SENATE . . . . . . . . . . . . . . No. 2366
Senate, July 19, 20112 -- Text of the Senate amendment, printed as amended as a new text for the House bill relative to infrastructure investment, enhanced competitiveness and economic growth in the Commonwealth (House, No. 4119) |
The Commonwealth of Massachusetts
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In the Year Two Thousand Twelve
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SECTION 1. To provide for a program to support technology and economic development that helps to enhance the economy and job growth and to promote the well-being of those living in the commonwealth, the sum set forth in section 2, for the several purposes and subject to the conditions specified in this act, is hereby made available, subject to the laws regulating the disbursement of public funds, which sum shall be in addition to any amounts previously appropriated for these purposes.
SECTION 2.
7066-0099 For the Scientific and Technology Research and Development Matching Grant Fund established in 4G of chapter 40J of the General Laws……………… $25,000,000
SECTION 3. To provide for supplementing certain items in the general appropriation act and other appropriation acts for fiscal year 2012, the sums set forth in section 4 are hereby appropriated from the General Fund for the several purposes and subject to the conditions specified in said section 4 and subject to laws regulating the disbursement of public funds; provided, however, that notwithstanding any general or special law to the contrary appropriations made herein shall not revert.
SECTION 4.
7003-1641 For a grant for the Small Business Association of New England for the layoff aversion through management assistance program for consultant and technical assistance to manufacturing companies to prevent business closure and employee displacement; provided, that the expenditure of the layoff aversion through management program in this item shall leverage at least $1 in matching funds for every $1 granted pursuant to this item; provided further, that the president of the Small Business Association of New England shall file a quarterly report with the house and senate committees on ways and means, the joint committee on economic development and emerging technologies and the joint committee on labor and workforce development on the number of employees and manufacturing-based companies that have received financial assistance through this item, a detailed description of the services provided to manufacturing companies through the layoff aversion through management program and a detailed account of the expenditures of the layoff aversion through management program, including administrative costs .................................................................................... $250,000
7004-2027 For the community investment grant program established in section 78D …………………………………………………$1,500,000
7007-1200 For the Massachusetts Technology Park Corporation, doing business as the Massachusetts Technology Collaborative, established in section 3 of chapter 40J of the General Laws, to establish a talent pipeline program that provides paid internships to technology startups and innovation companies; provided, that the Massachusetts Technology Collaborative shall seek private funds necessary to match contributions equal to $1 for every $1 contributed by the Massachusetts Technology Collaborative through a matching internship program; provided further, that $1,000,000 shall be expended to establish an entrepreneur and startup venture capital mentoring program, in consultation with the Massachusetts Technology Development Corporation established under section 2 of chapter 40G of the General Laws that would provide assistance, mentoring and advice to startups and innovation companies by connecting early-stage entrepreneurs, technology startups and small businesses with venture capital financing; provided further, that in the design and implementation of these programs, the Massachusetts Technology Collaborative shall consult with and review the talent pipeline and mentoring programs that are administered by the Venture Development Center at the University of Massachusetts at Boston established in chapter 123 of the acts of 2006 in order to model and bring to scale successful talent pipeline programs and practices; provided further, that as a condition of such grants being awarded, the Massachusetts Technology Park Corporation shall reach agreement with the grant recipient on performance measures and indicators that will be used to evaluate the performance of the grant recipient in carrying out the activities described in the recipient’s application; provided further, that the Massachusetts Technology Collaborative shall file annual reports for the duration of the programs with the chairs of the house and senate committee on ways and means and the house and senate chairs of the joint committee on economic development and emerging technologies on or before January 1; provided further, the report shall include an overview of the activities of the programs, the number of participants in the programs and an analysis of the impact of the programs on the innovation economy and workforce………………………………………………. ....$2,000,000
SECTION 4A. Section 16G of chapter 6A of the General Laws, as amended by section 11 of chapter 3 of the acts of 2011, is hereby further amended by adding the following subsection:-
(m) The economic development planning council shall organize a yearly economic development summit. The summit shall be a forum for discussion of the following:- (i) major economic development initiatives of the administration; (ii) updates from regional workforce development councils; and (iii) any industry-specific policy concerns or initiatives.
SECTION 5. Sections 47 and 48 of chapter 6C of the General Laws are hereby repealed.
SECTION 5A. Subsection (b) of section 38A½ of chapter 7, as appearing in the 2010 Official Edition, is hereby amended by inserting after the definition of “Designer” the following definition:-
“Interior Designer”, a person who may serve as the prime consultant for projects that primarily involve construction or other work relating to the nonstructural interior elements of a building or structure and provides services that do not require the services of a registered architect, landscape architect or engineer; provided, however, that eligible candidates shall demonstrate competence by completion of a nationally-recognized certification.
SECTION 5B. Said section 38A½ of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer”, in lines 41 and 42, each time it appears, the following words:- , interior designer.
SECTION 5C. Said 38A½ of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer”, in lines 68, 69, 71 and 72, each time it appears, the following words:- or interior designer.
SECTION 5D. Said section 38A½ of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer’s”, in lines 73 and 74, the following words:- or interior designer’s.
SECTION 5E. Section 38C of said chapter 7, as so appearing, is hereby amended by inserting after the word “designers”, in line 2, the following words:- , interior designers.
SECTION 5F. Said section 38C of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer”, in lines 16, 35, 40, 41, 42, 53, 58 and 60, each time it appears, the following words:- or interior designer.
SECTION 5G. Said section 38C of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designers”, in lines 33 and 35 , each time it appears, the following words:- or interior designer.
SECTION 5H. Said section 38C of said chapter 7, as so appearing, is hereby further amended by striking out, in line 56, the word “designer” and inserting in place thereof the following word:- design.
SECTION 5I. Section 38D of said chapter 7, as so appearing, is hereby amended by striking out, in lines 1, 7 and 13, the word “designer” and inserting in place thereof, in each instance, the following word:- design.
SECTION 5J. Said section 38D of said chapter 7, as so appearing, is hereby further amended by inserting after the word “projects”, in line 21, the following words:- , including whether interior designers are eligible to apply, as determined by subsection (h) of section 38E.
SECTION 5K. Said section 38D of said chapter 7, as so appearing, is hereby further amended by insertingafter the word “designers’, in line 22, the following words:- and interior designers’.
SECTION 5L. Section 38E of said chapter 7, as so appearing, is hereby amended by inserting after the word “designer”, in lines 1 and 38, each time it appears, the following words:- , interior designer.
SECTION 5M. Said section 38E of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer”, in line 7, the following words:- , interior designer.
SECTION 5N. Said section 38E of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designers”, in line 43, the following words:- and interior designers.
SECTION 5O. Said section 38E of said chapter 7, as so appearing, is hereby further amended by adding the following subsection:-
(h) Interior designers shall be eligible to compete as the prime consultant only for projects that primarily involve construction or other work related to nonstructural interior elements of a building or structure.
SECTION 5P. Section 38F of said chapter 7, as so appearing, is hereby amended by inserting after the word “designers”, in line 31, the following words:- and interior designer.
SECTION 5Q. Said section 38F of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer”, in line 36, the following words:- or interior designer.
SECTION 5R. Section 38G of said chapter 7, as so appearing, is hereby amended by inserting after the word “designer”, in lines 1, 3, 5, 10, 11, 13, 15, and 21, each time it appears, the following words:- or interior designer.
SECTION 5S. Said section 38G of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designers”, in lines 16 and 17, the following words:- or interior designers.
SECTION 5T. Said section 38G of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer’s”, in lines 26 and 28, each time it appears, the following words:- or interior designer’s.
SECTION 5U. Section 38H of said chapter 7, as so appearing, is hereby amended by inserting after the word “designer”, in lines 7, 10, 29, 33, 35, 38, 40, 41, 42 and 80, and in lines 96 and 97, each time it appears, the following words:- , interior designer.
SECTION 5V. Said section 38H of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer’s”, in line 9, the following words:- , interior designer’s.
SECTION 5W. Said section 38H of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer’s”, in line 14 and 93, each time it appears, the following words:- or interior designer’s.
SECTION 5X. Said section 38H of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer”, in lines 45 and 46, 50, 51, 55, 56 and 57, 58, 62, 68, 75, 77, 86, 88, 94 and 99, each time it appears, the following words:- or interior designer.
SECTION 5Y. Said section 38H of said chapter 7, as so appearing, is hereby further amended by striking out, in line 97, the words "or his consultants" and inserting in place thereof the following words:- , interior designer or consultants hired by the designer or interior designer.
SECTION 5Z. Section 38I of said chapter 7, as so appearing, is hereby amended by inserting after the word “designer”, in lines 1 and 7, each time it appears, the following words:- or interior designer.
SECTION 5AA. Section 38J of said chapter 7, as so appearing, is hereby amended by inserting after the word “designer”, in line 2, the following words:- , interior designer.
SECTION 5BB. Section 38K of said chapter 7, as so appearing, is hereby amended by inserting after the word “designer”, in line 29, and in lines 31 and 32, each time it appears, the following words:- and interior designer.
SECTION 5CC. Said section 38K of said chapter 7, as so appearing, is hereby further amended by inserting after the word “designer’s”, in line 37, the following words:- or interior designer’s.
SECTION 5DD. Section 38L of said chapter 7, as so appearing, is hereby amended by inserting, after the word “designer”, in line 7, the following words:- or interior designer.".
SECTION 6. Paragraph (4) of section 43 of chapter 21 of General Laws, as so appearing, is hereby amended by inserting after the fourth sentence the following sentence:- The director may also suspend this paragraph for public notice and hearing by promulgating regulations establishing a process for renewal of a previously issued permit where renewal of such permit does not require significant changes.
SECTION 6A. Chapter 21E of the General Laws is hereby amended by adding the following section:-
Section 22. Notwithstanding any general or special law to the contrary, no municipality or public entity shall be liable under this chapter for, or related to, the presence, release or threat of release of oil or any hazardous material related to a dam, as defined in section 44 of chapter 253, that occurred prior to the date a dam was acquired by a municipality or public entity; provided, however, that an activity conducted by a municipality or public entity that involves the management or removal of oil or hazardous material in relation to the management, maintenance, repair or removal of a dam shall be performed in accordance with applicable environmental laws and permits.
SECTION 7. Section 3 of chapter 23A of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by adding the following subsection:-
(c) MOBD, with assistance from the office of small business and entrepreneurship and in consultation with the secretary of housing and economic development, the office of consumer affairs and business regulation and the department of housing and community development, shall develop, operate and maintain a searchable website accessible by the public at no cost, to provide information on public and private resources available to small businesses and to promote small businesses. Information made available through the searchable website shall include, but not be limited to:
(1) information on state, local, federal and private sector small business counseling and technical assistance programs;
(2) information on state, local and federal financing programs;
(3) information on state, local and federal procurement and contracting programs, including information on the regional economic development organizations under the program established in sections 3J and 3K of chapter 23A and opportunities;
(4) information on state incorporation laws and regulations and the changes to state incorporation laws and regulations;
(5) information on state tax credits;
(6) small business impact statements, as required under sections 2 and 3 of chapter 30A; and
(7) information on workers’ compensation laws, unemployment insurance laws and the health insurance obligations and options for employers; and
(8) other information and resources, as determined by the director of business development.
SECTION 7A. Section 3H of said chapter 23A, as so appearing, is hereby amended by adding the following paragraph:-
The secretary shall appoint a regulatory ombudsman to address regulatory matters of interest to the business community. The regulatory ombudsman shall work in partnership with the state permitting ombudsman to provide assistance to businesses in the process of complying with state regulations and other requirements of law that affect businesses. The regulatory ombudsman shall facilitate communication between individual businesses and state agencies and provide periodic training to regulatory personnel in state agencies on how to identify the small business impacts of regulation, how to reduce those impacts and how to expedite and streamline the process or compliance. The regulatory ombudsman shall establish an advisory group representing business interests to advise and inform on the impact of regulations on various business and industry sectors and on the cost of doing business in the commonwealth.
SECTION 8. Said chapter 23A is hereby further amended by inserting after section 10A the following section:-
Section 10B. The secretary of housing and economic development shall establish a Massachusetts advanced manufacturing collaborative within the executive office of housing and economic development, which shall be responsible for developing and implementing the commonwealth’s manufacturing agenda to foster and strengthen the conditions necessary for growth and innovation of manufacturing. The collaborative shall include, but not be limited to: the secretary of housing and economic development, or a designee who shall serve as chair; the secretary of labor and workforce development, or a designee; 1 member of the house of representatives; 1 member of the senate; the director of business development; the executive director of the Massachusetts clean energy technology center; the executive director of the Massachusetts Life Sciences Center; the director of the John Adams Innovation Institute; the director of the Massachusetts Technology Transfer Center; a representative from the Associated Industries of Massachusetts; a representative from a local chamber of commerce appointed by the governor; 2 representatives of advanced manufacturing companies appointed by the governor; a representative from the Massachusetts Workforce Board Association; and a representative from the Massachusetts Development Finance Agency.
The collaborative shall partner with stakeholders in the public and private sectors in the development and operation of the commonwealth’s manufacturing plan, identify emerging priorities within the commonwealth’s manufacturing sector in order to make recommendations for high impact projects and initiatives and facilitate the implementation of goals established under the plan, which shall include, but not be limited to: (1) education and workforce development, including workforce training programs and partnerships; (2) technical assistance and innovation in support of manufacturing growth, including access to capital, workforce development, compliance and certification programs and export assistance; (3) enhancing the competitiveness of manufacturing companies, including examining ways to ease the cost of doing business and examining the current regulatory impacts upon small to medium-sized manufacturers; and (4) promoting the manufacturing industry, including attracting a talented workforce and expanding opportunities for in-state marketing of the commonwealth’s supply chain capabilities.
SECTION 9. Said chapter 23A is hereby further amended by adding the following 2 sections:-
Section 63. (a) There shall be established within the executive office of housing and economic development a MassWorks infrastructure program to issue grants to municipalities and other public instrumentalities for design, construction, building, land acquisition, rehabilitation, repair and other improvements to publicly-owned infrastructure including, but not limited to, sewers, utility extensions, streets, roads, curb cuts, parking, signage, water treatment systems, telecommunications systems, transit improvements and pedestrian and bicycle ways. The program shall provide for commercial and residential transportation and infrastructure development, improvements and various capital investment projects under the growth districts initiative administered by the executive office of housing and economic development. The grants shall be used to assist municipalities to advance projects that support job creation and expansion, housing development and rehabilitation, community development projects located in and around cultural districts designated as such under section 58A of chapter 10 and small town transportation projects authorized under section 47 of chapter 6C; provided, however, that projects supporting smart growth as defined by the state’s sustainable development principles shall be preferred. The program may be used to match other public and private funding sources to build or rehabilitate transit-oriented housing located within .25 miles of a commuter rail station, subway station, ferry terminal or bus station, at least 25 per cent of which shall be affordable.
(b) Eligible public infrastructure shall be located on public land or on public leasehold, right-of- way or easement. A project that uses grants to municipalities for public infrastructure as provided by this section shall be procured by a municipality under chapter 7, section 39M of chapter 30, chapter 30B and chapter 149.
(c) There shall be at least 1 open solicitation period each year to accept and consider new applications. Not less than 12 weeks before the annual open solicitation period, the executive office of housing and economic development shall release the criteria upon which the applications shall be judged including, but not limited to, a minimum project readiness standard, overall spending targets by project type, preferences for projects that align with the state’s sustainable development principles and other preferences applying to that funding round. Grants may be made outside of the open solicitation period at the discretion of the secretary of housing and economic development subject to subsections (d) and (e). All grant awards shall be made after consultation with the appropriate regional planning agency.
(d) An eligible city or town, acting by and through its municipal officers or by and through any agency designated by such municipal officers to act on their behalf may apply to the program for a grant in a specific amount to fund a specified project. Two or more municipalities may apply jointly, with 1 municipality acting as fiscal agent, or through a regional planning agency acting as fiscal agent. The grants may be made in addition to other forms of local, state and federal assistance.
(e) Within the program, at least 10 per cent of the grant funds shall be dedicated annually to assist towns with populations of 7,000 or less in undertaking projects to design, construct, reconstruct, widen, resurface, rehabilitate and otherwise improve roads and bridges or for the construction of chemical storage facilities, that support economic or community development. Such towns shall be eligible for a grant not to exceed $1,000,000 and towns shall be eligible to receive 1 grant every 3 fiscal years. Two or more towns eligible under this subsection may file a joint application for a single project serving those towns; provided, however, the total amount distributed to any 1 town shall not exceed the maximum amount allowed under this section. Receipt of a grant which is part of a joint application shall not preclude a town from receiving additional funds under a separate application.
(f) The secretary of housing and economic development may establish rules and regulations to govern the application and distribution of grants under the program. The rules and regulations may include provisions for joint applications by 2 or more eligible municipalities for a single project serving those municipalities.
(g) The secretary of housing and economic development shall report annually to the clerks of the house of representatives and the senate, who shall forward the report to the senate and house chairs of the joint committee on transportation, the senate and house chairs of the joint committee on economic development and emerging technologies, the chairs of the senate and house committees on ways and means and the senate and house chairs of the joint committee on state administration and regulatory oversight on the activities and status of the program. The report shall include a list and description of all projects that received grant funds under the program, the amount of the grant awarded to the project, other sources of public funds that supported the project, a detailed analysis of the economic impact of each project including,
where applicable, the number of construction and full-time equivalent jobs to be created, number of housing units to be created, the private investment in the project and the expected tax revenue generated from the project.
Section 64. (a) There shall be established within the executive office of housing and economic development a Massachusetts creative economy network which shall be directed by a creative economy director. The network shall consist of private, public and nonprofit organizations and cultural districts designated as such under section 58A of chapter 10 engaged in cross industry collaboration between many interlocking industry sectors that provide creative services including, but not limited to, advertising, architecture or intellectual property products such as arts, films, electronic media, video games, interactive digital media, multimedia or design. The creative economy director, in consultation with the creative economy council established in chapter 354 of the acts of 2008, shall establish criteria for participation in the network.
(b) The duties of the network, under the leadership of the creative economy director, shall include: (i) quantifying the creative economy sector and measuring its impact on the commonwealth’s economy; (ii) creating a mentorship network within the creative economy sector; (iii) developing strategies to increase access to traditional market sectors and within state government; (iv) developing a certification for creative economy businesses; (v) increasing opportunities to attract private investment to creative economy businesses through venture capital, microlending and other means; and (vi) marketing and branding the creative economy sector.
(c) The network may accept gifts or grants of money or property from any public, private or nonprofit source, which shall be held in trust and used for the purpose of promoting the growth and development of the creative economy sector.
(d) The creative economy director shall file an annual report with the clerks of the house and senate, the chairs of the house and senate committee on ways and means, the house and senate chairs of the joint committee on economic development and emerging technologies, the house and senate chairs of the joint committee on tourism, arts and cultural development and the house and senate chairs of the joint committee on community development and small businesses not later than January 1. The report shall include an overview of the activities of the network, an update on the number of creative economy businesses and their impact on the economy and an accounting of gifts or grants held in trust by the network and the uses of any funds expended by the trust.
SECTION 10. Chapter 23G of the General Laws is hereby amended by adding the following 2 sections:-
Section 45. There shall be established within the agency a commonwealth advanced manufacturing futures program. The program shall support commonwealth companies engaged in manufacturing and shall be administered in a manner that takes into account the needs of manufacturers in all regions of the commonwealth and supports growth in the manufacturing sector statewide. The agency, in consultation with the secretary of housing and economic development and the Massachusetts advanced manufacturing collaborative established in section 10B of chapter 23A, shall design and implement the program. The program shall be eligible to receive funds as appropriated by the general court, including from the Manufacturing Fund established in section 98 of chapter 194 of the acts of 2011, the board, federal grants and programs and transfers, grants and donations from state agencies, foundations and private parties to be held in a separate account or segregated from other funds.
The program shall: (i) promote the development of advanced manufacturing through supporting technical assistance for small and mid-sized manufacturers; (ii) foster collaboration and linkages among larger manufacturing companies and smaller supplier manufacturers; (iii) advance workforce development initiatives through training, certification and educational programs; and (iv) encourage development of innovative products, materials and production technologies by manufacturers through the transfer of technological innovations and partnerships with research universities, colleges and laboratories.
The agency shall, through grants, contracts or loans, administer the program for the purpose of facilitating growth and competitiveness in the field of manufacturing. Loans under the program may be made to manufacturing companies. Grants under this program shall include consideration of, but shall not be limited to:-
(i) improving access to technical assistance for small and mid-sized manufacturers, including launching pilot demonstrations of best practices in delivering innovation-based technical assistance;
(ii) encouraging the adoption of new technologies and advanced manufacturing capabilities into existing companies to improve manufacturing processes and operations;
(iii) educating individuals about opportunities for career advancement within high tech and advanced manufacturing through middle school and high school education to support the future manufacturing worker pipeline;
(iv) education and skills training through individualized career pathways programs that develop skills and certifications for career growth and opportunities for available jobs or job openings that are anticipated in manufacturing, including internships and on the job training which result in an employer or industry recognized credentials and ultimate job placement;
(v) fostering academic and industry collaboration, including encouraging technology transfer and commercialization efforts between not-for-profit research institutions, research universities, colleges and laboratories and advanced and high-tech manufacturers; and
(vi) supporting and partnering with existing systems within the commonwealth, including the Massachusetts Manufacturing Extension Partnership, the Massachusetts Technology Collaborative, the Massachusetts Technology Transfer Center, state workforce investment board and regional employment boards, vocational schools, community colleges and other higher education institutions.
The agency shall solicit applications through a request for proposals and shall review the applications according to that criteria; provided, however, that the applications, at a minimum, shall include: (a) a description of the parties involved in the project, including the professional expertise and qualifications of the principals; (b) a description of the scope of work that shall be undertaken by each party involved in the project; (c) the proposed budget, including verification of funding from other sources; (d) a statement of the project objective, including specific information on how the project shall enhance the competitiveness of the manufacturer or manufacturing sector and create or preserve jobs; (e) a statement that sets forth the plan of procedure, the facilities and resources available or needed for the project and the proposed commencement and termination dates of the project; (f) a description of the expected significance of the project, including the estimated number of manufacturers or workers served and the estimated number of jobs that could be created, retained or filled as a result of the project; (g) timely deadlines for the submission of applications and recommendations of grant awards or contracts, including provisions for an expedited process of consideration and recommendation in instances when the secretary of housing and economic development certifies the need for timely evaluation and disposition of the application; and (h) any other information that the agency shall deem necessary.
The agency shall reach agreement with each eligible entity that receives a grant or enters into a contract under this section on performance measures and indicators that shall be used to evaluate the performance of the eligible entity in carrying out the activities described in its application or any other indicators determined to be necessary to evaluate the performance of the eligible entity. Each eligible entity shall submit an annual report for the duration of the program or partnership funded through the collaborative for its review.
