Positive Signs Continue for Post-COVID Massachusetts

With more than half of the population of Massachusetts now fully vaccinated, and the cleanup of the economic train wreck caused by the pandemic well under way, things are looking up for businesses in the Commonwealth. Another $30 million-plus in small business grants were handed out this past week while lawmakers try to decide how best to spend the reservoir of federal money that will be flowing into the state this summer.  

Over the past week, the House has been picking through the next budget and has scared up more than a thousand potential amendments to be debated and decided upon before the spreadsheets can be passed on to the Senate. With 1,157 proposed amendments, to be exact, it’s a lot of important work.

In other news, real estate in Massachusetts is on fire and setting price records as inventory becomes more and more scarce. With companies like Apple and Amazon planning to expand their footprints, Boston is fast becoming the San Francisco of the East Coast.

Also in this week’s news we’ll tell you about 12 of the top 10 greenest cities in Greater Boston and the recent passage by the U.S. House of Representatives of the SAFE Banking Act which could be a major breakthrough in federal cannabis policy reform. On top of that, you’ll find a couple dozen more links to other important stories impacting the Bay State this week.

So sit down and relax and dig in. This will only take a few minutes and then you can get on with your day.

Politics

1,157 Amendments Filed For House Budget Proposal

Last week we told you about the $47.6 billion budget plan proposed by the Massachusetts House. Items on the wishlist of nearly 1,200 amendments include earmarking of funds for public schools, social services, and local economies hit hard by the pandemic.

Right out of the gate, the House budget is $2 billion more than Gov. Baker’s proposed budget. Plus it’s a yearly tradition for lawmakers to pile on local funding proposals for their home districts.

Here are some of the amendment proposals as reported by MassLive.com:

• Funding increases for community centers, hospitals, volunteers and nonprofits who have helped Western Massachusetts residents navigate the challenges of the COVID-19 pandemic. 

• Relief to farmers and other businesses hit hard by the economic downturn.

• $100,000 to Volunteers in Medicine Berkshires, a Great Barrington-based clinic that serves seniors, immigrants and low-income residents without insurance. 

• $3 million to preserve the Rural Schools Aid funding for grants to cities, towns, regional school districts, county agricultural schools, vocational schools, and other schools.

• $40 million for districts that saw fluctuating enrollment numbers during the 2020-21 school year.

• An amendment to allow farmers to deduct 25% of the value of certain food donations as charitable contributions on their taxes.

• $30 million additional funds for the Food Security Infrastructure Grant (FSIC) program — $25 million to for-profit applicants and $5 million for nonprofit applicants — bringing the total up to $38.6 million.

• $500,000 for the UMass Center of Springfield. 

We won’t list the other 1100+ amendments here, but we’ll certainly update this story as it develops. 

More Politics

• Rollins still in running for U.S. ATTORNEY

• Asian Republicans Charge Massachusetts GOP With Discrimination

• Is Boston finally past tribal politics?

• Govs. Cuomo, DeSantis, Abbott and Newsom Have Middling Approval Ratings in Common

Business

$30.4 Million More In Grants Awarded To Bay State Businesses

Another $30.4 million in grants has been doled to more than 600 Bay State businesses — 100 of which have not received any prior aid — through the COVID-19 business relief program administered by the Massachusetts Growth Capital Corporation (MGCC). The grant program is part of the Baker-Polito Administration’s effort to foster economic recovery. 

This brings the grand total to over $680 in grants to more than 15,000 businesses across the state. Of the 600-plus recent grants, 126 were minority-owned, 115 woman-owned.

Last week, the Administration announced the award of 37 grants totaling $5 million to cities, towns, and non-profits through the Regional Pilot Project Grant Program. This week, the Administration awarded $1.6 million to 59 tourism organizations, chambers of commerce, and cities and towns through the new Travel and Tourism Recovery Grant Pilot Program.  

Also, as part of the Partnerships for Recovery 125 communities are working with consultants to be granted a portion of $9.5 million awarded through the Local Rapid Recovery Planning program. The state has also invested $21.1 million in municipal projects through the Shared Streets and Spaces program since June 2020.

Read all about it at ABC6.com

More Business

• Could Mass. make the film tax credit permanent? Proposal added to House budget

• Massachusetts has a ban on assault weapons. Some lawmakers don’t want them made here, either.

• Apple plans to add hundreds of jobs in Massachusetts over the next five years

• Business owners in MA call on lawmakers to address unemployment insurance hikes

• Bank of America pledges $1 million to King Boston efforts, the biggest corporate gift so far

Energy

The 12 Greenest Towns of Greater Boston

Out of 40 towns and cities within the 128/95 border, 12 have been dubbed the “greenest” of them all in a report by Boston Magazine. Municipalities were assessed on 19 indicators including “the percentage of the town or city’s fleet of ordinary passenger vehicles and light trucks are electric.” 

Communities received zero to five points for each indicator with a maximum possible score of 95 points. Actually, 12 municipalities made the Top 10:

10. Belmont (70 points) 

9. Salem and Brookline (tie 75 points) 

8. Lexington and Winchester (tie 76 points)

7. Somerville (77 points)

6. Melrose (78 points)

5. Medford (80 points)

4. Boston (81 points)

3. Newton (82 points)

2. Arlington (87 points)

1. Cambridge (90 points)

The full list of 40 cities and towns in the running can be found here. 

And a full list of the 19 green city indicators can be found here.

Check out the complete story at Boston Magazine. 

More Energy News

• Massachusetts Gov. Charlie Baker’s Executive Order Aims to Electrify Transportation, Buildings

• Baker-Polito Administration Files New Legislation to Improve Road Safety

• Mass. utilities: Gas plant would allow for more renewables

• Massachusetts Gov. Charlie Baker’s Executive Order Aims to Electrify Transportation, Buildings

• How Solar Energy Policies Could Help More Low-Income Residents

• CleanCapital: ‘Deploying energy storage is mission-critical to the energy transition’

Transportation

Sagamore Bridge Repairs Completed Ahead of Schedule, Bourne Bridge Next

Sometimes it seems like road repair work can go on forever. For a change, work to maintain the structural integrity of the Sagamore Bridge is getting done ahead of schedule. According to a report at the Boston Herald, all lanes on the Sagamore are now open. 

With that out of the way, the U.S. Army Corps of Engineers New England District will now move its equipment over to the Bourne Bridge and start repair work that had initially been scheduled for the fall. 

Starting Saturday, the Bourne Bridge will be reduced from two lanes in each direction to a single 12-foot lane in each direction 24 hours a day until Memorial Day weekend — just in time for summertime Cape traffic. 

The U.S. Army Corps of Engineers New England District said in a statement:

“Motorists planning to use the Bourne Bridge during this timeframe should be aware that travel delays are likely to occur during the morning and afternoon peak travel periods each day. Signs, traffic control devices and police details will be used at all times that work is being performed on the bridge.”

More Transportation News

• Seatbelt change, red-light cameras proposed massachusetts laws traffic

• MassDOT To Install Roundabout At Brockton Intersection

• Taking the 'Commuter' Out of America's Rail Systems - Governing

• In Transit Expansion, Don't Forget Bikes and Buses

• Study finds ride-sharing intensifies urban road congestion

Real Estate

Home Sales Continue To Set Records

Massachusetts homes are on fire — metaphorically speaking, of course. Home prices in the state have set records again in March according to the Warren Group, a real estate analytics firm. There were 3,849 single-family home sales in Massachusetts last month. That’s a four-year high for the month of March, and a 2.5 percent increase over a year ago. 

Those numbers would be even higher if the inventory wasn’t at its lowest point since at least 2004 according to the Massachusetts Association of Realtors. (That’s when the Association began reporting data.)

As a result of the lack of inventory, the median price for a single-family home jumped a whopping 14.4 percent from $402,000 in March of 2020 to $460,000, setting a new record for the month.

You’ll find an in-depth report at Boston.com. 

More Real Estate

• New England Stop & Shop portfolio sells for $295M - Boston Business Journal

• Developers vying to build on parcel just south of downtown

• Buyer Beware: Massachusetts Flood Disclosure Law Criticized

• The Davis Companies and Boston Development Group JV to Co-Develop 5-Acre Life Science Campus Near Watertown Square

Cannabis

U.S. House of Representatives Passes SAFE Banking Act

The U.S. House of Representatives signed off on a cannabis banking reform bill just in time for 4/20 — an annual day of celebration of human rights or another excuse to party depending on how it’s spun. 

The bill which is designed to protect banks from being penalized for working with state-legal marijuana businesses passed the House in a rare bipartisan vote of 321-101. The SAFE Banking Act has now been approved by the House four times since it was first passed in 2019.

Industry stakeholders are hoping that the bill passes while the democrats have control of both branches of Congress and the White House. Although Democrats now hold a thin majority in the Senate, its passage there is not guaranteed, nor is Biden’s signature. And if Republicans regain control of either the Senate or the House in 2022, the chances of passage are even slimmer.

Federal cannabis policy reform is a long time coming and banking is, by far, the largest source of friction for the cannabis industry. David Torrisi, president of the Commonwealth Dispensary Association, says that access to banking and capital is “probably the largest barrier of entry for getting into this industry.”

This issue is no longer just a regional matter. Medical marijuana is now legal in 36 states, seven of which also permit adult recreational use. Most banks are reluctant to do business with cannabis concerns due to the drug’s Schedule I status over at the U.S. Drug Enforcement Agency. As a result, many marijuana dispensaries are forced to operate on a cash-only basis, even paying their taxes with a truckload of cash. 

(To be fair to the DEA, DOJ, FBI, et al, they were only doing their job. Only Congress can repeal the federal prohibition of marijuana and they’ve been dragging their collective feet for half a century.)

The SAFE Banking Act, should it pass, will shield banks from penalties — such as racketeering charges — for working with marijuana companies. 

Marijuana Moment has a full report.

More Cannabis News

• Ex-Fall River Mayor Jasiel Correia's trial, implications for Mass. marijuana business

• With marijuana legal in New York, and other states close behind, will Mass. dispensaries along state borders survive?

• The 96-year-old co-founder of this Massachusetts cannabis dispensary wanted to give people jobs and 'a better way of life' - masslive.com

More of the Latest Massachusetts News

• ‘Snobs and proud of it!’: Boston.com readers react to Mass. being named snobbiest state

• Free stuff you can get by flashing your coronavirus vaccine card

Creating a Much Brighter Outlook

Massachusetts leads the nation in a lot of fundamental benchmarks, but apparently being a nice place to live isn’t one of them. The Bay State has landed in lowly 31st place in a recent YouGov survey on the best U.S. states. However — in our own defense — the study wasn’t very scientific. In fact, it was more of a personality contest, really. 

On the positive side, the state saw its lowest week of unemployment claims since the you-know-what began 13 months ago. But businesses across the state are being hammered by an increase in unemployment tax. And they’re not going to take it sitting down.

