Economic development bond authorizations set to boost to life sciences, climate tech, A.I., and small businesses

BOSTON — Senator Sal DiDomenico and his colleagues in the Massachusetts Senate unanimously passed a comprehensive economic development bill that makes bold investments in life sciences, climate tech, and small businesses, building on Massachusetts’ national leadership and creating an environment where businesses and workers thrive. DiDomenico secured $15 million in bond authorizations for local economic development projects in his district.

The legislation also included DiDomenico's language to remove a hazardous waste parcel of land at the power plant site in Everett from its status as a designated port area, enabling a process to move forward that could create a sports venue with public access to the waterfront. Senator DiDomenico is happy to see this language included that will allow the public process to move forward on a project that will be an economic catalyst and environmental win for our residents.

“I am excited to move this economic development legislation forward so we can invest in small businesses, life sciences, climate tech, and local projects in my district and throughout the Commonwealth,” said Senator DiDomenico, Assistant Majority Leader of the Massachusetts Senate. “There is also language in this bill that will help my community clean up a power plant site that has been a health and environmental hazard for decades. This will open up the possibility for hundreds of millions of dollars in private investment, cleanup of a hazardous waste site, create good paying union jobs, and open our waterfront for the public to enjoy. I want to thank Senate President Spilka, Chair Rodrigues, and Senator Finegold for their support, and I look forward to advocating for this bill until it is signed into law.”

The $2.86 billion in bonds authorized in An Act Relative to strengthening Massachusetts’ economic leadership will stimulate new and proven industries, support workforce development and talent retention, and modernize economic growth strategies. The support in S.2586 extends to small businesses, communities, and cultural development, ensuring that main street businesses across the Commonwealth benefit from the economic boost.

“Life sciences and climate technology are synonymous with Massachusetts because of the past decade of strong investment,” said Senate President Karen E. Spilka (D-Ashland). “The Senate’s action today ensures that we build on that leadership in the coming decade, amplifying the diverse and thriving economic ecosystem that enables people to stay in our state to build careers and families. I am grateful for Chair Finegold’s leadership on this bill, to Chair Rodrigues, and to each of my Senate colleagues for their input and action to strengthen our economy.”

The combination of investments, tax credits, and policy changes will position Massachusetts industries as global leaders at a moment when breakthroughs in science and technology are more important than ever.

Provisions of the legislation include:

Maintaining Massachusetts’ Life Sciences Leadership

While 18 of the top 20 biopharma companies now have ties to Massachusetts, the national ecosystem remains competitive.

The Senate’s economic development bill authorizes $225 million over five years for the Life Sciences Breakthrough Fund to reauthorize the Life Sciences Initiative, totaling $45 million annually. Known as “Life Sciences 3.0”, the reauthorization adds health equity, biosecurity, digital health, and artificial intelligence (AI) to the mission of the Life Sciences Center.

It redefines “life sciences” to include preventative medicine, biosecurity, life sciences AI, and medical technology. It also allows for awards and grants to public higher education institutions or public private partnerships.

Keeping Climate Tech Companies in Massachusetts

Massachusetts is first in the nation for per-capita climate tech startups—despite being outpaced in investment by New York and California—with 49 businesses per one million residents.

To incentivize these startups to stay in Massachusetts and continue to build their companies, the legislation provides $200 million for the Clean Energy Investment Fund to facilitate research and development, commercialization, and deployment of climate technologies. It adds a further $200 million for the Massachusetts Offshore Wind Industry Investment Trust Fund to support the growth of the offshore wind industry.

Additional incentives include a climate tech tax credit, a climate tech jobs credit, and a climate tech research credit.

Regional Equity

The legislation reflects the different needs of different communities and ensures none of the Commonwealth’s 351 cities and towns are left behind.

This will partly be accomplished through statewide targeted infrastructure improvements, with the bill authorizing $400 million for MassWorks public infrastructure projects that spur economic development and help support job creation, $100 million for the Rural Development Fund to provide financial assistance for infrastructure and community planning efforts in rural communities, $100 million for local economic development grants for economic development in cities and towns,  $90 million to support the redevelopment of underutilized, blighted, or abandoned buildings, and $10 million for the Broadband Incentive Fund for the capital maintenance of the MassBroadband 123 middle mile network.

