Preview of Mar 26, 2018 Cambridge City Council meeting Here's my take on what looks interesting this week. Manager's Agenda #1. A communication transmitted from Louis A. DePasquale, City Manager, relative to the appointment of the following person as new members of the Planning Board for a term of three years, effective Apr 2, 2018: Nikolas Bowie and Corinne Espinoza Though it doesn't say it in the communication, both of these appointments are as Associate Members of the Planning Board replacing Ahmed Nur and Thacher Tiffany. Manager's Agenda #2. A communication transmitted from Louis A. DePasquale, City Manager, relative to Awaiting Report Item Number 18-18, regarding a report on the success of the Polystyrene Ordinance. Two notes: (1) As Commissioner O'Riordan states: "We have heard from businesses concerning the cost of alternative products. For example; at a Harvard Square establishment, one service item increased in cost from $0.03/unit to $0.50/unit. In North Cambridge another retailer indicated that their new containers cost three times more after the ordinance went into effect." (2) Plasticware that is marketed as "compostable" is, for all intents and purposes, not actually compostable (except under very specialized conditions). Manager's Agenda #4. A communication transmitted from Louis A. DePasquale, City Manager, relative to Awaiting Report Item Number 18-19, regarding Central Square pedestrian signals. The proposed modification seems like a good plan that will not unnecessarily add to traffic congestion while providing a degree of additional safety and clarity. Manager's Agenda #5. A communication transmitted from Louis A. DePasquale, City Manager, relative to recommendations for the block rates for water consumption and sewer use for the period beginning Apr 1, 2018 and ending Mar 31, 2019. The water rates are again held constant as the sewer rates continue to soar. The projections indicate that in the coming years the water rates will start to rise slightly an the sewer rates will moderate somewhat. It's worth reminding everyone that most of these costs are fixed costs, so as people do a better job at conservation the rates inevitably have to rise to cover the fixed costs. Order #1. That the City Manager is requested to explore the possibility of accepting the City of Boston's invitation to join their intergenerational housing pilot program.   Councillor Mallon, Councillor Siddiqui, Councillor Simmons, Councillor Toomey People have been doing this since the dawn of time - renting rooms to younger people who can lend a hand as they benefit from decent rents, but it's definitely an idea that deserves promotion. Order #2. That the City Manager conduct, compile, and publish an inventory of all City-owned vacant buildings and lots with the City's plans for them, if any.   Councillor Mallon, Councillor Siddiqui, Councillor Simmons, Vice Mayor Devereux Two words - Land Bank. This same concept was floated by then City Councillor Ed Cyr (and possibly others) about 25 years or so ago using the term "Land Bank". It inevitably led to a conflict among different priorities, esp. open space vs. "affordable housing", though there was at least one case in which a proposed site provided parking (and a turnaround) for a very congested dead end street. I'm sure there are some sites that should be made available for housing (whether "affordable" or just plain housing), but I'd hate to see the perception of "crisis" lead to the stifling of all other alternatives. Order #3. That the City Manager is requested to appoint an appropriate City representative to work with the Historical Commission, the Veterans Services Department, representatives of the Cambridge African American Heritage Trail, Cambridge Historian Jon Hill, and any other appropriate parties in an effort to place markers on the graves of Mr. Cato Freeman and Mr. Neptune Frost at the Old Harvard Square Burial Ground, a marker for Mr. Agrippa Hull on the Cambridge Common, and markers for any other early unsung patriots of color that we may yet determine have been hidden in the shadows of history for far too long.   Councillor Simmons This is a great idea. It's probably also a good time to review and refurbish some of the historical markers all around Cambridge. We could also use an updated guide book for walking tours in both the Mount Auburn Cemetery and the Cambridge Cemetery highlighting the many significant people buried in these cemeteries. Order #4. That the City Manager be and hereby is requested to work with the Assistant City Manager for Community Development, the Executive Director of the Cambridge Arts Council, and the City Solicitor with a view in mind of drafting of an Arts Overlay District ordinance that would achieve the goals of creating and preserving spaces for the arts in the Central Square Cultural District.   Councillor Mallon, Vice Mayor Devereux, Mayor McGovern While I think this is a good idea, I hasten to add that there are a lot of people who need or would want "live/work space" who you might not necessarily label as "artists". Order #6. That the City Manager is requested to direct the Community Development Department to compile a list of single family homes which could be purchased by the Affordable Housing Trust and converted to Single Room Occupancies or Housing Cooperatives.   Councillor Toomey, Mayor McGovern, Councillor Siddiqui I think that the concept of Rooming Houses or Single Room Occupancy (SRO) residences is something that fell out of favor over the years but which might again make some sense in this age of micro-units, short-term rentals, and people choosing to live with relatively few possessions. That said, I'd hate to see this used as a pretext for the City to relentlessly buy up the city's housing stock. The fact that this Order specifically asks to "compile a list of single-family homes available on the market in Residential A1, A2, and B zones" seems rather politically motivated. Wouldn't it be better to simply provide some financial and other incentives to property owners to configure their properties so as to address current needs? Order #9. City Council opposition to any legislation that would remove or limit the options of municipalities to pass local ordinances regulating short-term rentals to include accessing tax revenue similar to what is done with hotels and motels.   Councillor Kelley This was at the center of the discussion at last week's Public Safety Committee meeting on the subject of the City's regulation of short-term rentals. Briefly, the industry people (AirBnB) wanted to influence legislation now on Beacon Hill to permit taxation on short-term rentals by amending it to remove local regulatory controls as a precondition for accepting the potential revenue. This crooked attempt was apparently thwarted in the House, though the bill is now before the Senate and will likely have to go through a conference committee prior to its final passage and, presumably, the Governor's signature. - Robert Winters Extra: Summary of what the House did last week on the AirBnB bill. AirBnB is in favor of being taxed, but came out in opposition to the state registry where their hosts would have to share their personal information. The amendment referenced above in regard to Order #9 and referred to as amendment #11 in the House bill) was directed at the proposed (and now on hold) City of Boston regulations on short term rentals which would regulate them according to how many days a host rented out units. This amendment was apparently never seriously considered and will likely not have much support in the Senate either. It came from an industry lobbyist (possibly representing a short term rental group called StayAlfred). Much of the work up to this point on other short term rental bills has been to tax them like hotels. This bill introduces a whole new tax structure for short term rentals and the Senate may return to that structure. Summary of the current bill The bill would require the Department of Revenue to maintain a short-term rental registry, record the name of each host and the address of each unit they offer, and give the department the authority to charge a "reasonable fee" for registration. An "easily searchable and regularly updated" list of unit addresses -- without the host's name -- would be published online. Rentals would be taxed at levels ranging from 4 percent to 8 percent, depending on how many units a host offers. Residential hosts renting two or fewer units would be taxed at 4 percent, investor hosts with three to five units would have a 5.7 percent tax, and professionally managed hosts renting six or more units would face an 8 percent tax per rental, under the bill. Cities and towns would have the option to impose local excise taxes of up to 5 percent for residential hosts, 6 percent for investors, and 10 percent for professionally managed hosts. Communities that opt for the local tax would need to adopt ordinances or bylaws requiring any residential units offered as short-term rentals first undergo a safety inspection, the costs of which would be charged to the host. Half of the local tax collected from professionally managed hosts would need to be dedicated to "programs addressing either local infrastructure needs or low- and moderate-income housing programs," according to the bill. A Rep. Kevin Honan amendment adopted Thurs, Mar 22 would require that at least 25 percent of that tax money be distributed to low- and moderate-income housing programs. The taxes in the bill would kick in a year after the bill's effective date and would not apply to units that rent for less than $15 a day. Also, an amendment was adopted that provides: “Any city or town that has a safety inspection program in place as of the effective date of this act may deem any previously completed inspections of residential units to be in compliance with this requirement.” This should avoid the need for duplicative inspections for hosts who register with Cambridge and then must also register to comply with state law. Comments?

