Return of Tax Exemptions Sought for 9 E.P. Nonprofit Organizations

Resolutions that would seek the return of tax exemptions for nine East Providence nonprofit organizations were approved by the City Council on identical 3-2 votes on Tuesday night, June 4.

The resolutions now will be sent to the General Assembly for approval. They seek to overturn decisions made by the East Providence Budget Commission to take away the tax-exempt status of the organizations during its work in 2012 to create a balanced five-year budget.

If the resolutions are approved by the legislators, the city would lose an estimated $112,000 in tax revenue, according to East Providence Finance Director Malcolm Moore.

Voting for the resolutions were Assistant Mayor Thomas Rose and City Councilors Tracy Capobianco and Helder Cunha. Voting against the resolutions were Mayor James Briden, a member of the Budget Commission although not a member when the five-year budget was crafted, and City Councilor Chrissy Rossi.

Rossi said she could not support the resolutions without knowing how much state aid East Providence will get down the road. 

With legislative approval of the resolutions, tax-exempt status would return to the Boys and Girls Club of East Providence; the Columbus Club of East Providence; the Columbus Club of Barrington; the East Bay Community Action Program; Lodge 2337 BPO Elks; the Rhode Island Philharmonic Orchestra & Music School; Self Help, Inc.; St. Andrews Lodge No. 39 (Freemasons), and Zion Gospel Temple.

Many of the organizations lobbied the City Council at the past couple of meetings to return their tax exemptions, citing long histories as tax-free organizations that serve not only their own members but city residents and their children as well.