He was responding to a Journal reporter's questions about continued speculation that he may leave the Democratic Party and pursue a bid for governor as a Republican or Independent.

"I'm running as a Democrat," he said in an interview in his State House office. "There are public polls for the last year, as recent as today, that show me in a strong position in a Democratic primary."

When pressed, Caprio continued: "There's no chance I'll run as a Republican."

When asked if he might run as an Independent or a Moderate, he said no to both questions.

MP3: Click to hear the exchange on this topic between Caprio and Journal State House reporter Steve Peoples.

The well-respected Gallogly will double as director of the state's Department of Revenue, as did her predecessor Gary Sasse before he served notice of his resignation from both positions, without official explanation, earlier this month.

Carcieri has also confirmed plans to elevate Gallogly's chief deputy, Thomas Mullaney, to state budget officer once all of the moves are official, which in Gallogly's case may require Senate confirmation.

Gallogly first went to work in the state budget office straight out of college in 1980 as an assistant budget analyst. In the years since, she has served under five governors, serving as president of the National Association of State Budget Officers (2004-05) along the way.

She graduated from Classical High School, the University of Rhode Island, and obtained a master's in business administration from the University of Rhode Island in 1985.

In his announcement of her promotion to the top ranks of the state department that oversees state hiring, spending, contract negotiations and contracting, Carcieri hailed Gallogly as someone who, "throughout her distinguished career ... has consistently brought common sense principles, predictability, and transparency to the state's budgeting process.

"Her efforts have resulted in a continued strong credit rating and positive cash flow management, despite challenging economic times. Rosemary is widely recognized by those in state government and the private sector as an authority on state finances, and is one of the most well respected budget officers in the nation. I am confident she will serve with great distinction and honor in her new role."

Gallogly and her husband, Bill, live in Wakefield, with their two children, Victoria, 16, and Katarina, 14.

"Tom brings a wealth of experience to the position of Budget Officer, and I am confident his professionalism, experience and familiarity with the budget process will serve him well in his new role."

Mullaney has worked for the budget office since 1996, and before that was chief of budget and finance for the state Department of Health and a Budget Analyst. He has a bachelor of science degree in finance (1983) and a master's of business administration (1986) from Providence College.

WASHINGTON -- Rep. James R. Langevin has named two key deputies to his Rhode Island staff -- longtime spokeswoman Joy Fox and state Rep. Ray Sullivan.

Democrat Langevin announced Tuesday that Fox is to be promoted to deputy district director for communications and community outreach, while Sullivan will join the staff as deputy district director of public policy.

"Over the last five years, Joy has become an important member of my team and valued liaison for me with the media and the community,'' Langevin said in a news release. ``Ray is also committed to public service, having been a member of my Secretary of State staff.''

Fox, of Warwick, has served as Langevin's spokeswoman since 2005. Coventry Democrat Sullivan will complete his term but will not seek reelection to the General Assembly this fall, according to Langevin's news release.

PROVIDENCE, R.I. -- Attorney General Patrick Lynch may have been bailed out last week when cities and towns sued the governor for refusing to release more than $30 million in local aid.

The night before Woonsocket filed suit, Lynch, the state's top law enforcement official, was asked whether he was prepared to enforce state law that requires the governor to distribute the payment on Feb. 1.

Lynch's spokesman, Michael Healey, offered this response after news of the suit had been published: "No one has asked us to weigh in, so we haven't looked at the issue."

The City of Woonsocket assumed the responsibility, filing suit Friday against Governor Carcieri and the two state officials who sign the checks: State Controller Marc A. Leonetti and General Treasurer Frank T. Caprio.

Had Lynch acted first, therefore, his suit would have targeted the current governor and Caprio, Lynch's Democratic opponent in race to become Rhode Island's next governor.
For the record, Caprio says the governor should follow the law and distribute the money.

"I'm eager and ready to press the button to cut the check. I'm just waiting for the paperwork," Caprio said, noting he first needs approval from the Department of Administration and the controller.

"No one suspected this would happen so quickly,'' Schadone, D-North Providence, said Monday as Murphy, the House Speaker since January 2003, alerted his supporters to a 5:30 p.m. dinner Tuesday at which time he and his chosen successor -- House Majority Leader Gordon D. Fox -- are expected to spell out their timeline for the anticipated leadership transition this week.

Two-term state Rep. Nicholas Mattiello, D-Cranston, has confirmed that Fox has asked him to be his second-in-command, as majority leader.

