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The
Community Preservation Act
What is the Community Preservation Act?
The Community Preservation Act (CPA) is a state law (G.L. Ch. 44B) passed
in September 2000 giving cities and towns a new funding source for protecting
open space and historic properties, and creating affordable housing. The
goal of the CPA is to preserve the character of our communities by addressing
sprawl, the rapid loss of remaining open land and historic landscapes,
and the need for housing affordable to town employees, senior citizens
and others. Local priorities are researched and acquisitions and expenditures
recommended by a Community Preservation Committee.
What are the steps in adopting the CPA?
The CPA becomes effective by local option. To
adopt it:
•
The town meeting or city council must vote to adopt the statue and specify
the level of the surcharge that will be added to the real estate property
tax (up to 3%) and the exemptions to the surcharge.
• There is a vote on a ballot question at the next regular state
or municipal election to accept the CPA in the form voted by the legislative
body.
• The town meeting or city council creates a Community Preservation
Committee (CPC) through a bylaw or ordinance. Whether this vote can be
taken at the same meeting where the legislative body votes to accept the
CPA is being explored.
How is money raised and handled?
Funding is a combination of locally-raised money and a match provided
by the state. Local funding comes from an up to 3% property tax surcharge,
with the level determined by the community. Certain exemptions, spelled
out in the statute, may be included. Local funds raised are matched by
state funds raised through a new surcharge on the fees on filings in the
Registry of Deeds and the Land Court.
The locally-raised surcharge money is placed in a Community Preservation
Fund. The state money is placed in the Community Preservation Trust Fund
administered by the Department of Revenue. After disbursal each October,
the city or town places the state money in its Community Preservation
Fund. The Fund may also receive penalties for violation of the CPA, and
proceeds of any properties that are sold.
The deed transaction fees are expected to generate about $25 million annually.
Gifts, settlement and other monies can also be placed in the fund. Eighty
percent of the money received by the state fund each year will be distributed
to participating communities as a percentage of the money they have raised
locally. Each community will receive the same percentage match. The other
twenty percent of the state money will be distributed according to a formula
spelled out in the statute; the formula for this portion is based on population
and property valuation criteria, and favors smaller and poorer communities.
The city or town notifies the Department of Revenue that it has adopted
the CPA, the amount of the surcharge, and the amount raised in the past
fiscal year. The state then begins an annual disbursement of matching
funds.
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Community
Preservation Act
The Massachusetts
Community Preservation Act was signed into law September 14, 2000 -- learn
how to adopt it in your local community.
What
exemptions may be made?
Exemptions are chosen by the community and may include any of
the following:
• property owned and occupied by those qualifying for low income
housing or low or moderate income senior housing
• $100,000 of the value of residential parcels
• class three commercial and class four industrial properties in
communities with classified tax rates
How can the money be used?
Funds are used for the protection of open space and historic resources,
and for affordable community housing. At least 10% of the funds available
each year must be designated to each use, though expenditure can be deferred.
The community determines use of the remaining 70%. Specifically, funds
are for:
• acquisition, creation and preservation of open space. Open space
includes land to protect existing and future wellfields, aquifers and
recharge areas, watershed land, agricultural land, grasslands, fields,
forests, fresh and salt water marshes and other wetlands, frontage along
the ocean and other water bodies, beaches, dunes and other coastal lands,
scenic vistas, wildlife/nature preserves and land for recreational use.
Land for recreational use here includes land for active or passive recreation
e.g. community gardens, trails, parks, playgrounds, and athletic fields
- but not stadiums, race tracks for animals, gymnasiums or similar structures.
• acquisition and preservation of historic resources. This includes
structures, vessels and landscapes eligible for listing on the state register
of historic places or determined by the local historic preservation commission
to be significant to local history, archeology, architecture or culture.
• creation, preservation and support of community housing. Affordable
community housing includes low and moderate income housing
for individuals and families, and includes senior housing.
Funds can
also be allocated to rehabilitation or restoration of the above when funded
under this program, but not to management. Up to 5% can annually be used
to administer the program.
Who
owns and manages acquisitions?
All property acquired under the Community Preservation Act is
owned by the city or town and must have a deed restriction limiting it
to the purpose for which it was acquired.
Management
may be delegated to the Conservation Commission, historical commission,
park commission or housing authority, or a water or fire district. Management
may also be delegated to a non-profit organization.
What is the Community Preservation Committee?
The committee has five to nine members as determined by the community
in a bylaw/ordinance. It includes a member of the Conservation Commission
who is selected by the Commission. There is similar representation from
the planning board, historic commission, housing authority, and park commission.
If any of the boards or commissions don't exist in the community, the
bylaw/ordinance provides a representative of that interest. The bylaw
establishes the terms and whether any additional members are appointed
or elected.
The CPC
researches the city or town's needs for open space, historic preservation
and community housing, consults with relevant boards and commissions,
recommends expenditures for these purposes, and keeps appropriate records.
What is the Conservation Commission's Legal Role?
• The Commission has a designated seat on the CPC. A member is chosen
by the Commission.
• Management of open space acquired with CPA monies may be given
to the Commission.
What can the Commission do to help adopt the CPA?
Begin talking now with other boards having seats on a Community Preservation
Committee, as well as the mayor or select board. Urge the mayor/select
board to create an implementation or exploratory committee right away.
Begin to educate the public about the program and its benefits.
What
else should the Commission do to further our open space protection efforts?
Have an
up to date Open Space and Recreation Plan. This is important for several
reasons: you will already have done the research and have your own priorities
for acquisition established. In addition state grant programs such as
Self Help may include adoption of the Community Preservation Act as a
criterion for giving grants. CPA funds can also be used as the local match
for state or federal grants. Broaden your perspective and consider the
open space associated with many historic properties, or portions of parcels
that might also have community housing.
Sally A.
Zielinski Ph.D. |