Gov. Patrick signs Budget Allocating $25 Million Surplus for CPA

July 12, 2013: The additional $25 million in funding for the statewide CPA Trust Fund was among the FY14 state budget items signed by Governor Deval Patrick today. Patrick's authorization follows the release of the legislature's final version of the budget earlier this month.  Although the funding for CPA was authorized as part of the FY13 budget signed by Patrick a year ago, it also needed to be included in the FY14 budget announced today.  That's because the funds will be released during FY14.

The $25 million will come from the state's expected FY13 budget surplus.  As priorities adjust throughout each fiscal year, the legislature often changes the programs that will receive surplus funds. The Coalition met with dozens of legislators throughout the budget process to make sure the funding for CPA remained a top priority. In fact, the legislature did authorize surplus funding for five other state programs, but the CPA Trust Fund remained at the top of the list throughout the process.  We are extremely grateful to Governor Patrick, all members of House and Senate Committees on Ways and Means, including House Chair Brian Dempsey, Senate Chair Stephen Brewer, as well as CPA legislative co-sponsors Representative Stephen Kulik and Senator Cynthia Stone Creem.

The next step will be for the state to close the books on FY13 and calculate the size of the surplus.  If the expected surplus remains, the $25 million will be deposited in the CPA Trust Fund just prior to the November 15th distribution of funds to CPA communities.  Although we may receive word on the CPA surplus funding in September or early October, the state often doesn't make a final announcement until the October 31st deadline. The Coalition will monitor the budget surplus process and report on any developments as soon as they occur.

The exact wording from the FY14 budget is as follows:

SECTION 145. Section 155 of chapter 139 of the acts of 2012 is hereby amended by striking out subsection (a) and inserting in place thereof the following subsection:-   

(a) Notwithstanding any general or special law to the contrary, after certifying the amount of consolidated net surplus in the budgetary funds at the close of the preceding fiscal year under section 5C of chapter 29 of the General Laws, the comptroller shall dispose of the consolidated net surplus in the budgetary funds for fiscal year 2013 in the following order to the extent that funds are available: (i) $25,000,000 to the Massachusetts Community Preservation Trust Fund, established by section 9 of chapter 44B of the General Laws; (ii) $19,500,000 to the Massachusetts Life Sciences Investment Fund established by section 6 of chapter 23I of the General Laws; (iii) $10,000,000 to the Housing Preservation and Stabilization Trust Fund, established by section 60 of chapter 121B of the General Laws (iv) $11,500,000 to the department of early education and care to be distributed to increase reimbursement rates for subsidized early education and care, for salaries, benefits and stipends for professional development of early education and care workers or programmatic quality improvements; (v) $11,500,000 to private human and social services providers for a 1 time rate reserve payment; provided, however, that item 1599-6901 of section 2 of chapter 139 of the acts of 2012 shall remain in effect in fiscal year 2014; (vi) $7,500,000 to the Social Innovation Financing Trust Fund, established by section 35VV of chapter 10 of the General Laws; and (vii) transfer the remaining undesignated fund balances from the budgetary funds contributing to the consolidated net surplus to the Commonwealth Stabilization Fund, established by section 2H of chapter 29 of the General Laws.