PROVIDENCE REPUBLICAN
CITY COMMITTEE
NEWS RELEASE
| Release Date | 2019-04-29 |
| Subject | Providence GOP Response To Elorza Budget Address – Cut Spending, Don't Raise Taxes |
| Contacts | DAVID TALAN < DaveTalan@aol.com > |
| WILLIAM RICCI < ProvidenceRepublican@gmail.com > |
The Co-Chairs of the Providence Republican Party, David Talan and William Ricci, have reacted to Mayor Elorza's annual budget address on Tuesday at 5:30 P.M. They call for balancing the city budget by reducing unnecessary spending, and not by raising taxes and fees.
The first thing the Mayor should look at is the huge amount of money needed in each year's budget, to temporarily keep the bankrupt pension system afloat. Lately, most attention has been directed at the $2,000,000,000 unfunded liability for retiree pensions and health benefits, which will cause the City to go bankrupt a few years down the road. Less attention has been paid to the huge amount included in each year's budget, just to keep this system from collapsing right now. Approximately 11 percent of the City budget (more than $80,000,000) goes for this, and the amount is projected to double in coming years. This is money that is not available to fix potholes, hire enough police, repair schools, maintain parks, and to just hold down property taxes.
The GOP leaders repeated 3 proposals they have previously made, to reduce the cost of the pension system.
- Reduce the pensions of retirees who get so much money, that they would have to take a pay cut, if they came out of retirement, and went back to their old jobs.
- Raise the minimum age to start collecting retirement benefits, up to age 60. When Governor Raimondo reformed the state employees retirement system, she raised the minimum age for all current and future employees to collect a retirement pension. Providence needs to do the same.
- The city should get out of the pension business entirely. New employees should receive an Individual Retirement Account (IRA), which they own themselves. The city of Cranston did something similar a few years ago. Under Mayor Allan Fung, 401(k) retirement plans began in 2010 for the Teamsters Union, and in 2015 for the Laborers Union. We should follow Cranston's example.
Talan and Ricci also noted that the School Department makes up 55 percent of the City's budget. There are ways to trim spending, without harming the quality of our children's education.
Transportation costs $16,000,000 a year, in the school budget. Currently, 9,000 school children are forced to take a school bus, even though almost every single child in the City lives walking distance to a nearby Elementary or Middle School. We need to return to a system of neighborhood schools, for those parents who would like to be able to choose this option (instead of having their children used as pawns in a game of musical-chairs forced busing). Talan and Ricci believe that at least half of the 9,000 students, who are now bused, would be walking to school, if their parents were given this option. Cost savings in transportation costs would be at least $6,000,000 per year.
Another very expensive part of the school system is for English Language Learners (ELL), which costs much more per student than the cost for English speaking students. The Achievement First Mayoral Academy on Hartford Ave. has developed a system, where ELL students are able to transition into traditional classes in a matter of months, instead of years; and perform very well. One of the ideas behind Charter Public Schools is to develop innovative teaching techniques, and then share them with traditional public schools. Providence needs to let Achievement First mentor the other Providence schools on how to use their successful system.
Finally, Ricci and Talan called on the Mayor to stop relying on 2 unnecessary nuisance fees to balance his budget.
One is the growing number of parking meters in neighborhoods where they serve no useful purpose, and drive away business (Federal Hill is a prime example).
And another is the use of speed-trap cameras outside of schools, during hours when there are no students outside of the school.