Jane Wallis Gumble
‘Anxious’ about bill
Programs that provide housing to the disabled and other vulnerable populations are being halted because of a stalled $508 million housing bond bill.
The bill, which includes money to maintain and repair public housing and grants for new housing creation, is being held up by House leaders who want to use it as a leveraging tool to change Chapter 40B, the state’s anti-snob zoning law.
“It’s absolutely outrageous what’s being done in the House,” said Jane Wallis Gumble, director of the state Department of Housing and Community Development.
Wallis said that DHCD has had to stop funding for several programs, including one serving people with disabilities and the public housing renovation program, because it relies on bond bill money.
“I’m very anxious to have this bond bill passed,” said Wallis.
Wallis was the keynote speaker at the Massachusetts Association of Realtors’ annual “Legislative Day on Beacon Hill” last Wednesday. About 200 Bay State Realtors attended the event, fanning out in the State House during the afternoon to talk to legislators about various issues, including the preservation of Chapter 40B.
One of several issues making a repeat appearance on MAR’s legislative agenda this year is a uniform code for Title 5 septic system regulations.
Currently, communities can pass regulations that are stricter than state guidelines without providing sufficient proof that the tougher rules are needed for environmental or health reasons, according to Realtors. Some 125 communities have passed Title 5 regulations that exceed state guidelines.
According to Realtors, the tougher Title 5 regulations are restricting new housing construction.
Worcester Realtor Donna Brooks, who attended last week’s lobbying day, said Title 5 is one of the chief concerns of Realtors in Central Massachusetts.
While it may cost an average of $6,000 to replace or install a septic system in other parts of the state, in many communities in Central Massachusetts the cost can be as high as $19,000, said Brooks, president of the North Central Massachusetts Association of Realtors.
The extra cost and stricter regulations discourage housing production and sales, she said.
Another issue that is being pursued by Bay State Realtors again this year is the repeal of a law that requires home sellers to disclose whether Urea Formaldehyde Foam Insulation, or UFFI, was ever used as an insulation material in their home. The UFFI law was enacted in 1986, after studies found that the formaldehyde vapors emitted from improperly installed insulation is harmful. UFFI sales were banned in 1980 and the insulation is no longer being used in homes. According to some public health officials, the harmful emissions in homes that contain UFFI have probably diminished with time.
“It’s an obsolete law that is no longer meaningful or necessary,” said MAR President David S. Drinkwater.
Tax Credits
This year Realtors are also trying to revive another issue regarding water usage in rental units. Realtors want state leaders to pass a law that would allow landlords to charge tenants for water use. Massachusetts is the only state in the country that forbids landlords from billing tenants, even those living in single-family homes, for water and sewer services, according to MAR.
Additionally, Realtors want lawmakers to increase and extend tax credits to property owners who remove lead-based paint from homes and upgrade or replace septic systems.
Currently, property owners can receive a $1,500 tax credit for deleading a home, but because the costs to remove or encapsulate lead-based paint have risen over the years, Realtors want the credit increased to $2,500.
Meanwhile, owners of single-family homes can get a state income tax credit to bring their septic systems up to code, but Realtors would like the tax credit to be extended to non-owner-occupied single-family homes and multifamily and commercial property owners as well.
Given that the state is facing a “fiscal crisis,” it may not be feasible for the tax credits to be increased, acknowledged Steve Ryan, director of government affairs for MAR.
Before they met with legislators, Realtors heard Thomas R. Gleason, executive director of MassHousing, talk about the first-time homebuyer programs and loans his agency has provided for more than two decades.
Last week, MassHousing unveiled a zero down payment mortgage loan program for low- and moderate-income first-time homebuyers called MassAdvantage 100.
The low-interest loan program is designed for families that earn enough for a monthly mortgage payment but haven’t saved enough for a down payment.
Under MassAdvantage 100 guidelines, a one- to two-person household living in the Boston market area earning up to $85,300 is eligible for the program.
“We think first-time homebuyers are a good risk, not a bad risk,” said Gleason of the program.
Gleason preceded DHCD’s Wallis, who focused her speech on proposed bills to spur housing production that haven’t passed, and the housing bond bill.
According to Wallis and other housing advocates, the bond bill is being held hostage while lawmakers try to get Chapter 40B changes passed.
Last summer, DHCD passed regulations to address concerns about some of the problems with Chapter 40B. Yet some state lawmakers, at the urging of local officials and residents, want even more changes to Chapter 40B because they say developers have been abusing the law and communities can’t handle the extra growth and housing construction.
Bay State Realtors want to preserve the law, which they say is an important housing production tool that can alleviate the state’s housing crunch.
