RI State Report: 2014 Budget Highlights

Saturday, June 29, 2013

 

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This week’s State Report centers on the General Assembly’s approval of the state’s 2014 budget. Also on the docket is a newly approved measure that would increase the state’s minimum wage to $8. Additionally, we’ll look at three bills awaiting approval in the General Assembly that address tenants’ foreclosure rights, gang-related crimes, and firearm safety.

Assembly approves 2014 state budget

On Thursday evening, the Senate passed Rhode Island’s 2014 state budget in a 32-6 vote, giving the legislation the final approval it needed. The measure includes no tax or fee hikes, contains multiple economic development programs, fully funds the institution of the school funding formula, and allocates extra funding for cities and towns. The House approved the bill on Wednesday.

The legislation sets aside $2.5 million for a payment related to the state’s failed 38 Studios investment; creates a plan to delay the implementation of the Sakonnet River Bridge tolls; provides $35 million in tax incentives for historic redevelopment; pledges $4.5 million for workforce development; gives $7 million to a new roads and bridges program; and eliminates sales tax on works of art.

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“This is a responsible budget that answers to the citizens and the small businesses in our state,” said Rep. Helio Melo, chairman of the House Finance Committee. “We recognize that they can’t afford more taxes, and we’ve identified ways to close the deficit without raising them. We’ve included a number of programs to encourage businesses to create jobs and help people get those jobs and keep them so they can support themselves and their families.”

The legislation includes no pay raises for state workers in 2014 and slashes the House’s budget by $800,000.

The 2014 state budget will now be sent to Gov. Lincoln Chafee for final approval.

Assembly approves minimum wage increase to $8

The General Assembly approved legislation on Thursday that raises Rhode Island’s minimum wage from $7.75 to $8 per hour, starting January 1.

“Minimum wage workers are vital to keep our economy running and many businesses functioning,” said Sen. Erin P. Lynch, who sponsored the bill in the Senate. “Not only will the increase to $8 help those at the bottom of the pay scale make a little more as they struggle to make ends meet, the timing of the increase -- at the beginning of the calendar year -- will ensure that businesses have ample time between now and then to prepare to implement the new rate.”

The state’s current minimum wage of $7.75 went into effect this January, due to legislation passed last year. Prior to the increase, Rhode Island had gone the longest of the New England states without a wage increase.

The $8 wage will make Rhode Island’s minimum wage the third-highest in New England, behind Vermont at $8.60 and Connecticut at $8.25. The federal minimum wage, which has remained unchanged since 2009, is $7.25.

Senate passes measure to protect tenants’ right in foreclosures

On Tuesday, the Senate approved a bill that will protect tenants from unfair treatment and sudden evictions if their place of residence is facing foreclosure proceedings.

“As if it isn’t enough that people are struggling out there, now some of these families and individuals are being unjustly evicted, through no fault of their own,” said the bill’s sponsor Harold M. Metts. “These unfortunate tenants -- just one set of victims of the foreclosure crisis in our state -- are dealing with having to vacate their homes and sometimes being moved in an unreasonable manner. There need to be process -- such as that established in this legislation -- in which tenants have proper notice and the right to defend themselves against any injustice.”

Under the legislation, a foreclosing owner is required to post a written notice with names, addresses, phone numbers and contact information of the foreclosing owner, building manager, or other representatives within 30 days of a foreclosure.

The bill also stops a foreclosing owner from evicting a tenant except for “just cause,” which includes tenants that create a nuisance in the unit, use the residence for illegal activity or fail to pay rent.

The measure will now be sent to the House for consideration. A companion House bill sponsored by Rep. John G. Edwards is presently before the House Judiciary Committee.

Senate approves increased sentences for gang-related crime

The Senate passed a bill on Thursday that would add an additional term of up to one year for misdemeanors, and up to ten years for felonies committed in connection with gang activity.

“Gangs have serious and terrible effects on neighborhood life in our city and in others, and those who commit crimes to do their bidding or to gain status in them should be punished accordingly,” said Sen. Paul V. Jabour, the bill’s sponsor. We should send a message to members: If you think being part of a gang makes you special, it will when it comes time for sentencing.”

According to the measure, sentences would be served consecutively with whatever sentence the defendant receives for the crime itself, but cannot be suspended.

Rep. Raymond A. Hull has introduced a similar bill in the House.

House OKs creation of firearms safety and behavioral health task force

On Wednesday, the House passed a measure to create a task force to tackle firearms safety and behavioral health issues in the state. The bill is part of a legislative package introduced earlier this year to address gun safety following the Sandy Hook Elementary School tragedy.

“This legislation is aimed at developing gun safety laws that balance public safety with individual rights, particularly those of people with behavioral health issues,” said Rep. Deborah Ruggiero, the bill’s sponsor. “There have been some serious tragedies involving people with behavioral health issues and guns, and there’s not going to be a quick fix to prevent more. We need the input of experts and we need to consider any changes in a deliberate, thoughtful way, with the needs of all Rhode Islanders represented.”

The measure creates a 20-member task force responsible for examining the rights of individuals with mental health issues to own guns, and the risks associated with it. The committee will review current law and make recommendations on legislation to improve public safety with regard to mental health issues and gun ownership.

The panel must report back to the governor and the General Assembly before Jan. 1, 2014.

 
 

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