Advocate - June 25, 2015
L to R: Asm. Ammiano; Asm. Bocanegra
California State Assemblymembers Tom Ammiano (San Francisco) and Raul Bocanegra (Pacoima), announced an agreement recently to amend the change of ownership rules under California’s Proposition 13 through Assembly Bill AB 2372. The amendments are supported by a diverse group of stakeholders including the California Business Roundtable, the California Chamber of Commerce, the California Business Properties Association, which includes BOMA California, and the California Tax Reform Association.
Over the years, a few complex property purchase deals have given the appearance of an attempt to avert the Proposition 13 change of ownership rules. The transactions have been highlighted and used to commove the reform proponents of the property tax law. This current agreement between stakeholders is meant to update some of the laws implementing statutes to address this viewpoint.
Currently, a property is reassessed when it is sold and/or changes ownership. However, if none of the purchasers acquires more than a 50% interest, reassessment may not necessarily be triggered. AB 2372 will be amended to clarify that as long as 90% of a property is sold, a reassessment would be triggered, regardless of whether any individual buys more than 50% of the property. Safeguards are being negotiated by your BOMA California advocates in Sacramento now to clarify that the change of ownership amendments do not apply to normal turnover of stock for publicly traded companies.
As our organizations have done in the past, BOMA San Francisco and BOMA California will continue to defend Proposition 13 - an initiative that protects both residential and commercial properties. However, part of an effective defense of the property tax law is to recognize that the intent of the original language may need to be updated to assure the voter approved goals of the initiative are being met. BOMA believes this agreement does just that.
Split Roll Measures Still Loom
For 2014, various members of the California State Legislature continue to pursue public policies that would undermine the intent of the property tax protections approved by voters under Proposition 13. Indeed, there are upwards of nine California Constitutional Amendments seeking to lower voter thresholds to amend the initiative's tax protection on properties from 2/3rds (66.66%) to 55%.
Rest assured that your fellow BOMA California members are working hard to protect the industry's interest. Stay tuned for updates in future blog posts.
BOMA's Government Affairs Committee members have been meeting with public officials recently to represent your interests.San Francisco Board of Supervisors member, David Campos, spoke to BOMA representatives recently at San Francisco's City Hall.
Supervisor Campos' Background
This meeting was held to update Supervisor Campos on the fast-paced commercial real estate market in San Francisco. Proposition M, the Office Development Annual Limitation Program, was mentioned and Campos was receptive to our member's concerns. Even so, he would need to review a legislative proposal and hold further discussions with BOMA members to understand the impact of any change to the law.
Supervisor Campos' Legacy Business Registry program was mentioned and Campos has kindly agreed to attend the next Government Affairs Committee meeting on July 8th to provide context regarding his proposal to BOMA members.
Meeting attendees informed Campos of the economic benefits for all of San Francisco, i.e., taxes and jobs generated, from our industry and from the tenants that lease space from BOMA building members.
Lastly, our members' effort to address an imminent labor shortage via the BOMA Foundation and our partnership with San Francisco State University was detailed. The Foundation's effort to introduce underprivileged youth to the commercial real estate industry through our partnership with Juma Ventures was also discussed.
BOMA San Francisco members appreciate Supervisor Campos' time and are honored to be a resource for her constituents.
BOMA San Francisco's Energy & Environment Committee and Government Affairs Committee members met recently with San Francisco Public Utilities Commission (SFPUC) representatives for an update on the current drought conditions.
Email firstname.lastname@example.org with any questions you may have.
In response to the drought and to State-mandated outdoor water use restrictions the SFPUC implemented a Mandatory Irrigation Allocation Program in 2014 that required a 10% reduction in outdoor water use for all potable irrigation customers. This first mandatory reduction applied to all billing periods beginning on or after October 1, 2014 through June 2015 with water allocations determined using 2013 baseline water use data and is expressed as gallons per day (gpd).
Allocations from October 2014 – June 2015 will be totaled and compared against your actual usage during the mandatory reduction period. If total water use exceeds the total allocation, an Excess Use Charge of 100% of your applicable water rate will be charged for each unit of water exceeding the allocation. For the October 2014 to June 2015 restriction period, the Excess Use Charge is a one-time assessment that will be added to your July 2015 bill and will be in addition to normal charges.
Due to continuing drought conditions and the State's expanded outdoor water use restrictions, the SFPUC's Mandatory Irrigation Allocation Program will be extended through 2016 and require customers to reduce irrigation water use by 25%. The SFPUC will provide each irrigation customer with their water use allocations for the next restriction period including billing periods beginning on or after July 1, 2015 through February 2016. Water use allocations will continue to use 2013 as the baseline.
