POLITICO Massachusetts Playbook: House hopes for the best, budgets for the worst

BY LISA KASHINSKY AND KELLY GARRITY Presented by  DOLLARS AND SENSE — House Democratic leaders put forward on Wednesday a $57.9 billion budget plan that they said could weather the fiscal storm clouding the state. But their bullet points and bottom line make clear that from the House vantage point, the state’s financial forecast remains gloomy. The House’s proposal is $150 million below the $58.1 billion spending plan that Gov. Maura Healey submitted in January — the first time the lower chamber has released an annual budget less than the governor’s since 2019 (h/t MTF’s Doug Howgate). While Healey proposed a 3.7 percent spending increase over fiscal year 2024, the House pitched a smaller 3.3 percent bump. House leaders are taking some of the same money-saving measures Healey proposed (closing MCI-Concord) and some of the new revenue sources she suggested (online lottery sales, diverting excess capital gains back into the budget) and pairing them with cuts to her spending plan — halving what she proposed for snow and ice removal and trimming her increase in unrestricted local aid. And while House Speaker Ron Mariano and Ways and Means Chair Aaron Michlewitz said they haven’t spoken specifically about setting limits on earmarks when the budget hits the floor in two weeks, it seems they’ll be trying to keep things tight. “We both agree that we will be looking at earmarks with how it fits in with the priorities that we've established in this budget,” Mariano told reporters at a budget briefing Wednesday at the State House. "We need to be consistent in our message on spending, and we intend to be.” House Speaker Ron Mariano (left) and Ways and Means Chair Aaron Michlewitz unveil their "competitive" $57.9 billion budget proposal. | Lisa Kashinsky/POLITICO Still, House leaders trying to balance fiscal prudence with their own spending priorities are also adding to the budget in key areas. Beyond boosting transportation spending, the House proposed $190 million for universal free school meals versus the $170 million that the governor budgeted. Democratic leaders also omitted Healey's proposed cuts to MassHealth’s Personal Care Attendant program amid pushback. And they’re throwing more money at the state’s emergency shelter system than Healey — $500 million versus $325 million — though still hardly enough to cover costs that are expected to soar over $900 million next fiscal year. Mariano indicated that’s by design to let lawmakers “maintain as much control over this process as we can" because "we’re never quite sure what the numbers are going to be.” But lawmakers might not have as much control as they want over what comes next — particularly if tax collections don’t continue their turnaround in the critical month of April. The House won’t pick up its budget — and the bevy of amendments that representatives are sure to file to it — until after the mid-month revenue report that could shape the spending debate. And Mariano said he wants to see at least three months of tax collections coming in above benchmarks before he’s ready to declare the state’s fiscal “winter” over. “Until you get three months of positive numbers , you've not changed much at all,” Mariano said. “So, we still have a ways to go before we know if we’re out of the winter and into the spring.” All of that could weigh on the Senate budget that’s due in May. Senate Ways and Means Chair Michael Rodrigues told Playbook on Wednesday that, given the current fiscal climate, he also doesn’t envision putting forward a budget plan that’s higher than Healey’s. “We have the money” to keep investing in key areas like K-12 and early education, Rodrigues said. “But we’re going to be careful." GOOD THURSDAY MORNING, MASSACHUSETTS. We've got more budget breakdowns below, and dive deeper into the differences with The Boston Globe and GBH News . TODAY — Healey visits Boston Metal at 10:10 a.m. and joins former Govs. Deval Patrick and Bill Weld for a fireside chat with former Gov. Michael Dukakis at 4 p.m. at Northeastern. Healey also speaks at a Catholic School Foundation scholarship fund gala at 7:30 p.m. at the Boston Marriott Copley Place. Lt. Gov. Kim Driscoll speaks at state Sen. Liz Miranda ’s Eid al-Fitr celebration at 11 a.m. at the State House. Boston Mayor Michelle Wu speaks at a Boston Municipal Research Bureau meeting at 1 p.m. in the Seaport. Tips? Scoops? Budget reactions? Email us: lkashinsky@politico.com and kgarrity@politico.com .   