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Boston Globe
09-07-2025
- Business
- Boston Globe
Beacon Hill faces the fiscal reckoning of that ‘big beautiful bill'
'With President Trump and congressional Republicans making drastic cuts to the services and programs that the people of Massachusetts rely on, there is significant economic uncertainty surrounding this budget,' Healey noted in the Get The Gavel A weekly SCOTUS explainer newsletter by columnist Kimberly Atkins Stohr. Enter Email Sign Up An executive branch hiring freeze, announced in May, will remain in place for the next year and a 2 percent raise for thousands of executive branch managers scheduled to go into effect in January has been canceled for now at an estimated savings of $17 million. Advertisement Also taking a hit will be one health care perk for state employees. 'The high-cost of GLP-1 weight-loss drugs have put extraordinary pressure on the [Group Insurance Commission],' Healey noted in her message, 'and like other states, we believe it is the right time to scale back coverage of those drugs to only those patients for whom the medication is medically necessary.' The savings from that move are estimated at $27.5 million. And while the governor vetoed 28 specific line items totaling $130 million, she also filed a supplementary budget that same day totaling $130 million — $100 million in a 'flexible pool of resources' that the administration could tap later in the year and $30 million for a housing preservation and stabilization fund. Both are contingent on 'federal spending decisions.' But Healey's big ask in that newly filed budget bill is for authority to cut not just from the budgets of executive agencies — she has that already — but to be able to trim spending from other accounts, including local aid and quasi-public agencies. Executive agencies account for only about 55 percent of state spending, according to Gorzkowicz. The enhanced powers she is seeking would only kick in if revenues — either tax revenues or federal revenues — fall short by more than $400 million. And it would be for this fiscal year only, something that might make it more palatable to legislative leaders in the event the state is truly up against a budgetary crisis. Advertisement But the administration is also looking for permission to use capital dollars funded by state bonds to pay the salaries of some Department of Transportation employees currently employed with federal dollars, if those federal funds are cut. Sorry, but that's just a bridge too far in the contingency budgeting process. There are reasons — millions of dollars in reasons — why the state is currently prohibited from paying employees, transit employees in particular, with capital money, starting with its utter fiscal irresponsibility. It's rather like instead of paying the plumber who just unclogged your drain, adding his bill to your mortgage and paying it out over the next 30 years or so. The interest adds up. And the state has been here before — covering the operating cost of everything from personnel to paper clips — by paying for them with long-term bonds. There was a time not that long ago when the state positively binged on the practice — bonding the salaries of some 'These personnel expenses crowd out investments in capital as every dollar in the capital budget used to fund personnel costs results in one less dollar available to fund capital investments,' according to a budget document filed back then by the administration of Governor Deval Patrick. (Much of the increase was attributed to the previous administration of Governor Mitt Romney.) 'Funding these employees on the capital budget is also more expensive than funding them on the operating budget due to the interest expense incurred on the related borrowings.' Advertisement Hence the But apart from that ill-advised budgetary sleight of hand, Healey and her team are the ones best positioned to respond in real time to a fiscal crisis. Lawmakers, who continued to lard up the budget and its companion allocation of Fair Share proceeds with As surely as back to school season follows summer, a new fiscal reality looms this fall. Massachusetts needs to be ready for it. Editorials represent the views of the Boston Globe Editorial Board. Follow us
Politico
07-07-2025
- Business
- Politico
The budget signing you might've missed
WHILE YOU WERE GRILLING — If you missed the news that Gov. Maura Healey signed the state's annual budget this weekend, we forgive you. The first-term Democrat signed the $60.9 billion spending bill at noon on July 4th, a star-spangled version of the Friday night news dump. Healey spokesperson Karissa Hand said the governor was motivated to move quickly in light of the federal spending bill President Donald Trump signed into law on Friday and after the Legislature reached an agreement before the start of the new fiscal year for the first time in years. But the timing also meant legislators, lobbyists and advocates who might not be so happy with the changes Healey is calling for likely weren't as tuned in. Several of those Playbook reached out to over the weekend hadn't had a chance to look over the changes yet. Here's what you might've missed: OUT — Bracing for a potential revenue downturn and the yet-to-be-determined impacts of the massive federal spending and tax package, Healey slashed $130 million from the already slimmed-down compromise the Legislature sent her last week, bringing the bottom line more than $1 billion lower than what she initially