Battle Over Community Preservation Act Heats Up

BOSTON-In less than a week, voters here are going to be asked whether they would accept a 2% surcharge on their property taxes to finance affordable housing, open space and historic preservation in this city. While opponents of the Community Preservation Act insist that this is not the right time for a hike in taxes, proponents of the proposed legislation insist that the funds will ultimately benefit everyone.

“We are opposed to the Community Preservation Act,” David Begelfer, CEO of the National Association of Industrial and Office Properties, tells GlobeSt.com. NAIOP is part of the Vote No on Higher Taxes Committee, which is battling the referendum. “This comes at a time when businesses can least afford it.” Begelfer points out that any increase in taxes gets passed to small tenants and apartment dwellers and he adds that the “surcharge is over and above any increase that the city already has planned.”

Commercial real estate property owners will also shoulder most of the burden of this tax, according to Begelfer, as 80% of real estate taxes in the city are paid by commercial real estate property owners. “This is the wrong time to hit the business community,” he says. “Everyone can clearly see the problems in the economy and everyone is concerned about where the economy is going.”