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Serving Los Angeles and Orange Counties to monitor, alert and advocate on your behalf. It’s good for business and good for commercial real estate!

NAIOP SoCal, working in concert with our national organization, the California Business Properties Association and strong business coalitions, plays a key role at the local, state and federal level to represent a unified voice to protect and enhance the commercial real estate industry.

Our Mission: To shape and advocate public policy that supports the commercial real estate industry in our region and the state, supporting that which contributes to a growing, strong and vigorous economy.

Our dedicated team of volunteers work tirelessly to protect your interests at all level of government. Meet the committee here.

Having problems with your local agency, or an issue you’d like us to research?

 

 

 

Your Legislative Update

Big Win for Commercial Real Estate!

Anaheim City Council Rejects Proposed Fire Sprinkler Retrofits and Expensive Firefighter Air Replenishment System (FARS) in High Rise Buildings

June 7, 2017

NAIOP SoCal has been fighting against the City of Anaheim Fire Department recommendation to adopt excessive and expensive fire code regulations since November 2016. Finally, at the June 6, 2017 Council meeting, the Council lead by Mayor Tom Tait, voted unanimously not to adopt the Fire Chief’s request. This was a huge victory for NIAOP SoCal and commercial real estate.

 

The Anaheim Fire Department recommended the adoption of the California fire code amendments, which is required, but they also asked the Council to add two new code requirements. The first proposed amendment to the Anaheim fire code to require the retrofitting of fire sprinklers in single family homes and commercial buildings when improvements were made. The trigger was the size of the improvement, which was 1,000 square feet in single family homes and 5,000 square feet for commercial buildings.

 

The second recommendation was that the FARS (Firefighter Air Replenishment System) be installed in high rise buildings – over 75 feet. The estimated cost of this system is 80 cents a square foot, plus annual inspection fees exceeding $2,500 added to the cost of ongoing maintenance of the system.

 

Special thanks to Legislative Affairs Committee Member Nick Arambarri, architect and Associate/Managing Director for LPA, Inc. Nick was able to provide information about the proposed FARS and his experience with the City of Newport Beach. The City had adopted and later repealed the FARS requirement for high rise buildings. This information, plus other objections raised by NAIOP and the fact that only 5 of the 540 jurisdictions in the State of California were currently requiring the use of the system in their fire code helped persuade the Council.

 

To see all of NAIOP SoCal objections to the proposal, CLICK HERE to review the written comments submitted to the Council.

 


 Dual Agency Ban – Stalls in Committee!

May 1, 2017

AB 1059 proposed to ban dual agency. It has been pulled from the calendar of the Assembly Judiciary Committee.

NAIOP SoCal had gone out with an alert to its membership asking for help to communicate with legislatures why we objected to this bill.  Our member’s efforts to each out to legislators was a big part of the education effort to help legislators understand this issue better.  Specifically the explaining the differences between residential and commercial transactions and why the State treats them separately in statute and how Dual Agency was being mischaracterized by the Bill’s sponsor.

Attached for reference:

AB 1059 Coalition Letter Opposing Dual Agency Ban

AB 1059 CBPA, NAIOP Opposition Letter


City of Carson Adopts Moratorium on Logistics Facilities for 45 Days

Hearing on Extending the Moratorium on May 2

April 13, 2017

On March 21 the City of Carson approved a 45–day moratorium, which can be extended to a total of two years, preventing the establishment, expansion, or modification of truck yards, logistics facilities, hazardous materials or waste facilities, container storage, among other uses. The moratorium also prevents any new lease agreement, or extension of a current lease, with a tenant if the lease extends for three years or more.

NAIOP SoCal’s Peter Herzog attended the hearing and spoke in opposition to the proposed moratorium along with several members of the NAIOP SoCal and NAIOP Inland Empire Chapters. A copy of the Carson Companies letter sent to the Council by President James Flynn provides a good overview of objections to the City’s actions.

At its May 2, 2017 meeting, the Council will vote on an extension of the moratorium, which will be strongly opposed by NAIOP and its members. For more detailed information, please contact NAIOP Assistant Director of Legislative Affairs Peter Herzog.


Your Help Needed To Defeat City of Los Angeles City Measure S

Election Results
Measure S Defeated!

March 8, 2017

NAIOP SoCal’s number one priority was the defeat of Measure S in the March 7, 2017 City of Los Angeles election. Although the 11.45% voter turn out was incredibly low, Measure S was soundly defeated with 68.85% of the votes casting a No vote!

Mayor Eric Garcetti was easily elected with 80% of the votes cast.

Thank you to NAIOP SoCal members and friends to helped in the grass roots campaign to spread the word about Measure S and who turned out to vote No!


 Building Moratorium Ballot Initiative – Vote NO on March 7!

February 2, 2017

Visit www.goestoofar.com and TAKE ACTION NOW TO OPPOSE!

  • Get the Facts!
  • Add Your Name to Opposition!
  • How to help – Tweet • Graphic Face Book Posts • Download Sample Emails to Friends • Download Window Sign • Volunteer • Contribute

Measure S will prevent any commercial or residential development in the City for at least two years if the project needs a zone and/or general plan amendment, which is essentially any project in the City. Measure S is a housing ban that would indefinitely ban most new housing in the City of Los Angeles, increasing rents, destroying jobs, and making the homeless problem even worse. This must be defeated.

The supporters of Measure S are well funded and organized. The threat of this measure passing is very real, and everyone’s help will be needed to defeat the measure. The NO on Measure S campaign has a website, www.goestoofar.com, that provides all the information you need on how to help and donate to the NO on Measure S campaign. Print and post a sign in your window!  Send a tweet or email – all scripted for easy use!

If you live in the City of Los Angeles Vote NO on Measure S, and please spread the word to anyone you know – family, neighbors, and business associates in the City of Los Angeles to vote NO on Measure S on March.

If you have any questions or need additional information, please feel free to contact Director of Legislative Affairs Vickie Talley or Assistant Director of Legislative Affairs Peter Herzog.


Happy New Year!

January 13, 2017

The Legislative Affairs Committee has identified its 2017 Priorities.  At the top of the list are CEQA reform, preparation to defeat any move toward a split roll property tax in California, continue to build strong and effective business coalitions with allied associations to fight against government imposed air quality and other regulations that drive business from our state.

Click on the link for a complete list of the NAIOP SoCal Legislative Affairs 2017 Priorities.


Happy Holiday Wishes To All!

December 19, 2016

As we end another very busy year, the Legislative Affairs Committee prepared a report on the 2016 Accomplishments for the Board of Directors and NAIOP SoCal members.

Included in those accomplishments were saving Los Angeles County property owners millions of dollars on a parcel tax proposal.  A parcel tax was eventually approved by the votes ad half the rate as originally opposed.  NAIOP SoCal’s Political Action Committee contributed significantly to the campaign to defeat the property tax completely, but lost.

Click on the link for a complete list of NAIOP SoCal Legislative Affairs 2016 Accomplishments

If you have any questions or need additional information, please feel free to contact Director of Legislative Affairs Vickie Talley.


Year End Report – Successes

December 1, 2016

The NAIOP SoCal Chapter is a member of the California Business Properties Association.  CBPA represents commercial real estate interests at the State level.  This year CBPA actively participated in the defeat and adoption of over 440 pieces of legislation that impact commercial real estate.

– Out of those bills 40 were identified high priority bills to oppose and prevent from becoming adopted.  Only three of those bills became law.  Four were vetoed by the Governor and the remaining 33 bills were killed!  An additional 13 bills opposed by CBPA were also vetoed by the Governor.

