Annual Recap

2016 ANNUAL COMMTTEE REPORT

CBPA CALIFORNIA 2016 YEAR-END WRAP UP

During the 2016 legislative session, CBPA had great successes on a number of key issues. They include implementation of major reforms to the state’s ADA law, stopping efforts to advance split roll property tax, reforming the way building codes are written, and helping shape state water efficiency standards. Below are just some of the highlights from 2016. Click here to view the 2015/2016 CBPA High Priority Measures.

 LEGISLATIVE/POLITICAL EVENTS – CBPA leadership participated in several high-level events which gave them access to peers and policymakers. Starting in January CBPA hosted a Candidates Luncheon in Sacramento which was attended by several candidates seeking election in competitive seats. In April, we hosted a Legislative Meeting at which CBPA members were able to weigh in on industry positions on over 400 bills. In June, we hosted the “California Commercial Real Estate Summit,” in which real estate leaders met with Gubernatorial staff and over 1/3 of the Legislature. In November, we hosted the “Industry Awards Dinner” at which over 200 of the top real estate leaders gathered to honor high achievers in our industry. Additionally, CBPA staff from Sacramento have presented at a wide variety of industry events to thousands of members of the real estate industry to brief about issues in Sacramento.

LEGISLATION – On behalf of the commercial, industrial, and retail real estate industry, CBPA engaged on 446 pieces of legislation in the CA State Capitol. A full listing of bills, positions, and outcomes have been provided under separate cover.

REGULATIONS – On behalf of the commercial real estate industry, CBPA engaged regulatory agencies ranging from the Department of Water Resources, California Energy Commission, Public Utilities Commission, Air Resources Board, Building Standards Commission, State Architect and Department of Finance on a range of policies, such as energy efficiency, greenhouse gas regulation, land-use and recycling. This year a lot of time was spent on Energy Issues.

SPLIT ROLL BILL DEFEATED – SCA 5 (Hancock; D-Berkeley)/(Mitchell; D-Los Angeles) sought to remove the protections of Proposition 13 by targeting commercial property owners to increase property taxes by triggering a “current fair market valuation” instead of the current acquired value.

SPLIT ROLL TAX BALLOT MEASURE – CBPA is an Executive Committee member of the political effort to push back against the myriad of groups attempting to put a split roll measure on the ballot. After more than two years of rebutting arguments with editorial boards, at school board meetings, and a statewide education campaign, and defeat of SCA 5, leaders of the “Make It Fair” campaign have officially abandoned efforts to push a ballot measure in 2016. This action will save industry members from a multi-million dollar budget battle on the 2016 ballot.

ADA REFORM – TIME TO FIX NON-ACCESS VIOLATIONS – California has 40% of the nation’s ADA lawsuits but only 12% of the country’s disabled population. Therefore we have played a key role in sponsoring and supporting a package bills that reform ADA in California which made it to the Governor’s Desk. SB 269 (Roth) was a significant reform in California, which, among other things, gives businesses a chance to address and fix certain violations before a lawsuit can proceed.

ADA REFORM - CASp LEASE LANGUAGE AB 2093 (Steinorth ) fixed ADA lease language that has prevented many from utilizing the CASp program because the former statutes sweeping requirements for disclosure. The revised statute will facilitate more property owners to seek a CASp certification in order to assure their properties are in compliance with the law increasing access and lessening the number of unnecessary lawsuits while eliminating onerous and unnecessary disclosure requirements.

CALIFORNIA COMMISSION ON DISABILITY ACCESS VP – Through previous legislation we helped establish the California Commission on Disabled Accessibility that promotes and facilitates disability access compliance. CBPA works directly with the Governor’s Office to name our industry representative to this board, which is currently CBPA Boardmember Doug Wiele. Doug was elevated to Vice President of the Commission this year for a second time.

ENERGY CODE: LIGHTING CONTROL REFORMS -- Energy Commission, Docket No. 15-BSTD-01 was adopted to address issues related to the 2016 Building Energy Efficiency Standards Lighting Retrofit Code. As California’s energy code has lead the way in the nation making sure that our buildings are the most efficient in the country, from time-to-time regulations may not work out in the real world as they do on paper. These lighting retrofit requirements in question turned out to be more complicated, burdensome, and expensive to implement than expected when the Commission adopted thepackage.

BENCHMARKING REGULATIONS – As a primary proponent of AB 802, we helped repeal the flawed AB 1103 regulations and put more flexible regulations in place. The new law keeps the benchmarking requirements but removes the statutory requirement benchmarking be completed during escrow, limits it to buildings over 50K s.f., allows the commission to exempt certain buildings, and delays the requirement until2017.