A lawyer who specializes in personal injury cases, Mattiello said: Leader Fox has asked me to serve as his majority leader. I have accepted. I look forward to working very closely with him to serve the citizens of the state of Rhode Island.'' In a wide-ranging interview, Mattiello hailed Fox as a "very dedicated, intelligent and compassionate human being,'' while acknowledging they don't agree on all issues, such as same-sex marriage.

"He is going to do a good job as speaker, whenever that happens,'' said Mattiello, suggesting there is still some fluidity in the timing of the anticipated vote.

A House speaker is chosen by the entire 75-member House of Representatives, but for all practical purposes is chosen by the Democrats who control all but six seats within the chamber.

And though Murphy's departure comes earlier than some in the House anticipated, he and his leadership teams clearly felt compelled to make their moves when they were confident they had the votes to win, and before heavy negotiations begin over the budget and other politically difficult issues.

Though "mindful we are not gong to control the outcome,'' House Minority Leader Robert Watson, R-East Greenwich, said, one of his allies will place his name in nomination, in keeping with their tradition of nominating a "a candidate who reflects the Republican views we are trying to espouse in the room.''

Schadone said his supporters will nominate him as well, but with the outcome all but certain now, he anticipated a number of his supporters would cast their votes for Fox as the likely winner and his team.

"I think it came down to Gordon and myself and we just did not have time to make our case,'' Schadone said. "No one suspected this would happen so quickly... in February.''

"I think it is a travesty the way this is going down, to resign as speaker merely so you can handoff the speakership. That, in my opinion, is self-serving,'' he said.

Schadone, who is aligned with the Democratic party's more conservative wing, said he and his supporters would be watching closely to see "what legislative issues we tackle,'' and "if any substantial changes will be made ... if it remains status quo, you can be assured my name will be up again in January.''

The likelihood of a vote this week for a new Speaker came to light on Friday.

As Monday unfolded, the House leadership put out a statement that said "Leader Fox has confirmed that he has asked Rep. Mattiello to be the nominee for Majority Leader and Rep. [J. Patrick] O'Neill to be the nominee for Whip.

"The final vote is made by the Democratic Caucus. They have not finalized a location for their 5:30 meeting. The caucus is still a work in progress.''

Additionally, the statement confirmed that House Majority Whip Peter Kilmartin, who is expected to announce his candidacy for attorney general soon, had informed Fox that he did "not wish to be candidate for Whip and he has taken himself out of the running.''

PROVIDENCE, RI.I. -- Secretary of State A. Ralph Mollis has released the official state election calendar for this campaign season.

The 2010 calendar lists key dates for this year's races, including those for local office to those for governor and the U.S. House of Representatives.

"You will find key deadlines and basic facts about everything from registering to vote to filing declarations of candidacy and nominating papers," Mollis said in a news release. "This guide also contains important dates and details regarding the campaign finance regulations."

The first crucial date is April 1. That is the deadline for candidates to change their party affiliation if they plan to run under a different party banner.

Candidates must announce their intention to run for office by filing candidacy declarations from June 28 to June 30. Then, from July 7 through 16, they must collect enough signatures from eligible voters to be placed on the ballot.

People who want to vote in the Sept. 14 state primary must register by Aug. 14. Those who want to vote in the Nov. 2 general election must register by Oct. 2, the news release says.

The calendar will be posted on the Secretary of State's Web Site. Hardcopies are available upon request.

PROVIDENCE, R.I. -- While Governor Carcieri's popularity has suffered through much of his second term in office, most Rhode Island voters do not blame the Republican governor for the state's budget problems.

A WPRI-TV, Channel 12 poll released Friday evening reveals that just 15 percent of voters believe Carcieri is responsible for Rhode Island government's "budget crisis."

Fifty-three percent blame the General Assembly, while another 25 percent blame budget problems on both the Democrat-dominated legislature and the governor.

The poll did not ask voters whom they blamed for Rhode Island's anemic economy, which has among the highest unemployment rates in the nation. A majority (57 percent), however, said that labor unions have too much influence in state government.

Spokesmen for the state House and Senate declined to comment on the survey results.

Poll author Joseph Fleming notes that most people are simply angry with their elected officials given Rhode Island's prolonged economic problems.

The widespread frustration is clear in another of the poll's findings: 70 percent of voters believe the state is moving in the wrong direction. That's on par with a mid-December poll released by Brown University.

The WPRI-TV poll of 501 registered voters was conducted between Jan. 27 and 31 with a margin of error of generally around 4.4 percent.

Fleming offered voters two options for solving the state's budget problems: tax increases or cutting spending and services. Respondents overwhelmingly (61 percent) selected cutting spending and services, while just 14 percent favored tax increases.

