Tuesday, November 21, 2017

BOMA California Advocacy Update: Proposition 13 Weathers Attacks & 2017 Legislative Results




All BOMAs in California are part of BOMA California based in Sacramento. The focus of BOMA California is strictly advocacy and - thanks to the involvement of BOMA members - they are really good at protecting the industry's interests.

It has been a VERY busy time in Sacramento as the legislative session has come to close. Please take a moment to review the information below from our California advocate, Matthew Hargrove, Senior Vice President of Government Affairs for BOMA California.


Proposition 13 Weathers Attacks By Two Gubernatorial Candidates 

Next year you will help choose the next Governor of the State of California. Although the election is more than a year away, four Democrats are already vying for the position.

The candidates include current Lt. Gov. Gavin Newsom and current State Treasurer John Chiang, as well as former Superintendent of Public Instruction Delaine Eastin, and former Speaker of the Assembly and former Los Angeles Mayor Antonio Villaraigosa.

In their first “debate” in a question regarding taxes, two of the candidate – Villaraigosa and Eastin - went out of their way to criticize Proposition 13, the law that keeps your property taxes from seeing gigantic spikes each year.

Villaraigosa and Eastin said reforms are needed in the 1978 measure that capped property-tax increases for homes and businesses. Villaraigosa said the law was “broken” and protections for both residential and commercial needed to be revisited.

Eastin claimed that “Disneyland is paying what they paid in 1975,” which is a false talking point used by political groups seeking to implement a split roll property tax.

Click here to read a story about the debate.


It's a Wrap: Legislative Session is Over For The Year

Sunday was the final night for the Governor to sign or veto bills on his desk. In 2017 the Legislature sent 977 bills to his desk. He signed 88% of the bills (859) and vetoed 12% (118).

Last year, Governor Brown vetoed 159 out of 1059 bills, for a 15% veto rate. To put this year’s actions in context (lowest year to highest year of vetoes):

Between 2011 and 2016, Governor Brown vetoed between 10.7% and 15% of the bills

Between 2004 and 2010, Governor Schwarzenegger vetoed between 22.3% and 35% of the bills

Between 1999 and 2003, Governor Davis vetoed between 6% and 25% of the bills

Between 1991 and 1998, Governor Wilson vetoed between 8.6% and 24.5% of the bills

Now, here are some of the bills we followed closely. 

Bills Signed By the Governor We Opposed

This is the most important category of bills to look at. Our industry opposed these measures, yet they were signed into law. These are the bills that are most likely to have a negative impact on your operations:

AB 168 (Eggman D) Employers: salary information. (OPPOSE)

AB 1180 (Holden D) Los Angeles County Flood Control District: taxes. (OPPOSE)

AB 1701 (Thurmond D) Labor-related wage liabilities. (OPPOSE)

SB 2 (Atkins D) Building Homes and Jobs Act. (OPPOSE)

SB 63 (Jackson D) Unlawful employment practice: parental leave. (OPPOSE)

Bills Signed By The Governor We Supported  

Here are some bills signed by the Governor. Our industry was in support of all these measures:

AB 72 (Santiago D) Housing. (SUPPORT)

AB 73 (Chiu D) Planning and zoning: housing sustainability districts. (SUPPORT)

AB 246 (Santiago D) Environmental quality: Jobs and Economic Improvement ACT (SUPPORT)

AB 879 (Grayson D) Planning and zoning: housing element. (SUPPORT)

AB 1223 (Caballero D) Construction contract payments: Internet Web site posting. (SUPPORT)

AB 1284 (Dababneh D) California Financing Law: Property Assessed Clean Energy program (SUPPORT)

AB 1515 (Daly D) Planning and zoning: housing. (SUPPORT)

AB 1553 (Cervantes D) Economic development: Capital Access Loan Program. (SUPPORT)

AB 1583 (Chau D) Proposition 65: enforcement: certificate of merit: factual basis. (SUPPORT)

AB 1598 (Mullin D) Affordable housing authorities. (SUPPORT)

SB 145 (Hill D) Autonomous vehicles: testing on public roads. (SUPPORT)

SB 167 (Skinner D) Housing Accountability Act. (SUPPORT)

SB 205 ((G&F) Local Government Omnibus Act of 2017. (SUPPORT)

