House OKs Casino Proposal; Tax Hikes Fail

The Rhode Island House of Representatives OK'd a casino proposal by 65 to 8 tonight, according to the Providence Journal. It did not approve either of the amendments proposed.

The bill was introduced by House Finance Committee Chairman Helio Melo, D-East Providence.

Democrats in leadership positions pushed against a state tax rate increase should the voters in November approve full casinos at Twin River and Newport Grand. Rep. Brian Newberry, R-North Smithfield, who is House Minority Leader, wanted to see a 2 percent increase of the state's share of the casino revenues.

State Rep. Charlene Lima, D-Cranston, wanted to see an even larger hike of 8 percent, according to the Providence Journal.

Supporters of the amendments, such as East Greenwich's state Rep. Robert Watson, said the leadership-inspired bill did not adequately address the needs of the state. 

Those opposed to the increase said the state has to consider the viability of the businesses and whether the tax increase would simply be too much.

House Majority Leader Nicholas Mattiello, D-Cranston, called the proposed increases "unsustainable" and a "disservice" to Rhode Island taxpayers in the long run.