Bill > H3166

This bill provides a framework for cities and towns in Massachusetts to impose a local affordable housing surcharge on real property taxes, allowing municipalities to add up to a 2% surcharge to their existing real estate tax levy. The surcharge can only be implemented after receiving approval from two-thirds of the local appropriating authority and voter acceptance through a ballot question at a municipal or state election. The bill includes several important provisions: it preserves existing property tax exemptions, allows local authorities to create additional exemptions for low-income residents, senior housing, and certain commercial and industrial properties, and mandates that all funds collected through the surcharge be deposited into a local affordable housing trust. The surcharge is optional for municipalities, and they can revoke or amend the rate, but no more than once every 12 months. Any unpaid surcharges will accrue interest, and the collection process will follow the same procedures as standard property tax collection. The primary goal of this legislation is to provide local communities with a flexible mechanism to generate additional funding for affordable housing initiatives.

Budget and Finance

https://malegislature.gov/Bills/194/H3166