SB 229 (Wieckowski D) Accessory dwelling units. (SUPPORT)

SB 242 (Skinner D) Property Assessed Clean Energy program (SUPPORT)

SB 329 (Leyva D) Manufactured homes: financial assistance programs. (SUPPORT)

SB 540 (Roth D) Workforce Housing Opportunity Zone. (SUPPORT)

SB 564 (McGuire D) Joint powers authorities: Water Bill Savings Act. (SUPPORT)

SB 653 (Moorlach R (County tax collectors: notices: publication. (SUPPORT)

SB 711 (Hill D) Electrical corporations and gas corporations: rates and charges. (SUPPORT)
 
Bills Vetoed By The Governor

Finally, here are some bills vetoed by the Governor that we were happy he did not sign into law, as we opposed most of them:

AB 248 (Reyes D) Hazardous waste: facilities: permits. (OPPOSE)

AB 890 (Medina D) Land use: planning and zoning: initiatives. (OPPOSE)

AB 978 (Limón D) Employment safety: injury and illness prevention program. (OPPOSE)

AB 1179 (Kalra D) Hazardous waste facilities: inspections. (OPPOSE)

AB 1239 (Holden D) Building standards: electric vehicle charging infrastructure. (NEUTRAL)

SB 42 (Hill D) Public lands: Martins Beach: property acquisition. (OPPOSE)


Thursday, November 9, 2017

California Business Properties Association (CPBA) Strategic Issue Conference - December 7-8th in Napa, California




TEN major groups have come together to host an event you don’t want to miss!

California Business Properties Association (CBPA), the American Council for Engineering Companies (ACEC), the Building Owners and Managers of California (BOMA CAL), the California Alliance for Jobs (CAJ), the California Building Industry Association (CBIA), the California Business Roundtable (CBRT), the California Manufacturers & Technology Association (CMTA), the Commercial Real Estate Development Association (NAIOP), the National Federation of Independent Business (NFIB) and the Retail Industry Leaders Association (RILA) are co-hosting one of the premier biannual policy gatherings, 2017 Strategic Issues Conference.

The Strategic Issues Conference offers a unique opportunity, in an intimate setting, to enjoy significant exposure to key decision-makers and policymakers from both the public and private sectors. The goal of the Strategic Issues Conference is to increase public policy and political awareness of state and national issues, and to foster collaborative efforts among business leaders from all sectors of the California economy. Your sponsorship will contribute in achieving this goal, and will signal your strong support for the commercial, industrial, and retail real estate industry.

Click here for more information!

Tuesday, November 7, 2017

BOMA International Advocacy Update: Tax Reform Framework Released



Tax Reform Framework Released

Recently, the Trump administration and Republican leadership from the U.S. House and Senate released the outline of the long-anticipated tax reform plan, “Unified Framework for Fixing Our Broken Tax Code.” The nine-page framework outlines some specific changes to the tax code, including lowering the tax rate for pass-through businesses to 25 percent; reducing the corporate tax rate to 20 percent; and allowing full expensing of new investments in depreciable assets other than structures for up to five years.

While these reforms could have the potential to positively impact the commercial real estate industry, many specifics remain unaddressed. For instance, there is no mention of 1031 “like-kind” exchanges, carried interest, depreciation of structures, how interest expense will be limited or how tax cuts will be funded. This framework is the latest in a series of discussion documents outlining how President Trump and congressional leadership view comprehensive tax reform.

BOMA International advocacy staff will continue to work with members of Congress to help craft legislation that encourages the growth and health of the commercial real estate industry. For more information on BOMA’s policy position on tax reform, visit the BOMA International website.

Monday, November 6, 2017

BOMA San Francisco Member Concerns About Homelessness and Street Behavior


In response to calls from members regarding the state of homelessness and street behavior in the City and County of San Francisco, please take a moment to review the following information.

BOMA San Francisco’s Government Affairs Policy Advisory Committee (GAPAC) made homelessness and street behavior a key issue in 2016. They met with City and County of San Francisco (CCSF) Department staff in charge of homelessness mitigation coordination:
  • Joyce Crum, Director, Housing and Homeless Division, Human Services Agency;
  • Lt. Michael Nevin, SFPD homelessness issue veteran;
  • Sam Dodge, Director of Housing Opportunity, Partnerships and Engagement (HOPE), Mayor Ed Lee’s Office (precursor agency to the newly formed Department of Homelessness);
  • Brenda Meskan, San Francisco Department of Public Health, Director San Francisco Homeless Outreach Team.
Click here to review our summary of the April 2016 meeting.

