PROVIDENCE – In addition to the previously announced $500,000 proposed increase to small business loans to double the number of small loans in the state through the Small Business Assistance Program in Gov. Gina M. Raimondo’s fiscal year 2019 budget, the governor also has proposed a series of small business reforms that she called the Small Business Friendliness Omnibus.
The 15 reforms are targeted to specific businesses and largely aim to eliminate “duplicative and unnecessary fees and procedures.”
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In 2017, 35 loans were awarded to small businesses through the state program. The state plans to issue 70 such loans in 2018 with help from the proposed additional $500,000 in the new budget.
“More than half of our workforce works for a business with fewer than 100 employees,” said Raimondo in a statement. “This package of reforms [as well as] our goal to double the number of small business loans by the end of the year will strengthen our small business community and give local business owners the boost they need to hire more Rhode Islanders.”
On the reduction of fees and processes for small businesses, Commerce Secretary Stefan Pryor issued a statement that said, “We are committed to making it easier for businesses large and small to succeed and grow in Rhode Island. This package will help simplify regulations and eliminate certain duplicative and unnecessary fees and procedures; it will also increase access to capital through our small business loan program.”
The Small Business Friendliness Omnibus includes the following proposals:
- Modernization of retail frozen desserts licensing: would eliminate an additional license to serve frozen desserts.
- Improvement of liquor license fee processing: would require license fees for liquor licenses issued by the Department of Business Regulations be submitted to DBR rather than separately to the Division of Taxation.
- Elimination of unnecessary liquor bonds: reform supported by the Rhode Island Brewers Guild.
- Elimination of mobile home complaint fee: eliminates $25 fee to file a mobile home complaint with DBR.
- Removal of $1 fee for liquor license copies: would modernize the duplicate license request process, eliminate the charge and enable an electronic transfer of license copies for remote printing.
- Elimination of the contractor notarization requirement: would align requirements to register as a contractor with those for electricians, plumbers and most other professions.
- Elimination of zoning requirements for cosmetologists: would streamline process to open salons.
- Elimination of shop space license for hairdressers: removes $50 chair fee associated with a shop space license. Current law requires a business owner interested in obtaining an initial “hair design shop” license to pay a $170 license fee and $50 for each chair in the shop.
- Revision of signature requirements for alcohol licenses: would eliminate the hand-written signature requirement for all alcohol licenses to allow for electronic processing.
- Removal of motor carriers of property hearing obligation: would eliminate requirement that businesses transporting household goods prove the need for “public convenience and necessity,” aligning the requirements with federal standards.
- Litter and sales permit renewal timelines: would allow the renewal schedule for tax permits to be aligned, making it easier for businesses to stay in compliance with these statutes.
- Reduction of wholesale food processors license fee: would reduce the wholesale food processors license fee from $500 to $300, bringing Rhode Island’s rate in line with Massachusetts.
- Extension of Certified Food Safety Manager renewal period: would change the recertification/renewal period for Certified Food Safety Managers from three years to five years.
- Elimination of 14 oath or notarization requirements: would modify statutory language to remove oath and/or notarization requirements for veterinarians, chiropractors, optometrists, opticians, nurses, physical therapists, physical therapy assistants, occupational therapists, psychologists, mental health counselors, marriage and family therapists, interpreters for the deaf, applied behavior analysts and massage therapists.
- Removal of notarization obligation for funeral complaints: would eliminate requirement that complaints filed against funeral directors, embalmers or establishments be notarized. Most complaints filed with the division are filed electronically through the Department of Health website, making notarization impractical.
