Latest news with #Shekarchi
Boston Globe
16-05-2025
- Business
- Boston Globe
R.I. among three states where new housing construction was the slowest in 2024, new Census data shows
Related : Elsewhere in New England, Massachusetts, which ranked 43rd, a 0.4 percent year-over-year increase in housing units; Connecticut ranked 41st, with 0.5 percent; New Hampshire ranked 30th, with 0.6 percent; Vermont ranked 27th, with 0.7 percent; and Maine ranked 22nd, with 0.8 percent. Get Rhode Map A weekday briefing from veteran Rhode Island reporters, focused on the things that matter most in the Ocean State. Enter Email Sign Up For Rhode Island, the bureau estimated there was an increase of only 922 housing units across in 2024, bringing the total number of units to 488,030. Advertisement In In an email to the Globe on Friday, Nick Freeman, the department's interim chief of staff, wrote the agency is currently reviewing the Census data. 'In general, the data underscores the findings of our Housing 2030 plan and demonstrates why the plan establishes production goals, strengthens incentives for municipalities, addresses zoning and regulatory barriers, and calls for strategic investments to produce and preserve housing in Rhode Island,' Freeman wrote. Advertisement Last month, Governor Dan McKee laid out Freeman wrote the Department of Housing is optimistic the state will 'make meaningful progress as new housing units come online in the coming years.' 'Rhode Island has seen a significant increase in permitting activity in recent years – reaching pre-Great Recession levels for [the] first time in 2023 and maintaining that progress in 2024,' Freeman wrote. 'This is a direct result of the State's recent financial investments and regulatory reforms.' In the past four years, the General Assembly has passed In a statement, Speaker K. Joseph Shekarchi said there are a dozen more measures moving through the legislative process now. But, prior to recently signed laws, the last 'substantive land use legislation' the state saw was decades ago in the 1990s, Shekarchi said. Since then, many communities have become more restrictive around housing they will permit, he said. Addressing the housing crisis will take years, Shekarchi said. 'The new Census data is sobering, but not surprising,' he said. ' The state is making progress though, he said, pointing to the 70 percent increase in building permits issued in 2023. Advertisement 'The data is stark, but shows why doing nothing is not an option,' Shekarchi said. Christopher Gavin can be reached at
Yahoo
15-05-2025
- Business
- Yahoo
Census: RI near bottom for new housing construction in 2024
PROVIDENCE, R.I. (WPRI) — Rhode Island remains near the bottom of national rankings for housing production despite several years of State House activity aimed at increasing supply. New data released Thursday by the U.S. Census Bureau shows Rhode Island had the slowest growth rate for new housing in the continental United States in 2024, with a year-over-year increase of just 0.2%. Only Alaska (0.2%) and Hawaii (0.1%) ranked lower. Massachusetts ranked a bit higher at 43rd, with an increase of 0.4%. The states at the top of the list added housing far faster, with top-ranked Idaho increasing its supply by 2.2% in 2024, followed by Utah (2%) and North Carolina (1.9%). Census estimates indicate Rhode Island added fewer than 1,000 housing units in total last year, increasing the statewide supply of houses, condos and apartments to 488,030. The number of units has increased by about 4,500 since 2020. The Census estimate of statewide housing supply is slightly higher than the R.I. Housing Department's estimate, published in an annual report last month, which pegged the total number of housing units in Rhode Island at 485,533 as of 2024. Whatever the exact number, both reports offer fresh evidence of the way limited supply is helping to fuel Rhode Island's ongoing housing crisis. The median price of a single-family home in Rhode Island was $465,000 in March, up from $206,000 a decade earlier, and apartment rents in Greater Providence are going up faster than in most other major metro areas. TARGET 12: Out-of-state residents now buying nearly 1 in 4 homes sold in RI House Speaker Joe Shekarchi has been a leading advocate on Smith Hill for efforts to increase housing supply, helping to shepherd nearly 50 bills on the subject into law over the last four years. He is pushing a dozen additional housing bills this year. 'The new Census data is sobering, but not surprising,' Shekarchi, D-Warwick, told 12 News in a statement Thursday. 'Rhode Island was dead last in the country for new housing starts for multiple years consecutively, and this data is reflective of that.' At the same time, Shekarchi pointed to signs that activity is increasing. The Housing Department's annual report found 2,655 new housing units were permitted in 2024, an increase of 86% since 2022. 'While a building permit is not the same as a new unit – construction takes time – this is an improvement,' he said. The Housing Department has not yet responded to a request for comment. The Census Bureau estimates Rhode Island's population topped 1.1 million for the first time in 2023, and has increased by about 15,000 people since the start of this decade. Ted Nesi (tnesi@ is a Target 12 investigative reporter and 12 News politics/business editor. He co-hosts Newsmakers and writes Nesi's Notes on Saturdays. Connect with him on Twitter, Bluesky and Facebook. Download the and apps to get breaking news and weather alerts. Watch or with the new . Follow us on social media: Close Thanks for signing up! Watch for us in your inbox. Subscribe Now Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
14-05-2025
- Business
- Yahoo
Eleventh hour insurance bill could help top employer FM expand in R.I.
