Commerce RI Has Failed to Meet Two out of Three Times, Raimondo Missed Only Meeting

Tuesday, April 07, 2015

 

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With Rhode Island's economy consistently at the bottom of national rankings, Governor Gina Raimondo appears to be unable to constitute a full board of the Rhode Island Commerce Corporation, as board departures and canceled meetings have dictated the year so far.  

The full Board has met just once since Raimondo took office in 2015, missing two out of the first three scheduled monthly meetings, and needs at least two to three seats filled, if not more, on the 12 member board.

Commerce RI spokesperson Melissa Czerwein said when asked that the current board composition was listed on their website, but at least several board members have said that they've stepped off.  

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"I'm not on the board.  I resigned a couple of months ago," said Elizabeth Francis, Executive Director of the RI Board of Humanities who was appointed by Governor Chafee for a three term in 2014.  "I wanted to give the Governor and [Commerce RI Secretary] Stefan Pryor the flexibility to bring on who they wanted."

Roland Fiore, who had been appointed in 2013 to serve through 2017, told GoLocal that he has stepped down as well.  

The Secretary of State's office lists an incomplete list of board members for Commerce RI, that lacks Fiore and Francis (as well as Rhode Island College President Dr. Nancy Carriuolo).  

"The Commerce Corporation Board will play an important role in jumpstarting our struggling economy, creating jobs, and expanding opportunity for all Rhode Islanders," said Raimondo press secretary Marie Aberger. "The Governor is currently in the midst of making decisions regarding these board appointments, and we’ll have more to share soon."

Aberger confirmed the Governor missed the one meeting that the full Board had on February 23.  The Governor serves as the 13th board member.

195 Focus?

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Commerce RI had met at least four times as a full board this time last year.  

"I think it's a combination of factors," said Rhode Island State Senator James Shehaan, who had introduced legislation to require greater oversight of the state's quasi public agencies. "If [board members] have a term that has not expired, or one that straddles a new Governor -- that person could stay on I guess, or else be brought in and said, 'Hey look would you mind tendering your resignation." And that could take time."

"It's really been the 'Raimondo shuffle' with the boards -- its methodical, and we're getting them by dribs and drabs.  There's not even an education commissioner lined up after Gist," continued Shehaan.  "You'd think Commerce would be a priority, with the $25 million [earmarked] for 195. That's really a showcase centerpiece. The 'baseball' in the ointment is the PawSox, and I think the center player is [Commerce Secretary] Pryor, whether or not the board in place."

The 195 Redevelopment District under Commerce RI's jurisdiction met on Monday night.

The development of the 195 land continues to be a priority of Commerce RI, who issued an RFP for real estate development consulting services that was due at the end of March. Commerce RI has declined requests for the names of the RFP applicants. 

Meanwhile, the General Assembly and the Senate await any nominations to confirm for the board. 

"The only Commerce appointment to have come before us this session is Secretary of Commerce Stefan Pryor. His nomination was confirmed on February 5," said Greg Pare, spokesperson for Senate President Teresa Paiva Weed.  "There are no pending appointments to the Commerce Corporation presently before the Senate."

 

Related Slideshow: Raimondo’s First 75 Days

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Out of State Staff

Raimondo shook things up prior to taking office when she announced she was bringing in former Maryland Governor Martin O'Malley Administration members Scott Neuman for Chief of Staff and Scott Jensen for Department of Labor and Training, and ousting former Healthsource RI head Christie Ferguson for Anya Rader Wallack from Vermont.   Suddenly, what had previously been often parochial appointments suddenly gained a national look -- prompting further speculation that the news Governor could ultimately be eyeing a bigger stage. 

Pictured: Martin O'Malley

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In-State Staff

While Raimondo went out of state for a number of hires, the new Governor made a point of keeping on high-profile Rhode Island political faces to serve in her Administration, from former Lieutenant Governor Elizabeth Roberts as Secretary of Health and Human Services, to former DLT Director (and Lt. Governor) Charlie Fogarty as head of Elderly Affairs, to former Traffic Magistrate and seasoned political operative David Cruise as Legislative Director and former Governor Sundlun press secretary Barbara Cottam as the new Chair of the state Board of Education.