Pre-Spring Fling – March 19, 2018 Cambridge City Council meeting While we wait for the next Nor'Easter, here are a few things up for discussion this Monday. Sorry for the minimal comments, but I have to go to work. Manager's Agenda #2. A communication transmitted from Louis A. DePasquale, City Manager, relative to the recommendation to reappointment Margaret Drury as a member of the Cambridge Redevelopment Authority Board for a term of five years. Former City Manager Bob Healy's inspired appointments that revitalized the Cambridge Redevelopment Authority in April 2012 continue to be the gift that keeps on giving. Manager's Agenda #5. A communication transmitted from Louis A. DePasquale, City Manager, relative to Awaiting Report Item Number 18-28, regarding Housing Choice Designation. Cambridge continues to provide its share of new housing and then some. It will be great if this leads to some infrastructure funding under this new program. Now if we can only get all the other cities and towns in the area to do the same we might actually make a dent in the problem of actual affordable housing (as opposed to subsidized housing). Manager's Agenda #7. A communication transmitted from Louis A. DePasquale, City Manager, relative to Awaiting Report Item Number 18-25, regarding a timeline for the next Incentive Zoning Study. The City will authorize a thoughtful Nexus Study which will be followed promptly by several city councillors stumbling over each other to be the one who demands the greatest increase in the linkage fee regardless of the recommendations in the study. Order #1. City Council support of S. 2306, “An Act to promote and enhance civic engagement.”   Vice Mayor Devereux, Mayor McGovern, Councillor Siddiqui, Councillor Mallon Good idea worth supporting. The idea here is that “American history and civics education shall be taught as required subjects for the purpose of promoting civic service and a greater knowledge thereof, and of preparing students, morally and intellectually, for the duties of citizenship…” Take note that this refers to education so that students can develop well-informed points of view and make informed decisions. This should not be about training students to hold any predetermined point of view. Order #3. That the City Manager is requested to confer with the Election Commission regarding the possibility of instituting early voting in the 2019 municipal election.   Vice Mayor Devereux, Mayor McGovern While we all hope to have good voter turnout and an informed electorate in all elections, I'm not at all convinced that the key to either of these goals is expanding the number of days during which people can vote. With 34 precincts spread around the city and a 13 hour window during which people can vote, there really is no problem here that needs a solution and there is a significant cost associated with this proposal. Order #5. City Council support of implementing protected bicycle infrastructure on the Longfellow Bridge.   Councillor Zondervan, Councillor Carlone I can only see this making sense if the width of the planned bicycle lanes are insufficient and result in slow-moving cyclists being too close to faster moving motor vehicles. The last diagram I saw had a 5.5 foot bicycle lane (plus an 8.5 foot wide sidewalk) toward Boston and a 6 foot bicycle lane (plus a 10 foot wide sidewalk) toward Cambridge. Those are good widths and installing barriers in the roadway could be problematic for emergency vehicles. Order #6. City Council support of S.2302 "An Act to Promote a Clean Energy Future."   Councillor Zondervan, Mayor McGovern, Vice Mayor Devereux Few would argue with the goals, but it would be helpful to hear about what costs are associated with this very long list of proposed requirements. Order #7. That the City Manager is requested to work with all relevant City Departments to help facilitate the associated activities with the "Affordable Housing Week of Action."   Councillor Mallon, Councillor Siddiqui, Councillor Simmons Order #8. That the City Manager is requested to direct the Assistant City Manager for Community Development to apply for a federal Opportunity Zone designation on behalf of the City of Cambridge.   Councillor Siddiqui, Vice Mayor Devereux, Councillor Mallon, Councillor Simmons Order #9. City Council support of S.548 "Affordable Housing Credit Improvement Act of 2017."   Councillor Zondervan, Councillor Siddiqui, Mayor McGovern, Vice Mayor Devereux All three of these Orders refer to "Affordable Housing". Though I certainly don't want to overstate this, the term "affordable housing" as a euphemism for "subsidized housing" has always irritated me. During Envision Cambridge meetings and elsewhere it has now become common for people to say things like "Capital A Affordable Housing" in order to clarify that they mean housing that receives some form of subsidy. Wouldn't it be better to just use plain English? If it's subsidized - either by government funds or by skewing rents in privately owned inclusionary housing - then it should be called Subsidized Housing. I was able to to afford my triple-decker and have provided housing at affordable rents for over 30 years to my tenants, yet this is never acknowledged as "affordable housing". At best, City bureaucrats will refer to it as "small a affordable housing". Order #10. That the City Manager is requested to sign off on any Host Community Agreement for the purposes of filing an application with the State for an adult use cannabis retail establishment within the City of Cambridge, provided that said Host Community Agreement includes the maximum allowable taxation and relevant provisions that are substantially similar to or the same as those under which current medical cannabis establishments operate in the City.   Councillor Zondervan, Councillor Simmons I'm just glad I live on a street with an elementary school, two Montessori pre-schools, and a day-care center. That should keep the stoners at a tolerable level. Order #11. That the Chair of the Transportation and Public Utilities Committee be and hereby is requested to schedule a meeting to discuss parking options for City and School employees who do not get jobs that come with parking.   Councillor Kelley, Vice Mayor Devereux, Councillor Zondervan Considering the list of sponsors of this Order, I would have expected a mandate that these School employees ride their bikes to work or be required to buy Teslas. Order #12. That the City Manager is requested to have a funding plan in place to develop and implement protective barriers for Fresh Pond for the FY2018-19 budget.   Councillor Kelley, Councillor Toomey, Vice Mayor Devereux I would like to see a more detailed rationale for this. Of course we all want to ensure the quality of our water supply (except Gary Mello), but the examples given in the Order are coastal locations that are vulnerable to storm surges. Any vulnerability of Fresh Pond would more likely come from sustained rain events and limitations to evacuating that stormwater primarily via the Alewife Brook and Mystic River. Comments?

