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Gov. Carcieri's State of State address tonight at 7

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February 10, 2009 10:54 am
By Cynthia Needham

PROVIDENCE, R.I. -- Twelve months ago, Governor Carcieri stood before a packed House chamber and told Rhode Islanders in his sixth State of the State address that the Ocean State was "at a tipping point," on the brink of financial disaster.

What a difference a year makes.

When the governor stands before that same chamber tonight to deliver his seventh-annual address, there will be no dire predictions about what is to come.

The speech will be aired on all three network affiliates at 7 p.m.

Rhode Island's economy has taken a dizzying fall in the last year. The state now has the second-highest unemployment rate in the country, and its budget deficit is among the largest as a percentage of spending.

Administration officials say tonight's speech will focus largely on jobs, taxes and the local impact of the federal economic stimulus package, now being debated in Congress. It is unclear whether Carcieri will propose using more federal money in his spending plan for the coming year.

In recent weeks, governors around the country have used their annual state-of-the-state addresses to announce furloughs, department closures and massive cuts to arts programs. Alaska Gov. Sarah Palin used her speech to announce a hiring freeze.

Carcieri is not expected to unveil any major initiatives, in part because he has not yet released his 2010 budget plan.

But there are hints of what might be in store. Already the governor is considering a recommendation to scrap the state's corporate income tax, which would save businesses an estimated $82 million this year but further strain the state's already-weak revenue sources.

The business community has cheered the plan. But advocates say they worry that Carcieri is trying to erode the state's safety net at a time when many Rhode Islanders are most vulnerable.

-- With reports from Steve Peoples, Journal State House Bureau

Your Turn: How would you describe the state of the State of Rhode Island right now?

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