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Special Town Meeting

Wednesday, April 4, 2007 at 6:00 p.m.

   
Meeting Called to Order: Town Moderator Mary-Jo Avellar convened the meeting at 6:05 p.m. on Wednesday, April 4, 2007 in the Town Hall Auditorium. Provincetown Student Poet Laureate Chad Edwards read an original poem to open the Town Meeting. 

 

Preliminary motions:

 

Cheryl Andrews moved that the Town vote to waive the reading of the warrant. Motion Passed.

 

Cheryl Andrews moved that the Town vote to grant permission to speak at the April 4, 2007 Special Town Meeting to the following persons who are not registered voters of the Town of Provincetown:

Chad Edwards, Provincetown High School Student Poet Laureate; John W. Giorgio, Esq., and other attorneys of the firm of Kopelman & Paige, P.C., Town Counsel; Alexandra Heilala, Town Accountant; Beau Jackett, Information Systems Director; Michelle Jarusiewicz, Acting Assistant Town Manager; Matthias Mulvey, Interim Building Commissioner; Maxine Notaro, Permit Coordinator; Dr. Floriano Pavao, PHS Principal; Warren D. Tobias, Acting Chief of Police; and Betty White, Administrative Assistant for Business and Finance, School Department. Motion Passed.

 

Cheryl Andrews moved that on all matters to come before the April 4, 2007 Special Town Meeting, requiring a two-thirds vote by statute, that a count need not be taken unless the vote so declared is immediately questioned by seven or more registered voters. Motion Passed.

 

Article 1.      Phase II Sewer Project. To see if the Town will vote to appropriate and borrow the sum of $175,000 for Phase II of the sewer project, with said borrowing authority contingent upon the voters approval of a Proposition 2½ override ballot question, in accordance with the provisions of MGL C. 59, §21C(m); with said sum to be expended under the direction of the Town Manager and the Board of Selectmen for the development of plans and specifications for optimization and expansion to the Town’s sewerage systems, and including without limitation all costs defined under C.29C,§1 of the General Laws; and to raise said appropriation the Town Treasurer, with the approval of the Board of Selectmen, is authorized to borrow said sum of money under and pursuant to C.44,§7(1) and/or C.29C of the General Laws, or any other enabling authority, and to issue bonds or notes of the Town therefor; and that to the extent that any State, Federal or other funds are or become available for the purposes set forth above, the Board of Selectmen is authorized to apply for and accept such funds; and, further, the Town votes to authorize the Water and Sewer Board to assess one hundred percent of the project cost to the Town upon those who benefit from the project, such assessments to be made by the Uniform Unit method as provided by General Laws Chapter 83, Section 15;  or to take any other action relative thereto.

[Requested by the Board of Selectmen]

 

BD OF SELECTMEN RECOMMENDS INDEFINTE POSTPONEMENT: 3-0-0

FINANCE COMMITTEE RECOMMENDS: 6-1-0

CONSERVATION COMMISSION RECOMMENDS: 3-0-0

 

Cheryl Andrews moved that the Town vote to indefinitely postpone action on Article 1. Motion Passed.

 

Article 2.      Community Preservation Funds for Community Housing Phase II Sewer Costs. To see if the Town will vote to hear and act on the report of the Community Preservation Committee, to appropriate from Community Preservation Fund revenues, as recommended by the Community Preservation Committee, the sum of $100,000 of community housing funds to create a fund to reserve 20,000 GPDs of Title 5 design flow for community housing to be built in Phase II of the sewer project, provided that amounts expended hereunder shall be repaid to the Community Preservation Fund by the developer of such community housing upon issuance of the final betterment assessment by the Water & Sewer Board; or to take any other action relative thereto.

 [Requested by the Community Preservation Committee]

 

COMMUNITY PRESERVATION COMMITTEE RECOMMENDS: 7-0-0

BOARD OF SELECTMEN RECOMMENDS: 3-0-0

FINANCE COMMITTEE RECOMMENDS: 8-0-0

LOCAL HOUSING PARTNERSHIP RECOMMENDS: 4-0-0

HOUSING AUTHORITY RECOMMENDS: 4-0-1

BOARD OF HEALTH RECOMMENDS: 4-0-1

WATER & SEWER BOARD RECOMMENDS: 3-0-0

 

Elaine Anderson move that the Town vote to transfer from the Community Preservation Fund community housing reserve the sum of $100,000 for the purposes specified in Article 2. Motion Passed.

 

Article 3.      Establishment of Provincetown Community Housing Council. To see if the Town will vote to establish the Provincetown Community Housing Council, to be comprised of five regular and two alternate members appointed by the Board of Selectmen for staggered three-year terms. It shall be the function of said council to oversee the Provincetown Housing Office; to perform all of the functions of the Provincetown Local Housing Partnership, which shall be abolished upon the appointment of members to said council; and to administer the Affordable Housing Trust Fund established under Chapter 230 of the Acts of 2002 upon the transfer of said function from the Provincetown Housing Authority; and to vote to instruct its senator and representative in the General Court to file a home rule petition for a special act to read as follows:

SECTION 1. The second sentence of Section 1 of Chapter 230 of the Acts of 2002 is hereby amended to read as follows: “Expenditures from the Affordable Housing Trust Fund shall be authorized by a majority vote of said housing authority, in consultation with the Provincetown housing partnership the Provincetown Community Housing Council.”

