HOUSE . . . . . . . . . . . . . . No. 4977
The Commonwealth of Massachusetts
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The committee of conference on the disagreeing votes of the two branches with reference
to the Senate amendment (striking out all after the enacting clause and inserting in place thereof
the text contained in Senate document numbered 2850) of the House Bill relative to the
Affordable Homes Act (House, No. 4726), reports recommending passage of the accompanying
bill (House, No. 4977) [Bond Issue: General Obligation Bonds: $5,160,756,900.00]. August 1,
2024.
James Arciero William N. Brownsberger
Aaron Michlewitz Lydia Edwards
 FILED ON: 8/1/2024
HOUSE . . . . . . . . . . . . . . . No. 4977
The Commonwealth of Massachusetts
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In the One Hundred and Ninety-Third General Court
(2023-2024)
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An Act relative to the Affordable Homes Act.
Whereas, The deferred operation of this act would tend to defeat its purpose, which is to
authorize forthwith the financing of the production and preservation of housing for low and
moderate income citizens of the commonwealth and to make related changes in certain laws,
therefore it is hereby declared to be an emergency law, necessary for the immediate preservation
of the public convenience.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
of the same, as follows:
1 SECTION 1. To provide for a capital outlay program to rehabilitate, produce and
2 modernize state-aided public housing developments, to preserve the affordability and the income
3 mix of state-assisted multifamily developments, to support home ownership and rental housing
4 opportunities for low- and moderate-income citizens, to stem urban blight through the
5 implementation of housing stabilization programs, to support housing production for the elderly,
6 disabled and homeless, to preserve housing for the elderly, homeless, low- and moderate-income
7 citizens and persons with disabilities, to develop facilities for licensed early care and education
8 and out of school time programs; and to promote economic reinvestment through the funding of
9 infrastructure improvements, the sums set forth in sections 2 to 2B, inclusive, for the several
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10 purposes and subject to the conditions specified in this act, are hereby made available subject to
11 the laws regulating the disbursement of public funds.
12 SECTION 2.
13 EXECUTIVE OFFICE OF EDUCATION
14 Department of Early Education and Care
15 3000-0411 For the purpose of state financial assistance in the form of grants for the
16 Early Education and Out of School Time Capital Fund for the development of eligible facilities
17 for licensed early care and education and out of school time programs established in section 18
18 of chapter 15D of the General Laws; provided, that the department of early education and care
19 may contract with quasi-public or nonprofit entities to administer the program including, but not
20 limited to, the Community Economic Development Assistance Corporation established in
21 chapter 40H of the General Laws; provided further, that the department may develop or finance
22 eligible facilities and may enter into subcontracts with nonprofit organizations established
23 pursuant to chapter 180 of the General Laws or organizations in which such nonprofit
24 corporations have a controlling financial or managerial interest; provided further, that the
25 department shall consider: (i) a balanced geographic plan for such eligible facilities when issuing
26 the funding commitments; and (ii) funding large group and school age child care centers as
27 defined by the department; provided further, that the services made available pursuant to such
28 grants shall not be construed as a right or entitlement for any individual or class of persons to the
29 benefits financing; provided further, that no expenditure shall be made from this item without the
30 prior approval of the secretary of administration and finance; and provided further, that eligibility
31 shall be established by regulations promulgated by the department pursuant to chapter 30A of the
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32 General Laws for the implementation, administration and enforcement of this
33 item............................................................................................................................... $50,000,000
34 EXECUTIVE OFFICE OF HOUSING AND LIVABLE COMMUNITIES
35 Office of the Secretary
36 7004-0069 For a program of loans or grants to assist homeowners or tenants with a
37 household member with blindness or severe disabilities in making modifications to their primary
38 residence for the purpose of improving accessibility or to allow such individuals to live
39 independently in the community or for construction costs to allow for the building of an
40 accessory unit, which shall mean a unit constructed as an additional dwelling unit separate from
41 the primary dwelling unit, for a person with disabilities or an elder needing assistance with
42 activities of daily living; provided, that not more than 10 per cent shall be used for grants to
43 assist landlords seeking to make modifications for a current or prospective tenant with
44 disabilities, who but for such a grant would be unable to maintain or secure permanent housing;
45 provided further, that the secretary of housing and livable communities and the secretary of
46 health and human services shall take all steps necessary to minimize the program’s
47 administrative costs; provided further, that the secretary of health and human services may
48 contract with quasi-public or nonprofit entities to administer the program, including, but not
49 limited to, the Community Economic Development Assistance Corporation established in
