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Bill

H 2154

An Act establishing parking cash-out

194th Legislature (2025-2026) Introduced by Jim Hawkins and 2 co-sponsors

Massachusetts bill establishes parking cash-out program allowing employees to receive cash compensation instead of employer-subsidized parking to reduce congestion and provide worker choice.

Accompanied a new draft, see H4658
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Bill Summary · H 2154

Legislative bill overview

H 2154 establishes a "parking cash-out" program in Massachusetts, which would require or incentivize employers to offer employees the option to receive cash compensation in lieu of subsidized parking benefits. This policy aims to reduce parking demand, encourage alternative transportation, and provide financial flexibility to workers who don't drive or use parking.

Why is this important

Parking cash-out programs can reduce vehicle trips and congestion while generating revenue for employers who currently subsidize parking. The policy also addresses transportation equity by allowing workers to choose cash instead of a benefit they may not use, potentially lowering transportation costs for transit-dependent or non-driving populations. This is particularly relevant in Massachusetts given ongoing climate goals and traffic congestion in urban areas like Boston.

Potential points of contention

  • Employer burden: Businesses, especially those in high-rent areas with expensive parking, may resist requirements to either maintain parking subsidies or pay cash equivalents, viewing it as increased labor costs
  • Rural vs. urban divide: The policy may be impractical or disadvantageous in less transit-rich areas where workers genuinely need parking, creating geographic fairness concerns
  • Implementation details: The bill's scope—whether it applies to all employers or those above a certain size, what the cash equivalent equals, and enforcement mechanisms—will significantly affect business impact and effectiveness

Compiled from official sources — confirm details with the bill’s official record.

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