1. The Community Preservation Act in Topsfield – August 31, 2004

2. The Community Preservation Coalition
Who We Are
Partnership of advocates for open space, affordable housing and historic preservation
Worked for 15 years to help pass the CPA in the state legislature
Helping communities to understand, adopt and implement CPA.

3. The Community Preservation Act
Allows communities to establish a dedicated fund for:
Open Space
Historic Preservation
Affordable Housing

5. Basics of the Act Local adoption needed
Establishes up to a 3% surcharge
on local property taxes
Requires 10% of monies to be
spent on each of the 3 categories
Allows flexibility for the remaining
70% in each of the 3 categories
Establishes a Community
Preservation Committee
Includes matching funds!

6. Exemptions to the CPA
First $100,000 of property value – exempts the first $100,000 of residential property value from the surcharge.
Low-moderate income – exempts any household that earns less than 80% of area median and any senior (60+) who earns up to 100% of the median.

7. Maximum Incomes for Exemption
One person in household
Two people in household
Four people in household
Seniors (residents over 60)
$57,820
$66,080
Low-income residents
$46,256
$52,864

8. What does that mean for the taxpayer?
Median Assessed Home Value $468,000
* With $100,000 exemption $100,000
Net House Value Surcharged $368,000
Municipal Tax Rate (per $1000) $ 12.20
_______
Amount Subject to Surcharge $4490
CPA Surcharge Rate %
Amount paid toward CPA Fund $135
Based on this scenario, $135 would be paid into the Community Preservation Trust Fund annually

9. CPA Revenue
Based on Topsfield’s 3% surcharge and the included exemptions, the town will collect about $300,000 annually. This amount does not include the state matching funds.

10. Commissioner of Revenue
State Matching Funds
Commissioner of Revenue
Disburses Match
(October 15th)
FY 2002
$17.8 Million
Match
Distribution
FY 2003
$27.2 Million
Match
Distribution
Fund
balance is
more than
$110 million

11. Amending or Repealing the CPA
The CPA must remain in place for at least five years.
After five years the Act can be repealed at any time using the same procedures available for passage of the Act.
Amendments to the surcharge percentage or the authorized exemptions can be made at any time using the same procedures available for passage of the Act.

12. Potential Uses of CPA Funds

13. Historic Preservation
Community Preservation funds may be used for acquisition, preservation, rehabilitation or restoration of a building(s) or real property that:
has been determined by the local historic preservation
commission to be significant in the history, archeology,
architecture or culture of a city or town; or
is listed or eligible for listing on the state register of
historic places
Property Management
Properties acquired through the Community Preservation Fund must be owned and managed by a city or town, but the legislative body can delegate management of properties to the Conservation Commission, Historical Commission, Board of Park Commissioners, or Housing Authority. In the case of properties acquired or protected for future wellhead development a Water Supply District or Fire District can also be delegated management resp9nsibility.
Property Management can also be delegated to non-profit organizations

14. Historic Preservation
Restoration of historic municipal
properties
Adaptive reuse
Capital improvements to existing sites
Reversal of historically inappropriate
alterations
Environmental mitigation
Signage
Grants to private non-profit groups, or
individuals with a preservation easement

15. Open Space Community Preservation funds may be used to:
1. Purchase land
2. Purchase easements or restrictions on land
3. Protect drinking water
4. Protect nature preserves
5. Restore polluted land to its natural state
6. Protect farms and farmland - APR
Eminent Domain:
CP Committee can recommend taking by eminent domain fee or lesser interest in property or waters located in the community.
Must have 2/3rd vote of legislative body
Funds from the CP Fund can be expended as compensation to the property holder
Deed Restrictions:
Real property interest acquires with monies from a CP Fund must be bound by a permanent deed restriction limiting the use of the property to the purpose for which it was acquired.
The deed restriction must run with the land and be enforceable by the community, the Commonwealth, or a nonprofit or charitable corporation foundation selected by the community.
Liability
Any person who steals, mutilates, destroys, damages or cuts any tree, shrub, grass or other real property purchased through the CP Fund is liable to the community for such actions
Damages may be recovered in a city action brought by the community or if requested by the Attorney General. Damages are deposited into the CP Fund of the community in which the violation occurred.

16. Recreation Land can be purchased for :
1. Active and passive recreation
2. Community gardens,
3. Trails,
4. Non-commercial sports
5. Parks, playgrounds or
athletic fields.
Eminent Domain:
CP Committee can recommend taking by eminent domain fee or lesser interest in property or waters located in the community.
Must have 2/3rd vote of legislative body
Funds from the CP Fund can be expended as compensation to the property holder
Deed Restrictions:
Real property interest acquires with monies from a CP Fund must be bound by a permanent deed restriction limiting the use of the property to the purpose for which it was acquired.
The deed restriction must run with the land and be enforceable by the community, the Commonwealth, or a nonprofit or charitable corporation foundation selected by the community.
Liability
Any person who steals, mutilates, destroys, damages or cuts any tree, shrub, grass or other real property purchased through the CP Fund is liable to the community for such actions
Damages may be recovered in a city action brought by the community or if requested by the Attorney General. Damages are deposited into the CP Fund of the community in which the violation occurred.

17. CPA Housing
For families and individuals earning up to 100% of area median ($82,600,000 for a family of four, $66,080 for a couple, $57,820 for 1 person).
Units count under 40B so long as inhabitants earn less than 80% of median.
Other features:
requires a permanent deed restriction
Subject to zoning
All projects are approved locally

18. Community Preservation Committee
Membership: (one from each)
Conservation Commission
Historic Commission
Planning Board
Board of Park Commissioners
Housing Authority
Up to 4 additional members

20. CPA Milestones 65 Adopting Communities
12-15 Communities voting in 2004
More than $116 million appropriated so far
More than 620 units of housing created
More than 4,000 acres of open space protected
More than 150 historic sites preserved

21. For Further Information