[{"_1":2,"_99":-5,"_100":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,75,87],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},"mediaId",6364660,"mediaKeyId","2162720-8727d31c725b89852c5e932bcea0f458","parentId",2162720,"title","Council hearing examines 'good landlord' tax abatement option; administration warns of uncapped fiscal cost","audioSeconds",10996,"startMs",230000,"endMs",11226000,"viewUrl","/Search/View?dp=1&key=2162720-8727d31c725b89852c5e932bcea0f458&start=230&end=11226","thumbnailUrl","https://assets.pipeline.soar.com/2162720-8727d31c725b89852c5e932bcea0f458/thumbnail_230000.jpg","articleUrl","/articles/6364660/Boston-City/Suffolk-County/Massachusetts/Council-hearing-examines-good-landlord-tax-abatement-option-administration-warns-of-uncapped-fiscal-cost","mediaUrl","https://secure.pipeline.soar.com/6364660-cceb66dd517f5ad73daff1e8e47df0e3/orig.mp4?Expires=1771206950&Signature=e6FiCFIgfc7v-NYnSfSshUdHeHNSiXPm9vYl5oTkTHX88OX4ohh4UGvmDPi8NBq7ejsj8cXL3s5fh8TFkyIECkRd9-qJVQ039AsoueqP4J0Nb8nICkWO1Io5vn1YtXQ84QlRb69Sa5REpK~Tzfr7YGhmpvtpDIEbnBAcCzcARt~hEeSS8TmCvwdcgIxHHJ1i61sDn9fG2E0LuUp70pKYEPXvo-JRbRW0Lr42OzX8hwlIsEDRglOKgW~kk0cODNFecr6p69xw6s3eeDzo4qz6LfMvYoQCNUcmlNhEYNRqGt8mxSKGQEWRVMO5D7rHmgEWXYOWeHhaNybDE5EAMu3ltA__&Key-Pair-Id=KUT5TJCACFTXG","author","Boston City, MA","date","2025-01-27T00:00:00Z","article","Councilors at the Jan. 27 joint hearing reviewed a state-authorized 'good landlord' tax abatement that would let municipalities exempt some property taxes for owners who rent units year-round at affordable levels to income-qualified tenants.

The program originates in state law: municipalities must adopt local rules to define the maximum abatement per unit, tenant income limits, required rent levels (commonly expressed as a fraction of AMI and not to exceed 30% of tenant income), and qualifying owner conditions. Boston officials told the council the state's Division of Local Services (DLS) issued guidelines that purposely leave many design decisions to municipalities.

Administration officials and council sponsors said the abatement is intended to support small, owner-occupied landlords who keep rents below market to house local families and seniors. Councilors emphasized that many long-time owners in neighborhoods across Boston rent below market rates to neighbors and relatives and face large bill increases that could force sales or market-rate conversions.

City staff warned the council of an immediate fiscal unknown: the DLS guidance indicates the exemption is a direct credit to property owners and may not be absorbed within the existing tax rate structure, so adoption could create an additional, uncapped city expenditure unless the council sets a cap. The administration proposed working with the mayor's Office of Housing and other departments to estimate the eligible universe, the likely cost and guardrails (owner-domicile requirements, unit eligibility, maximum per-unit abatement and verification procedures) before the council moves to adopt a local option.

Councilors asked for estimates of eligible properties, possible income thresholds and examples of how the abatement would be administered. Administration officials said producing reliable cost estimates requires collaboration with housing, assessing and DOR/DLS data sources and that the mayor's office of housing would be engaged in the next steps.