Also this past week, the House produced its fiscal 2021 budget, creating a much brighter outlook for post-pandemic government operations than previously expected. We’ve also got interesting news about the state’s potential to become the nation’s leader in offshore wind energy, the 350-foot tower going over the Mass Pike near Fenway, another pot shop unionizing in the Bay State, and the recent derailment at the MBTA is keeping new subway cars out of service.

And as usual, we’ve curated dozens more of the most important news stories related to politics, business, energy, transportation, real estate in Massachusetts. You’ll find links at the end of each section. 

And here we go...

Politics

House Budget Teed Up For Debate Next Week

The freshly unveiled House budget proposal calls for $47.6 billion to be spent over the course of fiscal 2021. That’s nearly $1.8 billion more than was recommended in Gov. Charlie Baker’s proposed budget — an overage of nearly four percent and proposed spending is 2.6% higher than the previous budget. 

The plan has two major priorities — helping residents who have been set back by the pandemic and creating jobs. That is according to House Speaker Ronald Mariano who spoke to reporters Wednesday. The plan also included a nearly $220 million increase in Chapter 70 education aid to school districts and creates a $40 million reserve fund also earmarked for schools.

Mariano warned that current revenue projections are more than $1 billion below what they were in January of 2020. On the other hand, the budget leaves some reserves in the state’s $3.5 billion “rainy day fund” and also doesn’t factor in $4.5 billion in federal aid expected to arrive later this year. The plan doesn’t include any major changes to the state’s tax code. 

The House will debate the budget and make any changes before it then heads off to the Senate for more massaging. Once both legislative bodies have approved their respective budgets a six-member committee made up of three House and three Senate members will hammer out the final concessions. It then heads to Gov. Baker who can sign it outright or issue line item vetoes which lawmakers may override. 

More details on the budget can be found here.

Meanwhile back in Washington, the federal government recently gave its opinion on where money needs to be spent in the Bay State. The state received a C-minus on its infrastructure report card. Here are some of the findings from that report:

• 472 bridges and more than 1,194 miles of road in Massachusetts are in disrepair. 

• Commute times have risen by 10.9% in Massachusetts since 2011.

• Drivers are paying an average of $620 per year for wear and tear on their vehicles as a result of driving on poorly maintained roads. 

• Public transportation costs an extra 52.9% of commuters’ time. (Non-white households are twice as likely to commute via public transportation.)

• 23% of public transportation vehicles in the state are out of date.

• $12.2 billion in additional funding will be needed over the next 20 years to improve the state’s drinking water infrastructure. 

Patch has more info on the federal infrastructure plan.

More Politics

• Here's what's in President Biden's Infrastructure Plan for Massachusetts, including improvements to drinking water system

• Massachusetts pols ramp up pressure on Biden over student debt, expanding Supreme Court. Will it work?

• Ben Downing on the Massachusetts climate law and his own clean energy plan

• A Mass. regulator says a local political couple and a party chair may have violated campaign finance laws

• Wunderkind Ex-Mayor to Face Jurors in Fraud, Bribery Case

• Jake Auchincloss is introducing his first bill as a member of Congress

• Holyoke Soldiers’ Home one step closer to reconstruction after House passes $400 million bond bill

Business

Unemployment Insurance Solvency Fund Rate Up 16-Fold Since Pandemic

The Retailers Association of Massachusetts sent a nice letter to Gov. Charlie Baker and the state legislature. They’re politely asking about the projected $4 billion-plus deficit in the state Unemployment Insurance Trust Fund and the recent massive increases in the employee contribution rate on state tax notices. 

All Mass. employers are looking at higher tax bills to offset the historic unemployment-related debt. RAM President Jon Hurst, Massachusetts Restaurant Association President Bob Luz, and the heads of 17 Bay State chambers of commerce signed the letter.

In the letter, Hurst et al suggest that federal aid be earmarked to repair the deficit in the Unemployment Insurance Trust Fund. However, the CARES Act funds come with lots of strings attached making that solution a bit tricky. Federal guidance on relief spending is expected in mid-May.

In an attempt to ease the pain, lawmakers have authorized $7 billion in borrowing. The Baker administration is also delaying the UI tax payment deadline to June 1 so that state officials can address the nearly 16-fold ballooning of the solvency fund rate which increased from 0.58% to 9.23% due to the pandemic.

The good news is that Massachusetts just had its lowest unemployment rate since the beginning of the pandemic. And nationwide, seasonally adjusted initial claims dropped by nearly 200,000, down from 576,000 the previous week. And according to data from Harvard University’s Opportunity Insights initiative, two million Massachusettsites are now fully vaccinated and consumer spending is up 18% over January 2020.

More Business

• White House gives Massachusetts a C- grade on infrastructure report card

• Massachusetts looks to bar Robinhood in state; company sues

• Massachusetts wants to pull the plug on Robinhood

• 'You feel like you keep getting hit': Massachusetts businesses that survived COVID feel 'penalized' by unemployment tax hike 

Energy

A little over a decade ago, in a big bet in offshore wind power, MassCEC built the Marine Commerce Terminal — a staging area the size of 22 football fields designed to withstand the weight required to assemble offshore wind turbines. It’s the only staging area of its kind in the country. According to a report by WBUR, MassCEC is a “quasi-governmental economic development agency, with a mission to spur the growth of clean energy jobs and infrastructure in the state.” 

The key takeaway from the report:

“This week, MassCEC's bet may finally start to pay off. The federal government is expected to make a major decision about Vineyard Wind, the first large-scale wind farm in the United States, slated to be built off the coast of Martha’s Vineyard. The ruling represents the last big obstacle the project needs to overcome before construction can begin.

This long-awaited decision could pave the way for a massive offshore wind industry not just in Massachusetts, but also up and down the Atlantic Coast.

While they await the decision, the New Bedford terminal has been leasing the port to other marine cargo operations. The facility has also been a staging ground for terrestrial wind and solar projects.

If the federal government gives the go-ahead, Vineyard Wind is positioned to become the first biggest offshore wind farm in the U.S. with 62 turbines about 12 miles off Martha’s Vineyard island. The facility will produce enough electricity to power 400,000 homes.

Read all about it over at WBUR’s website.

More Energy News

• Ben Downing on the Massachusetts climate law and his own clean energy plan

• ENERGY TRANSITIONS: A farmer's fight for solar reveals a U.S. land problem

• New rules require more efficient biomass energy plants 3h ago

• Baker Administration Would Block Renewable Energy Credits For Springfield Biomass Project

• ENERGY TRANSITIONS: 3 battles could remake the oil and gas industry

Transportation

New MBTA Trains Out of Service For 3 More Weeks 

Last month, one of the MBTA’s newest trains derailed. It’s not clear if the incident should be blamed on the train or the track. Nonetheless, the fleet of shiny new Orange and Red line cars will remain out of service for at least three more weeks while this all gets sorted out. 

The train involved in the incident was traveling slowly when the third car on the train derailed with about 100 passengers on board. No injuries were reported. The track was replaced and trains are now running again between Sullivan Square Station and Oak Grove. 

Also Monday, MBTA officials discussed plans to spend $2 billion on repairs and upgrades in the next fiscal year.

More Transportation News

• Massachusetts Offers Opportunities For Stakeholder Engagement To Address Transportation Emissions

• Officials in Worcester agree, public transportation is a ‘lifeline’ for the community, so why is it in such ‘rough shape’?

• Shared bus-bike lanes, multimodal improvements completed in Lynn, Mass.

Real Estate

Boston’s World Class Skyline To Undergo Renovation 

The Fenway Center project to build a massive 350-foot tower over the Massachusetts Turnpike between Beacon Street and Brookline Avenue is underway. Developers have paid $55 million to the Massachusetts Department of Transportation for “air-rights” for the structure, according to the Boston Globe. 

The complex will feature not just commercial space but also green space and walking paths over the highway. The project will significantly change the view for commuters entering the city from the West. 

The first phase of the project is to build a $200 million steel deck to act as a foundation for the monstrous structure. It’s going to take two years just to build the deck. Meanwhile, one lane will be closed on the Mass Pike in each direction.

More Real Estate

• Housing market has even the pros asking “are these prices even realistic?”

• Massachusetts amid white-hot real estate boom

• Million-dollar homes and cutthroat bids: Inside Brookline's hot real estate market

Cannabis

Employees of Marijuana Dispensary In Hanover Unionized

After a year of haggling, employees of a Curaleaf medical marijuana dispensary in Hanover, Massachusetts, have voted to join the United Food and Commercial Workers (UFCW) Local Union 328. The Union says it’s currently negotiating a contract with Curaleaf. 

There has been a recent trend toward unionizing cannabis dispensaries in other states as well including an MMJ grower in Rhode Island and another cannabis cultivation and processing facility in Massachusetts.

MJ Biz Daily has a report.

More Cannabis News

• Jennifer Flanagan announces she’s stepping down from Cannabis Control Commission

• These Massachusetts cannabis dispensaries are celebrating 4/20 with events, specials and more

• Western MA not afraid of cannabis competition from NY - yet

• Cannabis Central Mass. Worcester marijuana business cultivation towns

• Jushi Enters Massachusetts Market with $110 Million Acquisition – New Cannabis Ventures

• CT investor strikes two-state facilities deal with cannabis operator

• The Davis Companies Buys a 4-Property Flex Portfolio for $44.25 Million

More of the Latest Massachusetts News

• Tips to score a vaccine appointment as Massachusetts opens up vax eligibility to 16-plus

Post-Pandemic Budgeting

The Massachusetts state budget will be the primary concern this week. Tax revenues are exceeding expectations, gas taxes are dwindling, and some cities may be putting the screws to local cannabis operators. The tourism and hospitality sector is battered and bruised, while heads are spinning at real estate development concerns along coastal Massachusetts due to last week’s blockbuster ruling on harbor front development. 

Meanwhile, Ben Downing, candidate for governor, wants to put the pedal to the metal on the state’s emissions reduction goals.  

Politics

Lawmakers To Unveil Fiscal 2021 Budget as Tax Collections Exceed Expectations

Excitement is mounting for the unveiling of the budget proposal for the upcoming fiscal year because 2020-2021 has been full of big surprises. The most recent surprise is that Massachusetts tax collections have once again exceeded the state’s expectations and this month’s debate in House of Representatives may center around how the Commonwealth can emerge fully funded from the COVID19 pandemic.

Here are some tax numbers being crunched on Beacon Hill:

• The Department of Revenue reported over $3 billion in tax revenue for March. That’s $402 million or 15.1% higher than the previous month.

• The state collected nearly $22.6 billion this fiscal year. That’s about $1.5 billion or 7.2% higher than in fiscal 2020.

• Corporate and business tax collections in March exceeded $1 billion. That’s $274 million above the state’s projections. 

• The state collected $562 million in sales and use tax revenue. That’s about $95 million more than expected. 

• The state collected $66 million in meals tax revenue. That’s nearly one-quarter more than expected.

• Income tax collections were $1.26 billion. That’s about $178 million above projections.

• Income tax returns and bills totaled $152 million in March. That’s $63 million above benchmark but 4.6% below the state’s expectations. 

• The state reported $399 million in refunds (so far this tax season). That’s $19 million less than expected. 

