Governor Healey Releases FY2026-2030 Capital Investment Plan

On June 30, the Healey-Driscoll Administration released its Capital Investment Plan (CIP) for the next five years, outlining capital investments in a range of state policy areas.  In a departure from recent practice, this CIP proposes specific bond allocations for both FY2026 and FY2027.  In each year, the overall bond cap is expected to grow by $110 million.  Of the 12 policy areas for capital investments, housing will receive one of the largest increases in allocations – growing by $44 million in FY2026 and $49 million in FY2027.

 

These significant increases in bond allocations reflect both the Healey-Driscoll Administration’s prioritization of housing as a top area of focus and the historic increase in bond authorization through the Affordable Homes Act, which was signed into law last summer.

 

CHAPA has prepared a comparison of bond authorizations by program in FY2025, FY2026, and FY2027.

Conference Committee Approves FY26 Budget, Now Moves to Governor’s Desk

Conference Committee Approves FY26 Budget, Now Moves to Governor’s Desk

On June 30th, the Massachusetts Legislature approved a $61 billion FY2026 Conference Committee budget and sent it to the Governor for consideration. Marking the earliest completion of a budget in nearly a decade, the final agreement includes important progress on housing issues, with continued investments in rental assistance and supportive housing, along with key policy updates to broker fee practices, homelessness prevention programs like RAFT and HomeBASE, and provisions that establish studies aimed at reducing construction costs and streamlining development.These decisions come amid growing federal headwinds, these decisions come at a time when the state is facing additional challenges, including potential federal cuts to housing and safety net programs, which could put further strain on the housing system.

However, several high-priority programs were funded at the lower of the House or Senate proposals, and several key initiatives were ultimately not included.

As the budget moves to Governor Healey’s desk, she has 10 days to sign the budget into law. CHAPA is urging that the strongest funding levels and policy provisions be maintained. CHAPA is also drafting a letter to the Administration advocating for full support of these critical investments. These operating dollars are essential to addressing the urgency of the housing crisis and advancing stability, affordability, and equity across the Commonwealth. Key highlights from the final budget can be viewed below, and the full budget tracker is available here.

Key Policy Language

  • Residential Rental Broker Fees – Outside Sections 43, 54–55:
    New language clarifies that only the party that directly hires a broker is responsible for the fee, reducing financial barriers for tenants.
  • Unlocking Housing Production – Outside Sections 106–108:
    Directs studies on tax incentives, inspection reform, and local options to support housing development feasibility and affordability.

Programs with Maintained or Increased Funding

  • Rental Assistance:
    MRVP and AHVP were funded at $253.3 million and $19.5 million, respectively, sufficient to maintain the current number of vouchers, but not to increase the number of vouchers.
  • Supportive Housing & Reentry:
    Programs including Home & Healthy for Good, Sponsor-Based Housing, and Housing Assistance for Reentry Transition were level-funded or slightly increased.
  • Access to Counsel:
    Funded at $2.5 million. The “pilot” designation was removed, signaling an ongoing commitment to this crucial program.
  • Public Housing:
    Operating subsidies were funded at $115.6 million, slightly below the Senate’s proposal but above the FY2025 level.
  • Fair Housing
  • $275,000 earmarked for regional fair housing centers,
  • Homeownership
    $500,000 was dedicated to STASH, supporting first-generation homebuyers.

Programs Funded Below Requests or Prior-Year Levels

  • RAFT:
    Funded at $207.5 million, set at the House’s level. The final budget does include language directing EOHLC to evaluate program barriers, including the “notice to quit” requirement.
  • HomeBASE:
    Level-funded at $57.3 million. The budget retains language requiring EOHLC to study eligibility improvements, including potential expansion beyond Emergency Assistance eligibility.
  • Housing Consumer Education Centers (HCECs):
    Funded at $5.85 million, a partial restoration from earlier proposals, but still below FY2025 levels.
  • EOHLC Administration:
    Funded at $16 million, above the House and Senate budgets, but below the $22.2 million called for in the Governors’ proposal earlier this year.

Not Included in Final Budget

  • Tenancy Preservation Program (TPP): No funding included; program will rely on MassHousing support.
  • Office of Fair Housing and Fair Housing Trust: Proposed $5 million was not included.
  • Healthy Homes Program: A proposed $5 million to address mold, lead, and other hazards was withdrawn.
  • Small Properties Acquisition Fund: Not included in the final budget.

CHAPA Submits FY2026 Priorities to Budget Conference Committee

With the Senate completing its work on the FY2026 state budget last month, a House-Senate Conference Committee is now working to resolve differences between the two versions of the funding documents.  CHAPA has submitted a letter to the six members of the committee, urging them to support the highest possible funding levels for key housing programs.

 

The new state fiscal year begins on July 1, 2025, so for there to be an on-time budget in place, the Conference Committee will need to complete its work and both branches will need to pass the final budget by June 20 to give the Governor ten days to sign or return items with vetoes.