The agency shall be reimbursed from the fund for all reasonable and necessary direct costs and expenses incurred in any fiscal year associated with its administration, management and operation of the fund, including reasonable staff time and out-of-pocket expenses and the reasonable and approved administrative costs.
The agency may promulgate such rules and regulations as are necessary to implement the purposes of the program, including procedures describing the application process and criteria to be used in evaluating applications for grants under this section.
The agency, in consultation with the collaborative under section 10B of chapter 23A, shall submit an annual report to the clerks of the house of representatives and the senate who shall forward the report to the senate and house committees on ways and means, the joint committee on economic development and emerging technologies and the joint committee on labor and workforce development on or before December 31. The report shall include a current assessment of the progress of each program funded through the manufacturing grant program and the progress of the advanced manufacturing collaborative activity
Section 46. (a) As used in this section, the following words shall, unless the context clearly requires otherwise, have the following meanings:
“Agency”, the Massachusetts Development Finance Agency established in chapter 23G.
“Department”, the department of public utilities established in section 1 of chapter 25.
“EEAC”, the energy efficiency advisory council established in section 22 of chapter 25.
“Eligible borrower”, a public body, municipality, institution or person; provided, however, that an owner of privately-held real property may participate through the municipal PACE program.
“Eligible project”, the acquisition, design, construction, repair, renovation, rehabilitation or other capital improvement or deferred maintenance of an energy conservation project undertaken by an eligible borrower calculated to produce lifetime cost savings in excess of its cost and, in the case of owners of privately-held real property, “eligible project” shall include, but not be limited to, an energy conservation project eligible under section 53¾ of chapter 44.
“Energy project bonds”, bonds, notes, certificates of participation or beneficial interest, or other evidences of indebtedness or ownership, issued under an executed indenture, financing document or other agreement of the financing entity, the proceeds of which shall be used to finance loans for eligible projects, and that are payable from loan repayments and are further secured by system benefit charges.
“Energy savings analysis”, an analysis performed by an energy efficiency specialist to quantify the costs of the energy efficiency improvements, and total energy and water cost savings realized by the owner, or the owner’s successor, during the useful life of, and estimated carbon impacts of, the energy efficiency improvements, including an annual cashflow analysis.
“Financing entity”, (i) the agency; or (ii) any special purpose entity.
“Financing order”, an order of the department issued under section 19 of chapter 25 which shall provide for a first priority lien on all or a portion of the system benefit charges to further secure energy project bonds.
“Loan”, a direct loan of monies or any other financing arrangement from the agency to an eligible borrower to finance all or a portion of an eligible project.
“Municipal PACE program”, a program implemented and administered by a city or town under section 53E¾ of chapter 44.
“Special purpose entity”, a partnership, limited partnership, association, corporation, limited liability corporation or other entity established and authorized by the agency to issue energy project bonds, subject to approval by the agency as provided by the agency in its resolution authorizing the special purpose entity to issue energy project bonds.
“System benefit charges”, the mandatory charge imposed under section 19 of chapter 25.
(b) The agency shall make loans to or enter into other financing arrangements directly with eligible borrowers for eligible projects or, in the case of eligible projects under the municipal PACE program, shall fund loans made by municipalities to property owners under such program. Such loans shall be funded from energy project bonds issued by the agency or a special purpose entity in accordance with this section or from amounts held in the fund. The agency shall pledge loan repayments received directly from eligible borrowers or from cities and towns on behalf of real property owners under the municipal PACE program to the repayment of the related energy project bonds issued by the agency or by a special purpose entity, as applicable. As further security for any such bonds or debt obligations, the department shall issue financing orders in accordance with section 19 of chapter 25, granting a statutory first priority lien in all or a portion of the system benefit charges as set forth in the financing order.
(c) There shall be a Massachusetts Energy Conservation Project Fund, under the control of the agency, and all energy project bond proceeds of the agency or a special purpose entity, together with any other monies lawfully made available to the fund in order to make loans, shall be credited to the loan account within the fund. The loan account within the fund shall make loans to finance eligible projects. The agency may make loans to eligible borrowers for eligible projects from amounts on deposit or credited to the loan account within the fund. The agency shall hold the fund in a separate account, segregated from all other agency funds. Except as provided in this section, the agency may invest and reinvest the loan account within the fund and the income thereon: (i) in making loans to eligible borrowers for eligible projects; and (ii) in investing funds not required for immediate disbursement in the purchase of such securities as may be lawful investments for fiduciaries in the commonwealth.
(d) Each loan shall be made under a loan agreement between the agency and the eligible borrower. In the case of the municipal PACE program, the agency may accept loan agreements entered into by the municipality and the property owner. All loan agreements, including those entered into under the municipal PACE program, shall specify the security for the loan and the repayment and other terms of the loan.
(e) Under the financing order, the agency shall have a first priority lien on all or a portion of the system benefit charges to provide additional security for any energy project bonds it issues or that are issued by the special purpose entity. Amounts transferred to the agency under any such financing order that are not needed to pay debt service on energy project bonds shall be held in the reserve account within the fund or in a reserve fund created under the financing documents and, in either case, as a reserve securing the energy project bonds in accordance with the financing documents governing the energy project bonds. Any amounts in excess of the required reserve shall be transferred by the agency to the department in accordance with the financing documents governing the energy project bonds. The agency shall hold the reserve account within the fund in a separate account, segregated from all other agency funds. The amount of system benefit charges pledged to secure an energy project bond in accordance with a financing order shall not be limited or adversely affected; provided, however, that a financing order and all rights thereunder shall not be altered or limited until the energy project bonds, together with the interest thereon, are fully met and discharged.
(f) The exercise of the powers granted in this section shall be in all respects for the benefit of the people of the commonwealth by increasing the energy efficiency of buildings in the commonwealth. As the exercise of such powers shall constitute the performance of essential government functions, the financing entity shall not be required to pay any taxes or assessments upon the property acquired or used by the financing entity under this section or upon the income therefrom. The energy project bonds issued under this section, their transfer and the income therefrom, including any profit made on the sale thereof, shall at all times be free from taxation within the commonwealth.
(g) Upon the written approval of the secretary of administration and finance and the secretary of energy and environmental affairs, the agency or the special purpose entity may issue energy project bonds on behalf of the fund. Proceeds of energy project bonds shall be used for the purposes authorized in this section. Energy project bonds issued by any such agency shall be issued as revenue bonds and shall be recourse only to the related loan repayments by eligible borrowers and other monies available in the reserve account within the fund or held under the related financing documents. The agency’s energy project bonds shall not be general obligations of the agency or the commonwealth. The agency’s energy project bonds shall be issued in accordance with section 8; provided, however, that the agency shall not be required to make the findings set forth in subsections (a) and (b) of said section 8. Agency bonds issued in furtherance of this section shall not be subject to, or otherwise included in, the principal amount of debt obligations issued under section 29.
(h) The agency shall be reimbursed from the loan account within the fund for all reasonable and necessary direct costs and expenses incurred in any fiscal year associated with its bond issuance, administration, management and operation of the funds, including reasonable staff time and out-of-pocket expenses and the reasonable and approved administrative costs incurred by any qualified organizations which the agency may contract for services. The agency may establish a minimum reserve to be maintained by the fund to ensure the satisfaction of the administrative costs of the agency and its agents.
(i) In accordance with applicable law, the agency may enter into contracts through a competitive process with qualified organizations to manage all or a portion of the administrative aspects of managing the loan program on behalf of the agency and on behalf of municipalities participating in the municipal PACE program. Contracts executed under this section shall address, but shall not be limited to: (i) proposed rules and guidelines for the funds; (ii) providing technical assistance to potential eligible borrowers and to cities and towns in implementing and managing their municipal PACE programs; (iii) reviewing and evaluating loan applications; (iv) providing findings and recommendations to the agency as to which loans should be approved and awarded; and (v) servicing such loans once they are awarded and funded.
(j) If the agency makes a loan directly to a city or town for an eligible project owned or leased by the city or town in accordance with this section and the city or town fails to pay to the agency when due and after demand any principal, interest or other charges payable under its loan agreement, in addition to other remedies of the agency under the applicable loan agreement, the agency may certify to the state treasurer the amount owing to the agency by the city or town. The state treasurer shall promptly pay over to the agency for application in accordance with the agency’s trust agreement, without further appropriation, any local aid distributions otherwise certified to the state treasurer as payable to the city or town. Payment by the state treasurer under this section shall continue to be made until any deficiency in the city or town’s payments to the agency shall have been offset by the payments from the state treasurer. Any amount paid to the agency by the state treasurer under this section which is later determined, upon audit, to be in excess of the actual amount due to the agency shall, upon demand of the city or town, be repaid from the fund to the state treasurer. The agency may also recover from a city or town in an action in superior court any amount due to the agency together with any other actual damages the agency shall have sustained from the failure or refusal of the city or town to make payments owing to the agency.
(k) For energy efficiency improvements that exceed $500,000, the contractor installing the improvements or the property owner shall provide an energy savings analysis and shall obtain a guarantee on the analysis by obtaining a security in the full amount of the cost savings. The security shall be in any of the following forms, which shall be further specified in regulation: (i) an energy savings insurance policy issued by an A.M. Best "A" or better rated carrier; (ii) an investment grade guarantee; (iii) an energy efficiency bond; (iv) a letter of credit; or (v) cash collateral.
(l) The agency shall develop program guidelines governing the terms and conditions under which state financing may be made available to the commercial sustainable energy program, including, in consultation with representatives from the banking industry, municipalities and property owners, developing the parameters for consent by existing mortgage holders; provided, however, that the agency shall work in consultation with the EEAC, the department of energy resources and electric and natural gas distribution companies and municipal aggregators to ensure that the program will complement and be coordinated with the energy efficiency programs established in sections 19 and 21 of chapter 25. The activities of municipal PACE programs supported by the Massachusetts Energy Conservation Project Fund and subject to the program guidelines shall be reviewed in the 3-year planning process and annual reviews undertaken pursuant to said section 21 of said chapter 25
SECTION 11. The General Laws are hereby amended by inserting after chapter 23K the following chapter:-
CHAPTER 23L
LOCAL INFRASTRUCTURE DEVELOPMENT PROGRAM
Section 1. As used in this chapter, the following words shall, unless the context clearly requires otherwise, have the following meanings:
“Agency”, the Massachusetts Development Finance Agency established in section 2 of chapter 23G.
“Amended improvement plan”, a plan describing any change to the improvement plan with respect to the boundaries of a development zone or any material change to the method of assessing costs, description of improvements, the maximum cost of the improvements or method of financing the improvements that is approved through the same procedures as the original improvement plan adopted under this chapter.
“Assessing party”, the municipalities identified in the improvement plan to assess any infrastructure assessments in the development zone.
“Cost”, shall include the cost of: (i) construction, reconstruction, renovation, demolition, maintenance and acquisition of all lands, structures, real or personal property, rights, rights-of- way, utilities, franchises, easements and interests acquired or to be acquired by the public facilities owner; (ii) all labor and materials, machinery and equipment, including machinery and equipment needed to expand or enhance services from the municipality, the commonwealth or any other political subdivision thereof to the development zone; (iii) financing charges and interest prior to and during construction, and for 1 year after completion of the improvements, interest and reserves for principal and interest, including costs of municipal bond insurance and any other type of credit enhancement or financial guaranty and costs of issuance; (iv) extensions, enlargements, additions, and enhancements to improvements; (v) architectural, engineering, financial and legal services; (vi) plans, specifications, studies, surveys and estimates of costs and revenues; (vii) administrative expenses necessary or incident to the construction, acquisition and financing of the improvements; and (viii) other expenses necessary or incident to the construction, acquisition, maintenance and financing of the improvements.
“Development zone”, one or more parcels of real estate in the municipality, contiguous or not, described in the improvement plan and to be benefited by the improvements and subject to infrastructure assessments as described in the improvement plan.
“Improvement plan”, a plan set forth in the petition for the establishment of a development zone setting forth the proposed improvements, services and programs, revitalization strategy, replacement and maintenance plan, the cost estimates for the improvements and the replacement and maintenance program, the identity of the public facilities owners and the administrator of the plan, the boundaries of the development zone, the analysis of any costs of financing the improvements, the identification of the assessing party, the method and structure of the infrastructure assessments, the allocation of assessments among parcels, the selection of any or all of the assessing powers listed in section 4 that shall be utilized by the assessing party within the development zone, a statement that no funds of the municipality shall be used to pay infrastructure assessments, a description of the infrastructure development project within the development zone, the proposed use of any bonds or notes to finance the project by the agency, including the possible use of any refunding bonds or notes, the participation of the agency, if any, in a district improvement financing program as described in section 7, and if so, a description of any assessing powers to be utilized and the amount of assessments to be levied and assessed on the real estate in the development zone.
“Improvements”, the acquiring, laying, constructing, improving and operating of capital improvements to be owned by a public facilities’ owner including, but not limited to, storm drainage systems, dams, sewage treatment plants, sewers, water and well systems, roads, bridges, sound barriers, culverts, tunnels, streets, sidewalks, lighting, traffic lights, signage and traffic control systems, parking, including garages, public safety and public works buildings, marine facilities, such as piers, wharfs, bulkheads and sea walls, transportation stations and related facilities, fiber and telecommunication systems, facilities to produce and distribute electricity, including alternate energy sources such as co-generation and solar installations, and other infrastructure-related improvements; provided, however, that “improvements” shall not include improvements located in, or serving, gated communities, not including age restricted developments operated by nonprofit organizations, that prohibit access to the general public and any type of improvement that is specifically prohibited in the United States Internal Revenue Code from using tax-exempt financing.
“Infrastructure assessments”, assessments, betterments, special assessments, charges or fees as described in this chapter and the improvement plan and assessed by the assessing party upon the real estate within the development zone to defray the cost of improvements financed under this chapter.
“Infrastructure development project”, the acquisition, construction, expansion, improvement or equipping of improvements serving any new or existing commercial, retail, industrial, residential or mixed use project.
“Municipal governing body”, in a city, the city council with the approval of the mayor, in a city having a Plan D or Plan E form of charter, the city council with the approval of the city manager, in a town with a town council form of government, the town council, and the board of selectmen in a town with a town meeting form of government.
“Municipality”, a city or town, or multiple cities and towns, if the development zone is located in more than 1 municipality.
“Person”, an individual or corporation, including a body politic and corporate, public department, office, agency, authority or political subdivision of the commonwealth, other corporation, trust, limited liability company, society, association or partnership or a subordinate instrumentality of a political subdivision of the commonwealth.
“Petition”, the document initiating the creation of a development zone as described in subsection (b) of section 2.
“Project”, an infrastructure development project.
“Public facilities owner”, a municipality, the commonwealth or any other political subdivision, agency or public authority of the commonwealth identified in the improvement plan as an owner of the improvements described in an improvement plan or an amended improvement plan.
Section 2. (a) Notwithstanding any general or special law or charter provision, by-law or ordinance to the contrary, a municipality, acting through its municipal governing body, may establish development zones under this chapter. In the event that 2 or more municipalities elect to jointly establish or consolidate contiguous development zones, the municipal governing body of each municipality wherein the development zone shall be located shall approve by a majority vote the petition for the establishment of such a development zone.
(b) The establishment of a development zone shall be initiated by the filing of a petition signed by all persons owning real estate within the proposed development zone in the office of the clerk of the municipality and the office of the agency. The petition shall contain at least:
(1) a legal description of the boundaries of the proposed development zone;
(2) the written consent to the establishment of the development zone and to the adoption of the improvement plan or an amended improvement plan, by the persons with the record ownership of 100 per cent of the acreage to be included in the development zone; provided, however, that any real estate owned by the commonwealth or an agency or political subdivision thereof, included in the boundaries of the development zone, shall not be included in the count of persons owning tax parcels or acreage in the proposed development zone for the purposes of this clause;
(3) the name of the proposed development zone;
(4) a map of the proposed development zone, showing its boundaries and any current public improvements which may be added to or modified by any improvements;
(5) the estimated timetable for construction of the improvements;
(6) estimates of any other private or public funding sources;
(7) the improvement plan for the proposed development zone; and
(8) the procedure by which the municipality shall be reimbursed for any costs incurred by it in establishing the development zone and for any administrative costs to be incurred in the administration and collection of infrastructure assessments imposed within the proposed development zone.
Section 3. (a) Upon receipt of a petition under section 2, the municipal governing body shall, within 120 days of such receipt, hold a public hearing on the petition. Written notification of the hearing and a summary of the petition and the improvement plan shall be provided by the clerk of the municipality to all owners and tenants of properties in the proposed development zone and the regional planning agency, not later than 14 days before the hearing, by mailing a notice to the address listed in the municipality’s property tax records or other appropriate listings of owners and residents. Notification of the hearing shall be published once a week for 2 consecutive weeks in a newspaper of general circulation in the municipality and in a newspaper of general circulation in all municipalities within ½ mile of the borders of the proposed development zone, the first such publication to be at least 14 days before the hearing. The public notice shall state the proposed boundaries of the development zone, the improvements proposed to be provided in the development zone, the proposed basis for determining any infrastructure assessments with respect to those improvements and any locations for viewing and copying the petition, including the improvement plan.
(b) A public hearing under subsection (a) shall be held to determine if the petition satisfies the criteria of this chapter for a development zone and to obtain public comment regarding the improvement plan and the effect that the development zone may have on the owners of real estate, tenants and other persons within the development zone and on the municipality or adjacent communities. Within 90 days after the conclusion of the public hearing and in conjunction with regional planning agencies, the municipal governing body shall issue recommendations on the petition; provided, however, that the recommendations shall include, but not be limited to, the following findings:
(1) whether the establishment of the development zone is consistent with any applicable element or portion of a master plan of the municipality, which shall be confirmed in writing by the municipality’s planning board; and
(2) whether the proposed improvements in the development zone will be compatible with the capacity and uses of existing local and regional infrastructure services and facilities;
and provided further, that no municipality which is subject to the jurisdiction of a regional planning agency with regulatory authority shall vote on a petition to establish the development zone and the improvement plan without first receiving the approval of the designation from the regional planning agency in writing.
(c) Within 21 days after receipt of the recommendation required under subsection (b), the municipal governing body shall vote on the petition to establish the development zone and the improvement plan.
(d) Upon the approval of the petition by a majority vote of the municipal governing body under subsection (c), notice of such approval shall be promptly filed with the clerk of the municipality, the agency and the secretary of the commonwealth. Upon such filing, the development zone shall be deemed established and the improvement plan shall be deemed approved.
(e) The public facilities’ owner shall have all rights and powers necessary or convenient to carry out and effectuate this chapter that are consistent with the improvement plan as approved by the municipal governing body, including, but not limited to, the authority:
(1) to make and enter into all contracts and agreements necessary or incidental to the exercise of any power granted by this chapter, including agreements with the municipality, the commonwealth, the agency and any other municipality or political entity or utility for the provision of services that are necessary to the acquisition, construction, operation or financing of the improvements within the development zone;
(2) to purchase or acquire by lease, lease-purchase, sale and lease-back, gift or devise or to obtain or grant options for the acquisition of any property, real or personal, tangible or intangible, or any interest therein, in the exercise of its powers and the performance of its duties and to acquire real estate or any interest therein, within the boundaries of the development zone itself, if authorized in the improvement plan, and to acquire real estate or any interest therein outside the boundaries of the development zone, necessary for the acquisition, construction and operation of the improvements or services relating thereto that are located within the development zone or are related to or provided by the public facilities’ owner;
(3) to construct, improve, extend, equip, enlarge, repair, maintain and operate and administer the improvements for the benefit of the development zone within or without the development zone and to acquire existing improvements or construct new improvements, including those located under or over any roads, public ways or parking areas and to enter upon and excavate any private land within the development zone for the purpose of constructing the improvements or repairing the same;
(4) to accept goods or gifts of funds, property or services from any source, public or private;
(5) to sell, lease, mortgage, exchange, transfer or otherwise dispose of or grant options for any such purposes with respect to any of the improvements, real or personal, tangible or intangible, within the development zone or serving the development zone or any interest therein;
(6) to pledge or assign any money, infrastructure assessments or other revenues relating to any improvements within or related to the development zone and any proceeds derived therefrom;
(7) to enter into contracts and agreements with the municipality, the agency, the commonwealth or any political subdivision thereof, the property owners of the development zone and any public or private party with respect to all matters necessary, convenient or desirable for carrying out this chapter including, but not limited to, the acquisition of existing improvements, collection of revenue, data processing and other matters of management, administration and operation and to make other contracts of every name and nature and execute and deliver all instruments necessary or convenient for carrying out any of its purposes;
(8) to exercise the powers and privileges of, and to be subject to the limitations upon, municipalities provided in sections 38 to 42K, inclusive, of chapter 40 and chapters 80 and 83, insofar as such provisions may be applicable and consistent with this chapter; provided, however, that any requirement in said sections 38 to 42K, inclusive, of said chapter 40 and in said chapters 80 and 83 for a vote by the governing body of a municipality or for a vote by the voters of a municipality, shall be satisfied by a vote or resolution duly adopted by the board of selectmen, city council or town council as the case may be;
(9) to invest any funds in such manner and to the extent permitted under the General Laws for the investment of such funds by the treasurer of a municipality;
(10) to employ such assistants, agents, employees and persons as may be necessary in the public facilities’ owner’s judgment and to fix their compensation according to the terms of the improvement plan;
(11) to procure insurance against any loss or liability that may be sustained or incurred in carrying out this chapter in such amount as the public facilities’ owner shall deem necessary and appropriate with insurers licensed to furnish such insurance in the commonwealth;
(12) to apply for any loans, grants or other types of assistance from the United States government, the commonwealth or any political subdivision thereof that are described in the improvement plan or any amended improvement plan;
(13) to adopt an annual budget and to raise, appropriate and assess funds in amounts necessary to carry out the purposes for which development zone is formed as described in this chapter and the improvement plan;
(14) to sue and be sued in its own name, plead and be impleaded; and
(15) to do all things necessary, convenient or desirable for carrying out this chapter.