SECTION 2. This act shall take effect upon its passage.

The General Court may only make clerical or editorial changes of form to the bill, unless the Board of Selectmen approves amendments to the bill before enactment by the general court.  The Board of Selectmen is hereby authorized to approve amendments which shall be within the scope of the general public objectives of this petition; or to take any other action relative thereto.

[Requested by the Board of Selectmen and the Town Manager]

 

BOARD OF SELECTMEN RECOMMENDS: 3-0-0

FINANCE COMMITTEE RECOMMENDS: 6-0-0

LOCAL HOUSING PARTNERSHIP RECOMMENDS: 4-0-0

HOUSING AUTHORITY RECOMMENDS: 5-0-0

COMMUNITY PRESERVATION COMMITTEE RECOMMENDS: 5-0-0

 

Cheryl Andrews moved that the Town vote to approve Article 3 as printed in the warrant with the following amendments:

(1) By amending the first sentence of said article to reads as follows: “to vote to establish the Provincetown Community Housing Council, to be comprised of four regular and two alternate members appointed by the Board of Selectmen, and one regular member appointed by the Housing Authority, all for staggered three-year terms.” and

(2) by adding, “further, that the Town vote to amend the Provincetown General By-laws deleting all references therein to the ‘Provincetown Local Housing Partnership [PLHP]’ and inserting in place thereof ‘Provincetown Community Housing Council [PCHC].’” Motion Passed.

 

Article 4.      Zoning Amendment – Provincetown Community Housing Council. To see if the Town will vote to amend the Provincetown Zoning By-laws by deleting all references therein to the “Provincetown Local Housing Partnership [PLHP]” and inserting in place thereof “Provincetown Community Housing Council [PCHC],” or to take any other action relative thereto.

[Requested by the Board of Selectmen, the Housing Authority, and the Town Manager]

 

BOARD OF SELECTMEN RECOMMENDS: 3-0-0

PLANNING BOARD RECOMMENDS: 3-0-0

LOCAL HOUSING PARTNERSHIP RECOMMENDS: 4-0-0

HOUSING AUTHORITY RECOMMENDS: 5-0-0

 

Zoning Amendment - 2/3’s vote required

 

Richard Olson moved that the Town vote to amend the Provincetown Zoning By-laws by deleting all references therein to the “Provincetown Local Housing Partnership [PLHP]” and inserting in place thereof “Provincetown Community Housing Council [PCHC].”  Motion Passed. (2/3rd’s Vote Declared)

 

Article 5.      Home Rule Petition Provincetown Community Housing Bank – Real Estate Transfer Fee. To see if the Town will vote to instruct its senator and representative in the General Court to file a home rule petition for a transfer fee equal to 1.5 percent and paid by the seller on the sale of all property, providing that: (a) all primary residences be allowed to first exempt from the fee an amount equal to the median price of a home sold in Barnstable County for the previous calendar year ($360,000 in 2005); (b) there be public accountability to insure that the funds collected shall be dedicated effectively to the creation and preservation of affordable/community housing opportunity serving a population earning up to 150 percent of area median income and (c) the transfer fee cease ten years after its initial implementation; with said special act to read as follows:

SECTION 1. For the purposes of this act, the words and phrases set forth in this section shall have the following meanings:

"Community Housing", rental and home ownership housing units for use by those residents of Provincetown earning 150 per cent or less of the median household income for  Barnstable county,  as calculated and adjusted for household size annually by the federal Department of Housing and Urban Development (HUD); this percentage of median income, should economic conditions warrant a change, can be adjusted by a majority vote of the community housing council.

"Eligible Applicants", non-profit and for-profit corporations and organizations, individuals, and public entities.

"Housing Bank", the Provincetown Community Housing Bank, established by section 2.

"Community housing council", the Provincetown Community housing council, established by section 3.

"Legal representative", with respect to any person, shall mean any other person acting under a written power-of-attorney executed by that person, but any affidavit attesting to the true and complete purchase price of real property, submitted to the community housing council under section 9, may also be signed on behalf of that person by an attorney admitted to practice in the commonwealth.

"Purchaser", the transferee, grantee or recipient of any real property interest.

"Purchase price", all consideration paid or transferred by or on behalf of a purchaser to a seller or a seller's nominee, or for the seller's benefit, for the transfer of any real property interest, including, but not limited to, all cash or other property paid or transferred by or on behalf of the purchaser to discharge or reduce any obligation of the seller; the principal amount of all notes or their equivalent, or other deferred payments, given or promised to be given by or on behalf of the purchaser to the seller or the seller's nominee; the outstanding balance of all obligations of the seller which are assumed by the purchaser or to which the real property interest transferred remains subject after the transfer, determined at the time of transfer but excluding real estate taxes or other municipal liens or assessments which are not overdue at the time of the transfer; and the fair market value at the time of transfer of any other consideration or thing of value paid or transferred by or on behalf of the purchaser, including, but not limited to, any property, goods or services paid, transferred or rendered in exchange for the real property interest.