Here's a sampler of Central Square images over the years:

COMMUNICATIONS AND REPORTS FROM OTHER CITY OFFICERS
1. A communication was received from City Clerk, Donna P. Lopez, transmitting a communication from Councillor Carlone, submitting draft language on "AN ACT TO PRESERVE AFFORDABLE HOUSING IN THE CITY OF CAMBRIDGE THROUGH A TENANT'S RIGHT TO PURCHASE".
Referred to Calendar Item #3
[Note: Motion to amend Calendar Item #3 by inserting Carlone's (Somerville) language Failed 2-7 [Carlone, Zondervan - YES; Devereux, Kelley, Mallon, McGovern, Siddiqui, Toomey - NO]

AN ACT TO PRESERVE AFFORDABLE HOUSING IN THE CITY OF CAMBRIDGE THROUGH A TENANT’S RIGHT TO PURCHASE

SECTION 1. (a) For the purposes of this act, unless the context clearly requires otherwise, the following words shall have the following meanings:

“Bona fide offer,” a good faith offer, not dependent upon potential changes to current zoning or conditions or contingencies relating to the potential for, or the potential extent of development of the property for residential, industrial or commercial use, made by a party unaffiliated with the owner for a fixed consideration payable upon delivery of the deed. The owner shall have the burden of proof to establish that an offer of sale is a bona fide offer.

“Housing accommodation,” a building or buildings, structure or structures, or part thereof, rented or offered for rent for living or dwelling purposes, including, without limitation, houses, apartments, condominium units, cooperative units and other multifamily residential dwellings, but excluding a group residence, homeless shelter, lodging house, orphanage, temporary dwelling structure, transitional housing; publicly-assisted housing as defined in section 1 of chapter 40T of the General Laws, rental units in any hospital, skilled nursing facility, or health facility, public housing units managed by the local housing authority; federal public housing units that are subsidized and regulated under federal laws to the extent such applicable federal laws expressly preempt the provisions of this section, any units held in trust on behalf of a developmentally disabled individual who permanently occupies the unit, or will occupy the unit upon turning 22 years of age, or a unit that is permanently occupied by a developmentally disabled parent, sibling, child, or grandparent of the owner of that unit, and any rental unit that is owned or managed by a college or university for the express purpose of housing students, faculty, or staff.

''Immediate family member'', a spouse, child, step child, adopted child, sibling, step sibling, adopted sibling, parent, step parent, adopted parent, grandparent, or grandchild.

“Notice of intended sale,” a written notice in a form approved by the City of Cambridge which shall include: (i) a certified copy of an executed purchase and sale agreement specifying the purchase price and all terms and conditions of the proposed sale, and which shall be a bona fide offer as defined herein, and (ii) a notice of tenant’s rights provided by this act.

“Owner,” a person, firm, partnership, corporation, trust, organization, limited liability company, or other entity, or its successors or assigns, that holds title to a housing accommodation.