– Fifty-five bills signed by the Governor were supported by CMPA and five bills supported by CBPA were signed into law by the Governor.

For a complete list of bills see CBPA High Priority Measures – Final Report 2015/16 Session.

CBPA consistently does an incredible job of representing commercial real estate.  To view CBPA’s successes on key issues see CBPA 2016 Year-End Wrap Up report.

If you have any questions or need additional information, please feel free to contact Director of Legislative Affairs Vickie Talley.


Election Results November 8th

November 11, 2016

The election results for the candidates and ballot positions supported (or opposed) by NAIOP SoCal and its political action committee can be downloaded HERE.

For complete election results for the State of California go to www.votesos.ca.gov

Los Angeles County Election Results visit

http://www.lavote.net/election-results#year=2016&election=3496

Orange County Election Results  go to

https://www.ocvote.com/fileadmin/live/gen2016/results.htm

If you have any questions or need additional information, please feel free to contact Director of Legislative Affairs Vickie Talley.


Election 2016 Alert

October 21, 2016

Please print, post and share the NAIOP SoCal Voter Guide and Grassroots Action Plan.

 

NAIOP SoCal has prepared a Voter Guide for the November 8 election for your personal use and for you to also distribute to your employees, fellow workers, family and friends. There are some VERY CRITICAL issues on the ballot this year. Everyone’s vote is important. Specifically, anyone living and voting in Los Angeles County needs to cast a NO vote on the Measure A Parcel Tax!

 

The attached Voter Guide and Grassroots Action Guide provides detailed information on communicating with employees. It is also available on NAIOP SoCal’s website home page under Legislative Alert – www.naiopsocal.org

 

If you have any questions or need additional information, please feel free to contact Director of Legislative Affairs Vickie Talley.


Election 2016
Educate Your Employees
About Important Election Issues

October 17, 2016

Each major election NAIOP SoCal produces a voter guide and encourages its members to communicate with their employees. It is very important to know the correct way to communicate with your employees about election and political information.

The California Chamber of Commerce has produced a helpful and informative “Guidelines For Political Communications to Employees” (Click Here For A Copy).

Watch for NAIOP SoCal’s Voter Guide and Remember to Vote November 8, 2016.


Incredible/Historic Victory!
SB 1387 (DeLeon) DEFEATED

September 1, 2016

SB 1387 would have added three more state appointees to the SCAQMD Board which would have allowed the Sate to appoint 6 Board members who were not elected officials or accountable to the people our region.  It is difficult to put into words how historic and important this victory is to our NAIOP members and the business community, and quite frankly to the state.  The bill was a state legislative effort to override the work that has been ongoing locally over many, many years and was authored by the President pro tem of the Senate, Kevin DeLeon.  The hurdles to defeating this bill were huge to put it mildly.  Thanks certainly go out to Rex Hime and Matthew Hargrove of CBPA for their tireless efforts.

This also is a very definitive statement of the importance of a vigorous ongoing legislative affairs effort to our NAIOP members.


Update Major State Legislative Issues
Impacting Commercial Real Estate

August 23, 2016

California Business Properties Association (CBPA) is the voice of commercial real estate in California. As this year’s legislative sessions wind down, CBPA is actively working on the following bills. Please note CBPA’s position letters on each of the bills.

 Please be sure to contact NAIOP SoCal Director of Legislative Affairs Vickie Talley or CBPA Senior Vice President of Governmental Affairs Matthew Hargrove  and let us know if you are hearing anything about these bills and/or if you have any questions, comments, or would like additional information.

SB 32 and AB 197 – Greenhouse Gas Bills.  Doubles GHG targets by 2030 and expands authority of regulatory bodies to regulate industry through command-and-control mandates; will increase energy costs for electricity and transportation fuels. CLICK FOR CBPA’s POSITION LETTER SB 32 AND AB 197.

SB 1387 – Attempts to make changes to SCAQMD board composition to give Sacramento legislators more influence on a local board. CLICK HERE FOR CBPA’s POSITION LETTER.

AB 718 – HOMELESS ADVOCATE BILL. Prohibits local agencies from enforcing ordinances that prohibit the people from sleeping or resting in a parked motor vehicle (including in your parking lots).  CLICK HERE FOR CBPA’s POSITION LETTER.

 


No on Senate Bill 1387

Update August 10, 2016

This Bill is still active and could move to the Assembly Floor at any time. If you have not taken action. Please do so now!

NAIOP SoCal Members are urged to write letters to their California Assembly Member asking them to NOT Support SB 1387. A SB 1387 Opposition Letter Template is available HERE.

To find out who your Assembly Member is you may go to:

http://findyourrep.legislature.ca.gov/

If you do not have time to write the letter, you may phone your Assembly Member and deliver the message urging him/her to Not vote for SB 1387 referencing the letter for talking points.

This is important and NUMBERS of constituent calls will make a big difference. Thank you for responding to this Legislative Alert!

 


ALERT! ACTION NEEDED

No on Senate Bill 1387

June 15, 2016

NAIOP SoCal Members are urged to write letters to their California Assembly Member asking them to NOT Support SB 1387. A SB 1387 Opposition Letter Template is available HERE.

To find out who your Assembly Member is you may go to:

http://findyourrep.legislature.ca.gov/

If you do not have time to write the letter, you may phone your Assembly Member and deliver the message urging him/her to Not vote for SB 1387 referencing the letter for talking points.

This is important and NUMBERS of constituent calls will make a big difference. Thank you for responding to this Legislative Alert!

 


Please VOTE! June 7th

June 1, 2016

Everyone can vote in the California Primary, however, voting for President depends on the party you are registered with.  If you registered with no party preference, you can vote in the Presidential primary for the following parties: Democratic, American Independent, or Libertarian.  Proposition 50 is the only Statewide ballot measure.  It would authorize the legislature to suspend members without salary and benefits.  In Los Angeles County there are 603 candidates running for 95 offices and 13 ballot measures.  Of significance to NAIOP members are taxing measures in Long Beach and Carson.  Measure A in Long Beach is proposing to establish a 1% transaction and use (sales) tax for 6 years.  In the City of Carson Measure C is proposing a 2% utility users tax on electricity and gas for 7 years.  In Orange County there are 287 candidates running for 42 offices and 7 ballot measures including a county wide campaign fundraising ethics commission.  Resources for more information on candidates and ballot measures include the following:

• California Secretary of State http://voterguide.sos.ca.gov/

• Research who is financing campaigns http://powersearch.sos.ca.gov/

•  “Voter’s Edge” provides detailed information on the candidates and ballot measures
by county.      http://votersedge.org/

•  Judges OC Bar Association Ratings of Judges
http://www.ocbar.org/PublicServices/JudicialEvaluation.aspx

 


City of Los Angeles Backs “Fix and Release” Sidewalk Repair Plan

May 4, 2016

The City of Los Angeles City Council has approved a plan to fix broken and buckled sidewalks across the city and then to gradually hand off responsibility for future repairs to property owners — an idea that has become known as “fix and release”.

The City Attorney has been directed to draft a new ordinance that would roll back a decades old rule that put the City on the hook for sidewalks ruptured by street trees.  State law says that the adjacent property owner is responsible for sidewalk repairs, but Los Angeles took on the responsibility for the sidewalk damages caused by city street trees decades ago.  However, they have not been able to keep up with the repairs.

Not only are the busted sidewalks an embarrassment to the City, but also have cost Los Angeles millions of dollars in “trip-and-fall” lawsuits.  More recently, the City settled for $1.3 billion with advocates for the disabled who argued that impassable walkways violated their rights to access in the City under federal law.  The settlement agreement was to use the funds to repair sidewalks over the next three years.

