- HAPPY NEW YEAR!
- GOVERNOR NEWSOM RELEASES SECOND BUDGET
- NEW EMPLOYMENT LAWS
- SPLIT ROLL UPDATE FOR JANUARY!
- HOW CAN I HELP FIGHT SPLIT ROLL?
- CBPA 2020 CALENDAR
HAPPY NEW YEAR!
Welcome back and Happy New Year! We look forward to serving the commercial, industrial, and retail real estate association in 2020 and beyond.
Our industry has some very big challenges ahead including an extremely lopsided partisan divide in the Legislature and a split roll property tax initiative on the ballot in November.
We wish the political and policy road didn’t appear so bumpy, but we are already doing battle on your behalf and look forward to working with all our members to smooth it out as much as possible!
GOVERNOR NEWSOM RELEASES SECOND BUDGET
In a busy week, just days after the Legislature returning from the holidays, Governor Newsom released his second proposed spending blue print, the 2020-21 state budget proposal.
Governor Newsom released this statement along with the largest spending plan ever proposed for a State:
“California’s economic growth has fueled the nation’s economy. As 2020 begins, California’s economy is the strongest in the nation and the fifth largest in the world. We’re eliminating debts, paying down pension liabilities, growing our reserve funds – the largest ever at $21 billion – and one out of every seven new U.S. jobs is in California,” said Governor Newsom.
“Despite the progress we’ve made, there are deep, structural challenges that threaten our state’s future and demand our urgent attention. These problems – our widespread affordability crisis, expanding homelessness crisis and catastrophic wildfires – have been decades in the making and won’t be fixed overnight. California is doing more than ever to tackle these challenges and this budget builds on that work with new investments and ideas to take on these longstanding issues.”
The spending plan adds to the rainy day fund while expanding spending in many areas.
Last year a lot of effort was put into funding affordable housing and addressing homeless issues. This continues this year in that the budget has proposed more than $1 billion to continue those efforts.
In an effort to house the many unsheltered individuals living in California, the Governor is launching the California Access to Housing and Services Fund with a $750 million initial investment. This Fund will create a structure for developing affordable housing units, supplementing and augmenting rental subsidies, and stabilizing board and care homes.
There will be many opportunities to argue about the state’s spending priorities but for now we want to thank the Governor for growing the state’s reserve funds for the second year in a row – to $21B -- including funds to pay down state debt, keep up with pension obligations, and provide some much-needed one-time infrastructure expenditures.
Click here to see the full press release and summaries of all major budget initiatives.
NEW EMPLOYMENT LAWS
On January 1, hundreds of new laws came into effect. Our friends at Cox, Castle & Nicholson have provided some information on the high priority laws that our industry should be immediately aware of. Many of these have been covered in past eWeeklys, but we are providing again because its so important your business know about these new laws and get into compliance.
Click here to read the list which covers everything from the new Independent Contractor law you have read so much about, to new Lactation in the Workplace accommodation requirements.
SPLIT ROLL UPDATE FOR JANUARY!
Just a quick update to bring you up to speed on where we are with the split roll property tax battle. The bottom line is that there is an $11B tax increase on the November ballot focused solely on the commercial real estate industry – you!
The proponents of a split roll property tax measure that qualified for the November 2020 statewide ballot acknowledged the significant flaws in their original measure and filed a new measure. They are out gathering signatures now and are spending lots of money to assure it qualifies for this November’s ballot.
Although the measure has repeatedly received less than 50 percent support in statewide surveys, providing a clear indication that voters in this state do now want to repeal Proposition 13, the proponents plan on spending over $50 million to convince voters otherwise.
“For decades, these same special interests have attempted to erode Proposition 13’s protections,” said Rex Hime, President and CEO of the California Business Properties Association and co-chair of Californians to Stop Higher Property Taxes. “This last-ditch attempt to tinker with the details is like rearranging the chairs on the deck of the Titanic. No matter how you shuffle, dismantling Proposition 13 will result in disaster for California families, workers and the economy.”
Californians to Stop Higher Property Taxes, a coalition of businesses, taxpayers, homeowners and renters, has been fighting to protect Proposition 13 and oppose a split roll for more than a decade.
Click here to learn more.
HOW CAN I HELP FIGHT SPLIT ROLL?
The special interests pushing Split Roll and spending tens of millions of dollars just to get it on the ballot because they see this $11 BILLION dollar tax increase as a bonanza to their members and causes. One of the most massive tax increases ever proposed and it comes out of your pocket every year.
Many of our members have stepped up and contributed to the fight to protect Prop. 13. Has your company? Contact CBPA now to contribute to fight financially and sign up here to keep updated.
Click here to learn more.
CBPA 2020 CALENDAR
Wednesday, February 26
CBPA Winter Board Meeting
Cal Chamber, Sacramento
Thursday, April 2
CBPA Industrywide Legislative Meeting
Tuesday-Wednesday, June 9-10
California Commercial Real Estate Summit
Cal Chamber, Sacramento
Thursday, November 5
CBPA Board Meeting & Industry Awards Dinner
The Renaissance Hotel, Newport Beach