In addition to infrastructure, the legislation recognizes the importance of local cultural and economic sites, providing $150 million for capital grants for public libraries, $50 million for the Cultural Facilities Fund, $40 million for Destination Development grants to support capital improvements of tourism assets, $15 million for a capital grant program to support the Commonwealth’s agriculture, commercial fishing, and cranberry growing industries, and $8 million for historical preservation grants through the Massachusetts Historical Commission.

Accelerating AI & Advanced Manufacturing Development

To position Massachusetts as a leader of the future economy, the bill includes provisions to further develop the rapidly growing AI industry as well as high-tech advanced manufacturing jobs.

It contains $115 million for the Massachusetts Tech Hub to establish key industry consortia across the Commonwealth, $100 million for the Applied AI Hub program to facilitate the application of AI, $99 million for flexible grants to support advanced manufacturing initiatives, and $25 million for capital grants to advance research, commercialization, and training in robotics.

Retaining Talented College Graduates

Outmigration is notably prevalent among students who graduate from Massachusetts colleges.  To keep them and their talent in the state, the legislation includes $85 million for the Massachusetts Education Financing Authority (MEFA) to improve access to affordable higher education opportunities.

Additional talent-retention provisions promote internships for students and recent graduates through the employer internship tax credit and allow foreign-licensed physicians to apply for a limited license to practice medicine in the Commonwealth with a pathway to a full unrestricted license. The program would enable their talents to be used to fill the state’s physician shortage.

Supporting Small Businesses

With nearly 50 per cent of Massachusetts workers employed by companies with less than 500 employees, small businesses are a key part of the Commonwealth’s economy. The Senate’s legislation recognizes this, providing $25 million through MassVentures for small business technology grants to help early-stage companies commercialize new technologies, $35 million for grants to Community Development Financial Institutions (CDFIs) to help disadvantaged and underserved businesses, and $10 million for Biz-M-Power matching grants to small businesses with capital needs.

To assist small businesses in rural areas and areas impacted by pollution, the bill authorizes $3 million for grants to improve the readiness of sites for economic development projects and $30 million for the Brownfields Redevelopment Fund to support the remediation of land impacted by environmental contamination.

During debate, the Senate adopted several amendments, notably:

• An amendment to increase the age of juvenile jurisdiction to include 18-year-olds. The initiative, known as “Raise the Age”, is proven to decrease crime and improve public safety by allowing emerging adults who are 18 years old—the typical age of a senior in high school—to be tried as juveniles instead of adults for certain crimes.

• An amendment to allow local communities to opt-in and allow bars and restaurants in the community to responsibly offer happy-hour drink discounts.

• An amendment to admit Massachusetts in the national nurse licensure compact, helping to address the critical workforce challenge facing the health care sector.

• An amendment enhancing local public health infrastructure and service delivery.

• An amendment allowing local breweries and distilleries to sell their products alongside local wineries at farmers markets.

• An amendment increasing opportunities for a more diverse public sector teaching force.

• An amendment to provide consumers more rights to seek repair of their cell phones without having to seek service from the original manufacturer.

A previous version of this bill having passed the House of Representatives, the two branches will now reconcile the differences between the bills before sending it to the Governor’s desk.

###

Senate Affordable Homes Act sets course for thousands of new units, sweeping renovations of public and affordable housing, and protections for residents 

BOSTON — Senator Sal DiDomenico voted with his colleagues to address the state’s housing crisis. S.2834, An Act relative to affordable homes—also known as the Affordable Homes Act—authorizes $5.4 billion in borrowing and makes crucial policy changes with the goal of building new housing, accelerating the rehabilitation of existing housing, reducing barriers to development, and promoting affordable housing.

Following robust debate, the Senate passed the legislation unanimously. Senator Sal DiDomenico proposed amendment #144, “Responsible Development and Taxpayer Protection,” which was adopted and passed in the bill. The amendment ensures all contactors start at a level playing field by:

• Requiring general contractors to disclose past violations of state and federal laws prior to working on these housing projects;

• Restricting contractors who have been fined by federal and/or state authorities for committing serious violations of wage, labor, health and safety practices from participating in projects funded by this bill; and

• Prohibiting contractors on any of the state’s debarment list from being awarded construction funding authorized by this bill.

“I am proud to support this historic investment to address the housing crisis, one of the most pressing issues affecting my constituents and residents across the Commonwealth,” said Senator DiDomenico, Assistant Majority Leader of the Massachusetts Senate. “This bill will repair and create housing, help countless individuals find the home they need, and ensure people can continue to live in the community they have lived in their entire lives. I am also thrilled to share that my amendment that would hold contractors accountable for labor and wage violations was adopted, which will ensure all contactors start at a level playing field and that we protect workers. I want to thank Governor Healey, Senate President Spilka, Senator Rodrigues, and Senator Edwards for bringing this ambitious plan to life and including voices and perspectives from all over Massachusetts.”

