Massachusetts 2025-2026 Regular Session

Massachusetts House Bill H3166

Introduced
2/27/25  

Caption

Authorizing a local affordable housing surcharge

Impact

If enacted, this bill could significantly impact local taxation policies, providing communities with a tool to enhance their funding for affordable housing projects. By allowing municipalities to collect these surcharges, it offers the potential for increased local financial control and resource allocation toward housing needs. Additionally, the revenue collected would be mandated to funnel directly into affordable housing trusts, ensuring dedicated usage of the funds for the intended purpose. Local authorities would also retain the discretion to determine specific exemptions for particular demographics, including low-income residents, thereby addressing equity in the application of the surcharge.

Summary

House Bill 3166 aims to empower local governments in Massachusetts to impose an affordable housing surcharge on real property. Specifically, it allows cities and towns that opt-in to impose a surcharge of up to 2% on their real estate tax levy. This bill is structured to address the growing need for affordable housing by enabling municipalities to generate additional revenue specifically earmarked for housing initiatives. The bill outlines a procedural approach for local acceptance through a two-thirds vote by the local appropriating authority and voter approval in a municipal or state election, thus ensuring that the implementation of this surcharge is a local decision.

Contention

While the bill appears to be a proactive step toward alleviating housing challenges, it may also face opposition regarding the implications for property owners. Concerns about the impact of additional tax burdens on homeowners and potential disincentives for property investment could arise. Furthermore, some stakeholders may argue over the adequacy of the local decision-making process or the perceived complexity of obtaining voter approval. Thus, while establishing a framework for local action, this bill may also spark debates around local autonomy, affordability, and economic implications for property owners and renters alike.

Companion Bills

No companion bills found.

Previously Filed As

MA H2879

Authorizing a local affordable housing surcharge

MA S1762

Authorizing a local affordable housing surcharge

MA H2741

Authorizing a development surcharge for community housing in the town of Lexington

MA S1771

Granting a local option for a real estate transfer fee to fund affordable housing

MA H2747

Granting a local option for a real estate transfer fee to fund affordable housing

MA H3235

Authorizing municipalities to impose a methane emissions surcharge and authorize non-pipeline alternatives

MA S2101

Authorizing municipalities to impose a methane emissions surcharge and authorize non-pipeline alternatives

MA H2729

Establishing a building permit fee surcharge for affordable housing in the town of Concord

MA H2869

To insure fair taxation of affordable housing

MA H4151

Authorizing the town of Nantucket to impose a real estate transfer fee for affordable and workforce housing

Similar Bills

HI SB1214

Relating To Vacant Homes.

HI HB489

Relating To Vacant Homes.

HI SB2547

Relating To Vacancy.

IA HF760

A bill for an act authorizing cities to establish self-supported entertainment areas.(Formerly HF 38; See HF 1051.)

IA HF38

A bill for an act authorizing cities to establish self-supported entertainment areas.(See HF 760, HF 1051.)

IA HF42

A bill for an act authorizing cities to establish self-supported entertainment areas.(See HF 412.)

IA HF412

A bill for an act authorizing cities to establish self-supported entertainment areas.(Formerly HF 42.)

IA SF309

A bill for an act authorizing cities to establish self-supported entertainment areas.