Critics: Central Falls Receiver Sets ‘Dangerous Precedent’
Thursday, November 11, 2010

“It sets such an extremely dangerous precedent that could be used against other communities,” said Steven Brown, executive director of the Rhode Island affiliate of the ACLU. “It amounts to a complete disenfranchisement of the electorate.”
Almost immediately after he was appointed as receiver, on July 16, Pfeiffer relieved Mayor Charles Moreau of his duties and slashed his pay. This week, he turned to the City Council, removing their powers, which he vested in his own Receiver’s Council.
'Overstepped the bounds of his authority'
That’s going too far, according to Dan Beardsley, executive director of the Rhode Island League of Cities and Towns.
Prior to this week’s action, Beardsley said Pfeiffer had stayed within the bounds of the authority granted to him by a new law passed earlier this year. “He didn’t remove the mayor. He didn’t remove the city council. He just exercised the statutory authority given to him,” Beardsley told GoLocalProv.

“However, replacing elected officials with a hand-picked group of elected officials I think goes beyond the authority upheld by Judge Silverstein,” Beardsley said. “I think he’s overstepped the bounds of his authority.”
Judge rules controversial law is constitutional
A key issue is whether the new law and the actions of the receiver have changed the form of government in Central Falls. Silverstein, in declaring the law constitutional, said the government in Central Falls has not been changed. “As a result, the Court holds that the Act applies alike to all cities and town, addresses a statewide concern, does not alter a municipality’s form of government, and is substantially related to public welfare,” Silverstein wrote.
But Brown contends that Pfeiffer’s latest actions cross that line. Pfeiffer has handed over the powers of the city council to the Receiver’s Council, including licensing, permitting, and zoning. He also said he would provide updates on his work to them, instead of the city council.

'Wild accusations and wild claims'
For all his broad powers, what Pfieffer has been able to do with city finances has been limited to raising taxes, Beardsley claimed.
Amy Kempe a spokeswoman for Pfeiffer, disputed that. She ticked off a number of achievements: setting a $450 road operating permit for utility companies, reducing bonuses for employees who don’t take medical benefits from $5,000 to $1,000, eliminating vacant positions, and instituting layoffs. In all, she said he’d cut more than $1 million out of the budget.
“They’re making these wild accusations and these wild claims, yet they’re not based in any truth,” Kempe said.
She also dismissed worries that other communities might be next, saying the state prefers to work with financially distressed cities and communities to address their problems before they worsen. “The state’s first choice is not to go into a city or town to impose financial measures on them to fix their fiscal issues,” Kempe said.
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Comments:
Lance Chappell
8:25am on Thursday, November 11, 2010
Perhaps the critics of the new receivership law should review the statute. Receivers usually have absolute power over an entity they are appointed to work on. Central Falls initially petitioned for receivership and the state responded. Now these critics are not happy with this process. The ultimate answer is of course to merge this community into either Pawtucket or Lincoln. A one square mile community is a bit absurd!
daniel issa
10:29am on Thursday, November 11, 2010
the central falls city council REQUESTED TO BE PLACED INTO RECEIVERSHIP.
THE COUNCIL PASSED BOGUS BUDGETS AND SOLD OFF THE ASSETS OF THE PENSION SYSTEM OVER THE LAST FEW YEARS. THEY PASSED THE BOGUS BUDGET TO GET REELECTED TO THE FIRST 4 YEAR TERMS BY IGNORING THE WARNINGS.
THE CITY COUNCIL STILL HAS NO PLAN OR IDEA ON HOW TO GET OUT OF THE HOLE THEY DUG.
DANIEL ISSA, FORMER STATE SENATOR DISTRICT 16
Frank Moreau
3:07pm on Thursday, November 11, 2010
The problems facing many RI communities are the result of years of decisions over many administrations. Mayor Moreau is not to blame for the issues in Central Falls.
Mayor Moreau had the guts to attempt change. Unfortunately, he crossed the Govenor and RI legislators.
Citizens all over this State must express concern and outrage because duly elected officials have been overthrown. In fact, the people that lost the CF elections are now in decision making roles.
Taxation without representation is one thought that comes to mind.
Wait until the final costs of the Pfeifer regime are announced. Hundreds of thousands of dollars...be assured.
Gary Arnold
6:10pm on Thursday, November 11, 2010
Hello RI, this will be the way of the future thanks to mismanagement of finances by local mayors and council members for years. No planning or vision by these people just plunder for their future at the expense of the tax payers. The public sector is out of control, too large, too much friends paying friends and no budget knowledge. This has been fostered by the lack of responsibility from the General Assembly and associated collusion with the public sector unions. Its no longer a joke the you can not tell the difference from a GA legislator and a Union Boss. They are one of the same. We need to take back our state and country and rewrite all public service union contracts to be more inline with the private sector, doesn't that scare the public sector. No protection for non performance and accountability. This recession may be a blessing in disguise and make us rework the waste in our state and local governments.