Municipal Empowerment Act Relieves Administrative Burdens, Supports Fiscal Strength, and Expands Tools Available to Support Communities

Boston - On January 31, 2025, Governor Maura Healey filed legislation to help local governments across Massachusetts reduce long-term fiscal pressures, attract a talented workforce, provide high-quality services, and streamline operations to best serve residents. Governor Healey announced her plan to refile the Municipal Empowerment Act last week, in tandem with a Chapter 90 reform bill the Governor filed to make meaningful investments in municipal transportation infrastructure. 

The Municipal Empowerment Act retains major efficiency measures that were part of the legislation filed last session. This includes permanently enabling municipalities to permit hybrid public meetings, reforming procurement rules, and establishing enforcement mechanisms to encourage the timely removal of double pole. Additionally, several new provisions have been added to help local officials improve public health and lower costs. 

“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 Governor Maura 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.” 

“Our administration’s deep, collaborative relationships with municipal leaders informed every provision in the filed Municipal Empowerment Act,” said Lieutenant Governor Kim Driscoll. “We’ve heard from local officials across the state that improving municipal finances and operations is top priority, and I’m proud that the legislation we’re filing today will equip our cities and towns with the resources and policy levers they need to continue making life better for our residents.”

“Through the Municipal Empowerment Act, the investments in local communities proposed in our FY26 budget, and our Chapter 90 reform bill, we are continuing to support Massachusetts’ municipal leaders in keeping our cities and towns financially stable and vibrant well into the future,” said Secretary of Administration and Finance Matthew J. Gorzkowicz. “We are grateful for the ongoing partnership of local officials across the state and look forward to making these transformative changes together.” 

New or updated provisions in the Municipal Empowerment Act from last session include: 

• Expediting the removal of double poles by empowering the Department of Public Utilities and Department of Telecommunications and Cable to establish a process allowing speedier removal while giving municipalities enforcement authority with penalties for utilities that fail to comply.
• Supporting the prevention of drug overdoses by ensuring that anyone who administers fentanyl strips, including local public safety officials, will not be subject to criminal or civil liability.
• Easing procurement of snow hauling services by aligning these services with procurement procedures for snow removal. 
• Expanding municipalities’ ability to reduce school bus service costs by repealing a law that limits districts’ ability to start in-house school bus services when private transportation companies are available.  

Highlights of the bill that have been retained from the previous version include:   

• Creating new property tax exemptions for seniors to allow cities and towns to adopt a Senior Means Tested Property Tax Exemption for qualifying seniors and to increase existing senior property tax exemptions. 
• Addressing long-term benefit funding pressures by establishing a new Other Post-Employment Benefits (OPEB) Commission to take a fresh look at opportunities to address unfunded liabilities from non-pension employee benefits. 
• Allowing the creation of Regional Boards of Assessors to allow municipalities to streamline duties and reduce significant staffing challenges.  
• Creating additional temporary flexibilities in post-retirement employment by expanding the process for seeking exemptions to post-retirement employment rules for the next 3 years.
• Reforming procurement law:  
• Clarifying that groups of cities and towns can award multiple contracts through an RFP process under M.G.L. Chapter 30B and purchase both supplies and services from collectively bid contracts;  
• Equalizing 30B thresholds for advertised procurements to $100 k for all municipal purchasing - not just schools; 
• Eliminating the requirement to publish notice of invitations for competitive bids on COMMBUYS; 
• Supporting workforce challenges by centralizing valuation of telecom and utility property through the Department of Revenue’s Division of Local Services (DLS) to relieve cities and towns of the cost of individually hiring experts and consultants.  
• Updating borrowing rules for school projects to increase from 30 years to 40?years the bond term to more closely reflects the life expectancy of the project.  
• Empowering communities to generate more local revenue. As the primary lever available to cities and towns to raise revenues for local services, increasing pressure is being put on local property taxes. This bill expands options for cities and towns to raise revenue without raising property taxes:
• Increases 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.
• Increases the local meals tax ceiling from .75 percent to 1 percent;
• Adds a new local option surcharge of up to 5 percent on motor vehicle excise bills that can be dedicated to local stabilization funds - a provision that could benefit every community in Massachusetts. 

