UPDATE: Proposition 13 & The Proposal of a Split Roll Property Tax

We recently posted BOMA's stance on the proposal of a Proposition 13 split-roll property tax, posed recently by the City's own Assessor, Phil Ting.

This proposal is a bad idea, and one that will not help the state’s economy nor “fix” its budget deficit. Indeed, a op-ed piece by Tup Fisher, chairman of the California Mortgage Bankers Association, and Rex Hime, president and CEO of the California Business Properties Association, was published in today's Chronicle in which they write:

Instituting a split-roll tax system will not occur in a vacuum--businesses paying more in taxes will be forced to consider laying off more employees, putting off hiring new workers and investing in new technologies.... Consumers will also suffer, as the cost of many products would rise as a result of higher business taxes.

Stay tuned to BOMA San Francisco's blog for the latest developments on this issue.

The News Links - May 29, 2009

Commercial Real Estate

• Commercial Real Estate — the Economy's Anvil.

San Francisco

• S.F. assessor takes on Prop. 13. (BOMA's stance on this issue can be found here).
  
• The first S.F. solar bus shelter has arrived (with more to come!).
• Newsom to unveil proposed budget at City Hall.
• Newsom opposed to Sunday parking enforcement. (BOMA's stance is right here).
  

California

• State Fund files for 15% July 1 workers’ compensation rate increase.
• Wells Fargo CEO says California in 'financial ruin'.
  

General

• Sotomayor’s eminent domain stance: What does it mean for cities?
  

San Francisco Department of Public Works Director Ed Reiskin Talks with BOMA Members

Ken Cleaveland, BOMA San Francisco's Director of Government and Public Affairs; Ed Reiskin, Director, SFDPW.

Ed Reiskin, Director of the San Francisco Department of Public Works, spoke with the members of BOMA San Francisco's PAC today about the Road Repair and Safety Improvements Bond that will be before the San Francisco electorate in November. A fact sheet for the bond proposal can be found here. Specifically, the bond proposal, if passed, will include:

• Street Repair and Rehabilitation ($209 million) to repair, reconstruct and perform preventative maintenance on approximately 1,692 street segments. These funds will be used to increase the average Pavement Condition Index (PCI)--70 is the minimum passing grade--which is currently at 64, to 67 in 5 years and 69 in 10 years. Note: $40 million is the amount spent annually by the city for street repairs from the general fund;
  
• Streetscape Improvements ($93 million) to implement approximately 65 streetscape improvement projects citywide. Streetscape projects will be chosen using a defined prioritization criteria. Projects that stem from current area plans or other community plans will be prioritized;
• Street Structures Repair and Replacement ($24.9 million) to repair and improve aging street infrastructure including bridges, guardrails, tunnels, viaducts, retaining walls and stairways;
• ADA Curb Ramp Installation and Construction ($30.6 million) to construct and install approximately 4,426 curb ramps citywide;
• Sidewalk Repair (~$10.1 million) to repair and improve 1.1 million square feet of city owned damaged sidewalk;
• Bond Oversight ($ 0.3 million) for bond oversight and accountability.
• Possible Addition: Undergrounding of Utilities ($20 million) is not formally part of the bond. Supervisor Bevan Dufty has proposed that the undergrounding of utilities be added, which will increase the bond amount to $388 million.

The proposed bond measure will have a 20 year maturity--which is also the length of road service life--for 5 years of street improvements. The bond is necessary, according to Mr. Reiskin, as funds allocated from the City's General Fund for street improvements will be exhausted by the end of the fiscal year. There are no future funding prospects, and competition from other city departments for general fund dollars in future will be fierce.

Other issues include:

• An auxiliary benefit of the bond will be job stimulus. Indeed, street resurfacing will play a big role in increasing the number of people put to work if the bond passes.
• The bond complies with the policy of the Ten-Year Capital Plan. The Capital Plan recommends general obligation bonds as old bonds retire. Thus, the Road Repair and Safety Improvements Bond will be replacing retired debt.
• The majority of the work will be done by private contractors.

As always, your BOMA Advocacy Team will be monitoring the Road Repair and Safety Improvements Bond and will post any new developments on the blog.

Public Hearing on Proposed Revisions to Fire Department Administrative Bulletins - June 12, 2009

The San Francisco Fire Department will conduct a hearing on June 12, 2009 at 10:00 a.m. in the Fire Commission Room, 698 Second Street @ Townsend to receive public comment on the proposed revisions to the Department's Administrative Bulletins (most of which impact the BOMA membership!).

Please click on the links below for more detailed information on each Bulletin:

• 2.10 Checklist: Approval of Locks on Elevator Lobby Doors
  
• 2.11 Submittal Guidelines for Emergency Evacuation Signs
• 3.03 Fire Alarm Certification
• 4.13 Sprinkler & Standpipe Flow Rate and Required Pressures
• 5.09 Lockbox Program - Guideline for New and Replacement Lockboxes

If you are unable to attend the hearing, you can submit written comment on any proposed revised Bulletin. The Department must receive any written comment by no later tan 5:00 p.m. on June 8, 2009.

