Know Your Community Preservation Act
Understanding Beverly's CPA Ballot Question #4
On November 6th, if you are a resident of Beverly, you will be asked to vote on adopting the Community Preservation Act.
How well do you know the CPA? Take this quiz and find out!
#1 True or False: Adopting the CPA means a 1% increase in property taxes on your home.
False. For all residential property owners, the first $100,000 of assessed value is exempt from the CPA surcharge. A residential property valued at $100,000 would pay no surcharge. Most homeowners in Beverly will pay between $26 and $39 dollars per year based on 2012 assessed home values.
#2 True or False: CPA and 2 ½ Overrides are really the same.
False. While both increase property taxes, CPA brings new money from a state matching fund into our city, while the override only allows us to tax ourselves higher. CPA amounts can be changed after the first five years. The amount of the CPA surcharge is generally small or moderate compared to increases resulting from 2 ½ overrides.
#3 True or False: The Mayor will control how CPA money is spent.
False. The state law specifies that each community that adopts the CPA must form a Community Preservation Committee or CPC. The CPC will consist of Beverly citizens - representatives from five boards and commissions plus up to four additional citizens. The CPC reviews suggestions for CPA projects from all citizens and groups and forwards recommendations to the City Council on how best to spend CPA funds. The City Council approves expenditures.
#4 True or False: CPA funds will be used on affordable housing projects.
True. Affordable housing is one of three areas supported by the Act, with the others being open space protection and historic preservation. 10% of the funds must be allocated to each of the three categories. The remaining 70% can be used for any of the categories, as well as for recreation projects, as the community sees fit.
#5 True or False: Once a community adopts the CPA it can’t change its mind and change or undo the surcharge.
False. Any community can opt out of the CPA by a majority vote after 5 years. The surcharge percentage can be changed as well, but it can never go above 3%.
#6 True or False: CPA will take away from our ability to support schools, safety and other town priorities.
False. Since CPA will add to our ability to raise funds, it can free up funding for our other priorities. Plus CPA matching funds from the state and our ability to use CPA funds to leverage state and federal grants will also boost Beverly’s spending power without impacting the general budget.
#7 True or False: Those who can most afford it will pay the most for the CPA.
True. Homes with a higher assessed value will pay a higher CPA surcharge. The exemptions for low- and moderate-income seniors and low-income individuals and families ensure that those least able to afford the surcharge will not be burdened by it.
#8 True or False: The other communities in Essex County have already received over $31.5 million in CPA match funding from the state.
True. Boxford, Essex, Georgetown, Gloucester, Groveland, Hamilton, Manchester, Middleton, Nahant, Newburyport, North Andover, Peabody, Rockport, Rowley, Wenham, West Newbury - 16 of our neighbors have benefitted from state matching funds that Beverly has been missing out on for over a decade. Communities choose to adopt the CPA because they recognize it’s a good deal for them.
How well do you know the CPA? Take this quiz and find out!
#1 True or False: Adopting the CPA means a 1% increase in property taxes on your home.
False. For all residential property owners, the first $100,000 of assessed value is exempt from the CPA surcharge. A residential property valued at $100,000 would pay no surcharge. Most homeowners in Beverly will pay between $26 and $39 dollars per year based on 2012 assessed home values.
#2 True or False: CPA and 2 ½ Overrides are really the same.
False. While both increase property taxes, CPA brings new money from a state matching fund into our city, while the override only allows us to tax ourselves higher. CPA amounts can be changed after the first five years. The amount of the CPA surcharge is generally small or moderate compared to increases resulting from 2 ½ overrides.
#3 True or False: The Mayor will control how CPA money is spent.
False. The state law specifies that each community that adopts the CPA must form a Community Preservation Committee or CPC. The CPC will consist of Beverly citizens - representatives from five boards and commissions plus up to four additional citizens. The CPC reviews suggestions for CPA projects from all citizens and groups and forwards recommendations to the City Council on how best to spend CPA funds. The City Council approves expenditures.
#4 True or False: CPA funds will be used on affordable housing projects.
True. Affordable housing is one of three areas supported by the Act, with the others being open space protection and historic preservation. 10% of the funds must be allocated to each of the three categories. The remaining 70% can be used for any of the categories, as well as for recreation projects, as the community sees fit.
#5 True or False: Once a community adopts the CPA it can’t change its mind and change or undo the surcharge.
False. Any community can opt out of the CPA by a majority vote after 5 years. The surcharge percentage can be changed as well, but it can never go above 3%.
#6 True or False: CPA will take away from our ability to support schools, safety and other town priorities.
False. Since CPA will add to our ability to raise funds, it can free up funding for our other priorities. Plus CPA matching funds from the state and our ability to use CPA funds to leverage state and federal grants will also boost Beverly’s spending power without impacting the general budget.
#7 True or False: Those who can most afford it will pay the most for the CPA.
True. Homes with a higher assessed value will pay a higher CPA surcharge. The exemptions for low- and moderate-income seniors and low-income individuals and families ensure that those least able to afford the surcharge will not be burdened by it.
#8 True or False: The other communities in Essex County have already received over $31.5 million in CPA match funding from the state.
True. Boxford, Essex, Georgetown, Gloucester, Groveland, Hamilton, Manchester, Middleton, Nahant, Newburyport, North Andover, Peabody, Rockport, Rowley, Wenham, West Newbury - 16 of our neighbors have benefitted from state matching funds that Beverly has been missing out on for over a decade. Communities choose to adopt the CPA because they recognize it’s a good deal for them.