CBPA's California Legislative Update 01/28/2022
- AB 1001 - MAKING CONSTRUCTION MORE DIFFICULT
- GOVERNOR PRIORIZES ADAPTIVE REUSE AND INFILL
- AB 1400- SINGLE PAYER HEALTHCARE AWAITS ASSEMBLY FLOOR
- PAID SICK LEAVE FRAMEWORK
- INDUSTRY AWARDS DINNER & CBPA'S 50TH ANNIVERSARY- REGISTER NOW!
- CBPA 2022 CALENDAR
AB 1001 - MAKING CONSTRUCTION MORE DIFFICULT
Our industry opposes measures that will make it more difficult to build new housing and commercial projects that support jobs.
One such measure impacting building, AB 1001 (Garcia), is currently under consideration on the Assembly Floor. The bill expands the California Environmental Quality Act (CEQA) to incorporate new, highly subjective, non-quantifiable and litigation-bait standards into CEQA in an attempt to address historical discriminatory land use policies.
Although we appreciate the author’s intent to fix past injustices, we believe there are other areas of law more appropriate than using this environmental law. AB 1001 will impede local governments’ ability to approve new projects, depress jobs within the construction industry and further exacerbate California’s cost-of-living crisis.
AB 1001 has also been tagged as a Housing Killer by CBIA and a Job Killer by the CalChamber. Click here to read more.
GOVERNOR PRIORIZES ADAPTIVE REUSE AND INFILL
The Governor’s Budget includes several items we support related to addressing some impediments to projects in some urban areas, including an assessment of codes and regulations that could be updated. Here are four items in the budget that directly would impact infill projects:
Infill Infrastructure Grant Program—$500 million General Fund over two years to prioritize housing production on prime infill parcels in downtown-oriented areas,
including brownfields.
Affordable Housing and Sustainable Communities—$300 million General Fund over two years to support land-use, housing, transportation, and land preservation projects for infill and compact development that reduce climate pollution.
State Excess Sites Development—$100 million General Fund over two years to expand affordable housing development and adaptive reuse opportunities on state excess land sites.
Adaptive Reuse—$100 million General Fund over two years for adaptive reuse incentive grants. These grants will help remove cost impediments to adaptive reuse (e.g., structural improvements, plumbing/electrical design, exiting) and help accelerate residential conversions, with a priority on projects located in downtown-oriented areas
We are working closely with the Department of Real Estate to help provide guidance and aid on how these investments could help with projects that will increase housing in many parts of the state with mixed use, transit-oriented projects.
If you have any interesting adaptive reuse projects that increase housing, please let us know. We would like to share success stories with the Governor and legislature.
AB 1400- SINGLE PAYER HEALTHCARE AWAITS ASSEMBLY FLOOR
Last week AB 1400 (Kalra), a bill paired with ACA 11 (Kalra and Lee), reached the Assembly Floor. These bills would create and fund a single payer health care system in California paid for by raising and establishing taxes for all Californians.
We have joined the CalChamber’s coalition of 130 members to oppose this legislation as it would result in higher taxes and more job loss in California.
In the opposition letter, found here, it is stated that this legislation would cost more than $400 billion annually. Trying to create an entirely new state function that costs more than twice the state budget is an incredibly difficult task, especially given our state’s recent experience with massive fraud and uncertainty of the function’s feasibility.
AB 1400 is still waiting for action to be taken by the Assembly and will need to pass by January 31 to stay alive. Stay tuned for updates.
PAID SICK LEAVE FRAMEWORK
Earlier this week, Governor Newsom along with Senate President pro Tempore Toni Atkins and Assembly Speaker Anthony Rendon, announced a framework to extend supplemental paid sick leave.
A joint statement reads, “California’s ability to take early budget action will protect workers and provide real relief to businesses reeling from this latest surge. Throughout this pandemic, we have come together to address the immediate impacts COVID-19 continues to have on millions of California families, both at home and at work. By extending sick leave to frontline workers with COVID and providing support for California businesses, we can help protect the health of our workforce, while also ensuring that businesses and our economy are able to thrive. We will continue to work to address additional needs of small businesses through the budget – they are the backbone of our communities and continue to be impacted by COVID-19.”
This framework would ensure employees continue to have access to COVID-19 supplemental paid sick leave retroactively from January 1, 2022, through September 30, 2022. Employees in California are looking at having two weeks paid time off for COVID-related sick leave.
We are cautiously optimistic that a deal can come together that will minimize further the impact on California employers. California needs to start moving out of pandemic mode and getting back to normal. Stay tuned for more to come on developments.
INDUSTRY AWARDS DINNER & CBPA'S 50TH ANNIVERSARY- REGISTER NOW!
California Business Properties Association Industry Awards Dinner & 50th Anniversary Celebration is scheduled for March 24, 2022, at The Renaissance Hotel in Newport Beach starting at 6:00pm. This bi-annual event is a chance to recognize the unwavering leadership of individuals and companies dedicated to the office, industrial, and retail real estate industry.
This year we will be pairing the Awards Dinner with a 50 Year Celebration, acknowledging the history and key role California Business Properties Association has played in advocating for and defending our vital industry. CBPA would not be successful without our leadership, membership, and those in our industry who go above and beyond in the legislative process.
With Rex Hime’s retirement announcement, and his 37 years of service to our industry, this event will also be an opportunity to honor and thank him and those who helped establish CBPA to become “The Voice of Commercial Real Estate,” in California.
The following peer-nominated awards represent the highest recognition given to industry leaders in the State of California:
The Ernest W. Hahn Memorial Award honors our founder’s many contributions to the real estate industry. The award is given to an individual and/or organization that go above and beyond the call of duty to impact legislative, regulatory, or public policy issues on behalf of our industry.
Honoree: NewMark Merril, Sandy Sigal
The John Caldecott Memorial Award honors the unfaltering lifelong community service provided by John Caldecott through his service in the Salvation Army. The award recognizes an individual and/or organization that advances our industry through community service to others.
The Ray Magnussen Memorial Award honors Ray Magnussen who, as a provider to our industry, lead a statewide effort of advocacy to help fight issues facing all of us. The award is given to an individual service provider and/or organization that goes above and beyond the call of duty to impact the commercial real estate industry.
Honoree: Sarahann Shapiro, Pahl & McCay
Champion of the Industry Awards are presented to individuals and/or companies who have dedicated themselves to the improvement of the commercial, industrial, and/or retail real estate industry in California through the development of projects that stand-out for their innovation, attraction, and versatility.
Click the links below for Registration, Sponsorship, and hotel accommodations:
We look forward to seeing you in March and celebrating our industry together!
CBPA 2022 CALENDAR
Wednesday, February 16
Rex Hime’s Retirement Reception
Hyatt Regency Sacramento
Thursday, March 24
Industry Awards Dinner and CBPA Board Meeting
The Renaissance Hotel, Newport Beach
Thursday, April 7
CBPA Industrywide Legislative Meeting
Southern California
Tuesday, June 7 – Wednesday, June 8
California Commercial Real Estate Summit
and CBPA Annual Board Meeting
Sacramento
Tuesday, November 15
CBPA Board Meeting
Sacramento
For more information on any of our events, please contact Melissa Stevens at 916-443-4676 or mstevens@cbpa.com.