California Business Properties Association

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CBPA STAFF



Matthew Hargrove

President & CEO

Rex W. Hime

VP Strategic Communications

Crystal Whitfield

Executive Assistant

Rex S. Hime

Senior Advisor

CBPA

Weekly Update

September 30, 2022

• LA TAX MEASURES TARGET REAL ESTATE - DIGITAL ADS RELEASED

• NO ON SP - EDITORIAL FROM LA TIMES

• GOV VETOES TROUBLESOME WATER PERMITTING BILL

• GOV SIGNS BILL HELPING COMBAT ORGANIZED RETAIL CRIME

• TO SIGN OR NOT TO SIGN - GOV NEWSOM HAS UNTIL MIDNIGHT TO ACT

• COMPLETING DEVELOPMENT PROJECTS IN CALIFORNIA - FINANCE AND REAL ESTATE SUMMIT



• 2022 CBPA CALENDAR

LA Tax Measures Target Real Estate - 

Digital Ads Released

There are currently a dozen local measures using the hole recently blown into Prop. 13 by the courts to raise your taxes with a simple majority vote instead of a two-thirds vote as it has been since 1978. CBPA is sounding the alarm bell on all these measures and attempting to coordinate efforts to stop them.  

The city of Los Angeles has two tax measures on the November ballot that seek to raise $1.1 billion in taxes from property owners. Below is a brief description of the two measures:

• Measure SP – Parks & Recreational Facilities Parcel Tax - $227M/year for 30 years ($6.8 billion)
• Ordinance ULA -- by “United to House L.A.” - $800M/year on ALL properties - commercial and residential 
• 4% transfer tax on properties above $5M
• 5.5% transfer tax on properties above $10M 

The campaign against these two measures has released two digital ads:

• No on ULA/SP Digital Ads - Video 1: “Jessica and Ash, L.A. Residents” 
• No on ULA/SP Digital Ads - Video 2: “Erika, L.A. Resident” 

ULA and SP will drive up the taxes of almost every commercial building, apartment complex, and will dismantle decades of Prop 13 protections!

CBPA is helping lead the effort to defeat both measures. To help protect our members in Los Angeles against these outrageous tax increases, we are an active member of the Angelenos Against Higher Property Taxes – No on ULA and SP Committee, which has just launched.

Visit the website and stay tuned for how you can help in this battle.

No on SP - 

Editorial from LA Times

“Passing a permanent tax hike is not something to take lightly. Voters deserve to know how their money will be spent and tax measures should be designed to give them confidence that the funds will deliver meaningful results.”

Even the L.A. Times agrees this parcel tax is a bad idea. Read the full article below.

Gov Newsom Vetoes Troublesome Water Permitting Bill

Governor Newsom vetoed AB 2106 (Rivas), a bill that would mandate that the State Water Resources Control Board (State Water Board) develop permits for stormwater discharges from “commercial, industrial, and institutional” facilities under its delegated authority to administer the federal Clean Water Act.

We strongly opposed these requirements, which would have potentially subjected a wide range of businesses and other facilities, such as your properties, to costly compliance and citizen lawsuits.

We were part of a coalition led by the CalChamber requesting a veto of this bill, you can read the Veto Request here.

Read more below on other action the Governor has taken before the deadline tonight.

Gov Newsom Signs Bill Helping

Combat Organized Retail Crime

Governor Newsom signed SB 301 (Skinner) into law, a bill that will require an online marketplace to require a high-volume third-party seller on the online marketplace to provide to the online marketplace specified information, including certain contact information and a bank account number or, if the seller does not have a bank account, the name of the payee for payments issued by the online marketplace to the seller, as prescribed.

This bill will discourage organized retail theft operations from using online marketplaces and will facilitate law enforcement investigation when the sale of stolen goods is suspected.

Providing limited identifying information to consumers will also help consumers make wise choices and avoid inadvertently purchasing stolen goods. SB 301 has been carefully drafted to protect personal privacy and to ensure that it only applies to large, repeat sellers using online marketplaces.

Below, find a more in-depth recap on the Governor’s action on legislation so far.

To Sign or Not to Sign -

Gov Newsom has Until Midnight to Act

The Governor has until midnight tonight to sign or veto bills passed by the Legislature before Sept. 1 and in the Governor’s possession on or after Sept. 1.

Most recently he has taken action on the bills discussed above along with signing AB 158, a bill that will subsidize union membership through public funding, and AB 1695, a bill we supported that will allow for more adaptive reuse. The Governor also vetoed SB 1482, an EV charging bill we had gone neutral on after a lot of trouble, and AB 2438, a bill that we were opposed to which would have hurt our transportation and supply chain in vital areas of the state’s highway system!

Below is a focused list of priority bills that we worked on to advance or protect the office, industrial, and retail real estate industry. We are still waiting for action on all of the rest of the bills sitting on the Governor’s desk for action by midnight tonight. Stay tuned for a full recap next week.

Completing Development Projects in California -

Finance and Real Estate Summit

Private-sector partners are invited to join California’s largest economic development association (California Association for Local Economic Development: CALED) on October 12 & 13 in Riverside, CA at a Finance and Real Estate Summit to discuss ways to move development projects from concept to completion in California – that includes strategizing a policy agenda for the next legislative session to address financing tools, barriers, and opportunities.

The agenda includes expert speakers walking you through how to address different components of completing projects in today's complex environment. We will also hold a teaching tour of specific projects in downtown Riverside and wrap up with an optional breakfast on the 13^th to strategize a policy agenda to complete economic development projects in California.

For more information and to register, click here. For questions, please contact CALED Program Director, Michelle Stephens.

2022 CBPA Calendar

Tuesday, November 15

CBPA Board Meeting: 1:30 p.m. – 4:30 p.m.

Zoom

For more information on any of our events, please contact Crystal Whitfield at 916-443-4676 or cwhitfield@cbpa.com.