Smiley Announces Tentative Deal on School Funding, Says Tax Hike Is Coming

Smiley Announces Tentative Deal on School Funding, Says Tax Hike Is Coming

Providence Mayor Brett Smiley held a hastily scheduled press conference on Wednesday to announce that the City of Providence, Providence Public Schools, and the Rhode Island Department of Education have reached an agreement in principle to settle the dispute over the city’s funding of the schools.

 

Smiley refused to release the terms of the agreement but said he expects they will be made public on Friday. “We think a tax increase is inevitable,” said Smiley.

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He refused to say how large the tax increase would be needed to cover the cost of the agreement.

 

Smiley did say he expects that the agreement will trigger a tax increase for Providence residents but could not say if it would be an emergency tax increase or implanted in the 2025-2026 fiscal year budget. Either way, Providence taxpayers are going to get hit with a significant and unanticipated tax increase.

 

Less than three weeks ago, Smiley said the city's finances were well managed.

 

Smiley said, “We have come to a resolution, and when the agreement becomes public, after we've dotted all of our "I"s and crossed all of our "T"s with all those details...[it] wiil be available and [we will] answer questions about the specific terms.” 

 

The last-minute agreement prevents Super Court Judge Jeffrey Lanphaer from making a decision on pending litigation on the case.

 

This story is developing...