Shekarchi Flip-Flops — Now Giving Citizens Bank Additional $15 Million Corporate Subsidy

Shekarchi Flip-Flops — Now Giving Citizens Bank Additional $15 Million Corporate Subsidy

Speaker of the House Joe Shekarchi, who had repeatedly said that he would not take up the Citizens Bank deal this session, has flip-flopped. Now, he is pushing a last-minute deal that provides the bank with an additional $15 million windfall annually.

The bank will realize a $7.5 million subsidy this calendar year.

Citizens is getting its last-minute deal after threatening to leave the state.

GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLAST

This is on top of the more than $90 million that Citizens has received in subsidies from Rhode Island taxpayers over the past four years.

Just ten days ago, Shekarchi announced that the budget would not include a late-session proposal to alter the state’s financial institutions tax nor funding to purchase a facility owned by Citizens Bank in East Providence.

He said he was interested in discussing the financial institution's tax and other measures that keep Rhode Island competitive with neighboring states.

“I don’t want to be the speaker who loses Citizens Bank. I will roll up my sleeves and get to work with them over the summer so we can pre-file legislation that can be vetted early in the year, but right now, we don’t have enough information to know whether this plan is the right move for our state,” said Shekarchi.

Governor Dan McKee's office negotiated the deal with Citizens.

The House will take up the special legislation in the House Finance Committee on Monday.

SOURCE: Subsidy Tracker

This story is developing...