##VIDEO ID:ebJ8hh5WO6E## . WELCOME, EVERYBODY. GOOD MORNING. THANK YOU ALL SO MUCH FOR BEING HERE. THANK YOU. THANK YOU. IT'S 1111 MAKE-A-WISH WE'RE ALL HAPPY TO BE HERE THIS MORNING. I'M REALLY EXCITED TO SEE MATCHING YOUR ACTION OUT HERE. I THANK YOU SO MUCH FOR FILLING UP OUR CHAMBERS. IT'S NOT TOO OFTEN THAT WE HAVE A LOT OF FOLKS HERE IN THE GALLEY, SO THANK YOU FOR TAKING TIME OUT OF YOUR MORNING TO BE HERE AND ADVOCATE FOR THIS PROPOSAL. WE'LL GO AHEAD AND GET STARTED FOR THE END HERE AND MAKE ROUND HERE. IS THIS BETTER? YEAH. PERFECT. THANK YOU FOR LETTING ME KNOW. HEY, I'LL BRING THE MICROPHONE CLOSER TO ME FOR THE RECORD, MY NAME IS GABRIELA. COLETTE IS A PARTNER DISTRICT ONE CITY COUNCILOR AND I'M THE CHAIR OF THE BOSTON CITY COUNCIL COMMITTEE ON GOVERNMENT OPERATIONS. TODAY IS OCTOBER 29TH, 2024. THIS HEARING IS BEING RECORDED . IT IS ALSO BEING LIVESTREAMED AT BOSTON DUCK OF FORWARD SLASH CITY DASH COUNCIL DASH TV AND BROADCAST ON XFINITY CHANNEL EIGHT RCN CHANNEL 82 FIRES CHANNEL 964 AND WRITTEN COMMENTS MAY BE SENT TO THE COMMITTEE EMAIL AT SEAGO AT BOSTON DUCK OF AND WILL BE MADE A PART OF THE RECORD AND AVAILABLE TO ALL COUNCILORS. PUBLIC TESTIMONY WILL BE TAKEN AT THE BEGINNING AND THE END OF THIS HEARING. IF YOU ARE INTERESTED IN TESTIFYING PLEASE EMAIL OUR CENTRAL STAFF LIAISON MEGHAN CAVANAUGH AND BG AND DOT K AVE A AND A G H I BOSTON DOUG GO FOR THE LINK IN YOUR NAME WILL BE ADDED. I ALSO WANT TO ENCOURAGE FOLKS TO PLEASE SIGN UP AT THE SIGN UP SHEETS OVER BY THE ENTRANCE. YOU'LL BE ASKED TO COME DOWN AND YOU'LL HAVE 2 MINUTES FOR TESTIMONY. JUST STATE YOUR NAME AND YOUR AFFILIATION WHEN IT GETS TO THAT. TODAY'S HEARING IS ON DOCKET 1612 MESSAGE IN ORDER FOR YOUR APPROVAL A HOME RULE PETITION TO THE GENERAL COURTS ENTITLED PETITION FOR A SPECIAL LAW RELATED TO AN ACT RELATIVE TO PROPERTY TAX CLASSIFICATION AND THE CITY OF BOSTON. THIS MATTER WAS SPONSORED BY MAYOR MICHELLE WU AND REFERRED TO THE COMMITTEE ON OCTOBER 25TH, 2024. TODAY I AM JOINED BY MY COLLEAGUES IN ORDER OF ARRIVAL COUNCILOR FLYNN MURPHY LOUIJEUNE MARIA BRERETON AND THAT'S IT FOR NOW. EXCUSE ME AND FITZGERALD JUST MADE IT PRIVATE SO I WILL GO TO MY COLLEAGUES IN ORDER OF ARRIVAL FOR ONE MINUTE OPENING TESTIMONY. FOLLOWING THAT WE WILL GO TO PUBLIC TESTIMONY AND THEN WE'LL GO TO THE PANEL THAT IS HERE. I'LL INTRODUCE THEM NOW WE HAVE ASHLEY GRAFTON BURGER CHIEF FINANCIAL OFFICER OF THE CITY OF BOSTON, NICHOLAS ARI ANELLO WHO IS THE COMMISSIONER OF ASSESSING FOR THE CITY OF BOSTON AND MARTY WALSH, INTERIM PRESIDENT OF THE BOSTON MUNICIPAL RESEARCH BUREAU. I DO WANT TO BE CLEAR THAT WE DID SEND OUT INVITATIONS TO TAMARA SMALL WHO'S THE CEO OF NYA, JIM ROONEY WHO IS THE PRESIDENT OF THE BOSTON CHAMBER OF COMMERCE AND DOUG HAUGHEY, PRESIDENT OF THE MASSACHUSETTS TAXPAYER FOUNDATION. THEY COULD NOT MAKE IT BUT MY UNDERSTANDING IS THAT MARTY WILL READ A TESTIMONY TESTIMONY ON THEIR BEHALF. OKAY SO I WILL GO TO MY COLLEAGUES IN ORDER OF ARRIVAL. YOU HAVE ONE MINUTE FOR OPENING STATEMENTS STARTING WITH COUNCILOR FLYNN. THANK THANK YOU COUNCILOR COLLADO THANK YOU TO THE MASSENA ACTION COUNCIL AS WELL FOR BEING HERE. THIS IS AN IMPORTANT HEARING TODAY AS AN ELECTED BODY WE HAVE TO PROVIDE THE RESIDENTS WITH THE PUBLIC PROCESS ON THE ADMINISTRATION'S LATEST PROPOSAL TO RAISE THE COMMERCIAL TAX RATE BEYOND THE STATE LIMIT AS ELECTED OFFICIALS I FIRMLY BELIEVE THAT NO MATTER HOW TIGHT DEADLINES ARE WE CANNOT ADHERE TO THE VALUES OF TRANSPARENCY ONLY WHEN IT'S CONVENIENT OUR CONSTITUENTS SENT US HERE TO ENGAGE IN CONVERSATION AND THOUGHTFUL DEBATE CAREFULLY VET THE MERITS OF PARTICULAR PROPOSALS, HOLD THE EXECUTIVE BRANCH AND OURSELVES ACCOUNTABLE CONTRARY TO WHAT YOU READ IN THE IN OTHER COUNCILORS NEWSLETTERS I ALSO WANT TO BE CLEAR ABOUT WHAT MY POSITION HAS BEEN. I WROTE A LENGTHY OP ED PRIOR TO THE RECENT CITY COUNCIL HEARING SEVERAL WEEKS AGO. IN SHORT, IT DID NOT HAVE TO BE THIS MESSY AND PENDING RESIDENTS AGAINST BUSINESSES OR PUBLIC DISAGREEMENTS WITH THE STATE AND BUSINESS COMMUNITY. WE SHOULD HAVE LISTENED TO FISCAL WATCHDOG GROUPS AND EXPERTS TO COMPROMISE MONTHS AGO IN 8% BUDGET WAS TOO HIGH IN THIS ENVIRONMENT WE SHOULD HAVE IMPLEMENTED IMPLEMENTED A HIRING FREEZE AND LOOK AT TAPPING OUR BUDGET RESERVE SURPLUS IN INTEREST ABOVE 1 BILLION. HOWEVER, THE LONG TERM ISSUE IN MY MIND WHICH THE AUTHORS HAVE ALSO HIGHLIGHTED IS THAT WE NEED TO EXPLORE OUR TAX STRUCTURE AND REVENUE IN MY OPINION THE CITY OF BOSTON FACES LONG TERM FISCAL ISSUES. WE HAVE FALLING PROPERTY, COMMERCIAL PROPERTY VALUES DUE TO REMOTE WORK POLICIES OUR BUDGET IS OVER 80% RELIANT ON PROPERTY TAXES. 50% OF OUR LAND IS ABSORBED BY LARGE NONPROFIT PARTNERS. THIS IS WHY I ADVOCATED FOR A BLUE RIBBON COMMISSION ON THE CITY'S REVENUE. I ALSO SUGGESTED EXPLORING OTHER ALTERNATIVE WAYS TO HELP WITH REVENUE AND AVOID AN INCREASE IN RESIDENTIAL PROPERTY TAXES LIKE HEARINGS WE HAD ON A 50 MILLION AND RESIDENTIAL TAX RELIEF. THANK YOU COUNCILOR OF ONE THAT'S WELL OVER ONE MINUTE IF YOU WANT TO PROVIDE A SUMMARY SENTENCE THANK HIM COUNCILOR I THINK IN THE FINAL ANALYSIS 8% SPENDING IS TOO MUCH. WE HAVE TO LOOK AT OUR SPENDING AND MAKE TOUGH FINANCIAL DECISIONS AHEAD. IT'S ABOUT WORKING TOGETHER, RESPECTING EACH OTHER EVEN WHEN WE DISAGREE. THANK YOU, MADAM CHAIR. THANK YOU SO MUCH. COUNCIL AS ONE COUNCILOR MURPHY AND THEN LOUIJEUNE THANK YOU I'LL READ FAST. I FILED AN ORDER BACK ON AUGUST SEVENTH JUST DAYS AFTER THE STATE LEGISLATORS BLOCKED PASSAGE OF THE FIRST HOME RULE PETITION ASKING FOR A HEARING FOR THIS BODY TO ADDRESS THE NEXT STEPS PRESSING THE MAYOR TO PROVIDE DETAILS ON WHAT STEPS THE CITY WILL TAKE TO BLUNT THE IMPACT OF A PROJECTED DOUBLE DOUBLE DIGIT RESIDENTIAL TAX INCREASE NEXT YEAR. AND I BELIEVE TODAY WHAT I SAID BACK THEN THERE MUST BE COMMUNICATION WITH THE CITY COUNCIL AS TO WHAT THE NEXT STEPS THE ADMINISTRATION IS LOOKING AT ARE IN HOW THEY ARE PLANNING TO RESPOND TO PROTECT RESIDENTS AND BUSINESSES. A HEARING ON MY DOCKET NEVER HAPPENED HERE IN THE CHAMBER BUT CONVERSATIONS WERE HAD WITH WHAT I BELIEVE SMALL GROUPS OF BUSINESSES AND SOME STATE LEGISLATORS BUT NOT THE BOSTON CITY COUNCIL TO CORRECT TO CREATE THE NEW HOME RULE PETITION WE ARE LOOKING AT TODAY. I WORRY THAT BECAUSE WE KNOW THIS BODY HAS THE VOTES TO PASS WHATEVER THE MAYOR SENDS OVER TO US THAT WE ARE OKAY WITH LITTLE TO NO CONVERSATION AND INPUT INTO THE PROCESS. SO I AM LOOKING FORWARD TO TODAY'S CONVERSATION WITH PANELISTS ESPECIALLY MARTY WALZ, INSIGHT ON THE PROCESS AND TIMELINE THAT I BELIEVE SHE WILL BE SHARING WITH US. SO THANK YOU. THANK YOU, CHAIR. THANK YOU. COUNCILOR MURPHY, COUNCILOR LOUIJEUNE THANK YOU, MADAM CHAIR. AND I JUST WANT TO THANK YOU FOR YOUR LEADERSHIP AS YOU HAVE STUART US THROUGH THIS PROCESS. THIS IS OBVIOUSLY THE SECOND ITERATION OF THIS COUNCIL TALKING ABOUT THIS HOME RULE PETITION AND PREVIOUSLY WE HELD HEARINGS AND WORKING SESSION AND WANT TO JUST THANK YOU AS THE PRESIDENT OF THE COUNCIL FOR YOUR LEADERSHIP AS A CHAIR OF GOVERNMENT OPERATIONS AS WE DEAL WITH THIS THORNY ISSUE. I ALSO WANT TO THANK ALL OF THE PEOPLE WHO HAVE COME TOGETHER INCLUDING MASS IN YOUR ACTION COUNCIL TO NAOC TO THE CHAMBER OF COMMERCE TO MARTY AND THE BOSTON MUNICIPAL RESEARCH BUREAU ALONG WITH THE MAYOR AND ALL OF THE STAKEHOLDERS IN REACHING A COMPROMISE DEAL. I THINK IT IS REALLY WE HAVE TO WORK TOGETHER TO MAKE THIS CITY WORK AND TO SHARE IN THE PROSPERITY OF THE CITY. WE WANT TO PREVENT A SIGNIFICANT INCREASE IN TAXES THAT OUR RESIDENTS, ESPECIALLY OUR SENIORS LIVING ON ON A FIXED INCOME WOULD EXPERIENCE AND THIS HELPS US GET THERE. THIS WOULD STILL HAVE TO COME BACK TO THE COUNCIL AT ONCE IF IT WERE TO GO THROUGH THE STATE HOUSE. AND SO I LOOK FORWARD TO CONTINUE CONVERSATIONS. I WANT TO THANK ALL OF MY COLLEAGUES FOR WORKING TOGETHER ON THIS ISSUE. THANK YOU, MADAM CHAIR. THANK YOU. COUNCIL LOUIJEUNE. I DO WANT TO RECOGNIZE WE'VE BEEN JOINED BY COUNCILOR WORRELL. COUNCILOR MEJIA YOU HAVE ONE MINUTE. THANK YOU, MADAM CHAIR. AND EXCUSE ME . I'M SORRY . OKAY. UH, START ALL OVER AGAIN. HELLO. GOOD MORNING, EVERYONE. THANK YOU, MADAM CHAIR. AND THANK YOU MOST IMPORTANTLY TO MY SENIOR ACTION WHO ALWAYS SHOWS UP AND UNDERSTANDS WHAT IS AT STAKE. AND I APOLOGIZE THAT YOU HAVE TO COME BACK BUT THIS IS WHAT DEMOCRACY LOOKS LIKE AND IT'S REALLY IMPORTANT FOR US AS A BODY TO UNDERSTAND THAT WE HAVE A JOB TO DO AND THAT JOB IS TO UNDERSTAND HOW WE GET SOMEWHERE AND NOT JUST TO PASS SOMETHING ALONG JUST BECAUSE IT'S THE THINGS THAT WE YOU KNOW, THAT'S HOW POLITICS PLAYS OUT. SO I APPRECIATE YOUR PATIENCE AND I AND REALLY WANT YOU ALL TO KNOW THAT WE ARE TAKING THIS SERIOUS AND WE UNDERSTAND THAT WE HAVE A JOB TO DO AND THIS IS PART OF OUR JOB IS TO DELIBERATE PUBLICLY, NOT PRIVATELY AROUND THE ISSUES THAT ARE IMPACTING ALL OF OUR CONSTITUENTS. SO I'M REALLY EXCITED TO HAVE THIS CONVERSATION HERE IN THE CHAMBER WHERE IT BELONGS IN FRONT OF THE PEOPLE THAT WE SERVE SO THAT YOU UNDERSTAND HOW WE GO ABOUT GETTING THERE. SO HAPPY TO BE HERE. THANK YOU. THANK YOU. COUNCILOR MEJIA COUNCILOR BURTON AND THEN FITZGERALD. THANK YOU, MADAM CHAIR. AND THANK YOU TO EVERYONE WHO'S HERE THIS MORNING ON THE ADVOCATES AND ESPECIALLY MY SENIOR ACTION COUNCILOR . I JUST REALLY WANT TO WE ARE RUNNING UP AGAINST A TIGHT DEADLINE ON THIS ONE AND I HOPE THAT WE CAN HAVE A PRODUCTIVE CONVERSATION THIS MORNING AND REALLY MOVE THIS FORWARD AS QUICKLY AS POSSIBLE. RIGHT THIS WEEK OUR RESIDENTS RECEIVED A LETTER ABOUT YOU ASKING IF THEY WANTED TO REQUEST A REEVALUATION ASSESSMENT REVIEW AND THAT THE DEADLINE FOR THAT IS FRIDAY. SO YOU KNOW, THIS HAS TAKEN A LONG TIME AND WE'RE A LITTLE BEHIND ON THE SCHEDULE HERE SO I HOPE WE CAN GET THIS MOVING THIS MORNING. THANK YOU. THANK YOU, COUNSELOR BURTON COUNCILOR FITZGERALD. THANK YOU, MADAM CHAIR. A PLEASURE TO BE HERE AND THANK YOU ALL. THANK YOU PANEL FOR BEING HERE AS WELL AS WELL AS THOSE FROM THE SENIOR ACTION YOU GUYS GOT ME THINKING ABOUT MY OWN MOM WHO I WAS JUST TALKING TO THIS MORNING. RIGHT. SINGLE, WIDOWED AND RETIRED IN A FIXED INCOME AND SHE WAS EXPRESSING TO ME HER CONCERNS ABOUT WHAT THIS MIGHT DO SO I UNDERSTAND IT VERY WELL AND IT CERTAINLY HITS HOME AND SO YEAH, HAPPY TO GET INTO IT AND FIGURE OUT BUT THIS IS CERTAINLY A YOU KNOW, IF IF THE CITY WERE A HUMAN BODY THIS IS DO WE TAX THE HEAD OR THE HEART RATE AND IT'S LIKE IT'S A HARD ONE WITH BOTH SIDES OF THESE THINGS YOU DON'T WANT TO PUT PRESSURE ON EITHER AS THEIR VITAL BUT AT THE SAME TIME WE'VE GOT TO WE'VE GOT TO SHARE THE BURDEN. SO LOOK FORWARD TO GETTING INTO THE QUESTION. THANK YOU. THANK YOU SO MUCH FITZGERALD AND PLEASE ACCEPT MY APOLOGIES FOR THE EXTRA BUZZING. I DON'T KNOW WHY IT'S DOING THAT AND IT'S NOT ON PURPOSE SO THANK YOU SO MUCH. I FORGOT TO MENTION THAT WE'VE BEEN JOINED BY COUNCILOR WEBER BUT WE'LL GO TO WORRELL FOR HIS OPENING STATEMENT AND THEN COUNCILMEMBER THANK YOU JACK COLLETTE AS A POTTER WE HAVE DISCUSSED THE TASK CLASSIFICATION FOR SEVEN MONTHS AND THE REALITY IS MORE DELAYS WILL RESULT IN BALLOONING RESIDENTIAL TAXES FOR HOMEOWNERS. WE HAVE A COMPROMISE HERE AND THE CITY USES A STANDARD FORMULA FOR TAXES AND IT'S THE SAME FORMULA THE CITY HAS USED SINCE PROP TWO AND A HALF WAS INTRODUCED IN 1980. EVERY MAYOR FROM 1980 ON HAS INCREASED THE TAX LEVY TWO AND A HALF PERCENT EACH YEAR. YES, THE CITY BUDGET HAS INCREASED FROM FISCAL YEAR 20 FOR THE FISCAL YEAR 25 THE INCREASES INCLUDE PENSIONS AND DEBT SERVICE INCREASED BY $60 MILLION. THE POLICE DEPARTMENT INCREASED BY $69 MILLION. THE FIRE DEPARTMENT WENT UP $30 MILLION. FUNDING FOR EDUCATION WENT UP TO $87 MILLION. THE PLANNING DEPARTMENT TRANSFERRED REVENUE NEUTRAL AND THE COUNCIL $42 MILLION OF THE INCREASE. HEALTH INSURANCE PAYMENTS FOR EMPLOYEES WENT UP $11 MILLION. THAT LEAVES US WITH $42 MILLION. IT'S LESS THAN 1% OF THE BUDGET FOR JUST GENERAL INCREASES TO ADD SERVICES AT EMS WE'LL GIVE SOME OF OUR LOWEST WAGE WORKERS A RAISE LIKE A911 CAR TICKET. I'M LOOKING FORWARD TO POSITIVE LEADERSHIP HERE AND LOOKING FORWARD TO THE CONVERSATION. THANK YOU. THANK YOU, COUNCILOR GENERAL COUNCILOR WEBER THANK YOU. THANK YOU, CHAIR. YOU KNOW, I THINK THE NUMBER ONE THING I'VE HEARD FROM CONSTITUENTS, YOU KNOW, FIRST IS THAT THEY DON'T WANT TO SEE THEIR THEIR PROPERTY TAXES GO UP. SECOND IS THAT THEY WERE CONFUSED ABOUT WHAT THIS PROPOSAL MEANS AND I THINK, YOU KNOW, WE'RE OUR RESIDENTS ARE NOT BEING HELPED BY WHAT I THINK IS MISINFORMATION THAT'S BEING SPREAD THAT THIS PROPOSAL IS DESIGNED TO INCREASE TAXES. YOU KNOW, THE WAY I SEE IT IS WE HAVE A LEVY AND WE'RE CONFINED BY A 2.52.5 AND WHAT WE CAN COLLECT AND GENERALLY WE COLLECT MORE FROM COMMERCIAL LANDLORDS THAN RESIDENTIAL RESIDENTS. BUT BECAUSE OF THIS RARE OCCURRENCE WHERE COMMERCIAL VALUES ARE GOING DOWN WHILE RESIDENTIAL RATES ARE GOING UP, USUALLY THEY ALL GO UP OR DOWN AT THE SAME TIME THIS WE SORT OF HAVE A SEESAW WHERE THE RESIDENTS ARE BEING REQUIRED TO BEAR MUCH MORE OF THE BURDEN WHERE I THINK COMMERCIAL ENTITIES ARE EQUIPPED TO DEAL WITH THE INCREASE IN TAXES THEY RUN BUSINESSES THEY CAN PASS ON COSTS WHEREAS OUR SENIORS VETERANS OR OTHER PEOPLE ON FIXED INCOMES CAN'T DO THAT AND THAT'S WHY I SUPPORT THIS PROPOSAL AND I'M HOPING THAT AT THE END OF A LONG PROCESS I THINK WE'VE HAD THIS BEFORE US FOR YOU KNOW, FIVE SIX MONTHS NOW WITH MULTIPLE HEARINGS, A WORKING SESSION WE CAN TRY TO CLEAR UP ANY ANY MISUNDERSTANDINGS AND GET THIS UP TO THE STATE HOUSE. THANK YOU, CHAIR THANK YOU, COUNCILOR WEBER. I'M GOING TO WAIVE MY OPENING REMARKS. I DO WANT TO GET TO THE VOICES OF FOLKS WHO WILL BE DIRECTLY IMPACTED BY THIS. THAT IS ALWAYS A PRIORITY OF MINE AND SO IT'S VERY IMPORTANT TO HAVE PUBLIC TESTIMONY FIRST WHICH WE WILL DO AND THEN WE'LL GO TO THE PANEL AND THEN WE'LL TAKE MORE PUBLIC TESTIMONY. MY COLLEAGUES, JUST TO OUTLINE IT, WE WILL HAVE 6 MINUTES OF QUESTIONING FOLLOWING PUBLIC TESTIMONY FOR THIS PANEL HERE. WE WILL DO MULTIPLE ROUNDS IF WE FEEL LIKE THAT IS NECESSARY SO THAT EVERYBODY HAS THEIR QUESTIONS ASKED AND POTENTIALLY ANSWERED. AND LIKE I SAID, WE'LL GO BACK TO PUBLIC TESTIMONY. MY COLLEAGUES KNOW BUT FOR THOSE LISTENING IN WE HAVE A 6 P.M. OFFSITE HEARING IN AUSTIN BRAIN SO JUST MANAGING TIMELINE EXPECTATION SINCE THIS REQUIRES CENTRAL STAFF TO GO TO AUSTIN BRIGHTON AND PREPARE FOR THAT HEARING I'VE BEEN TOLD THAT 2 P.M. IS THE LATEST THAT WE CAN HOLD THIS HEARING UNTIL BEFORE WE DENY THE OPPORTUNITY FOR OUR STAFF TO EAT LUNCH AND GET READY. SO WE DON'T WANT TO DO THAT. SO JUST LAYING THAT OUT THERE FROM THE VERY BEGINNING BUT THAT GIVES US ABOUT THREE AND A HALF HOURS HOPEFULLY A LITTLE BIT MORE TO GO THROUGH THIS PROPOSAL. SO NOW WE'LL GO TO PUBLIC TESTIMONY. I WANT TO CALL UP THOSE WHO HAVE WRITTEN DOWN THEIR NAME HERE IN THE CHAMBER WE HAVE JOANN CHAMBERS IF YOU'D LIKE TO START TO COME DOWN AND QUEUE UP. WE ALSO HAVE LILY BRYAN, SHARON KEYES AND SHERRY PETERSON. YOU CAN JOIN US AT THE MICROPHONE RIGHT DOWN HERE. JUST REMEMBER TO STATE YOUR NAME AND YOUR AFFILIATION AND EVERYBODY WILL HAVE 2 MINUTES FOR PUBLIC TESTIMONY AND WHEN I RAISE MY HAND YOU HAVE ABOUT 30 SECONDS LEFT. OKAY. THANK YOU SO MUCH, JOANN. THE FLOOR IS YOURS. THANK YOU FOR JOINING US HERE TODAY. MY NAME IS JOANN CHAMBERS. I'M 79 YEARS OLD. I BELONG TAMRA'S HOME ON A RESIDENT OF ROXBURY. I TESTIFIED TODAY AS A PROUD MEMBER OF MASSENA ACTION AND THE SUPPORT OF MAYOR WU'S HOUSE RULE PETITION. I'M SPEAKING FOR MYSELF AND 4000 OTHER SENIORS LIKE MYSELF IN BOSTON BECAUSE WE DON'T WANT TO BE TAXED ON OUR HOMES. JUST SIMPLE I COULD SAY THAT RIGHT NOW AND JUST SIT DOWN. I JUST DON'T WANT TO BE TAXED OUT OF MY HOME. THAT'S THE WHOLE GESTURE. MY HUSBAND AND I BOUGHT THE HOUSE IN ROXBURY IN 1984 FOR ABOUT $50,000 PROBABLY DON'T SOUND LIKE MUCH BUT BACK THEN IT WAS A SACRIFICE. IT WAS A LOT OF MONEY BUT ALL IN THE HOUSE WAS IS HARD WORK AND ALSO SACRIFICE AGAIN. SO WE WAS A PROUD OWNER HOMEOWNER AND WE WANTED TO RAISE OUR FAMILY WHICH WE DID RAISE MY SON AND TO GRANDCHILDREN THERE. BUT AFTER 12 YEARS AGO MY HUSBAND TOOK SICK AND HE NEEDED CATHOLIC HERE. SO FOR THE LAST SIX YEARS I DIDN'T WANT TO PUT HIM IN A NURSING HOME. I KEPT HIM AT HOME AND CARED FOR HIM NIGHT AND DAY AND THAT ATTACKED US FINANCIALLY TOO. HE WAS ABLE TO DIE THERE THOUGH IN HIS ROOM AND I WANT TO DO THE SAME IN THAT HOUSE. ONE HITS THE PARK IN ROXBURY AND BUT SINCE THEN I'VE HAD TO STRUGGLE ALONE AND I ONLY GET LIKE SO SECURITY AND A SMALL PENSION AND I HAD TO COME TO REALITY THE OTHER DAY THAT I NEED A ROOF I'VE ALREADY TAKEN OUT LOANS FOR REPAIRS BUT THAT'S THE WAY IT IS. BUT I WAS LUCKY IN ONE WAY I HAVE A TWO FAMILY SO MY GRANDSON LIVES ON THE FIRST FLOOR AND THANK GOD FOR THAT. I'M HELPING HIM AND HE'S HELPING ME BECAUSE I DON'T THINK HE COULD RENT OUTSIDE OF THAT IN THE CITY AND HE HAS TO LIVE IN THE CITY BECAUSE HE'S WORKS FOR THE CITY AND SO THE 28% INCREASE IS DEFINITELY TOO MUCH EVEN TEN IS TOO MUCH. SO I JUST HOPE THAT YOU ALL CONSIDER THAT AND SUPPORT MAYOR WU'S HOME PETITION. BILL, THANK YOU. THANK YOU SO MUCH, JOANNE. THAT WAS RIGHT AT 2 MINUTES. AND JUST TO REMIND FOLKS WE DO NOT ALLOW ANY APPLAUSE OR SIGNS JUST TO BE JUST TO BE CLEAR. BUT THANK YOU SO MUCH FOR SHOWING ENTHUSIASM. OKAY. NEXT STEP WE HAVE LILY, SHARON AND SHERRY. GOOD MORNING. MY NAME IS LILY BRYAN. I HAVE OWNED MY SINGLE FAMILY HOME IN DORCHESTER FOR OVER 40 YEARS. MY HUSBAND AND I PURCHASED OUR HOME IN 1979. IT WAS OUR LITTLE PIECE OF THE AMERICAN DREAM WHERE WE RAISED OUR CHILDREN AND OUR GRANDCHILDREN. OUR CHILDREN HAS SINCE MOVED OUT AND BOUGHT THEIR OWN HOME IN THE CITY OF BOSTON WHERE THEY HAVE RAISED THEIR KIDS. MY HUSBAND IS NO LONGER WITH US WHICH LEAVES ME TO STRUGGLE TO KEEP MY HOME AFLOAT. I AM HERE TODAY TO SPEAK BUT MYSELF AND OTHER SENIORS ASKING YOU TO PLEASE PASS THE HOME THROUGH PETITION. BUT MAYOR WILL TO STOP THE TAX INCREASE WELL THE OTHER RISING COSTS IN THE BOSTON AREA WE CANNOT AFFORD A 28% INCREASE JUST A FEW EXCUSE ME JUST A FEW WEEKS AGO I RECEIVED A $300 HOMEOWNER'S INCREASE IN MY HOMEOWNER'S INSURANCE WHEN I WENT TO THE BANK TO TAKE CARE OF IT, THEY REVIEWED MY POLICY AND I FOUND OUT THAT I WAS $180,000 UNDER INSURED BECAUSE OF THE VALUE OF MY HOUSE WHICH HAS INCREASED THAT THE EXTRA WORTH AN EXTRA $500 THAT THEY CHARGE ME BUT MY HOMEOWNER'S INSURANCE LIVING ON A FIXED INCOME THIS HAS BECOME VERY STRESSFUL FOR ME AND OTHER SENIORS LIKE I URGE YOU TO TAKE IMMEDIATE ACTION TO PASS THAT MAY I WILL PETITION BECAUSE TIME IS RUNNING OUT. PLEASE DON'T TAX US OUT OF OUR HOME. I HAVE BEEN LIVING IN BOSTON OVER 50 YEARS. I LOVE BOSTON. I DON'T WANT TO HAVE TO LEAVE BECAUSE I CAN'T AFFORD MY TAXES. THANK YOU SO MUCH. THANK YOU, LILY. NEXT UP IS SHARON. GOOD MORNING. MY NAME IS SHARON KEYES. I AM ALSO A NEW MEMBER OF THE MASS SENIORS ACTION COUNCIL . I HAVE LIVED IN BOSTON FOR 68 YEARS AND A HOMEOWNER FOR 33 YEARS AND I AM A SINGLE PARENT BUT WORKED FOR THE CITY OF BOSTON FOR 37 YEARS. MY HOME IS GOING TO BE A LEGACY HOME FOR MY DAUGHTER AND MANY OF OUR SENIORS HAVE LEGACY HOMES FOR THEIR CHILDREN BECAUSE THEY CANNOT AFFORD TO BUY IN BOSTON. WE ARE THE HIGHEST RANKING INFLUENCER OF THE UNITED STATES OF AMERICA IS MASSACHUSETTS THAT CANNOT AFFORD AFFORDABLE HOUSING SO IT IS VERY IMPORTANT THAT THIS BILL IS PASSED NOT ONLY IS IT IMPORTANT FOR THIS BILL TO BE PASSED WITH ALL THE ALL OF US THAT ARE ON FIXED INCOMES THIS ALSO BRINGS ANXIETY, ALSO BRINGS STRESS. PEOPLE HAVE TO PAY UTILITIES. YOU HAVE TO PAY HEALTH INSURANCE. SO THIS IS IMPACTING ALL OF US AND I MIGHT BE ON THE YOUNGER SIDE OF THE SENIORS BUT IT STILL IMPACTS. SO IN IN ORDER FOR US TO LIVE AND LIVE FREELY AND HAVE LONG LASTING YEARS OF OUR LIFE, I AM BEGGING YOU TO PASS THIS BILL THAT MAYOR WU IS ACTING TO PASS BECAUSE IT'S ONLY FOR THE NEXT GENERATION TO BE ABLE TO BE HOME ON THIS GENERATION. THANK YOU SO MUCH, SHARON. NEXT UP WE HAVE SHERRY PETERSON . GOOD MORNING. MY NAME IS SHERRY PETERSON. I ACTUALLY WAS HONORED THIS PAST WEEKEND FOR BEING A HOMEOWNER FOR OVER 30 