Written comments may be sent to the following address:

San Francisco Fire Department

Office of the Fire Marshal

698 Second Street, Room 109

San Francisco, CA 94107

You can also email your comments to: firemarshal@sfgov.org

California Commercial Real Estate Summit – June 9th and 10th

The California Commercial Real Estate Summit (CCRES) will be held in Sacramento on June 9 and 10, 2009.  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 Schwarzenegger's Administration, and California State Legislators. 

We encourage BOMA San Francisco members to attend this important summit.  To register for the CCRES, and for more information, please here.

Your BOMA San Francisco Advocacy Team has organized meetings—specifically for BOMA San Francisco members—with six Legislators that represent San Francisco, Marin and San Mateo Counties on June 10th:

Senators:

Leland Yee - (District 8 - San Francisco/San Mateo)

Mark Leno - (District 3 -San Francisco/Marin)

Assemblymembers:

Assemblymember Tom Ammiano (District 13 – San Francisco)

Assemblymember Jerry Hill (District 19 – San Mateo)

Assemblymember Jared Huffman (District 6 – Marin)

Assemblywoman Fiona Ma (District 12 – San Francisco)

Please register for this event by clicking here.  This is a unique opportunity for BOMA Members to talk directly to California Bay Area legislators who vote on issues that affect the commercial real estate industry.

California Fire Code: Alcohol-Based Hand Rubs

Please click here for the California fire code on wall mounted dispensers containing alcohol-based hand rubs. This is especially important for BOMA members who may have installed alcohol-based hand cleaners in response to the H1N1 virus.

Additional Risks Landlords Should Consider When Taking Letters of Credit From Commercial Lease Tenants

In the last decade, commercial landlords have favored obtaining from tenants standby letters of credit over security deposits because standby letters of credit provided added security in the event of a tenant's bankruptcy. The financial instability of banks that issue standby letters of credit and the erosion of the benefits of standby letters of credit in recent bankruptcy court decisions have reduced some of the benefits of standby letters of credit in the commercial lease context.

This Advisory describes the benefits and risks of standby letters of credit and the prophylactic measures that a landlord can take when obtaining a standby letter of credit as security for a tenant's obligations under a commercial lease.

Please click here to read the entire Advisory. Thank you to Pillsbury Winthrop Shaw Pittman LLP for allowing us to post this information on our advocacy blog.

The News Links - May 26, 2009

Commercial Real Estate

• In commercial-property market, hope for revival takes a hit.
  
• Green economic outlook is good.
• UPDATE: US commercial real estate declined in 1st quarter according to the National Association of Realtors.
  
• The $1.4 TRILLION commercial real estate tidal wave.
• Manhattan is awash in sublet office space.
  

San Francisco

• Newsom talks up job creation.

California

• Washington declines to help California, at least for now.
  
• Schwarzenegger details state layoffs.
• Would-be gubernatorial candidates are long on 'change,' short on substance.
  

General

• NYT: Building ‘climate positive’ communities.
• There is a green trade war over climate change.
  

Split Roll Tax Study Shows Idea Hurts Economy

In light of the recent rejection of the revenue measures by the state’s voters, some political leaders, including our local Assessor/Recorder Phil Ting, are calling for more taxes, this time in the form of split roll property taxes. This is a bad idea, and one that will not help the state’s economy nor “fix” its budget deficit. In fact, a study was completed last year that examined the potential economic factors surrounding implementing a split roll tax and determined it would not be productive. Click here to read the study entitled "The Economic Effects of California Adopting a Split Roll Property Tax."

BOMA California is a member of Californians Against Higher Property Taxes, whose mission to educate the public and policymakers about the devastating impacts of higher property taxes. Although the idea of higher property taxes is very unpopular with voters and has been rejected time and again, some policymakers and advocacy groups continue to push the issue as a means of raising additional state tax revenue. This study shows that such proposals for property tax increases will only hurt California consumers and further damage our state’s struggling economy.

UPDATE: New San Francisco Charter Amendments Introduced

As we posted on the blog yesterday, there were a number of new City Charter amendments introduced at the Board of Supervisors meeting on Tuesday. You can click here to read them.

