By Steve Klamkin WPRO News
Facing a more than billion dollar pension shortfall, Providence officials launch a campaign to win voter approval of a bond to help refinance the city’s pension debt.
Mayor Jorge Elorza Tuesday announced a non-binding referendum June 7, to gauge voter approval of a more than $500 million dollar pension obligation bond, reduced from a $700 million dollar bond first proposed a year ago.
“The risk of disaster from doing nothing is not just a risk, but it’s a certainty,” Elorza said at a Tuesday morning news conference, in which he was surrounded by a number of city councilors, state legislators and other bond supporters.
“We know that if we do nothing the city will approach that next fiscal cliff, and that’s something we can’t allow to happen,” Elorza said.
“We need this tool in our toolbox because honestly, there’s just very few options left,” said Councilwoman Helen Anthony, a member of the city’s Pension Working Group that recommended the issuance of the pension obligation bond.
“If we don’t do something, this is going to be a severe financial situation for the city,” Anthony said.
Elorza positioned the referendum as a political campaign, called, “Save Providence: Vote Yes on 1,” to be paid with city funds, without estimating the cost of the campaign.
He plans a series of four community meetings to answer questions about the bond proposal, beginning on Thursday, April 21, 2022 at 6:00PM at Nathan Bishop Middle School.