FM in Johnston has asked state lawmakers to repeal a 1984 law restricting its investments amid plans to expand its local workforce, based out of an 8-acre Johnston campus. (Courtesy of FM) A late-in-session bill aimed at helping Johnston-based insurance company FM is prompting new whispers down the State House's marbled halls: Is Rhode Island at risk of losing another top employer? Just the opposite, says Rep. Alex Finkelman, a Jamestown Democrat who introduced the House bill May 8 at the request of the Fortune 500 company, which rebranded from FM Global in July 2024. Gov. Dan McKee has also put his name behind the bill. Finkelman confirmed in an interview that privately held FM, with its 8-acre Johnston corporate campus and 1,500-person state workforce (totaling 5,500 employees worldwide), is considering expanding its local presence. That's why FM CEO Malcolm Roberts met with House Speaker K. Joseph Shekarchi in April to ask for legislation lifting restrictions on its investment abilities. Shekarchi said he later received a similar request from executives with Amica Mutual Insurance Co., based in Lincoln. Shekarchi, typically noncommittal on legislation prior to a committee hearing, did not hesitate to show his support for the bill ahead of its initial hearing scheduled for Thursday, May 15, before the House Committee on Corporations. 'I appreciate dialogue from companies on ways the state can improve the business climate and level the playing field with neighboring states,' Shekarchi said in an emailed statement Tuesday. 'I look forward to seeing this bill pass into law before the session concludes in June.' The focus on keeping up with neighboring states sharpened for lawmakers and business leaders in the last year, after two major private companies, Citizens and Hasbro Inc., threatened to leave Rhode Island for Massachusetts. Hasbro executives now expect to to provide an update on a potential relocation to Massachusetts this summer, while Citizens appears content to stay put after state lawmakers shepherded through a tax rewrite for its benefit in the 2024 legislative session. The Citizens Bank bill, rushed through both chambers and signed into law in the final throes of the 2024 session, drew criticism from a small group of progressive lawmakers, who bristled at loss of state tax revenue ($15 million for a full fiscal year) to further boost the bottom line of a major financial services company. Executives at FM have no plans to leave, despite a state law enacted in 1984 restricting its investments in long-term assets outside of stocks and bonds. Such nontraditional or alternative assets, currently limited to no more than 10% of total assets, could include hedge funds, private equity funds and real estate holdings. Finkelman's bill would repeal the investment cap, letting local insurers invest as much as they want in what are referred to in federal reporting rules as Schedule BA investments. 'FM welcomes this proposal, which we believe will help support business growth and competitiveness in Rhode Island and enable insurance companies in the state to manage their investments with greater flexibility without compromising policyholder protection,' Rob Julavits, a spokesperson for FM, said in an email. Julavits remained vague when asked about the company's expansion plans in Rhode Island. 'FM is one of the largest private employers in Rhode Island,' Julavits said. 'The company continues to grow and is currently hiring for a variety of roles. We believe this legislation would give us additional flexibility to support growth in Rhode Island, which has been home to our headquarters for nearly 200 years.' Finkelman, owner and president of Warwick-based insurance agency The Egis Group, said FM's cutting edge research, development and insurance of niche areas like solar panels and renewable energy could lead to new jobs for Rhode Islanders. The bill also puts Rhode Island in line with neighboring states, a selling point for McKee. 'The Governor is committed to creating a level playing field for local companies, which is why he submitted this legislation to lift investment caps placed on Rhode Island-based insurance companies,' Olivia DaRocha, a spokesperson for McKee, said in an email. 'Repealing these limits would align our state with Massachusetts and Connecticut, making Rhode Island a more attractive place to do business and ensuring our domestic insurers can compete on equal footing with their regional competitors.' Massachusetts and Connecticut are among 10 states that do not limit investment in Schedule BA assets, Matt Touchette, a spokesperson for the Rhode Island Department of Business Regulation, said in an email. Touchette referred questions about past investment limits in Massachusetts and Connecticut to their states' respective business regulators. Mary Quinn, a spokesperson for the Connecticut Insurance Department, confirmed via email Wednesday that the state does not limit Schedule BA investments. However, a separate clause in Connecticut's laws for insurers restricts company stock investments in a single institution at 5%, and non-stock investments in a single institution at 25% of assets. The Massachusetts Office of Consumer Affairs and Business Regulation, which oversees insurance for the Commonwealth, did not respond to multiple inquiries for comment on Wednesday. Repealing restrictions on local insurance companies' investments might indirectly help consumers who could see premiums drop if the companies can improve their bottom lines, Finkelman said. By that same logic, if company profits suffer under riskier investment strategies, it might also hurt their policyholders. However, state business regulators limit how much insurance companies can charge consumers, offering protections against dramatic premium spikes. FM posted a nearly $3.4 billion profit on $8.1 billion in revenue in 2024, according to its annual report. It does not publicly report the number of policyholders, primarily commercial and industrial customers. Amica posted an $84 million profit in 2024, according to unaudited financial statements. Brendan Dowling, a spokesperson for Amica, expressed support for the law change in an emailed statement. 