TRANSPORTATION FACILITIES, HIGHWAY SYSTEMS AND URBAN DEVELOPMENT PLANS

M.G.L. pt. Part I, tit. Title XXII, ch. c. 161B

in effect

M.G.L. c. 161B, § 1 Definitions

c. 161B, § 1. Definitions Section 1. Wherever used in this chapter, unless the context otherwise requires, the following words or terms shall have the following meanings: ''Authority'', an authority established by section three or section fourteen. ''Council'', the regional transit authority council established in section 27. ''Department'', the mass transit transit division within the department of transportation. ''Equipment'', all rolling stock, and other conveyances, vehicles, rails, signal and control systems, lighting and power distribution systems, fences, station equipment, fare collection equipment, incidental apparatus and other tangible personal property, whether or not affixed to realty, required or convenient for the mass movement of persons. ''Fiscal year'', the year beginning with July first and ending with the following June thirtieth. ''Mass transportation facilities'', all real property, including land, improvements, terminals, stations, garages, yards, shops, and structures appurtenant thereto, and all easements, air rights, licenses, permits and franchises, used in connection with the mass movement of persons. ''Net cost of service'', the difference between (a) all income received by the authority, including but not limited to revenues and receipts from operations, advertising, parking, sale of capital assets in the ordinary course of business, and gifts and grants for current purposes, and (b) all current expenses incurred by the authority, including but not limited to expenses for operations, wages, contracts for service by others, maintenance, debt service, including any debts, liabilities and obligations assumed under the provisions of law and including any applicable sinking fund requirements, taxes and rentals, payments into a reserve account established pursuant to the provisions of paragraph (q) of section six, and all other expenses which the authority determines not to capitalize, when such expenses exceed such income. Expenditures from the proceeds of bonds or bond anticipation notes shall not be included in current expenses. ''Net saving'', any excess of the income items included in the definition of the net cost of service over the expense items included in that computation. ''Secretary'', the adminstrator of transportation for mass transit within the department of transportation.

M.G.L. c. 161B, § 2 Transit authorities authorized; territories; powers, duties and liabilities

c. 161B, § 2. Transit authorities authorized; territories; powers, duties and liabilities Section 2. The territory within and the inhabitants of each of the following groups of cities and towns may, upon compliance with section fourteen, become a body politic and corporate and a political subdivision of the commonwealth under the name preceding each group. Southeastern Regional Transit Authority. The cities of New Bedford and Fall River, and the towns of Westport, Acushnet, Dartmouth, Fairhaven, Freetown, Somerset and Swansea; Greater Attleboro–Taunton Regional Transit Authority. The cities of Attleboro and Taunton and the towns of North Attleborough, Rehoboth, Seekonk, Mansfield, Norton, Raynham, Berkley and Dighton; Brockton Regional Transit Authority. The city of Brockton and the towns of Abington, Avon, Bridgewater, East Bridgewater, Easton, Hanson, Stoughton, West Bridgewater and Whitman; Montachusetts Regional Transit Authority. The cities of Gradner, Fitchburg and Leominster, and the towns of Lunenburg and Westminster; Merrimac Valley Regional Transit Authority. The cities of Lawrence and Haverhill and the towns of Andover, Groveland, Merrimac, Methuen and North Andover; Lowell Regional Transit Authority. The city of Lowell and the towns of Billerica, Chelmsford, Dracut, Tewksbury, Tyngsboro and Westford; Berkshire Regional Transit Authority. The city of Pittsfield and the towns of Dalton, Lanesborough, Lee, Lenox, Hindsdale and Richmond; ''The Pioneer Valley Transit Authority''. The cities of Chicopee, Holyoke, Northampton, Springfield, Westfield, and the towns of Agawam, East Longmeadow, Easthampton, Hadley, Longmeadow, Ludlow, South Hadley, West Springfield, Wilbraham and Amherst; Worcester Regional Transit Authority. The city of Worcester and the towns of Auburn, Boylston, Grafton, Holden, Leicester, Millbury, Paxton, Shrewsbury and West Boylston; Cape Cod Regional Transit Authority. The towns of Barnstable, Bourne, Brewster, Chatham, Dennis, Eastham, Falmouth, Harwich, Mashpee, Orleans, Provincetown, Sandwich, Truro, Wellfleet and Yarmouth. An authority established under the provisions of section three or section fourteen shall have the power to hold property, to sue and be sued in law and equity and to prosecute and defend in all actions relating to its property and affairs. Each authority shall be liable for its debts and obligations, but the property of an authority shall not be subject to attachment or levied upon by execution or otherwise. Process may be served upon the administrator of an authority or his designee. Section three of chapter twelve shall not apply to the authorities established under this chapter.

M.G.L. c. 161B, § 3 Creation of regional transit authorities; name; notice to governor; appointment of administrator; powers, duties, etc.; joinder of contiguous territory; membership in additional authority

c. 161B, § 3. Creation of regional transit authorities; name; notice to governor; appointment of administrator; powers, duties, etc.; joinder of contiguous territory; membership in additional authority Section 3. Any city or town, or group or combination of cities or towns, other than a city or town included in the Massachusetts Bay Transportation Authority in which the Authority operates a fixed bus service, may, upon compliance with this section and with the approval of a city manager in the case of a city under a Plan E form of government, the mayor and city council in the case of all other cities, or the board of selectmen in the case of a town, be made into a body politic and corporate and a political subdivision of the commonwealth under the name of the municipality within the new authority having the greatest population, or under any other appropriate regional name agreed to by a majority of the member municipalities, and followed by the words ''Transit Authority''. Any such authority shall be deemed to be established upon written notification to the governor that the member municipalities have voted to establish a regional transit authority. Having so notified the governor, the advisory board established pursuant to section five shall proceed to appoint an administrator in accordance with section four. Once established, each such authority shall have the same powers, limitations, duties and organization as an authority established pursuant to section fourteen and shall in all respects be subject to the provisions of this chapter, except section fourteen, as if it were an authority so established. Any city or town, or group or combination of cities or towns, other than a city or town included in the Massachusetts Bay Transportation Authority in which the Authority operates fixed route bus service may, with the approval of a city manager in the case of a city under a Plan E form of government, the mayor and city council in the case of all other cities or the board of selectmen in the case of a town and subject to the approval of the advisory board to a regional transit authority, join an authority which is not separated from the city or town or group or combination of cities and towns by more than 1 other municipality. Notwithstanding any general or special law to the contrary, a city or town that is a member of an authority may, with the approval of the city manager in the case of a city under a Plan E form of government, the mayor and city council in the case of all other cities or the board of selectmen in the case of a town, join an additional authority, subject to the approval of the advisory board of the additional authority and provided that the city or town adjoins a city or town that is a member of the additional authority.

