• Established in 1972 · CBPA has over four decades of service to the commercial industrial retail real estate industry
  • ASSEMBLY REJECTS PLAN TO EXTEND CAP-AND-TRADE

    Posted: June 2, 2017 | Posted by CBPA | No Comments

    In a stunning vote, especially since it was on the same day that President Trump announced that the U.S. would not participate in the Paris Climate Agreement a divided Democrat Caucus failed to move forward a key Climate Change bill related to re-authorizing California’s own rules:

    Above and beyond just extending the state’s current cap-and-trade program focused on carbon emissions beyond 2020, AB 378 (Garcia D) also expanded the program to include new restriction on air pollutants and potential limits on industrial facilities. Business groups strongly opposed the expansion of the program, as did the Republican Caucus and the Moderate Democrat Caucus, who hung together to reject the bill.

    In an unusual move, the vote tally was held open for almost 45 minutes as legislative leaders tried to pry the Mods apart and get them to support the measure.  Additional votes never materialized and the bill died on a final vote of 34 ayes and 39 noes.

    The fight, however, is far from over.  The Governor and Legislative Leaders have placed a very high priority on re-authorizing cap-and-trade and its expected a late session push will happen in August and/or September.

    We are asked a lot about why the commercial real estate industry cares so much about this issue as it is seen as something that primarily impacts industrial facilities and trucking.  Its about much more than that and ultimately impacts every one of your buildings through higher energy costs (electrical, natural gas, and gasoline) and is driving the extremely strict building codes that are driving up the costs of your new construction and tenant improvements.

    This article by our friends John Gamboa and Jennifer Hernandez is one of the most enlightening articles you can read on this topic and we highly recommend it to you. Click here to read the full article.



    What Do You Think. Please Leave a Comment.


    There are no comments yet, please leave one.