On September 14, 2000, Governor Paul A. Cellucci signed into law the Community Preservation Act.
The CPA allows cities and towns to create funding mechanisms that address any one or more of the following community preservation concerns:
· Open space acquisition
· Historic preservation
· Affordable housing
The goal of the CPA is to preserve community character by providing a revenue stream to address specific, locally-determined community preservation initiatives. Under the CPA, a city or town that accepts sections 3 to 7, inclusive, shall establish a Community Preservation Committee, consisting of not less than 5 nor more than 9 members. The Committee shall include, but not be limited to, one member representing the Planning Board, one representing the Conservation Commission, one representing the Park and Recreation commission, one representing the Housing Authority, and one representing the Historic Preservation Commission. The Committee is charged with researching local priorities and needs, with the advice and input of the public. Then, the Committee may recommend acquisitions and expenditures.
Funding is a combination of locally-raised money and a match provided by the state. The CPA allows participating communities to create a local Community Preservation Fund through a property tax surcharge of up to 3%, with the precise surcharge fixed by each individual community. Certain exemptions set forth in the statute, such as exemptions for low-income senior citizens, may be included. Local funds raised through the property tax surcharge are matched with state funding, thus providing an incentive for communities to pass and participate in the CPA.
The resources available to those communities who participate in the CPA are not insubstantial. The Massachusetts Department of Revenue has distributed matching funds to participating cities and towns of more than $17 million in FY’03, $27 million in FY’04, $30 million in FY’05, $46 million in FY’06, and $58 million in FY’07.
The CPA becomes effective only upon local adoption. Municipalities must adopt the CPA by ballot referendum. Thus far, 119 of the 351 cities and towns in Massachusetts have adopted the CPA. All of them have begun to raise funds locally, and have or will receive state matching funds.