Raimondo discusses economy, social ills at Chamber event

Gov. Gina Raimondo met with business leaders and community members Monday at the Northern Rhode Island Chamber of Commerce’s (NRICC) Eggs and Issues breakfast, where she focused on the state’s social and economic issues and how to create a business-friendly environment.

Sponsored by AAA Southern New England and Pawtucket Credit Union, Gov. Raimondo was introduced by John Gregory, president and CEO at the NRICC. The NRICC, which represents Johnston and the northern part of the state, holds such events monthly as a way for the business community to question leaders about the state and its progress.

Raimondo began her address by stating that when she was elected governor Rhode Island had the highest unemployment rate in America while the rest of New England and the country had improved since the Great Recession.

“We’ve worked hard together over the past couple of years to create opportunities for the people of Rhode Island,” she told the crowd of about 140. “I’m very pleased to say that for the first time in a very long time, I announced two weeks ago that our unemployment rate is below the national unemployment average, at 4.5 percent.”

Highlighting the almost 15,000 private sector jobs created since taking office, Raimondo said she was “not satisfied” and there was still much to do to create jobs in the state, but that “15,000 families now have a lot more security than they did when we started our work together.”

“A few weeks before I was elected, Gallup – the survey operation – did a survey and they ranked our business climate dead last, 50 out of 50. They came out with that same survey a month ago and we were 28,” said Raimondo. “So from 50 to 28 in two years shows that what we’re doing is making a difference, and now, of course, we have to get together and go from 28 to the top 10, and I think we can do it, I know we can do it. We are absolutely on that path.”

Raimondo cited a United States Chamber of Commerce report that recently ranked Rhode Island as No. 2 nationally for entrepreneurship and innovation. She believes that implemented initiates, such as the state repairing over 100 bridges currently, which provides for 800 construction jobs, as showing signs of progress.

“So we are visibly improving our business climate by improving our infrastructure, but a lot of guys with hard hats are out there working, and I’ve got to tell you they weren’t working a few years ago and you know how desperate that situation was,” she said. “So together we have really improved our business climate and we’re starting to see the results.”

The governor thanked the General Assembly, saying that they have been a “great partner” in twice cutting the corporate minimum tax and assisting with an unemployment insurance tax cut for the first time since 1994.

“Every time Rhode Island has touched taxes in the past decade it’s been to lower them. This year, I hope that we’ll get together to reduce car taxes and property taxes, and again, I’m not saying that the job is done, not even close, but slow and steady, clear progress to improve our business climate making it easier and cheaper to do business in Rhode Island.”

Raimondo stated that the three areas she wants to focus on for manufacturing is making it easier for manufacturers to buy equipment, for smaller business to train people and to make a major investment in William M. Davies, Jr. Career and Technical High School, the state owned vocational school located in Lincoln.

“It’s good, it’s very good, excellent instruction, but it can be better,” she said of the school. “Every manufacturer you talk to says it’s all about skills, it’s all about job training,” she said. “So we’re bolstering our career and technical education, bolstering Davies, and then I have a package before the General Assembly right now to provide incentives for smaller manufacturers to buy equipment and train people.”

Continuing her push toward accessible higher education opportunities for the state’s residents, the governor reiterated her push for education and job training needed to obtaining 21st century jobs. She emphasized that her administration has assisted in bringing 15 companies to Rhode Island in the last 15 months and that her goal is to ensure that jobs created there are filled by Rhode Islanders.

“The way we’re going to make sure that Rhode Islanders are getting these jobs is to make sure that people have the skills, the job training and education they need to get the jobs,” she said.

Rhode Island is the first state to teach computer science in public schools in every grade starting in kindergarten, based on initiates recently championed, she said. As has been her focus for the last several months, Raimondo reiterated the importance of her Rhode Island Promise Scholarship’s plan, which provides two years of paid tuition at the Community College of Rhode Island (CCRI) for an associate’s degree, or paid tuition for the last two years at Rhode Island College (RIC) or the University of Rhode Island (URI).

“Some would say that’s the mother in me, first you have to eat your good food, your carrots and your peas and then you get your dessert,” said Raimondo. “So you’re on your own for years one and two but we’ll take care of the last two years.”

The governor provided examples of “too many students” who go to RIC and CCRI and do not finish because they can’t afford it. She told attendees that students attend school for a few years, work two or three jobs and then cut back on schooling to part time for extended periods before dropping out.

“They have a bundle of loans and no degree, and they’re not ready to get a job at one of your companies,” she said. “Almost all of the good jobs created in our country right now are for people that have some degree past high school.”

According to the governor, since the recession, America has created 11.5 million jobs, and of those jobs, 80,000 required only a high school degree. Raimondo also addressed the state’s minimum wage, which she proposed to set at $10.50, placing the state between Massachusetts and Connecticut.

“I feel comfortable that that’s about the right place to be, I’d be reluctant to go much higher anytime soon,” said Raimondo, adding that she was trying to balance decent wages for families while ensuring the state remains competitive.

Addressing social issues, Raimondo turned to the state’s drug problems, calling the recent heroin overdoses and opioid addictions a “crisis.” She told the Chamber that, through the New England Governor’s organization which she chairs, the group’s number one focus is to collaborate on the region’s ongoing drug problems and an economic issue.

“But it’s also a public health issue, and it’s one that we’re really struggling with it. That has been my primary focus with other governors is figuring out how we can bring down the opioid usage and, of course, overdose deaths,” she said, adding that she’s sharing data with neighboring states to align public safety initiatives.

The governor ended her address on an optimistic note, saying that while the state continues to advance in rank compared to others, it’s steady, measurable progress that is moving the state ahead.

“Finally, for the first time in a long time, we’ve got the wind at our back,” she said.