THE LOW DOWN ON #MVHOUSINGBANK

The Goal

To establish an island-wide Housing Bank that provides a reliable and significant source of long-term funding to make year-round housing attainable for all segments of our community.

The Housing Bank will provide:

  • Funds that are 100% dedicated to year-round housing

  • Enough money to make a difference without affecting taxes or budgets

  • Help for many people now locked out by current programs’ restrictions

  • Conservation of our people and community

The housing crisis is greater than ever and threatens our community and our way of life. Our workforce is shrinking, and essential services are strained. This is an exceptionally important moment in time for the Vineyard - the best opportunity we’ve ever had to actually solve this crisis and change the future of island life for all of us.

Please vote yes! After we approve this article the state legislature must approve it too. An overwhelming positive vote in all six towns will be an essential message to Beacon Hill: the island cares and you should too.

The Details

Warrant Article and Legislation

  • Identical warrant articles will be voted on this spring at all town meetings and town elections

  • Article must pass at both the town meeting and town election, in a minimum of 4 towns

  • The article summarizes legislation to be submitted to the state legislature if the votes are favorable

  • This is only the first step; there will be opportunities for adjustments prior to legislative passage

  • Once passed on Beacon Hill, there will need to be another ballot vote for adoption

Revenue

  • 2% transfer fee on real estate transactions, paid by the buyer

  • A minimum of the first $1 million of every transaction will be exempt from the fee

  • Projected revenue is +/- 12 million per year

Governance & Operation:

  • Seven elected commissioners (one from each town and one at-large)

  • Professional staffing including enforcement – HB will enforce its own restrictions

  • Town Advisory Boards (TABs) which must approve all spending in their town

  • Commissioners and TABs are subject to MA Open Meeting and Conflict of Interest Laws

What will it do

  • Primarily a funding source that receives and funds proposals

  • Will be able to buy and sell real estate, but will not develop, manage, or maintain

  • Provide rental and down payment assistance, loans, grants, and buy year-round deed restrictions

  • Individuals, nonprofit and for-profit organizations, and public entities will be eligible for funding

Who It Will Serve:

  • Year-round Islanders

  • Expanded income range to serve current and future workforce needs as real estate costs rise

  • Those with the greatest needs -- currently lower incomes and rental availability

  • Per the Housing Authority (DCRHA), at least 1000 MV households are now in substandard housing

Requirements & Priorities

  • A minimum of 75% of funding for previously developed properties with existing buildings

  • Repurposing existing buildings (especially short-term rentals) is the focus

  • Strong environmental requirements for new construction (no fossil fuels, no new net nitrogen

  • pollution, ecological restrictions) and priorities (smart growth principles, avoid priority habitats)

  • All funding must align with town and regional master plans, wastewater plans, and climate goals

Property Taxes and Tax Base

  • All HB funded properties will pay taxes as assessed by town assessors

  • Analysis by Oak Bluffs town assessor showed HB will have little effect on overall tax base

Borrowing Restrictions, Withdrawal, and Sunset

  • Debt service limited to 10% of average annual revenues

  • Towns may withdraw in the future by a town meeting vote

  • After withdrawal, a town will only collect fees until its portion of debt is satisfied (within 1-2 years)

  • Automatic sunset after 30 years; renewal may occur by vote of the towns