Professional Documents
Culture Documents
Briefing Book
for Candidates
September 2010
Produced by:
5
Concentrate Growth in Centers
Rhode Island’s urban and town centers are Rather, we need to work within the varied scales of
vitally important to our state’s future well-being. existing cities, town centers and villages. Compact
Economic, environmental and demographic changes— development in Peace Dale, for example, will look very
as well as shifting lifestyle preferences—are all altering different from compact development in Providence or
the definition of today’s American dream. There is Pawtucket.
mounting evidence that people are increasingly being
drawn back to live in more traditional and walkable The continued revitalization of our centers and
neighborhoods with easier and more efficient access to corridors will require public leadership and private
all of life’s essentials. partnerships. Many investment policies at the state and
local level have yet to catch up to or adapt to strategies
Businesses too have begun to recognize that the highly- recommended in Land-Use 2025, Rhode Island’s
valued cadre of younger talent puts a much greater forward-thinking state land use plan. Even programs
value on workplaces located in vibrant, transit-friendly that have proven highly successful in achieving
mixed-use centers and transit corridors. By contrast, multiple tangible benefits for Rhode Islanders can be
more isolated modern office parks, while still an stifled due to lack of understanding or commitment to
important part of a diversified economy, have relatively a long range vision.
little appeal to these young workers. In addition, the
continued growth of such “parks” contributes to the One such example is the Rhode Island State Historic
fragmenting of our landscape and increased public Preservation Tax Credit, established with the assistance
expenditures for costly extensions of infrastructure to of Grow Smart RI in 2002. Despite significant
serve them. evidence of its value, it was halted for new enrollees
by the General Assembly in 2008. It has been
Indeed, it has become increasingly clear that 60 responsible for the redevelopment of hundreds of
years of sprawl-style development has exacted a historic buildings and former brownfield sites in urban
considerable toll on America that it can no longer and town centers across the state. It has generated
afford, economically, environmentally or culturally. thousands of new construction and permanent jobs,
A recent report by Reuters1 suggests that the current tens of millions in new state and local tax revenue and
national economic downturn has in fact spurred overall is estimated to have leveraged $5.35 in total
smart growth projects in centers and transit corridors economic output for each dollar of state tax credit
around the country. For developers, homeowners, and investment.
governments, there are dollars to be saved and dollars
to be made in revitalizing our centers and corridors. By putting an end to the many wasteful public
subsidies of sprawl and instead focusing on incentives
Rhode Island’s town centers and many of its more than for future commercial and residential growth and re-
350 villages, have capacity for additional growth or growth in centers—where buildings, roads, utilities,
redevelopment. It’s important to emphasize that smart and transportation infrastructure are already in
growth does not suggest a “one size fits all” solution. place—we can capitalize on existing assets and reap the
economic, environmental and community benefits of
6 1 Smart Money in Real Estate is in Smart Growth, Reuters, August 2010 doing so.
Key Facts Policy Recommendations
• Rhode Island developed more of its land in At the State Level established centers and corridors with
the last 50 years (particularly in non-urban existing infrastructure capacity.
areas) than it did in the previous 325.2 • Reinstate a targeted State Historic Tax
• To accommodate suburbanization, Rhode Credit. • Following the example of
Island built nearly 2,500 miles of new roads Massachusetts and Connecticut, adopt
between 1958 and 2006.3 • Capitalize on funding opportunities a Licensed Site Professional (LSP)
• Household transportation costs for Rhode available through the new HUD-DOT- program for oversight of brownfield
Islanders are the second highest family EPA Federal Partnership for Sustainable remediation to expedite clean-up
expense after housing.4 Communities. projects.
• 61% of American homebuyers now prefer to
purchase in traditional, walkable • Ensure that location-efficient, transit- At the Municipal Level
neighborhoods where they have easier access friendly sites are highlighted in the
to services, over a sprawling community with state’s new economic development • Define growth centers in municipal
larger lots, limited options for walking and a online site inventory. Comprehensive Plans and enact zoning
longer commute.5 to allow more compact, mixed-use
• As the 2nd most urbanized state in the nation, • At no cost to the State, provide an development.
Rhode Island has an abundance of existing incentive for municipalities to encourage
compact and traditional neighborhoods with location-efficient economic • Utilize Transfer of Development Rights in
access to transit.6 development by exempting from the local zoning ordinances to balance land
• More than 20,000 buildings in Rhode Island property tax levy cap (S-3050) all or a conservation with increased density in
are listed or eligible for listing on the National portion of new property taxes generated centers.
Register of Historic Buildings.7 in districts that meet state-approved
• The now halted State Historic Tax Credit Growth Center standards. • Where practical, locate municipal
program is credited with stimulating $1.2 buildings and facilities in urban and
billion of private investment rehabbing • Issue an Executive Order reminding town centers.
structures at 226 project sites in 22 of Rhode department heads in state government
Island’s 39 cities and towns.8
to comply with a provision of the State At the Federal Level
• Nearly 30% of Historic Tax Credit projects are Properties Committee statute (RIPL
also remediating contaminated brownfield 37-6-2) giving preference to siting state • Support the proposed expansion of the
sites in 15 RI communities—urban, suburban offices and facilities in urban and/or Federal Historic Tax Credit program
and rural.9
economically distressed locations. contained in H.R. 3715 and S. 1743.
