by iwd Tina | Oct 5, 2023 | Housing News
On Wednesday, Governor Maura Healey
signed into law a long-awaited bill that will provide a range of state tax cuts. Included in the new law is a provision that will increase the spending cap on the state’s Low Income Housing Tax Credit (LIHTC) Program by $20 million annually. This new funding will allow for an additional 10 to15 developments, resulting in between 600 to 900 new homes each year under the current capital budget. Additionally, the new law eliminates the sunset provision on LIHTC, making the program permanent.
Following the House and Senate passing the bill last week,
CHAPA sent a letter that included dozens of other organizations to the Governor urging her to sign the legislation and to increase the LIHTC cap.
Thank you to the Legislature and Governor Healey for taking this important step to increase the production and availability of affordable homes in Massachusetts!
by iwd Tina | Sep 19, 2023 | Housing News
Governor Maura Healey submitted a supplemental budget on September 13th to ensure that Massachusetts closes Fiscal Year 2023 in a balanced financial state. This budget serves multiple purposes, including covering spending deficiencies, supporting new collective bargaining agreements, and providing shelter and services for families experiencing homelessness.
See the Governor’s letter and the budget allocations.
Key points about the supplemental budget include:
- Homelessness Support: The budget proposes using $250 million in one-time resources from the Transitional Escrow Fund to cover ongoing costs related to providing temporary shelter to families experiencing homelessness. This action follows a state of emergency declaration due to increased family homelessness and limited shelter availability. These funds help pay for Emergency Assistance shelter placements, services, and increased school costs (see Line Item 1599-0514 on page 11 of the document)
- Financial Allocation: The budget allocates $2.15 billion gross / $833.3 million net to address spending shortfalls and continue a MassHealth payment strategy that helps manage the impact of reduced COVID-19 reimbursements. A significant portion, $2.11 billion gross / $798.8 million net, is dedicated to MassHealth.
- Policy Corrections: The budget includes several policy corrections related to recent legislation, including changes to the universal free school meals policy, support for municipalities impacted by natural disasters, simplification of a tax credit for small businesses hiring National Guard members, and the elimination of copays for MassHealth members. It also addresses administrative updates and the sunset of daily COVID-19 reporting requirements.
- Collective Bargaining: A separate $200 million reserve is established to fund new collective bargaining agreements between the administration and public employee unions.
The supplemental budget aims to close the books on Fiscal Year 2023 while making necessary policy adjustments and funding allocations.
by iwd Tina | Sep 18, 2023 | Housing News
The Joint Committee on Housing will host a hearing on housing-related bills on Wednesday, September 27, at 1:00 p.m.
This hearing includes CHAPA legislative priorities to:
- Codify and Make Program Improvements to Mass. Rental Voucher Program (H.1351/ S.888). MRVP Fact sheet.
- Establish an Office of Fair Housing in Massachusetts (H.1377/ S.866). Fair Housing Fact Sheet.
- Establish a program to provide legal representation to tenants and property owners with low income in eviction cases (S.864).
- Establish a Massachusetts Healthy Homes Program (H.1307/ S.881).
Testify Virtually or In-Person
You can testify at the hearing virtually or in person! To register to testify, please fill out this form below by 5 p.m. today. You will not be able to sign up after 5 p.m. Once registered, you will receive further instructions on how to participate.
The in-person hearing is in room B-1 on Wednesday, Sept 27th, at 1 p.m. at the State House. Directions for room B-1.
Submit Support Letter
You can submit a letter as written testimony in support of bills to the Housing Committee. You can email the testimony directly to Luke O’Roark at luke.oroark@mahouse.gov and Christianna Golden at christianna.golden@masenate.gov. Please share your testimony with us if possible.
