AN ACT RELATING TO INSURANCE -- WEATHER-RELATED LOSSES (Provides a framework through which the department of business regulation can seek grants to fund a home hardening program.)

S3150

2026 -- S 3150
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LC005440
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STATE OF RHODE ISLAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2026
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A N A C T
RELATING TO INSURANCE -- WEATHER-RELATED LOSSES

Introduced By:
Senator V. Susan Sosnowski

Date Introduced:
March 27, 2026

Referred To:
Senate Environment & Agriculture
(Dept. of Business Regulation)
It is enacted by the General Assembly as follows:
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SECTION 1. Chapter 27-76 of the General Laws entitled "Weather-Related Losses" is
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hereby amended by adding thereto the following section:
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27-76-10. Strengthen Rhody homes.
4

(a) There is hereby established within the department of business regulation, division of
5
insurance, the “strengthen Rhody homes” program.
6

(b) This section does not create an entitlement for property owners or obligate the state in
7
any way to fund the inspection, construction, or retrofitting of residential property in this state.
8
Implementation of the program is subject to the receipt of federal grants or funds from other sources
9
of grants or funds. The insurance superintendent shall use its best efforts to obtain grants or funds
10
from the federal government or other funding sources to supplement the financial
11
resources of the strengthen Rhody homes program that may be provided by the state.
12

(c) The strengthen Rhody homes program may apply for and receive financial grants or
13
gifts to construct or retrofit insurable property to resist loss due to a hurricane or other catastrophic
14
events.
15

(d) The strengthen Rhody homes program may also make grants or funding available to
16
nonprofit entities for projects to construct or retrofit insurable properties to resist loss due to
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hurricane or other catastrophic windstorm if such grants or funding to nonprofit entities are
18
allowable under grant or funding rules, requirements, guidelines, or criteria. However, a nonprofit
19
entity shall agree to administer the grants or funds as the strengthen Rhody homes program would

1
be required to administer grants or funds, and the entity shall provide documentation to the
2
insurance superintendent in a timely manner as requested by the insurance superintendent.
3

(e) All mitigation shall be based upon the securing of all required local permits and
4
applicable inspections in keeping with local building codes and the Insurance Institute for Business
5
and Home Safety (IBHS) Fortified Homes Program. Mitigation projects are subject to random
6
reinspection of all projects.
7

(f) The insurance division may promulgate rules and eligibility requirements necessary for
8
the proper administration of this section and pursuant to any instructions or requirements on grants
9
or funds received by the insurance superintendent for the strengthen Rhody homes program.
10

(g) Strengthen Rhody homes program.
11

(1) The strengthen Rhody homes program is hereby created to make grants available to
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residential Rhode Island homeowners to undertake resilience construction or retrofits to make the
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residential home more resilient to a hurricane or other catastrophic risk.
14

(2) To be eligible for a grant, residential property owners applying for a grant must be able
15
to meet the eligibility requirements as set forth by the insurance division for each grant type. These
16
requirements shall include, but not be limited to, the following:
17

(i) The residential property owner shall claim their primary residence in a county where
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grants are being approved at the property to be improved;
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(ii) The home to be mitigated shall be an owner-occupied, single family, primary residence,
20
and cannot be a condominium or mobile home;
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(iii) The home shall be in good repair unless damaged by a hurricane or other catastrophic
22
windstorm event. Strengthen Rhody homes program grant funds cannot be used for maintenance
23
or repairs, but may be used in conjunction with repairs or reconstruction necessitated by damages
24
from a catastrophic event;
25

(iv) A certified IBHS evaluator shall prequalify the insurable property as mitigable and
26
identify all improvements required to achieve IBHS FORTIFIED Roof™ (Roof), FORTIFIED
27
Silver™ (Silver), FORTIFIED Gold™ (Gold), or successor designation, or similar standard
28
approved by the insurance division. The residential property owner shall select the evaluator from
29
a list provided by the strengthen Rhody homes program and shall pay the evaluator's fee;
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(v) The residential property owner shall obtain bids from at least three (3) IBHS certified
31
contractors approved by the strengthen Rhody homes program;
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(vi) The residential property owner shall construct or retrofit the home to the IBHS Roof,
33
Silver, Gold, or successor designation or similar standard approved by the insurance
34
superintendent;

