BOSTON – State Representative Donald H. Wong (R-Saugus) recently supported a $58.1 billion state budget for Fiscal Year 2025 (FY25) which calls for increased local aid and the implementation of several new policy initiatives, including online Lottery sales and a statewide tax amnesty program.
Filed on July 18 as House Bill 4800, the final budget reflects a compromise spending plan negotiated by a six-member conference committee that worked to reconcile the differences between the House budget that was passed in April and the Senate version that was passed in May. The final conference committee report was enacted by both branches on July 19 and is now on Governor Maura Healey’s desk for her review and signature.
Representative Wong said the budget provides for a statewide total of $6.9 billion in Chapter 70 education aid, an increase of more than $319 million over last fiscal year, with minimum per pupil aid set at $104. It also provides for $1.3 billion in Unrestricted General Government Aid (UGGA) to support a wide range of municipal services, which represents a one-year increase of more than $38 million. Representative Wong noted the new budget will provide Saugus with $14,065,891 in direct education aid and $4,517,440 in unrestricted state aid for Fiscal Year 2025 to fund police, firefighters and other critical municipal services.
During the initial House budget debate in April, Representative Wong successfully advocated for the inclusion of several local initiatives for his district. Funding for those projects was retained in the final conference committee report.
Representative Wong noted that the budget contains additional education-related funding assistance for cities and towns, including $198.9 million for charter school reimbursements, $99.5 million for regional school transportation, $1 million for non-resident regional transportation, and $28.7 million for homeless student transportation. The budget also provides $493.2 million in Special Education Circuit Breaker reimbursements, as well as $16 million in Rural School Assistance Grants.
The FY25 budget allocates $45 million in supplemental road and bridge funding under the Chapter 90 program. The Legislature had previously allocated $200 million for this local infrastructure program as a standalone bill that was signed into law in May.
Representative Wong noted that the budget legalizes online Lottery sales in Massachusetts, which is expected to generate $100 million in FY25, but includes restrictions limiting online purchases to individuals who are 21 or older and language prohibiting advertising that targets minors. A portion of the revenues generated through online Lottery sales would be allocated to the Commonwealth Cares for Children (C3) grants to support early education and care programs. In addition, the budget authorizes the use of debit cards for Lottery purchases, which is expected to bring in an additional $25 million in revenues.
The budget also includes provisions for the state to offer a one-time tax amnesty program that would run for 60 days, with the timing and scope of the program to be determined by the Commissioner of Revenue.
Representative Wong said the FY25 budget makes significant investments in education and transportation by providing:
- $170 million to fund universal free school meals in Massachusetts’ schools;
- $18.5 million in Head Start grants;
- $20 million for early literacy initiatives;
- $3 million in genocide education grants;
- $1 million in grants to prevent hate crimes in the Commonwealth’s public schools;
- $117.5 million to provide free community college access to students seeking their first baccalaureate degree;
- $80 million in financial aid support for Massachusetts residents attending state universities;
- $65 million to increase rates for early education and care providers;
- $127 million in operating support for the MBTA;
- $60 million for MBTA capital investments;
- $36 million for an MBTA workforce safety reserve;
- $20 million to implement a low-income fare program at the MBTA; and
- $110 million in funding and grants for Regional Transit Authorities (RTAs), $30 million of which will be used for the statewide implementation of free fare service
Other funding initiatives in the budget highlighted by Representative Wong include:
- $29.6 million in grants for local Councils on Aging, with language increasing the per elder assistance rate from $14 to $15;
- $113 million to assist local housing authorities;
- $53 million for the Payments in Lieu of Taxes (PILOT) program to compensate municipalities for non-taxable state-owned land;
- $20 million to support municipal libraries;
- $19 million for regional library local aid;
- $6.2 million for technology and automated resources networks;
- $26.9 million for the Massachusetts Cultural Council;
- $57.3 million for the HomeBASE program;
- $231.7 million for the Massachusetts Rental Voucher Program (MRVP);
- $197.4 million for Residential Assistance for Families in Transition (RAFT);
- $496.2 million for Transitional Assistance to Families with Dependent Children (TAFDC);
- $42.4 million for the Massachusetts Emergency Food Assistance Program;
- $15 million for the Healthy Incentives Program;
- $212.7 million for substance use disorder treatment and intervention services;
- $131.4 million for children’s mental health services;
- $14.7 million for maternal and child health;
- $390 million to support direct care providers;
- $622.4 million for adult support services offered through the Department of Mental Health;
- $625 million for nursing facility Medicaid rates; and
- $10 million for the Workforce Competitiveness Trust Fund to help unemployed and underemployed workers secure high-paying jobs
Governor Healey has until July 29 to review and sign the Fiscal Year 2025 budget into law.