SINGLE USE BATHROOM BILL – CBPA worked closely with the author to assure workable language was inserted into the bill, but remained neutral because we don’t like to see building code set in statute. The bill requires all single-user toilet facilities in any building to be designated as an all-gender toilet facility. Signed into law, using language our industry believes can be implemented without inducing lawsuits or incurring unreasonable expenses.

ANTI-DEVELOPMENT BILLS DEFEATED – We helped defeat two bills that would have fundamentally changed the way our industry petitioned the Coastal Commission and were meant to further tip the scales in favor of anti-development activists. SB 1190 (Jackson D) would have made it much more difficult for land owners in the Coastal Zone to petition their government and navigate the permit process; while AB 2002 (Stone D) sought to require a California Coastal Commission member to fully disclose in writing 24 hours before a commission hearing any ex parte communication conducted within 7 days of the commission hearing.

HOMELESS CAMPING BILL DEFEATED – AB 718 (Chu D) a bill that sought to undermine local agencies from enforcing ordinances that prohibit people from sleeping or resting in a parked motor vehicle (including in your parking lots) overnight was defeated late in the session. The commercial real estate industry worked closely with partners from local government and law enforcement to make the case this bill is not a viable policy for reducing homeless issues and would probably exacerbate the problem.

AIR RESOURCES “STACKING” BILL DEFEATED – One of the most closely followed and hotly contested bills was SB 1387 (de Leon D) a bill in which our industry, along with a broad array of other business and local government entities vociferously oppose died in the final hours of session. The bill would have substantially and adversely modified the use of market-based incentive programs, and; SB 1387 would have added state-level appointed positions to the South Coast Air Quality Management District Board (SCAQMD), effectively shifting local control over critical regional air quality planning to state law-makers inSacramento.

CLRRA REAUTHORIZATION – SB 820 (Hertzberg D) a bill we supported was signed into law extending the California Land Reuse and Revitalization Act to 2027.   CLRRA is an important tool in cleaning up urban sites for new development.

WATER “SHAMING” BILL DEFEATED – AB 1520 (Stone, Mark D) Water shaming bill. This bill requires the release of private information on water use within certain buildings in an effort that will lead to “public shaming” of those buildings and companies therein.

TOILET REPLACEMENT BILL DEFEATED – We led the effort to defeat AB 2555 (Levine D) a bill that was pushed by a toilet manufacturing company and would have required the upgrade and replacement of all toilets manufactured after 2010 under the guise of “waterefficiency.”

ELEVATOR VARIANCE BILL VETOED – A bill opposed by the commercial real estate industry, AB 1050 (Low D) dealing with occupational safety and health statute regarding permanent variances, was vetoed by Governor Brown.

PARCEL TAX NOTIFICATION BILL – A bill supported by CBPA, AB 2476 (Daly D) was signed into law that now requires public agencies seeking voter approval of parcel taxes to send specified information to nonresident landowners within 30 days of enacting the ordinance.

AFFORDABLE HOUSING/DEVELOPMENT BONUS BILLS – A bill strongly supported by CBPA, AB 1934 (Santiago

D) was signed into law which will create a “development bonus” for commercial property owners that partner with an affordable housing project to construct a mixed-use development was signed into law by the Governor. This bill will create more affordable housing and more compact developments which has been a driving factor to many of the policies signed into law over the past few years. This bill will create an incentive and provide a small tool to help attain those goals by specifying that the development bonus granted to the commercial property owner working with the affordable housing project will produce significant cost reductions over the maximum allowable intensity in the generalplan.

2015 ANNUAL COMMTTEE REPORT

LEGISLATIVE COMMITTEE

Committee Purpose:  Emphasize political awareness and member participation in governmental affairs.  Keep the membership aware of legislative and regulatory threats to the industry and keep them informed about law changes. Do membership “Calls to Action” as needed.

2015 Goals:

  • Continue to send at least one committee member to Sacramento to attend the CBPA meetings. 

  • Send at least one committee member to Washington D.C. to attend the annual IREM National Legislative Event in the spring of 2015.

  • Continue the lobbying contract with CBPA.

  • Continue budgeting attendance at the CBPA and IREM National conference meetings for the committee.

  • Increase attendance and participation by legislative committee members at the CBPA and IREM National meetings.

  • Continue with calls to action as needed in 2015.

  • Continue asking for PAC donations to CBPA within the annual CPM dues billing

Committee Chair:   Jeff Hickox, CPM®

Committee Members: Stan Johnson,  Doreen Reagle, Ron Zapelli, Dawn Baker, Gail Scott,  Molly Kirkland, Shelly Weld and Peter Gaeta.

Accomplishments this year:

We met per our schedule and did bill assignments and follow up on Prop. 13 protection was a hot topic all session long with limited special interest parcel tax increases in play the entire session.  Stan Johnson and Dawn Baker represented the chapter legislative committee in Washington DC and Dawn coordinated the leave behinds and made the meeting arrangements with the Representatives and Senators. We had 2 committee members attending the Annual CBPA legislative Summit on June 10 & 11th, Stan and myself.  Last year we sent 4. Many of the committee members had commitments that they could not break. Interacted with SDCAA and SDAR on industry related issues.

