Massachusetts 2023-2024 Regular Session

Massachusetts House Bill H3693 Compare Versions

Only one version of the bill is available at this time.

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2	2	HOUSE DOCKET, NO. 944 FILED ON: 1/17/2023
3	3	HOUSE . . . . . . . . . . . . . . . No. 3693
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	William J. Driscoll, Jr.
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act achieving a green future with infrastructure and workforce investments.
13	13	_______________
14	14	PETITION OF:
15	15	NAME:DISTRICT/ADDRESS :DATE ADDED:William J. Driscoll, Jr.7th Norfolk1/17/2023Natalie M. Blais1st Franklin1/18/2023Frank A. Moran17th Essex1/27/2023Tram T. Nguyen18th Essex1/27/2023Jessica Ann Giannino16th Suffolk1/27/2023Daniel R. Carey2nd Hampshire1/28/2023Carmine Lawrence Gentile13th Middlesex1/28/2023Christopher Hendricks11th Bristol1/30/2023Vanna Howard17th Middlesex1/31/2023David Paul Linsky5th Middlesex1/31/2023Lindsay N. Sabadosa1st Hampshire1/31/2023Bud L. Williams11th Hampden2/6/2023Thomas M. Stanley9th Middlesex2/8/2023Brandy Fluker Oakley12th Suffolk3/9/2023Manny Cruz7th Essex3/14/2023 1 of 29
16	16	HOUSE DOCKET, NO. 944 FILED ON: 1/17/2023
17	17	HOUSE . . . . . . . . . . . . . . . No. 3693
18	18	By Representative Driscoll of Milton, a petition (accompanied by bill, House, No. 3693) of
19	19	William J. Driscoll, Jr., and others relative to achieving a green future with infrastructure and
20	20	workforce investments. Telecommunications, Utilities and Energy.
21	21	The Commonwealth of Massachusetts
22	22	_______________
23	23	In the One Hundred and Ninety-Third General Court
24	24	(2023-2024)
25	25	_______________
26	26	An Act achieving a green future with infrastructure and workforce investments.
27	27	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
28	28	of the same, as follows:
29	29	1 SECTION 1. Section 3 of chapter 25A of the Massachusetts General Laws, as appearing
30	30	2in the 2012 Official Edition, is hereby amended by inserting the following definitions:-
31	31	3 “Environmental justice population,” a definition established in chapter 30. If none shall
32	32	4exist the secretary of the executive office of energy and environmental affairs in consultation
33	33	5with appropriate departments, shall establish such a definition with criteria that includes; median
34	34	6household income, and minority status.
35	35	7 “Environmental justice council,” an advisory committee of the same name, established in
36	36	8chapter 30. If no such body exists, one shall be established and consist of not less than 9, but not
37	37	9more than 15, members appointed by the governor, who shall designate a chair.
38	38	10 “Environmental justice principles”, principles that support protection from environmental
39	39	11pollution and the ability to live in and enjoy a clean and healthy environmental, regardless of
40	40	12race, color, income, class, handicap, gender identity, sexual orientation, national origin, ethnicity 2 of 29
41	41	13or ancestry, religious belief or English language proficiency, which includes: (i) the meaningful
42	42	14involvement of all people with respect to the development, implementation and enforcement of
43	43	15environmental laws, regulations and policies, including climate change policies; and (ii) the
44	44	16equitable distribution of energy and environmental benefits and environmental burdens.
45	45	17 “Revenue commissioner,” the commissioner of the department of revenue
46	46	18 “Secretary,” The secretary of the executive office of energy and environmental affairs.
47	47	19 “Quintile 1 household,” a household with an annual gross income below the quintile 1
48	48	20income limit, as defined in this section.
49	49	21 “Quintile 1 income limit,” an amount that is greater than the annual household gross
50	50	22incomes of no more or less than 20 per cent of households in the state, as determined and
51	51	23updated annually by the commissioner of revenue.
52	52	24 “Quintile 2 household,” a household with an annual gross income above the quintile 1
53	53	25income limit, but below the quintile 2 income limit, as defined in this section.
54	54	26 “Quintile 2 income limit,” an amount that is greater than the annual household gross
55	55	27incomes of no more or less than 40 per cent of households in the state, as determined and
56	56	28updated annually by the commissioner revenue.
57	57	29 SECTION 2. Chapter 25A of the General Laws, as so appearing, is hereby amended by
58	58	30inserting after section 13 the following section:-
59	59	31 25A:13A Green Infrastructure Fund 3 of 29
60	60	32 (a) There shall be established on the books of the commonwealth a separate fund to be
61	61	33known as the Green Infrastructure Fund, to be administered by the secretary. The secretary may
62	62	34assign responsibility for administering portions of the funds and plans to state agencies, regional
63	63	35authorities, municipal governments, or other public institutions outside its authority. None of the
64	64	36proceeds shall fund government operations of the commonwealth, other than to pay for
65	65	37reasonable administrative costs as provided under subsection (g) of this section.
66	66	38 (b) The secretary shall deposit into the fund all proceeds collected by any market-based
67	67	39mechanism under clause (ii) of subsection (a) of section 7 of chapter 21N that remain after initial
68	68	40distribution to the household green dividend fund, under section 13C of chapter 25A. The
69	69	41secretary shall deposit into the fund all proceeds collected by market-based mechanisms under
70	70	42clause (iii) and clause (iv) of subsection (a) of section 7 of chapter 21N that remain after initial
71	71	43distribution to the following funds, as applicable; (i) the household green dividend fund,
72	72	44established under section 13C of chapter 25A; (ii) the green workforce development and training
73	73	45fund, established under section 13B of chapter 25A; and (iii) the Massachusetts local climate
74	74	46crisis trust fund, established under chapter 25D.
75	75	47 (c) (1) The Green Infrastructure Fund shall support investments that facilitate, directly or
76	76	48indirectly, reductions of greenhouse gas emissions. Eligible projects shall include but not be
77	77	49limited to: (i) investments in public transit, low carbon buses and trucks, electric vehicles,
78	78	50electric vehicle charging infrastructure, and other modes of clean transportation; (ii) transit-
79	79	51oriented affordable housing; (iii) expansion of in-state renewable energy, battery storage, and
80	80	52community microgrids; (iv) energy efficiency, electrification, and renewable energy investments
81	81	53in housing, municipal infrastructure and public school buildings; (v) technology research, 4 of 29
82	82	54development, and commercialization program; and (vi) clean energy and climate change
83	83	55investments in rural communities.