“Registered tenant association,” a group or entity representing at least 51 percent of the households occupying the housing accommodation which has the legal capacity to hold an interest real property, and has delivered a registration statement attesting to same, on a form approved by the City of Cambridge, to the City of Cambridge’s Office of Housing Division and the Office of the City Manager or their designee by hand or by certified mail. Upon delivering such a statement, which must occur within 45 days after the day following the latest date of deposit in the United States mail of any notice of intended sale which complies with this act, such association shall be the sole representative of the tenants, and any prior notice of intended sale is deemed delivered to such association;

“Sale”, “Sell”, or “Sold,” any conveyance or transfer of an interest in the real property comprising part or all of the housing accommodation, excepting the following: eminent domain takings, mortgage deeds; deeds to or by the city or town in which such land is located; deeds which correct, modify, supplement or confirm a deed previously recorded; deeds between husband and wife and parent and child when no consideration is received; tax deeds; deeds releasing any property which is a security for a debt or other obligation; deeds for division of property between owners without monetary consideration; foreclosures of mortgages and conveyances by the foreclosing parties; deeds made pursuant to a merger of a corporation or by a subsidiary corporation to its parent corporation for no consideration other than the cancellation and surrender of capital stock of such subsidiary which do not change beneficial ownership; property transferred into a revocable trust for no consideration where the grantor is the current beneficiary of the trust; property transferred by the trustee of a revocable trust if the transfer would otherwise be excluded under this act if made by the grantor of the revocable trust; transfer pursuant to court order or court-approved settlement; and property transferred by devise or otherwise as a result of death. A nonexempt transfer subsequent to any exempt transfer or transfers shall be subject to the provisions of this act.

“Tenant,” a person or group of persons entitled to possess or occupy the housing accommodation pursuant to a lease or tenancy at will, the right to occupy having been established for no less than six months at the time of delivery of the notice of intended sale of a housing accommodation. If the housing accommodation is vacant at the time of delivery of the notice of intended sale a “tenant” shall include such a person or group of persons who had resided in the unit within the time period of twelve months prior to the date on which any advertisement, listing, or public notice is first made that the housing accommodation is for sale, provided that the tenant was not evicted for cause.

(b) Notwithstanding anything to the contrary, this act shall not apply to the following types of housing accommodations: (i) a housing accommodation comprised of 2 separate units each of which is owner-occupied, and (ii) a housing accommodation comprised of 2 separate units one of which is owner-occupied, the other unit of which is occupied by an immediate family member who has resided in said unit for at least 6 months at the time of the sale.

SECTION 2. Tenant Opportunity to Purchase

(a) Notwithstanding any general or special law to the contrary, in the City of Cambridge, before a housing accommodation may be sold, the owner shall give a notice of intended sale to each tenant, and to any registered tenant association, of any bona fide offer that the owner intends to accept for such sale. Such notice shall be mailed by regular and certified mail, with a simultaneous copy to the City of Cambridge’s Housing Division and the Office of the City Manager, or their designee. If a housing accommodation contains more than one household unit, the owner shall also post a copy of such notice in a conspicuous place in a common area of the housing accommodation. If the notice of intent to sell does not contain all of the required material stated above, then the tenant, registered tenant association, or their assignee, within 30 days after receipt, shall notify the owner in writing that notice is insufficient and does not comply.

(b) Beginning with the day following the latest date of deposit in the United States mail of any notice which complies with this section, the tenant, registered tenant association, or their assignee, and the City of Cambridge or its assignee, shall have, in the case of a bona fide offer, a right of first refusal to meet a bona fide offer to purchase the housing accommodation, which shall run for the period of days as set forth in section 3 of this act. Said right created herein shall inure to the tenant, registered tenant association, or their assignee, and the City of Cambridge or its assignee, for the time periods provided in this act. No sale of a housing accommodation shall occur unless and until the owner receives documentation in a form approved by the City of Cambridge demonstrating there has been compliance with the notice requirements of this act, and either the right to purchase has been exercised, assigned, or lapsed.

(c) During the time periods provided herein for the exercise of any right to purchase, the tenant, registered tenant association, or their assignee shall have the right at reasonable times and upon reasonable notice, to enter upon the housing accommodation for the purpose of inspecting or testing the land and premises. No owner shall unreasonably refuse to enter into, or unreasonably delay the execution or closing on a purchase and sale with a tenant, registered tenant association, or their assignee who have made an offer to meet the price and substantially equivalent terms and conditions of a bona fide offer for which notice is required to be given pursuant to this act. The parties must bargain in good faith. The following constitute prima facie evidence of a failure to bargain in good faith: (i) failure of an owner to offer a price or term at least as favorable as that offered to a third party, within the periods specified in this act without a reasonable justification for so doing; (ii) failure of an owner to contract in a manner which substantially conforms with the price and terms of a third party contract within the time periods specified in this act without a reasonable justification for so doing; or (iii) intentional failure of a party to comply with the provisions of this act. Nothing herein shall be construed to require an owner to provide financing to a tenant, registered tenant association, the City of Cambridge, or their assignee.

(d) A tenant or registered tenant association, or the City of Cambridge, which has the right to purchase hereunder, at its election, may assign its purchase right hereunder to a qualified, eligible entity as defined by city ordinance or regulation for the purpose of continuing the use of the housing accommodation as permanently affordable rental housing. If the right has been assigned, the assignor shall provide written notice of the assignment, on a form acceptable to the City of Cambridge, to the owner, mailed by regular and certified mail, with a simultaneous copy to the City of Cambridge’s Housing Division and the Office of the City Manager, or their designee.