There are also a number of previously introduced ballot measures that the Board could also place on the November ballot (thank you to the San Francisco Chamber of Commerce for this information):

• Charter amendment establishing an Election Campaign Fund and requiring annual appropriations (Supervisor Daly).
• Charter amendment: 1) allowing the city to withdraw up to 100 percent of the current balance in the Rainy Day Reserve, not to exceed 20 percent of the projected deficit, in years in which a budgetary deficit of $240 million or more is projected; 2) requiring the city to also appropriate to the school district an amount equal to 33% of any such withdrawals for the city's benefit, in years in which the school district faces a loss of revenues and significant layoffs; and 3) eliminating obsolete provisions (Supervisor Daly).
• Charter amendment requiring that one-time revenues be spent on one-time uses (Supervisor Elsbernd)
  
• Charter amendment setting a dollar cap on all Charter set-asides, authorizing reductions during fiscal shortfalls and waiving during emergencies, requiring the return of surplus balances, adjusting mandatory service levels, and establishing city policies regarding future set-asides and non-binding measures (Supervisors Mirkarimi, Chiu, Elsbernd)
  

The News Links - May 21, 2009

San Francisco

• Newsom slams state plan to borrow from counties.
• 'Wild' SF budget deliberations promised.
• SF Assessor Phil Ting: Now what? Close state's largest tax loophole.
  

California

• California tries a new direction on corporate taxation.
  
• Federal officials unsure about a California bailout.
• Salaries for state leaders slashed.
• California's woes fall to Senate pro Tem Darrell Steinberg.
• How wannabe Govs stand on state constitution do-over.
  

BOMA San Francisco Breakfast Reception for City Attorney Dennis Herrera

BOMA San Francisco is holding a breakfast reception for City Attorney Dennis Herrera on Wednesday, June 17th from 8:30 – 10:00 a.m. in the beautiful Solarium at 55 2nd Street.

If you would like to attend, please RSVP to John M. Bozeman, BOMA San Francisco’s Legislative Assistant at johnb@boma.com.

New San Francisco Charter Amendments Introduced

The San Francisco Examiner reported on the new charter amendments introduced at the Board of Supervisors meeting on Tuesday. Your BOMA Advocacy Team will be monitoring these suggested changes to the City Charter and reporting any new developments on our blog.

Board of Supervisors President David Chiu

Create a two-year budgetary cycle for the city and require the adoption of a five-year financial plan.

Supervisor Sean Elsbernd

Eliminates the salary requirement that Muni drivers be paid, at the very least, the second highest salary of public-transit operators in the nation.

Supervisor John Avalos

Increase firefighter work week from 48.7 hours to 52 hours;

Strip the mayor of sole appointing authority for the San Francisco Municipal Transportation Agency board of directors; board and mayor would each appoint three directors and one would be elected by voters.

Supervisor Bevan Dufty

Create an office management and budget with a director serving a 10-year term, mandate two-year budget cycle, require adoption of five-year financial plan.

Supervisor Chris Daly

Board of Supervisors would be empowered to force the mayor to spend appropriated money for certain programs or activities.

Permits, or “medallions,” to drive cabs would be prohibited to be auctioned off or sold, keeping intact the city’s current system.

Create a Community Development Commission to oversee community-development efforts.

UPDATE: Automobile Restrictions on Market Street?

As we had previously blogged in March, the San Francisco Transportation Authority is in the process of producing a Strategic Analysis Report (SAR) to investigate options for restricting automobiles (not a full ban) on Market Street from the Embarcadero to Van Ness Avenue (a map of which can be viewed here).

A draft of the SAR or, "Transit Options for a Better Market Street," released Tuesday, is now available here. You can also read about this issue in today's Chronicle where your very own Ken Cleaveland, BOMA's Director of Government Affairs, is quoted:

Representatives from influential business organizations in San Francisco said Tuesday that City Hall is taking the right approach.

"When you talk about remaking Market Street, you need to wade into the pool, not dive into it," said Ken Cleveland, director of government affairs for the Building Owners and Managers Association of San Francisco.

He said it's important for the city to thoroughly analyze each change to make sure that businesses don't suffer and that traffic problems aren't shifted to adjacent streets.

According to the SFMTA, the next steps for SAR adoption are as follows:

• Present this draft as an information item at SFMTA's next Citizen Advisory Committee (CAC) meeting on Wednesday, May 26, 6-8pm;
• Revise and present the final report as an ACTION item at the CAC meeting on June 24, 6-8pm;
• Present the final report as an ACTION item at the Finance Committee (Commissioner Daly, who requested the SAR, sits on this committee) meeting on Tuesday, July 14, at 11:00am;
• Present the final report as an ACTION item at the Authority Board meeting on Tuesday, July 28, at 11:00am.
  

The SFMTA welcomes your feedback on the SAR throughout this process, particularly if you can send it to them before June 15th so they can incorporate your suggestions into the final document in time for the June CAC meeting.

The News Links - May 20, 2009

Commercial Real Estate

• U.S. Commercial Real Estate Prices Down 20.8% (see graph above).
• Despite economy, CRE portfolios performing adequately for banks.

San Francisco

• The future paychecks of Muni drivers and firefighters could be in the hands of voters come November.
• Treasure Island selected for newly launched climate positive development program.
• S.F. budget gets even bleaker.
• Tishman seeks buyer for Old Navy HQ.
  