Based on the April 2016 meeting, the Government Affairs Committee decided to aggregate the resources available from CCSF to BOMA members to help with the various homeless and street behavior issues. Click here for more information about that document published in July 2016.

As you may know BOMA San Francisco members heard from Jeff Kositsky recently at a BOMA member luncheon this year on the progress his Department of Homelessness is making to help house those who are homeless and guide them to CCSF resources.

The City and County of San Francisco is focused on helping those less fortunate than most and they are trying. There is a sizable amount of resources that the CCSF is using to try to lessen homelessness and questionable street behavior. Collectively, CCSF staff point to a few things to consider:
  • Homelessness is acute in San Francisco but especially egregious in large West Coast cities in general, e.g., Los Angeles, Seattle and Portland. They have sizable homelessness populations. San Francisco, by contrast, has around 6-7k homeless at present and that general count has been holding. Housing and social services are their overall solution.
  • The epidemic opioid crisis is contributing to not only homelessness but questionable street behavior from many individuals that is overwhelming CCSF’s response. 
BOMA is here to help connect you to the resources the CCSF provides. Please email johnb@boma.com.

Thursday, November 2, 2017

EXCELLENCE IN ADVOCACY: Honoring Ken Cleaveland, Vice President, Public Policy for BOMA San Francisco - November 15, 2017





After a long career in the association management field and having served BOMA San Francisco the past 22 years as leader of our organization’s legislative and regulatory advocacy efforts, Ken Cleaveland will be retiring on December 31, 2017. We’re dedicating our last general membership luncheon of the year to pay tribute to Ken and to thank him for his outstanding service.


Please join your colleagues, friends, BOMA leaders, community partners, and special guests in honoring Ken at our November Membership Luncheon.


Wednesday, November 1, 2017

Register for BOMA San Francisco's Annual 2017 Codes Seminar - November 9, 2017






BOMA San Francisco’s Annual Codes Seminar will feature presentations on a wide range of important topics — especially for commercial property managers. This is an opportunity for BOMA members to meet and interact with important city officials from the Building and Fire Departments responsible for enforcing these codes and to hear from our own design and construction professionals on the most recent changes to our local codes and permitting processes and the most effective ways to comply. It’s BOMA San Francisco’s most important regulatory update of the year, so don’t miss out!
Topics

Commercial Permitting
ADA Review: What’s New?
What to Remember?
Fire Code Update: What’s Impacting TI’s
Title 24 Energy Review
BOMA 2017 for Office Buildings: Standard Methods of Measurement
Elevator Update:
Modernizations and Cal-OSH
State & Local Legislative Update



Presenters

Mark Walls, Sr. Building Inspector, San Francisco Dept. of Building Inspection
Dan DeCossio, Dept. Asst. Fire Chief, SFFD, and SF Fire Marshal
Steve Panelli, Chief Plumbing Inspector, SF Dept. of Building Inspection
Mohsin Shaikh, PE, LEED AP, Mechanical/Energy Plan Inspector, SF Dept. of Building Inspection
Jeff Maddox, The Fire Consultants
Skip Soskin, AIA, Huntsman Architectural Group
Steve Taylor, PE, Taylor Engineering
Craig Oty, IALD, PE, LC,
The Engineering Enterprise
George von Klan, GVK Elevator Consulting Services, Inc.
Joe Armas, Otis Elevator
Manuel Fishman, Esq., Buchalter



Tuesday, October 31, 2017

San Francisco's Business Community Unites at City Hall: Advocacy Day 2018 - Please Take a Brief Survey


Image Credit: San Francisco Council of District Merchants

On March 1, 2018 over 20 local business organizations - including BOMA San Francisco - will host the 2nd annual Business Comes to City Hall Advocacy Day to push for solutions to issues of top priority to the business community.

We will talk with elected officials, those who have been appointed, and agency staff in meetings at City Hall and the State Building, concluding with a cocktail reception in the Green Room at the San Francisco War Memorial and Performing Arts Center.

