Today, Providence City Council sponsors of the proposed rent stabilization ordinance announced a slate of amendments shaped by extensive public engagement, policy research, and stakeholder feedback.
The amendments respond to suggestions and feedback raised during multiple community listening sessions throughout the city, a public hearing that lasted more than five hours, and more than 700 written comments submitted to the City Clerk. Councilors also reviewed feedback from the Mayor’s administration, and from organizations including RIHousing, Stop Wasting Abandoned Property Inc. (SWAP Inc.), and the American Civil Liberties Union of Rhode Island (ACLU of Rhode Island).
The amendments clarify exemptions, elaborate on Rent Board procedures, address substantial rehabilitation and utility cost issues, and revise the ordinance’s treatment of new construction. Taken together, the proposed amendments fine-tune the ordinance, while preserving its central goal of ensuring rent increases are stable and predictable for tenants while maintaining clear pathways for property owners to address legitimate operating costs.
“Good policy is built through listening and careful refinement,” said Council President Rachel Miller. “Over the past several months, the ordinance has been shaped by the people who will live with it. We’ve heard from renters, nonprofit developers, property owners, and policy experts. These amendments reflect what we learned. They strengthen the proposal while keeping its core purpose intact: bringing stability to Providence’s rental market while ensuring property owners have the flexibility they need to maintain and invest in their buildings.”
The public is invited to submit additional comments on the proposed amendments or share their feedback at the Tuesday, March 17 meeting of the Special Committee on Health, Opportunity, Prosperity, and Education (HOPE) at 6 p.m. on the third floor of City Hall.
The following are key highlights of the proposed amendments.
New Construction Exemptions
The amendments modify the ordinance’s new construction exemption in several significant ways.
First, the base exemption period for new construction has been reduced from 15 years to 10 years. This preserves a fair transition period for new development while ensuring that units enter the rent stabilization framework within a reasonable timeframe.
Second, a longer 20-year exemption is made available for developments that meet strong labor standards. Projects where workers are paid prevailing wages and where at least 10% of total project hours are performed by registered apprentices will qualify for the longer exemption. This approach provides a pathway to a longer exemption for projects that create high-quality construction jobs, invest in local workers, support apprenticeship pipelines, and strengthen the state’s skilled building trades.
Third, the retroactive application of the exemption has been narrowed. Instead of applying to buildings up to 15 years old, the exemption will now apply only to units that received certificates of occupancy within five years prior to the ordinance’s effective date.
Together, these changes ensure that the exemption supports continued housing development while also strengthening local labor standards.
Affordable Housing Exemptions
The ordinance’s affordable housing exemptions have been revised based on feedback from nonprofit housing developers.
The updated language replaces the original provisions with clearer exemptions for deed-restricted affordable housing and publicly operated or project-based subsidized housing. These are clarifying amendments that match the language to the original intent.
The revised language incorporates the definition used in Rhode Island’s Low and Moderate Income Housing Act, which reflects the typical 30-year affordability restrictions used in most housing programs. It also distinguishes project-based assistance from tenant-based vouchers, which do not limit rent and therefore should not be exempted from the ordinance.
The amendments also direct the Executive Director of the Rent Board to maintain a limited registry of exempt units for transparency and administrative clarity.
Substantial Rehabilitation
The amendments add a clear definition and process for substantial rehabilitation, addressing concerns raised by RIHousing about how the ordinance would treat major renovation projects.
Substantial rehabilitation is defined as a comprehensive renovation that replaces or significantly upgrades at least two major building systems and where construction costs reach at least 15% of the property’s post-rehabilitation value. Cosmetic improvements, routine maintenance, or finish upgrades do not qualify. The amendments establish a process that allows property owners to petition the Rent Board to establish a new base rent for the first tenancy after a qualifying rehabilitation project is completed. In technical terms, it provides for the possibility of one-time vacancy decontrol in the case of substantial rehabilitation.
Utilities and Master-Metered Buildings
The sponsors also addressed concerns raised about master-metered buildings, where utilities are not separately metered and billed by apartment. This is common in older housing stock.
The ordinance already allows landlords to petition the Rent Board for above-standard rent increases based on documented operating cost increases, including utilities. To ensure this issue receives appropriate attention, the amendments now direct the Rent Board to specifically address relief for landlords of master-metered buildings in its rulemaking procedures.
Strengthening Rent Board Procedures
Several amendments clarify how the Rent Board will operate and adopt regulations.
These updates respond to feedback from the ACLU of Rhode Island and many individual testimonies. The amendments add advance notice requirements, a public comment period, a petition process allowing Providence residents to request rulemaking, and a limited emergency rule procedure. Additional changes clarify the roles of the Rent Board and its Executive Director, ensuring a clear distinction between the Board’s policy rulemaking authority and the Director’s day-to-day administrative procedures, and that the Board’s authority is final in the event of a conflict.
As the Council models a robust public feedback process on this ordinance, these changes signal to an incoming board the sponsors’ expectations that transparency and community engagement continue in earnest through the rulemaking process.
Budgetary, Legal, Administrative, and Minor Updates
Additional amendments make several technical, legal, and budgetary improvements to the ordinance.
The amendments establish compensation for Rent Board members, with a stipend starting at $10,000 per year for members and $12,000 per year for the chair. Limited compensation for the Board members is intended to recognize their unique and critical role in the ordinance’s successful enforcement.
In private meetings and public testimony, Mayor Smiley and his administration repeatedly criticized a line in the ordinance that Board funds “be sufficient to ensure full implementation of the Board’s duties.” The amendments remove this line to avoid creating an enforceable statutory obligation that the city cannot guarantee. Removing it does not in any way prevent nor discourage City Council from fully funding the Board with the resources it would need to be successful.
The amendments also modestly expand the owner-occupied exemption from properties with up to three units to properties with up to four units. This aligns the ordinance with federal mortgage standards used by programs administered by RIHousing, which treat owner-occupied properties with up to four units as small residential properties eligible for first-time homebuyer financing. This is intended to ensure the policy does not discourage owner-occupants from purchasing small multifamily homes.
A provision related to misinformation was removed following guidance from the ACLU of Rhode Island to avoid potential First Amendment concerns.
A complete redline of the proposed amendments is available here.
These amendments reflect months of research, community engagement, and policy refinement. Sponsors believe the updated ordinance represents a balanced, Providence-specific approach to addressing rising housing costs—providing stability and predictability for renters while ensuring property owners retain the ability to successfully manage their properties. As the proposal continues through the Council process, sponsors remain committed to a thoughtful public dialogue about how Providence can build more housing while protecting the residents who call the city home.
The ordinance will continue through the committee process in the coming weeks before returning to the full City Council for consideration. The next chance for community feedback will be at the HOPE committee meeting at 6 p.m. on Tuesday, March 17th.
