Tag Archives for H. 7062

AARP Rhode Island pushes its 2024 legislative agenda

Published in RINewsToday on February 12, 2024

Standing in front of an AARP backdrop in the Rhode Island State Room at the State House, last week AARP Rhode Island hosted a 34 plus minute press conference plugging the “aging” group’s 2024 legislative agenda. The nonprofit organization, representing 125,000 members, unveiled its four priority issues: to increase temporary care giver insurance to caregivers, to boost the availability of Accessory Dwelling Units (ADUs); to create a program to allow employees to save for retirement; and to eliminate the state’s income tax on Social Security. 

Gov. Dan McKee, House Speaker K. Joseph Shekarchi (D-Dist. 13, Warwick), Senate Majority Leader Ryan W. Pearson (D-Dist. 19, Cumberland, Lincoln), State Treasurer James Diossa, came to support AARPs efforts advocacy efforts, backing its four priority legislative issues. 

“AARP’s mission is to empower people to choose how they live as they age,” said State Director Catherine Taylor, in her opening remarks.  At the event, she called on lawmakers to pass AARP Rhode Island’s legislative agenda. 

Taylor took this opportunity to share the results of the 2023 AARP Rhode Island Vital Voices survey that reveals that Rhode Island residents age 45+ overwhelmingly would choose to remain in their own communities and own homes as they grow older. “In order for this to be a reality, Rhode Islanders must have financial security in retirement, affordable and accessible housing options, and access to resources that enable them to take care of those they love,” she said. 

Let us take a look at AARP Rhode Island’s legislative priorities for this year.

Boosting the State’s Housing Production 

With the strong support of House Speaker K. Joseph Shekarchi (D-Dist. 13, Warwick), one of nine Democratic cosponsors of H. 7062, it is expected that House leadership will send the approved committee bill to the floor this week for a vote. The legislative proposal would boost the state’s housing production by allowing a homeowner to develop Accessory Dwelling Units (ADUs) on their property.

ADUs, sometimes referred to as in-law apartments or granny flats, backyard cottages, or secondary units, allow seniors to downsize enabling them to live independently and age in place in their communities. The bill was written in collaboration with AARP Rhode Island, and is one of the aging group’s primary legislative policy goals. 

H. 7062, introduced by Rep. June S. Speakman (D -Dist. 68, Bristol/Warren), chairwoman of the House Commission on Housing Affordability, would boost the state’s housing production by making it easier for homeowners to develop ADUs on their property. It would give the property owner the right to develop an ADU within the existing footprint of their structures or on any lot larger than 20,000 square feet, provided that the design complies with local building code, size limits and infrastructure requirements. 

Sen. Victoria Gu (D-District 38, Westerly, Charlestown, South Kingstown) will shortly submit a Senate ADU companion proposal but has yet to drop it into the legislative hopper. One Senator noted that there will be technical differences between the House and Senate ADU proposals which will have to be ironed out. 

Assisting employees to save for retirement – Secure Choice

Rep. Evan P. Shanley (D-Dist. 24, Warwick, East Greenwich), throws H 7121, The Rhode Island Secure Choice Retirement Savings Program, into the legislative hopper. The bill would establish a convenient, low-cost voluntary retirement savings plan for working Rhode Islanders.

According to AARP Rhode Island, about 40 percent of Rhode Island private sector workers, about 172,000, ages 18 to 64 in 2020 were employed by businesses that do not offer any type of retirement plan.

The retirement savings program, administered by the office of the General Treasurer, would see retirement savings accumulated in individual accounts for the exclusive benefit of the participants or their beneficiaries. The bill would see no fiscal impact on the state’s budget.

H 7121 has been referred to the House Finance Committee for consideration. A companion measure (S 2045) has been introduced in the Senate by Sen. Meghan E. Kallman (D-Dist. 15, Pawtucket, Providence).