Unknown at this time is how $4.5 billion in federal funds will figure into future spending as the revenue is not accounted for in the budget plans. This is because the U.S. treasury has yet to develop full guidelines on how the money should be spent. More details are expected within the next month. 

Lawmakers will be unveiling the new budget on Wednesday, April 14. 

MassLive.com has more details on the budget.

More Politics

• Massachusetts lawmakers seek to boost public education funding beyond Gov. Charlie Baker's budget plan

• What should Mass. learn from COVID? Lawmakers to discuss state’s future in hearing

• Reimagining Massachusetts Committee talks to South Shore business owners

• State senator, MassGOP chair may have violated campaign finance rules, OCPF says

• Markey calls to expand Supreme Court as other Massachusetts pols wait on Biden commission

• Charlie Baker not yet ready to decide on third term as Massachusetts governor

• Boston City Council Endorses State 'Millionaires Tax'

• Growing number of moms run for school committee in the wake of COVID

Business

Tourism and Hospitality Sectors Plead For Pain Relief 

No other sector of the Bay State economy has been so brutally beaten down by the pandemic than the state’s tourism and hospitality sector. And the beatings will continue until morale improves — as they say. Experts are predicting a slow and painful recovery. That is unless the state can provide some measure of relief by inoculating the sector with additional funds. 

At a recent hearing by the Tourism, Arts and Cultural Development Committee, lawmakers heard from groups representing restaurants, hotels and motels, cultural organizations, event venues and tourism promotion. Each told stories of widespread losses as stay-at-home, the gathering limits, and the massive drop in customer spending forced closings and employee furloughs of biblical proportion. 

Martha Sheridan, president of the Greater Boston Convention and Visitors Bureau had this to say:

"We're not going to be able to wish, pray and hope our way out of this pandemic. The only way we're going to get out of it is if we remain competitive and invest strategically in tourism promotion."

So far the state has awarded more than $650 million in relief grants to about 14,400 businesses. And cultural nonprofits received almost $10 million through a separate grant program in January. 

Also, according to NBC Boston, another $16 billion grant program was announced on Thursday. The fund is earmarked to “assist live venue operators, theatrical producers, live performing arts organization operators, museum operators, movie theater operators and talent representatives affected by mandatory closures.”

Furthermore, bill (SD 2105) would divert at least $200 million from the coming federal stimulus package to help cultural organizations recover.

Industry leaders say it’s not enough and are asking lawmakers to dig deeper. They also asked the state to develop a clearer timeline for lifting of business restrictions.

Some soothing news: Overall, Mass. business confidence has returned to pre-pandemic levels.

Learn more about this issue at NBC Boston.

More Business

• 'Jaw-dropping': Unemployment tax bills skyrocket for many Mass. businesses - Boston Business Journal

• Some Massachusetts employers still face major tax increases due to COVID-related unemployment claims

• Mass. business confidence jumps to prepandemic levels The Boston Globe

• Mass. Employer Confidence Widespread Heading Into Spring

Energy

Gubernatorial Hopeful Downing Offers Suped-Up Climate Plan

Ben Downing, who has been working in the renewable energy sector in 2017, has announced his plan to combat climate change. 

According to Downing, the state should be aiming at 100% clean electricity by 2030 with the rest of the state’s energy needs to be 100% clean by 2040. And, of course, the recent omnibus climate bill calls for net-zero emissions by 2050. 

For one thing, Downing is calling for a doubling of the Mass Clean Energy Center budget. According to Downing:

“MassCEC has been sort of the hub of new technologies in Massachusetts, going back to the earlier days of solar, more recently, around energy storage and business models there. We know we're going to have to not only deploy more renewables, but continue to think about new ways to ensure access to renewables across the economic spectrum and to come up with new innovative models for making the overall system work more efficiently, more effectively. Supporting MassCEC is the simplest way to do that. But we need to continue to think about other ways to do it as well.”

Read and listen to the full interview with WAMC.org. Or check out this report at MassLive.com. 

More Energy News

• SPI Energy to buy 6.5-MW solar-plus-storage project in Massachusetts

• Massachusetts's New Climate Law: 5 Reasons to Celebrate!

• Massachusetts Wind, Solar, Energy Storage And Fuel Cell Property Tax Reform Enacted As Part Of Climate Bill - Energy and Natural Resources - United States

• Massachusetts Wind, Solar, Energy Storage and Fuel Cell Property Tax Reform Enacted as Part of Climate Bill

• Opinion: Making solar incentives work in Mass.

• Massachusetts politicians push to shutter Weymouth gas compressor station after third unplanned release of gas

Transportation

The Problem With More Energy Efficient Autos: A Dwindling Gas Tax

According to the American Society of Civil Engineers the average driver in Massachusetts at 42 cents a gallon spends $620 a year in gas taxes. That money goes toward road maintenance. This has been going on since the 1950s. The problem is, while expenses for maintenance are on the rise, gas tax revenue is slowly dwindling as autos become more and more efficient. What to do? 

According to a report by Boston 25 News, Mary Maguire of AAA Northeast says this isn’t sustainable. And Steve Pociask of the American Consumer Institute thinks we need to come up with a new fee system.

One of the potential solutions being bandied about is a tax rate based on the type of vehicle and the miles driven. Trucks would pay more. Economy cars would pay less. 

Matt Casale of MassPirg, who specializes in transportation and climate issues, says: 

“The beautiful thing about a vehicle mileage travelled fee is you can structure it anyway you want. If used properly, a VMT or some other user-based system for driving, could make it easier to get where you need to go by fast bus or train, or it could improve the condition of the roads and bridges so you you’re not hitting as many potholes and you don’t need to spend as much on vehicle maintenance.”

The rates could also be structured in such a way as to create disincentives to drive gas guzzlers and offer incentives to trade in your old stink tank for a zero-emissions vehicle. 

Read all about it at Boston 25 News.

More Transportation News

• Biden wants to spend billions on transportation infrastructure. What's in it for Massachusetts?

• Report outlines ways Massachusetts could transform state transportation infrastructure

• As MBTA, Transit Agencies Nationwide Consider Service Cuts; Pressley, Markey Re-Introduce Bold Legislation to Fully Fund Fare-Free Public Transit

• Massachusetts RMV implements inspection sticker grace period as service will remain offline through at least Friday 

• Sagamore Bridge lane closures begin

• A closer look at Boston's free public transport trial

• Transit and Ground Passenger Transportation Market Upcoming Demand And Growth Analysis by Players 

Real Estate

Recent Ruling on Boston Harbor Tower Will Have Far-Reaching Consequences

Last week we told you about the developers of a 600-foot tower on Boston Harbor looking over the New England Aquarium out to the Boston Harbor. We told you how their hopes and dreams were dashed by Suffolk County Superior Court Judge Brian Davis who ruled in favor of The Conservation Law Foundation and Harbor Towers apartment residents in a lawsuit seeking to block the proposed redevelopment. In a strange twist, the judge ruled that the zoning laws under which the plan was approved were themselves approved by the wrong state official in 2018. This has now sent a shockwave through the real estate development community. 

The problem is that the ruling could very well affect other developments approved under similar zoning plans — and not just in Boston, but from Gloucester to New Bedford to Provincetown. 

This is a fascinating story with far-reaching consequences that we won’t even begin to try to unpack here. But there’s a deep dive on recent developments at Boston.com.

More Real Estate

• Readers share what it's like to go house hunting in Mass. - Boston.com

• MA Real Estate: Spring Housing Market Heats Up

• Global Gate Capital and Berkeley Investments Acquire Converted Mill Buildings in Lawrence, MA

• Tewksbury Real Estate Developer Charged With Tax Evasion

• What to know before investing in real estate

• Massachusetts home where Lizzie Borden's parents were killed finds buyer

• MA Homeowners Can Benefit $3,252/yr With Mortgage Relief - Wayland, MA Patch

Cannabis

Mass Grower Advisory Council Says Some Cities Are Too Greedy

In the five years since recreational marijuana became legal in Massachusetts 122 dispensaries have opened in the state. Sales have grossed $1.45 billion since Nov. 2018. And more than $90 million in sales tax has been collected.

However, a recent report by the Massachusetts Cannabis Reform Coalition and the Massachusetts Grower Advisory Council claims that 79% of the state’s host community agreements require excessive fees and “voluntary” donations for third-party charities. 

To the Massachusetts Grower Advisory Council, that’s a problem. It could result in excessively high barriers to entry for the little guys. It also helps keep black market pot prices competitive. 

MGAC has petitioned the courts, asking that the Cannabis Control Commission be given authority over municipal agreements, instead of cities and towns.

For in-depth coverage of this story visit BizJournals.com.

More Cannabis News

• Mass. Cannabis Control Commission launches revamped website

• Legal weed still uncertain in Connecticut this year, despite momentum in New York and New Jersey

• Massachusetts marijuana retailer challenges community impact fees

• First Black Woman-Owned Cannabis Dispensary On East Coast Opens In Massachusetts

• Northeast Regulators Talk Cannabis, Real Estate, and Regional Collaboration

• Worcester’s first equity cannabis shop, New Dia, plans to open retail store by Fenway Park

• Big tobacco is coming for legal marijuana

More of the Latest Massachusetts News

• Water Conservation Urged In Massachusetts Amid Dry Spell

• Much of Massachusetts in drought with drying likely to persist; Residents urged to conserve water now

• Toughest Golf Courses in Massachusetts

The Massachusetts Memory Loss

Anyone who has been around for more than a few decades knows that American voters have two glaring health problems — they experience severe memory loss and are badly near-sighted. These ailments are exacerbated by the fact that over the past 50 years, the news cycle has gone from days or weeks (pre-cable and internet) down to literally just moments via social media and 24/7 cable news. 

For example, in February, Gov. Charlie Baker was touted as one of the most beloved governors in the U.S. Then in March, as the top news story in the Bay State became the roughshod rollout of the state’s vaccination program, voters forgot how much they loved Baker and his approval rating took a sharp dive. Now, In April, as the news of a buggy vaccination appointment website fades into amnesia, Baker’s approval rating is pretty much back where it was.

As a country, we forgot the lessons learned during the 1918 pandemic. And we lacked foresight. We were too busy worrying about a toilet paper shortage coming in a week to see that the world was about to change for decades to come. 

Thankfully, however, there is a silver lining. Americas’ vision and memory seem to be improving as a direct result of the pandemic. We’re becoming more farsighted. We’re waking up to problems we’ve all but ignored for decades. We’re now addressing issue sets like human rights, greenhouse gas emissions, and a crumbling infrastructure (not to mention a crumbling middle class) --  and we’re doing it with more energy and fervor than we’ve seen in over a half a century. 

Signs that our memory and vision are improving here in the Commonwealth include the launch of two landmark pieces of legislation — a climate bill aimed at achieving net-zero emissions by 2050, and a transportation bond bill that will bring about big changes to the state’s transportation infrastructure and job market for decades to come. 

These actions may be a reaction to the pandemic, but it’s widely agreed that they are paramount to the future of our communities. It may not matter how they came to be, just that they got done.    

