December 11, 2024
After a controversial property tax bill from Boston hit a dead end this week following months of back and forth between Beacon Hill and City Hall, Boston Mayor Michelle Wu said Wednesday that the "intensive process" of working with state lawmakers to get the local policy approved only to be shot down by the Senate in the eleventh hour was "an eye-opening experience."
"We don't have time at the city level to play games," Wu said on GBH's "Boston Public Radio" on Wednesday. "I took this process -- and many, many residents, seniors, neighborhood leaders, advocates, union workers -- took this process very seriously."
Wu said senators, including South Boston Democrat Sen. Nick Collins helped to derail the bill, did not reach out to her office with concerns or try to work with her on it.
"When the senators from Boston sat at the table, the Senate president was at the table, they invited the business groups to the table, and all of the senators did not say a word about any individual changes they wanted to see. The instruction was, 'Work it out with the business groups, and we're good with that.' So we did," the mayor said, referring to a meeting her office had with senators after the home rule petition got held up in that chamber for the first time earlier this year.
Wu said she also met with Senate Republicans who she said asked "insightful questions," and her team "really tried to be as open, as early as possible" with answers.
The mayor filed the petition in the spring to temporarily shift the city's property taxes to prevent what her office believed at the time could be a major hike for homeowners in their first tax bill of 2025. They looked to shift more of the tax burden onto commercial property owners to mitigate the increases for residents.
The latest valuations show that Boston homeowners on average will still see a significant rise in their tax bills next year -- 10.5 percent on an annual basis -- though not as dramatic as a third-party researcher originally estimated last spring, when the Boston Municipal Research Bureau issued a report estimating that residents could see a 16.5 percent increase in their tax bill over the course of 2025.
The first home rule petition passed the City Council and the House of Representatives, before hitting a hurdle in the Senate in July. After city officials, senators and business groups sat down, Wu's team and business leaders hammered out a second compromise plan to take some pressure off commercial properties.
"The city had been required, as a condition of moving forward in the Senate, to come to a deal with business groups, which we did in a process of good faith negotiations that took a lot of energy and time -- down to fighting over the last half a percentage point in year one and then the last half a percentage point in year two and three," Wu said Wednesday.
When the compromise reached the Senate, Collins used a procedural maneuver to delay it three times, and pointed to Department of Revenue property tax valuation data certified last week that he said proves "the sky isn't falling" in Boston. Collins called city pleas for the plan a "campaign of fear and manipulation."
"Now we know the sky isn't falling, and the campaign of fear and manipulation that took place and continues to take place is a farce," Collins said Monday, adding that the home rule petition had been negotiated "based on false information."
Though Collins was the senator who halted the bill's progress, Wu seemed hesitant to call him out by name on the radio on Wednesday, or place the blame for her bill's failure squarely at his feet.
Belmont Democrat Sen. William Brownsberger, who represents part of Boston and is a member of Senate President Spilka's leadership team, said Monday that he would have voted against the bill, and pronounced it "dead."
"Numbers matter. Now that we fully understand that Boston taxpayers are not looking at a 33 percent tax increase, but rather a 10 percent year-over-year increase, it is clear that we should lay this proposal aside," Brownsberger said on the Senate floor.
And Spilka herself on Monday said that based on talks with senators, "I have heard clearly that there currently is not sufficient support for this proposal." She also cited valuations that are leading to a "much more modest tax increase for residents than previously presented by the City."
"This new understanding has left stakeholders and Senate members with serious concerns about the bill’s impact on the competitiveness of the state as a whole. Many in the Senate believe that this proposal tips the scales too far in one direction, with a stalled economic recovery in Boston as an unfortunate potential outcome," Spilka said.
Republican Sen. Peter Durant of Spencer also spoke during the session against the bill, warning that it could set a bad precedent for other cities and towns.
"For me, what's most heartbreaking is that the very people who will be most impacted by this are used to things like this happening, are used to being ignored and left aside and pushed to a later date, because big business interests say it's not serious enough, or there's other priorities. A lot of this is in a larger process where people who don't have any direct stake in our neighborhoods have a lot of say," Wu said.