Rhode Island
GoLocalProv | Business | Exodus of Top Staff at Commerce RI Explodes Under McKee
Monday, February 26, 2024
L-R Secretary of Commerce Liz Tanner and Governor Dan McKee PHOTO: GoLocal
Top executives at Commerce Rhode Island, the State of Rhode Island’s economic development agency, have resigned at an alarming rate in the past two years.
In just the past 24 months, multiple top-tier executives have resigned, and in some top positions, the job has been turned over multiple times.
The turnover correlates with the last two years of Dan McKee’s governorship. And, much of the exodus has occurred since Liz Tanner took over as Secretary of Commerce beginning in June of 2022.
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In the past two years, Commerce has had 3 presidents and is now searching for its 4th TOP ROW Saglio, Fagan BOTTOM ROW: Ash
Revolving Door in the President’s Position
The President’s position at Commerce was held by Jesse Saglio for seven years, and then he resigned in February of 2022. Hilary Fagan took over as President, and then she resigned in December of 2022. Since then, Bill Ash has served as “acting” president.
Now, Ash has announced his departure. The President’s position will be vacant again.
Ash, before his tenure at Commerce, had more than 25 years of experience working with businesses as a lender, consultant, and investor. Previously, he held positions as managing director of M & A at Oppenheimer & Co. and was a senior managing director of The Tron Group — a Boston-based turnaround and business advisory firm.
Now, under McKee, Commerce will be looking for its fourth President in two years.
In an interview with Tanner, she said the departures do not reflect on the agency. “We are 100% stable,” said Tanner.
Chief Financial Officer Resigns
Last week, Justin Medeiros, the Chief Financial Officer/Senior Controller for Commerce, announced his resignation.
The top business recruitment position — the executive Vice President of Business Development position, has been vacant since Fagan was promoted to President in 2022.
Tanner said she has changed the approach to business recruitment. “We now have a clustered approach to attracting business,” said Tanner.
PHOTO: Elliott Stallion, Unsplash
Communications
The top communications position has also been a revolving door. In 2022, Matt Sheaff held the position of director of communication. Then, he was on loan to McKee’s office and recently resigned and took employment outside of Rhode Island.
Then, Brian Hodge was promoted to that position, and he then left the agency, a series of contract employees were engaged and then Commerce hired Matthew Touchette.
Five of the Top Eight Have Left in Just Two Years
According to an archived version of Commerce’s website, of the top eight professionals leading the organization, five have left. Only one, the former Secretary Stefan Pryor, is still in government service. Today, Pryor serves as Secretary of Housing.
Five of the top eight member of Commerce under McKee have resigned in the past two years. Stefan Pryor now serves as Secretary of Housing after a failed run for General Treasurer SOURCE: archived version of Commerce website Feb, 2022
Commerce Under Scrutiny
Presently, Commerce is facing scrutiny for its management of the bond deal for the Pawtucket minor league soccer stadium called Tidewater Landing. GoLocal uncovered concerns voiced by Pawtucket’s fiscal advisor in the summer of 2023. Commerce ignored those concerns.
After a series of exclusive articles by GoLocal, a feature published in Bloomberg — the global business publication — writes, “Taxpayers are paying dearly to bring a pro-sports team back to the faded industrial city of Pawtucket, Rhode Island.”
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Rhode Island
R.I. leading multi-state lawsuit against Trump administration housing policy – The Boston Globe
Rhode Island and other states had recently won a ruling against HUD’s attempt to overhaul a federal homelessness grant program in fiscal year 2025.
US District Court Judge Mary S. McElroy found that HUD acted arbitrarily and capriciously in imposing illegal conditions on billions of dollars in funding for the Continuum of Care program, through which HUD distributes billions of dollars to state, local, and nonprofit agencies to support housing and services for people facing homelessness.
For more than two decades, HUD had followed a “Housing First” model, which prioritizes rapid placement in permanent housing without requiring people to first meet conditions such as sobriety or a minimum income threshold.
However, on June 1, the Trump administration moved forward with new rules for fiscal year 2026 that seek to re-implement a cap on permanent housing. The new Notices of Funding Opportunity will set aside $1.3 billion for transitional housing and supportive service-only grants — which the coalition of states say will have the effect of capping permanent housing projects at about 68 percent of the funds.