Under Shanley’s legislative proposal, the General Treasurer, who serves as the custodian of state funds for the Rhode Island government, would be charged with collecting contributions through payroll deductions and investing these funds in accordance with accounting best practices for retirement saving vehicles. The elected official would also be responsible for setting minimum and maximum contribution levels in accordance with contribution limits set for IRAs by the Internal Revenue Code. The law would become effective for ALL eligible employers within 3 months of the opening of the program enrollment following a phased implementation period. 

Caring for Caregivers

Senate Majority Whip Valarie Lawson (D-Dist. 14, East Providence) and Rep. Joshua J. Giraldo (D-Dist. 56, Central Falls) have introduced identical bills in their chambers that would expand Rhode Island’s Temporary Caregiver Insurance (TCI) program from six weeks to 12. It also increases weekly dependent’s allowances from $10 to $ 20 or 7% increase of benefit rate whichever is greater. That would bring the Ocean State in line with other states and allow new parents more time for parental leave and caregivers more time to care for a critically ill family member.

S 2121 and its House companion measure, H 7171, would also expand the definition of critically ill family to include grandchildren, siblings and “care  recipients,” defined as individuals for whom the employee is a primary caregiver.

According to AARP Rhode Island, the state’s unpaid family caregiver labor force totals 121,000, providing 113 million care hours per year.

The United States is one of only six countries in the world, and the only wealthy country, without guaranteed parental leave, according to the Bipartisan Policy Center. In recent years some states, like Rhode Island, have stepped up to offer their own programs.

According to a statement released announcing the introduction of S 2121, Rhode Island became the third state in the nation to offer paid parental leave in 2013 when legislators created the TCI program. TCI, which is paid for through payroll deductions, allows new parents to take six weeks of paid leave to bond with and care for their child. It also allows individuals to take this time to care for a seriously family member. That can prove vital for a working adult who needs to care for their spouse after a surgery or a terminally ill parent.

Since 2013, however, many other states have surpassed Rhode Island’s leave offerings. Currently, 11 states and the District of Columbia offer paid parental leave, with two additional states set to offer it beginning in 2026. Most offer 12 weeks, while Rhode Island offers the least amount of time at just six weeks, says the statement.

Finally, it was noted that individuals on TCI in Rhode Island receive 60% of their normal salary. Of the ten states that offer similar programs, most workers receive at least 80%. In Massachusetts, workers receive 80% of their salary for 12 weeks. Workers in nearby Connecticut receive 95% of their salary for 12 weeks.

Cutting Taxes 

According to AARP Rhode Island, more than one in five Rhode Island residents, that’s 230,018, receive Social Security benefits.  These payments inject more than $ 4 billion into the state’s economy every year.

But Rhode Island is one of 9 states that tax Social Security beneficiaries, says AARP Rhode Island. The state tax on Social Security undermines the purpose of the retirement program, charges the state’s largest aging group, estimating that this program has lifted 50,000 Rhode Islanders 65 or older out of poverty from 2018 through 2020.

Three Senate bills and one House bill have been introduced so far.   

S 2061, introduced by Deputy Minority Whip Sen. Elaine J. Morgan (R-Dist. 34, Charlestown, Exeter, Hopkinton, Richmond, West Greenwich), identical to a bill introduced last year, aside from the effective date would allow a modification to federal adjusted gross income for all Social Security income for tax years beginning on or after January 1, 2025.

Sen. Mark P. McKenney (D-Dist. 30, Warwick) has introduced S 2158 and House Deputy Majority Whip Mia A. Ackerman (D-Dist. 45, Cumberland, Lincoln) just submitted H 7588. These identical bills would gradually phase in modifications to the federal adjusted gross income over a four-year period for Social Security income, from 25% up to 100%, beginning on or after January 1, 2025.

And, Sen. Walter S. Felag, Jr. (D-Dist. 30, Bristol Tiverton Warren) legislation, S 2058, would increase the federal adjusted gross income threshold for modification for taxable social security income. This act would also amend references to the federal adjusted gross income as it pertains to modification of taxable retirement income from certain pension plans or annuities.

To watch AARP RI’s legislation reception, held Feb. 8, 2024l, go to https://capitoltvri.cablecast.tv/show/214?site=1.