YEARS. MY EX-HUSBAND AND I BOUGHT OUR HOUSE IN 1977. WE PAID LITTLE TO NOTHING BUT WE WERE ABLE TO LIVE THERE AND WE'VE BEEN THERE ALL THESE YEARS SINCE WE RAISED OUR KIDS THERE. BUT NOW MY TAXES ARE OUT OF CONTROL. I JUST PAID THE BILL FOR THIS QUARTER. YOU DON'T EVEN WANT TO HEAR WHAT I HAD TO PAY ON A FIXED INCOME AND LIKE SOME OF THEM I DON'T GET A PENSION. MY COMPANY WHICH WAS A GREAT COMPANY DECIDED WE'RE NOT GIVING YOU A PENSION. THAT GAVE ME A LITTLE SOMETHING BUT NOT A PENSION SO I'M LIVING OFF THAT AND MY DAUGHTER AND SON IN LAW LIVE UPSTAIRS SO I'M HELPING THEM LIKE SOMEONE ELSE SAID BY GIVING THEM REALLY GOOD LOW RENT. BUT THIS NEW TAX BILL IS RIDICULOUS. WE CANNOT AFFORD IT. AND AGAIN, LIKE SOMEONE ELSE SAID, IT'S NOT JUST FOR US SENIORS. WHAT ABOUT YOUNG PEOPLE WHO BUY A HOUSE? THEY KNOW HOW MUCH THEY CAN AFFORD THE TAXES ARE WHATEVER THEY THOUGHT IT WAS GOING TO BE AND IT KEEPS GOING UP AND UP. AND LIKE THE GENTLEMAN OVER THERE SAID ABOUT THE CITY WITH EXTRA EXPENSES. WELL, BECAUSE MY HOUSE IS NOW VALUED AT OVER 900,000 WHICH I COULD CARE LESS IF I'M OUT SELLING IT BUT MY TAXES ARE OUT OF CONTROL. BUT AGAIN, LIKE HE SAID SO MY TAXES ARE WAY HIGHER. MY CAR INSURANCE IS ALMOST DOUBLE WHAT IT USED TO BE. MY GAS FROM MY ELECTRIC BILL, MY ADT LIKE SOMEBODY WAS SAYING EVERYTHING FOR US KEEPS GOING UP. AND MY HOUSE IS REALLY OLD. LIKE I SAID, THERE'S ALWAYS REPAIRS. PLEASE THINK ABOUT THAT. WITH US PAYING WENT FROM 33 TO 28. NOW IT MIGHT BE 8 TO 10. IT'S STILL A LOT. I REALIZE THE CITY NEEDS MONEY BUT WE CANNOT AFFORD TO BE TAXED OUT OF OUR HOME. THANK YOU. THANK YOU SO MUCH, EVERYBODY. WE WILL TAKE PUBLIC TESTIMONY FOLLOWING THE ADMINISTRATION PANEL AND THE BUSINESS COMMUNITY PANEL FOR NOW I WILL SAY THAT WE'VE BEEN JOINED BY COUNSELOR SANTANA. COUNSELOR SANTANA, WOULD YOU LIKE AN OPENING STATEMENT? WE'VE GIVEN EVERYBODY A MINUTE. OKAY. YOU JUST LIKE TO KEEP GOING. ALL RIGHT. I WANTED TO PROVIDE THAT OPPORTUNITY. WE HAVE A PRINTED PRESENTATIONS HERE IN THE CHAMBER FOR MY COLLEAGUES AND A DIGITAL VERSION HAS BEEN SENT IN THE FOLDER BY MEGAN EARLIER TODAY. I'LL NOW PASS IT OVER TO EITHER THE CFO OR THE COMMISSIONER FOR OPENING STATEMENTS. THANK YOU. THANK YOU. GOOD MORNING. I'M ASHLEY GIRL FROM BURGER. I'M THE CHIEF FINANCIAL OFFICER FOR THE CITY OF BOSTON. I'LL JUST START OFF BY SAYING THANK YOU TO YOU MADAM CHAIR AND COUNCIL PRESIDENT FOR HAVING THIS HEARING TODAY AND HELPING US MOVE THIS CRITICAL PIECE OF LEGISLATION ALONG. AND ALL OF YOU FOR BEING HERE TODAY TO ENGAGE IN THIS CONVERSATION AND ALSO WANT TO THANK THE COMMUNITY MEMBERS IN PARTICULAR MASSING YOUR ACTION WHO HAVE BEEN ENGAGED ON THIS TOPIC WITH US FOR MANY MONTHS NOW. AND ALSO THANKS TO OUR COLLEAGUES IN THE BUSINESS COMMUNITY, MARTY FROM THE WALLS FROM THE BOSTON MUNICIPAL RESEARCH BUREAU, TAMARA SMALL FROM NAB, DOUG HOLGATE FROM US TAXPAYERS AND JIM ROONEY FROM THE CHAMBER. SO I JUST WANTED TO THANK YOU ALL FOR YOUR PARTNERSHIP ON THIS AS WELL. SO I WILL BE HOPEFULLY AS BRIEF AS POSSIBLE BUT PROVIDE ENOUGH INFO. SO APOLOGIES IT'S KIND OF SMALL BUT WE'LL JUST KIND OF QUICKLY GO OVER WHY WE'RE HERE TODAY. THE UPDATE AND THEN I'M HAPPY TO TAKE YOUR QUESTIONS. SO AS HAS BEEN SAID. OUR CITY PROPERTY TAX STRUCTURE IS WHAT FUNDS CITY SERVICES HERE IN BOSTON AND WE HAVE PROVIDED US A VERY STABLE SOURCE OF REVENUE OVER MANY YEARS BUT THAT IS CONSTRAINED BY THE LIMITS OF PROP TWO AND A HALF CURRENT LAW LIMITS HOW MUCH OF THE THE PROPERTY TAX BURDEN CAN BE SHARED ACROSS COMMERCIAL AND RESIDENTIAL TAXPAYERS AND DUE TO CURRENT FORMULAS AND THE CURRENT LAWS AND THE SITUATION WHERE COMMERCIAL PROPERTY VALUES ARE DECREASING WHILE RESIDENTIAL PROPERTY VALUES ARE INCREASING, YOU END UP IN THIS DIVERGING SITUATION THAT COULD RESULT IN A SIGNIFICANT INCREASE IN RESIDENTIAL PROPERTY TAXES WHICH IS WHAT WE'RE HERE TO HOPEFULLY ADDRESS TODAY. SO THE HOME RULE PETITION THAT WE HAVE FILED WILL SEEK TO CREATE STABILITY FOR ALL TAXPAYERS BY ALLOWING US TO TEMPORARILY INCREASE THE MAXIMUM SHIFT OF THE PROPERTY TAX BURDEN TO COMMERCIAL TAXPAYERS HELPING TO SMOOTH IN THE IMPACT OF THAT COMMERCIAL VALUE LOSS OVER A LONGER PERIOD OF TIME AS OPPOSED TO HAVING THAT HIT ALL AT ONCE. AND THEN AFTER THREE YEARS IT WILL RECUR OR RETURN TO CURRENT MAXIMUM LEVELS AND STATE LAW. WE'VE SHOWED THIS A COUPLE OF TIMES BUT I THINK IT'S IMPORTANT TO REITERATE SO SINCE THE PASSAGE OF PROP TWO AND A HALF AND SINCE THE CITY ADOPTED CLASSIFICATION, THE RESIDENTS AND BUSINESS COMMUNITY HAVE SHARED THE BURDEN OF THE PROPERTY TAX LEVY SO EARLY ON WHEN PROP EIGHT YEAR AND A HALF AND CLASSIFICATION WENT INTO EFFECT, THE CITY WAS IN A SITUATION WHERE THAT PROPERTY TAX BURDEN WAS SHARED ABOUT 7030 COMMERCIAL TO RESIDENTIAL. AND OVER TIME YOU'VE STARTED TO SEE THAT NARROW. TODAY IT'S CLOSER TO A 6040 SPLIT. AND WITHOUT THIS LEGISLATION YOU WOULD SEE THAT GAP NARROW DRAMATICALLY FROM THIS YEAR TO NEXT YEAR. SO WE'RE REALLY SEEKING THIS TOOL TO GIVE US THE ABILITY TO PRESERVE THAT RATIO AND SORT OF PHASE IN THE IMPACT OF THIS COMMERCIAL VALUE LOSS OVER A LONGER PERIOD OF TIME AS OPPOSED TO EXPERIENCING THAT NARROWING OF THE GAP ALL AT ONCE. SO THE SPECIFICS OF THE HOME RULE PETITION ARE SIMILAR TO WHAT WE HAVE TALKED ABOUT OVER SEVERAL MONTHS NOW BUT IT PROVIDES THE CITY WITH FLEXIBILITY IN THAT SHIFT IN FISCAL YEAR 25 WHICH IS THE YEAR WE'RE IN CURRENTLY FISCAL 26 AND FISCAL 27 IT SETS THE MAXIMUM SHIFT ABOVE ITS CURRENT LEVEL OF 175% TO ONE 81.5 IN THE FIRST YEAR. ONE 80% IN THE SECOND YEAR AND 178% IN THE THIRD YEAR BEFORE RETURNING TO THAT 175 IN THAT FOURTH YEAR. THE HOMER PETITION ALSO GIVES THE CITY TO TWO IMPORTANT PIECE PIECES OF FLEXIBILITY AS IT RELATES TO SMALL BUSINESS. NUMBER ONE, IT ALLOWS US WORKING TOGETHER WITH THIS BODY AND THE MAYOR TO TRIPLE THE CITY'S PERSONAL PROPERTY TAX EXEMPTION. CURRENTLY IT'S SET AT $10,000 AND WE WOULD HAVE THE ABILITY TO INCREASE THAT TO $30,000. AND SECONDLY, IT GIVES THE CITY THE ABILITY TO PROVIDE DIRECT RELIEF TO SMALL BUSINESSES THAT MAY BE IMPACTED BY THIS PROPOSAL IN YEARS WHERE THERE'S AN INCREASED SHIFT. I HAVE SOME MORE SPECIFICS ON THAT HERE ON THIS SLIDE. SO LIKE I SAID, THE SMALL BUSINESS EXEMPTION INCREASING THAT IS IMPORTANT BECAUSE THAT'S A TAX THAT YOU WILL PAY SORT OF REGARDLESS OF WHETHER YOU OWN THE SPACE YOU OCCUPY. SO THIS GIVES US THE ABILITY TO HELP BUSINESSES WHETHER OR NOT THEY'RE DIRECTLY GETTING OUR REAL ESTATE PROPERTY TAX BILL AND WE BELIEVE THAT BY DOING THIS WE WOULD EFFECTIVELY EXEMPT ABOUT HALF THE CITY'S BUSINESSES FROM PERSONAL PROPERTY TAXES ONCE THE CITY ADOPTS THIS AND LIKE I MENTIONED WILL REQUIRE ACTION BY THE CITY COUNCIL TO APPROVE AND IMPLEMENT THAT AND THEN THE DIRECT RELIEF TO SMALL BUSINESSES. SO WE ENVISION IN YEARS WHERE THE SHIFT EXCEEDS THE CURRENT MAXIMUM LEVEL THAT WE WOULD BE ALLOWED TO ALLOCATE UP TO $15 MILLION TO TARGET SMALL BUSINESSES THAT MAY BE IMPACTED BY THIS AND AGAIN WILL REQUIRE US TO COME TO YOU ALL AND WORK TOGETHER TO ALLOCATE AND APPROPRIATE THOSE FUNDS IN EACH YEAR THAT WE DO THE SHIFT. SO I THINK THAT'S ALL OH SORRY NO ONE MORE SO WE'VE TALKED A LITTLE BIT ABOUT DATES AND TIMELINE. SO AS WAS MENTIONED I THINK BY COUNCILOR BRAYTON WE'RE THIS WEEK RESIDENTS AND I THINK ALL TAXPAYERS ACTUALLY CAN GO ONLINE AND PREVIEW THEIR ASSESSED PRELIMINARY ASSESSED VALUES FOR FISCAL 25. SO WE'RE IN THAT DISCLOSURE PERIOD RIGHT NOW. COMMISSIONER ANELLO AND HIS TEAM WILL BE WORKING VERY HARD OVER THE NEXT COUPLE OF MONTHS TO GET OUR VALUES CERTIFIED BY THE STATE DEPARTMENT OF REVENUE AND THEN WE WILL BE COMING BACK TO YOU ALL THE END OF THIS MONTH BEGINNING OF DECEMBER TO ACTUALLY DO THE WORK OF ESTABLISHING THE RESIDENTIAL EXEMPTION AND SETTING THE SHIFT PERCENTAGE. ONCE WE GO THROUGH THAT PROCESS AND TAX RATES ARE FINALIZED, OUR TEAM WORKS TO FINALIZE QUARTER THREE BILLS AND PRINT THEM AND MAIL THEM. AND SO WE AIM TO MAIL THOSE BY THE END OF THE MONTH SO THAT THEY ARE AVAILABLE AT THE BEGINNING OF THE YEAR. SO THAT IS THE KIND OF TIGHT TIMELINE WHERE WE'RE WORKING UNDER THAT WANTED TO MAKE SURE THOSE DATES WERE WELL UNDERSTOOD AND I THINK THAT'S IT FROM US. I DON'T KNOW IF YOU WANT TO DO QUESTIONS FOR US OR IF WE WANT TO TURN TO THE RESEARCH. COMMISSIONER, YOU DON'T HAVE AN OPENING STATEMENT OR ANYTHING. NO, IT'S FOR THE RECORD MY NAME IS NAKANO. COMMISSIONER OF ASSESSING FOR THE CITY OF BOSTON. REALLY APPRECIATE YOU HAVING US HERE TODAY. I THINK THE ONLY THING THAT I WOULD ADD TO THE EXCELLENT PRESENTATION GIVEN BY OUR CFO ON THE TOPIC IS JUST TO REMIND THE COUNCIL THAT THE THREE SEPARATE COMPONENTS OF THIS HOME RULE THAT WE'RE TALKING ABOUT IF IT DOES PASS OUT OF THE COUNCIL AND THEN PASSES THROUGH THE STATE LEGISLATURE, EACH ONE OF THOSE COMPONENTS THEN COMES BACK TO THE COUNCIL AND SO PASSING IT THROUGH THE COUNCIL IN THIS PHASE IS NOT THE COUNCIL'S FINAL WORD ON THE MATTER. SO CLASSIFICATION COMES BACK TO THE COUNCIL EVERY SINGLE YEAR OR RETURN WITH THE APPROPRIATE SHIFT LEVEL IS THAT WOULD NOT CHANGE IF THIS WERE TO PASS THROUGH THE LEGISLATURE THIS CURRENT HOME RULE THE INCREASE OF THE PERSONAL PROPERTY EXEMPTION IF PASSED BY THE STATE LEGISLATURE IS SOMETHING THAT WOULD THEN REQUIRE APPROVAL BY THE CITY COUNCIL BEFORE WE WOULD BE ABLE TO PUT THAT INTO EFFECT. SO IT PROVIDES ANOTHER OPPORTUNITY TO DISCUSS THE MERITS OF THAT IN ADDITION TO THE OPPORTUNITY THAT WE HAVE HERE TODAY. AND THEN FINALLY THE SMALL BUSINESS RELIEF WOULD ALSO REQUIRE THE ASSISTANCE OF THE COUNCIL FOR APPROPRIATION IF THAT WERE TO PASS THROUGH THE STATE HOUSE. SO I JUST WANT TO REITERATE THAT CONVERSATIONS WILL BE ONGOING AS WE TALK ABOUT ALL OF THESE THINGS AND THERE ARE MANY, MANY OPPORTUNITIES TO DO THAT. THANK YOU SO MUCH. THANK YOU SO MUCH, COMMISSIONER AND I'LL PASS IT TO MARTY WALSH IF YOU WANT INTRODUCE YOURSELF AND PROVIDE YOUR TESTIMONY. THANK YOU, COUNSELOR. MY NAME IS MARTY WALZ. I'M THE INTERIM PRESIDENT OF THE BOSTON MUNICIPAL RESEARCH BUREAU. IT ACTUALLY THOROUGHLY COVERED THE ISSUE AND THE SUBSTANCE OF THE HOME RULE PETITION. SO I DON'T WANT TO CERTAINLY REPEAT WHAT WAS IN HER PRESENTATION. SO WHAT I WANT TO INSTEAD IS ADDRESS THE COMPLAINT THAT I'VE HEARD OVER THE LAST FEW DAYS ABOUT AN AGREEMENT BEING REACHED THROUGH PRIVATE OR SECRET NEGOTIATIONS. THE BOSTON MUNICIPAL RESEARCH BUREAU TAKES SUCH CONCERNS VERY SERIOUSLY WHICH IS WHY I WANT TO SPEND MY TIME BEFORE YOU TODAY ADDRESSING THEM DIRECTLY. I PUT TOGETHER A CHRONOLOGY EVENTS YESTERDAY WHEN PREPARING FOR MY TESTIMONY TODAY AND IT REVEALS THAT THIS HAS BEEN AS MANY OF YOU KNOW BECAUSE YOU'VE EXPERIENCED IT A LENGTHY AND VERY PUBLIC PROCESS, A PUBLIC PROCESS THAT'S CONTINUING TODAY AS WE SIT HERE FOR THE FOURTH PUBLIC HEARING THAT THE CITY COUNCIL HAS HELD ON THIS TOPIC AND THE THIRD AT WHICH I HAVE TESTIFIED ON BEHALF OF THE RESEARCH BUREAU, I WOULD HAVE BEEN AT THE FOURTH ONE BUT IT WAS THE SAME DAY AS THE SHATTUCK AWARDS DINNER FOR 300 TOOK PRIORITY RATHER THAN BEING HERE THAT AFTERNOON. SO THERE ARE A LOT OF THINGS THAT CAN BE SAID ABOUT THIS PROCESS BUT A LACK OF PUBLIC DISCUSSION ISN'T ONE OF THEM. SO I THINK IT'S GOING TO BE HELPFUL TO BRIEFLY SUMMARIZE HOW WE GOT HERE SO THAT WE CAN ADDRESS THIS CONCERN HEAD ON. THE MAYOR STARTED HAVING CONVERSATIONS WITH STAKEHOLDERS TO BROACH THE IDEA ABOUT PROPERTY TAX CLASSIFICATION IN MID-FEBRUARY AND SHE WAS SEEKING FEEDBACK ON THE IDEA AND IT ULTIMATELY RESULTED IN A PROPOSAL BEING ANNOUNCED ON MARCH 28TH AND APRIL 16TH THE CITY COUNCIL HELD THE FIRST OF WHAT IS NOW FOUR PUBLIC HEARINGS ON THE TOPIC AND THE RESEARCH BUREAU ISSUED A LENGTHY DETAILED REPORT ON MAY 2ND WHERE WE SHARED HISTORY ON THIS ISSUE GOING BACK TO 2004 OF COURSE AN EXPLANATION OF THE MAYOR'S PROPOSAL AND SOME ALTERNATIVES THAT YOU'VE HEARD US TALK ABOUT CONSISTENTLY SINCE THEN AND MAY 30TH THE CITY COUNCIL HELD ITS SECOND PUBLIC HEARING FOLLOWED BY A PUBLIC WORKING SESSION FOLLOWED BY A PUBLIC DEBATE AND VOTE ON JUNE 5TH. THE ACTION THEN SHIFTS OVER TO THE STATE LEGISLATURE WHERE ON JULY 16TH THE JOINT COMMITTEE ON REVENUE HELD A PUBLIC HEARING WHERE AGAIN THE VIEWS AND ALTERNATIVES WERE TALKED ABOUT AT SOME LENGTH LEADING TO A JULY 30 VOTE BY THE HOUSE OF REPRESENTATIVES AFTER THE TRADITIONAL AUGUST LULL. EVERYTHING RAMPS UP AGAIN IN SEPTEMBER LEADING TO A MEETING ON SEPTEMBER 26 THAT'S CONVENED BY THE SENATE PRESIDENT AND IT WAS A MEETING OF THE SENATE PRESIDENT AND HER STAFF THE MAYOR AND HER STAFF. SIX SENATORS WHO REPRESENT BOSTON, TWO BUSINESS ORGANIZATIONS AND TWO WATCHDOG ORGANIZATIONS. A MEETING WHICH WAS VERY WIDELY REPORTED IN THE MEDIA. AS MANY OF YOU WOULD HAVE READ ABOUT AT THE CONCLUSION OF THE MEETING, THE SENATE PRESIDENT ASKED THE FOUR BUSINESS ORGANIZATIONS AND THE MAYOR TO KEEP TALKING WHICH IS PRECISELY WHAT WE DID AND HAVE BEEN DOING OVER A NUMBER OF WEEKS. BUT THOSE CONVERSATIONS CERTAINLY DID NOT STOP THE VERY PUBLIC DISCUSSION ON THIS TOPIC. AND OCTOBER 9TH THE MAYOR HELD A PRESS CONFERENCE TO RELEASE INFORMATION ABOUT PROPERTY REVALUATION WHICH SHE THEN FOLLOWED UP WITH THREE PUBLIC COMMUNITY MEETINGS. SHE THEN SENT A LETTER TO ALL OF YOU ON OCTOBER 15TH AND THEN ON OCTOBER 17TH CITY COUNCIL HELD ITS THIRD PUBLIC HEARING ON THIS TOPIC. THE NEXT DAY THOSE FOUR ORGANIZATIONS THAT MET WITH THE SENATE PRESIDENT SENT A LETTER TO THE SENATE PRESIDENT AND THE SPEAKER OF THE HOUSE TO UPDATE THEM ON THE CONVERSATIONS THAT WE'VE BEEN HAVING SINCE THE END OF SEPTEMBER. THAT LETTER TOO WAS MADE PUBLIC . AND THEN FINALLY ON OCTOBER 23RD, THOSE FOUR ORGANIZATIONS AND THE MAYOR ANNOUNCED THAT THEY HAD REACHED AN AGREEMENT ON HOW TO PROCEED. THIS OF COURSE IS NOT BINDING AND THIS WAS LED TO THE HOME RULE PETITION THAT'S BEFORE YOU TODAY. AND THAT LEADS US TO TODAY THE FOURTH PUBLIC HEARING THAT THE CITY COUNCIL HAS HELD ON THIS TOPIC. AND IF YOU INCLUDE THE STATE LEGISLATURE THIS IS NOW THE FIFTH PUBLIC HEARING TO DISCUSS PROPERTY TAX CLASSIFICATION AND I RECITE THAT CHRONOLOGY BECAUSE IT UNDERSCORES THAT THE MAYOR, THE MEMBERS OF THE CITY COUNCIL STAKEHOLDERS AND MEMBERS OF THE PUBLIC HAVE BEEN TALKING FOR OVER EIGHT MONTHS ABOUT PROPERTY TAX CLASSIFICATION AND THERE HAVE BEEN MORE MEDIA STORIES ABOUT THIS THAN I CAN COUNT. JUST TO BE CLEAR, THIS IS NOT A COMPLAINT I RECITE THE HISTORY TO SHOW THAT THIS IS WHAT GOVERNING LOOKS LIKE. THIS IS ALL OF US AT WORK DOING WHAT WE'RE SUPPOSED TO DO. THERE ARE PROPOSALS, THERE'S COUNTERPROPOSALS AND THERE'S A LOT OF CONVERSATION. SOME OF WHICH OF COURSE HAPPENS OUT OF THE PUBLIC VIEW AS STAKEHOLDER HAS TRIED TO FIND COMMON GROUND AS WE WERE ASKED TO DO AND AS WE SHOULD DO CONVERSATION SHARING IDEAS IN NEGOTIATIONS ARE THE ESSENCE OF POLICYMAKING IN DARE I SAY COMPROMISE. OF COURSE ALL OF YOU KNOW THIS BECAUSE YOU KNOW THAT FRANK DISCUSSIONS ARE NECESSARY TO FORGE NEW LAWS IN EACH OF YOU HAD EVERY OPPORTUNITY TO CALL ME OR OTHERS TO GET AN UPDATE ON WHAT WAS HAPPENING. SO THERE'S BEEN NOTHING SECRETIVE LIVE OR PRIVATE ABOUT ALL OF THIS. THE RESEARCH BUREAU AND OTHER ORGANIZATIONS WE WORKED WITH HAVE CRAFTED A PROPOSAL WITH THE MAYOR. SOME PEOPLE ARE GOING TO SUPPORT IT. SOME PEOPLE ARE NOT GOING TO. BUT IT'S NOW UP TO YOU, THE CITY COUNCILORS ON WHETHER TO ACCEPT IT AFTER EIGHT AND A HALF MONTHS OF STUDY PROPOSALS ,CONVERSATION AND COMPROMISE. THE RESEARCH BUREAU RESPECTFULLY ASKED THAT YOU VOTE IN FAVOR OF THE HOME RULE PETITION AND LET ME CLOSE WITH THIS FINAL OBSERVATION THE PETITION IS NOT A SOLUTION TO BOSTON'S COMPLEX PUBLIC FINANCE AND ECONOMIC DEVELOPMENT CHALLENGES. THE NEW MARKET DYNAMIC FOR COMMERCIAL REAL ESTATE IS NOT A TEMPORARY OR CYCLICAL CHANGE WHICH MEANS THE CITY. ALL OF US MUST GRAPPLE WITH THE BUDGET IMPLICATIONS OVER THE LONG TERM THROUGH RESPONSIBLE APPROACHES TO BUDGETING. IN ADDITION, IT'S CRITICAL THAT THE CITY WORK WITH THE BUSINESS COMMUNITY TO ENCOURAGE ECONOMIC GROWTH AND DEVELOPMENT ENSURING BOSTON'S FUTURE FISCAL HEALTH AND VITALITY. SO I WILL CONCLUDE WITH THE THANK YOU. IT HAS BEEN A LONG EIGHT AND A HALF MONTHS AND IT'S BEEN A CONVERSATION OVER AS WE FOUND OUR WAY TO GET TO THIS POINT AND WE THINK THIS COMPROMISE IS IN THE BEST INTERESTS OF THE CITY OF BOSTON AND URGE YOU TO VOTE IN FAVOR OF IT. THANK YOU. THANK YOU, MARTY, FOR YOUR TESTIMONY. WE WILL TRANSITION TO QUESTIONS FROM MYSELF AND MY COLLEAGUES. I GAVE MY OPENING REMARKS. I INTEND TO ASK QUESTIONS FIRST . I WILL GIVE MYSELF 6 MINUTES. I'LL PUT IT ON MY PHONE FIRST AND YOU WILL HEAR IT BECAUSE I DID NOT SET IT UP IN TIME FOR MY QUESTIONS. THERE WE GO. OKAY, SO I'LL START FIRST WITH I GUESS JUST THE POINT OF THIS WHOLE PETITION. SO IN YOUR SLIDESHOW YOU TALK ABOUT THE FACT THAT WE NEED TO TRIPLE THE PERSONAL PROPERTY TAX EXEMPTION THAT WILL COME THROUGH THIS COUNCIL AGAIN AS IT USUALLY DOES TO SET THE TAX RATE. ALL RIGHT. SO THAT'S SOMETHING THAT WE'LL HAVE TO HAPPEN AGAIN. THE DIRECT RELIEF TO SMALL BUSINESS WILL HAVE TO COME BACK TO THE COUNCIL AGAIN AND MY UNDERSTANDING IS THAT THAT WILL HAPPEN THROUGH AN APPROPRIATION ORDER AND GO THROUGH THE COMMITTEE ON WAYS AND MEANS. AND SO I GUESS IT'S JUST A VERY POINTED QUESTION OF LIKE WHAT IS POINT OF THIS HOME RULE PETITION? IS THIS JUST SIMPLY GIVING US THE AUTHORITY TO THAT AND TO VOTE ON IT MOVING FORWARD YES OR NO? ARE YOU. THANK YOU SO MUCH FOR THE QUESTION, COUNCILOR . I'M HAPPY TO TAKE THAT AND YOUR 100% CORRECT. THE POINT OF THE HOME RULE PETITION IS TO GIVE US THE LEGAL AUTHORITY TO TAKE THOSE ACTIONS IN THE FUTURE. SO RIGHT NOW THAT THE WAY THE STATUTES ARE WRITTEN WE DO NOT HAVE THE OPTION TO INCREASE THE PERSONAL PROPERTY EXEMPTION. WE DON'T HAVE THE OPTION TO CHANGE THE CLASSIFICATION FORMULA FROM THE WAY IT IS CURRENTLY WRITTEN AND WE DON'T HAVE THE ABILITY TO APPROPRIATE MONEY AND PROVIDE RELIEF TO SMALL BUSINESSES. AND SO THE HOME RULE PETITION WOULD ALLOW THE STATE TO GIVE THE CITY OF BOSTON THE AUTHORITY TO DO ALL OF THOSE THINGS. BUT THE ACTUAL FINAL DOING OF THOSE THINGS WOULD REQUIRE ADDITIONAL APPROVAL FROM THE COUNCIL AND EACH ONE OF THOSE INDIVIDUAL ITEMS. OKAY. AND WHAT IS THE ANTICIPATED TIMELINE OF THOSE FILINGS TO THIS COUNCIL ? SO THE ANTICIPATED FILING FOR THE CLASS APPLICATION PORTION IS APPROXIMATELY THE SAME TIME IT IS EVERY YEAR. IT'S HARD TO SAY LIKE TO A SPECIFIC DATE THE GOAL IS TO HAVE PASSAGE OF AND PASSAGE OF THE RESIDENTIAL EXEMPTION IN EARLY DECEMBER. AND SO THE FILING AND THE HEARINGS THAT WOULD BE IN THE WEEKS BEFORE THAT THE SMALL BUSINESS EXEMPTION CHANGE THE PERSONAL PROPERTY CHANGE IS SOMETHING THAT IF PASSED HAS THE POTENTIAL TO BE IN EFFECT FOR FISCAL YEAR 26 AND SO THAT IS SOMETHING THAT WE CAN FIGURE OUT AN APPROPRIATE TIME. WE COULD TRY AND DO IT THE SAME TIME AS CLASSIFICATION IF WE WANTED TO OR WE COULD GIVE OURSELVES MORE SPACE SINCE IT WOULD JUST NEED TO BE PUT INTO EFFECT BEFORE JULY FIRST IF WE WANT IT TO BE EFFECTIVE FOR FISCAL YEAR SIX AND I WOULD SAY PROBABLY THE SAME TIMELINE FOR THE APPROPRIATIONS WHERE IT'S NOT SOMETHING THAT WE NEED TO RUSH INTO WHEN WE HAVE THE ONCE WE HAVE THE AUTHORITY TO DO IT, IT'S SOMETHING THAT WE CAN HAVE A CONVERSATION OVER THE NEXT FEW MONTHS AND FIGURE OUT A TIMELINE ON. THANK YOU. I'M GETTING FEEDBACK THAT I NEED TO BE LOUDER AND SPEAK DIRECTLY TO THE MICROPHONE IS THIS GOOD I'M GETTING NODS. OKAY GREAT. I HAVE 3 MINUTES SO I APPRECIATE YOUR YOUR ANSWER TO THAT. MUCH HAS SAID ABOUT THE MAYOR DOING EVERYTHING SHE CAN TO REDUCE THE AMOUNT OF TAXES SHE'S COLLECTING. WE'RE ALL AWARE OF PROPOSITION 2.5. YOU REFERENCED IT IN YOUR PRESENTATION. THIS MEANS THAT ALL CITIES AND TOWNS ARE LEGALLY ALLOWED TO INCREASE THE TOTAL TAX LEVY BY 2.5% EACH YEAR. CAN YOU CLARIFY IF ANY SITTING MAYOR OF BOSTON HAS EVER REFUSED TO COLLECT THE MAXIMUM LEVY AT 2.5 AND WHAT THE IMPLICATIONS ARE IF WE DO NOT COLLECT THE FULL AMOUNT THIS YEAR? THANKS FOR THE QUESTION. SO WE'RE NOT OF THE CITY EVER NOT TAKING THE FULL LEVY IN THE HISTORY OF PROP TWO AND A HALF THAT WE CAN FIND. THE IMPLICATION OF NOT DOING SO IS A COUPLE OF THINGS. NUMBER ONE THE CITY WOULD SORT OF EFFECTIVELY FOREGO