California

• Interactive graphic: Special election results.
  
• Now that the California special election is over, where will the cuts come from?

General Interest

• The Climate-Industrial Complex: Some businesses see nothing but profits in the green movement.
  

Supervisor Bevan Dufty at the San Francisco Chamber of Commerce

Image retrieved from Supervisor Dufty's website.

Supervisor Bevan Dufty spoke at the San Francisco Chamber of Commerce today about a number of issues that the Board of Supervisors are working on. Here are the highlights:

Muni Budget Battle

• The "police got greedy" with their cut of the Muni budget ($19 million) to patrol the buses.
  
• An estimated $11 million a year is lost due to fare evasion (click here for BOMA San Francisco's take on the issue).
• If you call 311 for transit information, the charge to Muni is $1.96 per call, or approximately $6 million a year. Supervisor Dufty is working with the controller's office to find a solution.
• There is lack of maneuverability with the Muni budget (e.g., the requirement that Muni drivers be paid--at minimum--the second highest salary of public-transit operators in the United States).

SFPD - Public Safety & Crime

• Public Safety & Crime is a serious issue for Supervisor Dufty.
  
• The Ingleside District Police Station is a model for how to restructure other police stations in the city, as well as the police department as a whole.
• The San Francisco Police Department is behind the times, technologically speaking, and should be brought up to modern standards.
• The Supervisor favors the internal promotion of the next Police Chief.
• SFPD is young: 50% or more of the police force has 10 or less years of service.

Formula Retail

• Supervisor Dufty supports conditional use for 'formula retail' (i.e., chain stores), but opposes outright bans of these types of businesses.

Future Ambitions

• Supervisor Dufty is running for Mayor in 2011.
  

UPDATE: Lighting Efficiency in Commercial Building Ordinance

Your BOMA San Francisco Advocacy Team worked on the Lighting Efficiency in Commercial Buildings Ordinance—which requires commercial buildings to increase the efficiency of fluorescent lighting by 2011—with the Department of the Environment to make sure it improves lighting efficiency in an orderly fashion without becoming an extreme economic burden on building owners. The ordinance, which was originally introduced by Mayor Gavin Newsom, is now being moved through city hall by Supervisor Bevan Dufty.

We applaud the Department for its willingness to work with BOMA and to draft this measure in a manner so that it is implemented and enforced through the building code and permit process.

Click here for the legislative digest and here to read the ordinance.

The Afternoon News Links - May 19, 2009

Commercial Real Estate

• Federal Reserve to widen commercial real estate lending program (TALF)
  

San Francisco

• S.F. unemployment highest since 1984.
  
• Cost of cigarette litter may fall on San Francisco’s smokers.
• Newsom, Brown spar ahead of governor's fight.
• Examiner Editorial: Shut The City’s stealth campaign-finance loophole.
  

California

• Make sure to VOTE today! Need help locating your polling place? You can find it here. Click here for BOMA California's Board of Directors' position on the budget propositions before you today (they support all of them).
• California Reckoning: Tax and spend governance may finally hit the wall.
  
• Schwarzenegger puts legacy on the line with budget vote.
• If the propositions don't pass, there will be a (surprise!) new budget fight in the California Legislature.
  

Registration of Vacant/Abandoned Buildings Ordinance

Your BOMA Advocacy Team is monitoring proposed legislation at city hall that would require a commercial or mixed use-building owner (or agent) to register with the Department of Building Inspection if the building is entirely vacant for more than 1 year. There are a number of requirements associated with this measure, which you can read here.

We would like your feedback on this legislation. Please email John M. Bozeman, BOMA San Francisco's legislative assistant, at johnb@boma.com with your comments.

The Afternoon News Links - May 18, 2009

• Supervisor Dufty proposes higher MUNI fare-evasion fines.
  
• The California Chamber of Commerce has listed its 2009 "job killer" bills.
• Governor and legislators have poisoned Tuesday's ballot measures, but citizens share the blame.
• The state Air Resources Board plans to collect more fees from industries responsible for large amounts of greenhouse gases to recoup the administrative cost of AB 32.
• Companies want to help shape global warming legislation in Congress, figuring the right plan could boost profits.

Joint Hearing: San Francisco City Planning Commission & Building Inspection Commission

Your BOMA Advocacy Team attended a joint hearing of the San Francisco City Planning Commission and Building Inspection Commission recently. The following are the highlights from the hearing that affect the commercial real estate industry:

• The issue of tracking expired permits was discussed. The process, which may not continue due to the lack of staff, is done entirely by staff. That is, both the tracking of permit expiration and notifying the permit holders that their permit is expired is processed manually.
  