(e) If there is a subsequent bona fide offer after the owner has delivered its notice of intended sale as required under this act that results in a material change, or if the terms of a third-party contract to purchase the housing accommodation materially change between the time an offer of sale is made and the sale of the housing accommodation, then the owner shall first give each tenant, registered tenant association, and the City of Cambridge a new notice of intended sale which shall be subject to the rights set forth in this act. For the purposes of this subsection, a “material change” shall include, without limitation, a change in the purchaser or a reduction in the sale price of 10 percent or more. An owner shall not be required to deliver a new notice of intended sale if there is an increase in the sale price.

(f) A tenant, registered tenant association, the City of Cambridge, or its assignee holding a right to purchase the housing accommodation under this act, shall have the right to purchase the housing accommodation at full and fair market value, and at its option such value may be determined by an impartial appraisal performed by a certified appraiser hired at the equal expense of both the tenant, registered tenant association, the City of Cambridge, or their assignee, and the owner. The City of Cambridge may adopt qualification criteria for eligible appraisers. The appraisal shall be completed and delivered to the parties within 30 days after the notice of the intended sale. Upon determination of the value, the tenant, registered tenant association, or their assignee shall then have 120 days to exercise its option at said value. During the appraisal process, the owner may revoke the intent to sell at any time and with no recourse to either party except that the owner shall reimburse the tenant, tenant organization, or their assignee for its entire share of the cost of any contracted-for appraisal within 14 days of delivery of a written notice to withdraw the notice of intended sale.

(g) In any instance where the tenant, registered tenant association, the city of Cambridge, or their assignee are not the purchaser of the housing accommodation, the owner shall provide evidence of compliance with this section by filing an affidavit of compliance with the City of Cambridge’s Housing Division, on a form approved by the City of Cambridge, and in the records of the registrar of deeds in the county where the property is located within 7 days of the sale.

(h) In any instance where an owner intends to sell, convey, or otherwise transfer an interest in a housing accommodation but asserts that the proposed transaction does not require the owner to deliver a notice of intended sale under this act, the owner shall first file a notice of transfer on a form approved by the City of Cambridge. Such notice shall be mailed by regular and certified mail at least 90 days prior to the proposed date of sale to any tenant or registered tenant association which would otherwise be entitled to a notice of intended sale under this act, with a simultaneous copy to the City of Cambridge’s Housing Division and the Office of the City Manager, or their designee. An owner’s failure to provide a notice of transfer shall create a rebuttable presumption that the sale is subject to the right to purchase provided by this act. A tenant or registered tenant association, the City of Cambridge, or their assignee may seek a judicial determination as to whether the proposed sale is subject to the right to purchase under this act, by filing a civil action within 30 days of receipt of the notice of transfer.

SECTION 3. Statement of Interest; Exercising Right to Purchase.

(a) Housing accommodations with 2 or 3 units.

(1) The following provisions apply to a housing accommodation comprised of 2 or 3 rental units: (a) For a period of 30 days after the day following the latest date of deposit in the United States mail of any notice of intended sale which complies with this act, the tenants or its assignee, shall have the option to jointly provide the owner and the City of Cambridge’s Housing Division or its designee, mailed by regular and certified mail, with a statement of interest which shall be a written notice in a form approved by the City of Cambridge which shall include: a clear expression of interest on the part of the tenant to exercise the right to purchase as provided by this act, provided that if the tenants acting jointly have failed to submit a written statement of interest, an individual tenant shall have 7 additional days to deliver a statement of interest in the same manner set forth in this clause, and provided further, that if an individual tenant has failed to submit a written statement of interest, the City of Cambridge or its assignee shall have 7 additional days to deliver a statement of interest in the same manner set forth in this clause. (b) If a written statement of interest has been mailed in accordance with this section, the parties shall have no less than 90 days from the date of the mailing of the statement of interest to negotiate and execute a purchase and sale agreement. If more than one individual tenant submits a written statement of interest, the owner shall negotiate with each tenant separately, or jointly if the tenants agree to negotiate jointly. For every day of delay in providing information by the owner as required by this act, the negotiation period is extended by 1 day. If, at the end of the 90-day period or any extensions thereof, the tenants jointly have not contracted with the owner, the owner shall provide an additional 30-day period, during which any one of the current tenants may contract with the owner for the purchase of the housing accommodation. If the owner is required to negotiate with more than one tenant pursuant to this section, the owner may decide which contract is more favorable without liability to the other tenants. (c) Any purchase and sale agreement shall provide a reasonable period of time of not less than 90 calendar days from the execution of the agreement in order for the tenant to secure financing and financial assistance. If a lending institution or agency estimates in writing that a decision with respect to financing or financial assistance will be made within 120 days after the date of contracting, the owner shall afford an extension of time consistent with that written estimate. (d) If 240 days elapse from the date of the owner’s mailing of the notice of intended sale and the owner has not sold or contracted for the sale of the housing accommodation, the owner shall comply anew with the terms of this act.

(b) Housing accommodations with 4 or more units.