Section 4. (a) Consistent with the improvement plan, the assessing party may fix, revise, charge, collect and abate infrastructure assessments, for the cost, maintenance, operation and administration of the improvements imposed on the real estate, leaseholds or other interests therein, located in the development zone. All real estate within a development zone owned by the commonwealth or any political subdivision, political instrumentality, agency or public authority thereof shall be exempt from such charges unless the charges are specifically accepted by the commonwealth, political subdivision, political instrumentality, agency or public authority. In providing for the payment of the cost of the improvements or for the use of the improvements, the assessing party may avail itself of the provisions of the General Laws relative to the assessment, apportionment, division, fixing, reassessment, revision, abatement and collection of infrastructure assessments by cities and towns or the establishment of liens therefor and interest thereon and the procedures set forth in sections 5 and 5A of chapter 254 for the foreclosure of liens arising under section 6 of chapter 183A, as it shall deem necessary and appropriate for purposes of the assessment and collection of infrastructure assessments. The assessing party shall file copies of the improvement plan and any amendments thereof, and all schedules of assessments with the appropriate registry of deeds and the municipality’s assessors’ records so that notice thereof shall be reported on a municipal lien certificate for any real estate parcel located in a development zone. Notwithstanding any general or special law to the contrary, the assessing party may pay the entire cost of any improvements, including the acquisition thereof, during construction or after completion, or the debt service of notes or bonds used to fund such costs, from infrastructure assessments and may establish such infrastructure assessments before, during or within 1 year after completion of construction or acquisition of any improvements. The assessing party may establish a schedule for the payment of infrastructure assessments not to exceed 25 years. The assessing party shall hold at least 1 public hearing on its schedule of infrastructure assessments or any revision thereof prior to adoption by the assessing party, notice of which shall be delivered to the municipality and published in a newspaper of general circulation in the municipality at least 14 days in advance of the hearing. No later than the date of the publication, the assessing party shall make available to the public and deliver to the municipality the proposed schedule of infrastructure assessments.
Notwithstanding any general or special law to the contrary, the assessing party may contract with the agency for any services required by the assessing party regarding the assessment, apportionment, division, fixing, reassessment, revision, collection and enforcement of infrastructure assessments hereunder and the fees, costs and other expenses thereof may be included in the calculation of the infrastructure assessments levied by the assessing party hereunder.
The infrastructure assessments established by the assessing party in accordance with this chapter shall be fixed in respect of the aggregate thereof so as to provide revenues at least sufficient to: (i) pay the administrative expenses of the assessing party and the agency; (ii) pay the principal of, premium, if any, and interest on bonds, notes or other evidences of indebtedness of the agency under this chapter as the same becomes due and payable; (iii) create and maintain such reasonable reserves as may be reasonably required by any trust agreement or resolution securing bonds; (iv) provide funds for paying the cost of the operation and necessary maintenance, repairs, replacements and renewals of the improvements; and (v) pay or provide for any amounts that the agency, including reasonable administrative fees, may be obligated to pay or provide for by law or contract, including any resolution or contract with or for the benefit of the holders of its bonds and notes.
Notwithstanding any general or special law to the contrary, the agency shall not be precluded from carrying out its obligations under this chapter if it has previously provided technical, real estate, lending, financing or other assistance to: (i) an infrastructure development project including, but not limited to, a project in which the agency may have an economic interest; (ii) a development zone; or (iii) a municipality associated with, or that may benefit from, an infrastructure development project.
(b) As an alternative to levying infrastructure assessments under any other provision of this chapter or any other General Law, the assessing party may levy special assessments on real estate, leaseholds or other interests therein within the development zone to finance the cost of the improvements and the maintenance, repair, replacement and renewal thereof, and the expense of administration thereof. In determining the basis for and amount of the special assessment, the cost of the improvements and the maintenance, repair, replacement and renewal thereof, and the expense of administration thereof, including the cost of the repayment of the debt issued or to be issued by the agency to finance the improvements, may be calculated and levied using any of the following methods that result in fairly allocating the costs of the improvements to the real estate in the development zone:
(1) equally per length of frontage or by lot, parcel or dwelling unit or by the square footage of a lot, parcel or dwelling unit;
(2) according to the value of the property as determined by the municipality’s board of assessors; or
(3) in any other reasonable manner that results in fairly allocating the cost, administration and operation of the improvements according to the benefit conferred or use received including, but not limited to, by classification of commercial or residential use or distance from the improvements.
The assessing party, consistent with the improvement plan, may also provide for the following:
(1) a maximum amount to be assessed with respect to any parcel;
(2) a tax year or other date after which no further special assessments under this section shall be levied or collected on a parcel;
(3) annual collection of the levy without subsequent approval of the assessing party;
(4) the circumstances under which the special assessments may be reduced or abated; and
(5) the prepayment of infrastructure assessments under this chapter under procedures that may be established by the assessing party.
(c) Infrastructure assessments levied under this chapter shall be collected and secured in the same manner as property taxes, betterments and assessments and fees owed to the municipality unless otherwise provided by the assessing party and shall be subject to the same penalties and the same procedures, sale and lien priority in case of delinquency as is provided for such property taxes, betterments, assessments and fees owed to the municipality. Any liens imposed by the municipality for the payment of property taxes and any betterments and assessments and fees within the development zone shall have priority in payment over any liens placed on real estate within the development zone.
(d) Notwithstanding any general or special law to the contrary, the agency, the municipality or any other public facilities’ owner may contract with owners of real estate within a development zone to acquire or undertake improvements within the development zone. Upon completion, such improvements shall be conveyed to the public facilities owner; provided, however, that the consideration for the conveyance shall be limited to the cost thereof.
Section 5. (a) In addition to the powers granted under chapters 23G and 40D, the agency may borrow money and issue and secure its bonds for financing improvements as provided in and subject to this chapter; provided, however, that said chapters 23G and 40D shall apply to bonds issued under this section, except that subsection (b) of section 8 of said chapter 23G and section 12 of said chapter 40D shall not apply to bonds issued under this chapter or the improvements financed thereby; and provided further, that the improvements financed by the agency under this chapter shall constitute a project within the meaning of section 1 of said chapter 23G and section 1 of said chapter 40D, but shall not be considered facilities to be used in a commercial enterprise. With respect to the issuance of bonds or notes for the purposes of this chapter in the event of a conflict between this chapter and chapter 23G, this chapter shall control.
Nothing in this chapter shall be construed to limit or otherwise diminish the power of the agency to finance the costs of projects authorized under said chapters 23G and 40D within the development zone or the municipality upon compliance with said chapters 23G and 40D.
(b) The agency may provide by resolution of its board of directors for the issuance of bonds or notes of the agency for any of the purposes set forth in this chapter. Bonds issued hereunder shall be special obligations payable solely from particular funds and revenues generated from infrastructure assessments levied under this chapter as provided in the resolution. No bonds or notes shall be issued by the agency under this chapter until the agency’s board of directors has determined that the bonds or notes trust agreement and any related financing documents are reasonable and proper and comply with this chapter. The agency may charge a reasonable fee in connection with the review of such documentation by its staff and board of directors. Without limiting the generality of the foregoing, such bonds may be issued to pay or refund notes issued under this chapter, to pay the cost of acquiring, laying, constructing and reconstructing the improvements. The bonds of each issue shall be dated, shall bear interest at the rates, including rates variable from time to time, and shall mature at such times not exceeding 25 years from their dates, as determined by the agency, and may be redeemable before maturity, at the option of the agency or the holder thereof, at such price and under such terms and conditions as may be fixed by the agency before the issuance of the bonds. The agency shall determine the form of the bonds and the manner of execution of the bonds and shall fix the denomination of the bonds and the place of payment of principal and interest, which may be at any bank or trust company within or without the commonwealth and such other locations as designated by the agency. In the event an officer whose signature or a facsimile of whose signature shall appear on any bonds shall cease to be an officer before the delivery of the bonds, the signature or facsimile shall be valid and sufficient for all purposes to the same extent as if the officer had remained in office until the delivery. The bonds shall be issued in registered form. The agency may sell the bonds in a manner and for a price, either at public or private sale, as it may determine to be for the best interests of the development zone.
Before the preparation of definitive bonds, the agency may, under like restrictions, issue interim receipts or temporary bonds exchangeable for definitive bonds when the bonds have been executed and are available for delivery. The agency may also provide for the replacement of any bonds that shall become mutilated, destroyed or lost. The issuance of the bonds, the maturities, and other details thereof, the rights of the holders thereof, and the agency in respect of the same, shall be governed by this chapter insofar as the same may be applicable.
While any bonds or notes of the agency remain outstanding, its powers, duties or existence shall not be diminished or impaired in any way that will affect adversely the interests and rights of the holders of such bonds or notes. Bonds or notes issued under this chapter, unless otherwise authorized by law, shall not be deemed to constitute a debt of the commonwealth or the municipality or a pledge of the faith and credit of the commonwealth or of the municipality, but the bonds or notes shall be payable solely by the agency as special obligations payable from particular funds collected from infrastructure assessments levied under this chapter and any revenues derived from the operation of the improvements. Any bonds or notes issued by the agency under this chapter shall contain on their face a statement to the effect that neither the commonwealth, nor the municipality, shall be obliged to pay the same or the interest thereon, and that the faith and credit or taxing power of the commonwealth, the municipality or the agency is not pledged to the payment of the bonds or notes. All bonds or notes issued under this chapter shall have all the qualities and incidents of negotiable instruments as defined in section 3-104 of chapter 106.
Issuance by the agency of bonds or notes for any purpose shall not preclude the agency from issuing other bonds or notes in connection with the same project or any other project; provided, however, that the resolution or trust indenture wherein any subsequent bonds or notes may be issued shall recognize and protect any prior pledge made for any prior issue of bonds or notes unless, in the resolution or trust indenture authorizing such prior issue, the right is reserved to issue subsequent bonds on a parity with such prior issue.
(c) In the discretion of the agency, bonds issued under this chapter may be secured by a trust agreement between the agency and the bond owners or a corporate trustee which may be any trust company or bank having the powers of a trust company within or without the commonwealth. A trust agreement may pledge or assign, in whole or in part, the revenues, funds and other assets or property held or to be received by the assessing party or the agency including, without limitation, all monies and investments on deposit from time to time in any fund of the assessing party or the agency or any account thereof and any contract or other rights to receive the same, whether then existing or thereafter coming into existence and whether then held or thereafter acquired by the assessing party or the agency, and the proceeds thereof. A trust agreement may pledge or assign, in whole or in part, assessments, development zone revenues, funds and other assets or property relating to the development zone held or to be received by the assessing party or the agency. A trust agreement may contain, without limitation, provisions for protecting and enforcing the rights, security and remedies of the bondholders, provisions defining defaults and establishing remedies, which may include acceleration, and may also contain restrictions on the remedies by individual bondholders. A trust agreement may contain covenants of the agency concerning the custody, investment and application of monies, the issue of additional or refunding bonds, the use of any surplus bond proceeds, the establishment of reserves and the regulation of other matters customarily treated in trust agreements. A bank or trust company may act as a depository of any fund of the assessing party or the agency or trustee under a trust agreement if the bank or trust company furnishes such indemnification and reasonable security as the agency may require. Any assignment or pledge of revenues, funds and other assets and property made by the assessing party or the agency shall be valid and binding and shall be deemed continuously perfected for the purposes of chapter 106 and other laws when made. The revenues, funds and other assets and property, rights therein and thereto and proceeds so pledged and then held or thereafter acquired or received by the assessing party or the agency shall immediately be subject to the lien of such pledge without any physical delivery or segregation or further act, and the lien of any such pledge shall be valid and binding against all parties having claims of any kind in tort, contract or otherwise against the trust, whether or not such parties have notice thereof. The trust agreement by which a pledge is created shall not be required to be filed or recorded to perfect the pledge except in the records of the agency and no filing shall be required under said chapter 106. Any pledge or assignment made by the agency shall be an exercise of its political and governmental powers, and revenues, funds, assets, property and contract or other rights to receive the same and the proceeds thereof which are subject to the lien of a pledge or assignment created under this chapter shall not be applied to any purposes not permitted by the pledge or assignment.
(d) The agency may issue notes of the agency in anticipation of federal, state or local grants for the cost of acquiring, constructing or improving the development zone’s improvements or in anticipation of bonds to be issued under this chapter. Such notes shall be authorized, issued and sold in the same manner as, and shall otherwise be subject to, the other provisions of this chapter. Such notes shall mature at such times as provided by the issuing resolution of the agency and may be renewed from time to time; provided, however, that all such notes and renewals thereof shall mature on or before 20 years from their date of issuance.
(e) In addition to other security provided herein, or otherwise provided by law, bonds, notes or obligations issued by the agency under this chapter may be secured, in whole or in part, by a letter of credit, line of credit, bond insurance policy, liquidity facility or other credit facility for the purpose of providing funds for payments in respect of bonds, notes or other obligations required by the holder thereof to be redeemed or repurchased prior to maturity or for providing additional security for such bonds, notes or other obligations. In connection therewith, the agency may enter into reimbursement agreements, remarketing agreements, standby bond purchase agreements and any other necessary or appropriate agreements. The assessing party may pledge or assign any of its revenues as security for the reimbursement by it to the agencies or providers of such letters of credit, lines of credit, bond insurance policies, liquidity facilities or other credit facilities of any payments made under the letters of credit, lines of credit, bond insurance policies, liquidity facilities or other credit facilities.
(f) In connection with, or incidental to, the issuance of bonds, notes or other obligations, the agency may enter into such contracts as the agency may determine to be necessary or appropriate relative to the issuance thereof and the interest payable thereon or to place the bonds, notes or other obligations of the agency, as represented by the bonds or notes, or other obligations in whole or in part, on such interest rate or cash flow basis as the agency may determine appropriate including, without limitation, interest rate swap agreements, insurance agreements, forward payment conversion agreements, futures contracts, contracts providing for payments based on levels of, or changes in, interest rates or market indices, contracts to manage interest rate risk including, without limitation, interest rate floors or caps, options, puts, calls and similar arrangements. Such contracts shall contain such payment, security, default, remedy and other terms and conditions as the agency may deem appropriate and shall be entered into with such parties as the agency may select, after giving due consideration, where applicable, for the creditworthiness of any counter party, including any rating by a nationally recognized rating agency, the impact on any rating on outstanding bonds, notes or other obligations or any other criteria the agency may deem appropriate.
(g) The agency may use any funds available therefor to purchase its bonds or notes. The agency may hold, pledge, cancel or resell such bonds or notes, subject to and in accordance with agreements with bondholders. The agency may issue refunding bonds for the purpose of paying any of its bonds at maturity or upon acceleration or redemption. Refunding bonds may be issued at such times prior to the maturity or redemption of the refunded bonds as the agency deems to be in the public interest. Refunding bonds may be issued in sufficient amounts to pay or provide for the principal of the bonds being refunded, together with any redemption premium thereon, any interest accrued or to accrue to the date of payment of such bonds, the expense of issuing the refunding bonds, the expense of redeeming bonds being refunded and such reserves for debt service or other capital from the proceeds of such refunding bonds as may be required by a trust agreement or resolution securing the bonds and, if considered advisable by the agency, for the additional purpose of the acquisition, construction or reconstruction and extension or improvement of improvements. All other provisions relating to the issuance of refunding bonds shall be as set forth in this chapter insofar as the same may be applicable.
(h) All moneys received under this chapter, whether as proceeds from the issue of bonds or notes or as revenue or otherwise, shall be deemed trust funds to be held and applied solely as provided in this chapter.
(i) Bonds or notes issued under this chapter shall be securities in which all public officers and public bodies of the commonwealth and its political subdivisions, all insurance companies, trust companies in their commercial departments and within the limits set by the General Laws, banking associations, investment companies, executors, trustees and other fiduciaries, and all other persons whatsoever who are now or may hereafter be authorized to invest in bonds or other obligations of a similar nature may properly and legally invest funds, including capital in their control and belonging to them and the bonds shall be obligations that may properly and legally be made eligible for the investment of savings deposits and income thereof in the manner provided in section 2 of chapter 167E. The bonds or notes shall be securities that may properly and legally be deposited with and received by any state or municipal officer or any agency or political subdivision of the commonwealth for any purpose for which the deposit of bonds or other obligations of the commonwealth is now or may hereafter be authorized by law.
Notwithstanding any general or special law to the contrary or any provision in their respective charters, agreements of associations, articles or organization or trust indentures, domestic corporations organized for the purpose of carrying on business within the commonwealth including, without limitation, any electric or gas company as defined in section 1 of chapter 164, railroad corporation as defined in section 1 of chapter 160, financial institutions, trustees and the municipality may acquire, purchase, hold, sell, assign, transfer or otherwise dispose of any bonds, notes, securities or other evidences of indebtedness of the agency provided that they are rated similarly to other governmental bonds or notes and make contributions to the agency, all without the approval of any regulatory authority of the commonwealth.
(j) Any holder of bonds or notes issued under this chapter, and a trustee under a trust agreement, except to the extent its rights may be restricted by the trust agreement, may, either at law or in equity, by suit, action, mandamus or other proceeding, protect and enforce all rights under the laws of the commonwealth or granted hereunder or under the trust agreement and may enforce and compel the performance of all duties required by this chapter or by the trust agreement, to be performed by the agency or by any officer thereof.
(k) Notwithstanding this chapter or any recitals in any bonds or notes issued under this chapter, all such bonds or notes shall be deemed to be investment securities under chapter 106.
(l) Bonds or notes may be issued under this chapter without obtaining the consent of any department, division, commission, board, bureau or agency of the commonwealth or the municipality, and without any proceedings or the happening of any other conditions or things other than those proceedings, conditions or things that are specifically required by this chapter, and the validity of and security for any bonds or notes issued by the agency shall not be affected by the existence or nonexistence of any such consent or other proceedings, conditions or things.
Section 6. Bonds or notes issued by the agency and their transfer and their interest or income, including any profit on the sale thereof, and the improvements belonging to the public facilities’ owner shall at all times be exempt from taxation within the commonwealth; provided, however, that nothing in this chapter shall limit or restrict the ability of the commonwealth or the municipality to otherwise tax the individuals and companies or their real or personal property or any person living or business operating within the boundaries of the development zone.
Section 7. For purposes of this chapter, the agency may issue bonds secured by infrastructure assessments under and according to the terms of chapter 40Q. With the approval of the municipal governing body, the agency may issue its bonds in place of those of the municipality under chapter 40Q provided that the municipality has fulfilled all requirements set forth in said chapter 40Q that would be required of the municipality if it were itself issuing bonds under said chapter 40Q. In addition, the municipality shall include in its invested revenue district development program as defined in said chapter 40Q, a description of the rights and responsibilities of the assessing party, the agency and the municipality with respect to the program. In such case, the municipality may designate the agency as the issuer of bonds under said chapter 40Q for the purpose of financing any of the project costs as defined in said chapter 40Q and that are located in, or functionally serving the needs of, the development zone. The municipality shall determine the percentage of the captured assessed valuation, as defined in said chapter 40Q, of property within the boundaries of the development zone that the municipality is pledging under an invested revenue district development program as defined in said chapter 40Q for the payment of the agency’s bonds. With the written agreement of the persons owning specific tax parcels in the development zone, the assessing party may adopt a plan whereby any of the assessing powers described in this chapter are made applicable exclusively to those parcels in order to secure and fund the debt service for the bonds. The project costs as defined in said chapter 40Q shall not be reduced by the amount of the revenues derived under this chapter and the revenues derived from such a plan may be made contingent upon or abated, in whole or in part, by the assessing party upon the receipt of the anticipated revenues generated through the pledged captured assessed valuation. At its option, the municipality may waive any adjustment for the inflation factor as defined in said chapter 40Q in order to increase the captured assessed valuation available to finance improvements benefiting the development zone. The assessing party, the agency and the municipality shall enter into an agreement delineating the rights and responsibilities of each under such district improvement financing.
Section 8. The agency may make representations and agreements for the benefit of the holders of the agency’s bonds and notes or other obligations to provide secondary market disclosure information. The agreement may include: (1) covenants to provide secondary market disclosure information; (2) arrangements for such information to be provided with the assistance of a paying agent, trustee, dissemination or other agent; and (3) remedies for breach of the agreements, which remedies may be limited to specific performance.
Section 9. The collector-treasurer of each municipality, at the option of the municipality and the agency, may collect any infrastructure assessments, including any recording fees, on behalf of the agency under an agreement between the municipality and the agency and to disburse the funds to any designated management entity or financial institution selected by the agency. The collector-treasurer shall disburse revenues to the management entity or financial institution within 30 days after the collection of such fees, together with the interest earned on the holding of such fees.
Section 10. (a) If any provision of this chapter is inconsistent with any general or special law, administrative order or regulation or any resolution or ordinance of the municipality, this chapter shall control. Without limiting the generality of the foregoing, no provision of any resolution or ordinance of the municipality requiring ratification by the voters of certain bond issues shall apply to the issuance of bonds or notes of the agency under this chapter, nor shall any such provision be applicable to the manner of voting or the limitations as to the amount and time of payment of debts incurred by the agency.
(b) Except as specifically provided in this chapter, all other statutes, ordinances, resolutions, rules and regulations of the commonwealth and the municipality shall be fully applicable to the property, property owners, residents and businesses located in the development zone. This chapter shall not obligate the municipality or the agency to pay any costs for the acquisition, construction, equipping or operation and administration of the improvements located within the development zone.
SECTION 12. Section 19 of chapter 25 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by inserting after subsection (a) the following subsection:-
(a½) Upon receiving notice from the Massachusetts Development Finance Agency that energy project bonds are to be issued under section 45 of chapter 23G, the department shall issue financing orders, granting a first priority lien on the mandatory charge established by the first sentence of subsection (a) and all or a portion of the amounts collected pursuant thereto, as set forth in such financing order to secure such energy project bonds. The financing orders shall grant a lien on such portion of those amounts as the department finds to be in the public interest and necessary to secure bonds in the aggregate amount of not more than $500,000,000. The department shall establish procedures for the expeditious processing of applications for financing orders, including the approval or disapproval thereof within 120 days of the filing of notice by the Massachusetts Development Finance Agency. In processing an application, the department shall consider program guidelines developed by that agency for municipal PACE programs and recommendations of the energy efficiency advisory council, the department of energy resources and electric and natural gas distribution companies and municipal aggregators.Upon the effective date of a financing order, unless otherwise directed by the department, there shall exist a first priority lien on all mandatory charges imposed by subsection (a) then existing or thereafter arising under the terms of the financing order. This lien shall arise by operation of this subsection automatically without any action on the part of the department, the agency, any special purpose entity, as defined in said section 45 of said chapter 23G, or any other person. This lien shall secure all obligations then existing or subsequently arising to the holders of such energy project bonds, the trustee or representative for such holders and any other entity specified in the financing order. The person for whose benefit this lien is established shall, upon the occurrence of any defaults specified in the financing order, have all the rights and remedies of a secured party upon default under article 9 of chapter 106 and shall be entitled to foreclose or otherwise enforce this statutory lien on the mandatory charges. This lien shall attach to such mandatory charges regardless of who shall own, or shall subsequently be determined to own, the mandatory charges, including any electric distribution company and municipal aggregator, any affiliate thereof, the agency or special purpose entity or any other person. The lien shall be valid, perfected and enforceable against all third parties upon the effectiveness of the financing order without any further public notice; provided, however, that any person may file a financing statement. A perfected statutory lien on the mandatory charges shall be a continuously perfected lien on all revenues and proceeds arising with respect thereto, whether or not the revenues or proceeds have accrued. The electric and natural gas distribution companies and municipal aggregators shall ensure that payment of debt service on energy project bonds upon the occurrence of any defaults shall not reduce, restrict or limit the funding available for energy efficiency programs serving customer classes not participating in the programs supported by the Massachusetts Energy Conservation Project Fund.
