by Council Staff | Mar 3, 2022 | Add Council Logo, Press Release
March 3, 2022
PRESS RELEASE
City Council Approves Special Election for Troubled Pension System & Addresses Catalytic Converter Thefts
• Council passes a resolution that calls for a June 7 (amended) special election and asks residents to weigh in on whether they approve of borrowing $515 million to help the city’s
struggling pension system
• An ordinance was introduced targeting catalytic converter thefts by holding buyers and sellers of junk metal more accountable
• Councilors condemn the Russian invasion of Ukraine and stand in solidarity with the brave people of Ukraine
• Councilors passed a resolution calling on the Department of Public Works to standardize snowplowing across city neighborhoods
PROVIDENCE, RI – At tonight’s City Council meeting, a resolution passed that calls for a June 7 (amended) special election and puts the question of whether to borrow $515 million to help the city’s pension crisis in the hands of Providence voters. The council’s vote will now place a non-binding referendum question on a special ballot. The city’s Employee Retirement System (ERS) is one of the lowest funded pension plans in the nation. The Pension Working Group recommended Providence ask for state legislative authorization and voter approval to issue pension obligation bonds (POB). Legislation is currently pending in the General Assembly to allow the city to issue up to $515 million in pension obligation bonds. “It is imperative city taxpayers have the opportunity to decide on this extremely important financial decision and whether or not we issue these bonds,” said Council President John J. Igliozzi. “With low-interest rates, the timing for a pension obligation bond is ideal, but to move the proposal forward, we must have the support of residents.”
Catalytic Converter Theft
Councilman David Salvatore (Ward 14) introduced an ordinance aimed at curbing the growing problem of catalytic converter thefts across the city. The legislation would require licensed junkyards and auto repair shops to ask for proof of identification from the sellers of catalytic converters and keep and maintain records of the transactions. Licensees purchasing or acquiring catalytic converters will need to keep the converter for ten days. “Catalytic converter theft has been a continuous issue for residents in neighborhoods across the City of Providence. Tonight’s ordinance aims to strengthen local law enforcement’s ability to track down the perpetrators of these thefts and protect individuals and organizations from unknowingly acquiring and selling stolen goods. As Providence families face thousands of dollars in auto repairs due to catalytic converter theft, I will continue to explore all options at the city level to perturb this troublesome pattern” stated Salvatore.
Russia’s Invasion of Ukraine
The City Council unanimously approved a resolution condemning the unprovoked Russian invasion of Ukraine on February 23, and reckless war against the Ukrainian people. “While the violence and chaos may seem a world away, let us not lose sight of the very real pain and suffering impacting innocent people,” said the resolution. “The Providence City Council stands in solidarity with the brave people of Ukraine in their perilous struggle against foreign invaders and recognizes the thousands of Ukrainian Americans who proudly call Rhode Island home.”
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by Council Staff | Mar 1, 2022 | Add Council Logo, Press Release
March 1, 2022
PRESS RELEASE
City Council Calls for a Special City-Wide Election to Deal with the Pension Crisis
PROVIDENCE, RI – Providence’s City Council will take up legislation that calls for a May 17 special election and asks residents to weigh in on whether they approve of borrowing $515 million to help the city’s struggling pension system. The city’s Employee Retirement System (ERS) is one of the lowest funded pension plans in the nation. After working together for six months and studying options to stabilize the system, the Pension Working Group recommended Providence ask for state legislative authorization and voter approval to issue pension obligation bonds (POB). Legislation is currently pending in the General Assembly that would allow the city to issue up to $515 million in pension obligation bonds. The council’s resolution, set for a Thursday vote, would direct the Secretary of State to place the non-binding referendum question on the ballot.
“The pension crisis is a serious problem that impacts every taxpayer in Providence. If city government is going to borrow $515 million, we need to ask the public if they approve. It is important for Providence residents to have this kind of input and that’s the intent of the special election on May 17,” said Council President John J. Igliozzi. “The current financial climate and low-interest rates make a pension obligation bond a truly viable option to help mitigate a broken system,” added Igliozzi.
“In partnership with the City Council, I am excited to begin the process to schedule a special election for Providence voters to address our City’s pension crisis and pursue a Pension Obligation Bond,” said Mayor Jorge O. Elorza. “These problems have plagued our city’s finances for decades and if we do nothing, we will continue to edge closer each year to a new fiscal cliff. The pension obligation bond represents a real path forward to addressing the unfunded pension liability in a meaningful way, and it comes at the recommendation of a team of experts and industry leaders after months of research. I look forward to working with partners to educate Providence residents about this important topic before the special election on May 17.”