• Permit extensions--an issue now due to the downturn in the economy--was on everyone's mind. The Department of Building Inspection (DBI) issues, on average, 3-4 permit extensions per year, but could see that number rising as projects are put on hold until the economy bounces back.
• For projects that are delayed or abandoned, the revocation of a permit may not happen. Each project is reviewed on a case-by-case basis. There is a 3 year permit limit; project sponsors will have to go through the permit process again if the 3 year limit has passed.
  
• To assist project sponsors from abandoning their projects, there is proposed legislation, sponsored by the DBI, to grant more than one extension at a time (and still meet the code requirement). It will most likely be effective July 1st, and will give the applicant the chance to get to the project at a later point in the future. We will monitor the progress of the measure and post information on the blog as it becomes available.
  
• With regard to the Permit Tracking System (PTS), DBI should have a vendor selected for the internet/intranet based program by the end of the fiscal year. The PTS will create a seamless, real-time permit process where everyone involved can be appraised of any new developments with a permit, as they happen.
  

The Morning News Links - May 15, 2009

• MBA: commercial/multifamily mortgage loan originations decline in Q1 (see graph).
  
• From the man who shorted subprime: commercial real estate not a buy.
• What the bank 'stress tests' tell us about commercial real estate.
• SEIU negotiator crushed by union's spurning of San Francisco budget concession deal -- Predicts 'big-time layoffs'. More here.
  
• California voters ready to join tax revolt.

UPDATE: BOMA San Francisco's Position on the SFMTA Budget - Muni and Parking Garage Rate Increases & Expansion of Metering Hours

The Board of Supervisors and Mayor Gavin Newsom recently struck a Muni budget compromise that will allow the San Francisco Municipal Transportation Agency (SFMTA) to address its $129 million dollar budget shortfall by increasing fares and reducing or eliminating a number of Muni transit lines.

Unfortunately, as reported in today's Examiner (pp. 24-25), Muni may be scaling back the number of fare inspectors that it planned to hire due to the budget deficit. The agency has 46 fare inspectors for 80 transit lines, which encompass over 1,000 vehicles in the Muni fleet. It's clear the agency needs more help on enforcing payment of transit fares.

As we had previously blogged, BOMA San Francisco recently sent Roberta Boomer, the Secretary to the SFMTA Board of Directors, a letter detailing the association's position regarding reasonable Muni fare increases (we supported them, indeed, we would rather have fare increases than service cuts); evasion of fare payment (we mentioned that we would like to have Muni increase its enforcement of fare evaders); and, reworking the labor contracts for municipal railway employees.

In the letter to Ms. Boomer, we also mentioned our opposition to any increase to parking meter fares, public garage rate increases, or expansion of metering times. We feel that such actions would discourage visitors and residents from patronizing our tenants' businesses and would be hurtful to the city's small business communities.

BOMA San Francisco's Government and Public Affairs Committee will be discussing the SFMTA's budget issues with Nathaniel P. Ford, Executive Director & Chief Executive Officer of the SFMTA, on June 3 at 12 p.m. at our office. Please contact Susan Court at scourt@cwpmc.com if you would like to join the committee.

The Morning News Links - May 13, 2009

• Supervisor Sean Elsbernd calls on labor unions to give back more as the city deals with its budget shortfall.
• MUNI budget negotiations: some service restored and a fare increase.
• Sour commercial real estate loans threaten to hurt regional banks.
• Democrats in the U.S. House of Representatives neared an agreement on a climate-change bill on Tuesday and said they expected to approve it soon.
• California gubernatorial candidate Meg Whitman urges state leaders to cut the state's workforce.
• Commercial real estate values still falling according to a report by the MIT Center on Real Estate.
• California's May 19th election turnout expected to be tiny.
• If the first time in its history, California could lose a congressional seat.
  

The Afternoon News Links - May 12, 2009

• Mayor Gavin Newsom hopes his ordinance to mandate composting, which will be heard by the Government Audit and Oversight Committee Thursday, will push the waste diversion rate in the city from 72% to 90%.
• As we blogged yesterday, Mayor Newsom and Board of Supervisors President David Chiu have introduced the $368 million Road Repair and Safety Improvements Bond.
• Local businesses are underrepresented in city contract awards.

The Business Council on Climate Change Event - Green Opportunities in the Built Environment

Your BOMA Advocacy Team attended The Business Council on Climate Change (BC3) panel presentation on Green Opportunities in the Built Environment, hosted by Swinerton Builders. The event was an overview of ways commercial property owners could reduce their operating costs while reducing their energy and water consumption, garbage output, and their building's carbon footprint. The event speakers included Dan Geiger, Executive Director of the US Green Buildings Council (USGBC); Rich Chien, Private Sector Green Building Coordinator at SF Environment; Megan White, Sustainability Coordinator, WEBCOR Builders ; Eric Corey Freed, Principal of organicARCHITECT; and, Adam Taylor, Green Building Coordinator of Swinerton Builders. Here are a few useful highlights for BOMA members:

Dan Geiger, Executive Director of the USGBC-NCC

Dan Geiger with the USGBC spoke about LEED v3 and the changes to the LEED accreditation program. You can view his presentation here.

