NO CRYSTAL BALL HERE — The state’s fiscal future was already unpredictable, thanks to the volatile revenue collections that had budget writers in February issuing grim warnings about the arrival of a fiscal “winter.”
A second Trump administration is adding another layer of clouds to the foggy picture for the next budget cycle.
That was the message state officials, budget writers and economists delivered as they met yesterday to talk preparations and predictions for Fiscal Year 26 ahead of the January deadline they face to agree on the tax revenue estimate that will serve as the foundation for next year’s budget.
"Predicting future revenue figures, as me and my counterpart have seen over the last couple years, can be a very, very difficult process in normal times," House Ways and Means Chair Aaron Michlewitz said during the hearing. "But given how volatile our revenue has been over the last couple years, this will be especially challenging … because the commonwealth not only faces the challenges at home, but we face unprecedented factors on a federal and global stage.”
Budget writers were already concerned about softening revenue hauls (not counting the money pulled in from the so-called millionaire’s tax, which can only be spent on transportation and education initiatives), which the Department of Revenue in now projecting will come in under benchmark in FY25, the department's commissioner, Geoffrey Snyder, said yesterday.
Add to that questions about whether Congress will extend the cap on deductions for state and local taxes (which Donald Trump promised to lift on the campaign trail), the potential for rising costs from tariffs, and uncertainty about the future of federal reimbursements for Medicaid and, well… “We don’t know what’s going to happen,” Massachusetts Taxpayers Foundation President Doug Howgate said at the hearing.
“There's no need to kind of panic or take action for things that are unknown,” Howagate added. But he cautioned budget writers against planning for big spending growth next budget cycle, suggesting the state officials only increase spending by around 3 percent, as they did for FY25 after facing mid-year budget cuts in FY24.
A new federal administration isn’t the only question mark hanging in the air. Senate Ways and Means Chair Michael Rodrigues told reporters he’s concerned that revenue “seems to have plateaued,” though he’s not anticipating impending budget cuts this fiscal year.
“It's FY '26 that I'm most worried about right now,” he said.
GOOD TUESDAY MORNING, MASSACHUSETTS . Have a tip, story, suggestion, birthday, anniversary, new job, or any other nugget for the Playbook? Drop me a line: kgarrity@politico.com.
TODAY — Gov. Maura Healey hosts a ceremonial signing for the climate and energy bill at 10:15 a.m. in Dorchester and attends the New England Energy Summit at 11:30 a.m. in Boston.
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DATELINE BEACON HILL
— “Mass. lawmakers have scrambled for months to tie up loose ends. Some of their knottiest bills are still in limbo,”by Matt Stout, The Boston Globe: “Massachusetts legislators say they’ve done ‘historic work’ this session. There is also a raft of it that’s still unfinished. With just weeks until a new legislative class arrives Jan. 1, Democratic leaders are grappling with how, or whether, they can reach deals on several high-profile bills before the year ends.”
— “Prisoners' advocates urge Healey to address a backlog in parole hearings,”by Jenifer B. McKim, GBH News: “Prisoners’ advocates are calling for Gov. Maura Healey to address a growing backlog of incarcerated people who were convicted of crimes as young adults and now are awaiting hearings in front of the Massachusetts Parole Board.”
— “State distributes $1B for paid leave,”by Christian M. Wade, The Eagle-Tribune: “The state Department of Family and Medical Leave said nearly 180,000 claims for Paid Family and Medical Leave benefits were filed during the fiscal year that ended June 30, amounting to more than $1 billion in payouts. That’s a more than 26% increase from the 2023 fiscal year, when nearly $833 million was paid out, according to the agency.”
PAYWALL
FROM THE HUB
— “Boston hosts inaugural equity, inclusion summit for city workers,”by Trajan Warren, GBH News: “The city of Boston hosted its inaugural summit focused on helping municipal workers center equity and inclusion in their daily work. Nearly 90 city employees gathered at the Boston Public Library for the one-day event hosted by the Equity and Inclusion Academy on Monday. Presentations and discussions aimed to help staff learn how to foster a sense of equity and inclusion as they serve the city’s diverse population.”
