RELATING TO PROPERTY -- PUBLIC AUCTIONS OF REAL ESTATE
Summary
S2391 would create a new chapter in Rhode Island’s property laws governing public auctions of real estate by cities and towns. The bill requires that municipal auctions of real estate, or any interest in real estate, be conducted in person at the time and place stated in the legal advertisement and in accordance with existing state auction statutes. It also limits the use of electronic or remote auction procedures.
Under the bill, a city or town could use electronic or remote auction methods only if the Rhode Island Superior Court authorizes it by order after a hearing and a finding that an in-person auction is not feasible under the specific circumstances. The act would take effect immediately upon passage.
Impact
The bill would amend Title 34 of the General Laws by adding a new chapter on public auctions of real estate, directly affecting municipalities that sell property through public auction and the legal procedures they must follow. It would narrow local government discretion by making in-person auctions the default rule and by requiring court approval for remote or electronic sales, while leaving existing auction-related statutes, including chapter 9 of title 44, in place as governing law for such sales.
Sentiment
The available voting history suggests the bill received some early scrutiny in committee, where the Senate Judiciary Committee held it for further study by a 9-0 vote, indicating a need for additional review rather than outright opposition. The bill later passed the Senate 24-9, showing that it ultimately had majority support but also notable dissent. Overall, the sentiment appears favorable to the bill’s goal of increasing oversight, though not unanimous.
Contention
The main point of contention is the restriction on electronic or remote public auctions, which some lawmakers may view as limiting municipal flexibility or modernizing tools for selling public property. Supporters appear to favor the bill’s emphasis on transparency and public scrutiny, while opponents likely object to requiring in-person auctions as the default and to the added burden of obtaining a Superior Court order before using remote procedures. The split passage vote indicates that these concerns were significant enough to draw opposition even after committee review.
Required public auctions by any city or town of real estate or an interest therein to only be done in person and not by electronic or remote procedures unless authorized by court order.
Establishes a program operated by the Rhode Island housing and mortgage finance corporation called the "housing land bank" to create affordable housing in RI with the authority to buy, receive, and hold real property for housing development.
Adds the property of the Pokanoket Management Group, Trustee of the Pokanoket Tribe Land Trust, to the list of property designated for appropriations in lieu of municipal property tax, would concurrently exempt such property from municipal property tax.
Adds the property of the Pokanoket Management Group, Trustee of the Pokanoket Tribe Land Trust, to the list of property designated for appropriations in lieu of municipal property tax, would concurrently exempt such property from municipal property tax.
Establishes that a renewable energy resource shall pay $5.00 per kilowatt of alternating current nameplate capacity for tangible property and $3.50 per kilowatt of alternating nameplate capacity for real property.
Establishes that a renewable energy resource shall pay $5.00 per kilowatt of alternating current nameplate capacity for tangible property and $3.50 per kilowatt of alternating nameplate capacity for real property.
Makes certain technical amendments /clarifications to the statutes relating to the assessment of real property and the timing and process to appeals thereof.