agreements with any state agency to further the successful implementation and operation of the program and all such agencies and instrumentalities shall cooperate with the office of the general treasurer. All state agencies shall cooperate as requested by the program in the performance of its duties under this chapter, including, unless otherwise prohibited, the sharing of relevant data as the parties shall mutually agree;
(12) Make and enter into contracts, agreements, memoranda of understanding, arrangements, partnerships, or other arrangements to collaborate, cooperate, coordinate, contract, or combine resources, investments, or administrative functions with other governmental entities, including any states or their agencies or instrumentalities that maintain or are establishing retirement savings programs compatible with the program, including collective, common, or pooled investments with other funds of other states’ programs with which the assets of the program and trust are permitted by law to be collectively invested, to the extent necessary or desirable for the effective and efficient design, administration, and implementation of the program consistent with the purposes set forth in this chapter, including the purpose of achieving economies of scale and other efficiencies designed to minimize costs for the program and its participants; and
(13) Develop and implement an investment policy that defines the program’s investment objectives, consistent with the objectives of the program, and that provides for policies and procedures consistent with those investment objectives. The office of the general treasurer shall designate appropriate default investments that include a mix of asset classes, such as target date and balanced funds. The office of the general treasurer shall seek to minimize participant fees and expenses of investment and administration. The office of the general treasurer shall strive to design and implement investment options available to holders of accounts established as part of the program and other program features that are intended to achieve maximum possible income replacement balanced with an appropriate level of risk in an IRA-based environment consistent with the investment objectives under the policy. The investment options may encompass a range of risk and return opportunities and allow for a rate of return commensurate with an appropriate level of risk in view of the investment objectives under the policy. The menu of investment options shall be determined taking into account the nature and objectives of the program, the desirability (based on behavioral research findings) of limiting investment choices under the program to a reasonable number, and the extensive investment choices available to participants in the event that they roll over to an IRA outside the program.
(b) The office of the general treasurer shall adopt regulations it deems necessary to implement this chapter consistent with the Internal Revenue Code and regulations issued pursuant to that code to ensure that the program meets all criteria for federal tax-deferral or tax-exempt benefits, or both.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024; P.L. 2025, ch. 427, art. 2, § 11, effective July 2, 2025.
In addition to the powers and authority granted to the office of the general treasurer pursuant to § 35-23-6, the office of the general treasurer shall have the power and authority to do the following:
(1) Cause the retirement savings program or arrangements established under the program to be designed, established, and operated in a manner consistent with all of the following:
(i) In accordance with best practices for retirement savings vehicles;
(ii) To encourage participation, saving, and sound investment practices; and
(iii) With simplicity, ease of administration for participating employers, and portability of benefits;
(2) Disseminate educational information designed to educate participants about the benefits of planning and saving for retirement and information to help them decide the level of RISavers retirement savings program participation and savings strategies that may be appropriate for them;
(3) Disseminate information concerning state and federal tax credits available to small business owners for allowing their employees to participate in the program, and any relevant state or federal tax credits available for participating employees;
(4) Submit progress and status reports to participating employees;
(5) If necessary, determine the eligibility of an employer, employee, or other individual to participate in the program;
(6) Evaluate and establish the process by which an eligible employee of an eligible or optional employer is able to contribute a portion of their salary or wages to the program for automatic deposit of those contributions and the participating employer provides a payroll deposit retirement savings arrangement to forward the employee contribution and related information to the program or its agents. This evaluation and process may include, but is not limited to, financial services companies and third-party administrators with the capability to receive and process employee information and contributions for payroll deposit retirement savings arrangements or other arrangements authorized by this chapter;
(7) Design and establish the process for the enrollment of program participants;
(8) Allow participating employers to use the program to remit employees’ contributions to their IRAs on their employees’ behalf; and
(9) Evaluate and establish the process by which an employee of an optional employer may enroll in and make contributions to the program.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) Prior to opening the RISavers retirement savings program for enrollment, the office of the general treasurer shall design and disseminate to employers an employee information packet that shall also be made available in an electronic format. The packet shall include background information on the program and appropriate disclosures for employees.