Let’s unpack this week’s news: 

Politics

Democrat Wins DeLeo’s Seat, Sen. Chang-Diaz Teases Run For Gov.

After a low-turnout special election, it looks like Jeffrey Turco will be taking the seat left vacant by the departure of former Democratic House Speaker Robert DeLeo. The news media’s spin on the story is that the Massachusetts attorney — a Democrat — voted for Donald Trump in 2016. We would link you to a full report, but that’s pretty much the gist of the media’s take on this story. 

In other Mass political news, it looks like Sen. Sonia Chang-Diaz might be running for governor of Massachusetts next year. The media spin on this story is that she has been one of the more vociferous critics of Gov. Charlie Baker’s handling of the coronavirus pandemic. 

However, we know a little bit more about Chang-Diaz. She was the first Latina to win a seat in the Massachusetts Senate in 2008 and is currently chair of two joint committees in the House: the Joint Committee on Racial Equity, Civil Rights and Inclusion; and the Joint Committee on Cannabis Policy.

Former state Sen. Ben Downing was the first Democrat to formally announce a run for governor. Attorney General Maura Healey’s name is also being tossed around as a possible candidate. Baker, himself has yet to say whether he will run for a third term in 2022.

WBUR has summed up the current state of affairs on the marathon race for Mass. governor in their report titled, “It's 'Maybe' Season In The Mass. Governor's Race.”

More Politics

• Gov. Charlie Baker signs unemployment insurance bill that includes PPP loan tax benefit

• Democratic state senator weighing run for governor in 2022

• Gov. Charlie Baker signs unemployment insurance bill that includes PPP loan tax benefit

• Study says Massachusetts ‘millionaires tax’ wouldn’t just hit the mega-rich

• Will Acting Mayor Janey run for a full term?

• Maura Healey comes up big in March fundraising; Karyn Polito again out-paces Charlie Baker

Business

According to a report by The Boston Globe, it is commonplace for hospital chiefs in Boston to work as directors of publicly traded companies. What’s not commonplace, they say, is the large sums of money they’re being paid:

1. Laurie Glimcher, MD. President and CEO of Dana-Farber Cancer Institute.
   Annual hospital compensation: $1.8 million
   Company: GlaxoSmithKline, $180,000; Analog Devices, $139,145*

2. Peter Slavin, MD. President of Massachusetts General Hospital.
   Annual hospital compensation: $2.4 million
   Company: Amwell, $475,003

3. Sandra Fenwick. Former CEO of Boston Children's Hospital (retired March 31)
   Annual hospital compensation: $2.7 million
   Company: Teladoc Health, $1,058,250*

4. Kevin Churchwell, MD. CEO of Boston Children's Hospital.
   Annual hospital compensation: $1.6 million
   Company: Cyclerion Therapeutics, $141,253*

5. Elizabeth Nabel, MD. Former President of Brigham and Women's Hospital. (stepped down March 1).
   Annual hospital compensation: $2.4 million
   Company: Medtronic, $385,054; Moderna, $487,500

6. Kate Walsh. President and CEO of Boston Medical Center.
   Annual hospital compensation: $2.6 million
   Company: Beam Therapeutics, $817,500

7. Michael Tarnoff, MD. Interim President and CEO of Tufts Medical Center.
   Annual hospital compensation: $1.1 million
   Company: AngioDynamics, $37,726*

* Partial salary because they joined the board after the start of the year.

Critics have raised concerns about potential conflicts of interest that might distract from hospital priorities. For example, the Globe claims that Dr. Nabel attended between 30 and 40 committee meetings called by the two boards on which he sat in 2019.

Read more about the investigation here.

More Business

• Boston's hospital chiefs moonlight on corporate boards at rates far beyond the national level

• For the hospitality industry, struggling to recover, it's a moment of reckoning

• Massachusetts Business Coalition on Skills formed by Massachusetts Business Roundtable, BECMA

• White Massachusetts residents more than twice as likely to own a business than Black, Latinx residents

• Businesses are coming back to life in Massachusetts as vaccinated people venture out

• Largest Executive Search Firms in Massachusetts - Boston Business Journal

• Proposed acquisition of Pan Am Railways is back on track

Energy

It looks like hospital presidents and CEOs aren’t the only ones being accused of being overvalued. The organization that oversees New England’s power grid is being scrutinized by consumer advocates who claim that executive salaries at the agency are sky-high.

According to a 2019 tax filing made public by the nonprofit, ISO New England CEO Gordon van Welie was paid a total of $2,305,770 while Executive VP and COO Vamsi Chadalavada earned $1,746,314. Four other employees made more than $800,000, and 38 people, including eight of the nonprofit’s board members, made more than $100,000 that year.

ISO New England is responsible for balancing supply and demand, pricing electricity, maintaining the system, and implementing any changes the grid system needs. The non-profit is funded largely by fees off the top of residents’ electricity bills. It received $194 million in 2019. A statement from ISO NE says the non-profit takes just over a dollar a month from the average ratepayer in fees. 

The statement reads in part:

“Our board and leadership roles require a considerable time commitment and expertise in markets, power system operations, information security and more. Our compensation levels are reviewed by outside firms annually to ensure that the company stays competitive and within reasonable ranges when compared to similarly situated companies. Competition for these leaders is significant.”

But David Tuerck, head of the conservative Beacon Hill Institute, had this to say about that:

“ISO New England claims it ‘maintains a culture of cost accountability and transparency in its service to the region.’ They might add, ‘except when it comes to paying their staff lavishly.’”

It’s not the first time the group has come under scrutiny. Last fall, Gov. Charlie Baker joined with the governors of Rhode Island, Vermont, Maine, and Connecticut in calling for a “modernization” effort. In the letter, the governors accused ISO of having “a governance structure that is not transparent to the states and customers it serves, with a mission that is not responsive to States’ legal mandates and policy priorities.”

The Boston Herald has a report on this story.

More Energy News

• MetroWest towns and cities working together to offer clean energy technology

• Activists hail Massachusetts law as crucial step on environmental justice

• POLITICS: Sweeping Mass. climate law revives gas ban battle

• Mass. Revokes Air Permit For Controversial Biomass Facility In Springfield

• Sen. Markey reintroduces legislation to block infrastructure for exporting natural gas

• “Massachusetts 2050: A Warming State” How an environmental-focused business launched a Northampton community member into politics

• Agilitas Energy readies third SMART solar plus storage project in Massachusetts

• New England's solar growth is creating tension over who pays for grid upgrades

• CommonWealth Magazine

Transportation

Boston To Offer Free Public Transportation Under Pilot Program

The City of Boston is undertaking a pilot program offering free public transportation for up to 1,000 employees who work in five of the city's Main Street districts. Pilot participants will receive a pre-loaded Massachusetts Bay Transportation Authority (MBTA) pass with $60. The city will also offer free passes for unlimited rides through the Bluebikes bike-share program.

According to acting Mayor Kim Janey, the pilot is intended to support a sustainable and equitable recovery from the pandemic. "We have to lift up workers and make sure they have access to reliable transportation. That is essential to an economic recovery that is equitable," she said during a press conference.

Read all about it at Cities-Today.com.

In similar news, U.S. Sen. Edward Markey has refiled legislation intended to boost support for free public transportation. In a written statement, co-sponsor U.S. Rep. Ayanna Pressley said the bill would invest “heavily in our public transit systems so that states and localities can offer safe, high-quality, and fare-free rides to all to ensure everyone” can access jobs, food and essential services.”

AP has more on this story.

More Transportation News

• 'True game changer': Eric Lesser on Amtrak's plans for Western Mass.

• US must electrify municipal fleets, bolster transit and zero-emission car sales to reverse ‘public health disaster,’ Massachusetts nonprofit report says

• MA Advocates for Public Transit Praise Biden Infrastructure Plan

• What Might Biden Infrastructure Push Mean for Transit in Mass.?

• EDITORIAL: Amtrak expansions provide new opportunity to boost economy, eco-friendly travel – The Daily Free Press

Real Estate

Suffolk County judge Brian Davis has dealt a major blow to developers of a long-planned skyscraper on the edge of Boston Harbor. Davis threw out Boston zoning rules that would have allowed the 600-foot tower to be developed by Don Chiofaro at the site of the Boston Harbor Garage. 

The ruling stems from a lawsuit filed by the Conservation Law Foundation and residents of the Harbor Towers condominium complex. Davis ruled that Baker administration officials overstepped their authority when they approved the plan to develop 42 acres along the downtown waterfront.

The 29-page ruling also calls into question similar plans being considered by developers along the Massachusetts coast. 

Read all about it at the Boston Globe.

More Real Estate

• 2021 Boston Real Estate Market Investing Forecast

• Calare Properties to develop an industrial building in Acton

• 388 Ventures Acquires 3 Historic B&Bs in Downtown Lenox, MA in Partnership with Life House

• Discouraging state of middle class in Massachusetts

• Massachusetts Estate From 1680 Is Oldest Home to Hit the Market This Week

• Flagship Pioneering Expands Biotech Footprint to Property in Somerville’s Boynton Yards

Cannabis

New York Legalizes Adult Recreational Use of Marijuana

New York has officially become the 16th state in the U.S. to legalize marijuana.  Gov. Andrew Cuomo signed The Marijuana Regulation and Taxation Act into law just one day after it was passed by legislators. 

The bill expands the state's existing medical marijuana program and sets up a licensing and taxation system for recreational sales to adults 21 and older

Cuomo said in a statement:

"For too long the prohibition of cannabis disproportionately targets communities of color with harsh prison sentences and after years of hard work, this landmark legislation provides justice for long-marginalized communities, embraces a new industry that will grow the economy, and establishes substantial safety guards for the public. New York has a storied history of being the progressive capital of the nation, and this important legislation will once again carry on that legacy."

Interestingly, unlike all other states with legal cannabis, a provision in the bill permits marijuana to be smoked in public. According to Paul Armentano, deputy director of the pro-legalization group NORML, no other states allow public use. 

This is important news for the Mass. cannabis industry as it is sure to cut into sales, especially in the eastern part of the state that borders upstate New York. On the other hand, it gives Mass.-based cannabis companies such as Curaleaf — the world’s biggest cannabis company — an opportunity to expand New York operations. 

NBC New York has an extensive report on this story.

More Cannabis News

• Did Marijuana Legalization In MA Put Pot Dealers Out Of Business?

• Third Massachusetts City Approves Psychedelics Decriminalization Measure

• First Black Woman-Owned Cannabis Dispensary On The East Coast Opens in Massachusetts

• New initiative launches to help patients get access to affordable cannabis

• Prominent executive at NETA parent company fired after husband opens competing marijuana store

• Cannabis cultivator takes over old machine shop in Northampton

History In The Making

There’s been more to talk about in Massachusetts during the past week than we’ve seen in a very long time: Mayor Kim Janey is making history, there’s a multi-million dollar shot in the arm for the Commonwealth’s climate and job goals, a potential game-changer for the gig economy emerging on the horizon, and the call to reverse service cuts on the T is being taken seriously. 

