HomeMy WebLinkAbout2024-07-09 ad Hoc - Community Preservation Act Study Committee Minutes w rx�o RECEIVED�
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Board - Committee - Commission - Council:
Ad Hoc Community 7reserva[ion Act Study
Commit[ee
Da[e: 2024-07-09 Time: 7:30 PM
Building: Reading Town Hall Location: Conference Room
Address: 16 Lowell Street Session: Open Session
Purpose: General Business Version: Final
Attendees: Members - Present:
Chair Joe Carnahan, Vice Chair Sarah Brukilacchio (remote), Sandy
Ma[athia, Martha Moore; Advisory Member Katie Gallant (remote)
Members - Not Present:
Carlo Bacci, Margare[ Donnelly-Moran, Eric Gaffen
Others Present:
Chase Mack - Communi[y Preservation Coalition (remote), ]ack Devir
(remote)
Minutes Respectfully Submitted By: ]acquelyn LaVerde
Topics of Discussion:
This meeting was held in-person in [he Town Hall Conference Room and remotely via Zoom.
Call to order and welcome
Chair Joe Carnahan called the meetin9 to order at 7:31 pm.
Roll call at[endance: Sarah Brukilacchio (remo[e), Katie Gallant (remote), Sandy Matathia,
Martha Moore, Joe Carnahan.
Di s i wi h Ch M k mm nit Pr ry i n I' '
Chase Mack, Communications Director for the Community Preservation Coalition, joined the
meeting to discuss the Community Preservation Act, and answer questions curated by the
Study Cammittee.
Do you have any too/s for estimating the amount of state matching that a town (such as
Reading) has missed out on in the past?
Mr. Mack stated that while they receive this question from a lot of interested communities,
there are too many variables to be able to answer[hat question. The better question to ask
is what does it look like if you be9in investing now.
How is fhe first-round state matching percentage calculated? Given that the formula is a bit
complicated, how does the CPC usually communicate about the formula fo�state matches7
The Department of Revenue every year knows how much money is collected in the trust
fund. In Oc[ober/November, they calculate 80% which will be distribu[ed in round one.
They look at what each community has collected and figure out what the base match is that
they can provide to each community in round one. Last year, the base match was 21%.
The other 19-20% is disVibuted to the mmmunities that have the 3°/ surcharge, and the
formula is weighted toward the smaller, less affluent communities.
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If we went wi[h a 3% surcharge, what would be fhe size of the semnd and third round
matches for a town like Reading?
The CPA has a decile ranking that the DOR uses to weigh the additional 3%o match funding.
The smaller, less affluent mmmuni[ies have a lower number on the decile ranking.
Wealthier towns are not going to get as much, and Reading is a nine out of ten on that
scale. Mr. Mack advised against a 3% surcharge for Reading, as it would add approximately
$300 per year to the average taz bill, and CPC recommends aiming for $50 per year. The
swee[ spot is around 1%-1.5%, as it is still raising a good amount of funding, but does not
overburden the taxpayers causing them to balk at the voting boo[h.
Can we use CPA funds for mnsultants to help with identi(ying or planning CPA-approp�iate
projects? What is the CGA Adminis[rative Pond?
Up to 5% of CPA revenue can be used for [he administra[ive fund, which is se[ up for the
local Community Preserva[ion Commit[ee to do i[s due diligence in analyzing projects,
proposals, and priorities. So, consultants can be used [o help identify and plan for only CPA
appropriate projects. The administrative account muld not be used for a part-time
archivist, nor would an archivist be eligible for CPA funds, as i[ would be considered
"support", which is not allowable under historic preservation.
In practice, what does CPA adoption mean for multi-family properties, induding condo
owners and rental p�operties? Presumabty, condo owners already pay their own property
taxes more-or-less directly and would be impacted similarly to single-famity homeowners,
but what sort of impact do CPA communities typically see on rents?
Mr. Mack stated tha[ he could not speak to the rent aspec[, as it varies from mmmuniry to
communi[y. But condo owners do see the CPA surcharge on a tax bill. The CPA surcharge
will be applied to all residential and mmmercial taz bills it adop[ed.
Why do CPA adoption rates vary between di(ferent types of election (local versus sta[e
congressional ve(sus state-presidential)?
There has no[ been research interviewing people why they vo[ed for CPA or no[, bu[ [here is
data that proves that higher [urnout elections always benefit CPA adoption proposals. AI
smaller turnout elections, like bcal spring elections, the success rate is about 50%. A[ state
elections, [he success rate is 60%-65°/o. At Presidential elections, the success rate goes up
[o SO°/o. For a program like CPA, the more people learn about it and wha[ it can do Por the
community, the more they are willing to invest.
What are the typical arguments against the CPA? Why does the CPC campaign guide advise
against confronting the people opposed to CPA?
The program derives mos[ of its revenue through a tax increase. People tha[ are agains[
taxes are typically the ones against CPA. The CPCs campaign advice is to no[ waste energy
trying to change their minds. Rather, energy is be[ter spent educating people who do not
know about CPA and are willing to give it a chance. Another argument against CPA is [he
state of the CPA Trust Fund. The match 20 years ago used [o get a full 100% match from
the trust fund. Prior to the 2008 recession, there were far fewer communities in the
program. The Trust Fund ma[ch has decreased from the implementation and is in rough
shape right now. But it is still an investment and there is still a match even if it is not a
dollar-for-dollar match.