M.G.L. c. 161B, § 4 Administrator; appointment; tenure; salary; bond

c. 161B, § 4. Administrator; appointment; tenure; salary; bond Section 4. The affairs of an authority shall be managed by an administrator who shall be appointed by and serve at the pleasure of the advisory board of the authority established pursuant to section five; provided, however, that the administrator shall not be appointed until after the board has provided the notification required by clause (c) of section fourteen; and provided, further, that the administrator shall not hold any elective office, except that of town meeting member, in any city or town within the jurisdiction of such authority. The administrator shall be the chief executive officer of the authority and shall receive such annual salary as shall be determined by said advisory board. Upon his appointment, the administrator shall give the state treasurer a bond for the faithful performance of his official duties in such penal sum and with such sureties as may be approved by the advisory board.

M.G.L. c. 161B, § 5 Advisory board; members; vote; executive committee; meetings; expenses

c. 161B, § 5. Advisory board; members; vote; executive committee; meetings; expenses Section 5. There shall be an advisory board to each authority consisting of the city manager, in the case of a Plan D or Plan E city, or the mayor of each other city, and the chairman of the board of selectmen of each town having such board, or the town manager or town administrator of each other town. Each mayor or city manager and each chairman, may, by writing filed with the authority, from time to time appoint a designee to act for him on the advisory board. Each city and town shall have one vote on the advisory board plus additional votes and fractions thereof determined by multiplying one and one half times the total number of cities and towns in the authority by a fraction of which the numerator shall be the total amount of all assessments made by the state treasurer to such city or town under this chapter and the denominator shall be the total amount of all such assessments made by the state treasurer to such cities and towns. The total vote of each city and town shall each year be determined by the authority and delivered in writing to the advisory board thirty days after the state treasurer has sent his warrants for payments to the cities and towns. The determination of votes shall be based upon the most recent annual assessment. Until the first such assessment, the fraction specified above shall be replaced by a fraction of which the numerator shall be the population of each such city or town and the denominator shall be the total population of all cities and towns in the authority. Population data shall be determined in accordance with the latest decennial census made by the United States Department of Commerce. One representative of the disabled commuter population shall serve on the advisory board as a voting member for a term of 1 year. Each city and town in the region, on a rotating basis as determined by the board, shall appoint a representative successively; provided, however, that the representative of the disabled commuter population and the representative of the rider community shall not be appointed by the same city or town in the region. The mayor or city manager and the chairman, town manager or town administrator shall appoint a resident of the city or town for this purpose. This representative shall be mobility impaired, have a family member who is mobility impaired, be a caretaker of a person who is mobility impaired or work for an organization that serves the needs of the physically disabled. The representative of a city or town may be reappointed after representatives from the other cities and towns within the region have served their 1–year terms. One representative of the rider community population shall serve on the advisory board as a voting member for a term of 1 year. Each city and town in the region, on a rotating basis as determined by the board, shall appoint a representative successively; provided, however, that the representative of the disabled commuter population and the representative of the rider community shall not be appointed by the same city or town in the region. The mayor or city manager and the chairman, town manager or town administrator shall appoint a community rider for this purpose from a list of at least 5 persons nominated by the Massachusetts AFL–CIO and its regional councils. The representative of a city or town may be reappointed after representatives from the other cities and towns within the region have served their 1–year terms. The advisory board shall act by majority vote, except that it may delegate its power of approval to an executive committee formed and elected pursuant to duly adopted by-laws of the board and constituting among its members at least a majority of the total vote of the board, and may, at any time, revoke such delegation. Until the board has adopted by-laws and elected officers, the mayor or city manager of the city having the largest population or in the case of an authority composed entirely of towns, the selectmen of the town having the largest population within the area constituting the authority may call meetings of the advisory board by sending notice to each other mayor or city manager and chairman and shall preside at such meetings. The advisory board may incur expenses, not to exceed ten thousand dollars annually, for stenographic and clerical work, and such expenses shall be paid by the authority.