And in the “strange but true” category, did you know that Massachusetts has the second-fewest dispensaries per capita in the entire country? It’s true. More than 30 U.S. states have more dispensaries per person than the Bay State. But that’s about to change…

Politics

Kim Janey Makes History as Boston's First Black/Female Mayor

If we could have reported a year ago that Marty Walsh would resign as Mayor of Boston, there would be some head-scratching going on. What on Earth could cause Walsh to resign? Now, as we all know, President-elect Biden has called Walsh to Washington to fill the position of U.S. Labor Secretary.

A mayor of a prominent U.S. city becoming a cabinet member, although often unexpected, isn’t uncommon. (Transportation Secretary “Mayor Pete” Buttigieg is another example.) However, what is uncommon is when the filling of the vacancy becomes far bigger news. 

Boston City Council President Kim Janey is not the acting mayor making history as Boston’s first female and first person of color to hold the office. Although her position is interim, Janey will have a profound effect on the future of Boston politics.

Janey hasn’t yet come out and announced a run for mayor in the fall, but if she were to do so, she might be the favorite to win. Case in point, city council president Thomas Menino stepped in as interim mayor and went on to win the mayoral election later that year becoming Boston’s longest-serving mayor.

One fact greatly increasing the chance that Boston will continue to make history is that, so far, three women of color have announced they will run for mayor — city councilors Michelle Wu, Andrea Campbell, and Annissa Essaibi George. 

Read all about Janey’s history-making move at U.S.A Today.

More Politics

• Blue-state Republicans slump without Trump as foil

• Massachusetts lawmakers to vote on moving Holyoke mayor’s race to the fall

• Sen. Sonia Chang-Diaz ‘seriously considering’ run for Massachusetts governor

• Charlie Baker backs Massachusetts’s strict gun laws as a national model

Business

Lawsuit Over Uber, Lyft Driver Status: There’s a Lot At Stake 

As the pace of technological advancement and consumer adoption accelerates, legislation intended to regulate that technology quite often struggles to keep up. Ride-hailing, and the gig economy as a whole, are ground zero in the race to reign in commercial technologies before they can get so entrenched that their defenses are impenetrable.

Here in Massachusetts, a battle is raging to determine whether or not drivers for companies such as Uber and Lyft can be considered contract workers or if they actually qualify as employees. 

As contractors drivers typically have limited legal rights, no minimum wages, and few if any benefits. And declaring them employees greatly increases the cost of doing business and cuts deep into profits of the companies that provide these opportunities. 

In a heated battle last year, much to the relief of Uber and Lyft, California voters declared that so-called “gig workers” are, indeed, contractors and not employees. 

Massachusetts is now fighting a similar battle as the state's attorney general attempts to dismantle Uber's and Lyft's argument that drivers are independent contractors. 

The defendants had requested that a Massachusetts judge dismiss the lawsuit. The motion was denied on Thursday when Suffolk County Superior Court Judge Kenneth Salinger said the state’s argument has merit.

Was the argument proffered in the California case strong enough to become a nationwide precedent? Or will the Baker Administration deliver a historic and crippling blow to the gig economy? We’ll keep you posted on this important story. 

Meanwhile, BusinessInsider.com has more on this story.

More Business

• Mass. unemployment rate falls to 7.1%

• Martinez: Massachusetts could send Hollywood packing

• Baker-Polito Administration Awards More Than $14 Million in Grants to 295 Additional Businesses for COVID Relief

• Massachusetts legislature unanimous on aid for businesses and workers

• At Mass General Brigham, a sweeping effort to unify hospitals and shed old rivalries

• Amazon's new telehealth service is coming to Massachusetts this summer 

• Largest Robotics Companies in Massachusetts

Energy

Offshore Wind Energy Gets Booster Shot 

President Biden is on a mission to clean up the energy industry in an effort to stem the tide of climate change, accelerate innovation in clean energy, boost the economy, and create jobs. A key goal in the effort is to have all electricity generation in the U.S. carbon neutral by 2035. And a key piece of the plan is offshore wind energy. 

While the Biden administration begins pulling up stakes on drilling for oil on public land, The Department of Interior plans to start selling leases for a new "wind energy area" in the waters between Long Island and the New Jersey coast. 

Although this particular project doesn’t directly impact Massachusetts, others are in the planning stages. In time, the administration envisions a thriving offshore wind industry spanning the entire East Coast. Along with projects in the Gulf of Mexico and along the West Coast the goal is to deploy 30 gigawatts of turbines by 2030, supplying more than 10 million American homes with electricity and creating tens of thousands of jobs in the process. The longer-term goal is to generate a staggering 110 gigawatts of electricity offshore by 2050.

The Department of Energy plans to offer the wind power industry a booster shot in the form of $3 billion in government-backed loans and an additional $8 million in grants for research and development.

The Interior Department's Bureau of Ocean Energy Management is undertaking environmental reviews for potential projects that will directly affect the Bay State including the Vineyard Wind project off Massachusetts and South Fork Wind off Rhode Island. 

NPR has more on this story. 

More Energy News

• Massachusetts Gov. Baker signs sweeping climate change bill

• Sweeping climate law zeroes out carbon pollution for Massachusetts

• Sweeping Mass. climate law revives gas ban battle

• Agilitas Energy planning 10-MW solar + storage project under Massachusetts SMART program

• Powering the energy transition with better storage

• MetroWest towns and cities team up to offer clean energy technology

• Solect Energy completes 273 kW of rooftop solar installations in Winchester, Massachusetts

Transportation

Mayor Janey Demands Reversal of MBTA Service Cuts

We’ve talked many times in the past year about the MBTA’s budget woes and the controversial service cuts that were recently put into place to stem the tide of red ink as ridership fell to around one-third of pre-pandemic levels. 

However, with the agency about to receive $1 billion in federal COVID-19 relief money, history-making interim Boston Mayor Kim Janey, whom we mentioned above, has joined transportation advocates in imploring the MBTA to restore services to pre-pandemic levels. The argument is that the relief money will more than cover the costs. 

An MBTA spokesperson said the agency is likely to acquiesce and will provide more specifics after a joint meeting of the MassDOT Board of Directors and the MBTA’s Fiscal Management and Control Board happening as we write.

We’ll surely update you on this story next week.

Meanwhile, you can read all about it at NBC Boston.

More Transportation News

• Lawmakers seek pause on plans to overhaul Mass. transportation system that provides rides to disabled residents

• Global Transit and Ground Passenger Transportation Market 2025

Real Estate

Solar Arrays Burn Local Homeowners 

A new study shows the property values of houses located near industrial solar facilities decline, costing homeowners millions of dollars in value.

According to the study, house prices within a mile of Rhode Island or Massachusetts commercial solar arrays fell by an average of 1.7% while homes within a tenth of a mile of the installations declined by a staggering 7%.

Solar energy is an important part of the Bay State’s goal to achieve net-zero carbon emissions by 2050. However, solar arrays use significant amounts of land and “may create local land use disamenities,” say the report’s authors.

According to researchers at the University of Rhode Island, their primary sample consists of 208 solar installations, 71,337 housing transactions in Mass. and Rhode Island, occurring within one mile (treated group), and 347,921 transactions between one to three miles (control group).

Here’s an excerpt from the extensive report:

“We observe 71,337 housing transactions occurring within one mile (treated group), and 347,921 transactions between one to three miles (control croup) of 208 solar installations in MA and RI. Our preferred model suggests that property values in the treatment group decline by 1.7% ($5,751) on average compared to those in the control group after the construction of a nearby solar installation, all else equal. This translates to an annual willingness to pay of $279 per household to avoid disamenities associated with proximity to the installations. However, this average effect obscures heterogeneity. We find substantially larger negative effects for properties within 0.1 miles and properties surrounding solar sites built on farm and forest lands in non-rural areas. 

The entire report can be downloaded here.

More Real Estate

• A Year Of COVID-19: Negotiation And Litigation Trends In Massachusetts Leasing

• Property Value Impacts Of Commercial-scale Solar Energy In Massachusetts and Rhode Island

• CBRE Arranges Sale of Nine-Building, 700,000 SF Industrial Portfolio in Massachusetts & New Hampshire

• Report: Mass. averaged a $38,000 rise in mortgage equity in 2020

• Property Management Company Settles Claims it Denied Housing to Prospective Tenants Who Are Deaf at Springfield Complex

• What You Need to Know About That “Not Haunted” Real Estate Sign Trending on Twitter

Cannabis

Dispensaries Popping Up Faster Than New Customers

Anyone who is not a stakeholder in the Massachusetts cannabis industry might be surprised to learn that Massachusetts has the second-lowest number of dispensaries per capita. While Mass. has 15 dispensaries per 1 million residents, Illinois has only 7 stores per 1 million people. The greater Boston area has the highest deficit of stores with only two within city limits.

Of course, these numbers are on the rise. More than 200 adult-use dispensaries are currently being developed in Mass. According to a report in Benzinga, the density could reach 47 stores per 1 million people, putting the state in fourth place behind cannabis vanguards Oregon, Colorado, and Washington.

But there’s a problem with that. According to the report, the store count is actually growing faster than sales which means that individual shops will see a smaller and smaller cut of total sales as more and more pot shops open for business.  

Visit Benzinga for more details.

More Cannabis News

• First Black Woman-Owned Cannabis Dispensary On East Coast Opens In Brockton

• Lawmakers learning from the impact legalized marijuana has on Massachusetts

• New York lawmakers agree to legalize recreational marijuana

• Analyst: Massachusetts Cannabis Store Count 'Is Growing Faster Than Sales'

• ‘Cannabis as an art form;’ this cookbook with recipes from Mass. chefs showcases THC, CBD as ingredients

• KushKart delivery service makes Massachusetts debut after raising $3.5 million

• Study: “No Evidence” That Medical Cannabis Access Laws Encourage Youth Marijuana Use

• Trulieve’s National Expansion Momentum Continues with Acquisition of Mountaineer Holding LLC in West Virginia and Massachusetts Cannabis Control Commission Giving Green Light to Start Growing

• MariMed Q4 Revenue Increases 290% to $20.4 Million – New Cannabis Ventures

More of the Latest Massachusetts News

• Dozens of rare whales return to waters off Massachusetts

The Beginning of the End

In this week’s top story, today marks the beginning of the end of emergency restrictions put in place to combat the spread of COVID-19 here in Massachusetts. The fourth and final stage of the state’s reopening plan is officially underway.

While several parts of the country are starting to see another spike in covid cases, things seem to be going a little more smoothly here in Massachusetts. So far three million vaccine doses have arrived in the Bay State and nearly 1 million Massachusetts residents have been fully vaccinated.  

Under Phase 4 rules, outdoor stadiums such as TD Garden and Fenway Park as well as convention halls can reopen under a 12 percent capacity limit. The limits will be eased over time if all goes as planned. (Nightclubs and amusement parks must remain closed.)

