March 13, 2023

“Motion to Adjourn DA LS Meeting ended at 9:11 pm Minutes transcribed by Shannon Corea Packet material can be viewed online here. Full meeting can be viewed online here. April 3, 2023 ANNUAL TOWN MEETING - SELECT BOARD RECOMMENDATIONS 2023 - PAGE 1 A PRIL 3, 2023 A NNUAL T OWN M EETI NG Motion Article Motion Second: Yay Nay Abstain Recuse by: Funding Articles ATM - 1 Prior Year Bills R LV LS 5 SINGLE MOTION - FY 2024 Operating Budget - ATM - 2 R LV LS 5 Divisions 1 through 6 DIV 1 General Government Budgets DIV 2 Finance Budgets DIV 3 Public Safety Budgets DIV 4 Public Works Budgets DIV 5 Public Services Budgets DIV 6 School Budget FY2024 Cape Cod Regional Technical High School Tuition ATM - 3 R LS LV 5 Assessment. ATM - 4 FY2024 Enterprise Funds - Water & Wastewater R LS LV 5 ATM - 5 Provincetown Public Television Funding R LS LV 5 Transfer from the Emergency Stabilization Fund to General ATM -6 R LS LV 5 Stabilitzation Fund. ATM - 7 General Stabilization Fund R LS LV 5 ATM - 8 Community Preservation Budget for FY2024 R LV LS 5 ATM - 9 FY 2024 Capital Improvements Program R LS JG 5 CIP SINGLE MOTION - CIP articles A through DD R LS JG 5 CIP 9A Airport - Construct Snow Removal Equipmnet Building Community Development - Coastal Resilience and Climate CIP 9B Action Plan M OTIONS : R = R ECOMME ND ; NR = N OT R ECOMME ND ; RR = R ESERVE R ECOMMENDATION ; IP = I NDE FINITELY P OSTPONE ; April 3, 2023 ANNUAL TOWN MEETING - SELECT BOARD RECOMMENDATIONS 2023 - PAGE 2 Motion Article Motion Second: Yay Nay Abstain Recuse by: Community Development - Eder Conservation Area - CIP 9C Demolition/Debris Removal Community Development - Long Point Dike Modification CIP 9D Project Community Development - Demo/Site Readiness 288A CIP 9E Bradford/26 SP Rd. CIP 9F Fire - Main Station Heater Blowers Replacement CIP 9G Fire - Ambulance 197 Replacement CIP 9H Fire - Upfit High Water Rescue Truck CIP 9I Fire - LIFEPAK< AED and Lucas Replacement CIP 9J Harbor - Harbormaster Boat Replacement CIP 9K Marine - Ongoing Beach Maintenance and Dredging CIP 9L Pier - Electrical Repairs CIP 9M Pier - Infrastructure and Fender Piles CIP 9N Pier - Lighting Upgrades and Design CIP 9O Police - Police Vehicle Fleet Replacement CIP 9P Public Works - Public Works Vehicle Fleet Replacement CIP 9Q Public Works - Building Capital Plan CIP 9R Public Works - Streets, Sidewalks and Bike Path CIP 9S Public Works - Stormwater Maintenance and Repair CIP 9T Public Works - Bas Relief Fianl Phase Repair CIP 9U Public Works - Fire System Replacement CIP 9V Public Works - Interior Library Imporvements M OTIONS : R = R ECOMME ND ; NR = N OT R ECOMME ND ; RR = R ESERVE R ECOMMENDATION ; IP = I NDE FINITELY P OSTPONE ; April 3, 2023 ANNUAL TOWN MEETING - SELECT BOARD RECOMMENDATIONS 2023 - PAGE 3 Motion Article Motion Second: Yay Nay Abstain Recuse by: Public Works - Province Landing Rd. Pedestrian CIP 9W Improvements CIP 9X Recreation - VMCC Rec Floor Refinishing CIP 9Y School - Fences Surrounding Early Learning Center Year Round Market Rate Rental Housing Trust - Harbor CIP 9Z Hill Roof Replacement CIP 9AA Recreation - Pickleball at Jerome Smith CIP 9BB Peir - Water Line Replacement CIP 9CC Water Enterprise Fund - Water Meter Replacement CIP 9DD Water Enterprise Fund - SCADA System Uprgrades Rescind Borrowing Authority - Open Cape Network ATM - 10 R LV JG 5 Connections Housing Articles Supplemental Funding for 3 Jerome Smith Road Housing ATM - 11 R LV JG 5 Developement Construction Funding for Firehouse #2 - 189 Commercial ATM - 12 R LV JG 5 Street. ATM - 13 Funding for Shank Painter Road Zoning Study R LV JG 5 Funding for a Trasnportation Pilot Project for Provincetown ATM - 14 R LV JG 5 Workers Home Rule Petition. Acquisition of Year-Round Housing ATM - 15 R LV JG 5 Occupancy Restrictions Expansion of the Residential Tax Exemption for Year ATM - 16 R LV JG 5 Round Rentals Petitioned Articles ATM - 17 General Bylaw Amendment - Plastic Reduction RR LV LS 5 General Bylaw Amendment - Short Term Rent Certificate ATM - 18 NR LS LV 4 1(DA) Regulatoins ATM - 19 General Bylaw Amendment - Short Term Rental Cap NR LS LV 4 1(DA) M OTIONS : R = R ECOMME ND ; NR = N OT R ECOMME ND ; RR = R ESERVE R ECOMMENDATION ; IP = I NDE FINITELY P OSTPONE ; April 3, 2023 ANNUAL TOWN MEETING - SELECT BOARD RECOMMENDATIONS 2023 - PAGE 4 Motion Article Motion Second: Yay Nay Abstain Recuse by: General Bylaw Amendment - Short Term Rental Cap with ATM - 20 NR LS LV 4 1(DA) Transferable License Program ATM - 21 Non-Binding