Moments after his ascension to Rhode Island's House speakership - amid yet another political scandal in the Ocean State - Nicholas Mattiello said working on a budget to help the state's economy would be a major priority.
"Jobs and the economy will be our top priority," Mattiello, D-Cranston, said late Tuesday after House colleagues voted for him to succeed the embattled Gordon Fox.
Fox, D-Providence, resigned as speaker on Saturday, a day after agents from the Federal Bureau of Investigation, Internal Revenue Service, U.S. attorney's office and the Rhode Island State Police executed search warrants of Fox's home and State House office, and hauled away boxes of evidence.
Law enforcement officials would not elaborate on the raid, and neither would Fox.
Fox, 52, a 22-year Democratic lawmaker from the East Side of Providence and speaker since 2010, said when he resigned that he would not seek re-election this year. Fox, Rhode Island's first openly gay House speaker, was not on hand for Tuesday's vote among 75 members, which included six Republicans. Mattiello received 61 votes to six for Rep. Michael Marcello, D-Scituate. Eight did not vote.
Democratic representatives also elected a new slate of leaders: John DeSimone of Providence succeeds Mattiello as majority leader, John Edwards of Tiverton is majority whip, and Joseph Almeida, also of Providence, is deputy majority whip.
Mattiello said he would meet with state financial officials over the next few days to discuss Gov. Lincoln Chafee's proposed $8.5 billion budget for fiscal 2015. It calls for a bond referendum for $275 million of new general obligation money in November and a $12.5 million payment for 38 Studios moral obligation debt.
"I commend the Rhode Island House of Representatives for ensuring that government continues to move forward and remains focused on key issues," Chafee said in a statement.
Mattiello, in his maiden address as speaker, called for better balance with financial policies and their effect on businesses.
"We want Rhode Island to be an attractive business destination and we must improve our regional competitiveness. We must make it easier to do business and remove so much bureaucracy," he said.
Rhode Island's unemployment rate in December was 9.3%, the nation's highest, though it dropped to 9% in February.
In the bond referendum, voters would consider borrowing $125 million to replace an engineering school at the University of Rhode Island; $75 million for environmental measures such as brownfield remediation and open-space acquisition; $40 million for renovations to mass transit hubs throughout the state; and $35 million toward arts programs.
Last week, Chafee officials hired SJ Advisors LLC of Eden Prairie, Minn., to examine the impact if the state chose to default on moral obligation bonds a state agency issued for the defunct 38 Studios video game making firm. Lawmakers' heated debate last year over whether to pay the moral obligation bonds related to former Boston Red Sox pitcher Curt Schilling's video-game developer generated national headlines and a buzz in the capital markets.
Moody's Investors Service rates Rhode Island's general obligation bonds Aa2. Fitch Ratings and Standard & Poor's rate them AA.
Mattiello, elected in 2006, had been majority leader, the second ranking position in the House, since February 2010. He was a co-sponsor of the Rhode Island Retirement Security Act, a 2011 law that reduced benefits for active employees by shifting them to a hybrid system combining defined-benefit and defined-contribution plans, and limiting cost of living adjustments for retirees, among other changes.
State and union officials agreed last month to a compromise after months of federal mediation.
"Business cannot and will not continue as usual," Mattiello said.
Rhode Island is no stranger to corruption. Former Gov. Edward DiPrete served 11 months in prison after pleading guilty to bribery, extortion, and racketeering, and former Providence Mayor Vincent "Buddy" Cianci, now local radio show host, also served time for racketeering.
In addition, former Central Falls Mayor Charles Moreau received a two-year prison sentence in February 2013 for accepting gifts in exchange for awarding a contract to board up at least 167 foreclosed properties within the city from 2007 to 2009.
Central Falls was under Chapter 9 bankruptcy protection from August 2011 to September 2012.
