|
Dear Friend,
The Greek philosopher Heraclitus said, “the only constant in life is change.” And 2,500 years later, we are witnessing lightning-fast changes in the federal government by President Trump. The desire for change was among the reasons why voters chose him to confront the status quo in Washington, D.C.
Billionaire businessman Elon Musk has wasted no time seeking out inefficiencies and waste in the federal government in the newly formed Department of Government Efficiency, or DOGE. We have already seen fits and starts of DOGE’s actions with proponents praising its efforts while opponents bemoan funding cuts, shutdowns of key federal agencies, and the loss of jobs.
Both sides of the aisle are somewhat paralyzed by DOGE’s activity. Losses of federal jobs and services are impacting districts represented by Republicans, but they are loathe to cross the President for fear of facing a primary. And Democrats, lacking a clear national leader for the first time in 40 years, are struggling to deliver a unified and cohesive message in response.
There does seem to be some reluctance in Congress to rubber-stamp the President’s initiatives. The Hill recently reported that GOP Senators are warning the President’s agenda will be slowed by internal divisions, meaning the Senate may not pass the President’s priorities including border security, energy, and tax policies until late summer.
In this newsletter, our Federal Review outlines the issues that are going through a process called Budget Reconciliation, which allows Congress to pass budget-related measures with a simple majority in the Senate, bypassing the filibuster and expediting passage of significant priorities. O’Neill and Associates’ federal team is closely monitoring Budget Reconciliation as well as departmental reorganizations, program shifts, and appointments within the administration and various agencies.
From Capitol Hill to Beacon Hill, change is in the air. Our newsletter’s Beacon Hill Review reports on the Massachusetts Legislature, which is undertaking its first serious review of its joint operating rules in decades. This is significant because joint rules govern voting procedures for joint committees, committee structures, bill reporting deadlines, and conference committee procedures, all impacting how legislation moves through the process.
On a final note, there was another famous person, a key figure in the American Revolution who had another take on change. Benjamin Franklin said “when you are finished changing, you are finished.”
We hope you enjoy our newsletter.
Sincerely,
| | |
Matt Irish
Vice Chairman
| | |
Lindsay Toghill
Vice President
| | |
The Massachusetts State Legislature began its new session on January 1, 2025, after a marathon December 31st session that sent 122 bills to Governor Healey’s desk, including two major healthcare bills: the Pharmaceutical Access, Costs, and Transparency (PACT) Act and the new hospital oversight law.
This 194th General Court includes twenty new legislators who were elected in November 2024 - 19 new House members and three Senators (two are former House members.) The Democrats continue to hold a supermajority.
Legislative leadership also remains the same: in the Senate, President Karen Spilka, Majority Leader Cynthia Stone Creem, Ways and Means Chair Michael Rodrigues, and Minority Leader Bruce Tarr all retained their roles, as did Speaker Ronald Mariano, Majority Leader Michael Moran, Ways and Means Chair Aaron Michlewitz, and Minority Leader Bradley Jones, Jr. in the House. There was, predictably, some shuffling of committee chairs and members, which may be viewed on the Legislature’s website.
Last session, the Legislature tackled many issues including housing production, clean energy and climate incentives, health care, economic development, tax relief, gun safety, and veterans, in addition to the FY24 and FY25 state budgets.
So far, this session has not been business as usual. First, the Legislature is undertaking its first serious review of its joint operating rules in decades. Joint Rules govern voting procedures for joint committees, committee structures, bill reporting deadlines (including the infamous Joint Rule 10 day), and conference committee procedures. The House and Senate are meeting in a Conference Committee on their competing proposals, and it is unclear whether a compromise will be reached. In the absence of an agreement, the previous Joint Rules will remain in place as has happened for many sessions. However, the current proposals have the possibility to change key operating procedures and long-standing dates to which everyone who does business in and with the State House has become accustomed. Although it is not legislation per se, this will also impact how legislation moves through the process.