A message from NextEra Energy: With a presence in 49 states, NextEra Energy is one of the nation’s largest capital investors in infrastructure, creating thousands of jobs and generating millions of dollars in new tax revenue for communities across the U.S. We generate more electricity from the wind and sun than anyone in the world as we work toward securing America’s energy independence and security with clean and emission-free low-cost energy.   DATELINE BEACON HILL CONFERENCE CONSEQUENCES — The House’s plan to fund the emergency shelter system by combining $325 million in general funds with $175 million from a transitional escrow account could throw a wrinkle into ongoing negotiations over a different spending bill — the supplemental budget that would float the program through at least the end of June. The Senate’s version of the supp would let Gov. Maura Healey empty more than $800 million stashed in the savings account to keep the shelter system running through the next fiscal year. But the House pitched giving Healey control over just $245 million from the account through June, and is now proposing the additional $175 million as part of its fiscal year 2025 budget. Senate Ways and Means Chair Michael Rodrigues shrugged off Playbook’s questions about whether the House’s move could delay a deal that's already up against the clock with shelter funding due to run out later this month. “We expect it to get done as quickly as possible,” he said. “We’re good at working under deadlines.” That last part is questionable. As the Boston Herald points out , the Healey administration has already identified other pools of money to draw from if lawmakers don’t reach a deal in time. House Speaker Ron Mariano | Lisa Kashinsky/POLITICO WAITING ON WASHINGTON — House Speaker Ron Mariano is holding out some hope for federal immigration aid after all. Weeks after declaring “we are on our own” in dealing with the migrant and shelter crisis, the Quincy Democrat and self-described “eternal optimist” suggested on Wednesday that might not be the case depending on the outcome of this November’s election. “Hopefully common sense returns to Washington and we either get a policy that works or we get some financial help," Mariano told reporters. More from CommonWealth Beacon. SURTAX SPLIT — The House is proposing a more even split than Healey when it comes to the $1.3 billion in "millionaires tax" revenue being budgeted for fiscal year 2025. Healey proposed $750 million for education initiatives and $550 million for transportation. The House would put $695 million toward education and $605 million toward transportation. HE SHOOTS, HE SCORES — If you heard cheers and applause coming from the room where House Democrats huddled Wednesday to talk about their budget, it was for Mariano (jokingly) announcing plans to coach the newly proposed MBTA Academy ’s basketball team. The hypothetical squad would be composed mainly of “a lot of 5’5 drivers,” Mariano said.   Access New York bill updates and Congressional activity in areas that matter to you, and use our exclusive insights to see what’s on the Albany agenda. Learn more .     FROM THE HUB IN OTHER BUDGET NEWS — Boston Mayor Michelle Wu filed a $4.6 billion budget with the City Council on Wednesday, an 8 percent increase in spending over this fiscal year. A big chunk of that increase, Wu said at the city’s budget breakfast, comes from a recently approved plan to pull the Boston Planning and Development Agency (and its budget) under city control. Aside from that, “growth this year in the budget is very similar to almost exactly the same as from last year,” Wu said. Wu also had a clear message for the fiscal doomsdayers who have been warning of a bleak picture for the city’s finances in coming years as the commercial real estate market continues to deal with the impact from the pandemic. “To point to some false information that the city might be experiencing a billion-dollar shortfall, that is just simply not true,” Wu told the room of councilors and policymakers. “The city is in a very strong position. ... To suggest that we need to take drastic action or impose a hiring freeze or put some major changes on the table is simply irresponsible.” Wu is still awaiting the city council’s approval on a home-rule petition that would let the city raise taxes on commercial real estate to prevent a spike in residential tax bills. There’s no word yet on which legislator might carry the proposal on Beacon Hill, but Wu’s team has been in touch with state legislators as the petition winds its way through the process — starting with a City Council hearing next Tuesday.   