Group against housing law told to halt fund-raising

Mar 13, 2010 — The Boston Globe

By Jenifer B. McKim

Mar. 13, 2010 (The Boston Globe delivered by Newstex) --

A Chelmsford organization collecting money as a part of a campaign to overturn the state's affordable housing law has been told by the state to halt fund-raising efforts because the group is not registered as a public charity.

Assistant Attorney General Sandra L. Cardone in a March 10 letter notified the Slow Growth Initiative to immediately ``cease and desist any and all solicitation activity.'' Cardone said the group bills itself as a public charity but has failed to register with the Division of Public Charities or apply for approval to solicit donations.

Cardone sent a similar letter to the group's parent, the New England Coalition for Sustainable Population, an organization whose mission is to ``educate the public about population stabilization,'' according to its website.

``The reason we require charitable organizations to file with our office is so there is transparency in their financials,'' Emily LaGrassa, a spokeswoman for the attorney general's office, said yesterday. The state does not have financial information about either group, LaGrassa said.

Small Growth Initiative director Craig Chemaly said he stopped seeking donations after receiving the state notification and will submit the mandatory paperwork to the Division of Public Charities. He said the group, which supports sustainable policies regarding land development, started raising money to change the state's affordable housing law, known as 40B, about three or four months ago.

Under the 1969 law, developers can bypass certain zoning restrictions in communities where less than 10 percent of the housing stock is classified as affordable, if they set aside a percentage of housing units for homeowners who earn less than the community's median income.

``There's going to be a week or so where we can't raise money,'' said Chemaly. ``It's not a major thing.''

The Slow Growth Initiative aligned with the New England Coalition for Sustainable Population in 2008, Chemaly said.

Officials at the New England Coalition for Sustainable Population could not be reached. Chemaly said it is based and registered in New Hampshire. Massachusetts officials said it needs to register as a charity in Massachusetts if it solicits donations here. Its website includes an Acton mailing address.

The Slow Growth Initiative's fund-raising efforts are part of a push by advocates on both sides of the affordable housing law to drum up support in advance of a ballot initiative in November that would repeal the law.

Supporters say the law has helped create more housing for families, while opponents say it has failed to produce enough new housing while allowing developers to reap huge profits and promoting high-density growth in many communities.

Jenifer B. McKim can be reached at jmckim@globe.com.

Newstex ID: BGL-1035-42851575