Since taking office, the Healey-Driscoll Administration has been committed to ensuring that every municipality, from Provincetown to Pittsfield, has the resources it needs to succeed. The administration’s FY26 budget proposal continues that commitment, with a recommended $9.205 billion in local aid, a $480 million or 6 percent increase over the FY25 budget, full funding of the fifth year of the Student Opportunity Act, and a proposal to leverage the voter-approved Fair Share surtax to expand and reform Chapter 90. The administration’s recently filed Chapter 90 reform bill authorizes the state to borrow $1.5 billion over the next five years, enabling $300 million in annual funds, a 50 percent increase. These legislative initiatives build on previous reforms to provide municipalities greater flexibility, such as passage of the most sweeping civil service system reforms in 50 years, which will enable local police and fire departments more options for recruiting key personnel.  

Learn more about the Municipal Empowerment Act here. 

Statements of Support

Adam Chapdelaine, Executive Director, MMA:

“The MMA and cities and towns across the Commonwealth are extremely grateful to the Healey-Driscoll administration for their very thoughtful and practical Municipal Empowerment Act. The multifaceted package would remove obstacles to efficiency, reduce regulatory burdens, help communities solve age-old problems, and address workforce challenges. At a time when cities and towns are struggling to balance budgets and maintain the quality services that all residents rely on - educating children, ensuring public safety, providing safe drinking water, picking up the trash, maintaining roads - the governor’s bill would help provide common-sense relief to soaring municipal operating costs. Local leaders are particularly excited about reforms to procurement and codifying current COVID-era allowances for remote or hybrid public meetings - popular options that have increased public participation in their government.”

Mayor Michelle Wu, Boston:

“Cities and towns depend on support from the Commonwealth to diversify our revenues, build schools, and cut the red tape on buying goods and services from local businesses. Thank you to Governor Healey and Lieutenant Governor Driscoll for your ongoing partnership with the City of Boston and all our municipal governments.”

Mayor Michael J. Nicholson, Gardner, President of Massachusetts Mayors Association: 

“From the roads people drive or walk on to get to work, the schools our students attend, the water people use to brush their teeth, and beyond - the services provided on the local level are vital to providing a top quality of life. However, these services require the tools, resources, and flexibility needed to respond to the situations facing each city and town. We live in a time where the private sector is simply outpacing what local governments can do in terms of balancing a quality product for our residents with the ability to keep employment opportunities competitive. By empowering cities and towns to make the decisions they believe is best for the situations they are facing, the Healey-Driscoll Administration has proposed ways to build a stronger Commonwealth from the street level on up. This is Massachusetts meeting the moment to make sure we work for a stronger tomorrow.” 

Jamie Hellen, Franklin Town Administrator, President of the Massachusetts Municipal Association (MMA): 

“Cities and towns across the Commonwealth are extremely grateful to the Healey-Driscoll administration for their very thoughtful and practical Municipal Empowerment Act. At a time when cities and towns are struggling to balance budgets and maintain the quality services that all residents rely on, this legislation would remove obstacles to efficiency, reduce regulatory burdens, help communities solve age-old problems, and help address workforce challenges. I’m particularly excited about reforms to procurement and codifying allowances for remote or hybrid public meetings - popular options that have increased public participation in their government.”

Mayor Kassandra Gove, Amesbury, Vice President of Massachusetts Municipal Association: 

“This is how we ‘get stuff done.’ The Municipal Empowerment Act addresses the needs of local government while providing flexibility to do what’s best for each of our communities. As local leaders contending with inflationary costs, limited revenue sources, and a competitive hiring environment, we need more levers to pull. I am deeply grateful to the administration for hearing us and delivering with this bill.” 