UPDATE - April 1, 2015
Following the lowest snowpack ever recorded and with no end to the drought in sight, Governor Jerry Brown Jr. announced actions that will save water, increase enforcement to prevent wasteful water use, streamline the state's drought response and invest in new technologies that will make California more drought resilient.
"Today we are standing on dry grass where there should be five feet of snow. This historic drought demands unprecedented action," said Governor Brown. "Therefore, I'm issuing an executive order mandating substantial water reductions across our state. As Californians, we must pull together and save water in every way possible."
High resolution photos of previous snow surveys are available here.
For more than two years, the state's experts have been managing water resources to ensure that the state survives this drought and is better prepared for the next one. Last year, the Governor proclaimed a drought state of emergency. The state has taken steps to make sure that water is available for human health and safety, growing food, fighting fires and protecting fish and wildlife. Millions have been spent helping thousands of California families most impacted by the drought pay their bills, put food on their tables and have water to drink.
Every Californian should take steps to conserve water. Find out how at SaveOurWater.com.
UPDATE - August 4, 2014
In response to the ongoing severe drought, the State Water Resources Control Board recently passed emergency regulations beginning on August 1, 2014 to ensure all Californians reduce outdoor water waste or face potential enforcement. The SFPUC is continuing its ongoing and comprehensive water conservation programs and educational efforts to ensure that citations are issued only as a last resort.
Californians can be cited for:
The State’s requirements are similar to water waste restrictions the SFPUC already has in place and are consistent with water saving tips and guidance we provide our customers rain or shine.
Image credit: Randall Benton, Sacramento Bee
Original Post - February 20, 2014
Like most businesses and households, BOMA San Francisco members are acutely aware of California's declared drought and are looking at ways to further conserve water during this unprecedented dry winter. Indeed, BOMA members have been at the forefront of energy and water conservation for some time though our Energy and Environment Committee and the Commercial Water Conservation Ordinance.
BOMA San Francisco's Energy and Environment Committee (E&E)
BOMA's E&E Committee is one of the organization's most active member groups focused specifically on energy and environmental sustainability in commercial high-rise buildings. At the committee's most recent meeting, San Francisco Public Utilities Commission (SFPUC) representatives presented on water-saving tips for commercial properties:
There is not a mandatory water reduction for San Francisco at this time although there is a request from the SFPUC that businesses and households reduce their consumption voluntarily by 10%.
Commercial Water Conservation Ordinance (2009)
Our members are fortunate to have had the foresight to work with the City and County of San Francisco on the Commercial Water Conservation Ordinance that applies to any commercial property owner. The law requires that a building owner repair plumbing leaks and install water efficient plumbing fixtures to obtain a Certificate of Compliance either upon major improvements or by January 1, 2017.
Inefficient plumbing fixtures manufactured and installed prior to 1994 must be replaced with efficient fixtures. The SFPUC offers financial incentives and technical assistance for the replacement of inefficient plumbing fixtures. The Ordinance established the following water efficiency guidelines for commercial properties:
Click here for more information on how you can help to conserve our most precious resource.
The Port of San Francisco is undertaking a robust community process to update its Waterfront Land Use Plan, which sets policies for land use improvements on Port-owned property.
BOMA San Francisco's Political Action Committee's Slate Card
The BOMA SF-PAC is looking forward to the November 3, 2015 election and our members have already endorsed candidates for elected office in San Francisco. The PAC will consider any propositions that may be on the November ballot as they are known and assessed by the Committee.
The candidate endorsements are:
Your feedback is requested
To represent our members' interests, BOMA San Francisco's Codes and Regulations Committee representatives had a rare opportunity to discuss the proposed elevator code changes with the California Department of Industrial Relations, Occupational Safety and Health Division, Elevator Unit (Cal/OSHA) chief, Dan Barker recently. The purpose of the gathering was to help the Department understand any negative impacts, e.g., cost, availability, safety issues, et cetera, that may result from these changes.
Also, National Elevator Industry, Inc. (NEII) is making building owners aware of the efforts underway by the Cal/OSHA to develop theGroup V elevator codes. Cal/OSHA has proposed over 60 pages of changes - more than 125 specific modifications - to the ASME A.17.1 (2013) /CSA B44-13 Safety Code for Elevators and Escalators.
The draft amendments to the ASME Code under discussion are so significant and controversial that, if enacted through formal rule making, they will drastically alter current elevator designs for all of the major elevator companies and impose significant new costs and construction delays on California building owners.Key areas of concern in Cal/OSHA's pre-rule making draft and initial estimates of potential costs are set forth below.
