PROVIDENCE, R.I. (AP) — The mayor of Providence says the state of the city is improving after hard fiscal times, and that his administration is "restoring hope" to the capital.

Angel Taveras, who is also running for governor, delivered his last State of the City address Tuesday in city council chamber.

The first-term Democrat says his administration averted municipal bankruptcy and turned a $110 million budget deficit into a $1.6 million surplus at the end of last fiscal year. He says it's getting easier to do business in the city, and that development projects are underway.

He says his administration is investing in small businesses and innovation and that "we are restoring hope in our beloved city."

Taveras, who took office in 2011, announced in October he was seeking his party's nomination for governor.