Resolution - Low Noise Fireworks R LS JG 4 1(DA) ATM - 22 Non-Binding Resolution - Limit Number of Fireworks RR LS JG 4 1(LV) ATM - 23 Historic District Map NR LV JG 4 1(DA) Town Board Articles Eversource Easement for Electrical Service on Town ATM - 24 R LS LV 5 Property at 260 Commercial Street ATM - 25 Additional Package Store Licenses - A Home Rule Petition R LS LV 5 Charter Amendment Articles Charter Amendment. Elections - Primary Residency ATM - 26 R LS JG 5 Required General Bylaw Amendment Articles General Bylaw Amendment. Obstructions within the Public ATM - 27 R LV JG 5 Ways Zoning Agenda Articles Zoning Bylaw Amendment: Inclusionary and Incentive ATM - 28 R LV JG 5 Zoning Blaw. Filing of the deed restriction Zoning Bylaw Amendment: High Elevation Protection ATM - 29 R LV JG 5 District. Consent Agenda Articles Consent SINGLE MOTION - Consent Agenda Articles 30-37 R JG LV 5 ATM- 30 Cape Cod Greenhead Fly Control District Assessment. ATM - 31 Expenditures from the Tourism Fund. ATM - 32 FY2024 Human Services Grant Program ATM - 33 FY2024 Revolving Fund Spending Limits M OTIONS : R = R ECOMME ND ; NR = N OT R ECOMME ND ; RR = R ESERVE R ECOMMENDATION ; IP = I NDE FINITELY P OSTPONE ; April 3, 2023 ANNUAL TOWN MEETING - SELECT BOARD RECOMMENDATIONS 2023 - PAGE 5 Motion Article Motion Second: Yay Nay Abstain Recuse by: ATM - 34 Funding for Economic Development Committee ATM - 35 Funding for the Cultural Council ATM - 36 0.5% Real Estate Transfer Fee - A Home Rule Petition. Amendments to Personnel Bylaw/Classification and ATM - 37 Compensation Plan. M OTIONS : R = R ECOMME ND ; NR = N OT R ECOMME ND ; RR = R ESERVE R ECOMMENDATION ; IP = I NDE FINITELY P OSTPONE ; MEMO TO: Provincetown Select Board FROM: Ryan Castle, CEO of the Cape Cod & Islands Association of REALTORS ® DATE: March 13, 2023 TOPIC: Comments on Articles 18, 19, and 20 ________________________________________________________________________________________ On behalf of our members who live and work in Provincetown and their clients who call Provincetown home, we are raising concerns about the citizens' petition articles that are on the annual Town Meeting warrant - Articles 18, 19, and 20. CCIAOR believes these articles are rushed, that they will not achieve the desired results, and are legally problematic to be implemented as written. As such, we ask the Provincetown Select Board to recommend against adopting any of the three short-term rental bylaws presented by citizens petitions at Town Meeting. These articles are simply not ready to pass legal muster and be viable bylaws for the town moving forward at this time. We have helped many communities on the Cape address short-term rental concerns by offering constructive regulations, and stand ready to do so in Provincetown. Our association and our members bring expertise in short-term rentals, housing affordability, and the overall real estate market to the table to help solve the concerns that prompted the proposed articles. Town Meeting attendees should table Articles 18, 19, and 20 and instead, let the town's existing Short-Term Rental Study conclude so that town leaders may work together with all stakeholders to craft regulations that work for all of Provincetown. Our chief objections to the current petition articles as written are: Articles Violate Right to Contract Provisions for Already Signed Leases All three of the articles as written would violate both the United States Constitution Contracts Clause and the Massachusetts Constitution Article 24 of the Declaration of Rights. The proposed bylaws make no provisions for contracts that were entered into prior to the enactment of the proposals. All three bylaws have different days of enactment, but all are problematic as they interfere with the Right to Contract. Short-Term leases have already been entered into for property(ies) in 2023 that may by the passage of any of these bylaws make the property not eligible for a short-term rental certificate - either through exceeding the cap on total permits, or the cap on per owner permits. If Town Meeting passes the STR Regulations, any bookings for dates after the effective date of the bylaw for a property that does not comply with the MEMO requirements of the STR Regulations would become unlawful and subject to penalty under the STR Regulations. This would put affected property owners in the untenable position of choosing between going forward with existing bookings at the risk of being financially penalized for violating the