Second, the Trump Administration’s statements and actions are causing uncertainty in the Legislature and Healey-Driscoll Administration, particularly as related to the FY26 state budget. Federal funding accounts for more than $16 billion of the state budget, much of which comes from Medicaid programs. While the state has an $8 billion rainy day fund, budget leadership has indicated they are averse to tapping into this fund as it would hurt the state’s long-term economic health and would be a one-time offset. Legislators have named education funding, energy costs, housing production, veterans services, National Institutes of Health (NIH) funding, health care for seniors, and cancer treatment as areas of concern for where Trump funding cuts and policy changes may most harm Massachusetts residents.
Lawmakers are also working to navigate the state's transition to modest revenue growth following several years of significant tax collections that fueled substantial increases in state spending. Affordability and competitiveness challenges continue to challenge the state, as well, with costs of housing and health care driving residents from the state and outdated transportation infrastructure frustrating commuters and businesses. All these factors, but particularly those related to the Trump Administration, will make this the most difficult budget process the state has undertaken in recent memory.
The Governor released her FY26 budget in January and the Legislature’s Joint Ways and Means Committee is currently conducting a series of public hearings across the state on the bill. The House budget will be debated and finalized in late April, the Senate’s in late May, and the two versions will be reconciled in Conference Committee in June. While the budget is due by July 1 for the start of the FY26 fiscal year, the Legislature may wait to enact its final budget to send to Governor Healey, particularly given the uncertainty and changing landscape in Washington.
Budget aside, legislative leadership has named several policy priorities for the legislative session. In her inaugural speech, Senate President Spilka promised transparency reforms (which is materializing in the Joint Rules debate), reexamining the state’s education funding formula, primary health care delivery reform, and expanding juvenile court jurisdiction to include young adults aged 18. House Speaker Ronald Mariano also named transparency through rules reform and having a strong response to the Trump Administration’s impact on Massachusetts.
| | |
John Cahill
Vice Chairman
| | |
Jim Gordon
Vice President
| | |
Washington, D.C. has been busy in the early going of 2025, and that is expected to remain the case throughout the coming months and year. The inauguration of President Donald Trump for a second term has ushered in a period of unprecedented change, with his approach to governance making his previous four years seem comparatively subdued. Vowing to reduce the size, scope, and spending of the federal government, President Trump has undertaken a historic dismantling of departments and agencies at a frenetic pace, leaving many questions about its ability to provide critical services going forward. This rapid transformation has raised significant concerns regarding the government's capacity to deliver essential services in the future. In the midst of these sweeping changes, organizations with interests before federal agencies must remain vigilant, staying informed and engaged with key officials. To provide optimal support, the O’Neill federal team is closely monitoring departmental reorganizations, program shifts, and appointments within the administration and various agencies, ensuring we continue to effectively serve the needs of our federal clients. We have successfully met with many high-ranking Trump political appointees with our clients including but not limited to the Department of Commerce, Department of Transportation, Centers for Medicare and Medicaid Services, and Department of Energy.
At the opposite end of Pennsylvania Avenue, the 119th Congress, led by Republican majorities in both Chambers, has been equally busy in its effort to confirm President Trump’s cabinet and implement his agenda of tax cuts, border security, energy production, and other largely domestic policies he espoused on the campaign trail. Congress will advance the agenda through a process known as Budget Reconciliation, which allows it to pass budget-related measures with a simple majority in the Senate, bypassing the filibuster and expediting passage of significant priorities. While Republicans hope to pass the package by Memorial Day, it is a very tedious process and more likely will consume most of the year. Given the scope of the legislation, stakeholders in policy areas such as energy, transportation, and trade, may see significant opportunities – and risks – as measures take shape.
Separate from the budget reconciliation efforts, Congress was able to avoid a government shutdown (again) by passing a FY25 Continuing Resolution (CR) that extends funding for agencies and programs through September 30, 2025, at FY24 spending levels. A CR is not the best way to operate, and its narrow scope resulted in jettisoning all Congressionally Directed Spending (CDS) projects, a number of which had been successfully secured by Massachusetts Delegation members for O’Neill federal clients. A positive element is now Congress may focus on FY26, which may present a range of opportunities to advance projects and programs with the help of Congressionally Directed Spending. Many members of Congress are already accepting FY26 requests, and the O’Neill federal team is engaging their offices to discuss opportunities. As a bipartisan firm, we have had many meetings in the first quarter with both majority and minority appropriations committee staff and the same for authorizing committees.
