Gov. Chafee calls mayors to State House

PROVIDENCE, R.I. (WPRI) - Gov. Lincoln Chafee has invited leaders from all 39 of Rhode Island's cities and towns to join him at the State House next week to discuss local pension plans and other issues straining their budgets.

The event, named the Municipal Executives Strategy Session, will take place Tuesday from 10 a.m. to 12 p.m. in the State Room. Chafee will speak with reporters after the event, which his office said will be "a collaborative discussion."

"The fiscal health of the state of Rhode Island is directly linked to the fiscal health of our cities and towns," Chafee said in a statement. "Thriving municipalities are key to Rhode Island’s future economic success."

Rhode Island's cities and towns have lost more than $193 million in state aid over the past three years, according to the governor's office.

The pension law the governor signed last month did little to address the 36 locally run pension plans, many of which are in worse shape than the state-run system. Chafee said the law "was just a first step towards getting Rhode Island’s fiscal house in order."

Chafee pointed to the financial problems roiling cities and towns - including the bankruptcy of Central Falls and the recent appointment of a budget commission in East Providence after two credit downgrades - as evidence that state leaders need to take in active role in helping communities solve their problems.

"These issues have been studied over and over again," he said. "We all know what the problems are; we must continue to work with our sleeves rolled up and get to solving them."

Ted Nesi ( tnesi@wpri.com ) covers politics and the economy for WPRI.com and writes the Nesi's Notes blog . Follow him on Twitter: @tednesi