After revenues failed to hit benchmarks for six straight months, it was clear “the governor needed to do something like this,” Evan Horowitz told Playbook.
Expenses are piling up on Beacon Hill amid a string of disappointing tax revenue reports. Radio Boston talks with Evan Horowitz of the Center for State Policy Analysis at Tufts University.
Although the law requires that at least 10 percent of a community’s CPA funds go to each use, a report issued last year by cSPA and GBREB found that less than 1 in 20 CPA projects has been dedicated to the creation of new homes.
However, more than a third of the 190 communities that have joined the CPA have failed to invest the required 10 percent of CPA funds in affordable housing, according to a recent study by cSPA
Those concerns burst into public view earlier this year, when a report produced by cSPA...found that only a fifth of CPA projects have been dedicated to housing that’s affordable for, and restricted to, low-income people.
“Counting usable millionaire’s tax revenue, we expect the state to close FY24 with roughly $40.7 billion in total tax collection, roughly $700 million below the current benchmark,” Evan Horowitz, the executive director of cSPA
To buy a $2 million home generally takes an annual household income of almost $660,000, based on calculations by Harvard’s McCue. Only 1.7 percent of Boston households clear that high bar, according to Census data examined by Evan Horowitz.
Horowitz said the proposal will likely have the unintended consequence of making homes more expensive and putting homeownership out of reach for more buyers.
A new Roundtable report, written with support from the Center for State Policy Analysis at Tufts University, seeks to highlight the challenges faced by foreign-educated college graduates.