MUNI MONEY MATTERS — Facing fiscal shortfalls, municipal leaders across the state are trying to raise revenue to keep up with costs for schools and services.
But residents in some cities and towns are voting down proposals that would allow their local governments to bypass a state law that keeps them from increasing their property tax levy — leaving city and town local leaders little option but to make cuts to critical public services like schools, police and fire departments.
How’d we get here in the first place? While inflation jumped up in the wake of the pandemic, cities and towns were still only able to raise their property tax levy by 2.5 percent without an override vote from residents under the state law known as Proposition 2 ½.
“If your levy can only go up by 2.5 percent, and inflation is 8 percent, then you're starting the day off with a 5.5 percent deficit,” Marc Draisen, the executive director of the Metropolitan Area Planning Council, told Playbook. Meanwhile, labor costs also rose to meet employees' needs and collective bargaining demands, Draisen said.
Some municipalities have been able to plug budget holes with one-time funds or federal aid from the pandemic-era American Rescue Plan. But much of that money is drying up, leaving several communities faced with choosing higher tax bills or the consequences of a budget that can’t support existing services.
Melrose residents voted down a roughly $7 million override last week. That means cuts are coming, Melrose Mayor Jen Grigoraitis told Playbook. Without the override, the city is laying off educators, reducing overtime budgets for its police and fire departments and leaving several city positions empty.
“The reality is, we have been for the past few years robbing Peter to pay Paul,” Grigoraitis said. “It is a constant balancing act of trying to use an increasingly smaller pot of money to cover increasing costs.”
Braintree residents, meanwhile, approved an $8 million override — the first permanent one the city has passed. Paired with cuts to the city’s budget, the move will help the city address its $18 million budget shortfall, Braintree Mayor Erin Joyce told Playbook.
“We were trying to be really thoughtful — we don't want to be back here next year either with cuts, or asking for another override,” she said.
Some budget watchers say that municipalities should focus on cutting costs instead of boosting their levy limit.
“If some voters think their local leaders have made a compelling case, then they're going to override it. But a lot of times, they don't, because they want the local cities and towns to live within their means,” Paul Craney, a spokesperson for the conservative Massachusetts Fiscal Alliance, told Playbook. The state should also increase local aid, Craney argued.
But the state is facing its own fuzzy fiscal picture after several months of below-benchmark revenue collections. Gov. Maura Healey’s Municipal Empowerment Act did advance in the House earlier this month — but measures that would allow municipalities to increase meals and hotel taxes don’t seem likely to make it through the chamber, the State House News Services reported yesterday.
GOOD WEDNESDAY MORNING, MASSACHUSETTS . One day until the presidential debate! Planning any fun ways to watch? Email me with your tips, scoops & debate night game plans: kgarrity@politico.com .
TODAY — Gov. Maura Healey and Lt. Gov. Kim Driscoll host a celebration for the Massachusetts ClimateTech Leaders at 10 a.m. at the State House and attend the grand opening of the new Moderna Headquarters at 1:20 p.m. in Cambridge. Driscoll speaks at a Salem Pantry breakfast at 8 a.m. and chairs a Governor’s Council meeting at noon at the State House. Boston Mayor Michelle Wu hosts a coffee hour and participates in a ribbon cutting at 9:30 a.m. in Dorchester. State Auditor Diana DiZoglio joins “Talk the Talk” on WHMP Radio at 10:05 a.m.
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DATELINE BEACON HILL
— “House to end 'equity theft' in foreclosure sales,”by Christian M. Wade, The Eagle-Tribune: “House lawmakers are poised to approve a proposal to stop ‘equity theft’ from property owners who fall behind on their local taxes, which comes in response to federal and state court rulings that deemed the practice unconstitutional. The bill, which is teed up for a vote in the House of Representatives on Wednesday, would establish a process allowing delinquent property owners to claim “excess equity” during foreclosure sales by local governments.”
— “Massachusetts Senate approves bill to expand reliance on renewable energy,”by Steve LeBlanc, The Associated Press: “The Massachusetts Senate approved a bill Tuesday aimed at expanding the adoption of renewable energy in a bid to help Massachusetts meet its climate goals, including reaching net zero greenhouse gas emissions by 2050. Supporters say the proposal will help lower utility bills by directing providers to offer discounted rates to consumers with low and middle incomes and give the state more flexibility to negotiate contracts with providers. The bill would also ban ‘competitive electric suppliers,’ which cost Massachusetts consumers more than $577 million over the past eight years, according to a report from the state attorney general’s office. The companies have argued that they can help consumers save money and purchase renewable energy.”
How come REPUBLICANS are consistently UNINFORMED and create HYSTERIA based on DISINFORMATION? Did any single Republican review those 'studies'? REPUBLICANS don't seem to like FACTS.....RYAN FATTMAN was among the 3 MASS GOP who endorsed DeSantis ignoring the failures of FLORIDA GOP. "R" voters need to insist that empty rhetoric & disinformation don't belong in public policy.