84	84	56 (2) Other eligible projects may include those currently established and administered by a
85	85	57state agency, including, but not limited to: (i) the Mass Save program; (ii) grid-level power
86	86	58storage through the Massachusetts clean energy center’s advancing commonwealth energy
87	87	59storage program; (iii) battery storage through department of public utilities battery rebate
88	88	60program; (iv) support for the development of offshore wind workforces, local supply chains,
89	89	61adequate port infrastructure and advanced research and innovation; and (v) continued marketing
90	90	62development aimed at technology commercialization for building decarbonization.
91	91	63 (d) (1) A committee known as the green infrastructure fund board shall be created,
92	92	64consisting of 18 members. The secretary shall serve as a member and the chair of the green
93	93	65infrastructure fund board, with 14 other members chosen by the governor representing: (i) the
94	94	66department of transportation; (ii) the department of environmental protection; (iii) the
95	95	67department of energy resources; (iv) the department of housing and community development; (v)
96	96	68the massachusetts clean energy center; (vi) the environmental justice council; (vii) organized
97	97	69labor; (viii) large commercial/industrial business; (ix) small business community; (x) low-
98	98	70income residents; (xi) clean energy industry; (xii) youth, with the member being 25 years of age
99	99	71or younger; and (xiii) two separate representatives from regional planning associations
100	100	72representing different regions of the state.
101	101	73 (2) The green infrastructure fund board shall also consist of 1 member of the public
102	102	74chosen by the speaker of the house of representatives, 1 member of the public chosen by the
103	103	75president of the state senate, and 1 member chosen by the state treasurer. 5 of 29
104	104	76 (e) No later than January 1st, 2024, and subsequently every 3 years, the secretary, in
105	105	77consultation with the green infrastructure fund board, shall develop and issue a 3 year plan for
106	106	78expenditure of the Green Infrastructure Fund funds, which shall be made available to the public
107	107	79within 7 days of completion.
108	108	80 (f) The secretary shall submit an annual report to the appropriate committees of the
109	109	81general court on the status of projects funded under this bill and their outcomes, which shall also
110	110	82be made available to the public within 7 days. Administering agencies and public institutions
111	111	83shall report to the secretary, and the secretary shall include in the report, a description of how the
112	112	84administering agencies have fulfilled legislative requirements under this section.
113	113	85 (g) The Green Infrastructure Fund shall be administered by the secretary using no more
114	114	86than 3½ per cent of Green Infrastructure Fund proceeds to cover administrative costs, including
115	115	87but not limited to, support from expert consultants, technical assistance to municipal
116	116	88governments and regional agencies, or program outreach.
117	117	89 (h) Priority disbursements shall be awarded to projects that concur with investment
118	118	90principles established by the green infrastructure fund board, in consultation with the public.
119	119	91 (i) Within a given calendar year, the secretary shall allocate a minimum of 60 per cent of
120	120	92invested monies to projects that are directly located within and provide meaningful benefits to
121	121	93environmental justice populations.
122	122	94 (j) All construction, reconstruction, alteration, installation, demolition, maintenance or
123	123	95repair paid through the Green Infrastructure Fund shall be subject to Massachusetts General Law
124	124	96Chapter 149 Sections 26 to 27F inclusive, Massachusetts General Law Chapter 149 Section 29, 6 of 29
125	125	97Massachusetts General Law Chapter 30 Section 39M, and Massachusetts General Law Chapter
126	126	9830 Sections 61 through 62L, inclusive.
127	127	99 (k) No later than January 1st, 2024, and subsequently every 3 years, the secretary, in
128	128	100consultation with the environmental justice council and the public, shall submit to the legislature
129	129	101and make public a report that includes: (i) measurable criteria that administering entities of
130	130	102monies disbursed from the Green Infrastructure Fund must report for some or all of a project to
131	131	103be considered directly located within, and providing direct and meaningful benefits to,
132	132	104environmental justice populations; (ii) procedures for administering entities of the monies
133	133	105disbursed from the Green Infrastructure Fund to follow in order to determine what portion of a
134	134	106project’s expenditures are directly located within, and providing direct and meaningful benefits
135	135	107to, environmental justice populations; and (iii) other requisite procedures for administering
136	136	108entities of the monies disbursed from the Green Infrastructure Fund to follow in order to adhere
137	137	109to environmental justice principles.
138	138	110 SECTION 3. The General Laws, as so appearing, is hereby amended by inserting after
139	139	111Chapter 25C the following chapter:-
140	140	112 Chapter 25D: LOCAL CLIMATE CRISIS INVESTMENTS ACT
141	141	113 Section 1. This chapter shall be known and may be cited as the Local Climate Crisis
142	142	114Investments Act.
143	143	115 Section 2. As used in this chapter, the following words shall, unless the context clearly
144	144	116indicates a different meaning, have the following meanings:—
145	145	117 “Executive office,” the executive office of energy and environmental affairs. 7 of 29
146	146	118 “Fund”, the Local Climate Crisis Fund established in this chapter.
147	147	119 “Trust fund”, the Massachusetts Local Climate Crisis Trust Fund established in this
148	148	120chapter.
149	149	121 “Jurisdiction”, a city, town, or municipality in the commonwealth. May also include a
150	150	122regional combination of adjacent or coordinated municipalities established under section 3 of this
151	151	123chapter, with the approval of the secretary.
152	152	124 ''Local green investment”, a project within the geographic boundaries of a town or city,
153	153	125approved by a majority vote of the local climate crisis council, that is eligible to be financially
154	154	126supported under section 11 of this chapter.
155	155	127 “Local climate crisis council”, the committee established by the legislative body of a city
156	156	128or town to make recommendations for local green investments, as provided in section 4 of this
157	157	129chapter.
158	158	130 “Local Climate Crisis Fund'', the municipal fund established under section 5 of this
159	159	131chapter.
160	160	132 ''Legislative body'', the agency of municipal government which is empowered to enact
161	161	133ordinances or by-laws, adopt an annual budget and other spending authorizations, loan orders,
162	162	134bond authorizations and other financial matters and whether styled as a city council, board of
163	163	135aldermen, town council, town meeting or by any other title.