M.G.L. c. 161B, § 6 Powers of authority

c. 161B, § 6. Powers of authority Section 6. In addition to all power otherwise granted to an authority by law, the authority shall have the following powers, in each case to be exercised by the administrator of the authority unless otherwise specifically provided:— (a) to adopt and use a corporate seal and designate the custodian thereof; (b) to establish within its area a principal office and such other offices as may be deemed necessary; (c) to hold and manage the mass transportation facilities and equipment acquired by the authority; (d) to appoint and employ officers, agents and employees to serve at the pleasure of the administrator except as may otherwise be provided in collective bargaining agreements, and to fix their compensation and conditions of employment provided, however, no person employed as administrative or staff personnel shall hold any elective office, except that of town meeting member, in any city or town within the jurisdiction of such authority; provided, further, that for policies of group life insurance and accidental death and dismemberment insurance, and group health insurance purchased by such authority, all active employees and their dependents of such authority shall contribute to the total monthly premium or rate applicable to said coverages at not less than the current employee share of monthly premium or rate established pursuant to the provisions of section eight of chapter thirty-two A; (e) to make, and from time to time revise and repeal, by-laws, rules, regulations, and resolutions, and to establish penalties for violation thereof, not to exceed fifty dollars; (f) to enter into agreements with other parties, including, without limiting the generality of the foregoing, government agencies, municipalities, authorities, private transportation companies, railroads, corporations and other concerns, providing (i) for construction, operation and use by such other party of any mass transportation facility and equipment; or (ii) for the acquisition of any mass transportation facility and equipment of another party where the whole or any part of the operations of such other party takes place within the area constituting the authority. Any such other party is hereby given power and authority to enter into any such agreements, subject to such provisions of law as may be applicable. Any agreement with a private company under any provision of this chapter which provides for the rendering of transportation service by such company and for financial assistance to such company by subsidy, lease or otherwise, shall include such standards for such service as the authority may deem appropriate and shall not bind the authority for a period of longer than one year from its effective date, but this shall not prohibit agreements for longer than one year if the authority's obligations thereunder are subject to annual renewal or annual cancellation by the authority for just cause or lack of sufficient appropriation. Such agreements may provide for cash payments for services rendered, but not more than will permit any private company a reasonable return. (g) to establish at or near its terminals and stations such off-street parking facilities and access roads as may be deemed necessary and desirable. The authority may charge such fees for the use of off-street facilities as it may deem desirable, or it may allow the use of such facilities free. (h) to accept gifts, grants, and loans from agencies of local, state, and federal governments, or from private agencies or persons, and to accede to such conditions and obligations as may be imposed as a prerequisite to any such gift, grant, or loan. (i) to provide mass transportation service on an exclusive basis, except as provided in paragraph (j) of section eight in the area constituting the authority and without being subject to the jurisdiction and control of the department of telecommunications and energy in any manner except as to safety of equipment and operations; provided that schedules and routes shall not be considered matters of safety subject to the jurisdiction and control of said department. Nothing contained in this paragraph shall be construed as exempting any privately owned or controlled carrier, whether operating independently, or under contract with the authority, from obtaining any license required under section one of chapter one hundred and fifty-nine A. (j) to provide mass transportation service under a contract in areas outside the area constituting the authority but only pursuant to an agreement with another transportation authority or transportation area or a municipality for service between the area of the authority and that of such other authority, area or municipality, where no private company is otherwise providing such service. (k) to provide for construction, extension, modification or improvement of the mass transportation facilities and equipment in the area constituting the authority; provided, that any such construction, extension, modification or improvement shall be subject to the approval of the advisory board, unless specifically authorized by legislation. (l) to conduct research, surveys, experimentation, evaluation, design, and development, in cooperation with other government agencies and private organizations when appropriate, with regard to the mass transportation needs of the area, and to the facilities, equipment, and services necessary to meet such needs. (m) to grant such easements over any real property held by the authority as will not in the judgment of the authority unduly interfere with the operation of any of its mass transportation facilities. (n) to sell, lease, or otherwise contract for advertising in or on the facilities of the authority. (o) to issue bonds, notes and other evidences of indebtedness as hereinafter provided. (p) consistent with the constitution and laws of the commonwealth, the authority shall have such other powers, including the power to buy, sell, lease, pledge and otherwise deal with its real and personal property, as may be necessary for or incident to carrying out the foregoing powers and the accomplishment of the purpose of this chapter. (q) to establish a reserve account for the purpose of meeting the cost of extraordinary expenses of the authority. The account shall consist of annual payments made by the authority into said account in an amount not to exceed three percent of the prior year's local assessment. Any balance remaining in said account at the end of each fiscal year of the authority shall be carried forward into the next fiscal year; provided, however, the aggregate amount of said account shall not exceed twenty percent of the prior year's local assessment at any time during any fiscal year of the authority. Any expenditure made by an authority pursuant to this paragraph for extraordinary expenses shall be subject to the approval of the secretary. The secretary shall issue guidelines to each authority establishing the type of extraordinary expenses said account may be used for and detailing the procedures for the approval process for said expenditures. (r) to apply for and receive a license to engage in the business of giving instruction for hire in the operation of commercial motor vehicles under section 32G of chapter 90 designed to promote participation from low income, underemployed and unemployed persons.

M.G.L. c. 161B, § 6A Complementary transportation required pursuant to the Americans with Disabilities Act; reimbursement of fare; collection of ridership data; promulgation of regulations

c. 161B, § 6A. Complementary transportation required pursuant to the Americans with Disabilities Act; reimbursement of fare; collection of ridership data; promulgation of regulations [ Text of section added by 2025, 9, Sec. 52 effective July 1, 2025. See 2025, 9, Sec. 138.] Section 6A. (a) Notwithstanding any general or special law to the contrary, an authority established pursuant to this chapter shall not, subject to appropriation, charge passenger fare for a trip on regularly scheduled fixed route service, or for a trip on complementary paratransit service that an authority is required to provide pursuant to the Americans with Disabilities Act, 42 U.S.C. 12143. The Massachusetts Department of Transportation shall, subject to appropriation, reimburse an authority for lost fare revenue attributable to providing fare-free service pursuant to this section. (b) An authority shall collect and report ridership data to the Massachusetts Department of Transportation in such form and with such frequency as the department may prescribe. (c) The Massachusetts Department of Transportation may promulgate regulations to implement this section.