“An affordable, equitable, and competitive Commonwealth is one in which a renter can find an apartment within their budget, a family can afford a down payment on their first home, and residents aren’t priced out of communities where they want to live,” said Senate President Karen E. Spilka (D-Ashland). “Today the Senate took concrete action to make that vision a reality, a first step in rectifying decades of underinvestment that has led to our housing crisis. I am profoundly grateful for Senator Edwards’ leadership on this bill, to Chair Rodrigues, and to each member of our chamber for contributing ideas to the Senate’s bold vision for a tackling our housing crisis.”

The legislation makes important investments in public housing; housing affordability; sustainable building initiatives; initiatives for first-time homebuyers; essential infrastructure; geographic equity; and incentivizing local best practices. Additionally, the bill includes policy proposals to further housing equity for both homeowners and renters. The bill contains $5.4 billion in bond authorizations, including:

Creating and Repairing Public Housing

The Senate Affordable Homes Act provides $2.2 billion for repairs, rehabilitation, and renovation across the 43,000 units of state-aided public housing. This significant investment ensures that the state's public housing infrastructure remains safe, modern, and sustainable, so it can continue providing quality living conditions for thousands of families.

To ensure that the Commonwealth makes strides towards its climate goals as it creates housing, $150 million of the funding for public housing is specifically allocated to making energy efficient upgrades.

Spurring Affordable Housing Units

A further $425 million will go to the Housing Stabilization and Investment Trust fund, working with municipalities, non-profits, and developers to support housing preservation, new construction, and rehabilitation projects for affordable rental units. This will help the longevity and sustainability of affordable housing stock, addressing both immediate needs and long-term housing solutions.

It additionally adds $800 million into the Affordable Housing Trust Fund to create and preserve housing for households with an income at or below 110 per cent of area median income, helping to bridge the gap between the high cost of housing and what many families can afford.

Building Sustainably

This bond bill includes $275 million for innovative, sustainable, and green housing initiatives. By finding new ways to build that don’t have such a detrimental environmental impact, these initiatives will help pave the way for a greener housing portfolio in Massachusetts and will be an important part of the state’s response to the climate crisis.

Supporting First-Time Homebuyers in Gateway Cities

The Senate Affordable Homes Act authorizes $200 million for the CommonWealth Builder program to further the production of housing in gateway cities for first-time homebuyers. This initiative supports economic development in these cities, helping families achieve homeownership and contributing to the revitalization of urban areas.

The legislation also includes $50 million for MassDreams, a program that provides down payment and closing cost grants to first-time homebuyers who meet the program's eligibility criteria and who currently live in one of the 29 communities that were disproportionately impacted by the COVID-19 pandemic.

Maintaining Essential Infrastructure

The bill provides $375 million for HousingWorks, a program that awards grants to municipalities and other public entities for a variety of infrastructure-related support. Improving essential infrastructure supports the health and safety of residents and the feasibility of new housing projects.

Of this amount, $100 million will be dedicated to addressing water, sewer, and septic challenges tied to housing developments, and $100 million will help incentivize best practices in communities that have adopted the Community Preservation Act (CPA) and are spending a high percentage of those funds on housing, as well as  MBTA communities that are going beyond the minimum requirements set forth in the MBTA zoning law passed in 2021. Communities that have been proactive in creating transit-oriented development, which reduces traffic congestion and promotes sustainable urban growth, will be eligible.

Addressing Regional Equity

The legislation includes $150 million in dedicated funds to address the unique housing needs of rural towns, seasonal communities, and mid-sized communities. This ensures that all areas of the state, regardless of size or location, have the resources to meet their specific housing challenges.

The Senate’s Affordable Homes Act also contains multiple policy proposals to go hand in hand with the new authorizations.

Protecting Tenants from Broker Fees

By requiring that real estate brokers’ fees be paid solely by the party that contracted with them, this legislation ensures that buyers are not burdened with unexpected and extraordinary costs. It also promotes transparency and fairness in real estate transactions.

