Sen. Edwards & Rep. Arciero Named Chairs of Housing Committee

On February 15, the Senate President appointed Senator Lydia Edwards as Senate Chair of the Joint Committee on Housing for the 2023–2024 Legislative Session. The following day, the Speaker of the House appointed Representative Jim Arciero as the House Chair of the Housing Committee.

The House and Senate Democratic Leadership also announced the full list of members of the Joint Committee on Housing.

House Senate
Chair Rep. Jim Arciero Sen. Lydia Edwards
Vice Chair Rep. Meghan Kilcoyne Sen. John Keenan
Members Rep. Mike Connolly Sen. Michael Barrett
Rep. Shirley Arriaga Sen. Julian Cyr
Rep. Kip Diggs Sen. John Velis
Rep. Christopher Hendricks
Rep. Rob Consalvo
Rep. Joseph Kearney
Rep. David LeBoeuf

House and Senate Republicans are expected to announce their committee members shortly.

CHAPA looks forward to working this session with Chairs Edwards and Arciero as well as all the members of the Housing Committee to advance bold solutions that will help everyone in the Commonwealth have a safe, healthy, accessible, and affordable home in a community that they choose.

DOER Makes $50 Million Available for Low- and Moderate-Income Housing Decarbonization Grant Program

On February 16, the Massachusetts Department of Energy Resources (DOER) announced it will make up to $50 million available in grant funding for decarbonization retrofits of existing low- or moderate-income residential buildings.

Projects must seek to implement energy efficiency measures and decarbonize heating, cooling, and/or hot water systems. Projects must also demonstrate a long-term commitment to providing affordable housing to low- or moderate-income residents.

The goal of this Low- and Moderate-Income Housing Decarbonization Grant Program is to provide grants to projects that result in housing that:

  1. Is highly energy efficient;
  2. Uses non-combustion clean heating, hot water and/or cooking technologies; and
  3. Includes on-site renewable energy generating sources, when possible.

Priority will be given to projects in Gateway Cities, as well as projects located in qualified census tract and municipalities with similar demographics.

Funding is being provided from three sources:

  • $6.5 million of federal funding from the American Rescue Plan Act.
  • $25 million in DOER Funding from Alternative Compliance Payments. This funding is available to any eligible project as long as they are customers of electric Investor-Owned Utilities.
  • $18.5 million from the Massachusetts Department of Environmental Protection Climate Protection and Mitigation Trust.

Grant funding may be used for:

Grant funding shall be utilized for:

  • Energy efficiency including building envelope improvements and other measures resulting in electric load reduction, peak demand reduction, and demand management.
  • Electrification (e.g. air or ground source heat pumps for space heating, air source heat pumps for water heating, induction cooking equipment).
  • On-site renewable energy generation technologies (i.e., solar pv).
  • The removal or mitigation of barriers (e.g., roof repairs, electrical upgrades, knob and tube remediation, and vermiculite and asbestos removal) that result in installation of energy efficiency, electrification, and/or on-site renewable energy generation technologies.

DOER expects applicants’ requests to be for grant funds of at least $240,000 in most cases. For buildings with 6+ units, the maximum grant funding is $40,000 per unit. For buildings with 5 or less units, the maximum grant funding is $50,000.

Applications will be accepted and evaluated on a rolling basis with applications received by 5:00 p.m. on June 1, 2023 evaluated first. Grants will be reviewed and awarded within 1 month of application due dates.

HUD Publishes Proposed Rule on Affirmatively Furthering Fair Housing

On February 9, the U.S. Department of Housing and Urban Development (HUD) published a proposed rule on Affirmatively Furthering Fair Housing (AFFH) through a Notice of Proposed Rulemaking.

Comments on the proposed rule are due by April 10, 2023. CHAPA is preparing comments and will submit a letter on the proposed rule.

According to the Notice of Proposed Rulemaking, HUD proposes to implement the obligation to affirmatively further the purposes and policies of the Fair Housing Act, with respect to certain recipients of HUD funds.

The Fair Housing Act not only prohibits discrimination, but also directs HUD to ensure that the agency and its program participants proactively take meaningful actions to overcome patterns of segregation, promote fair housing choice, eliminate disparities in housing-related opportunities, and foster inclusive communities that are free from discrimination.

