EDITORIAL: Smiley’s Competency in Managing Providence's Finances Is Now in Question

EDITORIAL: Smiley’s Competency in Managing Providence's Finances Is Now in Question

Brett Smiley promised competency as Mayor of Providence.

That pledge is now unraveling.

Providence residents and businesses are going to get their second tax increase in three years, and this levy is poised to be very large.

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Smiley won the mayor's race in the Democratic primary in 2022 with just 41.8% of the vote.

Just over 9,000 voted for him; the next highest vote-getter in the primary was Gonzalo Cuervo with over 7,900 votes.

Smiley faced no opposition in the general election.

The former Chief-of-Staff to Governor Gina Raimondo campaigned that he was the most qualified candidate and that Providence would be a well-run city under his leadership.

“Honestly, I feel like the best-prepared and best-experienced candidate in this race,” said in one press interview.

By the time he took office, he had upped the ante and claimed that Providence was the best-run city in the country. 

Well, Smiley’s management — especially the city’s financial management — has been far from competent and too many of his statements about the city’s fiscal situation are blatantly false.

There would have been nothing wrong for Smiley, when he entered office, to have reviewed the city’s finances and told Providence residents the severity of the city’s situation.

Smiley did not.

Maybe the issue was that admission would have undercut the competency of his top appointments. 

His leadership team is comprised of former top staffers and appointees, who are all former staffers to former Providence Mayor Jorge Elorza. His chief-of-staff, his chief financial officer, his chief operating officer, and the city’s city solicitor were all senior members of Elorza’s team and are now in key positions for Smiley.

Providence's finances are complex. Difficult union contracts, a massive unfunded pension liability, and a failed and expensive school system all make managing the budget difficult.

But while managing the finances is complex, telling the truth should not be.

Instead of financial competency, Providence is getting financial chaos.

Just three weeks ago, Smiley claimed he was competently leading the city's finances and bond ratings. 

On November 1, Smiley issued a press release with statements that were completely false.

When he issued the following statement, he knew the city had failed to pay tens of millions of dollars to the schools.

“We have worked diligently to balance our financial operations while making strategic investments in our city’s future. Our recent rating upgrades are a testament to our responsible fiscal management, positioning our city for long-term success and lower interest costs,” said Smiley. “We will continue to focus on making responsible investments that strengthen our  financial position and benefit all Providence community members, ensuring a stable and prosperous future for our city.”  

His statement was not true, a falsehood, and simply a lie.

Now, Providence taxpayers are going to get hit with a massive tax increase, which is anticipated to be so large that Smiley has admitted he has to petition the Rhode Island General Assembly to increase the tax hike intended by the city. 

This is not the time to be raising taxes. Commercial office space is in financial peril. The cost to own or buy a home is at a record high and rents have exploded. 

You have to go back to "Buddy 1" — before Providence Mayor Vincent Cianci was a felon the first time — to find such disingenuous and incompetent management of the city’s finances.

Sure, former Mayor David Cicilline lied and nearly bankrupted the city, but it took eight years to drive the city into the rocks. Smiley has been much more efficient; he has not been mayor for two years.

It is time for intervention. It is time for a legitimate, grown-up blue ribbon commission to review the city of Providence’s finances and help steer this financial mess away from the rocks.

Smiley is demonstrating a lack of capability in managing the city’s finances.

It is simply too big for him.