Established by the General Assembly in 1966 when it recognized the need to assist educational institutions, the Corporation was given broad powers to assist in providing financing for educational facilities to accommodate the projected increases in the college and university enrollment levels in the State. In 1968, additional legislation changed the Corporation’s name to its present name, and the Corporation’s powers were expanded to enable it to assist hospitals in the State with the financing of healthcare facilities.Since 1968, the Corporation’s powers have been repeatedly expanded to provide assistance to nonprofit health associations, cooperative hospital service organizations and a broad range of nonprofit healthcare and educational providers.

In 2003, RIHEBC’s legislation was amended by the General Assembly and it became the designated issuer of bonds for school projects by cities and towns eligible for State Aid. Since the change in 2003, RIHEBC has assisted with approximately $1.48 billion in project financing for the communities while saving millions in costs for both them and the State. In 2011,the Corporation’s legislation was changed to include different types of organizations which may form joint ventures or partnerships with the institutions to expand their educational or healthcare activities. In 2016, the legislation was changed to have RIHEBC administer the School Building Authority Capital Fund that provides loans and grants for school facility projects.