The proposed rule would build on the framework of an AFFH rule put in place by the Obama Administration in 2015. The Trump Administration suspended this rule in 2018 and later withdrew the rule in 2020. The Biden Administration partially restored the AFFH rule in 2021 as an interim final rule.

According to HUD, this rule would retain much of the 2015 AFFH Rule’s core planning process, with certain improvements such as a more robust community engagement requirement, a streamlined required analysis, greater transparency, and an increased emphasis on goal setting and measuring progress.

The rule also includes mechanisms to hold program participants accountable for achieving positive fair housing outcomes and complying with their obligation to affirmatively further fair housing, modeled after those processes under other Federal civil rights statutes that apply to recipients of Federal financial assistance.

As described in HUD’s press release on the proposed rule, it would simplify the required fair housing analysis, emphasize goal-setting, increase transparency for public review and comment, foster local commitment to addressing fair housing issues, enhance HUD technical assistance to local communities, and provide mechanisms for regular program evaluation and greater accountability, among other changes.

Under the proposed rule, program participants every five years would submit to HUD for review and acceptance an Equity Plan. That plan, which must be developed following robust community engagement, would contain their analysis of fair housing issues confronting their communities, goals, and strategies to remedy those issues in concrete ways, and a description of community engagement. The proposed rule would then require program participants to incorporate goals and strategies from their accepted Equity Plans into subsequent planning documents (e.g., Consolidated Plans, Annual Action Plans, and Public Housing Agency Plans).

In addition, program participants would be required to conduct and submit to HUD annual progress evaluations that describe progress toward and/or any needed modifications of each goal in the Equity Plan. Both the Equity Plans and the annual progress evaluations would be posted online. The proposed rule includes provisions that permit members of the public to file complaints with HUD if program participants are not living up to their AFFH commitments and various other provisions that enable HUD to ensure that program participants are held accountable for complying with this rule.

For more information, read Klein Hornig’s excellent summary highlighting the similarities and key differences between the proposed rule and the 2015 rule.

Governor Healey Files Supplemental Budget for Shelter Expansion & Food Aid

Governor Healey filed a $282 million supplemental budget bill on January 30th, for the expansion of emergency shelter services and to prevent the free school meals program from running out of money.

According to the Governor’s press release, the state’s family emergency shelter system is currently at capacity and facing significantly elevated levels of demand by families facing homelessness. The arrival of refugees and migrants from countries like Afghanistan, Haiti, Venezuela, Ukraine and other Central and South American countries has led to increased demand for emergency shelters. Many of the refugees being families with young children are in dire need of housing and other services. Safe and stable housing arrangements along with other resources are necessary so families and individuals facing homelessness can survive the harsh winter weather in Massachusetts.

Bill H.47 would make the following investments:

  • $85 million for the expansion of emergency shelter services. Based on current caseload projections, more than 1,100 shelter units over baseline capacity are needed, and the funds in this bill are needed to keep pace with this demand.
  • $21.9 million to support schools through the end of the school year. The funding would target the communities experiencing a large influx of families with school-aged children due to state shelter placements.
  • $130 million to create an offramp from the federal extra Supplemental Nutrition Assistance Program (SNAP), a benefit that the federal government began providing to SNAP recipients during the COVID-19 pandemic and recently announced would end in March 2023.
  • $65 million to extend the universal school meals pilot program through the end of the 2022-2023 school year.
  • $2 million to reimburse victims of SNAP benefit theft.

The bill also allows for the transfer of funds between HomeBASE and Emergency Shelter. The funds are allocated through the end of the fiscal year (June 30, 2023). Bill H.47 is similar to Governor Baker’s proposal for shelter expansion filed in November 2022.

Lack of adequate housing has led to soaring housing costs and emergency shelters running at full capacity. The current moment in our Commonwealth’s history is an opportunity for achieving sustainable change by making the much-needed investments in housing. CHAPA  advocates for swift movement of the Supplemental budget H.47 to meet the needs of families and individuals.

On February 7, CHAPA submitted a joint letter with the United Way to the House Committee on Ways and Means asking for the swift passing of the supplemental budget.

