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  • Archive for September 4th, 2015

    Sep 4

    CLIMATE BILL MAY CHILL NEW INFRASTRUCTURE

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    A pitched battle is happening in the Legislature over SB 32 (Pavley; D-Agoura Hills) which will Slow Economic Growth — Increase costs for California businesses, makes them less competitive — and discourage economic growth.  The bill requires California to adopt further greenhouse gas emission reductions for 2030 and 2050 without regard to the impact on individuals, jobs and the economy. We oppose the bill and are doing our best to explain to policy makers why such a stretch goal is not good for the state.

    Today in a San Diego Union Tribune column, Steven Greenhut lays out the concerns:  Gov. Jerry Brown and the Legislature are wrangling over a new transportation plan to help the state meet its growing population, with the differences centering on whether to raise taxes — or focus on reforming the existing transportation bureaucracy — to assure projects aren’t delayed. That’s the hot Capitol debate these days.  Click here to read the full story.

    Sep 4

    GOVERNOR SIGNS SUCCESSOR EMPLOYER BILL – GROCERY LEASES

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    ***Important*** If you currently lease, or plan on leasing to grocery stores, this bill may impact you.  You are advised to understand its provisions and/or consult legal counsel to make sure know its impacts on your property.

    AB 359 (Gonzalez D) requires any successor grocery employer to retain employees of the former grocery employer for 90 days and continue to offer continued employment unless the employees’ performance during the 90-day period was unsatisfactory.  Position:  OPPOSE.  This bill has been signed into law.

    Without getting into the details, the law requires the employees of a grocery store that has vacated a space be considered for employment by any grocery store that moves into that space.  For us, I think this has obvious leasing implications… and much less obvious Labor Relations implications.

    Governor’s Signature Message: To the Members of the California State Assembly: I am signing Assembly Bill 359, which would require a successor grocery employer to retain eligible grocery workers for a 90-day transitional period and, upon completion of that period, require the successor grocery employer to consider offering continued employment to those workers. As drafted, the bill is not clear how the provisions apply if an incumbent grocery employer has ceased operations. The author and sponsors have committed to clarify that the law would not apply to a grocery store that has ceased operations for six months or more. I look forward to receiving that fix before the end of this legislative session. Sincerely, GOVERNOR EDMUND G. BROWN JR.

    That bill to “clean up” AB 359 has already been introduced.  That bill is AB 897 (Gonzales)

    Again, if you currently lease, or plan on leasing to grocery stores, this bill may impact you and you are advised to consult legal counsel to make sure you know how it impacts leasing on your property.

    Sep 4

    DEFIBRILLATOR REFORM BILL SIGNED

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    SB 658 (Hill; D-San Mateo) which reforms the state’s AED liability statues has been signed into law by the Governor.  We support this bill.  SB 287 (Hueso; D-San Diego) which would require AEDs in most new construction is on the Governor’s desk awaiting action.

    Because of the life-saving potential of AEDs and their proven efficacy, our industry has been working to increase accessibility of these devices in public places where cardiac arrest may be a significant risk.  Many of our members currently have them installed in their buildings and many more members have asked for reform of the statute that is now close at hand.

    SB 658 has gone through all committees in both Houses, passed the Assembly Floor 75-0, and is now awaiting action on the Governor’s Desk. The bill reforms some of the statutory requirements that companies need to fulfill in order to receive limited liability protections for installing AED’s.

    SB 287 is the AED bill that initially gave us pause as it was a broad mandate to install AEDs.  This bill was the focus of lengthy discussions at board meetings and legislative gatherings.  As initially written, the bill had some flaws that would have made compliance very difficult.  And although we did not relish being pushed into a position of having to oppose an AED bill, we had to in order to get changes to the measure that we had requested, but were not adopted.

    We also could not even start the conversation on any type of mandate without assuring that we got some type of reform of the current statute as represented in SB 658, so timing was key, and working to assure SB 658 moved forward was a priority.

    Through many discussions with the author on SB 287 and support from several other like-minded business groups, we were able to negotiate amendments that addressed many of our operational issues and opposition to the bill has evaporated with the business coalition and CBPA on behalf of commercial real estate has taken a position in support. The bill is  awaiting Concurrence and we expect it to go to the Governor next week.

    SB 287 (Hueso) AED Mandate on Certain New Construction

    The bill, if signed into law, will require installation of AED’s in certain commercial buildings with max occupancies of 200 or more that are constructed and occupied on or after January 1, 2017.  This will ensure that more employees, tenants, and guests will have access to these devices when needed.

    Thank you to everyone that has provided help and assistance working on these bills.  We think this represents the best possible outcome we could have hoped for this year.

    Sep 4

    JOB KILLER STATUS

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    Although we take every opportunity to find bills that we support, it seems that much of our time is spent pushing back and opposing bills that would make the business climate in California even more difficult.  We work closely with the California Chamber and other business groups to try to fix or defeat these measures.  Here are the bills that we are tracking that are still moving and are also on the CalChamber’s Job Killer list:

    SB 406 (Jackson; D–Santa Barbara) Significant Expansion of California Family Rights Act — Increases costs, risk of litigation and less conformity with federal law by dramatically reducing the employee threshold from 50 to at least 25 employees and expanding the family members for whom leave may be taken, which will provide a California-only, separate 12 week protected leave of absence for both small and large employers to administer. Position:  OPPOSE.  Status:  Assembly Floor.

