2026-37 Resolution of the Council Opposing A Statewide NonOwner Occupied Property Tax.

No: 2026-37

TOWN OF MIDDLETOWN

RESOLUTION OF THE COUNCIL

OPPOSING A STATEWIDE NONOWNER OCCUPIED PROPERTY TAX

Whereas: Local property tax is the single largest revenue tool available to cities and towns, representing 72% of the Middletown General Fund revenues; and

Whereas: The Town of Middletown works diligently within its authority to evaluate and adapt its property tax classification system to meet local needs and challenges in a way that aligns with community values; and

Whereas: Non-owner occupied properties share in a locally established property tax system designed to balance year-round and seasonal cost burdens through the direct levying of taxes by the Middletown Town Council; and

Whereas: The Town of Middletown received permission from the Rhode Island General Assembly to classify and tax non-owner occupied properties separately from other classifications; and

Whereas: The Town of Middletown does classify and tax non-owner occupied properties separately from other classifications; and

Whereas: Seasonal and vacation-home owners are valued members of the Middletown community and contribute significantly to the property tax base; and to Middletown and Newport County charitable organizations; and to the general economies of Middletown, Newport County and all of Rhode Island; and

Whereas: The state's power to tax rests more appropriately with income tax, sales tax, and other tools; and

Whereas: 35% of Middletown's residential properties may be classified as non-owner occupied and more than 15% of Middletown's residential properties are assessed at over $1 million; and

Whereas: The property tax burden on impacted properties in Middletown will increase an average of 16% based upon the new state property tax; and

Whereas: A statewide property tax undermines local authority to manage the impact of its largest revenue source on its taxpayers,

NOW, THEREFORE, BE IT

RESOLVED: That the Town Council of the Town of Middletown objects to a statewide property tax on non-owner occupied properties and requires repeal of RIGL 44-72, the Non-owner Occupied Property Tax Act.

BE IT FURTHER

RES