Legislature Passes Balanced FY15 Budget
Focuses
on Reforms and Enhancing Support for Commonwealth’s Most Vulnerable Citizens
BOSTON – The Massachusetts
Legislature today enacted a $36.5 billion state budget for Fiscal Year 2015
(FY15) focused on economic growth and increased government accountability and
oversight.
The spending plan makes
important investments in local aid, education, and human services including
substance abuse treatment and prevention and mental health care. Building on a responsible
yet proactive approach to combatting the recession, the Legislature’s budget
contains multiple measures to achieve sustainable economic growth and provide
essential services that support the Commonwealth’s citizens.
“This budget
reflects and extends the fiscally-prudent, targeted and inventive initiatives
that have led to Massachusetts’ recent economic growth,” said House Speaker Robert A. DeLeo (D –
Winthrop). “The Legislature continues to invest in key areas like education
and local aid that strengthen towns and businesses and benefit residents. We
propose strong measures to care for the state’s most vulnerable residents,
including increased resources for DCF and funding to improve mental health and
substance abuse programs. I thank Senate President Murray, the conferees and my
colleagues in the Legislature for their thoughtful work.”
“I am proud of
Chairman Brewer and the entire Legislature for all the hard work and
collaboration that went into this budget process,” Senate President Therese Murray (D-Plymouth) said. “While we took
care to remain cautious in our spending, we were still able to significantly
increase support for some of our most critical services and programs – both on
the state and local levels. The result is a comprehensive and
fiscally-responsible final budget for the 2015 fiscal year that reflects the
many and varied priorities of the Commonwealth.”
“Our FY15 budget
agreement strikes a careful balance between making vital investments in our
Commonwealth and continuing our practice of fiscal responsibility, which has
served us well through challenging financial times,” said Representative Brian S. Dempsey (D-Haverhill), House Chair of the Joint
Committee on Ways & Means. “This year, we support and strengthen the
services that are most vital to our fellow residents – services like child
welfare, higher education, and substance abuse treatment – while ensuring that
the implementation of those services is efficient and comprehensive.
Accomplishing this task required judicious spending based on sustained
principles as we continue to prioritize the well-being of citizens across the
Commonwealth.”
“This is a
conscientious budget that promotes long-term investments and provides critical
services throughout the Commonwealth,” said Senator Brewer (D-Barre), Chairman of the Senate Committee on Ways and
Means. “As Massachusetts continues to improve from the Great Recession, we
continue to invest in needed services, such as local aid, substance abuse
relief programs, and mental health funding, all while maintaining the highest
bond rating in state history.”
“This budget’s strong focus
on local aid, particularly the significant investment in Chapter 70 school
funding, positions the Commonwealth for sustainable growth,” said Representative Stephen Kulik (D-Worthington),
House Vice-Chair of the Joint Committee on Ways & Means. “Additionally,
the full funding of the Special Education Circuit Breaker, and the major
increase in funding for Regional School Transportation to a 90 percent
reimbursement rate, will allow our schools to continue to improve as
Massachusetts distinguishes itself as a national educational and economic
leader.”
“I applaud Chairman Brewer on
a fiscally responsible and sustainable budget which invests in every corner of
the Commonwealth,” said Senator Jennifer
L. Flanagan (D-Leominster), Vice Chair of the Senate Committee on Ways and
Means. “This budget is a commitment to the prevention and treatment of
substance abuse addictions, to the safety of children throughout the
commonwealth, and to the protection of the state’s most vulnerable populations.
Strong investments in our communities, education of our children, and the
health of our economy will assist and support residents throughout
Massachusetts.”
This budget enhances the
Commonwealth’s partnerships with cities and towns through numerous funding
streams including $945.8 million to Unrestricted General Government Aid (UGGA),
a $25.5 million increase from FY14 and $4.4 billion for Chapter 70, a record
funding level. The spending plan provides $257.5 million for the Special
Education Circuit Break, ensuring full funding for the third consecutive year
and $70.3 million for Regional School Transportation to reimburse municipalities
at 90 percent, marking the highest rate in the program’s history.
In addition to educational
investments through local aid, this year’s budget extends Massachusetts ongoing
commitment to strengthening its educational systems to foster equality and
provide residents with a competitive edge. The budget allocates $15 million to
expand access to early education and funds a grant program at $9.1 million to
support Early Head Start and Head Start programs. The budget also prioritizes
higher education through investments in state universities, community colleges
and the University of Massachusetts and includes $519 million for UMass which will
enable a freeze in tuition and fees for the second year. In addition, the
budget dedicates money to implement the STEM Starter Academy, an initiative
created in the FY14 budget aimed at strengthening and expanding STEM programming
in community colleges.
