Bethann Steiner, Senior Director of Public Affairs
In March Governor Maura Healey filed a multi-billion dollar economic development bond bill for consideration, referred to as the Mass Leads Act. On November 20, 2024 she signed that proposal into law, after months of legislative deliberation and debate.
The Healey-Driscoll Administration heralds the Mass Leads Act as a tool to strengthen Massachusetts’ global leadership in key economic sectors like climate-tech, life sciences, and AI, while also creating jobs, expanding workforce development programs, and supporting rural and regional economic development initiatives. This is done through the authorization for capital spending, tax incentives, and policy.
So, what’s in the Act for the cultural and creative sector? Mass Cultural Council took a deep dive into the Mass Leads Act, also known as Ch. 238 of the Acts of 2024, to outline future opportunities that might be of interest to creative individuals, cultural nonprofits, and small businesses:
Employment Social Enterprise Grant Program (Executive Office of Economic Development)
7002-0083 For an employment social enterprise capital grant program to be administered by the executive office of economic development, in consultation with the executive office of labor and workforce development, for the development of eligible facilities for nonprofit employment social enterprises that sell goods and services and enhance economic development; provided, that eligible applicants shall be nonprofit organizations operating employment social enterprises targeting individuals facing significant barriers to employment; provided further, that grants to nonprofits shall support costs associated with the acquisition of real property, the design, construction, repair, rehabilitation or renovation of an eligible facility and soft costs directly related to the development of an eligible facility; provided further, that eligible employment social enterprises shall offer paid employment opportunities to low-income individuals, with priority to socially and economically disadvantaged populations who experience complex needs and barriers to employment that require intensive interventions; provided further, that eligible organizations shall provide the following services for targeted individuals as an integrated part of their paid employment in a social enterprise: (i) outreach to targeted populations; (ii) on-the-job training and skill development, including worksite supervision and performance coaching; (iii) comprehensive supportive services for at least 1 year, including, but not limited to, case management, aimed at overcoming barriers to employment; (iv) assistance to obtain external employment; and (v) job retention services, which shall include follow-up with beneficiaries and employers for at least 1 year to support job retention and advancement; provided further, that prioritization for grant awards shall be given to organizations: (a) targeting low-income communities specifically aimed at reducing social and economic inequities; (b) serving high-risk populations that can demonstrate a significant social return on investment; and (c) providing goods and services that can demonstrate a positive community or environmental impact; and provided further, that grants shall be awarded in a manner that promotes geographic, social and economic equity……………………… $10,000,000
Capital Grants to Low- and Moderate- Income Entrepreneurs (MassDevelopment)
7002-8054 For the growth capital division of the Massachusetts Development Finance Agency established in section 2 of chapter 23G of the General Laws, in consultation with the microbusiness development center within the Massachusetts office of business development, to provide grants to low- and moderate-income entrepreneurs to acquire, expand, improve or lease a facility, purchase or lease equipment or meet other capital needs of a business with not more than 20 employees and annual revenues not exceeding $2,500,000, including alternative energy generation projects; provided, that preference shall be given to businesses located in low-income or moderate-income areas or socially or economically disadvantaged businesses, which may include, but shall not be limited to, minority-owned, women-owned, worker-owned, immigrant-owned or veteran-owned businesses; and provided further, that grants shall be awarded in a manner that promotes geographic equity……………………… $10,000,000
Destination Development Grants (Mass Office of Travel and Tourism)
7002-8056 For a competitive grant program to be administered by the office of travel and tourism; provided, that funds may be used to improve facilities and destinations visited by in-state and out-of-state travelers to increase visitation, entice repeat visitation and increase the direct and indirect economic impacts of the tourism industry in all regions of the commonwealth; provided further, that grants shall support the design, repair, renovation, improvement, expansion and construction of facilities owned by municipalities or nonprofit entities; provided further, that grants or other financial assistance in this item shall only be awarded to projects within municipalities that have been deemed in compliance or interim compliance with the multi-family zoning requirement in section 3A of chapter 40A of the General Laws; provided further, that in evaluating grant applications, priority shall be given to projects located in state-designated cultural districts and projects that promote nature-based, agricultural and other forms of rural tourism; provided further, that all grantees to improve facilities and destinations visited by in-state and out-of-state travelers shall provide a match based on a graduated formula determined by the office of travel and tourism; provided further, that grant recipients shall be required to measure and report on return-on-investment data after the expenditure of grant funds; provided further, that grants shall be awarded in a manner that promotes geographic equity; and provided further, that funds made available in this item may be used to make capital investments that support the commemoration of the two hundred and fiftieth anniversary of the founding of the United States……………………… $40,000,000
