AN ACT AUTHORIZING THE CITY OF BOSTON TO LIMIT BUILDINGS ACCORDING TO THEIR USE OR CONSTRUCTION TO SPECIFIED DISTRICTS
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
SECTION 1. Preamble Whereas, the general court finds and declares that economic development in the city of Boston, including access to good jobs for low and moderate income residents, is vitally important to the commonwealth and the New England region; and
Whereas, Boston’s robust housing, commercial and institutional development must be guided by a comprehensive zoning code based on sound planning principles and designed to protect and promote the health, safety, convenience, morals and welfare of its inhabitants; and
Whereas, the cost of housing in Boston has increased dramatically, reducing the availability of housing affordable to low, moderate, and middle income households, who are disproportionately likely to be members of classes protected by federal and state fair housing laws; and
Whereas, the welfare of Boston’s inhabitants is greatly enhanced where there is a range of housing options in each neighborhood to support diverse neighborhoods, overcome patterns of segregation and foster inclusive communities free from barriers that restrict access to opportunity for protected classes; and
Whereas, the city of Boston’s inclusionary development policy has been in place for more than 18 years, and supported the creation of 4,146 units of income restricted housing and the preservation of 350 units of income restricted housing for Boston’s working families, and
Whereas, the current iclusionary development policy applies only when a developer of 10 or more units of housing seeks relief from the zoning code thus creating a significant disincentive to modernize zoning and develop form-based code where a variance or other relief would not be required; and
Whereas, incorporating Boston’s inclusionary development policy into the zoning code ratifies and confirms the city’s authority, through Boston’s zoning commission, to require developers to set aside units as income restricted so that there is a range of housing available; and
Whereas, the city’s inclusionary development policy, as codified in the zoning code and as further defined in section 7, shall be hereinafter referred to as “Inclusionary Development”; and
Whereas, the city, pursuant to the program authorized by chapter 371 of the acts of 1987 (“Linkage”), requires developers of new, large-scale commercial developments to pay fees per square foot to support the creation of affordable housing and to support job training for each gross square foot over 100,000 in order to mitigate the impacts of such development on housing supply and the availability of qualified workers; and
Whereas, in the more than 30 years that have passed since Linkage came into effect, the city of Boston has received $168 million for affordable housing and $38 million for job training; and
Whereas, the city’s ability to adjust the Linkage formula is limited to a combination of consumer price indexes and can only be adjusted every 3 years, failing to keep pace with housing prices and the cost of training Boston residents to take on the 21st century jobs being created as well as the new demands for public and private services by new development, leaving some Bostonians with nowhere to live and no ability to participate in the new and emerging industries that economic development is bringing; and now,
THEREFORE, this act is declared to be in the public interest and necessary for the public health, safety, and general welfare of the citizens of Boston.
SECTION 2. Section 1 of chapter 665 of the acts of 1956, as most recently amended by section 5 of chapter 373 of the acts of 2018, is hereby further amended by striking out the fourth paragraph and inserting in place thereof the following paragraph:-
The zoning commission and city of Boston shall cause to be made public electronically accessible contact information for members of the zoning commission and meeting minutes.
The zoning commission may establish rules and regulations for its own procedures not inconsistent with this act and may, from time to time, establish subcommittees as it sees fit.
SECTION 3. Section 2 of said chapter 665 is hereby amended by striking out the first paragraph and inserting in place thereof the following paragraph:-
For the purpose of promoting the health, safety, convenience, morals and welfare of its inhabitants, the city of Boston may, through zoning regulations adopted by its zoning commission, regulate and restrict the following: the height, number of stories and size of buildings and structures, size and width of lots, percentage of a lot that may be occupied, the size of yards, courts and other open spaces, the density of population, and the location and use of buildings, structures, and land for trade, industry, agriculture, residence or other purposes. In order to protect and enhance the public welfare and meet planning goals so that neighborhoods will have a range of housing options with sizes, types, and levels of affordability to support a diverse populace, the zoning commission may also adopt inclusionary zoning regulations or amendments to establish and further inclusionary development for income restricted housing in residential developments.