M.G.L. c. 161B, § 7 Separate units of mass transportation facilities and equipment; authorization; unit lease arrangements; financing; bonds

c. 161B, § 7. Separate units of mass transportation facilities and equipment; authorization; unit lease arrangements; financing; bonds Section 7. In addition to the powers granted to the authority under section six and all other powers granted by law, the authority shall have the power to establish on a self-liquidating basis one or more separate units of mass transportation facilities and equipment. In establishing such separate units, the authority may enter into one or more unit lease arrangements with such persons, firms and corporations as the authority shall select and franchise. Each such unit lease arrangement shall provide for the following: (i) acquisition by the authority of real property, including easements and rights of way, necessary or desirable for the operation of such units of mass transportation facilities and equipment, parking and other related auxiliary services and facilities; (ii) design, construction and acquisition of mass transportation facilities and equipment; (iii) operation of the mass transportation facilities and equipment so designed, constructed and acquired by a lessee of said facilities and equipment (1) for a period not in excess of forty years, (2) at a rental or lease charge at least sufficient to discharge the authority's financial obligations incurred in connection with said unit of facilities and equipment under the authority's powers, and (3) upon such provisions and conditions as to fares and other matters relating to the conduct and operation of said mass transportation facilities and equipment as the authority and lessee shall agree; and (iv) power in the authority to cancel or terminate said unit lease arrangement at stated times which shall not be less frequent than once in each fiscal year. To meet the expenditures necessary in carrying out the provisions of this section, the authority may issue bonds in accordance with the provisions of clause (2) of the first paragraph of section nineteen and such bonds shall provide, in addition to other provisions allowed under this chapter, that all payments of principal and interest shall be made solely from (i) the rental or lease charges received by the authority under its lease with the lessee of mass transportation facilities and equipment as aforesaid, which said lease may be assigned by the authority to secure the obligations of said bonds; or (ii) in the event the authority terminates said lease from the income derived from operation of said mass transportation facilities and equipment.

M.G.L. c. 161B, § 8 Limitations, conditions, obligations and duties of authority

c. 161B, § 8. Limitations, conditions, obligations and duties of authority Section 8. An authority shall be subject to the following limitations, conditions, obligations and duties:— (a) The authority shall have the duty to develop, finance and contract for the operation of mass transportation facilities and equipment in the public interest consistent with the purposes and provisions of this chapter, and to achieve maximum effectiveness in complementing other forms of transportation in order to promote the general economic and social well-being of the area and of the commonwealth. (b) No real estate shall be sold unless notice thereof shall have been given to the advisory board not less than thirty days prior to the date of sale and unless the sale shall have been advertised once a week for three successive weeks prior to the date of sale in a newspaper of general circulation in the city or town in which the real property to be sold is located, such real property shall be sold to the highest bidder. (c) Any concession in or lease of property for a term of more than one year shall be awarded to the highest bidder therefor unless the authority shall find, subject to the approval of the advisory board, that sound reasons in the public interest require otherwise. (d) No change in fares shall be effective unless submitted to the advisory board and approved by it. (e) No substantial change in mass transportation service in the region constituting the authority shall be made unless notice thereof shall have been given to the advisory board at least thirty days prior to the change, and approved by said board. (f) The authority shall in consultation with the department prepare and annually revise its program for public mass transportation which shall include a long-range program for the construction, reconstruction or alteration of facilities for mass transportation of persons within the area constituting the authority together with a schedule for the implementation of such program and comprehensive financial estimates of costs and revenues. Such program, whether prepared by the authority directly, jointly or under contract with the areawide planning agency, shall be performed in accordance with any agreements that may exist between the department, the authority, and the areawide planning agency officially established or designated to carry out areawide, comprehensive planning on a continuing and cooperative basis for the region in which the transportation authority is principally located. Such mass transportation program shall be consistent with the plans for urban transportation and comprehensive development for the regional area and, so far as practicable, shall meet the criteria established by any federal law authorizing federal assistance to preserve, maintain, assist, improve, extend or build local, metropolitan or regional mass transportation facilities or systems. In addition to the contracts and agreements authorized in paragraph (f) of section six, the authority may enter into contracts or agreements with any such areawide planning agency or, if the authority determines that an agreement with such agency is not practicable, then with any other public or private party for the provision of planning services. Such services may include, but are not limited to the following: feasibility and need studies, transportation planning, family and business relocation planning, and such other planning services that the authority may require. (g) The authority shall on or before October 1 of each year deliver to the chief financial and accounting officer of the department of transportation, the secretary of administration and finance, the state treasurer, the state comptroller, the regional advisory board, the house committee on ways and means, the senate committee on ways and means, the joint committee on transportation, the clerk of the senate and the clerk of the house of representatives a report of its operations for the preceding fiscal year, including a description of organization for the authority, its comprehensive program for mass transportation as most recently revised and its audited financial statements for the most recently completed fiscal year. The financial statements shall be audited in accordance with generally accepted auditing standards and government auditing standards issued by the Comptroller General of the United States. The financial statements shall include the opinion of the independent auditor thereon. (h) All current expenses of the authority shall be in accordance with an annual budget prepared by the administrator and submitted to the advisory board no later than April first of each year for the ensuing fiscal year. On or before June first the advisory board shall approve said budget as submitted or subject it to such itemized reductions therein as the advisory board shall deem appropriate. (i) Any agreement entered into by an authority with a contiguous municipality outside of the area of such authority for service to such municipality through an agreement with a private company, shall provide for reimbursement by such municipality to an authority only for the additional expense of such service as determined by the authority. Such agreements may be for such terms, not exceeding five years, as the parties may determine, except as provided in paragraph (f) of section six. They shall not be subject to the provisions of section four of chapter forty or section thirty-one of chapter forty-four. Municipalities may appropriate from taxes or from any available funds to meet their obligations under any such contracts. (j) Any private company lawfully providing mass transportation service in the area constituting the authority at the commencement of operations by the authority may continue so to operate the same route or routes and levels of service as theretofore, and may conduct such further operations, without a contract, as the authority subject to the approval of the department of telecommunications and energy may permit. (k) As a condition of any assistance to a private carrier operating under lease, contract, or other arrangement with the Authority, the rights, benefits, and other employee protective conditions and remedies of the Urban Mass Transportation Act of 1964, as amended (P.L. 88–365) as determined by the Secretary of Labor, shall apply for the protection of the employees affected by such assistance. Pursuant to said Urban Mass Transportation Act, the terms and conditions of a fair and equitable employee protective arrangement pursuant to this paragraph shall be a proper subject of collective bargaining and arbitration with the labor organizations that represent such employees. Such protective arrangement shall include, without limitation, provisions for the continuing employment or reemployment of those employees who are, or may be, displaced or otherwise affected by such assistance, paid training and re-training programs, preservation of all employment and retirement rights and interest, and any other protections which are necessary or appropriate to minimize the injury to such persons, provided, however, that any such protection shall not be detrimental to the employment or retirement rights and interests of any other persons affected by such assistance. The contract, lease, or other arrangement for the granting of any such assistance to a private carrier shall specify the terms and conditions of, the protective arrangements. (l) The Massachusetts Department of Transportation may require each regional transit authority to provide data on ridership, customer service, asset management and financial performance and shall annually compile collected data into an annual report on the performance of regional transit authorities. The report shall be filed with the clerks of the senate and house of representatives, the senate and house committees on ways and means and the joint committee on transportation not later than December 31.