A message from NextEra Energy:     BALLOT BATTLES — “Audit-the-Legislature ballot effort sees slim majority support,” by Katie Lannan and Gintautas Dumcius, GBH/CommonWealth Beacon: “A slight majority [53 percent] of Massachusetts residents support a potential ballot question that would grant state Auditor Diana DiZoglio the power to probe the inner workings of her former colleagues in the Massachusetts Legislature, according to a CommonWealth Beacon/GBH News poll.” PLANES, TRAINS AND AUTOMOBILES ‘TRAIN MAN’ — The House’s proposed funding boost for the MBTA is a vote of confidence in its new leader, General Manager Phil Eng . “The last couple of folks that have run the T came out of the philosophical think tanks," Mariano, the House speaker, told reporters during his budget unveiling. Now "we have a train man,” Mariano said. “A man who can walk the tracks and not electrocute himself. It's a gentleman that we feel is going to make an impact, and we're excited to work with him as he makes changes." — “Connecting North Adams and Boston by train is years and hundreds of millions of dollars away. Here's what the planning study outlines…” by Sten Spinella, The Berkshire Eagle: “The plan laid out six possibilities for the route, with the different paths falling on either end, or in-between, a price range of just under $900 million to $2.9 billion.”   SUBSCRIBE TO GLOBAL PLAYBOOK: Don’t miss out on POLITICO’s Global Playbook, the newsletter taking you inside pivotal discussions at the most influential gatherings in the world, including WEF in Davos, Milken Global in Beverly Hills, to UNGA in NYC and many more. Suzanne Lynch delivers the world's elite and influential moments directly to you. Stay in the global loop. SUBSCRIBE NOW .     FROM THE 413 —  “‘I joined the Russian army,’ former Holyoke city councilor tells lawyer in call from Russia,” by Shelley Murphy, The Boston Globe: “In January, a day before former Holyoke city councilor Wilmer Puello-Mota was expected to plead guilty to child pornography and other charges in Rhode Island, his lawyer called to remind him to arrive at the courthouse on time and said he was startled to learn Puello-Mota was in Russia. At a square. Eating sushi. ‘He said, “I joined the Russian army,” or something like that,’ Rhode Island attorney John M. Cicilline said during a telephone interview. ‘I thought he was joking.’” — “Northampton High students walk out of school, camp in mayor’s office over proposed cuts to theater department,” by Alexander MacDougall, Daily Hampshire Gazette. — “‘Glass ceiling just came down’: Springfield officially swears in Lawrence Akers as the city’s 1st Black police superintendent,” by Jeanette DeForge, Springfield Republican. WHAT ELSE YOU SHOULD BE READING — “State Police left decades’ worth of confidential case files at old Fernald school in Waltham,” by Elizabeth Koh and John Hilliard, The Boston Globe. — “Attleboro mayor's proposed diversity committee hits a snag,” by George W. Rhodes, The Sun Chronicle.  — “How the EPA’s new limits on ‘forever chemicals’ will affect Mass.,” by Greta Jochem, Springfield Republican: “The Environmental Protection Agency announced Wednesday a new rule limiting “forever chemicals” in drinking water across the country. … ‘Massachusetts has been a national leader in addressing PFAS contamination ... and will update our standards to align with the new federal level,’ [DEP spokesperson Ed Coletta said.]”   A message from NextEra Energy: Leading America with safe, reliable and affordable clean energy The need for reliable, low-cost clean energy in America has never been greater – and NextEra Energy is ready to deliver it. Millions of Americans depend on us to power their lives in good weather and bad. By investing in resilient, storm-tested infrastructure and harnessing innovative technology, we’re keeping reliability high and bills low. We are also working toward securing America’s energy independence and security with clean and emission-free low-cost energy. We’ve virtually eliminated foreign oil from our power plants and, today, generate more electricity from the wind and sun than anyone in the world – while continuing lead in battery storage technology.   