By Bob Katzen
Gov. Maura Healey filed legislation, dubbed by her as the Municipal Empowerment Act, that would allow cities and towns to increase local taxes on meals, lodging and vehicle registration;
permanently authorize municipalities to permit hybrid public meetings; change state procurement laws; and create enforcement mechanisms to push utilities to more promptly remove double poles.
The tax hike provisions include giving local cities and towns the option to Increase the maximum local option lodging tax on hotel, motel and other rentals from 6 percent to 7 percent in most communities, and 6.5 percent to 7.5 percent for Boston; increase the local meals tax ceiling from 0.75 percent to 1 percent; and adding a new local option surcharge of up to 5 percent on motor vehicle excise bills that can be dedicated to local stabilization funds.
“Every Massachusetts resident deserves to live in a community with high-quality local services, from safe roadways to access to good jobs and schools,” said Gov. Healey. “Our administration knows that city and town officials know their communities the best, and that’s why we want to empower them with the tools to make the choices they need to provide the best local services that meet the unique needs of their communities.”
“At a time when Massachusetts is already struggling with affordability and large-scale out-migration of people and wealth, the last thing we need is another round of tax hikes,” said Paul Craney, Executive Director of the Massachusetts Fiscal Alliance. “These proposals will make it even more expensive to live, work and do business here, pushing more families and employers to states with lower taxes and fewer regulations.”