BOSTON — The effort to transform the closed Kelley School into a center for the city's youth received a $100,000 shot in the arm from the $28.3 billion budget Massachusetts lawmakers approved this week.
A total of $1.23 million in earmarks was secured for Greater Newburyport in the budget — including $300,000 allotments for the Merrimack Valley Economic Development Council and Newburyport Shellfish Purification Plant, and $100,000 for the local YWCA, Boys & Girls Club and the youth enrichment center initiative in Newburyport.
Mayor John Moak is looking at giving the city's Youth Services Department a two- to three-year lease to occupy the High Street building, which closed due to an overall district restructuring after serving as a schoolhouse for more than 100 years.
"Helping jump-start this enrichment center was one of my top priorities for this year's budget," Rep. Michael Costello said. "The Kelley School building is still a viable location, and I think the plan to use it as a youth enrichment center will benefit so many youth. I'm very happy the state made this commitment to the families of Newburyport."
The Legislature's budget, signed Thursday, is 5.2 percent larger than last year's budget. Gov. Deval Patrick has 10 days to sign it. He also can veto or amend individual spending items and send them back to the Legislature.
To balance the budget, the Legislature depends on $623 million in new tax revenue. Of that, $291 million comes from closing so-called corporate tax loopholes, $157 million comes from stricter tax enforcement, and $175 million comes from the $1-a-pack increase to the cigarette tax.
Lawmakers resisted raising money by eliminating the tax exemption on aircraft sales and repairs, a move which would have brought in $9 million but affected small airfields, such as Lawrence Municipal Airport.
The budget also relies heavily on the state's $2 billion Rainy Day Fund, spending $508 million of that.
Although the Democratic majority talked about austerity, most line items remained intact in the final bill to emerge from conference committee.
Sen. Steven Baddour, D-Methuen, who represents much of Greater Newburyport, praised the budget, saying the earmarks are vital to local cities and towns.
"All of the funds included in the 2009 fiscal year budget for our communities will benefit important causes ranging from economic development to social services to public safety," Baddour said in a prepared statement. "These funds will allow our communities to maintain and improve the important services they provide for residents and will sustain an environment that is conducive to economic development, public safety and public health in the Merrimack Valley."
Costello, D-Newburyport, agreed.
"I remain committed to supporting these vital organizations through the budget process because I know they are the lifeblood of my district," Costello said in a statement sent by his office. "They support our vulnerable populations and they help promote economic activity, which is critical during difficult economic times."
Republicans, meanwhile, wondered how to justify the increased spending.
"It's difficult to understand how the budget emerged from conference committee higher than either branches voted for," said Sen. Bruce Tarr, R-Gloucester. "We'd just significantly increased spending as the storm clouds are gathering."
By spending more taxpayer money this year, House Republican Leader Bradley Jones of North Reading said lawmakers were inviting voters in November to support a ballot initiative to eliminate the state income tax.
Democrats were aware of the precarious balancing act. Rep. Barry Finegold, D-Andover, conceded there may be a need for midyear budget cuts.
"It's possible that six months from now, we will have to make (emergency) cuts," Finegold said. "I don't think anybody really knows."
It's more than possible, said Michael Widmer, president of the Massachusetts Taxpayer Foundation. He estimates the budget is at least $1 billion out of balance. He worries the shaky economy, plus what he sees as rosy predictions about tax revenues, could make the gap even worse.
"It's a billion dollar problem, and that may be the best case," Widmer said.
This year's budget arrived three days late — the fiscal year began July 1 — and wasn't finished until 10 p.m. Wednesday night. That forced the House and Senate to suspend rules requiring lawmakers have time to review bills before voting.
Lawmakers arrived for rare morning sessions, and after short debate voted on the $28.23 billion spending plan, and then bolted from the Statehouse for the long weekend.
The budget increased spending in many areas of importance to North of Boston communities.
r It increased local aid by $124 million, bringing the total state assistance to cities and towns to $935 million.
Lawmakers also boosted Chapter 70 school aid by $223 million, bringing that total to $3.95 billion. As a result, all school districts will receive an increase over last year's aid, as the state continues on a five-year plan to better fund local schools.
Those areas won't be touched by Patrick's veto pen — local and education aid were agreed upon early in the budget process.
r Other statewide spending with local impact included $21.4 million for community policing grants and $4 million for local police training grants, $61.3 million for regional school transportation, and $230 million to help school districts pay for special education.
r Costello, D-Newburyport, won his yearslong battle to change the name of the Department of Mental Retardation to the Department of Developmental Services.
Below is a list of projects included in the state budget:
r Newburyport YWCA - $100,000
r Our Neighbors' Table - $25,000
r Pettengill House - $75,000
r C-10 Monitoring - $75,000
r Boys and Girls Club of Lower Merrimack Valley - $100,000
r Newburyport Shellfish Purification Plant - $300,000
r Salisbury Chamber of Commerce - $50,000
r Essex County Reserve Officer Training - $25,000
r Newburyport Office of Economic Development - $40,000
r Newburyport Youth Services - $100,000
r Salisbury Partnership Maritime Festival - $50,000
r Merrimack Valley Economic Development Council - $300,000