Coalition August 2008 Newsletter
Subject: CPA Update from the Community Preservation Coalition
Banner Artwork (Thacher Island Keeper’s Cottage)
Introduction
Dear _________
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(Article 1)
(Artwork: istock Calendar photo)
Changes to state CPA reporting forms
Changes are underway for some of the CPA forms that a community must file annually
with the state Department of Revenue (DOR) . The DOR recently issued a revised
Community Preservation Fund Annual Report form (Form CP-2). A more substantial
change is in store for the CP-3 form, the form that lists all the CPA projects approved by
the legislative body of a CPA community in a given year. The CP-3 will be moving
online, facilitating entry and correction of CPA project information, and ultimately
resulting in an easily accessible web-based database of approved CPA projects from
across the state.
Read on to learn about changes to CPA reporting requirements…
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(Article #1 Jump Page)
Changes to state CPA reporting forms
Changes to state CPA reporting forms
Changes are underway for some of the CPA forms that a community must file annually
with the state Department of Revenue (DOR) . The DOR recently issued a revised
Community Preservation Fund Annual Report form (Form CP-2). A more substantial
change is in store for the CP-3 form, the form that lists all the CPA projects approved by
the legislative body of a CPA community in a given year. The CP-3 will be moving
online, facilitating entry and correction of CPA project information, and ultimately
resulting in an easily accessible web-based database of approved CPA projects from
across the state
Here is a review of each of three CPA forms that municipal officials are required to file
with the state, along with the deadline for each form:
Form CP-1
The Community Preservation Surcharge Report (Form CP-1) is due at the Department of
Revenue’s Division of Local Services on September 15. The CP-1 form reports the
amount of funds raised with a community’s local CPA surcharge for the previous fiscal
year,and is used as the basis for the October 15th annual CPA state trust fund distribution.
This form must be signed by your local Board of Assessors and Accounting Officer.
Your Community Preservation Committee (CPC) should review copies of the completed
form.
Form CP-2
In July the Department of Revenue issued a revised Community Preservation Fund
Report (Form CP-2) which municipalities will use for the first time this year to report
their FY2008 CPA financials. DOR also issued a set of instructions for the new CP-2.
This form requires an accounting of all CPA revenues, expenditures in each CPA
funding category, and an analysis of the community’s CPA fund balance, including each
reserve. The municipal Accounting Officer is most often the official who completes this
form. The CPC should request a copy of the completed form and review it prior to
submission to DOR’s Division of Local Services and Massachusetts GIS.
Form CP-3
Changes are underway for the CP-3 form, which details the CPA projects approved by a
municipality during the previous fiscal year. The state has been hard at work, with help
from the Coalition, to create a new online CPA database to replace the paper version of
this form. This interactive database, will allow CPC members or municipal staff to log
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in to enter new project data and correct or update existing data, and is primed to go live
soon. Once entered, information on every approved CPA project in the state will be
easily accessible to the public online.
Information will be coming from the Department of Revenue in the near future on
procedures for this new online database. The Coalition will include a copy of this
information in a future issue of CPA Update.
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(Article #2) CPA News
(Artwork: news typewriter)
Legislative update
Stuart to write.
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(Article #3)
(Artwork: istock law book )
Do the State’s procurement laws apply to CPA projects?
One of the most common questions we receive on our technical assistance hotline is
whether the state’s procurement and prevailing wage laws apply to CPA projects,
particularly grants to private groups. The answer may not always be straightforward,
since many projects involve unique circumstances, but this article provides some general
information to help guide you on this issue.
When might procurement and prevailing wage laws apply to CPA projects? Does it
matter if a private organization is orchestrating the project?
Read on for more information and how to get answers when you need help...
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(Article 3 Jump Page)
Do the State’s procurement laws apply to CPA projects?
One of the most common questions we receive on our technical assistance hotline is
whether the state’s procurement and prevailing wage laws apply to CPA projects,
particularly grants to private groups. The answer may not always be straightforward,
since many projects involve unique circumstances, but this article provides some general
information to help guide you on this issue.
When might procurement and prevailing wage laws apply to CPA projects? Does it
matter if a private organization is orchestrating the project?
The procurement laws are multiple state statutes that deal with various aspects of
municipal procurement including building construction, public works construction,
design services, supplies, services, and real property. In addition, prevailing wage laws
apply for construction projects undertaken by public entities in the state as well as to
some limited services provided to them.