THAT INCREMENT FOREVER. IT WOULD HAVE THE ABILITY THE LAW ALLOWS FOR US TO MAKE THAT UP AT SOME POINT. BUT YOU WOULD BE CHARGING THE NEW INCREMENT AND THEN TRYING TO MAKE UP THE THE ONE YOU'VE ALREADY FOREGONE. SO YOU SORT OF CREATE A DIFFICULT SITUATION FOR TAXPAYERS TO ABSORB THAT GOING FORWARD AND THEN ASSUMING YOU DON'T GO BACK AND GET THAT GOING FORWARD YOU HAVE YOU KNOW, SET UP YOU'VE LOST THAT INCREMENT EFFECTIVELY FOREVER. WHEN WE TALK TO OUR RATING AGENCIES THEY WORK WITH US VERY CLOSELY TO UNDERSTAND OUR SYSTEM REALLY WELL. THEY ALWAYS POINT TO THE CONSISTENCY OF OUR PROPERTY TAX COLLECTIONS AS A BIG REASON BEHIND OUR TRIPLE-A BOND RATING AND SO WE HAVE CONCERNS THAT IF YOU WERE TO GET INTO A PRACTICE OF NOT TAKING THAT FULL AMOUNT YOU WOULD SORT OF JEOPARDIZE THE STABILITY OF OUR RATING GOING FORWARD. THANK YOU. A QUESTION ABOUT THESE DIRECT RELIEF TO SMALL BUSINESSES SO THIS IS THE $50 MILLION PER EACH YEAR IF THIS IF THE SHIFT EXCEEDS 175, WHERE IS THIS MONEY COMING FROM? IS THIS FREE CASH RESERVES? YEAH. SO WE HAVE TIME TO FIGURE OUT EXACTLY THE RIGHT PLACE TO FIND THE SOURCE FROM. WE DO HAVE FREE CASH AVAILABLE THAT COULD BE A RESOURCE IF IF YOU KNOW THAT IS NECESSARY. BUT I THINK WE NEED TO KIND OF UNDERSTAND THE SCOPE OF THE PROGRAM AND THE NEED AND WE'LL COME BACK TO YOU ALL WITH AN APPROPRIATION AT THE RIGHT TIME. OKAY. AND THE THE NUMBERS THAT WE HAVE HERE OF FOLKS THAT WOULD QUALIFY POTENTIALLY FOR THIS FUND ARE SMALL BUSINESSES WITH LESS THAN $5 MILLION IN REVENUE AND 50 EMPLOYEES AND BELOW. HOW DID YOU GET TO THESE NUMBERS? WHAT WAS THE JUSTIFICATION OF HAVING THEM QUALIFY FOR IT AND NOT FOLKS THAT HAVE $6 MILLION IN REVENUE OR 60 EMPLOYEES? SURE. I BELIEVE I'M LOOKING AT OTHERS. I BELIEVE THAT'S THE CITY'S DEFINITION OR OF SMALL BUSINESS. SO WE'RE JUST BEING CONSISTENT WITH THE DEFINITION OF HOW WE CATEGORIZE OR CATEGORIZE A SMALL BUSINESS IN THE CITY. AND THE AND THAT IS MY TIME AND I WILL BE RESPECTFUL OF MY COLLEAGUES TIME AND SWITCH TO I BELIEVE IT'S COUNCILOR FLYNN HERE LOUIJEUNE EXCUSE ME FLYNN MURPHY LOUIJEUNE HERE BREADON FITZGERALD WORLD WEBER AND WE'VE ALSO BEEN JOINED BY COUNCILOR FERNANDEZ ANDERSON. COUNCILOR FLYNN, YOU HAVE 6 MINUTES. THANK YOU, MADAM CHAIR. THANK YOU TO THE PANELISTS FOR BEING HERE. COMMISSIONER THIS YEAR WE'RE GOING TO SPEND $171 MILLION ON PEOPLES TRANSPORTATION. WHAT IMPACT WILL THAT HAVE NEXT YEAR? WILL SPEND MORE THAN THAT? WHAT IMPACT WILL THAT HAVE ON FUTURE BUDGETS? ALSO THE 8% INCREASE IN SPENDING ON THE CITY BUDGET. HOW ARE WE GOING TO ADDRESS THE SPENDING THAT TAKES PLACE IN THE CITY? I VERY MUCH APPRECIATE THE DISCUSSIONS HERE. I THINK PERHAPS MY COLLEAGUE THE CFO MIGHT BE A LITTLE BETTER EQUIPPED TO HANDLE IT JUST SLIGHTLY OUTSIDE MY PURVIEW. BUT THANK YOU SO MUCH. THANKS FOR THE QUESTION, COUNCILOR . SO OBVIOUSLY COST CONTROL IS AN IMPORTANT CONSIDERATION AS WE'RE BUILDING THIS UPCOMING BUDGET. WE'RE GOING TO BE STARTING OUR BUDGET SEASON VERY SOON WORKING WITH BHP'S AND ALL CITY DEPARTMENTS TO UNDERSTAND WHAT IS THE COST OF DELIVERING SERVICES FOR THE UPCOMING YEAR AND SO NEEDING TO OBVIOUSLY TAKE A CRITICAL LOOK TO MAKE SURE THAT COST GROWTH IS MATCHING OUR REVENUE GROWTH AND SO WE'RE JUST IN THE PROCESS OF GETTING STARTED ON THAT AND LOOKING FORWARD TO HAVING THAT CONVERSATION WITH ABOUT $171 MILLION INCREASE NEXT YEAR OR WILL WE TRY TO DO OUR BEST TO GET THAT DOWN, REDUCE THAT? YEAH, IT'S A LITTLE TOO EARLY TO SAY WHAT'S GOING TO HAPPEN WITH BHP'S TRANSPORTATION NEXT YEAR. I THINK WE WILL DO EVERYTHING WE CAN TO CONTROL THE COST GROWTH IN THAT LINE BUT I CAN'T SAY FOR SURE WHAT THAT COST GROWTH WILL BE AT THIS POINT. I KNOW THE 8% SPENDING THAT WE THAT WE HAVE THIS YEAR THAT CANNOT BE THAT CAN'T CONTINUE OBVIOUSLY FOR NEXT YEAR. BUT WHAT WOULD THE PERCENTAGE BE NEXT YEAR? WOULD IT BE A 6% OR 5%? CERTAINLY WOULDN'T IT BE 8%? BUT WHAT ARE WHAT ARE YOU THINKING RIGHT NOW? AGAIN, REALLY EARLY IN OUR PROCESS TO SAY WE'RE ONLY A COUPLE OF MONTHS INTO THE CURRENT FISCAL YEAR AND WE'RE GETTING READY FOR OUR PROJECTIONS FOR NEXT YEAR. SO IT'S TOO SOON TO SAY WHAT THE WHAT THE PERCENTAGE GROWTH WILL BE IN OUR REVENUES AT THIS POINT HIRING FREEZES ARE WE GOING NOW WE HAVE NO WE ARE NOT CONSIDERING HIRING WISE. WHY NOT? WE DON'T HAVE A REVENUE PROBLEM IN THE CITY. DO WE HAVE A SPENDING PROBLEM? NO. OUR SPENDING IN OUR REVENUES ARE MATCHED. TELL ME ABOUT SOME OF THE PROGRAMS THAT WE COULD REDUCE SPENDING PROGRAMS THAT WE COULD REDUCE OR ELIMINATE SO THAT WE'RE ABLE TO SAVE THE TAXPAYERS MONEY IN THIS CURRENT YEAR OR GOING FORWARD THIS CURRENT YEAR AND GOING FORWARD. I KNOW THERE'S A HUNDRED MILLION DOLLAR FREE CASH PROGRAM THAT THAT WE'RE THAT'S BEING DISCUSSED. ARE THERE ANY WAYS TO CUT ANY SPENDING RIGHT NOW? SO I THINK IN THE LETTER THAT THE MAYOR SHARED WITH ALL OF YOU A COUPLE OF WEEKS AGO, SHE OUTLINED A COUPLE OF IF WE NEEDED TO CLOSE A MID-YEAR BUDGET GAP, THE TYPES OF THINGS THAT WE WOULD NEED TO LOOK AT IN ORDER TO FILL A REVENUE SHORTFALL. AND SO THERE IS A NUMBER OF OPTIONS OUTLINED IN THERE RELATED TO OUR PUBLIC SAFETY CLASSES, DIFFERENT GRANT PROGRAMS THAT WE WOULD NEED TO ELIMINATE AND OTHER OPTIONS. SO BUT AGAIN FORTUNATELY WE ARE NOT IN A SITUATION WHERE WE HAVE A REVENUE PROBLEM IN THE CITY AND SO UNLESS WE DECIDED TO PULL BACK ON THOSE WE WE DON'T HAVE A NEED TO AND CERTAINLY ARE NOT INTENDING TO. I THINK WE HAVE TO ACKNOWLEDGE WE DO HAVE A SPENDING PROBLEM. WE DO HAVE A SPENDING PROBLEM IN THE CITY SPENDING $170 MILLION ON TRANSPORTATION AND SEEMS EXCESSIVE TO ME . HOW DO WE GET THAT FIGURE REDUCED I THINK IS A CRITICAL ISSUE. WE JUST CAN'T GO ALONG SPENDING $170 MILLION THIS YEAR AND THEN NEXT YEAR IT GOES UP TO $180 MILLION AND WE'RE STILL STRUGGLING WITH TRANSPORTATION GETTING OUR KIDS FROM ONES GETTING OUR KIDS FROM SCHOOL TO HOME AND AND VICE VERSA. HOW ARE WE GOING TO ADDRESS THAT FIGURE? THAT'S A CRITICAL FIGURE THAT WE NEED TO HAVE A SERIOUS DISCUSSION ABOUT $170 MILLION ON TRANSPORTATION FOR A TRANSPORTATION SYSTEM THAT IS NOT SUCCEEDING. WE'RE SPENDING MONEY THAT WE SHOULDN'T BE SPENDING AND THAT'S A LOT OF MONEY FOR TAXPAYERS THAT DOES THAT. SO JUST TO ADDRESS THAT, LIKE I SAID, WE ARE KICKING OFF OUR BUDGET PROCESS AND THAT WILL BE DEFINITELY SOMETHING OUR TEAM THE BUDGET TEAM IS LOOKING INTO TO MAKE SURE THAT WE CAN CONTROL COST GROWTH AS MUCH AS POSSIBLE. WE WILL HAVE MANY, MANY DISCUSSIONS WITH THE WAYS AND MEANS CHAIR AND YOU ALL ABOUT THOSE ISSUES AS WE KICK OFF THAT FY 26 BUDGET PROCESS. I HAVE ASKED AND CALLED FOR A HEARING ON THE PILOT PLAN FOR NONPROFITS TO PAY THEIR FAIR SHARE OF TAXES. I UNDERSTAND THIS ONGOING NEGOTIATIONS TAKING PLACE WHERE ARE WE? ARE WE WITH PILOT PLAN SO I DON'T THINK WE HAVE MUCH OF AN UPDATED PART FROM WHAT WE'VE SAID TO YOU ALL BEFORE. CONVERSATIONS ARE ONGOING AND WE'RE HOPEFUL TO ENGAGE WITH OUR NONPROFIT AND INSTITUTION PARTNERS. YOU KNOW, CONVERSATIONS ARE ONGOING BUT I'D LIKE TO GET A LITTLE BIT MORE INFORMATION ON THAT. I KNOW THERE ARE NEGOTIATIONS TAKING PLACE AND HERE'S A GOOD OPPORTUNITY TO GIVE US AN UPDATE SO WE KNOW EXACTLY WHAT IS TAKING PLACE WITH THE NONPROFIT COMMUNITY IN IN TAXES . YEAH. APART FROM YOU KNOW, CONVERSATIONS HAPPENING WITH SOME OF OUR KEY INSTITUTIONS, I DON'T HAVE MUCH MORE OF AN UPDATE TO OFFER TO YOU. ARE YOU SEEKING TO INCREASE THE TAXES THAT THE NONPROFITS PAY TO THE CITY AND BY HOW MUCH IS THAT THE TYPE OF DISCUSSION YOU HAVING WITH NONPROFITS? SO AS YOU KNOW IT'S A VOLUNTARY PROGRAM SO WE'RE HAVING DISCUSSIONS ABOUT MIXES OF DIRECT CASH ASSISTANCE VERSUS COMMUNITY BENEFITS AND ALL OF THE THINGS THAT GO INTO THE PILOT PROGRAM. SO IT'S ALL BEING DISCUSSED AND HOLISTICALLY WHAT THOSE ORGANIZATIONS FOCUSING MORE ON THE COLLEGES AND UNIVERSITIES BECAUSE THEY OWN A LOT OF PROPERTY SUCH AS HARVARD THAT OWNS MORE PROPERTY RIGHT NOW AND BOSTON THAN IT DOES IN CAMBRIDGE. ARE YOU FOCUSING ON THAT ISSUE? WE'RE HAVING CONVERSATIONS WITH HIGHER ED THE HOSPITALS, EVERYONE THAT PARTICIPATES IN THE PROGRAM. THANK YOU, MADAM CHAIR. THANK YOU. COUNCILOR FLYNN, COUNCILOR MURPHY OF 6 MINUTES. THANK YOU AND THANK YOU TO THE PANEL FOR YOUR TESTIMONY AND LIKE YOU SAID AND MARTY MENTIONED THAT WE ALL READ IT IN THE MEDIA WHEN SENATE PRESIDENT SPILKA SAID KEEP TALKING. OBVIOUSLY YOU DID AND HERE WE ARE SO MY QUESTION IS COULD YOU HIGHLIGHT AND I DO JUST WANT TO STEP BACK ONE POINT THAT A LOT OF THE QUESTIONS I I ASK AND ARE FOR THE PUBLIC ALSO. SO EVEN IF I KNOW THE ANSWERS TO THESE I THINK PEOPLE TUNING IN IT'S IMPORTANT TO KIND OF TALK THROUGH THIS SO THAT PEOPLE UNDERSTAND YOU KNOW WHY WE'RE HERE AND WHAT IT IS WE'RE ACTUALLY VOTING ON SO IF YOU COULD HIGHLIGHT THE BIGGEST CHANGES FROM THE FIRST HOME RULE PETITION THAT DIDN'T PASS. RIGHT. IT DID FAIL AND AT FIRST THE STORIES WERE THAT THE ADMINISTRATION WAS DIGGING THEIR HEELS IN AND THERE WOULD BE NO COMPROMISE AND NO CHANGES WOULD BE MADE. BUT THERE WERE TOO MANY PEOPLE UPSET AND PROBABLY REALIZED IT WASN'T GOING TO PASS WITHOUT THESE CONVERSATIONS. AND SO YOU KNOW, THE HOME RAIL PETITION WE'RE LOOKING AT NOW, WHAT ARE THE BIGGEST CHANGES? SURE. SO THE ORIGINAL HOME RULE PETITION THAT WE FILED IN THE SPRING HAD A LONGER TIME PERIOD. IT WAS A FIVE YEAR RAMP DOWN AND A HIGHER CEILING AND SO IT WAS MODELED AFTER ALMOST IDENTICALLY TO THE LEGISLATION THAT THE CITY SAW IT 20 YEARS AGO TO DEAL WITH A SIMILAR ISSUE. SO THE CAP THE MAX STARTED AT 200% AND WORKED ITS WAY DOWN OVER A LONGER PERIOD OF TIME THROUGH CONVERSATIONS WITH VARIOUS STAKEHOLDERS AND PARTICULARLY IN THE HOUSE OF REPRESENTATIVE AFTER THEY VOTED THE PROPOSAL THROUGH IN JULY WE HAD AGREED TO SORT OF MODIFY THE PROPOSAL VIA AN EXECUTIVE ORDER TO SHRINK THE TIMELINE AND SHRINK THE CAPS GOING FROM 200 TO 190% AND THEN AGAIN FURTHER CONVERSATIONS WITH OUR COLLEAGUES MODIFIED THAT EVEN FURTHER AND STILL THE SAME THREE YEAR TIME HORIZON BUT EVEN LOWER CAPS. ONE 81.5 BEING THE HIGHEST IN THE FIRST YEAR VIA A NEW HOME RULE PETITION WHICH IS WHY WE'RE HERE TODAY. AND THEN THE TWO ADDITIONAL LEGISLATIVE AUTHORIZED ACTIONS ON THE SMALL BUSINESS PIECE THERE'S JUST ONE OTHER CHANGE THAT I WAS MADE WHICH IS THAT THERE WAS AN OPT IN PERIOD IN THE FIRST HOME RULE THAT IS NOT IN THE CURRENT ONE. SO THAT'S THE ONE THE ONE LAST CHANGE THAT'S BEEN MADE AND YOU BROUGHT UP ACTUALLY THE AGREEMENT THAT GOT IT THROUGH THE HOUSE. IS IT VERY SIMILAR WHAT CHANGES TO WHAT THEY VOTED YES ON THAT THEN DIDN'T PASS THROUGH THE SENATE? IS IT IDENTICAL TO WHAT WAS PROMISED TO THE HOUSE? WHAT HAPPENED OR IS THERE CHANGES FROM THAT ASIDE FROM THE CAPS THE NUMBERS THEMSELVES I THINK THE HOME RULE PETITION THAT WE'RE TALKING ABOUT TODAY REFLECTS THE NEGOTIATION AND COMPROMISE THAT WE DEVELOPED BACK IN JULY. OKAY. AND I'M GOING TO ASSUME THIS IS A YES BUT THE BUSINESS COMMUNITY IS IN SUPPORT OF THIS WITH THE ASSUMPTION THESE EXEMPTIONS THAT WILL COME BACK TO US DO PASS CORRECT WITHOUT THE PASSAGE OF THESE EXEMPTIONS. IT'S NOT A HOME RULE PETITION THAT YOU WOULD BE FULLY SUPPORTIVE OF . IS THAT TRUE? I WANT TO BE CLEAR I DON'T SPEAK ON BEHALF OF THE ENTIRE BUSINESS COMMUNITY. I'M SPEAKING ON BEHALF OF THE RESEARCH BUREAU AND THE THREE OTHER ORGANIZED NATIONS THAT WERE PART OF THE CONVERSATION AND THE FOUR OF US ARE ASKING THE CITY COUNCIL TO APPROVE THE PROPOSED HOME RULE AND THE FOLLOWING MEETINGS WILL HAVE TO APPROVE THE EXEMPTIONS THAT WILL HAVE TO COME BACK TO US, CORRECT? YES. AS NIC WAS SAYING, YES, MANY MORE CONVERSATIONS THAT ARE GOING TO OCCUR BEFORE THIS IS IT'S NOT JUST A ONE. SO YOU THINK TODAY'S THE END SADLY YOU'LL GET OUR VOTES ON THIS. SO IF YOU COULD GIVE SPECIFIC NUMBERS ON HOW MANY MORE BUSINESSES WILL BE EXEMPT WHEN WE INCREASE IT FROM THE 10 TO 30 K AND WHAT THAT COST WILL BE TO THE CITY I'D BE HAPPY TO SHARE THAT WITH YOU. I SHOULD BE ABLE TO FIGURE IT OUT THIS AFTERNOON I DON'T HAVE THE PRECISE NUMBERS IN FRONT OF ME. IT CUTS THE NUMBER OF BUSINESSES THAT WOULD OTHERWISE PAY PERSONAL PROPERTY TAX ABOUT IN HALF. IT'S IT'S A FEW THOUSAND SMALL BUSINESSES THAT WOULD THEN BECOME EXEMPT BUT I DO HAVE THE EXACT NUMBERS BASED OFF OF FISCAL YEAR 24 REPORTING BECAUSE UNTIL FISCAL YEAR 25 IS DONE IT'S HARD TO SAY WITH PRECISION BUT I CAN GET THAT TO YOU THIS AFTERNOON AND THAT WOULD INCLUDE THE AMOUNT OF MONEY ALSO THAT THEY WILL NOT HAVE TO PAY AND NOT JUST THE NUMBER OF BUSINESSES YET YOU'LL HAVE BOTH THE PROJECTED COST IS AROUND IT'S BETWEEN ONE AND $2 MILLION AND THAT GETS BUILT INTO THE TAX RATE. ALL RIGHT. THANK YOU, JEFF. THANK YOU. COUNCILOR MURPHY. WE'VE BEEN JOINED BY COUNCILOR DURKAN. NEXT UP WE HAVE COUNCILOR LOUIJEUNE AND THEN COUNCILOR MCHUGH. THANK YOU COUNCILOR CLARA ZAPATA AND I JUST WANT TO THANK THE PANEL AGAIN WANT TO THANK THE TESTIMONY FOR MASSING YOUR ACTION COUNCIL . I THINK IT WAS REALLY SPOT ON AND I WANT TO THANK YOU MARTY FOR THAT OUTLINING THE VERY THOROUGH PROCESS THAT THIS CHAIR LED AND THE PROCESS AND I ALSO WANT TO THANK YOU FOR ALWAYS BEING RECEPTIVE TO PHONE CALLS AND CONVERSATIONS ABOUT THIS ALONG WITH THE SENATE PRESIDENT AND SO MANY OTHERS BECAUSE THE WORK CONTINUES EVEN OUTSIDE OF THIS CHAMBERS. I HAD A QUESTION REGARDING THE ONE 81.5%. CAN YOU TALK MY UNDERSTANDING IS THAT YOU KNOW AND I ALSO WANT TO CREDIT THIS COUNCIL THERE ARE A NUMBER OF PROPOSALS THAT ARE HAVE BEEN PART OF THIS THAT THIS WHEN WE'RE HAVING HEARINGS ON THIS THAT WE BROUGHT UP INCLUDING THE SMALL BUSINESS EXEMPTION LOWERING THE CAP SO WONDERING WHAT THAT ONE 81.5% FIGURE REPRESENTS MY UNDERSTANDING IS THAT IT REPRESENTS WHAT THE AVERAGE INCREASE IN TAXES FOR HOMEOWNERS HAS BEEN OVER THE PAST FEW YEARS. SO THAT WOULD BE IT WOULD BE IN LINE WITH A 9% INCREASE IN PROPERTY TAXES, NOT A SPIKE THAT WE WOULD SEE OTHERWISE IF THERE WAS NO SHIFT. IS THAT CORRECT? AND IF THERE'S MORE TO PROVIDE I WOULD LOVE TO HEAR THAT. SO RIGHT NOW WE'RE REALLY IN THE HOME STRETCH OF FIGURING OUT FINAL VALUES AND THAT'S PART OF THE DISCLOSURE PERIOD THAT COUNCILOR BRENNAN MAINSTREAMED IN HER OPENING REMARKS IS TO GET THAT FEEDBACK FROM OUR CONSTITUENTS AND FIGURE OUT WHERE WE NEED TO UPDATE VALUES. AND SO IT'S JUST A COUPLE OF MONTHS TOO EARLY TO GIVE LIKE EXACT PRECISION ON WHAT 181.5% SHIFT WOULD MEAN TO HOMEOWNERS IF WE HAD THAT AVAILABLE BECAUSE OF ALL THE OTHER MOVING PARTS. BASED ON THE EARLIER PROJECTIONS THOUGH THAT WE HAD WORKED THROUGH IT LOOK LIKE THAT WOULD POTENTIALLY LEAD TO APPROXIMATELY 9% INCREASE. YES. THANK YOU. AND IS THAT 9% CONSISTENT WITH WHAT WE EXPERIENCED HOMEOWNERS EXPERIENCED IN 2020, IN 2023 AND 2022 2021 OR WHAT? WHAT HAS IT BEEN IN THOSE PREVIOUS THREE YEARS? YEAH. SO OVER THE PAST FEW YEARS IT IT GOES UP AND DOWN WITH VALUES TAX RATES SO FOR FISCAL YEAR 24 FOR SINGLE FAMILIES THE INCREASE WAS JUST AROUND 8% FISCAL YEAR 23 IT WAS AROUND 9%, 22 WAS AROUND NINE AND A HALF PERCENT FISCAL YEAR 21 IT WAS AROUND 11 AND A HALF IN 2020 IT WAS AROUND SEVEN AND A HALF SO IT GOES UP AND DOWN REAL ESTATE VALUE ESPECIALLY RESIDENTIAL SINGLE FAMILY HOMES HAVE APPRECIATED QUITE A BIT IN THE PAST FEW YEARS. IT'S BEEN A REALLY STRONG MARKET. THE MARKET IS KIND OF LEVELING OFF A LITTLE BIT NOW COMPARED TO THOSE PRIOR YEARS SO YOU DON'T HAVE AS MUCH SKYROCKETING VALUE GROWTH BUT IT'S STILL A VERY STRONG AND STABLE MARKET. THANK YOU. AND I WANT TO AGAIN THANK THEM IN THE RESEARCH GROUP BECAUSE I BELIEVE I THINK IT WAS A SECOND OR THE THIRD HEARING THAT WE HAD ON THIS THAT WE HAD FINALLY REAL AND TANGIBLE NUMBERS TO AT LEAST 88 OFF OF WHICH I THINK WAS HELPFUL FOR US AS A COUNCIL AND FOR THE CITY TO REALLY SPARK THAT. I GUESS I HAVE ANOTHER QUESTION FOR YOU COMMISSIONER, AND THIS HAS TO DO WITH ANOTHER COMPANY THAT WE RECENTLY JUST HAD ARE WE ABLE TO FULLY CAPTURE AND REALIZE THE ASSET VALUE OF HOMES LIKE DO WE HAVE PROBLEMS OR IS IT IS IT A DIFFICULT TASK TO TAX THE REAL ASSESSED VALUE OF SOME OF OUR HOMES ESPECIALLY ONES THAT ARE IN THE SEVEN, EIGHT, NINE, $10 MILLION MARK? AND THANK YOU SO MUCH FOR THE QUESTION REALLY APPRECIATE IT IT'S A IT'S A TRICKIER QUESTION THAN THEY MIGHT SEEM RIGHT SO WE HAVE OVER 185,000 PROPERTIES IN THE CITY REAL ESTATE PROPERTIES THAT WE'RE OBLIGATED TO VALUE EACH AND EVERY YEAR AT FAIR MARKET VALUE. SO YOU KNOW, A LOT OF PEOPLE HAVE HAD THE EXPERIENCE OF BUYING HOME BUYING CONDO. WHEN YOU GET AN APPRAISAL THE APPRAISAL GIVES YOU AN IDEA OF WHAT THE FAIR MARKET VALUE IS IF YOU WANT TO RUSH TO APPRAISAL THAT TAKES ABOUT THREE DAYS FOR A SINGLE PROPERTY. SO IF YOU JUST PLAY THAT OUT THREE DAYS 185,000 PARCELS THAT'S 555,000 DAYS IF WE WERE GOING THROUGH THAT PROCESS OF DOING EVERY SINGLE PROPERTY AND DOING AN APPRAISAL ON EVERY SINGLE PROPERTY OF OUR RUSHED APPRAISAL, I OWN ABOUT 30 STAFF MEMBERS IN MY VALUATION DIVISION. SO IF YOU DIVIDE UP THAT 500 TO 5000 DAYS IT TURNS OUT TO BE ABOUT 50 YEARS WITH THE STAFF SIZE THAT I HAVE WE WERE GIVING INDIVIDUAL APPRAISALS FOR EACH AND EVERY PROPERTY AND SINCE WE HAVE DO IT EVERY YEAR THAT'S NOT A VIABLE SYSTEM NOT FOR BOSTON OR ANY MUNICIPALITY. SO THE WAY THAT WE GET AROUND THAT IS THAT WE USE A VALUATION SYSTEM CALLED COMPUTER ASSISTED MASS APPRAISAL AND SO THAT IS WE HAVE A NUMBER OF MODELS, DIFFERENT MODELS FOR DIFFERENT KINDS OF PROPERTIES DIFFERENT MODELS FOR DIFFERENT NEIGHBORHOODS AND WHAT WE INPUT INTO THOSE THINGS ARE THE ACTUAL ATTRIBUTES THAT WE KNOW OF PEOPLE'S PROPERTIES AND THEN FOR RESIDENTIAL PROPERTY WE INPUT IN SALES DATA THAT WE HAVE FOR THE YEAR AND SO WE ARE OBLIGATED WHEN WE GO AND GET OUR VALUES APPROVED BY THE STATE EVERY YEAR TO HAVE OUR ASSESSMENT OF SALE RATIOS BE AT 100% WITHIN MARGIN OF ERROR AND THEN VARYING CLASSES KIND OF SHIFT OFF THE PRIMARY CLASS PRIMARY CLASS FOR THE CITY AS CONDOMINIUMS BECAUSE WE HAVE MORE CONDOMINIUMS THAN ANYTHING ELSE. SO ALL OF THAT IS A SYSTEM THAT IS ONLY AS GOOD AS OUR ACTUAL DATA. NO ONE'S REQUIRED TO ALLOW US INTO THEIR HOMES. AND SO TO THE EXTENT THAT WE COLLECT DATA IT'S USUALLY BECAUSE WE'RE TOO AND THAT TENDS TO BE WHEN PEOPLE REACH OUT TO US AND THEY GO HEY, YOU KNOW, I ACTUALLY I WENT AND LOOKED AT YOUR RECORDS AND I DON'T ACTUALLY HAVE A THREE BEDROOM HOUSE. I HAVE A TWO BEDROOM HOUSE. YEAH. OKAY. WE'D LOVE TO CRACK THAT JUST BLOWS INTO YOUR PROPERTY SO WE CAN MAKE SURE THAT WE HAVE THE UPDATED DATA LIKE NO PROBLEM. WE DON'T GET A LOT OF PEOPLE THAT COME IN TO US AND GO HEY, YOU SAID THAT I HAD A ONE BEDROOM, ONE BATHROOM BUT ACTUALLY IT'S LIKE A FOUR BEDROOM, TWO AND A HALF BATHS WITH A BRAND NEW KITCHEN THAT I DIDN'T PULL PERMANENT BUT IT MIGHT BE HAPPENING RIGHT? RIGHT. BUT THAT YOU COULD GET IN HERE AND SO OUR DATA CAN KIND OF SHIFT AWAY FROM REALITY AND WE SPEND AN ENORMOUS AMOUNT OF TIME THROUGHOUT THE YEAR GOING OUT, KNOCKING ON DOORS, SEEING PEOPLE LET US INTO THEIR HOMES, LOOKING AT SALES TRANSACTIONS ON THE MLS REAL ESTATE SYSTEM TO KIND OF UPDATE FEATURES KIND OF UPDATE FEATURES AND DO EVERYTHING WE CAN TO GET OUR DATA AS ACCURATE AS POSSIBLE SO THAT WHEN WE DO USE THIS COMPUTER MODELING TO DO THIS MASS APPRAISAL IT COMES OUT TO THE STANDARDS THAT ARE REQUIRED BY THE STATE. SO IN THAT SYSTEM YOU'RE ALWAYS GOING TO HAVE OUTLIERS, YOU'RE ALWAYS GOING TO HAVE THINGS THAT ARE TOO HIGH AND TOO LOW AND THE PROCESS OF COMPLAINING IS ALWAYS TO GET THINGS THAT ARE TOO HIGH BACK TO THE RIGHT LEVEL. THERE REALLY ISN'T ANY INCENTIVE FOR ANY CONSTITUENT TO COME AND TELL US THAT THEY'RE NOT PAYING ENOUGH IN TAXES. IT DOES HAPPEN SOMETIMES. THANK YOU. I DON'T WANT TO SAY NEVER BUT IT'S VANISHINGLY SMALL. THANK YOU, COMMISSIONER. WELL, WE'LL HAVE A SECOND ROUND OF QUESTIONS AFTER THIS COUNCIL SUMMER HERE. THANK YOU, MADAM CHAIR. AND THANK YOU ALL. I HAVE A FEW QUESTIONS AND I'M GLAD THAT WE'RE GOING TO HAVE A SECOND ROUND BECAUSE I'M NOT SURE WE'RE GOING TO GET THROUGH ALL OF THESE. SO I'M CURIOUS ABOUT SECTION TWO WORK. IT CREATES A NEW TAX EXEMPTION UP TO I BELIEVE 30,000 IN PERSONAL PROPERTY TAX. CAN YOU JUST TALK ABOUT HOW THIS EXEMPTION WORKS AND GIVE SOME EXAMPLES OF WHAT THE PERSONAL TAX CURRENTLY GETS TAXED THAT WILL BE EXEMPT UNDER THIS? AND I JUST WANT