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Tag: banking

  • High school juniors invited to credit fair

    High school juniors invited to credit fair

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    SALEM, Mass. — Two local mayors, Massachusetts Division of Banks staffers, FDIC examiners and others will volunteer at Institution for Savings’ 14th annual Credit for Life Fair on Thursday from 10 a.m. to noon at Salem State University’s O’Keefe Sports Complex.

    One-hundred forty bank and community volunteers will join more than 1,100 juniors from 14 area schools, including Amesbury, Newburyport, Triton Regional, Pentucket Regional, Ipswich, Georgetown, Masconomet Regional, Hamilton-Wenham Regional, Salem, Swampscott, Beverly, Rockport and Gloucester high schools as well as Landmark School in Beverly. The goal is to help students develop personal budgeting skills they will use throughout their lives.

    Utilizing the bank’s Credit for Life website, creditforlife.org, students will create profiles on their mobile devices and choose professions. Using the website and their devices, they will visit 12 booths and purchase everything they would need to live as 25-year-olds using their monthly paycheck, savings account and/or a credit card.

    The website was the result of a 2020 collaboration between seven of Massachusetts’ leading banks that in addition to Newburyport-based Institution for Savings, included Cape Cod Five, Rockland Trust, Harbor One, BayCoast Bank, Country Bank, Westfield Bank and The Savings Bank.

    The banks, along with nonprofit FitMoney, pooled financial and informational resources to develop the online site, which has been used by tens of thousands of students throughout Massachusetts and beyond. The site has been improved each year, and this year includes translation to Spanish and Portuguese.

    Despite a longstanding record of providing high academic achievement, Massachusetts has not been as successful with mandating financial education.

    A recently published opinion piece says Massachusetts is now one of 25 states that guarantee a standalone half-credit course in financial literacy for high school students before graduation or is implementing such a policy, according to Nex Gen Personal Finance, a nonprofit that provides free personal finance curriculum. In fact, only 17 districts in Massachusetts require a financial literacy course to graduate high school.

    “The goal of the fair is to help empower students to be proactive about their financial futures by beginning to develop sound personal finance habits,” said Michael J. Jones, Institution for Savings’ president and CEO.

    “Each year, we hear from parents and teachers after the event that they wish this had been around when they were in school,” Jones added. “We are glad to host this event every year – it is invaluable to these students and information they will use throughout the lives.”

    Local community volunteers include Amesbury Mayor Kassandra Gove and Newburyport Mayor Sean Reardon, North Shore Chamber CEO Karen Andreas, representatives from the FDIC and Massachusetts Division of Banks and many others, including 50 Institution for Savings employees.

    Two bonus booths are also included: Money Smarts and Safety and Security. Money Smarts will provide students with information about timely teen finance topics, including about paychecks and taxes, check writing, mobile payment apps and the latest scams and fraud threatening teens and young adults.

    Safety and Security, staffed by local public safety and law enforcement, will focus on important issues to keep young adults safe, such as texting and avoiding substance use while driving and having smoke detectors in living spaces.

    The event receives high marks annually from schools, parents and volunteers, many of the latter whom come back each year to participate, according to organizers.

    “The level to which the bank has taken this event is outstanding and unequaled by any other event I have attended,” said Rodi Adema, a FDIC field supervisor who has volunteered at the fair for multiple years.

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  • Safety net hospital fund shortfall widening

    Safety net hospital fund shortfall widening

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    BOSTON — Lawmakers are seeking more support for the state’s safety net hospitals amid rising concerns about the fiscal health of a fund that helps cover medical costs for large numbers of uninsured and low-income patients.

    Hospitals and health insurers pay into the so-called safety net fund – a pool of money that helps fund care for hundreds of thousands of low-income residents who are uninsured or underinsured – with the state chipping in additional funding. But if the fund runs low, hospitals are on the hook for the shortfall.

    The fund is projected to have a shortfall of more than $220 million in the upcoming fiscal year, hospitals say, rising to the highest level in nearly two decades.

    Without additional funding, financially challenged hospitals will be forced to cover the deficit, leaving less money to provide medical care for low-income and uninsured patients, they say.

    An amendment to the Senate’s version of the $57.9 billion state budget filed by Sen. Barry Finegold, D-Andover, would require commercial health insurance companies to cover 50% of any revenue shortfalls in the safety net fund.

    “We need to do something to help our local hospitals,” Finegold said. “This is part of a long-term problem with funding for hospitals that serve the state’s most vulnerable residents. We need to fix it.”

    Many earmarks

    Finegold’s proposal is one of more than 1,000 amendments to the Senate’s budget, many of them local earmarks seeking to divert more state money to local governments, schools, cash-strapped community groups and nonprofits. Only a handful will likely make it into the Senate’s final spending package.

    The plan faces pushback from the Massachusetts Association of Health Plans, which represents commercial insurers who would be impacted by the proposed changes to the hospital safety net program.

    Lora Pellegrini, the group’s president and CEO, said requiring insurers to cover the fund’s shortfalls would jeopardize negotiations between the state Department of Health and Human Services and the U.S. Centers for Medicare and Medicaid Services that seek to reduce assessments paid by medical insurance carriers.

    “This really came out of nowhere, and would be counterproductive to those efforts,” she said. “We have a committee process for a reason and that’s where these kinds of special interest issues should be vetted, not in the budget.”

    But the move is backed by the Massachusetts Health and Hospital Association, which says requiring insurers to cover the shortfall would help alleviate an “unmanageable financial burden” on the health care system “by broadening funding support for the program.”

    “The Health Safety Net is a vital component of Massachusetts’ healthcare infrastructure and its ability to cover the costs of care for low-income and uninsured patients,” Daniel McHale, MHP’s vice president for Healthcare Finance & Policy, said in a statement.

    “At this increasingly fragile time for the entire health care system, it is imperative that we take the steps needed to stabilize the safety net for the people and providers who rely on it each day.”

    Local hospitals affected

    The state’s safety net hospitals and community health centers – which include Lawrence Hospital, Salem Hospital, Holy Family Hospital in Methuen and Anna Jaques Hospital in Newburyport – serve a disproportionate percentage of low-income patients.

    Many are heavily dependent on Medicaid reimbursements, which are typically less than commercial insurance payouts.

    Nearly 30% of Lawrence General’s gross revenue is for care provided to Medicaid, or MassHealth, patients. The state average is 18%.

    Many community hospitals are collecting from low-paying government insurance programs, and getting below-average reimbursements from commercial insurers, advocates say.

    Lawmakers also swept money from the hospital safety net fund to help cover the costs of new Medicare savings programs that pay some or all of eligible senior citizen’s premiums and other health care costs, including prescriptions.

    Hospitals are also seeing increased demand from uninsured patients as hundreds of thousands of Medicaid recipients see their state-sponsored health care coverage dropped following the end of federal pandemic-related programs, which is driving up costs. Claims processing problems are another factor adding to hospital costs, they say.

    Those and other factors have widened the fund’s shortfall from $68 million in fiscal 2022 to more than $210 million in the previous fiscal year, according to the hospital association. Combined, the shortfall could reach $600 million for the three fiscal years, the association said.

    Biggest expense

    The House, which approved its $58.2 billion version of the state budget two weeks ago, proposed $17.3 million in state funding for the hospital safety net fund. The Senate, which begins debate on its version of the budget next week, has proposed a similar amount.

    In the current budget, the state allocated $91.4 million for the safety net fund.

    But the House budget didn’t include an amendment requiring insurers to help hospitals pay the shortfall. That means even if the Senate approves Finegold’s amendment, it would still need to be negotiated as part of the final budget before landing on Gov. Maura Healey’s desk for consideration.

    Health care coverage, in the meantime, is one of the state’s biggest expenses. Medicaid costs have doubled in the past decade and now account for nearly 40% of state spending.

    MassHealth serves more than 2 million people – roughly one-third of the state’s population – despite federal Medicaid redeterminations that have reduced its rolls over the past year.

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    By Christian M. Wade | Statehouse Reporter

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  • Senate unveils $59.7B  budget

    Senate unveils $59.7B budget

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    BOSTON — Money for free community college, regional transportation and increased spending on housing and child care are among the highlights of the Senate’s version of next year’s budget, which was rolled out Tuesday.

    The $59.7 billion Senate budget is slightly more than a spending plan approved by the House of Representatives about two weeks ago, and boosts local aid to communities in the next fiscal year by $38.1 million to nearly $1.3 billion.

    Meanwhile, it increases Chapter 70 funding for schools by $316 million to more than $6.9 billion. That would fully fund the third year of the Student Opportunity Act, which was approved by the Legislature in 2019. The law calls for diverting $1.5 billion to schools over seven years.

    The plan also proposes spending $1.3 billion in proceeds from the newly enacted “millionaires tax” by divvying up the money for a range of education and transportation programs and new initiatives.

    The voter-approved law, which went into effect last year, set a 4% surtax on incomes above $1 million.

    Senate Ways and Means Chairman Michael Rodrigues said the plan makes targeted investments in higher education, transportation, and reflects the upper chamber’s efforts to make the state “more affordable, equitable and competitive.”

    “It maximizes and continues to build on the progress we’ve made in key sectors of the state economy,” the Westport Democrat told reporters at a briefing Tuesday.

    The Senate’s budget doesn’t call for raising taxes or new fees, and pumps more money into the state’s reserves or rainy day fund, which would bring the total to more than $9 billion by the end of the fiscal year.

    A key provision of the Senate budget calls for spending $117.5 million to offer free community college for all Massachusetts residents, and another $28 million for stipends for low-income community college students to cover the cost of books, transportation and child care, among other expenses.

    The plan would earmark $214 million for the state’s 15 regional transit authorities – including $40 million to provide bus service free of charge to passengers. Several RTAs, including the Merrimack Valley Transit Authority, have been offering free and discounted bus service under pilot programs.