2 The Costs of Suburban Sprawl and Urban Decay in Rhode Island, December,
1999, H.C. Planning Consultants, Inc., Planimetrics, LLC
3 Where Has All The Money Gone?, RI Policy Reporter, Jul 11, 2008 • Modify existing state economic
4 U.S. Dept. of Labor, U.S. Bureau of Labor Statistics, April, 2009 development grants, loan programs, tax
5 Nat. Assoc. of REALTORS, 2004 Nat. Community Preference Survey
6 1990 U.S. Census incentives and technical assistance to
7,8 RI Historical Preservation & Heritage Commission
prioritize economic development in
9 Rhode Island Historic Preservation Investment Tax Credit Economic & Fiscal Impact
Analysis, 2007 7
Protect Natural Resources
Conserving forests and other undeveloped With proper management, Rhode Island’s
open spaces is just as important to our relatively ample water supply can be a
future as revitalizing cities and towns. Open space competitive economic advantage. However,
reduces susceptibility to flooding, protects drinking our abundant annual rain and snowfall have created a
water and provides wildlife habitat. It provides false sense of security and resulted in our paying too
scenic landscapes and recreational opportunities that little attention to water conservation. Recent years
contribute to our quality of life and attract out-of- have seen a growing number of instances, particularly
state tourists. Effective land conservation policy in summer months, when some areas had insufficient
requires state and municipal government to identify water to meet household needs for potable water,
and prioritize land for protection, work with many support industry and agriculture and maintain
public and private partners and pursue multiple healthy river and stream ecosystems.
strategies.
Passage of the 2009 RI Water Use and Efficiency Act
Some land protection can be achieved without public was a substantial step toward better management
expense. State legislation enables Rhode Island of water supply. The Act calls for strategies to
municipalities to use planning tools such as Transfer manage demand for potable water, reinvest in water
of Development Rights (TDR) and Conservation supply infrastructure and preserve the health and
Development. These planning approaches, carefully ecological functioning of the state’s water resources.
applied, can enable communities to permanently It also directs the Water Resources Board to set
conserve land without incurring the public cost of targets for reduced water demand and to define
purchasing land or development rights. methods for achieving these targets. Implementing
the Water Resources Board’s regulations will
In order to protect a critical mass of land for require cooperation from state agencies, municipal
governments, and private interests.
open space or recreation, however, the state and
municipalities will also need to purchase land
Rhode Islanders work, play, travel and
outright or purchase development rights. State and
transport goods on Narragansett Bay. With
municipal dollars can be stretched by partnering
careful planning and stewardship, we can have a
with the Federal government and with private
healthy Bay that continues to serve the interests
conservation entities. But Federal funding requires
of fishermen, the maritime trades and recreational
state and local match. Rhode Island and most
boating, commercial shipping, the tourist industry,
municipalities depend almost entirely on bond
and every Rhode Islander who values the Bay’s
issues, which voters have consistently supported, but marine life, beauty and recreational opportunities.
which do increase state and local debt. An alternative To do so, state and local governments must vigilantly
approach is to establish dedicated state and local protect public access to the coastline, zone waterfront
funding sources for land conservation. land appropriately, and draw on the knowledge of all
interested parties in planning for the Bay’s use and
8 protection.
Key Facts Policy Recommendations
• Nearly 60% of Rhode Island’s land remains At the State Level At the Municipal Level
forested.1
• Update the state’s land conservation • Prioritize land for protection, working
• In 1994, Rhode Island’s State Guide Plan plan, which is now 16 years old. It is collaboratively with state government,
called for “permanent protection of 35,000 time to review goals and strategies to neighboring municipalities and private
acres by 2020, to be accomplished by a ensure that the state’s natural resources conservation entities, to ensure that
joint effort of the State, municipal, Federal
will be used as effectively as possible. funds will be spent as efficiently and
and private entities.”2 In the 15-year period
• Grow Smart supports the 2010 Open effectively as possible.
from 1995 to 2009, public and private
partners protected almost 21,000 acres.3 If Space and Recreation Bond Issue. If the • Adopt a Conservation Development
we maintain this pace for the next 10 years, Bond Issue passes, we urge state and ordinance. Conservation Development
we are on track to meet the goal of 35,000 local elected officials to ensure full provides for flexible siting of buildings
acres. public participation in planning for future on a parcel of land in order to preserve
• In a May, 2010 poll of likely Rhode Island recreational and open space use of 50% of the parcel as meaningful open
voters, 87% agreed that “Parks, open Rocky Point and the India Point parcel. space and minimize the visual and
space recreation facilities and protecting • Activate Rhode Island’s Housing and environmental impacts of residential
what farmland remains are important to development.
