R.I. Gen. Laws § 45-26-3: Grounds for resolution of need.

The town council shall adopt a resolution declaring that there is a need for a town authority to function in the town if it finds:

(1) That unsanitary or unsafe inhabited dwelling accommodations or blighted areas exist in the town; or

(2) That there is a shortage of safe or sanitary dwelling accommodations in the town available to persons of low income at rentals or prices they can afford.