Mayor Katjana Ballantyne, Somerville:  
“Cities and towns are frontline government providers that profoundly impact quality of life across the Commonwealth, but we’ve seen decades of decline in State Aid making our work more difficult. Kudos to the Healey-Driscoll Administration for taking on this challenge head on. This comprehensive, strategic, and forward-thinking Act would not only inject more aid but, critically, would also build sustainable, independent local revenue and policy options that will strengthen local government - and our Commonwealth - into the future. Put simply, this is smart government focused on the real results we need.” 

Mayor Gary Christenson, Malden:  
“As we begin to review and analyze the proposed Municipal Empowerment Act submitted by Governor Healey and Lt. Governor Driscoll, I want to take a moment to applaud them and their administration for their continued support of cities and towns like Malden. I have always felt strongly that putting more into the hands of local government and the community is always a good thing and that’s just what this bill accomplishes. Recognizing that each city or town is unique with differing needs and providing them with the tools and flexibility to decide what works best to address the needs of that community is empowering. We very much look forward to the opportunities that will result from this proposal. 

Mayor Paul Coogan, Fall River: 

“The City of Fall River appreciates the reforms proposed in the Municipal Empowerment Act by the Healey-Driscoll Administration. The recommended changes are designed to give municipal leaders tremendous flexibility in allowing cities and towns to generate additional revenues. I fully support this package of reforms.” 

Mayor Cathleen DeSimone, Attleboro:  

"In Attleboro, we look for every opportunity to improve the lives of our people, our residents, and our community members. These commitments from the Healey-Driscoll Administration give us the resources and tools our city needs to grow and prosper. We look forward to implementing these long-awaited reforms and thank the administration for working with us to ensure our communities get the support they need to thrive.” 

Mayor Ruthanne Fuller, Newton: 

“I was thrilled to see Governor Healey and Lieutenant Governor Driscoll not only introduce the Municipal Empowerment Act but also commit to increasing local aid and Chapter 90 funding for roads and bridges. These efforts will help Mayors and Town Managers to improve services for our residents and communities, and strengthen our Village Centers and Main Streets.” 

Mayor Joshua A. Garcia, Holyoke: 

“President Abraham Lincoln once said ‘The best way to predict the future is to create it.’ With the Municipal Empowerment Act, local governments will be given the flexibility needed to create a brighter and more inclusive future for residents. It recognizes the challenges faced by municipalities and demonstrates a commitment to their wellbeing. This act is a testament to the Government’s foresight and dedication to building stronger and more resilient communities.” 

Mayor Erin Joyce, Braintree:

“The Municipal Empowerment Act offered by the Healey-Driscoll Administration recognizes the significant fiscal challenges cities and towns in our Commonwealth are facing as we strive to maintain services and infrastructure with the extraordinary rise in cost. The new tools outlined in the Act give us the ability to make local decisions on alternative ways to raise revenue to ensure our cities and towns can continue to deliver the services our residents rely on everyday.” 

Mayor Patrick M. Keefe Jr., Revere: 

“As the fastest growing city in the Commonwealth, Revere is poised to leverage these new tools to invest in education, infrastructure, new amenities and programs allowing our city to remain competitive while providing a great value for families to live and raise their children. Providing local options to grow revenue will allow Revere to position itself for the next generation without putting more of the tax burden on our homeowners.” 

Mayor Thomas P. Koch, Quincy: 

“The people of Quincy rely on their local government for everything from keeping our roads and bridges in good condition to ensuring our kids get an excellent education. I’m grateful to Governor Healey and Lieutenant Governor Driscoll for proposing a bill that will streamline city services and increase the resources we have at our disposal to serve our residents.” 

Mayor Nicole LaChapelle, Easthampton, and Immediate Past President of Massachusetts Mayors Association: 

“Municipal government is entirely unique in that the work we do has a direct and immediate impact on the lives of our residents. We must be nimble and flexible, but most importantly, we must be efficient because municipal budgets are small and tight. The efforts here by the Healey-Driscoll Administration help us enhance and balance the needs of our residents and the changing financial landscape municipalities experience. I want to thank Governor Healey and Lieutenant Governor Driscoll for their commitment to supporting cities and towns in every corner of the Commonwealth.”