Not everyone is excited about the move. The Massachusetts Public Health Association unsuccessfully urged the governor to delay changes affecting indoor public venues. In a letter to Baker, MPHA Executive Director Carlene Pavlos called Baker’s decision “premature and reckless.” The letter pointed to the rise of more contagious variants of COVID-19, as well as the fact that the vaccination rate among people of color in Massachusetts has lagged disproportionately.

The other big news stories here in Massachusetts this week include the mail-in voting extension, the wrapup of the climate bill, another look at MBTA cuts, and ongoing investments by Google and cannabis conglomerate Cresco Labs into the Mass. economy. Let’s do this. 

Politics

Mail-in Voting Extended Through June 30

The right to vote has been getting tossed around like a rag doll lately. Lawmakers in several red states are working to make it harder to vote while the U.S. House works on a new voting rights bill to counter the trend. Now Gov. Charlie Baker, a red governor in a blue state, is one of the first governors in the U.S. to sign a bill (post election) aimed at making voting more accessible. The bill calls for an extension of mail-in-voting through June 30 among other measures. 

The legislation calls on local election officials to accommodate voters with disabilities “every way possible, to every extent possible.” 

MassLive.com has more on the story.

More Politics

• Gov. Baker shares 'sense of relief' with announcement of remaining vaccine timeline

• WALSH out, JANEY in — MAYORAL CANDIDATES have some breakfast fun — BOSTON’S path to reopening

• Mass. political trailblazer Betty Taymor celebrated at age 100

• US Department of Transportation's Phil McNamara traces political roots to Clinton childhood

Business

Tax Relief For Pandemic Assistance Imminent

Both the House and Senate have now passed legislation to forgo taxes technically due on pandemic relief money. Under current state law, companies such as LLCs, partnerships, independent contractors, sole proprietors and those who are self-employed would pay state income tax of 5% on any debts that are forgiven. If relief grants are considered to be “forgiven debts,” then the taxes due on loans totalling $6.5 billion would be around $325 million.

The good news: The bill helps thousands of businesses avert “potentially insurmountable” tax bills.

The bad news: NBC10 “crunched the numbers” and found about 70,000 of the roughly 118,000 businesses in Massachusetts that received PPP loans last year might still potentially be responsible to pay the 5% tax.

Lawmakers are expected to reconcile differences between the House and Senate bills this week. The governor is expected to sign the final version. 

Check out the report at NBC Boston for more details.

More Business

• Massachusetts Senate passes emergency paid sick leave bill, moves to House

• Massachusetts looks to push back tax filing deadline

• Mass. sports betting bill should be ‘national model,’ Senate President Spilka says

• Hundreds of millions in grants coming for Massachusetts bars and restaurants

• What does a future of remote work look like for Massachusetts?

Energy

Climate Bill Makes Its Way Back To Governor’s Desk

Hopefully this is the second to last time we talk about negotiations on the climate bill. If all goes well, next week’s report will cover Gov. Baker’s signing of the bill. After passing both the House and Senate now, the landmark climate legislation has been volleyed back to the governor’s desk with the majority of his suggested revisions in place. 

One of the requests — a requirement that emissions in 2030 be at least 50% lower than 1990 levels to a 45% target — was left out of the revised bill as was a proposed amendment that would strip some language from a new municipal building code that promotes "net-zero" construction.

Sen. Michael Barrett of Lexington commented:

"If you compare Massachusetts and its emissions with emissions across the world or even across the United States, it's the differences that pop out in you… Transportation are 42% of the Massachusetts problem compared to 29% in the U.S. Buildings are 27% of our issue, compared to about 12% in the U.S. ... It's pretty clear why we put a special emphasis on lower emissions in this bill from transportation and buildings."

Unless you’ve been hiding under a manhole cover, you know the bill calls for Massachusetts to reach net-zero carbon emissions by 2050. 

Solar Power World has a more detailed report on this story.

More Energy News

• Massachusetts' climate goals approach traffic jam

• Massachusetts lawmakers again approve climate change bill | Govt-and-politics | kenoshanews.com

• Goldberg: Innovation, not litigation can protect Mass. from climate change

• Report finds offshore wind can deliver 90% of American electricity demand, with Massachusetts showing most potential

• New Massachusetts Bill a Win for Equitable Climate Policy, Says Science Group

• Hydropower project faces more headwinds | Local News | gloucestertimes.com

• Agrivoltaics scores impressive triple win, but some food safety concerns remain

Transportation

Lawmakers Demand MBTA Make a U-Turn on Service Cuts

In previous newsletters, we’ve talked about how a drop in T ridership during the pandemic was causing a ballooning budget deficit that could hit $1.8 billion by 2026, and how the MBTA had begun implementing sweeping services cuts as a result. Now state and federal lawmakers are demanding that the MBTA make a U-turn on those measures citing the $1 billion in federal stimulus funds coming down the track. 

After working to pass a $1.9 trillion federal relief package meant to deal with all aspects of the crisis — including public transportation — the entire Massachusetts congressional delegation sent a letter to MBTA General Manager Steve Poftak asking him to either re-justify the cuts or reverse them. Among those signing on to the letter were U.S. Sen. Elizabeth Warren, U.S. Rep. Katherine Clark and State Sen. Joseph Boncore. 

Consumer advocates are also joining in on the chorus. Olivia Nichols, Transit Justice Organizer from GreenRoots had this to say:

"These cuts are completely unnecessary. The MBTA is receiving billions in funds from the federal government. Our Governor and the (Fiscal Management Control Board) should focus on using that money to reverse the cuts and to make the MBTA more affordable and accessible, instead of making it more difficult for our community members to get around."

The federal package promises an influx of $1 billion, while the planned service cuts would only save the T about $21 million this fiscal year.

Mass Transit has more on this story.

More Transportation News

• Changes go into effect for Massachusetts travelers

• Massachusetts, Vermont challenge Pan Am Railways deal

• The Massachusetts Bay Transportation Authority to Conduct Safety Inspections

• Are free buses closer than they appear?

Real Estate

Google has announced plans to invest more than $7 billion and create at least 10,000 new full-time Google jobs across the United States this year, says Boston Real Estate Times. According to the report Google has extensive expansion plans here in the Bay State:

“Google has more than 1,900 employees in Massachusetts, and will continue to invest in its long-term presence in Cambridge. The company’s 3 Cambridge Center office (325 Main Street) under construction in Kendall Square will be opening next year, where Google will be occupying 14 floors in the  ground up building being redeveloped by Boston Properties.

In Cambridge, Google has employees working in sales, advertising, Android, YouTube, networking infrastructure, and Google Play. 

Since 2011 Google has donated $56M to nonprofits and schools in Massachusetts.

More Real Estate

• New vaccine timeline could prompt return to office buildings

• February home sales hit 17-year high in Mass.

• Google Announces Plans to Invest in Massachusetts This Year

• What to Expect From the Real Estate Market In 2021, With Real Estate Attorney and Broker, Andrew Delory

• Planning a return to the office? Boston's real estate firms never really left.

• Buyers snapping up area homes at premium prices, Foxboro-based realtors group says

Cannabis

Cresco Labs To Acquire Cultivate In $158 Million Deal

The buzz this week in Massachusetts cannabis news is Cresco Labs’ acquisition of Cultivate. The deal, valued at $90 million, plus a potential earn out of up to $68 million, puts Cresco into a Top 3 position in the race to dominate the Mass cannabis industry. 

With the acquisition of Cultivate, Cresco will receive approximately 42,000 sq. ft. of flowering canopy. The company also has plans for a 20,000 sq. ft. expansion. Cultivate also operates two dispensaries with a third under development. 

Charles Bachtell, CEO of Cresco Labs had this to say about the deal:

“At the precipice of a transformational moment in U.S. cannabis, now is the time to further our leadership in the country’s largest and most important markets. Through this acquisition, Cresco Labs will immediately vault to a top 3 share position in Massachusetts, the third $1B+ cannabis market where we’ve achieved this status.”

Bachtell told Benzinga that no outside financial advisors were used for the transaction:

"We’ve spent a lot of time developing our internal M&A and integration teams, and part of the reason is we wanted to be able to source deals and vet them ourselves so should we move forward we already have a deep understanding of the company and what it takes to integrate in to our existing model.”

Massachusetts did nearly $1B in total retail sales in 2020 with a whopping $83.4M in adult use sales for the 4 weeks ending 3/7/21. 

Cresco has a footprint in five other states as well – Arizona, Illinois, New York, Ohio and Pennsylvania. 

The Cultivate deal isn’t expected to close until the fourth quarter of 2021.

Read all about it at MJ Business Daily.

More Cannabis News

• Massachusetts Hemp Producers Left in Limbo as They Await Relief from Cannabis Market

• Massachusetts-based Curaleaf launches new ‘THC-infused beverage enhancer’

• GrowGeneration acquires Aquarius in Massachusetts' cannabis market

• Curaleaf Donates Thousands for Veteran Causes

Congress Rescues America But Work Isn't Done

The worldwide story this week is the $1.9 trillion-with-a-T federal COVID relief bill, “The American Rescue Act” — and it’s a stunning achievement for a Democratic Congress. Springfield Democrat Rep. Richard Neal who chairs the House Ways and Means Committee called the package “seismic” and “monumental.”

The bill, signed one year after Gov. Baker declared a state of emergency, marks the first time state governments have been promised any direct federal pandemic relief. Although the federal government already sent more than $61 billion in aid to Massachusetts since the pandemic began, much of that money went directly to businesses, families, non-profits, and regional transit authorities. Massachusetts’ share of the 2021 Rescue Act adds up to about 10 percent of the total state budget in new available spending.

Among other things, the new funds will help boost vaccination efforts, offer rental assistance, and restaurant relief. Massachusetts state government and municipalities can expect to receive more than $8.1 billion in aid:

• $4.513 billion for the state

• $3.415 for city, county, and other local government aid

• $174 million in capital project funding

• Americans earning less than $80,000 a year will receive payments of up to $1,400. 

• $300-per-week federal unemployment benefits are extended through early September

Child tax credits and deductions will also see a substantial increase.

In a desperate gamble, Republicans (who unanimously voted against the bill) are painting the mega-measure as a socialist’s dream that will neither help stem the tide of the pandemic nor spur economic growth. However, given the size of this package, it’s highly likely to have a major impact on the economy. And if that happens, the GOP knows they are going to have a much tougher time taking back the reins in Congress come November 2022.

Regardless of the total lack of Republican support, Washington Democrats aren’t stopping. Next on their plate is a gargantuan infrastructure bill. We’ll keep you posted on that.

NBC Boston and CBS Local both have reports explaining how the funds will be used in Mass.

Meanwhile, in other news... 

Politics

Gov. Baker’s Approval Rating Takes a Nosedive

Last week we told you how, despite the economic turmoil and somewhat botched vaccine rollout in Mass. Gov. Charlie Baker’s approval rating stood head and shoulders above other U.S. Governors. 

Well, according to the governor, among the 25 states that have more than 5 million residents, Mass. is number one per-capita for both the first dose and total doses administered. “We’ve first-dosed 74 percent of our individuals that are over the age of 75, and almost half of those over the age of 65 have received at least one dose as well,” he claimed. 