The following provisions apply to housing accommodations with four or more rental units: (a) Tenants may, but are not required to, form a registered tenant association. For a period of 30 days after the day following the latest date of deposit in the United States mail of any notice of intended sale which complies with this act or the date of the filing of a registration statement with the City of Cambridge by a registered tenant association, whichever is later, the tenants shall have the option to jointly, or acting through a registered tenant association, or its assignee, shall provide the owner and the City of Cambridge’s Housing Division or its designee, mailed by regular and certified mail, with a statement of interest which shall be a written notice in a form approved by the City of Cambridge which shall include: a clear expression of interest on the part of the tenants or registered tenant association to exercise the right to purchase as provided by this act, provided that if the tenants either acting jointly or through a registered tenant association have failed to submit a written statement of interest, an individual tenant shall have 7 additional days to deliver a statement of interest in the same manner set forth in this clause , and provided further, that if an individual tenant has failed to submit a written statement of interest, the City of Cambridge or its assignee shall have 7 additional days to deliver a statement of interest in the same manner set forth in this clause. (b) If a written statement of interest has been  mailed in accordance with this section, the parties shall have no less than 120 days from the date of the mailing of the statement of interest to negotiate and execute a purchase and sale agreement. For every day of delay in providing information by the owner as required by this act, the negotiation period is extended by 1 day. If, at the end of the 120-day period or any extensions thereof, the tenants jointly or through a registered tenant association have not contracted with the owner, the owner shall provide an additional 30-day period, during which any one of the current tenants may contract with the owner for the purchase of the housing accommodation. If the owner is required to negotiate with more than one tenant pursuant to this section, the owner may decide which contract is more favorable without liability to the other tenants. (c) Any purchase and sale agreement shall provide a reasonable period of time of not less than 120 calendar days from the execution of the agreement in order for the tenant or registered tenant association to secure financing and financial assistance. If a lending institution or agency estimates in writing that a decision with respect to financing or financial assistance will be made within 240 days after the date of contracting, the owner shall afford an extension of time consistent with that written estimate. If the registered tenant organization’s articles of incorporation provide, by the date of execution of the purchase and sale agreement, that the purpose of the such organization is to convert the housing accommodation to a nonprofit housing cooperative with appreciation of limited share value, the owner shall afford not less than 180 additional days after the date of contracting or such additional time as required by this section. (d) If 360 days elapse from the date of the owner’s mailing of the notice of intended sale and the owner has not sold or contracted for the sale of the housing accommodation, the owner shall comply anew with the terms of this act.

SECTION 4.

(a) The purposes of this chapter favor resolution of ambiguity by any judicial or administrative body or officer toward protecting the legal rights of tenants to the maximum extent permissible under law. If this act conflicts with another provision of law of general applicability, the provisions of this act control.

(b) The right of a third party to purchase a housing accommodation is conditional upon exercise of a tenant, registered tenant association, or their assignee’s rights under this act. The time periods for negotiation of a purchase and sale agreement and for the sale of a housing accommodation pursuant thereto under this act are minimum periods, and the owner may afford a reasonable extension of such periods, without liability under a third party contract. Third party purchasers are presumed to act with full knowledge of the rights provided for under this act.

(c)This law is in addition to and is not intended to abrogate any other right to purchase, or right of first refusal to purchase a housing accommodation, as provided by general or special law, or by city ordinance.

SECTION 5. The City of Cambridge is authorized to provide a grant or loan, or otherwise assist, from its affordable housing trust fund for the purposes of purchases of real property under this act.

SECTION 6. An owner may not require a tenant, registered tenant association, the City of Cambridge, or their assignee to prove financial ability to perform as a prerequisite to entering into a contract under this act. The owner shall not require the tenant to pay a deposit in excess of the lesser of: (a) the deposit in the third party purchase contract, (b) 5 percent of the sale price, or (c) $250,000.

SECTION 7. (a) It is illegal for an owner to evict a tenant or tenants, or otherwise terminate a tenancy without just cause, in order to avoid application of this law. Any rights provided under this act are not waivable. It is illegal for an owner to require a tenant to waive any rights provided to the tenant under this act.

(b) Any aggrieved tenant, registered tenant association, the City of Cambridge, or their assignee may seek damages, including without limitation, relief in the form of a percentage of the sales price and/or injunctive relief in the form of specific performance to compel transfer of property, attorney’s fees and costs, and under the provisions of chapter 93A of the General Laws.

(c) The City of Cambridge is authorized to enforce this act and may promulgate ordinances, rules, regulations, and any forms necessary for implementation or enforcement. The City of Cambridge may seek injunctive, declaratory, and compensatory relief in a court of competent jurisdiction.

SECTION 8. This act shall take effect upon its passage.

Bill H.3017
Chapter 184 of the General Laws is hereby amended by the addition of a new section 21A, as follows:

1. In any city or town which votes to adopt the provisions of this section, tenants of residential buildings with three (3) or more units, or their designees, as set forth herein, shall have the right of first refusal to purchase such buildings at fair market value, for the purpose of maintaining affordable housing and preventing tenant displacement.

2. At the time of execution of an agreement for the purchase and sale of a residential building with three (3) or more units, except for an owner-occupied building with three (3) units, the owner/seller of the building must give written notice of the agreed-upon sale to all tenants aged 18 or over, and to the municipality, in such form as shall be specified by ordinance or bylaw. The price specified in a good faith, arm’s length purchase and sale agreement shall be prima facie evidence of the fair market value of the property. 

3. The tenants, or any such non-profit housing entity as the tenants may form or formally designate, shall have forty-five (45) days in which to make a deposit to the owner, equal to five per cent (5%) of the agreed-on sales price, as set forth in the purchase and sale agreement, which shall be held in escrow by the seller’s agent or attorney. The tenants, or their designee, shall also execute a purchase and sale agreement with the seller, which shall have priority over the original purchase and sale agreement, contingent on financing.

4. The tenants or their designee shall have an additional one hundred and twenty (120) days from execution of the purchase and sale agreement to secure financing for and close the purchase of the building.