Rich Chien, Private Sector Green Building Coordinator at SF Environment

Rich Chien with the SF Environment spoke about a number of energy efficiency programs the department has that can help BOMA members:

• SF Energy Watch Program (a joint program with the department and PG&E) - offers existing buildings new energy-efficient equipment and professional services at a greatly reduced cost. The benefits of the program include: FREE on-site assessment to identify energy savings; expert installation of energy saving equipment; and, lower utility bills over the life of the new equipment.
• SF Green Business Program - helps San Francisco businesses adopt environmental practices that are sustainable as well as profitable. Please click here for more information.
• GoSolarSF - this program was recently presented to BOMA's Government and Public Affairs Committee (GAPAC) by Ed Harrington, General Manager of the SFPUC. Please click here for more information.
• SF Solar Map - An interactive map of solar activity around the city. You can plug in your address to view estimated: solar PV potential, electricity produced, electricity savings, and carbon savings.
• Water Conservation - this was also presented to the GAPAC by the SFPUC. Please click here for more information.
• Deconstruction - Demolition vs. Deconstruction. Deconstruction has cash positive effects through donation value of the material and tax savings. Please click here for more information.

Megan White, Sustainability Coordinator, WEBCOR Builders

Megan White with WEBCOR Builders spoke about energy savings through retrofitting lighting fixtures:

• PG&E offers a number of energy audits for businesses. Please click here for more information.
• PG&E also has a carbon footprint calculator. You can find that here.
• Businesses can save money by switching from the T12 (40 watts) florescent lighting fixtures to the T8 (32 watts) or even the T5 fixtures (24 watts). The T8 and T5 light bulbs consume less energy and give off less heat resulting in net energy savings on air conditioning costs
  
• Other measures include: LED lighting; dimmers; occupancy sensors; wireless lighting controls; LED integrated bulb fixtures; and, pendant (hanging) lighting.

Eric Corey Freed, Principal of organicARCHITECT

Eric Corey Freed with organicARCHITECT discussed water use reduction in plumbing fixtures. It was a fascinating presentation that we are organizing for a future BOMA San Francisco's Environment Committee. Stay tuned!

Adam Taylor, Green Building Coordinator of Swinerton Builders

Lastly, Adam Taylor with Swinerton Builders talked about waste reduction. The take home message was that composting and recycling make economic and environmental sense. Indeed, BOMA San Francisco is supporting San Francisco's Mandatory Recycling and Composting Ordinance.

BOMA San Francisco Event for City Treasurer Jose Cisneros - June 4th

Photograph from Treasurer Cisneros' website.

BOMA San Francisco and Seligman Western will host an event honoring San Francisco Treasurer Jose Cisneros on Thursday, June 4^th from 5:30pm – 7:30pm at Sterling Bank & Trust - Pyramid Center, 40th Floor.

RSVP to Melissa White at 415.615.0311 ext.22

Walter H. Shorenstein Shares Tips on Surviving and Thriving in Tough Economic Times

The San Francisco Chronicle recently published an edited transcript of Mr. Walter H. Shorenstein's (the founder of Shorenstein Properties, LLC) tips on how to make it and thrive in tough economic times. Here are the main points:

• Don't rely on the government;
• Stick with experience;
• Use common sense;
• Don't gamble too much.

Please click here for the article.

Coming this November to a Ballot Box Near You: The Road Repair and Safety Improvements Bond

The San Francisco electorate will have the opportunity to cast their vote for the Road Repair and Safety Improvement Bond this November. The $368 million general obligation bond--originally tagged at $309 million--will be allocated to improve the city's streets and related infrastructure. Specifically, the bond proposal, if passed, will include:

• Street Repair and Rehabilitation ($209 million) to repair, reconstruct and perform preventative maintenance on approximately 1,692 street segments. These funds will be used to increase the average Pavement Condition Index (PCI)--70 is the minimum passing grade--which is currently at 64, to 67 in 5 years and 69 in 10 years. Note: $40 million is the amount spent annually by the city for street repairs from the general fund;
  
• Streetscape Improvements ($93 million) to implement approximately 65 streetscape improvement projects citywide. Streetscape projects will be chosen using a defined prioritization criteria. Projects that stem from current area plans or other community plans will be prioritized;
• Street Structures Repair and Replacement ($24.9 million) to repair and improve aging street infrastructure including bridges, guardrails, tunnels, viaducts, retaining walls and stairways;
• ADA Curb Ramp Installation and Construction ($30.6 million) to construct and install approximately 4,426 curb ramps citywide;
• Sidewalk Repair (~$10.1 million) to repair and improve 1.1 million square feet of city owned damaged sidewalk;
• Bond Oversight ($ 0.3 million) for bond oversight and accountability.