Pictured: Charlie Fogarty

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Snow Storm Politics

Just weeks into her Administration, Raimondo declared a state of emergency prior to winter storm Juno hitting Rhode Island. Raimondo earned high marks for the handling of the preparations and response to the storm, and subsequent snow falls soon after. "The big Rhode Island story has been the heavy snowfall. It has given the Governor an opportunity to dominate the news and show herself to be in charge," said Darrell West, Vice President and Director of Governance Studies at the Brooking Institution in February.  "She has become the contemporary Joe Garrahy who used the weather to propel his popularity. This will help her down the road when she needs public support."

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Female Staff Pay

Despite campaigning on the issue of pay equity for women as a candidate for Governor in Rhode Island, Gina Raimondo’s staff is top heavy with highly paid men, who on average make significantly more than women. We hear it every election year. Candidates from all over the country promise to fight for pay equity for woman and minorities. It sounds good and is music to our ears but the truth is we are at the crossroads on this issue and have been for many years," wrote former State Representative and GoLocal MINDSETTER Joanne Giannini

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Minimum Wage Increase

Governor Raimondo's call to increase Rhode Island's minimum wage to $10.10 by 2016 has been met with mixed reviews -- support by community groups and opposition from business and taxpayer organizations. "Minimum wage workers do not earn enough to meet their basic needs.  The Rhode Island Standard of Need, a study that documents the cost of living in the Ocean State, shows that a single adult needed to earn $11.86 per hour in order to meet his or her most basic needs in 2014," said the Economic Progress Institute in submitted testimony prior to Raimondo's announcement.

"A higher minimum wage becomes yet another burden for businesses to bear.  Despite that, the Rhode Island General Assembly raised the minimum wage three times in the last three years, further exacerbating the state's anti-business climate," said Larry Girouard with RI Taxpayers. "The last thing that the state's businesses need is yet another increase in the minimum wage, whether now or next year."

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Taylor Swift Tax

In her budget proposal presented on March 12, Raimondo floated a luxury tax for second homes, which was swiftly dubbed the "Taylor Swift tax," for the pop star whose second (or third, or fourth) home in Watch Hill would qualify. 

"Disguised as a wealth tax, the "Taylor Swift tax" is really an assault on private property rights and an infringement on municipal sovereignty. You deserve better. This strategy is clearly represented in the language of the governor's proposed tax scheme, which describes property ownership as a "privilege." Further, with the state exerting control over property taxes, local governments could find themselves with diminished sovereignty to manage real-estate issues," said the RI Center for Freedom and Prosperity. 

Watch to see if Raimondo's proposal, which is intended to yield over $12 million by placing a statewide property tax on second homes worth more than $1 million, withstands the scrutiny -- and chopping block -- of the General Assembly.

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Medicaid Overhaul

When Raimondo signed an executive order during the last week of February establishing a "Working Group to Reinvent Medicaid", citing that as Governor she has an "obligation to fix a broken system," the Governor cited it wasn't just about cuts -- but her budget proposal unveiled in March is contingent on tens of millions in Medicaid cuts. 

"Cuts, that's not what this is about," said Raimondo at the press conference unveiling the working group.  "It's about tough discussions to look at short term cost savings but long term delivery system changes to yield long term reform and better outcomes."

Following the budget proposal, however, critics questioned what would happen if the Medicaid cuts didn't come to fruition. "While the governor's tax increases are all too real, her spending cuts are mostly hypothetical place-holders," said Monique Chartier with RI Taxpayers. "What will happen, for example, if her working group does not identify a way to cut $46 million in Medicaid spending next month?"

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Pension Reform Suit

The vote on the latest pension reform settlement is slated for this week, possibly putting to rest years of legal challenges to the state's landmark 2011 pension reform legislation -- which was the result of then-General Treasurer Gina Raimondo's efforts. Whether or not a settlement is reached, or if it goes to trial, any changes to the savings predicted by the reform would have to be accounted in part now by Governor Raimondo, along with cities and towns).  Any decisions made in the coming weeks on the pension reform front should make the second 75 days of the Raimondo administration look markedly different from the first, given the magnitude of developments that unfold. 

Pictured: Former Chief Justice Frank Williams, who was appointed Special Master in the pension case

 
 

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