50 chapter 40H of the General Laws; provided further, that the program shall be available pursuant
51 to income eligibility standards approved by the secretary of health and human services; provided
52 further, that the repayment of the loans may be delayed until the sale of the principal residence
53 by the homeowner; provided further, that persons residing in a development covered by section 4
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54 of chapter 151B of the General Laws shall not be eligible for the program unless the owner can
55 show that the modification is an undue financial burden or that the landlord is participating in the
56 grant program to maintain or secure housing for a tenant with disabilities; provided further, that
57 the secretary of health and human services shall consult with the Massachusetts commission for
58 the blind and the Massachusetts rehabilitation commission to develop rules, regulations and
59 guidelines for the program; provided further, that nothing in this item shall give rise to
60 enforceable legal rights in any party or an enforceable entitlement to services; provided further,
61 that funds expended from this item shall, to the maximum extent feasible, be prioritized for
62 projects that comply with decarbonization and sustainability standards; and provided further, that
63 the secretary of housing and livable communities shall submit quarterly reports to the house and
64 senate committees on ways and means, the joint committee on bonding, capital expenditures and
65 state assets and the joint committee on housing detailing the status of the program established in
66 this item....................................................................................................................... $60,000,000
67 7004-0070 For state financial assistance in the form of loans for the development of
68 community-based housing or supportive housing for individuals with mental illness and
69 individuals with intellectual disabilities; provided, that the loan program shall be administered by
70 the executive office of housing and livable communities through contracts with 1 or more of the
71 following agencies: the Massachusetts Development Finance Agency established under chapter
72 23G of the General Laws, the Community Economic Development Assistance Corporation
73 established under chapter 40H of the General Laws, operating agencies established under chapter
74 121B of the General Laws and the Massachusetts Housing Finance Agency established under
75 chapter 708 of the acts of 1966; provided further, that those agencies may develop or finance
76 community-based housing or supportive housing or may enter into subcontracts with nonprofit
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77 organizations, established under chapter 180 of the General Laws, or organizations in which such
78 nonprofit corporations have a controlling financial or managerial interest or for-profit
79 organizations; provided further, that preference for the subcontracts shall be given to nonprofit
80 organizations; provided further, that the executive office shall consider a balanced geographic
81 plan for such community-based housing or supportive housing when issuing the loans; provided
82 further, that the executive office shall consider development of a balanced range of housing
83 models by prioritizing funds for integrated housing as defined by the appropriate housing and
84 service agencies, including, but not limited to, the executive office of housing and livable
85 communities, the department of mental health and the department of developmental services, in
86 consultation with relevant and interested clients, clients’ families, advocates and other parties as
87 necessary; provided further, that loans issued pursuant to this item shall: (i) not exceed 50 per
88 cent of the financing of the total development costs; (ii) not be issued unless a contract or
89 agreement for the use of the property for such housing provides for repayment to the
90 commonwealth at the time of disposition of the property if such property will no longer be
91 subject to a recorded deed restriction pursuant to clause (iii) of this item; provided further, that
92 such repayment shall: (1) be in an amount equal to the commonwealth’s proportional
93 contribution from the Facilities Consolidation Fund to the cost of the development through
94 payments made by the state agency making the contract; and (2) not be required if the executive
95 office of housing and livable communities, in consultation with the department of mental health
96 and the department of developmental services, determines that relevant clients will be better
97 served at an alternative property and the proceeds from the disposition of the property will be
98 used, to the extent necessary for replacement of the housing at the property, to: (A) acquire such
99 alternative property; or (B) rehabilitate such alternative property; (iii) not be issued unless the
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100 contract or agreement for the use of the property for the purposes of such housing provides for
101 the recording of a deed restriction in the registry of deeds or the registry district of the land court
102 of the county in which the real property is located, for the benefit of the executive office and the
103 departments, running with the land, that the land shall be used to provide community-based
104 housing or supportive housing for eligible individuals as determined by the department of mental
105 health and the department of developmental services; provided further, that the property shall not
106 be released from such restriction unless: (1) the balance of the principal and interest for the loan
107 has been repaid in full; (2) a mortgage foreclosure deed has been recorded; or (3) the executive