MEANWHILE IN NEW HAMPSHIRE GRANITE STATE OF PLAY — Republican entrepreneur Vikram Mansharamani , who ran unsuccessfully for U.S. Senate in 2022, has entered the race to replace Democratic Rep. Annie Kuster for NH-02, per WMUR . TRUMP CONNECTION — The Republican state representative and former cop who reportedly threatened to kill his fellow officers and rape his chief’s wife is also former President Donald Trump ’s Sullivan County campaign chair. More from HuffPost . HEARD ‘ROUND THE BUBBLAH SPOTTED — Gronk flexing while opening a new weight room at Boston’s Mission High. HAPPY BIRTHDAY — to Ethel Kennedy, former Boston City Councilor Tito Jackson, WEEI’s Meghan Ottolini, Henry Gass, Matt Tannenbaum, Ted Dooley, Kevin Gilnack, Todd Domke, David Wofford and Darlene Murray. 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 .   Follow us on Twitter Lisa Kashinsky @lisakashinsky Kelly Garrity @KellyGarrity3   Subscribe to the POLITICO Playbook family Playbook  |  Playbook PM  |  California Playbook  |  Florida Playbook  |  Illinois Playbook  |  Massachusetts Playbook  |  New Jersey Playbook  |  New York Playbook  |  Ottawa Playbook  |  Brussels Playbook  |  London Playbook View all our politics and policy newsletters FOLLOW US

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POLITICO Massachusetts Playbook: Mum's the word

 

BY LISA KASHINSKY INQUIRING MINDS WANT TO KNOW — Ah, June. The weather is getting warmer. The days are growing longer. And Beacon Hill’s already taciturn Big Three are getting even quieter as their deputies hash out big bills behind closed doors. Top Democrats huddled for the second time in as many weeks yesterday — a rare doubleheader for Gov. Maura Healey, Lt. Gov. Kim Driscoll, Senate President Karen Spilka and House Speaker Ron Mariano with the budget in negotiations and tax relief headed down the same path. But the only new information reporters gleaned was the likely date of this year’s sales-tax holiday weekend: Aug. 12-13. Here's how the rest of the brief Q&A went: Healey will get to name her first Supreme Judicial Court justice with the upcoming retirement of Justice Elspeth Cypher. What will she be looking for in a replacement? “The very best person that we can find,” Healey said. Will there be a budget by the start of the new fiscal year on July 1? “The [conferees] are trading proposals. There’s been some basic agreements on some of the easier stuff. And we’re sending over a response to the Senate,” Mariano said. Mariano voted against in-state public college tuition for some undocumented immigrants, a key component of the Senate’s budget plan, in the past. Has his position changed? “I’m a different person today,” Mariano said. “So I’ll reevaluate it and take a look at it.” Senators left a cut to the short-term capital gains tax rate out of the tax-relief package they plan to vote on Thursday. Would the governor sign a tax bill without one of her major proposals? “I'm heartened by both bills and we'll just see what comes out of conference committee,” Healey said. Riveting stuff.  Now, there are reasons for the reticence: The Big Three can’t publicly tip their hands while negotiations are ongoing — or, rather, they won’t, unless it gives them some leverage. And there’s little incentive for the current trio to play up any disagreements among the Democrats who run Beacon Hill. At least we can look through the 71 amendments senators filed to their $586 million tax plan while we wait for some action. GOOD TUESDAY MORNING, MASSACHUSETTS. The governor will have more to say on a different topic today: she's announcing a "nation-leading" financing initiative to accelerate the development of decarbonized affordable housing at 11:30 a.m. at the State House alongside Driscoll and Boston Mayor Michelle Wu. TODAY — Driscoll speaks at the Greater Merrimack Valley Convention & Visitors Bureau tourism conference at 9 a.m. at UMass Lowell, attends a Local Government Advisory Commission meeting at 1 p.m. at the State House and is honored alongside Jacquetta Van Zandt at Emerge Massachusetts’ Women of the Year awards at 6 p.m. AG Andrea Campbell keynotes the 2023 Health Equity Trends Summit at 8:15 a.m. at UMass Boston and testifies on a bill to eliminating health insurance waiting periods at 1 p.m. at the State House . Wu attends a Fenway coffee hour at 9:30 a.m. and testifies in support of H. 147 at 11 a.m. at the State House. Tips? Scoops? Email me: lkashinsky@politico.com .   