Assembly OKs $2.5M Supplemental Tax Bill Contingent On Union Concessions

The RI House has passed Lisa Baldelli-Hunt's Supplemental Tax Bill raising an extra $2.5 million for Woonsocket's annual tax base, amended to take effect if Woonsocket realizes $3.7 million in union concessions.

The amendment was applied in the Senate late Tuesday evening after  Baldelli-Hunt lifted a weeks-long hold on the legislation, sending it to the Senate chamber, then back to the House as the General Assembly's last hours in session for the year stretched into Wednesday. 

"So it now goes to the Governor," said Larry Berman, communications director for House Speaker Gordon Fox.

The amended text of the bill reads: The text reads: "Such supplemental tax shall be contingent upon the city of Woonsocket's realization of a total amount of no less than three million seven hundred fifty thousand dollars ($3,750,000) in savings resulting from municipal enactment or concessions from collective bargaining agreements with applicable Woonsocket unions and retirees. No tax sale shall be conducted by the city prior to June 15, 2014 for nonpayment of the supplemental tax." 

All but two of the city's unions have ratified the agreements the Budget Commission needs to effect the savings in its 5-year-plan, most of which are realized through moving to a unified health insurance and moving eligible retirees into Medicare. 

The police union was scheduled to finish their vote today. The firefighter's union, with their contract expiring next year, remain at an impasse in negotiations with the city.