'This change will help us manage our investments more effectively, allowing us to deliver stronger, more reliable support for our policyholders when they need us most,' Dowling said. Dowling did not specify whether lifting the investment cap could reduce consumer costs for Amica's 1.2 million policies, which center on individual insurance products like auto, home and life insurance. No one contacted for this story could answer why Rhode Island limited investment caps for insurers in the first place. Finkelman suggested hedge funds might have seemed too risky to lawmakers in the 1980s. But nontraditional or alternative investments are now commonly accepted across industries, Finkelman said. 'FM and Amica are two of the most financially sound insurance companies,' he said. 'I have very little concern about them running into financial trouble by overleveraging themselves.' FM and Amica are two of the most financially sound insurance companies. I have very little concern about them running into financial trouble by overleveraging themselves. – Rep. Alex Finkelman, a Jamestown Democrat Insurance companies have been steadily increasing investments in alternative assets since at least 2010, searching for higher returns in a low-interest rate environment. The appeal of alternate asset classes increased further after 2017 regulatory changes adopted by the National Association of Insurance Commissioners (NAIC), which reformed how companies could record exchange-traded funds on their balance sheets. Julavits declined to answer questions about the timing of the company's requested state legislation — three months after the Feb. 5 deadline for state lawmakers to submit new bills under standard procedure during the 2025 session. Even after Shekarchi met with FM in April, it took several weeks before the proposed legislation made its debut on the House floor. 'Nothing in government moves fast,' Finkelman said. Lawmakers will have to act quickly to advance the bill before the session ends on or before June 30. A Senate companion bill sponsored by Sen. Andrew Dimitri, a Johnston Democrat, was introduced on Friday. A hearing has not been scheduled yet, Greg Pare, a Senate spokesperson said. Senate President Valarie Lawson signaled preliminary support. 'Amica Mutual Insurance and FM Global (sic) are both longstanding, valued corporate citizens in Rhode Island,' Lawson said in an emailed statement. 'While the specifics of the proposal to remove the investment cap will be reviewed through the public committee process, I am open to the idea. It appears that this would create a more welcoming, business-friendly environment and improve opportunities for job creation at no cost or risk to the state. I look forward to reviewing the specifics and continuing to work with the business community to help existing Rhode Island companies grow here and to attract new companies to our state.' 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Boston Globe
14-05-2025
- Business
- Boston Globe
R.I. House votes to reject raises for Governor McKee's Cabinet
House Speaker K. Joseph Shekarchi, a Warwick Democrat, sponsored the resolution approved on Tuesday. Advertisement 'Given the current challenging budget outlook, as well as the tremendous uncertainty in Washington, the House members strongly feel we must reject these requested raises,' Shekarchi said in a statement. 'This is no reflection on the job performance of the Cabinet members.' Get Rhode Map A weekday briefing from veteran Rhode Island reporters, focused on the things that matter most in the Ocean State. Enter Email Sign Up Shekarchi and Senate Finance Committee Chairman Louis P. DiPalma have said legislators During Tuesday's session, House Majority Leader Christopher R. Blazejewski, a Providence Democrat, said many House members agree that the 'rejecting of these salary increases is not a reflection of any one particular director but has more to do with the financial circumstances at this time.' Advertisement Representative Charlene M. Lima, a Cranston Democrat, said, 'I don't think people should be getting raises at this time.' And Lima asked why the House needed to pass the resolution all, saying legislators could simply refuse to put money in the state budget for the raises. But Blazejewski told her the House was following a process set out in state law, which requires that proposed salaries for department director be referred to the General Assembly by the last day of April and that the raises go into effect 30 days later unless they're rejected by the House and the Senate within that time. On Wednesday, McKee spokesperson Laura Hart said, 'When Governor McKee first came into office, many Cabinet members had not received raises in years, and their salaries had fallen below the standard for their roles. Providing small, incremental increases over time will help Rhode Island maintain competitive salaries without causing a significant impact on any one budget year.' House spokesman Larry Berman said this is believed to be the first time the House has voted to reject Cabinet pay raises. In 2013, then-Governor Lincoln D. Chafee once proposed raises, and then-House Speaker Gordon D. Fox signaled he would start the process of rejecting those raises, so Chafee withdrew them. Also, a couple of years ago, McKee proposed salary increases for Cabinet members and later agreed to spread out the pay raises over two years after both Shekarchi and then-Senate President Dominick J. Ruggerio expressed concerns. Advertisement After On Wednesday morning, Senate spokesman Greg Pare said Senate leaders had not decided whether to schedule a vote on the resolution to reject the pay raises. 