M.G.L. c. 161B, § 9 Payment of net cost of service by state; assessment upon cities and towns in territory of transit authority

c. 161B, § 9. Payment of net cost of service by state; assessment upon cities and towns in territory of transit authority Section 9. If in any year the commonwealth shall be called upon to pay any amount on account of the net cost of service of any regional transit authority except the Cape Cod Regional Transit Authority, unless said authority elects not to assess costs as provided in section nine A, the total amount of such net cost of service shall be assessed upon the cities and towns which are members of such authority in the proportion which the loss attributable to each route in each such city or town bears to the loss attributable to all such routes in all such cities and towns. The loss attributable to each such route in each such city or town shall be determined on the basis of the difference between the revenues collected from such route in such city or town and the cost of providing such route therein. Such determination shall be made by such authority in accordance with sound accounting practice and guidelines developed in consultation with the department. Amounts assessed under this section shall be the most recently audited regional transit authority assessment available on January 1 of each year and shall be used to calculate the upcoming fiscal year's estimated cherry sheet assessments.

M.G.L. c. 161B, § 9A Cape Cod Regional Transit Authority; assessment upon member cities and towns

c. 161B, § 9A. Cape Cod Regional Transit Authority; assessment upon member cities and towns Section 9A. If in any year the commonwealth shall be called upon to pay any amount on account of the net cost of service of the Cape Cod Regional Transit Authority, the total amount of such net cost of service may be assessed in whole or in part upon the cities and towns which are members of such Authority on the basis of the total passenger miles and the number of trips attributable to the residents of cities and towns within said Authority. Any such assessment formula shall be subject to the approval of the secretary and the advisory board of the Authority. Such determination shall be made by said Authority in accordance with sound accounting practice and guidelines developed in consultation with the department. Amounts assessed under this section shall be the most recently audited regional transit authority assessment available on January 1 of each year and shall be used to calculate the upcoming fiscal year's estimated cherry sheet assessments.

M.G.L. c. 161B, § 10 Year with net cost of service; payment by state; financing; notes; assessments on cities and towns constituting authority; year with excess; disposition of funds

c. 161B, § 10. Year with net cost of service; payment by state; financing; notes; assessments on cities and towns constituting authority; year with excess; disposition of funds Section 10. If as of the last day of June in any year there was any net cost of service, an authority shall notify the state treasurer of the amount of such net cost of service and all other facts required by the treasurer in order to proceed in accordance with the provisions of this chapter to assess such net cost. Upon notification of the amount of such net cost the commonwealth shall pay over to the authority said amount. The state treasurer may borrow, from time to time, on the credit of the commonwealth such amounts as may be necessary to make payments required of the commonwealth under this section or under section eleven and to pay any interest or other charges incurred in borrowing such money, and may issue notes of the commonwealth therefor, bearing interest payable at such times and at such rates as shall be fixed by him. Such interest and other charges shall be included in the assessments under this chapter in proportion to the respective assessments on the cities and towns constituting the authority for the net cost of service of the period to which any such payment relates. No note issued under this paragraph shall mature more than two years from its date but notes payable earlier may be refunded one or more times, provided that no refunding note shall mature more than two years from the date of the original loan being refunded. Such notes shall be issued for such maximum term of years, not exceeding two years, as the governor may recommend to the general court in accordance with Section three of Article LXII of the Amendments to the Constitution of the Commonwealth. Pending any payment from the state treasurer to the authority and at any other time when the authority in the opinion of the administrator has not sufficient cash to make the payments required of it in the course of its duties as such payments become due, the authority may temporarily borrow money and issue notes of the authority therefor. If at any time any principal or interest is due or about to come due on any note issued by the authority pursuant to this section and funds to pay the same are not available, the administrator shall certify to the state treasurer the amount required to meet the obligation and the commonwealth shall thereupon pay over to the authority that amount. If the commonwealth shall not make the payment within a reasonable time, the authority or any holder of an unpaid note issued by the authority pursuant to this section, acting in the name and on behalf of the authority, shall have the right to require the commonwealth to pay the authority the amount remaining unpaid, which right shall be enforceable as a claim against the commonwealth. The authority or any holder of an unpaid note issued pursuant to this section may file a petition in the superior court to enforce a claim or intervene in any proceeding already commenced to enforce such a claim. Chapter 258 shall apply to the petition insofar as it relates to the enforcement of a claim against the commonwealth. Any holder of an unpaid note who shall have filed such a petition may apply for an order of the court requiring the authority to apply funds received by the authority on its claim against the commonwealth to the payment of the holder's unpaid note, and, if the court finds such amount to be due to the holder, shall issue the order. All assessments made under this chapter shall be made as provided in section twenty of chapter fifty-nine. If in any year the income received by the authority, including but not limited to revenues from leasing, advertising, parking, sale of capital assets, gifts and grants, exceeds the expenses incurred by the authority, including but not limited to expenses for wages, contracts for service by others, maintenance, debt service, taxes, rentals, payments to any governmental body and all other costs, the authority shall determine the amount of such excess. Such excess shall be placed in a reserve fund up to such amount as shall be determined by the authority with the approval of the advisory board. Any amount of excess not placed in such reserve fund shall be applied to reimbursing the commonwealth for any amounts which it may have paid under the provisions of this section, and the commonwealth shall thereupon distribute the amounts so received among the cities and towns constituting the authority up to the amounts which they were respectively assessed in the previous fiscal year. All remaining amounts in excess shall be so distributed up to the amounts assessed in each fiscal year immediately preceding, commencing with the most recent such year.

