Legislative Updates
Advocacy in Action
March 23, 2026
This Week at the State House
Tuesday, March 24th
A number of bills will be heard in the Senate Commerce Committee at the Rise (approximately 4:30 pm) in Room 212. Testimony regarding these matters can be submitted to: slegislation@rilegislature.gov
Credit Card Fees
S.2344 prohibits the charging of interchange fees, also known as “swipe fees,” on the portions of a credit card transaction related to taxes and gratuities. This bill is being promoted by hospitality businesses and local merchants, and is similar to legislation adopted in Illinois that recently withstood legal challenge. S.2344 is identical to H.7607 that was heard in the House on March 3rd.
https://webserver.rilegislature.gov/BillText/BillText26/SenateText26/S2344.pdf
S.2522 prohibits the charging of interchange fees on sales and use tax or excise tax when payment is made with a credit or debit card. If a fee is charged, it is deemed to be a violation of the deceptive trade practices act and is subject to a penalty of $1,000 per electronic transaction.
https://webserver.rilegislature.gov/BillText/BillText26/SenateText26/S2522.pdf
Grocery Store and Retailer Restrictions
S.2342 limits grocery stores by capping the number of self-service checkout stations they can operate to eight, and mandating a minimum ratio of manual checkout stations to self-service checkout stations. Stores would be required to operate one manual checkout station for every two self-check-out stations operating. Lastly, S.2342 states that “No more than two (2) self-service checkout stations may be simultaneously monitored by any one employee.” Any store having multiple violations is subject to a fine equal to the wages paid to the highest paid retail clerk during an eight-hour shift. If the violation is not rectified within thirty days, the business could be subject to a deceptive trade practice violation. https://webserver.rilegislature.gov/BillText/BillText26/SenateText26/S2342.pdf
S.2642 (submitted on behalf of Lt. Governor Matos) places restrictions on covered suppliers from offering different terms of sale to covered retailers. Covered retailer is defined as a person that sells products to end consumers at one or more locations in Rhode Island. A covered supplier is a supplier that sells, either directly or through an agent, over $6 billion in products annually. Under S.2642, suppliers are restricted from offering different pricing or terms to different retailers. The act requires suppliers to provide anonymized terms of sale upon request to all covered retailers and wholesalers and allows the Attorney General or affected parties to sue for violations. https://webserver.rilegislature.gov/BillText/BillText26/SenateText26/S2642.pdf
S.2643 (also submitted on behalf of the Lt. Governor) requires retailers that offer electronic coupons for food items covered under SNAP, to offer the same discounts to in-person customers who do not have electronic coupons. Covered retailers can set up kiosks to offer the coupons, provide paper alternatives or provide the discount directly at the point of sale. Failure to comply results in a fine up to $500. https://webserver.rilegislature.gov/BillText/BillText26/SenateText26/S2643.pdf
The Senate Committee on Artificial Intelligence & Emerging Technology is meeting in Room 313 at 2:30 Tuesday. Testimony can be submitted to: slegislation@rilegislature.gov
AI Regulations for Business Use
S.2195 introduces new regulations for businesses that provide AI chatbot or virtual companion services by mandating specific safety protocols and notifications. The bill prohibits operators from providing an AI companion unless it contains a protocol for addressing potential user-expressed risks, like suicidal ideation, self-harm, physical harm to others, or financial harm. Businesses providing these services must provide a recurring notification (at the start and at least every three hours) that the companion is a computer program, not a human, and cannot feel emotions. The warning must be conveyed verbally or via text in bold, capitalized letters of at least 16-point type. S.2195 gives the Attorney General the power to investigate complaints, sue, seek injunctions and bring a suit under the Deceptive Trade Practices Act. The bill can be found at: https://webserver.rilegislature.gov/BillText/BillText26/SenateText26/S2195.pdf
Wednesday, March 25th
The House Committee on Environment and Natural Resources is hearing two bills of interest to the business community. The hearing is scheduled for 4:00 in the House Lounge (behind the House session floor). Testimony on either of these bills can be emailed to HouseEnvironmentandNaturalResources@rilegislature.gov
Retroactive Liability