Conservation Trust Fund and provide a
enhancing the quality of life in Rhode Island
permanent funding stream for the Fund. • Be vigilant in enforcing regulations that
not only for this generation but future
generations.”4 • Update the current system for reporting protect wetlands and waterway buffers.
• Rhode Island was the only New England installation of new private wells. • Forge effective working partnerships
state in which combined state and local per • Invest in updating aging water system with private land trusts, where possible
capita expenditures for natural resources, infrastructure. offering them municipal assistance with
parks and recreation declined between FY mapping or legal work.
1998 and FY 2008.5 • Work with water suppliers to develop
• Household water use in Rhode Island and implement effective water
averages 58-72 gallons per person each conservation policies and incentives.
day in winter. In summer, lawn and garden
• Consider incentives or requirements for
watering increases use by 30-50 gallons per
person.6
homeowners to use drought-tolerant
landscaping.
1 Annual Report, Fiscal Year 2009, RI DEM Land Conservation and Acquisition
Program
2 A Greener Path . . . Green Space and Greenways for Rhode Island’s Future, State
Guide Plan Element 155, RI Division of Planning/Statewide Planning Program,
1994.
3 RIDEM, Land Acquisition Yearly Totals
4 Rhode Islanders Support Open Space, information publication by The Nature
Conservancy et al.
5 How Rhode Island Compares, 2010 Edition, RI Public Expenditure Council
6 Water for Rhode Island: Today and Tomorrow, Environment Council of Rhode
Island and the Rhode Island Water Resources Board.
9
Expand Transportation Choices
Investing responsibly in our state’s costs to rebuild our infrastructure as well as the costs
transportation infrastructure—including a to our economy will only be higher.” Continued
21st century mass transit system—is increasingly inaction is simply not an option if we expect to move
seen by civic and business leaders as essential to our state in the right direction and compete in a 21st
Rhode Island’s economic recovery and future century economy.
prosperity.
Making better use of Rhode Island’s rail lines and
Enhancing public transit and designing more port facilities would also ease traffic congestion,
walkable neighborhoods is also an effective way reduce road maintenance costs and air pollution
to address multiple issues that affect our overall while providing a more economical and competitive
quality of life. It means that our older citizens can option for moving freight.
remain independent longer and that our urban,
town and village centers can accommodate more Rhode Islanders are fortunate that significant
economic growth without increasing traffic and planning is already done or now underway for
congestion. It means we can reduce our dependence vastly improving how we get where we’re going.
of foreign oil and the resulting harm to our economy This includes the recently completed Metropolitan
and environment. It means we can get out of our Transit Enhancement Study, the ongoing Aquidneck
cars more often and lead more active and healthy Island Transportation Study and an emerging study
lifestyles. of transportation improvements by officials in the
densely populated Blackstone Valley Corridor. These
Like other states, Rhode Island’s transportation studies position the state well to take advantage of
funding mechanism is unsustainable and inadequate new federal funding opportunities.
to properly maintain infrastructure and to operate
a public transit system. Continued borrowing The 40-member Coalition for Transportation
and overreliance on declining gas tax revenue is Choices (which Grow Smart co-chairs) is leading
simply not a viable solution. Decades of deferred a broad-based advocacy charge for development of
maintenance on our highways and bridges has a 21st century transportation system that’s a win
resulted in alarming deterioration. For a state trying for the environment, a win for the economy and a
to improve its economy, it is unacceptable that the win for people looking to reduce their household
Route 95 Pawtucket River Bridge will have been transportation costs.
closed to trucks for nearly 6 years by the time a
replacement bridge is completed. A transportation system dominated by single
occupancy automobile travel is no longer viable—or
The 2008 report of Governor Carcieri’s Blue Ribbon competitive. The health, safety, and economic well-
Panel on Transportation Funding warns of the dire being of our citizens depend on the development of a
“consequences of inaction.” The report concludes more economically and environmentally sustainable
10 that “We must act now, for if we do not, the future transportation system.
Key Facts Policy Recommendations
• FY 2011 represents a critical tipping point in At the State Level At the Municipal Level
which more than 50% of RIDOT’s gas tax • Identify adequate, long range and • Modify local Comprehensive Plans and
receipts will now be used for debt service on sustainable funding sources for roads, corresponding zoning regulations to
transportation related borrowing, leaving an bridges and public transportation and encourage compact, transit-supportive
ever decreasing amount for repair and establish a dedicated Transportation Trust development near bus and rail stops.
maintenance.1 Fund. • Pursue opportunities to improve the safety
• The age of our infrastructure and deferred • Grow Smart urges legislative action in 2011 of children walking and biking to school
maintenance has resulted in Rhode Island to establish these sustainable through the 100% federally-funded Safe
having the worst record for bridge transportation funding sources. However, in Routes to School Program.
deficiencies of any state in the nation.2 the meantime the immediate need to fund • Promote non-motorized mobility through
• In 2008, Governor Carcieri’s Blue Ribbon critical road and bridge repairs and RIPTA “walkable” community planning strategies.
