Providence Journal Commentary by Gary Sasse and Joseph Paolino, Jr.: Deciding on how to spend $1 billion
In March of this year, Congress enacted the $1.9-trillion American Rescue Plan Act (ARPA). This legislation secured $1.9 billion in coronavirus pandemic aid for Rhode Island and its localities. While decisions on where to spend this vast sum will be critical for Rhode Island’s future, prudent use of these funds will depend on the decision-making, public reporting, and oversight processes used by the General Assembly.
In its report “Make It Happen: Investing for Rhode Island’s Future,” the Rhode Island Foundation found, “State government currently lacks the organizational capacity to effectively plan and manage very large streams of federal ARPA funding flowing to Rhode Island.” Without state-of-the-art planning and accountability there is a danger that Rhode Island’s ARPA funds could be wasted, and worse, lead to out-of-control future spending, blown deadlines, and political boondoggles.
The effective and efficient use of ARPA funds has the potential to position the state for long-term economic prosperity. This will require that plans, timelines, and performance metrics are in place to help ensure that projects are on budget and completed on time, and spending is linked to program goals and objectives.
The legislature controls the “purse strings,” and their Job One is to ensure that the use of ARPA funds is based on sound plans and procedures. House Speaker K. Joseph Shekarchi understands this. The Speaker told Rhode Island Public Radio, “I think we should look at ways we can make good long-term benefits to the state. The money should not be spent — this money should be invested.”
We agree with the Speaker. It is more important to have a long-term perspective and do things right than to proceed in a haphazard, willy-nilly fashion. Taking a comprehensive view may also enhance potential coordination of ARPA initiatives and money the state will receive from the Bipartisan Infrastructure Bill and other federal programs. For example, the state recently proposed to spend ARPA funds for a new health lab, but it was just announced that the CDC awarded Rhode Island $82 million for its construction. By being deliberate Rhode Island may get more “bang for the buck.”
Full commentary online at ProvidenceJournal.com