CHAPA Submits Testimony on Economic Development Bill, H.4529

CHAPA submitted testimony on Governor Baker's Economic Development Bill (H.4529) to the Joint Committee on Economic Development and Emerging Technologies. Read CHAPA's submitted testimony.

Governor Baker originally filed the bill on March 4, 2020, before the COVID-19 emergency. Since then, the Governor shifted some priorities within H.4529 to support an economic relief package.

The bill contains important provisions that support affordable housing and community development in Massachusetts. The testimony describes those priorities within the bill and also makes recommendations for the Committee to add to the bill in order to ensure that affordable housing and community development are part of the Commonwealth’s economic development plan as we continue to recover from COVID-19.

H.4529 contains provisions that are critical to creating and preserving affordable housing in Massachusetts, supporting our economy, and addressing economic and racial inequalities that COVID-19 has made clear. CHAPA respectfully asks the Committee to report H.4529 out with the following sections:

• Housing Choice sections to help cities and towns approve smart growth zoning and affordable housing by lowering the required vote from a two-thirds to a simple majority
• Sections to help preserve the state’s public housing by allowing local housing authorities to leverage capital funds to secure additional resources for modernization projects and to allow housing authorities to retain proceeds from the sale of their property.
• A section to build affordable housing for low- and moderate-income households around public transportation.
• A section to create sustainable and climate resilient affordable housing for low- and moderate-income households.

In order to further address our affordable housing shortage and inequalities in our system, CHAPA asked the Committee to add certain provisions to the Economic Development Bill. These provisions include:

• Temporarily expanding the Massachusetts Low-Income Housing Tax Credit to spur the development and preservation of affordable housing and create jobs.
• Creating a pilot program to provide a right to counsel for low-income residents facing eviction because of COVID-19.
• Improving the governance of housing authorities by creating a process for tenants to be appointed to housing authority boards in towns.

The Committee held a hearing on Friday, June 26. The Committee is expected to report out an amended Economic Development Bill. It is expected that the bill will be passed by the Legislature before the end of the legislative session, currently scheduled to end on July 31.