For obtain the results of the 2023 AARP Rhode Island Vital Voices survey, go to:

https://www.aarp.org/research/topics/life/info-2022/aarp-vital-voices-surveys-older-adults-2022-2024.html – and scroll down to “Rhode Island”

ADU legislation sailing through lower chamber

Published in RINewstoday on February 5, 2024

With the strong support of House Speaker K. Joseph Shekarchi, one of nine cosponsors of H. 7062,  last week the House Committee on Municipal Government and Housing approved a legislative proposal that would be a boost to housing production by helping Rhode Islanders to develop accessory dwelling units (ADUs) on their property. The legislative proposal was approved on a partisan vote of 10-2 with Rep. Brian Newberry (R-Dist. 48, North Smithfield, Burrillville) and Rep. Patricia Morgan (R-Dist. 26, West Warwick, Coventry, Warwick) voting nay. The legislative proposal is expected to be considered by the full House of Representatives the week of February 12.

ADUs (Accessory Dwelling Units), sometimes referred to as in-law apartments or granny flats (not a term we like), backyard cottages, or secondary units, are accessories to existing housing, created as a conversion of part of a house (such as from a walkout basement or garage), an attachment to a house, or a smaller, detached dwelling. They have become increasingly popular around the country in recent years as states and municipalities balance the need to create more housing while preserving the character of residential neighborhoods. 

Seniors, especially, have taken to ADUs as a way to downsize while continuing to live independently in their community. The bill was written in collaboration with AARP Rhode Island, for whom increasing production of ADUs has been their primary policy goal for several years.

While being a relative is the most common relationship, it should not be a necessary one, with short term rentals are not allowed so ADUs do not function as BNBs. Also, while most commonly intended for seniors facing limited incomes and downsizing needs, ADUs are also popular with professionals or adult children.

Encouraging the development of Affordable Housing

H. 7062, introduced by Rep. June S. Speakman (District 68, Bristol/Warren), chairwoman of the House Commission on Housing Affordability, would boost the state’s housing production by making it easier for homeowners to develop ADUs on their property.  It would give the property owner the right to develop an ADU within the existing footprint of their structures or on any lot larger than 20,000 square feet, provided that the design complies with local building code, size limits and infrastructure requirements.

The purpose of Speakman’s legislation proposal is to encourage the development of rental units that are likely to be more affordable than many other apartments, and also to provide opportunities for homeowners with extra space to generate income that helps them maintain ownership of that property.

Speakman said the legislation is a small but important part of the much broader effort that the Ocean State must adopt to encourage the development of affordable housing. Since its inception in 2021, she has chaired the Affordable Housing Commission, helping to achieve the passage of 17 bills to help address elements of the housing crisis over the previous two legislative sessions.

To ensure that this legislation achieves its goal of housing Rhode Islanders, it prohibits ADUs constructed under this provision from being used as short-term rentals, and streamlines the permitting process.

“We are experiencing an ‘age wave’ in Rhode Island: one in four people in our state will be age 65 or older within the next several years,” said Shekarchi, the bill’s top co-sponsor in a statement announcing committee passage of H 7062. “ADUs are a great way to give seniors more options so they can age in place. They empower seniors to remain in their own homes, maintaining their independence and privacy, with family members or others in close proximity for additional support if needed. And, with Rhode Island facing a severe housing shortage, ADUs are a great way to add more housing units to our supply without changing the character of a neighborhood. ADUs are a win all around,” he says.

“One of the drivers of our housing crisis is the low construction rate in Rhode Island. Our state has the lowest per-capita construction rate in the whole country,” charges Speakman, the primary sponsor of H 7062, who calls on local and state officials to be creative and be willing to allow construction of housing, particularly affordable, moderate, and small units like ADUs.

Increasing Housing Options in the Ocean State

“ADUs are an excellent option because they are generally affordable to build and to rent. Because they are small and often can be created without even altering the footprint of the existing building, they don’t change the character of their neighborhood. They are mutually beneficial to the renter and the homeowner, who can use the rental income to make their own homeownership more affordable, says Speakman,” stressing that ADUs can allow seniors to age in place, close to their families.

