IN ACCORDANCE WITH RHODE ISLAND GENERAL LAWS SECTION 16-7-44 APPROVING THE ISSUANCE OF $10,400,000 BONDS BY THE TOWN OF NEW SHOREHAM TO FINANCE ADDITIONS, RENOVATIONS, IMPROVEMENTS, ALTERATIONS AND REPAIRS TO SCHOOLS AND SCHOOL FACILITIES IN THE TOWN INCLUDING, BUT NOT LIMITED TO, BONDS AND NOTES ISSUED PURSUANT TO FINANCING AGREEMENTS WITH THE RHODE ISLAND HEALTH AND EDUCATIONAL BUILDING CORPORATION
Summary
H6099 is an enabling act that authorizes the Town of New Shoreham to issue up to $10.4 million in bonds to fund additions, renovations, improvements, alterations, and repairs to local schools and school facilities. The bill ties that borrowing authority to a prior vote of the town’s electors at the May 2, 2022 financial town meeting and references the town’s authority under Rhode Island General Laws § 45-12-2.
The act also provides that the principal and interest on the bonds will be eligible for state housing aid reimbursement under Rhode Island General Laws § 16-7-44. In practical terms, this makes the state’s school housing aid program available to help reimburse debt service on the project, including bonds or notes issued through financing agreements with the Rhode Island Health and Educational Building Corporation. The bill takes effect upon passage.
Impact
This legislation does not create a new statewide program or change general school finance rules; instead, it serves as the specific statutory approval needed for New Shoreham’s school construction debt to qualify for state housing aid reimbursement. It affects the Town of New Shoreham, its taxpayers, and the school facilities being financed, while also implicating the state’s school housing aid obligations under § 16-7-44.
Sentiment
The bill appears to have been broadly supported. It passed the House Finance Committee unanimously 14-0 and then passed the House 72-0, indicating strong bipartisan agreement and little visible opposition in the recorded votes. No committee transcript was provided, so the available record suggests a routine local infrastructure measure with clear legislative support.
Contention
No notable contention is reflected in the available materials. The measure is narrowly focused on authorizing bond issuance for school facility work in New Shoreham and on making those bonds eligible for reimbursement, so any debate would likely have centered on the cost, the town’s borrowing authority, or the use of state housing aid. However, the unanimous committee and floor votes suggest those issues did not generate significant opposition.