State of Rhode Island and Providence Plantations
Journal of the Senate

JANUARY SESSION of the General Assembly begun and held at the State House in the City of Providence on Tuesday, the sixth day of January in the year of Our Lord one thousand nine hundred and ninety-eight.
Volume 125, No. 18 Thursday, February 12, 1998 Eighteenth Day


The Senate meets pursuant to adjournment and is called to order by His Honor, the Lieutenant Governor, Bernard A. Jackvony, at 3:10 o'clock P.M.

The roll is called and a quorum is declared present with 42 Senators present and 8 Senators absent as follows:

PRESENT - 42: Senators Algiere, Bates, Blais, Breene, Caprio, Celona, Cicilline, Coderre, Connors, Cote, Donelan, Enos, Flynn, Fogarty, Gibbs, Goodwin, Graziano, Irons, Issa, Izzo, Kells, Lenihan, McBurney, McCaffrey, McDonald, Montalbano, O'Leary, Oster, Paiva Weed, Palazzo, Parella, Patterson, Polisena, Raptakis, Revens, Roney, Ruggerio, Sosnowski, Tavares, Walaska, Walsh, Walton.

ABSENT 8: Senators Alves, Badeau, Damiani, Kelly, Nygaard, Perry, Roberts, Sasso.

INVOCATION

His Honor, the Lieutenant Governor, by unanimous consent, presents Senator Walaska, to deliver the invocation.

(See Appendix for Invocation)


PLEDGE OF ALLEGIANCE TO THE FLAG

His Honor, the Lieutenant Governor, by unanimous consent, presents Senator Walaska, to lead the Senate in the pledge of allegiance to the flag.

APPROVAL OF RECORD

The Senate Journal of Wednesday, February 11, 1998 proceedings is read in part.

Upon suggestion of Senator Enos and by unanimous consent, further reading of the Journal is dispensed with and the Journal approved as recorded.

GUESTS


Upon suggestion of Senator McDonald, and by unanimous consent, His Honor, the Lieutenant Governor, welcomes to the Chamber Chef Armindo Madina, Rhode Island Culinary Federation Chef of the Year, his wife Lisa Madina, Karl Santili and Cheryl Johnson.

COMMUNICATION


His Honor, the Lieutenant Governor, presents the following communication:

STATE OF RHODE ISLAND AND PROVIDENCE PLANTATIONS
SENATE CHAMBER

February 12, 1998

The Honorable Senate
Senate Chambers State House
Providence, RI 02903

Dear Colleagues:

Please be notified that Governor Lincoln Almond will present the 1998 Budget Address to the Joint Session of the Senate and the House of Representatives at 4:00 pm, Thursday, February 12, 1998 in the House Chamber. The time of the address has necessitated a change from the usual meeting time of the Senate. Accordingly, the Senate will meet at 3:00 pm on the 12th. In addition, after consultation with Minority Leader Dennis Algiere, we are announcing a nine member Escort Committee whose honor it will be to accompany the Governor from the Executive Chamber to the House Chamber. Those Senators are John Celona, Marc Cote, Robert Kells, Susan Sosnowski, Eleanor Sasso, Paul Tavares, Kevin Breene, Mary Parella, and John Patterson.

Warmest personal regards,

PAUL S. KELLY
Senate Majority Leader



Received and ordered to be placed on file.

REPORTS OF COMMITTEES

COMMITTEE ON CORPORATIONS


Senator Irons, from the Committee on Corporations, reports back, with recommendation of passage of the following measures:

(98-S 2255 as amended) An Act relating to insurance - health maintenance organizations.

Read and ordered to be placed on the Calendar.

(98-S 2256 as amended) An Act relating to real estate brokers and salespersons.

Read and ordered to be placed on the Calendar.

(98-S 2258 as amended) An Act relating to businesses and professions automobile body repair shops.

Read and ordered to be placed on the Calendar.

(98-S 2259 as amended) An Act relating to insurance.

Read and ordered to be placed on the Calendar.