The poll didn't ask voters which specific cuts they would support. For example, the governor has currently proposed cutting more than $280 million from local communities and public education over the next 17 months.

By John E. Mulligan

WASHINGTON -- Time magazine has described in detail what many Rhode Islanders already know about U.S. Sen. Jack Reed -- that he has long acted as a key intermediary between Barack Obama and Defense Secretary Robert Gates.

In its latest edition, Time relates how the Rhode Island Democrat played go-between after President Obama's election. Former Army officer Reed's relationship with Gates, a onetime top intelligence official in the first Bush administration, dates back years before Mr. Obama entered public life, to when both were members of the Aspen Institute, a Colorado-based think tank.

Democratic presidential candidate, then Sen. Barack Obama, center, and Sen. Jack Reed, left, arrive for a July 20, 2008, meeting with Afghan President Hamid Karzai at the Presidential Palace in Kabul. AP photo

During the summer of 2008, Reed served as candidate Obama's guide on a highly publicized tour of the war zones of Afghanistan and Iraq.

Here is what Time reports about the Obama-Reed-Gates contacts after the 2008 election:

"In late 2008, with the Iraq war and the Bush presidency winding down, Gates made plans to return to Texas. Just before the presidential election, Rhode Island Senator Jack Reed contacted Gates.

"Would he be interested in staying on? Would he meet with Obama about it? Gates prepared some questions. He wanted Obama to know where he was coming from. Obama read them over
and told Reed, `They're right on target. I'm impressed, and it'd be useful to have a conversation with him.' ''

Read the complete Time magazine article

There has been no official comment from Murphy, a West Warwick Democrat, who has already made public his intention to step down from the post before the year is out.

But lawmakers are taking their cues from developments such as this:
House environmental committee chairman Jan Malik, D-Warren, said he tried to schedule a committee hearing for next Tuesday on a high-profile LNG bill, but his clerk was told not to do so by the Speaker's office "because there could be a caucus.''

But in an interview Friday, Lima said: "My impression is that decisions are going to be made this week and that there will be a caucus and a call for Speaker and a call for majority leader'' early next week, and "probably by Wednesday'' because the House usually does not meet on the Thursday before the lawmakers take their week long February break. (The Assembly will not be in session the week of Feb. 14.)

Most of the behind the scenes intrigue has focused on Fox's choice of his own second-in-command, with speculation centering on lawyers Nicholas Mattiello, D-Cranston, and J. Patrick O'Neill, D-Pawtucket, for the position Fox, D-Providence, currently holds as majority leader.

At one point, Fox acknowledged that House Finance Chairman Steven Costantino was also on his list of potential House majority leaders, but Costantino signaled his growing interest in running for state treasurer instead by loaning $150,000 of his own money to his campaign account on December 31.

Fox has faced competition for the speakership from Rep. Gregory Schadone, D-North Providence, who stated this week that he was still in the race.

By Katherine Gregg

LINCOLN, R.I.-- John J. Loughlin II, a three-term state representative from Tiverton, has formally launched his bid to unseat the only remaining member of the storied Kennedy clan in national elective office.

Though he has been raising money for months, Loughlin, 50, a Republican, officially entered the race against U.S. Rep. Patrick Kennedy, an eight-term Democrat representing the First District, with an announcement Thursday morning outside an office park.

With Rhode Island unemployment at 12.9 percent, Loughlin faulted President Obama and the Democrat-controlled Congress for "failed'' job-creation policies, and Kennedy, in particular.

"When we should have been focused on jobs, Congressman Patrick Kennedy was voting for a massive government takeover of our health care system that would have raised taxes, increased spending and cut Medicare for our seniors,'' he said.

"When we should have been focused on jobs, my opponent was voting for a ... trade energy tax that would impose huge new costs on businesses and families in this state. Instead of extending a helping hand, my opponent has teamed up with Nancy Pelosi and her friends in Washington to throw us one anchor after another, making matters worse, not better.''

Contending "it's time for a new start,'' Loughlin ticked off his own views, including: "The best social program is a good job that pays a decent wage...Money and resources are best used when they remain in the hands of the people.''

With the United States fighting two wars, he said "our troops deserve the support and funding they need to defeat the radical jihadists who want to destroy our way of life,'' and "we must treat our adversary for what are - not as ordinary criminals, but as enemies in wartime.''

"That means military justice,'' he said, "not civilian court trials where they are granted the right to remain silent and the right through the legal process to obtain sensitive information.''

"When it comes to terrorists, we should be getting information from them, not the other way around,'' he said in his prepared remarks.