Commonwealth Zoological Corporation
7002-8057 For the Commonwealth Zoological Corporation established in section 2 of chapter 92B of the General Laws for costs associated with the preparation of plans, studies and specifications, repairs, construction, renovations, improvements, maintenance, asset management and demolition and other capital improvements including those necessary for the operation of facilities operated by Zoo New England, including the Franklin Park Zoo and the Walter D. Stone Memorial Zoo……………………… $15,000,000
Blighted Projects Grant Program (Executive Office of Economic Development)
7002-8062 For a program to provide assistance to projects that will improve, rehabilitate or redevelop blighted, abandoned, vacant or underutilized properties to achieve the public purposes of eliminating blight, increasing housing production, supporting economic development projects, increasing the number of commercial buildings accessible to persons with disabilities and conserving natural resources through the targeted rehabilitation and reuse of vacant and underutilized property; provided, that such assistance shall take the form of a grant or loan provided to a municipality or other public entity, a community development corporation, nonprofit entity or for-profit entity; provided further, that eligible uses of funding shall include, but not be limited to: (i) improvements and additions to or alterations of structures and other facilities necessary to comply with requirements of building, fire or other life safety codes and regulations pertaining to accessibility for persons with disabilities where such code or regulatory compliance is required in connection with a new commercial residential or civic use of such structure or facility; and (ii) the targeted removal of existing underutilized structures or facilities to create or activate publicly-accessible recreational or civic spaces; provided further, that financial assistance in this item may be administered by the executive office of economic development through a contract with the Massachusetts Development Finance Agency established in section 2 of chapter 23G of the General Laws; provided further, that the executive office or the Massachusetts Development Finance Agency may establish additional program requirements through regulations or policy guidelines; provided further, that funds shall be awarded on a competitive basis in accordance with guidelines developed by the agency; provided further, that financial assistance in this item shall be awarded, to the extent feasible, in a manner that reflects geographic and demographic diversity and social and economic equity within the commonwealth; provided further, that grants or other financial assistance in this item shall only be awarded to projects within municipalities that have been deemed in compliance or interim compliance with the multi-family zoning requirement in section 3A of chapter 40A of the General Laws; and provided further, that program funds may be used for the reasonable costs of administering the program not to exceed 5 per cent of the total financial assistance awarded during the fiscal year……………………… $90,000,000
Mass Impact Grant Program (Executive Office of Economic Development)
7002-8066 For a capital grant program administered by the executive office of economic development, in consultation with the executive office for administration and finance, to provide grants to support large, transformational projects to drive economic growth; provided, that the program may be known as Mass Impact……………………… $252,500,000
Downtown Vitality Grant Program (Executive Office of Economic Development)
7002-8075 For a grant program for cities and towns to support the vitality of downtowns and main streets; provided, that grants may be used for technical assistance to develop, sustain or strengthen business districts, town centers, commercial corridors, cultural districts or other walkable mixed-use areas; provided further, that funds may be used for community planning and investment activities that stimulate economic development, expand entrepreneurship and create jobs in the downtown economy sector and to construct, improve, repair, maintain and protect downtown assets; provided further, that the executive office of economic development may establish additional program requirements through regulations or policy guidelines; provided further, that funds shall be awarded on a competitive basis in accordance with such program requirements; and provided further, that financial assistance offered pursuant to this item shall be awarded, to the extent feasible, in a manner that reflects geographic and demographic diversity and social and economic equity……………………… $9,500,000
Cultural Facilities Fund (Mass Cultural Council/MassDevelopment)
0640-0308 For the Massachusetts Cultural Facilities Fund established in section 42 of chapter 23G of the General Laws for the acquisition, design, construction, repair, renovation, rehabilitation or other capital improvement or deferred maintenance to cultural facilities; provided, that grants or other financial assistance under this item shall only be awarded to projects within municipalities that have been deemed in compliance or interim compliance with the multi-family zoning requirement in section 3A of chapter 40A of the General Laws……………………… $50,000,000
Municipal Economic Development Grants (Executive Office for Administration and Finance)