5. Tenants may assign or transfer their right of first refusal to an owners’ cooperative, a community development corporation, a land trust, or such other non-profit housing organization as will hold the property in perpetuity as limited-equity affordable housing. Such assignment transfer shall be in writing, on a form specified by the municipality.

6. Any municipality which votes to adopt the provisions of this section and which is not otherwise authorized to establish a housing trust fund, which shall be a revolving fund, is hereby so authorized. Funds from including, but not limited to, linkage fees, gifts or bequests, and duly authorized community preservation act funds, may be deposited in the housing trust fund. Any municipality which has a housing trust fund may authorize a grant or loan from the fund for purposes of purchases of real property under this section.

7. Any owner of any a residential building with three (3) or more units, including an owner-occupied building with three (3) units, may offer in writing to sell such building to the tenants or their designee at any time. In such a case, fair market value shall be negotiated between buyer and seller based on one or more professional appraisals. Once a price is agreed to, the parties shall proceed with the transaction as set forth in subsections 3 through 5 of this section.

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https://www.huffingtonpost.com/entry/in-dc-an-old-law-is-complicating-real-estate-deals_us_592d2b0ce4b08861ed0ccbb5

A Law Used To Stifle Landlords Is Reducing Affordable Housing In Washington, DC
While TOPA has served to protect tenants’ rights, it has had unintended consequences.
05/30/2017 04:53 am ET Updated May 30, 2017

In Washington, D.C., an old law to protect renters is getting new attention. The Tenant Opportunity to Purchase Act, commonly known as TOPA, has become so controversial critics are asking that the law be re-examined. This is because some tenants are using TOPA to extract money from landlords, should a landlord decide to sell a building. At present, TOPA is holding up or blocking real estate transactions, causing grief for developers and homeowners and victimizing low-income residents stuck living in buildings owners are unable to sell but forced to maintain at a financial loss.

Ostensibly, TOPA was created to protect tenants’ rights, which is important in Washington where about 30 percent of the District’s 672,000 residents rent instead of own a home. On its most basic level, the 1980 law is simple. “Under TOPA,” one publication wrote by way of explanation, “prior to the sale of a housing accommodation, the owner must send, by first class mail, a written offer of sale to each tenant and the Mayor of the District of Columbia.” The letter must state the property’s asking price and the terms of the sale. “In the case of a single-family home, a condominium, or cooperative unit… the tenant has 30 days to provide a written statement of interest to purchase the property.” If no offer is made, the sale goes through. If an offer is made, “the tenant has a minimum of 60 days… to negotiate a contract of sale with the property owner.”

Originally, the law was envisioned, according to one source, as a way “to protect tenants from potentially advantageous landlords and buyers.” That is to say, the law was trying to stop a developer from buying a property rented by low-income tenants and converting it to high-end housing. While TOPA has served to slow down this type of conversion, it has had unintended consequences.

One problem arises from the fact that a tenant can state he is willing to buy a property, but he is not required to demonstrate the financial means necessary to buy it. Even more troublesome, a tenant can assign — in other words sell — his TOPA rights to a third party such as a lawyer or a developer. This creates a situation where an outside party can complicate the sale of a property either by holding up the sale or inflating the value of the TOPA rights or both. It also violates the spirit of the law if the point of the original legislation was to protect the ability of a tenant to keep his home, not produce a bidding opportunity where TOPA rights can be auctioned off to the highest bidder, which is what has started to happen in Washington.

The bottom line is a tenant has the ability to cash in on the sale of a property without putting up any money of his own...

Consider the drama surrounding the recent sale of a home on Capitol Hill. The homeowner put her house on the market and received an offer. But when she gave notice to her tenant who leased the basement apartment for $800 a month, the tenant executed her TOPA rights, holding up the sale of the house. When the homeowner offered the tenant $10,000 to buy the TOPA rights, the tenant rejected the offer because she had multiple offers from third parties. “[My agent and I] are accepting offers which consider the ratio of time I am able to stay in the home and the buyout amount,” the tenant wrote to the homeowner. The conflict ended up in court.

Because of such examples — and there are many — critics of TOPA call it “tenant blackmail”; defenders call it “tenant capitalism.” The bottom line is a tenant has the ability to cash in on the sale of a property without putting up any money of his own, since he can hold a potential sale hostage until he signs over his TOPA rights. This is in stark contrast to real estate laws in, say, New York City, where a tenant can buy his apartment when his building converts to a cooperative but he is required to actually purchase the unit. He has a financial stake in the deal in a way tenants selling TOPA rights do not.

Sometimes the tenants band together and form a tenants’ association, which will represent all tenants concerning TOPA rights. But often a tenants’ association serves to drag out the purchase process with little or no intention of facilitating a sale. Such was the case with Museum Square. “So far,” The Guardian reported in an article about the sale, “the… tenants’ association of Museum Square is half way through the TOPA process. Seizing on their right to buy first… tenants have managed to stay put by claiming the number ($250 million) issued by their landlord as a sales price did not constitute a bona fide offer — meaning it did not represent the buildings’ current market value (the number instead reflected the estimated value of the luxury building that would have been built in its stead).”

In another case, tenants living in the low-income apartment complex surrounding the Congress Heights Metro station have exerted their TOPA rights, blocking the complex’s sale. The owner of the buildings, Sanford Capital, has been heavily criticized in the media for failing to maintain the property when in fact the company merely wants to divest itself of the property by selling it. It’s being prevented from doing so by the tenants, who have filed a TOPA lawsuit, guaranteeing the current situation, unacceptable to both the owner and the tenants, will continue on.