He leveled this broadside at the Democrats controlling Congress: "In Speaker Nancy Pelosi's world, there is no problem that can't be solved by more government. But Washington today is not the solution, it's part of the problem...Our national debt is an unthinkable $12 trillion.... and the president's new budget forecasts trillion dollar deficits as far as the eye can see.''

"And what,' he asks. "has all [this] spending gotten the people of Rhode Island? Nothing. Not one job.''

Loughlin is already the best-financed challenger Kennedy has faced since 2004, when Kennedy defeated Republican Dave Rogers with almost 60 percent of the vote.

But Kennedy raised almost $756,000 last year to campaign for a ninth term - roughly triple what Loughlin raised. And Kennedy had more than four times as much campaign cash on hand - almost $452,000 - as Loughlin, according to year-end reports filed with the Federal Election Commission.

Loughlin reported having about $110,000 left in his campaign war chest, having spent more than $136,000 by year's end.

Loughlin has said he wants to spend at least $1 million on his race against Kennedy, who spent $1.79 million on his 2008 reelection campaign, in which he faced two candidates whose campaigns were too poor to require federal reports.

State Rep. Jon D. Brien, a Woonsocket Democrat from the party's conservative wing, has raised the possibility of challenging Kennedy in a primary next September.

PROVIDENCE, R.I. -- House Majority Leader Gordon D. Fox has introduced a bill to give voters a chance to close a newly-carved hole in state ethics law that has insulated state lawmakers from Ethics Commission scrutiny and prosecution.

Fox, who has had his own tangles with the commission in the past, said he introduced the bill because he believes it was "the clear intent of voters when they approved the creation of the Ethics Commission to give the commission power over all government officials in the state, without an exception for legislators.''

The current gap stems from a June decision by the state Supreme Court that effectively removed lawmakers from Ethics Commission scrutiny.

In a case involving former Senate President William V. Irons, the court said the "speech-in-debate" clause in the Rhode Island Constitution gives legislators immunity from prosecution by the Ethics Commission for "core legislative functions" such as voting and speaking.

Sen. J. Michael Lenihan, D-East Greenwich, has promised to introduce comparable legislation in the Senate giving voters a chance to reinstate the Ethics Commission's jurisdiction.

Fox is the chosen successor to House Speaker William J. Murphy, who has signaled plans to step down from the podium before the year is out, and perhaps sooner.

Fox's most visible challenger for the job - Rep. Gregory Schadone, D-North Providence - has questioned Fox's "judgment'' in light of reports in The Sunday Journal about Fox's business partnership with a nightclub owner, while Fox sat on the Providence licensing board. "People who care about ethics and good government do not put themselves in a position where they have a financial relationship with people they are regulating,'' Schadone said in statement.

But the attention of the citizens advocacy groups Common Cause and Operation Clean Government were focused Thursday on Fox's introduction of the ethics legislation they
helped to craft.

"Common Cause is very pleased that Majority Leader Fox has agreed to sponsor our legislation restoring the General Assembly to the full jurisdiction of the Ethics Commission. In 2004 Common Cause worked closely with Leader Fox to strengthen lobbying disclosure laws, and we are happy to again be partnering with him on another important piece of ethics legislation," said Common Cause Executive Director John Marion.

"It is our hope that, with his leadership, the General Assembly will pass this legislation, putting on the ballot this November the question whether legislators should have partial immunity from the state's ethics laws,'' he said.

When rumors of his imminent departure swirled last week, Sasse assured reporters he would be at the unveiling of Carcieri's budget Tuesday - and he was.

But the administration has now confirmed his resignation as both administration director and head of the state's Department of Revenue.

Sasse headed the business-financed Rhode Island Public Expenditure Council for close to three decades before he was recruited by Carcieri in late 2007 to replace Beverly Najarian as administration director.

At the time of his appointment, Carcieri said: "Gary's experience, knowledge and dedication will be a tremendous asset as we try to deal with the state's looming budget shortfall," and "like me, Gary is devoted to making sure that state government is operated on a sustainable basis, and that it is a benefit, not a burden, to Rhode Island taxpayers."

Carcieri, in his last year as governor, is expected to name a replacement for Sasse in the coming days.

"Since joining my Administration, Gary has served a critical role in helping to navigate the state though this financial crisis," Carcieri said. "At the Department of Revenue, Gary implemented new policies to improve reporting and analysis, enhance revenue collections and successfully found operating efficiencies and cost savings across all divisions, while leading the state through the BLB bankruptcy proceedings and the modernization of the DMV.