COMMITTEE ON HEALTH, EDUCATION AND WELFARE


Senator Izzo, from the Committee on Health, Education and Welfare, reports back, with recommendation of passage of the following measures:

(98-S 2307 as amended) An Act relating to health and safety- home care patient/client rights.

Read and ordered to be placed on the Calendar.

(98-S 2308) An Act relating to health and safety.

Read and ordered to be placed on the Calendar.

(98-S 2400) An Act relating to health and safety.

Read and ordered to be placed on the Calendar.

COMMITTEE ON SPECIAL LEGISLATION


Senator Goodwin, from the Committee on Special Legislation, reports back, with recommendation of passage of the following measures:

(98-S 2160) Joint Resolution creating a special legislative commission to study the various land trusts and open space projects in the state.

Read and ordered to be placed on the Calendar.

(98-S 2184) Senate Resolution memorializing the President and Congress to grant full and immediate citizenship to Laotian and Hmong-Lao Soldiers who supported the United States during the Vietnam War.

Read and ordered to be placed on the Calendar.

(98-S 2248) Senate Resolution creating a special Senate commission to determine the amount of lost Rhode Island revenue to Massachusetts and Connecticut.

Read and ordered to be placed on the Calendar.

(98-S 2442) Senate Resolution extending the reporting date of the special Senate commission to study food allergies and matters relating thereto.

Read and ordered to be placed on the Calendar.

TRANSFER OF BILLS


Senator Izzo, from the Committee on Health, Education and Welfare, in accordance with Senate Rule 6.14, moves to transfer the following bills from the Committee on Health, Education and Welfare to the Committee on Finance:

(98-S 2033) An Act relating to pharmaceutical assistance to the elderly.

Read and referred to the Committee on Finance.

(98-S 2123) An Act relating to state affairs and government- pharmaceutical assistance to the elderly.

Read and referred to the Committee on Finance.

(98-S 2133) An Act relating to pharmaceutical assistance for the elderly.

Read and referred to the Committee on Finance.

(98-S 2134) An Act relating to state affairs and government- pharmaceutical assistance to the elderly.

Read and referred to the Committee on Finance.

NEW BUSINESS
The following items are received and referred to committee pending any objection of the body on the next legislative day.

Senator Breene presents (98-S 2885) Joint Resolution making an appropriation of $5,000 to Laura A. Hoxsie.

Read and referred to the Committee on Finance.

Senator Flynn presents (98-S 2886) An Act relating to taxation real estate construction -Smithfield.

Read and referred to the Committee on Corporations.

Senator Walaska presents (98-S 2887) Joint Resolution making an appropriation of $2,500 for the Boys and Girls Club of Warwick.

Read and referred to the Committee on Finance.

Senator Walaska presents (98-S 2888) Joint Resolution making an appropriation of $10,000 for James V. Johnson Memorial Scholarship Fund.

Read and referred to the Committee on Finance. Without objection, the following act is introduced after the deadline.

Senator Patterson presents (98-S 2889) Joint Resolution to approve and publish, and submit to the electors a proposition of amendment to the Constitution of the State (separation of powers).

Read and referred to the Committee on Special Legislation.

Senators Paiva Weed and Cicilline present (98-S 2890) Senate Resolution congratulating the Newport Winter Festival on their 10th Anniversary.

Senator Cicilline requests unanimous consent for immediate consideration.

Unanimous consent for immediate consideration is granted.

Upon motion of Senator Cicilline, seconded by Senator Gibbs, and by unanimous consent, read and passed, under suspension of the rules, upon a voice vote.

Senator Palazzo presents (98-S 2891) Joint Resolution making an appropriation of $30,000 for the Hartford Park Corporation.

Read and referred to the Committee on Finance.

Senator Palazzo presents (98-S 2892) Joint Resolution making an appropriation of $30,000 for Joslin Community Development Corporation.

Read and referred to the Committee on Finance.

Senator Palazzo presents (98-S 2893) Joint Resolution making an appropriation of $30,000 for the Hope Neighborhood Association- Silver Lake Community Center.