Panel on Transportation Funding estimated bus replacement must be met. Grow Smart
that Rhode Island needs to invest an therefore supports the 2010 Transportation
additional $285 million annually for 10 years Bond Referendum. At the Federal Level
to bring our existing roads and bridges into a • Prioritize implementation of the • Develop a new national transportation
state of good repair.3 Metropolitan Transit Enhancement Study vision with objectives and accountability for
• Based on gasoline prices of $3.00 per gallon, recommendations to meet current demand meeting performance targets (H.R. 2724).
approximately $1 billion leaves the Rhode and to grow the intermodal transit system.
• Prioritize the Reauthorization of the Federal
Island economy annually, representing the • Provide meaningful incentives for Transportation Funding bill that expired
cost of crude oil and refining.4 employees (including state employees) to September 30, 2009.
• The transportation sector in Rhode Island is utilize public transit and disincentives to
• Support efforts to bring federal
responsible for 37% of the state’s commute alone.
reimbursement for transit projects more in
greenhouse gas emissions, more than any • Establish a standing Transportation line with those of road and bridge projects.
other individual sector, including electric, Committee in the General Assembly,
residential, commercial and industrial.5 • Support “Complete Streets” proposals that
perhaps by expanding the scope of the
require most new transportation projects to
• Ridership demand on RIPTA increased 33% existing Joint Committee on Highway
accommodate needs of pedestrians,
between 1999 and 2008. 80% of the state’s Safety.
bicyclists and other non-auto modes of
population has access to RIPTA service.6 • Seriously consider implementation of transportation (H.R. 1443 / S 584).
• Operational and financial audits have shown strategic actions to be recommended in the
that RIPTA ranks among the highest in its Rhode Island Port Development
peer group.7 Opportunities Study. The Study, a
coordinated effort by the RI Bays, Rivers,
1 House Fiscal staff presentation to the RI House Finance Committee, March 10,
2010 and Watersheds Coordination Team and
2,3 Rhode Island’s Transportation Future, Governor’s Blue Ribbon Panel on the Special Legislative Commission to
Transportation Funding, December, 2008
4 New Public Transit Alliance, January 2008 estimate based on data from the U.S. Study Potential Economic Opportunities in
Dept. of Energy the Development of Port Facilities, is
5 New England’s Global Warming Solutions, A study for World Wildlife Fund.
Prepared by Tellus Institute August 2000
6,7 Abrams-Cherwony & Associates, Peer Group Review of RIPTA, April, 2007
scheduled for completion in January, 2011.
11
Increase Housing Options and Affordability
Housing policies will have a major impact Foreclosures, high unemployment rates and the
on economic growth, community and family shortage of affordable rental units have driven
stability and our ability to protect natural resources. increasing numbers of Rhode Island families
Elected officials must address two critical questions: into homelessness, affecting not only the people
involved but our overall economic prospects. To
• Where and how will future housing be located?
have economic growth, workers need to be able
• What should the state and municipalities to focus their attention on their jobs and on skill
do to help ensure continued creation training—not on worrying about where their
of rental and home ownership units with families will live. We cannot expect children to
long-term affordability provisions? do well in school if they are homeless or moving
frequently from one district to another.
Economic growth requires a workforce to meet a
wide range of employment needs. Rhode Island’s high Current housing conditions have additional
housing costs hinder our state’s ability to attract and negative impacts on the economy. The residential
retain that workforce. A study by the Federal Reserve construction industry should be an economic
Bank of Boston showed that in 2008 potential first- engine for Rhode Island’s economy; instead, it
time homebuyers in Rhode Island earned only 75% has almost ground to a halt. Foreclosures mean
of the income needed to afford a starter home.1 The lost property tax revenue for municipalities and
high costs of home ownership, coupled with the declines in values for surrounding properties.
availability of adjustable rate mortgages and subprime
loans, led many households to take on large amounts In recent decades, municipal zoning ordinances
of debt between 2000 and 2005. The foreclosure have created a sprawling pattern of residential
crisis has already hit Rhode Island hard, and many development which emphasized single family homes
more Rhode Islanders who remain in their homes are on increasingly large lots. Many municipalities
cost-burdened and particularly vulnerable to job loss, do not permit multi-family housing or even
reductions in income or escalations in mortgage rates. duplexes in the majority of their residential zones.
These policies resulted in undeveloped land being
The majority of the workers who fill low and consumed at a rapid rate and contributed to increased
moderate paying service industry jobs require housing costs during the recent housing boom.
rental housing. There is a severe shortage of
affordable, safe and healthy rental housing In order to contain overall housing costs and to
for low and moderate income households— protect the environment, state and municipal
particularly families. The dislocation of hundreds policies should incentivize developers to locate
of tenants living in foreclosed multi-family future residential growth in and around city,
buildings has made the rental situation worse. town and village centers and to create compact
residential and mixed-use neighborhoods with
1 Robert Clifford, The Housing Bust and Housing Affordability in New England, smaller lots and more multi-family buildings.