Help us set the agenda by providing input on issues most important to BOMA members and City residents.

Please answer the questions in this survey and return by Thursday, November 9, 2017.




Wednesday, October 11, 2017

BOMA International Advocacy Update: National Flood Insurance Program Extension & ADA Bill Progress



National Flood Insurance Program Extended Until December

Earlier this month, President Trump signed legislation extending the National Flood Insurance Program (NFIP), which was set to expire September 30, until December 8. The NFIP is primarily responsible for providing coverage for flood damage; standard property insurance policies do not cover flood damage and even some private insurance requires the initial purchase of an NFIP policy. The extension of the NFIP was part of a larger package that raises the debt limit and funds the federal government. This legislation also authorized more than $15 billion in additional disaster relief funding, including funding for Hurricane Harvey recovery efforts.

BOMA International has been working with a coalition of real estate organizations to secure the long-term renewal of the program, as well as key reforms, including allowing policies to cover multiple buildings on a single campus and adding the option for properties to purchase business interruption insurance in tandem with flood coverage. The coalition also is asking that the mandatory purchase requirement for high-value properties be waived, as the NFIP is not able to cover these properties for their full value. These revisions would simplify and improve NFIP and strengthen community resilience across the U.S. The temporary extension of the NFIP gives Congress time to consider these important reforms to the program.

ADA Bill Passes Out of Committee

H.R. 620, the ADA Education and Reform Act of 2017, passed out of the U.S. House Judiciary Committee on September 7. The bill, which currently has 14 co-sponsors in the House from both sides of the aisle, would amend the Americans with Disabilities Act (ADA) to curb the practice of so-called “drive-by” lawsuits. These lawsuits are often designed to result in quick financial settlements rather than to remedy the alleged ADA infraction or increase accessibility. H.R. 620 would create a “notice and cure” period of 120 days to allow building owners and other businesses the chance to remedy an accessibility issue before the commencement of litigation.

The advocacy work being done by BOMA local associations is a critical part of the progress on this and other important industry issues. BOMA members across the country are currently lobbying their members of Congress while they are in their home districts as part of the National Issues Conference: Local Edition. BOMA International advocacy staff also are continuing to work with Congress to push the bill forward to a vote on the House floor and to introduce similar legislation in the Senate.

BOMA California Advocacy Update: PACE Bills Supported, Water Bill Savings Act, Mandatory Benchmarking Regulations & Strategic Issues Conference - December 7-8, Napa, California




All BOMAs in California are part of BOMA California based in Sacramento. The focus of BOMA California is strictly advocacy and - thanks to the involvement of BOMA members - they are really good at protecting the industry's interests.

It has been a VERY busy time in Sacramento as the legislative session has come to close. Any bill that made it out of both houses is now on the Governor's desk for his consideration. The Governor has until October 15th to make a decision to sign or veto a bill. 

Please take a moment to review the information below from our California advocate, Matthew Hargrove, Senior Vice President of Government Affairs for BOMA California.


PACE Bills Supported


On behalf of our industry, we have requested that Governor Brown sign two bills enhancing to the Property Assessed Clean Energy (PACE) program.

We believe that AB 1284 (Dababneh; D-Encino) will strengthen the consumer protections associated with PACE financing. This measure builds upon the nation-leading PACE disclosures put in place last year. In addition to expanding access to financing for sustainable property improvements to a larger swath of Californians, PACE plays an important role in California’s plan to meet our greenhouse gas reduction goals by promoting greater adoption of energy-efficient technologies.

Additionally, we have asked the Governor to sign SB 242 (Skinner; D-Berkeley) as we believe the bill will strengthen the consumer protections associated with the PACE program.

Much of California’s existing building stock was built before the adoption of the state’s mandatory energy standards. These bills will strengthen a financing option that allows owners to take on deep energy retrofits without a state forced mandate.


Water Bill Savings Act

On behalf of our industry, we have requested that Governor Brown sign AB 564 (McGuire; D-Healdsburg) which creates the “Water Bill Savings Act.”

The Act allows local agencies to issue bonds to fund the purchase and distribution of drought tolerant landscapes, upgrades to hot water systems, gray water systems, high efficiency toilets, and high efficiency showerheads at private property within their jurisdictions.