The federal landscape is more dynamic than ever, with numerous developments requiring close attention and relationship management. The O'Neill federal team remains actively engaged and well-informed, closely monitoring critical regulatory and legislative initiatives in the Nation’s Capital.
| | |
ATG Entertainment is a world leader in live entertainment. Its portfolio of venues includes historic theatres, modern live music arenas, studio theatres, cinemas, and conference spaces. ATG Entertainment owns, operates, and/or produces for some of the world’s most iconic venues across the UK, the US, and Germany, entertaining over 18 million audience members each year.
In 2019, ATG Entertainment hired O’Neill and Associates for government relations services to assist and support the group as it continued in its efforts to pass a tax credit for live theater in Massachusetts. The concept of a live theater tax credit had percolated in the Massachusetts State House for years, including in 2014 when then-Governor Deval Patrick vetoed the language establishing a credit. In the intervening years, the concept was proposed in both stand-alone bills and as an addendum to other measures (such as economic development bills) with varying success. In the same period, ATG Entertainment's Emerson Colonial Theatre in Boston undertook a two-year renovation of its theater, culminating in the successful launch of Moulin Rouge! in 2018. This production attracted significant support from both domestic and international audiences, highlighting the potential cultural and economic impact of a thriving live theater scene in Massachusetts – and bolstering the appeal of a live theater tax credit.
During the 2019-2020 legislative session, we worked to reintroduce the concept of a live theater tax credit and secure its passage. However, the onset of the COVID-19 pandemic redirected legislative attention to more immediate concerns, delaying the initiative. The effort was revived in the 2021-22 session, during which it was included in the House version of the Economic Development bond bill but failed to make it into the Senate version of the bill. The session concluded without final action on the economic development bill, leaving the tax credit’s future uncertain.
A breakthrough came in 2023 when Governor Maura Healey included the tax credit in her budget proposal. Although it did not pass as part of the budget, we successfully advocated for its inclusion in the final 2024 Economic Development Bill, which was signed into law by Governor Healey in December 2024. This marked a significant victory for ATG Entertainment and the broader Massachusetts theater community.
Throughout this long process, O’Neill and Associates played a critical role in securing bipartisan legislative support and third-party advocates, as well as rallying theaters across Massachusetts. O’Neill and Associates continues to collaborate with the Executive Office of Economic Development on regulations around the program.
The tax credit is designed as a five-year pilot to bolster the state’s theater industry by supporting pre-Broadway shows, pre-off-Broadway shows, and the initiation of national tours within Massachusetts. With 30 qualifying theaters across the state, financial support will directly benefit the production company, potentially transforming Massachusetts into a vibrant hub for theatrical innovation and performance.
| | |
The American Resort Development Association (ARDA) is a nonprofit, nonpartisan, Washington, D.C.-based trade association for the timeshare industry, representing hundreds of privately held and publicly traded companies. ARDA’s work touches every role within the timeshare industry. Developers, exchange companies, vacation clubs, timeshare owner associations (HOAs), resort management companies, industry vendors, consultants, and legal and regulatory experts are all part of the ARDA network.
ARDA, which has a nearly 20-year-long relationship with O’Neill and Associates, partnered with us to pass corrective legislation related to time-shares. Timeshares are a vital component of Massachusetts’ hospitality industry, particularly on Cape Cod and in the Berkshires, and contribute hundreds of millions in annual consumer spending and tax revenues and thousands of jobs to Massachusetts.
The legislation, now law, modernizes the termination provisions for today’s timeshare product and adds the option for timeshare owners to extend a resort’s life if they would like to continue using their timeshare. This empowers timeshare owners to choose the future of their resort and puts the procedures in place to do so, specifically by addressing an issue with the organizational documents of timeshare resorts in Massachusetts. In many cases, timeshare plans included expiration dates, often 30-40 years later, when the timeshare plan would terminate. The new law ensures that when these expiration dates approach, Massachusetts timeshare owners can choose whether they want to continue owning their timeshare or whether they want the resort to wind down, which enables them to recoup some of the value of the timeshare.
