Providence City Council approves $540M FY22 budget, adds WaterFire funding

THE PROVIDENCE CITY COUNCIL on Tuesday approved a nearly $540 million spending plan for fiscal 2022 and a stimulus spending plan that includes requested funds for WaterFire Providence. / PBN FILE PHOTO/CHRIS BERGENHEIM

Providence – The City Council gave the initial blessing to a nearly $540 million budget on Tuesday, despite criticism by some over the plan’s failure to address police reform.

The spending plan for fiscal 2022 approved by an 8-6 vote shaves off $371,000 from the budget Mayor Jorge O. Elorza unveiled in April, including cuts to tax revenue due to higher participation in the city’s homestead exemption tax and smaller contributions to the city’s pension fund and to the Providence Public School District. However, signature components including level taxes, funding for a new crisis diversion position within Providence Police Department and expanded community services were all retained.

While the $369.1 million tax levy, which passed under a separate vote, was uncontested, additional spending for the police department proved a sore spot among some council members.

Reiterating concerns aired at a prior Finance Committee meeting, council members questioned a $50,000 addition to the $2.9 million allotment for a new police training academy. Councilwoman Helen Anthony explained that the additional dollars were not the issue, but rather, the lack of budgetary commitment to address police reform.

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We have not delivered on our word that we would create some police reform, some accountability,” Anthony said. 

The budget does include $600,000 for a new crisis diversionary program to improve its Public Safety Department’s ability to address and respond to nonviolent and noncriminal needs such as mental health and substance abuse, which made up over half of calls to the Providence Police Department, according to a recent report. But to some council members, the plan failed to address more holistically the issue of police reform, which has become a pain point for activists across the country and in Providence over the last year. 

Councilman Nicholas Narducci offered a counterview that more cops, not less, were needed to keep the city safe, especially amid a recent wave of homicides and other acts of violence across the city.

“The gun violence is out of control in our city,” agreed Councilwoman Nirva LaFortune. “But we cannot stop the discussion around police reform. We can hire as many police officers as possible but we need to ensure there is real community policing … I am tired of us talking and not delivering.”

The budget also includes $130.9 million for the Providence Public School District – $4 million less than what Elorza proposed –  which is separate from the city’s fiscal 2022 spending plan because the district is now under state jurisdiction.

Though the city expects to receive about $160 million in stimulus funds under the American Rescue Plan Act, only about $16 million is included in the fiscal 2022 spending plan to help balance the budget. 

Under a separate vote, the council voted on a dole out an initial tranche of $42 million of its stimulus funds, including $26 million for small business relief, homelessness intervention, summer camp and youth jobs.

The amended version approved on Tuesday also adds back in the $300,000 for WaterFire Providence, which the arts agency will use in combination with $300,000 from R.I. Commerce Corp. to resume its signature downtown events in September. The $42 million spending ordinance was approved by an 8-6 vote, with a number of council members voting against the spending because of lack of public input.

The remaining stimulus funds will be spent based upon recommendations from a special committee. 

All votes on the fiscal 2022 tax levy, budget and initial stimulus spending require a second vote from the council before heading to Elorza’s desk.

Council members Anthony, John Goncalves, Kat Kerwin, LaFortune, Rachel Miller and James Taylor cast votes against the budget and the stimulus spending plan.

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