Government Affairs Update May 2025
The North Central Massachusetts Chamber of Commerce actively monitors policy developments at federal, state, and local levels to protect and advance both member interests and critical regional priorities. Our advocacy ensures your voice is heard on issues affecting business operations, regulatory burdens, economic development, and regional competitiveness. Below is our latest update on key government affairs issues.
FEDERAL AFFAIRS
Trade Policy
President Donald Trump continues to utilize increased tariffs as part of his foreign policy, with frequent announcements, retractions, and pauses affecting various industries and countries. In a significant development, the Trump administration recently announced an agreement with China to temporarily suspend most tariffs on each other’s goods. The trade agreement will reduce “reciprocal” tariffs between both countries from 125% to 10%. The Chamber is actively engaging with members to understand tariff impacts on local businesses and monitoring developments through our partnerships with the U.S. Chamber of Commerce and our congressional delegation.
Tax Policy
House Republicans passed a framework in early April to align with the Senate on its budget reconciliation bill, enabling congressional committees to begin developing policy details. Current priorities include making the tax credits from President Trump’s first-term Tax Cuts and Jobs Act permanent. The administration has also proposed eliminating taxes on tipped and overtime wages as well as social security benefits.
Chamber Leadership Council
Our March Leadership Council meeting featured Stephen McAllister, Vice President of the Eastern Region for the U.S. Chamber of Commerce, who shared insights on Washington’s political landscape and priorities including tax reform, regulatory reform, and tariffs. Jim Whitney of the Whitney Companies also presented a proposal to transform the former Leominster landfill into a horse racing and entertainment complex.
STATE AFFAIRS
State Budget Process
The Chamber closely monitors the state budget process to protect business interests and identify opportunities and challenges for our regional economy. The House approved a $61.5 billion FY2026 budget on May 1, rejecting Governor Healey’s proposed tax increases while maintaining level funding for municipal aid. The Senate has now unveiled its competing budget with different priorities in education, housing, and healthcare funding. These variations are significant as they directly impact business costs, workforce development resources, and local economic conditions. Once Senate deliberations conclude, a Conference Committee will negotiate the final budget in June, with the Chamber advocating for provisions that support economic growth in North Central Massachusetts.
Legislative Briefing
In March, we convened our Annual Legislative Briefing with regional legislators to discuss our FY2025 priorities for small business support, tourism, education, and workforce development. The meeting showcased the Chamber’s past year accomplishments and provided updates on our One North Central Initiatives.
Housing
The Healey-Driscoll administration announced Massachusetts’ first comprehensive housing plan in February, targeting an increase of at least 222,000 housing units by 2035. The Devens Housing Production Working Group has been established to address our region’s housing needs, with a focus on the Devens Innovation and Technology Center area including Vicksburg Square. Chamber representatives have been attending their monthly public meetings. In April, Chamber staff were on hand as Governor Maura Healey toured a number of mixed-use developments in downtown Fitchburg, while announcing $18 million in Housing Development Incentive Program (HDIP) awards to create housing in six gateway cities across the state. Included in the awards is funding for two developments in downtown Fitchburg.
Energy
National Grid and Unitil customers received $50 bill credits in April following a Governor’s executive order that also includes initiatives to eliminate unnecessary charges, expand discount programs, and review existing energy programs. Despite federal policy shifts, Massachusetts continues advancing alternative energy initiatives. In February, Secretary Hao announced the state’s Climatetech Plan at WPI, where Chamber representatives participated in a roundtable discussion on the plan and economic development.
Community Leadership Institute State House Visit
Participants in the Chamber’s Community Leadership Institute pose with members of the region’s Legislative Delegation who engaged with the class throughout the day sharing the history of the legislature, and leading engaging discussions on policy and public service. The class also got the chance to interact with several cabinet members of the Healey-Driscoll Administration
In April, our Community Leadership Institute class participated in an immersive State House experience, including tours of both legislative chambers guided by Senator Cronin and Representatives Higgins, Kilcoyne, and Zlotnik. The class engaged with high-ranking officials including Secretary of State Bill Galvin, former Economic Development Secretary Yvonne Hao, Tourism Director Kate Fox, and former legislator Jen Flanagan during a leadership roundtable discussion.
State Elections
The 2026 Massachusetts gubernatorial race is taking shape with Governor Maura Healey announcing her reelection bid in February. Former Baker administration Secretary Mike Kennealy launched his Republican campaign in April, focusing on affordability, education, and migration issues. Other potential Republican candidates include former MBTA official Brian Shortsleeve, Worcester County Sheriff Lew Evangelidis, and executive and GOP mega-donor Michael Minogue. State Senator Peter Durant recently announced he will not pursue a gubernatorial run, choosing instead to focus on his current legislative responsibilities.
Citizens’ Legislative Seminar
Our Director of Public Affairs, Travis Condon, participated in the 89th Citizens’ Legislative Seminar at the State House after being nominated by Senator John Cronin. The two-day program covered legislative history, processes, budgeting, and included simulated hearings and Senate sessions.
LOCAL AFFAIRS
Sterling Zoning
Sterling’s town planner and Planning Board have developed updated zoning to enhance economic development, aligned with One North Central priorities. The Chamber has submitted testimony supporting three key changes to streamline permitting and double potential commercial space through updated performance zone regulations. These zoning changes will be presented at Sterling’s Annual Town Meeting on May 5.
Mayor’s Meetings
The Chamber continues productive engagement with regional mayors, recently meeting with Leominster Mayor Dean Mazzarella. We have a joint meeting scheduled in June with all three mayors from Leominster, Fitchburg, and Gardner.
Regional Advocacy
The Chamber continues to represent business interests across several key regional initiatives, ensuring your voice is heard in critical planning discussions. We’re actively involved in Fitchburg’s Blue/Green Downtown project, serve in leadership for the Montachusett Joint Transportation Committee, participate in the Regional Transportation Council, and monitor city council meetings in Fitchburg and Leominster. These efforts are essential to securing infrastructure improvements, influencing transportation priorities, and protecting tourism funding that directly impacts your business climate and regional economic development.
Government Affairs Committee
The Chamber’s Government Affairs Committee continues to hold hybrid meetings and will soon select a new chair following John DiNapoli’s retirement from Unitil in March.
STAY INFORMED AND ENGAGED
The Chamber’s advocacy work on federal, state, and local levels directly impacts your business environment. We continuously represent member interests in policy discussions to foster economic growth and reduce regulatory burdens. We encourage you to stay engaged with these important issues and share your feedback on how government policies affect your business.
For more information about any of these government affairs updates or to discuss specific policy concerns, please contact Travis Condon, Director of Public Affairs at 978.353.7600 or via email at .
Top Photo Caption: Chamber Member, Paul Tocci Jr., a previous Housing Development Incentive Program (HDIP) awardee, talks about the impact of the program and plans to build additional housing units in Fitchburg during Governor Maura Healey’s recent tour of downtown Fitchburg and announcement of this year’s HDIP awardees with state and local officials.
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