The department may issue financing orders in accordance with this section to facilitate the financing or refinancing of energy projects, as defined in said section 45 of said chapter 23G. A financing order shall specify that amounts collected under the mandatory charges set forth in subsection (a) shall be allocated first to the energy project bonds, and shall be paid over to the agency upon receipt, and second to other projects financed in accordance with this subsection. Financing orders issued under this subsection shall not constitute a debt or liability of the commonwealth or of any political subdivision thereof and shall not constitute a pledge of the faith and credit of the commonwealth or any of its political subdivisions, but shall be payable solely from the funds provided in said section 45 of said chapter 23G and this subsection.
SECTION 12A. Chapter 29 of the General Laws is hereby amended by striking out section 2FFF, as so appearing, and inserting in place thereof the following section:-
Section 2FFF. (a) There shall be established and set up on the books of the commonwealth a separate fund to be known as the Dam Repair and Removal Revolving Loan Fund, the proceeds of which shall be used to provide low-interest long-term loans to private dam owners and cities and towns to inspect, repair and remove dams. The fund shall consist of the following monies: (i) any appropriations, bond proceeds or other monies authorized by the general court and specifically designated for deposit into the fund; (ii) loan repayments and other payments received by the fund in respect to loans to private dam owners and cities and towns; (iii) investment earnings on monies in the fund; (iv) any other amounts required to be credited to the fund by any law, resolution or agreement entered into by the department of conservation and recreation; and (v) notwithstanding any general or special law to the contrary, upon receiving a written request from the secretary of administration and finance, the comptroller shall transfer to the Dam Safety, Repair and Removal Trust the unexpended balance of a fund, trust fund or other separate account in existence on April 1, 2012, including the balance of any amounts transferred to the Water Pollution Abatement Trust by the state treasurer under paragraph (a) of section 16 of chapter 275 of the acts of 1989 for the Water Pollution Abatement Revolving Fund, and applied to the trust to make loans to local governmental units under section 26 of chapter 203 of the acts of 1992, including repayments of such loans and any investment earnings thereon, whether established administratively or by law, and including a separate account established under section 6 of chapter 6A or section 4F of chapter 7; provided, however, the secretary and comptroller shall report to the house and senate committees on ways and means 45 days prior to any such transfer. The request shall certify that the secretary, in consultation with the comptroller, has determined this balance not to be necessary for the purposes for which it was made available.
(b) The amounts credited to the fund shall be available for expenditure subject to appropriation, by the department of environmental management and the department of conservation and recreation up to an amount of $250,000 each fiscal year for the costs associated with the operations of the office of dam safety within the department, but such expenditures shall be solely for the purposes stated in this section and no funds shall be transferred from the trust to any other fund. The comptroller may assess the trust for fringe and overhead costs under section 5D and 6B. Expenditures of this fund shall be exempt from fringe and overhead cost assessments of the comptroller. If the amount credited to the fund exceeds $250,000, the excess amount shall be deposited into the General Fund. No expenditure made from the fund shall cause the fund to become deficient at any point. The fund shall be administered by the department of conservation and recreation.
(c) In meeting the obligations of this section:
(i) the department shall establish a trust management board consisting of a representative of the office of dam safety, a representative of the executive office of energy and environmental affairs and a representative of the department of fish and game and the department of conservation and recreation shall chair the management board;
(ii) the board shall recommend for adoption by the agency under 302 CMR 10.00 rules and regulations with respect to the award of loans for dam removal and repairs and related studies
(iii) the board shall apply monies in the fund to provide financial assistance through a program of low-interest, long-term loans in accordance with terms established by the trust to eligible borrowers and loan recipients for projects approved by the department of conservation and recreation, in consultation with the department of environmental protection and the department of fish and game;
(iv) the department may receive and accept from any source contributions or grants for or in aid to a dam removal or repair loan financing program;
(v) the department may contract with guarantors, financial institutions or other qualified loan origination and servicing organizations, which shall assist in prequalifying borrowers for loans and which shall service and administer each loan; provided, however, that the trust may require that each borrower be charged a fee to defray the costs of origination, servicing and administration of loans; and provided further, that the amount and method of collection of such fee shall be determined by the fund;
(vi) the department may contract attorneys, accountants, consultants, financial experts, loan processors, banks, managers and such other employees and agents as may be necessary in its judgment and to fix their compensation;
(vii) the department may make direct loans given that the proceeds of such fund loans shall be used for making additional dam removal and repair loans, funding reserves, providing for capitalized interest and paying other costs and fees involved in making a loan;
(viii) when making direct loans, the interest rate shall be fixed at a rate of 2 per cent and the trust shall provide low-interest and long-term loans;
(ix) the department shall charge an appropriate and equitable charge for loan administration to a loan recipient and outline the fees in its regulations and policies;
(x) the department shall charge and equitably apportion among participating financial institutions its administrative costs and expenses incurred in the exercise of the powers and duties granted by this chapter; and
(xi) the department may to do all things necessary or convenient to carry out this section.
SECTION 13. Section 2WWW of chapter 29 of the General Laws is hereby amended by striking out subsection (d), as so appearing, and inserting in place thereof the following subsection:-
(d) There shall be credited to the fund any revenue from appropriations or other monies authorized by the general court and specifically designated to be credited to the fund, including funds transferred from the Gaming Economic Development Fund established in section 2DDDD, and any gifts, grants, private contributions, investment income earned on the fund's assets and all other sources. Money remaining in the fund at the end of a fiscal year shall not revert to the General Fund.
SECTION 14. Said section 2WWW of said chapter 29 is hereby further amended by inserting after subsection (h), as so appearing, the following subsection:-
(h½) A portion of the grant fund shall be used to address the gap between the skills held by workers and the skills needed by employers for jobs that require more than a high school diploma but less than a 4-year degree. Grants awarded under this program shall focus on building relationships and partnerships among geographic clusters of high schools, vocational-technical schools, community colleges, state universities, institutions of higher education, local employers, industry partners, local workforce investment boards and workforce development entities, in order to create multiple and seamless pathways to employment through enhanced coordination of existing institutions and resources. Each cluster shall designate 1 entity or organization as the lead partner for each cluster and approved procurements shall be jointly applied for by, at a minimum, a public educational institution, including a community college, at least 1 regional workforce investment board and at least 1 regional employer in a high growth sector. Grants made under this program shall include consideration of, but not be limited to: (i) defining and establishing the process for students to transition from adult basic education programs to college-based programs; (ii) programs accessible to working, unemployed or underemployed adults; (iii) programs that focus on the recruitment, training and employment of older workers; (iv) support of education and workforce development initiatives that collaborate with the efforts or initiatives of public educational institutions, including development of stackable certificates and credentials, nonsemester-based modular programs and accelerated associate degree programs; provided, however, that the grants issued from this fund shall serve to supplement, and not supplant, ongoing initiatives at community colleges; (v) providing sector-based training, including developmental education and certification programs; (vi) providing student support services; (vii) using competency-based placement assessments; (viii) leveraging regional resources, including shared equipment and funding; (ix) partnering with 2 or more training organizations in a region; and (x) partnering with 2 or more employers in a region. This portion of the grant fund may also be used to develop regional centers of excellence, which shall be aligned to the commonwealth’s economic development strategies to meet the needs of employers in high growth sectors including, but not limited to, health care, life sciences, information technology and advanced manufacturing. Each center of excellence shall be located at a community college, state university, vocational or technical high school or collaboration between these entities.
A project grant program shall be designed by Commonwealth Corporation, in consultation with a middle skills subcommittee of the advisory committee, which shall include, at a minimum, a representative from the business community to be appointed by the secretary of labor and workforce development; the director of the Center for Labor Market Studies at Northeastern University or a designee; a representative of adult basic education or nontraditional college students in the commonwealth to be appointed by the secretary of education; the Massachusetts Workforce Board Association; and the Massachusetts AFL-CIO, and representatives of the other mandatory advisory committee constituencies under subsection (b).
SECTION 15. Said section 2WWW of said chapter 29 is hereby further amended by striking out subsection (k), as so appearing, and inserting in place thereof the following subsection:-
(k) The director of workforce development and the advisory committee established under subsection (b) shall examine and make an ongoing assessment of the effectiveness of the grant fund, considering any similar educational or workforce development grant programs funded by the commonwealth. The director and committee shall encourage coordination of existing workforce development initiatives and strategies of employers and employer associations, local workforce investment boards, labor organizations, community-based organizations, including adult basic education providers; institutions of higher education, vocational education institutions, one-stop career centers, local workforce development entities and nonprofit education, training or other service providers and, when applicable, shall inform grant applicants of the availability and eligibility for other workforce training funds. The establishment of the Workforce Competitiveness Trust Fund shall not be determined to replace, displace or serve as a substitute for any other workforce training fund, including community college workforce development programs or the Workforce Training Fund established in section 2RR and award of any grant funds from the Workforce Competitiveness Trust Fund shall not make an applicant ineligible for any other funds.
SECTION 16. Said section 2WWW of said chapter 29, as amended by section 105 of chapter 3 of the acts of 2011, is hereby further amended by adding the following subsection:-
(l) Each grant recipient shall submit an annual report for the duration of the program or partnership funded through a grant to the committee for its review. Before grants are awarded, the Commonwealth Corporation shall reach agreement with each eligible entity that receives a grant on performance measures and indicators that will be used to evaluate the performance of the eligible entity in carrying out the activities described in their application.
SECTION 17. Chapter 40 of the General Laws is hereby amended by adding the following section:-
Section 61. (a) A city or town that acquires by gift, purchase, eminent domain under chapter 79 or otherwise, a dam, as defined in section 44 of chapter 253, located within the city or town, including any real property appurtenant thereto, for the purposes of removing, repairing, reconstructing or making improvements to the dam may assess betterments to pay the costs of or relating to acquiring, owning, removing, maintaining or improving any such dam. Such betterments may be assessed upon properties benefiting from the acquisition, ownership, removal, repair, maintenance or improvement of the dam and in such amounts as the authorized board or official shall determine. A betterment so assessed shall be subject to chapter 80. Any betterment assessed pursuant to this section may be apportioned for a maximum term of 40 years.
SECTION 18. Chapter 40J of the General Laws is hereby amended by inserting after section 4F the following section:-
Section 4G. (a) In order to assist in fostering additional scientific and technology research and development, there is hereby established a Scientific and Technology Research and Development Matching Grant Fund, to which shall be credited the proceeds of bonds or notes of the commonwealth issued for the purpose and any appropriations designated by the general court to be credited thereto. The matching grant fund shall be administered by the corporation. The corporation shall hold the matching grant fund in accounts separate from other funds of the corporation. The purpose of the matching grant fund shall be to provide matching funds for capital expenditures to be made in connection with projects which are sponsored by the University of Massachusetts, research universities, nonprofit entities or non-profit research institutions in the commonwealth for scientific or technology research and development and funded in part by the federal government or other public or private funds including, but not limited to, venture capital; provided, however, that any grant awarded in accordance with this section shall leverage at least $3, in the aggregate, during activities funded by such grant, from sources other than an agency as defined in section 39 of chapter 6, for each dollar granted; provided further, that funds expended specifically for this matching fund from chapter 258 of the acts of 2008 shall not count towards the $3 of financing that is required for the matching fund; provided further, that as a condition of such grants being awarded, the Massachusetts Technology Park Corporation shall reach agreement with the grant recipient on performance measures and indicators that will be used to evaluate the performance of the grant recipient in carrying out the activities described in the recipient’s application; provided further, that prior to awarding any grant under this section the corporation shall determine that the grant will advance the purposes of this section; provided further, that priority shall be given to large-scale, long-term research and development activities that have the greatest potential to support scientific and technological innovation and stimulate economic and employment opportunities through industry partnerships; and provided further, that at least 50 per cent of the grant funds under this section shall be reserved for award over the term of each authorization or appropriation, subject to qualification, to the University of Massachusetts. The University of Massachusetts may, if it deems necessary to help ensure efficient and effective research and development efforts, enter into collaborative agreements with other higher education institutions in the commonwealth to undertake parts of any research and development project for which grant funding under this section is sought.
(c) To support effective planning and implementation of the matching grant fund, the corporation shall develop program guidelines or regulations in consultation with the University of Massachusetts and such other institutions or persons as deemed appropriate by the corporation. The corporation shall annually file a report with the joint committee on higher education and the house and senate committees on ways and means detailing the grants awarded under this section.
SECTION 19. Section 1 of chapter 40O of the General laws, as appearing in the 2010 Official Edition, is hereby amended by striking out, in line 11, the words “elects to participate” and inserting in place thereof the following word:- participates.
SECTION 20. Section 4 of said chapter 40O, as so appearing, is hereby amended by striking out, in lines 9 to 11, inclusive, the words “, the basis for determining the district fee, and the process by which a property owner may elect not to participate in or benefit from such BID” and inserting in place thereof the following words:- and the basis for determining the district fee.
SECTION 21. Said section 4 of said chapter 40O, as so appearing, is hereby further amended by striking out, in lines 24 to 26, inclusive, the words “for property owners to follow who elect not to participate in or benefit from said BID in accordance with the provisions of this section” and inserting in place thereof the following words:- by which eligible property owners may vote not to renew such BID.
SECTION 22. Said section 4 of said chapter 40O, as so appearing, is hereby further amended by striking out the fifth and sixth paragraphs and inserting in place thereof the following 3 paragraphs:-
Notice of the declaration of the organization of the BID shall be mailed or delivered to each property owner within the proposed BID. The notice shall explain that membership in the BID is irrevocable until the failure to renew the BID as provided in this section or the dissolution under section 10, and shall include a description of the basis for determining the district fee, the projected fee level and the proposed services to be provided by the BID. Such notice shall be published for 2 consecutive weeks in a newspaper of general circulation in the area, the last publication being not more than 30 days after the vote to declare the district organized.
Participation in the BID shall be permanent until after the discontinuation of the BID as provided in this section, or until the dissolution of the BID under section 10. A non-participating owner in the district shall become a participating member on the date of a renewal vote, as provided below. On or before the fifth anniversary of the organization of a newly created BID and on or before January 1, 2018 and the fifth anniversary thereafter of the darte of the most recent renewal of the BID under this section, the board of directors of the BID or of its designated management entity shall call a renewal meeting of the BID members to review the preceding 5-year history of the BID, to propose an updated improvement plan to succeed the then current improvement plan and to consider whether to continue the BID. The renewal meeting shall be held at a location within the district. Notice of the meeting shall be given to participating members in the manner provided in the by-laws, at least 30 days prior to the meeting. The BID shall continue after each renewal meeting if a majority of participating property owners who are not more than 30 days in arrears in any payment due to the BID and are present at the renewal meeting, in person or by proxy, vote to renew the BID for a term of 5 years commencing on the first day of the next fiscal year of the BID.
If the eligible participating property owners elect not to continue the BID, the board shall conclude the business of the BID prior to the sixth anniversary of the BID’s creation, or of the prior renewal vote, as the case may be, and proceed to discontinue the BID. Notice of the discontinuation vote shall be given to the local municipal governing board, which shall formally declare the BID dissolved as of such sixth anniversary; provided, however, that the BID shall not be dissolved until it has received the accounts receivable due to the BID and until it has satisfied or paid in full all of its outstanding indebtedness, obligations and liabilities, or until funds are on deposit and available therefor, or until a repayment schedule has been formulated and approved by the local municipal governing board. Except as necessary to conclude the business of the BID, the BID shall not incur any new or increased financial obligations after such sixth anniversary. Upon the dissolution of a BID, the remaining assets shall first be applied to repay obligations of the BID, and then in accordance with the improvement plan, as updated.
SECTION 23. Section 9 of said chapter 40O, as so appearing, is hereby amended by striking out, in lines 30 and 31, the words “and may elect not to participate in the BID as provided in such section”.
SECTION 24. Section 2 of chapter 40Q of the General Laws, as so appearing, is hereby amended by striking out subsection (a) and inserting in place thereof the following subsection:-
(a) Notwithstanding any general or special law to the contrary, any city or town by vote of its town meeting, town council or city council, with the approval of the mayor where required by law, may designate development districts within the boundaries of the city or town; provided, however, that a development district may consist of 1 or more parcels or lots of land, whether or not contiguous, or 1 or more buildings or structures, whether or not adjacent, on 1 or more parcels of land; provided further, that the total area of all development districts shall not exceed 25 per cent of the total area of a city or town; and provided further, that the boundaries of a development district may be altered only after meeting the requirements for adoption under this subsection. The city or town shall find that the designation of the development district is consistent with the requirements of this section and will further the public purpose of encouraging increased residential, industrial and commercial activity.
SECTION 25. Section 2 of chapter 43D of the General Laws, as so appearing, is hereby amended by striking out the definition of “Priority development site” and inserting in place thereof the following definition:-
“Priority development site”, a privately or publicly-owned property that is: (1) eligible under applicable zoning provisions, including special permits or other discretionary permits, for the development or redevelopment of a building at least 50,000 square feet of gross floor area in new or existing buildings or structures; and (2) designated as an appropriate priority development site by the board; provided, however, that several parcels or projects may be included within a single priority development site; and provided further, that wherever possible, priority development sites shall be located adjacent to areas of existing development or in underutilized buildings or facilities or close to appropriate transit services.
SECTION 25A. The first paragraph of section 8 of chapter 44 of the General Laws, as most recently amended by section 3 of chapter 52 of the acts of 2011, is hereby further amended by adding the following clause:-
(25) For the acquisition of a dam or the removal, repair, reconstruction or improvements to a dam owned by a municipality, as may be necessary to maintain, repair or improve such dam, 40 years; provided, however, that this clause shall include dams, as defined in section 44 of chapter 253, acquired by gift, purchase, eminent domain under chapter 79 or otherwise and located within a municipality, including any real property appurtenant thereto, if such dam and any appurtenant real property is not, at the time of such acquisition, owned or held in trust by the commonwealth.
SECTION 26. Subsection (e) of section 53E¾ of chapter 44 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by adding the following paragraph:-
A city or town may participate in the Massachusetts Development Finance Agency’s energy conservation loan program established in section 46 of chapter 23G to obtain funds to make loans under this section. To the extent that the city or town receives funds under such program, it shall enter into a loan agreement with the property owner that has been approved by the agency and shall pledge such loan agreement and all amounts received under the loan agreement to the agency. In the event of a payment default by the property owner, the city or town shall enforce its rights under any betterments or other security granted under the applicable loan agreement. All amounts realized by the city or town as a result of such enforcement or otherwise realized under the betterments or other security granted under the applicable loan agreement or as a result of this section shall be immediately transferred to the agency.
SECTION 27. Section 6 of chapter 62 of the General Laws is hereby amended by striking out, in line 273, as so appearing, the figure “2013” and inserting in place thereof the following figure:- 2015.
SECTION 28. Said section 6 of said chapter 62 is hereby further amended by striking out, in line 278, as so appearing, the figure “2014” and inserting in place thereof the following figure:- 2016.
SECTION 28A. Section 6J of said chapter 62, as so appearing, is hereby amended by striking out, in line 39, the figure “$50,000,000” and inserting in place thereof the following figure:- “$55,000,000”.
SECTION 28B. Said chapter 62 is hereby further amended by inserting after section 6L the following section:-
Section 6M. (a) The purpose of this section shall be to enable local residents and stakeholders to work with and through community development corporations to partner with nonprofit, public and private entities to improve economic opportunities for low and moderate income households and other residents in urban, rural and suburban communities across the commonwealth.
(b) For the purposes of this section, the following words shall, unless the context clearly requires otherwise, have the following meanings:-
“Community development corporation”, a corporation certified as a community development corporation by the department consistent with chapter 40H.
“Community investment plan”, an organizational business plan developed by a certified community development corporation that details its goals, outcomes, strategies, programs and activities for a 3 to 5-year period and its financial plans for supporting its strategy; provided, however, that the plan shall be designed to engage local residents and businesses to work together to undertake community development programs, projects and activities which develop and improve urban, rural or suburban communities in sustainable ways that create and expand economic opportunities for low and moderate income households; and provided further, that the specific format and content of a community investment plan may be adapted to the particular organization and community, but shall include the following elements:
(i) a description of the community to be served by the organization, including the neighborhoods, towns, or cities to be served as well as any particular constituencies that the organization is dedicated to serving;
(ii) a description of how community residents and stakeholders were engaged in the development of the plan and their role in monitoring and implementing the organization’s activities during the time period of the plan;
(iii) the goals sought to be achieved during the time period of the plan, including how low and moderate income households or low and moderate income communities will benefit and how the entire community will benefit;
(iv) the activities to be pursued to achieve those goals;
(v) the manner in which success shall be measured and evaluated;
(vi) a description of the collaborative efforts that shall support implementation of the plan, including collaborative efforts with nonprofit, for-profit or public entities;
(vii) a description of how the different activities within the plan fit together and how the entire plan fits into a larger strategy or vision for the community;
(viii) the financial strategy to be deployed to support these activities; and
(ix) other information regarding the history and track record of the organization as determined by the department.
“Community investment tax credit”, the tax credit described in subsection (d).
“Community investment tax credit allocation”, an award provided by the department through a competitive process that enables the recipient of the allocation to solicit and receive qualified investments from taxpayers and to provide those taxpayers with a community investment tax credit.
“Community partner”, a community development corporation or a community support organization selected by the department through a competitive process to receive a community investment tax credit allocation.
“Community partnership fund”, a fund administered by a nonprofit organization selected by the department to receive qualified investments from taxpayers for the purpose of allocating such investments to community partners.
“Community support organization”, any nonprofit organization which is not a community development corporation but has a focus on and track record of providing capacity building services to community development corporations.
“Department”, the department of housing and community development.
“Gateway municipality”, a gateway municipality as defined in section 3A of chapter 23A.
“Low and moderate income community”, an economic target area as defined in section 3A of chapter 23A, an enhanced economic enterprise community or empowerment zone as designated by the United States Department of Housing and Urban Development, or 1 or more contiguous census tracts as designated by a city or town, in which either: (1) a majority of the households are low and moderate income households as defined herein; or (2) the unemployment rate is at least 25 per cent higher than the annual statewide average unemployment rate at a time when the statewide unemployment rate is less than or equal to 5 per cent or the unemployment rate is at least 10 per cent higher than the annual statewide average unemployment rate at a time when the statewide unemployment rate is greater than 5 per cent.
“Low and moderate income households”, households which have incomes that do not exceed 80 per cent of the median income for the area, with adjustments made for smaller and larger families, as such median shall be determined from time to time by the secretary of the United States Department of Housing and Urban Development pursuant to 42 U.S.C. 1437(a)(B)(2) or any successor legislation and the regulations promulgated thereunder.
