SECTION 1.  The General Laws are hereby amended by inserting after chapter 121G the following chapter:-

CHAPTER 121H

PREFERENCES FOR VETERANS IN STATE-AIDED HOUSING

Section 1.  Notwithstanding any general or special law to the contrary, there shall be a preference for veterans in all state-aided housing projects in the commonwealth.  For the purposes of this act, state-aided housing projects shall mean, any program, project or fund administered pursuant to chapters 40B, 40Q through 40R, 40T, 40V, 121A through 121B, and 121D through 121G inclusive; provided further that this act shall apply to any person who is a veteran as defined in clause forty-third of section 7 of chapter 4, or who meets all the requirements of said clause forty-third, except that instead of performing wartime service as so defined has performed not less than 90 days’ active service in any of the campaigns or expeditions enumerated in section two of chapter 115A, or who is serving in the armed forces of the United States in an area designated by the President of the United States by executive order as a “combat zone” at any time during the period designated by the President by executive order as the period of combatant activities pursuant to section 62C of chapter 81.

Section 2.  The department of housing and community development shall promulgate regulations for the implementation, administration and enforcement of this chapter.

SECTION 2.  Subsection 4 of section 3 of chapter 23B of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by adding the following sentences:- provided further, that the department shall promulgate guidelines to allow the following preference categories for local selection preference: (i) current residents; (ii) municipal employees; (iii) employees of local businesses; (iv) households with children attending the locality’s schools; and (v) veterans; provided further, that when determining the preference categories, the geographic boundaries of the local resident preference area should not be smaller than municipal boundaries and may exceed municipal boundaries for veterans.