The Overview
If you own a restaurant or grab a meal out in Hopkinton, the local meals tax you pay will now flow into a dedicated fund aimed at bringing more businesses to town. Massachusetts' H 4293, the Act establishing an economic development special revenue account for the town of Hopkinton, became law when Gov. Maura Healey (D) signed it Aug. 21. Hopkinton is residential-heavy, with its commercial tax base relying heavily on EMC Corp., and town leaders have sought a more balanced local economy, according to the Worcester Business Journal.
What the Law Does
The law requires Hopkinton to establish the Economic Development Special Revenue Fund in the town treasury, crediting it with all local meals-tax receipts under the state's meals-tax statute starting with the fiscal year that began July 1, 2026. The money supports economic development projects, operations, and administration, including efforts to attract and retain businesses and improve infrastructure, but spending requires a majority vote of town meeting. Interest earned on the fund goes to the town's general fund, and the act does not affect the town's share of state Local Aid.
The fund can be closed only by a two-thirds town meeting vote, which would redirect unspent balances and future meals-tax receipts to the general fund. The town treasurer must publicly post an annual financial report by Oct. 1 each year, detailing revenues, receipts, grants, loans made and to whom, and the year-end balance.
Legislative Status
Rep. James Arena-DeRosa (D) of the 8th Middlesex district was the sole sponsor. The bill was passed in October 2025, passed again in August 2026, and was enacted Aug. 13, 2026.
Hopkinton's town meeting had unanimously approved creating the account the previous May, according to the Hopkinton Independent. The Hopkinton Independent reported that the fiscal year 2027 budget had assumed the fund would be created.
---
AllCiv makes it easy to stay politically informed and involved.
---
Spot something wrong? Report an issue with this article