Members of the public are invited to attend the second public hearing hosted by the Board of Aldermen to discuss the updated proposal for a transfer fee home rule petition. The hearing will take place on Monday, May 7, at 6 p.m., at Somerville City Hall on the 2nd Floor in the Aldermanic Chambers.
The updated version would exempt ALL owner-occupant sellers as well as ALL buyers who will be owner-occupants. The updated proposal would rather authorize the City to impose a fee of up to 1% on investors, developers, and absentee landlords who buy property in the City of Somerville, as well as up to a 1% fee on investors, developers, and absentee landlords who sell property in the city.
Background & Process
In 2015, Mayor Curtatone established the Sustainable Neighborhoods Working Group to pursue bold and innovative ideas that would support the City’s efforts to protect and preserve existing affordable housing, expand the City’s resources for creating more affordable housing, and address the need for middle-income housing for working families.
After nearly a year of research and deliberation the Working Group, which was chaired by Alderman Mark Niedergang and former City Housing Director Dana LeWinter, issued a series of recommendations, including that the City adopt a requirement of a fee on certain real estate transactions (known as a “transfer fee”) to support affordable housing, with specific exemptions to be established.
Under state law, the City cannot institute a transfer fee without the permission of the State Legislature. Therefore, the City is first seeking the approval of the Board of Aldermen to submit a Home Rule Petition to the Legislature to seek this general permission. If the Legislature approves the petition, the fee will not automatically go into effect. Rather at that time–once it is known whether the City has the option of establishing a transfer fee–it is the City’s intent to launch a broad community discussion on this issue. The outcomes of that discussion would guide the deliberations about any final ordinance.
The Board of Aldermen will also accept official written comment for the record. The deadline for written comments will be posted at www.somervillema.gov/transferfee. Please send your comments to boardofaldermen@somervillema.gov and cityclerk@somervillema.gov.
Visit www.somervillema.gov/transferfee for more information.
Individuals with disabilities who need auxiliary aids and services for effective communication, written materials in alternative formats, or reasonable modifications in policies and procedures, in order to access the programs and activities of the City of Somerville or to attend meetings, should contact the City’s Manager of Diversity, Equity and Inclusion, Nency Salamoun, at 617-625-6600 x2323 or NSalamoun@somervillema.gov.