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by Council Staff | Feb 28, 2022 | Add Council Logo, Press Release
February 28, 2022
PRESS RELEASE
Ward Maps Released in City Redistricting Process
Providence, RI – The city’s Ward Boundaries Committee released new proposed Ward maps today, as part of a multi-step redistricting process that began more than a year ago. The committee’s consultants, Election Data Services, developed the proposed maps to reflect criteria in the Home Rule Charter, public testimony, comments heard at public hearings, committee meetings, and community conversations. “On behalf of the committee, I’d like to extend our thanks to the residents of Providence who have shared their ideas for the redrawing of our Wards. Their input is invaluable and made these maps possible. Special thanks to our city councilors, who collected feedback from their constituents and shared their neighborhood knowledge with the committee,” said Jessica Cigna, Chair of the Ward Boundaries Committee. “I’m grateful to everyone who has provided public comment via email and at hearings to date, it’s established a true partnership between city residents and the committee. I am looking forward to the continued opportunity for testimony and conversation as we vet the options before us,” added Councilwoman and committee member, Rachel Miller. “I would like to thank the Ward Boundaries Committee for their diligent work in our neighborhoods. If residents have not been involved, there is still time this week to become engaged and join in the process. I look forward to the next steps and the council’s involvement,” said Council President John Igliozzi.
Proposed maps can be found here – https://council.providenceri.gov/ward-boundaries/
Map A – Least change to current boundaries. Minimum of 300 eligible voters per precinct
Map B – Moderate change to current boundaries. Minimum 400 eligible voters per precinct
Map C – High involvement of testimony
Map D – Significant change to current boundaries done to maximize neighborhood continuity
Why does the city need new Ward Boundaries in 2022?
Every 10 years, Providence’s 15 Wards are redistricted using criteria outlined in the Home Rule Charter and based on the latest U.S. Census data. 2020 Census data shows the city’s population grew by 12,892 people to 190,934. The effort to redraw the Ward maps is led by a five (5) member committee of Providence residents and City Council members. The committee must hold at least four (4) public meetings to explain the process and get feedback before submitting the maps to the City Council. Once the Committee settles on boundaries, the boundaries are forwarded to the full City Council, which must hold a public meeting and vote twice on the boundaries before becoming final.
Next steps and public hearings for Ward Boundaries –
Monday, February 28, 2022
6:00 p.m.
DaVinci Center Community Room
470 Charles Street Providence, RI 02904
Remote access – https://bit.ly/3HmgsTR
Wednesday, March 2, 2022
6:00 p.m.
Remote Meeting Via Zoom – https://bit.ly/3tcuulY
*In order to provide public comment on 3/2, you must register at cityclerk@providenceri.gov no later than Tuesday March 1, 2022 at 3 p.m.
(Please provide your name and phone number in the email and someone will contact you to verify your information)
Meetings are also streamed live on the Providence City Council YouTube Channel https://bit.ly/pvdmeetings
All hearing locations are accessible to persons with disabilities. Individuals requesting interpreter services for the hearing impaired, please contact the Mayor’s Center for City Services at (401) 680-5221 not less than 48 hours in advance of the hearing date. Please follow all COVID-19 protocols.
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by Council Staff | Feb 17, 2022 | Add Council Logo, Press Release
February 17, 2022
PRESS RELEASE
City Council Addresses Troubled Pension System and Other Legislation
• Council passed a pension obligation bond resolution to help mitigate the city’s struggling pension system
• Councilors gave approval to renaming the Windmill School to “The Narducci Learning Center”
• Councilors passed a resolution donating a 1968 firetruck to the Rhode Island Antique Fire Apparatus Society
• Three individuals recognized for their contributions to the city and inductions into The Reverend Dr. Martin Luther King Jr. Hall of Fame
PROVIDENCE, RI – At tonight’s Providence City Council meeting, councilors passed a resolution moving the city one step closer to addressing its critically unfunded pension system. The resolution requests that the General Assembly enact legislation authorizing the city to issue general obligation bonds to finance a contribution toward the $1.2 billion unfunded pension liability of the Employee Retirement System (ERS). “This council understands the unfunded pension liability is one of the most significant issues facing our city and its ability to provide crucial services for taxpayers. We can all agree that doing nothing is not an option,” said Council President John Igliozzi. “Unfortunately, the problem hasn’t been fixed by previous administrations and now it’s our job to address this serious financial situation for the public, the city, and the integrity of our retirement system for future generations. Is this proposed bond the easy answer? No, but it will help mitigate a broken system with an infusion of $500 million. The City Council has added financial guardrails that are essential to making sure pension payments are predictable and affordable. The council respectfully asks our state leaders and state legislatures to keep an open mind in the days and weeks ahead, as they learn more about this proposal,” added Igliozzi.
The city council’s support for a bond is contingent on several financial guardrails, including:
1. Total pension obligation bond payments and the city’s actuarial determined contribution (ADC) shall not be less than $93.1 million for the first 10 years
2. City shall not close any pension bonds without receiving city council approval and bonds shall not exceed an interest rate of more than 5%
3. Expected annual rate of return shall not exceed 7%
4. Salary scale shall not exceed 3% per the current actuarial experience study
5. City shall make 100% of its annual ADC payments
Legislation (S-2321, H-7499) was introduced this week before the General Assembly authorizing Providence to issue a 25 year, fixed-rate pension obligation bond not to exceed $515 million.
