Did you read my previous story about crumbling foundations in Massachusetts? ACTION ITEM: The FY26 State Budget Conference Committee members are listed below. Please call and or email asking them to support Amendment #766 of the Senate Budget which is the Crumbling Foundations Task Force and Crumbling Foundations Assistance Fund. The amendment wording is included below, with a link here.
Senator Michael Rodrigues
Michael.Rodrigues@masenate.gov
(617) 722-1114
Senator Patrick O’Connor
Patrick.OConnor@masenate.gov
(617) 722-1646
Senator Joanne Comerford
Jo.Comerford@masenate.gov
(617) 722-1532
Rep. Aaron Michlewitz
Aaron.M.Michlewitz@mahouse.gov
(617) 722-2990
Rep. Ann-Margaret Ferrante
Ann-Margaret.Ferrante@mahouse.gov
(617) 722-2380
Rep. Todd Smola
Todd.Smola@mahouse.gov
(617) 722-2100
Budget Amendment ID: FY2026-S3-766-R1
Redraft OTH 766
Crumbling Concrete Assistance Fund Commission
Messrs. Durant, Fattman, Moore, Tarr and Oliveira, Mrs. Dooner, Messrs. O’Connor and Kennedy, Ms. Lovely and Ms. Edwards moved that the proposed new text be amended in section 2, in item 7004-0099, by adding the following words:- “; provided further, that not less than $100,000 shall be expended for the operation of the stakeholder working group established in section 73A”; and by striking out the figure “$15,573,388” and inserting in place thereof the following figure:- “$15,673,388”; and
by inserting after section 13 the following section:-
“SECTION 13A. Chapter 29 of the General Laws is hereby amended by inserting after section 2JJJJJJ the following section:-
Section 2KKKKKK. (a) There shall be established and set up on the books of the commonwealth a separate, non-budgeted special revenue fund known as the Crumbling Concrete Assistance Fund, which shall be administered by the secretary of housing and livable communities. The fund shall be credited with: (i) appropriations or other money authorized by the general court and specifically designated to be credited to the fund; (ii) funds from public and private sources, including, but not limited to, gifts, grants, donations and settlements received by the commonwealth that are specifically designated to be credited to the fund; (iii) federal funds received under subsection (b); and (iv) interest earned on the assets of the fund. Amounts credited to the fund shall be expended, without further appropriation, to: (A) provide financial assistance to owners of residential real property for the repair or replacement of concrete foundations of such residential real property that have deteriorated due to the presence of pyrite or pyrrhotite; (B) minimize negative fiscal impacts on municipalities in which such property is located; and (C) reimburse the owner of a residential real property that presents satisfactory evidence, as determined by the secretary, that said owner has paid for and replaced their concrete foundation that deteriorated due to the presence of pyrite or pyrrhotite prior to the establishment of the fund; provided, however, that the reimbursement shall not exceed the funding the owner would have received had they applied for financial assistance through the fund. The unexpended balance in the fund at the end of a fiscal year shall remain available for expenditure in subsequent fiscal years. No expenditure made from the fund shall cause the fund to be in deficit at any point.
(b) The secretary of housing and livable communities may apply for, receive and deposit any federal funds, including, but not limited to, funds made available by the United States Department of Housing and Urban Development Section 108 Loan Guarantee program, into the fund. The secretary shall seek to maximize available federal reimbursements for money spent from the fund.
(c) Amounts issued from the fund to impacted homeowners for the repair or replacement of concrete foundations that have deteriorated due to the presence of pyrrhotite shall be exempt from taxation under chapter 62.
(d) Annually, not later than June 1, the secretary of housing and livable communities shall report on the activities of the fund from the previous calendar year to the clerks of the senate and house of representatives, the senate and house committees on ways and means, the joint committee on environment and natural resources and the joint committee on housing.
(e) The secretary of housing and livable communities shall promulgate regulations or issue other guidance to set rules for the expenditure of the funds under this section.”; and
by inserting after section 73 the following section:-
“SECTION 73A. The secretary of housing and livable communities shall convene a stakeholder working group to make recommendations for regulatory and legislative change necessary to comprehensively address the remediation of residential property foundations that have deteriorated due to the presence of pyrite or pyrrhotite. The working group shall convene not later than 30 days after the effective date of this act and shall include: the secretary of housing and livable communities or a designee, who shall serve as chair; the secretary of transportation or a designee; the undersecretary of consumer affairs and business regulation or a designee; the commissioner of insurance or a designee; the commissioner of banks or a designee; 2 members appointed by the attorney general who shall have experience in advocating for homeowners and consumers; the house and senate chairs and house and senate ranking minority members of the joint committee on environment and natural resources; 2 representatives of Massachusetts Residents Against Crumbling Foundations; a representative of Massachusetts Concrete & Aggregate Producers Association, Inc; a representative of Massachusetts Municipal Association, Inc.; a representative of the Massachusetts Insurance Federation, Inc.; and a representative of the Massachusetts Mortgage Bankers Association, Inc.
The working group shall examine: (i) which executive office, department, agency or bureau within an executive office, if any, is best equipped to administer a program to assist residential property owners impacted by the presence of pyrite or pyrrhotite, including administering the Crumbling Concrete Assistance Fund established under section 2KKKKKK of chapter 29 of the General Laws, or which executive office or department is best equipped to oversee a new agency or bureau; (ii) relevant models to assist impacted homeowners, including, but not limited to, a captive insurance company, a supplemental loan program, an interstate agreement with a captive insurance company with expertise in assessing residential property foundation claims, property tax abatement and waiving local and state permit fees; (iii) models to fund the Crumbling Concrete Assistance Fund, including, but not limited to: (A) insurance surcharges on certain homeowners insurance policies, not to exceed $12 annually, and when and on which policies the surcharge would apply and (B) other sources of state and federal funding opportunities; and (iv) methods to improve consumer protection through means such as disclosures, appointment of a homeowner advocate within a department, agency or bureau to assist impacted homeowners or consumer education.
The working group shall submit its report and any recommendations to the clerks of the senate and house of representatives, the joint committee on environment and natural resources, the joint committee on housing and the senate and house committees on ways and means not later than December 31, 2025.”.