called for in January. Spending, however, is still rising by about 5 percent (above the rate of inflation). Over $27 million of that cut, state officials said, comes from an order from the administration to the Group Insurance Commission — the agency that administers health care for state employees — to eliminate coverage of GLP-1 weight loss drugs for state employees unless they're medically necessary. The state is also delaying 2 percent raises for executive branch managers that were set to kick in in January, a move officials said helped shave $17 million off the FY26 spending bill. Cities, towns, nonprofits and others waiting on their disbursements will also have to wait a while longer. The state is delaying paying those out until the fall to see how revenues fare. There's no set date for when the money will start flowing — and if the state is on shaky financial footing, payments could end up canceled altogether, according to Healey's budget chief, Matthew Gorzkowicz. Healey tweaked a couple of policy riders, too — notably nixing the implementation of a provision that would require some employers to automatically enroll their employees in a retirement savings program. IN — But most policy riders, including a proposal that would no longer allow landlords to pass off payments to brokers onto renters, made it in. WHAT'S NEW — Healey is also extending the executive branch hiring freeze that began in May through the end of FY26. And a new supplemental budget Healey filed Friday would expand the executive branch's ability to make cuts across the budget this fiscal year if revenues drop by $400 million from projections, or if new federal policies end up costing the state the same amount. That $130 million supplemental spending bill, which will need support from legislators, would set aside $100 million the administration could use to plug gaps that pop up early in the fiscal year, officials said. GOOD MONDAY MORNING, MASSACHUSETTS. The Legislature could still override any of Healey's vetoes with a two-thirds vote in each chamber. But both House Speaker Ron Mariano and Senate President Karen Spilka struck notes of support in statements Healey's office provided Friday. Tips, scoops, thoughts on the budget vetoes? Email me: kgarrity@ TODAY — Gov. Maura Healey has no public events. Boston Mayor Michelle Wu visits Level Ground Mixed Martial Arts to highlight the city's summer learning programs at 1 p.m. in Dorchester. DATELINE BEACON HILL PLAYING DEFENSE — The governor (kind of) addressed some of the criticism the two Republican gubernatorial candidates have levelled at her in recent months on WBZ's 'Keller @ Large.' Watch. WATCH — State Sen. Barry Finegold talks about the local implications from the federal budget bill, AI regulation, threats to Harvard's federal funding, the state's rising unemployment rate and the need for increased housing production on WCVB's 'On the Record.' A link FROM THE HUB — Boston launches new business training, certification for disability inclusion by Dana Gerber, The Boston Globe: 'The Mayor's Commission for Persons with Disabilities is rolling out a new training and certification program for businesses that want to learn simple solutions to better accommodate and welcome disabled people. The program, called the Disability Inclusion Trained Business Certification, is open to all businesses. But the timing of the debut — the first 75-minute webinar training is slated for July 29, days after the anniversary of the signing of the [Americans With Disabilities Act] — is geared toward restaurants ahead of Dine Out Boston in August, a two-week event where restaurants across the city offer prix-fixe menus.' — Cool Boston's hottest neighborhoods with more white roofs and trees, study says by Vivian La, WBUR: 'Residents in Boston's hottest neighborhoods could experience cooler summer temperatures if the city planted more trees and installed white roofs that reflect sunlight, according to a new study from Boston University. Researchers used summer temperature data and computer modeling to determine what combination of the cooling strategies would bring the most relief without breaking the budget.' — Tania Fernandes Anderson's embattled tenure on Boston City Council is now over by Gayla Cawley, Boston Herald. THE RACE FOR CITY HALL FIRST IN PLAYBOOK — The United Food and Commercial Workers Union Local 1445 and the Massachusetts Nurses Association are endorsing Boston Mayor Michelle Wu for reelection, according to her campaign. 'The members of UFCW Local 1445 stand squarely behind Mayor Michelle Wu's reelection for a simple reason: She puts working people at the center of everything her administration does,' UFCW Local 1445 President Fernando Lemus said in a statement shared by Wu's campaign. Wu 'is committed to health equity and strengthening Boston's healthcare system,' said Katie Murphy, the president of the Massachusetts Nurses Association. 