It may seem very quiet up there, but the work continues.

Did you think nothing was happening on Beacon Hill since they wrapped up formal sessions in July? There's always something happening. Back in 2014 after the 2013-14 session finished formal sessions, the House and Senate went on to take over 1000 actions on bills, and sent more than two dozen of them to the Governor for signature.

There's a lot to know about the Economic Development legislation recently signed by the Governor...

Economic Development

Governor Baker has signed economic development legislation passed in the waning hours of the legislative session.  It's a sweeping bill that covers a lot of ground.  We'll see important investments and changes in Community Development, Workforce Development, the Massachusetts Innovation Initiative, and Economic Competitiveness.  Here are some of the major provisions:

Community Development

• MassWorks ($500 million capital authorization): Reauthorizes a capital grant program that provides municipalities and other public entities with public infrastructure grants to support economic development and job creation.
• Transformative Development Initiative ($45 million capital authorization): Supports the revitalization of Gateway Cities, by enabling MassDevelopment to make long-term patient equity investments in key properties in Transformative Development Initiative districts, with the goal of accelerating the maturation of private real estate markets.
• Brownfields Redevelopment Fund ($45 million capital authorization): Moves funding for the state’s Brownfields Redevelopment Fund to the capital program, providing a reliable long-term funding stream for a fund that is the Commonwealth’s primary tool for facilitating the redevelopment of contaminated properties.
• Site Readiness Fund ($15 million capital authorization): Advances regional job creation by creating a new fund for site assembly and pre-development activities that support regionally significant commercial or industrial development opportunities.
• Massachusetts Food Trust Program ($6.4 million capital authorization): Capitalizes a financing program to support rural agriculture and increase food security in low- and moderate-income communities.
• Smart Growth Housing Trust Fund ($15 million capital authorization): Moves funding for the state’s Smart Growth Housing Trust Fund to the capital program, providing a reliable long-term funding stream for a fund that is the Commonwealth’s primary tool for facilitating smart growth housing development.
• Starter Home Zoning: Incentivizes the creation of smaller, denser, and more affordable single-family homes by creating a new starter home option under the Chapter 40R smart growth housing program.
• Housing-Related Tax Increment Financing: Supports housing production in town centers and urban neighborhoods by reforming a seldom-used local-only smart growth tax incentive program, removing onerous regulations, and allowing communities to set their own affordability requirements.
• Housing Development Incentive Program (HDIP) Reform: Supports the development of market-rate housing in Gateway Cities by allowing credits to support new construction, and by raising the formula that sets housing development incentives.

Workforce Development

• Workforce Skills Capital Grants ($45 million capital authorization): Establishes a new grant program for workforce development training equipment, to strengthen workforce skills, and create strong employment pipelines.

The Massachusetts Innovation Initiative

• Massachusetts Manufacturing Innovation Initiative (M2I2) ($71 million capital authorization): Provides matching grants to establish public-private applied research institutes around emerging manufacturing technologies. The state’s capital funds will be matched with federal and private industry funds.
• Scientific and Technology Research and Development Matching Grant Fund ($15 million capital authorization): Reauthorizes a capital grant program that funds nonprofit, university-led research collaboratives working to commercialize emerging technologies, thereby supporting the development of emerging industry clusters.
• Community Innovation Infrastructure Fund ($15 million capital authorization): Creates a new fund for making capital grants that support community-based innovation efforts, including co-working spaces, venture centers, maker spaces and artist spaces.
• Digital Health Care Cluster Development: Broadens the statutory charge of the Massachusetts eHealth Institute (MeHI) to include digital health cluster development.
• Angel Investor Tax Credit: Promotes startup activity and job creation in the Gateway Cities, by incentivizing investment in early-stage life sciences and digital health firms.