164	164	136 “Secretary,” the secretary of the executive office of energy and environmental affairs.
165	165	137 “Massachusetts Local Climate Crisis Trust Fund”, a state fund established by section 7
166	166	138overseen by the secretary of the executive office of energy and environmental affairs. 8 of 29
167	167	139 “Regional climate crisis council,” the committee established by the legislative body of
168	168	140multiple cities or towns to make recommendations for local green investments, as provided in
169	169	141section 4 of this chapter. Also referred to as the regional council.
170	170	142 Section 3. Sections 3 to 6, inclusive, shall take effect in any city or town upon the
171	171	143approval by the legislative body as set forth in this chapter. Notwithstanding the provisions of
172	172	144any other general or special law to the contrary, the legislative body may vote to accept sections
173	173	1453 to 6, inclusive. The legislative body shall notify the secretary of its acceptance, and confirm its
174	174	146compliance with sections 3 to 6 annually.
175	175	147 Section 4. (a) A city or town that accepts sections 3 to 6, inclusive, shall establish by
176	176	148ordinance or by-law a local climate crisis council. The council shall consist of not less than five
177	177	149nor more than eleven members. The ordinance or by-law shall determine the composition of the
178	178	150council, the length of its term and the method of selecting its members, whether by election or
179	179	151appointment or by a combination thereof. In establishing ordinance or by-law, a city or town
180	180	152may consider allowing the council to recommend a municipal bond issuance, notwithstanding
181	181	153the provisions of any other general or special law to the contrary. A city or town should consider
182	182	154combining the duties and responsibilities of the council with any existing municipal committee,
183	183	155if it meets the requirements laid out in this chapter.
184	184	156 (b) Multiple adjacent cities or towns, with approval from each city or town’s legislative
185	185	157body and the secretary, may designate themselves a jurisdiction for the purposes of this chapter.
186	186	158Such a jurisdiction shall designate one regional climate crisis council to represent the cities or
187	187	159towns within said region, and shall combine the designated funds from multiple cities or towns
188	188	160into one Local Climate Crisis Fund administered by the secretary, operating under similar 9 of 29
189	189	161guidelines set forth in section 5 of this chapter. A regional council and its member municipalities
190	190	162are subject to sections 3 to 6, inclusive, unless otherwise determined by the secretary in order to
191	191	163allow for the proper and efficient administration of this chapter on a regional basis.
192	192	164 (c) In selection of members of the council, due consideration shall be made in achieving
193	193	165proportional representation on the basis of the socioeconomic, racial, age, and gender
194	194	166demographics within the city or town, as determined by the most recent decennial census
195	195	167conducted by the United States Census Bureau. At least 1 member of the council shall be a
196	196	168resident under the age of 22 years of age. Should the council represent a jurisdiction containing
197	197	169one or more environmental justice populations, then the council shall include, at a minimum, a
198	198	170proportion of members representing environmental justice populations in the jurisdiction equal to
199	199	171within 15 per cent of the greater of: (i) the proportion of the jurisdiction’s population who live in
200	200	172an environmental justice population; or (ii) the proportion of the jurisdiction’s Local Climate
201	201	173Crisis Fund allocated for environmental justice populations, as determined under section 8.
202	202	174 (d) The council shall make recommendations to the legislative body for use of funds
203	203	175designated part of the Local Climate Crisis Fund for the city or town, under section 6 of this
204	204	176chapter.
205	205	177 (e) The council, incorporating applicable guidance from the secretary, shall ensure that
206	206	178decisions made regarding local green investments be done following public input that shall
207	207	179include, but is not limited to, hearings, and some combination of forums, surveys, or social
208	208	180media. The council shall meet no less than 4 times a year. The council shall consult with relevant
209	209	181municipal officials working in planning, conservation, schools, or sustainability in making 10 of 29
210	210	182spending recommendations. Due consideration shall be given to funding proposals benefiting
211	211	183environmental justice populations.
212	212	184 (f) The council may include in its recommendation to the legislative body a request to set
213	213	185aside for later spending funds for specific purposes that are consistent with the definition of a
214	214	186local green investment but for which sufficient revenues are not then available in the Local
215	215	187Climate Crisis Fund to accomplish that specific purpose or to set aside for later spending funds
216	216	188for general purposes that are consistent with the local green investment goals of the council. In
217	217	189making recommendations, the council shall consider: (i) combining funds with other sources of
218	218	190revenue; (ii) coordinating with other municipalities in purchasing, or in making other
219	219	191investments whose impacts may benefit multiple cities or towns; (iii) matching local green
220	220	192investment funds with other state or federal grants; or (iv) using funds originating from a city or
221	221	193town capital budget, including municipal bonding. The legislative body shall not spend funds
222	222	194from the Local Climate Crisis Fund without approval by the council.
223	223	195 (g) The council shall not meet or conduct business without the presence of a quorum. A
224	224	196majority of the members of the local climate crisis council shall constitute a quorum. The council
225	225	197shall approve its actions by majority vote. Recommendations to the legislative body shall include
226	226	198their anticipated costs.
227	227	199 (h) After receiving recommendations from the local climate crisis council, the legislative
228	228	200body shall take such action and approve such appropriations from the Local Climate Crisis Fund
229	229	201as set forth in section 5, and such additional non-Local Climate Crisis Fund appropriations as it
230	230	202considers appropriate to carry out the recommendations of the council. In the case of a city, the 11 of 29
231	231	203ordinance shall provide for the mechanisms under which the legislative body may approve or
232	232	204veto appropriations made under this chapter, under the city charter.
233	233	205 (i) The local community climate council shall report by source to the executive office, on
234	234	206an annual basis, all amounts credited to, and all expenditures from, the Local Climate Crisis
235	235	207Fund. The executive office shall establish standard criteria and format for the annual report.
236	236	208 Section 5. (a) Notwithstanding the provisions of section 53 of chapter 44 or any other
237	237	209general or special law to the contrary, a city or town that accepts sections 3 to 6, inclusive, shall
238	238	210establish a separate account to be known as the Local Climate Crisis Fund of which the
239	239	211municipal treasurer shall be the custodian. The authority to approve expenditures from the fund
240	240	212shall be limited to the legislative body and the municipal treasurer shall pay such expenses under
241	241	213chapter 41. Unused funds shall remain in the Local Climate Crisis Fund, and shall not
242	242	214automatically revert to the general fund of the city or town at the end of each fiscal year.