"Real property interest", any present or future legal or equitable interest in or to real property, and any beneficial interest therein, including the interest of any beneficiary in a trust which holds any legal or equitable interest in real property; the interest of a partner or member in a partnership or limited liability company, the interest of a stockholder in a corporation, the interest of a holder of an option to purchase real property, the interest of a buyer or seller under a contract for purchase and sale of real property, and the transferable development rights created under Massachusetts General Laws chapter 183A; but shall not include any interest which is limited to any of the following:  the dominant estate in any easement or right of way; the right to enforce any restriction; any estate at will or at sufferance; any estate for years having a term of less than thirty years; any reversionary right, condition, or right of entry for condition broken;  and the interest of a mortgagee or other secured party in any mortgage or security agreement.

"Seller", the transferor, grantor or immediate former owner of any real property interest.

"Time of transfer", of any real property interest shall mean, the time that the transfer is legally effective between the parties to the transfer, and, with respect to a transfer evidenced by an instrument recorded with the appropriate registry of deeds or filed with the assistant recorder of the appropriate registry district, not later than the time of the recording or filing.

SECTION 2. There shall be a Provincetown Community Housing Bank, to be administered by a community housing council established by section 3, for the purpose of providing funding for community housing as set forth in section 5. The Housing Bank shall be a body politic and corporate and a public instrumentality, and the exercise of the powers conferred upon the Housing Bank by this act shall be considered to be the performance of an essential governmental function.

SECTION 3. 

(a) The Provincetown Community Housing Bank shall be administered by a community housing council consisting of five (5) regular and two (2) alternate members who are legal residents of Provincetown, each person to be appointed to a three (3) year term by the Provincetown board of selectmen. The initial terms, which will be drawn by lot by the initial five appointed members, shall be staggered so that two members are appointed each year, and in the third year, one member appointed.

(b) Administration: Members shall serve without compensation. The community housing council shall elect a chairman and a vice chairman from among their regular members and shall elect a secretary and a treasurer who may be the same person, and who need not be members of the community housing council. The members of the community housing council shall adopt, after holding a public hearing, rules and regulations for conducting its internal affairs and procedural guidelines for carrying out its responsibilities under this act.

(c) Quorum: A quorum for the Provincetown community housing council shall be three or more members. Decisions of the community housing council shall be by majority vote at a meeting where a quorum is present. The Community Housing Council may make rules regarding attendance. The Community Housing Council shall keep accurate records of its meetings and actions and shall file annual reports that shall be distributed with the annual report of the Town of Provincetown. The Community housing council shall be classified as a municipal agency for purposes of chapter 268A of the General Laws, and be subject to the open meeting law (chapter 39, sections 23A, 23B and 23C of the General laws).

SECTION 4A. The community housing council shall (a) provide funding as has been first approved by an annual or special town meeting of the town of Provincetown, in the form of grants, loans, loan guarantees, lines of credit, interest subsidies, rental assistance or any other means determined to further the goals of the housing bank for eligible community housing activities under section 5, (b) accept gifts of funds to further the purposes of the housing bank; (c) prepare an annual budget, provided however no more than 5% of all funds received by the housing bank during any fiscal year may be spent for administration purposes without approval by an annual or special town meeting of the town of Provincetown, (d) hire staff and obtain professional services that are necessary in order to perform its duties; (e) adopt regulations and procedures that it considers necessary or appropriate, subject to this act, regarding the use and investment of its funds and the keeping of records and accounts; (f) adopt  procedures in the form of rules and regulations that it considers necessary or appropriate setting forth its programmatic goals, policies and recommendations to serve as standards for decisions to provide funding for  programs under section 5, provided however, such procedures shall not take effect until approved by an annual or special town meeting of the town of Provincetown; and (g) enter into and enforce contracts that it considers necessary to achieve the goals of this legislation.

SECTION 4B.  The Town of Provincetown may appropriate money to be deposited in the Provincetown Housing Fund as provided in said section 7A. The Town of Provincetown is hereby further authorized to provide funds to repay any notes or bonds of the town issued pursuant to this section and, when authorized by a two thirds vote of town meeting as defined in G.L. Chapter 44. section. 1, to incur debt of the town for such purposes in accordance with the provisions of G. L. Chapter 44, section 7(3).

SECTION 4C. The housing bank may issue bonds and notes to further the purposes of the housing bank but only if the issuance of these bonds or notes has been approved by a two thirds majority vote at a Provincetown town meeting.  The proceeds of such bonds or notes may be used to pay, in whole or in part, for the purposes set forth in section 4A of this act, reserves for debt service and other expenses, to pay consulting appraisal advisory and legal fees and costs incidental to the issuance and sale of such bonds and notes, to purchase, refund or renew bonds or notes previously issued and to pay an other costs and expenses of the community housing council necessary for the accomplishment of its purposes. Bonds or notes issued pursuant to this act shall be authorized by the council which shall have full power and authority to determine the amount, form, terms, conditions, provisions for payment of interest and all other details thereof and to provide for the sale and issuance at such price and in such manner as the Council shall determine subject only to any limitation set forth in this Act. Unless the town of Provincetown shall have authorized by two-thirds vote of a town meeting the pledging of the full faith and credit of the town of Provincetown to secure an issue of bonds or notes of the housing bank, all bonds or notes issued hereunder shall be payable solely from the fees and other revenues of the housing bank pledged to their payment and shall not be deemed a pledge of the full faith and credit of the Town of Provincetown, the Commonwealth of Massachusetts or any political subdivision thereof.

