§ 44-48.3-3. Definitions.
As used in this chapter, unless the context clearly indicates otherwise, the following
words and phrases shall have the following meanings:
(1) "Affiliate� or "affiliated entity� means an entity that directly or indirectly controls,
is under common control with, or is controlled by the business. Control exists in
all cases in which the entity is a member of an affiliated group of corporations as
defined pursuant to § 1504 of the Internal Revenue Code of 1986 (26 U.S.C. § 1504) or the entity is an organization in a group of organizations under common control
as defined pursuant to subsection (b) or (c) of § 414 of the Internal Revenue Code of 1986 (26 U.S.C. § 414). A taxpayer may establish by clear and convincing evidence, as determined by the
commerce corporation, that control exists in situations involving lesser percentages
of ownership than required by those statutes. An affiliate of a business may contribute
to meeting full-time employee requirements of a business that applies for a credit
under this chapter.
(2) "Business� means an applicant that is a corporation, state bank, federal savings bank,
trust company, national banking association, bank holding company, loan and investment
company, mutual savings bank, credit union, building and loan association, insurance
company, investment company, broker-dealer company or surety company, limited liability
company, partnership or sole proprietorship.
(3) "Commerce corporation� means the Rhode Island commerce corporation established pursuant
to chapter 64 of title 42.
(4) "Commitment period� means the period of time that at a minimum is twenty percent (20%)
greater than the eligibility period.
(5) "Eligibility period� means the period in which a business may claim a tax credit under
the program, beginning at the end of the tax period in which the commerce corporation
issues a certification for the business that it has met the employment requirements
of the program and extending thereafter for a term of not more than ten (10) years.
(6) "Eligible position� or "full-time job� means a full-time position in a business which
has been filled with a full-time employee who earns no less than the median hourly
wage as reported by the United States Bureau of Labor Statistics for the state of
Rhode Island, provided, that for economically fragile industries such as manufacturing,
the commerce corporation may reduce the wage threshold. An economically fragile industry
shall not include retail.
(7) "Full-time employee� means a person who is employed by a business for consideration
for at least thirty-five (35) hours a week, or who is employed by a professional employer
organization pursuant to an employee leasing agreement between the business and the
professional employer organization for at least thirty-five (35) hours a week, and
whose wages are subject to withholding.
(8) "Hope community� means municipalities with a percentage of families below the poverty
level that is greater than the percentage of families below the poverty level for
the state as a whole as determined by the United States Census Bureau's most recent
American Community Survey.
(9) "Incentive agreement� means the contract between the business and the commerce corporation,
which sets forth the terms and conditions under which the business shall be eligible
to receive the incentives authorized pursuant to the program.
(10) "Incentive effective date� means the date the commerce corporation issues a certification
for issuance of tax credit based on documentation submitted by a business pursuant
to § 44-48.3-7.
(11) "New full-time job� means an eligible position created by the business that did not
previously exist in this state and which is created after approval of an application
to the commerce corporation under the program. Such job position cannot be the result
of an acquisition of an existing company located in Rhode Island by purchase, merger,
or otherwise. For the purposes of determining the number of new full-time jobs, the
eligible positions of an affiliate shall be considered eligible positions of the business
so long as such eligible position(s) otherwise meets the requirements of this section.
(12) "Partnership� means an entity classified as a partnership for federal income tax purposes.
(13) "Program� means the incentive program established pursuant to this chapter.
(14) "Targeted industry� means any industry identified in the economic development vision
and policy promulgated under § 42-64.17-1 or, until such time as any economic development vision and policy is promulgated,
as identified by the commerce corporation.
(15) "Taxpayer� means a business granted a tax credit under this chapter or such person
entitled to the tax credit because the business is a pass through entity such as a
partnership, S corporation, sole proprietorship or limited liability company taxed
as a partnership.
(16) "Transit oriented development area� means an area in proximity to mass-transit infrastructure
including, but not limited to, an airport, rail or intermodal facility that will be
further defined by regulation of the commerce corporation in consultation with the
Rhode Island department of transportation.