Violet: Rhode Island is on a spending binge

Posted 8/1/15

One way to improve the unemployment rate is to hire more government workers. That’s what Governor Gina Raimondo is doing. She recently unveiled plans to hire an additional 10 people to work for the Commerce Corporation. The quasi-public agency …

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Violet: Rhode Island is on a spending binge

Posted

One way to improve the unemployment rate is to hire more government workers. That’s what Governor Gina Raimondo is doing. She recently unveiled plans to hire an additional 10 people to work for the Commerce Corporation. The quasi-public agency already has about 31 employees. A little birdie told me she actually has plans to hire 20 new employees. For what? Other than rhetoric about the need for more people, little explanation has been tendered as to what the positions are.

The Governor also wants to increase pay up to 33 percent for some of her newly-hired directors. All of them recently re-upped for their jobs a little more than 6 months ago at their present salaries. House Speaker Nick Mattiello and Senate President Teresa Paiva Weed support the salary hikes, saying that compensation for department heads needs to be competitive in order to attract high quality talent. Of course, they apparently miss the point that the directors all agreed 6 months ago to stay or take the post at their then-respective salaries.

The raises also beg the question as to what has happened to the concept of public service. It used to be that people served in government in order to give back to the community. Back in the 80’s the post of Attorney General paid $40,000. As a public interest lawyer I (or rather the Sisters of Mercy, since I was a nun at the time and the Order received my earnings) was making over $100,000. The religious order didn’t hesitate in encouraging me to run for that office.

The pay raises also send the wrong message to parents of disabled children and poor elderly people who are experiencing cuts in Medicaid that actually affect their quality of life. I’m sure they are wondering about how the already six-figure department heads can’t make do with their salaries, health care and pension contributions. The whole affair is reminiscent of a “let them eat cake” mentality.

Then we have the specter of the Providence Water Supply Board moving to a $39 million site. Officials in Providence have treated the purchase of the building at Dupont Circle like a state secret. There is a flat refusal to tell the public who is the owner of the building, since it is listed in the name of an LLC which shrouds the real parties in interest. One can only conclude that if this deal was really on the up and up we’d know who is making a financial killing with the Board paying $1.8 million beyond the appraised value, according to Dan McGowan of WPRI. The Board wants to float bonds and have ratepayers pay them off. As everybody knows, depending on the number of years for repayment, the move could cost double with interest payment and bond fees. In a state still economically reeling from its economic malaise it’s astounding that this project has traction.

Then again, the Providence City Council has the example of the state, which is still pursuing bonds for bridge repair that would hit a billion dollars, as well as the potential Pawsox stadium deal. So, all those Medicaid people who saw their diaper budget dive? They now know what the state's priorities are—and it’s not them.

Arlene Violet is an attorney and former RI attorney general.

Arlene Violet

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