Providence officials say the city will eliminate a $13.4-million cumulative deficit by 2021, nearly a decade after the city exhausted all of its cash reserves.
In a letter to the Rhode Island auditor general’s office Jan. 26, the Elorza administration outlined a plan to reduce the city’s long-term shortfall that has been on the books since the 2011-12 fiscal year by setting aside $9.6 million over the next two fiscal years followed by about $1 million a year between 2018 and 2021. ... Although the city has already exhausted the $5 million it budgeted for firefighter callback overtime in the current fiscal year, Mancini suggested the city is “currently experiencing favorable results” when it comes to saving money in the fire department. Matt Clarkin, the city’s internal auditor, has said he expects the department to finish the fiscal year about $1.8 million in the red.