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Healey touts tax cuts, housing reforms, healthcare caps, and AI investment in 2025 State of the Commonwealth Address

BOSTON — Governor Maura Healey began her State of the Commonwealth Address on Jan. 16, 2025, by stating that her administration delivered the first tax cut in two decades.

“People want a more affordable state. So, we delivered the first tax cut in 20 years! We gave seniors back an extra $1000,” Gov. Healey said. “We’re giving families over $400 for each child. We now have the most generous child tax credit in the country: free breakfast and lunch in school and no-cost community college.”

Governor Healey then noted Massachusetts’ leadership in addressing the post-pandemic childcare crisis, stating, “After the pandemic, childcare across the country was collapsing and childcare centers were closing. So, we got to work, because our working parents depend on it. We were the only state to fully replace federal support that went away, with a $1.5 billion investment. We not only saved our system, but affordable childcare is growing in Massachusetts. Today 36,000 more children are getting care; and their parents can go to work and support their families.”

Governor Healey detailed her administration’s efforts to improve housing affordability and expand homeownership opportunities throughout the Commonwealth, stating, “We passed the Affordable Homes Act to create tens of thousands of affordable homes and new homeowners.” She highlighted that state programs have already increased housing production by 50%, resulting in 4,000 new homes and assisting 2,400 first-time homeowners in the past year alone.

Governor Maura Healey stands at a podium, addressing the audience during her State of the Commonwealth Address. She is flanked by officials seated on ornate chairs in a formal setting, with blue drapery and the Massachusetts state flag in the background.
Governor Maura Healey delivers her State of the Commonwealth Address, highlighting key initiatives in public transit, housing, healthcare, and artificial intelligence. (Photo credit: Mass.gov)

Governor Maura Healey outlined significant improvements to Massachusetts’ public transit system, crediting the leadership of new MBTA General Manager Phil Eng. She celebrated the end of slow zones, a milestone not achieved in over two decades, improving daily commutes across the region. “For the first time in over 20 years, the T is full speed, giving you time back in your life,” Healey declared, highlighting the efficiency gains under Eng’s stewardship. She added, “We also made regional bus systems from the Berkshires to Cape Ann fare-free. And for the first time in 70 years, this spring we will start South Coast Rail Commuter service to Taunton, Fall River, and New Bedford.”

Governor Maura Healey then addressed the challenges posed by the “massive influx” into the Commonwealth’s emergency shelter system, which she attributed to inadequate federal border control measures and a nationwide housing crisis. Healey said the state is committed to reducing the cost of the emergency shelter system and prioritizing Massachusetts families.

“In 2025 we’ll get families out of hotels for good,” Gov. Healey said. “We’re going to keep working with the legislature to reform this system. Massachusetts taxpayers should not, and cannot, continue to foot the cost. The federal government needs to fix this at the source, by passing a border security bill. They need to deport violent criminals. And immigrant families who have lived here, have children here, have jobs and pay taxes here, need and deserve a path forward. Congress and the new federal administration must act without delay.”

Governor Maura Healey highlighted a significant achievement in criminal justice reform, noting that her administration made history by pardoning hundreds of thousands of individuals with decades-old misdemeanor marijuana convictions. “It was the right thing to do,” she affirmed, emphasizing that the vitality of Massachusetts hinges on its people. Healey also addressed the previous trend of residents leaving the state, revealing that it has begun to reverse under her tenure. “Each year that we’ve been in office, fewer people have left. Last year, we had the biggest population increase since 1964. That’s a 60-year high!” she announced.

Governor Maura Healey outlined her administration’s plan to revamp the state’s transportation system without imposing new taxes, instead relying on strategic management. She announced a significant investment of $8 billion over the next decade to enhance transportation across Massachusetts and stabilize the financial foundation of the system, a stability missing for many years. “When we do this, you’ll see the results,” Healey promised. Key improvements will include the full reopening of the I-391 viaduct in Chicopee, repairs to local bridges like Commercial Street in East Weymouth, and increased funding for municipal road and sidewalk repairs. The plan also aims to eliminate the MBTA’s budget shortfall, enabling more frequent trains and buses, major station upgrades, and new platforms along the Commuter Rail, from Beverly Depot to West Medford to Franklin. “Bottom line, you’ll wait less, and you’ll move faster. And we’ll be a state where everybody gets where they need to go safely, affordably, sustainably, and on time,” she said.