SENATE SHUTDOWN — Another day, another development in the now months-long battle between City Hall and Beacon Hill over a proposal Boston Mayor Michelle Wu is pushing to shift more of the property tax burden onto commercial real estate in the city — one she says will keep residential property owners from seeing a significant jump in their tax bills.
The House sent the bill to the Senate last week, after it was briefly held up by Republican Rep. David DeCoste, who voiced concerns about the impact the legislation might have on communities nearby Boston. Senate President Karen Spilka held off pushing for action on the bill until yesterday, seeming to indicate there was still opposition within her chamber.
Republican Rep. David DeCoste represents PLYMOUTH.
That opposition became clearer yesterday, when Sen. Nick Collins, who represents South Boston, tabled the bill, delaying passage until later in the week.
“It is frustrating to still be waiting for the City to provide critical information on its current financial status,” Collins said in a statement. “In meeting with the city and stakeholders in October, the City suggested certified valuations would be forthcoming, information which still has not been provided. We are still awaiting certified numbers from the Department of Revenue and expect pertinent information to emerge from tomorrow's City Council meeting.”
Collins’ frustrations were news to the Wu administration, according to a city spokesperson.
“Our administration has been working diligently to provide all possible information and answer any questions on this matter for many months. Today is the first time we are hearing about the Senator’s specific concerns, and we will continue trying to reach him to understand the information he is seeking,” the spokesperson said in a statement, adding that the city “reached out to each Senator multiple times to ask for their feedback and concerns.”
The Senate is expected to meet again Thursday, when they could finally close the book on the much-debated home rule petition.
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— “Hampden Sheriff’s Department employees file suit alleging unpaid wages,”by Stephanie Barry, The Springfield Republican: “Eight Hampden County Sheriff’s Department employees have filed a class action lawsuit over wages they claim were unpaid while they underwent annual physical fitness tests. A claim filed in Hampden Superior Court on Nov. 27 argues the workers were illegally shorted for two hours of wages while attending mandatory fitness evaluations.”
— “Panel files charges against Judge Shelley Joseph with SJC for ‘willfull judicial misconduct’,”by Tonya Alanez, The Boston Globe: “A judge who previously faced felony charges for allegedly helping an undocumented immigrant evade federal agents who showed up in Newton District Court to arrest him is again under fire for her alleged conduct in the 2018 case. Judge Shelley M. Richmond Joseph’s actions were unbecoming of a judicial officer and formal charges against her have been filed with the state Supreme Judicial Court, the state Judicial Conduct Commission said Monday.”
FROM THE DELEGATION
— “Warren urges Biden to limit Trump’s ability to use US military against Americans,”by Adam Reilly, GBH News: “In a letter released Monday, Warren and U.S. Senator Richard Blumenthal (D-CT) urged [President Joe] Biden and [Defense Secretary Lloyd] Austin to issue a policy directive specifying that the federal Insurrection Act should only be used in narrow instances, e.g., when local and state authorities are overwhelmed and request assistance, or when attacks against the United States render local and state authorities incapable of effective response.”
MANY OF THE CAPITOL RIOTERS HAD PREVIOUS VIOLENT CRIMINAL HISTORIES, MANY ASSAULTED OFFICERS. SOME WERE CONVICTED OF SEDITIOUS CONSPIRACY.
SOME HAVE COMMITTED CRIMES SUBSEQUENT TO JAN 6. MANY WERE ARMED!
STEWART RHODES WAS A DOMESTIC ABUSER & HIS FAMILY FEARS HIS RELEASE.
What Happened to the Jan. 6 Rioters Arrested Since the Capitol Attack
Here’s a look at what happened to 20 of the most high-profile Jan. 6 rioters.
Stewart Rhodes: 18 years in prison
Stewart Rhodes, founder of Oath Keepers, was sentenced to 18 years in prison on seditious conspiracy charges.Aaron C. Davis–The Washington Post via Getty Images
The longest sentence given to anyone charged in the Jan. 6 riot to date went to far-right Oath Keepers founder Stewart Rhodes, who was sentenced on May 25 to 18 years in prison after being convicted of seditious conspiracy for his role in helping orchestrate the pro-Trump attack on the Capitol.