(b) The disclosure form shall include, but not be limited to, all of the following:
(1) The benefits and risks associated with making contributions to the program;
(2) The mechanics of how to make contributions to the program;
(3) How to opt out of the program;
(4) The process for withdrawal of retirement savings; and
(5) How to obtain additional information on the program.
(c) In addition, the disclosure form shall clearly articulate the following:
(1) Employees seeking financial advice should contact financial advisors in that employers do not provide financial advice, that employees are not to contact their employers for financial advice, and that employers are not liable for employee investment decisions;
(2) This retirement program is not sponsored by the employer, and therefore, the employer is not responsible for the program or liable as a program sponsor; and
(3) The program fund is not guaranteed by the state.
(d) The disclosure form shall include a method for the employee to acknowledge that the employee has read all of the disclosures and understands their content.
(e) The employee information packet shall also include an opt-out form for an eligible employee to note their decision to opt out of participation in the program. The opt-out form shall be simple and concise and drafted in a manner that the office of the general treasurer deems necessary to appropriately evidence the employee’s understanding that they are choosing not to automatically deduct earnings to save for retirement.
(f) The employee information packet with the disclosure and opt-out forms shall be made available to eligible employees by the RISavers retirement savings program and supplied to employees no later than one hundred twenty (120) days after hiring. All new employees shall review the packet and acknowledge having received it.
(g) The employee information packet with the disclosure and opt-out forms shall be supplied to existing employees when the program is initially launched for a participating employer.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) After the office of the general treasurer opens the RISavers retirement savings program for enrollment, eligible employers shall have a payroll deposit retirement savings arrangement to allow employee participation in the program under the terms and conditions prescribed by the office of the general treasurer.
(b) Within twelve (12) months after the office of the general treasurer opens the program for enrollment, eligible employers with more than one hundred (100) eligible employees and that do not offer a retirement savings program pursuant to subsection (g) of this section shall have a payroll deposit retirement savings arrangement to allow employee participation in the program.
(c) Within twenty-four (24) months after the office of the general treasurer opens the program for enrollment, eligible employers with more than fifty (50) eligible employees and that do not offer a retirement savings program pursuant to subsection (g) of this section shall have a payroll deposit retirement savings arrangement to allow employee participation in the program.
(d) Within thirty-six (36) months after the office of the general treasurer opens the program for enrollment, all other eligible employers that do not offer a retirement savings program pursuant to subsection (g) of this section shall have a payroll deposit retirement savings arrangement to allow employee participation in the program.
(e) The office of the general treasurer, in its discretion, may extend the time limits defined in subsections (b) through (d) of this section.
(f)(1) Each eligible employee shall be enrolled in the program unless the employee elects not to participate in the program. An eligible employee may elect to opt out of the program at any time by making a notation on the opt-out form.
(2) Following initial implementation of the program pursuant to this section, at least once every year, the office of the general treasurer shall designate an open enrollment period during which eligible employees that previously opted-out of the program may enroll in the program.
(3) An employee who elects to opt out of the program who subsequently elects to participate through the employer’s payroll deposit retirement savings arrangement may enroll at any time.
(g)(1) An employer that provides an employer-sponsored retirement plan, such as a defined benefit plan or a 401(k), 403(b), 457(b), simplified employee pension (SEP) plan, or savings incentive match plan for employees (SIMPLE) plan, or that offers an automatic enrollment payroll deduction IRA, shall be exempt from the requirements of the RISavers retirement savings program, if the plan or IRA qualifies for favorable federal income tax treatment under the federal Internal Revenue Code.
(2) An employer shall retain the option at all times to set up and offer a tax-qualified retirement plan, instead of facilitating employee participation in the RISavers retirement savings program.
(h)(1) Following initial implementation of the program pursuant to this section, and at least once every year, the general treasurer shall designate an open enrollment period during which optional employers may enroll in the program.