FOR THOSE WHO ARE FOLLOWING ALONG THAT SOME OF THESE QUESTIONS IS REALLY MORE FOR THOSE FOLKS WHO DON'T HAVE THE PRIVILEGE OF BEING IN THE CHAMBER, WHO DON'T HAVE THE PRIVILEGE OF ACCESS TO INFORMATION. RIGHT. SO JUST BEAR IN MIND THAT THOSE FOLKS WHO FOLLOW ME ON SOCIAL MEDIA IN PARTICULAR ARE REALLY WORRIED ABOUT EVERYTHING THAT'S HAPPENING IN THIS CHAMBER. SO JUST KNOW THAT IT'S IN THAT SPIRIT IN WHICH I'M ASKING THESE QUESTIONS AND I'M HOPING THAT YOU CAN EMBRACE IT AS SUCH. THANK YOU SO MUCH FOR THE QUESTION, COUNSELOR. I'M HAPPY TO ANSWER THAT PERSONAL PROPERTY TAX IS PROBABLY ONE OF THE MOST CONFUSING ASPECTS OF WHAT MY STATISTICS MINUTES BECAUSE I KNOW I DID NOT SPEAK FOR 5 MINUTES I HAVE ALREADY LEFT FOR 46 AND YET I STARTED IT WHEN YOU SPOKE SO IT'S OKAY. ALL RIGHT. SO JUST QUICKLY BECAUSE I HAVE THREE MORE QUESTIONS. OKAY. I WILL TRY AND BE AS QUICK AS I POSSIBLY CAN. IT'S AN EXTREMELY BIZARRELY COMPLICATED SUBJECT. THE EASIEST WAY TO THINK ABOUT IT IS TABLES, CHAIRS, COMPUTERS, TVS. THOSE ARE ALL PERSONAL PROPERTY ITEMS. IT'S THINGS THAT ARE NOT AFFIXED TO REAL ESTATE. AND SO WE HAVE A SYSTEM TO TAX THOSE THINGS AND THEN WE ALSO HAVE A SYSTEM OF AN ENORMOUS NUMBER OF EXEMPTIONS WHICH IS WHY THE VAST NUMBER OF INDIVIDUALS DON'T PAY THOSE TAXES. SO THERE IS AN EXEMPTION ON YOUR PERSONAL HOME HOUSEHOLD ITEMS SINCE WE'RE NOT SENDING YOU BILLS FOR YOUR COUCHES. SO FOR SMALL BUSINESSES, HOWEVER, THEY DO HAVE TO PAY THOSE AND THEN WHAT THEY PAY ON DEPENDS ON THEIR CORPORATE FORM . SO THERE'S DIFFERENT EXEMPTIONS IF YOU'RE AN LLC VERSUS A CORPORATION VERSUS A SOLE PROPRIETOR AND SO THERE ARE DIFFERENT BUCKETS THERE. THANK YOU. CAN YOU JUST TALK TO US A LITTLE BIT ABOUT YOU KNOW, I'VE HEARD THAT DURING THE NEGOTIATIONS THAT WAS CREATED THAT CREATED THIS WHOLE PETITION THAT THE MAYOR AND THE ADMINISTRATION OFFERED LEADERS YOU KNOW, THE GREATER BOSTON CHAMBER, MY MTF AND OTHERS THE CHANCE IN THE COURT WAS TO COLLABORATE ON THE CRITERIA FOR $50 MILLION DEPLOYMENT OF ADDITIONAL RESERVES FOR PRIVATE PROJECTS THROUGH HOUSING THE HOUSING ACCELERATOR FUND TO COMPLETE AND COMPLEMENT EXCUSE ME THE MOMENTUM FUND. CAN YOU TALK TO ME ABOUT HOW THAT COLLABORATION CRITERIA LOOKS AND WHAT IT MEANS? AND I'M GOING TO TELL YOU SPECIFICALLY WHAT I'M LOOKING FOR IS THAT DEVELOPERS PARTICULARLY DEVELOPERS OF COLOR USUALLY OFTEN DON'T HAVE ACCESS OR OPPORTUNITIES TO BUILD HERE IN THE CITY OF BOSTON. AND SO I'D LOVE TO HEAR A LITTLE BIT ABOUT WHAT THE CITY'S GOING TO DO TO HELP SUPPORT BLACK OWNED AND MINORITY OWNED BUSINESSES IN THIS. LIKE WHAT DOES THAT LOOK LIKE IN TERMS OF COLLABORATION AND WHAT HOW ARE YOU GOING TO LIKE HOLD YOURSELF ACCOUNTABLE TO THAT? SURE. SO YOU A COUPLE OF WEEKS AGO AT THIS POINT I THINK THE MAYOR ANNOUNCED AN INTENTION TO SEEK $100 MILLION FOR THIS HOUSING ACCELERATOR FUND CONCEPT. ABOUT HALF OF THAT MONEY WE ENVISION WILL GO TOWARD PROJECTS THAT AN AND THE OTHER HALF WE ARE SORT OF THINKING ABOUT HOW TO UTILIZE THAT IN CONJUNCTION WITH THE STATES MOMENTUM FUND WHICH IS PROVIDING INVESTMENT INTO PRIVATE DEVELOPMENT TO KIND OF SPUR HOUSING PRODUCTION. SO AT ONE POINT IN THE PROCESS WE YOU KNOW, TALKED ABOUT WITH OUR PARTNERS IN THE BUSINESS COMMUNITY HOW WE COULD COLLABORATE TO DESIGN THAT. I THINK WE'RE VERY MUCH STILL IN THE EARLY ISH PHASES OF THINKING ABOUT HOW THAT NON VHA PORTION OF THE HOUSING FUNDS WILL BE LINKED UP WITH THE MOMENTUM FUND AND SO ON AND SO FORTH. SO AND WE'LL BE COMING BACK TO YOU ALL TO TALK MORE ABOUT THAT. BUT YOU KNOW VERY MUCH IN THE EARLY STAGES YEAH, GREAT. SO THEN I'M JUST CURIOUS YOU KNOW COURSE WE'RE TALKING ABOUT AWARDING GRANTS AND PROVIDING PROGRAMS TO BUSINESSES THAT MEET CERTAIN ELIGIBILITY REQUIREMENTS. SO CAN YOU JUST SHARE MORE DETAILS ABOUT WHAT THOSE GRANTS AND PROGRAMS WOULD BE? WHAT DOES THAT LOOK LIKE? THE SMALL BUSINESS IN HERE? SO WHAT THE LEGISLATION ALLOWS US TO DO IS JUST GIVES US THE AUTHORITY TO DIRECTLY GRANT TO SMALL BUSINESSES. RIGHT NOW WE WE DON'T HAVE THAT ABILITY AND SO WE WOULD HAVE THAT TEMPORARY FLEXIBILITY. I THINK WE FRANKLY NEED TO UNDERSTAND HOW IF AT ALL THIS PROPOSAL FLOWS THROUGH AND IMPACTS SMALL BUSINESSES. SO BILLS HAVE NOT HIT THE STREET YET. RIGHT. I THINK WE KNOW THAT THROUGH THIS TOOL IF A SMALL BUSINESS IS OPERATING IN A, YOU KNOW, DISTRESSED COMMERCIAL BUILDING ,THOSE TAXES ARE GOING TO GO DOWN. SO I THINK WE NEED TO UNDERSTAND AND AND BECAUSE I THINK WE'RE IN A MOMENT HERE HAVING GROWN UP HERE IN THE CITY OF BOSTON, I THINK WHAT I HEARD A LOT FROM OUR PUBLIC TESTIMONY IS LIKE SOME FOLKS WHO BOUGHT THEIR HOMES IN THE SEVENTIES IN THE EIGHTIES WERE NOBODY WANTED TO LIVE IN BOSTON . ALL OF A SUDDEN EVERYBODY WANTS TO LIVE HERE AND ALL OF A SUDDEN EVERYBODY'S TRYING TO GET KICKED OUT, RIGHT? THAT'S KIND OF LIKE HOW WE'RE ALL EXPERIENCING THIS CONVERSATION. IT MAY NOT BE THAT CASE BUT THAT'S HOW THOSE FOLKS WHO GREW UP HERE FEEL. RIGHT. AND I THINK THAT THERE IS SOMETHING TO BE SAID ABOUT WHAT THIS MOMENT IS ALL ABOUT BECAUSE OUR PROPERTY VALUES LIKE YOU HAVE FOLKS WHO ARE BUILDING CONDOMINIUMS NEXT DOOR TO US AND THOSE CONDOMINIUMS ARE GOING FOR $800,000. WE ONLY BOUGHT OUR HOMES FOR $50,000 LIKE HOW DO WE GRAPPLE WITH THAT? AND I THINK EVEN THOUGH THAT'S NOT PART OF THIS CONVERSATION, I THINK IT GIVES US AN OPPORTUNITY TO EXPLORE THAT EVEN FURTHER. AND I HAVE ANOTHER RIGHT TO ASK YOUR QUESTION. THANK YOU, COUNCILOR MEJIA. OKAY. ALL RIGHT, COUNCILOR BURTON AND THEN FITZGERALD, THANK YOU, MADAM CHAIR. THE LET'S START IT SAYS THAT THE EVALUATE REEVALUATION REVALUATION PROCESS ONLY COVERED TAXABLE PROPERTIES OR HAS THERE BEEN A COMPREHENSIVE REVIEW REEVALUATION OF TAX EXEMPT PROPERTIES OF ALL TYPES OF OWNERSHIP IN A WE WE DID THIS A FEW YEARS AGO WHEN WE STARTED A CONVERSATION ABOUT PILOT WHAT HAVE WE REVALUATE REVERT REVALUED ALL THE COMMERCIAL AND RESIDENTIAL PROPERTIES THIS YEAR HAVE WE DONE THE SAME FOR THE NONTAXABLE PROPERTIES IN THE CITY? NO. THANK YOU SO MUCH FOR THE QUESTION COUNCILOR BRYDON WE CONTINUE TO UPDATE OUR VALUES FOR ALL PROPERTIES THROUGHOUT THE CITY EXEMPT IN TAXABLE DATA ON EXEMPT ONES IS TRICKIER BUT WE CONTINUE TO UPDATE THE VALUES AND SO WE CONTINUE TO UPDATE THEM. WE JUST AND ARE WE ACTUALLY GOING OUT AND AND BECAUSE THESE THESE PROPERTIES DON'T CHANGE AND SO YOU DON'T GET COMPARABLES FROM SALES HOW HOW DO YOU ACTUALLY REVALUE NOT TAX EXEMPT PROPERTIES IN THE CITY? YEP NO. TWO YOU HIT THE NAIL ON THE HEAD ON WHY IT'S TRICKIER. SO THE WAY THAT WE VALUE COMMERCIAL PROPERTY IS BASED OFF OF INCOME AND THE SAME POINT THAT YOU'RE MAKING WHERE THE EXEMPT PROPERTIES DON'T TEND TO CHANGE HANDS TOO MUCH SO SALES DATA ISN'T VERY USEFUL . THEY ALSO DON'T GENERATE INCOME IN THE SAME WAY AS THEY'RE NOT LEASING THEIR PROPERTY TO SOMEBODY ELSE AND IF THEY DO IT'S TAXABLE. SO IN THAT SENSE WE KIND OF HAVE TO MAKE EDUCATED GUESSES ABOUT A COMPARABLE TYPE OF COMMERCIAL PROPERTY AND ATTRIBUTE VALUE THAT WAY. BUT IT IS VERY HARD TO MAKE DIRECT COMPARISONS BECAUSE YOU DON'T HAVE A LOT OF TAXABLE LECTURE HALLS. THE OTHER ISSUE IN THE CITY OF BOSTON IS ABOUT 50 ONLY IS IT ONLY 50 OR 53% OF OUR PROPERTY IS NONTAXABLE. IS THAT BALLPARK FIGURE THEREABOUTS? I THINK THAT INCLUDES GOVERNMENT PROPERTY AND GOVERNMENT PROPERTY. SO CAN YOU GIVE ME THE BREAKDOWN OF BETWEEN GOVERNMENT PROPERTY AND AND I IMAGINE ED'S AND ARE CULTURAL ORGANIZATIONS WHAT'S THE BREAKDOWN? I CAN HAVE SOMEONE LOOK INTO THAT. I DON'T HAVE THE DATA OFF THE TOP OF MY HEAD AND UNFORTUNATELY YEAH BECAUSE IT IS A HUGE, HUGE FOOTPRINT FOR THE STATE STATE PROPERTY, FEDERAL PROPERTY AND CITY PROPERTY THAT'S ALL NONTAXABLE AS WELL AS JUST THE THE PILOT INSTITUTIONS. SO I KNOW WE'RE IN THE PROCESS OF SORT OF TRYING TO REVAMP THE PILOT PROGRAM WITH OUR IN CONVERSATION WITH OUR INSTITUTIONS AND I KNOW THE PILOT ACTION GROUP IS THE ADVOCATES ON THE OUTSIDE ARE REALLY PUSHING HARD TO SEE IF WE CAN MOVE THIS THIS PROGRAM AND REVAMP IT SOMEWHAT. THE 25% OF REGULAR ASSESSMENT NOT FOR THOSE WHO ARE WATCHING THE NONPROFIT CONTRIBUTION. THE PILOT PROGRAM IS DESIGNED TO HAVE 25% OF THE WHAT WHAT WILL BE THE REGULAR ASSESSMENT TO BE PAID TO THE CITY? 12 AND A HALF PERCENT WOULD BE IN CASH AND 12 AND A HALF WOULD BE PERCENT WOULD BE IN COMMUNITY COMMUNITY BENEFITS. AND I THINK ALSO PART OF THAT CONVERSATION IS WHAT DEFINES A COMMUNITY BENEFIT AND HOW DO WE EVALUATE SOME INSTITUTIONS PROVIDE SCHOLARSHIPS THAT'S THAT'S MEASURABLE IN A WAY BUT OTHER OTHER PROGRAMS ARE LESS MEASURABLE. SO SOME OF OUR HOSPITALS PROVIDE FREE CARE. WE CAN MEASURE THAT. SO I THINK THAT'S PART OF THE CONVERSATION THAT WE'RE HAVING RIGHT NOW WITH REGARD TO PILOT AND I'M HOPEFUL AS THE CHAIR OF THE PILOT COMMITTEE THAT WE CAN ACTUALLY MOVE THAT FORWARD AND MAKE SOME PROGRESS. WE'VE BEEN TALKING ABOUT IT FOR A LONG TIME. ONE OF THE ISSUES WITH CHALLENGE WITH IS WE HAVE AN INCREDIBLE CHANGE OF LEADERSHIP IN OUR ADS MEDS AND WE ARE TRYING TO GIVE PEOPLE TIME TO GET SETTLED AND START SO THAT'S AN ONGOING CONVERSATION. THE OTHER QUESTION I HAD WAS THE THE ONLINE REEVALUATION ASSESSMENT REVIEW FORM THAT WE TALKED ABOUT IF IF THERE'S A DISCLOSURE PERIOD THAT'S ONGOING, NO CONSTITUENTS NEED TO CONTACT ASSESSING TO REQUEST A REVIEW OF DISCLOSED ASSESSED VALUE IF THEY WANT TO CONTEST IF THEY WANT TO CHALLENGE THE EVALUATION IS THAT CORRECT? OH, I APPRECIATE YOU BRINGING IT UP BECAUSE IT'S NOT ABOUT CHALLENGING YOUR YOUR VALUE AT THIS POINT SO THERE'S EVERY YEAR THERE'S AN OPPORTUNITY FOR ALL OF OUR CONSTITUENTS TO COME IN AND CHALLENGE THEIR PROPERTY VALUE AND THAT'S CALLED THE ABATEMENT PERIOD, RIGHT? SO THAT IS DURING THE 30 DAYS AFTER THE BILL IS ISSUED AFTER TAX RATES COME OUT TRADITIONALLY THAT'S THE BILL THAT GETS MAILED IN DECEMBER AND SO PEOPLE HAVE THE MONTH OF JANUARY TO FILE IN THE BETWEEN APPLICATION AND THEN THAT'S A MORE IT'S NOT A HARD PROCESS TO GO THROUGH BUT IT'S IT'S A LITTLE MORE TIME THAN WHAT WE'RE TALKING ABOUT NOW FOR THE DISCLOSURE PERIOD. THE DISCLOSURE PERIOD IS SOMETHING THAT HAPPENS SPECIFICALLY DURING RECERTIFICATION YEARS AND THAT IS SOMETHING WHERE WE GIVE CONSTITUENTS THE OPPORTUNITY BEFORE VALUES ARE FINALIZED TO GET AN IDEA OF WHERE WE THINK THEIR VALUE IS GOING TO BE AS WELL AS SOME BASIC PROPERTY ATTRIBUTES. AND SO IT GIVES THEM AN OPPORTUNITY BEFORE THE WAITING PERIOD EVEN COMES UP. SO BEFORE WE ACTUALLY SEND THEM THE TAX BILLS OF THEIR FINAL VALUE FOR THEM TO COME AND SAY LIKE HEY YOU GOT THIS THING WRONG, CAN YOU FIX IT? AND THEN WE WORK IN ALL OF THOSE CHANGES THAT WE POSSIBLY CAN BEFORE WE FINALIZE VALUE SO THAT PEOPLE DON'T HAVE TO GO THROUGH THE ABATEMENT PROCESS. OKAY. SO IT'S GOOD TO HAVE THAT CLARIFICATION. SO IF SOMEONE HASN'T IMPROVED THEIR PROPERTY AND INVESTED MONEY IN THEIR PROPERTY THEN THEY CAN POSSIBLY COME BACK TO YOU AND SAY HANG HANG ON A MINUTE, I KNOW THIS IS A HOUSE THAT SOLD NEXT DOOR FOR SUCH AND SUCH A PRICE BUT MY HOUSE DOESN'T COMPARE TO THAT BECAUSE I HAVEN'T INVESTED THIS THAT THE OTHER THING IN IT. SO THAT'S A WAY FOR THEM TO HAVE THAT CONVERSATION WITH THE ASSESSING DEPARTMENT. YES, VERY MUCH SO. VERY GOOD. THANK YOU. MY TIME'S UP FOR NOW SO THANK YOU. THANK YOU. COUNCILOR BIRD AND COUNCILOR FITZGERALD. THANK YOU, MADAM CHAIR. I WAS READING SOMEWHERE IF THE HIT WERE TO COME IN THIS FIRST YEAR AS A WHOLE RATE AT SOMETHING LIKE ON AVERAGE IT WAS IT WAS LIKE 762 OR 862 OR SOMETHING RIGHT. WHAT WAS THE SO CHALLENGES DO DOLLARS ON THE ANNUAL YEAH I THINK BASED ON YEAH BASED ON OUR I THINK I GOT AS WE'VE BEEN GETTING MORE AND MORE INFORMATION THE NUMBERS HAVE CHANGED SLIGHTLY I THINK AT ONE POINT IT WAS ABOUT A $900 INCREASE AND JUST SORT OF YOU KNOW SINCE WE'RE FINE BUT THE EXACT NUMBER WAS AN APPOINTMENT $900 ALL IN ONE YEAR RIGHT OVER THE COURSE OF THE YEAR. BUT GIVEN THIS OVER THE COURSE OF THE THREE YEARS WITH THIS TAX WITH THE INCREASE MIGHT COME ON THE COMMERCIAL VALUE AND THIS IS WHAT I WANT FOLKS TO UNDERSTAND WHAT I'M GRAPPLING WITH IS WE'RE STILL GOING TO GET TO THAT $900 OVER THE COURSE OF A YEAR WITHIN THREE YEARS. SO THE FOLKS THAT ARE SAYING THIS THIS INCREMENT MIGHT DRIVE ME OUT OF THIS YEAR AND I WANT THE FOLKS IN THE AUDIENCE TO KNOW AS WELL WE'RE STILL GOING TO HAVE THAT PROBLEM IN THREE YEARS, CORRECT? I MEAN THEY'LL STILL BE THAT $900 INCREASE THAT ALL OF US WILL AS RESIDENTS WILL SORT OF HAVE TO FACE. AND SO WHAT I GRAPPLE WITH IS WELL, IF WE'RE GOING TO GET TO IF YOU'RE LIVING ON THE EDGE WHERE 900 IN THIS UPCOMING YEAR IS GOING TO DRIVE YOU OUT OF YOUR HOME AND YOU'RE ON A FIXED INCOME AND EVERYTHING ELSE PRICES OF EVERYTHING ELSE GOING UP INSURANCE EVERYTHING ELSE KEEPS GOING UP BECAUSE OF THE HIGHER APPRAISALS AND WE'RE GOING TO GET TO THAT 900 IN THE REALLY THE BLINK OF AN EYE RIGHT IN THREE SHORT YEARS WILL BE AT THAT. WHAT CHANGES FOR THE FOLKS THAT ARE THAT WOULD DRIVE THEM OUT TODAY? RIGHT AND SO DO WE DO THAT GUYS THAT THAT THAT REALITY IS STILL THERE THAT FEAR OF OF THAT COST DRIVING US OUT OF THE CITY. IT'S STILL GOING TO BE THERE IN THREE YEARS. YOU'RE NOT YOU'RE JUST DELAYING THAT JUST A COUPLE OF YEARS BUT YOU'RE STILL GOING TO HAVE TO PAY THAT FULL AMOUNT. AND DO WE DO THAT GIVE THIS THREE YEAR SORT OF PHASED IN HIATUS IF YOU WILL, TO ALLOW FOR WHAT WE COULD POTENTIALLY DO A IRREPARABLE HARM TO THE COMMERCIAL DISTRICTS IN OUR CITY BECAUSE IT'S I THINK IT'S A LOT HARDER FOR SOME BUSINESSES TO COME BACK OFF OF THAT. AND SO THAT'S WHAT I STRUGGLE WITH OF OF YOU KNOW, TO THE SMALL BUSINESS TO THE BUSINESS WANT TO DO BUSINESS THE BUSINESSES WANT TO COME TO BOSTON TO DO BUSINESS KNOWING THAT THIS IS THE TAX RATE DOES IT HURT US IN THE FUTURE OF ATTRACTING JOBS IN INFLUENCE PHILANTHROPIC DOLLARS THE FOLKS THAT COME IN HERE FOR THE SAKE OF POTENTIALLY A NOT THAT WILL STILL HAVE TO PAY JUST THREE YEARS DOWN THE LINE AND THOSE FOLKS WILL STILL BE IN THE SAME POSITION OF OH I MIGHT STILL HAVE TO LEAVE BOSTON THIS YEAR JUST NOT IN THREE. SO THAT'S WHAT I'M CONTINUING TO GRAPPLE WITH. BUT IT LEADS ME TO A COUPLE OF QUESTIONS BECAUSE I KNOW I ONLY GOT 3 MINUTES LEFT NOW BUT IN TERMS OF SPENDING RIGHT. AND WE'RE THINKING ABOUT OKAY, MAYBE WE SHOULD HAVE SEEN THIS COMING A LITTLE SOONER AND STARTED TO MAKE SOME CUTS INCREMENTALLY JUST AS WE'RE INCREMENTALLY DOING THE TAX INCREASE OR LOWERING IT. WHAT IS THE DOLLAR AMOUNT IN THE BUDGET THAT WOULD CAUSE A 1% TAX REDUCTION? RIGHT. IT'S AT 9% THIS YEAR IF WE WANT IT TO GO TO EIGHT, WHAT IS THE DOLLAR AMOUNT? I WOULD HAVE TO CUT OUT OF THE CITY BUDGET IF WE WERE LOOKING TO CUT SPENDING. DOES ANYONE I DON'T KNOW LIKE I KNOW IT'S AN AWKWARD QUESTION BUT IT'S NOT BECAUSE WE'VE TALKED ABOUT THIS AT THE RESEARCH BUREAU SO I I'LL JUST GIVE YOU NUMBERS THAT WE'VE ALREADY RELEASED IF ONE WERE TO CUT 1% FROM THE CURRENT YEAR BUDGET USING THE PORTIONS OF THE BUDGET OVER WHICH THE MAYOR HAS SPENDING CONTROL SO NOW 100% OF THE BUDGET IS SOMETHING SHE CAN REDUCE. SO IT'S NOT FAIR TO SAY TO SOMEBODY GO REDUCE THE DEBT WHEN FOR EXAMPLE YOU CAN'T REDUCE THE META ASSESSMENT. YOU'VE GOT TO BE FAIR WHEN THINKING ABOUT THOSE NUMBERS SO WE ESTIMATED THAT A 1% BUDGET REDUCTION IS APPROXIMATELY $34 MILLION USING THE PORTION OF THE BUDGET THAT CAN LEGITIMATELY BE REDUCED. I JUST WANT TO BE CLEAR THAT'S A 1% BUDGET REDUCTION BUT WHAT WOULD IT TAKE TO DROP THE TAX RATE 1% TO GET WHAT I'M SAYING? OH, THAT IS WAY OUT OF SOMETHING I CAN CALCULATE. WELL NO I KNOW AND AND THAT'S BECAUSE I'M JUST WONDERING AS WE'RE THINKING OF GOING FORWARD HERE BECAUSE WE KNOW THAT THE COMMERCIAL VALUES MIGHT NOT BE COMING BACK IN THE FUTURE. SO THIS IS A FUTURE PROBLEM AS WELL. AND JUST THINKING OF ALL RIGHT, IF IF WE COULD START TO CUT SOME SPENDING NOW HOW DO WE MAKE UP THAT TIME OVER THE DIFFERENCE KNOWING THAT WE'RE STILL GOING TO HAVE THIS PROBLEM IN THREE YEARS AND BEYOND WITH COMMERCIAL VALUE PROPERTY? SO I DON'T HAVE THE EXACT NUMBER I KNOW WHAT YOU'RE TRYING TO GET TO BUT I THINK IN THE LETTER WE SENT TO YOU ALL OR THE MAYOR SENT TO ALL WE SORT OF SAID TO ACHIEVE THE SAME LEVEL OF TYPE OF TAX INCREASE THAT THE PROPOSAL ALLOWS FOR, WE WOULD HAVE TO CUT ABOUT $265 MILLION FROM THE CITY BUDGET. SO SO THAT'S NOT QUITE WHAT YOU'RE ASKING FOR BUT IT'S SORT OF LIKE THE SAME FLAVOR. YEAH. AND THEN I THINK IT'S ALSO REALLY IMPORTANT TO KNOW THAT IT'S NOT JUST CUTS YOU HAVE TO CUT AND YOU HAVE TO NOT COLLECT THAT REVENUE RIGHT? YOU HAVE TO FOREGO THAT PROPERTY TAX REVENUE FOREVER AND ALWAYS UNLESS YOU WANT TO MAKE IT UP AT SOME POINT BY YOU KNOW I DIDN'T TAX YOU LAST YEAR BUT I'M GOING TO TAX YOU THIS YEAR LAST YEAR'S AMOUNT IN THIS YEAR'S AMOUNT SO IT'S NOT CUTTING IF WE CUT, YOU KNOW, 30,000,040 MILLION, $265 MILLION FROM THE BUDGET IF WE DON'T MAKE ANY CHANGES TO THE AMOUNT OF PROPERTY TAXES WE COLLECT, IT DOESN'T IMPACT THAT THE PROPERTY TAX FORMULA IS YOU KNOW YOUR LEVY AND IT HAS NOTHING TO DO WITH SPENDING. SO I THINK IT'S A REALLY IMPORTANT DISTINCTION. NO, I APPRECIATE THAT. SO WOULD IT BE MORE THAT WE COLLECT ALWAYS THE FULL AMOUNT THAT WE WOULD COLLECT BUT WOULD WE JUST TAKE IF WE WERE TO REDUCE SOME OF THE SPENDING THAT WE DO LET'S TAKE THE WORK CUT OUT. WE WOULD DO SOME OF THE SPENDING AND WHATEVER IS LEFT OVER OF THAT MONEY PUT TOWARDS RESIDENTIAL EXEMPTIONS OR OTHER THINGS THAT WE COULD USE THAT WOULD KEEP THE RATE DOWN FOR RESIDENTS. SO YOU MEAN KIND OF UTILIZING RESOURCES TO KIND OF PROVIDE REBATES TO FOLKS OR JUST ESSENTIALLY TAKING WHAT WE HAVE AS A FULL BUDGET AND SAYING LOOK, WE'RE GOING TO TAKE MONEY AWAY FROM OTHER THINGS THAT WE DO AND UNDERSTANDING THAT SOME SERVICES MAY BE REDUCED IN THAT BUT WE'RE GOING TO PUT IT TOWARDS HELPING YOU WITH YOUR TAXES. YEAH. SO WE'VE SORT OF EXPLORED THAT ISSUE A LITTLE BIT. THE CONCEPT OF UTILIZING DIFFERENT CITY RESOURCES RESERVES, WHATEVER TO PROVIDE YOU KNOW, BASICALLY PAY PEOPLE BACK FOR, YOU KNOW, THE TAXES. SO FAR AS WE CAN TELL THERE'S NO LEGAL MECHANISM FOR US TO DO THAT. SO WE WOULD HAVE TO SEEK THE AUTHORITY TO DO THAT AND WE THINK THERE'S POTENTIAL CONSTITUTIONAL QUESTIONS INVOLVED IN THAT. SO IT'S A IT'S A BIT MORE COMPLICATED THAN JUST SORT OF YOU KNOW, WE DON'T SPEND THIS WE CAN GIVE IT TO YOU OVER HERE. SO SO THAT'S KIND OF THE CHALLENGE THE CHALLENGE WITH THAT CONCEPT AND I KNOW MY TIME IS UP BUT THANK YOU VERY MUCH AND I WILL HAVE MORE QUESTIONS . THANK YOU, JOE. THANK YOU SO MUCH. THERE WILL BE A SECOND ROUND COUNCILOR WORRELL AND THEN COUNCILOR WEBER THANK YOU CHAIR . I KNOW THERE'S A FEW DIFFERENT WAYS THAT CITIES GENERATE REVENUE WHETHER THERE'S PROPERTY TAX, INCOME TAX AND SALES TAX, THE TAX REVENUE THE CITY GENERATES ASIDE FROM PROPERTY TAX IS MOTOR VEHICLE TAX. MOTOR VEHICLE EXCISE TAX, A HOTEL TAX AND MEAL TAX JET FUEL TAX WHICH IS ALL REGULATED BY THE STATE. THOSE ACCOUNT FOR $277 MILLION THAT WE BUDGETED FOR IN A $4.6 BILLION FISCAL YEAR 2025 BUDGET WHICH MAKES UP 6% OF OUR TOTAL BUDGET. SO I GUESS IT'S A QUESTION FOR CFO GOTHAM BERGER DOES FINDING NEW REVENUE RIGHT CHANGE THE DYNAMIC OF THE TAX RESPONSIBILITY AND THEN ALSO DOES IT CHANGE THE AMOUNT OF TAX WE WOULD COLLECT AND WHO SHOULDERS THE RESPONSIBILITY AND THEN ON TOP OF THAT, YOU KNOW, KIND OF SEEING THAT, YOU KNOW, EXCISE TAX NO TAX THROUGH TAX ONLY GENERATE $277 MILLION. IS THERE ANYTHING YOU KNOW THAT WE'RE THINKING ABOUT THAT HAS KNOW ANYWHERE IN THE WAY THAT WE CAN SCALE OUT CITY WIDE THAT'S NOT A BURDEN ON, YOU KNOW, OUR SENIORS OR OUR WORKING CLASS INDIVIDUALS THAT CAN GENERATE THE GAP OF THE $265 MILLION. YEAH. SO IF IT'S OKAY, I'M GOING TO ACTUALLY DEFER THAT QUESTION TO MARTY AND THE RESEARCH CHAIR BECAUSE WE'VE BEEN HAVING A LOT OF CONVERSATIONS ABOUT THIS EXACT TOPIC. SO YOU'RE TOUCHING ON THE QUESTION OF REVENUE DIVERSIFICATION AND AS SOME OF YOU KNOW WE HAVE BEEN WORKING ON A REPORT TO TRY TO ANSWER THOSE EXACT QUESTIONS AND I WAS LITERALLY EDITING IT YESTERDAY. IT WILL BE WE EXPECT RELEASED MID-NOVEMBER TO HELP ANSWER THAT QUESTION THE HEADLINES ON IT ARE THAT GIVEN THE SCALE OF THE PROPERTY TAX AND THAT IT'S 71% FUNDING 71% OF THE OPERATING BUDGET TO DIVERSIFY TO LOWER THAT 71% IS GOING TO