According to media reports, summer interns renting a room and even squatters can claim and sell TOPA rights. Critics of TOPA believe D.C. Mayor Muriel Bowser should work with the City Council to reform TOPA to ensure that residents can exert their rights but not hold a sale hostage to a process that is being used to delay real estate transactions through extortion of landlords. Unless the law is changed, things will only get worse, slowing down the construction of new housing. Oddly enough, this won’t create more affordable housing in D.C. — as TOPA was designed to ensure — but make what housing is available even more costly.

CIVIC CALENDAR

Tues, Mar 27

2:00pm   The City Council's Civic Unity Committee will hold a public hearing to discuss whether the City’s Boards and Commissions adequately reflect the demographic makeup of the community, the proposed Office of Faith Based Initiatives, and the City’s ongoing cultural competency trainings.  (Sullivan Chamber)

6:30pm   Planning Board meeting  (2nd Floor Meeting Room, City Hall Annex, 344 Broadway)

General Business

1. Update from the Community Development Department

2. Adoption of Planning Board meeting transcripts

Public Hearings

6:30pm   PB# 334 (continued from 1/30/2018) 24 Brattle Street (1-7 & 9-11 JFK Street, 18-20 Brattle Street) – Special Permit application by Regency Centers to renovate the existing Abbot Building at 1-7 JFK Street and the office building at 18-20 Brattle Street, replace the two-story retail building at 9-11 JFK Street with a new four-story building, construct an upper story addition at 18-20 Brattle Street, and add roof terrace on the new building and a portion of 18-20 Brattle Street pursuant to Sections 2.000 Basement GFA, 10.40 Special Permit, 20.54.2.2 Additional Height, Parking and Loading Requirements. (Notice) (Materials)

General Business

3. PB#179 – Cambridge Crossing (formerly North Point) Parcel I Building Design Review (Materials)

Wed, Mar 28

12:00pm   The City Council's Economic Development and University Relations Committee will conduct a public hearing to discuss the implementation of several aspects of the Retail Strategic Plan, including pop-up activation of empty storefronts and an update on the potential for an empty storefront ordinance.  (Sullivan Chamber)

Mon, Apr 2

5:30pm   City Council meeting  (Sullivan Chamber)

Tues, Apr 3

6:00pm   Regular School Committee meeting  (Henrietta Attles Meeting Room, CRLS, 459 Broadway)

Thurs, Apr 5

3:00pm   Special City Council Meeting to discuss policy and regulatory considerations related to the opening of cannabis adult-use retail stores and businesses in Cambridge. This meeting will be televised.  (Sullivan Chamber)

Mon, Apr 9

5:30pm   City Council Roundtable/Working Meeting for the purpose of discussing the draft version of the Climate Change Preparedness and Resilience Plan for Alewife.  (Sullivan Chamber)

Tues, Apr 10

5:00pm   The City Council's Housing Committee will meet for an as yet undisclosed purpose.  (Sullivan Chamber)

Wed, Apr 11

3:00pm   The City Council's Transportation and Public Utilities Committee will conduct a public hearing to discuss topics related to the MBTA bus service, including Cambridge’s participation in the upcoming MBTA Service Plan, a brief update on upcoming pilot projects of dedicated bus lanes and transit signal prioritization, and a brief update on the upcoming construction of the bus tunnels in the Harvard Square MBTA station.  (Sullivan Chamber)

8:00-9:30am   Recycling Advisory Committee (RAC) Meeting  (Sullivan Chamber, City Hall)

Thurs, Apr 12

4:00pm   The City Council's Public Safety Committee will conduct a public hearing to review the Mayor’s Special Advisory Committee on Neighborhood Based Resiliency.  (Sullivan Chamber)

Tues, Apr 17

2:00pm   The City Council's Public Safety Committee will conduct a public hearing to discuss a proposed surveillance ordinance.  (Sullivan Chamber)

Mon, Apr 23

5:30pm   City Council meeting and Budget Overview  (Sullivan Chamber)

Wed, Apr 25

4:00pm   The City Council's Public Safety Committee will conduct a public hearing to discuss marijuana laws, education and enforcement.  (Ackermann Room)

Mon, Apr 30

5:30pm   City Council meeting  (Sullivan Chamber)

Tues, May 1

9:00am   The City Council's Finance Committee will conduct a public hearing to discuss the FY2019 City Budget  (Sullivan Chamber)

6:00pm   Regular School Committee meeting  (Henrietta Attles Meeting Room, CRLS, 459 Broadway)

Mon, May 7

5:30pm   City Council meeting  (Sullivan Chamber)

Tues, May 8

9:00am   The City Council's Finance Committee will conduct a public hearing to discuss the FY2019 City Budget  (Sullivan Chamber)

Wed, May 9

8:00-9:30am   Recycling Advisory Committee (RAC) Meeting  (Sullivan Chamber, City Hall)

6:00pm   The City Council's Finance Committee will conduct a public hearing to discuss the FY2019 School Department Budget  (Sullivan Chamber)

Thurs, May 10

9:00am   The City Council's Finance Committee will conduct a public hearing to discuss the FY2019 City Budget - if necessary  (Sullivan Chamber)

Mon, May 14

4:00pm   2018 City of Cambridge Scholarship Awards Ceremony. This meeting to be televised.  (Sullivan Chamber)

5:30pm   City Council meeting  (Sullivan Chamber)

Tues, May 15

5:00pm   The City Council's Housing Committee will meet for an as yet undisclosed purpose.  (Sullivan Chamber)

6:00pm   Regular School Committee meeting  (Henrietta Attles Meeting Room, CRLS, 459 Broadway)

Mon, May 21

5:30pm   City Council meeting and expected Budget Adoption  (Sullivan Chamber)

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