Representatives Kujawski of Webster, Timilty of
Milton, O’Day of West Boylston, DiNatale of Fitchburg, Alicea of Charlton,
Smith of Everett, Campbell of Methuen, Rush of Boston, Fresolo of Worcester,
Pedone of Worcester, Clark of Melrose, Garballey of Arlington, Smizik of
Brookline, Provost of Somerville moves the bill be amended by [s1]inserting
after section 38Tadding the following section:-
"[s2]SECTION 7426A. Chapter 63
of the General Laws is hereby amended by inserting after section 38T the
following section:
Section 38U. Any private institution of higher learning that has an endowment fund in excess of 1 billion dollars shall be subject to an annual excise of 2 ½ per cent of all monies in excess of 1 billion dollars. For the purposes of this section an endowment fund shall be an institutional fund of a private institution of higher learning not wholly expendable by the institution on a current basis under the terms of the applicable gift instrument.
Notwithstanding any special or general law to the contrary, the provisions of this section shall not take effect until such time as the Department of Revenue has furnished a study of their impact on the state’s economy and revenue cost to the Commonwealth and its cities and towns, including, but not limited to, a distributional analysis showing the impact on taxpayers of varying income levels, the current practice of other states, any anticipated change in employment, and ancillary economic activity, to the Joint Committee on Revenue[s3].
FOR YOUR CONVENIENCE, SECTION 74 READS AS FOLLOWS:
"SECTION 74. Section 26A shall not take effect until legislation has been filed and passed pursuant to Part 2, Chap. 1, Sec. 1, Art II of the Constitution."