M.G.L. c. 161B, § 11 Repealed, 2002, 184, Sec. 107

M.G.L. c. 161B, § 12 Audit; report; provision of copies to committee chairs

c. 161B, § 12. Audit; report; provision of copies to committee chairs Section 12. The state auditor shall make an audit of the accounts of each authority, in accordance with generally accepted government auditing standards, once every 3 years and as often as the state auditor determines is necessary and make a report thereon to the secretary, the governor and the general court. In making such audits, said auditor may call upon any of the departments, commissions, officers and agencies of the commonwealth for such information as may be needed in the course of making such audits. The state auditor may employ such auditors, accountants and other assistants as he deems necessary for carrying out his duties under this section, and chapter thirty-one and the rules made thereunder shall not apply to such employees. The commonwealth shall be reimbursed by the authority for the cost of the audit. A copy of each biennial audit shall be provided to the chairs of the senate and house committees on ways and means and the senate and house chairs of the joint committee on bonding, capital expenditures and state assets.

M.G.L. c. 161B, § 13 Exemptions from taxation and license fees

c. 161B, § 13. Exemptions from taxation and license fees Section 13. An authority and all its real and personal property shall be exempt from taxation and from betterments and special assessments; and an authority shall not be required to pay any tax, excise or assessment to or for the commonwealth or any of its political subdivisions; nor shall an authority be required to pay any fee or charge for any permit or license issued to it by the commonwealth, by any department, board or officer thereof, or by any political subdivision of the commonwealth, or by any department, board or officer of such political subdivision. Bonds and notes issued by an authority, their transfer and the income therefrom, including any profit made on the sale thereof, shall at all times be free from taxation within the commonwealth.

M.G.L. c. 161B, § 14 Establishment of authorities by vote of advisory board; nonparticipation by city or town; later joining

c. 161B, § 14. Establishment of authorities by vote of advisory board; nonparticipation by city or town; later joining Section 14. An authority described in section two of this chapter shall be deemed to be established (a) after twenty per cent of the votes on the advisory board have recorded themselves in favor of calling a meeting to vote on the establishment of the authority, (b) notice of the meeting has been sent by a member municipality of the authority to every other member municipality at least two weeks prior to said meeting and (c) the advisory board has sent the governor written notification that the advisory board has voted to establish the authority; provided that such notification shall not be given except after a majority of municipalities have voted to establish the authority. The membership of the authority upon its establishment as provided in this section shall consist of those cities and towns which affirmatively vote for the formation of the authority as provided in the first paragraph. Nothing contained in this section shall prevent any city or town, including a city or town which did not vote for the formation of the authority under the first paragraph from joining an authority subsequent to the formation thereof.

M.G.L. c. 161B, § 15 City or town assessed for net cost of service; ballot question upon continuation of membership; votes

c. 161B, § 15. City or town assessed for net cost of service; ballot question upon continuation of membership; votes Section 15. Any city or town which is a member of an authority may place upon the official ballot at any biennial or regular or special city election or annual or special town election the following question: ''Shall this (city, town) continue to be a member of the (name) (name) Regional Transit Authority?'' Such question shall not be placed upon the official ballot unless the city council or town meeting shall have voted that such question be so placed, or a petition signed by not less than five per cent of the registered voters of the city or town, certified as such by the registrars of voters thereof, shall have been filed with the city or town clerk, at least sixty days before the date for any such election. Forms for such petitions shall be made available without cost by the city or town clerk and each form shall bear the following heading: ''The undersigned registered voters of the (city or town) hereby petition for the placement upon the official ballot of the question whether this (city, town) shall continue to be a member of the (name) Regional Transit Authority''. The votes upon such a question shall be counted and returned to the city or town clerk in the same manner as votes for candidates in municipal elections. Said clerk shall forthwith notify the authority of the result of the vote. If a majority of the votes cast upon the question shall be in the negative, the authority shall forthwith take all steps necessary and appropriate for the termination of membership of such city or town in such authority.

M.G.L. c. 161B, § 16 Conflict of regulatory powers; resolution by department of telecommunications and energy

c. 161B, § 16. Conflict of regulatory powers; resolution by department of telecommunications and energy Section 16. In the event of any conflict between the regulatory powers and duties of the department of telecommunications and energy in respect to mass transportation service within an area, the department of telecommunications and energy shall resolve such dispute and exercise such powers as it deems required in the particular instance.

M.G.L. c. 161B, § 17 Bonds; issuance authorized; limitations; terms; requirements; conditions; rules and regulations for assistance to private companies; disbursement of proceeds

