On November 10, 2022, Governor Baker signed
House Bill 5374, “An Act Relating to Economic Growth and Relief for the Commonwealth” after protracted negotiations with the legislature. Enactment of the legislation, often referred to as the economic development bill, contains substantial state funding for housing programs, but it’s being celebrated by REALTORS® even more so for key provisions left out of the final bill.
The economic development bill authorizes $3.76 billion in gross spending including substantial funding to expand housing production in Massachusetts. It invests $300 million in affordable housing creation and homeownership expansion, $153 million to support a variety of businesses in need across the state, and $50 million for the Equitable Developers’ financing program. It also funds hundreds of local economic development projects.
Notably the economic development bill did not include many of the harmful amendments offered to the bill
which GBREB successfully opposed including a sales tax on real estate, tenant right to purchase, snow removal liability, the sealing of eviction records and limiting brokers fees.
Negotiations on the bill which began in May, stalled after time expired at the end of July and revenue projections triggered a return of funds to taxpayers. The 62F law requires that when tax revenue collections in a given fiscal year exceed an annual tax revenue cap, the excess revenue is returned to taxpayers.