Read and referred to the Committee on Finance.

Senator Palazzo presents (98-S 2894) Joint Resolution making an appropriation of $15,000 for Tri-Community Organization.

Read and referred to the Committee on Finance.

Senator Palazzo presents (98-S 2895) Joint Resolution making an appropriation of $70,000 for the Providence Community Action/Junction Program.

Read and referred to the Committee on Finance.

Senator Polisena presents (by request) (98-S 2896) An Act relating to school committees and superintendents.

Read and referred to the Committee on Judiciary.

TRANSMITTAL



By unanimous consent, all matters on the Clerk's desk are ordered to be transmitted to His Excellency, the Governor or to the Honorable House of Representatives forthwith.

ANNOUNCEMENT


Senator Irons announces that the Committee on Corporations will meet today at the rise of the Joint Session in Room 212 of the State House.

ADJOURNMENT


Upon motion of Senator Enos, seconded by Senator Algiere, the Senate adjourns at 3:50 o'clock P.M.

RAYMOND T. HOYAS, JR.
Clerk of the Senate


Appendix



INVOCATION

SENATOR WILLIAM A. WALASKA


Almighty God, we ask today that You help us live wisely, to fight for Justice and Truth, and to always try to live up to the expectations of our constituents. Amen.



Appendix

CALENDAR


In order for Tuesday, February 24, 1998:



1. (98-S 2036) An Act relating to aeronautics - airports and landing fields.

Committee on Corporations recommends passage.

2. (98-S 2168 as amended) An Act relating to taxation.

Committee on Corporations recommends passage as amended.

3. (98-S 2038 as amended) An Act relating to health and safety.

Committee on Corporations recommends passage as amended.

4.(98-S 2162) An Act relating to unfair sales practices.

Committee on Corporations recommends passage.

5. (98-S 2164) An Act relating to Superior Court.

Committee on Judiciary recommends passage.

6. (98-S 2177 as amended) An Act relating to weapons - investigators of the Office of Auto Theft and Insurance Fraud.

Committee on Judiciary recommends passage as amended.

7. (98-S 2178 as amended) An Act relating to criminal offenses- assaults.

Committee on Judiciary recommends passage as amended.

8. (98-S 2196 as amended) An Act relating to criminal offenses- assaults.

Committee on Judiciary recommends passage as amended.

9. (98-S 2226) (Substitute "A") An Act relating to appointments.

Committee on Judiciary recommends indefinite postponement of the original bill and passage of Substitute "A".

10. (98-S 2280) An Act relating to criminal procedure - arrest.

Committee on Judiciary recommends passage.

11. (98-S 2283) An Act relating to criminal procedure - victim's rights.

Committee on Judiciary recommends passage.

12. (98-S 2324 as amended) An Act relating to racketeer violence.

Committee on Judiciary recommends passage as amended.

13. (98-S 2342 as amended) An Act relating to courts.

Committee on Judiciary recommends passage as amended. (98-S 2260) An Act relating to corporations - general provisions.

Committee on Corporations recommends passage.

15. (98-S 2273) An Act relating to businesses and professions.

Committee on Corporations recommends passage.

16. (98-S 2048) An Act relating to the Public Finance Management Board - comprehensive review.

Committee on Finance recommends passage.

17. (98-S 2091) An Act relating to taxation.

Committee on Finance recommends passage.

18. (98-S 2136) An Act relating to public corporations - financial estimates.

Committee on Finance recommends passage.

19. (98-S 2137) An Act relating to the state budget.

Committee on Finance recommends passage.

20. (98-S 2193 as amended) An Act relating to public officers and employees - retirement system - contributions and benefits.

Committee on Finance recommends passage as amended.

21. (98-S 2288) An Act relating to taxation -sales and use taxes - liability and computation.

Committee on Finance recommends passage.

Appendix

CALENDAR


In order for Wednesday, February 25, 1998:



1. (98-S 2255 as amended) An Act relating to insurance - health maintenance organizations.