243	243	215 (b) The following monies shall be deposited in the fund: (i) all funds received from the
244	244	216commonwealth or any other source for such purposes; and (ii) additional funds appropriated or
245	245	217dedicated from allowable municipal sources referenced under subsection (f) of section 4. The
246	246	218treasurer may deposit or invest the proceeds of the fund in savings banks, trust companies
247	247	219incorporated under the laws of the commonwealth, banking companies incorporated under the
248	248	220laws of the commonwealth which are members of the Federal Deposit Insurance Corporation or
249	249	221national banks, or may invest the proceeds in paid up shares and accounts of and in co-operative
250	250	222banks or in shares of savings and loan associations or in shares of federal savings and loan
251	251	223associations doing business in the commonwealth or in the manner authorized by section 54 of
252	252	224chapter 44 of the General Laws, and any income therefrom shall be credited to the fund. The 12 of 29
253	253	225expenditure of revenues from the fund shall be limited to implementing the recommendations of
254	254	226the local climate crisis council and providing administrative and operating expenses to the
255	255	227council.
256	256	228 Section 6. (a) Funds made available by the Local Climate Crisis Fund for a city or town
257	257	229shall be made available exclusively for a purpose of funding all or part of a local green
258	258	230investment, as defined by the secretary, through a process outlined in section 11 of this chapter.
259	259	231Whenever possible, funds shall prioritize investments in the area within a city or town designated
260	260	232as an environmental justice population, if such a community exists.
261	261	233 (b) At the discretion of the secretary, and upon determination of a violation of this
262	262	234section, funds not used for the purpose of local green investments shall be returned to the
263	263	235Massachusetts Local Climate Crisis Trust Fund or future disbursements from the trust fund to the
264	264	236city or town may be reduced by an amount considered appropriate by the secretary.
265	265	237 Section 7. (a) There shall be established and set up on the books of the commonwealth a
266	266	238separate fund, to be known as the Massachusetts Local Climate Crisis Trust Fund, for the benefit
267	267	239of cities and towns that have accepted sections 3 to 6, inclusive. The secretary shall deposit into
268	268	240the trust fund 30 per cent of all proceeds collected by market-based mechanisms under clause
269	269	241(iii) and clause (iv) of subsection (a) of section 7 of chapter 21N, as well as any other funding
270	270	242sources including, but not limited to, state government bonding. The trust fund shall be governed
271	271	243according to section 9 of this chapter.
272	272	244 (b) The state treasurer shall deposit the Massachusetts Local Climate Trust Fund under
273	273	245the provisions of section 8 in such manner as will secure the highest interest rate available
274	274	246consistent with the safety of the trust fund and with the requirement that all amounts on deposit 13 of 29
275	275	247be available for withdrawal without penalty for such withdrawal at any time. All interest accrued
276	276	248and earnings shall be deposited into the trust fund. The trust fund shall be expended solely for the
277	277	249administration and implementation of this chapter. Any unexpended balances shall be
278	278	250redeposited for future use consistent with the provisions of this chapter.
279	279	251 (c) The state treasurer shall make all disbursements and expenditures from the
280	280	252Massachusetts Local Climate Trust Fund without further appropriation, as directed by the
281	281	253secretary under section 8. The secretary shall report by source all amounts credited to the trust
282	282	254fund and all expenditures from the trust fund. The secretary shall assign personnel of the
283	283	255department as it may need to administer and manage the trust fund disbursements and any
284	284	256expense incurred by the department shall be considered an operating and administrative expense
285	285	257of the program. The operating and administrative expenses shall not exceed 5 per cent of the
286	286	258annual total revenue received under the provisions of subsection (a) of this section.
287	287	259 Section 8. (a) The secretary shall annually on or before November 15th disburse monies
288	288	260from the trust fund established in section 7 to a jurisdiction that has: (i) accepted sections 3 to 6,
289	289	261inclusive; (ii) notified the secretary of its acceptance; and (iii) whose acceptance has been
290	290	262considered sufficient to meet the obligations set forth in sections 3 to 6. The jurisdiction shall
291	291	263notify the secretary of the date and all terms on which the legislative body accepted said sections
292	292	2643 to 6, inclusive, no later than October 1st to ensure eligibility for funding in the coming year.
293	293	265 (b) The secretary shall disburse 60 per cent of the amount available in the trust fund, after
294	294	266any disbursements for operating and administrative expenses under subsection (c) of section 7 or
295	295	267programmatic expenses under section 10, in a first round distribution known as the standard
296	296	268distribution. The secretary shall determine the standard distribution in several steps. The first 14 of 29
297	297	269step shall be to divide this amount by the total population of all cities and towns, as determined
298	298	270by the most recent decennial census conducted by the United States Census Bureau, who have
299	299	271notified the secretary of acceptance and whose acceptance has been considered sufficient. The
300	300	272second step shall be to distribute to each city or town accepting the sections 3 to 6, inclusive, an
301	301	273amount equal to the population of the city or town multiplied by the amount calculated under
302	302	274step one.
303	303	275 (c) The secretary shall further divide the remaining 40 per cent of the trust fund in a
304	304	276second round distribution, known as the environmental justice distribution. The secretary shall
305	305	277determine the environmental justice distribution in several steps. The first step shall be to divide
306	306	278the remaining 40 per cent of monies available in the trust fund by the total number of residents in
307	307	279Massachusetts who reside in a census block group that is both (i) defined as an environmental
308	308	280justice population, under General Law, and (ii) within a jurisdiction whose legislative body has
309	309	281accepted sections 3 to 6, inclusive and whose acceptance has been considered sufficient by the
310	310	282secretary. The second step shall be to distribute to each city or town an amount equal to the
311	311	283amount calculated under step one of this paragraph multiplied by the total population of the city
312	312	284or town that resides in a census block group defined as an environmental justice population.
313	313	285 (d) The secretary shall determine each participant's total state grant by adding the amount
314	314	286received in the first round distribution with the amounts received in any later round of
315	315	287distributions.
