Facing a nearly $18 million bond payment crunch tied to the new high schools, the Council voted 7-2 to let the city temporarily reduce contributions to its retiree benefits (OPEB) trust until state school-construction reimbursement kicks in — without touching pensions. Councilman Gebhart proposed an amendment setting a four-year cap on how long the city would have to repay any deferred amount once reimbursement started; while the final ordinance didn’t keep that strict timeline, it did adopt a “first-out, first-in” approach ensuring deferred funds get repaid directly once reimbursement arrives.
His framing throughout was giving the administration flexibility “within guardrails” rather than putting the full short-term burden on taxpayers.
Source: Warwick Beacon