The program is scheduled to begin in July 2016 and will focus first on repairing sidewalks next to commercial, industrial and residential properties – whether or not the damages were caused by a street tree.

Following the repairs, the City will offer a warranty period for 20 years for residential properties and 5 years for commercial and industrial property.  Beyond that point, the property owner will be on the hook to make sidewalk repairs.

There is a cap on the amount that the City will spend on sidewalk repairs and to encourage people to fix the sidewalks a rebate will be offered that will reimburse them for roughly half of the average cost per square foot of repairs if they make fixes during the first three years of the new program.  Permit fees will also be waived.

 


Legislative Attack on SCAQMD Board and Local Control

April 14, 2016

Senate Bill 1387 introduced by Senators De Leon, Allen and Lara would add three new members to the SCAQMD (South Coast Air Quality Management District) Board of Directors. The new Board Members would be appointed by the State and give some of the SCAQMD authority to CARB (California Air Resources Board). This bill must be defeated.

CLICK HERE for the complete text of SB 1387

The number of and method of appointing the 13 Board Members to the South Coast Air Quality Management District (SCAQMD) has been in existence for a long time without any complaints. Ten Board Members are local elected officials and three are appointed by the State; one by the Governor, one by the Assembly and one by the Senate. But, because a recent decision of the SCAQMD Board upset a State Legislator, a bill has been introduced to change the Board make up and also to remove some authority from the Board.

SB 1387 by Senate Pro Tem Kevin DeLoen would enlarge the Board to 16 by adding three more members also the Governor, Assembly and Senate. So six would be appointed by the State and the three new members would have to come from non-profit environmental justice organizations.

Additionally, the bill would require anytime the SCAQMD Board changes their RECLAIM rule, which is the one that upset Mr. DeLeon, the SCAQMD Board would have to send it to CARB. The CARB Board would then make any changes they wanted and provide the final approval. SCAQMD would be bound by CARB’s decision.

This bill is a direct assault on having a local Board one can work with, and sets a very dangerous precedent. Essentially, it would send a message to all that if any of the State Boards or Commissions do anything some legislator does not like, the structure and authority of the Board will be changed to give Sacramento more power.

NAIOP SoCal is working with our Sacramento advocate, the California Business Properties Association (CBPA), and many other organizations, to defeat the bill. In the future we may need to have NAIOOP members send a letter or make a phone call on this key bill. We will provide updates as this bill goes through the legislative process.


The Legislature is in Full Swing – Bills, Bills and More Bills

March 31, 2016

Legislators have introduced over 2,400 bills, and our Sacramento advocate, CBPA, had all of those bills reviewed and analyzed, and found about 400 pieces of legislation that potentially could impact your business. NAIOP SoCal and other leaders/experts from the commercial real estate industry met on March 17 to discuss those bills and adopted positions on them for CBPA to advocate in Sacramento. There were a couple we could support, but to say there are a lot of “bad bills” would be an understatement, so CBPA and our industry will be opposing a significant number. Ten rose to the “Death Star” rating, such as SB 876 (Liu), which would give the homeless the RIGHT to rest, get shelter from bad weather, eat and more, in any place accessible to the public, like the lobby of your office building, malls, parking lots and on and on. All of the bills will now start going through the legislative “process”. Please continue to follow the Legislative Update as your Legislative Affairs team will keep you up to date on key bills and send you Alerts when phone calls or letters are needed on specific bills.


Is It Possible To Avoid a CEQA Environmental Review?

March 21, 2016

The answer is, YES  Legislative Affairs Committee Member attorney Sean M. Sherlock has been tracking and advising the committee of an approach used by an Inland Empire developer to avoid CEQA environmental review.  It is a unique approach involving passing a ballot initiative in the local jurisdiction.

To read Sean’s full report CLICK HERE.


SCAQMD Board Members Terminate CEO Wallerstein

March 11, 2016

On March 4, 2016 the South Coast Air Quality Management District (SCAQMD) terminated Chief Executive Officer Barry Wallerstein.  The vote was close – 7 to 6 – followed with the naming of Michael O’Kelly as the acting Executive Officer.  O’Kelly is currently the organizations Chief Financial Officer.  A search will take place for a permanent executive officer.

On the heels of this action, California State Senate President Pro Tem Kevin de León has propose a bill to add three new members to the Board who would be appointed by the Governor.  This is a clear attempt to give the governor more influence over the SCAQMD Board.

To review March 9, 2016 Los Angeles Times article, “State Senate leader aims for a shift on air board”.

To review March 11, 2016 Los Angeles Times editorial, “Stacking the AQMD Board”.


Chapter Representatives in Washington, D.C.

February 29, 2016

Ten members of the Chapter including President Kevin Jennings and Legislative Affairs Committee Chairman Kevin Ivey attended the recent NAIOP Leadership Conference in Washington, D.C. During the conference, meetings were scheduled with California Senator Diane Feinstein and nine members of congress. The Senator and each of the Representatives received a packet of information from NAIOP SoCal including Regional Talking Points.

Following are photographs taken during the visits to the Capitol:

SoCal Chapter Executive Director Cynthia Fusco, President Kevin Jennings, Representative Dana Rohrabacher, Vice President James Camp, and Membership Chair Lillian Kuo.

SoCal Chapter Executive Director Cynthia Fusco, President Kevin Jennings, Representative Dana Rohrabacher, Vice President James Camp, and Membership Chair Lillian Kuo.

 SoCal President Elect Lance Ryan, YPG Alumni Liaison Taylor Arnett and Legislative Affairs Committee Chairman Kevin Ivey in front of the Cannon Office Building.

Legislative Committee Chair Kevin Ivey and NAIOP Corporate and SoCal Board Member Stephane Wandel meet with Congressman Tony Cardenas.


Attention NAIOP Members
Your Input on CEQA Revisions Needed

February 1, 2016

Over two years ago the California Office of Planning and Research (OPR) released a draft on how transportation impacts on projects are analyzed in CEQA (California Environmental Quality Act).  At that time, NAIOP and other business groups objected to the approach using Vehicle Miles Traveled (VMTs).  In response, OPR has now released a second draft of CEQA Guidelines dealing with VMTs.

The comment period on this draft ends February 29, 2016.  NAIOP staff is in the process of reviewing the draft along with a traffic engineer.

We would appreciate input from NAIOP members.  The 57 pages DRAFT Revised CEQA Guidelines is attached.  Thank you in advance for reviewing the document CLICK HERE and providing your input by Monday, February 22, 2016 to Assistant Director of Legislative Affairs Peter Herzog or call 949-380-3300 Extension 14.


New SCAQMD Director Guest of Legislative Committee

January 18, 2016

Newly appointed South Coast Air Quality Management District Director Dwight Robinson will be the guest of the SoCal Legislative Affairs Committee on Thursday, January 21 at 1 p.m.  NAIOP SoCal members are invited to attend and may RSVP to Vickie Talley at 949-380-3300. 

Mr. Robinson was sworn in on Friday, January 15, 2016 and is replacing Santa Ana Mayor Miguel Pulido who served on the Board for the past 11 years since his appointment in 2005.  He represents Orange County cities on the Board.

Dwight is a member of the Lake Forest City Council, first elected in 2012.  He has served as Mayor of the City.  As a business owner he is aware of the challenges businesses face dealing with regulations.  For a brief biography on Council Member Robinson CLICK HERE.