We continued to respond to and give input to CBPA about legislation affecting our industry. We had a call to action to the membership that Nicole sent out this September regarding SB 655 Mold. Unfortunately, the governor signed the bill. The legislature is now out of session .

Rex Hime of CBPA conducted monthly conference calls with all CA IREM chapters with Rex and RVP Lori Graul taking the lead and Jeff Hickox as their back up and moderator during the calls. The attendance in the calls varied but they are a help in informing and unifying the diverse chapter interests throughout the state.

Our meetings were at lunchtime the 3rd  Thursday of each month. The Holiday Lunch location will be at the Edgewater Grill at Seaport Village on Dec. 10th at noon. Rex has confirmed.

Stan will be attending the CBPA board meeting/Industry Awards Nov.5th and 6th  in Lincoln, CA ( Near Sacto).  

Recommendations for next year:

Continue with our affiliation with CBPA and continue to use their contacts and influence to leverage and multiply our legislative committee efforts and in conjunction with the other IREM California chapters. The split roll advocates have put their efforts on hold to change prop. 13 through a ballot measure in 2016. A minor victory. However, we must be vigilant as this coalition will stop at nothing to remove this protection as they feel the State needs the 9 billion dollars annually that adjusting the property tax to market for income producing properties will bring to the State ( and ultimately to their constituents pocketbooks).

2014 ANNUAL COMMTTEE REPORT

LEGISLATIVE COMMITTEE

Committee Purpose:  Emphasize political awareness and member participation in governmental affairs.  Keep the membership aware of legislative and regulatory threats to the industry and keep them informed about law changes. Do membership “Calls to Action” as needed.

2014 Goals:

  • Continue to send at least one committee member to Sacramento to attend the CBPA meetings. 

 

  • Send at least one committee member to Washington D.C. to attend the annual IREM National Legislative Event in the spring of 2014.

 

  • Continue the lobbying contract with CBPA.

 

  • Continue budgeting attendance at the CBPA and IREM National conference meetings for the committee.

 

  • Increase attendance and participation by legislative committee members at the CBPA and IREM National meetings.

 

  • Continue with calls to action as needed in 2014.

 

  • Continue asking for PAC donations to CBPA within the annual CPM dues billing

 

Committee Chair:  Jeff Hickox, CPM®

Committee Members: Stan Johnson, Kathy Belville, Doreen Reagle, Ron Zapelli, Dawn Baker, Gail Scott,  Molly Kirkland, Shelly Weld and Peter Gaeta.

Accomplishments this year:

We met per our schedule and did bill assignments and follow up. Prop. 13 and Tax parcels bills were a hot topic all sessions long with special interest parcel tax increases in play the entire session.  Stan Johnson represented the chapter legislative committee and the leave behinds were assembled by Jeff Hickox and Scott Cook helped make the meeting arrangements with the Representatives and Senators. We had 4 committee members attending the Annual CBPA legislative Summit on June 10 & 11th.(Stan, Dawn, Peter and myself).  Last year we sent 6. Many of the committee members had commitments that they could not break. Interacted with SDCAA and SDAR on industry related issues.

We continued to respond to and give input to CBPA about legislation affecting our industry. We had a call to action that Nicole sent out. The legislature is now out of session and we have made some progress but many parcel tax bills have become 2nd year bills and so we will see them again next year. No other calls to action were needed and the industry, with a lot of help from CBPA, had obtained a veto from the governor, negotiated favorable amendments, was able to kill the bill or get it changed to a 2nd year bill due to lack of a majority. However, not all bills we opposed were disposed of this way. A few were signed into law by the governor and some we supported were vetoed by governor.

Rex Hime of CBPA conducted monthly conference calls with all CA IREM chapters with Rex and Renee taking the lead with Jeff Hickox as their back up and moderator during the calls. The attendance in the calls varied but they are a help in informing and unifying the diverse chapter interests throughout the state.

Our meetings were at lunchtime the 2nd Thursday of each month. The Holiday Lunch location will be inside the Eli Lilly building Green Acres restaurant in the PDR room noon on Dec. 12th.  at the end of Campus Point Drive in the UTC area north.

Stan will be attending the CBPA board meeting/Industry Awards Nov.13th in Newport Beach.

Recommendations for next year:

Continue with our affiliation with CBPA and continue to use their contacts and influence to leverage and multiply our legislative committee efforts and in conjunction with the other IREM California chapters. Next year we expect even more of a concerted effort to eliminate the protections of Prop. 13 and so we will need to be not only vigilant but active in opposing all such