Rhode Island Code of Regulations › Title 870 - Rhode Island Commerce Corporation › Chapter 30 - Tax Credits and Exemptions › Subchapter 00 - N/A › Part 5 - Rules and Regulations for the Anchor Institution Tax Credit › Rule 13 - Incentive Agreement

Current through June 14, 2024
Upon approval of a Tax Credit for an Applicant by the
								Board, the Corporation and the Applicant will enter into an Incentive Agreement
								prior to the issuance of any Tax Credit to the Applicant. In order to safeguard
								the expenditure of public funds and ensure that the disbursement of funds
								further the objectives of the Act, the Incentive Agreement shall include, among
								others, the following terms:
(a) the
							maximum amount of Tax Credits awarded and a schedule on which the Tax Credits
							may be awarded;
(b) a provision
							that the Tax Credits shall not be issued prior to both (1) the issuance of a
							certificate of occupancy for the project or as of a lease commencement date or
							other such related commitment; and (2) validation by the Corporation that the
							Qualified Business has created the number of New Full-Time Jobs required by
							Section
							42-64.30-5(a)(1) and
							(2) of the General Laws;
(c) a provision detailing the minimum number
							of New Full-Time Jobs to be created and such additional qualifying criteria
							that formed the basis for the approval of Tax Credits for the
							Applicant;
(d) a provision
							specifying for the withholding of any portion of a Tax Credit or requiring
							repayment of a Tax Credit if the Qualified Business leaves the State within a
							period of time set forth in the Incentive Agreement;
(e) evidence that the Applicant is in good
							standing with the Secretary of State and Division of Taxation at the time of
							execution of the Incentive Agreement; a Letter of Good Standing from the
							Division of Taxation shall be evidence of good standing;
(f) at the Corporation's discretion, a
							provision requiring the Applicant to pay the Corporation's reasonable
							attorneys' fees incurred in connection with the negotiation, execution and
							enforcement of the Incentive Agreement;
(g) indemnification and insurance
							requirements;
(h) default and
							remedies including events that would trigger forfeiture or revocation of the
							awarded Tax Credits including, but not limited to, a provision that if
							information comes to the attention of the Corporation that is materially
							inconsistent with representations made in an Preliminary or Final Application
							and/or any request for Certification, the Corporation may deny a request for
							Certification, or revoke a Certification previously given, with any processing
							fees paid to be forfeited;
(i)
							reporting requirements including, but not limited to, any requirements under
							the Act;
(j) an acknowledgment from
							the Qualified Business that it will provide information reasonably necessary to
							validate the Applicant's qualification for Tax Credits under the Act and these
							Rules;
(k) a certification
							procedure, which shall include, but not be limited to, the following:
(1) Representations that the Qualifying
							Relocation meets the eligibility criteria under the Act and these
							Rules;
(2) Representations that the
							Qualifying Relocation meets all of the criteria set forth in the Incentive
							Agreement;
(3) Evidence that the
							Applicant is in good standing with the Secretary of State and Division of
							Taxation at the time Applicant files its certification for issuance of
							incentives; a Letter of Good Standing from the Division of Taxation shall be
							evidence of good standing; and
(4)
							A requirement that the Applicant submit with its request for certification for
							issuance of the Tax Credits, satisfactory evidence of the New Full-Time Jobs
							created and the compensation and benefits provided for such jobs, which
							evidence shall be certified by a certified public accountant; and