McKee calls for $1.3 million in state aid for businesses hurt by Washington Bridge closure

Traffic crosses the eastern Washington Bridge at 5:20 p.m. on April 22, 2024. (Rhode Island Department of Transportation Traffic Camera)

Gov. Dan McKee is asking the General Assembly to free up $1.3 million in unspent pandemic relief funds to help small businesses hurt by the ongoing closure of the westbound Washington Bridge.

McKee’s office announced Monday afternoon the governor filed an amendment to his proposed fiscal year 2025 budget to create a direct grant program, along with “other business supports.”

The westbound side of the bridge, crossed by 96,000 vehicles a day traveling on Interstate 195,  was suddenly closed last December after engineers discovered anchor rods meant to keep the bridge from swaying were broken. State leaders plan to demolish and replace almost the entire structure — a process expected to last through some time in 2026 that could cost between $250 million and $300 million.

Under McKee’s budget amendment, $600,000 in state fiscal relief funds would be allocated directly to the city of East Providence and $400,000 to Providence.

“I know what it’s like to run a small business and be confronted with challenges,” McKee said in a statement. “We must all get behind the businesses impacted by the Washington Bridge to ensure their continued success for many years to come.”

McKee’s budget amendment also appropriates $300,000 for a contingency fund run by the Executive Office of Commerce for businesses outside the two cities the Washington Bridge connects.

“While the businesses in East Providence and Providence are the most directly impacted by the Washington Bridge reconstruction, effects have been felt statewide,” Commerce Secretary Liz Tanner said in a statement.

The governor’s budget amendment comes as local business owners have expressed frustration over difficulties in securing federal low-interest Economic Injury Disaster Loans. 

McKee earlier in the month announced a $2.5 million state relief package for small businesses, which included only $300,000 toward direct grants. The remaining $2.2 million was meant to be spent on a combination of technical assistance and beautification for businesses — along with a state marketing campaign and grants to municipalities for signage and sidewalk improvement projects.

Rhode Island Commerce Corp. spokesperson Matt Touchette said McKee’s amendment does not do away with funds for technical assistance and placemaking.

“The governor is proposing the allocation of funds to the cities of East Providence and Providence for them to assist businesses in their communities as they deem most appropriate whether through direct grants, technical assistance, funding of community events to boost customer traffic, etc.,” Touchette said in an email Monday evening.

Proposals for the Commerce Corp’s Placemaking Initiative were due April 19, Touchette said. The marketing campaign is also still going ahead, according to McKee’s announcement.

House Speaker K. Joseph Shekarchi and Senate President Dominick Ruggerio said in a joint statement each of their chamber’s respective finance committees will review the governor’s amendment as the budget process continues.

“We realize many small businesses have been struggling due to the reconstruction of the Washington Bridge and we are working closely with the East Bay legislative delegation regarding their concerns,” they said.

This story was updated to include a joint statement from House Speaker K. Joseph Shekarchi and Senate President Dominick Ruggerio and to clarify an appropriation for the Executive Office of Commerce.

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