Happy New Year!
2015 Accomplishments
2016 Priorities

January 5, 2016

The Legislative Affairs Committee has presented its 2015 Accomplishments and 2016 Priorities to the Board of Directors.  To review these documents please click on the items below.  

Legislative Affairs Committee 2015 Accomplishments

Legislative Affairs Committee 2016 Priorities

For more information on becoming involved in the Legislative Affairs Committee or to bring an issue to the attention of the committee, please contact Director of Legislative Affairs Vickie Talley.


Activist Group Seeking To Stop “Mega Projects in the City of Los Angeles

December 8, 2015

In response to the development of multistory residential buildings going up in the City, a group called the Coalition to Preserve Los Angeles (CPLA) has announced a plan to qualify an initiative for the ballot known as “The Neighborhood Integrity Initiative”.  Over 60,000 voter signatures are needed and, if the initiative qualifies its backers say”it will help preserve the character of Los Angeles neighborhoods, stop unlawful amendments by the Planning Department, require developers to follow the City’s General Plan and other laws and reduce gridlock in an increasingly overdeveloped L.A.”.  Developer Mott Smith said that if the ballot measure passes it, “would basically stop residential development, except at the smallest scale”.

NAIOP SoCal legislative affairs committee is monitoring this issue and will provide updates.

To read the Los Angeles Times article on this issueCLICK HERE


2015 California Legislative Wrap Up Report

November 12, 2015

NAIOP SoCal is a member of the California Business Properties Association (CBPA), the voice of commercial real estate in Sacramento. Each year hundreds of new laws are proposed and many impact commercial real estate. CBPA reviews all of bills, identifies the priority bills for commercial real estate and does an incredible job in representing NAIOP SoCal members’ interests. Good legislation is actually proposed and sponsored by CBPA and other business groups. Bad, “business killer” bills are identified and opposed by CBPA and allied business organizations like the California Chamber of Commerce and the Howard Jarvis Taxpayers Association.

CBPA recently held a Strategic Issues Conference in Sacramento that was attended by Legislative Affairs Committee Chairman Kevin Ivey. To view Kevin’s memorandum reporting on the Strategic Issues Conference, CLICK HERE

To view CBPA’s Commercial Real Estate Legislative Wrap-Up for 2015, CLICK HERE


 Split Roll Advocates Pull Plug on 2016 Ballot Efforts

October 30, 2015

Following the stinging rebuke of the idea of dismantling Proposition 13 and implementing a split roll property tax by Governor Jerry Brown and failure of its sponsored bill in the Legislature (SCA 5), leaders of the “Make It Fair” campaign have abandoned efforts to push a ballot measure in 2016.

Funded by public unions, community organizing groups, and other far-left organizations in order to push a $9 billion tax increase on California properties, the organizing group California Calls announced that it has decided not to pursue an initiative in the coming year.

As part of the announcement, California Calls stated they will continue to push a split roll in hopes of dismantling Prop. 13 at a later date. “(We will) continue to expand the coalition, conduct grassroots public education, and build voter support in low-income communities of color throughout the state to score the electoral victory we know is possible. We will continue to advance Senator Hancock and Mitchell’s SCA-5 reform proposal through the State Legislature, and work to raise the money to withstand fierce industry opposition who will spend $50 to $100 million against us.”

They are correct in one aspect: the idea of gutting Prop. 13 does engender fierce opposition – and not just with industry groups, but homeowners who understand that a split roll is just a step in going after residential protections.

Californians to Stop Higher Property Taxes (CSHPT) has been a major factor in pushing back against some of the misconceptions and distortions about property taxes that have found their way into the public conversation. We are primary members of CSHPT and will continue to be vigilant on this issue. But we are happy to report that the immediate threat of split roll has been delayed – for now.


Strategic Issues Conference

September 30, 2015

Register now for the 2015 Strategic Issues Conference, scheduled for November 5-6, 2015, at the Thunder Valley Casino Resort, Lincoln, CA. Former California Governor Pete Wilson will be our special guest speaker at dinner on Thursday, November 5th!

Eight major groups have come together to host this special event: California Business Properties Association (CBPA), the American Council of 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 and Technology Association (CMTA), and the Retail Industry Leaders Association (RILA). 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 attendance will contribute greatly to achieving this goal, and will signal your strong support for the commercial, industrial, and retail real estate industry.

 For more information and registration form go to download: http://cbpa.com/wp-content/uploads/2015/09/CBPA-Meeting-Notice-11_5_15.pdf


 ALERT!

NAIOP SoCal Members OPPOSE SB 350 and SB 32

September 4, 2015

Two issues are due for votes anytime before September 11 in the California State Legislature – SB 350 (de Leon, D-Los Angeles) dealing with energy efficiency and SB 32 (Pavely, D-Agoura Hills) dealing with greenhouse gases.  If passed and signed by the Governor, both will have significant negative impacts on our commercial real estate industry.  We’re asking each NAIOP SoCal member through this Legislative Alert to contact their State Assembly Member and Senator requesting that they oppose both bills.

Here’s how you can have an impact:

First, Find your State Assembly Member and Senator.

 From your browser go to: www.legislature.ca.gov/

Click the Senate tab.

Scroll down to Find My Senator

Enter your address.

Links to both your Assembly District representative and Senator should come up.

Click your assemblymember’s link.

Go to the Contact tab and fill in your address information. 

(NOTE: You can bypass the “Select Issue” button)

In the Comments box post this recommended language:

“Please Oppose SB 350 (de Leon, D-Los Angeles) and Oppose SB 32 (Pavely, D-Agoura Hills) when they come up for vote in the Legislature.  SB 350 sets an unrealistic goal of mandating that all existing buildings become 100% more energy efficient. The result will require the state to force homeowners, small businesses and commercial real estate owners to spend money on building projects they can’t afford.  SB 32 requires 90% reductions in green house gases by 2030 and 2050 without considering impacts on jobs and the economy.  Thank you.”

Back out of the Assembly webpage and go to your Senator’s webpage and repeat the process.

These are important issues and emailing your representatives takes only 5 minutes. The legislators do listen and keep track of your opposition to these issues.  Take a minute and influence the vote.

Resources

For your reading and background, attached are our industry coalition letters on both bills, and our specific “real estate/energy efficiency” letter on SB 350.  These provide background reading on both bills.

To read SB 32 (Pavley) FLOOR ALERT 9.2.15. Click Here.

To read SB 350 (de Leon) Asm Floor Alert Update 9-2-15 v2. Click Here.

To read SB 0350 (de Leon) Asm Floor —  OPPOSE. Click Here.


City of Los Angeles Proposing Property Owners Repair City Sidewalks

August 31, 2015

The City of Los Angeles has proposed to turn the repair and maintenance of the very deteriorated city sidewalks over to the adjacent landowner even if it was caused by tree roots. The City would initially repair the sidewalk in front of residences, and thereafter the full responsibility for maintenance would be of the resident.  Commercial property owners would be given one year to do (pay for) the initial repair because they have ADA (Americans with Disabilities Act) obligations under state law and have more options to finance the repairs.  NAIOP SoCal members who own property in Los Angeles please contact Assistant Director of Legislative Affairs Peter Herzog for additional information and action on this item.


State Legislature Summer Recess

Costa Mesa No Growth Initiative Proposal

July 27, 2015

State Legislature Summer Recess

As the California legislature takes off for a month’s summer recess, Commercial Real Estate is left monitoring over 40 high priority bills – most of which NAIOP SoCal and California Business Properties Association (CBPA) are opposing.  Included in the strongly opposed category are:

SB 350, which will double existing energy efficiency requirements for commercial property owners and cut petroleum use by 50% by 2030.

