Massachusetts Legislature Invests $1.39 Billion into Public Transportation and Education
MBTA, Regional Transit, Local Aid, Vocational Education Investments from Fair Share Surtax
(BOSTON—6/18/2025) Today, the Massachusetts Legislature approved $1.39 billion in new investments in public transportation and public education across the Commonwealth. The supplemental budget—funded by surplus revenue from the Fair Share surtax on incomes over $1 million, allocates $716 million for transportation and $593.5 million for education at every level.
To allocate the surplus, this supplemental budget makes significant investments in the MBTA, Regional Transit Authorities (RTAs), water transportation, roads, and bridges—with the goal of advancing affordable, safe, and reliable transit for all residents. It also provides critical support for public colleges and universities, expands vocational education programs, and strengthens services for students with disabilities.
“Ensuring that every Massachusetts resident has access to a safe and reliable public transportation system, and that every student in the Commonwealth receives a high-quality education, are two of the most fundamental responsibilities that we have as elected officials. The investments being made in this supplemental budget are representative of the Legislature’s continued focus on meeting those responsibilities,” said House Speaker Ronald J. Mariano (D-Quincy). “I want to thank Chairman Michlewitz and my colleagues in the House, as well as our partners in the Senate, for working diligently to get this vital funding to the Governor’s desk for her signature. The House looks forward to building on these investments, and to continuing to deliver improvements to the Commonwealth's most fundamental institutions and services."
“No matter where you live in Massachusetts, you deserve reliable transportation and an education that opens doors of opportunities,” said Senate President Karen E. Spilka (D-Ashland). “This funding moves us closer to a Commonwealth where everyone has access to both. At a time when the federal government’s commitment to safe transit and strong public education is in doubt, this legislation invests directly in local communities, our school systems, and infrastructure projects that keep Massachusetts moving forward. I’m grateful to Chair Rodrigues, Vice Chair Comerford, Senator O’Connor, our Senate colleagues, and our partners in the House for advancing this critical legislation. I look forward to seeing the impact of these investments in communities across the state.”
“The use of these one-time surplus of funds are a unique opportunity for us to better strength the Commonwealth in numerous ways. By further improving our educational and transportation sectors we will build off the work we have done in the last several budget cycles with a judicious use of the Fair Share funds,” said Representative Aaron Michlewitz (D-Boston), Chair of the House Committee on Ways & Means. “I want to thank Speaker Mariano and all our House colleagues for their input and support on this critical funding legislation. I also want to thank my Senate counterpart Senator Rodrigues for his partnership in working towards a timely resolution towards this critical piece of legislation.”
“I’m pleased the Fair Share supplemental budget reached by the House and Senate supports key public education initiatives, while also greatly strengthening our transportation infrastructure. Smartly utilizing almost $1.4 billion in one-time surplus surtax revenues, the proposal strengthens the Commonwealth’s economic foundation, prioritizing regional equity and maintaining fiscal discipline during these highly uncertain times,” said Senator Michael J. Rodrigues (D-Westport), Chair of the Senate Committee on Ways and Means. “This budget plan reaffirms the Legislature’s strong commitment to educational excellence, provides significant resources for special education, and makes substantial investments in the MBTA and Regional Transit Authorities. It goes above and beyond to ensure that everyone gets a ‘fair share’.’”
The supplemental budget passed today is a compromise between the House and Senate versions of the bill. It utilizes above estimated revenues generated from the Fair Share ballot initiative approved by voters in November 2022, which established a new surtax of four percent on annual income above $1 million to improve the state’s education and transportation sectors. It also utilizes one-time revenues from the Student Opportunity Act Investment Fund and the Transitional Escrow Fund.
“Targeted investments in public transit, transportation infrastructure, early education, and special education relief through the circuit breakr program reflect the Commonwealth’s commitment to opportunity and supporting every resident’s potential,” saidRepresentative Ann-Margaret Ferrante (D-Gloucester), Vice Chair of the House Committee on Ways and Means. “These are the kinds of forward-looking policy decisions that help make Massachusetts a great place to live, work, and raise a family.”
“In a time of national turbulence and damaging federal cuts, the conference committee has delivered a meaningful compromise that honors the will of Massachusetts voters and invests Fair Share funds equitably across Massachusetts,” said Senator Jo Comerford (D-Northampton), Vice Chair of Senate Ways and Means. “This supplemental budget reflects a Senate commitment to regional equity—providing meaningful support for K-12 schools grappling with strained budgets, addressing long-overdue maintenance on public higher education campuses, and delivering much-needed transportation solutions for communities across the Commonwealth.”