“Qualified investment”, a cash contribution made to a specific community partner to support the implementation of its community investment plan or to a community partnership fund, as defined by this section.
“Taxpayer”, any person, firm, or other entity subject to the personal income tax under the provisions of this chapter or any corporation subject to an excise under the provisions of chapter 63.
(c) The department shall promulgate regulations concerning the process by which community development corporations apply to become a community partner and receive qualified investments; provided, however, that:
(1) the department shall design a competitive process to review applications by community development corporations and community support organizations; provided, however, that community support organizations may qualify but not more than 2 such organizations shall, at any given time, be awarded community investment tax credits;
(2) the selection process shall favor community development corporations with the highest quality community investment plans and strong track records and shall strive to ensure that all regions of the commonwealth are able to fairly compete for allocations, including gateway municipalities, rural areas and suburban areas; provided, however, that at least 30 per cent of the community partners shall be located in or serving gateway municipalities and at least 20 per cent of the community partners shall be located in or serving rural areas, as defined by the department, unless the department finds that there are not a sufficient number of qualified applications from those areas;
(3) the department shall implement at least one such allocation process each year; provided, however, that each tax credit allocation shall be valid for a period of up to 3 years, contingent upon the community partner satisfactorily meeting the reporting requirements of the department; provided further, that community partners who have not fully utilized their community investment tax credit allocations within 3 years may apply to the department for a 1 year extension; and provided further, that community investment tax credit allocations may be revoked after 2 years from the date of the award by the department if: (i) the community partner has been unable to secure donation commitments for at least 50 per cent of total allocation by that time; (ii) if the community partner is found to be in noncompliance with this statute or the department’s regulations promulgated hereunder; or (iii) if the community partner is determined by the department to be making inadequate progress on its community investment plan, or (iv) for other good cause as determined by the department;
(4) no community partner shall receive a community investment tax credit allocation of less than $50,000 or more than $150,000 in any 1 fiscal year and no community partner shall receive a subsequent allocation unless it has utilized at least 95 per cent of the 3-year total of any prior allocation;
(5) a community partner may receive qualified investments directly from taxpayers or it may transfer some or all of its community investment tax credit allocation to a community partnership fund and receive qualified investments from that fund;
(6) before receiving a qualified investment from a taxpayer or from a community partnership fund, the community partner shall first receive certification from the department that it has been awarded a community investment tax credit allocation;
(7) the department may authorize up to 2 nonprofit organizations to operate community investment partnership funds; provided, however, that in selecting at least 1 such nonprofit organization to serve in this function, the department shall seek an organization which demonstrates that it has the capacity to solicit, administer and re-grant qualified investments and can advance the purposes of this section; and
(8) the department, in consultation with the commissioner, shall prescribe regulations necessary to carry out this subsection; provided, however, that such regulations shall include requirements for annual reports from community partners and community partnership funds regarding outcomes achieved during the prior year and those reports shall be made available to the public; provided further, that the department shall maintain a list of all community partners and community partnership funds on its website; and provided further, that the department shall produce an annual report not later than April 30 for the general court and the public that describes the outcomes achieved through the program.
(d) There is hereby established a Massachusetts community investment tax credit. The total of all tax credits available to a taxpayer pursuant to this section shall not exceed $1,000,000 in any 1 tax year and no tax credit shall be allowed to any taxpayer for participating in a qualified community investment activity of less than $1,000. (g) A taxpayer that makes a qualified investment shall be allowed a credit, to be computed as hereinafter provided, against taxes owed to the commonwealth under chapter 62 or chapter 63 or other applicable law. The credit shall be equal to 50 per cent of the total qualified investments made by the taxpayer, subject to the cap described in paragraph (4) of subsection (c). The department shall issue a certification to the taxpayer after the taxpayer makes a qualified investment. Such certification shall be acceptable as proof that the expenditures related to such investment qualify as qualified investment for purposes of the credit allowed under this section.
(e) The credit allowable under this section shall be allowed for the taxable year in which a qualified investment is made. A taxpayer allowed a credit under this section for a taxable year may carry over and apply against such taxpayer’s tax liability in any of the succeeding 5 taxable years, the portion, as reduced from year to year, of those credits which exceed the tax for the taxable year.
(f) Community investment tax credits allowed to a partnership or a limited liability company taxed as a partnership shall be passed through to the persons designated as partners, members or owners, respectively, pro rata or pursuant to an executed agreement among the persons designated as partners, members or owners documenting an alternative distribution method without regard to their sharing of other tax or economic attributes of the entity.
(g) Taxpayers eligible for the community investment tax credit may, with prior notice to and in accordance with regulations adopted by the commissioner, transfer the credits, in whole or in part, to any taxpayer, and the transferee shall be entitled to apply the credits against the tax with the same effect as if the transferee had made the qualified investment itself. The transferee shall use the credit in the year it is transferred. If the credit allowable for any taxable year exceeds the transferee’s tax liability for that tax year, the transferee may carry forward and apply in any subsequent taxable year, the portion, as reduced from year to year, of those credits which exceeds the tax for the taxable year; provided, however, the carryover period shall not exceed 5 taxable years after the close of the taxable year during which the qualified investment was made as provided for in this section.
(h) The commissioner, in consultation with the department, shall prescribe regulations necessary to carry out the tax credit established in subsection (d).
SECTION 28C. Section 6M of chapter 62 of the General Laws is hereby repealed.
SECTION 29. Section 2 of chapter 63 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by inserting after the figure “$456”, in line 27, the following words:- ; and provided further that, qualifying corporations under section 38DD shall receive a credit of $456 against the excise imposed under this section.
SECTION 30. Section 2B of said chapter 63, as so appearing, is hereby amended by inserting after the figure “$456”, in line 40, the following words:- ; provided, however, that qualifying corporations under section 38DD shall receive a credit of $456 against the excise imposed under this section.
SECTION 31. Section 38Q of said chapter 63, as so appearing, is hereby amended by striking out, in line 3, the figure “2013” and inserting in place thereof the following figure:- 2015.
SECTION 32. Said section 38Q of said chapter 63, as so appearing, is hereby further amended by striking out, in line 8, the figure “2014” and inserting in place thereof the following figure:- 2016.
SECTION 33. Said chapter 63 is hereby further amended by inserting after section 38CC the following 2 sections:-
Section 38DD. (a) A corporation formed under chapter 156D and taxable under this chapter shall receive a nontransferrable credit against an excise tax imposed under subsection (b) of section 2, subsection (b) of section 2B or subsection (b) of section 39.
(b) A corporation shall only be eligible for a credit under subsection (a) for the first 3 years in which it is required to file a return under this chapter; provided, however, that such credit shall not be allowed to any corporation with 50 per cent or more of its voting stock owned by another corporation, whether or not such owning corporation is taxable in the commonwealth.
Section 38EE. (a) The purpose of this section shall be to enable local residents and stakeholders to work with and through community development corporations to partner with nonprofit, public and private entities to improve economic opportunities for low and moderate income households and other residents in urban, rural and suburban communities across the commonwealth.
(b) For the purposes of this section, the following words shall, unless the context clearly requires otherwise, have the following meanings:-
“Community development corporation”, a corporation certified as a community development corporation by the department consistent with chapter 40H.
“Community investment plan”, an organizational business plan developed by a certified community development corporation that details its goals, outcomes, strategies, programs and activities for a 3 to 5-year period and its financial plans for supporting its strategy; provided, however, that the plan shall be designed to engage local residents and businesses to work together to undertake community development programs, projects and activities which develop and improve urban, rural or suburban communities in sustainable ways that create and expand economic opportunities for low and moderate income households; and provided further, that the specific format and content of a community investment plan may be adapted to the particular organization and community, but shall include the following elements:
(i) a description of the community to be served by the organization, including the neighborhoods, towns, or cities to be served as well as any particular constituencies that the organization is dedicated to serving;
(ii) a description of how community residents and stakeholders were engaged in the development of the plan and their role in monitoring and implementing the organization’s activities during the time period of the plan;
(iii) the goals sought to be achieved during the time period of the plan, including how low and moderate income households or low and moderate income communities will benefit and how the entire community will benefit;
(iv) the activities to be pursued to achieve those goals;
(v) the manner in which success shall be measured and evaluated;
(vi) a description of the collaborative efforts that shall support implementation of the plan, including collaborative efforts with nonprofit, for-profit or public entities;
(vii) a description of how the different activities within the plan fit together and how the entire plan fits into a larger strategy or vision for the community;
(viii) the financial strategy to be deployed to support these activities; and
(ix) other information regarding the history and track record of the organization as determined by the department.
“Community investment tax credit”, the tax credit described in subsection (c).
“Community investment tax credit allocation”, an award provided by the department through a competitive process that enables the recipient of the allocation to solicit and receive qualified investments from taxpayers and to provide those taxpayers with a community investment tax credit.
“Community partner”, a community development corporation or a community support organization selected by the department through a competitive process to receive a community investment tax credit allocation.
“Community partnership fund”, a fund administered by a nonprofit organization selected by the department to receive qualified investments from taxpayers for the purpose of allocating such investments to community partners.
“Community support organization”, any nonprofit organization which is not a community development corporation but has a focus on and track record of providing capacity building services to community development corporations.
“Department”, the department of housing and community development.
“Gateway municipality”, a gateway municipality as defined in section 3A of chapter 23A.
“Low and moderate income community”, an economic target area as defined in section 3A of chapter 23A, an enhanced economic enterprise community or empowerment zone as designated by the United States Department of Housing and Urban Development, or 1 or more contiguous census tracts as designated by a city or town, in which either: (1) a majority of the households are low and moderate income households as defined herein; or (2) the unemployment rate is at least 25 per cent higher than the annual statewide average unemployment rate at a time when the statewide unemployment rate is less than or equal to 5 per cent or the unemployment rate is at least 10 per cent higher than the annual statewide average unemployment rate at a time when the statewide unemployment rate is greater than 5 per cent.
“Low and moderate income households”, households which have incomes that do not exceed 80 per cent of the median income for the area, with adjustments made for smaller and larger families, as such median shall be determined from time to time by the secretary of the United States Department of Housing and Urban Development pursuant to 42 U.S.C. 1437(a)(B)(2) or any successor legislation and the regulations promulgated thereunder.
“Qualified investment”, a cash contribution made to a specific community partner to support the implementation of its community investment plan or to a community partnership fund, as defined by this section.
“Taxpayer”, any person, firm, or other entity subject to the personal income tax under the provisions of this chapter or any corporation subject to an excise under the provisions of chapter 63.
(c) The department shall promulgate regulations concerning the process by which community development corporations apply to become a community partner and receive qualified investments; provided, however, that:
(1) the department shall design a competitive process to review applications by community development corporations and community support organizations; provided, however, that community support organizations may qualify but not more than 2 such organizations shall, at any given time, be awarded community investment tax credits;
(2) the selection process shall favor community development corporations with the highest quality community investment plans and strong track records and shall strive to ensure that all regions of the commonwealth are able to fairly compete for allocations, including gateway municipalities, rural areas and suburban areas; provided, however, that at least 30 per cent of the community partners shall be located in or serving gateway municipalities and at least 20 per cent of the community partners shall be located in or serving rural areas, as defined by the department, unless the department finds that there are not a sufficient number of qualified applications from those areas;
(3) the department shall implement at least one such allocation process each year; provided, however, that each tax credit allocation shall be valid for a period of up to 3 years, contingent upon the community partner satisfactorily meeting the reporting requirements of the department; provided further, that community partners who have not fully utilized their community investment tax credit allocations within 3 years may apply to the department for a 1 year extension; and provided further, that community investment tax credit allocations may be revoked after 2 years from the date of the award by the department if: (i) the community partner has been unable to secure donation commitments for at least 50 per cent of total allocation by that time, (ii) if the community partner is found to be in noncompliance with this statute or the department’s regulations promulgated hereunder, (iii) if the community partner is determined by the department to be making inadequate progress on its community investment plan, or (iv) for other good cause as determined by the department;
(4) no community partner shall receive a community investment tax credit allocation of less than $50,000 or more than $150,000 in any 1 fiscal year; provided, however, that no community partner shall receive a subsequent allocation unless it has utilized at least 95 per cent of the 3-year total of any prior allocation;
(5) a community partner may receive qualified investments directly from taxpayers or it may transfer some or all of its community investment tax credit allocation to a community partnership fund and receive qualified investments from that fund;
(6) before receiving a qualified investment from a taxpayer or from a community partnership fund, the community partner shall first receive certification from the department that it has been awarded a community investment tax credit allocation;
(7) the department may authorize up to 2 nonprofit organizations to operate community investment partnership funds; provided, however, that in selecting at least 1 such nonprofit organization to serve in this function, the department shall seek an organization which demonstrates that it has the capacity to solicit, administer and re-grant qualified investments and can advance the purposes of this section; and
(8) the department, in consultation with the commissioner shall prescribe regulations necessary to carry out this subsection; provided, however, that such regulations shall include requirements for annual reports from community partners and community partnership funds regarding outcomes achieved during the prior year and those reports shall be made available to the public; provided further, that the department shall maintain a list of all community partners and community partnership funds on its website; and provided further, that the department shall produce an annual report not later than April 30 for the general court and the public that describes the outcomes achieved through the program.
(d) There is hereby established a Massachusetts community investment tax credit.
(e) The total of all tax credits available to a taxpayer pursuant to this section shall not exceed $1,000,000 in any 1 tax year and no tax credit shall be allowed to any taxpayer for participating in a qualified community investment activity of less than $1,000.
(f) A taxpayer that makes a qualified investment shall be allowed a credit, to be computed as hereinafter provided, against taxes owed to the commonwealth under chapter 62 or chapter 63 or other applicable law. The credit shall be equal to 50 per cent of the total qualified investments made by the taxpayer, subject to the cap described in paragraph (4) of subsection (c). The department shall issue a certification to the taxpayer after the taxpayer makes a qualified investment. Such certification shall be acceptable as proof that the expenditures related to such investment qualify as qualified investment for purposes of the credit allowed under this section.
(g) The credit allowable under this section shall be allowed for the taxable year in which a qualified investment is made. A taxpayer allowed a credit under this section for a taxable year may carry over and apply against such taxpayer’s tax liability in any of the succeeding 5 taxable years, the portion, as reduced from year to year, of those credits which exceed the tax for the taxable year.
(h) Community investment tax credits allowed to a partnership or a limited liability company taxed as a partnership shall be passed through to the persons designated as partners, members or owners, respectively, pro rata or pursuant to an executed agreement among the persons designated as partners, members or owners documenting an alternative distribution method without regard to their sharing of other tax or economic attributes of the entity.
(i) Taxpayers eligible for the community investment tax credit may, with prior notice to and in accordance with regulations adopted by the commissioner, transfer the credits, in whole or in part, to any taxpayer, and the transferee shall be entitled to apply the credits against the tax with the same effect as if the transferee had made the qualified investment itself. The transferee shall use the credit in the year it is transferred. If the credit allowable for any taxable year exceeds the transferee’s tax liability for that tax year, the transferee may carry forward and apply in any subsequent taxable year, the portion, as reduced from year to year, of those credits which exceeds the tax for the taxable year; provided, however, the carryover period shall not exceed 5 taxable years after the close of the taxable year during which the qualified investment was made as provided for in this section.
(j) The commissioner, in consultation with the department, shall prescribe regulations necessary to carry out the tax credit established in subsection (d).
SECTION 33A. Section 38EE of chapter 63 of the General Laws is hereby repealed.
SECTION 34. Section 39 of said chapter 63, as appearing in the 2010 Official Edition, is hereby amended by inserting after the figure “$456”, in line 49, the following words:- ; provided, however, that qualifying corporations under section 38DD shall receive a credit of $456 against the excise imposed under this section.
SECTION 35. Subsection (c) of section 3 of chapter 63B of the General Laws, as so appearing, is hereby amended by striking out the first and second sentences and inserting in place thereof the following 3 sentences:- For the purposes of this chapter, there shall be 4 required installments for each taxable year, except as otherwise provided by this chapter. The first installment shall be paid on or before the fifteenth day of the third month of the taxable year, the second installment shall be paid on or before the fifteenth day of the sixth month of the taxable year, the third installment shall be paid on or before the fifteenth day of the ninth month of the taxable year and the fourth installment shall be paid on or before the fifteenth day of the twelfth month of the taxable year. The amount of any installment shall be 25 per cent of the required annual payment.
SECTION 36. Section 4A of said chapter 63B, as so appearing, is hereby amended by striking out, in line 4, the words “sixty-five percent” and inserting in place thereof the following words:- 50 per cent.
SECTION 37. Said section 4A of said chapter 63B, as so appearing, is hereby further amended by striking out, in line 9, the words “ten percent” and inserting in place thereof the following words:- 25 per cent.
SECTION 38. Said section 4A of said chapter 63B, as so appearing, is hereby further amended by striking out, in line 14, the words “ninety percent” and inserting in place thereof the following words:- 25 per cent.
SECTION 39. Said section 4A of said chapter 63B, as so appearing, is hereby further amended by striking out, in lines 16 and 17, the words “ten percent” and inserting in place thereof the following words:- 25 per cent.
SECTION 40. Section 4B of said chapter 63B, as so appearing, is hereby amended by striking out, in lines 7 and 8, the words “thirty percent” and inserting in place thereof the following words:- 25 per cent.
SECTION 41. Said section 4B of said chapter 63B, as so appearing, is hereby further amended by striking out, in line 10, the words “twenty-five percent” and inserting in place thereof the following words:- 25 per cent.
SECTION 42. Said section 4B of said chapter 63B, as so appearing, is hereby further amended by striking out, in line 13, the words “twenty-five percent” and inserting in place thereof the following words:- 25 per cent.
SECTION 43. Said section 4B of said chapter 63B, as so appearing, is hereby further amended by striking out, in lines 15 and 16, the words “twenty percent” and inserting in place thereof the following words:- 25 per cent.
SECTION 44. Section 6 of chapter 64H of the General Laws is hereby amended by inserting after the word “tools”, in line 237, as so appearing, the following words:- , standardized computer software.
SECTION 45. Said section 6 of said chapter 64H is hereby further amended by inserting after the word “thereof,”, in line 264, as so appearing, the following words:- and standardized computer software.
SECTION 45A. Section 8 of chapter 70B of the General Laws, as so appearing, is hereby amended by inserting after the word “exists”, in line 7, the following words:- ; provided, however, that further priority shall be given to school projects that will replace or renovate a school that was damaged as a result of a federally-declared emergency or disaster
SECTION 45B.The first paragraph of section 10 of said chapter 70B , as so appearing, is hereby amended by adding the following sentence:- There shall be an exemption on the maximum grant percentage for approved school projects that will replace or renovate a school that was damaged as a result of a federally-declared emergency or disaster, the authority may determine, in its sole discretion, that the maximum grant percentage may be greater than 80 per cent of approved costs.
SECTION 45C. Section 321 of chapter 94 of the General Laws, as so appearing, is hereby amended by inserting after the word "drinks", in line 4, the following words:- , noncarbonated beverages including mineral water, flavored and unflavored water, vitamin water, and other water beverages, tea, sports drinks, isotonic drinks and all other non-alcoholic carbonated and noncarbonated drinks in liquid form intended for human consumption, except milk and beverages that are primarily derived from dairy products, infant formula and FDA-approved medicines.
SECTION 45D. The definition of “Beverage container" in said section 321 of said chapter 94, as so appearing, is hereby amended by striking out the last sentence and inserting in place thereof the following sentence:- This definition shall not include containers made of paper-based biodegradable material and aseptic multi-material packaging.
SECTION 45E. Said section 321 of said chapter 94, as so appearing, is hereby further amended by inserting after the definition of "Plastic bottle" the following definition:-
"Redemption center", a business whose primary purpose is the redemption of beverage containers and is not ancillary to any other business,
SECTION 45F. Said section 321 of said chapter 94, as so appearing, is hereby further amended by adding the following definition:-
"Small dealer", a person or business, including an operator of a vending machine, who engages in the sale of beverages in beverage containers to consumers in the commonwealth, whose operating premises are less than 4000 square feet.
SECTION 45G. Section 322 of said chapter 94, as so appearing, is hereby amended by inserting after the first sentence the following sentence:- Unless the bottler otherwise elects, this section shall not apply to exempted beverages.
SECTION 45H. Section 323 of said chapter 94, as so appearing, is hereby amended by striking out, in lines 11 and 12, and in line 19, the words "one cent" and inserting in place thereof the following words:- 3 1/4 cents.
SECTION 45I. Paragraph (c) of said section 323 of said chapter 94, as so appearing, is hereby amended by adding the following sentence:- The handling fee shall be reviewed semi-annually by the secretary of energy and environmental affairs and adjustments shall be made to reflect increases in costs incurred by redemption facilities.
SECTION 45J. Paragraph (d) of said section 323 of said chapter 94, as so appearing, is hereby amended by adding the following sentence:- The handling fee shall be reviewed semi-annually by the secretary of energy and environmental affairs and adjustments shall be made to reflect increases in costs incurred by redemption facilities.
SECTION 45K. Paragraph (e) of section 323 of said chapter 94, as so appearing, is hereby amended by striking out the first sentence and inserting in place thereof the following 2 sentences:- The executive office of environmental affairs shall promulgate rules and regulations for the licensure of redemption centers and may set fees for such licensing. Any person may establish a redemption center and shall have the right to determine what type, size and brand of beverage container shall be accepted.
SECTION 45L. Said section 323 of said chapter 94, as so appearing, is hereby further amended by inserting after the word "civil", in line 73, the following words:- or administrative.
SECTION 45M. Section 327 of said chapter 94, as so appearing, is hereby amended by inserting after the first paragraph the following 2 paragraphs:-
The department of environmental protection may enforce section 321, paragraphs (a) to (f), inclusive, and paragraph (i) of section 323, section 323A, section 323F, section 324 and section 325. Any bottler, distributor, redemption center or dealer who violates any of the foregoing provisions shall be subject to an administrative penalty for each violation of not more than $1,000.
The department of revenue may enforce paragraphs (g) and (h) of section 323 and sections 323B to 323E, inclusive. Any bottler, distributor, redemption center or dealer who violates any of the foregoing provisions shall be subject to an administrative penalty for each violation of not more than $1,000.
SECTION 45N. Said section 327 of said chapter 94, as so appearing, is hereby further amended by inserting after the word "civil", in line 14, the following words:- or administrative.
SECTION 46. Section 57A of chapter 121B of the General Laws is hereby repealed.