'We support her evidence-based approach to addressing critical problems such as disparities in black maternal health, mental health, and substance use disorder.' FACT OR FICTION — The Boston Globe launched a running fact check of campaigns' claims in the Boston mayoral race that will be 'updated as the race continues.' A link PAC ACTION — Real estate money keeps flowing in Boston's race for City Hall. The Your City Your Future PAC that's backing Josh Kraft took in another roughly $320,000 in late June, with big donations from Suffolk Construction CEO John Fish, who donated $95,000; and from Paul Edgerley, co-owner of The 'Quin House and a former managing director at Bain, who donated $90,000. The Bold Boston PAC that's backing Mayor Michelle Wu also took in $32,000 recently — most of it ($25,000) from Howard Cohen, chair of the real estate firm Beacon Communities. EYES ON 2026 — Former U.S. Senate candidate John Deaton talks ICE, immigration by Melanie Gilbert, The Lowell Sun: 'The city of Lowell has already seen U.S. Immigration and Customs Enforcement agents deploy a show of force to arrest alleged illegal immigrants on its streets. But could the anti-ICE protests taking place in Los Angeles, which resulted in the deployment of Marines, happen in the Merrimack Valley and Boston region? Former Marine and U.S. Senate candidate John Deaton, a self-described centrist and moderate Republican, said the immigration issue needs a 'common-sense approach.'' FROM HARVARD YARD — Harvard professor union will 'strongly' oppose any deal between school and Trump, members say by Claire Thornton, The Boston Globe: 'Harvard's hundreds of unionized professors are pushing the university not to make any deal with President Trump in its deepening dispute with the White House, and they say they hope to flex their increasing organizing prowess to oppose threats to academic freedom. The work of Harvard's professor union could be a test for the chapter of the American Association of University Professors, which has seen its membership on campus swell to about 300 this spring as faculty grew concerned about the ousting of Middle Eastern studies leaders and changes to DEI practices. The association has traditionally been more active at public universities, where US labor laws give its members collective bargaining rights they lack at private institutions such as Harvard.' FROM THE DELEGATION — Massachusetts Dems ready for mid-term fight after House passes 'Big Beautiful Bill' by John L. Micek, MassLive: 'Heading into Thursday, it wasn't a question of whether the Republican-controlled U.S. House was going to pass President Donald Trump's domestic policy mega-bill, but how tight the margin was going to be when all the votes were counted. At midafternoon, lawmakers had their answer: The chamber approved the sprawling package of $4.5 trillion in tax cuts and deep reductions to social programs by a vote of 218-214, with two Republican defections, The Associated Press reported. And U.S. Rep. Katherine Clark, D-5th District, already was girding herself for the next fight.' DATELINE D.C. — Republicans just cut Medicaid. Will it cost them control of Congress? by Lisa Kashinsky, Andrew Howard and Elena Schneider, POLITICO: 'Republicans just delivered Donald Trump a 'big, beautiful' legislative win. Now they're fretting it will lead to some ugly electoral losses. GOP lawmakers are warning that slashing spending on Medicaid and food assistance will cost the party seats in the midterms — threatening their razor-thin House majority — by kicking millions of Americans off safety-net programs.' — The next megabill Congress needs to worry about by Benjamin Guggenheim, POLITICO: 'Thursday's historic vote passing President Donald Trump's megabill ended a monthslong process of negotiation, infighting and compromise. It also started a countdown until Congress has to do it all over again. That's because the super-sized domestic policy legislation includes a sharp cliff for tax cuts and deep safety-net restrictions — teeing them up to be the subject of fierce political battles in the 2026 midterms and the 2028 presidential election.' FROM THE 413 — Local advocates seek removal of Healey provision dealing with new nuclear facilities by Chris Larabee, Daily Hampshire Gazette: 'Local advocates are urging the Legislature to remove a specific provision in Gov. Maura Healey's Energy Affordability, Independence & Innovation Act that would repeal a 1982 referendum requiring voters at a statewide election to approve any new nuclear facilities in Massachusetts. … In the valley… a group of advocates are urging legislators, through testimony at the State House, to remove a single line from the bill in Section 45, which would repeal Chapter 503 of the Acts of 1982. Chapter 503, approved by 67.5% of voters in the state in 1982, requires the Legislature to issue a report on a proposed nuclear power plant or low-level radioactive waste storage or disposal facility and the approval of voters at a statewide election before construction could begin.' — Leverett orders workers, law enforcement not to cooperate with ICE by Scott Merzbach, Daily Hampshire Gazette: 'Town and school employees are being advised not to provide assistance toward any Immigration and Customs Enforcement actions or offer help to any other federal official who might come to Leverett tasked with removing undocumented immigrants. … The policy applies not only to police officers, firefighters and public works employees, but others who work for the town at Town Hall, and for the schools and library.' — New Americans say uncertainty as immigrants spurred quest for citizenship by Jim Kinney, The Springfield Republican. THE LOCAL ANGLE — Major crimes in Massachusetts fell more than 4 percent in 2024, but hate crimes grew by Flint McColgan, Boston Herald. — Ahead of free Quincy concert, Trump supporters bristle at Dropkick Murphys' digs at Trump by Peter Blandino, The Patriot Ledger. HEARD 'ROUND THE BUBBLAH HAPPY BIRTHDAY — to Bryan Bowman, Megan Wessenberg, Mike Rigas, Roselle Chartock, Melisse Morris, Vanessa Gatlin and Mike Ferrari.