(2) An optional employer that enrolls in the program may elect to opt out of the program upon thirty (30) days’ notice provided to employees and to the office of the general treasurer.
(i) By regulation, the office of the general treasurer may set a default contribution rate, unless otherwise specified by the employee. Employees shall have the ability to change their contribution rate at any time with thirty (30) days’ notice provided to the office of the general treasurer.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) Employers shall not have any liability for an employee’s decision to participate in, or opt out of, the RISavers retirement savings program, or for the investment decisions of employees whose assets are deposited in the program.
(b) Employers shall not be a fiduciary, or considered to be a fiduciary, over the Rhode Island secure choice retirement savings program. The program is a state-administered program, not an employer-sponsored program. If the program is subsequently found to be preempted by any federal law or regulation, employers shall not be liable as program sponsors. An employer shall not bear responsibility for the administration, investment, or investment performance of the program. An employer shall not be liable with regard to investment returns, program design, and benefits paid to program participants.
(c) An employer shall not have civil liability, and no cause of action shall arise against an employer, for acting pursuant to the regulations prescribed by the office of the general treasurer defining the roles and responsibilities of employers that have a payroll deposit retirement savings arrangement to allow employee participation in the program.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
The state shall not have any liability for the payment of the retirement savings benefit earned by program participants pursuant to this chapter. The state, and any of the funds of the state, shall have no obligation for payment of the benefits arising from this chapter.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) The office of the general treasurer shall submit, no later than December 31 annually, an audited financial report, prepared in accordance with generally accepted accounting principles, on the operations of the Rhode Island secure choice retirement savings program to the governor, and the finance committees of the house and senate. The annual audit shall be made by an independent certified public accountant and shall include, but not be limited to, direct and indirect costs attributable to the use of outside consultants, independent contractors, and any other persons who are not state employees.
(b) The annual audit shall be supplemented by the following information prepared by the office of the general treasurer:
(1) Any studies or evaluations prepared in the preceding year;
(2) A summary of the benefits provided by the program including the number of participants in the program; and
(3) Any other information that is relevant in order to make a full, fair, and effective disclosure of the operations of the Rhode Island secure choice retirement savings program.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) The office of the general treasurer shall not implement the program if the IRA arrangements offered fail to qualify for the favorable federal income tax treatment ordinarily accorded to IRAs under the Internal Revenue Code, or if it is determined that the program is an employee benefit plan under the federal Employee Retirement Income Security Act.
(b) Prior to opening the program for enrollment, the office of the general treasurer shall report to the governor and the finance committees of the house and senate the specific date on which the program will start to enroll program participants and that the following prerequisites and requirements for the program have been met:
(1) The program is structured in a manner to keep the program from being classified as an employee benefit plan subject to the federal Employee Retirement Income Security Act;
(2) The payroll deduction IRA arrangements offered by the program qualify for the favorable federal income tax treatment ordinarily accorded to IRA arrangements under the Internal Revenue Code;
(3) The office of the general treasurer has defined in regulation the roles and responsibilities of employers in a manner to keep the program from being classified as an employee benefit plan subject to the federal Employee Retirement Income Security Act; and
(4) The office of the general treasurer has adopted a third-party administrator operational model that limits employer interaction and transactions with the employee to the extent feasible.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
The office of the general treasurer, commission, and the program administrator and staff, including, contract administrators and consultants, shall discharge their duties as fiduciaries with respect to the program for the exclusive purposes of providing benefits to program participants and defraying reasonable expenses of administering the program.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
(a) The office of the general treasurer shall have the power and duties necessary to administer the enforcement of employer compliance with this chapter, including the ability to impose penalties.
(b)(1) The office of the general treasurer shall issue a notice of noncompliance to each employer that fails to allow its eligible employees to participate in the Rhode Island secure choice savings retirement program pursuant to this title.
(2) Each eligible employer that, without good cause, fails to allow its eligible employees to participate in the program within thirty (30) days from the date the notice of penalty was issued, shall be subject to a penalty of two hundred fifty dollars ($250) per eligible employee. Proceeds of such penalties, after deducting enforcement expenses, shall be deposited for the benefit of the program.
