In This Update:
• FOUR JOB KILLERS STOPPED!
• GIVING COMMON SENSE A CHANCE IN CALIFORNIA
• THERE IS NO LOOPHOLE IN PROPOSITION 13
• RENT CONTROL IS NOT THE ANSWER
• SPLIT ROLL BATTLE IS ON AND SCHEDULED FOR NOVEMBER 2020!
• CALIFORNIA BENCHMARKING REGULATION RESOURCES
• CALIFORNIA COMMERCIAL REAL ESTATE SUMMIT JUNE 19-20, 2018
• CBPA 2018 CALENDAR
FOUR JOB KILLERS STOPPED!
As proud members of the CalChamber and coalition partners on a wide variety of issues in the State Capitol, we are pleased to bring you news that four bills tagged as “Job Killers” have been stopped and are likely dead for the year!
• AB 1745 (Ting; D-San Francisco) Vehicle Ban: Would have banned the sale of combustion engine vehicles in the state by prohibiting the registration of a new vehicle in the state after 2040 unless it was a zero-emission vehicle. Failed deadline. Assembly Transportation Committee, 04/27/18.
• AB 2527 (Muratsuchi; D-Torrance) Costly Litigation Against Small Employers: Would have exposed small businesses who were seeking financial investors in their company to devastating class action litigation by banning the use of arbitration agreements, which is preempted by the Federal Arbitration Act, prohibiting class action waivers, allowing for the award of treble damages, punitive damages, and attorney’s fees, and interfered with contractual negotiations between sophisticated parties by dictating the choice of forum and choice of law for such litigation. Failed deadline. Assembly Business and Finance Committee, 04/27/18.
• AB 2571 (Gonzalez Fletcher; D-San Diego) Public Employee Retirement Systems Investment Policy: Sought to publicly shame investment managers and the hospitality companies in which they invest, by forcing them to submit an annual report subject to a public review, that disclosed employee wage information according to gender, ethnicity, and race, exposing such companies to costly litigation. Failed deadline. Assembly Public Employees, Retirement, and Social Security Committee, 04/27/18.
• AB 2765 (Low; D-Campbell) Portable Benefits for The Gig Economy: Would have imposed onerous and costly mandates on companies in the gig economy labeled as the “digital marketplace” by adding them under the provisions of the Fair Employment and Housing Act (FEHA), expanding the protected classifications under FEHA for contractors of the digital marketplace to include “familial status,” and created further confusion and uncertainty regarding the use and classification of independent contractors. These new mandates would have dramatically increased the amount of frivolous litigation under FEHA and the Private Attorneys General Act (PAGA) for the digital marketplace. Failed deadline. Assembly Labor and Employment Committee, 04/27/18.
As a result of April 26 amendments, the CalChamber has removed AB 2447 (Reyes; D-Grand Terrace) from the job killer list, but the business community — us included — remain opposed.
Before the amendments, the bill would have invited more litigation and increased the complexity and cost of complying with the California Environmental Quality Act (CEQA) by forcing lead agencies to make a no discrimination finding before certifying an environmental impact report or adopting a negative declaration for a project.
CalChamber remains opposed to AB 2447 because the bill fundamentally changes how CEQA has operated for more than four decades with substantial fiscal and practical impacts.
Click here for more information on Job Killers from the Cal Chamber.
GIVING COMMON SENSE A CHANCE IN CALIFORNIA
Joel Kotkin, the Editor of NewGeography.com and Presidential fellow in urban futures at Chapman University, writes about the politics of a very interesting land-use bill that was recently defeated in Sacramento. Regardless of what position you had on the specific bill, SB 827, this piece is an interesting read about the dynamics of housing policy.
“In California, where Governor Jerry Brown celebrates ‘the coercive power of the state’ and advocates ‘brainwashing’ for the unanointed, victories against Leviathan are rare. Yet last week brought just such a triumph, as a legislative committee rejected an attempt by San Francisco state senator Scott Wiener to take zoning power away from localities in areas within a half-mile of a bus or train stop. Wiener had sold his measure as a solution to California’s housing crisis and a means of bringing about the dense, green, transit-oriented development that the governor and his supporters prefer. Yet it failed, in large part because few cities wish to give up their zoning power and because even affordable-housing advocates don’t believe that handing blank checks to developers will do much to lower rents or housing prices.”
