The city of Providence likely owes Rhode Island somewhere between $11 million and $55 million to help fund its schools. In a press conference on Wednesday, Mayor Brett Smiley said Providence homeowners will have to reach into their pockets to help pay for the money owed to the state.
Smiley said he is likely to ask the state legislature to approve higher than normal property tax increases next year in order to fund the amount.
“We know that families and businesses in Providence are strained, and additional taxes only add to the cost of housing, the cost of rent, and the cost of doing business,” he said.
For years the city and state have argued over how much money the city owes the state’s education department, which took over the Providence Public School Department five years ago. The city took the state to court over the amount earlier this year, and lost. During a Nov. 8 hearing, Superior Court Associate Justice Jeffrey A. Lanphear ruled that the city must pay its fair share for this academic year and the following one.
Smiley said budget cuts would be necessary to help find the money to pay the state.
“Our taxpayers should know that city government is doing its part to tighten its belt as well,” he said.
Smiley said he no longer expects community recreation centers or local libraries to be affected by the cuts, and he doesn’t think a property tax increase will need to come before the end of the fiscal year.