“I believe we reached a fair and reasonable compromise on the Fair Share bill,” saidRepresentative Todd M. Smola (R-Warren), Ranking Minority member of the House Committee on Ways and Means. “Our cities and towns asked for a bigger investment in transportation and education dollars. The adoption of this proposal works toward those goals by providing additional support for infrastructure like roads and bridges as well as strengthening our Regional Transit Authorities. It also reinforces our long-standing commitment to education with greater resources going to special education, career technical education, early education and literacy."
“As a member of the joint conference committee, I’m proud to have played a significant role in the process that reflects the values and priorities of communities, such as those on the South Shore that I represent,” said Senator Patrick M. O’Connor (R-Weymouth), Ranking Minority member of the Senate Committee on Ways and Means. “This legislation directs historic and groundbreaking Fair Share investments toward career and technical education, local infrastructure, and regional transportation, which directly benefits our schools, our roads, and our economy. These are the type of investments made by the state that keep our residents and infrastructure flourishing. Those not just living on the South Shore, but across the Commonwealth, have long called for smart, equitable investments, and this package delivers.”
Key Transportation Investments
MBTA Upgrades. $535 million for improvements and infrastructure upgrades across the MBTA system, including:
- $300 million to support the MBTA budget reserve.
- $175 million in workforce and safety funding to implement improvements recommended by the Federal Transit Administration.
- $40 million for MBTA physical infrastructure upgrades.
- $20 million for the MBTA’s low-income fare relief program.
Aid For Cities and Towns. $103 million for regionally equitable, shovel-ready transportation improvements, including:
- $80 million for supplemental Chapter 90 aid to ensure every city and town receives funding to maintain local roads and bridges, including $40 million to help support small and rural communities by distributing funds based solely on road mileage.
- $16.4 million for municipally owned small bridges and culverts.
- $7 million for the improvement and maintenance of unpaved roads.
Regional Equity in Transportation. $73 million for regional transit initiatives, specifically:
- $25 million for capital improvements to equipment and facilities at Regional Transit Authorities, which serve and connect all regions of the Commonwealth.
- $25 million for efforts to improve workforce recruitment and retention at the Regional Transit Authorities.
- $13 million for public ferry infrastructure improvements.
- $10 million for on-demand micro-transit shuttles and Last Mile grants fostering an innovative multimodal transit system.
World Cup Preparations: $5 million for transportation improvements associated with the upcoming 2026 FIFA World Cup.
Key Education Investments
Special Education. $248 million for special education costs, including Circuit Breaker reimbursements to local school districts.
Public Higher Education Deferred Maintenance. $115 million for public higher education infrastructure investments, including $10 million for lab modernization capital improvements and upgrades at community colleges, helping ensure community colleges have the needed resources to provide a first-class education to the surge of students signing up after passage of MassEducate, which provides free community college to Massachusetts residents.
Career Technical Education Capital Grants. $100 million to expand capacity and accommodate additional career technical education school opportunities, including $15 million for a pilot program to support career and vocational technical annex buildings on comprehensive high school campuses.
EEC Workforce, Affordability, and Quality Improvement. $45 million for initiatives to support workforce development, affordability and quality improvements in the early education and care sector, including $20 million for rate increases to support early education providers.
Literacy Growth. $25 million for high dosage tutoring to support accelerated literacy growth and success for students in kindergarten through grade 3.
Endowment Match. $20 million for the endowment incentive match program to leverage public funds to encourage private fundraising by the state’s public higher education institutions to support accessible and affordable education programming, including $10 million for a Department of Higher Education (DHE) endowment incentive match and $10 million for the University of Massachusetts endowment incentive program.
English Language Learning Programs. $10 million for educational grants to help speakers of languages other than English to learn English—and subsequently aid in filling in-demand jobs—by reducing the waitlist for services.
Holocaust Museum Boston. $10 million to support the Holocaust Museum Boston.
Green SchoolWorks. $10 million for grants to eligible local school districts for clean energy infrastructure improvements and upgrades.
Regional School Transportation. $8.1 million to support regional school transportation costs.
Tomorrow's Teachers Scholarship and Loan Forgiveness. $2.475 million for scholarships and loan forgiveness initiatives to encourage qualified high school and currently-enrolled college students to seek teaching in the Massachusetts public school system as a career pathway.
Having passed the House of Representatives and the Senate, the bill now goes to the Governor for her signature.
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