Providence Mayor Jorge Elorza unveiled a $745 million budget proposal Tuesday that avoids tax increases, maintains level-funding for city schools, and the mayor said, prepares Rhode Island’s capital city for growth and success.
Elorza used his election-year address to outline progress made since being faced with a $13 million deficit after taking office in 2015.
“Look at what happens when we get our fiscal house in order — people’s confidence in us starts to rise and they begin to invest in our city,” the first-term Democrat said during a 31-minute speech in City Council chambers. “We’ve [got] cranes over the Providence skyline once again, the most we’ve seen in decades. We’ve had over 60 major projects constructed or in the pipeline, and they’re sprinkled throughout our city’s neighborhoods.”
The spending plan adds to the city’s rainy day fund. Yet Elorza acknowledged how under-funded pension obligation pose “a seismic threat” to Providence.
Although the city has made its full pension contribution in recent years, years of underfunding have led to a situation in which Providence has less than 30 percent of the money needed to meet its long-term pension obligations.
The mayor’s proposed fix — to be presented this week to the General Assembly — is a proposal to monetize Providence’s water supply through a lease agreement. It remains unclear how lawmakers will react to the proposal, although Elorza said House Speaker Nicholas Mattiello has indicated he’s open to considering it.
As is typical for an election-year, Elorza’s budget proposal for the fiscal year beginning July 1 avoids controversial measures. The mayor sprinkled feel-good moments throughout his address, thanking city councilors for backing recreation for youth, praising Providence police, and applauding those who helped create a “shower to empower” program to aid the needy.
The mayor’s budget address was free from the kind of raucous protest made by members of the Providence Teachers Union during his State of the City address earlier this year.
City Council President David Salvatore said he sees a need for Elorza to work more closely with the PTU in settling a contract dispute.
Salvatore also said he looks forward to working with Elorza “to ensure a budget that is both fiscally responsible and addresses some of the most critical issues facing the city.”
Elorza is considered the favorite as he seeks re-election. He faces challenges from Kobi Dennis, perennial candidate Chris Young, and retired educator Rober DeRobbio.
The mayor’s budget includes money to boost technology in city schools and summer jobs for young people. It also introduces the use of $75,000 to make tampons in school bathrooms for middle and high school students.
Elorza said he recognizes that much more needs to be done for students in Providence schools, but also said the city is poised to be the highest-performing urban school district in the country.
The mayor said the city is in the process of adding more than 55 new police officers.
“It’s amazing what caring for our neighborhoods can do,” he said. “Through continued investments in community policing, our police department is building relationships and helping to keep us safe. Over the the past three years, we’ve seen a remarkable achievements of almost 30-30-30: homicide levels at the lowest rate in 30 year, shootings down nearly 30 percent, and burglaries down 30 percent.”
Elorza also touted the return in June, for the fourth time, of PVDFest as a way to celebrate the city and its residents.