For the purposes of describing the applicability of procurement laws to CPA projects,
there are three main categories that CPA projects could fall into: capital improvement
projects, the purchase of real property, and contracting for professional services. Each of
these three project categories must adhere to different procurement laws as explained in
more detail below.
Capital Improvement Projects
(MGL c.149 and c.30 s.39M)
Capital improvement projects are “bricks and mortar” projects such as creation of a new
playground, restoration of a building, construction of housing, wetlands restoration, etc.
The matrix below very generally describes how the procurement laws may apply to the
various types of capital improvement projects, depending on who owns the property and
who administers the project.
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Property Owner
Municipality/State/Other public
entity
Municipality/State/Other public
entity
Project
Administrator
Applicability of
Procurement &
Prevailing Wage Laws
Municipal/State/Other YES
Public Entity
Community Group
YES*
(e.g., PTO, friends
group, neighborhood
association, etc.)
Private entity
NO
Private entity (non-profit
organization, private citizen, etc.)
Municipally owned and leased by
Private leasing entity POSSIBLY**
private entity
*Note: Even if a service is discounted or donated, prevailing wage may still apply.
**Note: For complex situations, an opinion from municipal counsel or the Attorney
General’s Office may be needed.
Acquisition of Real Property
(MGL c.30B)
Acquisition of real property includes buying land, buildings, artifacts or a real estate
interest (such as a deed restriction). The purchasing laws (c.30B) that apply to
acquisition of real property using public funds deal with how to establish fair market
value. This area of the law makes a special exception specifically for real property
acquired with Community Preservation Act funds.
The Community Preservation Act (MGL c.44B s.5(f)) states that “Section 16 of chapter
30B shall not apply to the acquisition by a city or town of real property or an interest
therein . . . no such real property, or interest therein, shall be acquired . . . for a price
exceeding the value of the property as determined by such city or town through
procedures customarily accepted by the appraising profession as valid.”
The bottom line is: Acquisitions of real property interests under CPA are exempt from
MGL c.30B, but you must get an appraisal prior to acquiring any real property interest.
And the municipality cannot appropriate more than the appraised value to acquire the real
property interest.
Contracting Professional Services
(MGL c.7 s.38A½ and c.30B)
Contracting professional services includes hiring a housing consultant, planner, appraiser,
landscape architect, etc.
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MGL c.7 s.38A½ applies when procuring design services for public building projects and
establishes a designer selection process for construction projects over $100K. Prevailing
wage does not apply to these types of design services.
MGL c.30B applies to other professional services and establishes three monetary
thresholds that trigger different selection and procurement procedures, with the most
latitude established for contract amounts under $5K. If a contract is between $5K and
25K, then three quotes must be solicited. And, for contracts at and over $25K, sealed
bids or proposals are required.
More Information
The procurement and prevailing wage laws are complicated – they apply in various ways
depending on circumstances of the situation and sometimes exemptions may apply. That
is why it’s important to ask the advice of your procurement officer, town counsel, and/or
the appropriate state agency, as described below.
General Procurement
The Massachusetts Inspector General’s Office has created a very helpful chart to use as a
quick reference guide on public procurement laws.
In addition, the Inspector General’s Office website has a variety of helpful information
available, and the phone numbers below can be used to obtain more information.
Goods, Services, and Real Property (MGL C.30B)
Inspector General’s Office MGL C.30B hotline
617-722-8838
Construction and Design Services
Attorney General’s Office, Div. of Fair Labor
617-727-2200
Prevailing Wage
Division of Occupational Safety
617-626-6953
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(Article #4)
(Artwork: PM Logo)
Free technical assistance available for historic preservation projects
Does your CPC need help understanding whether a proposed CPA project is in keeping
with the Secretary of the Interior’s Guidelines? What materials are appropriate to use
when replacing windows in a historic municipal building?
In May, Preservation Massachusetts, launched the new Massachusetts Circuit Rider
Program, which is already proving to be a valuable resource for CPA communities.
Preservation Massachusetts is a statewide non-profit historic preservation advocacy
organization and a founding member of the Community Preservation Coalition. In
collaboration with another Coalition member, the National Trust for Historic
Preservation, the program funds three historic preservation professionals “in the field” to
bring free preservation expertise to your community.
Read on for information about how to use this free service…
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(Article 4 Jump Page)
Free technical assistance available for historic preservation projects
Does your CPC need help understanding whether a proposed CPA project is in keeping
with the Secretary of the Interior’s Guidelines? What materials are appropriate to use
when replacing windows in a historic municipal building?