(c) The department of labor and training shall assist the office of the general treasurer in its enforcement of this chapter.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
The office of the general treasurer may adopt rules and regulations to implement this chapter.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
A payroll deposit IRA arrangement offered pursuant to the RISavers retirement savings program shall have the same status as, and be treated consistently with, any other IRA for the purpose of determining eligibility or benefit level for a program that uses a means test.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
This chapter shall be construed liberally in order to effectuate its purpose. The purposes of this chapter and all of its provisions with respect to the powers granted shall be broadly interpreted to effectuate that intent and purposes and not as to any limitation of powers.
History of Section. P.L. 2024, ch. 350, § 1, effective June 26, 2024; P.L. 2024, ch. 351, § 1, effective June 26, 2024.
As used in this chapter:
(1) “Designated beneficiary” means an individual who is:
(i) Born on or after January 1, 2026; and
(ii) Whose parent or guardian is enrolled in the Rhode Island works program pursuant to § 40-5.2-1 et seq., within the first twelve (12) months of their life.
(2) “Eligible expenditure” means an expenditure associated with any of the following:
(i) Continuing education of a designated beneficiary at an institution of higher learning, trade school, vocational school, or professional apprenticeship program in Rhode Island;
(ii) Ownership of a home in Rhode Island by a designated beneficiary;
(iii) Ownership of a business with a principal place of business in Rhode Island by a designated beneficiary; or
(iv) Any investment in financial assets or personal capital that provides long-term gains to wages or wealth, as defined by regulation promulgated by the general treasurer.
(3) “Trust” means the Rhode Island baby bond trust, which consists of:
(i) All money from public or private sources appropriated or made available to the state for the benefit of the trust; and
(ii) All earnings on the money in the trust.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
(a) There is hereby established the Rhode Island baby bond trust. The trust shall constitute an instrumentality of the state and shall perform essential governmental functions as provided under the provisions of this chapter. The trust shall receive and hold all payments and deposits or contributions intended for the trust, as well as gifts, bequests, endowments, or federal, state, or local grants and any other funds from any public or private source and all earnings until disbursed in accordance with § 35-24-7.
(b) The amounts on deposit in the trust shall not constitute property of the state and the trust shall not be construed to be a department, institution, or agency of the state. Amounts on deposit in the trust shall not be commingled with state funds and the state shall have no claim to or against, or interest in, such funds. Any contract entered into by, or any obligation of, the trust shall not constitute a debt or obligation of the state and the state shall have no obligation to any designated beneficiary or any other person on account of the trust and all amounts obligated to be paid from the trust shall be limited to amounts available for such obligation on deposit in the trust. The amounts on deposit in the trust may only be disbursed in accordance with the provisions of this chapter. The trust shall continue in existence as long as it holds any deposits or has any obligations and until its existence is terminated by law. Upon termination, any unclaimed assets shall return to the state.
(c) The general treasurer shall be responsible for the receipt, maintenance, administration, investigation, and disbursements from the trust. The trust shall not receive deposits in any form other than cash.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
(a) The general treasurer, on behalf of the trust and for purposes of the trust, may:
(1) Receive and invest monies in the trust in any instruments, obligations, securities, or property in accordance with the provisions of this chapter;
(2) Enter into one or more contractual agreements, including contracts for legal, actuarial, accounting, custodial, advisory, management, administrative, advertising, marketing, and consulting services from the trust and pay for such services from the gains and earnings of the trust;
(3) Procure insurance in connection with the trust’s property, assets, activities, or deposits to the trust;
(4) Apply for, accept, and expend gifts, grants, or donations from public or private sources to enable the trust to carry out its objectives;
(5) Adopt rules and regulations it deems necessary to effectuate the purposes of this chapter;
(6) Sue and be sued;
(7) Establish one or more funds within the trust and maintain separate accounts for each designated beneficiary; and
(8) Take any other action necessary to effectuate the purposes of this chapter, and incidental to the duties imposed on the general treasurer pursuant to this chapter.