    Increased funding for expanding child care, health care, housing and mental health services also are part of the Senate’s proposal.

    The House approved a nearly $58 billion budget that includes new spending on public transportation, public safety, environmental protection, health care and housing. Healey unveiled a $56.1 billion budget in January that calls for capping spending increases at 2.9% across the board, citing the state’s declining revenue collections.

    Lawmakers are debating the spending plan amid concerns about the state’s finances, with taxes and other revenue coming in below benchmarks in recent months, and with federal pandemic aid drying up.

    Healey wielded her executive powers in February to slash $375 million from the current fiscal year budget to close a gap between spending and revenue.

    Senate President Karen Spilka said the spending plan calls for making “key investments,” but shows fiscal restraint as “prudent stewards of taxpayer dollars.”

    “Revenues rise and fall, but this is not the time to take our foot off the pedal when it comes to making investments in our residents that will improve quality of life, build a world-class workforce and keep people in Massachusetts so they can live, work and raise a family,” the Ashland Democrat told reporters on Tuesday.

    Senators are expected to file hundreds of proposed amendments to the budget ahead of debate on the spending bill next week, which could drive up the bill’s final price tag. The fiscal year begins July 1.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • Bankrupt Steward to sell hospitals

    Bankrupt Steward to sell hospitals

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    BOSTON — Bankrupt Steward Health Care System said it plans to sell all its hospitals — including eight in Massachusetts — to help pay off $9 billion in outstanding liabilities.

    The privately owned health care group is preparing to put its 31 U.S. hospitals up for sale as early as next month and hopes to finalize transactions by the end of the summer, the company’s attorneys said at a Tuesday hearing in a U.S. Bankruptcy Court in Texas.

    Steward, which filed for bankruptcy protection on Monday, plans to keep all of its hospitals open over the long term, attorney Ray Schrock told U.S. Bankruptcy Judge Chris Lopez, who is overseeing the company’s Chapter 11 proceedings.

    “Our goal remains that there are zero hospitals closed on our watch,” Schrock said. “There’s going to be a change in ownership in many hospitals, we recognize that. But we don’t want to see any of these communities fail to be served.”

    In court filings, Steward disclosed that it has $9 billion in liabilities, including $1.2 billion in loans, $6.6 billion in rent obligations, $1 billion owed to medical vendors and suppliers, and $290 million in unpaid employee wages and benefits.

    The company plans to hold auctions on June 28 for its hospitals outside of Florida, according to court filings. The deadline was negotiated as part of a $75 million bankruptcy loan, but Schrock said Steward may seek more time to sell its hospitals if necessary.

    “What we don’t want to do is have a fire sale of the assets,” Schrock told the judge, according to published reports. “There is a lot of value here.”

    Steward, the largest private for-profit hospital chain in the country, operates 31 hospitals across eight states — including Holy Family Hospital in Methuen and Haverhill — and employs more than 30,000 people, according to its website.

    The company also operated New England Sinai Hospital in Stoughton, which closed in April, leaving behind millions of dollars in unpaid rent and fees.

    Steward’s management has cited an increase in operating costs and insufficient federal government-program reimbursement among the factors leading to the Chapter 11 bankruptcy filing.

    Gov. Maura Healey has blamed “greed and mismanagement by Steward’s management, and says the bankruptcy process will increase transparency in the company’s hospital system.

    Healey has stressed that medical care will continue at the Steward hospitals throughout the bankruptcy proceedings and that patients won’t go without medical care.

    “Ultimately, this is a step toward our goal to getting Steward out of Massachusetts, and it allows us to do that to protect access to care, preserve jobs, and stabilize our health care system,” she told reporters at a Tuesday briefing on the company’s bankruptcy filing.

    The Healey administration has activated an “emergency operations plan” in response to Steward’s financial woes, including a command center to monitor the company’s hospitals in the state and manage the fallout of a bankruptcy filing.

    In a court fling ahead of Tuesday’s bankruptcy hearing in Texas, Attorney General Andrea Campbell argued that Steward “extracted value” from its Massachusetts hospitals to “pay substantial dividends to investors and expand their network in other states.”

    “These diversions have threatened to impact the debtors’ hospitals’ ability to provide health care within the commonwealth,” she wrote. “The debtors’ hospitals have been left without adequate resources to timely acquire and maintain needed equipment and infrastructure or even ensure an uninterrupted supply of emergency room drugs. Many are in disrepair.”

    Healey and members of the state’s congressional delegation, including Sen. Elizabeth Warren, have criticized the private equity firm Cerberus Capital Management’s role in Steward’s finances. Cerberus created Steward after buying St. Elizabeth’s and five other Catholic hospitals in Massachusetts in 2010, according to the company’s website.

    In a statement, the company’s CEO, Ralph de la Torre, said the bankruptcy proceeding will ensure that the company is “better positioned to responsibly transition ownership of its Massachusetts-based hospitals, keep all of its hospitals open to treat patients, and ensure the continued care and service of our patients and our communities.”

    Material from the Associated Press was used in this report.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • Cahill touts financial strength in State of City address

    Cahill touts financial strength in State of City address

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    BEVERLY — Mayor Mike Cahill used his annual State of the City address this week to highlight accomplishments and to reiterate that the city is in a strong financial position.






    Mike Cahill




    In a 30-minute speech at City Hall, Cahill said the city has built up reserves of over $30 million over the last decade — money that can be used to keep the city running smoothly in the event of an economic downturn.

    “Our reserves are meant to get us through a recession when revenues fall precipitously and to do so without wholesale layoffs and drastic deep cuts to critical services,” Cahill said.

    “These reserves are not meant to be used to outspend still strong and growing revenues during good economic times,” he added. “They are meant to help us keep delivering the services people need and rely on right through the worst economic times and through economic recovery from those bad times.”

    In his speech in front of the City Council on Monday night, Cahill ran down the accomplishments of each city department, calling it “a great year in Beverly.”

    Highlights mentioned by Cahill included:

    – The hiring of the first woman as city engineer, Lisa Chandler

    – Progress on upcoming traffic projects like a proposed roundabout at the intersection of Brimbal Avenue and Dunham Road, a traffic signal at the intersection of Corning, Essex and Spring streets, and the Bridge Street reconstruction project

    – Daily visits to the Senior Center are up 63%

    – Over 150,000 people visited the library

    – Two new parks on Simon Street will be completed this summer

    New tennis courts will be built at Centerville and Cove playgrounds

    – A major renovation of Holcroft Park will begin this summer

    – The city’s senior tax workoff program has grown from 50 to over 90 seniors

    – The city will launch its first Beverly Youth Council for young people to learn more about local government and advocate for youth issues

    – The Fire Department has ordered a new pumper truck, which will replace Engine 1 in Central Fire Station when it arrives

    – Five new civilian dispatchers have been hired for the combined civilian, emergency medical services, police and fire dispatch system, with the goal to be “fully civilian” by fall, freeing up uniformed police officers to serve out in the community

    – The city’s veterans department prevented the eviction of three veterans from their houses

    – The city received 73 of the 80 grants it applied for over the last fiscal year, bringing in over $5 million in revenue

    – The mayor’s office launched an iPad translation program for visitors to City Hall whose primary language is not English

    – Four applications have been submitted under the city’s new accessory dwelling unit ordinance

    – The Salem Skipper rideshare program expanded into Beverly starting May 1

    – The city’s community garden has moved from Cole Street to Moraine Farm, and garden plots are still available for this season

    – The city’s electricity aggregation program started on May 1, providing residents and businesses with lower electricity costs while increasing the amount of clean renewable energy

    – Coastal resiliency projects at Lynch Park and Obear Park are in the design and permitting phase

    – Beverly Airport had its most flights since 2003 and is planning to rebuild its main runway

    Cahill closed by thanking the city’s department heads and staff for their work.

    “Thanks in significant part to their contributions, the state of our city remains strong,” he said to the City Council. “With their partnership and with yours, I know the state of our city will improve and become ever stronger well into the future.”

    Staff Writer Paul Leighton can be reached at 978-338-2535, by email at pleighton@salemnews.com, or on Twitter at @heardinbeverly.

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    By Paul Leighton | Staff Writer

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  • Town Meeting OKs budget, local option taxes in first night

    Town Meeting OKs budget, local option taxes in first night

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    MARBLEHEAD — Town Meeting approved local meals and rooms taxes in its opening night, but technological hiccups ultimately forced the meeting to pause after Article 26, leaving the back-half of the warrant for night two on Tuesday.

    A smattering of technical issues plagued the opening of Town Meeting, causing it to take more than an hour to move through procedural articles. Issues ranged from audio cutting out in the overflow chamber outside of the middle school’s auditorium and video projector issues that prevented the timely display of the articles being voted on. The issues were finally ironed out by about 8:40 p.m., nearly two hours in.

    The meeting also saw the successful launch and use of an electronic clicker system for vote tracking, which showed that Town Meeting opened with more than 800 people when a vote of 704 to 97 was tallied to close out Article 6. More than an hour later, a narrow, three-vote margin was tabulated in 20 seconds with no need for further verification or manual tallying.

    Dozens of Marblehead union employees lined the entrance to the auditorium at Veterans Middle School prior to the start of the meeting, calling for a restoration of prior cuts that took place to balance prior budgets.

    “There’s no more room to cut that budget,” said Jonathan Heller, co-chairperson of the Marblehead Education Association. “They’ve been able to bridge between a reduced budget and level-service budget. That’s what we’re hoping this town will approve tonight, to get us back to level budget at first.”

    The unions were quiet during the meeting, however, with a brief comment from Terri Tauro, president of the Marblehead Municipal Employees Union, on an indefinitely postponed article on the police contract. 