In May, Preservation Massachusetts, launched the new Massachusetts Circuit Rider
Program, which is already proving to be a valuable resource for CPA communities.
Preservation Massachusetts is a statewide non-profit historic preservation advocacy
organization and a founding member of the Community Preservation Coalition. In
collaboration with another Coalition member, the National Trust for Historic
Preservation, the program funds three historic preservation professionals “in the field” to
bring free preservation expertise to your community.
The circuit riders are historic preservation experts equipped with knowledge of the
programs, services, and resources of both Preservation Massachusetts and the National
Trust for Historic Preservation, in addition to other public and private programs and
resources.
As Jim Igoe, Executive Director of Preservation Massachusetts, explains, “We feel
strongly about the need to meet with people personally, see the property and its
challenges, coalesce a group of people who are concerned about a property, and find out
what kind of things we can do to support the project.” In a nutshell, that is the intention
of the Circuit Rider Program.
Mr. Igoe further explains, “The program has already worked very well in Vermont,
Connecticut, and New Hampshire. We didn’t reinvent the wheel here but the program
has been tweaked in a way that will work for Massachusetts.”
Some of the services that circuit riders can help with:
 provide technical expertise on historic preservation
 identify potential funding sources
 organize a group of concerned community members
 teach basics of implementing a private fund-raising campaign
 utilizing the press to increase awareness and gain project support
If your community has a historic building in need of help or if you just want more
information, email circuitrider@preservationmass.org or call one of the three circuit
riders:
Western & Central Massachusetts:
Michele P. Barker, 617-999-3256
Southeastern Massachusetts, Cape Cod & the Islands:
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Dorr Fox, 508-245-6824
North Shore, Eastern Massachusetts & Boston Metro Area:
Anne Dodge, 617-999-3258
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(Article #5)
(Artwork: town seal)
Title: This Issue’s Featured CPA Project
This month’s featured CPA project is the Thacher Island preservation project in
Rockport. Thacher Island, with its twin 19th century granite lighthouses, is a National
Historic Landmark – one of fewer than 2,400 in the nation. With just over $450K of
CPA funds, the Town of Rockport helped fund restoration of the two 19th century
keeper’s cottages, the South Tower which was built in 1861, and the Whistle House, built
in 1887.
The island encompasses about 50 acres and boasts the only operating twin lighthouses in
America. As Francis Fleming, vice chair of the Rockport Community Preservation
Committee, explains, “Thacher Island is an icon for the Town of Rockport – its image is
on the town seal. It’s the only island in America with two light houses on it and you can
see it from most of the coast line of Rockport. It’s a stunning place.”
Read on for more project information and photos of Thacher Island…
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(Article 5 Jump Page)
(Artwork: photos of each CPA-funded building)
This Issue’s Featured CPA Project
This month’s featured CPA project is the Thacher Island preservation project in
Rockport. Thacher Island, with its twin 19th century granite lighthouses, is a National
Historic Landmark – one of fewer than 2,400 in the nation. With just over $450K of
CPA funds, the Town of Rockport helped fund restoration of the two 19th century
keeper’s cottages, the South Tower which was built in 1861, and the Whistle House, built
in 1887.
The island encompasses about 50 acres and boasts the only operating twin lighthouses in
America. As Francis Fleming, vice chair of the Rockport Community Preservation
Committee, explains, “Thacher Island is an icon for the Town of Rockport – its image is
on the town seal. It’s the only island in America with two light houses on it and you can
see it from most of the coast line of Rockport. It’s a stunning place.”
The Town of Rockport owns the southern end of the Island. The northern end is owned
by U.S. Fish and Wildlife Service (USF&WS) and is managed by the Town under an
agreement with USF&WS.
The restoration work has been orchestrated by the Thacher Island Association (TIA),
which is a non-profit group dedicated to raising funds for the restoration and on-going
maintenance of the island. According to Paul St. Germain, who has been President of
TIA for almost 10 years, TIA has already raised close to $1M during his tenure for
restoration and maintenance of the island’s resources. As one of its many fund raising
strategies, TIA offers the three-bedroom apartment in the historic Keeper’s Cottage for
weekend rentals. This cottage, one of two keeper’s cottages for the South Tower, was the
first restoration projected on the island that benefited from CPA funds.
TIA’s other funding sources have included the Massachusetts Historical Commission,
various private foundations including the Boston Foundation, Bruce Anderson
Foundation, and the Manton Foundation, as well as funds derived from numerous fundraising events and private donations.
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