c. 161B, § 17. Bonds; issuance authorized; limitations; terms; requirements; conditions; rules and regulations for assistance to private companies; disbursement of proceeds Section 17. An authority is hereby authorized to provide by resolution at one time or from time to time for the issue of bonds of the authority for any one or more of the following purposes: (1) To acquire by purchase or otherwise, plan, design, construct, reconstruct, alter, recondition and improve for lease to any eligible private company, mass transportation facilities and equipment. (2) To pay any capital costs of the authority, whether or not bonds for any such purchase may also be issued under clause (1). Bonds may be issued for any costs of the foregoing incurred either before or after the issue of the bonds. Bonds issued under either of the foregoing clauses may be issued in sufficient amount to pay the expenses of issues and to establish such reserves as may be required by any applicable trust agreement or bond resolution. The aggregate principal amount of bonds for all authorities established under this chapter which may be outstanding at any one time under this section shall not exceed the sum of twenty million dollars; provided, however, that no such bonds may be issued under this section without the prior approval of the secretary. Seventy-five percent of the bond proceeds shall be extended only for projects for which the authority has agreements with the federal government, or other sources, including but not limited to, other governmental jurisdictions or private entities providing for matching grants or for expenditures which are preliminary to the obtaining of federal grants. The secretary shall make, and from time to time revise, guidelines for the allocation and distribution of the principal amount of said bonds, or any part thereof, among the authorities established by this act. The secretaries of the executive offices for administration and finance and of transportation and construction shall adopt rules and regulations governing the procedures by which private companies shall apply for assistance pursuant to any agreements financed from proceeds of bonds or bond anticipation notes as provided in paragraph (e) of section five and governing the use of such assistance. Such rules and regulations shall include (a) requiring any private company which receives such assistance to agree to limit its profits and its expenses for salaries and overhead so as to make available as much of its earnings as possible for repayment to the authority of such assistance; (b) requiring such repayment; (c) enabling the authority and the secretary of the executive office for administration and finance to examine and audit the books and records of such company for the purpose of establishing and enforcing such limitation and repayment; and (d) requiring the authority to transfer to the commonwealth, the commonwealth's share of such repayment. The bonds of each issue shall be dated, shall bear interest at such rates, shall mature at such time or times not exceeding forty years from their date or dates as may be determined by the authority and may be made redeemable before maturity at the option of the authority at such price or prices and under such terms and conditions as may be fixed by the authority prior to the issue of the bonds. The authority shall determine the form of the bonds, including any interest coupons to be attached thereto, and the manner of execution of the bonds, and shall fix the denomination or denominations of the bonds, and the place or places of payment of principal and interest, which may be at any bank or trust company within or without the commonwealth. In case any officer whose signature or a facsimile of whose signature shall appear on any bonds or coupons shall cease to be such officer before the delivery of such bonds, such signature or such facsimile shall nevertheless be valid and sufficient for all purposes, the same as if he had remained in office until such delivery. All bonds issued under the provisions of this act shall have and are hereby declared to have all the qualities and incidents of negotiable instruments under the Uniform Commercial Code. The bonds may be issued in coupon or in registered form, or both, as the authority may determine, and provisions may be made for the registration of any coupon bonds as to principal alone, and also as to both principal and interest, for the reconversion into coupon bonds of any bonds registered as to both principal and interest and for the exchange of coupon and registered bonds. The authority may sell such bonds in such manner, either at public or private sale, and for such price as it may determine to be for the best interest of the authority. The proceeds of such bonds shall be disbursed in such manner and under such restrictions, if any, as the authority may provide. The authority may also provide for the replacement of any bonds which shall become mutilated or shall be destroyed or lost. Bonds and bond anticipation notes may be issued under the provisions of this chapter without obtaining the consent of any department, division, commission, board, bureau or agency of the commonwealth, and without any other proceedings or the happening of any other conditions or things than those proceedings, conditions or things which are specifically required by this chapter. Provisions of this chapter relating to the preparation, adoption or approval of plans, programs, projects, budgets and expenditures shall not affect the issue of bonds and notes and the bonds and notes may be issued either before or after such preparation, adoption or approval. While any bonds or notes issued or assumed by the authority remain outstanding, the powers, duties and existence of the authority and the provisions for payments by the commonwealth to the authority shall not be diminished or impaired in any way that will affect adversely the interests and rights of the holders of such bonds or notes.

M.G.L. c. 161B, § 18 Trust agreement to secure bonds

c. 161B, § 18. Trust agreement to secure bonds Section 18. In the discretion of the authority such bonds shall be secured by a trust agreement by and between the authority and a corporate trustee, which may be any trust company or bank having the powers of a trust company within the commonwealth. Either the resolution providing for the issue of bonds or such trust agreement may contain such provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the authority in relation to the acquisition, improvement, maintenance, operation, repair and insurance of property, and the custody, safeguarding and application of all moneys and may pledge or assign the revenues to be received, but shall not convey or mortgage any property.

M.G.L. c. 161B, § 19 Bonds issued under this chapter; authorized investments; use for legal deposits

c. 161B, § 19. Bonds issued under this chapter; authorized investments; use for legal deposits Section 19. Bonds issued under this chapter are hereby made securities in which all public officers and public bodies of the commonwealth and its political subdivisions, all insurance companies, and savings banks, co-operative banks and trust companies in their banking departments, banking associations, investment companies, executors, trustees and other fiduciaries, and all other persons whatsoever who are now or may hereafter be authorized to invest in bonds or other obligations of a similar nature may properly and legally invest funds, including capital in their control or belonging to them, and such bonds are hereby made obligations which may properly and legally be made eligible for the investment of savings deposits and the income thereof in the manner provided by section fifteen B of chapter one hundred and sixty-seven. Such bonds are hereby made securities which may properly and legally be deposited with and received by any state or municipal officer or any agency or political subdivision of the commonwealth for any purpose for which the deposit of bonds or other obligations of the commonwealth now or may hereafter be authorized by law.

M.G.L. c. 161B, § 20 Rights of bondholders and trustee; enforcement proceedings

c. 161B, § 20. Rights of bondholders and trustee; enforcement proceedings Section 20. Any holder of bonds issued under the provisions of this chapter or of any of the coupons appertaining thereto, and the trustee under the trust agreement, if any except to the extent the rights herein given may be restricted by such resolution or trust agreement, may, either at law or in equity, by suit, action, mandamus or other proceedings, protect and enforce any and all rights under the laws of the commonwealth or granted hereunder or under such resolution or trust agreement, and may enforce and compel the performance of all duties required by this chapter or by such resolution or trust agreement to be performed by the authority or by any officer thereof.