REQUIRE A LARGE AMOUNT OF OTHER REVENUE AND THE SHORT VERSION IS THIS IS GOING TO BE VERY DIFFICULT TO DO. IT'S GOING TO TAKE AN EXTENSIVE PERIOD OF TIME BUT WE LAY THIS OUT IN OUR REPORT BECAUSE WE THINK THAT'S AN INCREDIBLY IMPORTANT CONVERSATION TO HAVE OF SHOULD WE RELY LESS ON THE PROPERTY TAX AND WHAT ARE THE CONSEQUENCES OF THAT. SO FOR EXAMPLE, OTHER SOURCES OF REVENUE ARE MUCH MORE TIED TO THE ECONOMY AND SO WHEN THERE IS A RECESSION OR A DROP IN CONSUMER SPENDING FOR EXAMPLE, IT WOULD IMPERIL THE REVENUE COMING INTO THE CITY IN A WAY THAT'S QUITE DIFFERENT FROM THE STABILITY OF THE PROPERTY TAX. SO THERE IS A TREMENDOUS NUMBER OF TRADE OFFS FOR THE BENEFIT OF DIVERSIFYING REVENUE. SO I THINK THAT'S THE THAT IS THE DEBATE THIS COUNCIL AND THE MAYOR WILL NEED TO HAVE IS ARE THE BENEFITS OF DIVERSIFICATION WORTH THE RISKS FOR THE DOWNSIDES BECAUSE TO ELIMINATE EVEN 1% TO LOWER FROM 71% TO 70% OF THE OPERATING BUDGET REQUIRES AN EXTRAORDINARY AMOUNT OF NEW TAXES RIGHT. SO THE QUESTION IS DO YOU WANT TO DO THAT? DO YOU WANT TO LOWER PROPERTY TAXES TO COLLECT OTHER KINDS OF TAXES OR IS IT COLLECTING ADDITIONAL TAXES ON TOP OF THE PROPERTY TAXES? THESE ARE THE CHOICES THAT WE'RE GOING TO BE TALKING ABOUT IN THIS REPORT AND THEN FRANKLY BRINGING BACK FOR PUBLIC DISCUSSION BECAUSE IT'S A TREMENDOUS NUMBER OF TRADEOFFS THAT NEED TO BE CONSIDERED AWESOME. AND WE ALL KNOW THAT STATE AID HAS DECLINED OVER THE YEARS. COMMISSIONER, DO WE KNOW HOW MUCH CITY RESIDENTS PAY IN INCOME TAX OR SALES TAX? SALES TAX AND DO WE KNOW WHAT THAT CORRELATION INTO WHAT WE RECEIVE FROM STATE AID? THANK YOU SO MUCH FOR THE QUESTION COUNCILOR . I THINK IT'S A REALLY GOOD QUESTION AND IT'S NOT SOMETHING THAT WE WE HAVE DATA ON. BUT I DO THINK THAT IT'S REALLY INTERESTING CONSIDERING HOW MANY JOBS THAT WE HAVE HERE IN BOSTON AND I'M SURE IT'S QUITE A LARGE PERCENTAGE OF THE AMOUNT OF REVENUE THAT THE STATE RECEIVES. I DO WANT TO CIRCLE BACK TO YOUR DIVERSIFICATION QUESTION IF IT'S ALL RIGHT BECAUSE I WAS THINKING THERE'S A REASON THAT WE PUT FORWARD THIS CLASSIFICATION PROPOSAL AND HAVE BEEN WORKING ON IT FOR THE PAST NINE MONTHS NOW AND THAT IS THAT REVENUE DIVERSIFICATION DOESN'T SOLVE THE PARTICULAR PROBLEM THAT WE'RE LOOKING AT. SO IN THE 40 YEARS THAT WE'VE HAD THIS PROPERTY TAX SYSTEM IN PLACE, THERE'S ONLY BEEN ONE OTHER TIME ABOUT 20 YEARS AGO WHERE WE HAD THIS SIMILAR CIRCUMSTANCE WHERE THE CITY WAS TRYING TO STAVE OFF THIS DRAMATIC SPIKE IN RESIDENTIAL TAXES AND IT'S NOT A THREE YEAR PROBLEM. IT'S IT'S A 30 DAY PROBLEM. RIGHT. AND THAT'S THAT'S BEEN OUR CONCERN IS THAT THIS BILL IS GOING TO GO OUT IN JANUARY 1ST. THAT IS MUCH, MUCH HIGHER THAN THE BILL THAT YOU JUST GONE IN OCTOBER AND THAT YOU HAVE 30 DAYS TO PAY. AND SO THERE WAS A QUESTION EARLIER FROM COUNCILOR FITZGERALD THAT WAS TALKING ABOUT YOU KNOW, WE'RE KIND OF PUNTING SOMETHING DOWN THE ROAD. I WOULD VIEW IT AS WE ARE GIVING PEOPLE TIME TO ACCLIMATE. I AGREE THAT IT IS NOT UNDUE THE UNDERLYING PROBLEM IN ANY WAY BUT GIVING PEOPLE TIME I THINK HAS A LOT OF VALUE AND BY KIND OF CREATING THIS SPACE I THINK I THINK THAT HELPS. THE REASON I BRING UP THE 20 YEARS AGO THING IS THAT 20 YEARS AGO PROPERTY TAXES WERE 50% I THINK AROUND 55% OF THE CITY'S BUDGET AT THAT POINT IN TIME. AND SO OUR REVENUE SOURCES WERE MATHEMATICALLY MUCH MORE DIVERSE THAN THEY ARE TODAY. BUT WE HAD THE EXACT SAME PROBLEM AND THE SAME CONCERN ABOUT A SPIKE BECAUSE OF JUST THE WAY THE LAWS AROUND OUR CLASSIFICATION SYSTEM ARE WRITTEN. RIGHT. THANK YOU TO MY TIME AS A THANK YOU THANK YOU COUNCILOR WORRELL COUNCILOR WEBER OH AND REALLY QUICK BEFORE WE GO TO COUNCIL WEBER IT'S BEEN BROUGHT TO MY ATTENTION THAT FOLKS ON ZOOM COULDN'T HEAR THE LIVE STREAM. IT GOT FIXED AND THEN IT'S NOT WORKING. AND SO THESE ARE JUST TECHNICAL DIFFICULTIES THAT OUR CENTRAL STAFF IS WORKING DILIGENTLY TO CORRECT FOLKS AND GO TO THE LIVE STREAM ON YOUTUBE.COM, LOOK UP BOSTON CITY COUNCIL AND IT SHOULD BE LIVE STREAM THERE. THEY'RE GOING TO KEEP WORKING ON IT. WE WERE GOING TO TAKE PUBLIC TESTIMONY AT THE END OF THIS HEARING. WE'RE GOING TO HOPE TO GET THOSE FOLKS ON ZOOM IF IT DOES NOT WORK, FOLKS ARE ENCOURAGED TO SEND WRITTEN TESTIMONY AND I WILL READ IT INTO THE RECORD IN FULL. BUT LET'S HOPE THAT IT DOESN'T GET TO THAT POINT. COUNCILOR WEBER, YOU HAVE THE FLOOR. THANK YOU, CHAIR IF THE LIVESTREAM WAS WORKING I WOULD JUST SAY TO THE PEOPLE AT HOME ,YOU KNOW WE'VE WE'VE WE TALK A LOT ABOUT THE BLUE WALL IN THE ELECTION THIS YEAR BUT IF YOU WERE HERE IN THE HALL YOU COULD SEE A BLUE WALL RIGHT RIGHT HERE. THANK YOU TO THE MASSACHUSETTS SENIOR ACTION COUNCIL FOR TURNING OUT IN NUMBERS AND MAKING YOUR VOICES HEARD. I GUESS SO FOR ME THE MOST DIFFICULT PART OF THIS IS EXPLAINING IT SO MAYBE YOU CAN HELP ME DO THAT. SO FOR CHIEF GREENBERGER SO WE'RE TALKING ABOUT 200% OR 181.5%. WHAT WE'RE TALKING ABOUT ARE RATES. IS THAT CORRECT? SO THE YES. YEAH, YES. AND SO WE'RE TALKING ABOUT THE RATE AT WHICH RESIDENTIAL PROPERTIES AND COMMERCIAL PROPERTIES ARE TAXED AND SO I THINK NOW IT'S ABOUT IS IT $10 PER THOUSAND DOLLAR OF VALUE FOR RESIDENTIAL OIL AND ABOUT $24 FOR $4,000 OF VALUE FOR COMMERCIAL. YEAH. SO RESIDENTIAL IS $10.90 AND COMMERCIAL IS $25.27. THOSE NUMBERS ARE BURNED IN OUR COLLECTIVE BRAINS. OKAY. AND SO SO FOR FOR ANYONE LISTENING WHEN YOU KNOW ALL THE NUMBER ALL THE VALUES OF TWO SETS OF PROPERTIES GO UP EACH SIDE SORT OF BEARS ITS ITS BURDEN AND PAYS A SLIGHTLY HIGHER HIGHER AMOUNT. BUT WHEN YOU'VE GOT ONE GOING DOWN AND THE OTHER ONE GOING UP YOUR $10 PER THOUSAND RATE YOU END UP PAYING A LOT MORE IN TAXES WHERE SOMEBODY IS PAYING $24 PER THOUSAND IF YOUR OFFICE BUILDING HAS GONE FROM $10 MILLION TO $8 MILLION ASSESSMENT, YOUR AMOUNT IS GOING DOWN EVEN IF MAYBE YOUR RATE GOES UP TO $25.25. IS THAT TO MY UNDERSTANDING THAT CORRECTLY CONCEPTUAL YES. OKAY. YEAH. MARTY FEEL FREE TO NOW CORRECT ME . OKAY SO IN THIS SCENARIO IF WE IF WE CAN CHARGE HAVE THE RATE FOR COMMERCIAL PROPERTIES RIGHT NOW WE CAN ONLY CHARGE 175% OF THE RESIDENTIAL RATE IF WE THIS PASSES. NO MY MY WRONG ABOUT THAT I OF THE OF THE WHAT WOULD OTHERWISE BE A FIXED FLAT RATE I THINK YEAH OKAY OKAY BUT IF WE GO TO 1 TO 1 81.5 SO CAN YOU GIVE ME A SENSE OF WHAT THE NUMBERS WOULD LOOK LIKE. OH DON'T TAKE THAT ONE. IT'S A THERE'S SO MANY OTHER VARIABLES THAT GO INTO THE FORMULA. IT'S A IT'S A REALLY HARD QUESTION TO KIND OF ANSWER QUICKLY IF YOU'RE LOOKING AT LAST YEAR AS AN EXAMPLE, THE FLAT RATE THAT EVERYONE WOULD HAVE PAID IF WE DIDN'T HAVE THIS SHIFT WAS LIKE $14 AND LIKE $0.40 OR SOMETHING ALONG THAT. AND SO THE 175% WAS APPLIED TO THAT $14 AND CHANGE AND THAT'S WHAT MADE THE COMMERCIAL RATE $25.27 THE RESIDENTIAL RATE ALSO GOES DOWN A RESPECTIVE AMOUNT BUT THEN THE RESIDENTIAL EXEMPTION GETS BUILT INTO THAT. AND SO THERE ARE OTHER FACTORS THAT MOVE THAT RATE AROUND IN DIFFERENT DEGREES. SO YOU KNOW, WHAT WOULD YOU EXPECT THE COMMERCIAL RATE TO BE IF WE GO UP TO A 180 RIGHT NOW IT'S 24 AND CHANGE WHAT DO YOU I WOULD I WOULD LOVE TO HAVE AN ANSWER FOR THAT QUESTION BUT UNFORTUNATELY THE WHOLE PROCESS OF DISCLOSURE THAT WE'RE GOING THROUGH LIKE VALUES CHANGE A LOT. YEAH. AND SO AND THAT'S A HUGE FACTOR IN WHAT THE FINAL RATE ENDS UP BEING. WELL, DO YOU THINK IT'S MORE LIKE A COUPLE DOLLARS OR ARE WE TALKING A DOUBLING IS GOING TO BE $50? OH NO, NO, NO. IT IS NOT GOING TO BE $50. IT WOULD BE UNDER 30. OKAY. AND THEN I GUESS IF WE GO TO A ONE 81.5 I DON'T KNOW CHIEF OR MARTY DO WE EXPECT COMMERCIAL TAX BILLS TO GO UP COMPARED TO LAST YEAR OR STILL GO DOWN? I'M GOING TO GIVE AN ANSWER THAT EVERYBODY HATES OF IT DEPENDS IF YOU'RE LIKE JUST SO IF YOU'RE PROPERTY IS INCREASING IN VALUE YOU'RE YOU'RE GOING TO END UP PAYING MORE IN TAXES BECAUSE YOUR PROPERTY IS WORTH MORE. AND NOW IF YOUR PROPERTY HAS GONE DOWN IN VALUE YOU'RE GOING TO PAY MORE THAN YOU OTHERWISE WOULD HAVE PAID HAD THIS NOT IT. ASSUMING THIS PASSES. YEAH. SO THE DIFFERENCE THAT YOU'RE TRYING TO GET AT IS HOW MUCH MORE WILL A PROPERTY PAY AND THAT KIND OF GOES BACK TO THE DEPENDS LIKE PROPERTY I GUESS. MARTY MY QUESTION WAS IF YOUR PROPERTY VALUE GOES DOWN RIGHT IN YOUR IN YOUR RATE INCREASES BY $2 PER THOUSAND GEEZ YOU KNOW IN ON AVERAGE ARE WE TALKING ABOUT HIGHER PROPERTY TAX BILLS FOR THOSE COMMERCIAL PROPERTIES OR LOWER WHERE YOUR PROPERTY VALUE GOES DOWN TO THE WAY THE PROPOSAL IS WRITTEN IS THAT THE OVERALL RESIDENTIAL PORTION OF THE LEVY HAS TO CONTINUE TO PAY IT THE SAME PERCENTAGE THAT IS CURRENTLY WHICH BASICALLY MEANS THAT THIS IS NOT SOMETHING THAT CREATES A WINDFALL FOR RESIDENTIAL PROPERTY AND THE REASON THAT THAT ENDS UP BEING AN ANSWER FOR YOUR QUESTION IS THAT OVERALL COMMERCIAL PROPERTY IS GOING TO END UP PAYING THE SAME AMOUNT PERCENTAGEWISE OR SLIGHTLY LESS SO IF YOU HAVE VALUE DROP IN YOUR PROPERTY COMPARED TO FISCAL YEAR 24 EVEN THOUGH THE RATE IS GOING UP IT IS MOST LIKELY THAT YOUR TAXES ARE GOING TO BE VERY CLOSE TO WHAT YOU PAID FISCAL YEAR 24 IT'S NOT GOING DOWN DEPENDING ON THE LEVEL OF VALUE DROP THAT WE'RE TALKING ABOUT. OKAY. AND CHIEF, YOU'VE DONE SOME ANALYSIS OF THAT. I THINK I'VE SEEN THAT IN THE PRESENTATIONS. YES. YES. SO WE WE SORT OF MODELED OUT AT ONE POINT WHAT WOULD HAPPEN TO A $5 MILLION PROPERTY THAT EXPERIENCED A YOU KNOW, 9% VALUE LOSS AND YOU COULD SEE WITHOUT THE PROPOSAL TAXES WENT DOWN STEEPLY WITH THE PROPOSAL. YOU KNOW, USING THE NUMBERS WE HAD AT THE TIME THEY WERE STILL GOING DOWN BUT JUST BY NOT AS MUCH. OKAY. AND JUST HOPE SO I GUESS I'LL WAIT FOR THE NEXT ROUND. THANK YOU VERY MUCH. THANK YOU VERY MUCH. COUNSELOR WEBER, COUNSELOR SANTANA. THANK YOU, MADAM CHAIR. AND THANK YOU FOR OUR PANEL FOR BEING HERE AND AGAIN TO MY COLLEAGUES FOR SUCH GREAT QUESTIONS. I'LL START WITH YOU KNOW, GIVEN THAT THIS PROPOSAL ALLOWS FOR A THREE YEARS OF STEPDOWN COMPARED THE ORIGINAL FIVE YEAR PLAN. NO. CAN YOU JUST I KNOW YOU SPOKE ABOUT YOU KNOW I SPOKE ABOUT IT EARLIER. CAN YOU SPEAK TO YOU KNOW, WHAT SAFEGUARDS OR CONTINGENCIES ARE IN PLACE IF THIS SHORTER PERIOD RESULTED AND YOU KNOW, UNANTICIPATED FISCAL CHALLENGES FOR THE CITY OR YOU KNOW, YOU CAN TALK ABOUT THE DISPROPORTIONATE IMPACTS ON EITHER TASK CLASSIFICATION TAX CLASSIFICATION GROUPS. I REALLY APPRECIATE THE QUESTION. THANK YOU SO MUCH, COUNSELOR. I THINK THAT THE PROBLEM THAT WE HAVE IN ITS CURRENT FORM IS A REALLY NICE BALANCE TO PROVIDE KIND OF IMMEDIATE RESIDENTIAL RELIEF AND GIVE US SOME TIME TO ADJUST TO THE CHANGING MARKET AND SEE WHAT COMES IN THE FUTURE. YOU KNOW THE ORIGINAL ONE WAS IN IN ORDER TO GIVE PEOPLE COMFORT THE ORIGINAL ONE WAS BASICALLY A MIRROR COPY OF WHAT WAS PASSED IN THE EARLY 2000. I FEEL LIKE ALL THE QUESTIONS HAVE MADE IT REALLY CLEAR THAT TAX LAW IS BIZARRELY COMPLICATED AND CONFUSING AND SO PART OF OUR THINKING ALONG THOSE LINES WAS TO HAVE SOMETHING THAT WAS PRECISELY TAILORED TO WHAT WE ARE FACING BUT TO GIVE PEOPLE COMFORT THAT WE WEREN'T TRYING TO REINVENT THE WHEEL WITH THOSE SHIFT LEVELS. THE CURRENT SHIFT LEVELS THAT WE'RE PROPOSING WE THINK ARE A NICE BALANCE AND COMPROMISE BETWEEN KIND OF THE CHARGES THAT WE PLACE UPON OUR RESIDENTIAL AND COMMERCIAL PROPERTY. I DON'T THINK THE COMMISSIONER AND TO THAT POINT I MEAN, YOU KNOW, CAN YOU SPEAK TO AND AGAIN I KNOW YOU SPOKE ABOUT THE CITY COUNCIL WILL HAVE TO VOTE IF THIS PASSES WILL HAVE TO COME BACK TO THE COUNCIL . THERE'S DIFFERENT MECHANISMS THERE. BUT CAN YOU JUST SPEAK TO YOU KNOW, WAS THE ADMINISTRATION DOING TO ASSESS THE EFFECTIVENESS OF THIS PROPOSAL THROUGHOUT THE THROUGHOUT THE YEARS? SO WE ARE GOING TO KNOW A LOT BACK THIS ALSO AS WE CONTINUE YOU KNOW, ONCE ISSUE BILLS JUST TO GIVE US ONE MOMENT WAS THE ADMINISTRATION DOING TO FIGURE OUT THIS TECHNICAL ISSUE JUST CONFIRMING THAT THE LIVE STREAM IS IS ON. OKAY, GREAT. ALL RIGHT, FOLKS, THANK YOU FOR YOUR PATIENCE. WE WISH TECHNOLOGY COULD BE PERFECT BUT WE LIVE IN AN IMPERFECT WORLD. OKAY. SO NEXT UP AND AGAIN, I APOLOGIZE FOR THE RECESS AND THE BACK AND FORTH. NEXT UP WE HAVE COUNCILOR FERNANDEZ ANDERSON AND THEN DURKIN AND THEN WE'LL GO INTO A SECOND ROUND OF QUESTIONS. OKAY. SHE SHE GETS THIS ONE. THANK YOU, MADAM CHAIR. I'D I'D LIKE TO RECLAIM MY 10 SECONDS AT THE END OF THIS WHICH ARE TECHNICAL DIFFICULTIES OF THE 700 WE HAVE OVER 700,000 SORRY . GOOD AFTERNOON AND THANK YOU FOR BEING HERE AND ALL OF YOU WORK ON THIS. I KNOW IT'S BEEN A CHALLENGE AND WE IT. I DO YOU KNOW I HAVE BEEN IN TOUCH WITH STAKEHOLDERS THAT YOU'VE MET WITH IN THE TOWN HALLS AND BEING CLOSE CONTACT AND COMMUNICATIONS AS TO THE UPDATES AND THE FEEDBACK FROM THE COMMUNITY AND I APPLAUD YOUR EFFORTS TO ENGAGEMENT. I WOULD HAVE I HOPE THAT THIS IS A LESSON FOR US TO BE MORE PREEMPTIVE IN THE FUTURE IN OF COMMUNITY ENGAGEMENT AND HOPEFULLY WE LAND IN A GOOD PLACE WITH THIS. I DO THINK THAT THIS FILING IS A MITIGATION OF THE SORT, RIGHT? SO IT'S NOT PERFECT BUT WHEN LOOKING AT THE BUDGET CONSIDERING MY PREVIOUS EXPERIENCE WITH CHAIRING WAYS AND MEANS, I DO AGREE THAT WE DON'T HAVE PLACES TO TRIM THE BUDGET. I MEAN PEOPLE HAVE CONCERNS ABOUT SPECIFICALLY LIKE SAY YOU CUT BACK ON WHITE STADIUM BUT THAT ARGUMENT I THINK IS MOOT CONSIDERING THAT IT'S CAPITAL AND WE'RE NOT LOOKING AT YOU KNOW PAYING BACK THE FULL AMOUNT SAY $50 MILLION ALL IN ONE YEAR. SO THAT I THINK THAT DOESN'T REALLY ADD UP. IN MASSACHUSETTS WE HAVE OVER 700,000 SMALL BUSINESSES AND THEY EMPLOY 1.5 MILLION PEOPLE ABOUT 45.5% OF OUR RESIDENTS AND THIS IS MASSACHUSETTS. DO YOU HAVE NUMBERS TOO? SMALL BUSINESSES IN BOSTON. SO I WAS SAYING I'M SURE SOMEONE HAS THAT I'M HAPPY TO FOLLOW UP. I JUST DON'T KNOW EXACTLY HOW MANY SMALL BUSINESSES FIT THIS CATEGORY OF 5 MILLION OR 50 EMPLOYEES OR LESS. BUT I HAVE TO FOLLOW UP WITH YOU ALL ON I GUESS APOLOGIES FOR HAVING MISSED QUESTIONS IF THEY REPETITIVE CONTINUE TO LET ME KNOW SO CAN WE TALK ABOUT SPECIFICALLY POTENTIAL OFFSETTING POTENTIAL IMPACTS ON SMALL BUSINESSES? DO WE KNOW EXACTLY WHAT WE'RE PROJECTING IN TERMS OF POTENTIAL IMPACT? IT'S A QUESTION I THINK WE NEED TO SEE HOW THIS IS ALL GOING TO FLOW THROUGH SO AS THE COMMISSIONER MENTIONED, WE'RE STILL KIND OF IN THE WE'RE IN THE HOMESTRETCH TO FINALIZING VALUES ONCE WE LOCK DOWN VALUES, GET THOSE APPROVED BY THE DEPARTMENT OF REVENUE AND THEN COME BACK TO YOU ALL FOR THE AND THE RESIDENTIAL EXEMPTION. WE CAN THEN SET RATES SEND OUT AND THEN WE'LL BE ABLE TO SEE HOW THIS IS ALL FLOWING THROUGH . OUR EXPECTATION IS THAT IF YOU ARE A SMALL BUSINESS THAT'S OCCUPYING A SPACE IN A BUILDING THAT HAS SEEN THEIR VALUE GO DOWN THAT YOU YOU KNOW, DEPENDING ON THE LEVEL OF VALUE LOST WILL ALSO SEE YOUR TAXES GO DOWN RELATIVE TO THE PREVIOUS YEAR. SO IN THAT CASE ASSUMING THOSE FLOW OR YOU KNOW, THOSE TAX BENEFITS FLOW DOWN TO THE BUSINESS IN THE SPACE, YOU KNOW YOU WOULD THAT PARTICULAR SMALL BUSINESS WOULD NOT SEE A TECHNICAL IMPACT DIRECTLY FROM THIS PARTICULAR MEASURE BUT THAT'S WHY WE HAVE TO SEE IT FLOW THROUGH. WE DON'T HAVE ANY PARTICULAR PROJECTION AT THIS POINT ABOUT YOU KNOW, I DON'T THINK WE HAVE ANY SPECIFIC DATA ABOUT WHICH SMALL BUSINESSES ARE OCCUPYING WHICH ONES OF OUR 180,000 PARCELS. SO WE NEED TO LET THIS FLOW THROUGH A LITTLE BIT TO SEE WHAT THAT IMPACT COULD BE. BUT WE'RE COMMITTED TO SETTING ASIDE UP TO $15 MILLION EACH YEAR TO DEAL WITH THAT IF THERE IS AN IMPACT. MY QUESTION IS EXACTLY TO THAT POINT THAT IF WE'RE IF WE IF WE ARE OFFERING A CERTAIN AMOUNT THAT WE'RE SAYING WE'RE COMFORTABLE WITH ALLOCATING 15 MILLION PER YEAR FOR THE NEXT THREE YEARS AND WE'RE SAYING THAT THIS WILL ADDITIONALLY SUPPORT OR PROVIDE RELIEF TO ADDITIONAL 2183 SMALL BUSINESSES THEN IF WE LOOK AT THE NUMBERS I'M NOT I'M NOT SURE LIKE WHAT PERCENTAGE THAT IS OF ALL SMALL BUSINESSES IN BOSTON THAT COULD BE IMPACTED IF WE DO AN ASSESSMENT THEN WE CAN HAVE A FAIR CONVERSATION WITH THE COMMUNITY AND SAY WE'VE ACTUALLY LOOK AT THIS WE KNOW HOW MANY BUSINESSES KNOW THAT A PERCENTAGE WILL BE IMPACTED, WHAT THOSE IMPACTS ARE AND HERE WE'RE PROPOSING 50 MILLION BECAUSE THIS IS HOW IT MAKES SENSE AND I THINK, YOU KNOW, THAT PROVIDES MORE COMFORT IN THE CONVERSATION AND IN TERMS OF LIKE WHAT'S PRACTICAL TO DO MOVING FORWARD . AND SO I GUESS YOU KNOW LIKE HOW DID WE GET FROM YOU KNOW, IN TERMS OF DETERMINING RAISE THE PERSONAL PROPERTY TAX EXEMPTION FROM 10000 TO 30000? I THINK I CAN SPEAK TO THAT COUNCILOR , THANK YOU SO MUCH FOR THE QUESTION. I THINK THE PERSONAL PROPERTY EXEMPTION IS IS SOMETHING THAT WE'RE PRETTY EXCITED ABOUT AND WE THINK IS GOING TO HAVE A REAL DIRECT IMPACT. YOU KNOW YOUR QUESTIONS ABOUT SMALL BUSINESSES AND YOU'RE GETTING INTO THAT WE DON'T HAVE DATA THAT AT LEAST WE DON'T CARE AT THE TABLE. WE WILL SEE IF THERE OTHER PEOPLE IN THE ADMINISTRATION THAT MIGHT. PART OF THE REASON FOR THAT IS THAT WE'VE BEEN TALKING ABOUT REAL ESTATE TAXES AND REAL ESTATE TAXES ARE SOMETHING WHERE BY LAW OUR TAXES ARE GOING DIRECTLY TO THE OWNERS. THE VAST MAJORITY OF SMALL BUSINESSES DON'T ACTUALLY OWN THE PROPERTY THEY'RE OCCUPYING. THEY'RE RENTING FROM SOMEONE ELSE. AND SO THEIR RESPONSIBILITY FOR REAL ESTATE TAXES COMES THROUGH A LEASE NOT EVERY LEASES WRITTEN IN A DIFFERENT WAY. AND SO AS CHIEF KAUFFMAN WAS MENTIONING, THE REASON THAT WE KIND OF ARE ESTABLISHING THIS POTENTIAL FUND FOR ECONOMIC IMPACT IS THAT WE DON'T HAVE GOOD DIRECT DATA ON EACH ONE OF THOSE INDIVIDUAL LEASE AGREEMENTS TO KNOW HOW THIS MIGHT IMPACT THOSE BUSINESSES. WE THINK THAT BROADLY SPEAKING FOR PROPERTIES WE VALUE HAS GONE DOWN THAT THOSE SAVINGS SHOULD GET PASSED THROUGH BUT WE DON'T KNOW THAT FOR CERTAIN . THE PERSONAL PROPERTY TAX IS SOMETHING THAT THOSE SMALL BUSINESSES HAVE TO PAY TO US DIRECTLY AND WHEN WE WENT AND LOOKED AT THE CURRENT EXEMPTION LEVEL OF $10,000 THAT EXEMPTS ROUGHLY 2000 SMALL BUSINESSES OUT OF AROUND THE INTERIM 9500 THAT ARE RESPONSIBLE FOR PERSONAL PROPERTY TAX IN THE CITY, 9500 BUSINESSES TOTAL RESPONSIBLE SMALL AND SMALL AND LARGE. THE CURRENT EXEMPTION LEVEL OF 10,000 EXEMPTS AROUND 2000 OF THOSE BUSINESSES. SORRY I KEEP SAYING THAT IN SO MANY TIMES I THINK INCREASING IT TO $30,000 WOULD THEN TAKE THE TOTAL NUMBER OF BUSINESSES THAT ARE EXEMPT FROM THIS TAX TO 4718 OR IT'S ROUGHLY HALF OF THE BUSINESSES THAT ARE RESPONSIBLE FOR PERSONAL PROPERTY TAX AT ALL IN OUR CITY . AND SO WE THOUGHT THAT THAT WAS KIND OF A NICE LEVEL AND IT WOULD IT GIVES US THE CERTAINTY AND COMFORT THAT IF WE CAN PUT THAT INTO EFFECT THAT DOWN IS DIRECT SAVINGS TO THOSE BUSINESSES. THAT ISN'T SOMETHING THAT IS GOVERNED BY A PRIVATE RELATIONSHIP THAT WE DON'T CONTROL IN THEIR LEASE WITH THEIR LANDLORD. THANK YOU. THAT'S MY TIME ROUND THE NEXT ROUND. THANK YOU. THANK YOU COUNCILOR FOR NOSINESS AND COUNCILOR DURKIN THANK YOU SO MUCH CHAIR AND I REALLY NEED TO THANK THE CHAIR FOR ALL THE OPPORTUNITIES HAD TO TALK ABOUT THIS PROPOSAL AND ALSO OTHER PROPOSALS. I THINK I SUPPORTED THE INITIAL PROPOSAL BECAUSE I KNOW HOW IMPORTANT THIS IS FOR RESIDENTS . I HEARD FROM THEM DIRECTLY WHEN THEIR TAX BILLS WENT UP WHEN I FIRST CAME INTO OFFICE AND I THINK THAT THIS COMPROMISE MAYOR WU SEEMS TO HAVE CUT THE GORDIAN KNOT WITH THE SUPPORT OF THE BUSINESS COMMUNITY, LABOR AND RESIDENTS AND I THINK THE PROPOSAL IS PRAGMATIC BALANCE AND IT IS A COMPROMISE. I THINK I APPRECIATED WHEELER'S REPORTING OF YOU KNOW $838,000 VALUATION AND WHAT THAT WOULD LOOK LIKE FOR EACH SCENARIO AND EACH PROPOSAL AND OBVIOUSLY I THINK THE INITIAL PROPOSAL THAT I SUPPORTED AND VOTED TO APPROVE WOULD HAVE PROTECTED RESIDENTS THE MOST FROM THE INITIAL SHIFT BY I THINK WHAT WE'VE LEARNED THROUGH THIS PROJECT PROCESS AND THROUGH THIS SO THROUGH WHAT HAPPENED IS WE AREN'T THE ONLY ONE SETTING THE RULES OR THE YOU KNOW, WE AREN'T WE CAN'T BE OWNERS OF OWNERS OF THE WORK LIKE WE NEED TO GET THIS DONE. AND SO I'M PREPARED TO VOTE OUT IN SUPPORT OF THIS COMPROMISE AT THE COUNCIL MEETING AND I THINK WE'VE HAD A GREAT DISCUSSION ABOUT JUST WHAT IT WOULD LOOK LIKE OR WHAT IT LOOKS LIKE RIGHT NOW UNDER THE CURRENT SITUATION WHERE OUR CITY RELIES DISPROPORTIONATELY ON PROPERTY TAXES TO GENERATE REVENUE AND I