Gov. Chafee examining the EDC, taps three for its board

PROVIDENCE, RI – In the wake of the unraveling $75 million loan to 38 Studios, Governor Lincoln Chafee is looking to overhaul the state's Economic Development Corporation and restaffing its board.

Chafee says he encouraged the six members who have resigned from the board to leave, and he's told labor leader George Nee he will not be asked to stay on.

Chafee's now rebuilding the board, nominating boat builder Marcia Blount, Newport business owner Alison Vareika, and obstetrician and community leader Dr. Pablo Rodriquez.

"I think people really want to move on. They realize this was a colossally bad decision, as it stands now, and let's move on," says Chafee.

The business watchdog group Rhode Island Expenditure Council is working on a full report of how the EDC works and what other states are doing. RIPEC Executive Director John Simmons says he's looking for volunteers who could start working on the review as early as next week.

"We're looking for people who have some knowledge of the EDC, the functionality of it, we're looking for folks who have been using the EDC for instance and what would be necessary to construct it," says Simmons.

That report is expected to be complete by September 1st.

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