A top Senate Democrat contested claims that thousands of natural gas workers could be at risk of losing their jobs because of policies included in climate legislation the chamber was debating Tuesday, calling the assertions “misinformation” and “fundamentally flawed.”
Clean energy and climate legislation backed by Senate Democratic leadership attempts to reign in the use of natural gas and phase out an infrastructure replacement program by 2030, a move that has raised red flags among labor unions and conservatives on Beacon Hill.
But Sen. Michael Barrett, a Lexington Democrat and chief author of the proposal, said there is “plenty” of data on those who will be transitioning out of jobs in the natural gas industry as reliance on it fades.
“It’s not 10,000. It’s not 5,000. It’s not 1,000. As it turns out, several studies, some done based on federal data, some done based on Massachusetts data, show counts of well, in one case, 141,” Barrett said. “So what’s this thousands of jobs stuff? That’s misinformation. It’s sincerely offered, I think, but it’s fundamentally flawed. It’s wrong. It’s simply not supported.”
Resistance to the Senate bill bubbled up last week around language targeting natural gas, including the effort to end the gas pipe replacement program and another policy granting state regulators more authority to determine the scope of natural gas use in Massachusetts.
Republican Sen. Ryan Fattman of Sutton twice blocked the bill from moving forward last week, arguing lawmakers had little time to review the proposal and people could be out of work if natural gas use is tightened.
Another Republican, Sen. Patrick O’Connor of Weymouth, said last week that Democrats were “moving at warp speed without really taking into account the 20,000-plus union people that work inside of this profession right now.”
Barrett said he “can appreciate that transition sometimes cause inconvenience” and “it’s always a pain to change jobs.”
“We have to help people do that easily whenever we can. But just remember, every time you talk about the inconvenience of moving away from a fossil fuel job, you need to balance it with the lives you’re saving by moving off fossil fuels. Inconvenience is real. It’s a pain. Lives lost to fossil fuels are a reality too,” he said.
Later in the Senate debate, Sen. Mark Montigny appeared to push back on Barrett’s characterization of the transition away from natural gas and the impact it could have on jobs as an “inconvenience.”
Montigny, a New Bedford Democrat, said if Massachusetts is to “properly” wean itself off fossil fuels, “we better be mindful of that transition and the impact on jobs.”
“When we look at the transition and the potential disruption of people’s lives, it’s not an inconvenience, it’s a disaster at times. I’m not suggesting, by the way, that (Barrett) doesn’t feel the same way, because he and I have shared these feelings with each other. But cost does matter,” he said.
In a June 25 letter, the New England Gas Workers Alliance, a group that represents industry unions, asked lawmakers to keep the pipe replacement program because more than 3,000 miles of “leak-prone pipe” in Massachusetts needs to be repaired to “prevent deadly conditions.”
New England Gas Workers Alliance President John Buonopane told the Herald he understands workers could lose their jobs if the program, known as the Gas System Enhancement Program or GSEP, sunsets, but his organization wants officials to understand the public safety impacts.
“The program wasn’t created to create jobs. It was created to address these public safety issues in relation to having leak-prone pipe in the ground,” Buonopane said.
Senate Majority Leader Cindy Creem said the bill “reorients” the GSEP program towards investment in clean heating whenever possible and allows gas companies to sell network geothermal energy.
“What we’re doing is saying we want to partner with the gas companies. We don’t want people to lose their jobs. We want those same people to work with us to find ways of clean energy,” the Newton Democrat said from the floor of the chamber.
Democrats pitched the larger Senate climate bill as instrumental in the state’s fight against climate change, curbing the use of fossil fuels, and lowering rates for consumers.
The proposal would expedite and streamline the siting and permitting process for clean energy projects, one of the key ways elected officials believe Massachusetts can meet its climate goals.
It directs utility providers to offer discounted rates to moderate-income consumers in addition to existing low-income customers and it bans competitive electric suppliers from enrolling new individual residential customers in contracts, among other things.
“The bill does all that while ensuring that the energy transition remains affordable for all residents of Massachusetts,” Creem said.
National Grid employees work on a natural gas line on Lowell Street in Woburn. (Jim Michaud/Boston Herald, File)
— “Sit. Stay. Play dead? In a first, Mass. medical examiner to deploy dog-like robot in death investigations,”by Matt Stout, The Boston Globe: “The robot dogs are coming — this time, for the dead. A dystopian reality this is not. In what is believed to be a first, the Massachusetts medical examiner’s office plans to deploy a dog-like robot dubbed Spot at its Boston office, where officials say it will assist in the remote examinations of bodies but can also help transport equipment and tools and even patrol the facility off-hours to ‘deter trespassing.’ The state Office of the Chief Medical Examiner bought the Boston Dynamics robot for $270,000 last month, and expects it to arrive in ‘several weeks,’ state officials said. The robot won’t replace humans, and is ‘intended to be an operational enhancement,’ according to the agency.”