“We should be encouraging development of ADUs, because they offer another housing option for Rhode Islanders and a relatively simple way to make more units available in the near term and help ease the housing crunch in Rhode Island,” observes Speakman.

“Every Rhode Islander needs a safe home that they can afford, and the only way we are going to make that happen is to build more homes,”  adds Speakman, noting that the legislative proposal removes some of the obstacles to building ADUs while respecting municipal land use policies. “Our commission learned that there are many people in Rhode Island who already have space that they’d like to use in this way, but our laws make it complicated. We desperately need housing, so it’s in the public’s interest to make it easier,” she says.

Along with AARP Rhode Island, H.7062 has the support of numerous organizations and agencies, including the Rhode Island League of Cities and Towns, Rhode Island Housing, the American Planning Association Rhode Island Division, Grow Smart RI and Housing Network RI.

In the Upper Chamber

“I am happy to see my colleagues in the House again moving forward to allow more homeowners to utilize accessory dwelling units. ADUs offer the ‘missing middle’ – housing that is smaller, more affordable and smartly repurposes our existing buildings and garages,” says Sen. Victoria Gu (D-Dist. 38, Westerly, Charlestown, South Kingstown).  The Senator is poised to submit a Senate ADU legislative proposal for drafting this week

“Homeowners can be a part of the solution to the housing crisis by creating or converting a garage, basement or shed into an ADU and offering it as a long-term rental. Then they have the benefit of receiving some additional income or housing a loved one. It’s a win-win,” adds Gu.

Sen. Meghan E. Kallman (D-Dist. 15, Pawtucket, Providence), who championed ADU legislation in the Senate last year, is strongly committed to working with Gu, to see an enacted ADU law this session. “In a time of extraordinary housing shortage, we need to be creative. ADUs are excellent choices for seniors or young adults, and offer affordable options for people at different phases of their lives. As we saw in the RISD ADU design competition in January, such buildings can also be very beautiful. I’m looking forward to working with my colleagues in committee and in the chamber overall to get this bill across the finish line,” she says.

Ever since June 2023, a coalition of stakeholders, including housing advocates and the AARP, have met with Senators, including both Gu and Kallman, once a month to strengthen and clarify the ADU bill that the House passed last year. Most of the Senate revisions are technical, but there will be three key differences between the House version and the current Senate draft that must be ironed out. They are:  

•             Allowing municipalities to regulate owner occupancy for ADUs. For example, requiring the owner to occupy either the main house or the ADU.

•             Allowing municipalities to set minimum rental periods for ADUs that are longer than 30 days but not more than one year.

•             Prohibiting the sale of an ADU separately, in terms of ownership, from the main house.

A Final Note…

With enactment of ADU legislation to allow Rhode Islanders do develop this housing option on their property, lawmakers might consider taking a look as to how other states are providing grants to boost its production.  

According to the California Housing Finance Agency, new funding laws incentivize and promote the creation of ADUs by providing grants up to $40,000 to reimburse pre-development and non-recurring closing costs with the construction of an ADU. Pre-development costs include site prep, architectural designs, permits and soil tests, impact fees, property surveys, and energy reports. 

The House and Senate must work out their differences to pass ADU legislation this legislative session, sending legislation to send to Gov. Dan McKee to sign into law.  Lawmakers might consider investigating best practices in other states, like California’s grant program, to make it easier to add much needed housing in Rhode Island. 

Editor’s Note: Reached late Sunday for comment on why she does not support this ADU bill, Rep. Patricia Morgan, wrote, “I believe that each municipality’s planning and zoning boards should have control over land use in their community. This legislation is taking away local control.”

To see testimony presented on Jan. 25, 2024, before the House Committee on Municipal Government Hearing on H. 7062, go to https://capitoltvri.cablecast.tv/show/167?site=1,

To watch the House Committee on Municipal Government and Housing’s vote and passage of H. 7062, held on Feb. 1, 2024, go to https://capitoltvri.cablecast.tv/show/196?site=1or.