The Community housing council may enter into any agreements, including without limitation a loan agreement and a trust agreement, necessary to effectuate and to secure any bonds or notes issued by the housing bank.  Such agreements may pledge or assign, in whole or in part, the revenues and other money held or to be received by the housing bank.  Such agreements may contain such provisions for protecting and enforcing the rights, security and remedies of the holders of such bonds or notes, including, without limiting the generality of the foregoing, provisions defining defaults and providing for remedies in the event thereof which may include the acceleration of maturities and covenants setting forth the duties of, and limitations on, the housing bank in relation to the custody, safeguarding, investment and application of money, the issuance of additional debt obligations, the use of any surplus proceeds of the borrowing, including any investment earnings thereon, and establishment of special funds and reserves.

The pledge of any such agreement shall be valid and binding and shall be deemed continuously perfected for the purposes of the Uniform Commercial Code from the time when the pledge is made; the revenues, money, rights and proceeds so pledged and then held or thereafter acquired or received by the housing bank shall immediately be subject to the lien of such pledge without any physical delivery or segregation thereof or further act; and the lien of any such pledge shall be valid and binding against all parties having claims of any kind in tort, contract or otherwise against the town or county, irrespective of whether such parties have notice thereof.  No document by which a pledge is created need be filed or recorded except in the records of the housing bank and no filing need be made under the Uniform Commercial Code.

The trustee with respect to any such trust agreement entered into pursuant to this section shall be a trust company or a bank having the powers of a trust company within the commonwealth.  Any such trust agreement may provide that any money received thereunder may be held, deposited or invested by the trustee, notwithstanding the provisions of section 7A pending the disbursement thereof, in any deposits or investments which are lawful for the funds of savings banks and shall provide that any officer with whom or any bank or trust company with which such money shall be deposited shall act as trustee of such money and shall hold and apply the same for the purposes hereof and thereof, subject to such regulation or limitation as this act or such trust agreement may provide.

It shall be lawful for any bank or trust company within the Commonwealth to act as depository of the proceeds of bonds or notes, revenues or other money hereunder and to furnish such indemnifying bonds or to pledge such security, if any, as may be required by the Council.  Any trust agreement entered into pursuant to this section may set forth the rights and remedies of the holders of any bonds or notes and of the trustee and may restrict the individual rights of action by any such holders.  In addition to the foregoing, any such trust agreement may contain such other provisions as the Council may deem reasonable and proper.  All expenses incurred in carrying out the provisions of such trust agreement may be treated as part of the cost of operation of the housing bank and paid from the revenues or other funds pledged or assigned to the payment of the principal of and the premium, if any, and interest on the bonds or notes or from any other funds available to the housing bank.  In addition to other security provided herein or otherwise by law, bonds or notes issued under this section may be secured, in whole or in part, by insurance or by letters or lines of credit or other credit facilities issued to the housing bank by any bank, trust company or other financial institution, within or without the Commonwealth, and the housing bank may pledge or assign any of its revenues as security for the reimbursement by the housing bank to the issuers of such letters or lines of credit, insurance or credit facilities of any payments made thereunder.

SECTION 4D.  If at any time any principal or interest is due or about to come due on any bonds or notes of the housing bank to secure which the full faith and credit of the town of Provincetown shall have been pledged and funds to pay the same are not available, the Council shall certify to the town treasurer and selectmen of the town the amount required to meet such obligations and the town treasurer shall thereupon pay over to the housing bank the amount so certified from any funds in the treasury.  For the purpose of providing or restoring to the treasury the sums so paid over to the housing bank, the town treasurer, with the approval of the selectmen, is authorized to incur debt outside the town's debt limit and issue notes therefore for a period not exceeding two years and to renew or refund the same from time to time until the town shall have received from the housing bank sufficient funds to repay such notes and the interest thereon in full.  Whenever the town shall have been required to pay over any sums of money to the housing bank under this section, the housing bank shall be precluded from issuing any grants or purchasing, constructing or making improvements to land or housing, or issuing any of its bonds or notes for purposes other than repaying the town, until the housing bank shall have repaid the town in full for all sums paid to the housing bank hereunder, including interest on any notes issued for such purpose, unless the town shall have appropriated sufficient funds for such purpose at a town meeting.

SECTION 4E.  Bonds and notes issued under the provisions of this act are hereby made securities in which all public officers and public bodies of the Commonwealth and its political subdivisions, all insurance companies, trust companies in their commercial departments, savings banks, cooperative banks, banking associations, investment companies, executors, administrators, trustees and other fiduciaries may properly and legally invest funds, including capital in their control or belonging to them.  Such bonds and notes are hereby made securities that may properly and legally be deposited with and received by any state or municipal officer or any agency or political subdivision of the Commonwealth for any purpose for which the deposit of bonds or obligations of the Commonwealth is now or may hereafter be authorized by law.

SECTION 4F.  Notwithstanding any of the provisions of this act or any recitals in any bonds or notes issued under this act, all such bonds and notes shall be deemed to be investment securities under the Uniform Commercial Code.