1100-2520 For grants or other financial assistance to cities, towns, regional organizations whose membership is exclusively composed of municipal governments, municipal redevelopment authorities or agencies or quasi-governmental agencies to support economic development in the commonwealth, including efforts that support workforce development, higher education, tourism, arts and culture; provided, that eligible purposes of the grants may include, but shall not be limited to, planning and studies, preparation of plans and specifications, site assembly and preparation, dispositions, acquisitions, repairs, renovations, improvements, construction, demolition, remediation, modernization and reconstruction of facilities, infrastructure, equipment and other capital assets, technical assistance, and information technology equipment and infrastructure; and provided further, that grants or other financial assistance under this item shall only be awarded to projects within municipalities that have been deemed in compliance or interim compliance with the multi-family zoning requirement in section 3A of chapter 40A of the General Laws……………………… $100,000,000
Higher Education Financial Assistance (Mass Educational Financing Authority)
1100-2521 For the Massachusetts Educational Financing Authority established in section 4 of chapter 15C of the General Laws to assist students, their parents, legal guardians and others responsible for paying the costs of the student’s education and assist institutions of higher education in supporting access to affordable higher education opportunities……………………… $85,000,000
Local Projects (Executive Office of Administration and Finance)
1599-1017 For local economic development projects……………………… $864,517,000
Mass Board of Library Commissioners
7000-9093 For a program of grants to cities and towns for approved public library projects pursuant to sections 19G to 19J, inclusive, of chapter 78 of the General Laws; provided, that grants may be awarded to municipalities submitting applications jointly or through a regional planning agency; provided further, that grants or other financial assistance in this item shall only be awarded to projects within municipalities that have been deemed in compliance or interim compliance with the multi-family zoning requirement in section 3A of chapter 40A of the General Laws; and provided further, that grant recipients may expend funds for alternative energy generation, energy infrastructure projects and other decarbonization projects at public libraries……………………… $150,000,000
Mass Historic Commission
0526-2013 For a grant program to units of municipal government and to nonprofit organizations for the preservation of historic properties, landscapes and sites; provided, that funds shall be awarded in accordance with regulations promulgated by the chair of the Massachusetts historical commission; and provided further, that grants or other financial assistance in this item shall only be awarded to projects within municipalities that have been deemed in compliance or interim compliance with the multi-family zoning requirement in section 3A of chapter 40A of the General Laws……………………… $8,000,000
Live Theater Tax Credit (Mass Office of Business Development)
The Mass Leads Act establishes a live theater tax credit pilot program to support the expansion of eligible theater productions in Massachusetts. Live theater companies doing business with a Massachusetts-based theater venue, theater company, theater presenter or producer may be eligible. The credit is intended to support the expansion of pre-Broadway productions, pre-off-Broadway productions, national tour launches and regional professional theater productions. The Office is directed to run a competitive grant program to award said tax credits; caps the tax credit at $5 million annually and for any production.
Support for Microbusinesses
Further, the Act expands the state’s Microbusiness program by allowing businesses with up to 10 employees and revenues of up to $250,000 to participate. The proposal would expand the microbusiness definition to all regions of the state. This is exciting for small cultural sector businesses and will provide new access to capital to creative small shops!
WOW! This is a lot of money – how do I access these programs?
It’s important to remember that the Mass Leads Act is a bond bill, not a budget. What’s the difference?
A bond bill authorizes the state to borrow funds which are then used to invest in capital projects and state programs. The borrowed funds authorized by a bond bill are then invested by the Governor via the annual capital budget, which is also referred to as the capital spending plan.
It is generally understood that when funds are appropriated by a budget bill, either to a line-item account or to a specific project or program via legislative earmark, that the monies will be received and spent during the fiscal year. However, capital spending that is authorized in a bond bill may never actually be funded through the capital plan.
By including an item in a bond bill, the Legislature is signaling its support to the Administration for such investment to occur and noting that certain named projects are a priority. However, unlike a budget bill, which is crafted by the Legislature and approved when signed into law by the Governor, the annual capital plan is solely managed and developed by the Administration. Beneficiaries of capital spending authorizations in a bond bill must continue their advocacy with the Administration to ensure their initiative, program, or project is funded in the annual capital spending plan.
The Healey-Driscoll Administration is due to release its FY26 capital spending plan in the spring. This will inform which programs authorized for spending in the Mass Leads Act will be open and available in the coming fiscal year.
Mass Cultural Council, as a part of its ongoing advancement efforts on behalf of the creative and cultural sector, will monitor various state programs that may be of interest, and promote them across various methods, including our weekly Artist Opportunities blog posts, monthly Opportunities & Resources for Organizations blog posts, social media, and, if able, with future Spotlight Series webinars.