STEP INSIDE THE WEST WING : What's really happening in West Wing offices? Find out who's up, who's down, and who really has the president’s ear in our West Wing Playbook newsletter, the insider's guide to the Biden White House and Cabinet. For buzzy nuggets and details that you won't find anywhere else, subscribe today .     DATELINE BEACON HILL — TRY AGAIN NEXT YEAR: One thing that Democrats aren't eyeing as they aim to market Massachusetts — expanding the sales-tax holiday. Asked whether she’d be open to suspending the state’s 6.25 percent sales tax for more than two days in the name of making the Bay State more "competitive," Gov. Maura Healey answered by listing all the other reasons people should come to Massachusetts. "No, we're not there yet," Senate President Karen Spilka chimed in. — “SJC justice to retire early, giving Healey first chance to name member of state’s highest court,” by Matt Stout, Boston Globe: “[Justice Elspeth] Cypher, 64, will be the first Charlie Baker-era justice to step down from the seven-seat bench, doing so nearly five years shy of the mandatory retirement age of 70. Baker, a Republican and Healey’s predecessor, was the first modern Massachusetts governor to name the entire SJC during his two terms in office. If all of Baker’s SJC selections had served until that mandatory retirement age, it would have prevented Healey from having any influence over the high court’s makeup during her first term. … Cypher will officially retire on Jan. 12.” — "In race to beat debt limit deal, state doled out $80m in unspent COVID highway funds," by Tal Kopan and Samantha J. Gross, Boston Globe: "Clawing back unspent and uncommitted COVID-era funds was a critical part of an agreement between President Biden and Republicans to avert a catastrophic default on the nation’s debt, and Massachusetts was at risk of losing more than half its allocation of flexible highway funds from a 2020 COVID relief package." — “Local activists urge Legislature to form commission to study threats of nuclear weapons, climate change,” by James Pentland, Greenfield Recorder. THE RACE FOR CITY HALL — FIRST IN PLAYBOOK: Melrose state Rep. Kate Lipper-Garabedian has endorsed City Council President Jen Grigoraitis for mayor. Grigoraitis is among those vying to succeed Mayor Paul Brodeur, who is not seeking reelection. — Boston Mayor Michelle Wu will endorse Sharon Durkan in the special election for District 8 city councilor at what Durkan's campaign says will be a "small gathering" at the Kelleher Rose Garden at 8 a.m. TRUMPACHUSETTS POLITICO Illustration — DAY IN COURT: Donald Trump is due in court today on federal charges stemming from his handling of classified documents. The former president may be on trial in multiple criminal cases as he mounts his bid to regain the White House in 2024. Read POLITICO's up-to-the-minute tracker on the status of each case, the key players and the legal risks. — More: “Trump drew one of his favorite judges. Here’s how she could help his case,” by Kyle Cheney and Josh Gerstein, POLITICO. — And more: “Trump tells Howie Carr he’s pleading ‘not guilty,’ calls indictment a ‘disgrace’,” by Matthew Medsger, Boston Herald. FROM THE DELEGATION — “Biden campaign touts bipartisanship, but progressives worry about more compromise,” by Jim Puzzanghera, Boston Globe: “Senator Elizabeth Warren, a Massachusetts Democrat, said she believes Biden is still committed to progressive ideals. ‘The president is navigating really tricky waters and I think he’s doing it pretty well,’ she said. But asked if she’s worried he’ll move too far to the center to strike more deals, Warren said, ‘Not at the moment [but] always keep an eye out.’”   GET READY FOR GLOBAL TECH DAY: Join POLITICO Live as we launch our first Global Tech Day alongside London Tech Week on Thursday, June 15. Register now for continuing updates and to be a part of this momentous and program-packed day! From the blockchain, to AI, and autonomous vehicles, technology is changing how power is exercised around the world, so who will write the rules? REGISTER HERE .     