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California Business Properties Association

ICSC - BOMA California - NAIOP California - IREM California - RILA - Nareit - CALED - ACRE - AIR CRE


CBPA STAFF




Matthew Hargrove

President & CEO



Rex W. Hime

VP Strategic Communications



Crystal Whitfield

Executive Assistant



Rex S. Hime

Senior Advisor

CBPA

Weekly Update

August 19, 2022

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  • 2 WEEKS LEFT IN LEGISLATIVE SESSION - FINAL SPRINT
  • GOVERNOR'S LATE-SESSION CLIMATE PACKAGE
  • GOODS MOVEMENT ALLIANCE - JOIN NOW
  • GOODS MOVEMENT ALLIANCE APPLAUDS APPOINTMENT OF VILLARAIGOSA
  • FEATURE STORY: BLOOMBERG - "LOS ANGELES WAREHOUSING MECCA HALTS EXPANSION JUST AS NEEDS SOAR"
  • 2022 CBPA CALENDAR

2 Weeks Left in Legislative Session -

Final Sprint

The California State Legislative Session has just two weeks to go, and a tidal wave of bills are being heard on the Floor in the coming weeks.


Stay tuned for updated on priority legislation as we learn what bills get sent to the Governor's Desk or are dead for the year.


With surprises being a staple of this time of year, below find a late play by the Governor that would have huge implications on commercial real estate.  The final sprint is here!

Governor's Late-Session Climate Package

Governor Newsom unveiled his late-session package of bills to advance Climate Change policy. Over the next two weeks these ambitious proposals will be introduced and go through a very accelerated legislative process.

 

The bills have still not been introduced, but we have seen the language that is proposed and provide it below.

 

Here are quick summaries of the five proposals, as well as links to view the bill language. Your specific input on any of the bill language or policies is welcome – positive or negative. As an industry we need to make sure we are providing input, feedback, and guidance to policymakers as they consider these proposals.


Codifying statewide carbon neutrality goal to dramatically reduce climate pollution


  • Establishes a clear, legally binding, and achievable goal for California to achieve statewide carbon neutrality as soon as possible, and no later than 2045.


Ramping up our 2030 climate ambition


  • Adopts a more aggressive 2030 greenhouse gas emissions reduction target – going from 40% to 55% below the 1990 level.


Protecting communities from the harmful impacts of the oil industry


  • Establishes a setback distance of 3,200 feet between any new oil well and homes, schools, or parks.
  • Ensures comprehensive pollution controls for existing oil wells within 3,200 feet of these facilities.


Establishing pathway toward state’s clean energy future


  • Creates clean electricity targets of 90% by 2035 and 95% by 2040 with the intent of advancing the state’s trajectory to the existing 100% clean electricity retail sales by 2045 goal.


Advancing natural and engineered technologies to remove carbon pollution


  • Establishes a clear regulatory framework for carbon removal and carbon capture, utilization and sequestration.
  • Requires the state to develop an achievable carbon removal target for natural and working lands.


Now, buried deep within this in an appendix dealing with decarbonization for existing buildings, the following recommendation can be found:

 

“There are no laws currently protecting tenants from being evicted or having rent increases post retrofit; Regulatory protection could help to shield tenants from rent increases after energy upgrades are performed.” (ARB SC Appendix, Building Decarb, 2022)

 

Stay tuned to Weekly Updates in the future to learn more on the specific legislation and bills once they are introduced.

Goods Movement Alliance - Join Now

As California's supply chains continue to face challenges from overcrowded ports, labor shortages, and traffic congestion, the need for coordinated response from California's business community has never been more urgent. That's why we (CBPA and CBRT) are forming a new coalition under the Goods Movement Alliance to urge common sense solutions on goods movement issues at all levels of government.

 

Last year, we joined with business leaders across California to send a letter to Governor Newsom and other key elected officials to provide them with a comprehensive plan to address the goods movement crisis. Now, it's time to take the next steps and build on this vital work with our new coalition. 

 

California is facing a crisis of crises at nearly every level of our transportation infrastructure that makes up the backbone of our economy. The impact of the supply chain crisis has touched almost every Californian as soaring transportation costs and continued disruptions are helping fuel record high inflation that's disproportionately hurting our working families.

 

Please lend your company/association name to the Goods Movement Alliance to stay informed about how you can help. Click here to Join the Goods Movement Alliance. There is no cost to join but the impact of lending your name to the effort will be invaluable!

 

Our coalition is dedicated to finding practical solutions that address the source of these challenges, invest in our future growth, and make our systems more resilient to future disruptions.

 

Congestion at California's ports is one of the most visible signs of the supply chain crisis. Backlogs at ports not only delay consumer and business products imported from overseas but also limit California farmers and manufacturers from exporting their products. On top of challenges at our ports, unfair labor laws and a lack of land-based transportation and logistics infrastructure is constraining the ability to move products within California. 

 

Attendees at the California Commercial Real Estate Summit hear directly from Goods Movement Alliance Co-Chair Rob Lapsley from the California Business Roundtable. You can learn more here Goods Movement Alliance.

Goods Movement Alliance

Applauds Appointment of Villaraigosa

The Goods Movement Alliance issued the following statement in response to Governor Newsom's announcement to name former Los Angeles Mayor Antonio Villaraigosa as an Infrastructure Advisor to the State of California–charged with working with local, state, and federal leaders to identify priority projects and maximize access to federal funding for infrastructure projects:

 

“The Goods Movement Alliance looks forward to working with former Mayor Villaraigosa in his new role as Infrastructure Advisor. Given the ongoing issues in California’s supply chain that are helping drive record-high inflation, it's vital that state leaders prioritize the most impactful projects for federal funding opportunities. Our coalition stands ready to serve as a conduit for the private sector's expertise and recommendations for modernizing California’s infrastructure to address current challenges and making our systems more resilient to future disruptions." 

 

The Goods Movement Alliance (GMA) was launched in August 2022 to galvanize supply chain stakeholders and serve as a resource to federal, state, and local lawmakers as they address the ongoing logistics and goods movement crisis. Bringing together users from the agriculture, storage, transportation, retail, manufacturing, and distribution industries, GMA is committed to driving solutions that will address the short- and long-term problems in the goods movement sector.


To learn more, please visit our website GoodsMovement.org

Feature Story: Bloomberg -

Los Angeles Warehousing Mecca

Halts Expansion Just as Needs Soar

Los Angeles Warehousing Mecca Halts Expansion Just as Needs Soar


By: Ngai Yeung and Augusta Saraiva

August 15, 2022


"Communities in the Inland Empire, the US’s logistics mecca east of Los Angeles, are suspending new warehousing projects to examine the impact from decades of pollution -- putting the industry under pressure when it’s needed most..."


READ THE FULL STORY HERE

2022 CBPA Calendar

Tuesday, November 15

CBPA Board Meeting 

Sacramento

 

For more information on any of our events, please contact Crystal Whitfield at

916-443-4676 or cwhitfield@cbpa.com.

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