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SENATE DOCKET, NO. 814 FILED ON: 1/14/2025
SENATE . . . . . . . . . . . . . . No. 1021
The Commonwealth of Massachusetts
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PRESENTED BY:
Pavel M. Payano
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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 relative to updating and modernizing Chapter 40R.
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PETITION OF:
NAME:DISTRICT/ADDRESS :Pavel M. PayanoFirst Essex 1 of 3
SENATE DOCKET, NO. 814 FILED ON: 1/14/2025
SENATE . . . . . . . . . . . . . . No. 1021
By Mr. Payano, a petition (accompanied by bill, Senate, No. 1021) of Pavel M. Payano for
legislation to update and modernize appropriations to smart growth zoning and housing
production. Housing.
The Commonwealth of Massachusetts
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In the One Hundred and Ninety-Fourth General Court
(2025-2026)
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An Act relative to updating and modernizing Chapter 40R.
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. Section 9 of chapter 40R of the General Laws, as so appearing, is hereby
2amended by striking out subsections (a) and (b) and inserting in place thereof the following 2
3subsections:-
4 (a) The commonwealth shall pay from the trust fund or other funds from appropriations
5or other money authorized by the general court a zoning incentive payment, according to the
6following schedule:
7 Projected Units of New Construction% Payment
8 Up to 20% $20,000
9 21 to 100% $150,000
10 101 to 200% $400,000 2 of 3
11 201 to 500% $740,000
12 501 or more% $1,200,000
13 Subject to any conditions imposed by the department as a condition of approving a smart
14growth zoning district or starter home zoning district, the zoning incentive payment shall be
15payable upon confirmation of approval of the district by the department. The projected number
16of units shall be based upon the zoning adopted in the smart growth zoning district or starter
17home zoning district.
18 (b) The commonwealth shall pay from the trust fund or other funds from appropriations
19or other money authorized by the general court a 1-time density bonus payment to each city or
20town with an approved smart growth zoning district and a 1-time production bonus payment to
21each city or town with an approved starter home zoning district. This payment shall be $6,000
22for each housing unit of new construction created in the smart growth zoning district and $6,000
23for each housing unit of new construction created in the starter home zoning district. The amount
24due shall be paid on a unit-by-unit basis in accordance with department regulations, upon
25submission by a city or town of proof of issuance of a building permit for a particular housing
26unit or units within the district.”
27 SECTION 2. Section 12 of Chapter 40R of the General Laws is hereby amended by
28inserting in line 3, after the word “review”, the following words:- “, including but not limited to
29an analysis of the incentive payments, in Section 9, to determine that those payments are
30consistent with housing costs per the Consumer Price Index.”
31 SECTION 3. This act shall take effect for tax years beginning on or after January 1,
322025. 3 of 3
33 SECTION 4. Notwithstanding any other section of the law to the contrary, no later than
3410 years after the date of enactment, the increased incentives, as identified in section 1 and
35section 2, shall revert back to their original figures.