By: State Rep. Ryan Hamilton – July 2024
I hope everyone enjoyed the Fourth of July. It’s always a great time to celebrate America’s birthday with family and friends.
This past month, the House has been busy. In this edition of the Valley Patriot, I will discuss two significant pieces of legislation the House passed. The first one is the housing bond bill. As we have seen, housing in the Merrimack Valley has increased substantially over the past ten years. And the housing stock has dwindled, making a difficult for first-time homebuyers to purchase a home or older people to downsize from their current homes.
The house was moved to address this to make it easier for our young people to afford a and for older people to downsize into a more practical home that fits their needs.
The housing bond bill. Also known as “An Act relative to the Affordable Homes Act,” which includes $6.5 billion in bond authorizations, tax credits, and over 20 policy initiatives that promote housing production, facilitate the development of affordable housing, and preserve public housing in Massachusetts.
The bill includes a new $150 million program to help municipalities convert commercial properties into multi-unit residential or mixed-use properties. After project completion, project sponsors would be eligible for a tax credit of up to 10 percent of the development costs.
The bill also includes a new tax credit to incentivize the production of homeownership units targeting households with incomes of up to 120 percent of the area median income (AMI). Additionally, the bill makes permanent the Community Investment Tax Credit (CITC) while expanding the statewide cap on donations from $12 million to $15 million, and extends the sunset of the Historic Rehabilitation Tax Credit through December 31, 2030, while increasing the total available amount from $55 million to $110 million.”
“Bond authorizations include:
PUBLIC HOUSING
• $2 billion to support the repair, rehabilitation, and modernization of over 43,000 public housing units across Massachusetts, with 25 percent of the funds dedicated to preserve housing for those with incomes below 30 percent AMI. $150 million to decarbonize the public housing stock and $15 million for accessibility upgrades
• $200 million to support Local Housing Authorities (LHAs) who partner with developers to add mixed-income developments on LHA land, leveraging funds to maintain and preserve public housing while increasing the overall housing supply
Housing vulnerable populations
• $200 million to support innovative and alternative forms of rental housing including single person occupancy (SPO) units, transitional and permanent housing for people experiencing homelessness, housing for seniors and veterans, and transitional units for persons recovering from substance use disorder. 25 percent of funds must be used to fund projects that preserve housing for those with incomes below 30 percent AMI
• $70 million to support the development of appropriate community-based housing for Department of Mental Health (DMH) and Department of Developmental Services (DDS) clients
• $60 million to modify homes of individuals or families with disabilities or seniors so that they may maintain residency or return home from institutional settings
• $55 million to support appropriate housing for people with disabilities who are not DMH or DDS clients
• $20 million to establish a veterans supportive housing program to develop and preserve supportive housing for veterans and their families experiencing homelessness, including wraparound services
HOUSING DEVELOPMENT
• $800 million for the Affordable Housing Trust Fund which provides resources to create or preserve affordable housing for households earning less than 100 percent of AMI
• $250 million to accelerate the development of mixed-income multifamily housing
• $200 million for the Workforce Housing Fund which funds housing development for households earning less than 120 percent of AMI
• $100 million for the Commonwealth Builder program for the construction of affordable single-family homes for households earning between 70 and 120 percent of AMI, primarily in Gateway Cities
• $50 million for the acquisition, rehabilitation, and sale of distressed properties
• $50 million to create a new Healthy Home program to provide grants and loans for programs to make homes habitable. Half of all funds are to be administered to owners of buildings in Gateway municipalities
• $10 million to facilitate affordable housing production in Gateway municipalities
HousingWorks
• $425 million to support preservation, new construction, and rehabilitation projects through the Housing Stabilization Fund and the Community Investment and Preservation Fund
• $275 million to consolidate the existing Transit Oriented Housing Program and the Climate Resilient Housing Program and create a new, innovative program to accelerate and unlock new housing. 25 percent of the funds must be used to fund projects which preserve housing for those with incomes below 60 percent of AMI
• $175 million for municipal infrastructure projects to encourage denser housing development
• $50 million to provide payments to municipalities that receive a Housing Choice designation through high housing production and/or demonstration of best practices, including a grant program to assist MBTA Communities in complying with the multi-family zoning requirement in the MBTA Communities Law
• $25 million for grants to municipalities for planning and zoning initiatives that support housing production, workforce training, and economic opportunities, childcare and early education initiatives, and climate resiliency initiatives
• $20 million to provide incentive payments to municipalities who adopt smart growth housing districts
Having passed the House of Representatives 145-13, the bill now goes to the Senate for consideration.