12 New England Public Policy Center at the Federal Reserve Bank of Boston,
Discussion Paper, June, 2010.
Key Facts Policy Recommendations
• In 2010, the average rent for a two-bedroom At the State Level At the Municipal Level
apartment in Rhode Island is $1,120, an
increase of $350, or 45 percent, from 2001 • Identify and enact a permanent funding • Review Local Comprehensive Plan low
prices.1
source to fund the Housing and and moderate income housing creation
• In the one-year period from April, 2009 Conservation Trust Fund. strategies annually to evaluate their
through March, 2010, 10,466 foreclosures effectiveness and determine whether
were initiated in Rhode Island. In the • Restore the State Historic Preservation changes are necessary.
18-month period from January, 2009 through
Tax Credit, which helped to fund 596
June, 2010, 4,475 actual foreclosures took
place.2 low and moderate income housing • Establish an Affordable Housing
units between 2002 and 2009. Commission to identify affordable
• In 2006 Rhode Islanders voted by a two to
housing opportunities and promote
one margin to support a $50 million bond
• Continue to appropriate funds for the affordable housing in the municipality
issue to create low and moderate income
housing.3 The bond issue was supported by Neighborhood Opportunities Program (16 Rhode Island communities already
a majority of voters in every city and town. (NOP.) NOP was the first Rhode Island have such commissions).
program established to provide funds
• The first $37.5 million from RI’s affordable
housing bond is creating 828 units of to address the housing needs of low • Grant reasonable variances to allow
affordable housing in 28 communities and and moderate income Rhode Islanders re-development of existing abandoned
generating about $600 million in total and will be the only program remaining or under-utilized structures.
economic activity.4 for this purpose after housing bond
• Construction activity supported by the funds are spent out. • Review and retool zoning and
affordable housing bond represented 48% of subdivision regulations to facilitate
the total value of residential construction compact residential development
permitted in Rhode Island from 2007 to appropriate to the municipality’s
2009.5 location, physical characteristics and
• The $50 million in affordable housing bond current level of development.
funding approved in 2006 will be fully
committed by the end of 2010. • Adopt a Conservation Development
• In a March 2010 poll of likely Rhode Island Ordinance to allow developers more
voters, 69% favored continued state funding flexibility in subdivision of land and
for affordable housing.6 determining residential lot sizes.
1 HousingWorks RI, 2010 Fact Book.
2 All data from The Warren Group; data regarding actual foreclosures courtesy of
HousingWorks RI in cooperation with Rhode Island Housing.
3 HousingWorks RI, 2007 Fact Book.
4 HousingWorks RI, Building Homes Rhode Island The Housing Bond: Year Three
Status Report, August, 2010.
5 HousingWorks RI 2010 Fact Book.
6 HousingWorks RI, Press Release: Rhode Island Voters Strongly Support Public
Investment in Affordable Housing, May 19, 2010.
13
Build Agricultural Viability and Profitability
Rhode Island’s agricultural sector is for farm operations to expand. Rhode Island’s
a bright spot in the midst of Rhode Island’s high property taxes can also escalate farming
sluggish economy. From every perspective, costs. Further economic hardship is incurred
the state’s agricultural sector is growing—in when farms pass from one generation to the next.
numbers of farms, numbers of farmers, total High land values lead to high inheritance taxes,
acreage, revenue and product diversity. and frequently the only way for a farm family to
raise the cash to pay the taxes is to sell land.
The past few years have seen a revolution in the
way Americans view their food. With concerns The spread of residential development into
mounting over the effects of pesticides, fertilizers, previously agricultural areas often leads to
and corporate farming on human health and the tensions between farmers and neighboring
environment, more and more Americans want locally homeowners. Even though Rhode Island has a
grown and organically produced foods. Rhode strong right to farm law, new residents’ objections
Island’s small family-owned farms, located close to the noise, dust, and smells that are part of
to—and sometimes in—urban areas, are uniquely agriculture can cause problems for farmers.
positioned to take advantage of these trends.
A larger issue is that while many municipalities
Increased food security and the health benefits of want to maintain agriculture, they do not have
readily available, fresh local food are only two of the strong farm-supportive language in their local
multiple public benefits that Rhode Island’s family comprehensive plans and have not enacted zoning
farms provide. Agricultural landscapes contribute ordinances that clearly spell out what agricultural
to the quality of place in communities across activities are permitted by right or by special
the state. Additionally, agricultural lands protect use. Zoning is particularly out of date when it
natural resources and provide wildlife habitat. comes to new entrepreneurial efforts by farmers
to realize revenue from their farms—ranging
Policy-makers can ensure that Rhode Islanders from expanded farmstands to agritourism.
will continue to enjoy the many benefits provided
by local farms. To do so, they will need to
understand the risks and challenges inherent in
the business of farming. Only then can we enact
policies at the state and municipal levels to sustain
Rhode Island’s many family-owned farms.
