5 Days Into New Fiscal Year, Gov. Raimondo Signs RI State Budget

Five days into the new fiscal year, Rhode Island officially has a new state budget. On Friday, Governor Gina Raimondo signed the budget bill, which was approved by both the House of Representatives and Senate over a week before. Raimondo had several criticisms for both the General Assembly and the budget, signing it to "delay further progress."

"Five years ago, we began a new way of doing business in Rhode Island, and that plan is beginning to show great results for the people of Rhode Island. Our economy is stronger than it has been in decades," Gov. Raimondo's letter of transmission reads in part. "Last year, we marked several undeniable signs of progress: our labor force grew for the first time in 13 years; between 2014 and 2018, we experienced the largest drop in unemployment in the country; and our state recorded its highest job counts in history. Just a few years ago, the unemployment rate in the construction trades was over 20 percent, today it is under 3 percent – that means thousands of Rhode Island families have the security of well-paying jobs."

Raimondo praised the "important steps forward" included in this years budget, including increasing the number of children who can take part in the state's preschool program by 300, increasing funding for English Language Learner programs and providing state-level Affordable Care Act healthcare protections.

At the same time, Raimondo criticized several cuts made in the new budget.

"In other important ways, the General Assembly’s budget restricts our ability to grow the economy and unwisely takes our foot off the gas at a critical point in our comeback," Raimondo said. "By cutting our innovative and effective new economic development tools, our progress is put at risk."

Raimondo called cuts to the Qualified Jobs program and Real Jobs Rhode Island program "shortsighted," and said that a new tax incentive program and the push for new license plates are not in the best interests of Rhode Islanders.

State legislators did not include the governor's proposal for legalized recreational marijuana in the final budget, though the bill does authorize the creation of six new compassion centers in the state.

"[The budget] fails to address the root causes of marijuana entering the black market while also taking the responsibility of writing regulations away from professionals and putting it into the hands of legislators," Raimondo said of the decision.

The governor's largest criticisms were for "unprecedented" restrictions related to increased needs of the Department of Children, Youth and Families, the legislature's decision not to cap spending and the lack of a line-item veto in Rhode Island.

"In the past five years we have had notable successes on this front: 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. 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," Raimondo said of the DCYF restrictions. "This budget also does nothing to reduce spending—in fact, the legislative budget appropriates more spending than the budget that I submitted in January."

Also included in the budget: funding for Speaker of the House Nicholas Mattiello's car tax phase-out and the elimination of the "tampon tax" in the state and an increase in fees at Rhode Island state parks and campsites, though beach fees will remain the same.

"I’m pleased that we were able to support and expand education at every level from early childhood to college, and that we are continuing to foster economic development, especially for small businesses. This is a responsible budget that invests our resources based on our state’s needs and goals," said Senator William J. Conley Jr, the chairman of the Senate finance committee.

Raimondo said she plans to work with the General Assembly in her remaining time as governor to "produce budgets that reflect our shared priorities and put Rhode Islanders first."

"This is what Rhode Islanders expect and deserve. I look forward to working hard in partnership with the legislature in the years to come," Raimondo said. "Given the urgency of our shared mission to improve education and move Rhode Island forward, I cannot in good faith take action that would delay our progress."