STR Regulations, or canceling the booking and risking being sued for breach of contract. Additionally, Article 18 specifies that the bylaw would take effect June 1, 2023. This provision is out of compliance with Massachusetts law, which requires bylaws to take effect upon approval of the Massachusetts Attorney General or 90 days after passage (July 3, 2023), whichever is sooner. Any short-term rental bylaw passed should not apply until sufficient time has passed to allow for the implementation in order to not interfere with existing contracts. Article 18 Gives Unbridled and Unclear Discretion to Revoke Permits Article 18 seems to give both the Select Board (18.1.3) and the Board of Health (18.1.4) the authorization to revoke a short-term rental permit, and at different standards. The Select Board would be able to revoke a permit with "three or more violations within a twelve month period," while the Board of Health has permission at the higher standard of "more than three violations within a twelve month period." These provisions are overlapping and inconsistent. It makes no sense for both bodies to have authority to revoke or permanently deny an STR registration - only one should have that authority. Arguably, it should be the Board of Health, which is separately authorized to administer the registration program and to adopt rules, regulations, and policies to implement the STR Regulations. It certainly makes no sense to have different thresholds for each board to act. The bylaw should be amended to address this inconsistency. Additionally, it is unclear what a violation of this bylaw would consist of. The bylaw only pertains to eligibility for obtaining a Short-Term Rental Permit (not the existing Habitations for Rent Regulation). Thus, there should be no permit issued by the Town if the applicant does not meet the permit requirements and, therefore, no reason for a revocation. Articles 19 and 20 are Wrong to Presume Those who Paid Taxes are Only Permit Holders In the Massachusetts Room Occupancy Tax for Short-Term Rentals, an exception exists for homeowners who rent their property out for 14 days or less per year to collect room occupancy tax on the property. Articles 19 and 20 define those who would get a permit as 'those who paid room occupancy tax for the prior year'; however, it leaves out those who rented short-term, yet had no room occupancy tax due. These homeowners who rented out for less than 14 days would not be automatically granted permits, even though MEMO they may have an existing short-term rental permit from Provincetown and are duly registered with Massachusetts Department of Revenue. Both Articles 19 and 20 need to be amended to incorporate homeowners that may be utilizing their property for short-term rentals, but have been exempted from collecting room occupancy tax. All Articles Reduce Available Funds to Affordable Housing and Clean Water While all three articles purport to offset the burden on housing affordability that short-term rentals present, no data has shown exactly what that effect has been. To our knowledge, there has been no town in the country that has seen a housing price decline to more affordable levels on the basis that short-term rentals were regulated, capped, or otherwise banned. More problematic is that the adoption of either of these articles will limit town revenues. Articles 18 and 20 would directly decrease the amount of town funds available for affordable housing. Just last year, Provincetown passed a Community Impact Fee that levies a room occupancy 3% surcharge on multiple short-term rentals owned by the same owner. The town's own estimates were that this tax would collect more than $200,000 per year - funding that would be decreased under the proposed petitions. Additionally, with the cap on short-term rentals and on owners that all three articles have at some level there will be a cap on revenues collected from the town's 6% room occupancy tax and the Cape & Islands Water Protection Fund. Over time, this will limit the growth of revenue and perhaps even reduce revenue collected to help the two biggest issues in Provincetown: affordable housing and cleaning up the Cape's waterways. Thank you for the opportunity to comment. None of these articles are ready for passage and as such, we ask that you do not recommend them at Town Meeting. Please do not hesitate to contact me at rcastle@cciaor.com with any questions..” (Motion: Abramson, second: Sandberg)

Read it in the official minutes, page 4 (PDF)