One of the biggest challenges is the high cost of
land in Rhode Island. At $12,000 per acre, the
value of agricultural land in Rhode Island is the
second highest in the country. This often makes
14 it impossible for new farmers to acquire land or
Key Facts Policy Recommendations
• In 2007, Rhode Island ranked third in direct At the State Level The Agricultural Extension Agent
marketing sales on a per farm basis with provides essential education and
• Through the New England Governors
direct market sales up nearly 50% since resource information for Rhode Island
Conference’s Commission on Land
2002.1 farmers that is not available through any
Conservation and its Keep Farmland in
• In 2007, Rhode Island farmers produced Farming Working Group, take regional other Rhode Island sources.
$65.9 million in revenue from sale of action to advance New England’s At the Municipal Level
agricultural products, up 19% from 2002.2 farming agenda at the federal level. • Ensure that farmers have a voice in local
• The number of farms in Rhode Island • Seriously consider implementing the planning through establishment of a
increased by 42% between 2002 and 2007 recommendations for state action municipal Agricultural Commission.
– the sharpest increase in New England and contained in the 5-Year Strategic Plan for
perhaps in the entire country.3 • Include clear discussion of the
Agriculture which is due to be completed importance of agriculture to the local
• Rhode Island farms provide full or part-time at the end of 2010. The Plan is being economy, natural resource protection
employment for approximately 1,000 farm developed by the Rhode Island and community livability in the local
operators plus many full and part-time farm Agricultural Partnership, with assistance
workers. Many more Rhode Islanders are
comprehensive plan. Provide for
from the American Farmland Trust and in appropriate scales of agriculture in local
employed by markets, restaurants, produce close collaboration with the Rhode Island
distributors, and other businesses related to comprehensive plans, ordinances, and
Division of Agriculture. regulation. Address the specific needs of
local agriculture.
• Ensure that key portions of the 5-Year farmers within municipal ordinances.
• Twenty-six farms are currently on the
Strategic Plan for Agriculture are • Consider establishing a Transfer of
waiting list to sell development rights to the
incorporated into appropriate Rhode Development Rights Program.
Rhode Island Agricultural Lands Protection
Island State Guide Plan elements.
Program.4 • Use municipal and private land trusts to
• Ease the estate-tax burden for farm preserve agricultural land.
• At the end of FY2010, the RI office of the
Natural Resources Conservation Service
families. A cap on the value of farms for
Rhode Island estate tax purposes would • Help protected land to remain in active
returned to the Federal government agricultural use by crafting easements
approximately $3.9 million in Farm and avoid the next generation’s having to sell
all or parts of their farms to cover taxes. that provide the flexibility farms need to
Ranchland Protection funding allocated for adapt to new opportunities, technologies
Rhode Island. Lack of sufficient state and • Support Farm, Forest, and Open Space and changing market conditions.
municipal matching funds, together with Act reforms which would provide for a
decline in farmland values, contributed to reassessment of the recommended At the Federal Level
Rhode Island’s inability to make full use of property tax rates to ensure they are • Support the Family Farm Estate Tax
available Federal funds.5 appropriate and re-activate the Act’s Deferral Act of 2010 (S.3664), which
Review Committee. would exempt family farms and ranches
• Continue funding for the RI Agricultural from the estate tax, and update existing
Extension Agent within the URI College estate tax incentives for voluntary,
1,2,3 US Department of Agriculture, 2007 Census of Agriculture, of The Environment and Life Sciences. permanent protection of lands with
4 RIDEM
5 Natural Resources Conservation Service.
conservation values. 15
Restructure the Tax System
Unless and until we overhaul our state and cases, questionable siting decisions for such
local tax structure, Rhode Island will not be able developments.
to fully seize the opportunities and address the
challenges described in the preceding pages. While The State depends on corporate and individual
property tax reform is not a land use issue per se, the income taxes for the majority of its revenues while
current tax structure’s heavy reliance on local property municipalities depend on property taxes for the
taxes for public education funding severely hinders majority of their tax revenues. As a result, state and
Rhode Island’s ability to plan effectively for local government are often at odds when it comes to
sustainable economic growth. land-use planning and economic development. A
classic example is the question of how waterfront
Spending on education services (including property should be used. For a municipality, looking
elementary, secondary and higher education, other to expand its property tax base, the “best” use may be
education services and libraries) is the largest single high-end residential housing targeted to adult
“... the current tax structure’s budget item for state and local government. In Rhode households. For the state, looking to increase income
heavy reliance on local property Island spending for these services accounted for one tax revenue, the “best” use might be industrial or
third of all general expenditures in FY2008.1 More commercial development that would add jobs and
taxes for public education funding
than most states, Rhode Island depends on the local therefore increase income tax revenues. Unless and
severely hinders Rhode Island’s until this conflict can be resolved, it will be difficult
property tax as the primary revenue source for public
ability to plan effectively for education. to implement coherent, long term land use and
sustainable economic growth.” economic development strategies.