The proposed bond measure will have a 20 year maturity, which is also the length of road service life.

Your BOMA San Francisco Advocacy Team will be reviewing the Road Repair and Safety Improvement Bond and will post BOMA's position on the measure in the near future. Stay tuned!

The Morning News Links - May 11, 2009

• California's budget deficit has grown to $20.5 billion.
• Local teams go to bat for Prop. 1A.
  
• Why voters really, really hate the budget props.
  
• Recession slows growth of Rincon Hill.  

The Afternoon News Links - May 8, 2009

• If you are a property manager and need help communicating with your tenants, please click here.
• San Francisco's budget forecast is even worse than expected.
• The May Statewide Special Election budget propositions are not doing well at all.  Except one.  You can review the new PPIC poll that confirms this, here.
• Obama budget sticks to auctioning all CO2 permits to industries.

The Afternoon News Links - May 7, 2009

• In case you missed it, ABC 7 recently profiled the city's mandatory recycling ordinance (with an appearance by our very own Ken Cleaveland!).  Watch the video here.
• If the May special election budget proposals fail, cities will, most likely, foot the bill.
• What's the cost efficacy of building green?
• Commercial mortgage delinquencies in U.S. rise to a 11-year high. 
• U.S. commercial property faces a default decade.
• The chances are slim that the California budget will be balanced with more taxes.
• Rep. Waxman under fire for climate change legislation.
• How does one define a 'green' job?
• U.S corporations defaulting at a record pace.

SFPUC's General Manager and Assistant General Manager Talks with BOMA San Francisco Members

Laura Spanjian and Ed Harrington with the SFPUC

The San Francisco Public Utilities Commission's (SFPUC) General Manager, Ed Harrington, and Assistant General Manager, Laura Spanjian spoke to the BOMA San Francisco's Government and Public Affairs Committee (GAPAC) today about what the SFPUC is currently working on. Here are the highlights:

What services does the SFPUC provide?

• Water
• Wastewater (collection, treatment, disposal)
• Power

What are the goals of the SFPUC?

• Seismic Reliability
• Water Quality
• Delivery Reliability
• Water Supply

Why are the water and sewer rates going up on July 1?

The SFPUC will increase water and sewage rates over a five year period to both residential and commercial customers to pay for the Water System Improvement Program (WSIP)—mostly for seismic improvement projects.

SFPUC is working to reduce the city's water usage, but how?

The commission wants to reduce water usage in the city from 91 million gallons of water used per year (in 2004) to 81 million gallons by 2018. One of the steps to accomplish this goal is via a local measure--the commercial water conservation ordinance--to help reduce water usage in commercial and hotel properties by installing water conserving devices (e.g., low-flow toilets, urinals, showerheads and faucets) no later than January 1, 2017 or upon major additions or improvements costing $150,000 or more. BOMA San Francisco worked with the SFPUC on this ordinance, and we support the legislation. Indeed, the ordinance was approved by the Board of Supervisors yesterday and is going to the Mayor's office for his signature.

This is all well and good, but how can I reduce the water bill for my building?

Regular blog readers may recall that we previously posted information on the SFPUC's FREE Water-Wise evaluation program. Using your billing history as a guide, a water conservation technician is dispatched to your site and will provide a comprehensive review of your water usage and produce a report with water saving recommendations. Please be aware that there is a 2-3 week lead time to schedule an appointment, so call the SFPUC Water Conservation Section today (415) 551-4730.

There are also commercial sector rebates and incentives. Click here for the details.

Will my wastewater bill be going up?

Not in the short-term. The commercial wastewater rate will stay flat for the next four years.

What else was discussed (please click on the links below for more information)?

Wastewater Enterprise

Biofuel Program (SFGreasecycle and Brown Grease to Biofuel)

Power Enterprise

GoSolarSF

Great! Who do I call at the SFPUC for more info?

Water Saving and Rebate Programs: Dana Hass (415) 551-4739

Biofuel Program: Karri Ving (415) 695-7366

We would like to thank Mr. Harrington and Ms. Spanjian for taking the time to meet with the GAPAC committee, and we look forward to working the the SFPUC in the future.

The Morning News Links - May 6, 2009

• City planning code changes that would make it more difficult to renovate old buildings or build new ones in neighborhoods deemed to be historic are a concern with the Building Construction and Trades Union.  The proposed changes have caught the attention of our city supervisors.
  
• Gov. Arnold Schwarzenegger used a press event to proclaim he doesn't like "scare tactics," yet he warned of dire consequences if voters don't pass the six special election measures on May 19.
• Trouble with TALF?
  
• U.S. stress tests to cite commercial real estate concern: report
  
• Wells Fargo said to need $15 billion in capital.
• Even with the economic downturn, hiring is robust.
• Rep. Henry Waxman (D-Calif.) said his Energy and Commerce Committee expects to mark up a climate change bill by the Memorial Day recess and present a bill for Obama’s signature by the end of the year.