CHAPA and Lawyers for Civil Rights Celebrate Court Ruling Rejecting Unfunded Mandate Challenges to MBTA Communities Law

CHAPA and Lawyers for Civil Rights Celebrate Court Ruling Rejecting Unfunded Mandate Challenges to MBTA Communities Law

June 6, 2025 — Today, in yet another victory for the MBTA Communities Act (the “Act”), a Massachusetts Superior Court judge decisively ruled that the Act “does not constitute an unfunded mandate.” In doing so, the Court squarely rejected the State Auditor’s contrary opinion issued earlier this year and dismissed a series of municipal lawsuits citing that opinion. Those suits were always a hail mary—as Citizens’ Housing and Planning Association (“CHAPA”) argued in an amicus brief filed by Lawyers for Civil Rights (“LCR”)—and the latest Court ruling slams the door shut on their arguments. Most importantly, the decision re-affirms that all MBTA Communities must do their part to alleviate Massachusetts’ affordable housing shortage by allowing multi-family housing to be built more freely. 

 

CHAPA and LCR celebrate this ruling as a major victory in the mission to create multi-family and reasonably-priced housing opportunities across Massachusetts, and applaud Attorney General Andrea Campbell’s steadfast defense of the Act in these lawsuits and others.

 

“CHAPA is thrilled that the courts have once again affirmed that the MBTA Communities Act is the law and that communities must comply,” said Rachel Heller, Chief Executive Officer of CHAPA. “Sky-high housing costs are hurting people and our neighborhoods and threaten the health of our economy. Today’s decision makes it clear that every community needs to be part of the solution.”

 

Although the Massachusetts Supreme Judicial Court held that the Act is constitutional and enforceable in Attorney General vs. Town of Milton this January, several communities recently filed lawsuits seeking exemptions from the Act in response to a determination from the State Auditor’s Division of Local Mandates (DLM) that the Act could be an unfunded mandate. Those towns include Duxbury, Hamilton, Hanson, Holden, Marshfield, Middleton, Wenham, Weston, and Wrentham. 

 

As CHAPA and LCR expected, the Court soundly rejected these suits, concluding instead that DLM’s determination was flawed and legally non-binding, and that the Act does not impose any unfunded costs on communities. The court further agreed with our organizations that updating zoning codes and holding town meetings are regular functions of municipal government, meaning that the law’s requirement to adopt multifamily zoning districts does not create additional costs. 

The court also rejected all claims that multifamily zoning districts impose infrastructure costs upon communities, concluding that any connection between multifamily zoning and increased costs for services and infrastructure is purely speculative. 

 

“Today’s ruling is a great victory for all Massachusetts residents, but particularly the communities of color and low-income individuals hardest hit by the affordable housing crisis,” said Jacob Love, Senior Attorney at LCR. “Increasing multi-family housing stock is critical to advancing fair housing in the Commonwealth and this decision preserves one of the most important tools we have in the fight for housing equity.” 

 

Like the courts, the majority of MBTA communities have rejected the argument that multi-family homes impose unfair costs. As of May 30th, 75 percent of MBTA Communities have embraced the opportunity to provide more reasonably-priced homes for their residents and adopted multifamily zoning districts intended for compliance with the Act.

 

CHAPA and LCR are gratified that the courts not only continue to endorse our legal arguments, but also reject all efforts to undermine the Act. While this law is only the first of many steps needed to make homes affordable for everyone in Massachusetts, defending it is crucial to setting the stage for all the other work we intend to do together to build more reasonably-priced homes.

 

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Citizens’ Housing & Planning Association (CHAPA) is the leading statewide affordable housing policy organization in Massachusetts. Established in 1967, CHAPA advocates for increased opportunity and expanded access to housing so every person in Massachusetts can have a safe, healthy, and affordable place to call home in the communities they choose, free from discrimination. For more information, visit www.chapa.org.

Lawyers for Civil Rights fights discrimination and fosters equity through creative and courageous legal advocacy, education, and economic empowerment. With law firms and community allies, we provide free, life-changing legal support to individuals, families, and small businesses. www.lawyersforcivilrights.org

Conference Committee Approves FY26 Budget, Now Moves to Governor’s Desk

Senate Passes FY26 Budget: Progress on Housing Priorities, Key Gaps for Conference Committee to Resolve

The Massachusetts Senate passed its $57.9 billion FY2026 budget last week, adding $43.5 million through more than 300 adopted amendments. The budget includes important progress on housing priorities, with investments in emergency rental assistance, first-generation homeownership, and fair housing enforcement. However, several high-priority programs included in the House received lower funding or were not included in the Senate version.

As the budget moves to Conference Committee, advocates are urging lawmakers to adopt the strongest funding and policy provisions from both chambers to meet the scale of the Commonwealth’s housing needs.