Prosecutors said that Rhodes, 58, was the mastermind behind a plot to keep Trump in power after he lost the 2020 election, marshaling dozens of followers across the country to descend on Washington on Jan. 6. During an eight-week trial last fall, prosecutors revealed thousands of messages between Rhodes and other members of the Oath Keepers, an anti-government militia group, in advance of the Capitol attack, including one where Rhodes told his followers to prepare their “mind, body, spirit” for “civil war.” Rhodes and his followers converged on the Capitol after assembling an arsenal of weapons and setting up “quick reaction force” teams at a Virginia hotel that could deploy guns into the nation’s capital if needed to support their plot, according to court documents.
“Does the Pardon given by Joe to Hunter include the J-6 Hostages, who have now been imprisoned for years?” Trump wrote.
“Such an abuse and miscarriage of Justice,” he added.
Prosecution for January 6th related criminal allegations continue still, almost four years since the attack occurred. According to U.S. Attorney’s Office for the District of Columbia, “more than 1,561 individuals have been charged in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 590 individuals charged with assaulting or impeding law enforcement, a felony. The investigation remains ongoing.”
On Monday, U.S. District Judge Randolph D. Moss sentenced Jonathanpeter Allen Klein, 24, of Pendleton, Oregon, to nine months in prison and 36 months of supervised releases after he pleaded guilty to charges of civil disorder and “assaulting, resisting, or impeding certain officers” on January 6.
Trump has long promised to pardon those charged with crimes following January 6th, claiming that the events of the day were peaceful (he calls it a “day of love“) and that the convicted — even those who have pleaded guilty and expressed remorse for their actions — are the victims of political persecution.
— “Convicted Massachusetts ex-senator wants Trump to pardon him after Biden pardons son Hunter,”by Rick Sobey, Boston Herald: “Dean Tran, a Massachusetts Republican who ran for Congress, is calling for an ‘unconditional pardon’ a day after Biden signed a pardon for his son. Tran earlier this year was convicted of pandemic assistance fraud and making false statements on federal tax returns. He was convicted by a federal jury of 20 counts of wire fraud and three counts of filing false tax returns.”
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IT'S NOT EASY BEING GREEN
— “State expands solar net-metering program,”by Christin M. Wade, The Newburyport Daily News: “The state is expanding a popular solar net-metering program that allows consumers to pay lower rates for electricity for sharing power with the regional grid. The state Department of Public Utilities issued new rules that increase the project size threshold for participating in the net-metering program without being subject to the state’s cap to 25 kilowatts or less, up from 10 kilowatts.”
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Note: Yesterday's Playbook misstated Kim Duffy's title. She previously filed to run for Massachusetts governor.
Want to make an impact? POLITICO Massachusetts has a variety of solutions available for partners looking to reach and activate the most influential people in the Bay State. Have a petition you want signed? A cause you’re promoting? Seeking to increase brand awareness among this key audience? Share your message with our influential readers to foster engagement and drive action. Contact Jesse Shapiro to find out how: jshapiro@politico.com.
LENDING A HAND — When voters head to the polls in Missouri today, members of Massachusetts congressional delegation will be watching.
Multiple Massachusetts electeds have lent their support to Rep. Cori Bush, as the Missouri Democrat looks to hold her ground against her own AIPAC-backed challenger in today’s primary election.
Rep. Ayanna Pressley, a fellow Squad member, has used her email list to help fundraise for Bush and hit the trail in St. Louis recently alongside progressive Illinois Rep. Delia Ramirez. Monday, she took to social media to remind the district to head to the polls today.
Sen. Elizabeth Warren endorsed Bush last month, and Democratic Whip Katherine Clark stopped in Missouri late last week to campaign with her in her district, a crucial show of confidence from party leadership (though it’s worth noting that House Democratic leaders have thrown their support behind incumbents this cycle, regardless of their ideological background).
