RI News
8:50 am
Fri March 29, 2013

East Providence to Resume Control of City Budget

Leaders in East Providence will soon be back in charge of city finances, after a state budget commission stepped in to solve a financial crisis.  After 15 months Governor Lincoln Chafee says the commission is now ready to put budgeting authority back in the hands of local city and school officials.  In a statement, Chafee declares East Providence well on the way to financial stability.

The city had a serious cash flow problem in 2011, in part because the school district racked up a significant deficit.  The budget commission cut spending and made changes to the city pension system.  East Providence also received a windfall of $49 million from a settlement with Google over illegal pharmaceutical ads, after city police assisted with the investigation.