When should a ballot mmmit[ee be formed7 �I
When any group decides m start fund raising for a Yes vote for CPA. The group will need to '�.�
register as a ballot question committee. Information on how to register is available through i
the Office of Campaign and Political Finance (OCPF). I,
Did all CPA mmmunities have a ballof committee? ,
No. Some [owns have passed CPA through Town Meeting, with no campaign, and [hen ',
passed at the balloL The CPC does not recommend that approach, as the program benefits �I
from outreach antl etluca[ion. It is bet[er to have a campaign that advocates for CPA, but it
is not a requirement.
Pa9e I 2
What is the relationship (and the constraints on the relationship) between mem6ers of the
Ad Hoc Study Committee and any ballot question committee?In particular, is "CPA for
Natick'"s commingling of study and ballot committee something we should imitate?
Mr. Mack 5[a[ed that he wa5 un5ure if Na[iCk's CPA 5[udy Commit[ee was ever formally
charged by the Board of Selectmen. So, it naturally evolved into a campaign. He also
stated that Natick ran a stellar campaign. He noted tha[ there really is not a conflict of
interest in the relationship between a study mmmittee and a campaign mmmittee, usually
because there is a cutoff poinL The charge of a study commit[ee ends when [hey present
their research to the Select eoard. It is natural Por the Polks who researched it and
understand it best to end up running the campaign. For members of town boards or
committees, [hey can be involved in [he campaign, bu[ may be restricted in their official
capacity. The OCPF would be bes[ able to answer tha[ question. Campaign commi[[ees do
not typically form until aker Town Meeting, or when it is known tha[ the question will be on
the ballot.
Can we vote on CPA in a special eledion that is already being held fo mnsider a debt
exdusion?
No. CPA has to go on the ballot of a regularly scheduled election, such as local spring town
election, or state or presidential election in the fall. However, a vote to put it on [he ballot
can be done at a Special Town Meeting.
What is the history of using peti[ions to put CPA on the ballot?Are they ever used, and if so,
how does that impact the rate of adoption by vote�s?
One third of the Communi[ies that adopted CPA did so through a ballot question petition
ra[her than through Town Mee[inq. One benefit of a ballot question pe[ition is it acts as a
kick start to a campaign by engaging with and educating people. The petition can also be
used as Plan B if it fails at Town Meeting.
The plan Por Readin9 was to get it on the November presidential ballot, but it would be
rushed to get it on the ballot in time. Mr. Mack recommended wai[ing for the fall 2026 state
election, given fhe higher turnout and success rates of those elections. If i[ passed at Town
Meeting this fall, it would qo on Spring 2025 local election ballot, which would have a lower
chance at passing. He does not advise brinqing i[ before Town Mee[ing in spring 2025, then
waiting until the fall 2026 elec[ion, as the campaign will lose all itr steam. The best option
at this time would be to present a proposal a[ spring Town Meeting in 2026, and if it passes,
will advance m the November 2026 state election, which should have a larqer turnout.
Mr. Mack and the Commit[ee continued discussion and addressed several other topics
induding: communities with recent successful and unsuccessful campaigns, most of which
were proposed a[ the 1%a or LS% rate; scenarios to get the question on Town Meeting
Warrant or on the ballot without enough Select Board support; spending CPA revenue; and
how the CPA Trust Fund derives its revenue from Registry of Deeds surcharge fees.
Liaison reoorts
Joe Carnahan stated that he informed the Finance Committee that the CPA Study
Committee has begun its work. He also noted [hat he contacted Principal Assessor Victor
Santaniello, who provided a spreadsheet of the assessed single family residential property
values in town. The avera9e home is $850,000, the 10°M1 percentile is $650,000, and the
90°" percentile is $1148 million. So, a 1% CPA surcharge would range from an additional
$65 for the lowest assessed values, to $83 for the median, and $123 Por [he highest home
values.
Discuss and vote on recommendation for November ballot
Because there were so many members not in attendance this evening, the Committee opted
to wait until the next meeting to wte on a recommendation to the Select eoard. They did
discuss making a recommendation to the Select Board in two steps, first by ezplaining [hat
it is not likely that CPA will make it on[o the November ballot, then by making a
recommendation of when to put it on the ballot They discussed the benefits of ge[ting it on
the November ballot, such as getting on the ballot ahead of the other anticipated debt
Page � 3
exdusions Por the Killam School and the Senior Center, versus the risk of there just not
being enough time between now and November and having it fail.
Discuss future meetinas and aaendas
Some Committee members had scheduling conflicts arise since the July 23r° meeting was
scheduled. Staff will coordinate with members to reschedule, preferably for Tuesday, ]uty
30'^, but with August 6°M1, and 13°^, as potential backup dates. At their nezt mee[ing, the
Committee will discuss their initial remmmendation to the Select Board, along wi[h possible
semnd remmmendation, discuss asking [he Selec[ Board [o ez[end the charge, discuss
Natick's adoption if a contact person is available, and continue to discuss standing topics.
Discuss and aoorove meetina minutes from ]une 25. 2024
On a motion by Martha Moore, seconded by Sandy Matathia, the Ad Hoc
Community Preservation Act Study Committee voted 4-0-0 to approve the meeting
minutes of June 24, 2024 as presented.
Roll call vote: Sarah Brukilacchio - Ves, Sandy Matathia - Yes, Martha Moore -
Ves, ]oe Carnahan - Yes.
On a motion by Sandy Matathia, seconded by Martha Moore, the Ad Hoc
Community Preservation Act Study Committee voted 4-0-0 to adjourn at 9:54 pm.
Roll call vote: Sarah erukilacchio - Yes, Sandy Matathia - Yes, Martha Moore -
ves, Joe Carnahan - Ves.
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