316	316	288 (e) After distributing the Massachusetts local climate crisis trust fund under this section,
317	317	289the secretary shall keep any remaining funds in the trust for distribution in the following year. 15 of 29
318	318	290 (f) For the purpose of establishing the representation of environmental justice populations
319	319	291on local climate crisis councils under section 4, a percentage of each jurisdiction’s Local Climate
320	320	292Crisis Fund is considered allocated for environmental justice populations. This percentage is
321	321	293calculated as follows; (i) the annual monies allocated to the jurisdiction’s Local Climate Crisis
322	322	294Fund as a standard distribution, under subsection (b) or this section, is multiplied by the
323	323	295percentage of the jurisdiction’s population that resides within an environmental justice
324	324	296population; (ii) the amount calculated under clause (i) of this subsection is added to the annual
325	325	297monies allocated to the jurisdiction as an environmental justice distribution, under subsection (c)
326	326	298of this section; and (iii) the percentage of the jurisdiction’s Local Climate Crisis Fund allocated
327	327	299for environmental justice populations is calculated as the sum derived from clause (ii) of this
328	328	300subsection, divided by the total annual monies allocated to that jurisdiction’s Local Climate
329	329	301Crisis Fund under section 8.
330	330	302 Section 9. The Massachusetts Local Climate Crisis Trust Fund established under section
331	331	3037 of this chapter shall be administered by the secretary and the executive office in accordance
332	332	304with sections 7 and 8 of this chapter.
333	333	305 Section 10. (a) The secretary shall assign personnel of the executive office as it may need
334	334	306to administer and manage program implementation. The programmatic, operating and
335	335	307administrative expenses shall not exceed 500,000 dollars, and shall be received under the
336	336	308provisions of said section 8, or otherwise appropriated, and be under the direction of the
337	337	309secretary under this chapter. 16 of 29
338	338	310 (b) The executive office shall provide technical assistance and guidance to cities and
339	339	311towns with the goal of assisting them in selecting local green investments that reflect the
340	340	312preference of the community, meet state climate change goals, and maximize local job creation.
341	341	313 (c) To the end specified in subsection (b) of this section, the council may do all of the
342	342	314following: (i) establish training and best practice guidelines for seeking public input on local
343	343	315green investments; (ii) sponsor conferences, symposia, or other public forums with the goal of
344	344	316seeking a broad range of public advice regarding local and regional resource planning,
345	345	317sustainable development, and strategies to reduce greenhouse gas emissions and mitigate against
346	346	318the impacts of climate change; (iii) provide technical guidance specific to investment options for
347	347	319gateway cities, rural communities, or all municipalities, including those with an environmental
348	348	320justice population; and (iv) create a list of project types and existing state programs that would
349	349	321meet the definition of a local green investment for a given calendar year.
350	350	322 (d) The secretary shall prioritize jurisdictions that contain environmental justice
351	351	323populations and rural communities when providing outreach, technical assistance, and
352	352	324implementation under this section.
353	353	325 Section 11. (a) The secretary shall determine the definition of a local green investment
354	354	326for the purpose of this chapter. The definition shall balance the following criteria: (i) be
355	355	327sufficiently broad so to allow a participating city or town the flexibility in determining a project
356	356	328considered necessary to achieving local climate or environmental goals; (ii) where possible, shall
357	357	329be consistent with the stated greenhouse gas emissions limits of the commonwealth of
358	358	330Massachusetts; (iii) shall be defined to allow funding for projects relating to climate mitigation, 17 of 29
359	359	331as well as climate adaptation and climate resilience; and (iv) shall include a requirement of
360	360	332public input into the making of a spending recommendation from a local climate crisis council.
361	361	333 (b) The definition shall be published no later than December 1st of the year prior to its
362	362	334effective date, and shall come with a non-exhaustive list of project types and existing state
363	363	335programs that meet the definition for the upcoming calendar year. The secretary shall amend the
364	364	336definition every 2 to 5 years.
365	365	337 SECTION 4. Chapter 25A of the General Laws, as so appearing, is hereby amended by
366	366	338inserting after section 13 the following section:-
367	367	339 25A:13B Green Workforce Commission
368	368	340 (a) There shall be established on the books of the commonwealth a separate fund to be
369	369	341known as the Next Generation Green Workforce Fund. The secretary shall deposit a number
370	370	342equal to or greater than 1 per cent but equal to or less than 3 per cent of proceeds collected by
371	371	343market-based mechanisms under clause (iii) and clause (iv) of subsection (a) of section 7 of
372	372	344chapter 21N.
373	373	345 (b) Governance: The green workforce commission shall be created, consisting of a total
374	374	346of 9 members: 2 members who shall be chosen by the governor, including at least one member
375	375	347representing an environmental justice population, 1 member of the public chosen by the speaker
376	376	348of the house of representatives, and 1 member of the public chosen by the president of the state
377	377	349senate. Further, 5 members shall be appointed by the president of the Massachusetts AFL-CIO,
378	378	350including 4 who meet the following criteria: 1 of whom shall have expertise in the building and
379	379	351construction trades; 1 of whom shall have expertise in the utility sector; 1 of whom shall
380	380	352represent workers in sectors that may be displaced through advancements in green technologies 18 of 29
381	381	353and emissions reduction; and 1 of whom shall represent workers in the public or private services
382	382	354sector. A representative from the Massachusetts clean energy center and any other relevant
383	383	355agency may serve as a non-voting advisory member of the commission. Members shall make all
384	384	356decisions regarding use and maintenance of the Next Generation Green Workforce Fund.
385	385	357 (c) The Next Generation Green Workforce Fund shall ensure that workers displaced due
386	386	358to emission reductions and advancements in green technology have immediate access to training
387	387	359and employment opportunities in green technology and next generation utilities or related fields.
388	388	360Whenever possible, the green workforce commission shall focus on providing employment that
389	389	361provides comparable working conditions, benefits, living wages, union representation, or job
390	390	362protections. Funds shall be used to establish education, training, and support for displaced
391	391	363workers and those seeking to enter the green economy, including, but limited to, consideration
392	392	364of: (i) education in affected sectors with benefits, wages, and working conditions similar in type,
393	393	365amount, and duration to previous employment; (ii) the education of dislocated workers, in
394	394	366collaboration with employers of dislocated workers and the relevant labor unions; (iii) the
395	395	367establishment and structure of a set-aside fund to assist displaced workers, as outlined in
396	396	368subsection (f) of this section, including a workforce transition plan for facility closures and loss
397	397	369of employment; and (iv) the expansion of existing programs and development of new programs
398	398	370to provide educational and training programs for residents of Massachusetts in clean energy and
399	399	371the green economy, including serves aimed at benefiting formerly and currently incarcerated
400	400	372individuals.
