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H 8168Funding & Budget

Libraries - State Aid to Libraries

This bill increases state funding limits for public library construction and renovation projects to account for rising construction costs.

Held for study
Population
Affected
35
Email Legislator
Introduced Feb 27, 2026Committee House Finance

Plain-English Summary

This legislation updates the state funding program for public library construction and renovation projects to account for inflation. It establishes higher reimbursement limits (caps) for eligible construction costs, setting specific maximum dollar amounts per square foot for new buildings and renovations. The bill also increases the maximum total state reimbursement allowed for a single project. These new financial guidelines apply to costs incurred between July 1, 2025, and June 30, 2031. Additionally, the bill includes an automatic 3% annual increase to these funding caps starting in 2027 to help costs keep pace with future inflation.

For younger readers

This bill helps public libraries fix their buildings or build new ones. Because building things has become much more expensive lately, the old rules for how much money the state could give libraries weren't enough. This new law raises the limit on the money the state can provide to help pay for construction. It also says that starting in the year 2027, the amount of money allowed will automatically go up a little bit every year. This ensures libraries can afford to stay safe, modern, and open for everyone to use.

Who & Where It Applies

Impacted groups
Public library patronsMunicipal governmentsConstruction companiesLibrary staffTaxpayers
Impacted communities
All

Constitutional & Fiscal Check

None Likely

Estimated cost
Amount unknown
Estimated revenue
None

Bill Analysis

Both viewpoints
For Progressives
  • Strengthens essential community infrastructure by increasing funding for public libraries, which serve as vital hubs for equitable access to information, technology, and social services for all residents.
  • Encourages environmental sustainability by explicitly including expenses related to high-performance green building standards, such as LEED certification, as allowable costs for reimbursement.
  • Stimulates local economic development and creates construction jobs through increased investment in public works, potentially benefiting local workforces and small businesses.
  • Relies on a reimbursement model requiring municipalities to provide matching funds, which may disadvantage lower-income communities that lack the initial capital to approve projects in the first place.
  • Focuses exclusively on capital improvements and construction rather than operational funding, failing to address the need for better wages for library staff or expanded hours of operation.
  • Allocates significant state resources to physical infrastructure without mandated requirements for social equity programs or specific outreach to marginalized communities within the funded facilities.
For Conservatives
  • Maintains the requirement for local matching funds, ensuring that municipalities have a financial stake in the projects and do not rely entirely on state taxpayers.
  • Supports the private sector by facilitating construction contracts and capital projects, which benefits local businesses and the building trades.
  • Focuses on the maintenance and renovation of existing assets, ensuring that previous public investments are preserved rather than allowing infrastructure to crumble.
  • Increases government spending by raising reimbursement caps, potentially leading to higher tax burdens on state residents to fund local amenities.
  • Implements an automatic three percent annual increase in spending caps starting in 2027, removing legislative oversight and control over future budget expansions.
  • Encourages the use of expensive "green" building standards like LEED, which may unnecessarily inflate construction costs at the expense of the taxpayer.

Votes

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Full Bill Text

Changes to existing Rhode Island law · 42 additions

SECTION 1. Findings and purpose. The general assembly hereby finds and declares that:

(1) The State of Rhode Island recognizes that public libraries are essential civic institutions that provide free and equitable access to information, literacy resources, educational opportunities, technology, and cultural enrichment for residents of all ages;

(2) Rhode Island’s public libraries play a critical role in supporting early childhood literacy, K–12 student achievement, higher education, and lifelong learning, thereby advancing the educational and economic well-being of the state;

(3) Many public library buildings and facilities within the state are aging, undersized, or otherwise inadequate to meet current and emerging community needs, including the demand for digital access, collaborative learning spaces, quiet study areas, and flexible community programming;

(4) Numerous library facilities require construction, renovation, or modernization in order to comply with current health, safety, and accessibility standards, including requirements under the Americans with Disabilities Act (the “ADA”), and to ensure that all residents of the state, including individuals with disabilities and older adults, can safely and fully utilize library services;

(5) Investment in the construction, renovation, and modernization of public library facilities promotes local economic development, supports small businesses and workforce development programs, creates construction and related jobs, and enhances the quality of life in communities throughout the state;

(6) Energy efficient, resilient, and technologically up-to-+date library buildings reduce operating costs for municipalities, advance the state’s environmental and resilience goals, and ensure continuity of essential community services during emergencies;

(7) Modern, well equipped public libraries serve as vital community hubs that support civic engagement, public meetings, community partnerships, access to government information, and emergency response and recovery efforts;

(8) Rhode Island state Regulations for Library Construction Reimbursement were promulgated in 2018 (the “2018 regulations”) and refiled without change on January 4, 2022;

(9) The 2018 regulations provide for fifty percent (50%) reimbursement of expenditures for eligible projects subject to reimbursement caps that were established in 2018;

(10) Publicly available data reflect that, between 2019 and 2025 the Boston Consumer Price Index (a commonly used measure of inflation for the region) has increased between 1.1% and 7.1% annually, resulting in a total cumulative inflationary increase of 23.4% over that period;

(11) Due to this sustained inflation, library projects can no longer be feasibly undertaken within the reimbursement caps set forth in the 2018 regulations; and

(12) The general assembly finds that it is in the public interest to increase, by statute, the reimbursement caps established in the 2018 regulations on an interim basis, pending promulgation of amended regulations.

