The Lingering Ghost of the 38 Studios Deal

November 29, 2010 -

While reading a eulogy of sorts on the career of Rhode Island state representative Steven Costantino, I could not help but notice that his handling of the 38 Studios deal must not have helped him much in his bid to become mayor of Providence. Costantino failed to win the fight earlier this month, and has decided to walk away from state politics... for now.

While sifting through an article on the Providence Journal, the soon-to-be former House Finance Committee chairperson took some heat for the deal that war part of a $125-million state Economic Development Corporation loan. Here is a snippet from the article on that:

House Minority Leader Robert Watson, a Republican from East Greenwich, gave Costantino "high marks" for putting in the "exhaustive" hours that the job required.

But he criticized Costantino and other Democratic leaders for failing to inform House members that a loan guarantee to former Red Sox pitcher Curt Schilling’s video-game company, 38 Studios, was part and parcel of a $125-million state Economic Development Corporation loan-guarantee program, which passed the House in late May. "It was an unfortunate way to exit stage left," Watson said.

You can read the rest of the article here. The Schilling deal seemed to be a lightning rod for many incumbent and establishment candidates, even getting an honorable (?) mention during the gubernatorial debates.


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