    “I’d like to start with a shout-out to our town employees,” Tauro said. “Marblehead’s town employees educate your children and keep them safe. We keep your power on, plow the snow, and care for your aging parents. 

    “For many of us, the wages we make working for the town are far less than what it would take to live in the town,” Tauro said. “It may soon be that our wages won’t cover living in this state. Massachusetts is, after all, the fourth most expensive state in this country to live.”

    The first articles to receive substantial debate were 24 and 25, two measures to add meals and lodging taxes, with each factoring in generating about $200,000 in revenue for the budget passed in Article 26. 

    Debate also focused on the reported 261 short-term rental units that exist and are presently untaxed in Marblehead, a group of property owners that one resident Monday night suggested would put the town’s only two hotels at a competitive disadvantage.

    Carolyn Pyburn, of Gilbert Heights Road, sought instead to lower the 6% proposed for the rooms tax down to 4%. That vote failed by a razor-thin margin of 391 to 394 — a result that arrived within 20 seconds with the new voting method.

    “This is another no-brainer,” said Albert Jordan, a Roosevelt Avenue resident, of the rooms tax. “There’s 351 communities in Massachusetts, and most of them are doing this.”

    Peter Conway, an Orchard Street resident, raised another issue with the tax: That many rooms are paid for in advance.

    “You can’t go back to the guests who’ve made a contract with you,” Conway said of hotels. “To be fair, that would have to be put off until at least the fall to give the businesses the chance to reach out to people.”

    Article 24, the meals tax, passed 515 to 294. The main vote for the rooms tax, after the failed amendment, was 469 to 345. The budget then passed 611 to 63 after a series of votes on individual departments and appropriations that reflected similar approval margins.

    The meeting was adjourned following the budget, leaving articles 27 through 53 for night two, Tuesday, beginning at 7 p.m.

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    By Dustin Luca | Staff Writer

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  • Andover voters approve capital improvements, reject ballot questions

    Andover voters approve capital improvements, reject ballot questions

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    ANDOVER — After a turbulent first day of Town Meeting, a noticeably more subdued crowd approved millions of dollars in capital improvements while voting down ballot questions Tuesday night.

    Voters struck down two articles that sought to add similar nonbinding ballot questions for the next local election.

    The questions would have asked residents their opinion on the town meeting form of government.

    Members of a committee that recently studied whether the town should continue with Town Meeting spoke against the articles, saying a ballot vote could undermine the group’s work.

    “Town Meeting is where knowledge and perspectives are exchanged,” said Jon Stumpf, chair of the town governance study committee.

    Others residents were worried about what the town should do with the results of a survey.

    “It robs all of us of the benefits of deliberation and debate,” said committee Vice Chair Dara Obbard. “It could lead to something we won’t have a say in.”

    The articles were defeated 266-190 and 268-161.

    “Of the people, by the people, for the people,” said Keith Saxon, who advocated for studying if the town should continue to hold Town Meeting.

    “We have 26,000 registered voters in Andover,” Saxon said, pointing to the meeting’s low attendance.

    The proposal may have elicited a feeling of deja vu for some voters.

    At a Special Town Meeting in November, voters approved an article similar to what was rejected at this meeting.

    Due to a minor procedural rule, the article was not technically legal, according to town legal counsel Doug Heim, who said ballot questions need to be voted on at a regular Town Meeting, not a Special Town Meeting.

    That vote also saw a lot more participation. It was approved 1,181 to 692.

    Rather than use their authority to add the question for the election in March, the Select Board decided to throw the article back to voters at this Town Meeting.

    The petitioner for the original article proposed the similar article.

    This resulted in two articles that sought to achieve a similar aim to the one adopted in November but later found to be invalid.

    Some in town think that Andover has outgrown Town Meeting, a form of government where residents come together once or more in a year to vote on legislation, rules and appropriations.

    Many have argued the low attendance is evidence of this. Those in favor have said Town Meeting is unique in its ability to give every resident who wants it a direct voice in local government.

    Voters approved Article 23, which limits the town staff positions that the Select Board must approve. Before the change, the board had to approve every position, including part-time positions such as lifeguard.

    Voters also approved millions of dollars for capital projects, including sidewalk repairs and tree removal.

    Residents voted to spend more than $4 million from the town’s general fund for projects related to IT infrastructure and minor storm drainage improvements.

    More than $7 million for water and sewer expenses was appropriated with the majority, $6 million, destined for water main replacement and distribution improvement projects.

    The full list of articles voted on can be found at andoverma.gov/CivicAlerts.aspx?AID=945.

    The number of voters participating in the later votes that night were fewer than during the previous day or even earlier that night when MBTA zoning was debated.

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    By Teddy Tauscher | ttauscher@eagletribune.com

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  • “A big deal”: What the feds’ move to reclassify marijuana means for Colorado cannabis – The Cannabist

    “A big deal”: What the feds’ move to reclassify marijuana means for Colorado cannabis – The Cannabist

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    Cannabis advocates in Colorado cheered the Biden Administration’s reported move to reclassify marijuana and said the decision likely would reduce businesses’ tax burden significantly.

    Industry leaders cautioned that such a move — if finalized — would not resolve some major challenges facing the industry, such as limited access to banking. But they pointed to the symbolic importance of preparations by the U.S. Drug Enforcement Administration to downgrade the substance’s drug classification.

    A man pours cannabis into rolling papers as he prepares to roll a joint the Mile High 420 Festival in Civic Center Park in Denver, April 20, 2024. (Photo by Kevin Mohatt/Special to The Denver Post)

    Read the rest of this story on DenverPost.com.

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    The Cannabist Network

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  • Andover voters OK an extra $1.8M to save school jobs

    Andover voters OK an extra $1.8M to save school jobs

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    ANDOVER — After almost three hours of debating town finances Monday night, voters approved an operating budget with an additional $1,875,000 to prevent cuts in school positions.

    The new operating budget totals $235.9 million with the amended increase allocated for the school budget. Voters at the annual Town Meeting increased the budget to save 34 positions the school district is looking at cutting to eliminate a $2.7 million shortfall. 

    More than 900 voters turned out at Andover High School for Town Meeting, which continues Tuesday. Andover needs to balance its budget before the new fiscal year begins July 1. 

    The proposed cuts of 34 school positions amount to about $2.5 million in annual salary. The previous operating budget was $234 million.

    During debate on the budget, which included three votes on amendments, school staff members, parents and other residents made cases for why the cuts should be prevented. Others, including community officials and some residents, stressed the importance of long-range financial planning.

    “The quality of education in Andover will be diminished,” said Mary Robb, a social studies teacher at Andover High School.

    As town officials work to balance the new budget, it is unclear if the extra funding would have the desired effect of preventing all or even some of the cuts. Since the extra money was appropriated for schools, the School Committee will need to decide how it will be spent.

    Committee Chair Lauren Conoscenti said immediately after the meeting that the committee did not yet have a plan for the additional money. 

    To balance the budget, the town will need to either reduce expenses or hold a Special Town Meeting to appropriate more money, according to Town Manager Andrew Flanagan.

    During the meeting, many in the community advocated for free cash to be used to save the jobs. Officials pushed back against the idea, stating it is against state Department of Revenue guidelines to use free cash for ongoing expenses.

    Flanagan argued for sticking with the town’s budget and spoke against the solutions proposed by residents.

    “These ideas are contrary to the guiding principles that have provided the town with financial stability,” he said. “I respectfully ask that you consider the option of adhering to our plan.”

    Residents voted 488-451 against an amendment to increase the school operating budget by $2.7 million. But they also voted for the amendment to increase the school operating budget by $1.8 million.

    Operating budgets tend to make up the majority of the town’s overall budget.

    Votes on the operating budget are also often straightforward and residents’ ability to vote down the budget or amend it is rarely utilized. With hundreds of millions of dollars allocated to various departments, amending the budget can be a tricky task for residents.

    Before the amendment, the school budget totaled $103,335,959, an increase of $3,735,035 or 3.75% in the current budget.

    Personnel make up about 80% of the school budget, according to the district.

    The budget deficit is mainly the result of a contract won by the teachers union during a strike, as well as an increase in costs for services such as transportation, according to the school district. 

    Conoscenti reinforced that fact during the meeting.

    “During the strike, this point was repeatedly made,” she said. “The educators acknowledged that was something we were wrestling with.”

    School budget shortfalls are not unique to Andover this year, with North Andover facing a deficit of $3.1 million.

    Cutting positions is expected to affect class sizes, however, the School Committee has said it will stick to the district’s goals.

    Ever since the Andover Education Association was awarded the new contract, the union has said the cuts were proposed in retaliation for a largely successful strike. 

    School officials have said the cuts are also in line with reductions in enrollment that total about 11% over the past decade.

    School instructional assistant Holly Currier said staff are asked to do more.

    “Students’ needs have grown in complexity every year,” she said. “The level of need demands more staff.”

    Officials have also said larger-than-usual increases in school spending would be unwise. For each of the last few years, Andover has increased its school budget by roughly 3.75%. The norm promotes the long-term financial health of the town and stops departments from having to fight for their budgets at Town Meeting, according to officials.

    Town Meeting concluded on Monday night with only a handful of the 34 articles being taken up. The meeting resumes Tuesday at 7 p.m. at Andover High School when a proposal for a state-mandated zoning district will be addressed.  

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    By Teddy Tauscher | ttauscher@eagletribune.com

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  • Enrollment rising for Medicare savings programs

    Enrollment rising for Medicare savings programs

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    BOSTON — The number of senior citizens enrolled in the state’s Medicare savings programs has increased since eligibility was expanded to help more beneficiaries pay for health care premiums and prescription drugs.

    There were 138,313 people enrolled in the state’s federally funded programs as of June, according to the latest data from the state Department of Public Health, which administers the programs.