Sample testimony for the MRVP Codification bill
Sample Testimony for Healthy Homes Bill
Sample Testimony for Access to Counsel Bill
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List of CHAPA Priority Bills up for Hearing on Sept 27th:
- H.1351/ S.888 An Act Relative to the Massachusetts Rental Voucher Program
Sponsored by Rep. Madaro & Sen. Lovely
This legislation grounds the program in state statute (it currently exists through the state budget, at the risk of changes every year) and makes improvements that include:
- Deepening affordability for renters through larger voucher payment shares;
- Improving renter safety by requiring inspections;
- Increasing the administrative fees so regional housing agencies and housing authorities can better cover the cost of the program; and
- Improving data collection.
- H.1377/ S.866 An Act to establish an office of Fair Housing and a Fair Housing Trust fund
Sponsored by Rep. Tyler & Rep. Rogers & Sen. Edwards
This Legislation establishes an Office of Fair Housing and Fair Housing Trust Fund on the State level to help combat housing discrimination at all levels, including development, sales, lending, appraisals, marketing, tenant selection, applications, and zoning.
- S.864 An Act Promoting Access to Counsel and Housing Stability in Massachusetts
Sponsored by Rep. Rogers & Rep. Day & Sen. DiDomenico
This legislation will create an Access to Counsel Program that provides legal representation for tenants and owner-occupants with low incomes in eviction proceedings and help prevent homelessness, stop illegal or unnecessary evictions, and reduce displacement.
- H.1307/ S.881 An Act creating the Massachusetts Healthy Homes Program
Sponsored by Rep. Cruz & Rep. Arriaga & Sen. Keenan
This legislation will create the Massachusetts Healthy Homes Program, providing grants and low-cost loans to income-eligible homeowners and property owners to make the necessary repairs.
Questions?
Please contact Abhi Kurve, CHAPA’s Deputy Director of Public Policy, at akurve@chapa.org or Matt Noyes, CHAPA’s Director of Public Policy at mnoyes@chapa.org.
by iwd Tina | Sep 18, 2023 | Housing News
Earlier this year, the House and Senate each passed tax relief legislation. Included in the Senate version was an increase in the authorization for the state’s Low Income Housing Tax Credit (LIHTC) program by $20 million for a total allocation of $60 million, and a provision to make the program permanent. This provision was not included by the House.
In June, the House and Senate appointed a Conference Committee to reconcile the differences between the two versions of the Tax Relief bill. CHAPA is urging the Legislature to preserve the Senate LIHTC language in the final version of the bill that is expected to be put out in the next several weeks.
CHAPA has drafted a letter to members of the Tax Relief Conference Committee. We urge you all to add your names as signers and advocate for adopting Senate LIHTC provision in the final version of the Tax bill. CHAPA’s Letter to the Conference Committee on LIHTC
Please Sign on to the CHAPA letter asking the Legislature to increase the LIHTC authorization to $60 million and and make it permanent.
Please Sign on by 12 p.m. on Friday, September 22nd.
The Massachusetts LIHTC program awards tax credits to investors in affordable multifamily rental projects. It encourages private investment in affordable housing and allows developers to finance part of the cost of the development with equity invested by local corporations and individuals to help keep rents low. LIHTC is a critical resource in many affordable housing projects across Massachusetts.
You can also reach out to the Conference Committee members and ask them to include Senate LIHTC provision in the Tax bill. Legislators appointed to the Conference Committee for Tax Relief bill:
- House Ways and Means Chair Aaron Michlewitz
- Senate Ways and Means Committee Chair Michael Rodrigues
- House Chair of the Joint Committee on Revenue Mark Cusack
- Senate Chair of the Joint Committee on Revenue Susan Moran
- Senate Minority Leader Bruce Tarr
- Ranking Member of the Joint Committee on Revenue Michael Soter
If you have any questions or would like more information, please contact Matt Noyes at mnoyes@chapa.org.
by iwd Tina | Sep 15, 2023 | Housing News
CHAPA applauds the additional guidelines issued by the Administration to the MBTA Multi-family zoning law (3A) that adds thirteen state funding programs communities will be eligible for upon achieving compliance under the 3A law. The additional guidelines also allow communities to offset the minimum multifamily unit capacity in certain mixed-use zoning districts that require first-floor commercial space.