HUD Secretary Scott Turner announced the new terms on June 1, saying the old model didn’t work.
“The ‘housing first’ experiment failed Americans by warehousing the vulnerable without results. This ideology promised to end homelessness. Instead, billions of taxpayer dollars were spent while homelessness increased to record levels,” Turner said in a statement. “Housing alone will not solve a crisis driven by addiction and mental illness. Under President Trump’s leadership, HUD is making necessary reforms to put recovery first.”
HUD said that the new Notice of Funding Opportunity for $4.04 billion through the Continuum of Care homelessness assistance program would support organizations that facilitate treatment and recovery and “prohibit funding the widespread use of illicit drugs and distribution of paraphernalia.”
The lawsuit alleges that the new conditions will mean a large number of permanent housing projects funded by the Continuum of Care program will lose funding, which will lead to people being evicted, placing further strain on state and local governments.
“Instead of investing in programs that help people stay safe and housed, the Trump Administration has embraced policies that risk trapping people in poverty and punishing them for being poor,” the 44-page lawsuit alleges.
The shift threatens housing for at least 97,000 residents of CoC-funded permanent housing across the country according to the National Alliance to End Homelessness.
The states argue that HUD’s actions violate the Administrative Procedure Act for failing to proceed with notice-and-comment rulemaking, and for being arbitrary and capricious. They ask the court to declare that the challenged conditions are illegal and to block HUD from implementing them.
Along with Neronha, attorneys general from all New England states except for New Hampshire have joined the lawsuit. The coalition also includes attorneys general from Arizona, California, Colorado, Delaware, Illinois, Maryland, Michigan, Minnesota, New Jersey, New Mexico, New York, Oregon, Virginia, Washington, Wisconsin, and the District of Columbia, as well as the governors of Kentucky and Pennsylvania.
Amanda Milkovits can be reached at amanda.milkovits@globe.com. Follow her @AmandaMilkovits.
Rhode Island
Throwback: USS Rhode Island commissioned in Newport
(WJAR) — Thirty-two years ago was the commissioning of a Navy submarine named after the Ocean State.
Maria Stephanos was on board the USS Rhode Island on July 9, 1994.
Rhode Island was the Navy’s 15th Trident class ballistic submarine.
It was commissioned in Newport and was the first to be christened in its namesake state.
Rhode Island
Handshake Initiative instills confidence, motivation in students
PROVIDENCE, R.I. (WJAR) — They come from all walks of life, including many professionals in the community, taking time out of their busy days to welcome students to school with enthusiasm and handshakes.
“We learn a lot of new handshakes, too,” Kobi Dennis said. “High-fives. Pounds with an explosion. We get a little bit of everything.”
It’s the Handshake Initiative, the brainchild of now Central Falls Police Chief Anthony Roberson.
Everybody can use some encouragement, and students in Rhode Island get that the minute they head toward the school building.
Initially, the students and parents didn’t know what to think.
“I was confused because I thought it was going to be a normal day,” said one student.
“Their parents were getting out of their cars trying to see what’s going on,” Reservoir Avenue School Principal Cynthia Torres said.
But now, they crave it.
“It makes me feel motivated,” another student said.
Dennis adds in an etiquette component.
“Teaching the kids how to shake hands, look one another in the eyes with a firm grip — girl or guy — firm grip and say ‘hello’ and introduce yourself, that’s part of the initiative as well,” Dennis said.
Providence school superintendent Dr. Javier Montañez said it sends a strong message.
“We hear you, we see you, and we’re here for you,” Montañez said.
Torres strategically uses them on standardized test days.
“They say, ‘I’m going to do really good today,’” she said.
“It makes me feel encouraged to do better in school,” a student said.
They’ve connected with thousands of students across Rhode Island.
“It’s about shaking hands and building relationships, but it’s also about letting young people know that there are professionals in the community cheering for them every single day,” Dennis said.
Do you know of a nonprofit organization or volunteers doing great work in your community? Fill out a short nomination form for “Community Treasures.”
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