Economic Competitiveness

• Conley Terminal Rehabilitation ($109.5 million capital authorization): Permits the Massachusetts Port Authority to pursue the reconstruction of South Boston’s Conley Terminal, including berth construction and crane procurement, to accommodate new, larger cargo ships.
• College Savings Tax Deduction: Provides Massachusetts residents with tax deductions for making deposits into prepaid tuition or college savings accounts.
• Economic Development Incentive Program (EDIP) Reforms: Builds accountability in the state’s primary job-creation incentive program by strengthening the link between the issuance of tax credits, and job creation that would not otherwise occur; adds flexibility to the incentive program by eliminating obsolete, formula-driven incentive categories.
• Liquor Law Reforms: Protects the ability of farmer-wineries, farmer-breweries, and farmer-distilleries to serve their products on their own premises; supports consumer choice and access to markets by allowing retailers who sell alcohol to also serve alcohol in in-house cafés; liberalizes restrictions on the sale of alcohol around certain holidays.
• Regional Economic Development Organization (REDO) Modifications: Shifts the focus of nonprofit regional economic development nonprofits toward systems-based efforts to stimulate economic growth, including strengthening the regional skills pipeline, and executing regional industry cluster development strategies.
• Fantasy Sports: Legalizes daily fantasy sports contests operated in accordance with regulations promulgated by the Attorney General.

Massachusetts End of Session Recap

Legislature wraps up 2-year session with marathon weekend

The Massachusetts House and Senate ran just beyond their self-imposed deadline to complete legislative work by midnight on July 31st.  After that date, they meet only in informal session, allowing members to spend more time in their districts in preparation for the election.  They were able to reach compromise on a number of high-profile bills, although not all of them will get to Governor Baker's desk this year.

Noncompete agreement legislation stalled when lawmakers were unable to reach a compromise, and will likely come up again when the Legislature reconvenes next January.

Here are a few of the big bills that went to the Governor before the session gaveled to a close:

Ride sharing:

Companies such as Uber, Lyft, and Fasten have been creating challenges for policymakers who had laid out very strict policies for taxis.  The taxi and limousine industry has been asking that these companies be regulated in much the same way.  In the final bill, however, ride share drivers will not be subject to fingerprinting as taxi drivers are, but will have to undergo background checks.  A 20-cent per ride fee will be divided among the municipality, the Mass. Department of Transportation and a fund establish to ease the burden on the traditional taxi industry.  They'll also be able to pick up at Logan and the Boston Convention and Exhibition Center.

Renewable energy:

A compromise was reached on legislation that would increase the state's reliability on wind, hydro and solar power.  The final bill did not go as far as the Senate would have liked, mainly because it did not increase the state's renewable portfolio standard.  The House said increasing the standard could result in burdensome costs to consumers.  The bill also requires Massachusetts to come up with a plan to address gas leaks.  Lawmakers left open the possibility that the legislation can be revisited to adjust once the law is in place and there is an opportunity to measure the impact.

Economic development:

The economic development bill that was sent to Governor Baker around midnight on July 31st will not include authorization to establish an online lottery, nor will it include expansion of a tax credit for low-income workers.  Also dead for now is a tax on short-term rentals, as in those through Airbnb, and nonprofits will not be taxed on property they acquire under this legislation.  It does include investment in MassWorks, brownfields funding, and technical education.

 

Budget, Transgender Rights, Weed

Next year's state budget signed into law...

Governor Baker signed the budget sent to him by the Legislature on Friday, but not before he vetoed $256 million in funding.  The total budget, nearly $39 billion, represents a 1.3% increase over last year's spending.  Revenues have been disappointing in light of an underperforming stock market and have caused budget writers to adjust expectations.

Transgender people now have public accommodations protections

After some conference committee wrangling to iron out differences between the House and the Senate, a bill to protect transgender people from discrimination in public places has now been signed into law.  The pivotal element of the legislation allows folks to use sex-segregated facilities (rest rooms, locker rooms, etc.) that correspond to their gender identity, not necessarily their anatomical gender.  The compromise bill also includes language that has the Attorney General and the Massachusetts Commission Against Discrimination working to deal with any potential use of the law for improper purposes, provisions that were important to some constituencies.

Speaker DeLeo, Governor Baker, Mayor Walsh and others urge a NO vote on recreational marijuana in MA

Safe Cannabis Massachusetts, the first committee formed in opposition to the ballot question to establish a marijuana and THC products industry in Massachusetts, continues to work to educate voters about the dangers of this particular initiative, even for those who favor the concept of allowing folks to smoke pot without interference.  Governor Baker, Mayor Marty Walsh, and Speaker DeLeo were joined by other political and community leaders at a press conference last week to announce their opposition and lay out their concerns.

The NO side enjoys the vocal support of political leaders who discussed how passage of this question would tie the hands of communities to limit how many retailers set up shop and allow them near day care centers and playgrounds. 

Opponents are especially concerned about the lack of restriction on the production, labeling and marketing of edible THC products, such as gummies and candy, evoking memories of Big Tobacco's aggressive youth-targeted marketing.

