Massachusetts 2025-2026 Regular Session

Massachusetts House Bill H3038 Compare Versions

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

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1	1	1 of 1
2	2	HOUSE DOCKET, NO. 3469 FILED ON: 1/17/2025
3	3	HOUSE . . . . . . . . . . . . . . . No. 3038
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Antonio F. D. Cabral
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 to establish a downtown vitality fund to strengthen local business districts and main
13	13	streets.
14	14	_______________
15	15	PETITION OF:
16	16	NAME:DISTRICT/ADDRESS :DATE ADDED:Antonio F. D. Cabral13th Bristol1/17/2025Rodney M. Elliott16th Middlesex2/4/2025Christopher Hendricks11th Bristol2/5/2025Mary S. Keefe15th Worcester3/5/2025 1 of 4
17	17	HOUSE DOCKET, NO. 3469 FILED ON: 1/17/2025
18	18	HOUSE . . . . . . . . . . . . . . . No. 3038
19	19	By Representative Cabral of New Bedford, a petition (accompanied by bill, House, No. 3038) of
20	20	Antonio F. D. Cabral and others for legislation to establish a downtown vitality fund to
21	21	strengthen local business districts and main streets funded by a portion of the sales tax. Revenue.
22	22	The Commonwealth of Massachusetts
23	23	_______________
24	24	In the One Hundred and Ninety-Fourth General Court
25	25	(2025-2026)
26	26	_______________
27	27	An Act to establish a downtown vitality fund to strengthen local business districts and main
28	28	streets.
29	29	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
30	30	of the same, as follows:
31	31	1 SECTION 1. Chapter 10 of the General Laws, as appearing in the 2022 Official Edition,
32	32	2is hereby amended by inserting after section 35SSS, the following new section:
33	33	3 Section 35TTT. Downtown Vitality Fund
34	34	4 (a) As used in this section, the following words shall, unless the context requires
35	35	5otherwise, have the following meanings:-
36	36	6 “Agency”, the Executive Office of Housing and Economic Development.
37	37	7 “Commercial areas”, meaning central business districts, town centers, commercial
38	38	8corridors (“Main Streets”), neighborhood-serving commercial districts, and other walkable,
39	39	9mixed-use areas. 2 of 4
40	40	10 “District management entities”, which may include business improvement districts as
41	41	11defined in section 1 of chapter 40o of the General Laws, parking benefit districts as defined in
42	42	12section 22A1/2 of chapter 40 of the General Laws, cultural districts as defined in section 58A of
43	43	13chapter 10 of the General Laws, or other district management strategies approved by the agency.
44	44	14 “Secretary”, the Secretary of Economic Development.
45	45	15 ''Fund'', the Downtown Vitality Fund, established under subsection (b) of section 35QQQ
46	46	16of chapter 10 of the General Laws.
47	47	17 “Sales tax-regular”, the amount of retail sales tax collected by the commonwealth,
48	48	18excluding taxes on meals, motor vehicles, cigarettes, fuels, alcohol, lodging, car rentals, and
49	49	19other special categories.
50	50	20 (b) There is hereby established on the books of the commonwealth a separate fund to be
51	51	21known as the Downtown Vitality Fund. There shall be credited to the fund 0.75% of the “Sales
52	52	22tax-regular” receipts collected. Annual receipts into the fund on account of any fiscal year shall
53	53	23be considered to meet the full obligation of the commonwealth to the fund for said fiscal year.
54	54	24 (c) Amounts in the fund shall be held by the Executive Office of Economic Development,
55	55	25exclusively for the purposes of the fund, and the agency shall disburse amounts in the fund,
56	56	26without further appropriation, upon the request from time to time of its Secretary. All amounts in
57	57	27the fund, including investment earnings, shall be available for expenditure by the agency for any
58	58	28lawful purpose. The Fund shall be administered by the Massachusetts Downtown Initiative
59	59	29within EOED along with line item 7002-8075 and other technical assistance funds allocated to
60	60	30the office. 3 of 4
61	61	31 (d) The agency shall report annually on grants dispersed by the fund to the clerks of the
62	62	32house and senate and to the house and senate committees on ways and means.
63	63	33 (e) The agency shall make expenditures from the fund for the following purposes and
64	64	34subject to the following guidelines:
65	65	35 (1) To provide grants to establish district management entities in commercial areas.
66	66	36 (2) To provide operating grants to help strengthen and sustain existing district
67	67	37management entities approved by the agency.
68	68	38 (3) To provide technical assistance grants for local district management entities to
69	69	39conduct studies or launch new programs, and which might be paid to a third-party entity.
70	70	40 (4) To provide multi-year grants to communities participating in the Transformative
71	71	41Development Initiative (TDI) program, to be administered by the Massachusetts Development
72	72	42Finance Agency (“MassDevelopment”).
73	73	43 (5) To provide direct grants to municipalities or municipally endorsed third parties to
74	74	44implement local economic development plans, small business plans, rapid response plans, or
75	75	45other such plans intended to strengthen local commercial areas.
76	76	46 (6) The agency will establish guidelines for awarding grants, which will incorporate the
77	77	47following priorities: support small business districts in Gateway Cities and other economically-
78	78	48disadvantaged areas; expand entrepreneurship opportunities among underrepresented
79	79	49communities; strengthen cultural identity and prevent cultural displacement; and require a local
80	80	50match set at a level commensurate with the strength of the local market economy. 4 of 4
81	81	51 (f) Not later than September 1 of each year, the secretary shall file a report in writing with
82	82	52the joint committee on community development and small businesses and the house and senate
83	83	53committees on ways and means concerning the grants made in the fiscal year ending on the
84	84	54preceding June 30.
85	85	55 (g) There shall be established a board to be known as the Downtown Vitality Advisory
86	86	56Board. Said board shall consist of at least 15 members, who shall be citizens of the
87	87	57commonwealth, and appointed by the secretary. The members of the board shall include at least
88	88	58one representative of the Massachusetts Development Finance Agency (MassDevelopment); at
89	89	59least one representative of the Massachusetts Cultural Council; at least two business
90	90	60improvement districts; at least two cultural districts; at least one Gateway City mayor, manager,
91	91	61or economic development director; at least one non-Gateway City municipal representative; and
92	92	62at least three members of small business representatives serving underrepresented communities,
93	93	63including immigrants and people of color. The Secretary shall appoint members for terms no
94	94	64longer than three years. Members shall serve without compensation. The board shall advise the
95	95	65director on the activities and uses of the fund including, but not limited to: reviewing and making
96	96	66recommendations on grant requirements and selection criteria, and reviewing grant applications
97	97	67and making recommendations relative to grant awards. The advisory board shall, from time to
98	98	68time, submit recommendations to the legislature on any legislative changes it deems necessary
99	99	69for the successful operation of the fund.