SB 32 will set unreasonable and unattainable green house targets for year 2050.

Also on the docket are bills requiring building owners to provide defibrillators in buildings with over 200 occupancy and electrical vehicle charging station requirements for commercial buildings.

If you are a NAIOP So Cal member and are not currently receiving the weekly CBPA Legislative email updates, please contact Director of Legislative Affairs Vickie Talley at vickie@talleyassoc.com.

Costa Mesa No Growth Initiative Proposal

A group of Costa Mesa residents have begun the process to circulate petitions that would give residents the power to veto residential and business development in the city.  If successful, the initiative would require Costa Mesa voters to vote during a scheduled election to approve development.  Councilman Jim Righeimer said the initiative would create an environment so stringent that no new companies would come to town.  To read a recent Orange County Register article on this subject click here.


Split Roll Alert!

June 10, 2015

On June 10 Senator Holly Mitchell (D-Los Angeles) and Senator Senator Loni Hancock (D-Oakland) have “gutted” and amended Senate Constitutional Amendment 5 (SCA 5) and turning it into a split roll property tax measure that would be on the November 16, 2016 ballot if it is passed by the required 2/3 of the legislature.

SCA 5 would to amend the State Constitution to allow for regular reassessments of commercial and industrial property to their fair market value, starting with the 2018-19 fiscal year. However, the constitutionally mandated 1 percent tax rate would be retained, and Proposition 13 protections would continue to apply to residential rental property and agricultural property.

The measure would also provide for a five-year phase-in of regular fair market value reassessments for certain commercial and industrial property owners; and exempt from personal property taxes $500,000 of tangible personal property used for business purposes, beginning January 1, 2019.

The reason they are pushing for this Legislative route – even though getting a 2/3 vote seems very unlikely – is that it would allow the unions and split-roll proponents to get on the ballot without having to spend money and time gathering signatures.

Californians to Stop Higher Property Taxes and allied groups such as the California Business Properties Association (CBPA), the California Chamber, CalTax, and the Howard Jarvis, will respond to this attack through news media, social media, and direct contact with legislators.

Attached for your reference:

Text of the Split Roll Property Tax Measure SCA 5 (Mitchell & Hancock), click here.

Californians to Stop Higher Property Taxes White Papers for your information and to share!

How Proposition 13 Works click here.

The Consequences of a Split Roll click here.

California state senators to propose overhaul of Prop. 13 (Article LA Times), click here.


Emergency Water-Efficient Landscaping Building Code

May 26, 2015

The California Building Standards Commission will meet on May 29, 2015 to adopt emergency building standards to significantly reduce the amount of potable water that can be used for outside landscaping irrigation purposes.

These emergency building standards will apply to new residential and commercial building construction for which the initial permit application is submitted to the local building department on or after June 1, 2015. This emergency action was prompted by the Governor’s recent Executive Order on the drought emergency and subsequent rules issued by the State Water Resources Control Board.

Among other things, the emergency building standards will require the calculation of a water budget for the site using a modified version of the Department of Water Resources’ Model Water Efficient Landscape Ordinance (MWELO). This is the water budget calculation tool that has been required in most local jurisdictions for the past five years.

The modified tool results in a 20%-25% reduction in landscape water consumption.

CBPA, NAIOP’s representative in Sacramento is seeking advice and comment from NAIOP members on the details of the proposal and has been actively working with the Governor and the Building Standards Commission and have let it be known that our industry is generally supportive of these changes.

A copy of the emergency standards can be found by clicking here.


ALERT!

Drought Regulations Adopted

May 5, 2015

The California Water Resources Control Board has adopted regulations on mandatory cuts in water usage throughout the state to achieve the Governor’s 25% savings mandate.

It is very important that every NAIOP member becomes familiar with the water agencies serving their properties and to monitor their activities regarding adoption of specific regulations that could impact your business. Each local agency has the authority to increase fees and levy fines. This is a serious and potentially costly issue for all Californians.

Resources

To read the Press Release announcing the new regulations. Click Here.

To read the Final Regulations Adopted by the California Water Resources Control Board. Click Here.

To read the List of California Water Agencies and Required Savings. Click Here.


ALERT!

Split Roll – Unions Launch Campaign to Change Prop 13

May 11, 2015

The effort to remove Proposition 13 protections from your properties officially kicked off in Sacramento on Thursday, May 7, 2015.  Click Here to see Sacramento Bee article.   It looks like we will be faced with a well funded and a well organized campaign to place a split roll property tax measure on the 2016 ballot.

The effort is being led by a group called  Make It Fair which is funded by unions inclusing the California Teachers Association and the Service Employees International Union (SEIU).

Californians to Stop Higher Property Taxes is the only group out there pushing back against the false claims and data being pushed to erode support for Proposition 13.  Click here for their website and let us know if you want to know how to get more involved http://stophigherpropertytaxes.org/


ALERT! Comments Needed NOW!

Proposed Emergency Water Conservation Regulations

May 1, 2015

The State Water Resources Control Board has released the formal emergency regulatory package for implementing the state’s required 25% reduction in urban water use. Please note this is an update from our previous announcement. The regulations have been changed.

Your review and comments are needed ASAP on the proposed regulations.

Click here for the proposed regulations and here for all of the background/supporting information

Please send any comments you may have to us as soon as possible to NAIOP SoCal’s Director of Legislative Affairs (vickie@talleyassoc.com) and CBPA’s Matthew Hargrove (mhargrove@cbpa.com) and Rex Hime (rexhime@cbpa.com). Also, please pass this along to other interested individuals that can provide feedback to NAIOP and CBPA.

Time is of the essence! Comments are due on the formal regulations by May 4. The State Board is scheduled to take action on the package May 5 or 6.


Governor Orders 25% Reduction in Water Use

April 20, 2015

On April 1, 2015 Governor Brown announced the first every statewide water restrictions mandating 25% savings in water from 2013 levels.

The draft regulations implementing this Executive Order have just been released by the State Water Board. The proposed savings requirements vary from district to district. See the link of spreadsheet listing each California district.

The Board is seeking comments on the proposed regulations, and will issue a Notice of Proposed Emergency Rulemaking with any revisions to the regulatory language on April 29, 2015, for public comment and consideration by the Board at its May 5 – 6, 2015 meeting.

To read the Proposed Text of the Draft Emergency Regulations Click Here.

To read the Proposed District Water Savings Spread Sheet Click Here.


State Meetings Announced

April 2 Review of Proposed State Legislation

June 2 – 3 Real Estate Summit

March 27, 2015

April 2 Meeting To Review Proposed State Legislation Impacting Commercial Real Estate

CBPA’s industry-wide Legislative Committee Meeting will be held on April 2, in Century City. NAIOP members are invited to participate. Please CLICK HERE to REGISTER! Meeting materials will be provided upon RSVP.

If you are unable to attend the meeting, but would like to review the proposed legislation, CBPA would like your input. Contact Matthew Hargrove at CBPA to request a list of all proposed legislation.

Commercial Real Estate Summit

The NAIOP State Council will be joining California Business Properties Association (CBPA) in bringing commercial real estate organizations to Sacramento for a two-day Real Estate Summit on June 2 and 3 in Sacramento. NAIOP members are invited to participate in the conference, which will include meetings with State Legislators and key government staff. For more information on this event contact Melissa Stevens at 916-443-4676 or mstevens@cbpa.com.


