HOLYOKE — The big ticket item on this November’s ballot for Holyokers will be a question where voters will be asked to decide whether or not to support a reduction that would lower the CPA surcharge from 1.5% to 1%.
The question arrived on this fall’s ballot after much discussion and a veto among the Holyoke City Council and Mayor Joshua Garcia that took place in 2023. This will be the first opportunity voters will have to vote on the rate since the CPA surtax went into effect. Holyoke adopted the CPA program in 2016 with the 1.5% surcharge.
The City Council had initially voted to bring the ballot question to voters in 2023 as a means to allow taxpayers to make the call on a potential rate change. Shortly after voting to reduce the surcharge and bring it to the ballot, Garcia vetoed the action in a plea to move the decision to the 2024 presidential election, which outperforms general elections in turnout.
Garcia’s reasoning behind the veto was to move the ballot question to an election that would have better turnout to decide on an important decision for Holyokers.
“I had vetoed that not because I wanted my voters to participate in the Democratic process, but because I know that more people come out historically when you look at numbers and compare them, more people come out during the state-presidential,” Garcia told Reminder Publishing in August.
Garcia also explained that CPA questions are one of the few that can go on the ballot for these kinds of elections.
“I thought it made more sense if we really cared about getting as much people as possible, that we be intentional in when we present it so we can get the most votes as possible to decide on this very important question,” Garcia said. “A reduction, it’s going to limit the little bit of capacity it’s already giving us and certainly we want to be sure that we maintain that. But it’s going to be up to the will of the voters, whatever’s decided is what we’re going to support.”
Garcia reiterated to Reminder Publishing in August that he was “in full support of the CPA.”
“Considering the impacts it has had in our community, it definitely offers flexibility to tackle projects that municipalities don’t normally have the flexibility to tackle. On top of that, what we leverage on the local level helps leverage additional dollars at the state level, the matching portion of it,” Garcia said. “That really helps us kind of maximize our potential to tackle those important projects.”
Garcia added he was in favor of not reducing the surcharge.
Over the years the Holyoke CPA has funded a variety of popular projects throughout the city including the new Miracle League Playground, the restoration of the stained glass windows at City Hall, Lady Liberty and the Korean Conflict Memorial at Veterans Park, as well as many others. A full list of projects completed through the CPA committee and more information on their work can be found at HolyokeCPAC.org.
CPA Committee member and Ward 7 City Councilor Meg Magrath-Smith told Reminder Publishing in August that she was in full support of keeping the surcharge at the same 1.5% rate.
“I overwhelmingly without reservation believe that people should back the CPA surcharge staying the same because reducing it by a third would really hinder the committee in doing these kinds of projects for the town,” Magrath-Smith explained. “CPA funding is a lifeline for a city where municipal budget feels tight. We are being as strategic as we can to keep costs low, so we can keep taxes low, and we wouldn’t be able to do a lot of the projects that we’re doing in the city right now without CPA.”
In the past five years, the CPA has secured about $43.4 million through matched and leveraged state, federal and foundation grant funding. Funds are sourced from a surcharge on property tax bills and an annual allocation from the statewide Community Preservation Trust Fund, distributed to communities that have adopted the CPA.
Magrath-Smith added the committee has worked hard to establish this connecting with the state program and that many projects and improvements seen across the city the last few years would not have been possible without the help from the CPA.
“A lot of these projects, you can’t get state or federal funding unless you hit a certain percent of a match. Sometimes its as low as 1% but it’s required in order to be accepted into a funding round for a state or federal source,” Magrath-Smith said. “So, the CPA committee has brought in $46 million worth of development into the city over the last five cycles and that’s just through the state match, as well as these other state and federal funding sources that our project can get if it has that first municipal money showing that we have skin in the game and that we support the project.”
In May of this year the City Council opened a public hearing for residents to then express their preference on a change to the surcharge before voting on brining the reduction to the ballot. Most of the residents who spoke were in favor of bringing the question to the ballot to let voters decide and some added they liked the rate where it was due to the impact the CPA has on city projects.
One resident expressed he was against the reduction as he felt his taxes since purchasing his home have fluctuated often and felt the savings from the change would basically go unnoticed in his yearly taxes.
“If this [the ballot question in November] passes I’ll save $11 a year. I’ll be honest, I won’t even notice that. I much rather the parks, I much rather the investment in the city. I think it’s a home run for Holyoke,” he said.
Holyoke Chamber of Commerce Executive Director Jordan Hart spoke in favor of keeping the CPA surcharge rate as is during the same meeting. As a representative in the city’s business community, Hart said the current rate has created an environment that makes people want to come and support businesses regardless of wards. She added the benefits to parks are huge for quality of life for residents and children.
“There’s just so many benefits and the increase of $30-$50 approximately in addition to everyone’s tax bill, whatever the case may be, all of that will add up to create a better environment for the city and we all know that the city’s budget is tight,” Hart said. “This is a great way for us as a community to come and support recreational, cultural and creative opportunities for everyone in the city, so I encourage everyone to reconsider and keep the CPA [surcharge] as is.”
Magrath-Smith reiterated similar sentiments a few months following the public hearing and added if anyone is undecided on the potential rate reduction, they should review all the projects accomplished over the last handful of years in thanks to CPA dollars.
“I think that the committee has funded projects that are just such a no brainer and so important for the city and as soon as people realize what it’s going towards, they realize their $50-80 spending per year is totally worth it,” Magrath-Smith said. “I think people should go to the website and become aware of the projects that they have helped to support through this funding source.”