Governor Maura Healey addressed the state’s housing crisis, acknowledging that the shortage of affordable homes is a result of decades of insufficient construction. “For decades, we didn’t build enough homes in this state. We’re paying the price for that, now,” Healey explained. With the Affordable Homes Act now in effect, she committed to groundbreaking efforts to increase housing, mentioning that 116 towns have embraced the MBTA Communities Law to build more homes near transit areas. “Thousands of new homes are in the pipeline,” she stated, urging continued momentum to ensure housing for families, seniors, and businesses.

Healey also addressed the financial burdens faced by renters, emphasizing the unfair costs associated with moving, such as first and last month’s rent, security deposits, and broker’s fees for services often unrequested. “The average renter has to pay 10 grand just to get a foot in the door,” she noted, proposing the abolition of tenant broker fees in Massachusetts. “It’s the right thing to do,” she asserted, outlining her commitment to making housing more accessible and affordable.

Governor Healey affirmed Massachusetts’ commitment to maintaining its top position in national education standards, emphasizing the state’s dedication to educational excellence for every student. “We are number one for education and we’re going to stay that way,” she said. Despite voters eliminating the MCAS graduation requirement, Healey recognized this as an opportunity to redefine what graduation signifies across the state. To ensure students graduate prepared, she announced the formation of the Statewide Graduation Requirement Council. This council, comprising teachers, colleges, employers, and students, will develop recommendations for a new, high standard of graduation requirements. Healey emphasized the goal of evolving to a “new Massachusetts model for high school excellence,” which will be paired with programs like Early College and job training to provide students with significant advantages in their future endeavors.

Governor Maura Healey highlighted Massachusetts’ status as a leader in healthcare, citing its top rankings in quality, coverage, and the healthiness of its population. “We are #1 because we have the best and hardest-working nurses, doctors, and healthcare professionals in the world,” Healey remarked, emphasizing the state’s ongoing initiatives to enhance healthcare access. Last year, these efforts enabled 60,000 residents to obtain affordable healthcare coverage, and expanded insurance now covers breast cancer screenings, midwives, doulas, birthing centers, and recovery coaches.

Governor Healey added that she has implemented cost caps on certain essential medications. “Last week, I signed a law that caps costs at $25 a month for insulin, inhalers, and much more,” she said, in an attempt to alleviate concerns about the affordability of medications for those with chronic conditions.

Healey also discussed the removal of Steward Health Care from Massachusetts, which preserved six hospitals and 13,000 jobs. “We also got a terrible company, Steward, out of Massachusetts and saved six hospitals and 13,000 jobs thanks to the tireless work of so many, including our Health & Human Services Secretary Kate Walsh,” she stated.

Governor Maura Healey then acknowledged the rising costs of premiums and out-of-pocket expenses for patients, coupled with the difficulty of securing medical appointments. “It’s really frustrating. It’s also unacceptable. It has to change,” Healey stated In response, she announced a directive for her administration to prioritize healthcare resources towards primary care. The plan includes driving career training pipelines to expand the healthcare workforce. “I want a whole army of primary care providers out there, so when you call for an appointment, you’ll get one. You’ll get the affordable care you need, where and when you need it,” she said.

Governor Maura Healey outlined her vision for Massachusetts to lead in the rapidly advancing field of artificial intelligence, comparing its current potential to the early days of the internet. “A.I. is where the internet was 30 years ago, and it’s going to change everything,” Healey stated, emphasizing the state’s role in pioneering A.I. science. She announced a $100 million A.I. Hub to support scientists and startups driving innovation, as well as a data center in Holyoke to enable cutting-edge research for universities and businesses. “We have put Massachusetts on the A.I. map, and our students, workers, and businesses will lead,” she declared.

Healey also reaffirmed the state’s commitment to clean energy, highlighting the benefits of the recently passed climate law, which accelerates infrastructure permitting to deliver energy faster. “This is a big deal! It means cheaper energy, cleaner energy, and energy independence,” she said, thanking the workers and labor leaders who will make it happen. She stressed the importance of securing reliable power for new homes, labs, data centers, and manufacturing plants, ensuring Massachusetts remains at the forefront of innovation and sustainability.

To read the script of the entire address, go here.

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