ALERT! Action Needed

California to Regulate Energy Efficiency in Existing Buildings

March 11, 2015 The California Energy Commission (CEC) has released a report that outlines the agency’s action plan to bring energy efficiency to the existing building stock. If you own an existing building – or lease space in one – this regulation has the potential of impacting you! Please review this document and provide your feedback to NAIOP SoCal’s Director of Legislative Affairs (vickie@talleyassoc.com) and CBPA’s Senior Vice President of Government Affairs Matthew Hargrove (mhargrove@cbpa.com). Also, please pass this along to other interested individuals that can provide feedback to NAIOP and (CBPA). You may also submit comments directly (please copy NAIOP and CBPA!) before April 21, 2015 at the link below. Please CLICK HERE for the draft Existing Buildings Energy Efficiency Action Plan. This plan, required by Assembly Bill 758 (Skinner, Chapter 470, Statutes of 2009), provides a 10-year roadmap to dramatically increase energy efficiency in existing residential, commercial, and public buildings, consistent with Governor Edmund G. Brown Jr.’s goal to double efficiency in California’s existing buildings by 2030. The California Energy Commission will work with the California Public Utilities Commission, other agencies, local governments, and industry stakeholders to achieve the plan objectives. Public workshops will be scheduled for spring and summer, with the first being held April 7, 2015. Stakeholder feedback will be incorporated into a final plan.


Action Items – NAIOP Member Input Needed

February 27, 2015

Proposed Changes to Title 24 Released

The “45-Day Language” – official proposed changes by the California Energy Commission — to Title 24, Part 6 (CA Energy Code) have been released and CBPA and NAIOP are currently trying to analyze the proposal and prepare comments.

If you have experts at your company that can review the proposed regulations and provide feedback that would be helpful. We need feedback on these proposals in the next few weeks. Please send comments to NAIOP SoCal Director of Legislative Affairs Vickie Talley – vickie@talleyassoc.com.

Click here for Proposed 2016 California Energy Efficiency Standards.

AB 1103 Mandatory Benchmarking

CBPA (California Business Properties Association) is participating in workshop held by the California Energy Commission. Their staff is seeking comments regarding proposed changes to regulations for the Nonresidential Building Energy Use Disclosure Program (also known as the AB 1103 Program).

Again, NAIOP members who have had direct experience with implementing AB 1103 are asked to provide input on the proposed regulatory changes. Please pass along your comments to NAIOP SoCal Director of Legislative Affairs Vickie Talley – vickie@talleyassoc.com.

Click here for AB 1103 Proposes Regulatory Changes.


Happy New Year!

January 8, 2015

The Legislative Affairs Committee has prepared an overview of the 2014 Legislative Accomplishments and the 2015 Legislative Priorities.

Click here for 2014 Legislative Accomplishments Click here for 2015 Legislative Priorities


Election Results – Overall Generally Positive

Lots of Wins and a Few Disappointments Locally

November 13, 2014

The good news, first! Of the 18 candidates supported by NAIOP SoCal and listed in our Voter Guide, 17 won! Both of the statewide ballot measures supported by CBPA and NAIOP passed – the Proposition 1 water bond and Proposition 2 the “rainy day” budget fund. Congratulations to Board Member and Co-Chair of the Legislative Committee Justin McCusker on his reelection to the Rancho Santa Margarita Water District. Way to go, Justin!

NAIOP SoCal’s Political Action Committee’s support was instrumental in helping Orange County Republicans take seats formerly held by Democrats. Orange County Supervisor Janet Nguyen soundly defeated her Democratic opponent for Senate and succeeded in converting a Dem seat to a Rep seat in central Orange County. In northern Orange County Republican Young Kim defeated one-term incumbent Democrat Assembly Member Sharon Quirk-Silva. In another upset in South Bay Los Angeles, Republican challenger David Hadley defeated another one-term Democratic incumbent, Al Muratsuchi. All this added up to help derail a Democratic super majority in the state legislature – a very important outcome of the election.

In Newport Beach NAIOP supported the adoption of the General Plan amendment, which was turned down by the voters. NAIOP opposed elections by district in Anaheim, which was passed by the voters. Voters in Santa Monica rejected the increase in the transfer tax, which was opposed by NAIOP. Santa Monica voters passed a requirement to have some types of future development approved by voters – also opposed by NAIOP.

For the final election results go to the following links:

California Secretary of State Los Angeles County Registrar of Voters Orange County Registrar of Voters


VOTER GUIDE Available Here Please Vote November 4 Every Vote Counts!

October 23, 2014

NAIOP SoCal’s political action committee has been actively engaged in meeting with candidates and contributing to candidates and issues this election season.

If you have a question about a race that is not featured on the Voter Guild, please call Director of Legislative Affairs Vickie Talley at 949-380-3300.

High priority races this election include the central Orange County race for California Senate and “super majority” Democratic control of the Senate. Republican County Supervisor Janet Nguyen is facing off against former Democratic Assemblyman Jose Solorio. When in the Assembly, Solorio supported anti-business legislation that was strongly opposed by CBPA and NAIOP.

Other important votes include a state wide water bond issue, Proposition I, which is supported by NAIOP and is, again, critically important to commercial real estate and all of California. Please vote YES on Proposition I!

Please feel free to share the NAIOP SoCal Voter Guide.

Every vote counts – yours, your families, and your business associates.

Thank you for voting November 4.


Final Day For Governor to Sign or Veto Bills Thank You For Your Calls and Letters!

Some Good News and Some Bad News!

September 30, 2014

The Legislative Affairs Committee and California Business Properties Association (CBPA) thanks NAIOP SoCal members who sent letters to the Governor urging him to veto of AB 1897 (wage and hour obligations for contract employees), and for communicating with legislators via phone and letters our industry’s objection to AB 2416 (wage lien bill).

 Your calls and letters worked on AB 2416 and the bill was defeated! Thank you!

 NAIOP and CBPA spent the past month vigorously urging a veto of AB 1897, but unfortunately, the Governor did sign the bill into law. The bill forces one company to essentially insure the wage and hour obligations, and workers’ compensation coverage, of a separate employer’s employees, which will discourage the use of contractors and their employees. AB 1897 holds an innocent business liable for the employment obligations of another employer and will create significant litigation, even though there are adequate protections that already exist for documented problems with contracting. It is probably advisable to have your legal counsel review how this bill could impact your business.

 On the positive side, another closely watched bill, AB 2565, was signed by the Governor. This bill requires commercial and residential property owners to approve installation of an electric vehicle charging station by renters, so long as the station meets certain requirements and the renter covers the costs.

Commercial Real Estate groups spent a lot of time and effort working on AB 2565 and went from vociferously opposing the measure as it initially mandated that all commercial properties across the state install EV Chargers, to supporting the measure after it was significantly changed and all of our language requests were accepted by the author.

 


AB 2416 Lien Bill Defeated!

Now, we need your help to VETO 1897 – TODAY!

September 22, 2014

Thank you to all NAIOP SoCal members who took the time to call and write your legislator to urge them to NOT to support AB 2416. – the unfair lien bill. It worked! Along with our grass roots lobbying and CBPA’s tireless efforts, the bill was NOT passed!

Letters to Governor Needed Now Asking for VETO of AB 1897

Now, we need to ask for your help asking the Governor to VETO AB 1897. This bill forces one company to essentially insure the wage and hour obligations and workers’ compensation coverage, of a separate employer’s employees, which will discourage the use of contractors and their employees.

AB 1897 holds an innocent business liable for the employment obligations of another employer and will create significant litigation. We believe that adequate protections already exist for documented problems with contracting. We are strongly urging a veto fro Governor Brown. He has until the end of the month to either sign or veto bills. So, time, is of the essence. CBPA has already met with the Governor’s high ranking staff on this issue and now we need all NAIOP SoCal members to weigh in by writing a letter to ask that he veto the bill. We urge you to send (snail mail – not email or fax!) a letter to the Governor. Click Here for a Sample Letter. Thank you. Your efforts do make a difference.