SECTION 47. Section 44 of chapter 130 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by striking out the third paragraph and inserting in place thereof the following paragraph:-
If the measurement of any such lobster taken from 1 or the other eye sockets is of the required length, such lobster shall be deemed to be a legal lobster. The bringing ashore of a mutilated lobster in a manner that affects its measurement as aforesaid shall be prima facie evidence in all prosecutions that the lobster was or is less than the required length; provided, however, that the director, with the approval of the marine fisheries advisory commission, shall promulgate rules and regulations to allow the on-shore processing of live lobsters of legal length into a food product of frozen lobster parts and the possession and sale of such processed food product by wholesale dealers; provided further, that the processing of lobsters into parts at sea shall be prohibited and shall be subject to the penalties provided in the first paragraph; provided further, that such processing shall be conducted only by wholesale dealers licensed by the department of public health under section 77G of chapter 94; provided further, that the packaging of processed frozen lobster parts as a food product shall bear a label in accordance with applicable federal and state laws and regulations; provided further, that frozen lobster parts that have been processed as a food product may be possessed, sold or offered for sale by a wholesale dealer and any retail dealer including, without limitation, restaurants and retail food establishments; and provided further, that such food product may be possessed by a consumer. This section shall not apply to common carriers possessing lobster or lobster food products for the purpose of transportation.
SECTION 48. Section 40 of chapter 131 of the General Laws, as so appearing, is hereby amended by inserting after the word “gas”, in line 8, the following word:- , sewer.
SECTION 49. The second paragraph of said section 40 of said chapter 131, as so appearing, is hereby amended by inserting after the first sentence the following 4 sentences:- When a notice of intent proposes activities on land under water bodies and waterways or on a tract of land greater than 50 acres, written notification shall be given to all abutters within 100 feet of the proposed project site. For the purposes of this section, “project site” shall mean lands where the following activities are proposed to take place: dredging, excavating, filling, grading, the erection, reconstruction or expansion of a building or structure, the driving of pilings, the construction or improvement of roads or other ways and the installation of drainage, sewerage and water systems, and “land under water bodies and waterways” shall mean the bottom of, or land under, the surface of the ocean or an estuary, creek, river stream, pond or lake. When a notice of intent proposes activity on a linear shaped project site longer than 1,000 feet in length, notification shall be given to all abutters within 1,000 feet of the proposed project site. If the linear project site takes place wholly within an easement through another person’s land, notice shall also be given to the landowner.
SECTION 50. The twenty-sixth paragraph of said section 40 of said chapter 131, as so appearing, is hereby further amended by adding the following 5 sentences:- The permitting and emergency provisions in this paragraph shall not apply to severe weather emergencies as declared by the commissioner of environmental protection following a destructive weather event requiring widespread recovery efforts, debris cleanup or roadway or utility repair. A severe weather emergency declaration shall allow for emergency related work to occur as necessary for the protection of the health or safety of the residents of the commonwealth. A severe weather emergency declaration by the commissioner shall describe the types of work allowed without filing a notice of intent, any general mitigating measures to condition the work that may be required in performing such work, any notification or reporting requirements, the geographic area of the declaration’s effect and the period of time the declaration shall be in effect which, in no event, shall be longer than 3 months unless extended by the commissioner. A severe weather emergency declared by the commissioner shall be sent electronically to all conservation commissions in the geographic area of the severe weather emergency and shall be made widely available to the general public through appropriate channels for emergency communications. A declaration of a severe weather emergency by the commissioner shall not impact the department’s ability to enforce any general or special law or rule or regulation that is not altered by the commissioner’s declaration.
SECTION 50A. Chapter 138 of the General Laws is hereby amended by inserting after section 12B the following section:-
Section 12C. The commission may issue an annual caterer’s license to an operator of a catering business for the sale and service of alcoholic beverages to be served and drunk on the premises where the operator caters a private event that is not open to the public; provided, however, that no such license shall be exercisable on premises located in a city or town wherein the granting of licenses under section 12 has not been authorized by that city or town. A caterer licensed under this section shall not serve alcoholic beverages at the caterer’s principal place of business. A licensee under this section shall purchase all alcoholic beverages for resale from a wholesaler licensed under section 18 and shall maintain liquor liability insurance providing security for the liability of the licensee in a minimum amount of $250,000 on account of injury to or death of 1 person and $500,000 on account of any 1 accident resulting in injury to or death of more than 1 person. The service of alcoholic beverages shall not be for more than 5 hours during a catered event. All agents and employees of a licensed caterer who serve alcoholic beverages shall be certified by a nationally-recognized alcoholic beverages server training program.
A caterer licensed under this section shall, prior to 48 hours before the start of a catered event where alcoholic beverages will be served, provide, in writing, the police chief and the licensing authority of the city or town wherein the event will be held the following information:
(1) notice that alcoholic beverages will be served at an event in that city or town;
(2) a copy of the caterer’s license;
(3) proof of liquor liability insurance; and
(4) emergency contact information of the manager of the catering company.
The commission, after notice to the licensee and reasonable opportunity to be heard, may modify, suspend, revoke or cancel the license upon satisfactory proof that the licensee violated or permitted a violation of a condition of the license or of any law of the commonwealth or regulation of the commission. The decision of the commission shall be final and conclusive. A caterer’s license shall authorize the licensee to store, transport, sell and deliver alcoholic beverages in the ordinary course of the licensee’s business. Alcoholic beverages may be stored only on the premises owned by the licensee or that the licensee has the exclusive right to occupy. The caterer’s license shall be renewable annually and shall be subject to an annual fee of $1,500.
SECTION 50B. Chapter 149 of the General Laws is hereby amended by inserting after section 147H the following section:-
Section 147I. (a) An individual who has an independently established business as: (i) a freelance writer, editor, proofreader or indexer in the publishing industry and who works out of the individual’s own residence; or (2) an artist, whose work constitutes intellectual property to which copyright laws apply, and who works out of the artist’s own residence or studio shall be exempt from the requirements of clause (2) of subsection (a) of section 148B for the purposes of this chapter and chapter 151. This exception shall not apply to any person working with or for the freelancer or artist.
(b) The exemption authorized in subsection (a) shall not apply to an individual who has been coerced, threatened or intimidated into establishing an independent business for an employer for the purposes of evading the requirements of chapter 149 or 151.
SECTION 50C. Section 148 of said chapter 149, as appearing in the 2010 Official Edition, is hereby amended by striking out, in line 2, the words "weekly or bi-weekly" and inserting in place thereof the following words:- weekly, biweekly or semi-monthly.
SECTION 50D. Section 188 of said chapter 149, as so appearing, is hereby amended by adding the following subsections:-
(f) The division of unemployment assistance and the division of health care finance and policy may waive or mitigate an employer’s fair share contributions, fines, interest and related fees.
(g) Pending an appeal decision, the division of unemployment assistance shall not continue to accrue or collect interest, penalties or fees on the fair share contribution.
(h) The division of unemployment assistance or any entity of the commonwealth shall not take any funds out of an employer’s bank account if the employer has filed a fair share contributions appeal or is in the process of mediation and is awaiting a decision.
(i) The division of unemployment assistance’s help center staff shall not request identifying information from an employer that is seeking assistance from the division of unemployment assistance helpline, nor shall the staff share customer information with the audit department staff. No information recorded by the helpline may be used in an audit proceeding or be used to initiate an audit.
(j) An employer aggrieved by a determination of the director with respect to its liability for the fair share employer contribution or with respect to the amount it is required to pay may appeal such determination within 60 days and in the form and manner as specified by the division of unemployment assistance.
(k) Upon completion of a hearing on an appeal with respect to an employer’s liability for the fair share employer contribution or to the amount it is required to pay, the division of unemployment assistance shall render a written decision within 90 days for an employer with more than 50 full-time equivalent employees and within 30 days for an employer with 50 or fewer full-time equivalent employees.
SECTION 50E. Section 25 of chapter 151A of the General Laws, as so appearing, is hereby amended by adding the following clause:-
(k) Any week in which the individual is barred from working for, or being paid by, the employing unit by reason of subsection (b) of section 91 of chapter 32.
SECTION 51. The General Laws are hereby amended by inserting after chapter 156D the following chapter:-
CHAPTER 156E
BENEFIT CORPORATIONS
Section 1. This chapter shall be known and may be cited as the Massachusetts Benefit Corporation Act.
Section 2. (a) Except as otherwise provided in this chapter, a benefit corporation doing business in the commonwealth shall comply with other applicable laws regarding corporations, including chapters 155, 156, 156A, 156B, 156D and 158. The existence of a provision of this chapter shall not excuse or exempt any business organized under the laws of the commonwealth from complying with all relevant laws and regulations in the commonwealth, except to the extent they are inconsistent with this chapter.
(b) A provision in a benefit corporation’s articles of incorporation, bylaws or shareholder agreement that is inconsistent with this chapter shall be void and unenforceable; provided, however, that the remaining provisions of the articles of incorporation, bylaws or shareholder agreement shall remain in effect.
Section 3. As used in this chapter, unless the context otherwise requires, the following words shall have the following meanings:-
“Benefit corporation”, a corporation incorporated in the commonwealth that incorporated as a benefit corporation under section 9 and has not ceased to be a benefit corporation by terminating its benefit corporation status through the operation of section 6.
“Benefit director”, either: (i) the director designated as the benefit director of a benefit corporation under subsection (a) of section 11; or (ii) a person with any of the powers, duties or rights of a benefit director to the extent provided in the bylaws under subsection (e) of section 11.
“Benefit enforcement proceeding”, a claim or action brought directly by a benefit corporation, or derivatively on behalf of a benefit corporation, against a director or officer for: (i) failure to pursue the general public benefit purpose of the benefit corporation or a specific public benefit purpose set forth in its articles; or (ii) a violation of any obligation, duty or standard of conduct under this chapter.
“Benefit officer”, the individual designated as the benefit officer of a benefit corporation under section 13.
“General public benefit”, a material, positive impact on society and the environment, taken as a whole, as measured by a third-party standard, from the business and operations of a benefit corporation.
“Independent”, having no material relationship with a benefit corporation or a subsidiary of the benefit corporation; provided, however, that serving as a benefit director or benefit officer shall not preclude a person from being independent; provided further, that a material relationship between a person and a benefit corporation or any of its subsidiaries shall be presumed to exist if 1 or more of the following apply:
(1) the person is, or has been within the last year, an employee other than a benefit officer of the benefit corporation or a subsidiary of the benefit corporation;
(2) an immediate family member of the person is, or has been within the last year, an executive officer other than a benefit officer of the benefit corporation or its subsidiary;
(3) there is beneficial or record ownership of 5 per cent or more of the outstanding shares of the benefit corporation by: (i) the person; or (ii) an association of which the person is a director, an officer or a manager or in which the person owns beneficially or of record 5 per cent or more of the outstanding equity interests.
“Minimum status vote”, (1) in the case of a business corporation, in addition to any other required approval or vote, the satisfaction of the following conditions:
(i) the shareholders of every class or series shall be entitled to vote on the corporate action regardless of a limitation stated in the articles of incorporation or bylaws on the voting rights of any class or series; and
(ii) the corporate action shall be approved by vote of the shareholders of each class or series entitled to cast at least 2/3 of the votes that all shareholders of the class or series are entitled to cast on the action;
(2) in the case of a domestic entity other than a business corporation, in addition to any other required approval, vote or consent, the satisfaction of the following conditions:
(i) the holders of every class or series of equity interest in the entity that are entitled to receive a distribution of any kind from the entity shall be entitled to vote on or consent to the action regardless of any otherwise applicable limitation on the voting or consent rights of any class or series; and
(ii) the action shall be approved by vote or consent of the holders described in clause (1) entitled to cast at least 2/3 of the votes or consents that all of those holders are entitled to cast on the action.
“Specific public benefit”, includes any of the following:
(1) providing low-income or underserved individuals or communities with beneficial products or services;
(2) promoting economic opportunity for individuals or communities beyond the creation of jobs in the normal course of business;
(3) promoting the preservation and conservation of the environment;
(4) improving human health;
(5) promoting the arts, sciences, access to and advancement of knowledge;
(6) increasing or facilitating the flow of capital and assets to entities with a general public benefit purpose; or
(7) conferring any other particular benefit on society or the environment.
“Third-party standard”, a standard for defining, reporting and assessing overall corporate social and environmental performance which is:
(1) comprehensive in that it assesses the effect of the business and its operations upon the interests listed in subclauses (ii), (iii), (iv) and (v) of clause (1) of subsection (a) of section 10;
(2) developed or performed by a person or organization independent of the benefit corporation and not more than 1/3 of the members of the governing body of the organization are representatives of any of the following:
(i) an association of businesses operating in a specific industry the performance of whose members is measured by the standard;
(ii) a business from a specific industry or an association of businesses in that industry; or
(iii) a business whose performance is assessed against the standard; and
(3) not materially financed by an association of business described in clause (2);
(4) credible because the standard is developed by a person that:
(i) has access to necessary expertise to assess overall corporate social and environmental performance; and
(ii) uses a balanced multi-stakeholder approach, including a public comment period of at least 30 days to develop the standard;
(5) transparent, because the following information is publicly available about the standard:
(i) the criteria considered when measuring the overall social and environmental performance of a business;
(ii) the relative weighting of those criteria;
(iii) the identity of the directors, officers, material owners and governing body of the organization that developed and control revisions to the standard; and
(iv) an accounting of the sources of financial support for the organization, with sufficient detail to disclose any relationship that could reasonably be considered to present a potential conflict of interest.
Section 4. A benefit corporation shall be organized under the laws of the commonwealth, provided that a benefit corporation’s articles of incorporation shall make clear reference that it is a benefit corporation.
Section 5. An existing corporation organized under the laws of the commonwealth, may elect to become a benefit corporation by amending its articles of incorporation, under section 10.01 of chapter 156D, to include a statement that the corporation is a benefit corporation. In order to be effective, the amendment shall be adopted by at least the minimum status vote.
Section 6. A benefit corporation may terminate its status as a benefit corporation and cease to be subject to this chapter by amending its articles of incorporation to delete the statement required by sections 4 and 5 that the corporation is a benefit corporation. In order to be effective, the amendment shall be adopted by at least the minimum status vote.
Section 7. A business corporation organized under the laws of the commonwealth shall not hold itself out as, advertise itself as, or indicate in any way that it is a benefit corporation unless it was organized under and in full compliance with this chapter.
Section 8. (a) An entity that is not a benefit corporation shall become a benefit corporation and shall be subject to this chapter if:
(1) the entity that is not a benefit corporation is a party to a merger or the entity that is not a benefit corporation is the exchanging corporation in a share exchange; and
(2) the surviving corporation in the merger or share exchange is to be a benefit corporation.
(b) In order to be effective, a plan of merger or share exchange subject to this section, shall be adopted by the minimum status vote.
Section 9. (a) In addition to its purposes under chapter 156D as a business corporation, a benefit corporation shall have the purpose of creating general public benefit.
(b) The articles of a benefit corporation may identify 1 or more specific public benefits that it is the purpose of the benefit corporation to create in addition to its purpose as a business corporation and under subsection (a). The identification of a specific public benefit under this subsection shall not limit the obligation of a benefit corporation under subsection (a).
(c) The creation of a general public benefit and a specific public benefit under subsections (a) and (b) shall be in the best interest of the benefit corporation.
(d) A benefit corporation may amend its articles to add, amend or delete the identification of a specific public benefit under section 10.01 of chapter 156D; provided, however, that the elimination of an optional specific public benefit shall not significantly diminish or eliminate the general public benefit required in this subsection.
(e) A professional corporation that is a benefit corporation shall not be in violation of section 3 of chapter 156A by having the purpose to create a general public benefit or a specific public benefit.
Section 10. (a) In discharging the duties of their respective positions and in considering the best interests of the benefit corporation, the board of directors, committees of the board and individual directors of a benefit corporation:
(1) shall consider the effects of any action upon:
(i) the shareholders of the benefit corporation;
(ii) the employees and workforce of the benefit corporation, its subsidiaries and its suppliers;
(iii) the interest of customers or clients as beneficiaries of the general public benefit or specific public benefit purposes of the benefit corporation;
(iv) community and societal factors, including those of each community in which offices or facilities of the benefit corporation, its subsidiaries or its suppliers are located;
(v) the local, regional, and global environment;
(vi) the short-term and long-term interests of the benefit corporation, including benefits that may accrue to the benefit corporation from its long-term plans and the possibility that these interests may be best served by the continued independence of the benefit corporation; and
(vii) the ability of the benefit corporation to accomplish its general public benefit purpose and any specific public benefit purpose; and
(2) may consider:
(i) the interests of the economy of the state, the region and the country under clause (3) of subsection (a) of section 8.30 of chapter 156D; or
(ii) other pertinent factors or the interests of any other group that they deem appropriate.
(b) Directors shall consider the factors in paragraph (1) of subsection (a) using sound and reasonable judgment in determining corporate actions and the best interests of the benefit corporation. Directors shall not be required to give priority to the interests of a particular person or group referred to in paragraphs (1) or (2) of subsection (a) over the interests of any other person or group unless the benefit corporation has stated in its articles its intention to give priority to certain interests related to its accomplishment of its general public benefit purpose or of a specific public benefit purpose identified in its articles.
(c) The consideration of interests and factors in the manner required by subsection (a) shall not constitute a violation of section 8.01 of chapter 156D.
(d) A director shall not be personally liable for monetary damages for:
(1) any action or inaction as a director if the director performed the duties of office in compliance with section 8.30 of chapter 156D and this section; or
(2) failure of the benefit corporation to pursue or create general public benefit or a specific public benefit.
(e) A director shall not have a fiduciary duty to a person that is a beneficiary of the general or specific public benefit purposes of a benefit corporation arising from the status of the person as a beneficiary.
Section 11. (a) The board of directors of a benefit corporation shall include 1 director who shall:
(1) be designated the benefit director; and
(2) have, in addition to the powers, duties, rights and immunities of the other directors of the benefit corporation, the powers, duties, rights and immunities provided in this chapter.
(b) The benefit director shall be elected, and may be removed, in the manner provided under chapter 156D and shall be an individual who is independent. The benefit director may serve as the benefit officer at the same time as serving as the benefit director. The articles, bylaws or shareholder agreement of a benefit corporation may prescribe additional qualifications of the benefit director consistent with this subsection.
(c) The benefit director shall prepare and the benefit corporation shall include in the annual shareholder’s report the opinion of the benefit director on the following:
(1) whether the benefit corporation acted in accordance with its general public benefit and any specific public benefit purpose in all material respects during the period covered by the report;
(2) whether the directors and officers complied with subsection (a) of section 10 and subsection (a) of section 12;
(3) whether, in the opinion of the benefit director, the benefit corporation or its directors or officers failed to comply with subsection (b) and, if so, a description of the ways in which the benefit corporation or its directors or officers failed to comply; and
(4) what impact the corporation’s status as a benefit corporation is having on its business, including client or consumer opinion, return on investment, impact on shareholders and impact on employees.
(d) The action or inaction of an individual in the capacity of a benefit director shall constitute, for all purposes, an action or inaction of that individual in the capacity of a director of the benefit corporation.
(e)(1) A shareholder agreement of a benefit corporation adopted under subsection (a) of section 7.32 of chapter 156D shall provide that the persons or shareholders who perform the duties of the board of directors shall include a person with the powers, duties, rights and immunities of a benefit director.
(2) A person that exercises 1 or more of the powers, duties or rights of a benefit director under this subsection:
(i) shall not be required to be independent of the benefit corporation;
(ii) shall have the immunities of a benefit director;
(iii) may share the powers, duties and rights of a benefit director with 1 or more other persons; and
(iv) shall not be subject to the procedures for election or removal of directors in chapter 156D unless the person is also a director of the benefit corporation or the shareholder agreement makes those procedures applicable.
(f) The benefit director of a professional corporation shall not be required to be independent.
(g) Regardless of whether the bylaws of a benefit corporation include a provision eliminating or limiting the personal liability of directors authorized by chapter 156D, a benefit director shall not be personally liable for an act or omission in the capacity of a benefit director unless the act or omission constitutes self-dealing, willful and intentional misconduct or a knowing violation of the law.
Section 12. (a) Each officer of a benefit corporation shall consider the interests and factors described in clause (1) of subsection (a) of section 10 in the manner provided in said subsection (a) if:
(1) the officer has discretion to act with respect to a matter; and
(2) it reasonably appears to the officer that the matter may have a material effect on the creation of a general public benefit or a specific public benefit by the benefit corporation.
(b) The consideration of interests and factors in the manner described in clause (1) of subsection (a) shall not constitute a violation of section 8.41 of chapter 156D.
(c) An officer shall not be personally liable for monetary damages for:
(1) any action or inaction as an officer if the officer performed the duties of the position in compliance with chapter 156D and this section; or
(2) failure of the benefit corporation to pursue or create a general public benefit or a specific public benefit.
(d) An officer shall not have a fiduciary duty to a person that is a beneficiary of the general or specific public benefit purposes of a benefit corporation arising from the status of the person as a beneficiary.
Section 13. (a) A benefit corporation may have an officer designated as the benefit officer. A benefit officer shall have:
(1) the powers and duties relating to the purpose of the corporation to create a general public benefit or a specific public benefit provided:
(i ) by the bylaws; or
(ii) absent controlling provisions in the bylaws, by resolutions or orders of the board of directors; and
(2) the duty to oversee and prepare the annual benefit report required by subsection (a) of section 15.
Section 14. (a) (1) The duties under this chapter and the general public benefit purpose and any specific public benefit purpose of a benefit corporation may be enforced only in a benefit enforcement proceeding.
(2) Except in a benefit enforcement proceeding, no person shall bring an action or assert a claim against a benefit corporation or its directors or officers with respect to:
(i) failure to pursue or create general or specific public benefits set forth in its articles; or
(ii) a violation of a duty or standard of conduct under this chapter.
(3) A benefit corporation shall not be liable for monetary damages under this chapter for any failure of the benefit corporation to pursue or create a general public benefit or a specific public benefit.
(b) A benefit enforcement proceeding shall be commenced or maintained only:
(1) directly by the benefit corporation; or
(2) derivatively by:
(i) a shareholder;
(ii) a director;
(iii) a person or group of persons that owns beneficially or of record 5 per cent or more of the equity interests in an association of which the benefit corporation is a subsidiary; or
(iv) other persons as specified in the articles of organization, bylaws or shareholder agreement of the benefit corporation.
