Senate committee reviews land bank bill to speed redevelopment, holds measure for further study

Senator Coleman presented legislation to create a land bank within the Rhode Island Department of Housing, saying the measure would streamline how state and municipal entities identify and transfer vacant and unused property to support housing development. "This is a land bank bill," the sponsor said, describing it as a tool to help the state's affordable housing shortage by "streamlining some of our processes."

The bill would require state and municipal entities to provide the Department of Housing an annual list of vacant and unused properties and to share plans for developing those properties. The Department would have authority to acquire properties "by gift or purchase or foreclosure or ... sale or exchange or transfer," the sponsor said, and could in turn sell or redevelop sites for nonprofit or public housing.

Committee members pressed the sponsor on funding. Senator Rogers asked whether "seed funding" would come through housing bond funds. Senator Coleman replied, "there's actually no money to this right now. It sets up the legal mechanism for the program." He added that the department has its own budget and, in an ideal scenario, acquisitions could operate like a revolving fund because properties could be resold or redeveloped.

Witnesses and written submissions filed in support emphasized the potential value of land acquisition to reduce development costs. Bridal Hammond filed written-only testimony on behalf of the Rhode Island AFL-CIO; Phil West Jr. submitted support on behalf of Village Common of Rhode Island; Justin Kelly submitted written testimony; and a Westerly resident identified in the record as Lehi testified in favor, noting local housing needs. A witness who identified himself as Mr. Denver argued that land is "one of the most expensive factors in building new housing" and said the land bank could help leverage an existing $10,000,000 appropriation for a public housing developer that was included in last November's housing bond.

Supporters told the committee the measure enjoys broad backing from housing advocates, community development corporations and labor groups and faces little organized opposition to date. Committee discussion focused on program mechanics, source(s) of any future acquisition funding, and how the department would coordinate lists of properties with municipalities and other state agencies.

After testimony and questions, Senator DeMario moved that the committee hold Senate Bill 122 for further study; Senator Rogers seconded. The motion carried on unanimous voice vote. The committee did not enact funding or adopt final rule language during the hearing; the bill remains under study.