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Chamber Submits Letter on FY25 House Budget

April 22, 2024

 

Representative Ronald Mariano, Speaker
Massachusetts House of Representatives
State House, Room 356
Boston, MA 02133

Aaron Michlewitz, Chair
House Committee on Ways and Means
State House, Room 243
Boston, MA 02133

 

Dear Speaker Mariano and Chair Michlewitz,

On behalf of the Greater Boston Chamber of Commerce and our 1,200 members, I would like to thank
you and your staff for your diligent and thoughtful efforts in developing the state’s FY25 budget (H.4600).
As you proceed to debate, I write to highlight the priorities of the Chamber.

 

Transportation

SUPPORT: Historic Investment in the MBTA (Item 1595-6369 – $315 million)

The Chamber is grateful for the historic investments into the MBTA included in the House’s FY25 budget. This includes a vital infusion of operating funds to the MBTA to ensure it maintains current service levels while confronting a budget deficit due in part to a slow rebound in ridership. Under the leadership of General Manager Phillip Eng, the MBTA is making progress on implementing safety and reliability improvements along with necessary track and signal work to eliminate slow zones and improve the rider experience. While the progress of deploying capital investment and service improvements is slow, the Chamber believes the MBTA is heading in the right direction and believes the additional financial support from the House will provide meaningful support to the ongoing turnaround necessary at the agency.

SUPPORT: MBTA Capital Investments (Item 1596-2404 – $75M), Workforce and Safety Reserve (Item 1596-2427 – $65M), MBTA Resilient Rides (Item 1596-2441 – $35 million)

The House budget includes additional investments into the MBTA system by dedicating $75M to capital improvements through 2026. This appropriate use of income surtax funds will help the MBTA to continue to address critical infrastructure issues and encourage increased ridership.

In addition, the transfer of $65 million in funding for MBTA Workforce and Safety reserve will help address the specific safety and workforce shortfalls identified by the Federal Transit Administration in 2022. The MBTA must continue to address these significant failures by diligently deploying these funds for staffing and other important needs to increase confidence in the system.

Finally, the Chamber supports investments protecting our public transit infrastructure from climate change impacts. Climate adaptation measures to critical infrastructure are increasingly necessary, and these resources will contribute to strategic planning and capital improvements ensuring our transit system is resilient and reliable during weather events.

The Chamber strongly supports these spending priorities in the FY25 budget.

SUPPORT: MBTA Academy Program (Item 1596-2440 – $40 million)

A skilled and trained workforce is essential to the MBTA’s success, and developing a MBTA Academy Program to attract and train the T’s current and future workforce is a wise investment and will help to improve the culture at the agency.

SUPPORT: Dedicated Funding to Expand Transportation Borrowing Capacity (Section 32)

The Chamber supports section 32 and related sections that dedicate $250 million in income surtax revenue to the Commonwealth Transportation Fund, unlocking substantial new capital funding capacity for Massachusetts. These resources can make a significant difference in improving our transportation networks across the state to improve access, safety, and reliability.

 

Business Climate

SUPPORT: Early Education and Care Grants (Item 3000-1045 – $200 million, Item 3000-1048 – $100 million)

Access to affordable, high quality early education and care programs is a vital component to attracting and retaining talent in Massachusetts. Stabilization grants are essential to these programs as they face continuing challenges resulting from the pandemic and a tight labor market in 2024. These resources will not only support this workforce, but also the workforce of all employers with continued access to childcare options.

SUPPORT: Early College – Dual Enrollment (Item 7066-0019 – $12.6 million) and Early Colleges Programs (Item 7009-6600 – $15 million)

The House’s proposed funding will expand access for thousands of students to early college programming in high school. Early college is a proven strategy that increases overall college attainment and helps close equity gaps in college outcomes. This increased funding will meet the growing demand for high-quality early college programs.

OPPOSE Amendment 802 (Nguyen) Worker’s Compensation Program

Current law, under section 75B and chapter 152 of the General Laws, prohibits employer retaliation against employees that exercise rights under the Commonwealth’s worker’s compensation statute. The statute provides an injured worker benefits and mitigates the litigation risk for employers in the Commonwealth.

Amendment 802 inserts into section 75B ambiguous retaliation language into the law, significant new penalties above and beyond existing penalties for alleged violations, and creates a rebuttable presumption of a violation of the section for any alleged adverse action within 90 days of exercising a right under chapter 152, with a high evidentiary standard of clear and convincing evidence to rebut such presumption. The amendment will make it more difficult to comply with the statute, more expensive to resolve claims, and potentially lead to costly litigation even when employers did not violate the statute – undermining a key component of the current program. Under review as an individual bill, the Chamber opposes the amendment and encourages the House not to adopt such a drastic change in policy through the budget process.

 

Housing

OPPOSE Amendments 732, 734, and 735 (Jones) The MBTA Communities Act

The Chamber supported the Legislature’s passage of the MBTA Communities Act that encourages new housing production around public transit nodes along the MBTA’s rapid transit and commuter rail systems. Amendments 732, 734, and 735 aim to slow important progress on municipal compliance with section 3A of chapter 40A by delaying deadlines for compliance, allowing past construction to qualify, or imposing an unnecessary appeals process for consideration outside normal local permitting functions. These efforts undermine the modest requirements of the current law to develop greatly needed housing units throughout the Commonwealth.

It is important to note the law does not actually require the construction of any new housing, but only to ease the zoning requirements in a small area of each municipality located near transit options. The MBTA’s Communities Act was supported by wide margins in the Legislature and Governor Baker in 2020, and we encourage the House to reject these amendments.

 

Climate & Energy

SUPPORT Clean Energy Investment Fund (Item 1595-6232 – $30 million)

The Chamber supports additional investments in the clean energy workforce as the Commonwealth adopts new sources of renewable energy and strives to reduce its greenhouse gas emissions. Massachusetts is at the forefront of clean energy policy and the development of offshore wind, solar, and other clean energy technologies will create new jobs. These new industries will need access to a talented and trained workforce as the state moves from planning to implementing clean energy projects and necessary infrastructure improvements ahead of 2025 and 2030 emissions reductions requirements.

Please do not hesitate to reach out with any questions or concerns.

 

Sincerely,

James E. Rooney

President and CEO

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