"We mutually pledge to each other our Lives, our Fortunes and our sacred Honor."

Wishing you all a safe, happy, and free Independence Day weekend!

The Declaration of Independence: A Transcription

IN CONGRESS, July 4, 1776. The unanimous Declaration of the thirteen united States of America, When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another, and to assume among the powers of the earth, the separate and equal station to which the Laws of Nature and of Nature's God entitle them, a decent respect to the opinions of mankind requires that they should declare the causes which impel them to the separation. We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.--That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed, --That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness. Prudence, indeed, will dictate that Governments long established should not be changed for light and transient causes; and accordingly all experience hath shewn, that mankind are more disposed to suffer, while evils are sufferable, than to right themselves by abolishing the forms to which they are accustomed. But when a long train of abuses and usurpations, pursuing invariably the same Object evinces a design to reduce them under absolute Despotism, it is their right, it is their duty, to throw off such Government, and to provide new Guards for their future security.--Such has been the patient sufferance of these Colonies; and such is now the necessity which constrains them to alter their former Systems of Government. The history of the present King of Great Britain is a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute Tyranny over these States. To prove this, let Facts be submitted to a candid world. He has refused his Assent to Laws, the most wholesome and necessary for the public good. He has forbidden his Governors to pass Laws of immediate and pressing importance, unless suspended in their operation till his Assent should be obtained; and when so suspended, he has utterly neglected to attend to them. He has refused to pass other Laws for the accommodation of large districts of people, unless those people would relinquish the right of Representation in the Legislature, a right inestimable to them and formidable to tyrants only. He has called together legislative bodies at places unusual, uncomfortable, and distant from the depository of their public Records, for the sole purpose of fatiguing them into compliance with his measures. He has dissolved Representative Houses repeatedly, for opposing with manly firmness his invasions on the rights of the people. He has refused for a long time, after such dissolutions, to cause others to be elected; whereby the Legislative powers, incapable of Annihilation, have returned to the People at large for their exercise; the State remaining in the mean time exposed to all the dangers of invasion from without, and convulsions within. He has endeavoured to prevent the population of these States; for that purpose obstructing the Laws for Naturalization of Foreigners; refusing to pass others to encourage their migrations hither, and raising the conditions of new Appropriations of Lands. He has obstructed the Administration of Justice, by refusing his Assent to Laws for establishing Judiciary powers. He has made Judges dependent on his Will alone, for the tenure of their offices, and the amount and payment of their salaries. He has erected a multitude of New Offices, and sent hither swarms of Officers to harrass our people, and eat out their substance. He has kept among us, in times of peace, Standing Armies without the Consent of our legislatures. He has affected to render the Military independent of and superior to the Civil power. He has combined with others to subject us to a jurisdiction foreign to our constitution, and unacknowledged by our laws; giving his Assent to their Acts of pretended Legislation: For Quartering large bodies of armed troops among us: For protecting them, by a mock Trial, from punishment for any Murders which they should commit on the Inhabitants of these States: For cutting off our Trade with all parts of the world: For imposing Taxes on us without our Consent: For depriving us in many cases, of the benefits of Trial by Jury: For transporting us beyond Seas to be tried for pretended offences For abolishing the free System of English Laws in a neighbouring Province, establishing therein an Arbitrary government, and enlarging its Boundaries so as to render it at once an example and fit instrument for introducing the same absolute rule into these Colonies: For taking away our Charters, abolishing our most valuable Laws, and altering fundamentally the Forms of our Governments: For suspending our own Legislatures, and declaring themselves invested with power to legislate for us in all cases whatsoever. He has abdicated Government here, by declaring us out of his Protection and waging War against us. He has plundered our seas, ravaged our Coasts, burnt our towns, and destroyed the lives of our people. He is at this time transporting large Armies of foreign Mercenaries to compleat the works of death, desolation and tyranny, already begun with circumstances of Cruelty & perfidy scarcely paralleled in the most barbarous ages, and totally unworthy the Head of a civilized nation. He has constrained our fellow Citizens taken Captive on the high Seas to bear Arms against their Country, to become the executioners of their friends and Brethren, or to fall themselves by their Hands. He has excited domestic insurrections amongst us, and has endeavoured to bring on the inhabitants of our frontiers, the merciless Indian Savages, whose known rule of warfare, is an undistinguished destruction of all ages, sexes and conditions. In every stage of these Oppressions We have Petitioned for Redress in the most humble terms: Our repeated Petitions have been answered only by repeated injury. A Prince whose character is thus marked by every act which may define a Tyrant, is unfit to be the ruler of a free people. Nor have We been wanting in attentions to our Brittish brethren. We have warned them from time to time of attempts by their legislature to extend an unwarrantable jurisdiction over us. We have reminded them of the circumstances of our emigration and settlement here. We have appealed to their native justice and magnanimity, and we have conjured them by the ties of our common kindred to disavow these usurpations, which, would inevitably interrupt our connections and correspondence. They too have been deaf to the voice of justice and of consanguinity. We must, therefore, acquiesce in the necessity, which denounces our Separation, and hold them, as we hold the rest of mankind, Enemies in War, in Peace Friends. We, therefore, the Representatives of the united States of America, in General Congress, Assembled, appealing to the Supreme Judge of the world for the rectitude of our intentions, do, in the Name, and by Authority of the good People of these Colonies, solemnly publish and declare, That these United Colonies are, and of Right ought to be Free and Independent States; that they are Absolved from all Allegiance to the British Crown, and that all political connection between them and the State of Great Britain, is and ought to be totally dissolved; and that as Free and Independent States, they have full Power to levy War, conclude Peace, contract Alliances, establish Commerce, and to do all other Acts and Things which Independent States may of right do. And for the support of this Declaration, with a firm reliance on the protection of divine Providence, we mutually pledge to each other our Lives, our Fortunes and our sacred Honor. The 56 signatures on the Declaration appear in the positions indicated: Column 1 Georgia:    Button Gwinnett    Lyman Hall    George Walton Column 2 North Carolina:    William Hooper    Joseph Hewes    John Penn South Carolina:    Edward Rutledge    Thomas Heyward, Jr.    Thomas Lynch, Jr.    Arthur Middleton Column 3 Massachusetts: John Hancock Maryland: Samuel Chase William Paca Thomas Stone Charles Carroll of Carrollton Virginia: George Wythe Richard Henry Lee Thomas Jefferson Benjamin Harrison Thomas Nelson, Jr. Francis Lightfoot Lee Carter Braxton Column 4 Pennsylvania:    Robert Morris    Benjamin Rush    Benjamin Franklin    John Morton    George Clymer    James Smith    George Taylor    James Wilson    George Ross Delaware:    Caesar Rodney    George Read    Thomas McKean Column 5 New York:    William Floyd    Philip Livingston    Francis Lewis    Lewis Morris New Jersey:    Richard Stockton    John Witherspoon    Francis Hopkinson    John Hart    Abraham Clark Column 6 New Hampshire:    Josiah Bartlett    William Whipple Massachusetts:    Samuel Adams    John Adams    Robert Treat Paine    Elbridge Gerry Rhode Island:    Stephen Hopkins    William Ellery Connecticut:    Roger Sherman    Samuel Huntington    William Williams    Oliver Wolcott New Hampshire:    Matthew Thornton