THINK MULTIPLE ADMINISTRATIONS INCLUDING THE CURRENT ONE HAVE ADVOCATED FOR NEW MUNICIPAL REVENUE SOURCES THAT WOULD EASE THIS BURDEN AND I ABSOLUTELY SURE OF THAT GOAL. BUT I THINK I THINK WHAT WE ARE LEARNING TODAY AND WHAT A OF MY COLLEAGUES HAVE ASKED QUESTIONS ABOUT IS REALLY HOW MUCH ADDITIONAL REVENUE STREAMS YOU KNOW, WHAT COULD WORK, WHAT COULDN'T WORK. AND I APPRECIATE THE HONORABLE MARTY WALSH FOR ALL OF YOUR WORK, A FORMER STATE REP FOR MY DISTRICT. SO I REALLY APPRECIATE ALL THE WORK THAT YOU DO EVERY DAY AND I APPRECIATE THAT THIS IS A COMPROMISE. I APPRECIATE THAT EVERYONE NEEDED TO COME TO THE TABLE AND I THINK AND I KNOW CHIEF CRAWFORD IS BERGER, THIS HASN'T BEEN EASY ON YOU AND THERE'S BEEN A LOT OF WORK THAT BROUGHT US TO THIS POINT. BUT I THINK THE CITY COUNCIL APPROVED THE INITIAL PROPOSAL. I'M PREPARED TO VOTE FOR THIS VERSION OF IT AND I THINK IT'S IMPORTANT I THINK JUST TO NOTE MY SUPPORT FOR CITY WORKERS AND FOR OUR CITY BUDGET I THINK WE'VE ALL SAT AT THE TABLE ALONGSIDE OUR CHAIR OF WAYS AND MEANS TRIED TO IMAGINE WHAT JOBS WE WOULD BE WILLING TO CUT FROM THE CITY BUDGET AND IT'S NOT IT'S NOT SOMETHING THAT WE'VE BEEN ABLE TO COME TO. I MEAN THE IDEA OF COMING UP WITH OVER $200 MILLION WORTH OF JOBS THAT WE COULD CUT I MEAN WE ARE I AS A DISTRICT COUNCILOR I'M RESPONSIBLE FOR COMPLETING THE LOOP OF CITY SERVICES FOR A LOT OF RESIDENTS GETTING POLICE WHERE THEY NEED TO BE RESPONDING WHEN PEOPLE ARE DISPLACED FROM A FIRE. THOSE ARE THE KIND OF THINGS THAT WE ALL WORK ON EVERY DAY. AND I THINK THE IDEA THAT WE COULD JUST COME UP WITH THAT MUCH IN CUTS WHEN CONSTITUENTS ARE ASKING US FOR SOLID AND AND TO MAINTAIN AT LEAST THEIR BASIC CITY SERVICES I THINK THE WAY THAT THAT CONVERSATION HAS BEEN PRESENTED AND THE MEDIA AND THE WAY THAT CONVERSATION HAS BEEN PRESENTED AT THIS COUNCIL IS A FALSE QUESTION. IT'S A FALSE NARRATIVE AND I APPRECIATE HOW THIS COMPROMISE AND THIS CURRENT PROPOSAL REALLY UNDERSTANDS AND VALUES WHAT RESIDENTS ARE FACING OVER THE NEXT THREE YEARS. I THINK IT MAKES A LOT OF SENSE AND I THINK MY GOAL IN THE HEARING TODAY WAS REALLY JUST NOT TO ASK QUESTIONS BECAUSE I'VE DONE MY DUE DILIGENCE I'VE READ THIS HAS BEEN REPORTED IN THE MEDIA. THERE'S BEEN A LOT OF CONVERSATION AROUND THIS PROPOSAL. MY GOAL TODAY WAS REALLY JUST TO COME AND TELL RESIDENTS WHY I'M SUPPORTING THIS PROPOSAL AND WHY IT MAKES SENSE AND I THINK I I THINK AS A DISTRICT COUNCILOR MY CORE GOAL REALLY IS TO PROTECT RESIDENTS FROM INCREASES. I DO THINK THERE IS A CONVERSATION AND THAT STILL NEEDS TO BE HAD AROUND ASSESSING AND WHETHER WE REALLY ARE GETTING THE RIGHT VALUATIONS FOR EACH OF THE PROPERTIES THAT EXIST AND WHETHER THERE ARE INITIAL INITIAL PATHS THAT WE CAN TAKE AROUND ABATEMENTS AROUND SPECIFIC GROUPS THAT MAY NEED SUPPORT IN THE FUTURE. I THINK THERE'S STILL WORK TO DO TO MAKE SURE AS COUNCILOR FITZGERALD STATED IN THREE YEARS IF THAT INCREASE IS HAPPENING YOU WHAT ARE WE DOING MAN BUT I THINK ALL WE CAN DO RIGHT NOW IS PUSH FOR THIS TO BE PASSED AT THE STATE HOUSE AND PUSH FOR RESIDENTS TO TO TO NOT HAVE A CHILLING EFFECT TO NOT HAVE TO MOVE OUT OF THEIR HOMES AND TO BE ABLE TO AFFORD TO LIVE HERE AND THAT'S MY JOB. SO THANK YOU. THANK YOU, COUNCILOR DURKIN, I JUST I WANT TO NOTE THAT COUNCILOR PIPPEN WISHED THAT HE COULD BE JOINING US BUT HE'S ILL AND I SEND POSITIVITY TO HIM AND HOPE HE HAS A SPEEDY RECOVERY . I WILL GO BACK TO MY LINE OF QUESTIONING THEN GO AGAIN FOR FOLKS I 3 MINUTES I THINK IS SUFFICIENT FOR ADDITIONAL QUESTIONS. MY LINE OF QUESTIONING THIS TIME AROUND IS CENTERED AROUND THE THE REBATE FUND FOR SMALL BUSINESSES IF WE WANT TO CALL IT THAT. HOW SO? I GUESS HOW MANY BUSINESSES LIKE WAS YOUR TARGET? SO CAN YOU TALK TO ME A LITTLE BIT ABOUT THE 15 MILLION AGAIN IF WE'RE DOING THE MATH OUT WE ARE $50 MILLION PER YEAR. IF IT HELPS A THOUSAND BUSINESSES THAT'S ABOUT $15,000 PER YEAR, RIGHT? THAT'S A LITTLE BIT OVER OF OF WHAT WHAT THEY POTENTIALLY WILL NEED IN TERMS OF RELIEF. CAN YOU TALK TO ME ABOUT THE PROGRAMMATIC AND OPERATIONAL DEPLOYMENT OF THIS FUND? SO IF ANYTHING IS OVER $10,000 IS CONSIDERED A GRANT, WE'RE GOING TO HAVE TO PUT OUT A RFP AND THEN POTENTIALLY GET AN EXEMPTION FROM 30 B SO CAN YOU JUST TALK THROUGH WHAT THESE CONVERSATIONS HAVE BEEN BECAUSE GETTING THIS RIGHT AND SENDING OUT TO FOLKS THAT ACTUALLY NEED THIS HELP ONE EVENTUALLY GET THIS MONEY. YES. THANK YOU. SO GREAT NEWS . THE WHOLE PETITION GIVES US THE ABILITY TO GIVES US FLEXIBILITY FROM THE 30 B REQUIREMENTS FOR THIS SPECIFIC PURPOSE SO THAT WE CAN PROVIDE RELIEF DIRECTLY TO SMALL BUSINESSES BECAUSE AS YOU KNOW, WE OTHERWISE DON'T HAVE THAT ABILITY. SO WE WOULD NOT NEED ANOTHER EXEMPTION TO COME TO COME TO THE COUNCIL OR FILE ANYTHING ELSE FOR IT FOR US THIS GIVES US THE OUTRIGHT AUTHORITY WE WOULD HAVE THE AUTHORITY BUT WE WOULD NEED YOUR HELP WITH IS ULTIMATELY APPROPRIATING THE FUNDS WHETHER WE DO THAT THROUGH THE ANNUAL BUDGET OR IF WE DO THAT AS A ONE OFF IT KIND OF DEPENDS ON HOW WE DO IT BUT TO ACTUALLY APPROPRIATE THE DOLLARS WILL REQUIRE YOUR APPROVAL. OKAY. I THINK MY MY COUNCIL COLLEAGUE I WAS OUT BUT SHE HAD TALKED ABOUT THE $30,000 SO I APOLOGIZE IF THIS IS REDUNDANT FOR THE PERSONAL PROPERTY TAX EXEMPTION. WALK ME THROUGH HOW YOU TO THAT NUMBER. YEAH. SO RIGHT NOW WE HAVE ABOUT 9500 BUSINESSES OF ALL SIZES PAYING PERSONAL PROPERTY TAXES HERE IN THE CITY. I THINK WITH OUR CURRENT EXEMPTION LEVEL OF 10,000 THAT EXEMPTS ABOUT 20 TO JUST ABOUT 2000 OF THOSE BUSINESSES IF WE WERE TO INCREASE THE EXEMPTION UP TO 30,000 THAT WOULD END UP EXEMPTING UP TO 4700 SMALL BUSINESSES. SO JUST JUST ABOUT HALF OF THE BUSINESSES THAT ARE PAYING CURRENTLY PAYING PERSONAL PROPERTY TAXES SO I FELT LIKE, YOU KNOW, AGAIN IT'S IT'S THIS IS DIRECT RELIEF TO THOSE BUSINESSES REGARDLESS OF IF THEY OWN THE SPACE THEY OCCUPY. SO IF YOU LEASE IF YOU OWN YOU'RE PAYING PERSONAL PROPERTY TAXES. SO THIS IS ONE LEVER WE HAVE TO PROVIDE DIRECT RELIEF TO THOSE BUSINESSES. I THINK OUR NEIGHBORS IN CAMBRIDGE HAVE THEIR PERSONAL PROPERTY TAX LEVEL SET AT 30,000. YEAH, THEY THEY INCREASE THEIRS . I TOOK CARE OF THEM PREVIOUSLY 20 OR 25. YEAH. SO WE WENT SLIGHTLY HIGHER YES PUT IN A PLACE SO WE LOOK TO SOME OF OUR NEIGHBORS AND YOU KNOW SOUGHT TO MIRROR WHAT THEY HAVE AVAILABLE SO THAT IS WHY WE CHOSE THE 30,000 EXEMPT HALF THE BUSINESSES IN THE CITY FROM PERSONAL PROPERTY TAX BUT AGAIN WILL REQUIRE US COMING BACK TO YOU TO ADOPT THAT IT'S JUST GIVING US THE AUTHORITY TO GO UP TO 30,020 AND THEN THE ADMINISTRATOR ABOUT 2000 WE TALKED ABOUT THIS A LOT. THERE'S ANOTHER ECHO THERE SO I'M JUST GOING TO TALK THROUGH IT THE ADMINISTRATIVE BURDEN ON YOU TO PROCESS THESE ADDITIONAL PERSONAL PROPERTY TAX EXEMPTION, WHAT DOES THAT ACTUALLY LOOK LIKE ON A DAY TO DAY BASIS? HOW DOES IT INCREASE YOUR STAFF'S CASELOAD? HOW DOES IT SLOW THINGS POTENTIALLY IF IT DOES SLOW THINGS DOWN GET NOW REALLY APPRECIATE THE QUESTION COUNCILOR BECAUSE THAT IS SOMETHING THAT WE DEFINITELY THINK ABOUT WHEN WE'RE LOOKING TO CHANGE LAWS IS NOT ONLY BUT HOW WE CAN ACTUALLY PUT IT INTO EFFECT AND TO MAKE SURE THAT WE HAVE THE STAFF AND THE CAPABILITY PUTTING IT INTO EFFECT AND IF THERE ARE DOWNSTREAM COSTS AND THINGS OF THAT NATURE. SO IT'S IT REALLY IS A GREAT QUESTION. SO RIGHT NOW BUSINESSES ARE OBLIGATED TO REPORT TO THE CITY EVERY YEAR THE PERSONAL PROPERTY THAT THEY OWN. IT'S SOMETHING CALLED THE FORMS LIST. IT'S 20I WANT TO SAY AROUND MARCH. AND SO THAT'S HOW WE GATHER DATA ON PERSONAL PROPERTY THROUGHOUT THE CITY. SO THAT SAME THING IS REAL ESTATE WHERE YOU CAN CLEARLY SEE THERE'S A HOUSE OVER THERE. WE DON'T REALLY KNOW WHAT STUFF YOU OWN UNLESS YOU TELL US AND SO THERE'S LAW THAT OBLIGATES YOU TO TELL US THE THINGS THAT YOU OWN THAT ARE TAXABLE. SO WE REVIEW THOSE FILINGS EVERY YEAR AND SO THE PROCESS OF CHANGING AN EXEMPTION AMOUNT IS WE DO THE SAME AMOUNT OF WORK THAT WE BASICALLY DO CURRENTLY AND WE JUST WOULDN'T SEND YOU A BILL AND SO OUR WORKLOAD DOESN'T INCREASE AND THERE'S NO EXTRA STEPS REQUIRED FROM SMALL BUSINESSES EITHER BECAUSE IT WOULDN'T NECESSITATE A NEW APPLICATION PROCESS OR ANYTHING LIKE THAT. IT'S ACTUALLY PRETTY SEAMLESS ON BOTH SIDES COMPARED TO THE CURRENT SYSTEM THAT WE CURRENTLY HAVE. THANK YOU SO MUCH. THOSE ARE MY 3 MINUTES I THINK YOU KNOW I'M REALLY GRATEFUL FOR MY COLLEAGUES QUESTIONS. I JUST WANT TO SHOUT OUT COUNCILOR BRAYTON AND HER LEADERSHIP WHEN IT COMES TO PILOT. WE HELD A BRIEFING EARLIER WAS IT A BRIEFING OR A HEARING? IT WAS A BRIEFING ON SOME OF THE NEXT STEPS ON PILOT ACTION TAKING THE MANTLE FROM THEN MAYOR JANEY COUNCILOR AND YOU SAYS ABBY GEORGE COUNCILOR EDWARDS. AND SO THIS HAS BEEN A LONG TIME CONVERSATION BUT I JUST WANTED TO SHUT YOU OUT BECAUSE I DON'T THINK ANYBODY DID YET FOR YOUR LEADERSHIP ON THIS ISSUE. THESE ARE LONG TERM CONVERSATIONS, RIGHT? THIS IS A NATIONWIDE PROBLEM AND THIS PARTICULAR PROPOSAL DOES NOT EXCLUDE THOSE CONVERSATIONS FROM HAPPENING. RIGHT. WE CAN TALK ABOUT THE BUDGET. WE CAN TALK ABOUT PILOT, WE CAN TALK ABOUT DIVERSIFYING REVENUES. WHAT'S IN FRONT OF THIS COUNCIL IS THIS DOCKET IS THIS HOMEWORK PETITION AND WE'RE DISCUSSING THE MERITS OF THIS PARTICULAR PROPOSAL. AND SO I'M GRATEFUL FOR MY COLLEAGUES FOR ASKING REALLY POIGNANT DIRECT QUESTIONS JUST TO MAKE SURE THAT WE ARE DOING OUR DUE DILIGENCE. SO I JUST WANT TO THANK EVERYBODY AND SHOW GRATITUDE TO MY COLLEAGUES. WE'LL GO BACK AROUND TO FOLKS AGAIN. YOU HAVE 3 MINUTES. WE HAVE FLYNN, MURPHY, LOUIJEUNE MEJIA, BREADON FITZGERALD WORLD WHERE L STUDENT ORAL WEBER SANTANA, FERNANDEZ ANDERSEN AND THEN DURKIN COUNCILOR FINE, YOU HAVE 3 MINUTES. THANK YOU, MADAM CHAIR. THANK YOU TO THE PANELISTS AGAIN FOR BEING HERE. I GUESS NICK AND ASHLEY, A COUPLE QUESTIONS MAYBE I'LL ASK MARTY A COUPLE OF QUESTIONS TOO. WHAT DID THE BUSINESS COMMUNITY OR WHEN DID THE MUNICIPAL RESEARCH BUREAU FIRST LEARN THAT WE NEEDED TO HAVE THIS DISCUSSION IN SHIFT THE DEBATE OR TALKS ABOUT THIS TALK ABOUT THIS TAX SHIFT AND HOW WAS THAT HOW DID THAT PROCESS WORK? I DON'T HAVE AN EXACT DATE IN FRONT OF ME BUT WHEN I WAS PUTTING MY CHRONOLOGY TOGETHER I FIRST LEARNED OF THE IDEA OF THE SHIFT SOMETIME IN MID-FEBRUARY AND THAT WAS WHEN OTHERS WERE LEARNING AT THE SAME TIME WE WERE LEARNING THAT THERE WAS THIS IDEA THAT THE ADMINISTRATION WAS CONSIDERING THINKING ABOUT MARIA. I KNOW THE CFO MENTIONED THAT WE WE DON'T REALLY WE'RE NOT IN THIS POSITION BECAUSE OF OUR SPENDING THE PERCENT INCREASE IN SPENDING I THINK THE GOV THE STATE INCREASED THEIR SPENDING THEIR BUDGET AND A 4% MAYBE BUT DO WE HAVE A SPENDING PROBLEM IN THE CITY OR A SPENDING CHALLENGE I SHOULD SAY IN THE CITY THE RESEARCH BUREAU STARTING IN THE REPORT THAT WE ISSUED IN MAY AND RIGHT UP UNTIL THIS THIS CONVERSATION HAS TALKED ABOUT THE IMPORTANCE OF SLOWING THE RATE OF INCREASE IN THE CITY'S BUDGET. SO I DON'T WANT TO GET INTO THE POLITICAL DEBATE IS IT A REVENUE PROBLEM? IS IT A SPENDING PROBLEM? WHAT WE'VE FOCUSED ON IS KIND OF WHAT'S THE REVENUE WHAT ARE ITS SOURCES, WHAT ARE WE SPENDING THAT REVENUE ON AND HOW DOES THAT CONNECT WITH WHAT FOLKS PAY IN PROPERTY TAXES? SO WE HAVE CALLED FOR AS PART OF A POTENTIAL SOLUTION SLOWING THE RATE OF INCREASE IN THE BUDGET AND EVEN GOING FORWARD WE THINK THAT NEEDS TO BE PART OF THE CONVERSATION AS WELL. IS THE $170 MILLION THE BOSTON PUBLIC SCHOOL IS SPENDING ON TRANSPORTATION, IS THAT HAVING AN IMPACT ON THIS DISCUSSION AND TAXES? WELL, I THINK EVERY DOLLAR THE CITY SPENDS HAS AN IMPACT ON THIS DISCUSSION IN TAXES. SO I WOULDN'T SINGLE OUT ANY ONE PARTICULAR LINE ITEM WHETHER IT'S IN THE BOSTON PUBLIC SCHOOLS BUDGET OR THE CITY'S OPERATING BUDGET ALL ADDS UP. SO THERE'S CERTAINLY QUESTIONS TO BE ASKED ABOUT TRANSPORTATION IN BOSTON PUBLIC SCHOOLS BUT IT DOESN'T HAVE ANY PARTICULAR IMPACT COMPARED TO ANY OTHER DOLLARS SPENT AT SOME POINT I BELIEVE MAYBE I'M WRONG BUT AT SOME POINT OVER THE NEXT COUPLE OF YEARS WE COULD BE SPENDING $200 MILLION ON BPAS TRANSPORTATION SERVICES. I DO THINK THAT HAS AN IMPACT ON BOSTON AND OUR TAX STRUCTURE AND HOW WE COLLECT TAXES AND WHO PAYS THE TAXES. I DO THINK WE HAVE TO ADDRESS THAT EVENTUALLY. YOU KNOW, I'M NOT I'M NOT NOT ARGUING THE POINT AT ALL. I'M JUST SAYING WHETHER IT'S SPENT ON TRANSPORTATION OR SOMETHING ELSE, THE DISCUSSION WE'RE HAVING TODAY IS ABOUT THE OVERALL SIZE OF THE BUDGET NOT ON PARTICULAR COMPONENTS OF IT BUT BUT WHAT WE'VE FOCUSED ON IS THE OVERALL RATE OF SPENDING AND WHERE THERE CAN BE OPPORTUNITIES TO SLOW THE RATE OF INCREASE IN THE BUDGET WHETHER THAT COMES IN SCHOOL TRANSPORTATION OR OTHER PARTS OF THE BUDGET IS AN IMPORTANT CONVERSATION TO HAVE. THANK YOU, MARY. THANK YOU, MADAM CHAIR. THANK YOU, COUNCILOR FLYNN. WE DON'T HAVE COUNCILOR MURPHY WITH US BUT WE'LL CIRCLE BACK AND GO TO COUNCIL LOUIJEUNE THANK YOU CHAIR AND AGAIN THANK YOU TO THE PANEL AND THANK YOU TO MY COLLEAGUES FOR ASKING GREAT QUESTIONS. I IN APOLLO I HAD TO STEP OUT APOLOGIES THESE QUESTIONS HAVE BEEN ASKED BUT CAN SOMEONE TALK A LITTLE BIT ABOUT THE PERSONAL PROPERTY EXEMPTION AND YOU KNOW A LOT TRIPLING THAT HOW WAS THAT THE NUMBER THAT WE ARRIVED ON? I'M NOT SURE IF THERE IS A COLLEAGUE WHO HAD ASKED THAT QUESTION BUT IT'S BEEN ASKED AND ANSWERED I THINK TWICE. YEAH. OKAY. IF YOU'LL INDULGE ME SINCE WE'RE TRIPLING IF YOU COULD ANSWER THE THIRD TIME SURE THAT I'M GOING ON. SO RIGHT NOW WE HAVE ABOUT 9500 BUSINESSES IN THE CITY OF ALL SIZES THAT PAY PERSONAL PROPERTY TAXES WITH OUR CURRENT EXEMPTION LEVEL ABOUT 2000 OF THOSE ARE EXEMPT FROM PERSONAL PROPERTY TAXES. IF WE WERE TO INCREASE THE EXEMPTION LEVEL TO 30,000 THAT WOULD EXEMPT ABOUT 4700 BUSINESSES. SO AGAIN THESE ARE TAXES THAT BUSINESSES PAY REGARDLESS OF WHETHER OR NOT THEY OWN THE REAL ESTATE THAT THEY OCCUPY. AND SO IT IS A WAY TO TARGET DIRECT RELIEF TO THOSE BUSINESSES. WE LOOKED AT OUR NEIGHBORS TO SEE WHAT THEY WERE DOING. CAMBRIDGE HAS A HIGHER LEVEL THAN 10,000 AS WELL AS A FEW OTHER COMMUNITIES AND SO WE WANTED TO, YOU KNOW, BE COMPARABLE TO THOSE AND THE TYPE OF RELIEF THAT THEY'RE OFFERING TO THEIR BUSINESSES AND WHY. OKAY. SO ABOUT TRIPLING INSTEAD OF QUADRUPLING OR INSTEAD OF DOUBLING THOSE LIKE YOU KNOW, WE LOOKED AROUND AND WE WANTED TO LAND SORT OF WHERE OKAY, IF YOU IS THAT FOR THE DIRECT RELIEF FOR SMALL BUSINESSES FOR UP TO 15 MILLION, IS THAT ALSO LIKE THE THOUGHT PROCESS AS TO WHY 15 MILLION IF YOU COULD WALK ME THROUGH THAT. YEAH SO THAT ONE'S A LITTLE TRICKIER AND A LITTLE LESS SCIENTIFIC. WE HAVE TO SEE SORT OF HOW THIS IS ALL GOING TO FLOW THROUGH TAX BILLS ONCE THEY GO OUT NEXT MONTH AND THE AND THEN THE FOLLOWING FOURTH QUARTER WE EXPECT THAT IF A BUSINESS IS OCCUPYING A COMMERCIAL PROPERTY THAT HAS SEEN THEIR VALUE DECREASE SIGNIFICANTLY OR YOU KNOW, COMPARED TO THE PRIOR YEAR THAT THE TAXES ON THAT BUILDING WILL DECREASE AND THAT THOSE WILL YOU KNOW, AGAIN DEPENDING ON THEIR LEASE WILL FLOW TO THE THE SMALL BUSINESS. SO IT'S THAT ONE'S A LITTLE TRICKIER BECAUSE WE HAVE LESS DIRECT DATA ON THOSE TYPES OF RELATIONSHIPS AND SO WE WORK WITH OUR COLLEAGUES IN THE HOUSE AND THE BUSINESS COMMUNITY TO KIND OF PICK A NUMBER THAT FELT YOU KNOW, LIKE IT WAS GOOD TO TARGET THOSE BUSINESSES BUT WE'LL SEE SORT OF ULTIMATELY WHAT THAT IMPACT IS IF ANY ONCE THE TAX BILLS GO OUT AND RATES ARE FINALIZED AND SO ON AND SO FORTH. YEAH, ONE THING THAT I JUST WANT TO BE CAREFUL ABOUT IS MAKING SURE THAT WE'RE ABLE TO IDENTIFY THE ACTUAL SMALL BUSINESS BECAUSE OF WHAT YOU JUST RAISED AND WE'VE TALKED ABOUT IT I THINK AD NAUSEUM HERE IN THIS COUNCIL IN TERMS OF WHAT THE TRIPLE NET LEASES REQUIRE OF THE OFTEN UNDER REQUIRE OF THE RATE. SO I JUST WANT TO MAKE SURE THAT WE ARE AND I KNOW WE'RE GOING TO TALK ABOUT IT MORE THAT WE GET THE RELIEF TO THE RIGHT SMALL TOO LIKE NOT THE PROPERTY OWNER IF IT'S THE PROPERTY OWNER WHO'S PAYING RENT RIGHT THAT WE'RE GOING TO BE OKAY AND WOULD LOVE TO TO TALK A BIT MORE ABOUT THAT NUMBER BUT IS THAT MY TIME? THAT'S MY TIME. THANK YOU AND THANK YOU, MADAM PRESIDENT. WE'LL GO BACK TO COUNCILOR MURPHY AND THEN COUNCILOR MEJIA. OH, AND SHE JUST STEPPED OUT AGAIN. OKAY. COUNCILOR MEJIA. THANK YOU. SO I JUST WANT TO KNOW FOR THE RECORD RIGHT, THAT I THINK IT'S IMPORTANT FOR US TO RECOGNIZE THAT THIS IS AN OPPORTUNITY THAT WE HAVE TO REPAIR THE HARM RIGHT. AND THERE'S LOTS OF HARMS THAT HAVE HAPPENED HERE HISTORICALLY AND SO WE'RE NOT GOING TO REPAIR ALL THE TRAUMA THAT WE'VE BEEN CAUSED IN ONE LITTLE HEARING. RIGHT. SO LET'S JUST COME TO TERMS WITH THAT. BUT I DO THINK THAT THERE'S AN OPPORTUNITY FOR US TO UNDERSTAND THAT THE CONVERSATION IN TERMS OF THE NARRATIVE RIGHT AT LEAST THE WAY IT'S BEEN POSITIONED IT'S LIKE WE'RE PUTTING GROUPS AGAINST EACH OTHER. NO ONE EVER FEELS GOOD WHEN THAT HAPPENS. AND I WANT FOR THOSE FOLKS WHO ARE TUNING IN TO KNOW THAT WE JUST HAPPENED TO THIS IS THE HAND THAT WE'VE BEEN DEALT AND THIS IS THE DECISION THAT WE HAVE IN FRONT OF US. IT'S EITHER WE'RE GOING TO SUPPORT OUR BUSINESSES OR WE'RE GOING TO SUPPORT OUR HOMEOWNERS OR WE'RE GOING TO REACH A COMPROMISE AND WE'RE GOING TO FIGURE OUT EVERYBODY'S GOING TO BEAR THE BRUNT OF THE SITUATION. RIGHT? THAT IS WHAT IS WHAT WE'RE GRAPPLING WITH HERE IN THIS MOMENT IN TIME. AND SO I'M JUST CURIOUS IF YOU COULD JUST TALK TO US A LITTLE BIT ABOUT AND I'VE BEEN ONE OF THE LOUDEST VOICES ALONGSIDE MY COUNCIL COLLEAGUE COUNCIL IN AROUND PILOT AND I KNOW THAT WE'RE NOT GOING TO BE ABLE TO DO ANYTHING IN THIS MOMENT IN TIME. BUT I'M JUST CURIOUS CAN YOU JUST TALK ABOUT ANY DISCUSSIONS THAT HAVE TAKEN PLACE INSIDE THE ADMINISTRATION OR OUT AS YOU CONTINUE TO NAVIGATE THIS TASK FORCE? ARE YOU GOING TO CREATE KIND OF LIKE WHO ARE THE PLAYERS AND KIND OF WHAT CONVERSATIONS ARE WE CAN WE EXPECT TO SEE OUT OF THAT? YEAH, SO CONVERSATION ARE HAPPENING. WE'RE CONVENING SOME OF OUR FLAGSHIP EDUCATIONAL INSTITUTIONS, SOME OF OUR MEDICAL INSTITUTIONS. SO THESE ARE ONGOING CONVERSATIONS. I WISH I HAD MORE SPECIFICS TO SHARE WITH YOU ALL AT THIS HEARING BUT THOSE CONVERSATIONS ARE HAPPENING AS YOU KNOW THIS IS A VOLUNTARY PROGRAM THAT HAS BEEN EXTREMELY SUCCESSFUL AND WE WANT TO SEE THE PARTNERSHIP CONTINUE AND BE STRENGTHENED THROUGH, YOU KNOW, ADDITIONAL YEAH, I HAVE LIKE LITERALLY 9 SECONDS LEFT. I JUST WANT TO NOTE THAT I WE'VE GOTTEN TONS OF EMAILS FROM PEOPLE WHO ARE SAYING THAT THIS IS THE PATHWAY TOWARDS LEAST RESISTANCE. RIGHT. IN TERMS OF LIKE WE'RE JUST GOING TO COME TO SOME COMPROMISE INSTEAD OF DOING SOME REALLY HARD WORK WHICH I BELIEVE THAT YOU ALL HAVE TRIED TO MEET THE MOMENT I'M GOING TO SAY THAT HAVING GONE THROUGH REDISTRICTING, HAVING SURVIVED THE BUSSING ERA, HAVING LIVED HERE IN THE CITY OF BOSTON, I UNDERSTAND THE DYNAMICS AND THE POLITICS OF THE POLITICS. HOWEVER, I REALLY DO BELIEVE WE HAVE AN OPPORTUNITY AS YOU ALL AS THE ADMINISTRATION TO REALLY THINK ABOUT THE LONG GAME HERE AND WHAT THESE CONVERSATIONS ARE GOING TO LOOK LIKE NEXT YEAR WHEN WE'RE DOING BUDGETING SO THAT WE'RE NOT CONTINUOUSLY HAVING TO FORCE OURSELVES INTO VOTES BECAUSE WE HAVEN'T DONE THE DUE DILIGENCE. I KNOW EIGHT MONTHS. MARTY, YOU SAID THAT WE'VE BEEN AT THIS FOR EIGHT MONTHS. BUT THE FACT OF THE MATTER IS IS THAT HERE WE ARE NOW MET WITH ANOTHER DEADLINE, RIGHT. THAT WE AUPRA WAS LIKE THAT. NOW THIS IS LIKE THAT. IT JUST FEELS LIKE WE'RE IN CONSTANT CRISIS MODE AND WE'RE JUST GOING TO HAVE TO FIGURE OUT HOW ELSE WE CAN BE DOING BUSINESS SO THAT WE CAN DO THE PEOPLE'S BUSINESS IN A MORE TIMELY FASHION SO IT DOESN'T FEEL SO CHAOTIC. OKAY. THANK YOU, COUNCILOR MEJIA NEXT STEP WE HAVE COUNCILOR BURTON. THANK YOU, MADAM CHAIR. I WANT TO GO BACK TO THE REVALUING OF TAX EXEMPT PROPERTY. HOW EXACTLY DO WE IF WE DON'T HAVE SALES FIGURES LIKE THAT'S WHY WE DO IT IN THE COMMERCIAL MARKET DO WE JUST ROUNDED UP LIKE TWO AND A HALF PERCENT A YEAR? HOW DO WE HOW DO WE BECAUSE I KNOW OUR HOMES HAVE QUADRUPLED IN VALUE IN THE LAST 20 YEARS GOING ON SALES FIGURES BUT I'M NOT SURE THAT THE TAX EXEMPT PROPERTIES THAT THEY'RE VALUED THAT THEIR VALUES OF QUADRUPLED IN 20 YEARS. SO HOW DO