03/25/2019 BOARD OF SELECTMEN Agenda Packet

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DRAF]'1/3 MAX7019 SPI�X- [At, & .ANNNA[, TNWNK��]`IXlN(i 10 Explanation: This article will set aside funds in to Capital Stabilization account for future capital expenditures in on effort to ensure the Town will maintain its assets at a level adequate to protect the Town's capital investments and to minimize future maintenance and replacement costs. The Board ofSelectmen recommends approval ofArticle 76«avote of4-0 The Finance Committee recommends approval ofArticle 7 byavote qfG-O Article 8 To see if the Town will vote to accept Section 3A of c 337 of the Acts of 2018 (Section 3A of G. L c 64G) authorizing the imposition of local excise tax Upon the transfer ofoccupancy ofa nmOnn in a bed and breakfast establishment, hotel, lodging house, short-term rental ormotel atthe rate of 6% of the total amount of rent paid for each such occupancy, or take any other action relative thereto. Submitted bythe Board ofSelectmen Explanation: This article authorizes the imposition,of a local excise tax of 694 of the total amount of rent paid for on the transfer of occupancy of various types of short-term rentals as authorized byc337ofthe Acts mf2O18. effective onJuly 1, 20I9. The Board of Selectmen recommends approval of Article 8 by a Vote of 4-0 The Finance Committee recommends approval ofArticle 8 b avote mf3-3 Article 9 To see if the Town will vote to accept Paragraph 4 of Chapter 40, Section 58 of the General Laws and dedicate, without further appropriation, into a special purpose Capital Expenditure Stabilization Fund, created hereby for the purposes of implementation of the Town's wastewater management program, affordable housing, and transportation improvements, seventy- five percent of the local option rooms excise tax that the TOvvD receives on the transfer of occupancy ofaroom inabed and breakfast establishment, hotel, lodging house, short-term rental or motel, pursuant to it/ acceptance of General Laws Chapter 64G, Section 3/\ as amended by Chapter 3]7mfthe Acts of2O18; provided that said dedication shall take effect beginning inFiscal Year 2020 which begins on July 1 2019; and provided further that the Town shall not revoke its acceptance of said dedication for at least three fiscal years; or to take any other action relating thereto. Submitted b»the Board o[Selectmen Explanation:The Municipal Modernization Act iO 2OI6allows aTown which aCcep1sG.L. c. 40\ §5R, to dedicate not lass than 25% of the local rooms excise tax to any stabilization fund. This would include any new revenue generated from short-term rentals, The Town must accept paragraph 4 of §5B at Town Meeting, establish the stabilization fund (if an appropriate one does not already exisi\, and designate the percentage Vfthe room excise (not less than 2596) tobedeposited in the stabilization fund. Nofurther appropriation into the fund is required to dedicate the funds. As with any appropriation from a stabilization fund, atwo-tNrds vote is-required by Town Meeting. Once a town accepts the stabilization fund dedication statute, the Town cannot revoke its acceptance for at least three fiscal years.This article creates a special purpose stabilization fund for clean water projects, transportation improvements and affordable housing, and directs 75% of short term rental tax receipts to this fund to offset the cost of said capital expenditures on the property tax. The Board of Selectmen recommends approval mfArticle g6movote of3-2 The Finance Committee recommends approval ufArticle 9bymvote mf4-1