401	401	373 (d) The commission shall appoint an executive director by a majority vote. The executive
402	402	374director shall supervise the administrative affairs and general management and operations of the
403	403	375commission and also serve as secretary of the commission, ex officio. The executive director 19 of 29
404	404	376shall receive a salary commensurate with the duties of the office. The executive director may,
405	405	377with the approval of the commission, appoint other officers and employees of the commission
406	406	378necessary to the functioning of the commission. The total annual cost of all salaries, benefits,
407	407	379operating and administrative expenses paid by commission out of the Next Generation Green
408	408	380Workforce Fund shall not exceed 500,000 dollars.
409	409	381 (e) The green workforce commission shall identify those workers currently working in
410	410	382the energy and related construction and utility sectors, their current wage and benefits packages,
411	411	383and their current training requirements and regularly maintain, update, and make publicly
412	412	384available those standards.
413	413	385 (f) A portion of the Next Generation Green Workforce Fund, not below 20 per cent
414	414	386annually, shall be allocated to the Rapid Response Set-Aside Fund, that is part of the Next
415	415	387Generation Green Workforce Fund. The Rapid Response Set-Aside Fund shall be administered
416	416	388under the direction and discretion of the green workforce commission, and solely for the purpose
417	417	389of providing assistance to workers and communities experiencing displacement, loss of tax
418	418	390revenue, or other forms of economic loss due to the shrinkage of fossil fuel industries and related
419	419	391industries. Unused monies designated in a given year to the Rapid Response Set-Aside Fund
420	420	392shall be saved for use in future years.
421	421	393 (g) The governor and general court may recommend, under Article LXIII of the
422	422	394Amendments to the Constitution, additional monies to be appropriated to the Next Generation
423	423	395Green Workforce Fund to fulfil duties specified in this section.
424	424	396 SECTION 5. Chapter 25A of the General Laws, as so appearing, is hereby amended by
425	425	397inserting after section 13 the following section: 20 of 29
426	426	398 25A:13C Household Green Dividend Fund
427	427	399 (a) (1) There shall be established on the books of the commonwealth a separate fund to be
428	428	400known as the Household Green Dividend Fund. None of the proceeds shall fund government
429	429	401operations of the commonwealth, other than to pay for reasonable administrative costs, provided
430	430	402they do not exceed 5 per cent of total revenue collected by market-based mechanisms under
431	431	403clause (ii) through clause (iv) of subsection (a) of section 7 of chapter 21N, inclusive.
432	432	404 (2) The secretary shall deposit, on an annual basis, no more than 50 per cent of total
433	433	405revenue collected by market-based mechanisms under clause (ii) and clause (iii) of subsection (a)
434	434	406of section 7 of chapter 21N into the Household Green Dividend Fund. This amount must be
435	435	407sufficient for the revenue commissioner to fulfill all requirements of the Household Green
436	436	408Dividend Fund under this section, with any request of an annual amount over 50 per cent made
437	437	409under paragraph (4) of this subsection.
438	438	410 (3) The revenue commissioner shall disburse Household Green Dividend Fund proceeds
439	439	411directly to households, such that: (i) on an annual basis, no less than 95 per cent of quintile 1
440	440	412households shall receive payments greater than their expected increase in energy-related costs
441	441	413from market-based mechanisms established under clause (iii) of subsection (a) of section 7 of
442	442	414chapter 21N; (ii) on an annual basis, quintile 2 households shall, on average, receive payments
443	443	415equal to or greater than the expected increase in energy-related costs from market-based
444	444	416mechanisms established under clause (iii) of subsection (a) of section 7 of chapter 21N; and (iii)
445	445	417on an annual basis, quintile 1 households and quintile 2 households shall receive sufficient
446	446	418payments so as to mitigate, or avoid altogether, any disproportionate and unreasonable financial 21 of 29
447	447	419burden that would otherwise be imposed by market-based mechanisms established under clause
448	448	420(ii) of subsection (a) of section 7 of chapter 21N.
449	449	421 (4) The secretary may deposit greater than 50 per cent of total revenue collected by
450	450	422market-based mechanisms under clause (ii) and clause (iii) of subsection (a) of section 7 of
451	451	423chapter 21N into the Household Green Dividend Fund, provided that; (i) the governor, in
452	452	424consultation with the secretary, submits a formal request to the legislature that states the alternate
453	453	425amount to deposit into the Household Green Dividend Fund; and (ii) the legislature formally
454	454	426approves the amount requested by a majority vote of the members of the senate and house of
455	455	427representatives of the general court.
456	456	428 (5) In providing payments, the revenue commissioner shall coordinate with officials of
457	457	429the executive office of energy and environmental affairs, the executive office of health and
458	458	430human services, the executive office of housing and economic development and other agencies
459	459	431in making all reasonable efforts to identify the names and location of residency of all residents,
460	460	432with special attention to the names and locations of low-income, homeless, and undocumented
461	461	433residents so that they can receive payments expeditiously.
462	462	434 (b) Within 90 days of the conclusion of each calendar year, the secretary, in consultation
463	463	435with the revenue commissioner, shall submit a report that confirms the required outcomes
464	464	436established under subsection (a) of this section have been met for that calendar year.
465	465	437 (c) (1) the revenue commissioner shall do at least one of the following: (i) provide
466	466	438payments to individuals in quintile 1 households and quintile 2 households in advance of the
467	467	439annual heating season; (ii) distribute part or all of the annual expected value of the payments to
468	468	440quintile 1 households and quintile 2 households prior to collecting greenhouse gas charges in 22 of 29
469	469	441year one, using bond funding authorized under subsection (a) of section 13D of chapter 25A; or
470	470	442(iii) otherwise set schedules and methods for distribution of payments that ensure quintile 1
471	471	443households and quintile 2 households obtain payments corresponding to the time schedule in
472	472	444which they can be expected to be paying for most charges established under section 7 of chapter
473	473	44521N.
