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HOUSE DOCKET, NO. 735 FILED ON: 1/17/2023
HOUSE . . . . . . . . . . . . . . . No. 2824
The Commonwealth of Massachusetts
_________________
PRESENTED BY:
Natalie M. Higgins and Christine P. Barber
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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
An Act to support educational opportunity for all.
_______________
PETITION OF:
NAME:DISTRICT/ADDRESS :DATE ADDED:Natalie M. Higgins4th Worcester1/17/2023Christine P. Barber34th Middlesex1/17/2023Mindy Domb3rd Hampshire1/23/2023Lindsay N. Sabadosa1st Hampshire1/24/2023Manny Cruz7th Essex1/24/2023Samantha Montaño15th Suffolk1/24/2023Susannah M. Whipps2nd Franklin1/24/2023Kenneth I. Gordon21st Middlesex1/24/2023Patricia A. Duffy5th Hampden1/24/2023Tram T. Nguyen18th Essex1/25/2023Brian W. Murray10th Worcester1/25/2023Jack Patrick Lewis7th Middlesex1/26/2023Margaret R. Scarsdale1st Middlesex1/26/2023James K. Hawkins2nd Bristol1/27/2023David Henry Argosky LeBoeuf17th Worcester1/31/2023Ryan M. Hamilton15th Essex1/31/2023Vanna Howard17th Middlesex2/3/2023Carol A. Doherty3rd Bristol2/3/2023 2 of 2
Mary S. Keefe15th Worcester2/8/2023Tricia Farley-Bouvier2nd Berkshire2/8/2023James B. EldridgeMiddlesex and Worcester2/21/2023Erika Uyterhoeven27th Middlesex2/23/2023 1 of 3
HOUSE DOCKET, NO. 735 FILED ON: 1/17/2023
HOUSE . . . . . . . . . . . . . . . No. 2824
By Representatives Higgins of Leominster and Barber of Somerville, a petition (accompanied by
bill, House, No. 2824) of Natalie M. Higgins, Christine P. Barber and others relative to the
imposition of an annual excise tax upon certain private institutions of higher learning. Revenue.
[SIMILAR MATTER FILED IN PREVIOUS SESSION
SEE HOUSE, NO. 2931 OF 2021-2022.]
The Commonwealth of Massachusetts
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In the One Hundred and Ninety-Third General Court
(2023-2024)
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An Act to support educational opportunity for all.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 SECTION 1.Chapter 63 of the General Laws, as appearing in the 2012 Official Edition,
2is hereby amended by inserting after section 38FF the following section:
3 SECTION 38GG. (a) Any private institution of higher learning that has an endowment
4fund with aggregate funds in excess of $1,000,000,000 shall be subject to an annual excise of 2.5
5per cent of all monies in aggregate in said endowment fund. For the purposes of this section an
6endowment fund shall be an institutional fund, which may consist of multiple funds, of a private
7institution of higher learning not wholly expendable by the institution on a current basis under
8the terms of the applicable gift instrument. All monies collected from this annual excise shall be
9deposited in the Educational Opportunity for All Trust Fund established by subsection (b) of this
10section. 2 of 3
11 (b) There is hereby established and set up on the books of the commonwealth a separate
12fund to be known as the Educational Opportunity for All Trust Fund, hereinafter called the fund.
13The fund shall be administered by the executive office of education, as directed by the
14Educational Opportunity for All Trust Fund Board of Trustees established in subsection (c), and
15in consultation with the department of higher education and the department of early education
16and care. The fund shall be used exclusively for the purposes of subsidizing the cost of higher
17education, early education and child care for lower-income and middle-class residents of the
18commonwealth. No expenditure from the fund shall cause the fund to be in deficiency at the
19close of a fiscal year.
20 (c) The Educational Opportunity Trust Fund shall be managed by a board to be known as
21the Educational Opportunity for All Trust Fund Board of Trustees, hereby established, which
22shall have general supervision of the trust and shall direct all expenditures from the fund. The
23full duties and obligations of the board shall be set forth in a declaration of trust to be adopted by
24the board. The board of trustees shall consist of 7 trustees, including the commissioner of the
25department of higher education or a designee, the commissioner of the department of early
26education & care or a designee, and 5 additional trustees, 1 of whom shall have demonstrated
27expertise in higher education appointed by the President of the Senate, 1 of whom shall have
28demonstrated expertise in early education and child care appointed by the Speaker of the House,
291 of whom shall have demonstrated expertise in representing the child care workforce as a leader
30in a labor organization appointed by the President of the Senate, 1 of whom shall be an employee
31of a Massachusetts community college as defined in section 10 of Chapter 15A appointed by the
32Speaker of the House, and 1 of whom shall be an employee of a private institution of higher
33learning subject to 3 of 3
34 the annual excise tax established in subsection (a) of this section appointed by the
35secretary of education. The appointed trustees shall serve for terms of two years. Trustees shall
36be eligible for reappointment. The members of the board shall elect 1 of the trustees to serve as
37the chair.