So now that things are improving, wouldn’t you know it, Baker’s approval is falling. Approval of Baker’s handling of the crisis dropped noticeably from mid-January to March, according to a recent survey.

Boston.com reports:

According to a survey released Friday by researchers at Northeastern, Harvard, Rutgers, and Northwestern universities, Baker has seen a gradual decline in residents’ perceptions of his handling of the COVID-19 response — from a “remarkably high” 80 percent approval last April to 59 percent as of March 1.

Northeastern University professor David Lazer believes the vaccine rollout glitches — which got a ton of bad media coverage — are the main cause of the drop in approval. “I think he’s taken a hit as a result,” Lazer told The Boston Globe.

Meanwhile, the state unveiled a new COVID vaccine pre-registration website Friday which is expected to be operational in the very near future.

Oh. And the climate bill has passed the Senate. Again. As has the extension of mail-in voting through June.

More Politics

• House Democrats draw the line: No bipartisan cooperation with Republicans who questioned the election

Business

Phase 4 Reopening

Assuming all goes well, Massachusetts is expected to move onto the fourth and final phase of reopening next week. Under Phase 4, indoor and outdoor stadiums, arenas, ballparks, and convention halls will be permitted to operate at 12% capacity. However, in order to do so, each venue must submit their plan to the DOH.

Not everyone is pleased with the plan. Some public health experts are afraid moving too quickly is a gamble. And the city of Boston has not committed to moving into Phase 4 on March 22.

Last month, before moving into Phase 3, Mayor Marty Walsh had this to say:

"Since the beginning of the COVID-19 pandemic, Boston has taken a cautious approach to reopening. We've prioritized the health and safety of our residents, and we've made decisions based on the latest public health data and metrics. We've only moved forward when it's safe."

Nonetheless, TD Garden and Fenway Park have all notified fans they will be opening their gates soon, as did Gillette Stadium.

For more details check out this piece by NBC Boston.

Also welcome news for Mass. businesses affected by emergency measures, the House passed a bill to waive taxes on PPP loans. 

The Herald has more on that story. 

More Business

• What business owners should know about the Massachusetts COVID relief bill that offers help to PPP recipients - masslive.com

• Massachusetts jobless rate inches down in January; labor force participation unchanged - masslive.com

• Mass. sports betting bill should be ‘national model,’ Senate President Spilka says

• MGM Springfield generated more than $16M in gaming revenue in February

• Massachusetts jobless rate inches down in January; labor force participation unchanged - masslive.com

• These businesses violated Massachusetts COVID-19 rules. Then the state gave them $1.4 million

• These Massachusetts Businesses Pivoted to Survive the Pandemic

• Mass. Franchise Law Reform tested: Jack's Abby seeks termination, distributor says it's 'unconstitutional'

Energy

Climate Bill Volleyed Back to the House

The Mass. Senate has passed a revised climate policy bill on to the House including the vast majority of Gov. Baker’s wish list. However, risking another veto, the bill does not address Baker's most meaningful proposals such as the requirement that emissions in 2030 be at least 50% lower than 1990 levels. 

About the bill, Sen. Michael Barrett of Lexington said: 

"Global warming is generating large-scale spectacles — fire in California, floods in the Midwest, freezing infrastructure in Texas — but this particular legislation is not about mega-events. It's about dealing with our business, our everyday climate business right here at home. If you compare Massachusetts and its admissions with emissions across the world or even across the United States, it's the differences that pop out in you… Transportation are 42% of the Massachusetts problem compared to 29% in the U.S. Buildings are 27% of our issue, compared to about 12% in the U.S. ... It's pretty clear why we put a special emphasis on lower emissions in this bill from transportation and buildings."

The overarching theme of the bill as we all know is to achieve net-zero carbon emissions in the state by 2050. 

Sen. Ryan Fattman, a Sutton Republican, cast the lone vote of dissent.

Read more about the climate bill at WBUR.

More Energy News

• Bill would mandate rooftop solar on new homes and commercial buildings

• What experts say about frozen turbines, wind energy in MA after Texas

• Mass. starts round three of bidding for offshore wind energy contracts

• Biden looks to boost offshore wind energy with Mass. project as a model

• The Solar Massachusetts Renewable Target program works. Here’s why

• Solar farm spanning across 200 acres proposed for Western Massachusetts community

• Customers of Starion Energy will receive refunds as part of $10-million settlement

• A Triple-Decker For The 21st Century: Airtight And Solar-Powered

• Tom Steyer on clean energy: It’s where the big money is going

Transportation

MBTA Cuts Services Despite $2 Billion in Federal Aid

Facing potential budget deficits of as much as $400 million, and despite an estimated $1.1 billion in federal aid and another $850 million coming down the pike — so to speak — MBTA service cuts took effect this weekend. 

Under the new schedules, bus routes with high ridership serving “transit-critical communities” will not change. However, many other bus roots will be curtailed. Also service frequency is being reduced by 20% on the Red, Orange and Green Lines, and by up to 5% on the Blue Line.

Julia Wallerce, Boston program manager at the Institute for Transportation and Development Policy, called the cuts “deeply disappointing and concerning.” She said:

“The particularly disturbing part is that it will have received about $2 billion in federal aid. To be fair, the T does need every dollar it can get. As a state, we don’t fund mass transit sufficiently. But the T is using relief money intended to fund service today and putting it for service tomorrow because it doesn’t know if it’ll have enough money in the future.”

MBTA spokesman Joe Pesaturo claims that ridership on the Red, Green and Orange Lines is only seeing one quarter of the foot traffic seen before the coronavirus pandemic. Also, Blue Line ridership is less than one third what it used to be. And bus ridership is currently at about 40% that of pre-COVID levels.

In an email to WCVB, Pesaturo said:

“Through thoughtful service planning and proper management of the federal COVID relief assistance, the MBTA can keep itself on a sustainable path for the next two to three fiscal years. The MBTA will continue to carefully track ridership levels throughout the system, and if there is a need to restore service in certain areas, the T will have the ability to do that.”

More Transportation News

• Report: Transportation Improvements Needed Across State

• Road repair work slowed by labor competition

• 'Little relief' ahead for rising gas prices

• TCI Program Established to Reduce Carbon Emissions From Transportation

Real Estate

Competition Announced to Make Triple Deckers More Energy Efficient

In the face of a potential global crisis, technology competitions are all the rage. Elon Musk’s recent call for carbon sequestration tech proposals is just one example. 

Now, a competition run by the Massachusetts Clean Energy Center and funded by the Barr Foundation is being wrapped up here in Massachusetts. The idea of the contest was to spur innovative ideas to make the state’s approximately 1,700 triple-decker apartment buildings more energy efficient. 

A report by Energy News describes the iconic building: 

The multifamily houses known as triple-deckers, or sometimes “three-deckers,” have attracted attention as part of Massachusetts’ attempts to slash emissions from building sources, which are responsible for about 27% of the state’s greenhouse gases. Constructed in the late 1800s and into the 1930s, triple-deckers were designed to provide rental housing to the waves of immigrants coming into the region. Each building had three roughly identical units — one per floor — as well as a flat roof and windows on all four sides. Most also include porches or balconies on each level...

Now a classic building type in eastern Massachusetts, triple-deckers were considered a triumph of their time, packing many residents into a relatively small space, while still giving them plenty of airflow, sunlight, and privacy… Today, some 17,000 remain, though many still sport drafty windows, oil-burning heating systems, and little or no insulation.

The triple decker upgrade contest is the first phase of a multiyear effort. Planned for later this year, the next phase includes funding for demonstration projects using the concepts generated by the design competition, and the third phase would provide incentives for widespread retrofits.

The winners will receive $25,000. A people’s choice awardee and runners-up will get $15,000 each. The contest received 14 entries. 

More Real Estate

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• 'Taxachusetts' no more? To some, Massachusetts is a bargain

• Can Multifamily Projects Succeed Outside the Urban Core?

• Massachusetts' largest employers are making return-to-office plans a year after Covid hit

• Custom house sells to Steve Wynn for $49 million deed

• Cornerstone Arranges $3.43 Million for the Acquisition of an Apartment Property in Taunton

• Zillow faces antitrust suit over change to real estate listings

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• Tanimura & Antle Announces the Acquisition of Boston, Massachusetts, based Green City Growers

Cannabis

Boston-based startup Zip Run is on track to become the first adult-use marijuana delivery service in Massachusetts.

According to a report by THC Net, the company, founded in 2020, “is taking a multi-pronged approach to cannabis delivery that it believes will also enable others to cash in on the so-called ‘green rush.’”

Zip Run will initially focus on delivering cannabis from its Dorchester warehouse to customers in the Greater Boston and Western Massachusetts areas. In order to operate, the company must acquire both Marijuana Courier and Marijuana Delivery Operator licenses. These licenses are exclusively available to social equity applicants for a minimum of three years. The warehouse won’t be licensed and operational until this summer.

In a conversation with THCnet, co-founder and CEO Gabriel said Zip Run is planning to license its e-commerce platform to other social-equity-qualified cannabis entrepreneurs across the country.

Vieira says:

“Our bread and butter will be the delivery operations here in Massachusetts. But I feel like if we didn’t use our tech for the greater good, and license it out to other social equity members, we would essentially be giving up on them… Other tech platforms within the cannabis industry feel more like a directory, and I wanted to change that. We're taking a more consumer-friendly approach. We allow customers to shop by moods and give users that don’t have much experience in cannabis the ability to understand the value and the meaning of what cannabis can bring… If we market ourselves the right way, get ourselves in with the right crowd, and build a strong presence in Massachusetts, that will propel us to the next level and allow us to secure partnerships in other states.”

In order to help launch the business, Viera and partners raised $365,000 from friends and family, and are currently seeking licenses in Boston.

More Cannabis News

• Bill would authorize legal cannabis lounges in Massachusetts

• Massachusetts cannabis industry mostly white as diversity plans draw scrutiny - Boston Business Journal

• Kosher cannabis is on the menu at 253 Farmacy in Turners Falls - masslive.com

• Want to enter the cannabis industry? This dispensary plans to offer a roadmap in educational seminar

• Locally owned cannabis seltzer company opens for business

• Cape Cod, Nantucket pot: 4 new marijuana businesses get state approval

• Framingham Cannabis Ice Cream Business Gets Final OK

• Turning Leaf Centers dispensary will open on Monday

• Hero Technologies Retains Top Cannabis Law Firm for Strategic Initiatives in Massachusetts

Fighting On

We have two thrilling bouts on the fight card this week — voting rights and carbon taxes  — both highly partisan topics. Democrats want to extend mail-in voting. Republicans, not so much. Democrats love the idea of carbon taxes (except maybe for POTUS). And most Republicans could do without them. 

However, both parties are in agreement on the need to address one small problem facing 13,000 small businesses that have received pandemic relief grants — actually, it’s a $175 million problem. More on that below.

In other exciting news, five Massachusetts communities are among Expertise.com’s list of the top ten safest communities in the U.S. And the legal cannabis industry continues to eat into black-market marijuana sales and bring MJ states badly needed tax revenues.  