474	474	446 (2) Notwithstanding any general or special law to the contrary, payments distributed
475	475	447under this section shall not be counted as income for the purposes of state tax liability or
476	476	448determining eligibility for state programs with income limitations. To the degree possible, said
477	477	449payments shall not count as income for the purposes of federal tax liability or income limitations
478	478	450for federal programs.
479	479	451 SECTION 6. (a) Chapter 21N is hereby further amended by striking out section 7, as so
480	480	452appearing, and inserting in place thereof the following section:
481	481	453 Section 7. (a) The secretary shall promulgate regulations establishing market-based
482	482	454compliance mechanisms for the: (i) electricity sector, (ii) transportation sector, (iii) residential,
483	483	455commercial, and institutional heating sectors, and (iv) industrial sector; provided, however, that
484	484	456the regulations shall, at a minimum, address fuel combustion and significant other sources of
485	485	457greenhouse gas emissions associated with industrial processes. The secretary may promulgate
486	486	458regulations establishing said market-based compliance mechanisms across multiple sectors
487	487	459concurrently.
488	488	460 (b) Market-based compliance mechanisms established under this section shall be
489	489	461designed to: (i) maximize the ability of the commonwealth to achieve the statewide greenhouse
490	490	462gas emissions limits established under this chapter; (ii) ensure that the commonwealth achieves 23 of 29
491	491	463the required emissions reductions equitably and in a manner that protects and, where feasible,
492	492	464improves the condition of low-income and moderate-income persons and residents of
493	493	465environmental justice populations; (iii) measurably reduces the emissions of toxic air
494	494	466contaminants, black carbon, and criteria air pollutants, including, but not limited to, emissions of
495	495	467nitrogen oxides, sulfur dioxide, and mercury; (iv) identify manufacturing sectors, economic
496	496	468sectors, and other economic subsectors at risk of adverse impacts due to such mechanisms and
497	497	469mitigate said impacts to the extent possible; (v) address the distinguishing characteristics and
498	498	470vulnerabilities of rural, suburban and urban households; and (vi) maximize additional
499	499	471environmental and economic benefits for the commonwealth, as appropriate.
500	500	472 (c) The executive office and the department may work with the participating regional
501	501	473greenhouse gas initiative states, other interested states and Canadian provinces to develop a plan
502	502	474to expand market-based compliance mechanisms such as the regional greenhouse gas initiative to
503	503	475other sources and sectors necessary or desirable to facilitate the achievement of the statewide
504	504	476greenhouse gas emissions limits.
505	505	477 (d) The secretary may adopt regulations governing the use of market-based compliance
506	506	478mechanisms by regulated entities subject to the statewide greenhouse gas emissions limits and
507	507	479mandatory report requirements to achieve compliance with such limits.
508	508	480 (e) The executive office shall monitor compliance with and enforce any rule, regulation,
509	509	481order, emissions limit, emissions reduction measure or market-based compliance mechanism
510	510	482adopted by the secretary or department under this chapter. The department may impose a civil
511	511	483administrative penalty under section 16 of chapter 21A for a violation of any rule, regulation, 24 of 29
512	512	484order, emissions limit, emissions reduction measure or other measure adopted by the secretary
513	513	485under this chapter.
514	514	486 (f) The secretary shall study the feasibility of imposing and collecting additional
515	515	487greenhouse gas emission charges on emissions attributable to biomass. The report shall include:
516	516	488(i) an analysis of the feasibility of calculating a reasonably accurate current statistical baseline,
517	517	489specific to the commonwealth, of such emissions; and (ii) a recommendation on the best means
518	518	490for implementing emissions charges on biomass. Within 9 months of the effective date of this
519	519	491act, the secretary shall submit the report to the public, as well as the house and senate committees
520	520	492on ways and means, the joint committee on telecommunications, utilities, and energy, and the
521	521	493house and senate committees on global warming and climate change.
522	522	494 (g) The department may, in consultation with the secretary, impose an additional
523	523	495schedule of fees on regulated sources of greenhouse gas emissions sufficient to recover, for each
524	524	496fiscal year, the administrative and implementation costs of chapter 21N. Revenues collected
525	525	497under this section shall be deposited in a Global Warming Solutions Act Implementation Fund
526	526	498for use, as directed by the legislature or the secretary, solely for the purpose of carrying out
527	527	499chapters 21N.
528	528	500 SECTION 7. Chapter 25A of the General Laws, as so appearing, is hereby amended by
529	529	501inserting after section 13 the following section:
530	530	502 25A:13D Green Investment & Infrastructure Bonding Program
531	531	503 (a) (1) To meet any immediate expenditures necessary in carrying out sections 13A
532	532	504through 13C of chapter 25A, inclusive, or chapter 25D, the state treasurer, upon the request of
533	533	505the governor and no later than January 1st 2024, may issue and sell bonds of the commonwealth 25 of 29
534	534	506as hereinafter provided in this subsection. The amount of the bonds is to be specified but not
535	535	507exceeding in the aggregate 500,000,000 dollars within a given fiscal year.
536	536	508 (2) Any such bonds used for purposes outlined in section 13A of chapter 25A shall be
537	537	509special obligations of the commonwealth first from monies credited to the Green Infrastructure
538	538	510Fund established said section 13A of chapter 25A; provided, however, that notwithstanding any
539	539	511general or special law to the contrary, including without limitation section 60A, such bonds shall
540	540	512also become general obligations of the commonwealth if the funds from the Green Infrastructure
541	541	513Fund established in said section 13A are insufficient to cover bond repayment.
542	542	514 (3) Any such bonds used for purposes outlined in section 13B or 13C of chapter 25A or
543	543	515chapter 25D shall be considered general obligations of the commonwealth.
