1 of 1 HOUSE DOCKET, NO. 1374 FILED ON: 1/14/2025 HOUSE . . . . . . . . . . . . . . . No. 2252 The Commonwealth of Massachusetts _________________ PRESENTED BY: Antonio F. D. Cabral and Andres X. Vargas _________________ 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 establish a commission to study the distribution of unrestricted local aid. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :DATE ADDED:Antonio F. D. Cabral13th Bristol1/14/2025Andres X. Vargas3rd Essex1/14/2025 1 of 3 HOUSE DOCKET, NO. 1374 FILED ON: 1/14/2025 HOUSE . . . . . . . . . . . . . . . No. 2252 By Representatives Cabral of New Bedford and Vargas of Haverhill, a petition (accompanied by bill, House, No. 2252) of Antonio F. D. Cabral and Andres X. Vargas for legislation to establish a special commission (including members of the General Court) to study the distribution of general local aid, unrestricted general government aid and lottery aid to cities and towns. Municipalities and Regional Government. [SIMILAR MATTER FILED IN PREVIOUS SESSION SEE HOUSE, NO. 2115 OF 2023-2024.] The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Fourth General Court (2025-2026) _______________ An Act to establish a commission to study the distribution of unrestricted local aid. 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. The General Laws, as appearing in the 2022 Official Edition, are hereby 2amended by inserting after chapter 40Y the following chapter: 3 Chapter 40Z. Commission to study the distribution of unrestricted general government 4aid. 5 Section 1. There shall be a commission to study the distribution of general local aid in the 6commonwealth, including unrestricted general government aid, lottery aid as promulgated in 7section 18C of chapter 58 of the General Laws and additional assistance aid to municipalities. 2 of 3 8The study shall not include foundation aid as defined in section 2 of chapter 70 of the General 9Laws. 10 Section 2. The commission shall examine the current formula used to distribute 11unrestricted general government aid to municipalities, evaluate the effectiveness and equity of 12said formula and make recommendations to establish a more equitable distribution of 13unrestricted general government aid to municipalities in the commonwealth. The commission 14shall review all aspects of general local aid including, but not limited to (a) the current allocation 15of local aid to municipalities; (b) the reflectiveness of municipalities’ needs in the proportional 16distribution of the unrestricted general government aid formula; (c) any equity disparities that 17exist between municipalities across the commonwealth related to local aid distribution; (d) the 18ability to account for a municipality’s change in population or tax base in a general local aid 19funding formula; (e) the potential to calculate municipal costs based on a municipality’s need for 20municipal services and a municipality’s ability to raise local revenue, less a municipality’s local 21revenues; and (f) any alternative formulas that may create a more equitable distribution of 22general local aid. 23 Section 3. The commission shall consist of: the secretary of administration and finance, 24or a designee; the commissioner of the department of revenue, or a designee; 1 member 25appointed by the state treasurer; 2 members of the senate, 1 of whom shall represent a gateway 26municipality as defined in section 3A of chapter 23A of the General Laws and shall serve as co- 27chair; 2 members of the house of representatives, 1 of whom shall represent a gateway 28municipality as defined in said section 3A of said chapter 23A and shall serve as co-chair; 5 29members appointed by the governor, 1 of whom shall be nominated by the Massachusetts 30Municipal Association, Inc., 1 of whom shall be nominated by the Federal Reserve Bank of 3 of 3 31Boston, 1 of whom shall be nominated by the Massachusetts Budget and Policy Center, Inc., 1 of 32whom shall be nominated by the Massachusetts Taxpayers Foundation, Inc., and 1 of whom shall 33be nominated by the Edward J. Collins, Jr. Center for Public Management at the University of 34Massachusetts at Boston. 35 Section 4. The commission shall file a report of its findings and recommendations, 36including any new or revised local aid formulas, with the clerks of the senate and house of 37representatives, the chairs of the senate and house committees on ways and means, and the 38senate and house chairs of the joint committee on municipalities and regional government not 39later than one year after the passage of this act. 40 SECTION 2. Section 1 shall take effect upon passage.