House and Senate chairs launch commission to study credit‑card costs for small businesses

House Chair James Murphy and Senator Paul Feeney opened an organizational meeting of a special legislative commission on March 18 to study the use of credit cards and other payment methods and their effects on small businesses across the Commonwealth.

The commission, established by chapter 238 of the act of 2024 and charged to examine payment trends including cashless business practices, credit‑card fees, mobile payments and buy‑now‑pay‑later financing, will solicit public testimony and produce a report with recommendations or a "menu of options" for the legislature, Feeney said. "We hope ... to provide information and, if not specific recommendation, kind of a menu of options for all of us to consider," Feeney said.

Why it matters: Commissioners and industry representatives said payment processing costs and transparency can materially affect small business operating margins. Bill Renney of the Retailers Association of Massachusetts told the commission that "swipe fees have now become the ... second highest operating cost for, for most of our members," underscoring the issue's relevance to retailers, restaurants and small proprietors.

What the commission will study: Murphy and Feeney described multiple topic areas for hearings: business and consumer perspectives on fees and surcharges; the legal and regulatory landscape and constraints for possible policy; and policy options for greater transparency or reporting requirements. Glenn Kaplan of the Attorney General's Office suggested the commission consider whether cryptocurrency and other emerging forms of payment should be included in that review.

Membership and expertise: Commissioners and invited members who introduced themselves at the meeting included Andrew Labadini, assistant attorney general in the Insurance and Financial Services Division; Glenn Kaplan, chief of financial services at the Attorney General's Office; Bill Renney, senior vice president of the Retailers Association of Massachusetts; Steven Clark, president and CEO of the Massachusetts Restaurant Association; Chris Richards, chief banking officer at Mutual Bancorp (Cape Cod 5); India Rose, a small business owner from Martha's Vineyard; and Sarah Reale, owner and brewer of Hoplite Brewing Company in Pittsfield. The transcript also records a speaker identifying a director of small business development at the Executive Office of Economic Development; the meeting record does not unambiguously attach a personal name to that director line. Mary Gallagher was named in the sequence as commissioner of banks.

Logistics and public participation: The chair said hearings will accept in‑person and remote testimony as well as written testimony submitted to a posted email address. Murphy said individual in‑person testimony will likely be limited to about three minutes. The commission announced a tentative first public hearing for April 8 in Gaither Auditorium; the chair said staff will post hearing notices with subtopic signups to help schedule testimony by subject and manage logistics.

Next steps: Feeney urged commissioners to reach out to staff with topic suggestions and experts to invite so the staff can help frame the commission's report. The meeting closed on a voice vote after a motion to adjourn was moved and carried.

Action taken: The commission voted by voice to adjourn at the end of the session; no substantive motions on policy or legislation were taken at this meeting.