SECTION 4. Said section 2 of said chapter 665 is hereby further amended by striking out the third paragraph and inserting in place thereof the following paragraph:-
A zoning regulation shall be designed among other purposes to lessen congestion in the streets; to conserve health; to secure safety from fire, panic and other dangers; to provide adequate light and air; to prevent overcrowding of land; to avoid undue concentration of population; to facilitate the adequate provision of a range of housing options with sizes, types, and levels of affordability to support a diverse populace, transportation, water, sewerage, schools, parks and other public requirements; to conserve the value of land and buildings; to encourage the most appropriate use of land throughout the city; and to preserve and increase its amenities.
SECTION 5. The sixth paragraph of section 8 of said chapter 665 is hereby amended by striking out the last sentence and inserting in place thereof the following sentence:- The board shall establish rules and regulations for its own procedures not inconsistent with this act and may, from time to time, establish subcommittees as it sees fit.
SECTION 6. The last sentence of the last paragraph of said section 8 of said chapter 665, as appearing in section 4 of chapter 461 of the acts of 1993, is hereby amended by striking out the words “her or him” and inserting in place thereof the following words:- him/her/them.
SECTION 7. Section 15 of said chapter 665 is hereby amended by inserting after the definition “Employment exaction” the following 2 definitions:-
“Inclusionary development”, a set of programs, policies, ordinances and regulations designed to create or incent the creation of income restricted housing and further fair housing by requiring development projects meeting thresholds established by the city of Boston to include income restricted housing on-site, construct income restricted housing off-site or contribute financially to the construction of income restricted housing or a city fund designated for such purpose.
“Income restricted housing”, a unit of housing, whether rental, condominium or cooperative, a single or multi-family owner occupied home, or other dwelling type, for which the occupancy cost to the resident(s) thereof does not exceed the percentage of the maximum income of an income eligible occupant household, attributed to that unit of housing, as defined by any state or federal agency, authority, department, or similar instrumentality providing financial assistance to reduce the occupancy cost of housing.
SECTION 8. Said section 15 of said chapter 665, as appearing in section 3 of chapter 371 of the acts of 1987, is hereby amended by striking out the definition “New large-scale commercial real estate development” and inserting in place thereof the following definition:-
“New large-scale real estate development”, any development in the city in which development is proposed to erect a building or structure having a gross floor area, exclusive in both cases of all accessory parking garage space, in excess of 100,000 square feet or other threshold as established from time to time by the zoning commission, or to enlarge or extend a building or structure so as to increase its gross floor area, exclusive of all accessory garage space in both cases, to more than 100,000 square feet or other threshold as established from time to time by the zoning commission, or to substantially rehabilitate a building or structure or portion thereof having, or to have, after rehabilitation, a gross floor area, exclusive of all accessory parking garage space in both cases, of more than 100,000 square feet or other threshold as established from time to time by the zoning commission, which square footage is intended for 1 or more of the following “exaction” uses: (1) office; (2) retail business or service; (3) institutional or educational; (4) hotel or motel, but not including an apartment hotel or lodging house; or (5) other uses as determined by the zoning commission.
SECTION 9. Said section 15 of said chapter 665, as so appearing, is hereby further amended by striking out the definition “Substantially rehabilitated” and inserting in place thereof the following definition:-
“Substantially rehabilitated”, to cause alterations or repairs to be made to a building or structure, constituting a new large-scale commercial real estate development, within any period of 12 months, costing in excess of 50 per cent of the assessed value of the building or structure as it appears on the assessment rolls of the city as of the first day of January preceding the date of application to the zoning commission for any zoning map or text amendment to authorize such alterations or repairs, the filing of a Project Notification Form pursuant to Article 80 of the Boston zoning code, or the date of application for the building permit for such alterations or repairs, whichever is earlier.
