The Municipal Empowerment Act is designed to enhance the financial and administrative capabilities of cities and towns in Massachusetts. It proposes a substantial increase in local aid, allocating $9.205 billion for FY26, which includes a $480 million increase from the previous year. The bill introduces new local revenue options, such as a Motor Vehicle Excise surcharge and expanded authority for municipalities to raise meals and hotel taxes, allowing them to address their financial needs without imposing additional property tax burdens on residents. Additionally, it aims to reduce administrative burdens through reforms in procurement rules and the establishment of hybrid public meeting allowances.

Key amendments in the bill include the reconstitution of an OPEB Commission to tackle unfunded liabilities, the introduction of definitions for public access and deliberation in public meetings, and provisions for remote participation. It also modifies the financial management processes for municipalities, allowing them to spend funds received from the commonwealth for municipal way construction without further appropriation, and introduces measures for assessing taxes beyond the levy limit for one-time operational expenditures, contingent upon voter approval. Other changes include adjustments to property tax exemptions, the establishment of a special commission to study retiree healthcare benefits, and the repeal of certain existing legal language to streamline operations. Overall, the bill aims to empower local governments to operate more efficiently while providing targeted tax relief to specific groups.

Statutes affected:
Bill Text: 17-3, 30A-18, 30B-1, 32-91, 32B-20, 40-5B, 41-1B, 44-7, 44B-5, 58-2, 59-5, 61-8, 61A-14, 61B-9, 64G-3A, 64L-2, 71-7C, 94C-1, 151A-28A, 268A-17