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Published on August 06, 2024
Massachusetts Enacts Landmark $5.1 Billion Affordable Homes Act to Tackle Housing CrisisSource: Unsplash/ Breno Assis

Massachusetts Governor Maura Healey signed the Affordable Homes Act into law today, a major move aimed at countering the state's high housing costs. The legislation, described as the most ambitious in the state's history for addressing this issue, greenlights $5.16 billion in spending over the course of five years. It includes a slew of policies and initiatives that are expected to support the creation and refurbishment of over 65,000 homes across Massachusetts. Among the policies is a key change allowing accessory dwelling units, or ADUs, under 900 square feet to be built by right on single-family lots, a uniform approach that simplifies what was formerly a mixed bag of zoning regulations.

"The Affordable Homes Act creates homes for every kind of household, at every stage of life, and unlocks the potential in our neighborhoods. Today we are taking an unprecedented step forward in building a stronger Massachusetts where everyone can afford to live," Governor Healey stated, as outlined by Mass.gov. The legislation is believed to triple the spending authorizations of the last housing bill passed in 2018. While the Healey-Driscoll Administration predicts the construction of 8,000 to 10,000 ADUs as a direct result of the law's passage over the next five years, modernization of public housing and support for first-time homebuyers are also included among the initiatives meant to strengthen housing affordability and access.

Alongside spending authorizations, which are witnessing a record $2 billion set aside for public housing improvements, the act focuses on the idea of Seasonal Communities. Places such as Cape Cod and the Berkshires, where housing needs dramatically fluctuate with seasonal employment, will be the focus of this policy, developed by the Seasonal Communities Coordinating Council established under the new law. "The passage of the Affordable Homes Act is a monumental step toward building a Massachusetts where everyone – from our talented workforce and families to our retirees – can afford to live and thrive," Secretary Ed Augustus of Housing and Livable Communities told Mass.gov.

Moreover, new guidance for responsible contracting has been announced, aiming to protect construction workers on affordable housing projects funded by the Executive Office of Housing and Livable Communities from wage theft and other labor law violations. As detailed by Mass.gov, the move further cements the Healey-Driscoll Administration's determination to hold violators accountable. In addition, a bevy of enhancements and expansions to existing programs such as the Momentum Fund, designed to propel the development of mixed-income multifamily homes, showcases the administration's comprehensive approach to addressing the housing crisis. This initiative is kickstarted with a $50 million injection, spotlighting the Affordable Homes Act's wide-ranging strategy to make Massachusetts more inclusive and economically vigorous through housing accessibility.