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S 2291

Expands the applicability of the assessment exemption for living quarters for parent or grandparent

2025 Regular Session Introduced by Pete Harckham and 1 co-sponsor

Bans the energy regulator from approving gas purchases, pipeline capacity, or storage contracts if any costs would be recovered from ratepayers for interstate pipeline expansion.

REFERRED TO REAL PROPERTY TAXATION
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Bill Summary · S 2291

Summary — S.2291 (2025): "An Act protecting ratepayers from gas pipeline expansion costs"

Main purpose

This bill would prohibit the Commonwealth’s energy regulator from approving gas purchase, pipeline capacity, or liquefied gas storage contracts when any of the contract costs would be recoverable from utility ratepayers if the contract requires construction or expansion of interstate gas infrastructure. In short: it seeks to prevent ratepayers from bearing the costs of new or expanded interstate gas pipeline projects that are tied to gas procurement or storage contracts.

Key provision

  • Amends Section 94A of Chapter 164 of the Massachusetts General Laws by adding a new paragraph:
    • “Notwithstanding anything set forth herein, the department shall not approve any contract for the purchase of gas, gas pipeline capacity or liquefied gas storage where any contract costs would be recoverable from the ratepayers, if such contract requires any construction or expansion of interstate gas infrastructure.”
  • Effectively bars the relevant state “department” (the regulatory entity named in Section 94A) from approving contracts that would shift costs of interstate pipeline construction/expansion onto utility customers.

Who would be affected

  • Ratepayers (residential, commercial, industrial utility customers) — the bill aims to protect them from being assessed costs for interstate pipeline expansion.
  • Gas utilities and local distribution companies — would be restricted in entering contracts that pass expansion costs to customers.
  • Pipeline developers and interstate pipeline companies — would face reduced ability to finance expansion through contracts that rely on cost recovery from utility customers.
  • State regulators — would have a new statutory constraint when approving gas procurement, capacity, or storage agreements.
  • Potentially other stakeholders (municipal aggregators, LNG storage operators, developers of gas infrastructure).

Potential impacts and considerations

  • Consumer protection: reduces likelihood that utility customers will be assessed charges to pay for new interstate pipeline capacity or expansion tied to procurement contracts.
  • Infrastructure financing: could make it harder to finance new or expanded interstate pipeline projects intended to serve Massachusetts customers unless funded by non-ratepayer sources (e.g., developers, investors).
  • Energy planning and reliability: may affect long‑term procurement strategies, negotiations of supply and capacity contracts, and decisions on whether to pursue gas infrastructure vs. alternatives (electrification, energy efficiency, local supply).
  • Regulatory and legal interactions: may raise issues with federal jurisdiction over interstate pipelines (FERC) and with existing long‑term contracts; implementation depends on how “the department” is defined in Section 94A and how regulators interpret the new restriction.
  • Economic distribution: costs for meeting demand could shift away from ratepayers to project sponsors, potentially affecting project feasibility and timelines.

Procedural status (selected timeline)

  • Filed in Massachusetts Senate (Docket No. 1092) — January 15, 2025 (sponsored by Senator Patricia D. Jehlen).
  • Referred to relevant committees (Telecommunications, Utilities and Energy; Housing, Construction and Community Development).
  • Passed the Senate — June 11, 2025; delivered to the House and referred to the Committee on Real Property Taxation (June 11, 2025).
  • Hearings scheduled (noted for November 13, 2025, with location/virtual details subject to change).
  • Related/companion measures: SD 1092 (replaces), H.8949 (companion).

Note: Some metadata in the provided materials (titles, listed sponsors) appear inconsistent with the bill text and docket. The substantive description above is based on the bill text amending Section 94A, which addresses approval of gas-related contracts tied to interstate infrastructure expansion.

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

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