Senate Budget Additions (Based on SWM Amendment/Section Numbers)

  • Residential Assistance for Families in Transition (RAFT) – Line Item 7004-9316
    $225 million
    Maintains the Senate’s higher funding level and adopts Amendment 557, which directs the Executive Office of Housing and Livable Communities (EOHLC) to develop a statewide homelessness prevention strategy and evaluate the removal of barriers to programs like RAFT, including the potential elimination of the “notice to quit” requirement.
  • Saving Toward Affordable and Sustainable Homeownership (STASH) – Line Item 7006-0011
    $500,000 (via Amendment 19)
    Adds targeted funding for first-generation homebuyers through the Massachusetts Affordable Housing Alliance, supporting matched savings accounts and homeownership education.
  • Housing Consumer Education Centers (HCECs) – Line Item 7004-3036
    $5.7 million (via Amendment 428)
    Restores some of the funding for regional housing counseling and tenant assistance services after earlier cuts, though funding remains below the prior-year level of $8.97 million.
  • Housing Assistance for Reentry Transition – Line Item 7004-9034
    $3.12 million (via Amendment 848)
    Supports stable housing for individuals returning from incarceration. Amendment language ensures carry-forward of unspent funds to sustain services.
  • Department of Mental Health Rental Subsidy Program – Line Item 7004-9033 (via Amendment 130)
    This amendment proposed increasing funding for rental subsidies for Department of Mental Health (DMH) clients by $500,000, from $16,548,125 to $17,048,125, to better meet the housing needs of individuals with mental health challenges. The amendment was not adopted.
  • Massachusetts Fair Housing Center and Southcoast Fair Housing – Line Item 7004-0099  and 7004-0107 (earmark via Amendment 10)
    $275,000

Includes $200,000 for the Massachusetts Fair Housing Center and $75,000 for SouthCoast Fair Housing to support fair housing enforcement and  outreach            in Western Massachusetts and the South Coast following the loss of federal funding.

  • Public Housing Operating Subsidies – Line Item 7004-9005
    $116 million
    Senate funding exceeds the House’s $115.6 million by $400,000, helping local housing authorities maintain operations and address quality and safety needs.
  • Senate Broker Fee Language – Outside Sections 31 and 38
    Clarifies that broker fees must be paid by the party who hires the broker. Ensures tenants aren’t charged for services they didn’t request, offering stronger protections than the House version, which permits fees with written disclosure even when the broker was hired by the landlord.

 Key Priorities For Further Advocacy

  • Office of Fair Housing and Fair Housing Trust – Line Item 7004-0099 (Amendment 171)
    Proposed $5 million to launch the new Office, fund the Fair Housing Trust, and support U.S. Department of Housing and Urban Development (HUD)-aligned fair housing efforts. The amendment was not adopted.
  • Executive Office of Housing and Livable Communities (EOHLC) Administration – Line Item 7004-0099 (Amendment 20)
    Amendment ECO 20 proposed increasing funding for the Executive Office of Housing and Livable Communities from $15,573,388 to $22,235,340 to strengthen the agency’s administrative capacity. The amendment was not adopted.
  • Small Properties Acquisition Fund – New Line Item (Amendment 89)
    Proposed $1 million to help nonprofit organizations acquire and preserve small multifamily homes. The amendment was withdrawn.
  • Healthy Homes Program – New Line Item
    A proposed $5 million line item to address mold, lead, and other housing-related health risks was withdrawn and not included.
  • Massachusetts Rental Voucher Program (MRVP) – Line Item 7004-9024
    Funded at $253.3 million in the Senate—$4.8 million less than the House’s $258.1 million level.
  • Tenancy Preservation Program (TPP) – Line Item 7004-3045
    TPP received no funding in either budget. Amendment ECO 105 proposed $42,755 to retain a dedicated line item, but it was not adopted. The program will be supported this year through MassHousing funding.
  • Access to Counsel – Line Item 0321-1800
    Not funded in the Senate budget. The House includes $3 million to provide legal representation for tenants facing eviction, a key strategy for homelessness prevention.

What’s Next

 The FY2026 budget now goes to a Conference Committee, a group of House and Senate lawmakers responsible for reconciling the two versions into a final budget.

Housing advocates are urging the committee to adopt the strongest funding levels and policy provisions from both chambers to address housing needs across Massachusetts. CHAPA will be drafting a letter to conferees to ensure that each housing program receives the necessary funding and support to promote stability, affordability, and equity statewide.

Please see an updated version of our budget tracker here. 

New Report Highlights the Value of the Massachusetts Rental Voucher Program and How It Can Be Strengthened

Earlier this month, The Boston Foundation and the MassINC Polling Group released Voices of Experience: What Works, What Frustrates, and What to Do to Strengthen the Massachusetts Rental Voucher Program. The report draws on surveys, interviews, and focus groups with MRVP tenants and landlords across Massachusetts. It was developed in partnership with United Way of Massachusetts Bay, CHAPA, Metro Housing|Boston, the Regional Housing Network, BAMSI, and La Colaborativa, with support from the Executive Office of Housing and Livable Communities (EOHLC).

The report confirms that the MRVP plays a vital role in promoting housing stability, supporting employment, and ensuring consistent rental income for landlords. At the same time, it identifies opportunities to improve the program’s effectiveness by addressing administrative challenges. Participants and landlords noted areas where clearer communication, more timely processing, and better access to support could make a meaningful difference. While many participants benefit from the program, some continue to face difficulty affording their rent share or achieving long-term financial security. The report recommends building on MRVP’s strengths by codifying and expanding the program, improving agency responsiveness, enhancing outreach and education efforts, and removing barriers to economic mobility for participants.

Read the full report here

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