Yahoo
30-04-2025
- Health
- Yahoo
Rep: If Arkansas can do this, so can Massachusetts
BOSTON (SHNS) – Rep. Kimberly Ferguson has been pushing to require health insurance companies to cover cognitive rehabilitation therapy for treatment of an acquired brain injury for at least a decade. Testifying on the issue before the Financial Services Committee on Tuesday, she tried a new approach: peer pressure. 'One last thing I'll leave you with: The state of Arkansas, in March, just passed a comprehensive [cognitive rehabilitation therapy] bill. And if Arkansas can do it, I'm absolutely positive Massachusetts will be doing it soon,' the Holden Republican said, drawing chuckles from the committee and attendees. The legislation Ferguson pitched (H 1151 / S 742) would extend Group Insurance Commission and commercial health insurance coverage for cognitive rehabilitation therapy to people with an acquired brain injury, which Ferguson said could range from a severe concussion to a traumatic brain injury sustained in a car crash. 'This bill is, now more than ever, critical to get passed so that we can require the coverage for CRT, cognitive rehab therapy, for these patients. And it also will help their families and caregivers as well,' Ferguson, who worked as a speech pathologist with people who had acquired brain injuries, said. 'And as we know, early intervention is key to get these skills back and help folks recover as best as they can.' Ferguson said expanding access to CRT in cases of acquired brain injury was one of the unanimously-supported recommendations of the state's Brain Injury Commission that dates back to at least fiscal year 2011. That group's 2021 report said the Center for Health Information and Analysis analyzed a previous version of Ferguson's bill and found that the impact on the typical member's monthly health insurance premium would be between 1 cent and 19 cents, or an average cost of 8 cents per month. The idea has cleared the Financial Services Committee in each of the last four sessions and has twice (the 2017-18 and 2021-22 sessions) been reported favorably out of the Health Care Financing Committee, according to a committee bill summary. But it has not been debated in either branch. It is likely in line for another favorable report from Financial Services — co-chair Sen. Paul Feeney sponsored the Senate version of the legislation and said Tuesday he's hopeful that 'we get enough momentum to get it over the finish line' this time around. Resistance has come from the Massachusetts Association of Health Plans, whose leader voiced her opposition to the insurance mandate earlier this year, warning it would raise costs for consumers and small businesses. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
03-04-2025
- Business
- Yahoo
Mass. Gov. Healey seeks $756 million for ‘time-sensitive deficiencies'
On the eve of a legislative hearing on her surtax surplus plan, Gov. Maura Healey submitted another spending bill for the Legislature's review, filing a $756 million supplemental budget she said would address 'time-sensitive deficiencies' in state government accounts. The proposal Healey filed Wednesday afternoon (HD 4540) includes $134.5 million for supplemental payments to safety-net hospitals, $60 million for direct care for older adults, $240 million for state employee health care costs through the Group Insurance Commission, and more. It would carry a net state cost of $544 million after federal reimbursements, she said. Healey's office pitched the $190 million the bill includes for a child care financial assistance program as a way to 'support Massachusetts residents at a time of rising costs.' Another $43 million would go toward the Residential Assistance for Families in Transition (RAFT) program that offers aid to families facing potential eviction, which has faced increasing demand during a period of housing strain. The legislation additionally includes $15 million for grants and marketing related to the American Revolution 250th anniversary celebration, and $15.5 million for more secure electronic benefits transfer cards that Healey said would 'help combat food benefit theft.' 'This budget bill proposes targeted investments that improve quality of life in Massachusetts, such as ensuring access to health care, supporting families with child care costs, and making sure veterans get their benefits,' Healey said in a statement alongside the bill. 'We've also heard clearly from local officials and medical professionals across the state, especially in communities impacted by Steward Health Care's closures, that they need more support. That's why we're proposing significant funding for EMS providers that have faced extraordinary costs. Our administration remains committed to maintaining a responsible state budget that tangibly benefits the people of Massachusetts.' Other sections of the 25-page bill would ratify collective bargaining agreements with public employees, raise procurement thresholds under public construction laws, and allow Massachusetts Emergency Management Agency vehicles to use red and blue lights when responding to emergencies. The Legislature's Joint Committee on Ways and Means is partway through a series of hearings about Healey's $62 billion fiscal 2026 state budget, and the panel will meet Thursday to consider Healey's separate $1.3 billion proposal (H 55) to spend surplus surtax revenue. Download the FREE Boston 25 News app for breaking news alerts. Follow Boston 25 News on Facebook and Twitter. | Watch Boston 25 News NOW
