Raimondo vetoes automatic contract extension bill

Gina M. Raimondo has vetoed a bill that would have automatically extended expired municipal employee and teacher contracts. / PBN FILE PHOTO/ MICHAEL SALERNO
Gina M. Raimondo has vetoed a bill that would have automatically extended expired municipal employee and teacher contracts. / PBN FILE PHOTO/ MICHAEL SALERNO

PROVIDENCE – Gov. Gina M. Raimondo vetoed legislation Wednesday that would have extended municipal labor contracts indefinitely if they were not renegotiated by expiration, a move that was cheered by representatives of cities and towns.

The bill proposed to amend existing law on arbitration for certified school teachers and municipal employees. It would have added sections that required all contractual provisions in collective bargaining agreements to continue until a new agreement had been reached, except for those that limited layoffs.

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In a veto message sent to the House Speaker, Raimondo said the expiration of contract agreements motivates the two parties to come together. The law would tie the hands of municipal leaders, and ultimately bind taxpayers, to contracts that would never end, she wrote.

“Currently, Rhode Island law prohibits a municipality from signing a labor contract that extends for more than three years. There is good reason why this is our current practice. This law protects the taxpayers from being obligated indefinitely for contract provisions that, in the future, may not be affordable.”

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In late June, municipal leaders, including the mayors of most cities in Rhode Island, signed a letter that urged opposition to the bill. Elected officials who opposed it included Pawtucket Mayor Donald R. Grebien, North Providence Mayor Charles A. Lombardi, Warwick Mayor Scott Avedisian, Cranston Mayor Allan W. Fung and Central Falls Mayor James A. Diossa.

Providence Mayor Jorge O. Elorza took no position on the bill, according to his spokeswoman.

In a statement, Brian M. Daniels, the executive director of the Rhode Island League of Cities and Towns, said the legislation would have made it harder for communities to negotiate with local unions.

“Extending a collective bargaining agreement automatically and indefinitely after its expiration date would provide greater leverage for employees at the expense of municipal officials and taxpayers,” he said. “Employees would have no incentive to make concessions on wages, health care or work conditions.”

Rhode Island already has one of the highest property tax burdens in the country, he noted. “In recent years, municipal leaders have worked to control property tax growth, but this misguided legislation would have undermined those efforts.”

The bill, called 2017-H 5593 Substitute A, was sponsored by representatives Camille Vella-Wilkinson, D-Warwick, Moira Walsh, D-Providence, and Robert B. Jacquard, D-Cranston.

Mary MacDonald is a staff writer for the PBN. Contact her at macdonald@pbn.com. Follow on Twitter @MaryF_MacDonald.

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