This year’s budget emphasizes
the importance of enhanced fiscal predictability and sustainable investments, a
practice that has raised Massachusetts bond rating to AA+, the highest in the
state’s history. In an extension of this fiscal prudence, the spending plan
makes the lowest draw from the Stabilization Fund in four years and contributes
about $1.79 billion to Massachusetts’ unfunded pension liability to accelerate
the timetable for full funding. Additional economic development measures
include:
· Codifies the Massachusetts Science,
Technology, Engineering and Math Advisory Council;
· Travel
and tourism is one of the state’s largest industries, generating almost
$17 billion in travel related expenditures and supporting 124,700
in-state jobs. The budget allocates $18 million for the Massachusetts Office of
Travel and Tourism and$7.5 million in regional tourism funding to promote
statewide initiatives and increased international travel;
· Supports the Massachusetts Cultural
Council with $12 million in funding;
· Provides $18.8 million for local
libraries, representing an increase of $2.4 million from the previous fiscal
year;
· Establishes a process for all
in-state and out-of-state direct shippers to receive a direct wine shipper’s
license from the Alcoholic Beverages Control Commission (ABCC) and allows for
the collection of state taxes; and,
· Provides
$2 million for the Massachusetts Manufacturing Extension Partnership that will
benefit programs designed to assist small and mid-sized manufacturers.
To heighten accountability and streamline
operations, the budget establishes the Massachusetts Office of Information
Technology (MOIT) to be administered by a Chief Information Officer (CIO) for
the Commonwealth. The CIO will be responsible for supervising all IT services
of state agencies and will review any proposed IT expenditure costing more than
$200,000. The Massachusetts Health Connector Authority will be considered a
state agency for the purposes of MOIT oversight.
This budget reflects the
Legislature’s pledge to combat the alarming rise in mental health problems and
substance addiction. It allocates almost $18 million in new spending to help
combat substance addiction including $10 million for the Substance Abuse
Services Trust Fund to provide substance abuse services to an additional 10,000
individuals in need of treatment. The spending plan also includes the following
investments in substance abuse services and treatment:
· Creates
a multi-year grant program at $5 million to fund mental health and substance abuse
counselors within schools;
· Increases
funding for specialty courts, including drug courts, to $3 million;
· Places
addiction specialists in the Brockton, Plymouth and Quincy courts;
· Funds
training and purchase of Nasal Narcan™;
· Creates
a voluntary accreditation program for sober homes; and,
· Provides
additional funding for the Prescription Monitoring Program to prevent the
over-prescription of medications.
To improve quality of care
for people suffering from mental illness, the budget provides $10 million for
the expansion of community-based placements for at least 100 discharge-ready
patients in the Department of Mental Health system, while maintaining sheltered
workshops for those individuals who wish to remain in a residential setting. It
also creates a Behavioral and Mental Health Special task Force to identify
impediments to the delivery of comprehensive treatment.
The budget includes numerous
additional health and human services provisions including $60 million in
MassHealth investments and:
· $47.5
million for nursing homes to reduce the gap between Medicaid payments and
uncompensated care;
· $35
million for Disproportionate Share Hospitals;
· $3
million in funds for employments programs for clients of the Department of
Developmental Services;
· Requires
the implementation of a hearing process for long-term facilities before there
is any intent to close;
· Creates
a legislative and executive working group to examine and make recommendations
concerning Bridgewater State Hospital; and,
· Maintains
45 beds at Taunton State Hospital and funds the opening of two additional wings
at Worcester Recovery Center and Hospital.
Building on the continued
leadership in reforming and strengthening the Department of Children and
Families (DCF), the budget provides $185.6 million to reduce social worker
caseloads. It also includes initiatives to improve communications, IT and
record keeping practices, and ensure initial medical screenings of all children
entering DCF care within 72 hours. Background checks will now be required for
all current and future foster parents. Individuals will be precluded from
becoming foster parents if convicted of serious crimes, including those
involving violence or sexual in nature.
The budget also:
· Provides $65 million for the
Massachusetts Rental Voucher Program and permits for unexpended FY14 funds to
carry forward, allowing hundreds of new families to access safe and permanent
housing;
· Expands the Veterans Motor Vehicle
Excise Exemption to include leased cars;
· Places a moratorium on the issuance
of a Chapter 91 tidelands license permitting the development of rail lines or
rail facilities for the transportation of ethanol to storage or blending
facilities in the cities of Cambridge, Chelsea, Revere, Everett, Somerville and
East Boston until January 1, 2017;
· Establishes
a permanent commission on the future of metropolitan area beaches;
· Establishes a memorial to honor
Massachusetts Iraq and Afghanistan Fallen Heroes; and,
· Reestablishes
the Water Supply Protection Program to promote the safety and purity of the
Commonwealth’s water supplies and the protection of watershed lands.
