SECTION 1. The General Laws, as appearing in the 2012 Official Edition, are hereby amended by inserting after Chapter 30B the following additional section:-
Chapter 30C. Transparency of Economic Development Spending.
Section 1. As used in Chapter 30C, the following words shall, unless the context clearly requires otherwise, have the following meanings:-
"Development subsidy” means any expenditure of public funds with a value of at least $25,000.00 for the purpose of stimulating economic development within the Commonwealth, including but not limited to bonds, grants, loans, loan guarantees, enterprise zones, empowerment zones, tax increment financing, grants, fee waivers, land price subsidies, matching funds, tax abatements, tax exemptions, and tax credits.
"Property-taxing entity" means any entity that levies taxes upon real or personal property.
“State” means an agency, board, commission, office, public benefit corporation or public benefit authority of the Commonwealth.
Section 2. Unified Economic Development Budget
(a) The Massachusetts Department of Revenue shall submit an annual Unified Economic Development Budget to the Legislature no later than three months after the end of the Commonwealth’s fiscal year. The report shall present all types of expenditures for economic development during the prior fiscal year, including but not limited to:
(i) The amount of uncollected state tax revenues resulting from every corporate tax credit, abatement, exemption and reduction provided by the Commonwealth's or a local governmental unit including but not limited to gross receipts, income, sales, use, raw materials, excise, property, utility, and inventory taxes.
(ii) The name of each corporate taxpayer which claimed any tax credit, abatement, exemption or reduction under subdivision (i) of any value equal to or greater than $5,000, together with the dollar amount received by each such corporation.
(iii) Any tax credit, abatement, exemption or reduction received by a corporation of less than $5,000 each shall not be itemized. The Department of Revenue shall report an aggregate dollar amount of such expenditures and the number of companies so aggregated for each tax expenditure.
(iv) All state appropriated expenditures for economic development, including line-item budgets for every state-funded entity concerned with economic development, including but not limited to, Executive Office of Housing and Economic Development, Massachusetts Marketing Partnership, Massachusetts Growth Capital Corporation, Massachusetts Office of Business Development, Massachusetts Office of International Trade and Investment, Office of Small Business & Entrepreneurship, Seaport Advisory Council, Department of Housing and Community Development, Office of Indian Affairs, Department of Consumer Affairs and Business Regulation, Division of Insurance, Division of Banks, State Racing Commission, Division of Professional Licensure, Division of Standards, Department of Revenue, Department of Telecommunications and Cable, Executive Office of Labor and Workforce Development, Department of Workforce Development, Commonwealth Corporation, Division of Apprentice Training, Division of Career Services, Division of Unemployment Assistance, Department of Labor, Division of Occupational Safety, Labor Relations Council, Division of Labor Relations, Joint Labor Management Committee, Division of Industrial Accidents, Workers Compensation Advisory Council, Massachusetts Aeronautics Commission, Affirmative Market Program, Massachusetts Dept. of Agricultural Resources, BDC Capital, Community Economic Development Assistance Corporation, Massachusetts Office of International Trade and Investment, Massachusetts Development Finance Agency, Massachusetts Export Center, Massachusetts Small Business Development Center Network, State Office of Minority and Women Business Assistance, Office of Technical Assistance and Technology, Massachusetts Technology Collaborative, Massachusetts Life Science Center.
(v) The Department of Revenue shall annually compile and publish all of the data contained in the reports required under paragraph (a) in both written and electronic form. The information in the report shall be included as part of the Searchable Website administered by the Secretary of Administration and Finance.
Section 3. Unified Reporting of Property Tax Reductions and Abatements
(a) Each property-taxing entity shall annually submit a report to the Massachusetts Department of Revenue regarding any real property in the entity’s jurisdiction that has received a development subsidy of at least $5,000 in the form of a property tax abatement or reduction during the fiscal year. The report shall contain information including but not limited to: the name of the property owner; the address of the property; the start and end dates of the property tax reduction or abatement; the schedule of the tax reduction; each tax abatement, reduction and exemption for the property; and the amount of property tax revenue not paid to the taxing entity as a result of the reduction or abatement.
(b) Each property-taxing entity shall also submit a report to the Department of Revenue setting forth the total property tax revenue not paid to such entity during the fiscal year as a result of all property tax reductions and abatements in the entity’s jurisdiction.
(c) The reports required under paragraphs (a) and (b) of this section shall be prepared on two forms prepared by the Department, and shall be submitted to the Department of Revenue by the property- taxing entity no later than three months after the end of the fiscal year.
(d) The Department of Revenue shall annually compile and publish all of the data contained in the reports required under paragraphs (a) and (b) in both written and electronic form. The information in the report shall be included as part of the Searchable Website administered by the Secretary of Administration and Finance.
(e) If a property-taxing entity fails to submit its reports to the Department or Revenue within the prescribed time, the Department shall notify the Comptroller of the Commonwealth, whereupon the Comptroller shall withhold further payments of any development subsidy to the delinquent entity until the entity files its reports with the Department.
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