Below is a summary of the items in the $9.96 billion FY 2020 Budget, as passed by the House Finance Committee. Under the rules, the House of Representatives must wait seven days before they can hold a floor vote on the FY 2020 Budget.

Article 2  State Funds

  • 911 fees will now be placed in a restricted receipt account to bring RI into Federal compliance.
  • Attorney General multistate lawsuit revenue fees will now pass to the General Fund and not appropriated via grant making.

Article 5 Taxes and Revenues

  • Includes proposal to freeze beach fees for 3 years.
  • Includes sales tax expansion to digital downloads.
  • Includes tax relief for pass through entities by allowing a pass-through entity to pay the state income tax at the entity level the same as a C-Corporation and deduct it from the federal income tax passed through to the owners.
  • Continues car tax phase out as planned.

Article 9 Education

  • Removes the University of Rhode Island from the Council of Postsecondary Education and creates a separate Board of Trustees for URI.

Article 12 Economic Development

  • Increases funding to Rebuild RI program cap to $200 million from $150 million.
  • Extends sunset for all Commerce incentives by 6 months to December 31, 2020.
  • Includes General Assembly authority over zones such as I-195 land for zoning and development.

Article 13 Human Services

  • Increases fees paid to long term care facilities by 1%
  • Creates an “Opioid Stewardship Act” which allows for a tax on manufacturers of opioids in the total amount of $5 million.

Article 15 Medical Marijuana

  • Increases the number of compassion centers in RI from 3 to 9.
  • Application licensing fees raised to $500,000.
  • Compassion centers can be “full service” meaning they can grow as well as sell medical marijuana.
  • Creates licensing structure for sale of CBD products.

Notable Omissions/Additions:

  • No Medicaid assessment for large employers.
  • No business services taxes.
  • No minimum wage increase.
  • No adult recreational marijuana.
  • No expansion of RI Promise to Rhode Island College or adult learners at CCRI.
  • $7.85 Million to replace lost Federal funds and create 280 new high quality pre-k seats.