Rhode Island Public Expenditure Council

• RIPEC President & CEO Michael DiBiase published an op-ed in the Rhode Island Current on how the Washington Bridge troubles highlight that Rhode Island needs a long-term transportation funding solution to meet its growing backlog of projects. DiBiase argued that because the gas tax—Rhode Island’s primary mechanism to fund transportation—is projected to yield diminishing returns, and with the state’s commercial truck tolling program suspended pending a constitutional challenge, the state will face increasing pressure in the future to match available federal transportation dollars.

• In another op-ed in the Rhode Island Current, Michael DiBiase noted that state spending on Medicaid is growing faster than overall state spending. Despite this growth in spending, and generous increases included in the governor’s proposed budget, there is still pressure to further raise Medicaid reimbursement rates. DiBiase warned that “it will become more and more challenging to substantially increase Medicaid rates without crowding out other state spending priorities.” 

• RIPEC’s report on empty seats in Rhode Island classrooms was featured in a Rhode Island PBS story on chronic absenteeism. RIPEC’s report cites the alarming levels of enrollment loss and chronic absenteeism across the state’s K-12 system and stresses the need to improve Rhode Island’s public education system to give students better reason to enroll in, and regularly attend, school.

• RIPEC has been active in providing testimony regarding pressing K-12 education issues, raising concerns about the governor’s education funding proposal in a House Committee on Finance hearing, and supplying testimony in support of legislation that would require local school districts to adopt plans to reduce chronic absenteeism. Rhode Island Businesses for Better Education (RIBBE), of which RIPEC is a founding member, also highlighted K-12 education funding and chronic absenteeism in its newly-released 2024 legislative priorities, while also supporting greater investments in career and technical education (CTE) and teacher professional development.  

Inside Insights

• Rhode Island Housing has awarded more than $13 million in State and Local Fiscal Relief Funds (SFRF) to six projects experiencing nearly $30 million in cost overruns. The additional awards leave remaining roughly $61 million in SFRF allocations for affordable housing.

• Niche—an organization dedicated to providing information about educational institutions to students and parents—published its rank of Rhode Island schools in March. The rankings consider academics, culture and diversity, and parent and student surveys.  

• The Congressional Budget Office (CBO) published a report on the United States’ long-term budget outlook. The report projects that—measured as a percentage of gross domestic product—federal debt held by the public will reach its highest level ever in 2029.

What to Look for in April

• RIPEC will release a report that analyzes the governor’s FY 2025 budget during a time of transition from abundant revenues to a more constrained fiscal environment. This report will build on a previous RIPEC report that analyzed the FY 2024 enacted budget and four key policy issues that pose fiscal challenges for the future: health and human services, K-12 education, transportation, and affordable housing.