    That includes 17,045 new seniors and disabled beneficiaries who enrolled in June under changes that expanded who qualifies for the programs.

    The state has several Medicare savings programs – Qualified Medicare Beneficiary, Specified Low-Income Medicare Beneficiary and Qualifying Individual program – that pay some or all of beneficiaries’ premiums and other health care costs, including prescriptions. To qualify, residents must be at least 65 years old and approved for the federally funded program.

    Even more people are likely to qualify for the benefits under changes to the state’s new Medicare savings programs, which began March 1, with a replacement for MassHealth’s Senior Buy-In and Buy-In programs.

    Under new eligibility requirements, for a person on Medicare with less than $2,824 per month in income – or less than $3,833 for a couple – the program will pay for monthly Part B premiums, Part A and D co-pays and deductibles, as well as extra help with prescription costs, according to the administration of Gov. Maura Healey.

    Until now, eligibility was determined through an asset test that required individuals to have no more than $18,180 in assets, $27,260 for couples. Those assets included money in bank accounts and retirement funds, which advocates say often excluded people who would otherwise qualify based on annual income.

    “MassHealth is committed to ensuring that older adults on fixed budgets have access to affordable coverage,” Mike Levine, MassHealth’s assistant secretary, said in a recent statement. “Our work expanding eligibility for the Medicare Saving Program and simplifying the application process is critical to meeting this goal.”

    The Boston-based nonprofit group Healthcare for All says the new Medicare saving program will save seniors an average of $500 per month they would have otherwise spent on health care costs. The group says seniors are often having to choose between paying for food and housing or “essential” health care services.

    Massachusetts is wrestling with skyrocketing health care costs that advocates say are jeopardizing medical treatment for patients.

    A report in March by the Massachusetts Health Policy Commission’s Center for Health Information and Analysis found health care expenditures per capita increased by 5.8% from 2021 to 2022, well above the national rate of 4.1% and nearly double the 3.1% benchmark set by the commission, based on previous years’ growth.

    The center attributed the increases to a combination of high prescription drug expenses, “unprecedented” patient cost sharing, and other factors that are forcing consumers to dig deeper into their pockets to pay for health care services.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • Manchester-by-the Sea Town Meeting backs senior center plan. lauinch service

    Manchester-by-the Sea Town Meeting backs senior center plan. lauinch service

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    MANCHESTER-BY-THE-SEA — Considering 21 articles on the warrant was no easy task but annual Town Meeting wrapped it up in about three hours.

    Town Moderator Alan Wilson banged the gavel to convene the meeting Wednesday at Manchester Memorial Elementary School precisely at 6:30 p.m. and adjourned it at 9:12 p.m. Midway through, Wilson reported a quorum of 317 voters present.

    The meeting approved financing for a new senior center, the operation of a launch service in Manchester Harbor, and a number of capital projects, including $7,550,000 to make capital improvements to the town’s water and wastewater systems.

    It also approved a fiscal year 2025 budget amounting to $42,336,058, with $16,818,112 for the town operating and enterprise budgets for water and sewer, and debts; $19,060,435 for town’s share of Manchester Essex Regional School District’s operating budget and debt service; $243,385 for the North Shore Agricultural & Technical School; and $2,642,740 for capital items.

    Each of the above articles passed by substantial margins with voters using electronic vote tallying devices.

    Finance Committee Chairperson Sarah Mellish said the budgets received much careful consideration.

    “The Finance Committee feels this budget is prudent and addresses the needs of the town,” she said. “This is a lean budget that meets the town’s needs.”

    Article 6 authorizing the Select Board to raise or borrow $1 million to buy the Masons’ 26,045 square foot parcel at 10 Church St. needed a two-thirds majority and was approved by a sizable margin, prompting a rousing cheer. Many applauding were senior citizens.

    Select Board member Brian Sollosy moved the measure, which was seconded by Select Board member John Round.

    Responding to a question about whether the building is the right place for a town-operated facility, being at the edge of Manchester Harbor, Town Administrator Gregory Federspiel said the elevation of the Masons’ building protects it from storm surge.

    “This building is in pretty good shape,” Federspiel said. An appraisal a few years ago estimated the building’s value to be about $800,000.

    “We do feel the price is appropriate,” he said.

    The town will start running a launch service in Manchester Harbor after Town Meeting voted 309-34 to purchase to two launch boats and fund operating expenses for this fiscal year and next.

    Select Board member Catherine Bilotta said town officials, including Harbormaster Bion Pike, put together a prudent business plan for the launch service.

    “All of these costs are going to be reimbursed by user fees,” she said. “The entire endeavor is to be funded entirely by user fees.”

    Mellish said the effort should eventually be self-sustaining.

    “If you want to use a launch, contact the harbormaster and he’ll gladly take your money,” she said.

    The meeting also approved paying the town’s share of the Manchester Essex Regional School District’s $16,339,528 gross operating and maintenance budget for fiscal 2025, $2,720,907 to cover its long-term debt, and $660,000 for a feasibility study for Essex Elementary School.

    Superintendent Pamela Beaudoin said the Manchester Essex Regional School Committee will eventually narrow its focus to considering possible renovation or new construction for the school, 12 Story St. in Essex.

    “We really lean heavily on community experts,” she said.

    Spending $481,670 of Community Preservation Fund money on restoration of the First Parish Church steeple and resurfacing of the Sweeney Park basketball court, among other things, was approved, but not before a motion was made to eliminate $200,000 to fund the Manchester Affordable Housing Trust. The motion was defeated 178-45.

    Here is a condensed version of the articles on the meeting’s warrant and votes:

    1 – Receive reports of the town’s boards and committees. APPROVED.

    2 – Fix the salaries of the town moderator and members of the Select Board at $0 per year. APPROVED.

    3 – Raise $243,385 as the town’s share of the budget for the Essex North Shore Agricultural and Technical School District. APPROVED.

    4 – Raise sums by taxation to pay town debts and charges — $42,336,058 — for the coming fiscal year, effective July 1. APPROVED.

    5 – Spend the following, all of which were APPROVED:

    — Road resurfacing — $550,000.

    — DPW facility siting, geotechnical analysis — $250,000.

    — Drainage and sidewalk improvements — $250,000.

    — Storm damage repair — $50,000. Not recommended.

    — General building upgrades — $50,000.

    — Backhoe replacement — $150,000.

    — IT and telephone upgrades at Town Hall — $30,000.

    — Planning and zoning studies — $20,000. Not recommended, in operating budget.

    — Library walkway repairs — $6,500.

    — Library building assessment — $43,500.

    — Fire engine replacement fund — $250,000. Not recommended.

    — Ambulance 2 replacement — $470,000.

    — Police tasers — $12,600.

    — Police administration vehicle replacement — $73,000.

    — Cardiac monitors and defibrillators — $54,000.

    — Fire Station repairs and upgrades — $30,000. Not recommended, in operating budget.

    — Dredging/engineering/permitting — $100,000.

    — No wake buoys — $9,500.

    — Plant upgrades/PFAS design — $2 million. $150,000 recommended.

    — Pipe replacement/improvements — $2 million. Not recommended.

    — Meter replacements (for “smart” meters) — $1.5 million. Not recommended.

    — Water truck replacement — $50,000.

    — Plant upgrades/Equipment replacement – $4.1 million. $550,000 recommended.

    6 – Raise or borrow $1 million and authorize the Select Board to use it to acquire, for a senior center and, or community center, all or a portion of the Masons’ 26,045 square foot parcel at 10 Church St. APPROVED.

    7 – Raise or transfer money to operate a town-sponsored launch service in Manchester Harbor including $9,500 for fiscal 2024 operating expenses, $125,000 for the purchase of two launch boats, and $41,000 for fiscal 2025 launch operating expenses. APPROVED.

    8 – Spend $7,550,000 — $4,100,000 on the town’s water system and $3,450,000 on the town’s wastewater system — for capital improvements. APPROVED, 290-33.

    9 – Spend Massachusetts Public Library Construction Program grant funds and re-appropriate $150,000 of the $200,000 previously appropriated for restroom renovations at Manchester-by-the-Sea Public Library. APPROVED, 200-19.

    10 – Create a Special Opioid Settlement Stabilization Fund and dedicate 100% of the opioid litigation settlement funds to the fund. APPROVED.

    11 – Raise or transfer money for the town’s assessment for the gross operating and maintenance budget of the Manchester Essex Regional School District. APPROVED.

    12 – Raise or transfer $660,000 for the town’s apportioned share of the Essex Elementary School feasibility study. APPROVED, 244-44 .

    13 – Raise or transfer $248,348 to fund the town’s share of the cost to refurbish the turf fields in town. APPROVED.

    14 – Hear and act on the report of the Community Preservation Committee on the fiscal 2025 Community Preservation budget and to appropriate $481,670 from the Community Preservation Fund money to meet the administrative and other expenses of the committee for fiscal 2025. APPROVED.

    Included in the $481,670 total amount is:

    – $200,000 for the Manchester Affordable Housing Trust Project funding.

    – $60,000 for restoration of the First Parish Church steeple.

    – $28,500 to resurface the Sweeney Park basketball court.

    – $25,000 for restoration of town cemeteries.

    – $24,400 for portico restoration at Hooper Trask House.

    – $20,000 for Power House Hill parking and access easement.

    15 – Authorize the Select Board to acquire an access and parking easement on property owned by the Manchester Housing Authority at Newport Park for access to Powder House Hill conservation lands.  APPROVED.

    16 – Raise or transfer $100,000 to supplement the fiscal 2024 Legal Expenses Account. APPROVED.

    17 – Raise or transfer $300,000 to be deposited into the town’s “Other Post Employment Benefits Trust Fund.” APPROVED.

    18 – Set fiscal 2025 imitations on expenditures by the town’s recreation programs at $400,000; and the town’s Board of Health Emergency Dispensing Sites and Clinics Programs at $50,000.  APPROVED.