Establishing Equity-Focused Housing Offices

The Office of Fair Housing and the Office of Livable Communities and Community Services will be established under the Executive Office of Housing and Livable Communities. These offices will set the Commonwealth on a path to address many decades of housing discrimination by prioritizing equity issues in housing across the Commonwealth, ensuring equal access to housing opportunities for all residents, and offering technical assistance to cities and towns that can sometimes lack dedicated housing staff.

Eviction Record Sealing

The bill introduces a process for tenants to seal their eviction records in cases of no-fault evictions and other limited scenarios. This policy protects vulnerable tenants from the long-term stigma of eviction records, enhancing their ability to secure future housing and promoting housing stability.

Accessory Dwelling Units (ADUs)

The legislation prohibits the banning or unreasonable restriction of ADUs in single-family residential zones, promoting flexible housing options. This policy enables homeowners to create additional living spaces, increases housing supply and provides more affordable rental options within established neighborhoods.

Homeownership Tax Credit

This new tax credit will be available for the production of homeownership units for households that make up to 120 per cent of the area median income, incentivizing housing production and promoting homeownership opportunities.

Separate versions having passed the Senate and the House of Representatives, the two branches will now reconcile the differences.

###

Legislation meets the climate crisis head-on with streamlined siting, expanded EV infrastructure, and ratepayer protections

BOSTON — Senator Sal DiDomenico recently voted to pass comprehensive climate legislation to make systemic changes to the state’s clean energy infrastructure that will help the state achieve its net zero emissions by 2050 goals, expand electric vehicle (EV) use and infrastructure, and protect residents and ratepayers. The bill included key priorities from Senator DiDomenico’s energy facilities siting bill which will accelerate clean energy deployment across our state and work to better include equity and input from impacted communities in our siting procedures.

During debate, DiDomenico successfully advocated for an amendment that will expand access to the data within the clean energy infrastructure dashboard so that municipalities can construct their own analysis to inform local decision making. The Senate also voted to adopt an amendment modernizing the ‘bottle bill’, adding noncarbonated beverages, wine, and spirits to the list of containers eligible for a bottle deposit, and increasing the deposit amount from 5 cents to 10 cents. This language included DiDomenico’s proposal to make small alcohol bottles, known as ‘nips,’ eligible for the bottle return.

“I am proud to pass this transformational climate bill that will move our state closer towards a cleaner, cheaper, and safer electric grid all while supporting our goals of fighting the climate crisis,” said State Senator Sal DiDomenico. “I want to thank Senate President Spilka, Chair Michael Rodrigues, and Senator Mike Barrett for all their work on this much-needed bill and including several of my priorities in the final legislation. ”

The climate bill will allow Massachusetts to develop infrastructure essential for the fight against climate change, including new solar, wind, and storage facilities. It will also enhance the electric grid to support getting clean energy to residents efficiently and in the needed capacities to power homes, businesses, and vehicles. 

Enhancements to the clean energy grid will be paired with measures to keep costs down for ratepayers across the state.

“We are in a climate crisis. The Senate has heard loud and clear from residents, advocates, and clean energy leaders that we need systemic infrastructure changes to deliver on our net zero by 2050 emissions goals,” said Senate President Karen E. Spilka (D-Ashland). “Today we are taking action to make it easier and more efficient to build clean energy infrastructure so that Massachusetts can deliver on our climate commitments and leave our kids with the green state and planet that they deserve. This bold action is the direct result of the work of Majority Leader Creem, Chair Rodrigues, Senator Barrett, and each senator who has contributed to this bill. I am grateful to each of them.”

The comprehensive climate legislation modernizes laws related to cost control for ratepayers; siting and permitting; decarbonization; electric transportation incentives; clean tech innovation; emissions reduction in state operations; and natural gas infrastructure.

Protecting Ratepayers from High Costs

To save residents’ money and protect residents from unfair and deceptive practices, the bill would ban competitive energy suppliers from enrolling new individual residential customers. According to the Attorney General’s Office and the Department of Public Utilities (DPU), data analyses show that consumers lost more than $577 million to competitive electric suppliers between July 2015 and June 2023. The Senate previously adopted this policy in April.

Consumers will see relief in a number of other ways as well. The bill would lower utility rates for consumers with low- and middle-incomes by directing utility providers to offer lower rates to eligible consumers. Utility companies would also gain more flexibility to negotiate the lengths of basic service contracts with electricity providers. By negotiating longer-term contracts, residents are less likely to see cost spikes.