SECTION 4G. The Housing Bank's revenues and income will be used solely for the furtherance of its public purposes and shall be exempt from taxation. The Housing Bank and all its revenues, income and real and personal property used solely by the Housing Bank in furtherance of its public purposes from the date of acquisition thereof, shall be exempt from taxation and from betterments and special assessments and the Housing Bank shall not be required to pay any tax, excise or assessment to or for the Commonwealth or any of its political subdivisions.  Bonds and notes issued by the Housing Bank, their transfer and the income therefrom, including any profit made on the sale thereof, shall at all times be exempt from taxation within the Commonwealth.

SECTION 4H.  With authorization of an annual or special town meeting of the town of Provincetown as provided for in section 4C of this Act, bonds and notes may be issued under this act without obtaining the consent of any department, division, commission, council, board, bureau or agency of the town of Provincetown, except that the full faith and credit of the town of Provincetown shall not be pledged for the payment of such bonds or notes unless such pledge shall have been authorized by a two-thirds vote as provided in this Act, and without any other proceedings or the happening of any other conditions or things than those proceedings, conditions or things which are specifically required therefore by this act.  The validity of and security for any bonds and notes issued by the housing bank shall not be affected by the existence or nonexistence of any such consent or other proceedings, conditions or things.

SECTION 5. The Provincetown Community Housing Bank shall be a funding agency only, but may acquire by purchase, lease or gift offices for its operation, and may enter into leasebacks, mortgages or other loans for this purpose. Upon receiving applications from eligible applicants in a competitive process which will include public notice of funding availability, and in a form prescribed by the council, and upon compliance with the provisions of section 4A of this Act, the housing bank will provide funding for eligible community housing activities as defined below, while respecting special Provincetown habitats. The housing bank shall, wherever possible, give preference to (a) the reuse of existing buildings, and (b) construction of new buildings on previously developed sites.

Eligible community housing activities for receipt of funding shall include, but not be limited to, the following:

(a) Purchase and rehabilitation of existing structures for rental or home ownership;

(b) Construction of rental or home ownership housing and necessary on-site or off site infrastructure, including mixed use development;

(c) Purchase of land, and any and all improvements including easements;

(d) Down payment assistance, grants and soft second loans;

(e) Rental assistance programs;

(f) Modernization and capital improvements of existing rental and ownership housing;

(g) Creation of apartments and other ancillary housing;

(h) Housing counseling, predevelopment costs and technical assistance associated with creating community housing projects and programs; and

(i) Mixed -use development projects.

SECTION 6. All housing units created by funding from a housing bank under this act shall be deed restricted in perpetuity for use as community housing as defined in section 1 of this act, except in cases when the community housing council determines that a deed restriction is not feasible, and except in cases when the community housing council makes a finding that such a deed restriction would delay, prevent or otherwise defeat the purpose of developing and making available to the public Community Housing.

SECTION 7A. The Community housing council shall meet its financial obligations by drawing upon a fund to be set up as a revolving or sinking account of the community housing council in the treasury of the Town of Provincetown. Deposits into the Provincetown Housing Fund shall include (a) funds appropriated, borrowed or transferred to be deposited into the fund by vote of the town meeting; (b) voluntary contributions of money and other liquid assets to the fund; and (c) revenues from fees imposed upon the transfer of real property interests under section 9 occurring in Provincetown after the effective date of this act as set forth in section 15. Grants or gifts of money or other assets to the housing bank shall be subject to any restrictions or limitations imposed by the grantor or donor.  All expenses lawfully incurred by the Community housing council in carrying out this act shall be evidenced by proper vouchers and shall be paid by the treasurer of the town of Provincetown only upon submission of warrants duly approved by the community housing council. The community housing council treasurer shall prudently invest available assets of the fund under the regulations and procedures adopted by the community housing council under clause (f) of section 4A, and all income from investments shall accrue to the fund.

SECTION 8. The community housing council shall keep a full and accurate account of its actions including a record of when, from or to whom, and on what account money has been paid or received under this act. These records shall be subject to examination by the director of accounts or the director's agent under section 45 of chapter 35 of the General Laws.  There shall be an annual audit conducted by a duly recognized accounting firm, and a copy of that audit shall be distributed to the Board of Selectmen of the Town of Provincetown. However, schedules of beneficiaries of trusts, lists of stockholders of corporations, lists of partners, partnership agreements, tax returns, and other materials deemed by the Council to be private to a particular entity or individual, which are filed with the Council for the purposes of determining or fixing the amount of fee imposed by this Act for any transfer or for the purpose of determining the existence of any exemption pursuant to this act shall not be public records for the purposes of section 10 of chapter 66 of the General Laws.

SECTION 9. There is hereby imposed a fee equal to one-and-one-half per cent of the purchase price upon the transfer of any interest in real property located within the Town of Provincetown. The fee shall be the liability of the seller of the real property interest, and any agreement between the purchaser and the seller or any other person with reference to the allocation of the responsibility for bearing this fee shall not affect the liability of the seller. This fee shall be paid to the Provincetown community housing council or its designee.  Fees shall be accompanied by a copy of the deed or other instrument evidencing the transfer, if any, and an affidavit signed under oath or under the pains and penalties of perjury by the seller or the seller's legal representative, attesting to the true and complete purchase price and the basis, if any, upon which the transfer is claimed to be exempt in whole or in part from the fee imposed. The community housing council, or its designee, shall promptly execute and issue a certificate stating that the appropriate fee has been paid or that the transfer is exempt from the fee and stating the basis for the exemption. The register of deeds for Barnstable county, and the assistant recorder for the registry district of Barnstable county, shall not record or register, or receive or accept for recording or registration, any deed, except a mortgage deed, for any real property interest located in Provincetown unless this certificate is attached. Failure to comply with this requirement shall not affect the validity of any instrument. The Community housing council shall deposit all fees received under this section with its treasurer as part of the fund established by section 7A. The fee imposed under this section shall be due at the time of transfer of the real property interest.