    Increased Fuel Costs

    SB 350 (de León; D-Los Angeles) Costly and Burdensome Regulations — Potentially increases costs and burdens on all Californians by mandating an arbitrary and unrealistic reduction of petroleum use by 50%, increasing the current Renewable Portfolio Standard to 50% and increasing energy efficiency in existing buildings by 50% — all by 2030 without regard to the impact on individuals, jobs and the economy. Position:  OPPOSE.  Status:  Assembly Floor.

    SCA 5 (Hancock; D-Berkeley)/(Mitchell; D-Los Angeles) Split Roll Property Tax — Undermines the protections of Proposition 13 by unfairly targeting commercial property owners and increasing their property taxes by assessing their property based upon current fair market value instead of acquired value. Such costs will ultimately be passed on to consumers and tenants through higher prices and will result in job loss as businesses struggle to absorb such a dramatic tax increase. Position: OPPOSE.  Status:  in Senate Governance and Finance Committee; no hearing date set.

    Increased Burdensome Environmental Regulation

    SB 32 (Pavley; D-Agoura Hills) Slows Economic Growth — Increases costs for California businesses, makes them less competitive and discourages economic growth by adopting further greenhouse gas emission reductions for 2030 and 2050 without regard to the impact on individuals, jobs and the economy. Position: OPPOSE.  Status:  On Assembly Floor.

    SB 654 (de León; D-Los Angeles) Creates Unworkable Hazardous Waste Permitting Process — Discourages investment in upgrading and improving hazardous waste facilities by shutting down hazardous waste facilities if the Department of Toxic Substances Control fails to take final action on the permit renewal application within a specified timeframe, even if the permit applicant acted diligently and in good faith throughout the permit application process. Position: OPPOSE.  Status:  On Assembly Floor.

    Increased Unnecessary Litigation Costs

    AB 465 (Hernández; D-West Covina) Increased Litigation —  Significantly drives up litigation costs for all California employers as well as increases pressure on the already-overburdened judicial system by precluding mandatory employment arbitration agreements, which is likely pre-empted by the Federal Arbitration Act. Senate Floor. Position: OPPOSE.  Status: GOVERNOR’S DESK.

    Sep 4

    ADA BILL SENT TO GOVERNOR

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    Our sponsored reforming an important portion of ADA law relating to the CASP certification, AB 1342 (Steinorth; R-Rancho Cucamonga) has passed the Legislature and is on the Governor’s desk.  This bill will make it easier for you to find a Certified Access Specialist (CASp) by requiring the State Architect to provide information on their website to easily locate one operating in proximity to your building.

    Sep 4

    ADA BILL ADVANCES

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    SB 251 (Roth; D-Riverside) Civil Rights; Disability Access, a bill that we strenuously SUPPORT continues to move.  Among other reforms, this bill enacts a tax credit for businesses that make accessibility improvements.  The bill unanimously passed the Assembly Revenue and Taxation Committee and has also been passed by Assembly Appropriations.  The bill is currently awaiting action on the Assembly Floor.

    Senator Roth has faced a lot of adversity as he has worked on this bill and has faced some unfair criticism from critics of reform.  We thank him for his resolve to address this issue in a bipartisan and level-headed manner.

    Click here for press coverage of SB 251.

    Sep 4

    MANDATORY BENCHMARKING LAW POTENTIAL FIX

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    As part of late breaking discussion on a bill relating to energy efficiency, we are currently working on a potential deal that would re-write the AB 1103 Mandatory Benchmarking Law.  Many in the commercial real estate industry have found the benchmarking law to be cumbersome and expensive to undertake on multi-tenanted buildings.  The law also forces properties to benchmark event when a building has been vacant and a benchmark would not produce particularly helpful information.   Under the framework of language, benchmarking would still be mandatory in California, however, time-of-sale/lease triggers would be removed and the Energy Commission would have more flexibility to promulgate regulations across the different building types that make more sense than a mandate on “all buildings.”  Keep your fingers crossed.

     

     

    Sep 4

    CBPA 2015 CALENDAR

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    November 5 – 6, 2015

    Strategic Issues Conference

    Thunder Valley Resort and Casino, Lincoln, CA

    **2016**

    February 17, 2016

    CBPA Winter Board Meeting

    CalChamber, Sacramento

    March 17, 2016 (t)

    CBPA’s Industry-Wide Legislative Committee Meeting

    Southern California

    June 7 – 8, 2016

    California Commercial Real Estate Summit

    & Annual Meeting

    CalChamber, Sacramento

    October 20, 2016

    CBPA Industry Awards Dinner

    Fairmont Hotel Newport Beach

    For more information on any of our events, please contact Melissa Stevens at 916-443-4676 or mstevens@cbpa.com.