Central Falls Broke, Judge Names Receiver
Thursday, May 20, 2010
Central Falls is facing an estimated $3 million budget shortfall, according to city councilor James Diossa. One cause of the deficit is the ultimately false assumption that the city would net more than $1 million in revenue from the Wyatt Detention Center, Diossa said.
Last year, the city was counting on $500,000 from Wyatt, but did not receive it. “If we didn’t receive the money last year, what made them think that we would receive the money—and more—this year,” said Diossa, who was elected last November.
Diossa voted against the resolution declaring insolvency. “We should be held accountable,” he said. “We just really have to sit down and make cuts and see how we can do this before we go to the courts.”
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