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Dam districts could dodge taxes on reservoir land

Only the lake beds and related dam structures qualify under the bill, and the towns would still have to choose the exemption by ordinance. The measure also says the two reservoir districts are immune from civil liability on covered lake-bed property.

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Dam districts could dodge taxes on reservoir land
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Rhode Island lawmakers are trying to narrow how two dam management districts are treated under local tax law and civil liability rules. The bill covers reservoir land tied to Pascoag Reservoir and Wilson’s Reservoir, along with the dams, spillways and appurtenant structures on that property.

  • Burrillville and Glocester could exempt some reservoir property from taxes.
  • The Pascoag and Wilson’s districts would get liability protection on lake beds.
  • The bill is limited to reservoir land, dams, spillways and related structures.
  • The tax break would depend on local ordinances.
  • The bill does not broaden the districts’ mission

In , a proposal would give the and a narrower kind of protection around the land they manage: fewer civil-liability worries on qualifying lake-bed property, and a route for Burrillville and Glocester to remove certain district-owned reservoir property from the tax rolls.

The bill does not broaden the districts’ mission. It focuses on the reservoir beds and the dam-related structures tied to , also known as , and Wilson’s Reservoir.

Where the tax break stops

The tax exemption would not happen automatically. Burrillville and Glocester would be authorized to adopt ordinances if they choose, and the relief would apply only to real and personal property owned by a dam management district under the chapter.

For Pascoag Reservoir, the covered property is the lake bed plus the dam, spillway and other appurtenant structures. For Wilson’s Reservoir, the bill points to the lake bed and the same kinds of structures, with the property described by local assessor map and lot numbers.

Who carries the risk

The other change is legal. The Pascoag and Wilson’s districts would be immune from civil liability for torts committed on lake-bed property they acquire, hold, use or lease.

That leaves towns with a local choice: give up some tax revenue, or keep the property on the books. The act would take effect upon passage.

Sources

Synthesized from 9 verified citationsSynthesized by AI linked to original documents.

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