544	544	516 (4) Bonds established by this subsection may be issued in such manner and on such terms
545	545	517and conditions as the state treasurer may determine under this paragraph and, to the extent not
546	546	518inconsistent with this paragraph, the General Laws for the issuance of bonds of the
547	547	519commonwealth. Bonds may be secured by a trust agreement entered into by the state treasurer,
548	548	520with the concurrence of the secretary of administration and finance and the secretary of energy
549	549	521and environmental affairs, on behalf of the commonwealth, which trust agreement may pledge or
550	550	522assign all or any part of monies credited to the Green Infrastructure Fund and rights to receive
551	551	523the same, whether existing or coming into existence and whether held or thereafter acquired, and
552	552	524the proceeds thereof. The state treasurer may, with the concurrence of the secretary of
553	553	525administration and finance and the secretary of energy and environmental affairs, enter into
554	554	526additional security, insurance or other forms of credit enhancement which may be secured on a
555	555	527parity or subordinate basis with the bonds. A pledge in any such trust agreement or credit 26 of 29
556	556	528enhancement agreement shall be valid and binding from the time such pledge shall be made
557	557	529without any physical delivery or further act, and the lien of such pledge shall be valid and
558	558	530binding against all parties having claims of any kind in tort, contract or otherwise, whether such
559	559	531parties have notice thereof or not. Any such pledge shall be perfected by filing of the trust
560	560	532agreement or credit enhancement agreement in the records of the state treasurer and no filing
561	561	533need be made under chapter 106. Any such trust agreement or credit enhancement agreement
562	562	534may establish provisions defining defaults and establishing remedies and other matters relating to
563	563	535the rights and security of the holders of the bonds or other secured parties as determined by the
564	564	536state treasurer, including provisions relating to the establishment of reserves, the issuance of
565	565	537additional or refunding bonds, whether or not secured on a parity basis, the application of
566	566	538receipts, monies or funds pledged under such agreement, the regulation of the custody,
567	567	539investment and application of monies and such other matters considered necessary or desirable
568	568	540by the state treasurer for the security of such bonds. Any such bonds shall be considered to be
569	569	541investment securities under chapter 106, securities in which any public officer, fiduciary,
570	570	542insurance company, financial institution or investment company may properly invest funds and
571	571	543securities which may be deposited with any public custodian for any purpose for which the
572	572	544deposit of bonds is authorized by law. Any such bonds, the transfer of such bonds and the
573	573	545income from such bonds, including profit on the sale of such bonds, shall at all times be exempt
574	574	546from taxation by and within the commonwealth. The provisions of this section relating to bonds
575	575	547shall also be applicable to the issuance of notes insofar as such provisions may be appropriate for
576	576	548such notes.
577	577	549 (5) In order to increase the marketability of any such bonds or notes issued by the
578	578	550commonwealth and in consideration of the acceptance of payment for any such bonds or notes, 27 of 29
579	579	551the commonwealth covenants with the purchasers and all subsequent holders and transferees of
580	580	552any such bonds or notes that while any such bond or note shall remain outstanding, and so long
581	581	553as the principal of or interest on any such bond or note shall remain unpaid: (i) no pledged funds
582	582	554shall be diverted from the Green Infrastructure Fund; (ii) in any fiscal year of the commonwealth
583	583	555and until an appropriation has been made which is sufficient to pay the principal, including
584	584	556sinking fund payments, of and interest on all such bonds and notes of the commonwealth and to
585	585	557provide for or maintain any reserves, additional security, insurance or other forms of credit
586	586	558enhancement required or provided for in any trust agreement securing any such bonds or notes,
587	587	559no pledged funds shall be applied to any other use; and (iii) so long as such revenues are
588	588	560necessary, as determined by the state treasurer under any applicable trust agreement or credit
589	589	561enhancement agreement, for the purposes for which they have been pledged, and
590	590	562notwithstanding any general or special law to the contrary, the rates of the fees collected under
591	591	563sections 33 and 34 of chapter 90 and of the excises imposed in chapters 64A, 64E and 64F shall
592	592	564not be reduced below the amount in effect at the time of issuance of any such bond or note.
593	593	565 (b) (1) All special or general obligation revenue bonds issued under subsection (a) shall
594	594	566be designated on their face, Massachusetts Green Recovery Bond, and shall be issued for a
595	595	567maximum term of years, not exceeding 30 years, upon the recommendation of the governor;
596	596	568provided, however, that all such bonds shall be payable not later than June 30, 2062.
597	597	569 (2) All interest and payments on account of special obligations established under
598	598	570authority of subsection (a) shall be payable first from the Green Infrastructure Fund under
599	599	571section 13A of chapter 25A, and thereafter as a general obligation of the commonwealth. Such
600	600	572bonds shall not be included in the computation of outstanding bonds for purposes of the limit
601	601	573imposed by the second paragraph of section 60A of said chapter 29 and the debt service with 28 of 29
602	602	574respect to such bonds shall not be included in the computation of the limit imposed by section
603	603	57560B of said chapter 29.
604	604	576 (3) In deciding whether to request the issuance of particular bonds as special obligations,
605	605	577the governor shall take into account: (i) generally prevailing financial market conditions; (ii) the
606	606	578impact of each approach on the overall capital financing plans and needs of the commonwealth;
607	607	579(iii) any ratings assigned to outstanding bonds of the commonwealth and any ratings expected to
608	608	580be assigned by any nationally-recognized credit rating agency to the bonds proposed to be
609	609	581issued; and (iv) any applicable provisions of a trust agreement or credit enhancement agreement
610	610	582entered into under said section 2O of said chapter 29.
611	611	583 (d) (1) To meet additional expenditures necessary in carrying out section 13A of chapter
612	612	58425A or chapter 25D, the state treasurer, either upon request of the governor or either house of the
613	613	585general court, and upon a vote of the yeas and nays of a majority of each house of the the general
614	614	586court present and voting on such authorization, shall issue and sell bonds of the commonwealth
615	615	587in an amount to be specified but not exceeding in the aggregate 500,000,000 dollars within a
616	616	588given fiscal year.
617	617	589 (2) All bonds issued by the commonwealth under this subsection shall be designated on
618	618	590their face, Massachusetts Green Investment Bond, and shall be issued for a maximum term of
619	619	591years, not exceeding 30 years, as the governor may recommend to the general court under
620	620	592section 3 of Article LXII of the Amendments to the Constitution.
621	621	593 (3) All such bonds shall be payable not later than June 30, 2080. Bonds and interest
622	622	594thereon issued under this section shall be general obligations of the commonwealth. All requests
623	623	595made under this subsection shall be made prior to August 1, 2050. 29 of 29
624	624	596 SECTION 8. (a) The regulations required under clause (ii) and clause (iii) of subsection
625	625	597(a) of section 7 of chapter 21N of the General Laws shall be promulgated and in effect not later
626	626	598than July 1, 2023.
627	627	599 (b) The regulations required under clause (iv) of subsection (a) of section 7 of chapter
628	628	60021N of the General Laws shall be promulgated and in effect not later than July 1, 2025.