ALERT! Contact your Senators Now!

Update on AB 2416 Unfair Lien Bill

August 21, 2014

The bill has passed the Senate Appropriations Committee and will be heard on the Senate Floor this week.

We need everyone to call or write (Click Here for Sample Letter) to our Orange County and Los Angeles County Senators. This is the same list as previously provided, but now the issue is on the Floor and it is critical to call them today.

The message is: I am calling to urge Senator __________ to oppose AB 2416 (Stone) Liens: Laborers and Employees. If you have someone actually answer the phone, have the talking points from the Sample Letter ready to outline the reasons.

A list of the Senators in the NAIOP So Cal region that members need to contact are below.

Senator Dr. Ed Hernandez, O.C. Senate District 24 State Capitol, Room 2080 Sacramento, CA 95814 Phone (916) 651-4024 FAX (916) 651-4924 Senator Ted W. Lieu Senate District 28 State Capitol, Room 4016 Sacramento, CA 95814 Phone (916) 651-4028 FAX (916) 651-4928 Senator Richard D. Roth Senate District 31 State Capitol, Room 4034 Sacramento, CA 95814 Phone (916) 651-4031 FAX (916) 651-4931 Senator Norma J. Torres Senate District 32 State Capitol, Room 4048 Sacramento, CA 95814 Phone (916) 651-4032 FAX (916) 651-4932 Senator Lou Correa Senate District 34 State Capitol, Room 5061 Sacramento, CA 95814 Phone (916) 651-4034 FAX (916) 651-4934


ALERT!

ACTION Needed Now to Kill Bad Bill!  NO on AB 2416

July 29, 2014 NAIOP is fighting along with California Business Properties Association (CBPA) and the California Chamber of Commerce to kill AB 2416 as a number one priority this legislative session.  We need your help in contacting key legislators within the next few weeks asking them to not support this bill. We don’t ask often for you to take the time to contact legislators, and when we do, it means that we really need your help!  We need you to contact five Senators within the next few days.  Read on for more information.  Thank you! Information on AB 2416 AB 2416 would permit employees to record liens against any of the employer’s property located within California for alleged unpaid wages.  This bill has to be killed in the Senate and we need every NAIOP member to help by calling and or emailing the legislators listed below to urge them to not support the bill. For the full text of the bill Click Here.  For a Quick Summary of the bill Click Here. We asked Board Member and NAIOP State Council Chairman Jim Camp to provide what this bill will do.  Here is his simple outline of the impacts of this proposed legislation and how it would work:

  • Office building owner hires a property manager to manage an office building
  • Property manager hires a janitorial company to clean the office building
  • Janitorial company hires “Tom Smith” to be a janitor for this building/client
  • Tom Smith gets into an overtime wage dispute with his employer, the janitorial company
  • Instead of dealing with this labor dispute via State and Federal labor laws, which already cover this issue, Tom Smith files a lien on the property owner’s office building under AB 2416
  • Neither the property management company nor the office building owner have any contractual or personal relationship with Tom Smith and will have no idea that a wage dispute is brewing
  • Once a lien is filed, it will take months to remove and thousands of dollars in legal fees.
  • At the end of the day, the office building owner has been dragged into a dispute between the janitorial company and the janitor and the only way to resolve it is for the office building owner to write a check to pay off the janitor.  The alternative is to pay even more money in legal fees to fight this nuisance claim.

Proponents of AB 2415 say that it is just like a Mechanics Lien.  It is not!  Click Here to see a comparison chart between a Mechanics Lien and AB 2416.  It shows why a “pre-judgemental” lien in the bill is so bad for your property. Action Needed Within Next Few Days Please!  – Three Options A list of the Senators in the NAIOP So Cal region that members need to contact are below. Option One – Send a Letter NAIOP So Cal is on record opposing this bill and has sent letters to each of the Senators.  Click Here to see a sample copy of the letter sent to legislators urging them to oppose AB 2014.  You may copy the text of this letter, modify the introduction and put it on your letterhead and fax and mail to the following Senators. Option Two – Call the Senators and Leave a Message You may call the Senators’ offices and leave a message saying you are opposed to AB 2014. Option Three – Send –Email Message You may go on line to the Senators’ websites and send an e-mail.  The email is limited to 200 words, so, be sure to indicate OPPOSE 2014 and then provide reasons why. Here are the five Senators to contact in our region – go to http://senate.ca.gov/senators to connect to each Senator’s website and email form or mail and fax your letter.  All information is provided. Senator Dr. Ed Hernandez, O.C. Senate District 24 State Capitol, Room 2080 Sacramento, CA 95814 Phone         (916) 651-4024 FAX            (916) 651-4924 Senator Ted W. Lieu Senate District 28 State Capitol, Room 4016 Sacramento, CA 95814 Phone         (916) 651-4028 FAX            (916) 651-4928 Senator Richard D. Roth Senate District 31 State Capitol, Room 4034 Sacramento, CA 95814 Phone         (916) 651-4031 FAX            (916) 651-4931 Senator Norma J. Torres Senate District 32 State Capitol, Room 4048 Sacramento, CA 95814 Phone         (916) 651-4032 FAX            (916) 651-4932 Senator Lou Correa Senate District 34 State Capitol, Room 5061 Sacramento, CA 95814 Phone         (916) 651-4034 FAX            (916) 651-4934


Unfair Lien and Labor Bills

July 15, 2014

Two labor-backed bills that could place pull your business into labor disputes that you have nothing to do with, will be considered when the Legislature comes back in August.  We oppose both bills and are strongly urging all of our members to get engaged locally on these measures.  Make sure your members know about them and reach out to local legislative offices to explain how they would impact your operations.

AB 2416 (Stone; D-Scotts Valley) Unproven Wage Liens.  This bill creates a dangerous and unfair precedent in the wage and hour arena by allowing employees to file liens on an employer’s real or personal property, or property where work was performed, based upon alleged yet unproven wage claims.

AB 1897 (Hernandez; D-West Covina) Labor Contracting; Client Liability.  This bill would force one company to essentially insure the wage and hour obligations, workers’ compensation coverage, and occupational health and safety duties of a separate employer’s employees, which will discourage the use of contractors and their employees. The CalChamber has identified both bills as “Job Killers,” and a large coalition of business groups are marshalling forces in Sacramento to educate legislators about negative impacts of these bills.  But we need your help locally.


NOTICE!

California Workers’ Compensation Reporting Changes Proposed – Property Management and Leasing 45 Day Comment Period Open

July 3, 2014

The WCIRB (Workers’ Compensation Insurance Rating Bureau of California) has notified our industry that proposed changes to one or more classifications contained in the California Workers’ Compensation Uniform Statistical Reporting Plan–1995 that apply to employers in the property management and leasing industry and that the proposed changes had been included in a Regulatory Filing that was submitted to the Insurance Commissioner for review and approval effective January 1, 2015.

Pursuant to this Filing, the Insurance Commissioner has established a 45 day period for public comment concerning any and all proposed changes. A link to the Notice of Proposed Action and Notice of Public Comment is shown below. http://www.wcirb.com/sites/default/files/documents/2015_01_01_notice.pdf For access to the January 1, 2015 Regulatory Filing and related documents, please use the following link. http://www.wcirb.com/content/january-1-2015-regulatory-and-pure-premium-rate-filing If you have questions regarding this matter, please contact Brian Perez, Associate Analyst, Classifcation and Test Audit Department, WCIRB California at bperez@wcirb.com or by telephone at 415-778-7252.