SECTION 10. Section 16 of said chapter 665 is hereby amended by striking out the first paragraph, as amended by section 2 of chapter 170 of the acts of 2001, and inserting in place thereof the following paragraph:-
Notwithstanding the provisions of any general or special law or rule to the contrary, in the city of Boston the zoning commission is hereby authorized to adopt zoning regulations or amendments thereto for the purpose of mitigating the effects of new large-scale commercial real estate development on the health and welfare of low and moderate income residents of Boston due to the unavailability of affordable housing in the city of Boston. Such regulations shall provide that, with respect to new large-scale commercial real estate development, any relief granted under the provisions of the zoning code, existing or as amended, including without limitation the granting of a conditional use permit, exception, zoning map or text amendment or variance, or any approvals granted pursuant to Article 80 of the Boston zoning code, shall be conditioned upon action, or promised action, by the developer seeking to obtain such relief or approvals to contribute an affordable housing exaction, to mitigate the effects which new large-scale commercial real estate development projects may have upon the availability of affordable housing within the city, which action shall be, the contribution towards the creation of affordable housing as determined by the zoning commission pursuant to duly adopted regulation. Affordable housing may be a portion of a housing development which includes residents of mixed income levels. The regulations shall provide that the zoning relief or approvals necessary to build new large-scale commercial real estate developments are distinct from any other relief or approvals granted under the provisions of the zoning code.
SECTION 11. The first sentence of the second paragraph of said section 16 of said chapter 665, as appearing in section 3 of chapter 371 of the acts of 1987, is hereby amended by striking out the words “Boston redevelopment authority” and inserting in place thereof the following words:- Boston Redevelopment Authority.
SECTION 12. Said second paragraph of said section 16 of said chapter 665, as so appearing, is hereby further amended by inserting after the second sentence the following sentence:- The requirements for creation of housing in kind or payments made over a period of time shall be determined by the regulations.
SECTION 13. Said section 16 of said chapter 665, as most recently amended by section 3 of chapter 170 of the acts of 2001, is hereby further amended by striking out the third paragraph.
SECTION 14. Said section 16 of said chapter 665 is hereby further amended by striking out the fourth paragraph, as amended by said section 3 of said chapter 170, and inserting in place thereof the following paragraph:-
Such regulations shall provide that the measured value of the affordable housing exaction shall be determined on the basis of a fixed dollar amount per square foot of gross floor area devoted to exaction uses in excess of 100,000 square feet of gross floor area devoted to exaction uses or other such threshold as determined by the zoning commission, exclusive in both cases of all accessory parking garage space, of the new large-scale commercial real estate development, as determined by the zoning commission upon written recommendations of the BRA, which recommendations shall include an analysis of the following: (1) economic trends, such as real estate development activity, commercial rents per square foot, employment growth and inflation rates; (2) housing trends measured in terms of vacancy rates for affordable housing available to low and moderate income residents, and production statistics for new dwelling units; and (3) any other such information which the BRA deems appropriate for consideration; provided, however, that the zoning commission shall be authorized to decrease the measured value of the above affordable housing exaction at any time upon consideration of the factors above; provided further, that annually on each July 1st, the current housing exaction in dollars per square foot ($9.03 as of the date of adoption of this amendment) as set by the zoning commission shall be automatically adjusted by the BRA to reflect the combined index; and provided further, that the zoning commission may adopt additional adjustments based on BRA recommendations pursuant to the analysis as required above. No such increase shall apply to any new large-scale commercial real estate development for which an application for a conditional use permit, exception, zoning map or text amendment or variance, Project Notification Form or other Article 80 application has been filed with the appropriate governmental authority prior to the effective date of such increase or for which an application for a planned development area has been filed with the BRA prior to the effective date of such increase, whichever occurs first; provided, however, that the zoning commission may require increased exactions for any development project which seeks additional relief through the filing of a Notice of Project Change, amendment of a planned development area, or other such zoning relief as specified by the zoning commission. Any affordable housing exaction payment shall be made to the neighborhood housing trust, as created and administered pursuant to section twenty. The zoning commission is authorized to promulgate such regulations or rules as will effectuate the purposes of this section.
SECTION 15. Section 16A of said chapter 665 is hereby repealed.