And, as usual, we have a plethora of curated news links related to politics, business, energy, transportation, and real estate. There’s something here for everyone. 

Let us begin.

Politics

Mass. GOP Puts Brakes on Voting Bill

Republican lawmakers are on a tare to roll back voting rights. Considering the Republican party has lost the popular vote for seven out of the past eight presidential elections, who can blame them for pushing back at initiatives that make it easier for folks to vote?

Case in point: Vote-by-mail provisions originally put into place to slow the spread of Covid-19 are slated to expire at the end of March. Democrats would like to extend the measure through June 30. House Democrats had the bill in the fast lane when they were pulled over by four Republicans — Sen. Ryan Fattman and Reps. Marc Lombardo, Shawn Dooley, and Nicholas Boldyga — who charged that the extension of voting-by-mail needs to slow down a bit.

In a letter to House Speaker Ronald Mariano, the four GOP Senators requested that the body hear testimony from the public and receive data from officials such as the secretary of state before rushing to conclusions. Senate Ways and Means Chairman Michael Rodrigues agreed to give until Monday morning before the gavel to hear testimony

Fattman had this to say about the maneuver:

“Our concern was that it seemed to be moving a little bit quickly without really knowing what we were trying to achieve. I think most people say, OK, if a municipality needs to move their election because they’re concerned, we respect that. But there’s a lot of towns that I represent, and many across the commonwealth, that are fearful that they may have to pay for a lot of this.”

Then, brilliantly, Rodrigues raised the stakes. He implied that Dems want to make the measures permanent with this comment:

“[Sen. Fattman] raises some good points about long-term considerations on whether or not we should make these election vote-by-mail or early voting opportunities available long-term, post-pandemic. And we will have full, open debate and discussion on those issues.”

Then the Republican Party tried to reposition the affront by framing the move as “standing up for the voters.“  The statement called House Minority Leader Brad Jones, a co-sponsor of the bill, “complicit with House Democrats in the scheme to shield the proposal from the public.”

By the time you read this, there will almost certainly be more news on the issue. 

Here’s the report from MassLive.com.

More Politics

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• With A Focus On Inequality, Democrat Ben Downing Starts His Campaign For Governor

• Mitt Romney got a black eye in Boston this weekend

• No plans to raise taxes in Massachusetts this year, Senate President Karen Spilka says

• VIDEO: How a Biden Presidency Might Change Massachusetts

Business

Small Businesses May Be On the Hook For $175 Million Tax Bill

Another $39.7 million in COVID relief grants has been doled to 1,026 Mass. businesses. The much-welcomed allowances are coming out of a $668 million business relief fund set up in December, plus a $50.8 million fund announced in October. This brings the grand total so far after nine months to over $602 million awarded to 13,346 businesses.

The grants are being handed out by Massachusetts Growth Capital Corporation (MGCC). This is the ninth round of COVID relief grants offered by MGCC.

• Grants went to 280 restaurants, bars, caterers, or food trucks.

• 207 personal services businesses received funds.

• 153 independent retailers benefited.

• 295 minority-owned businesses got grants.

• 406 women-owned businesses did as well.

• 295 recipients are located in Gateway Cities.

• 329 businesses had not received any prior aid. 

Ironically, unless something is done to change it, tens of thousands of struggling Massachusetts small businesses will be on the hook for millions in taxes on various state and federal grants. In total, Mass. small businesses received  $14 billion in federal Paycheck Protection Program loans in 2020 putting the potential tax bill at about $175 million.

Fortunately, however, there is hope as these revenues were not included in Gov. Baker’s 2021 budget. And according to Administration and Finance Secretary Michael Heffernan, the Baker administration hopes to waive taxes on all state and certain federal relief grants.

Some states have already waived taxes on relief monies. 

MassLive.com has more on this story. 

More Business

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• Small Business Owners Across Mass. Express Frustrations Securing PPP Loans

• Sports betting bills pile up on Beacon Hill: What would legalization look like in Mass?

• https://businesswest.com/blog/business-confidence-rises-again-in-february/

• As Massachusetts prepares for final phase of reopening, businesses warn recovery 'is not going to be flicking a switch'

• Massachusetts ranks first in hourly earnings growth among small business, report says

• Securing COVID-19 Insurance for Massachusetts Small Businesses

• Egg industry warns of shortage in Mass. without legislative action

Energy

Lawmakers Propose Carbon Tax On Transportation and Heating Fuels

A proposal to charge a carbon tax on transportation and heating fuel is in the House. Revenues resulting from the Green Future Act (HD 1972) would help fund local climate projects as well help the state achieve its goal of net-zero emissions by 2050. 

Advocates of the plan say would bring in more than half a billion dollars in annual revenue to be split between lower-income households, displaced fossil fuel workers, and cities and towns for projects that would reduce carbon emissions.

Carbon taxes are not a new idea in Mass. The state already participates in the Regional Greenhouse Gas Initiative, which requires power plants to pay for the carbon they produce. And proposals for carbon taxes on fuels have been tabled in the past — although they’ve been short on details. 

However, the new proposal goes into greater detail on how the program would be administered.

The bill’s sponsor, state Rep. William Driscoll Jr. explains that “[The bill is] pretty comprehensive in terms of not only trying to drive the policy change but also putting a revenue source behind it. It helps to lay out the path forward to how we’re going to decarbonize.”

Energy News has a comprehensive report on this story.

More Energy News

• Bills Would Require Rooftop Solar on Mass. Buildings — ecoRI News

• Massachusetts Good Neighbor Energy Fund experiencing increase in application

• In Massachusetts, utility's community solar plan leaves developers skeptical

• Stem Inc solar-storage project on Massachusetts landfill site will play into New England ISO markets

• MIT Spinoff To Build Commercial Fusion Energy Campus In Devens

• WHITE HOUSE: Biden's new climate adviser: 'We're all dealing with plan B'

• Electric supplier, Starion Energy, Inc., agrees to $10M settlement with Mass. AG’s office

Transportation

MassDOT has awarded more than $2.8 million in grants under the Shared Winter Streets and Spaces program which provides technical and funding assistance to help Massachusetts cities and towns “conceive, design and implement tactical changes to curbs, streets and parking areas in support of public health, safe mobility and renewed commerce, with a special focus on the challenges of winter,” writes Mass Transit Mag. 

The report continues:

“The Shared Winter Streets and Spaces program provides grants as small as $5,000 and as large as $500,000 for municipalities to quickly launch changes for safer walking, biking, public transit, recreation, commerce and civic activities. These improvements can be intentionally temporary or can be pilots of potentially permanent changes. MassDOT says it is particularly focused on projects that respond to the current public health crisis and provide safe mobility for children, for elders, to public transportation and to open space and parks...

A total of 17 municipalities and two public transit authorities have received funding for 19 projects. The article in Mass Transit spells out exactly how each of the municipalities plans to use the funds. 

More Transportation News

• Changes coming to MBTA subway, bus schedules this month

• MassDOT, other city and state agencies announce Kosciuszko Circle/Morrissey Boulevard planning study to improve mobility and climate resiliency

• Route 1 And 1A Transportation Survey Launch In Town Of Sharon

• Neponset Valley Transportation Survey Available

• Regional plan to cut emissions from road vehicles on track

Real Estate

Commonwealth Boasts 5 of Top 10 Safest Communities Nationwide

Expertise.com has listed five Mass. communities in its list of the Top 10 safest cities and towns in America. According to Boston Real Estate Times, each city was evaluated based on the number of violent crimes, other crimes to persons, and other crimes to property per 1,000 residents. 

Top 10 Safest Cities and Towns in America

1. Wayland, MA

2. Frederick, CO

3. Weston, CT

4. Clinton, MA

5. Sagamore Hills, OH

6. Newtown, CT

7. Madison, CT

8. Franklin, MA

9. Medway, MA

10. Hopkinton, MA

Researchers at Expertise.com used data from the FBI’s 2019 National Incident-Based Reporting System to come up with the ranking. 

Read all about it.

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Cannabis

The Cannabiz Is Booming

Some of the fastest-growing industries of modern times — desktop computers, the internet, cell phones, etc. — all had to start from zero customers and weave their way into society. Today, of course, those industries are ubiquitous and have seen phenomenal growth. But it took decades. 

Cannabis presents a totally different situation. Both the supply and demand were there before marijuana was legalized in 36 states in the form of a massive illicit market. Now, just a few years into the Green Rush, a good chunk of that revenue stream is being rerouted through the U.S. economy. And according to industry market analysts BDSA, U.S. cannabis markets are booming. 

Here are some facts and figures to back that up:

• Nationwide, marijuana sales passed the $17.5 billion mark, a 46% increase from 2019.

• Before 2020 was over we had 14 adult-use states and 36 offering medical marijuana. Massachusetts, of course, offers both.

• California’s cannabis market grew 28.6% from a year ago.

• Colorado grew 35.5%.

• Oregon grew 48.2%, respectively.

• Florida has surpassed 500K MMJ patients up 55% from a year ago and saw a $473 million increase

• Illinois rose by $784 million to cross the $1 billion marker.

• About 30% of consumers said they shop for cannabis products more often.

• 25% say their cannabis usage has increased since before the pandemic.

• Cannabis deliveries increased 25%.

“We think one of the biggest drivers of legal cannabis market growth is the shift from the illicit market,” writes New Cannabis Ventures publisher Alan Brochstein: 

“The pandemic proved to be very helpful on this front, as states which had previously not permitted delivery or curbside pickup did so, and this changed the market in a big way. Consumers can now order cannabis online the same way they order other goods, something the illicit market can’t match. The very solid growth in mature Western states, especially for flower, is a sign that the legal market is continuing to convert illicit market consumers.”

There’s still room to grow. Illicit cannabis sales are still estimated to be over $100 billion. By 2026, the U.S. legal cannabis market is expected to reach $41 billion, or about the same size as the craft beer industry.

There are three reasons this is exciting news. For one, as we mentioned, all that money that was going to criminals is now flowing through the U.S. economy. For another, U.S. MJ states are raking in badly needed tax revenue. And finally, states that have legalized and decriminalized marijuana are saving vast sums of money and human resources on law enforcement — resources that can now be redirected into more pressing matters. 

Forbes has more on BDSA’s report and the growth of the U.S. cannabis industry. 

More Cannabis News

• The Massachusetts Cannabis Industry Is A Billion Dollar Marketplace

• Hero Technologies Forms Subsidiary for Massachusetts Acquisitions; Total Massachusetts Cannabis Sales Surpassed $1 Billion in 2020-Market Growing Fast

• Massachusetts Community College Offers Cannabis Training

• Curaleaf Hanover and Frank's Friends Partner to Offer Cannabis Discounts to HIV/AIDS Patients

• Marijuana union organizing surging amid pandemic, uptick in labor peace requirements

• Marijuana Microbe Test in Massachusetts Is Unnecessary and Counterproductive

• TILT Holdings Inc. Receives Approval for Additional Cultivation Expansion at its Massachusetts Cultivation and Manufacturing Facility