RI House, Senate Leaders to Consider $300M in Emergency Borrowing for Coronavirus Response

RI House, Senate Leaders to Consider $300M in Emergency Borrowing for Coronavirus Response

Leaders from the Rhode Island House of Representatives and Senate will meet on Thursday to consider a proposal by Governor Gina Raimondo to borrow $300 million in emergency funding as part of the state’s response to the coronavirus outbreak.

Raimondo writes in a letter to legislative leaders, "I have determined that since the demands placed upon funds regularly appropriated to state and local agencies in coping with the Disaster Emergency are too great, it is necessary and appropriate that the state borrow for a term not to exceed two years from the United States government or any other private source an amount not to exceed $300,000,000."

"I have also determined that if the state is unable to timely borrow money as described above, that the demands placed upon funds regularly appropriated to state and local agencies in coping with the Disaster Emergency would be too great and therefore it will be necessary and appropriate to make funds available by transferring funds as needed for cash flow purposes into the General Fund from general obligation capital proceeds, state university and college funds and any quasi-public agencies with available cash balances," she adds.

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

Considering Emergency Funding

The scheduled meeting comes after Raimondo sent the letter on Monday asking that the Disaster Emergency Funding Board meet and approve the borrowing of $300 million from the federal government or other sources to fund the coronavirus response.

Under the state, the state can borrow such emergency funding with a repayment period of up to two years.

The board includes House Speaker Nicholas A. Mattiello (D-Dist. 15, Cranston), Senate President Dominick J. Ruggerio (D-Dist. 4, North Providence, Providence), House Finance Committee Chairman Marvin L. Abney (D-Dist. 73, Newport, Middletown) and Senate Finance Committee Chairman William J. Conley Jr. (D-Dist. 18, East Providence, Pawtucket).

The meeting will be televised live on Capitol Television.

As GoLocalProv reported, as of Tuesday, Rhode Island has 106 cases of coronavirus.

The meeting will take place on Thursday, March 26 at 11:30 a.m. in the State Room on the second floor of the Rhode Island State House.