By John Donegan

Last month, a bipartisan super majority of the Cranston City Council voted to not approve Mayor Ken Hopkins’ proposed Fiscal Year 2023 Budget. Members of the Cranston City Council Democratic Caucus -- Jessica Marino (citywide), Council Vice President Robert Ferri (citywide), Lammis Vargas (Ward 1), Aniece Germain (Ward 2) and Majority Leader John Donegan (Ward 3) -- were joined by Councilman Matthew Reilly (Ward 6 and Chairman of the Cranston Republican Party), to reject the budget proposal.

The mayor’s budget jeopardizes the financial stability of the city. The mayor’s budget includes a spending increase of $19.5 million, which translates to a 6.27 percent spending increase. The budget includes a 2.85 percent tax increase, and more than half of the city’s remaining Covid American Rescue Plan Act (ARPA) Funds ($19.4 of $34.8) toward operating expenses.

As the Democratic Caucus, we strongly disagree with the mayor’s use of our city’s Covid ARPA funds. We hold that these funds offer a once in a lifetime opportunity to invest in our community. With the remaining funds, we should look to address infrastructure, our housing crisis, lead contaminated water lines, parks and open space, resiliency and sustainability projects and disparities to create a healthier, more equitable and just Cranston for everyone. The mayor’s use of these funds to plug budget holes is a waste of this opportunity.

Due to the use of these one-time revenues toward ongoing expenses, built into the budget is a structural deficit of $12 million. According to financial estimates, it would take the city several years to climb out of the structural deficit created by the mayor’s budget; in order to due so, the city would need to rely on several consecutive years of 3 percent tax increases, and further dependence on Covid ARPA funds to plug future deficits in the budget. Such financial planning would hurt the city’s bond ratings and place the burden for the mayor’s poor financial planning on the backs of Cranston residents.

As a council, we faced the daunting task of trying to resolve the structural budget issues in just a few weeks. Throughout the public budget hearings, members of the council -- from both parties -- repeatedly inquired about opportunities for savings and generating revenue to reduce the dependence on a tax increase and Covid ARPA funds.

As a body, the council offered amendments, some from our Democratic Caucus, and others from our Republican colleagues. These amendments resulted in savings and increased revenues of over $1 million. Despite this, as amended, the council faced a budget that still included a structural deficit of more than $10 million due to the budget’s reliance on one-time Covid ARPA funds.

In four weeks, the council cannot reasonably be expected to accomplish what the mayor failed to do in a year with the full array of administrative supports: resolve, or even address, the underlying structural deficit and put forward a fiscally responsible plan for the year(s) to come.

Faced with an amended budget that still included a structural deficit of over $10 million due to the use of the City’s Covid ARPA funds, we, the Democratic caucus, could not in good conscious actively vote to approve of a budget that we all know will prove detrimental to the financial well-being of our city for years to come. In transparency, we recognize that, due to provisions in the Charter which at this time are beyond our control, if a budget is rejected it results in the mayor’s initial proposed budget becoming law. With that said, the mayor should look to the amendments made by the council for areas to decrease expenditures, and increase revenues; just because the mayor has $330 million at his disposal does not mean he has to spend it all.

It is our hope that the mayor will work to address the structural deficit for subsequent years in a way that will not pass the burden onto Cranston residents. We, as the Democratic Caucus, desire to work collaboratively with the mayor and his administration, and our colleagues on the council to resolve these issues.

We will continue our work on behalf of the residents of Cranston, with their best interest in mind and in action, at all times.

John Donegan is high school social studies teacher, is elected to the Cranston City Council representing Ward 3 and serves as the Majority Leader for the Democratic Caucus.