Nearly seven months after it was filed, the Massachusetts House of Representatives approved the Healey-Driscoll Administration’s capital spending plan to increase the supply of housing, rehabilitate and modernize public housing, and support affordable housing opportunities throughout the commonwealth. It also includes a provision strongly supported by the HBRAMA that would amend the Zoning Act (G.L. c. 40A) to permit the construction of accessory dwelling units as a matter of right in all residentially zoned districts in 350 cities and towns.
The House’s $6.5 billion version of the five-year housing bond bill is 50% larger than the Administration’s original proposal. The legislation recapitalizes various state housing production programs such as the Affordable Housing Trust Fund, the HousingWorks Infrastructure Program, the CommonWealth Builder Program and the Chapter 40R Smart Growth Housing Trust Fund. It also provides new capital authorization for the Housing Choice Grants Program.
Importantly, the House rejected two provisions in the original bill that were opposed by the HBRAMA because they were contradictory to the goals of increasing housing production and making housing more affordable.
A proposal to allow cities and towns to impose a local tax on real estate transfers to fund affordable housing projects would have hurt potential homebuyers by increasing prices and reducing inventory. The association is member of a coalition that opposes transfer taxes which includes the Massachusetts Association of Realtors, NAIOP Massachusetts, the Massachusetts Bankers Association, the Greater Boston Chamber of Commerce and others.
The bill approved by the House also rejected a provision that would have amended the Zoning Act to lower the threshold for the adoption of inclusionary zoning ordinances and bylaws. The HBRAMA believes that mandating inclusionary zoning without a density bonus will only serve to raise the cost of a new home or apartment to market rate buyers and renters and, in some instances, render a project uneconomic.
Before voting on the bill, representatives had to slog through 371 amendments, many of which would have repealed or weakened the MBTA Multi-family Zoning Law (G.L. c. 40A, § 3A). Other amendments would have granted cities and towns the ability to adopt local rent control measures or effectively blocked the creation of accessory dwelling units. All of these amendments were rejected.
The bill passed by the House (H. 4726) has been referred to the Senate Committee on Ways and Means. The Senate is expected to consider its version of the Affordable Homes Act by the end of the month.