FROM THE 413 — “Holyoke City Councilor Wilmer Puello-Mota rejects plea offer in Rhode Island child porn case,” by Jim Kinney, Springfield Republican: “The state of Rhode Island’s charges against him – possession of child pornography and later forgery, counterfeiting and obstruction of the judicial system – now move toward trial. A trial calendar meeting will take place July 25, according to court records updated Monday.” — “Easthampton School Committee selects experienced superintendent to lead district on interim basis,” by Emily Thurlow, Daily Hampshire Gazette: “[T]he School Committee unanimously voted Monday night to offer a one-year interim superintendent job to the current leader of the Quaboag Regional School District who once oversaw the Worcester Public Schools for six years … [after a] failed spring search to find a permanent superintendent that made national news.” — “Blogger sues Northwestern DA for withholding names of cops accused of misbehavior,” by Stephanie Barry, Springfield Republican: “An independent journalist from Framingham has sued the Northwestern District Attorney’s Office for withholding the names of police officers linked to questionable actions, according to a lawsuit filed in Suffolk District Court. Andrew Quemere, author of ‘The Mass Dump’ newsletter, has been tangling with Northwestern District Attorney David Sullivan’s office for years over publishing the names of officers accused of crimes and other misconduct.” THE LOCAL ANGLE — “Over a thousand patients have been ‘stuck’ in hospital beds as discharge problems persist,” by Jessica Bartlett, Boston Globe: “Over the past year, an average of 1,200 people were stuck in Massachusetts hospital beds each day because workers could not find a place to discharge them, a new report says, in the latest sign that hospitals continue to struggle with overcrowding even as the COVID pandemic has ebbed." — "Health disparities among communities of color cost Massachusetts $5.9 billion a year," by Chris Van Buskirk, Boston Herald: "Health disparities experienced by communities of color cost Massachusetts about $5.9 billion a year, with a quarter of the economic burden associated with avoidable healthcare spending and another quarter due to lost labor productivity, according to a report released this morning." — “‘I don’t think the town should be promoting it’: Two Billerica officials criticized for opposing Pride Month resolutions,” by John Hilliard, Boston Globe: “For years, resolutions supporting Billerica’s LGBTQ community have sailed through the town’s Select Board. … But during a meeting late last month, the discussion took a divisive turn." — “Pride event at Burlington middle school becomes ‘day of intolerance’ as students destroy decorations, principal says,” by John R. Ellement and Nick Stoico, Boston Globe: “Burlington officials are facing calls to strengthen diversity, equity, and inclusion efforts after an LGBTQ+ Pride celebration at a middle school this month was disrupted by students who tore down rainbow decorations and chanted that their pronouns were ‘U.S.A.’” — "Mass. fails to prepare educators on how to teach reading in an evidence-based manner, new report shows," by Naomi Martin, Boston Globe. MEANWHILE IN RHODE ISLAND — "Matos campaign says poll shows her leading RI race for Congress," by Ted Nesi, WPRI: "The congressional campaign of Lt. Gov. Sabina Matos released a polling memo Monday showing her with a double-digit lead in the crowded Democratic primary to replace David Cicilline, even as many voters are still deciding who to support. ... As campaigns often do, Matos’s team declined to release the entire survey, only sharing a polling memo that summarized the results." HEARD ‘ROUND THE BUBBLAH TRANSITIONS — Gray Milkowski is now deputy communications director for Senate President Karen Spilka. HAPPY BIRTHDAY — to Catherine McLaughlin, Liam Byrne and Westfield Mayor Michael McCabe. 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 .   Follow us on Twitter Lisa Kashinsky @lisakashinsky   Subscribe to the POLITICO Playbook family Playbook  |  Playbook PM  |  California Playbook  |  Florida Playbook  |  Illinois Playbook  |  Massachusetts Playbook  |  New Jersey Playbook  |  New York Playbook  |  Ottawa Playbook  |  Brussels Playbook  |  London Playbook View all our politics and policy newsletters FOLLOW US

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