Massachusetts budget to be approved and sent to Gov's desk

Just one day before the start of the new fiscal year, the Massachusetts Legislature is set to vote on a compromise budget released last night by the Joint Ways & Means Conference Committee.  The House and Senate budgets contained significant differences in both funding levels and policy areas that had to be worked out.  The measure makes modest cuts and banks on several assumptions related to revenues.  It introduces no new taxes or fees and introduces some increases in human services areas such as education and child protection services.

The measure will go to Governor Baker's desk, and he will have 10 days to veto any items with which he disagrees.  The Legislature will remain in formal sessions through the end of July, and they can override vetoes with a 2/3 vote in each chamber.

New numbers give legislators "pause" and weekend work

Budget, interrupted

It seems that revenues are less robust than budget writers and conferees thought at the outset of the budget process.  Speaker DeLeo has called for a "pause" as state leaders ponder how to close a gap that may be as large as $750M.  This comes as a select group of House and Senate members were beginning negotiations to reconcile differences between House and Senate versions of the budget for Fiscal Year 2017, which begins July 1st, two short weeks from now.

Credit: Boston Herald

Working the weekends

The end of formal sessions arrives on July 31st, even though many lawmakers will be attending their respective national conventions and so will be away for several days.  As a result, we can expect weekend sessions to help legislators get through some of the issues still awaiting action.  Weekend sessions are a rarity, but the clock is ticking.