Click here to continue reading.
THERE IS NO LOOPHOLE IN PROPOSITION 13
Patricia Bates, the California Senate’s Republican leader and Jon Coupal, president of the Howard Jarvis Taxpayers Association, explain why there is no so-called “loophole” in the Prop. 13.
There is an ambiguity that could be clarified – and CBPA sponsored a measure in the past to do just that. Senator Bates is attempting that fix again. Last time it was attempted the author of the measure – a Democrat – found the rug pulled-out from under him as advocates for eliminating Prop. 13 killed the bill so as not to take away an effective cudgel for their effort.
Click here to read the article.
RENT CONTROL IS NOT THE ANSWER
Our good friend Tim Coyle, a consultant specializing in housing issues, has a piece explaining why he believes the initiative to repeal Costa-Hawkins is not helpful in addressing the affordable housing crisis. A rent control initiative is currently gathering signatures and is expected to qualify for the November ballot. CBPA, BOMA, NAIOP, ICSC, and IREM, have all taken an oppose position to the proposed measure.
Click here to read the article.
SPLIT ROLL BATTLE IS ON AND SCHEDULED FOR NOVEMBER 2020!
Proponents of the Split Roll Property Tax measure that is currently circulating believe they will reach the required number of signatures. They have also decided to move the measure for the November 2020 ballot measure. They believe that more time to message and fundraise coupled with an expected higher Democrat-base voter turnout in the Presidential election will give them a higher chance of winning.
By the same token, this also allow opponents more time to educate voters on why an $11B tax increase is a bad idea.
In boxing terms – we now know when the Title Bout is scheduled, and we need to start training if we hope to win!
Click here for a story from the L.A. Times with more detail about politics of split roll and why you are in the crosshairs.
CALIFORNIA BENCHMARKING REGULATION RESOURCES
Several weeks ago, the State of California finalized the AB 1103/AB 802 Energy Benchmarking Regulations. This has been a long process and we have been involved every step of the way. The bottom line is that as of June 1, 2018, all buildings over 50,000 square feet – with some exemptions – need to be benchmarked and data shared with the Energy Commission.
However, the rollout of the regulation is still unfolding. The CEC is working on materials and communications to help with compliance, and we are helping them work through the issues and work out the bugs.
We have set up a resource page where you can find a FAQ, the adopted regulations, and a link to the CEC page with more information.
Click here for the CBPA CA Mandatory Benchmarking Resource Page.
Stay tuned for more information and webinars to help you comply by the June 1st deadline.
CALIFORNIA COMMERCIAL REAL ESTATE SUMMIT JUNE 19-20, 2018
The California Commercial Real Estate Summit (CCRES) will be held at the California Chamber of Commerce Headquarters in Sacramento on June 19-20, 2018. This event is the one time of year that industry leaders from all sectors of the commercial, industrial, and retail real estate industry converge on California’s Capitol to meet with policymakers. The summit gives you an opportunity to meet other industry leaders from across the nation, high-level staff from Governor Brown’s Administration, and California State Legislators.
Click here to register!
CBPA has reserved a block of rooms at The Hyatt Regency Sacramento. Please contact the Hyatt Regency directly at 916-443-1234. Ask for the CBPA rate.
We encourage you to consider one of the sponsorship opportunities and to be a part of this exciting industry event. Click here for more information on becoming a sponsor!
We look forward to seeing you in June!
CBPA 2018 CALENDAR
June 19-20, 2018
California Commercial Real Estate Summit
& Annual Meeting
October 25, 2018
Industry Awards Dinner & Board Meeting
The Duke Hotel, Newport Beach
Please feel free to contact Melissa Stevens at email@example.com should you have any questions or require additional information about our events.