Partnering with Communities to Expedite Siting and Permitting

The siting and permitting provisions, modeled on the work of a commission of diverse stakeholders established by the Healey-Driscoll administration, will consolidate the review of clean energy siting and permitting and expedite the timeline of projects. Large projects that require state, regional, and local permits will be consolidated into a single permit that must be decided upon in 15 months. Small projects with multiple local permits will also be consolidated into a single permit and must be decided upon in one year.

Robust community review processes will be paired with new permitting. The legislation formally establishes the Office of Environmental Justice and Equity (EJE), the Office of Public Participation at the Energy Facilities Siting Board (EFSB), and the Division of Siting and Permitting at the Department of Energy Resources (DSPDER). Each office would be charged with engaging with communities and applicants in their respective areas to ensure a thorough and community-centered review.

To protect ratepayers from bearing the cost of new construction, the state will require the EFSB to first consider enhancing current technologies before looking to new construction. An online clean energy infrastructure dashboard would also be created to promote public accountability in real time.

Making EVs Accessible and Expanding Infrastructure

Gas-powered vehicles are one of the highest emitters of carbon, and incentivizing EV usage is critical to achieving net zero emissions by 2050.

The legislation would expand the state’s MOR-EV program through 2027, which gives residents $3,500-$6,000 for the purchase of new or used electric vehicles. It would allow residents who own parcels within condominiums, homeowner associations, and historic districts to install EV chargers, and authorize condo boards to install EV chargers on community parcels.

It will bring coordination to EV infrastructure expansion, by centralizing the deployment of resources with the Electric Vehicle Infrastructure Coordinating Council (EVICC), and directing DPU to make it easier to install pole-mounted chargers that often are used in parking spots and on streets.

The bill would also make it easier for cities and towns to procure electric school buses and EV charging equipment for their municipalities.

Decarbonizing Buildings

An Act Upgrading the Grid and Protecting Ratepayers makes it easier to decarbonize buildings across the state, a major source of greenhouse gas emissions. It would authorize condo association boards to install energy efficiency devices and EV chargers in common areas and make heat pumps more efficient by allowing installers to use the most up-to-date refrigerants.

Leading the Way on Clean Technology and Innovation

Already leaders in clean technology, the state's innovators will receive even more support from this legislation to make sure that the next generation of technology is built in Massachusetts.

The legislation would boost the Massachusetts Clean Energy Center (MassCEC) by expanding their mission to include carbon removal, embodied carbon reduction, and nuclear power. MassCEC would also be directed to promote carbon removal and embodied carbon activities, and study opportunities for future carbon removal.

Leading by Example

The Commonwealth will take an in-depth look at its own operational climate impact under this legislation.

It would revise Massport’s enabling statute to prioritize reductions in greenhouse gas emissions alongside the promotion of commerce and growth. It would direct the Division of Capital Asset Management and Maintenance (DCAMM) to evaluate the energy efficiency and greenhouse gas emissions of state buildings, as well as seek options for reducing future emissions. The mission of the Board of Building Regulations and Standards would also be expanded to include the pursuit of reductions in greenhouse gas emissions.

Curbing Over-reliance on Natural Gas

Ensuring the electrical grid is on an equal playing field as the natural gas system is crucial to reducing dependency on fossil fuels and reaching the state’s net zero carbon emissions goals.

The bill reins in a statutory provision that for decades has given gas companies a preferential ratemaking advantage over providers of other heating sources.

Under An Act Upgrading the Grid and Protecting Ratepayers, the DPU will be directed to consider greenhouse gas impacts when it weighs a petition by a gas company to expand its territory. Gas companies will be allowed to pursue geothermal projects and networked heat pump systems, new opportunities that are undergoing successful testing in communities in Framingham and Lowell.

As the gas system needs continued upgrades, the legislation will shift the system from automatically replacing leak-prone pipes, to instead considering more targeted repairs, or decommissioning the line altogether if a more climate friendly alternative exists. Payments for new gas lines are often financed over 30 years, beyond the 2050 goal of reducing fossil fuels. By repairing or decommissioning pipes instead of replacing them, costs shifted to ratepayers are reduced, and the clean energy transition is accelerated.  

During debate, the Senate voted to adopt an amendment modernizing the ‘bottle bill’, adding noncarbonated beverages, wine, and spirits to the list of containers eligible for a bottle deposit, and increasing the deposit amount from 5 cents to 10 cents.

Having passed the Senate by a vote of 38-2, the legislation now moves to the House of Representatives for consideration.

###