BEVERLY — What if the city had money to fix up the carriage house at Lynch Park, renovate buildings owned by the Beverly Historical Society and purchase land to turn into affordable housing?
A group of residents is proposing that Beverly start a fund to do just that by joining the 143 other cities and towns that are part of the state's Community Preservation Act program. The CPA local option law taxes up to an additional 3 percent on people's property taxes. The money is matched by the state and can only be used for open space protection, historic preservation and affordable housing.
Beverly organizers are proposing a 1 percent surcharge, which would cost the average homeowner an extra $35.50 per year for a $430,000 house.
"We want to keep the discussion going, and we want to see if the momentum builds," said Robert Buchbaum, a member of the Open Space Committee, which is leading the charge. "Perhaps, at some point in a year or two, we can get it on the ballot."
Community support is important, he said, especially since voters turned down a similar proposal in 2001. Back then, Beverly tried to pass a 3 percent tax surcharge.
"We shot for the moon," said Don Preston, chairman of the Beverly Affordable Housing Coalition. "It would have been awesome if we got it, but that was our downfall. I think we asked for too much."
Yet after several similarly failed attempts, Gloucester passed a 1 percent tax in 2008, so he thinks there might be renewed interest. The kicker, he said, is that a portion from every real estate transaction already goes into the state's CPA fund, which is used to match what a member community raises.
"We're already paying into it and not getting the benefits," Preston said.
Although the state used to match 100 percent, the rate is now down to an average of about 74 percent because more cities and towns keep joining the program, according to the state's website.
Peabody, a member since 2001, raised $820,000 last year through its 1 percent tax surcharge. Over the years, the money has been used for the large and the small. Major projects include the Peabody Bikeway, creating a Peabody Leatherworkers Museum, purchasing 16 acres of land at Tillie's Farm, and establishing the city's Affordable Housing Rehabilitation Program, which helps low-income families bring deteriorating houses up to code.
On a smaller scale, it's funded projects like the Carroll School playground — twice — the restoration of the animal barn and climbing wall at Brooksby Farm, and the installation of period lighting in the public areas of City Hall.
"Unquestionably, all of the projects completed using CPA funds would never have seen the light of day," said Bill Power, chairman of the Peabody Community Preservation Committee.
With cities and towns crippled by a flagging economy and drastic cuts to education and services, now is not the best time to ask people for more money, Buchbaum said. Although cities could implement exemptions for low-income and senior citizens, and on the first $100,000 of a home, "we recognize there are challenges," he said.
Yet in a bare-bones budget with no room for any extras, this could be a way for residents to improve their quality of life, albeit on their own dollar, Preston said.
"If homeowners want to see the value and lifestyle of the community enhanced," he said, "this is a tool for the community to do it for itself."
Staff writer Cate Lecuyer can be reached at clecuyer@salem news.com.
CPA communities on the North Shore
Year CommunitySurchargePassed
Boxford3%2001
Essex0.5%2008
Gloucester1%2008
Hamilton2%2005
Manchester-by-the-Sea 1.5%*2010
Middleton1%2004
Newburyport2%2002
Peabody1%2001
Wenham3%2005
* Increased from 2005 rate of 0.5%
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