Local Officials Push Back on Proposed Changes to Municipal Aid Formula

Mayors from several smaller Rhode Island cities have raised concerns about a proposed revision to the state's municipal aid formula, arguing the change could shift funding away from communities with the least capacity to absorb the loss. Woonsocket and Central Falls officials were among the most vocal, citing already constrained municipal budgets.

The proposed formula would reweight aid based partly on updated property assessments, a shift supporters say better reflects current fiscal need, but which critics argue disadvantages cities where assessed values have grown slower than the state average.

What It Means

What happened: State officials proposed revising the formula used to distribute municipal aid across Rhode Island's cities and towns. Who is affected: Municipal budgets, local services and, indirectly, residents in cities most reliant on state aid. What happens next: Legislative finance committees are expected to hold hearings before including any formula change in the state budget.

Municipal finance officials say they are preparing alternative proposals ahead of upcoming hearings.