Change of Ownership Compromise Passes Assembly

June 4, 2014

As you know, CBPA, the CalChamber, and several other business groups were able to work out an historic agreement to update some of Prop 13’s implementing statutes to address the appearance of “gaming” the system regarding when commercial property is reassessed due to a change of ownership. The bill, AB 2372, passed the Assembly and will now go to the Senate. Lawyers from many of our members were involved in the compromise to make sure the language only addressed the narrow area we are trying to fix and assure the legitimate protections that Prop. 13 was meant to provide are protected.

To read the press release from the authors of AB 2372 click here.


NAIOP SoCAL VOTER GUIDE: Remember to Vote Tuesday, June 3, 2014!

May 27, 2014

The NAIOP SoCal Political Action Committee has prepared the following recommendations on key offices in our region.  Every vote counts!  Please feel free to forward these recommendations to your business associates, friends and family.  This is an open primary and the top two candidates receiving the most votes will appear on the November Election General Ballot.

Federal – United States Representative District 39 – Ed Royce District 45 – Mimi Walters District 48 – Dana Rohrabacher District 49 – Darrell Issa State Executive Offices Secretary of State – Alex Padilla Treasurer – John Chiang Los Angeles County State Representatives Senate District 18 – Bob Hertzberg Senate District 26 – Ben Allen Senate District 41 – Chris Holden Assembly District 50 – Bradley S. Torgan Assembly District 54 – Sebastian Mark Ridley-Thomas Orange County State Representatives Senate District 34 – Janet Nguyen Senate District 36 – Patricia C. “Pat” Bates Assembly District 55 – Ling-Ling Chang Assembly District 65 – Young Kim Assembly District 68 – Donald P. “Don” Wagner Assembly District 69 – Tom Daly Assembly District 72 – Travis Allen Assembly District 74 – Keith D. Curry Orange County Board of Supervisors District 4 – Shawn Nelson Assessor – Webster Guillory Clerk Recorder – Hugh Nguyen District Attorney – Tony Rackauckas Treasurer-Tax Collector – Sheri Freidenrich Sheriff-Coroner – Sandra Hutchens


Agreement Reached on Prop 13 Change of Ownership

May 21, 2014 A historic agreement has been reached in AB 2372 that will close what some Split Roll property tax proponents have called a “loophole” that allows a change of ownership without reassessment under Proposition 13 when none of the purchasers acquires more than a 50% interest when a property is sold.  NAIOP’s Sacramento representative California Business Properties Association and other business stakeholders reached consensus on bill and will be monitoring it closely to make sure that NAIOP members and commercial real estate continues to be protected under Proposition 13. To read the press release from AB 2372 authors click here To ready what Howard Jarvis Taxpayers Association says about the bill click here


Split Roll Parcel Tax Bill Moves To Senate Vote

Contact Your Senator Now!

April 14, 2014 SB 1021 (Wolk: D-Davis) passed the Senate Governance and Finance Committee — over our strong objections – on a 5-2, party-line vote with the Democrats supporting the measure. The bill now moves directly to the Senate floor, where it will only take a majority vote (21 votes) to pass. There currently are 25 Democrats in the Senate, so our SB 1021 coalitions will be meeting with as many legislators as possible to educate them about the ill effects of SB 1021. We are asking that all NAIOP members contact their Senators and let them know that higher property taxes on commercial real estate will have a negative impact on the local and state economy.  Click here to contact your Senator. Click here to read the business Coalition letter opposing SB 1021. SB 1021 would authorize more than 1,000 California school districts to impose unlimited tax increases on select property owners by allowing the imposition of nonuniform parcel taxes, further complicating an already complex tax regime. School districts could split parcel tax assessments within a district based on one or more of the following rates: a flat amount, the square footage of a parcel, the square footage of improvements on a parcel, or according to the property’s classification – commercial, industrial, single-family residential or multifamily residential – so long as the same tax rate is levied on all properties within the same classification. Aside from the creation of a split roll on parcel taxes, residential taxpayers would lose their federal income tax deduction for nonuniform parcel taxes.


OC Board Chairman Nelson Meeting

April 8, 2014 Orange County Board of Supervisors Chairman Shawn Nelson will be visiting with the Legislative Affairs Committee at its Thursday, April 17 at 1:15 p.m. NAIOP members are invited to participate in the meeting where the discussion will focus on South Coast Air Quality Management District (SCAQMD) issues. Chairman Nelson serves on the SCAQMD Board along with various other Boards and Commissions. To view his complete biography and list of appointments, please visit: http://ocgov.com/gov/bos/4/bio. NAIOP SoCal members interested in attending need to RSVP as space is limited. Please contact Vickie Talley, Director of Legislative Affairs or call (949) 380-3300 for additional details and to RSVP.


Aliso Viejo Rejects Art Fee – Victory for Commercial Real Estate

April 3, 2014 At the April 2, 2014 City Council meeting NAIOP SoCal and other business leaders objected to the proposed Art in Public Places Fee. The council listened and voted 4 to 1 to not adopt the proposed fee. Councilwoman Carmen Cave was the only council member supporting the idea.


City of Aliso Viejo Considering In Lieu Fees for Art In Public Places

March 18, 2014 The City is proposing to adopt an Art in Public Place Program which would add new fees to new commercial construction valued at $1 million or more.  It would also require fees to be paid on any interior and/or exterior remodeling, modifications, repair, reconstruction, and/or addition of existing non-residential property valued at $1 million or more. The cost or value of the art work shall be a minimum amount of at least one percent (1%) of the construction project value.  In lieu of acquiring and installing a visual art piece, a fee equal to 1% of the total project construction valuation will be charged.  See the complete ordinance by clicking here. If you are developing or own property in Aliso Viejo, contact Vickie Talley, Director of Legislative Affairs or call (949) 380-3300 to find out how to take action to prevent the adoption of this ordinance.


House Ways and Means Committee Chairman Dave Camp (R-Mich.) introduced a tax reform proposal

February 28, 2014 Although we don’t expect legislation to pass until after the fall midterm elections, this proposal lays the groundwork for reform in years to come. That’s why it’s critical that NAIOP remain involved. Be assured that we have a seat at the table, representing our industry and ensuring that legislators understand the critical importance of commercial real estate to a healthy economy. Below is a statement from NAIOP, shared with the media on Friday morning.

“We welcome Chairman Camp’s proposal to fundamentally reform the tax system, and we look forward to studying the plan more carefully in the days to come. At first glance, our reaction is that some provisions are encouraging, while others are troubling. We view this as the beginning of an important discussion for our country and for our economy, and we stand ready to provide our guidance so America’s commercial real estate sector can continue to grow and create jobs.

Commercial real estate development continues to be a driving factor in our economy, accounting for millions of American jobs and hundreds of billions of dollars in new investment and growth in every community across our nation. Commercial real estate is an inherent part of our culture – it’s where we work, shop and play. In short, a strong commercial real estate industry is critical for a strong America.

Tax reform that simplifies the code while continuing to incentivize investment could be very positive, yet we are concerned with proposed changes that would lengthen the time to depreciate real estate assets beyond their useful economic lives, since we believe it would create disincentives to needed investment in real estate. Likewise, there are other changes that may lead to a reduction in capital available for development, which would lead to fewer jobs and stagnate growth.

Despite these concerns, we applaud Chairman Camp for his tireless work to bring a fairer and simpler tax code to our country, and we look forward to working with him, Members of Congress and the Administration on this important issue.”