Electrical Code Changed to Solve Electric Stove Nuisance Tripping

On January 26, the State Fire Marshal published an Emergency Amendment to the existing Massachusetts Electrical Code that will allow the ground fault circuit interrupter (GFCI) requirement to be waived due to nuisance tripping after a review by a qualified person.

Over the past several months, affordable housing developers and advocates, led by 2Life Communities, made the Massachusetts Electrical Advisory Committee aware of large numbers of nuisance trips of GFCI protective devices protecting certain appliance types, particularly electric stoves.

Affordable housing providers found that the GFCI circuit breakers required by the electrical code are not compatible with current stove manufacturers’ ability to deliver appliances that work with the breakers. Every time a resident attempted to cook, they would trip the breakers.

This nuisance tripping, happening in all the apartments built or renovated now, left thousands of affordable housing residents, including many seniors, without functioning kitchens and limited access to food.

The emergency amendment allows for developers whose appliances are not compatible with the GFCI breakers to have a qualified professional (i.e., an inspector) confirm that the installation is correct, document the situation at the municipality, and then allow for the substitution of the GFCI breakers for non-GFCI breakers.

The emergency amendment took effect immediately statewide for all electrical appliances (refrigerators, stoves, water heaters, etc.) and will be adopted in the 2023 National Electrical Code (NEC) this spring. It will remain in effect until January 1, 2026, the next code cycle. This will provide ample time for the appliance manufacturers and breaker manufacturers to develop compatible appliance equipment.

The Board of Fire Prevention Regulations (BFPR) also provided hardwiring these appliances as a second solution. In response to 2Life Communities’ request for interpretation, the BFPR responded that the provisions of 2020 National Fire Protection Association (NFPA) 70 with Massachusetts Amendments allow freestanding electric ranges to be hardwired. The BFPR also responded that ground fault protection in not required for a hardwired freestanding electric range.

Although hardwiring is a more expensive solution, some developers already needed use this option. The interpretation provides needed clarity and guarantees.

This Emergency Amendment was the result of sustained advocacy led by Amy Schectman and Elise Selinger at 2Life Communities; a strong coalition of affordable housing developers and advocates; critical involvement from both the Baker and Healey Administrations; and creative thinking and action from the Massachusetts Electrical Advisory Code Committee, the BFPR board members and their General Counsel.

Governor Healey Files Immediate Needs Bond Bill with Authorizations for Affordable Housing

On January 19, Governor Healey filed a $987 million Immediate Needs Bond Bill that seeks critical authorization for key housing and economic development programs. Bill H.51 An Act financing the immediate economic revitalization, community development, and housing needs of the Commonwealth ensures continued funding for critical housing, infrastructure and community development programs.

Need for an Immediate Needs Bond Bill

Capital funds in many housing programs authorized through the last Housing Bond bill, such as Public Housing Capital, Facilities Consolidation Fund, and Housing Stabilization Fund have been exhausted or will soon expire. The pipeline for public housing investments is oversubscribed which means that long planned public housing projects cannot move forward until funds are made available thereby delaying improvements to public housing.

What is Included in the Immediate Needs Bond Bill

This bill ensures the continuity of these and other ongoing housing production and preservation programs in the near term. Here are some of the major investments the bill proposes:

  • $400 million to cover MassWorks needs through 2028
  • $48 million for Public Housing Capital
  • $34 million for the Revitalizing Underutilized Properties Program to be administered by MassDevelopment for projects to rehabilitate or redevelop blighted, abandoned, vacant or underutilized properties in Massachusetts
  • $5 million for the Rural and Small Town Development Fund
  • $11.6 million for the Community Based Housing Program, to provide state financial assistance for the development of community-based or supportive housing for individuals with mental illness and or intellectual disabilities
  • $16 million for the Housing Stabilization and Investment Trust Fund
  • $8.5 million for the Public Housing Demonstration Program to rehabilitate public housing through public-private partnerships
  • $10 million for the Housing Innovations Trust Fund 
  • $2 million to support low- and moderate-income housing near transit nodes
  • $200 million as a state match to compete for federal CHIPS Act funding
  • $30 million to compete for community broadband dollars funded through the Infrastructure Investment and Jobs Act

The bill will go before the House Ways and Means Committee.