SECTION 16. Said chapter 665 is hereby further amended by striking out section 17, as most recently amended by section 5 of chapter 170 of the acts of 2001, and inserting in place thereof the following section:-
Section 17. Notwithstanding any provisions of general or special law or rule to the contrary, in the city of Boston the zoning commission is hereby authorized to adopt zoning regulations or amendments thereto for the purpose of mitigating the effects of new large-scale commercial real estate development on the health and welfare of low and moderate income residents of the city of Boston due to the unavailability of employment opportunities for such low and moderate income residents of Boston. Such regulations shall provide that any relief granted under the provisions of the zoning code, existing or as amended, including without limitation the granting of a conditional use permit, exception, zoning map or text amendment or variance, or review and approval under Article 80 of the Boston zoning code, shall be conditioned upon action, or promised action, by the developer seeking to obtain such relief or approvals to contribute an employment exaction to mitigate the effects which new large-scale commercial real estate development projects may have upon the availability of jobs for low and moderate income residents within the city, which action shall be the contribution towards the creation of job training programs for the training of low and moderate income residents of the city as determined by the zoning commission pursuant to duly adopted regulations. The regulations shall provide that the zoning relief or approvals necessary to build new large-scale commercial real estate developments are distinct from any other relief or approvals granted under the provisions of the zoning code.
The zoning commission shall determine by regulation that the value of an employment exaction shall be measured on the basis of dollars per square foot devoted to exaction uses in excess of an amount as established from time to time by the zoning commission devoted to exaction uses, exclusive in both cases of all accessory parking garage space, in the new large-scale commercial real estate development project or other such threshold as determined by the zoning commission. The developer of any new large-scale commercial real estate development project, in lieu of contributing towards the creation of job training programs or similar projects referred to in the preceding paragraph, may make a payment or payments of an amount of money equal to the measured value of the employment exaction to the neighborhood jobs trust authorized by section twenty of this chapter over a payment period to be established by regulation of the zoning commission, for the purpose of mitigating the impact of new large-scale commercial real estate development projects.
Such regulations shall provide that the measured value of the employment exaction shall be determined on the basis of a fixed dollar amount per square foot of gross floor area devoted to exaction uses in excess of 100,000 square feet devoted to exaction uses, exclusive in both cases of all accessory parking garage space or other such threshold as determined by the zoning commission, in the new large-scale commercial real estate development, as determined by the zoning commission upon written recommendations of the BRA, which recommendations shall include an analysis of the following: (1) economic trends, such as real estate development activity, commercial rents per square foot, employment growth and inflation rates; (2) employment trends such as unemployment rates and statistics on the availability and use of job training programs; and (3) any other such information which the BRA deems appropriate for consideration; provided, however, that the zoning commission shall be authorized to decrease the measured value of the above employment exaction at any time upon consideration of the factors above; provided, further, that annually on each July 1st, the current employment exaction in dollars per square foot ($1.78 as of the date of adoption of this amendment) as set by the zoning commission shall be automatically adjusted by the BRA to reflect the combined index; and provided further, that the zoning commission may adopt additional adjustments based on BRA recommendations pursuant to the analysis as required above. No such increase shall apply to any new large-scale commercial real estate development for which an application for a conditional use permit, exception, zoning map or text amendment or variance, Project Notification Form or other Article 80 application has been filed with the appropriate governmental authority prior to the effective date of such increase or for which an application for a planned development area has been filed with the BRA prior to the effective date of such increase, whichever occurs first; provided, however, that the zoning commission may require increased exactions for any development project which seeks additional relief through the filing of a Notice of Project Change, amendment of a planned development area, or other such zoning relief as specified by the zoning commission. Any employment exaction shall be paid into the neighborhood jobs trust as created pursuant to section twenty of this chapter. The zoning commission is authorized to promulgate such regulations or rules, as will effectuate the purpose of this provision.
SECTION 17. Section 17A of said chapter 665 is hereby repealed.
SECTION 18. Said chapter 665 is hereby further amended by striking out section 18, as most recently amended by section 7 of said chapter 170, and inserting in place thereof the following section:-
Section 18. (a) The zoning commission is further authorized to promulgate zoning regulations and amendments thereto for the purpose of mitigating the effects of new large-scale commercial real estate development in the city of Boston on the availability of affordable housing or employment opportunities for low and moderate income residents of Boston; provided, however, that such regulations may not be in force simultaneously with those authorized by sections 16 and 17. Such regulations and amendments may provide that any relief granted under the provisions of the zoning code, existing or amended, including without limitation the granting of a conditional use permit, exception, zoning map or text amendment or variance, or review and approval under Article 80 of the Boston zoning code or other such threshold as determined by the zoning commission, shall be conditioned upon action or promised action by the developer seeking to create such new large-scale commercial real estate development project or obtain such relief to mitigate the effects which new large-scale commercial real estate development may have upon low and moderate income residents of the city as determined by the zoning commission pursuant to duly adopted regulations. Such regulations or amendments shall state the specific improvements or amenities to be provided as a condition required for the grant of zoning relief or approvals and the zoning relief or approvals to be granted. The regulations shall provide that the zoning relief or approvals necessary to build new large-scale commercial real estate developments are distinct from any other relief granted under the provisions of the zoning code.
