House Majority Whip Stephen R. Ucci (D-Dist. 42, Johnston, Cranston) has introduced a bill (2014-H 7138) that would impose a clear set of standards to improve accountability and transparency for quasi-public corporations.

“The General Assembly has been thorough in its study of quasi-public corporations and how they are held accountable for their decision-making processes,” Ucci said. “What resulted were recommendations on how to increase transparency in these agencies. Because these entities only exist to benefit the people of Rhode Island, it was determined that they should be more in line with how our other departments and agencies function. “Many of these have the power to collect fees, generate other revenue and incur debt. When you have a quasi-public corporation dealing with financial matters directly impacting Rhode Island taxpayers, there absolutely needs to be oversight and a strong mechanism for accountability.”

The Quasi-public Corporations Accountability and Transparency Act enables the state to protect the interests of Rhode Islanders by creating and encouraging high standards of transparent, effective and ethical operation through its quasi-public agents. The corporations are typically governed by independent boards that serve a critical oversight function involving government resources and assets. Examples include the Rhode Island Convention Center Authority, the Quonset Development Corporation, the Rhode Island Airport Corporation and the Rhode Island Resource and Recovery Corporation (RIRRC). Presently, there are 15 quasi-public agencies and several agency subsidiaries in the state.

Language in Ucci’s legislation prompts board members to adopt a code of ethics, mission statements, indemnification policies and written procedures. If enacted, related job descriptions, employment contracts, quarterly financial statements, capital improvement plans, strategic plans, agendas and minutes of open meetings, and enabling legislation would be available to the public upon request and posted directly or via link on each board’s respective website. Additionally, each entity would be subject to a performance audit every three years, beginning on Jan. 1, 2016. Citing technical reasons, Gov. Lincoln D. Chafee vetoed a similar piece of legislation at the end of the 2013 legislative session.

“Quasi-public corporations are really arms of state government,” Ucci said. “There is no reason the public should not have the opportunity to be aware of how these corporations operate and interact with us. Many of them take on massive projects, which have keen impacts on the lives of residents and businesses all over the state. Holding these boards to clear, set standards can only improve their efficiency, which allows us to improve our own ability to govern.”

Rep. Patricia A. Serpa (D-Dist. 27, West Warwick, Coventry, Warwick), a co-sponsor of the bill, added, “I am a firm believer in employing high standards for transparency and accountability in all forms of government. I think I have a duty to sign my name on a bill, which aims to bolster those necessary standards for quasi-public agencies.”

House co-sponsors of the bill include Representative Serpa, Deborah A. Fellela (D-Dist. 43, Johnston), Gregory J. Costantino (D-Dist. 44, Lincoln, Johnston, Smithfield) and Gregg Amore (D-Dist. 65, East Providence). The legislation has been referred to the House Committee on Corporations.