Budget Commission Considers Supplemental Tax Contingencies

The Woonsocket Budget Commission briefly discussed canceling accounts payable as an option in the event the $2.5 million supplemental tax bill, to be considered by the full RI House tomorrow, doesn't pass.

The RI Senate has already passed its version of the bill, S-0820, sponsored by by Senators Marc Cote (D-Dist 24) and Roger Picard (D-Dist. 20).  

Should the House bill, H-6103, sponsored by Rep. Lisa Baldelli-Hunt, (D-Dist. 49) and co-sponsored by Reps. Stephen Casey (D-Dist. 50) and Bob Phillips (D-Dist. 51), pass Wednesday, more time will be needed to reconcile it with the Senate bill. 

Last week, Council President and Budget Commission member John Ward noted there's a shrinking window to pass the supplemental tax in time to mail out bills ahead of the June 30 deadline. 

Tax Assessor Chris Celeste said he'll need about three weeks to get the bills sent out once the supplemental tax is approved. "If they can turn it around soon enough we'll still have time," Celeste said. 

Should the supplemental tax fail in the House as it did last year, the city would have to pick and choose where to spend its resources. "If worse came to worst, it would come to a policy decision," said Mayor Leo Fontaine, on whether to cancel payables in favor of cash flow. "It could be very dire if that supplemental does not go through," Fontaine said.

The supplemental tax is among the most potent in the array of tools the Budget Commission intends to use in its 5-year plan to repair the city's chronic financial shortfalls. But all of them are necessary to make the plan work and avoid calling in a receiver, Commission members say. Several officials and experts have noted the wisdom of avoiding receivership.

Also during Monday's meeting, The Budget Commission approved $12,150 for a clothing allowance for Woonsocket Police officers, and $54,600 for uniform maintenance for officers.

Both expenditures were part of a previous contractual agreement between the city and Local 404 of the IBPO in Fiscal 2013, and failure to honor it would likely result in a class action grievance, Chief Thomas Carey noted in a memo to the Commission. While the Commission has the power to change expired agreements, it does not have the authority to break contracts still in effect.