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(vii) The residential property owner shall provide proof of an in-force policy providing
2
wind insurance on the home;
3

(viii) If the insurable property is in a special flood hazard area, the residential property
4
owner shall provide proof of an in-force flood insurance policy. The flood policy may be from the
5
National Flood Insurance Program (NFIP) or a private carrier; and
6

(ix) Grant applications shall be filed in the manner directed by the insurance division in the
7
form and manner prescribed by the insurance superintendent, along with any applicable transaction
8
fees.
9

(3) Documents, materials, and other information submitted to the insurance superintendent
10
by property owners or insurance companies in support of a grant application shall be confidential
11
by law and privileged, shall not be subject to open records requests, shall not be subject to subpoena,
12
and shall not be subject to discovery or admissible in evidence in any private civil action.
13

(4) Grants to residential property owners shall be used to construct or retrofit an insurable
14
property to resist loss due to a hurricane or other catastrophic event.
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(5) Retrofit projects within three (3) months of the date the residential property owner
16
receives notice of the grant approval. New builds shall be completed within the timeframe approved
17
by the insurance superintendent. Failure to complete the project timely may result in forfeiture of
18
the grant.
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(6) Grant funds shall only be paid once a certificate has been issued for the IBHS standard
20
or similar approved by the insurance superintendent. Grant funds shall be paid by the insurance
21
superintendent or another designated agency, on behalf of the residential property owner, directly
22
to the contractor who performed the mitigation work.
23

(7) Applications will be accepted on a first-come, first-served basis within each income tier
24
established by the superintendent, with priority given to lower-income applicants, applicants who
25
live in locations that, based on historical data, have a higher susceptibility to catastrophic weather
26
events, and applicants meeting any other criteria the insurance superintendent determines is
27
appropriate to meet the purpose of the program.
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(8) Any entity providing funds to the strengthen Rhody homes program shall be permitted
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to establish additional rules and guidelines under which those funds may be used, as long as such
30
rules and guidelines do not violate any state or federal law.
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(9) The insurance division may conduct random inspections of funds, records, and/or
32
properties to detect any fraud. These inspections may be conducted similarly to those in chapters
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13.1 and 71 of title 27.
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(10) Under the strengthen Rhody homes program, a residential property owner shall hire

LC005440 - Page 3 of 10
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an IBHS certified contractor who is capable of performing work that satisfies the standards
2
prescribed by this section and the rules adopted thereto:
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(i) The insurance superintendent shall not endorse or otherwise provide preferential
4
treatment to any contractor;
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(ii) A residential property owner is legally responsible for any amount owed to a contractor
6
that exceeds awarded grant monies;
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(iii) To be eligible to work on a project funded by the strengthen Rhody homes program as
8
a contractor, a contractor shall meet all program requirements including, but not limited to, those
9
listed in this section, and maintain a current copy of all applicable certificates, licenses, and proof
10
of insurance coverages with the program office;
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(iv) The contractor shall hold a valid and active contractor's registration or license as
12
applicable pursuant to the provisions of chapter 65 and 65.4 of title 5 in Rhode Island and be free
13
from disqualifying disciplinary actions taken by the contractor registration licensing board as
14
determined by the insurance superintendent
15

(v) The contractor shall hold an active IBHS FORTIFIED Roof™ contractor certification
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or FORTIFIED professional certification. The contractor is responsible for paying all fees
17
associated with certification and training;
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(vi) The contractor shall maintain accurate contact information with the strengthen Rhody
19
homes program;
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(vii) The contractor shall agree to follow the strengthen Rhody homes program's
21
procedures and rules as prescribed by the insurance superintendent;
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(viii) The contractor shall not have a financial interest in any project funded by the
23
strengthen Rhody homes program for which they perform work other than receiving payment on
24
behalf of the homeowner from the strengthen Rhody homes program and shall report to the
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strengthen Rhody homes program any potential conflicts of interest before work commences; and
26

