Dems don't see eye-to-eye on lowering rental costs, MBTA bailout
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Deehan here, back with Spill of the Hill, my column unraveling Massachusetts politics.
As top lawmakers craft the state's spending plans for the next fiscal year, lines aren't being drawn between parties, but among the Democrats that lead the one-party state.
Why it matters: The true political conflict in Massachusetts is House Democrats vs. Senate Democrats.
- They rarely disagree on what to do. How to do it and how much to spend are the tricky parts.
- And there's a lot riding on which chamber's priorities win out when it comes to funding for the MBTA and how much renters have to pay to move into an apartment.
Zoom in: There's a big divide on how much funding to give to the T as it posts big wins on repairs and customer satisfaction but struggles to keep its spending under control.
- The Senate proposes $370 million for the T. That's $420 million less than what the House approved.
- The difference is because the Senate wants to split revenues from the new 4% income surtax evenly between transportation and education investments.
- The House favors pouring more into the MBTA as the agency's finances spiral.
Another issue where Democrats agree but still need to nail down the details is in eliminating real estate broker fees, the additional up-front month's rent paid at the start of a lease.
- Gov. Maura Healey and Democratic leaders generally support shifting fees from renters to landlords, but the devil is in the details.
- The Senate wants the fees to be paid by whoever hires the broker. The House laid out a plan where whoever contacts a broker first is on the hook.
- The differences between "hiring" and "contacting" could look like splitting hairs, but some housing advocates are worried renters could still get slammed by fees if they respond to a broker's listing.
The big picture: Lawmakers got a bit of breathing room Monday when April tax collections came in more than $1 billion over expectations.
Yes, but: Since most of the bonus money came from the extra 4% on incomes over $1 million, it's restricted to education or transportation spending.
- The state couldn't use it to bail out the MassHealth system if there are cuts to federal Medicaid, for instance.
What's next: The Senate will detail and pass its version of the budget this month before the main event, when leaders of the two chambers sit down to hash out a final compromise plan before their July 1 deadline.
