EAST PROVIDENCE — When it came to policy positions, very little separated the two Democrats running in next month’s primary for state general treasurer as they debated each other Friday at the Channel 12 studios.
But when former Central Falls Mayor James A. Diossa and former state Commerce Secretary Stefan Pryor were asked whether their opponent was qualified to be treasurer, the fangs came out.
Pryor started out by touting his experience rather than saying whether Diossa was qualified.
“I’ve managed billions of dollars, at that scale,” Pryor said, referring to his time as president of the Lower Manhattan Redevelopment Corporation, which helped rebuild after the 9/11 terrorist attacks. “That’s the kind of work that I do, which is to say to responsibly invest billions of dollars and get the job done.”
One of the biggest jobs of the state treasurer is managing the state’s $10-billion portfolio of pension-fund investments.  Â
In his response, Diossa started to critique Pryor’s qualifications. “I’m the only candidate that’s actually managed pensions. I managed a city out of bankruptcy. I know exactly how to do it,” he said, noting that, as mayor, he moved Central Falls’ pension system into the state system. “It went so well that West Warwick followed suit.”
As Diossa continued, Pryor interrupted.
“If you’ll permit, Mayor, I do have a question about that,” Pryor said. “The ultimate solution was giving up the system and giving it away to the state. As state treasurer, you don’t have an option like that.”
Diossa went back on the attack.
“My experience is that I’ve actually managed pensions,” he said. “My opponent hasn’t. All he’s done is have a position in New York, Rhode Island, where it’s the same thing. …Â All he did was wine and dine with CEOs and cut deals. I had to manage a pension that actually impacted people.”
Pryor didn’t agree.
“The experience of turning over a pension plan to the state system — that’s not managing a pension plan,” he said.
The candidates then talked over each other and moderator Tim White as he tried to get them back on track.
Fairly dry discussion of financial topics
Before that, most of the debate had been fairly dry financial chatter, with the candidates discussing thresholds for reinstating cost-of-living adjustments for retired state employee pensions and safeguards on the investment of public money into a Pawtucket soccer stadium and mixed-use development project.
Early COLAs for retired state employees
On other topics, Diossa and Pryor generally agreed that the state should stick to a plan that defers reinstating the cost-of-living adjustments until the state retirement system is 80% funded.
Diossa suggested a one-time stipend to help retirees through tough economic times, and Pryor suggested managing the state’s retirement portfolio in a way that would accelerate achieving the 80% funding level, as well as investing state budget surpluses in the pension fund to accelerate that.
Public investment in Pawtucket soccer stadium
Both men generally supported the Tidewater Landing development in Pawtucket, including $60 million in public money for the soccer stadium at the heart of the project, with money for the surrounding commercial and residential development left undecided.
But it would be hard for either candidate to oppose the project. Pryor spearheaded the funding plan when he was commerce secretary. And the project is important — for economic development reasons and because soccer is highly popular — in Diossa’s home city of Central Falls.
Debate moderators asked whether the candidates would support further taxpayer investment in the commercial and residential parts of the project. Pryor said he would only if it is justified and done in a way that protects taxpayers. Diossa dodged the question.
How good were Raimondo, Magaziner as treasurer?
The candidates were asked to give letter grades on the jobs done by current treasurer Seth Magaziner and his predecessor, Gina M. Raimondo, who went on to become governor before taking the job of U.S. commerce secretary in the Biden administration.
Diossa gave both an A.
Pryor gave Magaziner an A and gave Raimondo “high marks.”
National student loan forgiveness Â
Both supported forgiving student loans, though Pryor added the caveat “if we have the revenue for the purpose.”
Pop quiz on pension fund
Nesi and White asked three questions about the inner workings of the pension fund: what percentage of the fund is invested in U.S. equities, what percentage is invested in hedge funds and what is the projected rate of return on the pension-fund investments.
Diossa got the first question wrong, answering 55%, when the correct answer is 22%. Pryor said he didn’t know.
Pryor got the hedge-fund question correct — 7%. Diossa dodged the question.
Both got the rate-of-return question correct, also 7%.
Invest pension funds in RI?
Both candidates said they did not oppose local invesment of pension funds, but said they would move cautiously.