Committee on Corporations recommends passage as amended.

2. (98-S 2256 as amended) An Act relating to real estate brokers and salespersons.

Committee on Corporations recommends passage as amended.

3. (98-S 2258 as amended) An Act relating to businesses and professions automobile body repair shops.

Committee on Corporations recommends passage as amended.

4. (98-S 2259 as amended) An Act relating to insurance.

Committee on Corporations recommends passage as amended.

5. (98-S 2307 as amended) An Act relating to health and safety- home care patient/client rights.

Committee on Health, Education and Welfare recommends passage as amended.

6. (98-S 2308) An Act relating to health and safety.

Committee on Health, Education and Welfare recommends passage.

7. (98-S 2400) An Act relating to health and safety.

Committee on Health, Education and Welfare recommends passage.

8. (98-S 2160) Joint Resolution creating a special legislative commission to study the various land trusts and open space projects in the state.

Committee on Special Legislation recommends passage.

9. (98-S 2184) Senate Resolution memorializing the President and Congress to grant full and immediate citizenship to Laotian and Hmong-Lao Soldiers who supported the United States during the Vietnam War.

Committee on Special Legislation recommends passage.

10. (98-S 2248) Senate Resolution creating a special Senate commission to determine the amount of lost Rhode Island revenue to Massachusetts and Connecticut.

Committee on Special Legislation recommends passage.

11. (98-S 2442) Senate Resolution extending the reporting date of the special Senate commission to study food allergies and matters relating thereto.

Committee on Special Legislation recommends passage.

RAYMOND T. HOYAS, JR.
Clerk of the Senate
Thursday, February 12, 1998



Appendix



PROCEEDINGS IN JOINT SESSION


Thursday, February 12, 1998

His Honor, the Lieutenant Governor, Bernard A. Jackvony, in the Chair.

CALLED TO ORDER


The Joint Session is called to order at 3:55 o'clock P.M.

Upon suggestion of His Honor, the Lieutenant Governor, and by unanimous consent, the reading of the roll of the Senate and the roll of the House of Representatives is dispensed with, there being a quorum of the Senate and a quorum of the House of Representatives present, therefore a quorum of the Joint Session.

Upon suggestion of His Honor, the Lieutenant Governor, and by unanimous consent, the reading of the Resolution (98-H 8408) of invitation is dispensed with.

His Honor, the Lieutenant Governor, by unanimous consent, appoints Senators Tavares, Kells, Sasso, Celona, Cote, Sosnowski, Parella, Patterson and Breene, and Representatives Caruolo, Salisbury, Kennedy, Rose, Coelho and Walter, a Committee to escort His Excellency, the Governor, Lincoln Almond and guests to the Chamber.

Joint Session attends while the State University and College Presidents enter the Chamber.

Joint Session attends while the Mayors, Town Administrators and Local City and Town Officials enter the Chamber.

Joint Session attends while the Directors of the Executive Departments and invited guests enter the Chamber.

Joint Session attends while members of the Judiciary enter the Chamber.

Joint Session attends while the Honorable James R. Langevin, Secretary of State, and the Honorable Nancy J. Mayer, General Treasurer, enter the Chamber.
AT EASE


Upon suggestion of His Honor, the Lieutenant Governor, and by unanimous consent, Joint Session is declared at ease at 3:59 o'clock P.M. until the call of the chair.

CALLED TO ORDER


Joint Session is called to order at 4:01 o'clock P.M.

Joint Session attends while His Excellency, the Governor, Lincoln Almond, enters the Chamber.

His Honor, the Lieutenant Governor, presents His Excellency, the Governor, Lincoln Almond, to the Joint Session. The Governor delivers his Budget Message.

(See Appendix for Budget Message.)


Upon suggestion of His Honor, the Lieutenant Governor, and by unanimous consent, the Joint Session attends while the committee escorts His Excellency, the Governor, Lincoln Almond, and invited guests from the Chamber.