Section 15. (a) A benefit corporation shall prepare an annual benefit report, including all of the following information:
(1) a narrative description of:
(i) the ways in which the benefit corporation pursued a general public benefit during the year and the extent to which general public benefit was created;
(ii) the ways in which the benefit corporation pursued a specific public benefit that the articles state it is the purpose of the benefit corporation to create and the extent to which that specific public benefit was created;
(iii) any circumstances that have hindered the creation by the benefit corporation of general public benefit or specific public benefit; and
(iv) the process and rationale for selecting or changing the third-party standard used to prepare the benefit report;
(2) an assessment of the overall social and environmental performance of the benefit corporation against a third-party standard:
(i) applied consistently with any application of that standard in prior benefit reports; or
(ii) accompanied by an explanation of the reasons for any inconsistent application;
(3) the name of the benefit director and the benefit officer, if any, and the address to which correspondence to each of them may be directed;
(4) the compensation paid by the benefit corporation during the year to each director in the capacity of a director;
(5) the name of each person that owns 5 per cent or more of the outstanding shares of the benefit corporation either: (i) of record; or (ii) beneficially, to the extent known to the benefit corporation without independent investigation;
(6) the statement of the benefit director described in subsection (c) of section 11;
(7) a statement of any connection between the organization that established the third-party standard, or its directors, officers or any holder of 5 per cent or more of the governance interests in the organization, and the benefit corporation or its directors, officers or any holder of 5 per cent or more of the outstanding shares of the benefit corporation, including any financial or governance relationship which might materially affect the credibility of the use of the third-party standard; and
(8) if the benefit corporation has dispensed with, or restricted the discretion or powers of, the board of directors, a description of:
(i) the persons that exercise the powers, duties and rights and who have the immunities of the board of directors; and
(ii) the benefit director, as required by subsection (d) of section 11.
(b) Nothing in this chapter shall require the benefit report or the assessment of the performance of the benefit corporation in the benefit report required by clause (2) of subsection (a) to be audited or certified by a third party standards provider.
Section 16. (a) The annual benefit report shall be sent to each shareholder at the same time that the benefit corporation delivers any other annual report to its shareholders, or within 120 days following the end of the fiscal year of the benefit corporation.
(b) A benefit corporation shall post its most recent annual benefit report on the public portion of its website, if any, but the compensation paid to directors and financial, confidential or proprietary information included in the benefit report may be omitted from the benefit report as posted.
(c) If a benefit corporation does not have a website, the benefit corporation shall provide a copy of its most recent benefit report, without charge, to any person that requests a copy, but the compensation paid to directors and financial or proprietary information included in the benefit report may be omitted from the copy of the benefit report provided.
(d) The benefit corporation shall deliver a copy of the benefit report to the state secretary for filing, but the compensation paid to directors and financial, confidential or proprietary information included in the benefit report may be omitted from the benefit report as filed. The state secretary shall charge a fee of $75 for filing a benefit report.
SECTION 52. Section 14C of chapter 167 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by striking out the third and fourth paragraphs and inserting in place thereof the following 3 paragraphs:-
The small business loan review boards shall meet on a regular basis or, as demand for their services requires, to review small business loan denials that applicants believe were unreasonably denied. Upon commencement of a review of a small business loan denial submitted by an applicant, the small business loan review board shall report the results of its findings to the applicant within 30 days after submission of the request for review; provided, however, that the board may, at its discretion, extend the review period to within 60 days of a submission of the request for review. Upon making a determination for reason of denial, a small business loan review board shall provide information on its findings to the applicant and the commissioner of banks and shall provide information to the applicant on alternative sources of financing, including information on any small business financing programs or other relevant programs offered by the commonwealth. The commissioner shall file annual reports regarding the activities of the small business loan review boards with the house and senate chairs of the joint committee on community development and small business, the house and senate chairs of the joint committee on economic development and emerging technologies and house and senate chairs of the joint committee on revenue not later than January 1.
In addition, the small business loan review boards shall conduct annual studies and issue annual reports on the availability of credit to small businesses within their regions and report back to the commissioner of banks on their findings. The reports shall be published and made available to the public through the website of the office of consumer affairs and business regulation or the searchable website established under section 3 of chapter 23A.
Notwithstanding this chapter, the commissioner may promulgate rules and regulations governing the establishment, operation and procedures of small business loan review boards. In addition, the commissioner shall market and promote the small business loan review boards as a resource for small businesses.
SECTION 52A. Section 19 of chapter 186 of the General Laws, as so appearing, is hereby amended by inserting after the word “agreement”, in line 12, the following words:- for residential use.
SECTION 52B. Section 44 of chapter 253 of the General Laws, as so appearing, is hereby amended by inserting after the introductory paragraph the following definition:-
“Abandoned dam”, a dam that has no identifiable owner or a dam in which the owner fails to respond to the owner’s obligations under sections 44 to 48, inclusive, and as a result of which the commissioner has taken emergency action under section 47 and created a lien upon the lots of land on which the dam is situated and upon the buildings and structures on the lots under section 48.
SECTION 52C. Said section 44 of said chapter 253, as so appearing, is hereby further amended by striking out the definition of “Commissioner” and inserting in place thereof the following definition:-
“Commissioner”, the commissioner of conservation and recreation or a designee of the commissioner.
SECTION 52D. Said section 44 of said chapter 253, as so appearing, is hereby further amended by inserting after the word “any”, in line 9, the following word:- man-made.
SECTION 52E. Said section 44 of said chapter 253, as so appearing, is hereby further amended by inserting after the word “safety”, in line 17, the following words:- or which could cause significant harm to the aquatic ecosystem.
SECTION 52F. Said section 44 of said chapter 253, as so appearing, is hereby further amended by striking out, in line 32, the words “environmental management” and inserting in place thereof the following words:- conservation and recreation.
SECTION 52G. Said section 44 of said chapter 253, as so appearing, is hereby further amended by inserting after the definition of “Owner” the following definition:-
“Remove” or “Removal”, the controlled dismantlement or breaching of a dam to the extent that water is not impounded or diverted by the dam and fish passage is no longer impeded and which is dismantled in compliance with applicable laws and regulations; provided, however, that a minimal degree of impoundment needed for agricultural uses or to retain wetlands and open water conditions may be allowed following controlled dismantlement or breaching of a dam, so long as any impediment to fish passage has been removed or any threats to safety or property have been alleviated.
SECTION 52H. Section 46 of said chapter 253, as so appearing, is hereby amended by inserting after the word “unsafe”, in line 14, the following words:- or abandoned.
SECTION 52I. Said section 46 of said chapter 253, as so appearing, is hereby further amended by inserting after the word “condition”, in line 22, the following words:- or to safely remove the dam.
SECTION 52J. Section 46A of said chapter 253, as so appearing, is hereby amended by inserting after the word “removed”, in line 1, the following word:- , repaired.
SECTION 52K. Said section 46A of said chapter 253, as so appearing, is hereby further amended by inserting after the word “approving”, in line 5, the following words:- the dam or the safe removal of.
SECTION 52L. Said section 46A of said chapter 253, as so appearing, is hereby further amended by inserting after the word “property,” in line 7, the following words:- or such terms and conditions, if any, as the commissioner, in consultation with the commissioner of fish and game, deems necessary for the protection of the environment.
SECTION 52M. Section 47 of said chapter 253, as so appearing, is hereby amended by inserting after the word “condition,” in line 6, the following words:- or remove the dam.
SECTION 52N. Said section 47 of said chapter 253, as so appearing, is hereby further amended by striking out, in line 22, the figure “$500” and inserting in place thereof the following figure:- $5,000.
SECTION 52O. Said chapter 253 is hereby further amended by adding the following 4 sections:-
Section 65. The commissioner of conservation and recreation, in conjunction with the commissioner of fish and game, the division of fisheries and wildlife and the riverways program, or any successor agencies, shall biannually, submit a detailed report on all dams, whether on public or private property, to the joint committee on environment, natural resources and agriculture and to the senate and house committees on ways and means. The report shall include:
(1) a comprehensive list of each person, agency, municipality or entity that owns and operates a dam and the location of each dam where such ownership or operation is registered with the department;
(2) a list of specific owners who have failed to meet regulatory requirements including, but not limited to, registration and inspection requirements;
(3) a classification of the status of any hazardous dams that pose a threat to public health, safety, welfare, property or the environment and when or whether any such dam has been repaired including, where applicable, the presence of polluted or hazardous underwater sediment present in the retained area of a dam;
(4) a comprehensive list of dams that are abandoned as defined in section 44; and
(5) a comprehensive list of dams, the existence, condition or operation of which poses a threat to freshwater animal and plant and resident or migratory fish species habitat or movement.
Section 66. (a) The department of conservation and recreation shall ensure emergency action plans shall be developed for all high hazard dams and significant hazard dams, as defined by department regulations. The department shall establish and make available to dam owners an emergency action plan template. The department shall ensure that necessary local and state dam safety officials have immediate access to such plans in the event of a potential dam failure.
(b) The department shall develop an inspection schedule to ensure that all high hazard dams as defined in department regulations are inspected at least every 2 years, all significant hazard dams as so defined are inspected at least every 5 years and all low hazard dams as so defined are inspected at least every 10 years.
(c) The department shall review the hazard classifications of dams at least every 5 years to ensure the accuracy of the dam classification.
Section 67. The department of conservation and recreation shall review and approve projects to receive loan funds from the Dam Repair and Revolving Loan Fund established in section 2FFF of chapter 29. The department of conservation and recreation shall promulgate regulations, in consultation with the secretary of administration and finance, identifying the application process and the terms and conditions of approving such loans. Priority in the approval of projects shall be given to: (i) cities and towns; public entities as established by the general court including, but not limited to, water districts, fire districts and regional wastewater districts; private dam owners in partnerships with cities and towns and public entities and charitable organizations which are tax exempt under section 501(c)(3) of the Internal Revenue Code; and (ii) projects to repair or remove high hazard and significant hazard dams as defined by department of conservation and recreation regulations and consideration of dams, the existence, condition or operation of which poses a threat to freshwater animal and plant and resident or migratory fish species habitat or movement.
Section 68. The department may consult with and receive inspection and other support from the department of fish and game, the division of fisheries and wildlife and the riverways program, or any successor agencies, to accomplish its duties pursuant to sections 44 to 48B, inclusive, sections 65 to 68, inclusive.
SECTION 53. Item 6033-9013 of section 2 of chapter 246 of the acts of 2002 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8005 within the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further that said report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 54. Item 6033-0428 of section 2B of chapter 291 of the acts of 2004 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8010 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012 the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 55. Item 6033-0499 of said section 2B of said chapter 291 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8015 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from the aforementioned item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets. 1790
SECTION 56. Item 6001-0421 of section 2I of said chapter 291 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program as established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8020 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 57. Item 1100-8000 of section 2B of chapter 123 of the acts of 2006, as amended by section 105 of chapter 27 of the acts of 2009, is hereby further amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from the this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from the this item shall be transferred to item 7005-8025 within the executive office of housing and economic development; and provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further that the report shall be submitted to the house and senate committee on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 58. The definition of "Public infrastructure improvements" in section 5 of chapter 293 of the acts of 2006 is hereby amended by inserting after the words "facilities", in line 6, the following words:- , parking garages.
SECTION 59. Said chapter 293 is hereby further amended by inserting after section 12A, inserted by section 17 of chapter 129 of the acts of 2008, the following section:-
Section 12B. Notwithstanding any other provision of this act, new revenue and new state tax revenues may, respectively and to the extent and in the manner approved by the secretary with consideration of economic conditions and the characteristics of the project, include revenue and state tax revenue attributable to construction-related activity and purchases in connection with an economic development project and all calculations of any matter under the act including, without limitation, calculation of infrastructure assessments and shortfalls, shall reflect such inclusion in the manner approved by the secretary. The commissioner shall certify the amount of new state tax revenues attributable to such construction-related activity and purchases in the manner and at the times specified in the secretary's certification of the economic development project.
SECTION 60. Item 6033-0887 of section 2B of chapter 86 of the acts of 2008 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8030 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 61. Item 7004-0035 of section 2 of chapter 119 of the acts of 2008 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7005-8035 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 62. Item 7100-1000 of section 2 of chapter 258 of the acts of 2008 is hereby amended by inserting after the word “Worcester”, in line 92, the following words:- ; provided further, that not less than $25,000,000 shall be expended at the direction of the Massachusetts Technology Collaborative in conjunction with funds granted under section 4G of chapter 40J of the General Laws; provided further, that funds expended for such purpose shall leverage at least $3, in the aggregate, during activities funded by such grant, from sources other than an agency as defined by section 39 of chapter 6 of the General Laws, for each dollar granted and that funds expended for this purpose shall not qualify as meeting the requirements for leveraged dollars required under said section 4G.
SECTION 63. Item 6035-0877 of section 2B of chapter 303 of the acts of 2008, as amended by section 33 of chapter 26 of the acts of 2009, is hereby further amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8045 within the executive office of housing and economic development; provided further, that before October 1, 2012. the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 64. Item 6035-0887 of said section 2B of said chapter 303, as amended by section 34 of said chapter 26, is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8040 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 65. Item 6001-0803 of section 2C of said chapter 303 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be used for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8050 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 66. Item 6001-0817 of said section 2C of said chapter 303 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be expended for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8055 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be submitted to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 67. Item 1100-8020 of section 2C of chapter 304 of the acts of 2008, is hereby amended by adding the following words:- ; provided further, that after August 1, 2012, amounts in this item shall be used for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item or its successor item established as a result of chapter 25 of the acts of 2009 shall be transferred to item 7002-8060 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be delivered to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 68. Item 6001-0816 of section 2B of chapter 240 of the acts of 2010, as amended by section 1 of chapter 412 of the acts of 2010 is hereby amended by adding the following words:- ; provided further, that after August 1, 2012 amounts in this item shall be used for the MassWorks infrastructure program established in section 63 of chapter 23A of the General Laws; provided further, that any uncommitted balance as of August 1, 2012 from this item shall be transferred to item 7002-8060 within the executive office of housing and economic development; provided further, that any unexpended balance as of September 1, 2012 from this item shall be transferred to the executive office of housing and economic development; provided further, that before October 1, 2012, the executive office of housing and economic development shall submit a report on the amount of authorization expended from this item before August 1, 2012; provided further, that the report shall detail awards expected to utilize this authorization after August, 1, 2012 and the schedule plan for completing awards; and provided further, that the report shall be delivered to the house and senate committees on ways and means and the house and senate committees on bonding, capital expenditures and state assets.
SECTION 69. Section 171 of said chapter 240 is hereby amended by striking out, in lines 4 and 5, the words “$25,000,000 and not more than $50,000,000 in banks or financial institutions” and inserting in place thereof the following words:- $50,000,000 and not more than $100,000,000 in banks, financial institutions or other investment funds.
SECTION 70. Subsection (a) of section 173 of said chapter 240, as amended by section 42 of chapter 9 of the acts of 2011, is hereby further amended by striking out the definition of “Tolling period” and inserting place thereof the following definition:-
“Tolling period”, the period from August 15, 2008 to August 15, 2012, inclusive.
SECTION 71. Subsection (b) of said section 173 of said chapter 240, as so amended, is hereby further amended by striking out, in line 2, the figure “2” and inserting in place thereof the following figure:- 4.
SECTION 71A. Item 7007-0150 of section 2 of chapter 139 of the acts of 2012 is hereby amended by adding the following words:-; provided further, that when awarding contracts the office shall seek to identify regions that provide services to as many municipalities as possible with the 12 contracts authorized by paragraph (1) of subsection (a) of section 3K of chapter 23A of the General Laws; and provided further, that priority in awarding contracts shall be given to applications that evidence cooperation and collaboration among the various organizations and municipalities engaged in economic development activities within the identified region; and provided further, that the office shall report to the house and senate committees on ways and means by September 30, 2012 on its plan to prioritize the delivery of the services established in subsection (c) of said section 3K of said chapter 23A, on the formula used to determine funding for contractual reimbursements under subsection (f) of said section 3K of said chapter 23A and on the funding needed to fully implement a program throughout the commonwealth in fiscal year 2014.
SECTION 72. To meet expenditures necessary in carrying out section 2, the state treasurer shall, upon the request of the governor, issue and sell bonds of the commonwealth in an amount to be specified by the governor from time to time but not exceeding, in the aggregate, $25,000,000. All bonds issued by the commonwealth as aforesaid shall be designated on their face, the Massachusetts Technology Park Corporation Scientific and Technology Research and Development Matching Grant Fund, Act of 2011, and shall be issued for a maximum term of years, not exceeding 30 years, as the governor may recommend to the general court under section 3 of Article LXII of the Amendments to the Constitution. The bonds shall be payable not later than June 30, 2048. All interest and payments on account of principal on these obligations shall be payable from the General Fund. Bonds and interest on bonds issued under this section shall, notwithstanding any other provision of this act, be general obligations of the commonwealth.
SECTION 73. Notwithstanding any general or special law to the contrary, the University of Massachusetts Building Authority may enter into long-term leases for the purposes of alleviating educational space overcrowding at university campuses and for the purpose of stimulating economic development. The University of Massachusetts Building Authority shall report annually to the house and senate committees on ways and means a list of any square footage leased under this section, the educational programs offered in that square footage and the economic development projects leveraged by the individual leases in each municipality.
SECTION 74. Notwithstanding the last paragraph of section 2H of chapter 29 of the General Laws, $4,000,000 received from proceeds of one-time settlements or judgments that would otherwise be transferred to the Commonwealth Stabilization Fund shall instead be deposited in the Smart Growth Housing Trust Fund established in section 35AA of chapter 10 of the General Laws.
SECTION 75. Notwithstanding any general or special law to the contrary, the comptroller shall transfer $5,000,000 from the General Fund to the Workforce Competitiveness Trust Fund established in section 2WWW of chapter 29 of the General Laws.
SECTION 76. Notwithstanding any general or special law to the contrary, the commissioner of capital asset management and maintenance, in consultation with the president of Massasoit Community College and the department of higher education, may enter into a lease or other contractual arrangement with Marine and Environmental Education Alliance, Inc., a not-for-profit corporation, to allow the college to utilize facilities now or hereafter owned, leased or operated by the corporation for the purpose of providing post-secondary career and training opportunities in marine and environmental studies. The lease or other contractual arrangement shall be for a term, including extensions, of up to 30 years, and shall be on such terms and conditions as the commissioner of capital asset management and maintenance, in consultation with the president of Massasoit community college and the department of higher education, deems appropriate.
SECTION 77. Notwithstanding any general or special law to the contrary, the comptroller may, on or before June 30, 2014, transfer not more than $200,000,000 to the General Fund from the Commonwealth Stabilization Fund; provided, however, the Commonwealth Stabilization Fund shall be reimbursed the full amount of the transfer by December 31, 2014. The comptroller, in consultation with the secretary of administration and finance, may take the overall cash flow needs of the commonwealth into consideration in determining the timing of any transfer of funds. The comptroller shall provide a schedule of transfers to the secretary of administration and finance and to the house and senate committees on ways and means.
SECTION 78. (a) Notwithstanding any general or special law to the contrary, for the days of August 11, 2012 and August 12, 2012, an excise shall not be imposed upon nonbusiness sales at retail of tangible personal property as defined in section 1 of chapter 64H of the General Laws. For the purposes of this section, tangible personal property shall not include telecommunications, tobacco products subject to the excise imposed by chapter 64C of the General Laws, gas, steam, electricity, motor vehicles, motorboats, meals or a single item the price of which is in excess of $2,500.
(b) Notwithstanding any general or special law to the contrary, for the days of August 11, 2012 and August 12, 2012, a vendor shall not add to the sales price or collect from a nonbusiness purchaser an excise upon sales at retail of tangible personal property, as defined in section 1 of chapter 64H of the General Laws. The commissioner of revenue shall not require a vendor to collect and pay excise upon sales at retail of tangible personal property purchased on August 11, 2012 and August 12, 2012. An excise erroneously or improperly collected during the days of August 11, 2012 and August 12, 2012, shall be remitted to the department of revenue. This subsection shall not apply to the sale of telecommunications, tobacco products subject to the excise imposed by chapter 64C of the General Laws, gas, steam, electricity, motor vehicles, motorboats, meals or a single item the price of which is in excess of $2,500.
(c) Reporting requirements imposed upon vendors of tangible personal property, by law or by regulation, including, but not limited to, the requirements for filing returns required by chapter 62C of the General Laws, shall remain in effect for sales for the days of August 11, 2012 and August 12, 2012.
(d) On or before December 31, 2012, the commissioner of revenue shall certify to the comptroller the amount of sales tax forgone, as well as new revenue raised from personal and corporate income taxes and other sources, under this section. The commissioner shall file a report with the joint committee on revenue and the house and senate committees on ways and means detailing by fund the amounts under general and special laws governing the distribution of revenues under chapter 64H of the General Laws which would have been deposited in each fund without this section.
(e) The commissioner of revenue shall issue instructions or forms, or promulgate rules or regulations, necessary for the implementation of this section.
(f) Eligible sales at retail of tangible personal property under subsections (a) and (b) shall be restricted to those transactions occurring on August 11, 2012 and August 12, 2012. Transfer of possession of or payment in full for the property shall occur on 1 of those days and prior sales or layaway sales shall be ineligible.
SECTION 78A. Notwithstanding any general or special law to the contrary, the secretary of energy and environmental affairs shall, on or before January 1, 2013, promulgate regulations providing small dealers as defined in section 321 of chapter 94 of the General Laws with the ability to seek exemptions from accepting empty deposit containers. The regulations shall consider at least the health and safety of the public, the convenience for the public, including standards governing distribution of centers by population or by distance or both, the size and storage capacity of the dealers to be served by the redemption center and the size and storage capacity of the redemption center. The order approving a local redemption center license shall state the dealers to be served and the kinds, sizes and brand names of empty beverage containers that the center accepts.
SECTION 78B. (a) As used in this section, the following terms shall have the following meanings unless the context clearly requires otherwise:
"Board of directors", the board of directors of the North Shore Community Assistance Corporation created by this section
"Board of higher education", the board of higher education established pursuant to section 4 of chapter 15A of the General Laws.
"Board of trustees", the board of trustees of the North Shore Community College.
“Code”, the Internal Revenue Code of 1986, as may be amended from time to time.
"College", the North Shore Community College or, if the North Shore Community College shall be dissolved or fails to qualify either as a political subdivision of the commonwealth or an educational institution exempt from federal income tax under Section 501(c)(3) of the Code, then such other educational institution of higher learning established and operating in the commonwealth as shall be designated by the board of higher education, which is either such a political subdivision or such an exempt organization.
"Corporation", the North Shore Community College Assistance Corporation established in subsection (b).
"Educational institution", an educational organization within the meaning of section 170(b) (I)(A)(ii) of the Code.
(b) There shall be a body politic and corporate to be known as the North Shore Community College Assistance Corporation. The corporation shall not be a public agency or state agency as those terms are described in chapter 7 of the General Laws. The corporation shall be governed by a board of directors consisting of: the chairman of the board of trustees of the college, the president of the college, the mayor of the city of Lynn, the president of the Lynn city council, the director of the Economic Development and Industrial Corporation of Lynn, or a successor thereto, the mayor of the city of Peabody, the president of the Peabody city council, the town manager of the town of Danvers, the chairman of the Danvers board of selectmen, 3 members to be appointed by the governor, at least 1 of whom shall be experienced in the financial aspects of real estate development and management and at least 1 of whom shall be experienced in planning, and 4 members to be appointed by the president of the college, at least 2 of whom shall be experienced in higher education administration.