SECTION 10. At any time within seven days after the issuance of the certificate of payment of the fee imposed by section 9, the seller or the seller's legal representative may return the certificate to the community housing council or its designee for cancellation, together with an affidavit signed under oath or under the pains and penalties of perjury that the transfer has not been consummated.  After receiving this certificate and affidavit, the community housing council shall in due course return the fee to the seller or the seller's legal representative.

SECTION 11. The following transfers of real property interests shall be exempt from the fee established by section 9. Except as otherwise provided, the seller shall have the burden of proof that any transfer is exempt under this section and any otherwise exempt transfer shall not be exempt in the event that such transfer (by itself or as part of a series of transfers) was made for the primary purpose of evading the fee imposed by Section 9.

(-a-) Transfers to the government of the United States, the commonwealth, and any of their instrumentalities, agencies or subdivisions, including but not limited to transfers to the Town of Provincetown and the Provincetown Housing Authority.

(-b-) Transfers which, without additional consideration, confirm, correct, modify or supplement a transfer previously made.

(-c-) Transfers made as gifts without consideration.  In any proceeds to determine the amount of any fee due hereunder, it shall be presumed that any transfer for consideration of less than fair market value of the real property interests transferred was made as a gift without consideration to the extent of the difference between the fair market value of the real property interests transferred and the amount of consideration claimed by the seller to have been paid or transferred, if the purchaser shall have been at the time of transfer the spouse, the lineal descendant, or the lineal ancestor of the seller, by blood or adoption, and otherwise it shall be presumed that consideration was paid in an amount equal to the fair market value of the real property interests transferred, at the time of transfer.

(-d-) Transfer to the trustees of a trust in exchange for a beneficial interest received by the seller in such trust; distributions by the trustees of a trust to the beneficiaries of such trust.

(-e-) Transfers by operation of law without actual consideration, including but not limited to transfers occurring by virtue of the death or bankruptcy of the owner of a real property interest.

(-f-) Transfers made in partition of land and improvements thereto, under chapter two hundred and forty-one of the General Laws.

(-g-) Transfers to any charitable organization as defined in clause Third of section five of chapter fifty-nine of the General Laws, or any religious organization, provided that the real property interests so transferred will be held by the charitable or religious organization solely for its public charitable or religious purposes.

(-h-) Transfers to a mortgagee in foreclosure of the mortgage held by such mortgagee, and transfers of the property subject to a mortgage to the mortgagee in consideration of the forbearance of the mortgagee from foreclosing said mortgage.

(-i-) Transfers made to a corporation or partnership or limited liability company at the time of its formation, pursuant to which transfer no gain or loss is recognized under the provisions of section three hundred and fifty-one or seven hundred and twenty-one of the Internal Revenue Code of 1986, as amended; provided, however, that such transfer shall be exempt only in the event that (i) with respect to a corporation, the transferor retains an interest in the newly formed corporation which is equivalent to the interest the transferor held prior to the transfer, or (ii) with respect to a partnership or limited liability company, the transferor retains after such formation rights in capital interests and profit interests within such partnership or limited liability company which are equivalent to the interest the transferor held prior to the transfer.

(-j-) Transfers made to a stockholder of a corporation in liquidation or partial liquidation of the corporation, and transfers made to a partner of a partnership or to a member of a limited liability company in dissolution or partial dissolution of the partnership or limited liability company; but the transfer shall be exempt only if (i) with respect to a corporation, the transferee receives property (including real property interests and other property received) which is the same fraction of the total property of the transferor corporation as the fraction of the corporation's stock owned by the transferee prior to the transfer or (ii) with respect to a partnership or limited liability company, the transferee receives property (including real property interests and other property received) which is the same fraction of the property of the partnership or limited liability company as the fraction of the capital and profit interests in the transferor formerly owned by the transferee.

(-k-) Transfers consisting of the division of marital assets under the provisions of section thirty-four of chapter two hundred and eight of the General Laws or other provisions of law.

(-l-) Transfers of property consisting in part of real property interests situated in Barnstable county and in part of other property interests, to the extent that the property transferred consists of property other than real property situated in Barnstable county; provided that the purchaser shall furnish the Council with such information as it shall require or request in support of the claim of exemption and manner of allocation of the consideration for such transfers.

(-m-)  The first amount equal to the median price of a single family home sold in Barnstable County for the previous calendar year of the sale price of any transfer or series of transfers of real property interests in a single parcel, provided, however, that such an exemption shall be applied only to the principal residence of a taxpayer as used by the taxpayer for income tax purposes. 