Mayor Jon Mitchell, New Bedford:

“The Municipal Empowerment Act clears away unnecessary red tape that has impeded the efficient operation of local governments for far too long. Whether it’s modernizing the public meeting process to take advantage of new remote technologies or streamlining public procurement laws to save time and money, the bill is a demonstration that the Healey-Driscoll Administration has listened attentively to the concerns of cities and towns, and is committed to addressing them.”   

Mayor Jared C. Nicholson, Lynn: 

“We very much appreciate this Administration's clear and impactful focus on municipalities. Some common sense reforms in this legislation would make a big difference in our everyday work for our residents.”

Mayor Dominick Pangallo, Salem: 

“The Municipal Empowerment Act provides a broad range of tools and policies to help cities and towns better serve our residents. The Act will strengthen our economy, improve the operation of local government, and enhance our ability to deliver critical municipal services to those who need them. It would empower greater local voice in local decision making and give communities more flexibility in shaping how they’ll meet the needs of their residents. Cities and towns want to invest - in our teachers and schools, in our police and fire personnel, in safe streets and vibrant downtowns - and we want policies that will allow us the choice in how we do so. The Municipal Empowerment Act gives us exactly that.”  

Lisa Wong, Town Administrator, South Hadley, and Former Fitchburg Mayor: 

“It’s wonderful to have an administration that gets out into communities, hears directly from local leaders about what we need from the state to be able to deliver for the people we serve, and then acts on it. The Municipal Empowerment Act is a comprehensive package that will make local government work more efficiently and effectively, providing municipalities with much needed resources to better serve or residents.” 

Fidel Maltez, City Manager, Chelsea: 

“As a Municipal leader, I saw first-hand the efforts to gather feedback across the Commonwealth for the Municipal Empowerment Act. On behalf of Governor Healey, Lieutenant Governor Driscoll participated in roundtable discussions on the issues affecting us locally. The legislation reflects the needs of so many municipalities. In communities like Chelsea, this will allow us to address the critical needs of our residents, while maintaining fiscal responsibility and without overburdening homeowners.”  

John Mangiaratti, Town Manager, Acton:

“Provisions in this bill such as the simplifying procurement regulations, will help local government operate more efficiently.” 

Kevin Mizikar, Town Manager, Shrewsbury:

"The Municipal Empowerment Act presents a critical opportunity to provide cities and towns with the flexibility and resources needed to innovate, enhance local services, and effectively meet the evolving needs of our communities. We appreciate the Healey-Driscoll administration’s outreach to local leaders and their efforts to craft a meaningful bill." 

Jason Silva, Town Administrator, Dunstable: 

“From day one of their administration, Governor Healey and Lieutenant Governor Driscoll have shown a commitment to partnering with municipalities. I’m thrilled that they’ve introduced the Municipal Empowerment Act, which directly addresses the needs and desires of Massachusetts’ cities and towns, streamlining processes, increasing local options, and empowering communities.” 

John McLaughlin, Waltham City Council President, Immediate Past President of the Massachusetts Municipal Association (MMA) and the Massachusetts Councillors’ Association:  
“Local leaders across Massachusetts greatly appreciate this important legislation, which will help us improve the efficiency of local operations, strengthen municipal finances, and address critical workforce challenges. We appreciate the Administration’s outreach to municipalities in the crafting of this package. It’s a game changer!” 

Michael Ward, Director of the Edward J. Collins, Jr. Center for Public Management at Harvard Kennedy School:

“The Municipal Empowerment Act 2.0 contains many great improvements and fixes to help municipalities operate more efficiently and effectively. In particular, the improvements to procurement and financial processes will reduce burdens on managers and finance officials, freeing up significant time and energy to focus on other critical issues. We’re glad to see this important work for cities and towns continue to move forward.”

Cape & Islands Municipal Leaders Association: 

“Governor Healey and Lieutenant Governor Driscoll know that each of our 351 cities and towns are unique, and that local leaders have their finger on the pulse of what their communities need most. The Municipal Empowerment Act expands the tools at our disposal to ensure that we have the resources to deliver the high-quality services that our constituents deserve across Cape Cod.”