The property owners and tenants can then repay the fixture upgrades over time through their utility bills. The ability to repay bonds with customer efficiency charges enables those receiving the benefit of reduced bills to pay for efficiency, and create benefits to the water system at scale.

The Water Bill Savings Act is a voluntary program and will create another tool for local governments to respond to drought that is regionally efficient, financially sustainable, and available to all municipal utilities, large and small.

We support SB 564 because it will help people save money on water while reducing wasted water and provide a voluntary tool to meet state conservation mandate. SB 564 is a sustainable model for investment in water efficiency.


Mandatory Benchmarking Regulations

Regulations to guide California’s implementation of the state’s mandatory benchmarking law are in the final stages of being finalized. Basically, if you will have to benchmark any building over 50,000 s.f. and report that information to the CEC. The regulations are a bit more complicated, as they get into lots of detail about many compliance scenarios. The last round of amendments to the regulations included the following:

1. Modifying the definition of “active” as it applies to utility accounts (§1681(a)).

2. Modifying the methods a building owner or owner’s agent may use to demonstrate

building ownership or agency when requesting energy use data from a utility

(§1682(a)(1)(B)).

3. Clarifying and simplifying the processes by which a building owner, owner’s agent, or

utility may obtain customer permission to share building-level energy use data with a

building owner or owner’s agent (§1682(b)(4)).

4. Specifying that a utility will not be required to provide whole-building energy use data

more than once in a three-month period (§1682(b)(7)), except for requests made for

compliance with the benchmarking and public disclosure requirements.

5. Adding requirements for a building owner or owner’s agent to notify a utility of certain

changes when the utility is providing recurring automatic upload of whole-building

energy use data (§1682(b)(8)).

6. Removing items from, and making modifications to, the list of metrics the Energy

Commission may make available on a public website (§1683(c)(3)).

Our industry has paid very close attention to this issue, has provided comments and feedback to the CEC through every step of the process, and we remain in support of these regulations. Click here to see all the details.


Strategic Issues Conference - December 7-8, Napa, California 

TEN major groups have come together to host an event you don’t want to miss! California Business Properties Association (CBPA), the American Council for Engineering Companies (ACEC), the Building Owners and Managers of California (BOMA CAL), the California Alliance for Jobs (CAJ), the California Building Industry Association (CBIA), the California Business Roundtable (CBRT), the California Manufacturers & Technology Association (CMTA), the Commercial Real Estate Development Association (NAIOP), the National Federation of Independent Business (NFIB) and the Retail Industry Leaders Association (RILA) are co-hosting one of the premier biannual policy gatherings, 2017 Strategic Issues Conference.

The Strategic Issues Conference offers a unique opportunity, in an intimate setting, to enjoy significant exposure to key decision-makers and policymakers from both the public and private sectors. The goal of the Strategic Issues Conference is to increase public policy and political awareness of state and national issues, and to foster collaborative efforts among business leaders from all sectors of the California economy. Your sponsorship will contribute in achieving this goal, and will signal your strong support for the commercial, industrial, and retail real estate industry.

Click here for more information!

Tuesday, October 10, 2017

BOMA San Francisco Members Briefed: BART Rebuild and Upgrade Effort and the Central SoMa Plan






BART Rebuild and Upgrade Plan

BOMA San Francisco's Government Affairs Policy Advisory Committee (GAPAC) members met with BART Board Director Nick Josefowitz recently.

Nick JosefowitzDirector Josefowitz detailed the agency's current efforts and future plans following the passage of Measure RR last fall. Note that BOMA San Francisco supported RR – the $3.5 billion general obligation bond that will rebuild and upgrade the backbone of the Bay Area transportation system.

The video below is a great summary of Mr. Josefowitz's presentation. If you'd like more detail, please contact BOMA San Francisco's Director of Government and Industry Affairs, John Bozeman at johnb@boma.com.


San Francisco's Central SoMa Plan



BOMA San Francisco PAC Chair, Andrew Junius provided a brief update on San Francisco’s Central SoMa Plan – a massive planning effort to create a sustainable neighborhood by 2040.

Click here to review the recent San Francisco Planning Department presentation on the effort and email Mr. Junius with any questions you may have: ajunius@reubenlaw.com. You may also reach out to John Bozeman at johnb@boma.com

Apture