ADJOURNMENT

Upon motion of Representative Harwood, seconded by Senator Fogarty, and by unanimous consent, Joint Session adjourns and the two Houses separate at 4:23 o'clock P.M.

RAYMOND T. HOYAS, JR.
Clerk of the Senate

Appendix



STATE OF RHODE ISLAND AND PROVIDENCE PLANTATIONS
EXECUTIVE CHAMBER
PROVIDENCE

GOVERNOR LINCOLN ALMOND'S

BUDGET ADDRESS


Thursday, February 12, 1998

Mr. Speaker, Lieutenant Governor Jackvony; Members of the General Assembly; Members of the Judiciary; Distinguished guests.

To the Honorable, the General Assembly

I hereby transmit to you today the Fiscal Year 1999 Budget.

I have always said that our State budget must be a tool to invest in our future. The budget that I am transmitting to you certainly meets that test. It is a product of the groundwork we have collectively laid over the last three years to institute a financial management program for the State of Rhode Island. I spoke to you last year about my multi-year approach to state finances and the need to invest for the future. Investments like the tax law changes that enabled us to attract Fidelity Investments to Rhode Island place us in a competitive position for the years ahead. My Administration's effort to rebuild and invest in Rhode Island has begun to transform the state. We have gone from a state with a high debt load and a relatively high tax burden, to a state which has a more modest tax burden and significantly less reliance on debt. We have also increased our ability and capacity to address the state's neglected infrastructure needs that regrettably were allowed to decay for so many years.

My FY 1999 budget is a financial management plan that provides:

Property tax relief to the homeowners of our cities and towns a series of childcare initiatives that build upon our nationally recognized child care programs

A second reduction of the state income tax rate to 26.5% of federal liability

Phase two of the pay-as-you-go program for asset protection that we began last year

A continued shift of gas tax monies to transportation programs including RIPTA

Further investments in economic development, technologies and education

The major programs and initiatives that I am proposing for funding include:

Tax Relief

I recommend that we institute a five year property tax relief program that will give homeowners a $135 tax credit on their tax bill the first year and increase up to a $175 tax credit by year five. The first year's property tax program will cost $32.5 million and be financed by excess sales tax revenues from DEPCO. By year five, the $175 tax credit will cost the state $43.8 million and that too will be completely financed from excess sales tax revenues.

I recommend the continued reduction of the personal income tax from 27% in 1998 to 26.5% in 1999. As you know, last year we began the income tax reduction process that in five years would drop our rate from 27.5% to 25%. When we reach 25% of the federal tax liability, Rhode Island's effective top tax rate will be under 10%.

Child Care Initiatives

Our children are our future. When we invest in our children we invest for the future. I recommend that we devote $1 million of new resources for childcare initiatives. This $1 million represents the first year commitment of a three-year plan to fund:

- an expansion of child care entitlement to working families from 185% to 250% of federal poverty levels over a three year period. Raising the income eligibility limit while also gradually increasing the parent's share of the payment for care would enable working parents to build their careers and earnings capacity and assure quality care for their children.

- an expansion of childcare options through age 16. This three-year phase-in to increase eligibility from age 12 to age 16 represents implementation of one of the major recommendations of the Juvenile Justice Task Force report.

- Health Insurance for Child Care Center Employees. Over the next three years, I am recommending that we establish a system through which childcare centers can buy into RIte Care, the state's managed care program, on behalf of their employees.

- an expansion of start.up funding to create more privately operated childcare resources and opportunities for care throughout Rhode Island. This program will also phase in over a three.year period.

- an expanded program for the training and accreditation of childcare providers is also recommended to be phased in over a three-year period. This program will better prepare our children to enter school while providing uniformity in terms of curriculum development and professional educational practices.

Commitment to Seniors

I am proposing in my Capital Budget a Center on Aging to be established at the Howard Complex. This building will house the Department of Elderly Affairs in a central location, with easy access by highway or mass transit. I will propose a $3 million bond issue to restore the Welcome Arnold Building in Cranston to a first-rate office complex which complements the renovations to the Center General Building that are underway for the Department of Labor and Training. This new Center on Aging facility will house not only the department's personnel and programs but will provide space for meetings and conferences for our senior citizens. In addition, the building will be wired for the latest technology in voice and data communications.