108 office of housing and livable communities has determined, pursuant to subclause (2) of clause
109 (ii) of this item, that repayment to the commonwealth is not required; (iv) be issued for a term
110 not to exceed 30 years, during which time repayment may be deferred by the loan issuing
111 authority; provided further, that if on the date the loans become due and payable to the
112 commonwealth, an outstanding balance exists and if, on such date, the executive office of
113 housing and livable communities, in consultation with the executive office of health and human
114 services, determines that there still exists a need for such housing and that there is continued
115 funding available for the provision of services to such development, the executive office of
116 housing and livable communities may, by agreement with the owner of the development, extend
117 the loans for such periods not to exceed 10 years, as the executive office shall determine;
118 provided further, that the project, whether at the original property, or at an alternative property
119 pursuant to subclause (2) of clause (ii) of this item, shall remain affordable housing for the
120 duration of the loan term, including any extension thereof, as set forth in the contract or
121 agreement entered into by the executive office; provided further, that in the event the terms of
122 repayment detailed in this item would cause a project authorized by this item to become
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123 ineligible to receive federal financial assistance which would otherwise assist in the development
124 of that project, the executive office may waive the terms of repayment which would cause the
125 project to become ineligible; and (v) have interest rates fixed at a rate, to be determined by the
126 executive office, in consultation with the state treasurer; provided further, that the loans shall be
127 provided only for projects conforming to this item; provided further, that the loans shall be
128 issued in accordance with a facilities consolidation plan prepared by the secretary of health and
129 human services, reviewed and approved by the executive office of housing and livable
130 communities and filed with the secretary of administration and finance, the house and senate
131 committees on ways and means, the joint committee on bonding, capital expenditures and state
132 assets and the joint committee on housing; provided further, that no expenditure shall be made
133 from this item without the prior approval of the secretary of administration and finance; provided
134 further, that the executive office of housing and livable communities, the department of mental
135 health and the Community Economic Development Assistance Corporation may identify
136 appropriate financing mechanisms and guidelines for grants or loans from this item to promote
137 private development to produce housing, provide for independent integrated living opportunities,
138 write down building and operating costs and serve households at or below 15 per cent of the area
139 median income for the benefit of department of mental health clients; provided further, that
140 funds expended from this item shall, to the maximum extent feasible, be prioritized for projects
141 that comply with decarbonization and sustainability standards; provided further, that
142 prioritization shall be determined through objective scoring criteria in the Qualified Allocation
143 Plan developed by the executive office of housing and livable communities; provided further,
144 that for new construction projects, the standards set forth in the commonwealth’s Opt-in
145 Specialized Energy Code under 225 CMR 22.00 and 23.00 and the Enterprise Green
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146 Communities standards shall be the applicable standards for prioritization; provided further, that
147 any project proposing less than full compliance with said standards shall provide detailed
148 analysis demonstrating why full compliance would render the project infeasible notwithstanding
149 utilization of all available federal and state incentives, including rebates and tax credits; provided
150 further, that for retrofits of existing units, prioritization shall be given to projects that include
151 energy efficiency and electrification decarbonization measures, including, but not limited to,
152 electric or ground source heat pumps, net-zero developments, Passive House Institute
153 certification or an equivalent energy efficiency certification, and all-electric buildings and
154 projects that incorporate green, sustainable and climate-resilient elements; provided further, that
155 projects that include lower embodied carbon construction materials and methods shall be further
156 prioritized; provided further, that not more than $10,000,000 may be expended from this item for
157 a pilot program of community-based housing or supportive housing loans to serve mentally ill
158 homeless individuals in the current or former care of the department of mental health; provided
159 further, that in implementing the pilot program, the executive office shall consider a balanced
160 geographic plan when establishing community-based residences; provided further, that the
161 housing services made available pursuant to such loans shall not be construed as a right or an
162 entitlement for any individual or class of persons to the benefits of the pilot program; provided
163 further, that eligibility for the pilot program shall be established by regulations promulgated by
164 the executive office; and provided further, that the executive office shall promulgate regulations
165 under chapter 30A of the General Laws to implement, administer and enforce this item,
166 consistent with the facilities consolidation plan prepared by the secretary of health and human
167