$20 Million Is a LOT of Money

The title says it all and yet fails to address the biggest concern. Yes, $20 million is a lot of money, it is also the proposed contribution to the East End House in Cambridge as part of a community benefits package for a proposed development project. At a recent city council meeting, members of the East End House voiced support of the project, meanwhile, various other non-profits voiced concerns over how nearly all of the funds from the development would be given to only one nonprofit.

Fortunately for me, this meeting was right before the city council's summer break, which gave me the time to look into the matter much deeper. I reached out to several members of the Cambridge Nonprofit Coalition (CNC) and talked about how they heard about this project. The answer varied slightly, but one thing was clear: there was no proper communication to CNC members, even ones in leadership positions, about the proposed allocation.

This process was extremely constructive. I was able to meet great people and learn more about the funding needs of nonprofits, the backbone to our community, and was told that in the past, these organizations were discouraged from making direct deals with developers. Several CNC members have spent tireless hours advocating for a proper funding allocation. The issue is that they already have full-time roles and can't afford to spend time being city council lobbyists. There is currently a new proposal for $5 million to be moved to the community benefits fund and $15 million for the East End House. Although I personally believe the numbers should be reversed, I do support this as a solution for our current predicament.

I am currently finalizing a new campaign policy that addresses this issue in the future. We need a clear process that allows our nonprofit leaders to focus on what matters: their organizations. A set 0.1%-1% fee for new development projects should be imposed to ensure that these nonprofits can continue their mission and impact. There would be several exemptions for 100% affordable housing and nonprofit projects, along with any project that knocks down a building that was deemed a safety risk by the city. This fee would be paid over 5 years in even payments.

This would allow residents to know how much benefit could be given to the community before a project even starts, based on the estimated final value.

These funds would have a clear path for distribution. A minimum of 50% of these funds would be directly sent to the community benefits fund. No more than 25% can be sent to any one nonprofit, and a minimum of 25% must stay in the neighborhood of the development. This allows all nonprofits to benefit from any development in our city while also making sure that money stays in the community most affected by the new development.