UPDATE - May 29, 2014
BOMA San Francisco's Codes and Regulations Committee members reviewed a letter that the National Elevator Industry Association wrote to the head of the California Department of Industrial Relations. Click here for a presentation related to the missive and here for an attachment to the letter.
The communication states that the 60 pages of amendments that the Department is considering adopting would make California unique as having the strictest and most expensive elevator requirements in the country.
Please be aware of these proposed changes for elevator maintenance if they are permanently adopted.
If you have any feedback, please send it to email@example.com.
UPDATE - April 28, 2014
Since 2012, members of BOMA San Francisco's Codes and Regulations Committee have been working with BOMA California and the California Division of Occupational Safety and Health on changes to statewide elevator maintenance rules. Our members' feedback was detailed in a BOMA amended 2012 Division Circular Letter.
On April 22, 2014, the Division held a meeting to review a draft of new elevator regulations regarding:
BOMA California members continue to maintain their feelings that routine upkeep of elevators - specifically those that do not affect the safe operation of the system - may eventually require Division mandated oversight by a certified elevator mechanic. Any proposed changes along those lines would increase the time and cost for the maintenance of elevators and add a modicum of value to the safety of the elevator system.
BOMA San Francisco Board Member Kevin FitzPatirck kindly attended the April 22, 2014 meeting for BOMA members and relayed their comments.
If you have any questions or feedback regarding the draft proposal of new elevator regulations, please contact firstname.lastname@example.org.
Original Post - October 12, 2012
Elevator Categories of Work Circular Letter Withdrawn
BOMA California representatives are pleased to report that the California Division of Occupational Safety and Health has given notice that it has formally withdrawn Circular Letter 11-01 in its entirety, effective immediately. Prior to this retraction, BOMA San Francisco's Codes and Regulations Committee members suggested edits to the Circular Letter which was sent to the Division on May 12, 2012.
According to the Division, the Circular Letter was initially published because they had received inquiries regarding if certain work on conveyances were covered by state law. After receiving more information from the elevator industry the Division has decided that clarifications are more appropriately addressed through a formal rule making process. BOMA California members agree and applaud the Division for this decision. BOMA thanks our colleagues in the elevator industry for their diligence.
There will be future efforts by the Division regarding rule making so this issue is likely to be revisited by year end.
Recently, the annual California Commercial Real Estate Summit (CCRES) was held in Sacramento and attended by over 80 real estate leaders - including BOMA San Francisco members - who converged on California’s Capitol to advocate on behalf of the commercial, retail, and industrial real estate industry. The attendees allowed for seventeen teams of industry advocates who met with almost half of the California State Legislature.The focus of this year’s CCRES was support for a number of bills that reform our state’s ADA laws as well as support for a measure that would fund energy efficiency PACE programs and a measure to reform the AED statutes.
The purpose of the Economic Barometer is to provide the public, elected officials, and City staff with a current snapshot of San Francisco economic indicators. The Economic Barometer reviews general economy-wide employment indicators, as well as major sectors of the City's economy, including real estate and tourism.
Issuance of the Economic Barometer will be on quarterly basis. Indicators will be updated at sfbarometer.weebly.com, which will include data visualizations of the economic indicators along with a PDF of the quarterly summary. Data on the website will be updated throughout the quarter as it becomes available.
Please click here to review the San Francisco Department of Building Inspection's data for use in calculating a building's valuation for building permits in the City and County of San Francisco. This schedule is effective as of June 1, 2015.
For additional information, please contact the Department's Technical Services Division at (415) 558-6250.
The U.S. Department of Energy's Building Technologies Office is partnering with the successful SunShot Catalyst crowdsourcing initiative to identify and solve problems related to software development, data, and/or automation.
In the first Ideation phase of the initiative, those working in the building technology space are invited to submit problem statements describing challenges that need to be overcome in order to promote better engagement with building occupants and to improve the ability to balance energy and occupant comfort objectives in a building. In addition to submitting problem statements, participants are invited to vote and comment on ideas that have already been submitted. To browse buildings-related statements that have been submitted, follow this link.
Individuals who submit a problem statement will have a chance to win a $1,000 cash prize!
Problem statements need to be submitted by July 15, 2015.
So what are you waiting for? Go and submit your problem statement by clicking here. You will need to:
For more information about the SunShot Catalyst and complete contest rules, visit the SunShot Catalyst website.
Competition phases following Ideation will focus on developing products that address submitted problem statements, and contestants will have a chance at up to $1,000,000 in total prizes.