M.G.L. c. 161B, § 21 Interest bearing or discounted notes and bond anticipation notes authorized; limitations; disposition of proceeds; payment

c. 161B, § 21. Interest bearing or discounted notes and bond anticipation notes authorized; limitations; disposition of proceeds; payment Section 21. An authority is authorized to provide by resolution at one time or from time to time for the issue of interest bearing or discounted notes for the purposes and in the amounts that bonds may be issued. The notes shall be payable within three years from their dates, but the principal of and interest on notes issued for a shorter period may be renewed or paid from time to time by the issue of other notes hereunder maturing within the required time from the date of the original loan being refunded. When bonds are issued for the purposes for which the notes were issued, the proceeds of the bonds shall be used to repay the notes, except that interest on the notes may be financed as a current expense to the extent deemed appropriate by the authority. The notes may be secured by a trust agreement or by the provisions of a resolution, as in the case of bonds. Bond anticipation notes may be issued either before or after the authorization of the bonds being anticipated. If any bond anticipation note is paid otherwise than from the proceeds of bonds or renewal notes, such payment shall be included in the measure of the net cost of service. But, if bonds or renewal notes are later issued to provide for such payment, there shall be a corresponding offset against the net cost of service.

M.G.L. c. 161B, § 22 Federal assistance

c. 161B, § 22. Federal assistance Section 22. Each authority is authorized and directed from time to time to take all necessary action to secure any federal assistance which is or may become available to the commonwealth or any of its subdivisions for any of the purposes of this chapter. If any federal law, administrative regulation or practice requires any action relating to such federal assistance to be taken by any department or instrumentality of the commonwealth other than the authority such other department or instrumentality is authorized and directed to take all such action, including without limitation filing applications for assistance, supervising the expenditure of federal grants or loans and making any determinations and certifications necessary or appropriate to the foregoing, and the authority is authorized and directed to take all action necessary to permit such other department or instrumentality to comply with all federal requirements.

M.G.L. c. 161B, § 23 Contract assistance

c. 161B, § 23. Contract assistance Section 23. The commonwealth, acting by and through the executive office for administration and finance, may enter into contract or contracts with the authorities created pursuant to this chapter providing that fifty per cent of the net cost of service of each authority shall be paid by the commonwealth, and shall not be assessed upon the cities and towns constituting the authorities established by section two and section three. Such amount, not to be so assessed shall be called contract assistance. Contracts shall provide for payment of debt service by the commonwealth when due except to the extent that the authority shall have previously notified the state treasurer that the revenues of the authority are sufficient for the purpose. Any debt service on bonds issued by an authority, for which contract assistance is provided, shall mature serially beginning not later than ten years after the date of issue and ending not later than forty years after the date of the bonds, so that the amounts payable in the several years for principal and interest combined shall be as nearly equal as in the opinion of the authority as is practicable to make them or, in the alternative, in accordance with a schedule providing a more rapid amortization of principal. Any contracts or agreements made between an authority and any private company or carrier for which contract assistance is provided shall be subject to the following limitations: (i) in determining whether assistance is needed under this paragraph with respect to an operating agreement with a private transportation company, and in determining the terms of such assistance, the authority shall review the entire transportation operations of the company and its affiliates and shall make a finding that the assistance will not permit the applicant company to make more than a reasonable return overall; and (ii) that the assistance shall cover only those services determined by the authority to be in the public interest. Any contract under this section shall include such provisions as the secretary deems necessary and desirable to assure the efficient operation of the authority, and the minimum burden on the commonwealth and on the cities and towns within the authority, and to insure contract assistance is provided for projects which are consistent with the program for public mass transportation of the authority.

M.G.L. c. 161B, § 24 Application of other laws

c. 161B, § 24. Application of other laws Section 24. Section ten of chapter forty A, sections twenty-eight, fifty-nine to sixty-four, inclusive, eighty-three to eighty-five, inclusive, and ninety-two to one hundred and four, inclusive, of chapter one hundred and fifty-nine, and sections eighty-nine, one hundred and three and one hundred and thirteen of chapter one hundred and sixty-one, shall apply to the transportation authorities created by this chapter, its property and employees in the same manner as though each were a street railway company.

M.G.L. c. 161B, § 25 Direct operation of mass transportation service

c. 161B, § 25. Direct operation of mass transportation service Section 25. Nothing in this chapter shall be deemed to authorize or permit any authority established by this chapter to directly operate any mass transportation service.

M.G.L. c. 161B, § 26 Stabilization fund

c. 161B, § 26. Stabilization fund Section 26. The regional transit authorities shall establish a stabilization fund into which the authorities shall deposit revenues in excess of expenditures. Said stabilization fund shall have a fund balance no greater than 15% of total revenues for all regional transit authorities for the fiscal year most recently ended. Monies from said fund shall be subject to appropriation and used for capital improvements and expenditures, to offset the unforeseen and dramatic loss of revenues within a fiscal year, and to pay current expenses after implementing all efficiencies and savings possible. The authorities may not assume draws from said stabilization fund in preparing their annual budgets. In the event that an authority requires a draw from said fund, it shall file with the secretary of administration and finance, secretary of transportation and construction, joint committee on transportation and the house and senate committees on ways and means a financial plan that projects to produce in the following fiscal year an excess of revenues over expenses, all measures taken to implement efficiencies and savings, the amount necessary to offset operating losses, and any other information that said secretaries or committees may require.

M.G.L. c. 161B, § 27 Regional transit authority council

c. 161B, § 27. Regional transit authority council Section 27. There shall be a regional transit authority council for the purposes of coordination and sharing information and best practices in matters of security and public safety planning and preparedness, service delivery, cost savings, and administrative efficiencies. Members of the council shall include the administrator of each authority established under section 14. The secretary shall be chairman of the council and the general manager of the Massachusetts Bay Transportation Authority shall be a nonvoting member of the council. The council shall meet no less than once each calendar quarter or upon the request, with reasonable notice, of the secretary.

Source: Massachusetts General Court (malegislature.gov)URL: https://malegislature.gov/Laws/GeneralLaws/PartI/TitleXXII/Chapter161BFetched: 10/20/2026