State government, through its policies and legislation, can shape an environment in which a strong and vibrant economy can thrive: where businesses can recognize opportunities for growth and success; where individuals have confidence they can attain financial health and wellbeing for themselves and their families; and where cities and towns have the resources to provide critical services to residents and businesses.

Fundamental economic forces are far beyond the control of any one state, and no one policy or single piece of legislation can ensure a strong economy at all times.  But we can create a positive economic climate that enables competitiveness and fosters economic health through policies that provide a world-class education, address our energy, infrastructure and health care needs, that protect our environment, and that support our most vulnerable residents.

Jobs drive the economy.  We must attract good jobs to the state, and research tells us over and over that the quality of our education, good job training, a modernized and efficient infrastructure and regulations that are fair and easy to navigate have the most impact on attracting businesses to a state and enabling existing businesses to grow. Far more than tax incentives to specific business sectors, the investment we make in education and in our infrastructure, including energy efficiencies that will hold down rising utilities costs, will pay off in more and better jobs for our residents. These are smart business investments. We can and should make these investments and our legislation should reflect these realities.

We must also, as a commonwealth, provide protections for our most vulnerable residents especially during times of economic strain. Nobody should have to choose between staying warm, seeing a doctor, having enough to eat, keeping their home, or paying for needed medications. Keeping health care costs down, lowering energy costs, finding ways for people to access some of their assets without giving up their homes, and instituting progressive tax reform are ways we can provide these protections in a financially responsible way. 

Helping our cities and towns control costs and provide crucial services is another key piece of the economic puzzle.  The Green Communities Act passed recently by the Legislature provides loans and grants to municipalities to finance the cost of energy efficient improvement; it is an example of good legislation that will save communities money while also helping us address environmental challenges.

The study to examine the feasibility of expanding municipally owned utilities is another example of smart legislation; towns with a municipal utility have been able to hold electricity costs, for both residents and businesses, far below those in other communities.

Our cities and towns need help in better controlling health care costs. Municipal employees have to share in the costs of providing quality healthcare but a mechanism must exist that will protect them from extraordinary out-of-pocket costs. The GIC, Group Purchasing Agreements and other collaborative initiatives are a few alternative methods communities could take advantage of to provide quality health care coverage at a reduced cost.

We must give cities and towns additional revenue tools to reduce our over-reliance on residential property taxes.  We must close the loophole that exempts telephone companies from paying an estimated $78 million in local property taxes on telephone poles and equipment, and we should allow cities and towns to decide if it’s right for them to impose a small local meals tax and increase the hotel tax at the local level.

State government can shape an environment in which a strong and vibrant economy can thrive. Through smart legislation and shared commitment we can create a positive economic climate where we all share in the wealth and wellbeing it has to offer.