(ix) The contractor shall not be the evaluator for any project funded by the strengthen
27
Rhody homes program.
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(11) Evaluators:
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(i) To be eligible to work on a project funded by the strengthen Rhody homes program as
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an evaluator, the evaluator shall meet all program requirements including, but not limited to, those
31
listed below and maintain a current copy of all applicable certificates and licenses with the
32
strengthen Rhody homes program office;
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(ii) The evaluator must be in good standing with IBHS and maintain an active IBHS
34
certification as a FORTIFIED roof evaluator. The evaluator is responsible for paying all fees

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associated with certification and training;
2

(iii) The evaluator shall agree to follow the strengthen Rhody homes program's procedures
3
and rules as prescribed by the insurance superintendent;
4

(iv) The evaluator shall maintain accurate contact information with the strengthen Rhody
5
homes program;
6

(v) The evaluator shall not have any financial interest in any project which they inspect for
7
designation purposes for the strengthen Rhody homes program;
8

(vi) The evaluator shall not be a contractor or supplier of any materials and/or products or
9
systems installed in any home they inspect for designation purposes for the strengthen Rhody
10
homes program;
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(vii) The evaluator shall not be the sales agent for any home being designated for the
12
strengthen Rhody homes program; and
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(viii) The evaluator shall inform the strengthen Rhody homes program of any potential
14
conflicts of interest.
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(12) Funding:
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(i) There is hereby created a revolving fund in the department of business regulation, to be
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designated the "strengthen Rhody homes revolving fund". The fund shall be a continuing fund, not
18
subject to fiscal year limitations, and shall consist of any monies deposited to the fund from the
19
receipt of federal grants or funds or from other sources of grants or funds. All monies accruing to
20
the credit of the fund are hereby appropriated and may be budgeted and expended by the insurance
21
superintendent for the purpose of assisting the strengthen Rhody homes program in performing all
22
acts that relate to the function and purpose of the strengthen Rhody homes program. The strengthen
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Rhody homes revolving fund account shall not be subject to any cost recovery or other assessment
24
from the state or pursuant to § 35-4-27.
25

(ii) Monies collected pursuant to this act shall be deposited in the strengthen Rhody homes
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revolving fund. Monies shall not lapse, unless otherwise specified under federal funding or federal
27
grant, or a grant or funds from another source, or be transferred to any other state funds and shall
28
not be utilized for any other purpose
29
SECTION 2. Section 35-4-27 of the General Laws in Chapter 35-4 entitled "State Funds"
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is hereby amended to read as follows:
31

35-4-27. Indirect cost recoveries on restricted receipt accounts.
32
Indirect cost recoveries of fifteen percent (15%) of cash receipts shall be transferred from
33
all restricted receipt accounts, to be recorded as general revenues in the general fund. However,
34
there shall be no transfer from cash receipts with restrictions received exclusively: (1) From

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contributions from nonprofit charitable organizations; (2) From the assessment of indirect cost-
2
recovery rates on federal grant funds; or (3) Through transfers from state agencies to the department
3
of administration for the payment of debt service. These indirect cost recoveries shall be applied to
4
all accounts, unless prohibited by federal law or regulation, court order, or court settlement. The
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following restricted receipt accounts shall not be subject to the provisions of this section:
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Executive Office of Health and Human Services
7
HIV Care Grant Drug Rebates
8
Health System Transformation Project
9
Rhode Island Statewide Opioid Abatement Account
10
HCBS Support-ARPA
11
HCBS Admin Support-ARPA
12
Department of Human Services
13
Organ Transplant Fund
14
Veterans’ home — Restricted account
15
Veterans’ home — Resident benefits
16
Pharmaceutical Rebates Account
17
Demand Side Management Grants
18
Veteran’s Cemetery Memorial Fund
19
Donations — New Veterans’ Home Construction
20
Commodity Supplemental Food Program-Claims
21
Department of Health
22
Pandemic medications and equipment account
23
Miscellaneous Donations/Grants from Non-Profits
24
State Loan Repayment Match
25
Healthcare Information Technology
26
Department of Behavioral Healthcare, Developmental Disabilities and Hospitals
27
Eleanor Slater non-Medicaid third-party payor account
28
Hospital Medicare Part D Receipts
29
RICLAS Group Home Operations
30
Group Home Facility Improvement Fund
31
Commission on the Deaf and Hard of Hearing
32
Emergency and public communication access account
33
Department of Environmental Management
34
National heritage revolving fund

