CALIFORNIA BUSINESS PROPERTIES ASSOCIATION (CBPA)
CBPA is the designated legislative advocate for the International Council of Shopping Centers (ICSC), NAIOP of California, the Commercial Real Estate Developers Association (NAIOP), the Building Owners and Managers Association of California (BOMA), the Retail Industry Leaders Association (RILA), the Institute of Real Estate Management (IREM), the Association of Commercial Real Estate – Northern and Southern California (ACRE), the National Association of Real Estate Investment Trusts (NAREIT), AIR Commercial Real Estate Association, the California Association for Local Economic Development (CALED), and the California Downtown Association (CDA). CBPA currently represents over 10,000 members, making it the largest consortium of commercial real estate professionals in California.
CALIFORNIA COMMERCIAL REAL ESTATE SUMMIT & ANNUAL MEETING: June 13-14
2016 YEAR-END WRAP-UP & SUCCESSES
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.
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.
Click here to read the full list.
STRATEGIC ISSUES CONFERENCE PRESENTATIONS
The 2015 Strategic Issues Conference was a great success with over 100 top leaders from our industry, conversing with members of the Assembly Moderate Caucus, a former California Governor, and foremost experts on politics and policy in the State of California. In order to keep our membership more informed about the policy discussion, below are links to panelists’ presentations. We’re sure you will appreciate their insight and commentary on the current legislative climate.
SB 350 Fight Reveals Potential For Blunting California’s “Unstoppable” Regulatory Zeal
John Husing, Ph.D.
Economics & Politics, Inc.
SB 350/SB 32
Holland & Knight, LLP
Governor Brown’s Transportation Funding Plan
California State Transportation Agency (CalSTA)
AD OPPOSING SPLIT-ROLL PROPERTY TAX RELEASED
CA Business Roundtable has released an online ad to educate voters about the truth behind special interests’ attempts to raise more than $9 billion in new taxes and cost the state as many as 400,000 jobs by overturning Prop. 13.
HIME HONORED FOR 30 YEARS OF SERVICE
Last week at the Industry Awards Dinner, several leading figures in the commercial real estate industry surprised Rex Hime by recognizing his 30th Anniversary at the helm of CBPA.
A visibly touched Hime welled-up as family appeared seemingly out of nowhere, and he was presented with a Joint Resolution from the State Senate Leaders Darrell Steinberg (D-Sacramento) and Bob Huff (R-Diamond Bar) honoring his work, as well as a custom made Hawaiian shirt, which has become his trademark over the years.
INDUSTRY LEADERS RECOGNIZED
As part of the regularly scheduled program several industry leaders were recognized: Champion of the Industry Awards went to the Segerstrom family of South Coast Plaza, for their accomplishments in the retail development field; to Bob Voit, Founder & CEO, of Voit Real Estate Services for their accomplishments in the office development field; to CBRE for their accomplishments in the service development field and to ReNewAll and IBEW 11/NECA Los Angeles/LMCC for their accomplishments in energy efficiency.
Two companies also received major recognition for their dedication and commitment to community service and the commercial real estate industry. Don Wright, CEO of Property Development Centers and Senior Vice President of Real Estate & Engineering of Safeway Inc., accepted the John Caldecott Memorial Award on behalf of Safeway for their community charitable actions.
And Tejon Ranch was awarded the Ernest W. Hahn Memorial Award for Legislative Affairs for their ongoing service to the commercial real estate industry. There to accept the award was Eileen Reynolds, VP of Government Affairs and Greg Bielli, Tejon Ranch President and CEO.
The bi-annual Industry Awards Dinner recognizes the unwavering leadership of individuals and companies dedicated to the commercial industrial retail real estate industry. Over 200 attendees enjoyed the evening in Orange County.
Click here to see the event program.
Split-Roll Property Tax Study
A study that examines the potential economic impact of a split-roll property tax, taking into account how a split roll would affect the behavior of individuals and businesses who own commercial property, has been completed and distributed to policymakers in California. Click here to read the study entitled The Economic Effects of California Adopting a Split Roll Property Tax.
CBPA serves on the executive committee for Californians to Stop Higher Property Taxes, a recently formed coalition of business and taxpayer groups with a mission to educate the public and policymakers about the devastating impacts of higher property taxes. Although higher property taxes are very unpopular and voters have rejected them time and again, some policymakers and advocacy groups often push the issue as a way to raise additional tax revenue.
The study shows that such proposals for property tax increases will only hurt California consumers, seniors and taxpayers, and further damage our state’s struggling economy.