(b) Any such regulations and amendments must provide that (1) the present and future economic burden of any such improvements or amenities shall not exceed the sum of the present value of the prevailing affordable housing exaction as established by the zoning commission (at the time of adoption of this amendment, $9.03) per square foot paid in equal and annual installments over a 7 year period plus the present value of the prevailing employment exaction as established by the zoning commission (at the time of adoption of this amendment, $1.78) per square foot paid in equal and annual installments over a 2 year period, each commencing on the date of the issuance of the building permit, for each square foot of gross floor area devoted to exaction uses in excess of 100,000 square feet devoted to exaction uses, exclusive in both cases of all accessory parking garage space, or other such threshold as determined by the zoning commission, in the new large-scale commercial real estate development; provided, however, that annually on each July 1st, the affordable housing exaction and the employment exaction shall be automatically adjusted by the BRA to reflect the combined index; and provided further, that the zoning commission may adopt additional adjustments based on BRA recommendations pursuant to the analysis as required above.
SECTION 19. Said chapter 665 is hereby further amended by striking out section 19, as appearing in section 3 of chapter 371 of the acts of 1987, and inserting in place thereof the following section:-
Section 19. Notwithstanding any provision of general or special law or rule to the contrary, (a) Articles 26, 26A and 26B of the Boston zoning code; (b) all zoning code amendments, zoning map amendments, zoning variances, conditional use permits and zoning exceptions granted or planned development areas approved or enacted prior to the effective date of any zoning code amendment or zoning commission regulation pursuant to this act and in any way dependent upon, or related to, Articles 26, 26A or 26B of the Boston zoning code, or any of them, which have not been appealed or challenged on the grounds of the invalidity of said articles, or any 1 of them, in judicial proceedings timely and properly commenced, prior to the enactment of this act or which have been so appealed or challenged in judicial proceedings which have been dismissed or otherwise adjudicated in favor of the developer prior to the enactment of this act; (c) all zoning code amendments, zoning map amendments, zoning variances, conditional use permits, or planned development areas approved and zoning exceptions granted or enacted prior to the effective date of any zoning code amendment or zoning commission regulations pursuant to this act and in any way dependent upon or related to, Articles 26, 26A or 26B of the Boston zoning code, or any of them, which have been appealed or challenged on the grounds of the invalidity of said articles, or any of them, in judicial proceedings timely and properly commenced prior to the enactment of this act and which have not been dismissed or otherwise adjudicated in favor of the developer prior to the enactment of this act; (d) any development impact project exactions, development impact project contributions and jobs contribution grants, as those terms are defined in said articles, and agreements for such exactions, contributions and grants related to or dependent upon any of the zoning actions described in clauses (b) and (c); and (e) any additional actions, zoning variances, conditional use permits, or planned development areas approved and zoning exceptions granted pursuant to, or in connection with, any development contemplated by any zoning map amendment, zoning code amendment or agreement described in clause (b), (c) or (d), whether or not subsequent to the date of enactment of this act, are hereby ratified, validated and confirmed, insofar as any such amendments, variances, permits, exceptions, exactions, contributions, grants, agreements, and other actions may be invalid by reason of any invalidity of said articles or any of them. Any new large-scale commercial real estate development which is the subject of any agreement ratified, validated and confirmed by this section, and any additional actions, zoning variances, conditional use permits, zoning exceptions, and zoning code and text amendments ratified, validated and confirmed by this section, shall be governed by any such agreement and by the provisions of said Articles 26, 26A and 26B of the Boston zoning code, or any of them, pursuant to which said agreements were made or planned development areas approved, and shall not be subject to any zoning regulations or amendments hereafter adopted by the zoning commission pursuant to this act. Notwithstanding the foregoing, no new large-scale commercial real estate development shall be subject to the terms and provisions of sections 26-3(2)(c) of Article 26, section 26A-3(2)(c) of Article 26A or section 26B-3(1)(c) of Article 26B of the Boston zoning code.
