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SB 3323

AN ACT AUTHORIZING THE CITY OF PAWTUCKET TO PROVIDE FOR THE CONSTRUCTION, RECONSTRUCTION, REPAIR AND EQUIPPING OF BRIDGES AND ALL COSTS INCIDENTAL OR RELATED THERETO AND AUTHORIZING THE FINANCING THEREOF, INCLUDING THE ISSUE OF NOT MORE THAN $2,000,000 BONDS AND NOTES THEREFOR, TO FUND THE CAPITAL IMPROVEMENT PROGRAM FOR THE TWO FISCAL YEARS 2028 AND 2029

2026 Regular Session Introduced by Meghan Kallman

Pawtucket can issue up to $2 million of bonds to finance bridge construction, repairs, and related costs for 2028–2029, subject to a citywide voter approval.

06/23/2026 Signed by Governor
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WeVote Research Nonpartisan
Bill Summary · SB 3323

Summary of SB 3323 (Rhode Island, 2026) – Pawtucket Bridges Financing

Purpose and intent

  • Authorizes the City of Pawtucket to finance the construction, reconstruction, repair, and equipping of bridges, along with all related costs, through the issuance of bonds and notes.
  • Specifically allows up to $2,000,000 in bonds and notes to fund the city’s Capital Improvement Program for fiscal years 2028 and 2029.
  • Provides a framework for issuing, securing, and repaying debt, including related financing mechanics and potential use of federal/state aid.

Key provisions and changes

  • Section 1: Authority to issue up to $2,000,000 in general obligation bonds or notes, in serial, term, or combination forms. Principal repayment term ranges from up to 30 years, with the first payment due within 3 years.
  • Section 2: Details on bond form, signatures (city treasurer and mayor), sale parameters, and permitted uses of bond proceeds:
    • Construction, reconstruction, repair, and equipping of bridges and related costs.
    • Payment of principal/interest on temporary notes, repayment of advances, issuance costs, and/or funding interest costs during construction.
    • Proceeds and any applicable federal/state assistance are deemed appropriated for these purposes.
  • Section 3: Authority to issue anticipatory notes (both for bonds and for anticipated federal/state aid). Rules govern timing, duration (not exceeding five years for maturities), and refunding constraints. Limits on outstanding refunding notes relative to authorized bond amount.
  • Section 4: City treasurer may advance general treasury funds to finance the project, with repayment from future bond proceeds or eligible aid.
  • Section 5: Investment and deposit rules for bond proceeds and related funds (FDIC-insured banks, U.S. government obligations, and other allowed investments).
  • Section 6: Application of accrued interest, premiums, and investment earnings. Surplus proceeds may be used for project costs, debt service, or city revenues, per city treasurer’s discretion.
  • Section 7: Debt obligations are binding on the city; annual appropriation of sufficent funds for annual debt service is required. If not specifically appropriated, the amount can be added to the annual property tax levy. Property tax flexibility: all taxable property in the city is subject to ad valorem taxation without rate/amount limitation to cover debt service.
  • Section 8: Bonds/notes remain valid even if certain city officials leave office before delivery/payment.
  • Section 9: Authorization to apply for/ expend federal or state advances or grants for the purposes of the act; federal law prevails in any conflict.
  • Section 10: Bonds/notes may be issued without awaiting unrelated governmental approvals; project actions will meet constitutional requirements as needed, with the act treated as a single project under Pawtucket’s charter.
  • Section 11: City officials may execute instruments and continuing disclosure agreements to comply with SEC Rule 15c2-12 and related tax/securities requirements.
  • Section 12: Unissued debt authority may be extinguished by city council resolution seven years after the act’s effective date.
  • Section 13: Electoral approval required. The proposal must be submitted to Pawtucket electors at the next general election (or a designated special election) with a specific form question about approving the act. The act emphasizes precedence over conflicting city charter provisions and state law if needed.
  • Section 14: Effective dates:
    • Sections 13 and 14 take effect upon passage.
    • The remainder becomes effective upon voter approval at the election described in Section 13.

Who would be affected

  • The City of Pawtucket would gain authority to issue up to $2 million in debt for bridge-related capital improvements for 2028–2029.
  • Property taxpayers within Pawtucket would bear debt service costs if annual appropriations are not made or if a tax levy is used to fund debt service, as permitted by law.
  • City officials (mayor, city treasurer, and council) would implement financing, manage proceeds, and ensure compliance with securities laws and disclosure requirements.

Procedural and timeline aspects

  • The bill requires a citywide vote for approval (Section 13) at the next general election or a specified special election.
  • If approved, Sections 1–12 take effect upon approval; Section 13–14 become effective only after voter approval.
  • Debt authority would be available for two fiscal years (2028 and 2029) per the act’s stated purpose, subject to ongoing budgeting and annual debt service obligations.

Notable details

  • Maximum debt authorization: $2,000,000.
  • Debt terms: serial, term, or mix; first principal payment within 3 years; final maturity not more than 30 years.
  • Provisions align with standard municipal bonding practices, including use of temporary notes, refunding considerations, investment of proceeds, and compliance with federal securities laws.

This summary highlights the bill’s core objective: enabling Pawtucket to finance bridge-related capital projects through a limited debt issuance, contingent on voter approval, with structured provisions for issuance, repayment, and governance.

Compiled from official sources — confirm details with the bill’s official record.

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