H.7004 requires the state and municipalities to add up all of the costs expended in the last twenty-five years related to items the bill deems a result of climate change (“sea level rise, flooding, storm surge, extreme heat, drought, erosion, and other climate-driven hazards) including items such as “coastal and flood protection and resilience projects; Stormwater management, drainage, and water infrastructure upgrades; Heat mitigation, air quality improvement, emergency preparedness, and other hazard protection measures that safeguard public health; Resilient transportation, housing, and community infrastructure; Energy system resilience, including grid modernization and distributed energy resources; Ecosystem, agricultural, forest, watershed, and fisheries restoration or protection projects; and Hazard mitigation planning, modeling, monitoring, and early warning systems.” Once the total is calculated, an invoice would be sent to “responsible parties” defined as large businesses that extract and refine fossil fuels (a legal activity under federal and state laws). A ten percent daily penalty is added to late payments. This legislation, passed in Vermont, is being challenged by the US Chamber of Commerce in the federal district court for Vermont. Vermont allocated $600,000 in FY25 to set up the fund and prepare for a legal fight. In FY26, an additional $300,000 was allocated to defend the case. The state’s Agency of Natural Resources and Treasurer’s Office requested an additional $1.5 million in 2025 to hire outside experts to defend against lawsuits. https://webserver.rilegislature.gov/BillText/BillText26/HouseText26/H7004.pdf
Clean Heat Standard
H.7912 directs the Department of Environmental Management (DEM) to implement a program to force the phase out of fossil fuels, used for heating purposes, by setting targets the heating sector must meet. Starting July 1, 2028, obligated parties – the gas company, petroleum terminals, and companies such as heating fuel delivery companies that pick up fuel in MA or CT for delivery in RI – would be required to reduce their carbon fuel use by switching clients to alternative fuels (for which they receive credit), or buying credits from another entity that has excess credits. Renewable natural gas and hydrogen are not permitted to be used as an alternative fuel. The cost of the credit is set by the DEM. If the obligated party fails to comply, that party may have to pay a noncompliance payment of three times the amount established by the DEM for timely credit payments. To date, no cost analysis has been completed for this program. Massachusetts passed a similar program that was set to take effect in 2026; however, Governor Healy delayed the implementation date to prevent increases in home heating bills estimated to be $450 per year. https://webserver.rilegislature.gov/BillText/BillText26/HouseText26/H7912.pdf
The House Small Business Committee is scheduled to take testimony on H.7499 at 4:00pm in Room 101. Testimony can be submitted at: HouseSmallBusiness@rilegislature.gov
Small Business Regulatory Fairness
H.7499 requires agencies preparing economic impact statements for proposed rules applying to small businesses to includes a finding that the anticipated compliance costs of the proposed rule scale proportionally with the business size, and do not impose fixed costs that larger businesses are able to absorb more easily. Without such a finding, adoption of the rule is more difficult, requiring more justification. https://webserver.rilegislature.gov/BillText/BillText26/HouseText26/H7449.pdf
The Senate Labor & Gaming Committee is meeting at 4:00pm in Room 212. Testimony can be submitted to: SLegislation@rilegislature.gov
State to Head Off Any OSHA Changes
S.2736 seeks to take action before the federal government adopts any changes to the regulatory authority of the Occupational Safety and Health Administration, whether through repeal, defunding, reduction in force, rulemaking, executive order, or any other federal action. The bill requires the Director of Labor and Training to notify the legislature if any such changes occur. In the event such action does take place, the bill requires the legislature to appropriate funds and authorize additional full-time equivalent positions necessary to enable the department of labor to effectively administer and enforce the standards previously in place. https://webserver.rilegislature.gov/BillText/BillText26/SenateText26/S2736.pdf
New Introductions
House Bill No. 8311 BY Dawson, AN ACT RELATING TO HEALTH AND SAFETY -- DIVISION OF OCCUPATIONAL HEALTH (Requires employers to protect employees from extreme temperatures through rest breaks, PPE, training, and equipment, and mandates quarterly supervisor training, to recognize and mitigate heat- and cold-related risks.) https://webserver.rilegislature.gov/BillText/BillText26/HouseText26/H8311.pdf
House Bill No. 8324 (Secretary of State) Shallcross Smith, Casey, Fogarty, Hull, Azzinaro, DeSimone, Casimiro, Solomon, Furtado, Messier
ENTITLED, AN ACT RELATING TO UNIFORM COMMERCIAL CODE -- SECURED TRANSACTIONS (Makes a series of amendments and adds new provisions of law to address business identity theft and deceptive solicitations sent to businesses and the unauthorized formation of entities.) https://webserver.rilegislature.gov/BillText/BillText26/HouseText26/H8324.pdf
House Bill No. 8330 BY Alzate, Kazarian, Casimiro, AN ACT RELATING TO LABOR AND LABOR RELATIONS -- HEALTHY AND SAFE FAMILIES AND WORKPLACES ACT (Requires employers to provide full-time employees four (4) hours of paid leave once a year to donate blood through and any approved blood donation program.)
https://webserver.rilegislature.gov/BillText/BillText26/HouseText26/H8330.pdf