ECONOMIC DEVELOPMENT BOND BILL
I was happy to secure bond money for the following in-district project.
1. $250,000 for Searles Estate planning.
2. $250,000 for the Nevins Memorial Library
3. $100,000 Methuen Streetscape
4. $250,000 Cogswell Arts Center
The Economic Development Bond Bill “aims to bolster support for workers and businesses, particularly in the life sciences, clean energy technology, and manufacturing industries, while retaining a larger focus on making Massachusetts more affordable and competitive. Funded at $3.40 billion in bond authorizations, with an additional $700 million worth of tax credits, the legislation strives to ensure that the Commonwealth is prepared to lead the innovation industries of the future.
“Through billions of dollars in critical investments and tax credits, the House’s economic development bill provides support for companies at the forefront of innovation in the clean energy and the life sciences sectors, among other burgeoning industries.
Ultimately, this legislation will help ensure that the Commonwealth remains a hub for future industries, while also enhancing support for workers across.”
OTHER STATE-WIDE PRIORITIES IN THE BORROWING BILL INCLUDE
• $500 million for the Massachusetts Life Sciences Center to provide grants and loans in order to grow the life sciences industry in Massachusetts
• $400 million for MassWorks public infrastructure grants to municipalities
• $250 million for the Mass Impact grant program to support large transformational projects that will drive economic growth
• $200 million for the Massachusetts Clean Energy Center (MassCEC) to support the research and commercialization of climate technology across the state
• $200 million for the MassCEC to invest in research and in the implementation of offshore wind infrastructure
• $150 million for grants for cities and towns for approved library projects
• $100 million for Municipal Financial Assistance Grants to municipal entities to assist them with workforce development
• $100 million for Applied AI Hub Capital grant program to support the adoption and application of AI technology in the state’s tech sectors
• $100 million for the Rural Development Program, providing financial assistance to exclusively rural areas with the goal of community development
• $100 million for the Seaport Economic Council Grant program for municipalities for the construction/repair of coastal assets that have the potential to stimulate economic growth
TAX CREDITS INCLUDE
• Life Sciences Tax Credit: increases the annual amount of life sciences tax credits from $30 million to $50 million. It decreases the length of time that the certification for a life sciences company is valid from five years to three years and also repeals the Angel Investor Tax Credit.
• Climatetech Industry Incentive Program and Tax Credit: create a program modeled after the life sciences tax incentive program, capped at $30 million per year, to expand the Climatetech industry. Companies could claim credits for net new permanent full-time employees, capital investments, and eligible research costs. It also creates a sales tax exemption for the construction, remodeling, and remediation of certain climate-tech commercial facilities.
• Economic Development Incentive Program (EDIP) Tax Credit: removes the $500,000 per calendar year cap on the total amount of refundable EDIP tax credits that may be awarded for a certified economic development project and removes the $5 million cumulative per year cap on refundable tax credits.
• Live Theater Tax Credit: establishes a five-year live theater tax credit pilot program and tax credit, capped at $7 million per year, to support pre-Broadway, pre-off Broadway, national tour launches, and regional professional theater productions.
• Digital Interactive Media Tax Credit: establishes a five-year digital interactive media tax credit pilot program, capped at $5 million per year, to support the production of video games in the Commonwealth. It also establishes a sales tax exemption for digital interactive media production companies and students for production expenses.