(b) The general treasurer shall create a process within the office of the general treasurer to determine whether an expenditure proposed by a designated beneficiary is an eligible expenditure before the designated beneficiary is to receive any distribution under § 35-24-7.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
Notwithstanding the provisions of §§ 35-10-12 — 35-10-14, inclusive, the general treasurer shall invest the amounts on deposit in the trust in a manner reasonable and appropriate to achieve the objectives of the trust, exercising the discretion and care of a prudent person in similar circumstances with similar objectives. The general treasurer shall give due consideration to rate of return, risk, term or maturity, diversification of the portfolio within the trust, liquidity, the projected disbursements of the total portfolio within the trust, liquidity, the projected disbursements and expenditures and the expected payments, deposits, contributions, and gifts to be received. The general treasurer shall not require the trust to invest directly in obligations of the state or any political subdivision of the state or in any investment or other fund administered by the general treasurer. The assets of the trust shall be continuously invested and reinvested in a manner consistent with the objectives of the trust until disbursed for eligible expenditures as defined by this chapter or expended on expenses incurred by the operations of the trust.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
(a) The property of the trust and the earnings on the trust shall be exempt from all taxation by the state and all political subdivisions of the state. Distributions made pursuant to § 35-24-7 shall be considered income subject to taxation in accordance with chapter 30 of title 44 and shall be subject to federal and state withholdings.
(b) The tax administrator may adopt rules and regulations necessary to monitor, implement, and administer the Rhode Island personal income tax provisions referred to in subsection (a) of this section.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
Except as otherwise required by federal law, any money deposited into the trust and credited to a designated beneficiary, and any increase in the values thereof, shall not be used to calculate the personal assets of a designated beneficiary for purposes of determining income eligibility of the designated beneficiary for state or local assistance programs including:
(1) Any disability, medical, or other health benefits administered by the state; and
(2) Any student loan program, student grant program, or other student financial program administered by the state.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
(a) The general treasurer shall establish in the Rhode Island baby bond trust an accounting for each designated beneficiary. Each such account shall include the amount transferred to the trust pursuant to § 35-24-8, plus the designated beneficiary’s pro rata share of total net earnings from investments of sums as determined by the general treasurer and held in the trust.
(b) The department of human services shall notify the office of the general treasurer of the birth or enrollment of each designated beneficiary.
(c) Upon a designated beneficiary’s eighteenth birthday, if such a beneficiary is a resident of the state and has been for the two (2) years immediately preceding receipt of any distribution under this section, such beneficiary shall become eligible to receive the total sum of the accounting under subsection (a) of this section to be used for eligible expenditures.
(d) A designated beneficiary must submit a claim that meets the requirements set forth in this chapter before the designated beneficiary reaches thirty-five (35) years of age.
(e) If a designated beneficiary is deceased before their eighteenth birthday, does not submit a timely claim, or is no longer a resident of the state upon reaching thirty-five (35) years of age, such accounting shall be credited back to the general fund of the state.
(f) The general treasurer shall furnish each eligible beneficiary with an annual statement relating to the individual’s accounting, which shall include:
(1) A statement of the balance attributable to the individual;
(2) A projection of the balance’s growth by the time the individual attains the age of eighteen (18);
(3) Resources and information to promote financial wellness and literacy of the designated beneficiary; and
(4) Such other information as the general treasurer deems relevant.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
Upon the birth of a designated beneficiary, the general treasurer shall allocate three thousand dollars ($3,000) from the trust to be credited toward the accounting of such designated beneficiary pursuant to § 35-24-7.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
The general treasurer’s duty to implement this chapter is contingent upon availability of public or private funds the general treasurer deems sufficient to administer the trust consistent with the provisions of § 35-24-8.
History of Section. P.L. 2025, ch. 399, § 1, effective July 2, 2025; P.L. 2025, ch. 400, § 1, effective July 2, 2025.
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