"At Administration, Gary successfully negotiated the two-year pay reduction with all state employee unions, brought greater efficiencies throughout all state agencies, and helped craft balanced and responsible budgets. I extend my gratitude to Gary for his service to Rhode Island, and wish him the very best."

In a Sunday Providence Journal story about Fox's business dealings with controversial nightclub owner Alex Tomasso, Fox accused his foes in the speaker's race of waging a desperation "whisper'' campaign against him.

Fox was referring to questions about how he navigated potential conflict situations while serving on the Providence Board of Licenses, which regulates nightclubs, while having a business relationship with controversial nightclub owner Alex Tomasso.

Fox, who has also been Tomasso's lawyer, recused himself from board actions against Tomasso's Providence clubs in the two years they were partners in a Warwick bar, from 2006 to 2007, but did vote on matters affecting Tomasso afterward, which Fox said was legitimate under state ethics rules. Fox resigned from the board in December.

Fox said that he was unaware that Tomasso had pleaded no contest in 2000 to possession of cocaine and criminal solicitation, involving Ecstasy that the police said he took from drug dealer in exchange for free admission to one of his nightclubs.

Now, Fox's chief rival for speaker, Schadone, has issued a press release, saying that Fox's association with Tomasso, while acting as a nightclub regulator, "highlight questionable conduct and poor judgment which raises questions about Fox's ability to serve as Speaker of the House.''

"This is exactly the kind of conduct which has frustrated Rhode Islanders and led to a lack of trust in state government,'' said Schadone. "We cannot have leaders in the General Assembly who do not put the public interest first. Even when the Providence Journal confronted Majority Leader Fox about his relationship with Mr. Tomasso, he tried to turn himself into the victim of a whisper campaign by his opponents in the legislature.''

Incumbent Speaker William Murphy has kept the date of his departure as speaker close to the vest. Fox, who claims a commanding lead in votes to become the next speaker, chose not to respond to Schadone's attack.

PROVIDENCE, R.I. -- Among the candidates listed as running for Rhode Island attorney general, Democrat Joseph M. Fernandez raised the most campaign cash in the latest reporting period, according to filings with the Board of Elections Monday night.

Fernandez, a former Providence city solicitor, amassed $67,218 from Oct. 1 to Dec. 31, meaning he had a total balance of $156,640.72 in his campaign coffers.

Those figures, in reports filed at about 7:30 p.m. on Monday, outpaced the fund-raising of candidates Democrat Steven R. Archambault, a Smithfield Town Council member, and Republican Erik B. Wallin, a defense lawyer, of South Kingstown.

Term limits prohibit Attorney General Patrick C. Lynch from seeking another term. He is running for governor.

Candidates are mandated to submit quarterly their campaign money-raising to the Board of Elections. At least two other candidates have been the subject of speculation about whether they will run for attorney general.

Robert E. Rainville, a lawyer and a former probate judge in West Warwick, is listed as running for attorney general. His financial report for the most recent period is not available on the Board of Elections Web site and listed as "status pending."

State Rep. Peter F. Kilmartin, D-Pawtucket, saw his fund-raising tally rise dramatically in the October-to-December period. He started with $54,967.47 and ended with $209,377.93. Included in that is $54,305 from individuals' contributions and a $100,000 loan. Also listed is $9,775 from political action committees.

But Kilmartin has not declared he is running for attorney general in the finance reports, available on the state Board of Elections Web site. The reports list the office he is seeking as the one he currently holds, state representative.

Candidates do not have to declare the office they seek until late June, according to the Board of Elections, so what is listed on reports now could change.

Wade Rathke, co-founder of the Association of Community Organizations for Reform Now, is scheduled to speak at Brown University Feb. 9.

Rathke served as ACORN's lead organizer from its founding in 1970 until he stepped down last June, according to the announcement released today by Brown University's Taubman Center for Public Policy and American Institutions.

The former ACORN official will deliver a speech entitled, "Citizen Wealth: Winning the Campaign to Save Working Families," as part of the center's Brown Bag Series scheduled for noon next Tuesday at 67 George Street, Providence.

ACORN has drawn fire from conservatives following a sting by conservative activists who caught ACORN employees in several cities on camera, seeming to give housing advice to a couple who claimed to be involved in prostitution.

Republicans also charged the year before that employees of ACORN falsified voter registrations in Florida.

U.S. Sen. Sheldon Whitehouse, D-RI, set off a firestorm of conservative criticism last fall as one of a handful of senators who opposed action to shut off federal housing funds to ACORN. At the time, he argued that allegations against a few employees do not justify a blanket sanction of the organization.