The Morning News Links - May 5, 2009

• Mayor Gavin Newsom talks about his gubernatorial  run on MSNBC.
• Tension between labor, left over historic sites in San Francisco.
• What the out-of-town architects say about S.F.
• Gubernatorial candidate Tom Campbell thinks the redistricting issue will help him with GOP voters.
  
• State sees sharp drop in income tax revenue.

BOMA California Urges CA Legislature to Amend AB 1103 (Benchmarking Law for Commercial Buildings' Energy Consumption)

BOMA California advocacy staff is working with the state’s utility companies and others to amend the historic benchmarking legislation (AB 1103) that will require all commercial building owners in the state to have benchmarked the energy consumption of their properties by January 1, 2010. The original law called for the utility companies to upload building owners’ data but only with the owners’ permission. It did not address the issue of tenant permission in separately metered situations (triple net) where such data cannot be released to or shared with the owner without the tenants’ permission. AB 531, introduced by the author of AB 1103, Assembly Member Lori Saldana, seeks to remedy this situation by allowing owners to request billing information of all tenants within their buildings from the utility company without the permission of the tenant(s) as long as the data is being used exclusively for the purpose of benchmarking the property in which the tenant rents space.

 

For more information on this important “fix it” legislation, please click here.

For questions on this legislation, please contact our state advocate, Matthew Hargrove at  mhargrove@cbpa.com.

San Francisco Stormwater Guidelines for New Construction and Major Renovations

Please click here to view a presentation of the city's stormwater management design guidelines. Sarah Minick with the SFPUC's Urban Watershed Management Program verbally shared this information with the BOMA San Francisco Codes and Regulations committee recently.  

The stormwater guidelines apply to all new construction and major renovations involving 5,000 square feet or more ground space in the separate sewer areas of San Francisco and all buildings subject to the new city green building ordinance. It’s important for commercial property owners to fully understand which policies and guidelines apply to their specific sites. To access the full list of possibilities and requirements, please click here.

The Afternoon News Links - May 4, 2009

• Mayor Gavin Newsom travels to Fresno to make his case for California governor.
• Assemblywoman Fiona Ma of San Francisco sees a problem with the May budget reform measures.  Click here for the details.
  
• Steven Falk, President of the San Francisco Chamber of Commerce, was profiled in this weekend's Examiner.
• Gov. Schwarzenegger is open to a democrat as a successor.
• Not once in modern political history has a self-financed candidate captured a top-of-ticket party nomination and gone on to be elected governor or U.S. senator in the state.  Read the story here.
  
• U.S. lawmakers introduced legislation that would establish a new independent agency to spearhead government clean energy investments.  Click here for the story.
  

BOMA California Update: Dual Plumbed Building Regulations and California Green Building Code Available Online

Dual Plumbed Building Regulations

The Department of Water Resources (DWR) will hold May workshops in Sacramento and San Diego to introduce draft language for dual plumbed building design standards for recycled water systems for adoption into the California Plumbing Code (California Code of Regulations Title 24, Part 5, Chapter 16 Part II).  Draft language and other pertinent information can be found online here.  Comments are due prior to May 29th.  Please send any feedback to BOMA California's contact, Matthew Hargrove at mhargrove@cbpa.com.

California Green Building Code Available Online

The new California Green Building Code is effective on August 1, 2009.  California was the first state in the nation to adopt a green building code.  Click here to view the document online.

California State Senator Leland Yee Talks With BOMA San Francisco

From left to right: Ken Cleaveland, Director of Government and Public Relations, BOMA San Francisco; State Senator Leland Yee; Marc Intermaggio, Executive Vice President, BOMA San Francisco

California State Senator Leland Yee stopped by the BOMA San Francisco office this afternoon to talk about the budget issues that are facing the State of California.  Here are the highlights:

• It will be a tough sell in the State Legislature to pass a constitutional convention, and Senator Yee feels that it will, most likely, be presented to the California electorate for their consideration.
• With regard to Propositions 1A-1F on the May Special Election Ballot, the Senator mentioned that they might not pass (indeed, in reviewing the latest poll numbers, he may be right!).
• Senator Yee encouraged BOMA San Francisco to continue to be engaged in the budget process at both the state and local level.

The Morning News Links - May 1, 2009

• Report: San Francisco office leasing slower than in dot-com doldrums.
• Property management today has always been about more than just turning on the lights--but now, managers increasingly are helping building owners with sustainability issues.
  
• The Federal Reserve is preparing to announce new terms on one of its lending programs that officials hope will help revive the commercial-real-estate market.
  
• Insurance Commissioner Steve Poizner on Thursday challenged his two GOP rivals, Tom Campbell and Meg Whitman, to debate the May 19 budget ballot measures.