FROM THE HUB
BOSTON’S BUDGET BATTLE — When the Boston City Council faces its final budget vote today, all eyes will be on Mayor Michelle Wu ’s closest allies to see if any of the three councilors she boosted on the campaign trail will break with mayor and vote to override the budget all three supported initially. The Boston Herald has more on how the power struggle is playing out so far.
WESTCHESTER WIPEOUT — New York Rep. Jamaal Bowman was trounced in Tuesday night’s Democratic primary for his suburban New York seat, the first loss for a Squad member since the progressive group formed in 2018. Bowman had the backing of Sen. Elizabeth Warren and Rep. Ayanna Pressley , one of the group's original members, plus support from other high-profile progressives like Sen. Bernie Sanders and Rep. Alexandria Ocasio-Cortez.
The pro-Israel lobby AIPAC spent more than $14 million on TV ads to unseat Bowman, making the race one of the most expensive primaries ever — a warning shot to other progressives who have been critical of Israel’s war in Gaza. But that doesn’t mean someone like Pressley should be sweating. “At the end of the day, if someone has a solid base and is in tune with their district, all the money in the world is hard to beat an incumbent,” former Obama adviser David Axelrod pointed out on CNN Tuesday night. My colleagues in New York have the recap .
— “The lingering effects of long COVID: Domb hosts second briefing on the topic,”by Alexander MacDougall, Daily Hampshire Gazette: “It knocked Netia McCray out of work for two years, and it took all of that time for doctors to give her an official diagnosis — she was suffering from long COVID. McCray, the director of Mbadika, a Boston nonprofit that provides resources for students pursuing careers in science, technology, engineering and math, told those gathered at a virtual briefing on long COVID held by state Rep. Mindy Domb, D-Amherst, on Tuesday that the illness impacted other aspects of her daily life beyond her work. … Domb called the virtual briefing — the second such gathering this year — to hear what public health officials and health care administrators had to say about the lingering effects of long COVID on Massachusetts residents and what the state could do to address inequalities that result from it.”
Understand 2024’s big impacts with Pro’s extensive Campaign Races Dashboard, exclusive insights, and key coverage of federal- and state-level debates. Focus on policy. Learn more .
THE LOCAL ANGLE
— “City receives more money for Lowell High rebuild,”by Melanie Gilbert, The Lowell Sun: “The city of Lowell received another installment payment from the Massachusetts School Building Authority for more than $8 million — part of its $252 million portion of the almost $400 million Lowell High School rebuilding project. The latest payment brings the total MSBA reimbursement amount to more than $130 million.”
— “Peabody council passes $197 million budget,”by Caroline Enos, The Salem News: “The City Council passed a $197 million budget for fiscal 2025 Thursday night. It’s a 5.4% increase from last year’s budget, with a rise in municipal health insurance costs, inflation, increased fixed costs and the end of emergency pandemic era aid all making this year’s budget process particularly tough, Mayor Ted Bettencourt said.”
— “Former GNBVT guidance director pays $10,000 state penalty for conflict of interest,”by Frank Mulligan, The Standard-Times: “Heather Larkin, former Greater New Bedford Regional Vocational Technical High School guidance and pupil personnel services director, has paid a $10,000 civil penalty for violating the conflict of interest law. Larkin contracted with her friend and business partner to provide services to the school, using the school’s resources to promote her private business event, and through other actions, according to a press release from the state Ethics Commission.”
CALLER ID allows people to screen their calls. Who answers the phone?
Question the POLLS!
— “Poll: Biden holds single-digit lead in RI; McKee job approval slumps to 36 percent,” by Ted Nesi, WPRI: “President Biden is down to a single-digit lead over former President Trump in Rhode Island, according to a new survey released Tuesday, while Gov. Dan McKee’s job approval rating has taken a hit. … The poll shows a surprisingly close race for president in Rhode Island, a reliably blue state that has voted for the Democratic nominee every four years since 1988. The survey shows Biden at 40 percent, Trump at 33 percent and independent candidate Robert F. Kennedy Jr. at 12 percent, with about one in 10 voters undecided.”
HEARD ‘ROUND THE BUBBLAH
TRANSITIONS — Robin Juliano is now policy director for House Minority Whip Katherine Clark . She previously was staff director for the House Appropriations Committee and is an Obama NEC and Barbara Mikulski alum.
HAPPY BIRTHDAY — to former Lynn state Rep. Robert Fennell, Southwick state Rep. Nicholas Boldyga, Gloucester state Rep. Ann-Margaret Ferrante, Mattapoisett state Rep. Bill Straus, Kait Castillo, f ormer MassGOP spokesperson Emmalee Kalmbach, Democratic strategist Adam Webster of Castle Point Partners and Adam Zieminsk i of Cafe Adam in Great Barrington. Happy belated to Erik Lin-Greenberg, who celebrated Monday.
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