The ballot question — which did not mention Israel by name — asked voters if they wanted to divest city assets from “foreign countries conducting ethnic cleansing, apartheid, illegal military occupation, or genocide.”
The full ordinance, which was not printed in its entirety on the ballot, also calls for divesting from “complicit entities,” prompting concern that the measure would apply to a long list of companies from Google to Chevron that do business with Israel. Such companies are often traded in index funds that Providence’s pension fund is invested in; the struggling $650 million pension fund has more than $1 billion in unfunded liabilities.
Get Rhode Map
A weekday briefing from veteran Rhode Island reporters, focused on the things that matter most in the Ocean State.
The measure was submitted by a group called the Providence for Palestine Coalition, which said it was aimed at Israel, though they did not actually name the country in the submitted language. Israel divestment measures have been proposed in other cities with varying degrees of success since the war in Gaza began in 2023. In some cases the measures were non-binding, or are facing legal challenges. Last week, the Cambridge City Council voted to divest the city’s pension fund from companies with “severe and consistent” involvement in Israel’s actions in Gaza.
“The Yes on 7 campaign has not only demonstrated overwhelming popular support for Palestine and opposition to wars and genocide everywhere, but also that regular people are capable of reclaiming political power and making change,” Max Pitchon, a member of the coalition, said in a statement after the win.
Mayor-elect David Morales has promised to enforce the measure. He overwhelmingly won the race for mayor Tuesday.
“These victories are deeply connected, both reflect a shared vision for a Providence that puts people before profit, stands for justice, and ensures that our public resources reflect our values,” Morales said in a statement sent out by the Providence for Palestine Coalition Tuesday night.
Retired US District Court Judge William Smith, who was paid $15,000 by the city’s legal department to analyze the proposal, called it “poorly drafted” and likely in conflict with the city charter.
“I believe the proposed ordinance is highly problematic, likely unenforceable, and, if adopted, will lead to confusion and disruption in the City’s Investment Commission, as well as damage to the City’s pension investments,” Smith wrote in a 17-page analysis. He said he was not asked to take any particular stance on the ballot measure when he was hired.
“This, in turn, will doubtless lead to complicated and expensive litigation against the city. Indeed, if the ordinance is enacted, it is my view that litigation is inevitable,” Smith wrote.
It’s not just opponents of the measure that could sue, Smith noted. If the city’s pension commissioners refuse to divest assets in the pension fund, supporters of divestment could also sue.
“Either way, the proposed ordinance will result in a litigation frenzy and potential chaos,” Smith said.
The ballot question deeply divided Democratic elected officials, and prompted concern about antisemitism.
The Jewish Alliance of Greater Rhode Island called the measure “harmful, divisive, and antisemitic in its impact,” because it specifically targets Israel, the world’s only Jewish state.
The Providence for Palestine coalition has not identified the specific companies from which the city would need to divest its investments.
Morales said he didn’t have a timeline of how quickly his administration would move to enforce the measure. Asked about Smith’s analysis, Morales said he plans to “respect the will of the voters.”
“We want to do it correctly,” Morales said. “We want to be mindful in terms of how we ultimately enforce this new city law.”
Steph Machado can be reached at steph.machado@globe.com. Follow her @StephMachado.