Providence leaders warn state—s new fire-assessment, water-fee rules will increase local bills

Providence city leaders devoted a large portion of a council meeting to concerns about two state actions that will add fees to local property-tax and water bills, saying implementation and oversight questions remain unresolved.

The council heard staff and members describe House Bill 48 and a related water-fee rule administered through the state Division of Drinking Water. "House Bill 48 is the bill number and and also the division of drinking water," one council member said during the meeting. Mayor (unnamed) and other council members warned those state charges will appear on local property-tax statements and on customers— water bills even though the state, not the city, will set and spend the money.

Why it matters: Council members said the assessments could be large enough to materially affect household property-tax bills and that local governments will have limited control over how assessments are calculated or applied. Council discussion also focused on county-level implementation, whether mitigation efforts on individual properties will reduce charges, and a lack of public hearings tied to the state—s method of collecting the amounts.

During the meeting the mayor warned residents that the assessments could be substantial. "If you are close to the mountain, you will be assessed. It'll be up to $700 a year on your taxes," the mayor said. The mayor added later, "They'll call it a fee, but it's really a tax." He urged residents to review the legislation and contact legislators to seek clarification about implementation and impacts.

Council members said the state is also establishing a new water charge that will appear on utility bills. "This is the first time the state has had a direct connection to our water bills," the mayor said, adding that the new water fee is small per thousand gallons now but the novelty lies in the state's direct billing link and in implementation rules that will require the city to change meter-reading practices. City staff estimated the city would pass about $50,000 in new charges to customers under current usage estimates.

Council members referenced their area—s legislative delegation during the discussion. The meeting record identifies Representative Casey Snyder as the sponsor of related bills; council members said Snyder and other legislators had not yet provided full implementation details. The mayor said he had asked Snyder whether the new charges were intended to be a first step and quoted Snyder as acknowledging the legislation could open the door to further assessments: "he admitted that it is the camel's nose in fact in the tent and that there's more to come." (Council members attributed that admission to Representative Snyder during the meeting.)

Several councilors raised other questions: where the money collected by the state will be spent, whether counties will have staff to enforce or inspect mitigation work, and how mitigation done by homeowners would affect an assessment. "If you have done some mitigating around your property and can show that you've mitigated the fire danger for your home, that certainly might help cut down your fee, but it won't take it away," the mayor said.

The council did not take a formal vote on the state actions. Instead, members urged staff to track implementation, to notify residents, and to engage the city—s legislators and the county for more information. City staff and the mayor discussed sending information in the city newsletter and keeping the public informed as the county develops maps and procedures for assessments.

Ending: Council members advised residents to review House Bill 48 and related rules and to monitor county notices once implementation begins. "So you can go look at that and see what it what it says and how it's going to be applied," the mayor said. The council planned follow-up with local legislators and county officials on implementation details.