• Internship Tax Credit: establishes a tax credit for employers, capped at $100,000 per employer and $10 million total credits annually, that employ for 12 weeks a recent graduate of a public or private institution of higher education in Massachusetts.
POLICY INITIATIVES INCLUDE
• Project Labor Agreements (PLAs): authorizes public agencies or municipalities to use PLAs if it is in the best interest of the Commonwealth and directs the Department of Labor Standards to promulgate regulations to increase the diversity of contractors in PLAs.
• Thomas Michael Menino Convention and Exhibition Center: directs the Massachusetts Convention Center Authority to designate the Boston Convention and Exhibition Center as the Thomas Michael Menino Convention and Exhibition Center.
• Combat Sports Governance Updates: modernizes how the Commonwealth oversees combat sports such as mixed martial arts and boxing to encourage more events in Massachusetts and provide greater protections for combatants. The bill allows MSAC to oversee and enforce contracts, revoke/suspend licenses, and requires formal training for those regulating events. It also increases insurance coverage for combatants injured during events.
• Rural Policy Commission and Rural Development Program: amend the definition of “rural community” to add municipalities with a population of less than 7,000 in the most recent census. It also establishes a rural development program administered by the Executive Office of Economic Development (EOED) to promote economic opportunity in rural communities.
• Workforce Investment Trust Fund: requires funds from the Workforce Investment Trust Fund to be competitively granted through existing workforce development programs that develop and strengthen workforce opportunities for low-income communities or vulnerable youth and young adults. Allows funds to be granted to programs providing opportunities for intellectual, developmental, or physical disabilities. And to facilitate work permits, professional credentialing, or other workforce opportunities for lawful non-citizens in Massachusetts.
• Broadband: authorizes governmental bodies to use the competitive sealed bid process under MGL 30B, instead of the procurement requirements for public works non-building construction contracts, to procure broadband internet service along with the design, installation, maintenance, and operation of broadband internet services for public buildings or public land.
• Special Permit for Construction: requires construction or operations under a special permit or a site plan approval under local ordinance or by-law to conform to any subsequent amendment of the zoning ordinance or by-law or any other local land use regulations unless the use or construction is commenced within three years after the issuance of the special permit or site plan approval.
• Commercial Electric Vehicle (EV) Charging Stations: commercial EV charging stations must be registered with the division of standards under the Office of Consumer Affairs and Business Regulation (OCABR) on a form developed by the division before offering charging services to the public. All commercial electric vehicle charging stations operating as of January 1, 2025, must be registered with the division by January 1, 2026.
• Capital Improvement Trust Funds: expands the fund’s purpose to include simulcasting.
• Running Horse Capital Improvements Trust Fund: provides that the licensee in Suffolk County shall not be obligated to make any further payments to the Running Horse Capital Improvements Trust Fund.
• Worcester County Simulcasting: authorizes a live racing meeting licensee in Worcester County to simulcast in any location in Worcester County.
• Salesperson Licenses: allows the Alcoholic Beverages Control Commission (ABCC) to grant individuals employed as salesmen of farmer-distilleries the authority to solicit orders for alcoholic beverages on behalf of their employer.
• Ticket Sales: makes several changes to modernize ticket sales laws and increase consumer protections, including increased audits and testing of paperless systems, clear and conspicuous fee disclosures, and guaranteed refunds in case of canceled events and other circumstances
• Development at Devens: makes a number of technical updates to assist with planning and promoting further residential development at Devens
• Surety Bond Pilot Program: establishes a five-year surety bond assistance pilot program, subject to federal approval by the U.S. Treasury, to assist economically and socially disadvantaged businesses to secure contracts for capital projects in the form of technical or financial assistance.
As always, please don’t hesitate to contact my office with any ideas, concerns, or questions at ryan.hamilton@mahouse.gov or 617-722-2090 ◊