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 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. 

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

Support Key Housing Amendments in the FY26 Senate Budget

Last week, the Senate Ways and Means Committee released its budget proposal for the upcoming state fiscal year. At a time of fiscal challenges and federal government uncertainty, we are grateful that housing programs were largely protected, and in some cases received increased funding.

Still, there is a great deal of work to do in advance of the full Senate taking up the budget later this month. Senators have offered more than 1,000 amendments that will be considered, including many related to housing.

Below, please find a list of CHAPA priority amendments. Now is the time to contact your state senator and ask them to cosponsor and support these proposals that will help make it possible for Massachusetts to create the homes we need to thrive

Rental Assistance 

#150 – Massachusetts Rental Voucher Program (MRVP) (Sen. Lovely)

Increases funding to $270 million for approximately 800 new vouchers and sets the administrative fee at $55 per month to reflect current policy.

 

#457 – MRVP Sustainability (Sen. Collins)

Sets the administrative fee for MRVP at $55 per month to reflect current policy.

 

#848 – Housing Assistance for Re-Entry Transition (Sen. Gomez)

Increases funding to $4.12 million for housing assistance for individuals exiting incarceration, which will provide approximately 250 vouchers.

 

#130 – Department of Mental Health (DMH) Rental Subsidy Program (Sen. Eldridge)

Increases the allocation to $21.548 million to fund 300 new vouchers for housing people experiencing homelessness and disabling mental health conditions.

 

#557 – Residential Assistance for Families in Transition (RAFT) (Sen. Gomez)

Improves RAFT by eliminating the requirement for a notice to quit or utility shutoff to access benefits to allow for more upstream access to benefits.

 

#90 – HomeBASE (Sen. Jehlen)

Increases funding for HomeBASE to $64.8 million, improves upstream access to benefits, and increases the grant limit per family to $50,000 for the first two years and $25,000 subsequently.

 

Homeownership

#19 – Saving Toward Affordable and Sustainable Homeownership (STASH) (Sen. Miranda)

Provides $1.5 million for STASH to support more than 70 first-generation homebuyers through matched savings.

 

Fair Housing

#171 – Maintaining Fair Housing (Sen. Edwards)

Supports fair housing in Massachusetts by directing $2 million for the operation of the Office of Fair Housing, $1 million for the Fair Housing Trust, and $2 million for organizations participating in fair housing activities.

 

#10 and #218 – Fair Housing Centers (Sens. Eldridge and Montigny)

Provides $200,000 for the Massachusetts Fair Housing Center and $75,000 for the South Coast Fair Housing Center to support the vital work of addressing housing discrimination.

 

Program Administrative Line

#20 – EOHLC Administration (Sen. Cyr)

The Executive Office of Housing and Livable Communities (EOHLC) distributes funding to municipalities, oversees the state-aided public housing portfolio, provides funding for affordable housing production and preservation, and operates the state’s Emergency Assistance family shelter program. EOHLC is responsible for implementing dozens of new housing policies approved by the Legislature through the Affordable Homes Act.  This amendment adds $6.6 million to EOHLC’s administrative line for sufficient staffing to carry out their responsibilities so that Massachusetts is affordable for people across income levels.

 

Housing Stability

#428 – Housing Consumer Education Centers (HCECs) (Sen. Gomez)

Restores proposed cuts to HCECs with funding of $8.974 million to provide critical support for people experiencing a range of housing challenges.

 

#50 – Healthy Homes Program (Sen. Keenan)

Provides $5 million to address issues such as mold, lead, and asbestos to keep people in their homes and improve the quality of aged housing stock.

 

#105 – Tenancy Preservation Program (TPP) (Sen. R. Kennedy)

Provides $42,755 to support TPP and to preserve the line item.

 

#15 – First-Time Homebuyer and Foreclosure Prevention (Sen. Eldridge)

Restores funding to $3.05 million to support homebuyer education and support to keep people in their homes when experiencing housing challenges.

 

Homelessness and Supportive Housing

#222 – Unaccompanied Homeless Youth (Sen. Miranda)

Increases funding to $12 million for housing and services for youth experiencing homelessness.

 

Preservation and Development

#89 – Small Properties Acquisition Fund (SPAF) (Sen. Jehlen)

Appropriates $1 million to the SPAF to purchase and rehabilitate existing 1-8 unit affordable housing and to keep it affordable.

 

#249 – Unlocking Housing Production (Sen. Cyr)

Provides funding to support increased building inspection capacity for modular development, establishes an Office of State Planning to better inform statewide and municipal development, and directs EOHLC to study the efficacy of a housing construction sales tax exemption program and a local option property tax exemption for new affordable housing developments.

 

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

MA House Passes FY26 Budget, Select Housing Adds Approved, Advocacy Turns to Senate for Additional Support

On Wednesday, the Massachusetts House of Representatives voted to approve a $61.5 billion state budget for fiscal year 2026, capping off two and a half days of debate and the adoption of seven consolidated amendment packages. The final vote was 151 to 6, with the budget now heading to the Senate for consideration.

This year saw a near-record number of amendments filed, with more than 1,600 submitted, reflecting strong interest in shaping the budget across many issue areas, including housing. To manage the volume, House leadership grouped amendments by topic into consolidated packages, which are developed internally and voted on as a single block. Housing amendments were included in Consolidated Amendment C, alongside public safety and judiciary items.

The final budget includes several positive housing developments. Just over $1.5 million was added to housing line items through the amendment process, primarily in the form of local earmarks. Highlights include $200,000 in increased funding for Saving Toward Affordable Sustainable Homeownership (STASH) and a $500,000 earmark for the Massachusetts Housing and Shelter Alliance (MHSA) to support permanent supportive housing. Harmful amendments that would have weakened or repealed key housing and zoning tools such as the MBTA Communities Act and Chapter 40B were also defeated, preserving critical pathways to build and preserve affordable homes.

At the same time, several high-priority housing proposals were not included at this stage. Amendments to increase funding for crucial programs such as MRVP, AHVP, HCEC, and the Fair Housing Trust Fund had strong support but were left out of the final package.

As the budget moves to the Senate, advocates are calling on lawmakers to take the next opportunity to invest in the tools we know work, including rental assistance, fair housing enforcement, and community-based supports.

The full Consolidated Amendment C can be viewed here. 

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

Co-Sponsor Amendment #1263: Strengthen the Massachusetts Rental Voucher Program (MRVP)

Amendment #1263, filed by Representative Vanna Howard, would significantly increase funding for the Massachusetts Rental Voucher Program (MRVP) in the FY26 state budget. The amendment would raise MRVP funding to $270 million — enough to maintain current rental assistance and create 800 new vouchers for households across the Commonwealth.

Right now, no new MRVP mobile vouchers are being issued due to funding constraints, and more than 168,000 households remain on the waitlist. Strengthening MRVP is essential to meeting urgent housing needs and ensuring that new affordable homes are truly within reach for the lowest-income households.

MRVP helps households avoid housing crises like eviction, exit emergency shelter, and move toward long-term stability with better access to schools, jobs, and healthcare. It offers a sustainable alternative to emergency shelter, saving thousands of dollars each month while supporting stronger futures for all.

You can find more information about the impact of Amendment #1263 in this fact sheet.

Please contact your representative and urge them to co-sponsor Amendment #1263 to expand access to safe, stable, and affordable housing across Massachusetts.

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