To be approved as a Development of Regional Impact (DRI), a project undergoing Cape Cod Commission regulatory review may be required to address problems resulting from the proposed development; for example, the developer may be required to make traffic improvements or provide affordable housing in a new residential development.
When it is not practical to correct a problem directly, a developer may be required to contribute a fair share of funds to solve the problem rather than undertake the actual work — a contribution known as 'mitigation'. Funds collected for these purposes are held in a special revenue account by the Barnstable County Treasurer and are tracked by project-by-project. Interest accrues on this account.
The Cape Cod Commission works with town officials in the affected towns to determine the best use of these funds. Typically, after local officials have identified a project for which DRI mitigation funds can be utilized, a request is submitted to the Commission and a Memorandum of Agreement is executed with the town.