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Providence Council OKs request to state for one-year cap exemption, sets 8% ceiling
Summary
The Providence City Council voted to ask the Rhode Island General Assembly for a one-year exemption to exceed the 4% levy cap, with the request amended to set a maximum 8% ceiling; council members emphasized collaboration and future review as budget work continues.
The Providence City Council voted on March 20 to ask the Rhode Island General Assembly for a one-year exemption that would allow the city to exceed the statutory 4% property tax levy cap, amending the request to include a maximum ceiling of 8%.
Councilwoman Carmen Ryan, who introduced the measure, said the resolution asks the General Assembly for a temporary exemption and “institutes a maximum, a ceiling, if you will, of 8%.” She described the request as a tool for the mayor and council to use while negotiating a budget under “very hard” fiscal pressures, including rising pension payments and recent legal settlements.
The resolution, as amended, asks the state legislature to grant an exemption for one year. Ryan and other supporters said the council retains sole responsibility for passing the final budget and can choose a lower increase if warranted. Councilman Juan Sanchez urged colleagues to engage closely with the administration and the finance committee during the weeks before the mayor submits the budget.
Opponents and cautious colleagues said the measure carries risk. Councilman Oscar Vargas warned that asking permission to exceed the cap is “very risky” and said giving the mayor broader authority could amount to a blank check if not tightly constrained. Councilman Thomas Taylor urged scrutiny of every budget line and said the council should be prepared to pursue cuts if the city cannot produce new revenue.
Council members repeatedly said the resolution does not itself raise taxes; rather, it requests temporary flexibility from the state. Several speakers urged public engagement and community meetings while the council and administration craft the next fiscal-year budget.
On a roll-call vote the council recorded 14 ayes and one absence; the clerk announced the motion carried.
The resolution now goes to the General Assembly for consideration. If the Legislature grants the exemption, the mayor would still present a budget to the council, which could accept, amend or reject the tax rate ultimately proposed.
