§ 42-63.5-2. Findings.
The General Assembly finds and declares that:
(1) The City is experiencing a general deterioration of its inner core.
(2) There continues to be a chronic state of unemployment and underemployment in the State
and especially the City. This condition strains the social support services of the
City and State, leads to increased crime and negatively impacts the health of the
citizens of the City and State. The Providence Place Project will create significant
job opportunities during construction and retail jobs thereafter and will help to
alleviate this chronic unemployment and underemployment.
(3) Pursuant to the Agreement Regarding Providence Place Mall, the developer has agreed
to invest substantial private funds in the construction of a one million one hundred
fifty thousand (1,150,000) square feet retail shopping mall and four thousand (4,000)
car public parking facility.
(4) In connection with the construction of the Project as contemplated by the Agreement
Regarding Providence Place Mall, the developer will utilize eleven million one hundred
thousand dollars ($11,100,000) in private funds to purchase a parcel of land owned
by the National Railroad Passenger Corporation for part of the Project Site, thereafter
conveying the same to the Corporation for the sum of one dollar ($1.00).
(5) In order to construct the Project, the developer will be required to expend substantial
private funds to demolish the dilapidated buildings now existing on the so-called
URI Parcel owned by the State, and remediate and remove all hazardous waste and hazardous
conditions now existing on or under the Project Site, subject to certain limitations
and as more particularly described in the Agreement Regarding Providence Place Mall.
(6) The Project will include five hundred (500) parking spaces for high occupancy vehicles
to assist the State in achieving its clean air quality goals.
(7) Upon completion of construction of the Garage, the developer will retain all obligations
to maintain, repair and operate the Garage for the benefit of the public for a period
of ninety-nine (99) years, and will be required to operate the Garage for that period,
with any deficits in operating, maintenance and repair expenses being funded solely
from the developer.
(8) In order to construct the Project in accordance with the plans and on the time schedules
set forth in the Agreement Regarding Providence Place Mall, it is expected that during
the two (2) year construction phase the Project will create approximately one thousand
two hundred (1,200) new full-time construction jobs per year in all trades.
(9) By agreement between the developer and the Rhode Island Building Trades Council, the
construction jobs will be filled by residents of the State.
(10) Once completed, it is expected that operation of the Project will require the employment
of up to two thousand eight hundred (2,800) persons and will create a substantial
number of permanent and part-time job opportunities for a range of Rhode Island residents
with various levels of skills and prior experience.
(11) Pursuant to the Agreement Regarding Providence Place Mall, the developer and the State
intend to develop a retail sales training program for prospective employees at the
Mall.
(12) During the construction phase of the Project, it is expected that in excess of one
million five hundred thousand dollars ($1,500,000) per year in income tax revenues,
which will be new to the State of Rhode Island will be realized as a result of the
new construction jobs in connection with the Project.
(13) Once the Project has been completed, it is expected that the State will realize in
excess of five hundred thousand dollars ($500,000) per year in new income tax revenues
from the new retail and other jobs expected to be created at the Project.
(14) The availability of new and unique retail shopping opportunities for Rhode Islanders
is expected to result in the recapture of a substantial amount of retail purchases
now being made by Rhode Islanders outside of the State, which out-of-state sales are
presently estimated to be approximately three hundred million dollars ($300,000,000)
per year. This recapture will result in substantial net new sales tax revenues to
the State.
(15) The existence of a significant regional destination retail shopping center such as
the Project is expected to attract substantial new purchase transactions at the Mall
made by persons from places outside of the State, resulting in substantial net new
sales tax revenues to the State.
(16) The construction of the Project will be a cornerstone in the continuing revitalization
of a blighted portion of the urban core of the City, and will augment and complement
the substantial public investments in the Waterplace Park, the Riverwalk and the Memorial
Boulevard projects which have been made over the last fifteen (15) years in the City.
(17) The Project will include, at the developer's expense, an intermodal transportation
facility to serve as the base of a network of shuttlebuses for circulating parkers,
shoppers and other inhabitants of and visitors to the City, thereby contributing to
the vitality of the central City and the City's financial district.
(18) A private investment, construction project and unique retail shopping center of the
size and quality proposed for the Project will have enormous spin-off economic benefits
and will multiply each dollar of private investment many times over, resulting in
the establishment of new businesses, new jobs and increased sales, income and real
estate property taxes to both the State and the City.
(19) Because of the complications imposed by the Project Site, which presents formidable
challenges, including the requirements of building over railroad tracks and a river
and dealing with substantial changes in grade as well as the extraordinary architectural
and urban design features required by the Capital Center Commission, and imposes concomitant
extraordinary construction expenses, a public investment to help defray those extraordinary
expenses is required in order to induce the substantial private investment and the
myriad public benefits described above.