'They are still talking about it,' he said. 'No decision as of yet, but one will be made by Thursday.' If the Senate takes no action, the following pay raises will go into effect: Department of Administration Director Jonathan Womer, from $185,589 to $194,888 Department of Behavioral Healthcare, Developmental Disabilities, and Hospitals Director Richard Leclerc, from $175,344 to $184,111 Department of Business Regulation Director Elizabeth Dwyer, from $162,737 to $170,874 Department of Corrections Superintendent Wayne T. Salisbury Jr., from $174,593 to $183,323 Department of Children, Youth, and Families Director Ashley Deckert, from $185,400 to $194,670 Department of Environmental Management Director Terrence Gray, from $167,619 to $176,000 Department of Human Services Director Kimberly Merolla-Brito, from $160,473 to $168,497 Department of Labor and Training Director Matthew Weldon, from $173,512 to $182,188 Department of Revenue Director Thomas Verdi, from $163,963 to $172,161 Department of Transportation Director Peter Alviti Jr., from $188,164 to $192,000 Department of Public Safety Director/State Police Superintendent Darnell S. Weaver, from $195,000 to $196,000. Edward Fitzpatrick can be reached at
Yahoo
14-05-2025
- Politics
- Yahoo
RI House rejects McKee's proposed cabinet raises
PROVIDENCE, R.I. (WPRI) — The R.I. House overwhelmingly rejected Gov. Dan McKee's plan to give significant pay bumps to nearly a dozen of his cabinet directors, 12 News has learned. The proposed salary increases first came to light in a R.I. Department of Administration notice posted online back in March. McKee is seeking approximately $82,000 worth of salary increases for 11 of his cabinet directors, including R.I Department of Transportation Director Peter Alviti. In addition to Alviti, McKee is also seeking salary increases for R.I. Department of Children, Youth and Families Director Ashley Deckert, Department of Environmental Management Director Terrence Gray, Department of Corrections Director Wayne Salisbury and Department of Labor and Training Director Matthew Weldon. RELATED: Shekarchi warns McKee's proposed cabinet raises are 'not a good look' The cabinet director that could see the biggest pay bump would be Deckert, whose base salary would increase by $9,720. Rhode Island State Police Col. Darnell Weaver, who also serves as director of the state's Department of Public Safety, would receive the smallest increase of $1,000. However, Weaver's base salary is the highest of the directors receiving raises under McKee's proposal. Alviti, the director at the forefront of the Washington Bridge saga, would receive a raise of approximately $3,835 if approved. (Story continues below) In a statement to 12 News earlier this year, McKee spokesperson Olivia DaRocha explained why the raises were necessary. 'In a competitive marketplace, it is important that leaders with specialized areas of expertise are compensated fairly and that their salaries keep pace with peers in similar roles in other states,' DaRocha said. 'To achieve this goal, 11 cabinet members are in line to receive modest raises—none exceeding a 5% increase.' 'When Governor McKee first came into office, many cabinet members had not received raises in years, and their salaries had fallen below the standard for their roles,' she continued. 'To rectify this situation, the state had to implement considerable raises over a three-year period.' DaRocha said moving forward, cabinet directors would be given 'small, incremental increases' that shouldn't cause 'a significant impact on any one budget year.' The resolution is not surprising, especially after R.I. House Speaker Joseph Shekarchi expressed frustration with the proposed salary increases. Shekarchi argued that now is not the time for pay raises, especially as the state tries to close a roughly $250 million budget deficit. 'We are dealing with a great number of uncertainties regarding the state budget and even more uncertainty regarding the federal budget,' Shekarchi told 12 News back in March. 'There's a strong possibility we will receive a significant cut in federal aid and we don't know how we will make up for that.' 'It's about the optics,' he added. 'It's not a good look for the state to be giving raises, however small or justifiable, at this time.' Shekarchi is the one who put forth the resolution to reject McKee's proposed cabinet raises, which passed the R.I. House Tuesday evening with a vote of 72-0. (Three lawmakers did not vote on the resolution.) The R.I. Senate has until May 18 to also consider Shekarchi's resolution. Greg Paré, a spokesperson for the R.I. Senate, said a decision on whether to do so has not yet been made. Download the and apps to get breaking news and weather alerts. Watch or with the new . Follow us on social media: Close Thanks for signing up! Watch for us in your inbox. Subscribe Now Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