We introduced the legislation in the 2023-2024 legislative session with two strong sponsors, former Representative Sarah Peake and Senator Julian Cyr. The bill was reported favorably by the Joint Committee on the Judiciary and included in the House version of the Housing Bond Bill but was ultimately removed from the compromise bill, along with many other policy sections.
After building support, working with the sponsors, and advocating for the bill in various legislative vehicles, we succeeded in having the bill pass as a standalone piece of legislation in the final hours of the 2023-24 session, in the early morning hours of New Year’s Eve. The bill was subsequently signed by Governor Healey and is now law.
| | |
OA in the Community
All politics is local, and so are the best ways to give back. That is why supporting the work we do in the community is so important.
| | |
YMCA Holiday Coat Drive
Associate Director Phil Wettengel led the effort at the O'Neill and Associates Boston Office to collect new winter coats, warm accessories, and cash donations for the annual YMCA Annual Coat Drive. Thanks to Phil, who is a Charlestown YMCA Board Member, O'Neill and Associates donated 15 coats and raised $500. In total, the Charlestown Y contributed 100 coats, tons of cold weather essentials, and $750 in gift cards to the Kennedy Center just before Christmas as a result of the drive.
| | |
The 14th Annual Family Pantry Gala of Cape Cod
On Sunday, June 8, Tom and Shelly O’Neill will co-chair the Annual Family Pantry of Cape Cod Gala at the Wychmere Harbor Club in Harwich Port. Since 1989, The Family Pantry of Cape Cod has been an invaluable resource to the entire Cape community. As the largest food pantry on Cape Cod, it serves residents by providing over 6,000 households with essential food and clothing annually. In 2024, the Family Pantry served 13,645 individuals and provided 3.6 million meals to those in need. It supplied 172,000 bags of food with 6,000 pounds of fresh produce from the Pantry’s Garden, and it continues to do extraordinary work in 2025. For more information on the Gala, please click on this link.
| | Upcoming: Jim Gordon for the New England Council | | |
O'Neill and Associates Vice President Jim Gordon is the featured speaker at the New England Council's (NEC) D.C. Guiding Stars Mentorship Round Table in April. Young professionals are invited to hear from Jim on 4/9 from 10 - 11:00 AM at O'Neill and Associates' D.C. Office. Registration, and more information, is here.
Jim brings a unique mixture of public and private sector experience to the O'Neill and Associates federal government relations team. His deep knowledge of policy, legislative and regulatory issues and processes, and understanding of political advocacy and stakeholder outreach strategies helps guide clients through the matrixes of government programs and legislative initiatives.
| | Kelly Devers-Franklin joins Seven Letter Boston! | | |
Kelly Devers-Franklin joined Seven Letter as a Partner in Boston in December. Kelly has served as a trusted advisor to public and private companies, top-tier academic institutions on corporate and crisis communications, media relations, and executive positioning. She has counseled C-suite executives, senior officials, and University Presidents and Deans through periods of evolution and change including rebrands, reorganizations, leadership transitions, Chapter 11 filings, reductions in force, M&A, global and domestic expansions, and litigation.
Kelly joins Seven Letter’s Boston office, located within the cradle of higher education, at a time when university leaders are under historic scrutiny from students, funders, and the public. She will play a significant role in the firm’s corporate communications practice.
Kelly led media relations at the UC Berkeley School of Law and NYU, where she built and executed programs to raise each university’s profile and amplify the work of its faculty, research centers and clinics, often with the goal of impacting public policy and advocating for legislative and regulatory changes.
Prior to joining Seven Letter, Kelly ran global communications at Amyris, a leading synthetic biology company that develops and manufactures sustainable ingredients for industries including pharmaceuticals, chemicals, flavors and fragrances, and beauty, health, and wellness. She was First Deputy Press Secretary to New York City Schools Chancellor Joel Klein during Mayor Michael Bloomberg’s reformation of the nation’s largest public school system, in the spotlight of the world’s largest media market.
| | | | |
