SECTION 1.Chapter 10 of the General Laws, as most recently amended by chapter 202 of the acts of 2010, is hereby amended by inserting the following new section:-

Section 35PP. There shall be established and set up on the books of the commonwealth a separate fund known as the Joint Community Preservation Trust Fund, hereinafter referred to as the joint fund, of which the state treasurer shall be the custodian, for the purpose of combining the monies contained within cities’ and towns’ Community Preservation Funds, for the purpose of issuing general obligation bonds or notes.

The joint fund shall consist of all monies from within a Community Preservation Fund in a town or city that accepts sections 3 to 7 of chapter 44B, inclusive, designates to combine with other towns monies within said joint fund.  The joint fund shall be administered by the state treasurer, in consultation with the respective cities’ and towns’ community preservation committees.  The state treasurer shall issue bonds and notes, in accordance with the recommendations of the involved cities’ and towns’ community preservation committees, in such a manner as will secure the highest return possible consistent with the safety of the fund. The state treasurer shall direct the proceeds of said bonds and notes back to any involved city or town, to be placed within the city or town’s Community Preservation Fund, in proportion with the percentage of total monies a city or town contributed to the joint fund. No expenditure from the joint fund shall cause the joint fund to be in deficiency at the close of a fiscal year. Monies deposited in the joint fund that are unexpended at the end of the fiscal year shall not revert to the General Fund and shall be available for expenditure in the subsequent year.

SECTION 2. Section 2 of chapter 44B of the General Laws, as appearing in the 2008 Official Edition, is hereby amended by inserting after “town.” in line 27, the following new definitions:-

“Joint Community Preservation Trust Fund”, the state fund established under section 35PP of chapter 10 of the General Laws.

SECTION 3. Chapter 44B of the General Laws, as appearing in the 2008 Official Edition, is hereby amended by inserting after Section 11 the following new section:-

Section 11A.  A city or town that accepts sections 3 to 7, inclusive, may elect, upon the recommendation of a city or town’s community preservation committee, to designate a portion of all monies within a Community Preservation Fund to be combined with the monies of other cities’ and towns’ Community Preservation Funds within the Joint Community Preservation Trust Fund, hereinafter referred to as the joint fund, pursuant to Section 35PP of Chapter 10.

The community preservation committee of a city or town that accepts sections 3 to 7, inclusive, shall advise the state treasurer on the issuance of bonds and notes from the joint fund.  The proceeds of said bonds and notes, directed to a city or town by the state treasurer, shall be placed within the city or town’s Community Preservation Fund