Because commercial requirements can drive up the cost of housing production and make projects unfeasible, communities are required to get approval from EOHLC before the community votes on the zoning proposal. CHAPA is advocating for the Executive Office of Housing and Livable Communities (EOHLC) to establish a list of criteria for approving mixed-use development districts.
The multifamily zoning requirement for communities served by the MBTA is a critical tool for meeting the housing needs of the Commonwealth, making it possible to meet the goal of producing 200,000 new homes with 40,000 affordable and 20,000 deeply affordable homes by 2030. Mixed-use development is vital to achieving these goals.
Prior to the recent changes made by EOHLC allowing communities to require commercial space in approved mixed-use districts, the guidelines provided communities with the ability to offer incentives for mixed-use development. Incentives, such as allowing increased density and height in exchange for first-floor commercial space make mixed-use development viable. The new guidance allowing communities to establish mixed-use districts with commercial requirements can push costs for development, maintenance, and operations of these buildings beyond what the market can bear for rents, home prices, and commercial leases; potentially making development unfeasible.
Clear criteria for mixed-use development districts will help communities determine which options within the 3A guidelines will work best for them. Clear and objective criteria will also help EOHLC make decisions that meet the goals of the law and support communities in fostering vibrant Main Streets.
Proposed Criteria for Approving Commercial Space Requirements in Mixed-Use Development Districts under MBTA Multifamily Zoning Law (3A)
- Require a Commercial Vacancy Rate Lower than 8% for Existing Commercial Spaces
- Tying the approval to the existing commercial vacancy rate provides EOHLC with key data to understand the health of the commercial market, which impacts a developer’s ability to obtain financing to develop a project. Vacancy rates above 5-8% indicate a lower demand for commercial space. Allowing a commercial requirement in a district with a high commercial vacancy rate can result in less housing, vacant storefronts, or no new development until the market changes.
- Require an Approved Housing Production Plan (HPP)
- The goal of the MBTA Communities Multifamily Zoning law is to make housing production possible. Housing Production Plans demonstrate the different strategies communities will use to foster housing production that meets identified needs.
- Allowing communities to establish mixed-use development districts with commercial requirements can reduce housing production in mixed-use districts. If the commercial requirement hampers housing development in the mixed-use district, other strategies adopted by the community can advance housing production in other locations.
- Require Housing Choice Designation
- This designation demonstrates that a municipality has put in place best practices established by the Commonwealth to support housing production. Like the Housing Production Plan, having multiple strategies and policies in place to support housing production provides a variety of ways to expand housing opportunities for people, advancing the purpose of the MBTA Communities Multifamily Zoning law.
- Require Assurance of Adequate Supporting Infrastructure
- Similar to infrastructure requirements for Chapter 40R districts, communities must demonstrate adequate water/ sewer/ septic resources to support additional commercial spaces to ensure the viability of mixed-use developments.
CHAPA applauds key provisions included in the guidance intended to make mixed-use production possible, including requiring a broad mix of non-residential uses by right and prohibiting minimum parking requirements for non-residential uses. In addition, requiring communities to have mixed-use development districts pre-approved by EOHLC prior to the community’s vote provides the opportunity for EOHLC to determine where commercial requirements can support thriving mixed-use districts. To help communities make this determination, clear decision-making criteria are important. Requiring a market analysis would be most beneficial.
It is critical to demonstrate the strength of the commercial market to understand if a commercial space requirement will be subsidized by the housing component, driving up rents and home prices beyond what the market can bear. This can make housing more expensive and result in long-term commercial vacancies or make it too costly to produce housing. A market analysis would ensure that commercial requirements are determined with the same level of rigor as inclusionary zoning requirements that exceed the 10% allowed in the guidelines. With no market analysis required in the guidelines, CHAPA is requesting that EOHLC establish the above-mentioned criteria for approving mixed-use development districts. Please join these efforts and urge EOHLC to establish the criteria for allowing mandatory mixed-use in 3A districts.
