The First 60 Days: Taveras vs. Chafee

The First 60 Days: Taveras vs. Chafee

Both the state and the capital city are facing serious deficits—but Providence Mayor Angel Taveras and Governor Lincoln Chafee have taken nearly opposite approaches to dealing with the problem.

Taveras swiftly acted to address what he describes as a fiscal emergency, forming a finance review panel barely a week after taking office—followed by a series of actions that reached a climax last week in the firing of all city teachers. Chafee, on the other hand, has said little about how he would deal with an estimated $300 million deficit and has instead dealt with controversies over illegal immigration and gay marriage.

“Taveras has gone through a remarkable transformation by throwing down the gauntlet,” said one Statehouse source. “Many questioned whether he was prepared to be the chief executive of a capital city when he had no experience running anything, but to come out of the gate … and be making executive-type decisions should be giving people pause to think that he doesn’t have the wherewithal to be the chief executive.”

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First 60 Days for Taveras: Mass Firings, Two Audits, and a Budget

Consider the steps Taveras has taken in his first 60 days:

■ The week after taking office, he formed a special finance review panel.
■ At the end of his first month, he proposed his first budget—halfway into the fiscal year.
■ After the release of the annual 2010 audit showing a $57 million deficit, Taveras announced he was declining his second pension.
■ Near the end of the month he announced furloughs for all non-union employees.
■ Last week, he terminated all public school teachers, citing the seriousness of the budget deficit. He also said he would be closing some schools next year.
■ This week, his office unveiled the findings of that finance review panel, accompanied by a comprehensive plan to dig the city out of an estimated $180 million financial hole.

His aggressiveness is earning Taveras, a progressive Democrat, praise from across the aisle. “I think Angel has done what probably needs to be done which is really look at the finances,” said Patrick Sweeney, a candidate for state GOP chair. “It doesn’t matter which party you’re in—we have to show fiscal restraint in these trying times so we’re not mortgaging our children’s future.”

Chafee: Talk Radio, Immigration Debates

Chafee, in contrast, requested an extension for the deadline to submit his budget—his request came in the day after Taveras submitted his budget. So far, Chafee has announced just one budget reduction measure, according to a GoLocalProv review of his official press releases—a 15 percent cut in legal fees which will save an estimated $444,000 a year.

Meanwhile, his first 60 days have been marked by a number of controversies unrelated to the budget:

■ The day after taking office, Chafee issued his first executive order, rescinding the E-Verify immigration program.
■ Soon afterwards, Chafee sparked controversy by banning state employees going on talk radio—only to later back down from it.
■ Chafee took a public stance in favor of gay marriage, submitting testimony in favor of the legislation at a House Judiciary Committee hearing last week.
■ The same day that Taveras outlined his budget rescue plan, Chafee was embroiled in yet another controversy after State Police Colonel Brendan Doherty stepped down. The resignation came about a public dispute over the implementation of the Secure Communities immigration program.

Chafee being ‘thoughtful’ on budget

“He’s got years of experience. He’s got a team of people who have been involved in politics for a long time and they seem to be running around like chickens with their heads cut off,” said the Statehouse source.

Next week, Chafee is scheduled to release his budget. So far, details on what he is planning to cut have been scant. But he has made at least one thing clear—the one percent sales tax is still in it. “We do know that they’re won’t be any long-term pension fixes, which is extremely disappointing,” Sweeney said. He said state payments on pensions are currently well above $300 million and are expected to reach $1 billion in 15 years, pointing to public statements by General Treasurer Gina Raimondo.

But one public policy leader said Chafee deserves credit for not acting in haste.

“I think that knowing what I know about him, he’s trying to be thoughtful,” said Kate Brewster, executive director of the Poverty Institute at Rhode Island College. “You can’t just come into office and close a $300 million deficit overnight.”

Yesterday, the Governor’s office also brushed aside criticism that he has not taken the initiative on the budget.

Spokesman Christian Vareika said that it is “usual and customary” for a new administration to get an extension on the budget.

“The Governor has been working with his budget team to craft a budget proposal that—through a combination of cuts and revenue generation—addresses the nearly $300-million deficit facing the state,” Vareika said. “The Governor believes achieving this will require shared sacrifice and collective determination. He is confident that the budget he will unveil on Tuesday will set a framework for getting Rhode Island's fiscal house in order.”

A Timeline of Some Key Events