SECTION 20. The fourth sentence of the first paragraph of section 20 of said chapter 665, added by section 3 of chapter 371 of the acts of 1987, is hereby amended by striking out the word “him” and inserting in place thereof the following words:- him/her/them.
SECTION 21. Section 21 of said chapter 665, added by section 8 of chapter 170 of the acts of 2001, is hereby amended by striking out the second paragraph and inserting in place thereof the following paragraph:-
Notwithstanding any general or special law to the contrary, in the city of Boston the zoning commission shall adopt zoning regulations or amendments thereto for the purpose of mitigating the adverse impact of new real estate development on the public health, safety, convenience, and welfare of its inhabitants, including, but not limited to, the transportation network, infrastructure, environment, urban design components or historic resources in the city of Boston. The regulations shall provide that, with respect to new real estate development, any approval or relief granted under the provisions of the zoning code, existing or as amended, including without limitation the granting of a conditional use permit, exception, zoning map or text amendment or variance, or approvals pursuant to Article 80 of the zoning code shall be conditioned upon action, or promised action, by the developer seeking to obtain the relief or approvals, to undertake measures, as required by the BRA, to mitigate, limit, or minimize the impact within the city.
SECTION 22. Said chapter 665 is hereby further amended by adding the following 2 sections:-
Section 22. Notwithstanding the provision of any general or special law or rule to the contrary, in order to protect and enhance the public health, safety and welfare in accordance with the goal of this act, to meet fair housing and planning goals so that neighborhoods will have a range of housing options to support a diverse populace, the city of Boston zoning commission is hereby authorized to adopt inclusionary zoning regulations or amendments to set aside, or to facilitate the creation or preservation of, income restricted housing. Such regulations or amendments shall be adopted in a manner consistent with the planning and zoning authorities, standards and processes of the city of Boston, BRA and zoning commission except as specified in this section.
The zoning commission shall only adopt inclusionary development or an amendment thereto, following a recommendation of the board of the BRA, and a vote or inaction of the Boston city council, as described herein. After a vote of the BRA board, the BRA shall provide notice to the city council of the inclusionary development or amendment thereto. The city council shall have, from date of notification, 60 days to reject the inclusionary development or amendment thereto, by a two thirds vote of all its members. If the council fails to reject the inclusionary development or amendment thereto or should the council take no action within the specified 60 days, then the inclusionary development or amendment thereto shall proceed to the zoning commission, which shall notice and schedule a hearing in accordance with section 3.
Such inclusionary development or amendment thereto may include 1 or more of the following requirements that, regardless of the need for zoning relief, residential development projects, as defined by the zoning commission, shall: (1) include a percentage of the units or a percent of square footage on-site as income restricted dwelling units; (2) produce or cause to be produced income restricted units off-site; or (3) in lieu of including or producing such units, make a monetary or in-kind contribution toward the creation or preservation of income restricted housing. Such requirements may vary based on the zoning district of the new project, or such other factors determined by the zoning commission to be necessary or advisable to achieve the goal of this act.
In making a recommendation, the BRA shall consider: (1) Boston housing cost trends; (2) market and income restricted housing production goals; (3) providing housing at a cost not generally available in the city; (4) the city’s goal of maintaining racial and economic diversity in the city, and affirmatively furthering fair housing for members of protected classes and the larger community; (5) financial and other considerations regarding the production and cost of market-rate residential development projects and income restricted housing units; and other factors as determined by the zoning commission; provided that, the zoning commission may waive such analysis upon finding that proposed regulations are substantially similar in nature, enact clerical or procedural adjustments, clarify existing requirements, support adoption of a citywide regulation into neighborhood or planned development area zoning, or are otherwise reflected in documented consideration of such factors by the zoning commission, the BRA or the city of Boston within 3 years of submission.
Section 23. Should any part of this act be found invalid, all valid parts that are severable from the invalid part remain in effect. If any part of this act is found invalid in 1 or more of its applications, that part remains in effect in all valid applications that are severable from the invalid applications.
SECTION 23. This act shall take effect upon its passage.
Approved, January 14, 2021.