PROVIDENCE, R.I. (AP) — Gov. Daniel McKee has unveiled his proposed $11.2 billion state budget for the upcoming fiscal year without including steep tax increases.
There are plans to raise additional revenue by taxing larger Paycheck Protection Program loans that have been forgiven, as well as by increasing beach fees and by legalizing recreational marijuana in the plan unveiled Thursday.
There is also a proposal to create permanent funding stream for the construction of affordable homes by taxing the sale of homes that sell for more than $700,000 at a higher rate.
The proposal also calls for continuing to provide two years of free tuition at the Community College of Rhode Island to full-time students straight out of high school, and continuing the car-tax phaseout.
The Democratic governor acknowledged that much depends on the potential $1.1 billion in new federal stimulus dollars headed to Rhode Island from the pandemic relief legislation President Joe Biden signed on Thursday.
The next fiscal year begins July 1. Lawmakers will soon begin holding hearings on McKee’s plan, with passage of a final budget bill expected by June.