Supporters at the hearing said the abatement could preserve affordable, below-market units owned by long-time residents and help seniors age in place. Opponents cautioned that poorly designed abatements could shift costs to other taxpayers or be difficult to administer. Councilors and administration staff agreed to more analysis and to consider program rules that would limit fiscal exposure while targeting the benefit toward long-term, smaller landlords who rent permanently to income-eligible households.","mediaType","Video","parentTitle","Boston City Council | Government Operations and Ways and Means Joint Committee Hearing on January 27, 2025","oneSentenceSummary","Councilors discussed a state-authorized \"good landlord\" local option at the Jan. 27 hearing. The exemption would let landlords receive property-tax relief if they rent units below specified income/rent limits; the city must still define eligibility, caps and fiscal exposure before adopting the program.","taxTitle","Boston City, Suffolk County, Massachusetts","taxId",3381,"location","headline","","shortSummary",{"_33":76,"_35":36,"_37":38,"_39":77,"_41":78,"_43":79,"_45":80,"_47":81,"_49":82,"_51":83,"_53":84,"_55":56,"_57":58,"_59":85,"_61":62,"_63":64,"_65":86,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6364665,"Mayor's home-rule petition would set tax rates, expand senior relief and allow one-time rebates if state does not act",11093,139000,11232000,"/Search/View?dp=1&key=2162720-8727d31c725b89852c5e932bcea0f458&start=139&end=11232","https://assets.pipeline.soar.com/2162720-8727d31c725b89852c5e932bcea0f458/thumbnail_139000.jpg","/articles/6364665/Boston-City/Suffolk-County/Massachusetts/Mayors-home-rule-petition-would-set-tax-rates-expand-senior-relief-and-allow-one-time-rebates-if-state-does-not-act","https://secure.pipeline.soar.com/6364665-b532146d15eebaf75d9edf05700351db/orig.mp4?Expires=1771206950&Signature=f~iiAyexL20fJUQMKWh6TnQAl6DaVYBMtcpoVFBpA54Eyh38GRfnbMZxdYpcnARclJcm3qCZiNWJJAzSP4c34trzKR7lLTKFGQ2Kcn3FYqwC-WMbOmCbRiQb-dEhFpBUbvlTZh~tSqR2GpRvw3ukpVGZakOBycqmDr4wFKfKlHoQwOcNhWcnleKb9t~b4XwFugr6YNseySXLiIadqOosHiZ0-h8KZJ7Ng3KJduj-2Q21FoMWIk4PgJjP7oOwiKagvXcZgEuy3MCwaEI91QxTvlVLbdlhYqmaCu-VInDzJ2exuo8J4vsNzY85pWrlMz8d6~fCplFyjcej48grri~bjQ__&Key-Pair-Id=KUT5TJCACFTXG","The mayor's home-rule petition on residential tax relief, reviewed at a Jan. 27 joint council hearing, combines several measures the city says are designed to blunt large, recent property-tax increases for homeowners and renters.

The administration described the package as mostly the same language the council previously approved in an October compromise that later stalled at the State House, with two notable additions. First, the petition would set fiscal-year 2025 tax rates at the levels the city would have adopted if the October compromise had been enacted. Second, it adds authority for the city to appropriate a one-time residential tax \"rebate\" for people who received the residential exemption in FY25 if the state does not authorize the rate changes by March 1, 2025.

The package includes:
- Rate-setting language to fix FY25 residential and commercial rates at the levels that would have applied under the prior October compromise;
- Classification limits (a maximum residential/commercial shift) for FY26 and FY27 similar to the earlier compromise;
- A $15 million per-year authorized fund for small-business relief tied to excessive classification shifts (as discussed with business and labor representatives);
- Expansion of the senior exemption by increasing income and asset thresholds (language mirroring an exemption the council passed and the mayor recently signed); and
- Tripling the city's personal property tax exemption for small businesses (from $10,000 to $30,000), which would make Boston's small-business threshold one of the highest in the state.

If the state does not approve rate changes in time to alter the city's fourth-quarter tax bills, the home-rule petition would allow the mayor and the council to instead use city funds to provide a direct payment to eligible residents. The administration said the rebate would be split evenly among those who held the residential exemption for FY25; the petition as drafted does not specify a dollar amount for the pot and makes clear any payment would require a separate appropriation vote by the City Council.

City finance officials said they prefer the earlier classification approach (the \"tax shift\") as the primary tool to stabilize taxes, because changing the residential exemption alone can increase the residential tax rate and therefore shift greater burdens to non-owner-occupied property types (for example, rental buildings). Officials said the rebate language is included as an extraordinary, one-time fallback if the Legislature cannot act quickly enough to change rates before the third-quarter true-up.

