Six-Town Comparison Prompts New Study of Controversially Disputed Real Estate Transfer Fee
Key Points
- Select Board authorizes a new study committee to examine the legality and impact of a proposed real estate transfer fee for affordable housing
- Urgent State Revolving Fund application approved to secure financing for PFAS treatment at Wells 10 and 11
- Town Administrator criticizes "terrible" architecture and density of a proposed 27-unit 40B project on Route 28
- Board members call for a thorough analysis of retrofitting the MacArthur building for library use versus expensive new construction
- Town Administrator reports on ongoing litigation with Rivoli Construction following project delays and community impacts
Addressing the dual pressures of a mounting housing crisis and fierce local opposition to new assessments, the Yarmouth Select Board initiated a formal study into a potential real estate transfer fee during their Tuesday evening meeting. The move came after residents and board members alike questioned the legality and fairness of the proposed fee, which would generate revenue for affordable housing from high-end property sales.
The discussion was sparked by a comparison of similar fee structures in six neighboring towns, presented by Town Administrator Robert Whritenour. However, the proposal immediately drew fire from the public. Resident Tom Sullivan argued that the fee is effectively a discriminatory tax that violates the 14th Amendment’s Equal Protection Clause by targeting specific price points. You could dress it up any way which way you want to do. Even put lipstick on it. It's a tax,
Sullivan told the board. The tax laws must apply equally to all individuals and cannot discriminate against any certain group or classes of people. The so-called transfer fee is discriminatory.
Board members expressed their own reservations about the mechanism and its impact. Member M. Forest acknowledged the deep-seated opposition from the real estate community and suggested a more cautious approach. Politically the realtors have dug in and other groups that oppose this have dug in... I happen to agree with Tom Sullivan. I think we should have a study, assemble a committee, assemble a group and have them take a look at all the various options,
Forest said. Member D. McGurrin advocated for a specific organizational model, suggesting the town should model the study group on the previous Plastics Committee to ensure a balanced membership of realtors, legal experts, and citizens. Motion Made by M. Forest to authorize the Town Administrator to prepare a draft committee charge for a group to review transfer fee options. Motion Passed (5-0).
Chair T. Post emphasized that any such fee must remain under local jurisdiction rather than falling under a county-wide structure. I'm never in favor of new taxes, obviously, but I like home rule petitions because it is specific to our community and what we want and what our people in our town vote for,
Post noted.
In other financial business, the board acted to secure funding for urgent water infrastructure needs. With a fast-approaching deadline, the board authorized an application for State Revolving Fund (SRF) financing to address PFAS contamination in Wells 10 and 11. Whritenour explained that the application is necessary to obtain the financing required for projects appearing on the upcoming November Special Town Meeting warrant. Motion Made by L. Argo to approve the certifying statement and authorize the Town Administrator to file the SRF application for Wells 10 and 11. Motion Passed (5-0).
The board also contended with a controversial 40B housing proposal at 897 Route 28, the site of a former laundry. A local resident, Christopher, voiced strong opposition via Zoom, citing concerns over the density of 27 units on a single acre and the potential for neighborhood cut-through traffic. This is not an opposition to housing development and it's an opposition to poorly planned housing development,
he said, warning that the project would open the floodgates
for similar developments. Whritenour shared these concerns, criticizing the project’s architecture and the developer’s lack of cooperation. He urged the Select Board to provide formal comments to the Zoning Board of Appeals regarding the project’s density, which some members have previously compared to squeezing a size 10 foot into a size 6 shoe.
Future planning for the town’s library facilities also remains a point of contention. As the town investigates a potential $32 million to $39 million central library, the board discussed the feasibility of retrofitting the MacArthur building versus new construction. This follows reports that the MacArthur building’s current structural load capacity of 50 pounds per square foot is significantly below the 150-pound requirement for library use. The retrofit of that building has got to be something that's considered,
Post said. If you can retrofit it for $8 million and you're going to try to build a new building for $17 million, I want to know.
Forest pushed for more public engagement before any final decisions are made, noting that much of the public interest in the project has been negative.
The town’s ongoing legal battle with Rivoli Construction also drew sharp words from the Town Administrator. Whritenour reported that the company has sued the town, even as he criticized their performance on local infrastructure projects. This company has really ravaged our community. It's just uncanny how terrible that they've been,
Whritenour said, citing issues with flooding on Sea View Avenue. I just sincerely desire for them to fulfill their obligations to the town.
On a more positive note, the meeting featured the introduction of two new public safety hires. Chief Kevin Lennon introduced Officer Jason Faras and Dispatcher Megan Foys. Lennon noted that Foys, who transitioned from the baking industry, has consistently displayed the tact, composure, and professionalism necessary to excel
in the demanding role of dispatch. Jim, the Executive Director of the Cape & Islands Veterans Outreach Center, also thanked the town for its support during a recent rededication bridge ceremony. As a resident of Yarmouth and as the executive director of the Cape Islands Veterans Outreach, we shined extremely well on a very, very profound stage,
he told the board.
The board also finalized a minor real estate transaction involving a non-buildable lot on Lake Road. Motion Made by M. Forest to declare the property surplus and authorize the Town Administrator to initiate the disposition of Lake Road Map 49, Parcel 103 as a non-buildable lot. Motion Passed (5-0). Petitioner Christine Petrillo indicated she may use the space to eventually add an accessory dwelling unit to her property. Finally, the board updated its internal committee policies. J. Flynn clarified that interviews will be scheduled only after the town talent bank form is received,
addressing a recent procedural confusion. Motion Made by L. Argo to accept the committee policy as presented. Motion Passed (5-0).