I am also including in my operating budget an additional $250,000 to fund an elder information system beginning in the FY 1999 budget. This elder information system will greatly expand the Department of Elderly Affairs' capacity to provide timely information and referrals for its constituents. It will strengthen the Department's partnership with senior centers throughout the state and with other state agencies to enhance access, information, and linkages for seniors and their families.

Asset Protection and Capital Management

I recommend that we increase our pay-as-you.go asset protection program initiated last year to $14 million. This additional $5.1 million in current resources will further reduce our reliance on debt and increase our capacity to address current infrastructure needs.

I My capital budget reflects $400.8 million of expenditures in FY 1999, including $120.9 million of general obligation bonds for transportation, Quonset Point, education, and other statewide needs. I recommend new bond referenda to fund infrastructure needs in transportation ($65.7 million), Higher Education Facilities ($20.9 million), Open Space and Bike Paths ($15 million) and the Center on Aging ($3 million).

Further Gas Tax Transfers

I am recommending an additional 1.5 cents of the gas tax or $6.6 million be moved from the general fund to transportation for road and highway maintenance improvement programs. The schedule of gas tax transfers that we adopted last year called for one additional cent to be transferred to DOT in FY 1999. I am recommending an additional half-cent to maintain the momentum started last year for expansion of road maintenance programs. The debt schedule that we must manage increases DOT debt service requirements in FY 1999. As a result, I wanted to meet those increased debt service costs and still provide new funds for new road maintenance programs. I am recommending for the first time in many years that an additional cent of gas tax funds be transferred to support RIPTA's ongoing operating expenses. This will increase RIPTA's share of the gas tax from 3 cents to 4 cents or an additional $4.4 million to support operating costs in FY 1999. RIPTA's programs are an integral piece of our economy and a key link in our Family Independence Act and welfare reform initiatives.

Economic Development and Technology

I am recommending that we fund $1 million for the Centers for Excellence Program and $2 million for the Slater Technology Fund.

I am proposing an additional $2 million for state government to invest in new technologies and to address the Year 2000 computer Issues. This $2 million is in addition to the funds contained in the base operating budgets of state government as outlined in the technology supplement section of the budget.

I have included $1.4 million in FY 1999 in the higher education budget to fund the debt service costs related to the technologies initiative approved by the voters in the last bond referendum.

Local Aid

In addition to the property tax relief program that I proposed:

I am recommending that the PILOT Program be expanded to include Green State Airport in Warwick in the list of tax exempt properties eligible for payments in lieu of taxes. This amounts to an additional $769,000 in aid to the City of Warwick. The total PILOT program is increasing 15.3% from $14.4 million to $16.6 million.

I am recommending that the General Revenue Sharing program increase by $972,500 from $13.75 million to $14.72 million.

I The Distressed Communities Relief Program is funded at $6, 162,500.

I am recommending that State Education Aid to Cities and Towns increase by $15.6 million over the FY 1998 revised budget. Included within this amount is an increase of $14.1 million for four of the six "Student Investment Initiatives". The four initiative increases include $5.9 million of Core Instruction Equity, $6.2 million for Student Equity, $1 million for Early Childhood, and $1 million for Professional Development.

I am recommending an additional $200,000 in the 1999 budget to fund the expansion of the student assessment program which will cover all grade 10 students in the state.

I am also proposing that an additional $225,000 be added to expand our support for the COZ (Child Opportunity Zone) program.

I believe that my Administration's efforts to rebuild Rhode Island's future and invest in our future is already paying dividends. The FY 1999 budget recommendations build on my previous budgets and continue that investment program which enables us to achieve a better quality of life and a better economy for all Rhode Islanders. I urge you to work with me and my administration to deliver the programs we collectively believe are what is right for Rhode Island. I am proud to say that Rhode Island is truly on a roll.



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