Bill > H3903

This bill authorizes the town of Nantucket to impose a 0.5% real estate transfer fee on property sales within Nantucket County, with the primary purpose of generating funds for affordable and workforce housing. The fee would apply to most real estate transfers, with numerous exemptions including transfers to government entities, gifts, transfers under $2 million, and certain corporate restructuring transactions. The seller is responsible for paying the fee, which must be submitted to the town along with documentation at the time of property transfer. The collected fees will be deposited into an Affordable Housing Trust Fund and can be used to support housing initiatives. The fee is initially authorized for ten years and can be continued or modified through town meeting votes, with provisions for reducing or eliminating the fee. The bill includes detailed definitions of key terms like "real property interest" and establishes penalties for non-compliance, such as interest charges and additional penalties for late or fraudulent payments. If a transfer appears to be designed to avoid the fee, the seller bears the burden of proving the transfer has a legitimate business purpose. The legislation is part of a broader state effort to help municipalities create funding mechanisms for affordable housing development.

Budget and Finance

https://malegislature.gov/Bills/194/H3903