Bush is up against Wesley Bell, a progressive county prosecutor whose campaign has been boosted by $8 million from United Democracy Project, the AIPAC campaign arm. If she loses, it’ll mark the second successful effort from AIPAC to knock out a member of the Squad after Rep. Jamaal Bowman’s loss in New York’s June primary.
AIPAC spent more than $14 million on TV ads to unseat Bowman, making the race the most expensive House primary in history— serving as a warning shot to other progressives who have been critical of Israel’s war in Gaza.
Though tonight’s results are unlikely to reverberate in Massachusetts’ elections this cycle with little primary competition here, prominent Bay State progressives and leaders playing in the race does help strengthen the state’s alliances in Congress. And for Pressley especially, keeping Bush in Congress and shutting down an AIPAC challenge helps the Squad maintain its influence.
“Having more allies in the fight is a good thing for her,” longtime Democratic strategist Doug Rubin told Playbook.
GOOD TUESDAY MORNING, MASSACHUSETTS . There's no date set yet for when state lawmakers could come back for a special formal session — but even with many legislators in Kentucky for a summit this week, Healey isn't letting up the pressure.
Healey met with House Speaker Ron Mariano Monday, Jillian Fennimore, a Healey spokesperson, said in a statement Monday, where Mariano "conveyed his continued commitment to working with the Governor to deliver on the important economic development bill needed to drive growth and keep Massachusetts competitive."
Healey "looks forward to discussing next steps with the Senate President as well,” Fennimore added.
TODAY — Healey signs the Affordable Homes Act in Newton at 10 a.m., and hosts a signing ceremony for wage equity legislation at noon at the State House; Lt. Gov. Kim Driscoll attends both. Boston Mayor Michelle Wu is on GBH’s “Boston Public Radio” at 11 a.m. and joins the Boston Police Department for the second night of National Night Out at 3:10 p.m. Sen. Ed Markey joins the New England Aquarium to release five rehabilitated sea turtles at 5 p.m. Sen. Elizabeth Warren speaks at a student debt clinic hosted by the American Federation of Teachers and the Student Borrower Protection Center at noon in Fall River.
A message from Uber:
Massachusetts Uber and Lyft drivers now earn at least $32.50 while working on the app, making them some of the highest paid drivers in the country. This new rate sets a high standard for driver pay across the nation. Learn more about what higher pay means for the state.
DATELINE BEACON HILL
******STEWARD*****
— “Buyer wanted in on Carney, Nashoba: Michigan-based Insight sought deal on all Steward properties,”by Matthew Medsger, Boston Herald: “Following inquiries from the Herald, Atif Bawahab, the Chief Strategy Officer at Michigan-based Insight, confirmed that his company did indeed try to buy all of the now-bankrupt Steward’s Bay State hospitals as a single package, but that their bid was not accepted before Steward announced it would close Carney Hospital in Boston and Nashoba Valley Medical Center in Ayer.”
— “Massachusetts collects $2.6B in July, about $18M less than same time last year,”by Chris Van Buskirk, Boston Herald: “Massachusetts collected $2.6 billion in tax revenues in July, a haul that was roughly on par with what the state brought in during the same time last year, according to a Department of Revenue report released Monday. The revenue report for the first month of fiscal year 2025 was made public only days after a top budget writer in the state Senate warned collections for July were expected to be ‘very bad.’ July revenues came in about $18 million less, or 0.7% below, what the state collected in July 2023, according to the Department of Revenue. The decreases were seen in withholding, non-withheld income tax, and the ‘all other’ tax category, Department of Revenue Commissioner Geoffrey Snyder said.”
— “Budget Veto Impacts Ripple Through Service Sectors,”by Alison Kuznitz, State House News Service (paywall): “Reentry services, job training programs and rest homes could soon feel the impact of Gov. Maura Healey's budget vetoes that were left intact after a chaotic end to formal lawmaking. … Lew Finfer, director of Massachusetts Action for Justice, said Monday he was worried about multiple vetoes, including Healey slashing $2.5 million from the Community Empowerment and Reinvestment grant program, which he said support dozens of reentry programs serving formerly incarcerated individuals. That leaves $7.5 million for the line item, which last fiscal year received $15 million.”