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Environmental response fund II
2
Underground storage tanks registration fees
3
De Coppet Estate Fund
4
Rhode Island Historical Preservation and Heritage Commission
5
Historic preservation revolving loan fund
6
Historic Preservation loan fund — Interest revenue
7
Department of Public Safety
8
E-911 Uniform Emergency Telephone System
9
Forfeited property — Retained
10
Forfeitures — Federal
11
Forfeited property — Gambling
12
Donation — Polygraph and Law Enforcement Training
13
Rhode Island State Firefighter’s League Training Account
14
Fire Academy Training Fees Account
15
Attorney General
16
Forfeiture of property
17
Federal forfeitures
18
Attorney General multi-state account
19
Forfeited property — Gambling
20
Department of Administration
21
Health Insurance Market Integrity Fund
22
RI Health Benefits Exchange
23
Information Technology restricted receipt account
24
Restore and replacement — Insurance coverage
25
Convention Center Authority rental payments
26
Investment Receipts — TANS
27
OPEB System Restricted Receipt Account
28
Grants Management Administration
29
Office of Energy Resources
30
OER Reconciliation Funding
31
RGGI Executive Climate Change Coordinating Council Projects
32
Electric Vehicle Charging Stations Operating and Maintenance Account
33
Clean Transportation Programs
34
Department of Housing

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Housing Resources and Homelessness Restricted Receipt Account
2
Housing Production Fund
3
Low-Income Housing Tax Credit Fund
4
Department of Revenue
5
Car Rental Tax/Surcharge-Warwick Share
6
DMV Modernization Project
7
Jobs Tax Credit Redemption Fund
8
Legislature
9
Audit of federal assisted programs
10
Department of Children, Youth and Families
11
Children’s Trust Accounts — SSI
12
Military Staff
13
RI Military Family Relief Fund
14
RI National Guard Counterdrug Program
15
Treasury
16
Admin. Expenses — State Retirement System
17
Retirement — Treasury Investment Options
18
Defined Contribution — Administration - RR
19
Violent Crimes Compensation — Refunds
20
Treasury Research Fellowship
21
Business Regulation
22
Banking Division Reimbursement Account
23
Office of the Health Insurance Commissioner Reimbursement Account
24
Securities Division Reimbursement Account
25
Commercial Licensing and Racing and Athletics Division Reimbursement Account
26
Insurance Division Reimbursement Account
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Strengthen Rhody Homes Revolving Fund
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Historic Preservation Tax Credit Account
29
Rhode Island Cannabis Control Commission
30
Marijuana Trust Fund
31
Social Equity Assistance Fund
32
Judiciary
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Arbitration Fund Restricted Receipt Account
34
Third-Party Grants

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RI Judiciary Technology Surcharge Account
2
Department of Elementary and Secondary Education
3
Statewide Student Transportation Services Account
4
School for the Deaf Fee-for-Service Account
5
School for the Deaf — School Breakfast and Lunch Program
6
Davies Career and Technical School Local Education Aid Account
7
Davies — National School Breakfast & Lunch Program
8
School Construction Services
9
Office of the Postsecondary Commissioner
10
Tuition Savings Program Fund
11
Higher Education and Industry Center
12
IGT STEM Scholarships
13
Department of Labor and Training
14
Job Development Fund
15
Contractor Training Restricted Receipt Account
16
Workers’ Compensation Administrative Account
17
Rhode Island Council on the Arts
18
Governors’ Portrait Donation Fund
19
Statewide records management system account
20
SECTION 3. This act shall take effect upon passage.
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LC005440
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LC005440 - Page 9 of 10
EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO INSURANCE -- WEATHER-RELATED LOSSES
***
1
This act would provide a framework through which the department of business regulation
2
can seek grants to fund a home hardening program.
3
This act would take effect upon passage.
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LC005440
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LC005440 - Page 10 of 10