    19 – Amend the Tobacco Products Regulations and Tobacco Use Regulations of the town’s General Bylaws as fines and enforcement are covered by other bylaws and state statutes/regulations.  APPROVED.

    20 – Amend Article X, Section 23 of the General Bylaw on non-accessory signs by adding the language: “The provisions of this section shall not apply to non-accessory signs located on town-owned property, subject to the approval by the Select Board, nor to non-accessory signs on town-owned property used for educational purposes, subject to approval by the Manchester Essex Regional School Committee.”  APPROVED.

    21 – Raise or transfer money to reduce the tax rate. NO ACTION TAKEN.

    Stephen Hagan can be reached at 978-675-2708 or at shagan@northofboston.com.

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    By Stephen Hagan | Staff Writer

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  • Schools face loss of 41 positions due to $3.1M budget gap

    Schools face loss of 41 positions due to $3.1M budget gap

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    The inability of the city of Gloucester and its schools to fully close a $6.1 million shortfall between the cost of a level-service budget and increased funding provided by the city may mean the loss of 41 positions across the school district.

    Driven by skyrocketing out-of-district special education tuition and transportation costs, inflation, and the ending of federal COVID-19 relief funding, the schools administration says what costs $49.74 million to provide to Gloucester students this school year will cost $55.85 million next school year.

    The change represents an increase of nearly 12.3%, or $6.1 million, in the fiscal 2025 school operating budget.

    Superintendent Ben Lummis told the School Committee the city has indicated it can fund $3 million of the proposed $6.1 million increase.

    The city plans to do so through a combination of a $1.5 million supplemental appropriation and some one-time funding for the current fiscal year, which is money that can be used to offset prepaid tuition and special education costs for next year, and a $1.5 million increase in the schools’ operating budget for fiscal 2025 that begins July 1.

    However, the funding shift would still leave a $3.1 million gap to maintain level services.

    Facing a $2 million to $3 million shortfall, Lummis told the School Committee the effects could include:

    A loss of the house structure at O’Maley Innovation Middle School.

    Increased class sizes at O’Maley and Gloucester High coupled with reductions to areas of performing and visual arts, business, technology and physical education.

    Elementary art, music and physical education specialists and some social emotional learning supports.

    “So again, we don’t know if we are here yet,” Lummis said. “Yeah, well, we are here right now, OK, whether we end up here, we don’t know, we are still working on it.

    “It doesn’t mean all these areas are affected. We have to look at all of those and see where we can make changes.”

    He said the effect on social emotional learning programs will not mean all of those supports will go away “but some will.”

    With 83% of the schools’ operating costs tied up in personnel expenses, Lummis said cost reductions are found through staff cuts.

    For the first time, he outlined those cuts by school building, the number of positions and reduction in salary costs:

    Preschool, four positions, $225,000.

    Beeman, four positions, $200,000.

    East Veterans, five positions, $275,000.

    Plum Cove, three positions, $125,000.

    West Parish, four positions, $200,000.

    O’Maley, nine positions, $550,000.

    Gloucester High, eight positions, $550,000.

    District, four positions, $275,000.

    This adds up to cost savings of $2.3 million. Lummis said the reductions are made up of a broad range of positions, not just teachers. Some positions can be moved to grants and positions of staff who leave or retire will not be filled.

    More savings would come through savings from benefits of laid-off employees, moving services and supports to grants, and reductions in instructional supplies and materials.

    The process to finalize notifying staff was scheduled to wrap up last week.

    This week, the administration will meet with Gloucester Teachers Association leaders as dictated by contracts to go over expected cuts of teachers with professional status. Principals and supervisors would then inform staff and provide information on the process and next steps for each individual.

    The week of April 29, the administration would have to determine if further cuts would be necessary based on talks with the city administration. The schools have until May 7 to inform any additional teachers with professional teacher status whose positions are planned for elimination.

    Waiting to inform staff may keep everyone on edge, with the vast majority of the schools’ staff not at risk of losing their jobs, Lummis said.

    “So we are trying to balance speed with the best information we have, our obligation in terms of our contracts and at the same time treating folks with compassion as well,” he said.

    During the School Committee meeting, Lummis presented a slide showing areas of reductions including Tier 2 interventions, which support students in small groups, at all levels.

    At the preK-5 level, the reductions would affect social emotional learning and mental health supports; at the middle school, it would mean the loss of the house structure; and at Gloucester High the loss of preparation and support for post-secondary success.

    School Committee member Melissa Teixeira Prince asked what was meant by the inability to maintain the house structure, asking if this just meant larger class sizes. She said the loss of the house structure at the middle school was “scary.”

    “Parents don’t want to hear that,” she said.

    “It’s in jeopardy,” Lummis said. He said the house structure, while it adds to a sense of belonging with the same students sharing the same teachers, it constrains flexibility in terms of staffing.

    Breaking apart the house structure allows flexibility in terms of fully loading all the classes. He said while the house structure is crucial, it’s something the administration has to look at given the level of cuts.

    “It doesn’t mean at this point it’s definitely going to go away,” Lummis said.

    He also outlined cuts to programs at a $1 million to $2 million level that would not be as deep. This list included delaying the medical assisting exploratory launch as part of the high school’s Career/Vocational Technical Education program until September 2025, along with specialists and electives, reduced staff in one or more core academic areas in the middle and high schools, along with delays in IT infrastructure improvements, among other things.

    Prince said she was sensing the schools were facing at least $2 million in reductions.

    “I don’t want any of this conversation to sugarcoat, like, there’s going to be a happy ending here because I don’t believe there is going to be a happy ending,” she said. “There are going to be cuts. There are going to be cuts that are going to hurt and this is a place we haven’t been in many years.”

    Financial resources from the city “don’t appear to be there to make us whole at this day and time,” Prince said

    A School Committee vote on a public hearing for the budget is scheduled for Wednesday, with a public hearing on the budget scheduled for May 8. The School Committee would then vote May 22 to submit the school budget to the mayor and City Council. Lummis said those dates could change.

    Ethan Forman may be contacted at 978-675-2714, or at eforman@northofboston.com.

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    By Ethan Forman | Staff Writer

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  • Article would move library renovation plans ahead

    Article would move library renovation plans ahead

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    MANCHESTER-BY-THE-SEA — To residents Gretchen Wood and Lisa Bonneville, the town’s library is a dream.

    But Wood and Bonneville want that dream to be accessible for all who visit Manchester-by-the-Sea Public Library — including those who are disabled. Both are members of the town Americans with Disabilities Advisory Committee.

    Access for all to the library’s offerings is critical, but is a challenge because “the library is very small and it has very tight spaces,” Wood said Thursday. “We have some pretty deep concerns about the library’s accessibility.”

    Wood and Bonneville hope the town shows its support for the library, calling for the approval of a financing measure at annual Town Meeting on Wednesday that would lead to a potential library building project.

    Article 9 asks the town to apply for, accept and expend Massachusetts Public Library Construction Program grant funds and re-appropriate $150,000 of the $200,000 previously appropriated for restroom renovations at the library, 15 Union St.

    Library Director Cynthia Gemmell, who supports passage of Article 9, said she will be at Town Meeting to potentially answer questions about the measure.

    “I would very much like to see the town support the article,” she said. “This is a preliminary step to see if we could have a plan for the potential renovation and expansion of the library. This will allow us to address the space issues, accessibility issues, lack of programming space, lack of meeting space and lack of collection space.”

    Successful passage of Article 9 would enable the town to apply for a matching state grant that will help finance the planning and design of the library project, Wood said.

    “This will not fund it,” she said. “It will merely get us into this round of grant funding. We can’t go forward unless we are accepted. It’s a small ask.”

    Library Trustee Sarah Davis said Article 9 is supported by the Trustees, the Select Board, and the Americans with Disabilities Advisory Committee.

    “It’s a requirement for keeping us in the running for a potential grant from the Massachusetts Board of Library Commissioners,” she said. “It’s a requirement.”

    The town needs to apply for the grant by May 31, Davis said.

    “We’ve been working on the application for years,” she said.

    Access for everybody

    Wood, who served as town clerk in Manchester for 23 years before stepping down 13 years ago, will volunteer as a timekeeper during Town Meeting deliberations on Wednesday.

    The library, she said, needs attention, adding using the restroom in the building is impossible for some.

    “It’s a very tiny restroom,” Wood said. “That’s a problem.”

    Access to the young adult programs is limited since the programs are held on the library’s upper level – reached only by climbing a narrow full flight of metal stairs.

    “Imagine the feelings of a young person with physical challenges facing this obstacle,” reads the letter by Wood and Bonneville. “Searching for a book in the stacks would be impossible for anyone in a wheelchair. Then, there is the problem of the existing very small restroom tucked into a corner of the reading room, where it is hardly adequate for anyone, but certainly completely inaccessible to anyone in a wheelchair or walker, or a parent with a child in a stroller.”

    The library is a resource in Manchester that needs to be optimized, Wood said.

    “We have a beautiful building that is very valuable to the town,” she said. “It’s time to use it.”

    Ground was broken and construction began on the library in 1886. The building, designed by noted architect Charles P. McKim, was dedicated on Oct. 13, 1887, according to the library’s website.

    “It’s an architectural gem,” Davis said, who added the library’s limited accessibility, limited meeting space and the narrow staircase to the upstairs loft are among the problems faced by patrons and library staff.

    “We want to have more meeting space to support programs, hold meetings and make interactions possible,” she said. “It’s really important to act now.”

    Town Meeting is slated to begin at 6:30 p.m. at Memorial Elementary School at 43 Lincoln St. in Manchester.

    Stephen Hagan may be contacted at 978-675-2708, or shagan@gloucestertimes.com.