Former Windmill School to Become Narducci Learning Center
The Narducci family legacy will live on in the form of a multi-million-dollar renovation project in Ward 4. Tonight, the City Council approved a resolution renaming the former Windmill Elementary School in honor of Councilman Nicholas J. Narducci Jr. and the Narducci family. The building sat abandoned for more than a decade before work began on a $30.5 million project. “I am humbled and honored to see my family’s name on a place that means so much to us,” said Councilman Narducci. “This beautiful building, at the heart of my neighborhood will finally return to its former glory.” The new Narducci Learning Center will eventually become a much-needed ‘swing space’ for students from other renovation projects.
Firetruck Donation
The City Council passed a resolution requesting the transfer of a 1968 Kaiser Mini-Pumper #2 firetruck to the Rhode Island Antique Fire Apparatus Society. According to the resolution, the truck was used as part of the task force assignments on the 3rd and 4th of July when the city battled multiple fires in the 1970s, but is now obsolete and no longer a viable tool for the City of Providence.
MLK Jr. Hall of Fame
At tonight’s City Council meeting, Councilors honored three individuals who were inducted into the City’s Reverend Doctor Martin Luther King Jr. Hall of Fame. These individuals bring decades of community service and have been selected for this honor because of their close alignment with the values and principles of Dr. King. Angela Bannerman Ankoma is the Vice President and Executive Director of Equity Leadership at the Rhode Island Foundation. Previously serving as the Executive Vice President, Director of Community Investment at United Way of Rhode Island (UWRI) and the Rhode Island Department of Health, where she was a founding Co-Director of the Health Equity Institute. Ankoma is a board member of the West Elmwood Housing Development Corporation (WEHDC) and a founding member of the WEHDC’s Sankofa Initiative which works to address modern health, financial, and community challenges in the West End of Providence. Additionally, Reverend Howard M. Jenkins, Jr. was honored. Reverend Jenkins has served as the Pastor of Bethel A.M.E. Church in Providence for over ten years. Originally from Portsmouth, Virginia, Reverend Jenkins is retired from General Dynamics Electric Boat after a 31-year career. Reverend Jenkins is the president of the Rhode Island Ministers Alliance and a member of several community organizations. The final inductee honored was Idrees “Lanre” Ajakaiye, a Providence native and the President and CEO of the 25 Bough Street development, an innovative mixed-use commercial space in the heart of Olneyville. Ajakaiye has helped to develop and host events such as the New England Family Fun Festival and the R.I.S.E. Women’s Leadership Conference in partnership with his wife, Hilina Ajakaiye. Ajakaiye also serves as a mentor through Year Up, College Leadership RI, local schools, and has long been involved in youth basketball in Providence. The City Council extends its sincerest congratulations to this year’s inductees and thanks them for their wide-ranging contributions to the City of Providence.
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by Council Staff | Feb 10, 2022 | Add Council Logo, Press Release
February 10, 2022
PRESS RELEASE
Finance Committee Passes Pension Obligation Bond Resolution
PROVIDENCE – At tonight’s Providence City Council Finance Committee meeting, a resolution was passed bringing the city one step closer to reducing its massive unfunded pension liability. The resolution requests that the General Assembly enact legislation authorizing the city to issue general obligations bonds to finance a contribution toward the $1.2 billion unfunded pension liability of the Employee Retirement System (ERS). According to the Providence Pension Working Group, the city’s pension system is among the lowest-funded pension plans in the country. The Council supports a pension obligation bond of not more than $515 million, contingent on several financial guardrails, including:
• Total pension obligation bond payments and the city’s actuarial determined contribution (ADC) shall not be less than $93.1 million for the first 10 years
• City shall not close any pension bonds without receiving the City Council approval and bonds shall not exceed an interest rate of more than 5%
• Expected annual rate of return shall not exceed 7%
• Salary scale shall not exceed 3% per the current actuarial experience study
• City shall make 100% of its annual ADC payments
“The Providence City Council understands that inaction is not an option here, but we needed to make sure certain financial guardrails were set in place for such a large transaction. Tonight, we are one step closer to helping firm up the city’s unfunded pension system and we’re taking a monumental step to put the city’s finances in a better position. I am fully committed to pursuing all available pension reforms to address the city’s unfunded liability. I want to thank my council colleagues and the city’s pension working group for their efforts,” said Councilwoman Jo-Ann Ryan (Ward 5), Chairwoman of the Finance Committee. The resolution will now move to the full council for a vote on February 17. Copies of the resolution will be sent to the Senate President, the Speaker of the House, and members of the Providence delegation.