In 1995, a study of eleven southern New England
towns concluded that commercial/industrial activity Another tax question that needs to be carefully
costs about $ .43 in services for every dollar of considered and fully understood is the role that
property tax generated. At the same time, largely due various tax incentives can play in promoting
to school costs, residential development costs a town environmentally sound growth in places that can best
about $1.14 for every dollar paid in property tax. The accommodate and benefit from it. Grow Smart
widely reported study results made many believes that incentive programs such as the Historic
municipalities leery of residential development that Preservation Tax Credit are powerful tools for
might add children to their school system. These economic growth. Legislation creating any tax
concerns, while often greatly exaggerated or mistaken, incentive should include provisions requiring careful
have increased resistance to affordable housing and measurement of both costs and benefits. Ineffective
compact development. programs can then be eliminated, and effective
programs can be fine-tuned and expanded.
Over-reliance on the local property tax also
encourages wasteful competition among neighboring Any comprehensive review of our tax structure should
towns for commercial development and, in some also include an analysis of the impact of estate taxes
on family farms and other small businesses.
16 1 Rhode Island Public Expenditure Council (RIPEC), How Rhode Island Com-
pares: State and Local Expenditures, 2010 Edition.
Key Facts Policy Recommendations
• As of FY 2008, local revenues accounted • Grow Smart urges our State elected municipalities participating in the
for 58 cents of every dollar dedicated to officers and legislators to begin in early regional economic cooperation
education statewide. State sources 2011 a thorough review of the entire agreement for the park.
accounted for 35 cents of every education tax structure.
dollar and federal support was 7 cents of 3. Transfer some of the burden for
every dollar.1 • Seriously consider at least three education funding from the local
alternatives to the current tax structure: property tax to an existing state tax
• Rhode Island had the 5th highest property such as the income or sales tax.
tax burden per $1,000 of personal income 1. Link property tax reform with school
among the 50 states as of 2008.2 funding reform by substituting a
statewide property tax for some or
• Rhode Island’s general sales tax burden
all of the local property tax. This has
per $1,000 of personal income is actually
been done in Vermont.
below the national average because we
exempt many items from the sales tax.3 2. Establish a regional property tax
• Rhode Island’s income tax burden per
sharing system that pools some or
$1,000 of personal income ranked only all tax revenue from new commercial
29th highest in the nation as of 2008.4 development in a designated region
and distributes these funds to
• Rhode Island’s Payment in Lieu of Taxes participating communities on a
(PILOT) Program requires the State to formula basis. Because of Rhode
compensate municipalities that host Island’s small size, consideration
major state facilities that don’t pay should be given to defining any
property taxes. By law, the state should property tax sharing region adopted
pay a municipality 27% of the amount the here as the entire state. One model
municipality would otherwise realize in to consider is metropolitan
property taxes. In recent years, however, Minneapolis-St. Paul (an area larger
the state has only reimbursed 78% of the
in population and land mass than
required amount. Thus state
Rhode Island), where a regional
compensation to municipalities is only
property tax sharing system has
21% of the property tax revenues that a
municipality could expect to realize from
been in place for approximately 40
facilities covered by the PILOT Program. years. Closer to home, Maine has
established several regional
industrial parks in which the revenue
from any given park is distributed on
a formula basis to all of the
1 RIPEC, Results: Education in Rhode Island 2010, April 2010.
2,3,4 RIPEC, How Rhode Island Compares: State and Local Revenues, July, 2010. 17
Smart Growth on the Ground in Rhode Island
Hope Artiste Village
Pawtucket The Burrillville Redevelopment Agency, with broad
Examples of well-designed
community input, developed a phased master
smart growth development can plan for the mill’s redevelopment that combined
Between 1890 and 1930, the Hope Webbing
be found in a number of Rhode Company constructed a massive complex of six preservation of the best of the original mill
Island communities. Here are interconnected buildings totaling 650,000 square buildings with new construction. Existing village
illustrations of just four examples. feet (14 acres) to house its Pawtucket jute and leather sidewalks were linked to the Stillwater complex’s
To view further Rhode Island bootstraps factory. Hope Webbing moved out in the new pedestrian circulation system, allowing people
smart growth case studies, go mid 1990s, and for a decade the site stood largely to walk to the library from the village’s main
vacant, a target for vandalism. commercial street. The complex also provides new
to www.growsmartri.org. amenities for the village, in the form of green space
A decade later, attracted by Rhode Island’s Historic in the middle of the complex and a River Walk that
Preservation Tax Credit, Urban Smart Growth began offers public access to the Clear River.
rehabilitating the former Hope Webbing complex
for mixed use. The result is Hope Artiste Village, The Library and Stillwater Heights, which provides
which offers small scale artisan manufacturing 52 apartments for low and moderate income
space, a bakery and a coffee roaster, incubator office elderly, are already completed and the Clock Tower,
space, artistic and individualist retail space, live/ with 47 mixed income rental units and 2,500
work studios, bar/restaurants and music venues, square feet of commercial space, is due to open in
and a highly successful Farmers’ Market. When the January. The master plan also calls for 35,000 sq.