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    By Stephen Hagan | Staff Writer

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  • Police/Fire

    Police/Fire

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    In news taken from the logs of Cape Ann’s police and fire departments:

    GLOUCESTER

    Friday, April 12

    7:28 p.m.: Debris in the roadway was reported on Washington Street.

    6:35 p.m.: No action was required for a report of a hold-up alarm at the Market Basket on Gloucester Crossing Road.

    5:35 p.m.: Larceny was reported on Granite Street.

    4:57 p.m.: A caller reported the theft of a computer delivered to his home on on Bayfield Road. The report states the driver took a picture of the box when it was delivered, but when the person went to grab the box, it was not there. The resident suspected the driver took it and he planned to follow up with the FedEx fraud division.

    3:36 p.m.: A burglary/past break-in was reported on Nashua Avenue.

    3:04 p.m.: Police planned to file a criminal complaint against a 16-year-old on a charge of assault and battery on Pleasant Street.

    2:17 p.m.: A crash with property damage only was reported at 129 Prospect St.

    12:47: Police took a report of fraud on Prospect Street.

    Thursday, April 11

    8:07 p.m.: After a traffic stop on Eastern Avenue at Webster Street for a car without any tail lights on, police filed a criminal complaint against a 22-year-old Gloucester resident on charges of a motor-vehicle lights violation and driving without a license. The driver produced a registration but not a license when stopped. Using a translation service, the man provided the officer with a passport. Dispatch confirmed the man had no license status, only a learner’s permit. The driver contacted his boss who translated for them both. The driver was told he was going to be summonsed to court for unlicensed driving and a licensed driver arrived to take the SUV away.

    6:36 p.m.: A 29-year-old Gloucester resident was arrested on two counts of breaking and entering into a vehicle/boat in the daytime to commit a felony, resisting arrest and larceny under $1,200. A witness reported seeing a man rummaging through the passenger seat of his father’s car as it was parked on Elwell Street. The witness contacted his brother who was at home and called police. The brother went outside and saw the 29-year-old going through the vehicle from the passenger seat. He asked the suspect what he was doing, and he said he thought the vehicle belonged to his cousin. The brother said he did not believe the suspect and asked him to empty his pockets, but he did not recognize any of the belongings. The father then came out and checked his car, telling police he left his doors unlocked. He did not notice anything missing, with items from the center console strewn about, including a plastic change holder that had been removed and discarded on the floor. The suspect repeated that he thought the car belonged to his cousin, but refused to say what he was doing, what he was looking for, or who his cousin was. He could not describe the vehicle his cousin owned. The man said he had come from a local establishment and police said they could smell an odor of alcohol about him. Police went to arrest the man, but he resisted. One of the officers drew his stun gun and ordered the suspect to stop resisting and the man complied. The man was searched and police found miscellaneous property in his pockets. During booking, officers learned from dispatch there was a second report of a car break in the area, with the owner of a 2010 Toyota Corolla, reporting loose change, a half a roll of quarters and a Zippo lighter missing from his vehicle, consistent to what was found in the suspect’s possession. Police later obtained security camera footage showing the suspect walking onto Elwell Street and checking the driver’s side door of a 2020 Chevrolet before walking down the street and getting into the passenger side of the father’s car.

    Debris in the roadway was reported on Route 128 north at 2:21 p.m. and between Grant Circle and A. Piatt Andrew bridge on Route 128 south at 2:03 p.m..

    6:16 a.m.: An unwelcome guest was reported on Sheedy Park at Pleasant Street.

    Wednesday, April 10

    Crashes with property damage only at 5:16 p.m. on Grant Circle, and at 6:11 p.m. on Elm Avenue. 

    5:22 p.m.: Vandalism to a car was reported on Rockland Street. During the night, someone took a blow torch to the Ford Escape and damaged it. There were no suspects in the incident.

    5:20 p.m.: An assault as a result of a landlord/tenant dispute was reported on Centennial Avenue.

    4:59 p.m.: A hit-and-run crash with property damage only at 178 Washington St. resulted in police planning to file a criminal complaint against a 49-year-old Gloucester man on charges of driving with a revoked license as a habitual traffic offender, leaving the scene of property damage and negligent driving. Police came upon the scene and found a parked rented 2023 Nissan on the northbound side of Washington Street with damage to the driver’s side rear quarter panel. The other car, a 2018 Jeep Compass, had fled the scene. The red Jeep could be seen on video provided by a nearby restaurant fleeing to the intersection of Grove Street and turning right. The video showed the crash, with the Jeep traveling at a high rate of speed, crossing the white fog line, striking the parked car, and pushing it forward one foot. The Jeep crossed the double yellow center line nearly striking an oncoming vehicle. The driver of the oncoming vehicle told police he turned around on Washington Street and attempted to follow the Jeep on Grove Street but lost it as it sped away. Police eventually located the Jeep matching the description given in a driveway on East Main Street. The Jeep was found with a jack under the passenger side and the damaged front tire was raised in the air. Police spoke with the driver who eventually admitted to driving the Jeep, which he did not own. He told police he fled because his license was revoked.

    3:32 p.m.: Police responded to a report of trespassing on Atlantic Street.

    2:59 p.m.: A disabled vehicle was reported on Grant Circle.

    12:45 p.m.: Police took a report of stolen property.

    12:30 p.m.: Police took a report of drug activity.

    10:12 a.m.: Police took a report of fraud, identity theft. A resident reported she had contacted Xfinity after her cell phone stopped working a couple of days before. After speaking with the Xfinity fraud department and obtaining a new SIM card, the resident noticed an attempt to withdraw $2,500 from her bank account and attempted charges to her Amazon account. Both of these were stopped. The resident has since contacted her bank and changed all of her passwords linked to her phone.

    ESSEX

    Friday, April 19

    3:15 a.m.: An individual was assisted at a John Wise Avenue address.

    Thursday, April 18

    Assistance was given to individuals on John Wise Avenue  at, 4:36, 5:05 and 5:19 p.m. and on Martin Street at 5:18 p.m.

    Medical emergencies: Taken to a hospital by medical ambulance was person having difficulty breathing on Lufkin Point Road at 12:56 p.m. and a person who had fallen on Grove Street at 4:07 p.m.

    MANCHESTER

    Thursday, April 18

    Traffic stops were made at the intersection of Pleasant Street and Old Essex Road at 7:52 p.m., at the intersection of Bridge Street and Highland Avenue at 9:39 p.m., and on Lincoln Street at 10:41 p.m. Officers issued a written warning and two verbal warnings, respectively.

    Investigations were conducted by police on School Street at 3:23 p.m. and Tucks Point Road at 9:53 p.m.

    3:11 p.m.: An individual was aided at a Central Street address.

    Complaints about animals on Beach Street at 10:26 a.m., The Plains at 11:17 a.m. and Smiths Point Road at 2:15 p.m.

    10:05 a.m.: A report was made about a motor vehicle crash at a University Lane address.

    9:36 a.m.: The Manchester-by-the-Sea Fire Department doused a fire in a red dump truck in the vicinity of 129 Pine St. According to a post on Facebook, the North Shore Regional 911 Center alerted the Fire and Police departments to a reported vehicle fire. Engine 1 and C1 responded and crews using a single line quickly extinguished the flames. There were no injuries.  

    1:05 a.m.: Police issued a verbal warning to an. individual on Beach Street.

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  • Bay State ranked poorly on financial literacy

    Bay State ranked poorly on financial literacy

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    METHUEN — Financial illiteracy is an unfortunate plague among Americans, with only 57% equipped to make informed financial decisions, according to MarketWatch.

    While April may be financial literacy month, Massachusetts has earned a C grade by MarketWatch, marking the importance of education-related bills like the one state Rep. Ryan Hamilton, D-Methuen, is proposing.

    “When it comes to anything on education in Massachusetts, a C is not good enough,” Hamilton said. “We have to work to get to that A.”

    Hamilton is fighting to require financial literacy education for all Massachusetts high school students.

    His bill, an act relative to student financial literacy, was reported favorably by the Joint Committee on Education on April 1. It has since been referred to the Senate Committee on Ways and Means.

    “There’s still a lot of bars that we need to clear,” Hamilton said. “There’s still a lot of work for us to accomplish.”

    The act would require all public high school students to complete a standalone financial literacy course prior to graduation.

    Students would study a variety of topics, like investments, managing debt and building good credit.

    The bill calls for a financial literacy trust fund, which would provide funding to underserved school districts. The act also directs the Department of Education and Secondary Education to create professional development training standards for educators.

    The act’s language, however, says school districts “may incorporate the financial literacy standards” into existing curriculum.

    Other topics students would learn in the course include earning and spending income, charitable giving, methods of payment, consumer protection, balancing ledgers and checkbooks, budgeting, the role of banks, long-term savings, credit, investments and emerging technology like crypto.

    Students would be required to take at least a half of a semester’s credit of coursework on the topic.

    Pennsylvania became the most recent state to guarantee a standalone half-credit course in financial literacy. The Keystone State became the 25th in the country.

    Other states that have passed regulations for some form of financial literacy course within the high school level include Wisconsin, Oregon, Louisiana, New Hampshire, Connecticut and West Virginia.

    “I think we have a good shot at becoming that 26th state,” Hamilton said. “I’m not the only one working on it. We’ve been really working together.”

    States that have passed financial literacy regulations, including West Virginia, Oregon, Minnesota, Indiana, Florida, and Nebraska, all have A grades from MarketWatch.

    “Financial literacy is crucial nationwide as it empowers individuals to achieve financial stability, avoid pitfalls that lead to hardship, and participate in economic activities like investing,” said David Straughan, personal finance writer with MarketWatch Guides.

    Massachusetts received a C because the state has some standards for financial literacy, but nothing is required or necessarily offered as a standalone course. Hamilton said the C is an improvement from an F grade a few years ago, but that he still would like to see the state get to an A.