— “State to cover after-hours bail, doubles fee,”by Christian M. Wade Eagle Tribune: “Massachusetts taxpayers will pick up the tab for after-hours bail fees under newly approved changes to state law, which double the required bail fee and shifts those costs from arrestees to the state government. The changes, quietly tucked into the fiscal year 2025 budget signed by Gov. Maura Healey last week, do away with the current $40 bail fee paid by defendants when a bail commissioner or magistrate shows up at a police station at night or over the weekends to secure someone’s release on personal recognizance when courthouses are closed.”
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FROM THE HUB
— “Boston announces a new climate resilience office,”by Miriam Wasser, WBUR: “Boston is creating a new department to help coordinate its efforts to prepare for climate change. The Office of Climate Resilience will be part of the city's Environment, Energy and Open Space cabinet and focus on protecting residents from challenges like rising sea levels, inland flooding and extreme heat.”
— “Boston city councilors, mayor trade jabs over police hiring push,”by Gayla Cawley, Boston Herald: “A measure from two Boston city councilors calling for a public discussion on how to increase police staffing levels ticked off BPD brass, and did not sit well with the mayor, who accused the councilors she often tussles with of playing politics. The hearing order, filed by Councilors Ed Flynn and Erin Murphy for the Wednesday meeting, was met with exasperation from Mayor Michelle Wu and Boston Police Department leadership, who pointed to the city’s low crime rate and the success it’s had with bringing staffing levels up in the face of national recruitment challenges that have persisted since the 2020 murder of George Floyd.”
ENDORSEMENT CORNER — Boston City Councilor Ben Weber endorsed Allison Cartwright in her bid for Suffolk County Supreme Judicial Court clerk Monday — officially giving Cartwright support from the majority of the council, seven members of which are now backing Cartright over their colleague, City Councilor Erin Murphy .
— Rep. Stephen Lynch has endorsed state Rep. Bill Driscoll in the race for the open Norfolk, Plymouth and Bristol District state Senate seat, praising Driscoll as a “a forward-thinking and thoughtful leader,” in a statement.
A message from Uber:
MIGRANTS IN MASSACHUSETTS
— “Families sleep at Quincy subway station during shelter limitations,”by Sarah Betancourt, GBH News: “A group of ten Haitian families sweated in the heat outside of Wollaston MBTA station on Saturday. A few of the children were running about while the babies and toddlers lay on their parents’ shoulders, often crying. A woman, who is over five months pregnant, sat nearby. They are among the hundreds of people currently homeless while waiting on the state’s emergency assistance shelter waitlist. Even before Massachusetts’ new policy went into effect limiting the amount of time migrants can stay in respite shelters, the difficulty of getting into one meant many people were forced to find other solutions.”
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Massachusetts Uber and Lyft drivers now receive comprehensive benefits, including health insurance stipends for those working over 15 hours a week, paid sick leave, and occupational accident insurance. These protections ensure drivers have the support they need while maintaining their independence and mark a significant improvement in drivers’ quality of life.
TRANSITIONS — Brian O’Connor has joined Benchmark Strategies as assistant vice president of public affairs. He previously served on the policy and research team at the Greater Boston Chamber of Commerce.
— Anthony Gesualdi has joined the New England Aquarium as associate vice president of conservation policy. He previously served as the government relations director for Delta Dental of Massachusetts and chief of staff to state Sen. Joseph Boncore.
HAPPY BIRTHDAY — to Maeve Duggan of MassINC; Rick Mikulis and former Amherst town councilor Evan Ross.
Want to make an impact? POLITICO Massachusetts has a variety of solutions available for partners looking to reach and activate the most influential people in the Bay State. Have a petition you want signed? A cause you’re promoting? Seeking to increase brand awareness among this key audience? Share your message with our influential readers to foster engagement and drive action. Contact Jesse Shapiro to find out how: jshapiro@politico.com.