(-n-)  Transfers of minority interests in corporations, trusts, partnerships or limited liability companies which are publicly traded, which trades are not part of a series of transfers which together constitute a transfer of control of a corporation, trust, partnership or limited liability company.

SECTION 12. A seller who fails to pay all or any portion of the fee established by section 9 on or before the time when the fee is due shall be liable for the following additional payments in addition to the fee:

(a) Interest. The seller shall pay interest on the unpaid amount of the fee to be calculated from the time of transfer at a rate equal to prime rate at the time of transfer plus 1 per cent per annum, adjusted each year in accordance with changes in prime rate.

(b) Penalties. Any person who, without fraud or willful intent to defeat or evade a fee imposed by section 9, fails to pay all or a portion of the fee within 30 days after the time of transfer, shall pay a penalty equal to five per cent of the outstanding fee as determined by the community housing council for each month or portion of a month that the fee is not paid in full, but in no event shall the amount of any penalty imposed under this paragraph exceed 25 per cent of the unpaid fee due at the time of transfer. Whenever the community housing council determines that all or a portion of a fee due under section 9 was unpaid due to fraud with intent to defeat or evade the fee, a penalty equal to the amount of the fee as determined by the community housing council shall be paid by the seller in addition to the fee.

SECTION 13A. (a) The Community housing council shall notify a seller by registered or certified mail of any failure to discharge in full the amount of the fee due under section 9 and any penalty or interest assessed. The Community housing council shall grant a hearing on the matter of the imposition of the fee, or of any interest or penalty assessed, if a petition requesting a hearing is received by the Community housing council within 30 days after the mailing of the notice. If the Council has determined that a fee is due by asserting the application of the evasion of fee doctrine described in section 11 of this Act, then the seller shall have the burden of demonstrating by clear and convincing evidence as determined by the Council that the transaction possessed both: (i) a valid, good faith business purposes other than avoidance of the fee set forth in section 9 of this Act and (ii) economic substance apart from the asserted fee avoidance benefit. In all such cases the seller shall also have the burden of demonstrating by clear and convincing evidence as determined by the council that the asserted non-fee-avoidance business purpose is commensurate with the amount of the fee pursuant to section 9 to be thereby avoided.  The Community housing council shall notify the seller in writing by registered or certified mail of its determination concerning the deficiency, penalty or interest within 15 days after the hearing. Any party aggrieved by a determination of the Community housing council concerning a deficiency, penalty or interest may, after payment of the deficiency, appeal to the district or superior court within 3 months after the mailing of notification by the Community housing council.

Upon the failure to timely petition for a hearing, or appeal to the court, within the time limits established in this paragraph, the seller shall be bound by the terms of the notification, assessment or determination, and shall be barred from contesting the fee or any interest and penalty, as determined by the Community housing council. All decisions of these courts shall be subject to appeal. Every notice to be given under this section by the Community housing council shall be effective if mailed by certified or registered mail to the seller at any available legal address of the seller, or at the address stated in a recorded or registered instrument by virtue of which the seller holds any real property interest, the transfer of which gives rise to the fee which is the subject of the notice; and, if no address is stated or if the transfer is not evidenced by an instrument recorded or registered in the public records of Barnstable county, the notice shall be effective when  mailed to the seller in care of any person appearing of record to have had a fee interest in the land at the time of the transfer, at the address of that person as set forth in an instrument recorded or registered in Barnstable county.

(b) All fees, penalties and interest required to be paid under this act shall constitute a personal debt of the seller and may be recovered in an action of contract or in any other appropriate action, suit or proceeding brought by the community housing council subject to chapter 260 of the General Laws.

(c) Sellers applying for an exemption under subsections (a) through (n) of section eleven shall be required at the time of application for exemption to execute an agreement legally binding on sellers and separately legally binding upon  any Legal Representative of the sellers  (1) assuming complete liability for any fee, plus interest and penalties if any, waived on account of an allowed exemption subsequently determined to have been invalid, and (2) submitting to the jurisdiction of the trial court of the commonwealth sitting in Barnstable county. Fees, plus interest and penalties if any, shall be calculated as of the date of the initial property transfer. Execution of the above-described agreement shall not be required of any mortgagee, pledge, purchaser or judgment creditor unless notice of the agreement has been recorded or filed by the Community housing council.

The Community housing council, without waiving any of its rights, may direct a civil action to be filed in the appropriate district or superior court division of the department of the trial court sitting in the Barnstable county to enforce the agreement of the community housing council under this section with respect to this liability or to subject any property of the delinquent seller, or in which the delinquent seller has any legal or beneficial right, title or interest, to the payment of this liability.

The Community housing council may issue a waiver or release of any agreement imposed by this section. Such waiver or release shall be conclusive evidence that the agreement is extinguished.

SECTION 13B. This act, being necessary for the welfare of the town of Provincetown and its inhabitants, shall be liberally construed to effect its purposes.

SECTION 14.  This act shall expire on January 1, 2018.

SECTION 15. Acceptance of this act shall be by the affirmative vote of a majority of the voters at any regular or special town election, or a state election, at which the question of acceptance has been placed on the ballot. This act shall become effective on the date on which acceptance by the town has been effected.