    A recent MarketWatch Guides survey found that more than half of Generation Z were unfamiliar with CDs, high-yield money market accounts and Roth IRAs. The average American lost $1,506 in 2023 due to financial illiteracy in credit card interest and fees, overspending and fraud.

    “Implementing a stand-alone financial literacy course requirement in high schools is a proactive step that could significantly benefit students and their communities,” Straughan said.

    “While it may not be the end-all solution, equipping students with personal finance knowledge and skills could contribute to improved financial resilience and decision-making within families over time, as these abilities are passed down generationally.”

    Follow Monica on Twitter at @MonicaSager3

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    By Monica Sager | msager@eagletribune.com

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  • Shelter money fading but new funding explored

    Shelter money fading but new funding explored

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    BOSTON — State dollars for the emergency family shelter system are dwindling, and restaurateurs who for years enjoyed expanded outdoor dining and the ability to sell drinks to go remain “in limbo” amid a sustained period of legislative disagreement.

    House and Senate Democrats broke for another long weekend Thursday without announcing any deal on a spending bill that would replenish shelter funding for the remainder of the fiscal year.

    While negotiators remain at odds over how much they want to draw from state savings and exactly what kind of time limits to place on shelter stays — plus whether restaurants should resume takeout drink sales — funding could run out in less than two weeks, a Healey administration official confirmed Thursday.

    “Direct funding for emergency assistance shelters has been expected to be exhausted early this spring. It’s possible that could occur as soon as this month,” Matt Murphy, a spokesperson for the Executive Office for Administration and Finance, said in a statement. “We are both grateful to the Legislature for the work they have done so far to advance our supplemental funding request and hopeful that legislation can be finalized quickly for our review to address this time sensitive need.”

    “If we do exhaust the direct funding available for shelters, we have some flexibility to shift other available funds as a short-term measure to avoid any disruption in services until the supplemental budget passes,” he added, referring to “additional money from the last (emergency assistance) supp that wasn’t direct shelter funding that can be used.”

    Murphy said the administration “continues to call on the federal government to address this federal problem, including by providing additional funding to states.”

    Both branches have already approved competing versions of a mid-year spending bill that would steer more money to the shelter system, but they cannot send it to Gov. Maura Healey’s desk until they iron out differences.

    The House and Senate adjourned with plans to return Monday, April 22, which is the earliest they could act to send a compromise to the governor — if top Democrats can strike an agreement by then.

    Sean Fitzgerald, a spokesperson for Senate Ways and Means Committee Chair Michael Rodrigues, declined to make the senator available for an interview Thursday, but said the conference committee is “continuously engaged and remains focused with ongoing and productive conversations.”

    “We remain optimistic that we’ll have an agreement soon,” Fitzgerald said.

    A spokesperson for House Ways and Means Committee Chair Aaron Michlewitz did not reply to a News Service request.

    Legislative leaders have said for months the money currently propping up shelters is set to run out by spring, though they and the Healey administration have been less than forthcoming about when exactly that might be.

    Michlewitz was the first to identify the “early spring” timeline, way back in November when his chamber approved the last multi-million dollar injection into the state’s emergency family shelter system.

    That supplemental budget, signed in December, steered $250 million to the emergency shelter crisis, with $50 million set aside for overflow shelter and $75 million targeted for school funding relief related to the shelter crisis.

    “From what we gather, this would take us through the winter, neatly through the winter, and probably early into the spring,” Michlewitz said at the time. “Then it will all depend at that point moving forward on how many families we have in the system.”

    Since Michlewitz’s remarks last fall, the number of families looking for a spot in shelters has only grown, with 713 families as of Wednesday on a waitlist set up by Healey.

    Healey got the ball rolling on the next funding injection for the overburdened system on Jan. 28, saying the additional supplemental budget would have enough money to keep the shelters running through the end of June.

    Michlewitz said again in February that they were “managing with that timeline” that “the (Emergency Assistance) shelter money will run out in the spring.”

    When asked at that point exactly when in the spring the funding was set to run out, the chairman and House Speaker Ron Mariano laughed.

    “When are the crocuses?” Mariano quipped. Michlewitz jumped in, “What, is March 21 the first day of spring?” as the speaker chuckled.

    The House approved its version of Healey’s supplemental budget bill on March 6, and the Senate took its vote on March 21. Now, almost a month later and nearly a third of the way into spring, it still has not emerged from negotiations.

    Rodrigues said last week that the administration told him family shelter money could run out “sometime mid- to end of April” and that the administration has “other flexible funds that they can use,” which Murphy appeared to confirm Thursday. Mariano said Sunday on WCVB that he “never got a date from the governor as to when it was gonna run out,” only that “sometime in the spring, it would run out.”

    Republican Sen. Peter Durant of Spencer told the News Service on Thursday that the conference committee’s delay could indicate the money is not needed as urgently as some Democrats have said.

    “We’ve also heard that the governor has said that she has a few more levers to pull somewhere, so we can finance it,” Durant said. “So I’m not sure it’s as critical as everybody might think that it is. Certainly as this drags on, it would appear that it’s not as critical as it’s made out to be.”

    He said financing the emergency family shelter system through supplemental budgets over the course of the year, rather than a lump sum through the annual budget — which could be the approach Democrats take again in fiscal 2025 — leads to uncertainty.

    “That’s a real challenge for the leadership here. How exactly are we going to pay for it, how does it look going forward? And I just don’t think that we have a lot of really good answers to that yet,” Durant said. “Even when the speaker says, ‘We’ll fund this budget for half the year and then we’ll see what happens in December, maybe we’ll have the same president, maybe we’ll have a new one’ — there’s just so many unanswered questions. Everybody’s just playing it by ear.”

    Sen. Nick Collins of South Boston, a Democrat, said there’s not “too much concern just yet” about shelter funds running out, as “the indications from the administration tell us that we’re not at the end of the line here.”

    “The number-one issue in the state of Massachusetts on taxpayers’ minds is the cost of this. So there’s a lot to think about,” Collins said. “And I think that’s what’s taking the time.”

    The lack of consensus on the legislation does not only impact the emergency assistance shelter system. Legislative leaders opted to use the supplemental budget bills as the vehicle for revisiting some pandemic-era policies that have been in place on a temporary basis for years, like a streamlined process for restaurants securing permission to serve patrons in certain outdoor spaces.

    Both branches voted in favor of making permanent the outdoor dining overhaul and a graduate student nursing program, but they were split on whether to allow restaurants to continue selling alcoholic beverages to go. The House is in support and the Senate is in opposition.

    Because the branches still have not found compromise on the underlying bill, all of those provisions — including the ones both the House and Senate back — expired March 31, pushing many restaurants back toward a pre-COVID status quo.

    “Marathon Monday is always the first sign of the weather turning the corner in Boston and around Massachusetts. That day has come and gone, and I think I speak for most people that we are ready to welcome some great weather,” Steve Clark, president of the Massachusetts Restaurant Association, said in a statement. “With great weather, comes the want and desire to eat outside. Unfortunately, a number of restaurants across the state are in limbo without extended outdoor dining authorization, hopefully we are able to get this issue resolved quickly.”

    Clark added that many of his members have asked about the prospects of bringing back takeout drinks.

    “Menu evolution is always happening, but it takes time and effort to remove items off of menus; at the same time, license holders take their responsible service of alcohol seriously and do not want to run afoul of the laws that come with it,” he said.

    However, the policy might be up against a major hurdle, as one of the lead negotiators has come out against the idea.

    “I personally do not support cocktails to go. I believe we have cocktails to go, it’s called package stores,” Rodrigues said earlier this month. “We have bricks and mortar businesses, retail establishments, that that’s what they provide.”

    The chairman said he has not heard about to-go alcoholic drinks from one restaurant. “I’ve heard a lot from inside the building, I hear a lot from the media, but from restaurants, they want outdoor dining,” he said.

    Mariano, asked on WCVB’s “On The Record” to respond to Rodrigues’ comments, gave a vague endorsement of the idea.

    “It was something we came up with during the pandemic to help restaurants. It seemed to be successful, some people liked it. It didn’t really cause any problems that we were aware of. So we just thought if restaurants want to do it, we’ll let them do,” he said.

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    By Sam Drysdale and Chris Lisinski | State House News Service

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  • Student loan providers make millions of billing errors

    Student loan providers make millions of billing errors

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    Private companies overseeing the federal government’s college loan programs made “millions” of errors implementing new repayment plans, costing student borrowers time and money, according to a new congressional report.

    The report, released by Massachusetts Sens. Elizabeth Warren and Ed Markey, along with two other Democratic lawmakers, said the major loan servicers under contract with the U.S. Department of Education made more than 3.9 million “billing-related errors” once repayment of federal student loans resumed last fall.

    “The four student loan servicers that were under contract with ED at the end of the payment pause had ample time, clear contractual requirements, and sufficient funding from the federal government,” the report states. “Yet, they still made a series of mistakes that harmed millions of borrowers when payments restarted.”

    The report is based on data from the U.S. Education Department and federal audits that detailed delayed billing statements, “miscalculations” for borrowers converting to the new SAVE income-driven repayment plan, and payment miscalculations on borrowers’ income, family size or marital status.

    The loan servicing companies – EdFinancial Services, Higher Education Loan Authority of the State of Missouri, Maximus Education and Nelnet Diversified Solutions – responded to the allegations in a series of letters to the lawmakers that detail how they were challenged once loan repayments resumed.

    In a January letter, MOHELA said it has struggled to adjust to “evolving” loan servicing requirements from the U.S. Department of Education’s office of Federal Student Aid when millions of borrowers resumed repayments after a multiyear pause. A lack of federal funding compounded the efforts, the company said.

