VIDEO: Elorza Drops Plan to Sell Water Supply, Offers No Plan to Resolve $2B in Unfunded Liabilities

VIDEO: Elorza Drops Plan to Sell Water Supply, Offers No Plan to Resolve $2B in Unfunded Liabilities

Providence Mayor Jorge Elorza has abandoned his plan to sell or lease the Providence Water Supply -- the Scituate Reservoir. Elorza's plan was to use the revenue to decrease the unfunded liability of the Providence pension fund.

Elorza was flanked by elected officials and community leaders on Thursday at City Hall where he announced that he was having sponsors of the bill to sell or lease the Providence Water Supply pull the legislation.

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

Elorza, who was joined by Providence City Council President Sabina Matos and members of her leadership team, acknowledged the plan was never politically viable, after the bill was introduced again in January 2019 -- and that the city has no concrete plans at this time to address the billion dollar unfunded pension liability, the billion dollar OPEB liability, or the more than a half billion dollars needed in school repairs.

Changing Stance

In January, Elorza had pushed for the water authority legislation that would have sold or leased the city's water supply. 

“For more than 100 years, Rhode Islanders have relied on Providence to be the stewards of most of the state’s water supply,” said Mayor Elorza. “It’s time for us to protect our asset and continue to modernize our system. We can no longer kick the can down the road. This legislation is critically important to maintain a vibrant and optimistic future for our state, preserve the quality and affordability of the water source and to address our long term finances. We’ve explored many options and if we do not take action now we may not be able to later on.”