entire project is built out, it will include 146 housing ft. of rehabilitated space for commercial use, but
units. The local community has strongly supported that project will only be feasible if the Historic Tax
USG’s vision throughout the development process, Credit is re-instated. Stillwater Mill underscores the
and the project and its tenants’ entrepreneurial importance of municipal leadership and illustrates
spirit are contributing to Pawtucket’s arts-oriented how once-blighted properties can provide space for
revitalization initiative. economic and residential growth while helping to
revitalize an existing village center.
Stillwater Mill
Burrillville
Where Has All The Money Gone?, RI Policy Reporter, July Grow Smart RI Public Transportation Statement of Principles,
11, 2008 2008
Transportation Backgrounder, RI Coalition for
20 Visual Economics, How The Average U.S. Consumer Spends
Their Paycheck, U.S. Department of Labor, U.S. Bureau of Transportation Choices, 2010
Rhode Island’s Transportation Future, Governor’s Blue Robert Clifford, The Housing Bust and Housing Affordability Kids First website
Ribbon Panel on Transportation Funding, December 2008 in New England, New England Public Policy Center at the Rhode Island Center for Agricultural Promotion and
Transportation 2030: Rhode Island’s Long Range Federal Reserve Bank of Boston, Discussion Paper, June, Education website
Transportation Plan, State Guide Plan, RI Statewide 2010
RI Farm Bureau website
Planning Program, August, 2008 Rhode Island 5-Year State Strategic Housing Plan, 2006
RI Land Trust Council website
Rhode Island Transportation Improvement Program Corporation for Supportive Housing—Rhode Island
website The Nature Conservancy—Rhode Island Chapter website
Metropolitan Providence Transit Enhancement Study
Housing Network of Rhode Island website American Farmland Trust website
New England’s Global Warming Solutions: A study for World - Farmland Information Center
Wildlife Fund, Tellus Institute, August 2000 HousingWorks RI website - Rhode Island Fact Sheet
A Primer of Gasoline Prices, U.S. Department of Energy KeepSpace Program website
RI Intrastate Commuter Rail Feasibility Study, June 2009 Local Initiative Support Corporation (LISC Rhode Island) Reform Tax Structure
Pawtucket Commuter Rail Station Feasibility Analyses website For further information from Grow Smart, contact:
Rhode Island Coalition for the Homeless website Scott Wolf, Executive Director,
Peer Group Audit of RIPTA, Abrams-Cherwony & 273-5711, ext. 4, swolf@growsmartri.org
Associates, April, 2007 Rhode Island Housing website
How Rhode Island Compares: State and Local Expenditures,
RI Coalition for Transportation Choices website RI Housing Resources Commission website 2010 Edition, RI Public Expenditure Council
RI Department of Transportation website How Rhode Island Compares: State and Local Revenues, RI
RIDOT Intermodal Planning website Agriculture Public Expenditure Council, July, 2010
For further information from Grow Smart, contact:
RI Public Transit Authority website Sheila Brush, Director of Programs, Results: Education in Rhode Island 2010, RI Public
Transit 2020 Coalition website 273-5711, ext. 3, sbrush@growsmartri.org Expenditure Council, April 2010.
Rhode Island Safe Routes to School Program Grow Smart RI Agricultural Principles Towns and Taxes: A Growing Dilemma. New England
Futures, 2006
Transportation for America website Agricultural Conservation Approach
50-State Property Tax Study. RI Public Expenditure Council,
National Complete Streets Coalition website US Department of Agriculture, 2007 Census of Agriculture 2006
Conservation Development Manual, RIDEM An Analysis of RI Property Value Trends and Land Use
Increase Housing Options and Affordability RI Farm, Forest and Open Space Law Patterns. RI Public Expenditure Council, 2002
For further information from Grow Smart, contact:
Scott Wolf, Executive Director, Citizens Guide to Farm, Forest & Open Space Act, RIDEM, Property Tax Subcommittee Report. RI Governor’s Growth
273-5711, ext. 4, swolf@growsmartri.org 2003 Planning Council, 2001
HousingWorks RI, 2010 Fact Book. RI Right to Farm Law Education Finance in Rhode Island: Learning from History,
RI Public Expenditure Council, 1999
The Rhode Island Housing and Conservation Trust Fund: RI Agricultural Lands Preservation Commission
A Sound Investment for Rhode Island’s Future, Report of - Rules and Regulations
the Rhode Island Housing and Conservation Trust Study - Farmland Protected
Commission, 2006 RIDEM Division of Agriculture website
Out of Reach 2010: Renters in the Great Recession, the Crisis Rhode Island Agricultural Partnership website
Continues, National Low Income Housing Center
Farm Fresh RI website 21