Raimondo signs budget with qualms

PROVIDENCE — Gov. Gina Raimondo on Friday approved a $9.9-billion budget despite reservations that the spending package will restrict the state's ability to grow the economy.

In a statement, Raimondo said the budget "unwisely takes our foot off the gas at a critical point in our comeback. By cutting our innovative and effective new economic development tools, our progress is put at risk."

She signed the budget less than two days before it would have automatically become law, barring a veto.

Raimondo said the General Assembly’s budget creates a tax incentive program that will benefit wealthy out-of-state investors and put $42 million in taxpayers' money at risk. This program, she said, does not provide for transparency and could "return us to the old way of doing things."

According to Raimondo, this budget could also prevent the state from adequately responding to any unforeseen increase in the number of children needing state services.

The Department of Children, Youth & Families often runs annual deficits if the number of children in its care rises during the year. Many of those children receive contracted services from outside agencies, which could see their contracts suspended in mid-year under the new budget.

"Rhode Island is one of a few states to actually see a decrease in the number of opioid-related overdose deaths two years in a row," Raimondo said. "We also have seen record increases in the number of kids placed into loving foster homes as opposed to institutional settings. The General Assembly’s budget puts all of that progress, and more, at risk."

"This budget also does nothing to reduce spending," she said. "In fact, the legislative budget appropriates more spending than the budget that I submitted in January. It also doubles our out-year deficits while ignoring proposals to address increasing costs in our prison system."

She said she signed the budget to protect education, including her signature move toward universal pre-kindergarten, and "record investments" in K-12 education. The budget adds 300 more seats to pre-K and increases funding for students learning English.

The budget also installs the protections of the Affordable Care Act in Rhode Island no matter what happens at the federal level.

House Speaker Nicholas A. Mattiello and Senate President Dominick Jr. issued a joint statement that pushed back against the governor's criticisms.

"This budget spares Rhode Island businesses the costly new taxes the governor had sought to impose," they wrote. "We are proud that we are fully funding our commitment to phase out the car tax, something the governor attempted to slow down."

The two leaders also said their budget puts pressure on the executive branch to curb spending while encouraging fiscal discipline.

"As we continue to address the structural deficits it is imperative that we get hiring and spending practices under control," they wrote. "Given recent management failures, it's not surprising that these important measures would be met with such resistance from the governor."

— lborg@providencejournal.com

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