The General Court may only make clerical or editorial changes of form to the bill, unless the Board of Selectmen approves amendments to the bill before enactment by the general court.  The Board of Selectmen is hereby authorized to approve amendments which shall be within the scope of the general public objectives of this petition; or to take any other action relative thereto.

[Requested by the Board of Selectmen, the Housing Authority, and the Town Manager]

 

BOARD OF SELECTMEN RECOMMENDS: 3-0-0

FINANCE COMMITTEE RECOMMENDS: 6-0-0

LOCAL HOUSING PARTNERSHIP RECOMMENDS: 4-0-0

HOUSING AUTHORITY RECOMMENDS: 5-0-0

COMMUNITY PRESERVATION COMMITTEE RECOMMENDS: 5-0-0

 

Michele Couture moved that the Town vote to approve Article 5 as printed in the warrant, with the following amendment: by amending Section 11 (-m-) to read as follows: “The first amount equal to one hundred and fifty percent of the median price of a single family home sold in Barnstable County for the previous calendar year of the sale price of any transfer or series of transfers of real property interests in a single parcel, provided, however, that such an exemption shall be applied only to the principal residence of a taxpayer as used by the taxpayer for income tax purposes; and further provided that in the case where an individual qualifies for a real estate exemption under G.L. c.59, sec.5, clause 41C, the amount of said exemption hereunder shall be the first $700,00 of the sale price.” And with the further amendment: section 3(a) change the reference to 5 regular members to 4 regular members, and add “and one regular member appointed by the Provincetown Housing Authority.”

 

Greg Howe moved to amend the motion by inserting at the end of Section 9 the following: “The seller of real property interest has been a legal resident of Provincetown for five years or more, is sixty-two years of age, or older, and is transferring real property interest in a primary residence, the first $700,000.00 of the purchase price shall be exempt from the provisions of the fee imposed in Section 9. Motion to Amend Does Not Pass.

 

Motion Does Not Pass (For 184  Against 194)

 

Article 6.      Route 6 Layout Alteration and Perfecting Title to 90 Shankpainter Road. To see if the Town will accept the alteration of the layout of a portion of Route 6, as shown on the plan dated March 5, 2007 as referred to the Planning Board, laid out by the Board of Selectmen and filed with the Town Clerk, which alteration commences at a point southwest of the intersection of Route 6 and Shank Painter Road and terminates at the property now or formerly owned by Enco Realty, Inc., as shown on the plan, the metes and bounds of said portion of Route 6 as so altered being as shown on said plan, thereby discontinuing as part of said town way all land lying between the above described boundaries of said portion of Route 6 and property now or formerly owned by Michael J. Tasha and Halcyon Tasha, and to transfer the discontinued portion of Route 6 from the Board of Selectmen for public way purposes to the Board of Selectmen for the purpose of conveyance of fee or easement, and to authorize the Board of Selectmen to convey all or any part of right, title and interest in the discontinued portion of Route 6 upon such terms and conditions and for such consideration as the Board shall determine to be appropriate, or to take any other action relative thereto.

[Requested by the Board of Selectmen and the Town Manager]

 

BOARD OF SELECTMEN RECOMMENDS: 3-0-0

PLANNING BOARD RECOMMENDS: 4-0-0

FINANCE COMMITTEE HAS NO RECOMMENDATION

LOCAL HOUSING PARTNERSHIP RECOMMENDS: 4-0-0

HOUSING AUTHORITY RECOMMENDS: 3-0-2

COMMUNITY PRESERVATION COMMITTEE RECOMMENDS: 5-0-0

 

Disposition of Land – 2/3’s vote required

 

Keith Bergman moved that the Town vote to approve Article 6 as printed in the warrant.

Motion Passed. (2/3rd’s Vote Declared)

 

Article 7.      Zoning By-Law Amendment: Growth Management Affordable Housing and Community Housing. To see if the Town will vote to amend the Zoning By-laws, Section 6300(4), to deem properties that have been granted an Affordable Housing Permit or a Community Housing Permit and containing 100% Affordable Housing and/or Community Housing dwelling units to be a public service use pursuant to Section 3 of Chapter 157 of the Acts of 2000, by adding the italicized language so that said section 6300(4) reads as follows:

“4.  Affordable Housing Permits and/or Community Housing Permits will be authorized on a priority basis as established by the PLHP, using criteria including but not limited to housing quality standards, quality of design, degree of affordability in terms of cost, and financial feasibility of the proposal. No Affordable Housing Permit and/or Community Housing Permit shall be issued without prior authorization of the PLHPEach property in which 100% of the dwelling  units are Affordable Housing and/or Community Housing, and for which an Affordable Housing Permit or a Community Housing Permit is granted, shall be deemed a public service use under Section 3 of Chapter 157 of the Acts of 2000.

or to take any other action relative thereto.

[Requested by the Board of Selectmen]

 

BOARD OF SELECTMEN RECOMMENDS: 3-0-0

PLANNING BOARD RECOMMENDS: 3-0-0

FINANCE COMMITTEE HAS NO RECOMMENDATION

LOCAL HOUSING PARTNERSHIP RECOMMENDS: 4-0-0

HOUSING AUTHORITY RECOMMENDS: 4-0-1

 

Zoning Amendment – 2/3’s vote required

 

Richard Olson moved that the Town vote to approve Article 7 as printed in the warrant.

Motion Passed.