SECTION 2. Section 29-6-6 of the General Laws in Chapter 29-6 entitled "State Aid to Libraries" is hereby amended to read as follows: 29-6-6. Construction and capital improvements. The office of library and information services may cause to be paid to a city or town treasurer, or to any free public library in the state, a grant-in-aid for the construction and capital improvement of any free public library as the chief of library services may determine is necessary and desirable to provide better free library services to the public, which shall be paid in accordance with the following provisions:

(1) No grant-in-aid shall be made unless the city or town receiving the grant-in-aid shall cause to be appropriated for the same purpose an amount from its own funds and not from any federal grant or other federal financial assistance equal to, or more than, the state grant-in-aid, or unless funds from private sources are dedicated for the same purpose in an amount equal to, or more than, the state grant-in-aid, or unless the total of the city or town appropriation and the funds from private sources for the same purpose is equal to, or more than, the state grant-in-aid.

(2) The state grant-in-aid may be paid in installments over a period of years up to a maximum of twenty (20) years, beginning in the fiscal year during which the project is accepted by the office of library and information services. Whenever a grant-in-aid is paid on the installment basis permitted herein, there shall be included in the state grant-in-aid the interest cost actually incurred by the city or town, or any free public library, as a result of its having to borrow the state’s portion of the total cost of the library project. The amount of this interest cost shall be computed on the actual interest cost paid by the city or town, or free public library, less any applicable accrued interest, premiums, which are not applied to project costs, and profits from investments, over the period of time elapsing between the date borrowed funds are made available and the date of the last installment payment of the state grant-in-aid. Interest cost incurred by the city or town, or any free public library, as a result of having to borrow its portion of the total cost of the library project shall not be considered a part of the total cost of the project for the purposes of matching provided for in subdivision (1) of this section. Nothing contained herein shall prohibit the office of library and information services from accelerating the schedule of annual installments, or from paying the balance due of the state’s grant-in-aid in a lump sum; provided, however, that the state grant-in-aid in any fiscal year shall include no less than one-twentieth (⅟₂₀) of the state’s total reimbursable principal obligations.

(3) Notwithstanding the provisions of the state regulations for library construction reimbursement promulgated in 2018 (the “2018 regulations”), which regulations were filed without change on January 4, 2022, the reimbursement caps for eligible project costs incurred during the period commencing June 30, 2025 and ending on June 30, 2031, or ending on such earlier date as the office of library information services promulgates amendments to the 2018 regulations which increase reimbursement caps to amounts above those amounts set forth in this subsection for the effective period shall be as follows:

(i) Construction costs are eligible for fifty percent (50%) reimbursement of expenditures up to the amount of three hundred seventy dollars and twenty cents ($370.20) per square foot for new construction or three hundred and eight dollars and fifty cents ($308.50) per square foot for renovation and remodeling. If the actual construction costs exceed one or both of these amounts per square foot, the state share shall be based on the not-to-exceeded amounts. Cost per square foot shall be determined by the cost of contracts for new construction and/or contracts for expansion, remodeling and alteration of existing buildings.

(ii) Site costs, including demolition, sitework, the acquisition of a site or building, site improvement and parking lots, are reimbursable up to the lesser amount of one million two hundred thirty-four thousand dollars ($1,234,000) or ten percent (10%) of the total project cost less the site costs.

(iii) The total amount of reimbursement for any project shall not exceed twelve million three hundred forty thousand dollars ($12,340,000).

(iv) Allowable costs include financing leases, but not operating leases, of library facilities, including land acquisition, construction, renovation, expansion, landscaping, parking facilities, fixtures, furnishings and equipment, fire suppression systems, and expenses related to meeting a high performance green building standard such as, but not limited to, the Leadership in Energy and Environmental Design (“LEED”) standard. Any library or municipality that finances or refinances a project with bonds, notes, financing leases, or other evidences of indebtedness shall not require pre-approval from the office of library services, but shall file the financing or refinancing documents with the office of library services after the financing transaction is complete.

(4) Notwithstanding any provision of law or agreement to the contrary, the increases in the caps on state grant-in-aid reimbursement for construction or capital improvement projects pursuant to the provisions of this subsection shall apply retroactively to all eligible project costs incurred on or after July 1, 2025, whether the costs are subject to reimbursement under agreements executed before, on, or after June 1, 2025. All reimbursement agreements for construction or capital improvement projects executed by the office of library and information services shall be deemed amended by operation of law to incorporate the increased caps with respect to eligible project costs incurred during the effective period, and the office of library and information services is authorized and directed to adjust reimbursement payments accordingly, subject to the availability of appropriated funds. Any maximum dollar amount, percentage, or other cap on state grant-in-aid reimbursement for construction or capital improvement projects established under, this subsection shall automatically increase by three percent (3%) on July 1 of each year, beginning July 1, 2027.

SECTION 3. This act shall take effect upon passage.