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Fox is wait and see on supplemental tax for Woonsocket; Paiva Weed is a conditional supporter

March 22, 2012

House Speaker Gordon Fox is taking a wait-and-see approach on the supplemental tax being considered to help Woonsocket close its $10 million deficit, while Senate President Teresa Paiva Weed is offering conditional support.

Fox spokesman Larry Berman says the speaker “hasn’t taken a position” yet on the possible tax increase in the northern Rhode Island city. “They have not given us a resolution,” Berman adds. “If and when they do, [Fox will] take a look at it.”

Paiva Weed spokesman Greg Pare offered this statement:

The Senate President believes that whether to implement a supplemental tax inWoonsocket is a local decision.

In other words, Pare says, Paiva Weed will support the supplemental tax for Woonsocket if the city’s government backs it. The statement continues:

She supports advancing current year education aid to Woonsocket to assist the city’s cash flow challenges, an action the Legislature took for East Providenceearlier this year. She also supports relief to maintenance of effort issues, which will allow the City Council to use revenues from any supplemental property tax increase for education without increasing its school obligations in subsequent budgets.

The Woonsocket City Council is slated to vote on the supplemental tax April 2. Legislative approval is required since the tax increase would exceed the city’s tax cap.

4 Comments leave one →
  1. Mister Guy permalink
    March 23, 2012 5:50 pm

    “Legislative approval is required since the tax increase would exceed the city’s tax cap.”

    There shouldn’t be a “tax cap” in the first place. That’s an artificial “solution” that just leaves RI localities even more strapped for revenues. If the RI legislature wants to get more involved in how cities & towns finance themselves, then they should start transferring more money from the state level & let localities lower their tax rates.

  2. March 24, 2012 1:07 pm

    How does raising Property taxes fix the problem? We need a cleansing
    of the problem not taking more money which only makes people bailout,
    of the City. Certainly doesn’t make the City more attractive to new people.

    k

    • Mister Guy permalink
      March 24, 2012 10:30 pm

      Can things still be cut from many local (and state) budgets? Sure, but artificially restricting the ability of communities to raise taxes doesn’t fix anything. It just forces those communities into making even tougher choices about many services & functions that many taxpayers legitimately want their govt. to be involved in.

  3. robert benson permalink
    March 25, 2012 2:36 pm

    I just saw an article that says R.I. has the highest health insurance costs in New England and is in the top 5 nationally. Why? Why should our per student K-12 education cost be 2nd highest in the country per the NEA’s own research study, Rankings & Estimates, dated Dec. 2011? Why should our firefighting cost be highest in the country per RIPEC’s 2010 state comparison study?

    Answers to these questions will provide the means to reduce the costs of these services. It is insane for a little state like RI to have to pay so much for these services. Their relatively high cost is why our taxes are so high, and the high taxes drive out businesses and anyone that can afford to move. This leads to our very high unemployment in R.I. Our government leaders in the General Assembly must lead us out of this financial morass by reducing the number of local governments in R.I. and reducing their costs.

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