Councilors and witnesses pressed the administration for additional detail: how large a rebate the city could afford without impairing reserves, whether the rebate would be distributed as checks or applied to tax bills, and how many additional people might qualify for the expanded senior exemption after the proposed income/asset threshold changes. The administration said the legal authority to make the rebate would come from the home-rule petition, but the exact amount and distribution method would be decided later and would require a council appropriation vote.","Mayor Michelle Wu filed a home-rule petition that would set fiscal-year 2025 tax rates at levels tied to an earlier compromise, expand the senior exemption, raise the personal property exemption for small businesses, and allow a one-time rebate pool if the Legislature does not approve rate changes in time.",{"_33":88,"_35":36,"_37":38,"_39":89,"_41":90,"_43":91,"_45":92,"_47":93,"_49":94,"_51":95,"_53":96,"_55":56,"_57":58,"_59":97,"_61":62,"_63":64,"_65":98,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6364670,"City officials explain assessing process as residents report large, uneven valuation changes",446,2802000,3248000,"/Search/View?dp=1&key=2162720-8727d31c725b89852c5e932bcea0f458&start=2802&end=3248","https://assets.pipeline.soar.com/2162720-8727d31c725b89852c5e932bcea0f458/thumbnail_2802000.jpg","/articles/6364670/Boston-City/Suffolk-County/Massachusetts/City-officials-explain-assessing-process-as-residents-report-large-uneven-valuation-changes","https://secure.pipeline.soar.com/6364670-89ddd5810f2562f8003ca8fc9e1bf5ed/orig.mp4?Expires=1771206950&Signature=PTosngMVMot4uB8Frs8CwuITKvrRU7DaJ0Re568M52O72C2LsI1DECitJ9yNIpMFlmaB-v2MSLm1EQGlW6UMRQ4OmcnLDdfcyyfjBhHfXbXA2EqMmhF-juqx6W69Cuwx-sVUvWsy8ksemBRHCPOuQBJ-3yvjaTIf7o5aZSknsb5OeN9PH725blm~qQoY7Qhk5IKISA6QH1rMUUGmWrXlUmap01ZO4R1Uu4LEAG3ST2lbtIWK2DFEKOLYwjbNzDmK9ggfLGvxfuVmFXbn797zK5nGP--9MWSUivLlA~2feTuNeQRyUtTKjsR~YXbF~Cgw-t5npHWAwpYCZg6vzQnSgw__&Key-Pair-Id=KUT5TJCACFTXG","Boston assessing officials gave a step-by-step description of how the city values property at a joint hearing of the City Council's Ways and Means and Government Operations committees on Jan. 27, 2025, as dozens of residents and labor leaders testified about large tax-bill increases.

Commissioner of Assessing Nick Aronello told the council the city must value every parcel at 100 percent market value as of the statutory valuation date (Jan. 1, 2024 for fiscal 2025) and uses a computer-assisted mass appraisal (CAMA) system that models prices across the city by matching sales to property characteristics. \"We use market sales, property record cards and modeling to estimate values for every parcel,\" Aronello said. He added the city calculates assessment-to-sale ratios and other statistical checks required by the Massachusetts Department of Revenue (DOR). Commissioner Aronello and the department's director of valuation, Raymond Boley, repeatedly told the panel that accurate property data (permits, inspections, sales) is essential to correct values and that residents should file abatements or bring data to the assessing office when cards are wrong.

Residents said the results were arbitrary and uneven. Dozens of witnesses, including Mass Senior Action, unions and neighborhood residents, testified that some neighbors' assessments rose double digits while nearby addresses rose less or declined. At the hearing several speakers described third-quarter increases of 30% or more, and union leaders said that tax changes were affecting employees who must live in-city as a condition of employment. Commissioner Aronello said the department received a higher-than-normal number of inquiries and that the abatement period (applications for review) is the normal route for residents who believe data on their property record card is incorrect. He reminded residents the January abatement filing deadline for fiscal 2025 was Feb. 3, and that residential exemption and other exemption applications have an April 1 deadline.

Aronello and Boley explained why similar houses on the same street can show different assessed values: models account for location, recent sales, condition, permit activity and local market differences. They said assessing staff cannot enter private homes without permission, so inspections rely on permit records, sales or owner-provided access. The department said it has about 22 valuation staff who run annual reassessments for roughly 180,000 parcels and that the city's residential assessment-to-sale ratio for primary classes is about 92 percent (a standard DOR statistical metric for certification).

Councilors asked for more data items the administration could supply about year-over-year changes by RADs (residential assessing districts) and by ward. Commissioner Aronello said staff can produce ward- and RAD-level analysis but did not have it on hand at the hearing. Councilors pressed for more outreach about exemptions, and the assessing department pointed to mailed notices, website tools showing sales and parcel data, neighborhood outreach and the city's recent November disclosure period during the revaluation cycle.

The hearing left unresolved policy questions raised by councilors and community groups: how to target relief to seniors and long-term owners, whether the residential exemption should be increased, and how to protect small landlords who rent below market rates. Committee chairs said they would continue the conversation and that the city would provide follow-up data requested by the council.","At a Jan. 27 Boston City Council joint hearing, the city's assessing commissioner outlined how the city sets market values and why neighbors can receive very different assessment changes; residents and labor groups urged more relief as third-quarter tax bills arrived.","actionData","errors"]

Article not found

Council hearing examines 'good landlord' tax abatement option; administration warns of uncapped fiscal cost

Mayor's home-rule petition would set tax rates, expand senior relief and allow one-time rebates if state does not act

City officials explain assessing process as residents report large, uneven valuation changes