YOU HOW DO WE ESTABLISH THE VALUE OF TAX EXEMPT PROPERTY IN THE CITY OF BOSTON? THANK YOU SO MUCH, SIR. IT'S A REALLY GOOD QUESTION, COUNCILOR . SO IN GENERAL WE WE TREAT NONPROFIT PROPERTY IN A SIMILAR MANNER TO COMMERCIAL PROPERTY AND SO ESSENTIALLY WE GET TO ATTRIBUTES OF THE PROPERTY AND WE PUT THOSE THINGS INTO OUR SYSTEM AND THEN WE KIND OF ROUGH OUT WHAT WE THINK A COMPARABLE WOULD BE IF IT WERE TO BE LEASED AND SO BASICALLY WHAT KIND OF INCOME THAT PROPERTY COULD POTENTIALLY GENERATE AND THEN BY USING THE INCOME AND EXPENSE DATA THAT WE HAVE IN OUR SYSTEM FOR FOR PROFIT INSTITUTIONS AND KIND OF CREATING EQUIVALENCE FOR NONPROFITS, WE HAVE A SERIES OF TABLES IN MODELING TO PUT VALUES ON THOSE PROPERTIES. I MEAN YOU'RE RIGHT THEY'VE NOT QUADRUPLED IN THE SAME WAY THAT SINGLE FAMILY HOMES HAVE AND POTENTIALLY CONDOS HAVE. BUT THEY'RE ALSO VERY DIFFERENT TYPES OF PROPERTIES LIKE OUR COMMERCIAL PROPERTIES HAVE ALSO NOT QUADRUPLED IN VALUE OVER THAT TIME PERIOD. OKAY. THE OTHER QUESTION I HAD WAS YOU KNOW, STATE AID HOW STATE AID IS APPLYING TO LIKE HOW IS IT DETERMINED AND WHY HAS IT DECLINED? GREAT QUESTION. SO CHAPTER 70 OBVIOUSLY HAS A FORMULA ATTACHED TO IT THAT IS A BIG COMPONENT OF OUR NET OUR YOU KNOW, GROSS STATE AID, THE UNRESTRICTED GENERAL GOVERNMENT AID IS LESS OF A FORMULA. IT'S SORT OF , YOU KNOW, PART OF THE STATE'S REGULAR BUDGET PROCESS. SO THAT CAN FLUCTUATE I THINK DURING THE GREAT RECESSION YOU SAW SOME OF THOSE NUMBERS DIP AND I THINK MARTY, AS HER TIME IN THE LEGISLATURE CAN SPEAK TO SOME OF THAT AS WELL. SO IT'S IT'S PARTIALLY FORMULA DRIVEN PARTIALLY NOT. BUT THE OTHER THING ABOUT STATE AID IS THAT IN ADDITION TO THE CHAPTER ANY AND GENERAL GOVERNMENT AID THAT WE RECEIVE, WE ALSO HAVE A NUMBER OF STATE ASSESSMENTS THAT WE ARE RESPONSIBLE FOR AND SO THOSE HAVE INCREASED AS WELL OVER TIME. SO CHARTER SCHOOLS AND BETTER ASSESSMENT AND SO ON A NET BASIS WE'RE ACTUALLY YOU KNOW, NOT DOING QUITE AS WELL ON THE STATE AID FRONT OBVIOUSLY IT'S GREAT AND WE NEED IT AND IT IS A TERRIFIC YOU KNOW, AND CRITICAL SOURCE OF REVENUE FOR OUR BUDGET. BUT YOU KNOW, HOPING THAT THAT WILL CONTINUE TO KEEP PACE WITH SOME OF THE GROWTH IN OUR IN OUR BUDGET. VERY GOOD. THANK YOU. MY TIME'S UP. THANK YOU, COUNCILOR BURTON. COUNCILOR FITZGERALD. THANK YOU, MADAM CHAIR. JUST SOME QUESTIONS I'D REALLY OFF I'M TRYING TO LEARN DOES INSURANCE IS HOME INSURANCE RISE WHEN PROPERTY VALUES RISE? IS THERE IS THERE A CORRELATION THERE? I FEEL LIKE EVERYONE SAYS OH MY YOU KNOW, MY INSURANCE IS GONE SO IT'S KIND OF LIKE A DOUBLE HOUSE AND I FEEL LIKE A LOT OF FAMILIES ARE FEELING THAT. BUT I DON'T KNOW IF THE TWO ARE DIRECTLY CORRELATED OR NOT SO I'M HAPPY TO TAKE A CRACK AT THE QUESTION COUNCILOR IT'S IT'S A LITTLE BIT OUTSIDE THE PURVIEW OF MY DAY TO DAY BUT YEAH, WITH GENERAL REAL ESTATE KNOWLEDGE I'LL I'LL ANSWER WHAT I CAN SO BROADLY SPEAKING YES HOME INSURANCE VALUES ARE GOING TO ARE COSTS ARE GOING TO RISE AS THE VALUE OF THE THING THAT YOU'RE INSURING GOES UP. IT'S NOT PEGGED TO PROPERTY TAXES NORMALLY IT'S A DIFFERENT TIMELINE, DIFFERENT STANDARDS, THINGS THAT NATURE BUT AS VALUES GO UP IN GENERAL IN THE REAL ESTATE MARKET BUT THEN INSURANCE COSTS ARE GOING TO GO UP AS WELL. THE APPRAISALS THAT THE CITIES DO ON EACH PROPERTY THOUGH IS THAT THE NUMBER THAT WOULD DRIVE THAT? NO, NO IT IS MY UNDERSTANDING IS THAT IT DOES NOT DIRECTLY CORRELATE TO WHAT BANK THINKS THE PROPERTY IS WORTH WHICH IS USUALLY WHAT FORCES YOU TO HAVE YOUR INSURANCE GO UP SO LIKE YOU DON'T HAVE TO INSURE YOUR HOME FOR MORE MONEY IF YOU DON'T WANT TO BUT IF YOU HAVE A LOSS THEN THEY'RE ONLY GOING TO PAY TO THE THE MAXIMUM AMOUNT THAT YOU'VE INSURED. SO USUALLY WHAT FORCES PEOPLE TO INCREASE THEIR INSURANCE MOUNTAINS BECAUSE THEY HAVE A MORTGAGE AND SO THE BANK INTEREST IN THE PROPERTY THAT YOUR LENDER WANTS TO MAKE SURE THAT THEIR INTEREST AT LEAST IS INSURED TO AN APPROPRIATE LEVEL. I'LL ALSO GO TO OTHER PROFESSIONALS TO ASK THEM THAT QUESTION BUT I THANK YOU FOR THE RESPONSE BECAUSE IT DOES HELP. BUT ONE OF THE ISSUES THAT I HEAR FROM THE COMMUNITY TOO IS THE SORT OF UNREALIZED GAINS THEY'RE SAYING GREAT, MY HOUSE IS WORTH MORE BUT IT DOESN'T HELP ME IN THE CURRENT MOMENT, RIGHT. BECAUSE I PLAN TO LIVE HERE FOREVER. SO LIKE THERE'S SORT OF THESE UNREALIZED GAINS IN THEIR PROPERTY VALUE IF THEY'RE NOT GOING TO SELL THEIR HOME THAT IDEALLY WOULDN'T YOU WANT FAMILIES TO SAY STAY YOU'RE NOT TRYING TO GET THEM TO SELL THEIR HOME AND SO IS THERE IT AGAIN THIS IS A MORE PHILOSOPHICAL QUESTION BUT IS THERE ANYTHING THAT WE'RE WORKING ON THAT CAN KIND OF COUNTERACT THAT IN A WAY OR IS THERE SOMETHING THAT WE CAN I'D LOVE TO TALK TO YOU GUYS MAYBE SIDE OF OF HOW YOU HELP FOLKS WHO ARE NOT GOING TO CASH IN ON THEIR PERCEIVED GAINS BUT YET ARE TAXED ON THEM. RIGHT. AND SO HOW CAN WE HELP THOSE FOLKS OUT AND I UNDERSTAND ONE GOOD ANSWER MIGHT BE LIKE WELL PASS THIS RAILROAD PASS THIS PROPOSAL. I GET THAT I COULD SEE ACTUALLY THINKING THAT THERE HAD BUT JUST SORT OF GOING FORWARD AT ALL BECAUSE I THINK IT IS ONE THING THAT DOES DRIVE THAT ENDS UP DRIVING SOME FAMILIES OUT. THAT'S WHY I ASKED THE THE INSURANCE QUESTION AS WELL BECAUSE IT'S ALMOST LIKE PEOPLE YOU KNOW, IT'S COMING FROM ALL ANGLES. THEY SAY I'M OUT OF HERE RIGHT . BUT NO, THAT'S ALL THANK YOU VERY MUCH, CHAIR. I APPRECIATE THE PANEL. THANK YOU AS ALWAYS. THANK YOU, COUNSELOR FITZGERALD OF COUNCILOR, WHERE ARE YOU UP NEXT? THANK YOU, CHAIR. I GUESS YOU KNOW, WE'VE HEARD A LOT ABOUT, YOU KNOW, CITY COSTS FOR ONE TIME A BUSSING. YOU KNOW, I THINK ONE THING THAT CAME UP IS WE SPEND ABOUT $17 MILLION LAST YEAR IN BUSSING HOMELESS CHILDREN WHO ARE PLACED IN SHELTERS OUTSIDE THE CITY BACK INTO THE CITY. YOU KNOW, I THINK ONE GREAT WAY THAT THE THAT THAT WE'VE WORKED ON WITH THE MAYOR IS TO HAVE A COUNCIL RATE A COUNCIL PROGRAM FOR THOSE FAMILIES SO WE THEY DON'T HAVE TO LEAVE THE CITY AND THEY CAN STAY IN THE CITY. WE DON'T HAVE THAT TYPE OF ISSUE. WE CUT COSTS THAT WAY. HOW IN TERMS OF LIKE YOU KNOW, WE'RE ALSO HEARING ABOUT A HIRING FREEZE I GUESS THE CHIEF WHAT IMPACT WOULD THAT HAVE ON THE CITY IF WE JUST PUT A HIRING FREEZE IN PLACE RIGHT NOW? YEAH, THANKS FOR THAT QUESTION . SO IF YOU WERE TO PUT A HIRING FREEZE IN PLACE I MEAN YOU HAVE TO SEE WHICH DEPARTMENTS ARE TRYING TO STAFF UP AND RIGHT NOW BASED ON KIND OF OUR CURRENT LOOK AT THIS FISCAL YEAR YOU'RE SEEING A LOT OF NEED TO STAFF UP IN BTD ESD WHICH IS ANOTHER ONE WHERE THERE'S A TREMENDOUS NEED TO STAFF UP AND SO IF YOU THINK ABOUT YOU KNOW BTD AND I SPECIFICALLY THINK ABOUT THE CITY SERVICES THAT THOSE DEPARTMENTS PROVIDE BY WAY OF STAFF COMMUNITY CENTERS AND SO IT WOULD JUST FURTHER LIMIT OUR ABILITY TO REALLY CONTINUE TO RAMP UP THOSE SERVICES, DELIVER THOSE SERVICES THAT PEOPLE ARE EXPECTING. OKAY. YEAH. AND I GUESS YOU KNOW, WE'RE TALKING ABOUT, YOU KNOW, WHAT HAPPENS IN THREE YEARS. I MEAN DO DO WE KNOW FOR CERTAINTY WHERE THE VALUES ARE GOING TO BE IN THREE YEARS? MARTY, YOU KNOW, YOU HAVE YOUR IS TWO GUESTS. WE HAVE WE HAVE NOT TRIED TO GUESS THAT. I MEAN WE HAVE A PRESIDENTIAL ELECTION COMING NEXT WEEK. I HESITATE TO PREDICT WHAT'S GOING TO HAPPEN IN THE ECONOMY UNTIL WE KNOW THE OUTCOME OF THE ELECTION AND WE PEER AHEAD A COUPLE OF YEARS. SO WE HAVE NOT MODELED THAT AND DON'T HAVE A PREDICTION. I WILL DEFER TO NICK AND ASHLEY IF THEY HAVE ANY PREDICTIONS OR MODELING ON THAT. WELL YEAH. SO I GUESS MY MY POINT IS, YOU KNOW, WE'RE TALKING ABOUT WHAT COULD HAPPEN IN THE FUTURE AND IF PROPERTY COMMERCIAL VALUES ARE GOING DOWN. I MEAN I GUESS THIS QUESTION FOR BOTH OF YOU ISN'T ONE SURE FIRE AWAY TO MAKE SURE TO HAVE PROPERTY THAT COMMERCIAL VALUES GO DOWN B CONDITIONS WHERE WE'RE DRIVING RESIDENTS OUT OF THE CITY AND WE'RE CUTTING SERVICES. I THINK YOU'RE KIND OF GETTING AT THE HEART OF THIS RIGHT WHERE IT'S IT'S A SHARED SHARED WE'RE IN THIS TOGETHER, RIGHT? IT'S A SHARED SHARED BURDEN FOR ALL OF US AND RIGHT. IF YOU ERODE CITY SERVICES THAT KEEP PEOPLE HERE THAT YOU KNOW, KEEP BUSINESSES HERE, THERE'S A TRADEOFF THERE. THEY'RE VERY RELATED. SO I AGREE WITH YOUR POINT, MARK. MARTY YEAH, I THINK THE POINT IS WE HAVE A SHARED FATE IN HOW THAT WORKS OUT IN PRACTICAL REALITIES IS WHY WE ARE SPENDING EIGHT AND A HALF MONTHS TALKING ABOUT THIS. BUT THE POINT BEING WE ARE IN THIS TOGETHER AND FOR THE RESEARCH PROS POINT OF VIEW AS WE HAVE CONFRONTED THIS QUESTION WE HAVE BEEN THINKING ABOUT WHAT IS IN THE BEST INTEREST OF THE CITY AS A WHOLE. YOU KNOW WE ARE NOT AN ADVOCACY GROUP FOR ONE INTEREST OR ANOTHER. WE TRY TO TAKE THE VIEW OF WHAT WILL HELP BOSTON BE A HEALTHY, VIBRANT, THRIVING CITY WHICH IS WHY WE CAME TO THE CONCLUSION THAT THE HOME RULE PETITION OUGHT TO BE PASSED. BUT WE RECOGNIZE WE AS ACTUALLY WERE SAYING WE ARE IN THIS TOGETHER. WE HAVE A SHARED FAITH IN A THRIVING RESIDENTIAL COMMUNITY, IN A THRIVING BUSINESS COMMUNITY ARE ESSENTIAL TO OUR COLLECTIVE FUTURE. OKAY. YEAH. THANK YOU VERY MUCH. THANK YOU SO MUCH, COUNCILMEMBER COUNCIL MAYORAL AND THEN COUNCILOR FERNANDEZ. I THANK YOU CHAIR CFR, I GUESS THIS IS A QUESTION FOR YOU AROUND OUR CREDIT RATING HOW WOULD NOT RAISING TAXES TO OUR LEVY LIMIT AFFECT OUR CREDIT RATING? HOW WOULD THAT CREDIT RATING THEN YOU KNOW HAVE YOU KNOW OTHER FACTORS PLAY OUT IN OTHER FACTORS YOU KNOW OUR ABILITY TO CONTINUE TO INVEST INTO CAPITAL PROJECTS SUCH AS AFFORDABLE HOUSING PROJECTS AND HOW MUCH MORE MONEY WE SPEND ON ANNUAL INTEREST IF OUR CREDIT RATING WAS TO DROP. YEAH THANK YOU. SO THANKFULLY IN PARTNERSHIP WITH YOU ALL WE HAVE MAINTAINED A TRIPLE-A CREDIT RATING FOR THE LAST DECADE. IF I YOU KNOW IT'S ALWAYS HARD TO SAY WHAT THE RATING AGENCIES ARE GOING TO DO AND WHEN THEY'RE GOING TO DO IT. BUT I WOULD SUSPECT THAT IF WE DEMONSTRATED A PATTERN OF NOT, YOU KNOW, COLLECTING OUR FULL PROPERTY TAX LEVY THAT THERE WOULD BE CONCERNS ABOUT OUR YOU KNOW, REVENUE STABILITY OVER TIME AND REALLY OUR ABILITY TO PAY BACK THE BONDS THAT WE HAVE ISSUED AND MAINTAIN A REALLY AGGRESSIVE DEBT SERVICE SCHEDULE. SO I THINK THAT'S THE FIRST PART OF YOUR QUESTION AND THEN HOW MUCH MORE YOU KNOW SO IF YOU SEE A RATING DECREASE YOU ARE BEING CHARGED HIGHER RATES ON THE BONDS THAT YOU OFFER AND WE WOULD JUST PAY MORE IN DEBT SERVICE. HOW MUCH MORE? IT'S HARD TO SAY. THEY CHANGE, YOU KNOW, DAY TO DAY DEPENDING ON WHAT'S GOING ON. BUT IT WOULD IT WOULD IMPACT AND THEN THAT'S LESS MONEY WE HAVE AVAILABLE IN OUR CITY OPERATING BUDGET TO FUND OTHER THINGS. ALL RIGHT. THANK YOU FOR THAT. AND THEN AROUND THE ACCELERATOR FUND WHETHER IT'S I GUESS JUST MORE SO SPEAKING TO YOU KNOW IT BEING AN INVESTMENT INSTEAD OF A COST LIKE THE IDEA IS TO HAVE IT AS A REVOLVING FUND SO CAN YOU SPEAK TO YOU KNOW, THE ACCELERATOR FUND AND HOW IT'S AN INVESTMENT? YES. SO WE WILL HAVE MORE CONVERSATIONS WITH YOU ALL ABOUT THAT BUT IT IS INTENTIONALLY EXACTLY WHAT YOU SAID AN INVESTMENT. IT IS A ONE TIME, YOU KNOW, ENVISIONED TO BE SORT OF A REVOLVING EQUITY LINE THAT WILL ALLOW PROJECTS TO ADVANCE AND ULTIMATELY SORT OF SPUR HOUSING PRODUCTION ACROSS THE CITY WHICH IS GOOD FOR EVERYONE. YOU KNOW, FOR A FOR AN AFFORDABILITY STANDPOINT SORT OF GROWING THE TAX BASE. AND SO IT'S A ONE TIME INVESTMENT THAT WE CAN UTILIZE OVER AND OVER AGAIN IF IT'S WORKING CORRECTLY. SO IT'S NOT GOING TO PRESENT THIS ONGOING HUNDRED MILLION DOLLARS. ARE YOU GOING TO KEEP FEEDING IT SITUATION ON IT'S A IT'S A SMART ONE TIME INVESTMENT AND WE HAVE THE ONE TIME RESOURCES TO DO IT. AWESOME. AND THEN JUST TALKING ABOUT INVESTMENTS IN REVENUE I KNOW WE HAVE TRANSFER TAX BACK TO STATE HOUSE AND I SAW A REPORT THAT SAID WE WILL GET YOU KNOW $70 MILLION IN NEW REVENUE IF IT WAS PASSED. I THINK THAT WAS FOR 2022 OR 2021 NUMBERS OF 900% SURE. BUT IF THAT WAS TO PASS LIKE HOW WOULD THAT AFFECT HOW MUCH MONEY WE COLLECT IN THE TAX LEVY OR THAT CHANGE IT AT ALL? I CAN'T I'M GOING TO JUMP IN ON THIS. THE TRANSFER TAX AS IT'S CURRENTLY WRITTEN GOES INTO A PARTICULAR FUND. IT DOES NOT GOING TO FUND THE GENERAL OPERATING BUDGET. SO FOR EXAMPLE IN OUR REVENUE DIVERSIFICATION REPORT WE ARE FOCUSING IN ON THE OPERATING BUDGET AND AS A RESULT WE'RE NOT DISCUSSING THE TRANSFER TAX BECAUSE THAT FUND GOES TO A DIFFERENT PLACE. RIGHT? PERFECT. THANK YOU. AND YOU HAVE TIME FOR ONE MORE QUESTION. OH, THANK YOU. THANK YOU. THANK YOU. COLLECT BANK ACCOUNTS THE WAY THEY HOLD ON. WE'VE BEEN HAVING A COUNSELOR FERNANDEZ ANDERSON WAIT TO COME BACK. THANK YOU. OKAY, THANKS. ALL RIGHT. THANK YOU, MADAM CHAIR. I GUESS WE KNOW WITH THE $6,871 THAT BUSINESSES WILL BE ABLE TO GET AND GRANT, IS IT LIKE PER BUSINESS IF WE'RE DOING 2180 TO 83 BUSINESSES THEN WHEN YOU DIVVY THAT UP I MEAN IT DOESN'T NECESSARILY MEAN BUT IT AVERAGES ABOUT YOU KNOW CLOSE TO $7,000 EACH BUSINESS AND I'M JUST WONDERING ONE DOES IF YOU ARE EXEMPT SO IF YOU EXEMPT BETWEEN UP TO 30,000, DO YOU ALSO QUALIFY FOR THE DIRECT RELIEF AS WELL OR IS IT LIKE IS THERE AN OVERLAP SOMEWHERE WHERE IT'S LIKE NO, YOU DON'T QUALIFY BECAUSE ALTHOUGH YOU'RE UNDER 5 MILLION IN REVENUE SO AGAIN A LOT OF DETAILS WORK OUT ON HOW THE PROGRAM'S ACTUALLY GOING TO WORK. I DON'T THINK WE WOULD ENVISION A SITUATION WHERE IF YOU ARE YOU KNOW YOU KNOW THE EXEMPTION IS GOING TO APPLY TO EVERYONE, RIGHT. WHETHER OR NOT THEY'RE GETTING THE DIRECT RELIEF SO THAT THAT WILL APPLY. AND THEN IF WE YOU KNOW, DEPENDING ON THE TYPE OF DIRECT RELIEF PROGRAM WE SPIN UP, IT'S GOING TO BE BASED ON WHETHER OR NOT YOU'RE SEEING A YOU KNOW, A DIRECT IMPACT FROM THIS PROPOSAL AND SORT OF HOW TAXES ARE IMPACTING YOU SO THEY'RE RELATED BUT SEPARATE. I DON'T ENVISION A SITUATION WHERE JUST BECAUSE YOU'RE GETTING THE PERSONAL PROPERTY TAX EXEMPTION THAT YOU WOULDN'T QUALIFY FOR THE DIRECT RELIEF WHATEVER SHAPE THAT PROGRAM TAKES I THINK YOU I UNDERSTAND SORT OF LIKE THE ESTIMATION OF LIKE HALF OF THE SMALL BUSINESSES THAT WOULD BE IMPACTED IN THIS WAY AND QUALIFY UNDER THE 5 MILLION AND AS WELL AS EXEMPT BETWEEN TEN 30,000. I GUESS I'M TRYING TO FIGURE OUT PROGRAMMATIC QUESTIONS IN TERMS OF LIKE THE STRUCTURE AS A BUSINESS OWNER OR AS A RESIDENT OR AS A COMMERCIAL LANDLORD THEN WHAT LIKE HOW HOW CAN I EXPLAIN THIS TO MY VOTERS LIKE LIKE TO MY TO MY CONSTITUENTS? LIKE WHAT HOW DOES IT WORK? WHERE DO I FALL LIKE IN A AND I THINK THAT THAT'S WHERE AND I UNDERSTAND THAT THAT HAS TO STILL BE WORKED OUT. YEAH IF YOU IF YOU LIKE TAKE A STAB AT IT BUT IT'S NOT LIKE IN SIMPLEST TERMS LIKE IF I THERE'S A RESIDENT HERE I WANT PEOPLE TO WALK AWAY WATCHING THIS FEELING LIKE OH I GET THAT PROGRAM. I KNOW EXACTLY HOW I WOULD QUALIFY. YEAH. SO I THINK IF I CAN TRY AND EXPLAIN IT SIMPLY THIS PROGRAM WAS DEVELOPED SORT OF IN RESPONSE TO CONCERNS ABOUT SMALL BUSINESSES IN COMMERCIAL SPACES AND HOW THIS PROGRAM MIGHT IMPACT THE SPACES THAT THEY OCCUPY. WE DO NOT HAVE DIRECT INSIGHT INTO THOSE TENANT LANDLORD RELATIONSHIPS BUT IN ORDER TO BE SORT OF SORRY BECAUSE MY TIME IS GOING TO GO YOU'LL HAVE OF TIME TO ANSWER BUT COULD YOU ALSO ADD THE RESIDENTIAL PART IN TERMS OF IN TERMS OF EXPLAINING TO CONSTITUENTS THIS THREE YEAR SEE I SAVE WITHIN THE NEXT THREE YEARS EACH YEAR I'M SAVING FOR I'M NOT PAYING $400 TIMES THREE THEN DO I OWE 1200 DOLLARS AND A THIRD YEAR IN ADDITION TO IT GOING BACK TO REGULAR IS IT NOW 1200 PLUS 1220 400? HOW DO I AFFORD THAT? CAN YOU CAN YOU ALSO ANSWER THAT PART? YEAH. SO JUST TO CLOSE THE LOOP ON THE COMMERCIAL PIECE SO BECAUSE WE DON'T HAVE DIRECT INSIGHT INTO THOSE TENANT LANDLORD RELATIONSHIPS WE WANTED TO CREATE SOME SORT OF PROGRAM WHERE IF THERE IS SOME IMPACT OF THOSE SMALL BUSINESSES THAT ARE OCCUPYING THOSE COMMERCIAL SPACES WE HAVE THE ABILITY TO PROVIDE DIRECT RELIEF TO THEM AND SO I THINK WE'RE GOING TO LOOK FORWARD TO WORKING WITH THE COUNCIL , THE BUSINESS COMMUNITY TO DESIGN THAT PROGRAM AND UNDERSTAND THAT IMPACT AND THE BEST WAY TO GET THOSE DOLLARS TO THE IMPACTED BUSINESSES. AND ON THE RESIDENTIAL SIDE THE KIND OF KEY TAKEAWAY FROM THIS PROPOSAL IS REALLY JUST WE ARE WE ARE TRYING TO SMOOTH IN THE IMPACT OF THIS COMMERCIAL VALUE LOSS OVER A LONGER PERIOD OF TIME AS OPPOSED TO HAVING IT ALL HIT AT ONCE. AND SO WHAT FUTURE TAXES ARE GOING TO LOOK LIKE ARE GOING TO BE BASED ON WHAT'S HAPPENING WITH VALUES IN THOSE YEARS. SO IT'S NOT LIKE WE CAN SAY OH YOU SAVE 400 THIS YEAR, YOU'RE GOING TO OWE THAT 400 NEXT YEAR. IT'S NOT QUITE THAT SIMPLE BUT WE'RE TRYING TO JUST PROVIDE THAT RUNWAY SO THAT THE IMPACT OF THIS IS SMOOTHED DOWN AS OPPOSED TO HAVING RESIDENTS HAVE TO ABSORB THAT ALL IN ONE YEAR. CAN I CAN I ADD ONE CLARIFYING POINT WHICH IS IF SOMEONE IS PAYING OVER A LOWER AMOUNT IN TAXES IN THEIR FY 25 COMPARED TO WHAT THEY WOULD PAY WITHOUT THE HOME RULE SAY THEY SAVED $200 THEY'RE NOT GOING TO LATER OF THAT $200 AT THE END OF THE THREE YEARS. THAT'S WHY THE SHIFT IS ON TO COMMERCIAL SO IT REDUCES THEIR INCREASE IN TAXES BUT THEY DON'T LATER HAVE TO WRITE OUT A CHECK FOR THAT SAME AMOUNT OF MONEY THAT THEY DIDN'T PAY OVER THE THREE YEARS BECAUSE I THINK THAT'S PART OF WHAT YOU WERE GETTING AT AND I JUST WANTED TO MAKE SURE THAT WE ANSWER THAT CLEARLY THERE'S NOT LIKE A BALLOON PAYMENT AT THE END OF THE THREE YEARS THAT A HOMEOWNER IS GOING TO BE EXPECTED TO MAKE MOST RESIDENTS ,ESPECIALLY OUR OLDER RESIDENTS HAVE BEEN MISINFORMED THAT THAT'S THE CASE AND I JUST WANTED TO BE ON RECORD WHERE I CAN SAY LOOK AT THIS VIDEO WE ARE WE CLEAR THAT THAT'S NOT THE CASE YOU VERY MUCH. YEAH. THANK YOU. THANK YOU. CAN SECRETARY TILLERSON I'M GOING TO GO TO PUBLIC TESTIMONY BECAUSE FOLKS HAVE BEEN WAITING ON ZOOM AND MY UNDERSTANDING IS THAT ZOOM HAS BEEN WORKING FOR QUITE SOME TIME. SO I WILL CALL OUT FOLKS THAT HAVE SIGNED UP THE EMAIL BY SENDING AN EMAIL TO MEGHAN CAVANAUGH BOSS AND DOUG GOV AND THEN WE'LL GO TO FOLKS HERE THAT HAVE SIGNED IT FOR PUBLIC TESTIMONY. SO WE'LL START WITH PAMELA KING AND THEN GO TO GAIL. SO WE MODEL IF YOU FOLKS I UNDERSTAND THAT THERE ARE SOME HARD STOPS HERE SO I'M JUST LOOKING AT THE ADMINISTRATION PANEL, THANK YOU SO MUCH FOR BEING HERE. YOU CAN STAY FOR A LITTLE BIT DURING PUBLIC TESTIMONY. THAT WOULD BE THAT WOULD BE MY PREFERENCE. SO PAMELA KING, GAIL SUGIMOTO, JOHN MALOOF, ENID ECKSTEIN. DIANE VALLEY TANNER PRESTON AND JOYCE WILLIAMS THANK YOU SO MUCH MARTY FOR YOUR TESTIMONY TOO. I APPRECIATE IT. THANK YOU. OKAY. SO WE HAVE I GUESS WE HAVE FOUR THREE PEOPLE ON ZOOM RIGHT NOW . WE WILL START WITH WHO IS CURRENTLY UP ON THE SCREEN. OKAY. I RECOGNIZE YOU CAN LIKE NO, IT DOESN'T MAKE SENSE BECAUSE OH, WE HAVE ENID. HI, ENID. IT'S VERY LOVELY TO SEE YOU. THANK YOU FOR YOUR PATIENCE. MY UNDERSTANDING IS THAT YOU'VE BEEN ON FOR A LONG TIME. YOU KNOW YOU HAVE 2 MINUTES. THANK YOU SO MUCH FOR BEING HERE, I'M SURE. THANK YOU AND THANK YOU FOR GETTING THE VIDEO FINALLY GOING. SO IT WAS GREAT TO HEAR ALL THIS CONVERSATION ABOUT PILOT MY NAME'S IN INDEX TEEN AND I'M THE CO-CHAIR THE PILOT ACTION GROUP THANKS FOR THE OPPORTUNITY TO TESTIFY PASSED AND IT'S AN IMMEDIATE BUDGET CRUNCH DUE TO THE PROPERTY TAX REVENUE PROBLEM AND YES IT IS POSITIVE THAT. MAYOR WU AND THE BUSINESS COMMUNITY LEGISLATURE REACHED AN 11TH HOUR COMPROMISE AS PROPERTY OWNERS WILL FACE SOME INCREASES IN MANY RESIDENTS WILL NOT BE HAPPY BUT AT THE SAME TIME IMPORTANT SERVICES ARE PRESERVED. BUT I'M HERE TO STATE THE OBVIOUS OVER 71% OF THE CITY'S REVENUE COMES FROM PROPERTY TAXES SO ANY FLUCTUATE AND THAT'S A MAJOR IMPACT. BOSTON HAS A REVENUE STRUCTURE ,A STRUCTURAL REVENUE PROBLEM AND WE KEEP KICKING THE CAN DOWN THE ROAD. BOTH SCALE AND RELIANCE ON PROPERTY TAX IS A STRUCTURAL PROBLEM. BOSTON NEEDS TO DIVERSIFY ITS REVENUE STREAMS WITH RELIABLE AND PREDICTABLE SOURCES. IT'S INCUMBENT ON THE MAYOR TO BRING A WORKING GROUP INCLUDING COMMUNITY LEADERS TOGETHER TO DETERMINE POTENTIAL SOURCES OF FUTURE REVENUE RATHER THAN JUST RELY ON PROPERTY TAX. FACED WITH A SIMILAR BUDGET CRUNCH 15 YEARS AGO, MAYOR SENT NEW REVENUE STREAMS FOR THE CITY. HE APPOINTED A PILOT TASK FORCE AND ENGAGED THE LARGE NONPROFIT INSTITUTIONS IN A PROCESS TO ULTIMATELY HELP SUPPORT THE CITY. YES, WE'RE