from Damon R. Conklin, Director of Government Affairs, Sacramento Regional Builders Exchange
Below is a list of State Boards and Commissions with positions appointed by the Governor that have jurisdictions over our industry. Please find attached a list of vacancies that currently exist (as of January 2020). Serving as an appointee is a great opportunity to lead the industry and make meaningful change in the regulatory environment for CA businesses. If you or someone you know is interested in learning more, please contact me to discuss the application the process.
CA’s most controversial homebuilding bill just died. Now What?
SB 50, a measure that would have forced cities to allow more mid-rise apartment buildings around public transit and next to some single-family homes, failed to get enough votes in the California Legislature to survive in 2020 before time ran out. The question now is how Gov. Gavin Newsom plans to meet one of his signature campaign goals: building millions of new homes. And if cities, anti-gentrification activists and suburban homeowners could stymie the assortment of powerful interests backing that bill, what pro-development policy options are left? Among many things, streamlining CEQA, cut impact fees, return redevelopment and major zoning reform would be a start.
$15 Billion Bond of Education Facility Construction Gaining Steam
California’s construction workers are getting behind Gov. Newsom’s committee promoting Proposition 13, a $15 billion public school and university construction bond, on the March 3rd ballot. Last week, the State Building and Construction Trades Council gave $250,000 to the campaign committee headed by Newsom to win approval of the bond. The committee has raised about $5.5 million so far and construction workers will get lots of work if it passes.
Survey Predicts California Commercial Real Estate to Expand in 2022
Allen Matkins, a California-based law firm that works with and assists developers and lenders in the real estate industry, partnered with UCLA to create the commercial real estate report. Report can be downloaded here. The report notes that while the economy is predicted to slow in 2020, developers are feeling optimistic about commercial real estate in 2022 and are eager to get in on the industry’s next expansion. In short, the report suggests that industrial markets will remain at the same level of strength through 2022; optimism in rental rates for office markets; multifamily markets anticipate a continued boom in Southern California; and due to an uptick in online shopping and a sluggish start to the 2019 holiday shopping season, new retail construction is expected to fall from now through 2022, however some of the Bay Area and Southern California panelists began new retail development or re-development.
But developers will be hard pressed to find enough skilled laborers to do the work, according to Riley. “The big issue right now is labor,” she said. “Most of the people who do this kind of work are completely swamped. They have so much business they can’t keep up with it, and there’s not more people to bring in.”
Damon R. Conklin
Director of Government Affairs
Sacramento Regional Builders Exchange