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An Act to Invest in Our Communities

House Lead: Rep. Jim O’Day, HB 2687; Senate Lead: Sen. Sonia Chang-Diaz, SB 1313

THE PROBLEM: Our communities are struggling after several years of budget cuts brought about by the loss of revenues from the recession and from unaffordable tax cuts enacted over many years. Past cuts and anticipated future reductions are affecting our public schools, public higher education system and the quality of life in our communities.

THE SOLUTION: We need to invest in our communities and keep middle-class families working and earning! An Act to Invest in Our Communities – HB 2687/SB 1313 – does just that. The bill takes a balanced approach to the fiscal crisis. It raises revenue, primarily from those best able to pay, to maintain the services we all need and value. With that revenue, we can maintain the quality schools and services that make our state a good place to live, raise a family and do business.

1) Restores the income tax rate from 5.25 percent to 5.95 percent while raising the personal exemption enough to hold down increases for middle-class families.
2) Creates an 8.95 percent tax on investment income, but provides a targeted exemption for middle-class seniors.
3) Raises $2 billion in net additional revenue to maintain funding for our communities, schools, health care needs and public safety services.

For more information:
Rebekah Gewirtz, 617-227-9635 x12,; or Harris Gruman, 617-316-0443,