TALKING ABOUT ONE POTENTIAL SOURCE OF REVENUE WHICH WOULD BE A NEW PILOT PROGRAM. WHILE THESE INSTITUTIONS WELCOME PEOPLE FROM ALL OVER THE GLOBE, IT'S BOSTON TAXPAYERS WHO BEAR THE BURDEN OF PROVIDING THE TAX SUBSIDY BOSTON TAXPAYER SUPPORTS TO PROVIDE NECESSARY REVENUE TO MEET GROWING CITY NEEDS. MANY OF OUR LARGEST INSTITUTES SINCE HAVE EXPANDED THEIR FOOTPRINT IN THE CITY HOUSING COSTS AND SERVE NEIGHBORHOODS HAVE SKYROCKETED, DISPLACING MANY LONG TERM. THESE INSTITUTIONS BENEFIT FROM BEING IN OUR CITY. THE PILOT ACTION GROUP RECOGNIZES THAT PILOT IS NOT A SILVER BULLET BUT WE BELIEVE A STRONGER PILOT PROGRAM BASED ON THE NEWLY ASSESSED VALUES OF WHICH THERE WAS SOME CONVERSATION IS ONE APPROACH THAT CAN BRING IN SIGNIFICANTLY MORE FUNDS THE CURRENT 35 MILLION COLLECTED IN FISCAL 2023 HAVE THE INSTITUTIONS PAID THEIR FAIR SHARE IT WOULD HAVE BEEN 61 MILLION AND WITH NEW ASSESSMENTS THAT MONEY AMOUNT COULD BE WAY HIGHER. PILOT IS ONE PART OF A PUZZLE THAT THE CITY COULD BENEFIT FROM AS NONPROFIT I KNOW WE CANNOT TAX THESE INSTITUTIONS BUT THESE INSTITUTIONS FUNCTION IN OUR CITY BENEFIT FROM BEING IN OUR CITY AND TALK ABOUT THE IMPORTANCE OF A VIABLE CITY AND IMPORTANT PARTNERSHIPS. MANY OF THESE INSTITUTIONS ARE SITTING ON BILLIONS IN ENDOWMENTS WHILE MANY OF OUR NEIGHBORHOODS STRUGGLE. IT IS TIME THE CITY AND RESIDENTS CALL UPON THESE INSTITUTIONS TO STEP UP AND PROVIDE A RELIABLE SOURCE OF REVENUE TO THE CITY AND GIVE MEANING TO THEIR RHETORIC PARTNERSHIP. THANK YOU AND I LOOK FORWARD TO FUTURE DISCUSSIONS WITH THE COUNCIL ON PILOT PAYMENTS. THANK YOU SO MUCH. I APPRECIATE YOUR ADVOCACY ON THIS. YOU'VE BEEN IN THE TRENCHES FOR A VERY LONG TIME SO I APPRECIATE IT. WE'LL GO TO DIANE VALLEY NEXT IF SHE'S ON ZOOM DIANE OKAY. I THINK I'M HERE NOW. ARE YOU HERE? CAN YOU HEAR ME ? WE CAN HEAR YOU, DIANE. THANK YOU SO MUCH FOR BEING HERE. WELCOME. YOU HAVE 2 MINUTES. THANK YOU SO MUCH. I WANT TO ECHO WHAT ENID SAID THAT WAS IT'S AN IRRATIONAL APPROACH AND I SECOND THAT. I ALSO WOULD LIKE TO BE THE SKUNK AT THE PARTY AND SAY THAT THE BOROUGH AND THE DAY HAVE AN ENORMOUS AMOUNT OF MONEY THAT EXCLUDED FROM THE BENEFIT OF THE RESIDENTS OF THE CITY AND OUR MAYOR RAN ON A PLATFORM THAT SHE WAS GOING TO ABOLISH THEM AND SHE CAN STILL CONTINUE TO TAKE THE REVENUE INTO THE CITY BUDGET. SO I REALLY ADVOCATE THAT THE CITY COUNCIL JUST STOP TALKING ABOUT THE SMALL ISSUES AND LET'S TALK ABOUT THE BIG ISSUES TO CUT THE BUDGET. WE HAVE 450 MORE CITY EMPLOYEES THAN WE DID UNDER THE WALTON PLAN WHICH WAS DURING THE BIGGEST EXPANSION OF THE CITY OF BOSTON IN OUR HISTORY. AND WE HAVE THE ABILITY TO TAKE THE BPD INTO THE CITY AND WE HAVE THE ABILITY TO BALANCE OUR BUDGET AND ACCURATELY BALANCE IT AND COVER THE $265 MILLION SHORTFALL. I WAS JUST IN THE HALLWAY WITH SOME OF THE PEOPLE THAT TESTIFIED THE REALLY THOUGHT THAT THEY CAME HERE TODAY TO SUPPORT THE MAYOR WHO'S GOING TO CUT THEIR CUT THEIR TAXES. THEY ACTUALLY THOUGHT THAT. SO I THINK WE NEED TO HAVE MORE CLEAR MINDED PEOPLE FROM THE RESIDENTS SIDE SPEAK TO THIS ISSUE BECAUSE THE BUSINESS ASSOCIATION HAD CONVERSATIONS. BUT THE MAYOR IS HOLDING INVITATION ONLY TO HER SUPPORTERS AND THEN WHEN YOU GO TO A PUBLIC HEARING THERE'S A HEARING WITHOUT LISTENING. SO I WOULD REALLY LIKE TO GET BACK TO THE BASIS OF DEMOCRACY I LIVE IN CHARLESTOWN. WE'RE BEGINNING OUR CELEBRATION OF THE 250TH ANNIVERSARY OF THE BATTLE OF BUNKER HILL WHERE COMMON PEOPLE STOOD AGAINST KING CHARLES KING GEORGE. AND IT IS TIME THAT WE DO NOT HAVE TAXATION WITHOUT REPRESENTATION. WE ARE SAYING WE DON'T WANT OUR TAXES TO GO UP. WE WANT A FAIR BUDGET. WHEN THE MAYOR APPROVED IN 2023 THE FIRE, THE POLICE AND THE AMS I'M IN SUPPORT OF THAT BUT AS A FISCAL RESPONSIBLE MAYOR SHE'S GOT TO BE ABLE TO FIGURE OUT HOW TO PAY FOR THAT. NOT TO SAY THAT THE FINAL HOUR OH BY THE WAY, YOU'RE GOING TO HAVE TO PAY AN INCREASE AND WE'LL SMOOTH IT OVER. WE HAVE NO IDEA WHAT'S GOING TO HAPPEN IN THREE YEARS BUT TRUST ME . WELL, I WOULD TRUST YOU IF THE BPD WAS ABOLISHED. SO I'D LIKE TO GET BACK TO BASICS. LET'S SOLVE THE BIG PROBLEMS AND I APPRECIATE HAVING THE TIME TO SAY MY VOICE AND TO ECHO WHAT ENID HAD TO SAY. THANK YOU. THANK YOU, DIANE. IT'S ALWAYS GOOD TO HEAR FROM YOU. I APPRECIATE YOUR ADVOCACY AND YOUR VOICE. ALL RIGHT, WE HAVE UH EXCUSE ME , IS LAURIE RADWAN STILL WITH US? I'M HERE. THIS IS LAURIE RABIN FROM ROSLINDALE. CAN YOU HEAR ME OKAY? YES, WE CAN. WELCOME. THANK YOU SO MUCH. FIRST TWO POINTS. FIRST I WORKED AS A NURSE FOR 40 PLUS YEARS THROUGH MANY HOSPITAL SHORTFALLS AND EVERY DEPARTMENT WAS ASKED TO IDENTIFY WHERE WE COULD SAVE DOLLARS. WHERE COULD WE SAVE DOLLARS? WE WEREN'T GOING TO CUT OUT NURSES. WE WEREN'T GOING TO CUT OUT EMT BUT WAS THERE ANY PLACE THAT WE COULD SEE WHERE MAYBE WE COULD TRIM THE BUDGET A BIT? I WILL TELL YOU THAT EVERY RESIDENT ROSLINDALE AND BOSTON EVERY DAY CAN TELL YOU WHERE THE CITY COULD CUT WITHOUT PAIN. ONE IS THERE'S A LOT OF LEVELS OF MIDDLE MANAGEMENT PARTICULARLY IN COMMUNITY ENGAGEMENT. THERE'S A LOT OF WAYS THAT PEOPLE WHO ARE REPORTING TO THE PEOPLE WHO ARE REPORTING THAT PEOPLE COULD BE DOING OTHER KINDS OF WORK. ANOTHER IS I'VE BEEN TO SQUARES AND STREETS MEETINGS. THERE HAVE BEEN MORE STAFF THAN RESIDENTS AT A NUMBER OF THESE MEETINGS. SO JUST SOMETHING TAKE A LOOK AT. THE SECOND THING I WANT TO SAY IS ABOUT SQUARES AND STREETS. WE STILL DON'T HAVE GOOD ANTI DISPLACEMENT AND DISPLACEMENT MITIGATION POLICIES IN ROSLINDALE OR IN BOSTON AND SOME OF THAT SMALL BUSINESS MONEY. WHEN WE TALK ABOUT THE HURT AND THE PAIN AS COUNCILOR MEJIA SAID, SOME OF THAT SMALL BUSINESS MONEY HAS GOT TO BE USED TO PROTECT AND TO MITIGATE HARM THAT'S GOING TO BE DONE TO SMALL BUSINESSES IN TERMS OF DISPLACEMENT FROM SQUARES AND STREETS. SO I APPRECIATE YOUR ALLOWING ME THE TIME. IT'S BEEN A SUPER INTERESTING HEARING AND THANK YOU VERY MUCH. THANK YOU, LAURIE. DO WE HAVE ANYBODY? DO WE HAVE ANYBODY ELSE FOR PUBLIC TESTIMONY? ANYBODY ELSE ONLINE? OKAY. OKAY. I'M GOING TO OFFER THE OPPORTUNITY FOR MY COLLEAGUES TO PROVIDE A CLOSING STATEMENT OF ONE MINUTE TO CLOSE US OUT. SO THANK YOU EVERYBODY. WE HAVE. HELLO, JOANNE. IT'S GOOD TO SEE YOU. OKAY. YOU STATE YOUR NAME, YOUR FULL NAME AND YOUR AFFILIATION. OF COURSE. GOOD AFTERNOON, COUNCILORS. MY NAME IS JUMAANE SKEINS IS MY MICHAEL. NOW HOLD ON ONE SECOND. OKAY. ALL RIGHT, THAT'S BETTER. THERE WE GO. THANK YOU SO MUCH. GOOD AFTERNOON, COUNCILORS AND NEIGHBORS. MY NAME IS JOHN SKEINS. I AM THE EXECUTIVE DIRECTOR BY I BELIEVE INSPIRE A PEACH TREE HOUSE, A NONPROFIT IN BOSTON. BUT I RISE TODAY AS A 30 YEAR LIFELONG RESIDENT OF DORCHESTER . SIMILAR TO THE TESTIMONY BEEN GIVEN BEFORE I LIVE INSIDE OF A FAMILY LEGACY HOME MY FAMILY HIS OWN FOR OVER 60 YEARS. I AM OPPOSED TO ANY INCREASE TO ANY RESIDENTIAL PROPERTY TAXES. I BELIEVE THERE SHOULD BE RESIDENTIAL PROPERTY TAX EXEMPTIONS FOR PEOPLE WITH DISABILITIES OUR SENIORS, VETERANS AND LOW INCOME FAMILIES ESPECIALLY OUR SMALL BUSINESSES AS WELL. THE CURRENT TAXES THAT WE HAVE COMING INTO THE CITY IN 2016 WE PASSED A COMMUNITY PRESERVATION ACT THAT BRINGS AN ADDITIONAL $24 MILLION FOR AFFORDABLE HOUSING HISTORIC PRESERVATION IN OUR OPEN SPACES AND GREEN SPACES. AND ADDITIONALLY IN 2022 WE PASSED THE MILLION YEAR TAX THAT BRINGS IN $1.3 BILLION IN ADDITIONAL REVENUE TO THE STATE THAT IS SUPPOSED TO BE USED FOR EDUCATION AND TRANSPORTATION. I THINK WE NEED TO AMEND THAT LANGUAGE TO ALSO INCLUDE HOUSING AS WELL IN SOME OF THAT FUNDING COULD BE USED TO PAY FOR THESE RESIDENTIAL EXEMPTIONS. IN ADDITION TO THAT WITH THE INCLUSIONARY DEVELOPMENT POLICY RIGHT, WE HAVE DEVELOPERS WHO CAN SELECT WHETHER OR NOT THEY CAN CHOOSE TO PUT AFFORDABLE HOUSING INTO THEIR PROPERTY THAT SHOULD BE AMENDED TO MAKE SURE THAT THEY ACTUALLY PAYING RESIDENTIAL PROPERTY TAXES. I THINK THAT WOULD BE A GREAT WAY TO BRING IN MORE REVENUE FOR THE CITY. IN ADDITION TO THAT REAL ESTATE TRANSFER FEE AND THE PILOT TAX, I THINK WE NEED TO REVISIT THE CURRENT TAXES THAT ARE ON THE BOOKS MAKING SURE THAT WE'RE ENFORCING THEM BEFORE WE THINK ABOUT ADDING ANY NEW TAXES. SO THANK YOU ALL SO MUCH FOR ALLOWING ME TO SPEAK THIS AFTERNOON AND I HOPE YOU ENJOY THE REST OF YOUR DAY. THANK YOU SO MUCH TO FORMER CITY COUNCIL STAFFER JOANNE SKIP'S. OKAY. WE WILL MOVE FORWARD WITH CLOSING STATEMENTS EVERYBODY HAVE ONE MINUTE. WE'LL START WITH COUNCIL LOUIJEUNE. THANK YOU AGAIN, MADAM CHAIR. AND I JUST WANT TO THANK YOU FOR YOUR LEADERSHIP IN SHEPHERDING US THROUGH THIS PROCESS. GOVERNMENT OPERATIONS, WAYS AND MEANS CHAIR'S PAST AND PRESENT. A LOT OF WORK AND THAT SO I JUST WANT TO THANK YOU AND WANT TO THANK THE PANEL. I'M VERY CURIOUS TO LOOK AT THE DATA ONCE THIS WAS IMPLEMENTED TO SEE BECAUSE NEXT YEAR WE GO TO ONE TIME YOU KNOW, SHOULD THIS PAST WIN BE SUCCESSFUL NEXT YEAR WE GO TO 180, NEXT WE GO TO 178 AND I THINK IT'S GOING TO BE REALLY INTERESTING TO SEE WHAT THAT ENDS UP DOING TO OUR RESIDENTS AND TO OUR SMALL. SO I THINK THERE'S A LOT OF WORK TO DO AFTER THIS COMMISSION. I WANT TO CONTINUE TO HAVE CONTACT WITH YOU ABOUT WHAT WOULD IT LOOK TO BE ABLE TO GET A BETTER TARGET ESPECIALLY I'M CONCERNED ABOUT THE PEOPLE WHO WERE ACCESSING THEIR PROPERTY SORT OF WHERE IT COULD BE WHERE ARE WE LOSING TAX REVENUE IN CERTAIN AREAS AND I THINK THAT WE NEED I WANT US TO DO A LITTLE BIT MORE INVESTIGATING AND WORKING ON THAT AND I WANT TO THANK MARTY AGAIN BECAUSE THIS IS A CONVERSATION THAT WAS HAD ABOUT COULD YOU JUST MEANS TEST PROPERTY TAX PAYMENTS AND WE KNOW THAT THAT'S UNCONSTITUTIONAL. HOW DO WE PREFER HOW DO WE NOT BURDEN OUR RESIDENTS WHO ARE GOING TO ALREADY LIVE ON A FIXED INCOME MAPS AND YOU'RE ASKING COUNCILOR SHOUT OUT TO MATTAPAN IS MY TIME. OKAY SO MATTAPAN THRIVES HONORING SENIOR RESIDENTS WHO OWN THEIR HOMES BUT I THINK THAT'S SORT OF THE CRUX OF WHAT WE'VE GOT TO GET AT AND BECAUSE WE CAN'T DO IT CONSTITUTIONALLY WE HAVE TO FIGURE OUT HOW ELSE WE CAN DO IT. SO I JUST WANT TO THANK MY COLLEAGUES. I WANT TO THANK YOU. I'LL BE VOTING IN FAVOR OF THIS BECAUSE I THINK IT'S REALLY IMPORTANT THAT WE GET THIS DONE AND THAT WE CONTINUE TO WORK WITH OUR BUSINESSES AND OUR HOMEOWNERS ON HOW WE MOVE FORWARD AS A CITY. THANK YOU. THANK YOU, COUNCILOR LOUIJEUNE COUNCILOR MEJIA AND THEN BREADON YEAH, THANK YOU. I THANK YOU FOR BEING HERE. I DO APPRECIATE YOUR TIME AND ENERGY. IT REALLY DOES MATTER TO THOSE FOLKS WHO ARE TUNING IN AND I WANT TO JUST THANK THE CHAIR AND MY COLLEAGUES AND I ALWAYS THINK THAT IT'S IMPORTANT FOR US. I ALWAYS SAY THAT FOR ME THE PROCESS IS FAR MORE IMPORTANT THAN THE OUTCOME. OFTENTIMES IT'S THE HOW WE GET THERE THAT I ALWAYS FEEL A BIT OF TENSION ESPECIALLY WHEN IT COMES TO HOW WE NAVIGATE IN THIS CHAMBER. SO FOR ME I'M ALWAYS GOING TO BE A STICKLER FOR THAT AND I DO APPRECIATE THE THE CONVERSATIONS THAT WE'VE BEEN ABLE TO HAVE PRIVATELY AND PUBLICLY BECAUSE ALL OF THOSE THINGS HELP INFORM OUR DECISIONS. I JUST WANT TO NOTE FOR THE RECORD THAT FOR ME I PRIDE MYSELF IN UNDERSTANDING WHO IT IS THAT I'M HERE TO SERVE AND I DON'T HAVE MANY MASTERS AND ALWAYS ARE GOING TO I'M ALWAYS GOING TO FIGHT FOR THE PEOPLE WHO PUT MEJIA AND THOSE ARE THE ONLY FOLKS THAT I DEEPLY CARE ABOUT EVERYONE ELSE. I DO APPRECIATE ALL OF THE LOBBYING THAT HAS HAPPENED IN FRONT AND BEHIND THE SCENES TO GET US HERE AND I LOOK FORWARD TO TOMORROW'S SITUATION. THANK YOU, COUNCILOR MEJIA COUNCILOR BRENNAN. THANK YOU, MADAM CHAIR. AND THANK YOU ALL FOR BEING HERE THIS MORNING. THERE'S ONE ISSUE THAT WAS MENTIONED EARLIER IN THE HEARING ABOUT THE 800,000 INVESTMENT IN SOCIAL HOUSING OR IN PUBLIC PUBLIC INVESTMENT HOUSING AND I FEEL THAT THERE'S SOME COMMENTARY IN THE PRESS AS WELL AND THAT HAS BEEN MISREPRESENTED AS A HANDOUT TO PRIVATE DEVELOPERS. IT'S ACTUALLY $100,000 INVESTMENT FOR $100 MILLION ACTUALLY MILLION AND AN INVESTMENT IN A REVOLVING FUND FOR CONSTRUCTION LOANS AND TO ACCELERATE THE THE STALLED CONSTRUCTION THAT WE SEE ACROSS OUR CITY AT THE MOMENT WE HAVE 30,000 APPROVED TOP HOUSING UNITS NOT BEING BUILT AND AS LONG AS THOSE HOUSING UNITS ARE NOT BEING BUILT, THEY'RE NOT CONTRIBUTING REVENUE TO OUR CITY BUDGET AND THIS MONEY THIS HUNDRED MILLION THAT WE'RE TALKING ABOUT WILL BE LOANED TO DEVELOPERS AND IT WILL BE AS A CONSTRUCTION LOAN AND WILL BE PAID BACK WITH INTEREST AND PUT BACK INTO THE REVOLVING FUND SO THAT IT CAN REVOLVE AND THEN FURTHER SUPPORT OTHER HOUSING STARTS SO THAT WE WILL CONTINUE TO IMPROVE, INCREASE THE REVENUE FROM OUR HOUSING STOCK IN BOSTON THIS IS AN INCREDIBLE OPPORTUNITY JUST TO PRIME THE AND GET THE HOUSING CONSTRUCTION MOVING AGAIN. IT WILL JOBS IT WILL PRODUCE REVENUES SO I DON'T WANT IT TO BE MR ROSE THAT REPRESENT IT AS A HANDOUT TO PRIVATE DEVELOPERS THAT IS FAR FROM THE CASE. I REALLY DO SUPPORT THIS INITIATIVE. I THINK WE'VE TALKED THIS FOR NINE MONTHS OR THEREABOUTS AND YOU KNOW THIS IS A COMPROMISE AND THAT'S WHAT WE'RE IN THE BUSINESS LIKE WE DON'T ALWAYS GET WHAT WE WANT BUT WE HAVE TO COME TO A SITUATION WHERE WE CAN AGREE AND COME TO A SOLUTION THAT WILL TRY AND MEET THE MOMENT AND I THINK I WILL BE SUPPORTING THE MAYOR'S HOME RULE AMENDMENT AND I HOPE THAT WE CAN CONTINUE THIS CONVERSATION. WE NEED TO DIVERSIFY OUR REVENUE AND WE NEED TO CONTINUE TO HAVE THIS CONVERSATION GOING FORWARD. SO THANK YOU. THANK YOU, MADAM CHAIR. THANK YOU, COUNCILOR BURTON, COUNCILOR MOREAU. THANK YOU, CHAIR, FOR YOUR LEADERSHIP UP AND THEN THANK YOU TO THE ADMINISTRATION FOR YOUR WORK ON THIS AND ALL THE OTHER STAKEHOLDERS THAT PLAYED A ROLE IN GETTING US TO THIS POINT. I JUST WANT TO JUST YOU KNOW, STATE AND JUST MADE CLEAR FOR THE RECORD LIKE YOU KNOW, THIS THIS BODY YOU KNOW, WE PASSED THE BP'S BUDGET, RIGHT? IT WAS THIS BODY THAT PASSED A BUDGET. IT'S THIS BODY THAT PASSES ALL THE YOU KNOW, CBAS THAT CONTRIBUTE TO FUTURE EXPENSES OR INVESTMENTS THAT GOES ON TO INCREASE THAT CITY BUDGET. SO I JUST WANTED TO YOU KNOW, JUST STATE I GUESS LIKE WE ARE THE ONES WHO ARE DRIVING THE INVESTMENTS THAT THE CITY IS MAKING TO OUR VOTES. I ALSO JUST WANT TO JUST TO ADD ON TO THE COMMENT AND TO THE TOPIC THAT CALIBRATING WAS JUST MENTIONED IN AND AROUND THE ACCELERATOR FUND AS I ALSO DO BELIEVE THAT IS AN OPPORTUNITY THERE TO SEE OR TO MODEL AND I THINK THIS IS THE CONVERSATION THAT I PRESENTED TO YOU LAST TIME COMMISSIONER RANALLO IS IF WE ARE TO CONVERT MORE HOME HOMEOWNERSHIP UNITS RIGHT INSTEAD OF APARTMENTS, DOES THAT INCREASE THE TAX BASE THAT BRING IN MORE REVENUE? I HAVEN'T WANTED IT OUT BUT IT'S SOMETHING I WOULD LOVE TO MODEL OUT TO SEE IF THAT DOES HELP US LONG TERM TO MAKE SURE THAT THAT TAX LEVY THAT BURDEN IS SPREAD OUT AMONGST THE TAX BASE. SO THANK YOU FOR YOUR TIME AND LOOKING FORWARD TO FIGURING OUT LONGER TERM SOLUTIONS. THANK YOU. THANK YOU. COUNCILOR WORRELL COUNCIL MEMBER THANK YOU. YOU KNOW I THINK THIS PROCESS BEEN AN INTERESTING TEST FOR THIS BODY. YOU KNOW, CAN WE PROCESS AND DEAL WITH A VERY COMPLICATED ISSUE IN A WAY THAT YOU KNOW, INFORMS NOT JUST US BUT WHERE WE CAN INFORM OUR CONSTITUENT ABOUT WHAT'S GOING ON AND WHETHER WE CAN MAKE OUR POSITIONS KNOWN WITHOUT SPREADING MISINFORMATION. YOU KNOW, I'D LIKE TO THANK THE CHAIR FOR, YOU KNOW, RUNNING A PROCESS THAT'S INCLUDED, YOU KNOW, FOR PUBLIC HEARINGS. YOU KNOW AND AS WE WE'VE DISCUSSED, IT'S INCLUDED APPROXIMATELY NINE MONTHS OF PUBLIC DISCOURSE OVER THIS. YOU KNOW, I THINK WE'VE YOU KNOW, I'M SATISFIED AND I HOPE THE PUBLIC IS SATISFIED THAT THIS PROPOSAL AND A VOTE FOR IT ,YOU KNOW, WILL SUPPORT BOSTON RESIDENTS WILL SUPPORT VITAL BOSTON WORKERS AND WE'LL SUPPORT A COMPROMISE THAT WAS WORKED OUT BETWEEN THE MAYOR, THE STATE HOUSE AND THE BUSINESS COMMUNITY IN BOSTON. AND I HOPE WE CAN GET THIS OVER THE LINE BEFORE TIME RUNS OUT AND TAX BILLS COULD GO OUT IN JANUARY. THANK YOU. THANK YOU SO MUCH, COUNCILOR WEBER, COUNCILMAN ANISE ANDERSON. THANK YOU, MADAM CHAIR. I ECHO EVERYTHING THAT MY COLLEAGUES HAVE SAID SO I'M NOT GOING TO BE REDUNDANT HERE BUT I DO THINK THAT IT'S NOT ALWAYS IN WHAT WE ARE DOING OR WHAT WE ARE PROPOSING RATHER THE EXECUTION AND THEN YOU KNOW, THE MONITORING OF A THING AND THEN FIGURING OUT WHERE THE REASSESSMENT NEEDS TO TAKE PLACE IN ORDER FOR US TO BUILD OUT, YOU KNOW, THE BENCHMARKS FIGURING OUT LIKE WHERE WHERE WE GO NEXT AS I YOU KNOW, TO SPEAK ABOUT, YOU KNOW, BEING PREVENTATIVE OR PREEMPTIVE ABOUT THINGS AND EDUCATING THE PUBLIC IN TIME SO THAT WE'RE NOT SORT OF RUSHING WITH THE TOWN HALLS AND COMMUNITY ENGAGEMENT AND FIGURING IT OUT ALL IN THE LAST SEVERAL MONTHS RIGHT BEFORE YOU KNOW, A PRESIDENTIAL ELECTION LOOKING AT OTHER WAYS OF PROVIDING INFORMATION AND A, YOU KNOW, USER FRIENDLY WAY WHERE FOLKS CAN SAY, YOU KNOW, HERE'S AN INFOGRAPHIC AND I GET IT AND I KNOW WHEN I KNOW WHEN I QUALIFY, I KNOW WHEN I DON'T AND I KNOW HOW IT WORKS. I THINK ALL OF THOSE THINGS YOU KNOW, PROVIDING TO OUR CUSTOMERS AND TO COUNCIL WARHOL'S POINT IN OF YOU KNOW WE DO PASS TESTING AND WE MONITOR THE BUDGET AND WE BUT THERE IS AN APPETITE HERE TO BE ABLE TO YOU KNOW, BUILD OUT METRICS OR RUBRICS WHERE WE CAN MEASURE OR FIGURE OUT WHAT VEEPS DO OR WHERE THE MONEY'S GOING OR HOW THE MONEY'S COMING IN. THE ISSUE IS THAT WE DON'T ACTUALLY HAVE THE TOOLS. THE COUNCIL DOESN'T HAVE THE TOOLS TO ACTUALLY BE ABLE TO FOLLOW UP AND NO COUNCILORS, NO FULL BODY IS GOING TO SHOW UP TO, YOU KNOW, THE ARDUOUS LIKE NUMBER OF HEARINGS TO BE ABLE TO FOLLOW UP AND ACTUALLY BE LIKE I WAS IN THOSE HEARINGS. I WE FOLLOW THE METRICS WE DID A FULL COMPREHENSIVE ASSESSMENT. NOW WE KNOW THAT WE'RE OVERSPENDING OR WE'RE UNDERSPENDING OR WHATEVER THE CASE MAY BE. SO I THINK WE HAVE TO HOLD OURSELVES ACCOUNTABLE AS WELL AS A BODY TO BE ABLE TO SAY WHERE ARE WE AND DO WE HAVE THE TOOLS TO ACTUALLY BE ABLE TO DO EXACTLY WHAT WE ARE ASKING YOU, THE ADMINISTRATION TO DO IN THAT NOT BEING HYPOCRITES IN WHAT WE'RE ASKING YOU TO DO. SO I THINK YOU'VE EXECUTED THIS REALLY WELL LIKE I YOU GET A FOR EFFORT IN YOUR WORK I HAVE LOOKED AT THE MONEY WHEN PEOPLE ARE TALKING ABOUT TRIMMING THE BUDGET THERE IS NOWHERE TO TRIM THE BUDGET. INTERESTING ENOUGH PEOPLE THAT DID NOT WANT TO REALLOCATE FUNDS DURING THE BUDGET PROCESS ARE NOW SAYING CUT THE BUDGET OR HIRING FREEZE. BUT THEY MADE THOSE SAME OPPOSITE ARGUMENTS ABOUT NOT NO HIRING FREEZE BECAUSE AT THAT POINT THE UNIONS WERE INVOLVED IN WATCHING AND SAYING WELL YOU CANNOT DO HIRING FREEZES. SO THOSE ARGUMENTS PLAYING OUT HERE OR AT OPPOSITE FROM THE BUDGET SESSION IN THE CHAMBER IS VERY, VERY INTERESTING AND I THINK THAT WE OWE IT TO THE PUBLIC TO EDUCATE THEM AND EXPLAIN LOOK THIS EXACTLY WHAT IT IS AND DON'T BE FOOLED. AND I THINK WE I'M GOING TO TAKE THAT AS MY RESPONSIBILITY TO CONTINUE TO EDUCATE AND ENGAGE MY CONSTITUENTS AS I CONTINUE TO DO MY WORK. THANK YOU. THANK YOU. COUNCILOR FERNANDEZ SANDERSON I THINK I WILL CLOSE THIS OUT JUST BY SAYING THAT THIS HEARING I THOUGHT WAS VERY INFORMATIVE. THANK YOU SO MUCH FOR YOUR TIME. THEY YOU TOO, MARTY THANK YOU TO THE PUBLIC MASSING YOUR ACTION THAT SHOWED UP. WE HAVE ONE PERSON STILL HERE. THANK YOU SO MUCH FOR STAYING SO JUST AS AS A BASELINE AND TABLE SETTING AS CHAIR IT IS UP TO MY DISCRETION TO CONSIDER THE MERITS OF ANY PROPOSAL. UNDERSTAND THE GENERAL CONSENSUS OF MY COLLEAGUES AND THEN THE TIMELINE IN WHICH WE MOVE FORWARD. THE BOTTOM LINE FOR ME IS THAT WE ARE ON A TIMELINE AND IF WE DON'T DO ANYTHING RIGHT NOW WE HELP NO ONE AND THIS IS AN OPPORTUNITY TO PROVIDE THAT SOFT LANDING FOR FOLKS WHO ARE ECONOMICALLY VULNERABLE FOLKS WHO ARE HOUSE RICH IN CASH, POOR AND I CONSIDER MY GRANDMOTHER IF SHE WERE STILL AROUND TO BE IN THIS CATEGORY. AND SO THIS HAS REAL IMPLICATIONS IF WE DON'T DO THIS, IF WE DON'T MOVE FORWARD AND FOR THOSE REASONS IT IS LIKELY THAT I WILL BRING THIS TO A VOTE TOMORROW. JUST HEAR FROM MY COLLEAGUES AND CONSIDERING THEIR VOICES. I WILL GIVE THEM THE OPPORTUNITY TO REPRESENT THEIR VARIOUS CONSTITUENCIES AND VOTE ON THIS TOMORROW. SO I APPRECIATE EVERYBODY'S FEEDBACK AND POINTED QUESTIONS AT THIS MOMENT IN TIME. THIS HEARING ON DOCKET 1197 IS ADJOURNED. THANK YOU