    “FSA has allocated only limited funding for servicing during the unprecedented event and throughout the ‘on-ramp’ period, funding which pales in comparison to the enormity of work associated with assisting millions of borrowers in a condensed time frame,” the company wrote.

    Nelnet blamed the federal government, in part, for the bungled resumption of student loan repayments and said it could “have avoided foreseeable borrower impacts and created a better customer experience.”

    “Unfortunately, borrowers were instead met with confusing and conflicting announcements of program changes, were told no payments were required, that interest would not accrue, indefinitely, and were promised their loans would be discharged,” Jeffrey Noordhoek, NelNet’s CEO, wrote to Warren.

    It’s not clear if the congressional report will lead to sanctions against the loan servicers. Last year, the Education Department released guidelines outlining steps it could take to punish servicers who fail to fulfill their contractual obligations, including withholding pay and transferring borrowers to other loan servicers.

    But the lawmakers said in the report that more should be done to help borrowers impacted by the errors, and called on the Biden administration to provide debt relief for those who were overbilled on loan repayments.

    “To remedy servicers’ historic failures and protect borrowers from future harms, there must be a path for debt relief for borrowers harmed by their servicers,” they wrote.

    Federal student loan servicing companies have been under intense scrutiny from Congress, which has held oversight hearings grilling education officials on efforts to reduce student debt. More than 43 million borrowers in the United States are carrying an estimated $1.6 trillion in student loan debt, according to federal data.

    Overall, the lawmakers said loan servicing companies have a “decades-long pattern of failures” and said the COVID-19 pandemic exacerbated a lack of accountability in the system that “allowed abuses to go unchecked and caused harm for borrowers crushed by student loan debt.”

    “These failures have resulted in borrowers being unable to properly manage their loans and take advantage of long standing student debt relief programs,” they wrote.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • State to pay off $10M more in student loans

    State to pay off $10M more in student loans

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    BOSTON — Financial relief from college debt is coming for hundreds of mental health workers under a state loan repayment program aimed at easing workforce shortages.

    A taxpayer-funded program, which launched in 2022, pays off up to $300,000 in college loans for eligible health care professionals in a variety of disciplines, including dental, medical, mental health and substance abuse.

    The state Executive Office of Health and Human Services, which oversees the MA Repay program, announced a new round of disbursements earlier this week totaling $10 million. The latest round of loan repayments will specifically target more than 200 eligible mental health workers, the agency said.

    Gov. Maura Healey said the move will “offer life changing loan repayment to our dedicated state employees who continue to provide care daily to community members with serious mental illness.”

    “Massachusetts relies on our incredible behavioral health workforce to provide essential care to our residents, but far too many workers are being held back by crushing levels of student debt,” Healey said in a statement.

    The MA Repay program was approved as part of a $4 billion pandemic relief bill signed by then-Gov. Charlie Baker in December 2021. It is aimed at recruiting and retaining new workers in a sector of the state’s health care system that is traditionally among the lowest paid.

    Under the program, psychiatrists are eligible for up to $300,000 if they are employed full time, and $150,000 if they work part time. Psychologists can receive up to $150,000 in loans repaid if they are full-time workers, $75,000 if they work part time.

    Nurses, nurse practitioners, advanced practice nurses, physician assistants and social workers with master’s degrees who are employed in mental health settings can receive $25,000 to $50,000. Workers in those professions with bachelor’s degrees can get between $15,000 and $30,000.

    Those who qualify must commit to working for at least four years in the state under a “service commitment” to receive the financial relief. That employment can be with up to two employers, according to the state agency.

    In August, the state announced the first round of disbursements for nearly 3,000 health care workers totaling $140.9 million. In October, the state opened a second round of disbursements for $25 million. In January, an additional $16.5 million was made available to early education, child care, home health and other home workers.

    The move comes as President Joe Biden unveiled a new proposal this week that seeks to reduce or cancel federal student loans for 30 million Americans.

    Biden’s latest forgiveness plan calls for offering loan relief to borrowers who have large amounts of interest on their loans, have been paying for decades or who face financial hardship.

    A group of Republican states filed a federal lawsuit on Tuesday challenging Biden’s SAVE Plan, arguing the move bypasses Congress and a 2023 U.S. Supreme Court ruling that rejected the president’s previous loan forgiveness program, which called for eliminating $400 billion in outstanding college debt.

    To date, $136.6 billion in federal college loans have been forgiven for more than 3.7 million Americans, according to the Biden administration.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • State to pay off another $10M in student loans

    State to pay off another $10M in student loans

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    BOSTON — Financial relief from college debt is coming for hundreds of mental health workers under a state loan repayment program aimed at easing workforce shortages.

    A taxpayer-funded program, which launched in 2022, pays off up to $300,000 in college loans for eligible health care professionals in a variety of disciplines, including dental, medical, mental health and substance abuse.

    The state Executive Office of Health and Human Services, which oversees the MA Repay program, announced a new round of disbursements earlier this week, totaling $10 million. The latest round of loan repayments will specifically target more than 200 eligible mental health workers, the agency said.

    Gov. Maura Healey said the move will “offer life changing loan repayment to our dedicated state employees who continue to provide care daily to community members with serious mental illness.”

    “Massachusetts relies on our incredible behavioral health workforce to provide essential care to our residents, but far too many workers are being held back by crushing levels of student debt,” Healey said in a statement.

    The MA Repay program was approved as part of a $4 billion pandemic relief bill signed by then-Gov. Charlie Baker in December 2021. It’s aimed at recruiting and retaining new workers in a sector of the state’s health care system that is traditionally among the lowest paid.

    Under the program, psychiatrists are eligible for up to $300,000 if they are employed full time, and $150,000 if they work part time. Psychologists can get up to $150,000 in loans repaid if they are full-time workers, $75,000 if they work part time.

    Nurses, nurse practitioners, advanced practice nurses, physician assistants and social workers with master’s degrees who are employed in mental health settings can get between $25,000 to $50,000. Workers in those professions with bachelor’s degrees can get between $15,000 and $30,000.

    Those who qualify must commit to working for at least four years in the state under a “service commitment” to receive the financial relief. That employment can be with up to two different employers, according to the state agency.

    In August, the state announced the first round of disbursements for nearly 3,000 health care workers, totaling $140.9 million. In October, the state opened a second round of disbursements for $25 million. and in January, another $16.5 million was made available to early education, childcare, home health and other home workers.

    The move comes as President Joe Biden unveiled a new proposal this week that seeks to reduce or cancel federal student loans for 30 million Americans.

    Biden’s latest forgiveness plan calls for offering loan relief to borrowers who have large amounts of interest on their loans, have been paying for decades or those who face financial hardship.

    A group of Republican states filed a federal lawsuit on Tuesday challenging Biden’s SAVE Plan, arguing the move bypasses Congress and a 2023 U.S. Supreme Court ruling that rejected Biden’s previous loan forgiveness program, which had called for eliminating $400 billion in outstanding college debt.

    To date, $136.6 billion in federal college loans have been forgiven for more than 3.7 million Americans, according to the Biden administration.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • House seeks more money for MBTA upgrades

    House seeks more money for MBTA upgrades

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    BOSTON — House Democrats are seeking hundreds of millions of dollars more for MBTA upgrades and workforce needs as part of their annual spending plan.

    The House’s version of the budget unveiled Wednesday calls for spending what legislative leaders described as a “record” $555 million for the Massachusetts Bay Transportation Authority in the next fiscal year and an additional $184 million for regional transit systems that operate across the state.

    House Speaker Ron Mariano said the “historic” level of spending “will allow the new leadership at the T to meet the immense challenges that they face head on.”

    “Given the workforce recruitment and training challenges that have plagued the MBTA, I am particularly proud of the House’s proposal to establish an MBTA Academy that would help to bolster their workforce development efforts,” the Quincy Democrat said in a statement.

    House leaders said the spending plan for the fiscal year that begins July 1 would be funded in part by revenue from the state’s new “millionaire’s tax,” a voter-approved law that set a 4% surtax on incomes above $1 million.

    “Having a well-run transit system is critical to the success of the commonwealth,” House Committee on Ways and Means Chair Aaron Michlewitz, D-Boston, said in a statement. “This record amount of funding shows the House’s commitment to improving our transportation infrastructure in every area of the commonwealth.”

    The House plan earmarks $314 million for direct operating costs at the MBTA, $184 million for the state’s 15 regional transit authorities, and $75 million for MBTA capital investments.

    The plan also calls for spending $40 million to create an MBTA academy to oversee recruiting and training efforts, and create a pipeline for skilled workers.

    An additional $20 million would be set aside for reduced fares for riders with low incomes, which was recently approved by the MBTA’s board of directors.

    The low-income fare program is expected to cost $60 million a year and Gov. Maura Healey has proposed $45 million in funding from the “millionaire’s tax” in her fiscal 2025 budget proposal. Members of an advisory board that recommended approval of the plan also cautioned that the state does not have a dedicated source of funding.

    The move to pump more taxpayer money into the state’s beleaguered public transit system comes as the MBTA wrestles with projected budget deficits driven by a mountain of debt, some dating back to the Big Dig project.

    T officials estimate the transit agency’s operating deficit for the next fiscal year is $182 million, which is projected to grow to $859 million by 2029.

    Meanwhile, the MBTA said it would need about $24.5 billion to bring the system into a state of “good repair” by replacing tracks, facilities, power equipment, trains and other infrastructure.

    Healey attributes the deficit to a lack of investment in the system over decades and said she wants to make “transformative investments” to improve service and reliability. She touted $250 million in MBTA funding in her $56.1 billion budget proposal unveiled in January.

    Lawmakers are expected to file hundreds of proposed amendments to the House’s spending package, the fate of which will be debated in closed-door leadership negotiations.

    The budget would also need to be approved by the state Senate before heading to Healey’s desk for review.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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