(c) The appointed members of the board of directors shall serve 3-year terms. Of those initially appointed by the governor, 1 shall be appointed for 1 year, 1 shall be appointed for 2 years and 1shall be appointed for 3 years. Of those initially appointed by the president of the college, 1 shall be appointed for 1 year, 1 shall be appointed for 2 years and 2 shall be appointed for 3 years. Vacancies arising from other than the expiration of the term shall be filled by the person designated as the appointing authority for the initial appointment. Directors shall serve without compensation but may be reimbursed for expenses necessarily incurred in the performance of their duties.
(d) The board of directors from time to time shall elect from among themselves a chairman, a vice chairman and a secretary. The secretary shall be the custodian of all books, documents and papers of the corporation and its minute book and seal. Unless otherwise provided in by-laws adopted by the board of directors, the number of directors required to constitute a quorum shall be a majority of the directors then in office. If a quorum is present, a majority of the directors may take any action on behalf of the board of directors except to the extent that a larger number is required by this section, or other applicable laws or by by-laws adopted by the board of directors.
(e) The purposes of the corporation shall be to: (i) promote the orderly growth and development of the college; and (ii) to assist the college in securing physical and financial resources necessary for the acquisition and development of sites for use by the college. In furtherance of such purpose, the corporation shall, subject only to the restrictions and limitations hereinafter provided, have the following powers:
(1) to make and execute contracts and any other instruments necessary or convenient for the exercise of its powers or the discharge of its duties and incur liabilities for any other purposes of the corporation;
(2) to have a corporate seal which it may alter at its pleasure;
(3) to adopt by-laws for the regulation of its affairs;
(4) to accept, acquire, receive, take and hold by bequest, devise, grant, gift, purchase, exchange, lease, transfer, judicial order or decree or otherwise, for any of its objects and purposes, any property both real and personal, reasonably related to the acquisition and development of sites for use by the college and to develop such sites including, but not limited to, the construction, renovation, operation and maintenance of buildings thereon;
(5) to sue or be sued; provided, however, that a director or officer of the corporation shall not be liable for the performance of the director’s duties if the director acts in compliance with section 6C of chapter 180 of the General Laws;
(6) to sell, convey, mortgage, lease, transfer, exchange or otherwise dispose of any such property, both real and personal, as the objects and purposes of the corporation may require;
(7) to borrow money and, from time to time, to make, accept, endorse, execute and issue promissory notes, bills of exchange and other obligations of the corporation for monies borrowed or in payment for property acquired or for any of the other purposes of the corporation and to secure the payment of any such obligation by mortgage, pledge, deed, agreement or other instrument of trust or other lien upon, assignment of or agreement in regard to all or any part of the property rights or privileges of the corporation, whether now owned or hereafter to be acquired;
(8) to receive stocks, bonds, donations and gifts and to otherwise raise money for the corporation's purposes;
(9) to elect, appoint and employ officers, agents and employees, to fix their compensation and define their duties and obligations and to indemnify corporate personnel;
(10) to enter into agreements or other transactions with any person including, without limitation, any governmental instrumentalities or agencies in connection with any of its powers or duties and any governmental agency may enter into such agreements or other transactions with the corporation; and
(11) to do all acts and things necessary or convenient to the exercise of any power or the discharge of any duty provided for in this subsection.
(f) The corporation shall be an institution for higher education solely for the purposes such term is used in chapter 614 of the acts of 1968. Any acquisition of property by purchase, lease or otherwise by the corporation shall be deemed a project as such term is used in said chapter 614. The corporation shall be fully eligible to receive any assistance from the Massachusetts Health and Education Facilities Authority established in said chapter 614 in the same manner as any other institution for higher education.
(g)(1) The corporation shall assess the space needs of the college on a regular basis and may acquire sites for use by the college. The corporation may lease or rent land or space in any facility under the control of the corporation to any entities other than the college only after making a determination that the college does not have a foreseeable need for such space or land for the term of the lease or rental agreement.
(2) The corporation shall not sell, convey, transfer, exchange or otherwise dispose of any real property without notifying, in writing and consulting with, the board of trustees and the board of higher education and, after such consultation, making a determination that such sale, conveyance, transfer or exchange is in the best interests of the college. Any such sale, conveyance, transfer or exchange shall require a vote of 2/3 of the members of the board of directors.
(h) The college or any state agency or entity acting on the college's behalf may enter into an agreement to rent, lease or otherwise utilize any facility owned by or under the control of the corporation. The corporation shall be paid rent and costs for such facilities at a rate agreed to by the corporation and college or state agency or entity entering into an agreement on the college's behalf; provided, however, that such amount shall not exceed the fair market value for the use of such facilities at the time the agreement is made. Subject to such limitation, the college's determination to rent, lease or otherwise utilize any facility owned or under the control of the corporation and any agreement related thereto shall not be subject to chapter 7 of the General Laws.
(i)(1) The corporation shall not engage in any activities which are not in furtherance of its corporate purposes or to support or benefit any organization other than the college and all of the powers granted under this section to the corporation shall be exercised in a manner consistent therewith.
(2) Notwithstanding any other provision of this section, neither the directors and officers of the corporation nor the corporation shall participate in any prohibited transaction within the meaning of Section 503 of the Code, nor shall the corporation be operated at any time for the primary purpose of carrying on a trade or business for profit.
(j) Subject to this section, the corporation shall use or distribute all property from time to time held by the corporation solely in the furtherance of its corporate purposes in such manner as the board of directors shall determine. No part of the assets or net earnings, if any, of the corporation shall inure to the benefit of, or be distributable to, its directors or officers or private individuals, except that the corporation may pay reasonable compensation for services rendered and make payments and distributions in furtherance of its corporate purposes. The corporation shall not directly or indirectly participate in or intervene in, including the publishing or distributing of statements, any political campaign on behalf of or in opposition to any candidate for public office. No substantial part of the activities of the corporation shall be for the carrying on of propaganda or otherwise attempting to influence legislation, except to the extent the corporation makes expenditures for purposes of influencing legislation in conformity with the requirements of Section 501(h) of the Code. If the corporation is deemed to be a private foundation as defined in Section 509 of the Code, chapter 68A of the General Laws shall apply to it.
(k)(1) The operation and maintenance of projects by the corporation shall constitute the performance of an essential governmental function and the corporation shall not be required to pay any taxes or special, betterment or other assessments within the commonwealth including, without limitation, taxes on real or personal property and any ad valorem taxes, upon any property owned, constructed, acquired, leased or used by it under this section. The corporation shall not be subject to any taxes based upon or measured by income which may be enacted by the commonwealth. Obligations issued by the corporation under this section and any income derived therefrom, including any sale, exchange or transfer of such obligation, shall be free from taxation within the commonwealth.
(2) Land, buildings and tangible personal property of the corporation if leased to the extent permitted under this section for any activity or transaction entered into by the lessee for financial profit or gain shall be taxed or assessed by the city of town in which such land, buildings and tangible personal property is situated to the lessees thereof respectively in the same manner as such land, buildings and tangible personal property would be taxed or assessed to such lessees if they were owners thereof, except as follows:
(A) the payment of the tax or assessment shall not be enforced by any lien upon or sale of such land or buildings, but for the purpose of enforcing the payment of such taxes or assessments by such lessees to the city or town in which such land or buildings are situated, a sale of the leasehold interest therein may be made by the collector of the city or town in the manner provided by law for selling real estate for the nonpayment of real estate taxes;
(B) such land, buildings and tangible personal property leased to any political subdivision of the commonwealth or to any public charity described in section 8 of chapter 12 of the General Laws for its charitable purposes shall not be taxed or assessed to any such lessees;
(C) in lieu of taxes and any betterment or special assessments, the host community may determine a sum to be paid to it annually in any year or period of years, such sum to be in any year equal to or less than the amount that would be levied at the then current tax rate upon the then current assessed value of such real estate, including buildings and other structures, the valuation for each year being reduced by all abatements thereon; provided, however, that no amount shall be due prior to the first year in which the corporation has leased some portion of the real property to a third party and has received rental payments for fees in return therefor and any amount so due shall be prorated based upon the percentage of the property for which rental payments or fees have been received;
(D) if any such lessee is subject to the excise levied under sections 30 to 42B, inclusive, of chapter 63 of the General Laws, such tangible personal property shall be treated as though it were owned by such lessee for the purposes of such excise and it shall be valued at 8 times its annual rental rate, unless and to the extent that such property is treated by the lessee as owned by it for federal income tax purposes, in which case, its value shall be its adjusted basis, as defined in the applicable provisions of the Code; and
(E) all tangible property, real or personal, so leased shall be considered tangible property owned or rented and used in the commonwealth by such lessee for the purposes of section 38 of chapter 63 of the General Laws.
(l)(1) The corporation shall not exercise any of the following powers, duties, actions, responsibilities or authorities in the absence of review and comment by the inspector general and such review and comment shall be provided within 2 weeks after submission by the corporation of a plan setting forth the power, duty, action, responsibility or authority proposed to be taken:
(A) entering into a contract requiring an annual expenditure in excess of $100,000 by the corporation; provided, however, that the corporation may enter into those contracts necessary to acquire sites, without further review by the inspector general, but pursuant to a memorandum of understanding with the secretary of administration and finance with respect to the acquisition, renovation, operation and potential disposition of sites;
(B) borrowing monies such that the outstanding amount of monies borrowed by the corporation exceeds $100,000;
(C) entering into a contract requiring the sale of an asset of the corporation purchased with monies appropriated by the commonwealth; and
(D) entering into a contract requiring the sale of all or substantially all of the assets of the corporation.
(2) In carrying out this section, the inspector general shall have access to all the corporation's records, reports, audits, reviews, papers, books, documents, recommendations, correspondence, including information relative to the purchase of services or anticipated purchase of services from any contractor by the corporation, and any other data and material that is maintained by or available to the corporation which in any way relates to the programs and operations with respect to which the inspector general has duties and responsibilities under this section, except any record to which section 18 of chapter 66 of the General Laws applies.
(3) The inspector general may request such information, cooperation and assistance from the corporation as may be necessary for carrying out his duties and responsibilities under this section. Upon receipt of such request, the person in charge of the corporation's governing body shall furnish to the inspector general or the inspector general’s authorized agent or representative such information, cooperation and assistance, including information relative to the purchase of services or anticipated purchase of services from any contractor by the corporation except any record to which said section 18 of said chapter 66 applies. The inspector general may make such investigation, audits and reports relating to the administration of the programs and operations of the corporation as are in the judgment of the inspector general necessary and may conduct an examination of any documents of the corporation to prevent or detect fraud, waste and abuse in the expenditure of public funds. The inspector general shall have direct and prompt access to the head of the corporation when necessary for any purpose pertaining to the performance of such person’s duties and responsibilities under this section. The inspector general may request the production, on a voluntary basis, of testimony or documents from any individual firm or nongovernmental entity which relate to his duties and responsibilities under this section.
(4) The inspector general may require, by summons, the production of all records, reports, audits, reviews, papers, books, documents, recommendations, correspondence and any other data and material relevant to any matter under audit or investigation pursuant to the this section, except records to which said section 18 of said chapter 66 apply. Such summons shall be served in the same manner as a summons for the production of documents in civil cases issued on behalf of the commonwealth and all laws relative to the issuance of summonses shall apply to a summons issued pursuant to this section. Any justice of the superior court department of the trial court may, upon application by the inspector general, issue an order to compel the production of records, reports, audits, reviews, papers, books, documents, recommendations, correspondence and any other data and material as aforesaid. Any failure to obey such order may be punished by such court as contempt. Any summons issued pursuant to this section shall not be made public by the inspector general or any officer or employee of the inspector general’s office and no documents provided pursuant to this section shall be made public until such time as it is necessary for the inspector general to do so in the performance of the inspector general’s duties under this section. The production of such books and papers pursuant to a summons issued under this subsection shall be governed by the same provisions with reference to secrecy which govern proceedings of a grand jury. Disclosure of such production, attendance and testimony may be made to such members of the staff of the inspector general as is deemed necessary by the inspector general to assist the inspector general in the performance of his duties and responsibilities under this section and such members of the staff may be present at the production of records.
(5) The corporation shall submit annually an audited financial statement to the house and senate committees on ways and means and the joint committee on higher education.
(m) Upon dissolution of the corporation after payment of all of the liabilities of the corporation or due provision therefor, all of the assets of the corporation shall be distributed to the board of higher education, to be held in trust for the benefit and purposes of the college, and shall not inure to the benefit of or be distributed to any private individual.
SECTION 78C. The first biannual report required to be filed by the commissioner of conservation and recreation, in conjunction with the commissioner of fish and game, the division of fisheries and wildlife and the riverways program, or any successor agencies, under section 65 of chapter 253 of the General Laws shall be filed on December 31, 2014.
SECTION 78D. (a) For the purposes of this section, the following words shall, unless the context clearly requires otherwise, have the following meanings:-
“Community investment plan”, an organizational business plan developed by a certified community development corporation that details its goals, outcomes, strategies, programs and activities for a 3 to 5-year period and its financial plans for supporting its strategy; provided, however, that the plan shall be designed to engage local residents and businesses to work together to undertake community development programs, projects and activities which develop and improve urban, rural or suburban communities in sustainable ways that create and expand economic opportunities for low and moderate income households; provided further, that the specific format and content of a community investment plan may be adapted to the particular organization and community, but shall include the following elements: (i) a description of the community to be served by the organization, including the neighborhoods, towns or cities to be served and any particular constituencies that the organization is dedicated to serving; (ii) a description of how community residents and stakeholders were engaged in the development of the plan and their role in monitoring and implementing the organization’s activities during the time period of the plan; (iii the goals sought to be achieved during the time period of the plan, including how low and moderate income households or low and moderate income communities will benefit and how the entire community will benefit; (iv) the activities to be pursued to achieve those goals; (v) the manner in which success shall be measured and evaluated; (vi) a description of the collaborative efforts that shall support implementation of the plan, including collaborative efforts with nonprofit, for profit or public entities; (vii) a description of how the different activities within the plan fit together and how the entire plan fits into a larger strategy or vision for the community; (viii) the financial strategy to be deployed to support these activities; and (ix) other information regarding the history and track record of the organization as determined by the department.
“Community partner”, a community development corporation or a community support organization selected by the department through a competitive process to receive a community investment grant.
“Community support organization”, any nonprofit organization which is not a community development corporation but has a focus on and track record of providing capacity building services to community development corporations.
“Department”, the department of housing and community development.
“Gateway municipality”, a gateway municipality as defined in section 3A of chapter 23A.
“Low and moderate income community”, an economic target area as defined in section 3A of chapter 23A, an enhanced economic enterprise community or empowerment zone as designated by the United States Department of Housing and Urban Development or 1 or more contiguous census tracts as designated by a city or town, in which either: (i) a majority of the households are low and moderate income households; or (ii) the unemployment rate is at least 25 per cent higher than the annual statewide average unemployment rate at a time when the statewide unemployment rate is less than or equal to 5 per cent or the unemployment rate is at least 10 per cent higher than the annual statewide average unemployment rate at a time when the statewide unemployment rate is greater than 5 per cent.
“Low and moderate income households”, households which have incomes that do not exceed 80 per cent of the median income for the area, with adjustments made for smaller and larger families, as such median shall be determined from time to time by the secretary of the United States Department of Housing and Urban Development under 42 U.S.C. 1437(a)(B)(2) or any successor legislation and the regulations promulgated thereunder.
(b) The department shall promulgate regulations concerning the process by which community development corporations apply to become a community partner; provided, however, that:
(1) the department shall design a competitive process to review applications by community development corporations and community support organizations; provided, however, that community support organizations may qualify but not more than 2 such organizations may, at any given time, be awarded community investment grants;
(2) the selection process shall favor community development corporations with the highest quality community investment plans and strong track records and shall strive to ensure that all regions of the commonwealth are able to fairly compete for allocations, including gateway municipalities, rural areas and suburban areas; provided, however, that at least 30 per cent of the community partners shall be located in or serving gateway municipalities and at least 20 per cent of the community partners shall be located in or serving rural areas, as defined by the department, unless the department finds that there are not a sufficient number of qualified applications from those areas;
(3) the department shall, subject to appropriation, implement at least 1 such allocation process each year; provided, however, that each grant shall be valid for up to 3 years, contingent upon the community partner satisfactorily meeting the reporting requirements of the department; provided further, that community partners who have not fully utilized their community investment grant within 3 years may apply to the department for a 1-year extension; provided further, that community investment grants may be revoked after 2 years from the date of the award by the department if: (i) the community partner is found to be in noncompliance with this section or the department’s regulations promulgated hereunder; (ii) if the community partner is determined by the department to be making inadequate progress on its community investment plan; or (iii) for other good cause as determined by the department; and
(4) no community partner shall, subject to appropriation, receive a community investment grant of less than $25,000 or more than $150,000 in any 1 fiscal year. No community partner shall receive a subsequent allocation unless it has utilized at least 95 per cent of the 3 year total of any prior allocation
SECTION 78E. The commissioner of revenue, in consultation with the department of housing and community development and the office of commonwealth performance, accountability and transparency, shall review the community investment tax credit in section 6M of chapter 62 of the General Laws and section 38EE of chapter 63 of the General Laws and report on the estimate of the anticipated foregone revenue from the tax credit, whether this tax credit achieves the desired outcome and stated public policy purpose of the tax credit and if the tax credit is the most cost effective means of achieving this public policy purpose and whether the tax credit should be subject to a recapture if certain conditions are not met. The commissioner shall file a report, together with any recommendations regarding whether there should be legislative changes to the tax credit or whether the goals of the tax credit can better be served through other means, to the governor and to the clerks of the house and senate who shall forward the same to the joint committee on revenue, the joint committee on economic development and emerging technologies, the house and senate chairs of the joint committee on community development and small businesses and the house and senate ways and means committees not later than March 1, 2013.
SECTION 78F. The commissioner of revenue, in consultation with the department of housing and community development, shall authorize annually an amount not to exceed $3,000,000 in 2014 and $6,000,000 in 2015 to 2019, inclusive, for the community investment tax credit in section 6M of chapter 62 of the General Laws and section 38EE of chapter 63 of the General Laws.
SECTION 78G. Notwithstanding any general or special law to the contrary, the Massachusetts marketing partnership established under section 13A of chapter 23A of the General Laws shall submit a report on the partnership’s activities in fiscal years 2011 and 2012. The report shall include, but shall not be limited to: (i) the partnership’s efforts to implement chapter 240 of the acts of 2010; (ii) efforts to promote common, coordinated, and concerted marketing efforts on behalf of the commonwealth; (iii) efforts to work in collaboration with governmental entities, regional economic development organizations established under sections 3J and 3K of said chapter 23A, local entities, local authorities, public bodies and private corporations to advanced the commonwealth’s interests and investments in travel and tourism, international trade and economic development; (iv) development of a common internet portal; and (v) the partnership’s plans for marketing and collaboration efforts in fiscal years 2013 and 2014. The partnership shall submit the report to the executive office of housing and economic development, the house and senate committees on ways and means and the joint committee on economic development and emerging technologies not later than December 30, 2012.
SECTION 78H. There shall be a special commission to conduct an investigation and study of the activities and efficacy of the adjudication of unemployment insurance claims by the department of unemployment assistance under the executive office of labor and workforce development. The commission shall consist of 11 members: 2 of whom shall be appointed by the state auditor, both of whom shall have experience with the adjudication of unemployment disputes, and 1 of whom shall serve as chair; 2 of whom shall be members of the senate, 1 of whom shall be appointed by the minority leader; 2 of whom shall be members of the house of representatives, 1 of whom shall be appointed by the minority leader; the director of the department of unemployment assistance, or a designee; the president of the Massachusetts taxpayer’s foundation, or a designee; the executive vice-president of the AFL-CIO, or a designee; the executive vice-president of Associated Industries of Massachusetts, or a designee; and the executive director of the Massachusetts Municipal Association, or a designee.
The study shall include, but not be limited to, an analysis of: (1) the number of claims received by the department quarterly since January 1, 2008 and the resulting status of all claims, including any information pertinent to the description of the status of said claims, including, but not limited to (i) the results of all initial determinations of claims, (ii) the results of any appeals resulting from said initial determination, (iii) the number of rulings reversed through the appeals and review process, (iv) the number of claims arising from paragraphs (1) and (2) of subsection (e) of section 25 of chapter 151A of the General Laws, and (v) the number of claims settled in favor of the claimant and in favor of the employer; (2) the average length of time of the appeals and review process of a claim from initial determination to final disposition; (3) the procedures through which the department hires and trains new employees to implement sections 39 to 41, inclusive, of said chapter 151A, including a determination as to whether or not employment procedures have been followed under section 9K of chapter 23 of the General Laws.
The study shall also include recommendations relative to: (1) procedures through which the department may produce a quarterly report, to be posted on the department’s website, of the number of active claims and the status of said claims; (2) procedures through which any current backlog of cases may be fairly and efficiently resolved and avoided in future department proceedings; (3) procedures through which oversight and quality control principles may be implemented to ensure the continuing prompt, equitable and transparent application of current law by the commissioner and the board of review; (4) a complete review of current statute and regulations relative to the implementation of said chapter 151A and any recommendations as to possible legislative reform and streamlined procedures, including, but not limited to, recommendations and procedures for the uniform and effective implementation of said section 25 of said chapter 151A.
The commission may request from all state agencies such information and assistance as the commission may require. The commission shall report the results of its investigation and study, together with drafts of legislation, if any, necessary to carry its recommendations into effect, by filing the report with the clerks of the senate and house of representatives, who shall forward the report to the joint committee on public health and the house and senate committees on ways and means not later than December 31, 2013.
SECTION 79. The searchable website established under subsection (c) of section 3 of chapter 23A of the General Laws shall be accessible to the public not later than February 1, 2013.
SECTION 80. The first annual report required by clause (8) of subsection (c) of section 6M of chapter 62 of the General Laws and by clause (8) of subsection (c) of section 38EE of chapter 63 of the General Laws shall be completed not later than April 30, 2015.
SECTION 81. The credit allowed in sections 29, 30 and 34 of this act and the credit allowed in section 38DD of chapter 63 of the General Laws shall apply to companies that first begin to pay the excise due under sections 2, 2B and 39 of said chapter 63 in tax year 2014 or any year thereafter.
SECTION 82. Section 6M of chapter 62 of the General Laws, inserted by section 28B, and section 38EE of chapter 63 of the General Laws, inserted by section 33, shall take effect on January 1, 2014.
SECTION 83. Sections 28C and 33A shall take effect on December 31, 2019.
SECTION 84. Sections 35 to 43, inclusive, shall be effective for tax years beginning on or after January 1, 2014.
SECTION 85. The exemption allowed in sections 44 and 45 shall take effect on July 1, 2013.
SECTION 86. Sections 45C to 45N, inclusive, and 78A shall take effect on January 15, 2013.
SECTION 87. Section 51 shall take effect on December 1, 2012.